Marshall McLuhan, the famed philosopher of media, wrote “We shape our tools and they in turn shape us”. His insight also applies to the economy which is shaped by economic policy derived from economic ideas, and it is the theme of my recent book which argues the global economic crisis is the product of flawed policies derived from flawed ideas.

Written by Dr Thomas Palley, Senior Economic Adviser to the AFL-CIO and an Associate of the Economic Growth Program of the New America Foundation in Washington. D.C. His most recent book (on which this column is based) is From Financial Crisis to Stagnation: The Destruction of Shared Prosperity and the Role of Economics which was published by Cambridge University Press in February 2012. His numerous op-eds are posted on his website.

Published by Global Labour Column and edited by CSID at Wits University.