The Economists’ Hour by Binyamin Appelbaum Summary

The Economists' Hour examines how economists reshaped global policy from 1969 to 2008, advocating free markets, deregulation, and globalization. Appelbaum critiques how their influence prioritized efficiency over equity, leading to income inequality, corporate dominance, and environmental neglect. The book blends historical analysis with case studies on topics like inflation fighting and tax policies, arguing for rebalancing economic priorities.

This book suits readers interested in economic history, policy-making, and critiques of free-market ideology. Policymakers, students of economics, and anyone seeking to understand the roots of modern inequality or the 2008 financial crisis will find it valuable. Appelbaum’s journalistic style makes complex ideas accessible to non-experts.

Yes, for its incisive critique of economic policymaking’s unintended consequences. Appelbaum’s rigorous research and engaging storytelling reveal how technocratic decisions eroded social safety nets and amplified corporate power. It’s particularly relevant for debates on climate policy, antitrust laws, and wealth redistribution in the 2020s.

Appelbaum argues that economists overly prioritized markets, leading to:

• Deregulation: Weakened consumer and environmental protections.
• Globalization: Accelerated job displacement without safety nets.
• Tax cuts: Short-term growth at the expense of infrastructure and education.
  He contrasts these outcomes with the promised efficiency gains, highlighting systemic fractures.

The book challenges Friedman’s belief that markets self-correct, citing examples like the 2008 crisis and rising inequality. Appelbaum argues Friedman’s influence led policymakers to undervalue government’s role in addressing market failures, particularly in labor rights and environmental regulation.

Key moments include:

• Paul Volcker’s inflation-fighting policies at the Federal Reserve.
• The repeal of Glass-Steagall, contributing to financial instability.
• The rise of cost-benefit analysis in regulatory decisions.
  These examples illustrate economists’ growing authority over public policy.

Appelbaum links deregulation and tax policies to widening wealth gaps. He notes how prioritizing shareholder value and free trade suppressed wages while enriching corporations. The book advocates reviving antitrust enforcement and progressive taxation to rebalance economic power.

Notable lines include:

• “Efficiency became the overriding goal, but not everyone benefited.”
• “Markets need rules, and rules require democratic oversight.”
  These emphasize Appelbaum’s call for reining in unfettered capitalism.

Both critique economic inequality, but Piketty focuses on wealth concentration data, while Appelbaum emphasizes policy decisions and institutional failures. The books complement each other in analyzing capitalism’s modern challenges.

With debates over AI regulation, climate financing, and post-pandemic recovery, Appelbaum’s warnings about technocratic overreach remain urgent. The book provides context for current efforts to regulate Big Tech and address gig economy worker rights.

Some conservatives argue Appelbaum underestimates markets’ role in lifting billions from poverty. Others note the book focuses more on U.S. policy than global impacts. However, even critics praise its accessible synthesis of complex economic shifts.

His investigative rigor shines through in case studies like the subprime mortgage crisis (which he covered for the Charlotte Observer). The book combines archival research with interviews, offering a reporter’s lens on economic history.