The Conscience of a Liberal

The Conscience of a Liberal is a 2007 book by economist and New York Times columnist Paul Krugman. The work analyzes the political and economic forces behind the rise of economic equality in mid-20th century America and the subsequent resurgence of inequality, which Krugman terms the "Great Compression" and the "Great Divergence." It argues for a revival of a strong progressive movement to combat entrenched interests and advocates for policies like universal health care and strengthened social security.

Overview

The book presents a historical narrative of United States political economy from the Gilded Age through the early 21st century. Krugman contends that the relative equality of the post-World War II era, often viewed as normal, was actually an anomaly created by specific political forces, notably the New Deal coalition. He challenges the notion that technological change or globalization are the primary drivers of modern inequality, instead placing emphasis on politics and power. The final sections outline a policy agenda for a new progressive era, drawing inspiration from the achievements of figures like Franklin D. Roosevelt and Lyndon B. Johnson.

Historical and political context

Krugman frames his analysis against the backdrop of major shifts in American politics. He begins with the extreme inequality of the late 19th century, broken not by market forces but by the political reforms of the Progressive Era and the seismic impact of the New Deal. The consolidation of the New Deal coalition, which included the labor movement, urban machines, and the Solid South, created a long period of Democratic dominance. This political environment, Krugman argues, enabled the high-tax, strong-regulation policies that fostered the "Great Compression." This period ended with the rise of the conservative movement, galvanized by opposition to the Civil Rights Act of 1964 and the Voting Rights Act of 1965, and the strategic political realignment engineered by figures like Barry Goldwater and Ronald Reagan.

Main arguments and themes

A central thesis is that institutions and politics, not impersonal market trends, are the main determinants of economic inequality. Krugman dissects the role of the Southern Strategy in breaking the New Deal coalition and the organized efforts by groups like the Business Roundtable and funded by entities such as the Koch family foundations to shift public policy. He critiques the ideology of movement conservatism and its advocacy for policies like supply-side economics and deregulation. The book also defends the legacy of the welfare state, arguing that programs like Medicare and Social Security are fundamental to a decent society. Krugman calls for a renewed commitment to universal health care, potentially through a plan similar to Medicare for All, and strengthening the social safety net to address the crisis of the Great Divergence.

Reception and influence

The book was a New York Times bestseller and received significant attention within political and economic circles. It was praised by progressive commentators and scholars for its clear historical synthesis and forceful argument. Reviews in publications like The New Yorker and The Washington Post engaged seriously with its claims. However, it faced criticism from conservative thinkers and some economists who disputed its characterization of market forces and its analysis of the causes of inequality. The work solidified Krugman's role as a leading public intellectual for the American left and influenced the policy discourse within the Democratic Party, particularly in the years leading up to the Affordable Care Act.

Author and publication details

The Conscience of a Liberal was written by Paul Krugman, a professor of economics at Princeton University and an op-ed columnist for the New York Times. In 2008, Krugman was awarded the Nobel Memorial Prize in Economic Sciences for his work in international trade and economic geography. The book was published in 2007 by W. W. Norton & Company, a prominent New York City publishing house. It builds upon themes Krugman had developed in his columns and earlier works, serving as a comprehensive manifesto of his political-economic views at a time of increasing partisan polarization during the presidency of George W. Bush. Category:2007 non-fiction books Category:American political books Category:Books about liberalism Category:Books by Paul Krugman