Boom Bust Season 2 Episode 86 Michael Hudson On Rentier Economics and Politics in Europe

In season 2 episode 86 of Boom Bust, renowned economist Michael Hudson joins the show to discuss the concept of rentier economics and its impact on politics in Europe. Rentier economics refers to a system in which ownership of key resources, such as land or natural resources, allows individuals or groups to extract economic rent from others without contributing to the production process.

Hudson argues that rentier economics has been prevalent in Europe for centuries, dating back to the landed aristocracy of feudal times. He cites examples of modern-day rentierism, such as absentee landlords in Ireland and the UK who profit from the rising value of their properties without contributing to their development or maintenance.

The discussion then turns to the relationship between rentierism and politics. Hudson asserts that rentier elites have historically wielded political power in Europe through their control of land and resources. He believes that this dynamic is still present today, with wealthy individuals and corporations using their economic power to influence government policies and shape the political landscape.

The episode also examines the role of the European Union in perpetuating rentierism. Hudson argues that the EU's neoliberal economic policies have led to the privatization and deregulation of key industries, creating new opportunities for rentier elites to extract wealth. He contends that the EU's focus on austerity and budget cuts has also had a negative impact on public services and infrastructure, further benefiting rentiers at the expense of ordinary citizens.

Throughout the discussion, Hudson offers a critical perspective on the current economic and political systems in Europe. He argues that the concentration of wealth and power in the hands of rentier elites has led to social and economic inequality, and he calls for a more equitable distribution of resources and political power.

Boom Bust season 2 episode 86 provides a thought-provoking analysis of rentier economics and its relationship to politics in Europe. Hudson's insights challenge viewers to consider the role of power and privilege in shaping economic and political systems, and to consider alternative paths towards a more just and equitable society.