1. Rapid capital flight from so called emerging economies like Brazil and India demonstrates the profound and inherent volatility of global financial markets
2. Also shows Minsky-ian nature of markets: speculators get out because they fear others may do so first, creating self-sustaining cycle
3. And it’s not at all clear that tools of international cooperation, including the IMF, are adequate to mitigate this volatility and prevent negative consequences (indeed, there’s a strong argument that IMF prescriptions in eg Greece have made things much worse)
4. Thus showing, as in other global problems like climate change, that international machinery, premised on inter-governmental cooperation, is inadequate for managing let alone solving global problems: there is a “category” mismatch between the nature of the problem and the structures to deal with it.
5. Solution? World government is implausible and inherently anti-democratic, we therefore need to “build in” effective measures from the bottom up
6. Such agent-based measures have proven most effective compared to top-down alternative in effecting change in complex systems, such as the world economy (indeed the world) today
7. This is the philosophy behind @OccupyMoneyCoop and @MajuroDec, one to address financial system, the other climate change, by promoting bottom-up action