Critical Observations on Neo-liberalism and India’s New Economic Policy

Neo-liberalism is capitalism without leftist illusions (i.e. illusions that there can be such a thing as humane capitalism on a long-term basis). The article makes a series of critical comments on India's neo-liberalism expressed in the form of the so-called New Economic Policy. It argues, New Economic Policy is more than a governmental policy. It is rather a policy of capital, mediated and implemented by the state. Neo-liberalism is a social-spatial project. Neo-liberalism in rural areas (agrarian neo-liberalism) is particularly ruthless. Neo-liberalism is implemented through, and entails, the transformation of space, and thus produces enormous spatial unevenness. Neo-liberalism is also a part of the imperialist project. Given New Economic Policy's adverse impacts, it has inspired massive resistance from below. Interestingly, in spite of offering some opposition, the left has been, overall, a conduit through which New Economic Policy has worked. The article shows how a critical discussion on neo-liberalism has implications for understanding macro-structural changes in societies such as that of India, which have suffered not only from economic backwardness but also incomplete revolutions. A dialectical view of neo-liberalism and the New Economic Policy connects them both to the democratic and agrarian questions, the national question, and the question of socialism itself.