Explaining the Global Financial Crisis: Nietzsche Gets His MBA
Abstract
Nietzsche Gets His MBA Eric J. Boos, MA, PHD, JD, LLM Abstract There has perhaps never been a better time to study the philosophy and ethical theory of Friederich Nietzsche. While the World adjusts to a global economic catastrophe, rooted in the American banking industry’s handling of sub-prime mortgages, we might do well to predicate our predictions of the global market’s trajectory on Nietzsche’s view of the human person and his view of ethics. The failure of Economics to identify, predict and address this crisis, particularly in light of the symptoms it shares with other financial catastrophes such as Enron, WorldCom, and Qwest, is evidence that the traditional paradigms employed by Economics are missing something fundamental. It is this author’s contention that what Economics is missing can be found in Nietzsche’s work. The classic “master-slave” formulation of Nietzsche’s ethical perspective gives perfect expression of not only the sub-prime mortgage and subsequent foreclosure scandal, but it also provides a perfect cover for the legal and political fallout to date; and more than likely, a window to future economic and social events. Given the shocking magnitude of the problem and the recalcitrant attitude of the American Banking industry and its executives who collect bonuses and enforce illegal foreclosure proceedings against the hapless victims, Nietzsche’s usual reception as an extreme and hyperbolic harbinger of moral discourse might be supplanted with a collegial curiosity if not a heart-warming and hardy welcome. This article intends to highlight the aspects of Nietzsche’s ethical theory that are particularly evident in the current economic crisis and point to a likely set of outcomes with regard to the crisis. In so doing, this article will establish Nietzsche’s relevance as a practical course of study in MBA programs, law schools, business schools, and college curriculums.