The 21st Century and its challenges: Reconsidering the Keynesian State
Oliver Mutanga, University of the Free State, South Africa
Abstract: The article advances the argument that there is a great need for reconsidering States’ role in regulating socio-economic, environmental and political spheres. The period of the collapse of communist economies has seen the private market led system being seen as rational. State intervention was seen as an impediment to successful development. Banks, insurance companies and stock markets have done much in the last decade to free themselves from State rules and regulations. On the Climatic front, most of the challenges that are confronting the world today have their roots in the by-products of the activities of private led economics. With the failure of the laissez-faire policies in 2008, a reassessment of the role of the State is needed. Using empirical data through data review, this article gives the importance of reconsidering the role of State by revisiting the concept of the State, not as an institution where those who scorn it as an impediment to growth only realise its importance when the ills of private capital accumulation needs to be repaired through rescue packages.
Keywords: capitalists, free market, laissez faire, interventionist, recession, state, sustainable development.