Wolfgang Streeck’s article “How Will Capitalism End?” critically analyzes contemporary capitalism and its prospects for the future. Streeck argues that the system is facing a crisis of legitimacy and sustainability, as evidenced by five key disorders of capitalism that demonstrate a social system in chronic disrepair. Streeck argues that these disorders demonstrate a chronic disrepair social system and the need to rethink the economy and society to solve these problems.
The first disorder that Streeck identifies is the “fiscal crisis of the state,” which he argues results from declining tax revenues and rising public debt (Streeck 41). Streeck suggests this trend is unsustainable in the long term and threatens the state’s ability to provide essential public services such as healthcare and education. The second disorder is the “legitimation crisis” of capitalism, which Streeck sees as the result of a growing gap between the promises of the system and the reality of people’s lives (Streeck 63). He argues that the social and political foundations that have supported capitalism in the past are eroding, leading to a crisis of legitimacy that undermines the system’s stability. The third disorder is the “crisis of democracy,” which Streeck sees as the result of a growing disconnect between citizens and their political representatives (Streeck 40). He claims that powerful economic interests control the political system, causing a crisis of representation and accountability.
The fourth disorder is the “crisis of representation,” which Streeck identifies as the result of a decline in the ability of democratic institutions to represent the interests of all citizens (Streeck 40). He argues that globalization and transnational corporations have weakened nation-states’ ability to regulate markets and protect citizens. Finally, Streeck identifies the “crisis of human nature” as a growing focus on individual self-interest and consumption, which has eroded the social bonds that hold communities together (Streeck 87). He suggests this trend undermines the social and political foundations supporting capitalism by increasing atomization and reducing solidarity in society.
In conclusion, Streeck’s analysis of the five key disorders of capitalism demonstrates a social system in chronic disrepair. He argues that the future of capitalism is uncertain and that a new social and economic system may replace the system, although the shape and nature of this system remain unclear. Streeck’s critique calls for rethinking how to organize the economy and society to address deep-seated problems that threaten stability and sustainability.
Work Cited
Wolfgang, Streeck. How Will Capitalism End?: Essays on a Failing System. New Left Review, 2014.