Over the past decades，neoliberalism has gradually spread all over the world，and led to serious consequences to the world economy and society. Neoliberalism advocates removing the limits to capital flow，which resulted in the rising systematic risk of the world economy and the accumulation of severe structural contradictions；suppresses labor’s force and intensifies the contradictions of the world capitalist system；promotes economic financialisation and increases financial risks. Neoliberalism brings beneficial changes to capital against labor，raises international and domestic income inequality. Because of adopting neoliberal policies，the former Soviet Union and Eastern European countries and Latin American countries suffer from serious economic and social problems；worldwide effective demand grows slowly or even decreases，and over-capacity becomes a serious problem. Neoliberalism further intensifies the economic and social contradictions in many countries，which lead to this global economic and financial crisis，and probably make the crisis a long lasting one.