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Many mature democracies are approaching this situation as they confront fiscal crisis. For almost three decades, OECD countries have - in fits and starts - run deficits and accumulated debt. As a result, an ever smaller part of government revenue is available today for discretionary spending and social investment and whichever party comes into office will find its hands tied by past decisions. The current financial and fiscal crisis has exacerbated the long-term shrinking government discretion; projects for political change have lost credibility. Many citizens are aware of this situation: they turn away from party politics and stay at home on Election Day.
With contributions from leading scholars in the forefront of sociology, politics and economics, this timely book will be of great interest to students and scholars throughout the social sciences as well as general readers.
Wolfgang Streeck is Managing Director at the Max Planck Institute for the Study of Societies in Cologne, Germany.
Table of Contents
- 1. Introduction: Politics in the Age of Austerity
- Armin Schäfer & Wolfgang Streeck
- 2. Public Finance and the Decline of State Capacity in Democratic Capitalism
- Wolfgang Streeck & Daniel Mertens
- 3. Tax Competition and Fiscal Democracy
- Philipp Genschel & Peter Schwarz
- 4. Governing as an Engineering Problem: The Political Economy of Swedish Success
- Sven Steinmo
- 5. Monetary Union, Fiscal Crisis, and the Disabling of Democratic Accountability
- Fritz W. Scharpf
- 6. Smaghi vs. the Parties: Representative Government and Institutional Constraints
- Peter Mair
- 7. Liberalization, Inequality, and Democracy’s Discontent
- Armin Schäfer
- 8. Participatory Inequality in the Austerity State: A Supply-Side Approach
- Claus Offe
- 9. From Markets versus States to Corporations versus Civil Society?
- Colin Crouch
- 10. The Normalization of the Right in Post-Security Europe
- Mabel Berezin
- 11. The Crisis in Context: Democratic Capitalism and Its Contradictions
- Wolfgang Streeck