Neoliberalism: Alive and Well?

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Cerny University of Manchester and Rutgers University-Newark, 3 Cerny, Philip G. (2014) Neoliberalism: Alive and Well? International Studies Review, doi: 10.1111/misr.12163 © 2014 International Studies Association Dispatch: 21.10.14 12163 Debates about neoliberalism have evolved dramatically over the past decade. The question of what neoliberalism itself involves, as well as what its political fate will be in different parts of the world, has elicited a range of competing frames and perspectives. These two books are no exception and taken together highlight a major divide in our understanding of the phenomenon. On the one hand, Flores-Macıas takes a comparative political science approach. His independent variable is the degree of institutionalization of the political party systems in a range of Latin American countries, with in-depth case studies of Venezuela, Brazil, and Chile. The rapid decay of the Venezuelan party system in the 1990s leading to the Chavez presidency with a more authoritarian political system and quasi-socialist economic system; the intermediate institutionalization of the Brazilian system with its disparate collection of parties but also the capacity to forge effective policy coalitions under the “social neoliberal” Lula presidency; and the highly institutionalized Chilean system, with a smaller number of mainly centripetal parties that to a large extent preceded, outlived and succeeded the Pinochet dictatorship, provide a fascinating comparison. The author also sees economic conditions, especially the “resource curse,” and interest group politics, among other things, as secondary—not fully dependent, but less influential—variables, although economic instability and growth (or the lack of it) are crucial background factors. On the other hand, Chalfin is an anthropologist, and her focus is empirically very narrow—the Ghanian Customs Service. She provides an insightful history of the importance of customs services more generally in developing economic and social structures, especially, not of course not exclusively, in colonial and postcolonial states (given, for example, the British historical case). Her carefully observed and documented case studies have little to do with traditional political science of the sort emphasized by Flores-Macıas, although studies of administrative structures are crucial, but rather with the complex infrastructure at the interface of bureaucracy, society, local and national social structures, economic change, and, of course, globalization. The detailed ethnographic case studies of a major border crossing, Aflao, of the control of cars seized at various borders, of Tema Harbor with its various internalizations—and manipulations—of major technological changes (scanning of cargoes) and of W.T.O. rules with unpredictable outcomes, and of Kotoka International Airport with its interacting flows of Manuscript No. After Neoliberalism? The Left and Economic Reforms in Latin America. By Gustavo A. FloresMacıas. Oxford: Oxford University Press, 2012. 261 pp., $99 hardcover (ISBN 978-0-19989167-2). CE: Mounika S. Neoliberal Frontiers: An Ethnography of Sovereignty in West Africa. By Brenda Chalfin. Chicago: University of Chicago Press, 2010. 304 pp., $75 hardcover (ISBN 978-0-22610061-6). No. of pages: 2 Neoliberalism: Alive and Well? PE: Suganya Raju Received: 23 February 2014 Accepted: 2 March 2014 BOOK REVIEW ESSAY M I S R 1 Journal Code 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 Neoliberalism: Alive and Well? businesspeople, migrants, and international travelers, not to mention the hierarchical structures of the Customs Service within various levels and processes of the Ghanaian state itself, illuminate brilliantly the real global-transnational-stateregional-and-local dimensions of that multidimensional phenomenon of neoliberalism and its impact on the daily lives of real people at diverse levels. Chalfin is also very conversant with the international and comparative political economy literature and blends those approaches with her microfocused ethnography masterfully. The contrast between the two books could not be greater. To what extent does neoliberalism consist primarily of Flores-Macıas’s three categories of economic policy at the center of the political system—statist, neutral, and pro-market? Or is it a deep transformation of world social, economic, and political structures and processes, as emerges from Chalfin’s analysis? Frankly, I found the latter far more illuminating and persuasive. Flores-Macıas, in my opinion, does not make the case for the primacy of the institutionalization of party systems for a number of reasons, but mainly because he does not look closely enough at multilevel socioeconomic variables. In particular, he does not address the economic structures of the countries he surveys. Where is the relationship between agriculture, natural resources, industries at various levels of development and underdevelopment, the service sector, etc.— and, of course, the interest group politicking and policy pressures that result— especially in an age of globalization, when the relationship of different sectors is crucial? The only interest groups he looks at, somewhat in passing, are labor unions, and he rightly dismisses their diminishing political clout in an era if globalization and technological change. In his case study of Venezuela, he talks about the de-institutionalization in the 1980s and 1990s of what had been a stable party system, opening the way for Chavez, but with only broad and brief references to a lack of economic growth. Why this decline? Of course, in that context, the party system was pushed into decline. The same reservation can be applied to the Brazilian case study; the capacity of the Brazilian state and economy to resist crisis permitted the kind of policy coalitions he describes to emerge. Only in Chile, where a previously institutionalized party system survived the Pinochet regime and even adapted to many of its change over a relatively long period of time, could the party system be seen to be a relatively significant factor, and there the socioeconomic variables were highly permissive. Finally, Flores-Macıas does not properly address the complex situation in Argentina, which is sort of a poster boy for these analytical dilemmas.1 There will be many more debates about the nature of neoliberalism, its historical sources, evolution, and complex varieties, and its apparent relative tenacity in the twentieth century despite postcolonialism, the global financial crisis, and other challenges. I would argue that neoliberalism does not represent merely a policy approach by governments and politicians, but a deep structural change represented in more sophisticated understandings of globalization. Rather than disembedded global markets, in the Polanyian sense, having a direct impact on trade, financial, agricultural, and industrial policies and the like, neoliberalism has become embedded in the complex infrastructures of the global economy. That’s why I highly recommend the Chalfin book, but remain, unfortunately, skeptical of Flores-Macıas’s analysis. 1 For example, Christopher Wylde’s excellent Latin America After Neoliberalism: Developmental Regimes in Post-Crisis States (Basingstoke, Mddx.: Palgrave Macmillan 2012) not only develops a highly sophisticated theoretical analysis of neoliberalism itself but also hypothesizes that an intermediate category, the “developmental regime” (after Pempel), has been consolidating. Wylde’s book skillfully navigates an interesting—if, of course, debatable, as all these approaches are—intermediate analytical framework, with case studies of Argentina and Brazil. 2 Author Query Form Journal: MISR Article: 12163 Dear Author, During the copy-editing of your paper, the following queries arose. Please respond to these by marking up your proofs with the necessary changes/additions. Please write your answers on the query sheet if there is insufficient space on the page proofs. Please write clearly and follow the conventions shown on the attached corrections sheet. If returning the proof by fax do not write too close to the paper’s edge. Please remember that illegible mark-ups may delay publication. Many thanks for your assistance. 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