Capitalism 3.0? My guess...

Dani Rodrik’s article on the coming Capitalism 3.0 (Capitalism 1.0 be Smith’s “minimal capitalism” & 2.0, Keynes’ “mixed economy”) was a good read. My understanding is, in face of the current crisis and an uncertain future for capitalism, he suggested ‘national-global’ dimension an important one to consider while fixing Capitalism, so as to adapt to new landscape of globalization, and to achieve a better balance between state and free markets.

But I just have doubt with the word ‘balance’.

Are we going to solve a new problem with the old way of thinking? Is it still the ‘balancing’ of state intervention and free markets in the economy(ies)? Is there a ‘right equilibrium’ for this?

We need more imagination and experiments.

My guess is, a government will become less and less like a government as we know it. So will business. So will NGOs. The underlying reality & assumptions have been shifting for a long time without our conscious & open acknowledgment. It’s no longer ‘state provides infrastructure and rules the businesses’, ‘only businesses are market players’, ‘NGOs do not make money’ that kind of things. There will be any imaginable kind of partnership and even eventual integration of these organizations when there are common benefits at stake.

And we will eventually get used to it.