How Covid-19 accelerated the transition into post-capitalism

Varoufakis argues there has been a decoupling of money markets from real capitalism. Speculators see that Covid-19 has put capitalism in suspended animation and that it is damaging our economies in a way that is at least medium to long term. It is causing a new tsunami of poverty which deepens and entrenches existing inequalities within societies. He argues that we need to understand this against the background of 2007/08 when central banks hooked up corporations to the constant drip feed of funding which used to circumvent the demand crisis associated with austerity. He suggests we are seeing a generalisation of this relation from banks to capitalism more broadly such that the state’s role becomes a constant life support system to a capitalism which now fails to operate on its own terms.

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