The Crisis and The Way Out Of It: What We Can Learn From Occupy Wall Street | Ben Brucato - 0 views
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Ihering Alcoforado on 09 Nov 11The Crisis and The Way Out Of It: What We Can Learn From Occupy Wall Street Posted on October 8, 2011 The Occupy Wall Street movement more effectively addresses the cause of the financial crisis than economists and discussions in the mainstream press. Further, this movement embodies democratic solutions for a way beyond the crisis. This essay focuses on Occupy Wall Street's facilitating of political action from disparate, heterogeneous partisans; increasing of transparency and participation in decision-making; and relying upon both human-scaled and participatory technologies. Through these processes, the Occupy Wall Street micro-community embodies a vision for a pluralistic, direct democratic society and demonstrates it through practice. Three years into an economic recession that rivals the Great Depression, economists are scrambling for explanations of its origins and the steps to take. Congressperson Darrel Issa (R-CA), Ranking Member of the House Committee on Oversight and Government Reform, blames unaffordable housing and political kickbacks from the banking industry. He stresses the need to "return to fiscal discipline and prudent, responsible housing policies"(Issa, 2011, p. 419). Gary B. Gorton of the Yale School of Management traces an added cause to the "parallel" banking system and a banking panic that began in August 2007 (2010, p. 2). Former economist at Freddie Mac and the Federal Reserve and current Cato Institute adjunct, Arnold Kling, blames capital regulations and "cognitive failures" of executives in financial institutions. It may not be surprising to the reader that this employee of a libertarian think-tank advocates for deregulation and expects the public to "not be deceived into believing that regulatory foresight can be as keen as regulatory hindsight" (Kling, 2011, p. 517). Ten-year veteran CEO and President of the Federal Reserve Bank of St. Louis and current Senior Fellow at the Cato Institute blames "a failu