THE ALTERNATIVE

Romeo spins a series of New Yorker articles into a cohesive argument that there are alternatives “to our disastrous economic status quo.”

The author opens by challenging the basic received truth in neoclassical economics that it is a science, operating under its own set of ineluctable laws and with no political or moral dimension. This alone is worth the price of admission, revealing the increasingly narrow perspective promulgated by academia and the flexibility of thought that comes with the introduction of other disciplines, including history, philosophy, and psychology. Romeo then goes on to survey eight different real-world models based in such heterodox thought: true pricing of consumer goods; the movement for an actual living wage; job guarantees; gig-work platforms that operate as public utilities; worker-owned cooperatives; perpetual purpose trusts that “dethrone shareholder primacy and profit maximization”; participatory budgeting at the municipal level; and the use of private equity to create employee stock ownership plans. Such an exploration may sound technocratic, but Romeo never loses his thread: that these approaches are based on both sound economic policy and a commitment to reject the immiseration of an underclass as an “economic necessity.” Variations on decent, moral, and ethical suffuse the text, continually challenging readers to look beyond cost-benefit analyses; that author argues that “no amount of added value for shareholders…can justify the existence of child labor.” Though the examples Romeo presents are satisfyingly mind-bending, they are largely limited to Europe and the U.S. While this effectively establishes proof of concept in developed economies, it ignores whatever innovation may be taking place in the global south and elsewhere that might further upend traditional economic thought. Nevertheless, it makes a terrific complement to Matthew Desmond’s Poverty, by America for readers looking for practical solutions.

Eschewing both “revolution [and] resignation,” Romeo offers a powerful addition to an urgent debate.