The Political Economy of Neoliberalism in the Global South

Abstract

Neoliberalism, a political and ideological tendency that started gaining ground in the later period of the 20th century, is defined by its support for markets of all things, deregulation, privatisation, and the minimum of government intervention. Neoliberalists argue that those policies generate efficiency, growth, and personal freedom in the economy. Neoliberalism is claimed, however, by others to expand inequality, erode social welfare benefits, and encourage financial volatility. The political economy of neoliberalism in the Global South, its origins, its implementation, and its implications for developing countries is discussed in this essay. In particular, this essay will explain ways in which the policies of neoliberalism have changed developing countries' political and economic systems, typically with far-reaching and permanent consequences for their society.