The pursuit of neoliberalism by right-wing politicians causes poverty and unrest – hence it should not be allowed to take control in global politics. What is neoliberalism, and why is it harmful to the majority of people?
Neoliberalism has quietly crept into the western and global Politics over the years. It is crucial to recognize the detrimental effects of neoliberalism on poor people and workers. The ideology harshly punishes the most low-income individuals and undermines the welfare state. It also prevents a welfare state from happening in countries that suffer from inequality.
Neoliberalism is an economic ideology that emphasizes market freedom and the reduction of the state’s role in the economy. Its proponents claim that it promotes economic growth and efficiency. In reality, the evidence is controversial, and economic growth has traditionally hovered around 2%. It’s no coincidence that this has often been the case under the leadership of right-wing politicians in any country adapting the neoliberal policies. This has happened in the United states, as well as in Finland.
Read also: 5 significant reasons why austerity policy is not economically wise
Neoliberalism increases poverty and exclusion
The consequences of neoliberalism for poor people can be burdensome. Firstly, its goal to reduce the state’s role can lead to the deterioration of public services, such as healthcare and education. This makes these services less accessible to those who need them the most. Perhaps you’ve already noticed the crisis in healthcare or the large class sizes. Thank the right-wing politicians.
Read also: Social security cuts lead to slowing economic growth and reduced security
Secondly, neoliberalism emphasizes competition and the pursuit of profit in the markets. This can lead companies to maximize profits at the expense of other needs, such as workers’ rights and well-being. For the poor, this can mean low-wage jobs, insecure employment, and weak social safety nets. All of these are promised in the upcoming policy agenda.
Additionally, neoliberal policies lead to a growing wealth gap in society. As the rich get richer, the poor may be further away from the center of economic well-being. This can increase inequality and weaken social cohesion. The new policy agenda is indeed increasing income inequality through various measures.
We must critically examine the effects of economic policies and ensure that they serve all citizens. Let’s ensure that economic growth benefits everyone and not just the privileged few. A just society should be the starting point for all policies – not just improving the position of a few.
