Back in the seventies I studied social and economic geography. I’m still impressed by one of the first articles I then read about landscape and space in the USA and how the concept of space influenced the thinking of American immigrants in an urge to explore and to innovate (though with an unscrupulousness that killed many native Americans!).  The article forever changed my view on the world: looking and thinking from a spatial perspective. One of my then heroes in the field was the geographer David Harvey, who made the change from a classical empirical scientist to a policital-economic oriented geographer, strongly inspired by Karl Marx’ world view. Dogmatic often, but always full of new insights.

Surprisingly enough I recently came across a new book of him, The Enigma of Capital and the Crisis of Capitalism. In a well written story he shows how capital flows shaped the geography of our financial-economic crisis. The first signals of this crisis became visible in growing number of house evictions in some American states. And within two years the geography of the crisis was visible all over the world. Last January I was in the North Italian city of Dommodossola. In the new shopping mall, thriving a few years ago, now only the big supermarket was open. All other, smaller shops were closed, a sign of regional economic depression.

Harvey succeeds to connect a sharp analysis of the dynamics of capitalism to the visible geography of human activities, in a nuanced and convincing way he makes clear what the effects of the crisis are for ordinary people and the environment. The unstoppable competition for cheap labor and technology, the driving force of far too cheap housing loans for already over credited consumers. A fascinating spectacle of again and again surmounting the obstacles for capital accumulation and entrepreneurship. Industrial development at the expense though of forests and nature.

Where Harvey in earlier books most of the time ended in a pessimistic tone because of the inescapable nature of capitalism, this time he shows more of the possibilities to steer the force of capitalism in a good direction. For a short moment he dreams of the return of the notion of “communism” as a signal of hope. That won’t be the case he also acknowledges. But he nevertheless shows how many possibilities people have to create together a new innovative sustainable and social future. I recommend reading this book, it sharpens your thinking!

Sometimes a very readable, and exiting book falls into your hands. And that is 23 Things They Don’t Tell You About Capitalism from the Korean Cambridge professor Ha-Joon Chang for sure. In a clear way he demystifies the free market, shareholder capitalism and the idea that government should take its hands off the economy. An insightful book, that makes you think! Because where in the world do you hear a reasonable voice (he is still in favor of capitalism) that argues for a good welfare state and for a sound reconstruction of the world economy. Chang formulates eight principles for a reasonable economic future. Some of which I find very useful.

First the idea that we shouldn’t build the economy on the pursuit of material self-interest, but on enlightened self-interest. Let’s also reward and take into account what we do for others. Which also would mean to design organisations in such a way that they reward trust, solidarity, honesty and cooperation between people.

Secondly, we should take much more serious “the making of things”. The economy will never be build on knowledge alone, but as much on industrial products. Who doesn’t believe that should read the wonderful book of Brian Arthur, The Nature of Technology. He shows that all our technology and vis-à-vis our knowledge is based on the capturing of effects that exist in nature.

And finally, we need a big and active state. To care for a broad spectrum of education, for sound regulation of the financial system and a innovative industrial policy. As a broad public base for a dynamic economy. We cannot do without. A thriving capitalism neither!