Abstract

There is no alternative to neoliberal economics - or so it appeared when Reclaiming Development was published in 2004. Many of the same driving assumptions - monetarism and globalization - remain within the international development policy establishment. Ha-Joon Chang and Ilene Grabel confront this neoliberal development model head-on by combining devastating economic critique with an array of innovative policies and an in-depth analysis of the experiences of leading Western and East Asian economies. Still, much has changed since 2004 - the relative success of some developing countries in weathering the global financial crisis has exposed the latent contradictions of the neoliberal model. The resulting situation of increasingly open policy innovation in the global South means that Reclaiming Development is even more relevant today than when it was first published. History is being made.
Ha-Joon Chang teaches economics at Cambridge University. He is the author of 23 Things They Don't Tell You about Capitalism. Ilene Grabel is an economist and professor at the Josef Korbel School of International Studies at the University of Denver.
'In a world wracked by crises, compromised institutions, and bourgeoning inequalities, Chang and Grabel provide a real, workable roadmap to a post-neoliberal future. Look no further - there are alternatives - and Reclaiming Development points the way.' James Heintz, University of Massachusetts Amherst 'Chang and Grabel's book takes on even more salience as the world moves from the global financial crisis. The crisis has created new political economies whereby nations and citizens are attempting to "reclaim" their economies for financial stability, inclusive growth, and environmental sustainability. Reclaiming Development remains a key manual for those looking for a more balanced future. It also serves as an important source for arguments that can debunk reactionary efforts to use the crisis as a means to push an agenda of deregulation. Essential reading for policy-makers, students and those in academia.' Kevin Gallagher, co-director, Global Economic Governance Initiative, Boston University 'This book is not only a superb antidote to the numbing myths of neoliberalism but also a cogent and stimulating presentation of the many possibilities for alternatives to neo-liberal economic policy that both theory and history provide policy-makers and students of development.' Thandika Mkandawire, Professor of African Development, LSE 'This unusually well-written, direct and succinct book describes neo-liberal positions fairly; offers theoretically rigorous and empirically accurate critiques; and describes feasible, practical alternative policies that take realistic account of political, economic and financial constraints. Discussion of financial, monetary, fiscal, trade and industry policy and intellectual property rights is especially strong and constructive and makes important innovative contributions. It is a fine, carefully analytical achievement which would contribute to hastening both efficient and socially just development wherever the insights are appropriately used.' John Langmore, University of Melbourne 'Chang and Grabel demolish the myths (or fabrications) underlying neo-liberal views about economic development and provide succinct, constructive suggestions for policies regarding trade and industry, privatization and intellectual property rights, private capital movements, financial regulation, and macroeconomics. Reclaiming Development is a manifesto that should be on the shelves of policy-makers, academics, and students worldwide.' Lance Taylor, New School University, author of Reconstructing Macroeconomics 'A growing number of developing countries are taking back control over economic policy from the IMF and the World Bank. The wide range of policy suggestions contained in this book provides a rich mine of concrete and practicable alternatives from which to choose in taking advantage of whatever room globalization still allows developing countries and reshaping economic policy in their own interests.' Martin Khor, executive director, The South Centre 'The dominant neo-liberal economic doctrine asserts that there is no alternative to its policy prescriptions which provide the foundations for success in an age of globalization. This book questions and refutes the belief system implicit in the assertion. It does so in a manner that is highly iconoclastic. Yet, it is solidly grounded in economic theory and empirical evidence, both historical and contemporary.' Deepak Nayyar, Jawaharlal Nehru University