The Pendulum (Might) Swing Again: How a Fringe Economic Ideology is Gaining Ground

This term is a set of free-market reforms that create a meritocratic society  (Colville, 2019:2). It was an ideology, "nothing less than a crusade to enfranchise the many in the economic life of the nation." Thus, Popular Capitalism involves several market-based policies (Colville, 2019:36-41).

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Let's see both in real policy implications. To increase workers' power, NEM would give trade unions Inclusive Ownership Fund. But Popular Capitalism would give workers' ownership through Employee Stock Ownership Plan (ESOP). To enforce this plan, governments could give tax breaks towards companies converting to ESOP. In paving green transition, NEM would start grand-sounding schemes. But Popular Capitalism constructs new incentives by clean tax cuts to support innovation and creating more wealth to bolster public sector conservation efforts.

Both have the same goal. These examples show their difference in delivering them. NEM would guarantee economic powers to local bodies and schemes. They become third-party representations of individuals. In contrast, Popular Capitalism gives economic powers back to each individual. In NEM, trade unions/local bodies would choose for their members. But Popular Capitalism lets each individual make their own choice.

"NEM see you as a part of aggregations. Popular Capitalism sees you as a sovereign being." 

This is a powerful message in itself. Governments need to have the courage to reconvey that message. Without that courage, the whole world would fall into the labyrinth of socialism.

Oleh: Rionanda Dhamma Putra | Ilmu Ekonomi 2019 | Trainee Kajian 2019

REFERENCES

1. Colvile, Robert. (2019, September 27). Popular Capitalism. Retrieved from https://www.cps.org.uk.
2. International Monetary Fund. (2018, June 15). Assessing Fiscal Space: An Update and  Stocktaking. Retrieved from https://www.imf.org.
3. Martin, John Levi. (2015). What is Ideology?. Retrieved from http://home.uchicago.edu.
4. New Economics Foundation. (2018). AN ECONOMY FOR THE PEOPLE, BY THE PEOPLE. Retrieved from https://neweconomics.org.