SANE ECONOMICS AND FUSIONISM

SANE ECONOMICS AND FUSIONISM

McShane, Philip J. Sane Economics and Fusionism. Canada: Axial Publishing, 2010. ISBN 978-  0-9780945-2-2. Pp. 120. png.

Philip McShane is Professor Emeritus at Mount St. Vincent University, Canada. His previous works for Axial Press include Economics for Everyone; Pastkeynes Pastmodern Economics; Beyond Establishment Economics (with Bruce Anderson); Music That Is Soundless; A Brief History of Tongue; Lack in the Beingstalk.

            Sane Economics and Fusionism presents how the present Economics is infested with serious flaws in the field of understanding the basics of Economics. This misunderstanding has caused drastic economic meltdowns in recent times and an unimaginable disparity between the rich and the poor. In this book, McShane proposes Lonergan’s Economics as the solution for the current Economic crises which he believes is the consequence of misunderstanding of certain basic concepts of Economics like Credit, Value and Function of Money, consumer goods, Normal and Abnormal Consumer Goods etc. The new Economics which McShane proposes is based on the Economics initiated by Bernard Lonergan which tries to strengthen the foundations of Economics and also to correct the mistaken notions in the field of current Economics. On a whole the New Economics aims at globally caring Economics.

            The book is divided into two parts. The first part (Sane Economics) consists of five chapters and the second part (Fusionism) have five chapters too. As the name of the Headings suggests, the first part deals with the important terms which McShane tries to clarify. Here McShane clarifies the importance of re-drawing the map of the Economics, Implementing Lonergan’s Economics and imaging International Credit. McShane begins the first chapter of his book on a witty note by narrating a joke which he believes sums up, his effort in proposing Lonergan’s Economics. The joke is narrated of a Van-man, trying to feed a horse and a Drunk-man seeing this event, remarks: You will never do it. On being asked for clarification by the Van-man as to why he was laughing, the Drunk-man replies: “You’ll never get that big horse into that little bag”. (17) McShane admits that Lonergan’s effort in trying to suggest a change in the present Economics appears to many, as insignificant and almost impossible a task. However, McShane is quite optimistic in propagating this new theory, so that at least these humble and seemingly insignificant beginnings bear some fruit in the future. He is so optimistic that he goes even to the extent of claiming that: “This new proposal asks merely for creativity, for an interdisciplinary theory that at first will be denounced as absurd, then will be admitted to be true but obvious and insignificant, and perhaps finally be regarded as so important that its adversaries will claim that they themselves discovered it”. (30)  Lonergan himself was very optimistic about his venture and emphasized the vitality of human team work that would eventually result in a common human well being.

            Chapter two further elucidates the crucial terminologies that are essential in understanding the New Economics proposed by Lonergan. It explains how the banks function, or rather how it should function and the importance of the banker in being independent agent rather being controlled by the politicians, businessmen etc., The banker’s function says McShane, is “essentially a critical checking admonitory one”. (28) McShane also takes the aid of a great Economist Schumpeter who proposed a new way of banking and credit. The objective of this chapter seems to draw attention to the need for a global functional effort if we are to shift to a new culture of global decency. “This shift involves a heterarchy of levels from village bankers to ministers of finance and to a world bank. If we do not have strong foundation the subtle idiocy of treating money not as a promise but as a commodity will continue in its casino frenzy”. (32) Thus, the new doctrine emphatically demands for a radical paradigm shift in the field of Economics.

            In the third chapter McShane presents how Lonergan proposes a norm of enquiry i.e., “generalized empirical method, a method that operates on a combination of both the data of sense and the data of consciousness.” (35) This norm as remarked by McShane is “incomprehensible to present culture of either Economic studies or Economic practice.” (35) In this method the operations of the subject is considered in the study of object and vice versa. However, this seems to be lacking in the present Economics. Chapter four questions, whether each of the readers of the text want a Sane Economics. The emphasis is on ‘YOU’. This chapter is an invitation to all the readers to join in this seemingly insignificant movement in trying to bring about a Sane Economy. Keeping in mind the background of Sane Economics, issues of credit and creditworthiness are elaborated. Here, McShane points out the things that are not seriously thought about in our present culture. He also stresses on the word “THINK”. McShane feels that present generation does not give sufficient importance to ‘thinking.’ He remarks, “We are looking for beginnings of a re-adaptation of the whole existing structure that makes a new beginning that effectively organizes free men without breaking their freedom. So we descend to familiar things in a quite an unfamiliar fashion”. (47-48) McShane further explains the meaning of credit, real and random economic variables, taking measure of money, freeing liberty, beyond religious failures, edging towards a later global stage.

            In Chapter five, McShane presents Lonergan’s Economics as a massive potential shift of Economics towards being an authentic science of credit, profit and production. The application of Lonergan’s text would result in a “push for a cultural ethos in which success is measured self-attentively, by local and global achievements in tuning into the normative concomitance of monetary flow with the creative production of better global life-styles.” (56-57) McShane with Lonergan fantasizes “a high civilization of minimal finance with abundant sustenance and leisure, grounded in a nano- technology of provision.” (57) Chapter six is entitled, Functional Collaboration for Dummies. Here he visions a normal global Science by 3000 A.D i.e., and Omni-disciplinary Science. Some of the clues that Lonergan’s standard model suggests are: “Aggreformism, Linguistic feedback and The Ineffability of Human Desire.” (65)

In chapter seven McShane, again reiterates the notion of a caring global sub-community (3000 A.D) with a standard model of global care. “Within that community of global care there is to be a growing core consensus, bringing forth gently and slowly pure formulations.” (68) That community is to work in a metaphorical tower, the tower of Able. In chapter eight, McShane elucidates on the topic of Spirit’s appetites and Lonerganism. He dreams of the “THEN” state of mature global Science (3000 A.D). Chapter nine deals with the topic, Proximate Emergence of Functional Collaboration, here, the chapter shows the way as to how to come out from Mess to Self-mastery. The way he proposes is the way, reading through formulation of a theory. Another important Lonerganian concept that McShane suggests here, is the intellectual conversion. He speaks of the importance of being open to receive the changes that come our way. He fantasizes of theoretic consciousness embracing the Universe. This is actually Lonergan’s vision. The final chapter of McShane’s book is entitled, From Florida (1970) to Fusionism (2010). Here the defect of Florida of past is exposed. What was missing in Florida was to grasp the paradigm shift initiated by Lonergan in his two works Insight and the Gregorionum article of 1969. However, he is of the opinion that there has been very little change in people’s mentality.

The book as such is well written. It has precise footnotes and very enlightening cross references to various works of Lonergan as well as some other relevant books. This book evidently is the fruit of a well researched author, one who is thorough with the subject. The book however is quite difficult to read and ordinary people would need background knowledge of Lonergan and also Economics in order to draw benefit from it. This book suggests a very revolutionary way of looking at the Economics of today. It proposes clarification of the elemental terms in Economics and working towards a new and globally caring Economy. The most consoling aspect of this book is that it suggests a remedy for the current Economic crisis.

By Narzary Nobin