The neoliberal myth of human capital
Which involves atomization of workers, each of which became a "good" sold at the "labor market".
Neoliberalism discard the concept of human solidarity. It also eliminated government support of
organized labor, and decimated unions.
Under neoliberalism the government has to actively intervene to clear the way for the free "labor
market." Talk about government-sponsored redistribution of wealth under neoliberalism -- from
Greenspan to Bernanke, from Rubin to Paulson, the government has been a veritable Robin Hood in
reverse.
Human capital, as defined by the Organisation for Economic Development and Cooperation is the knowledge,
skills, competences, and other attributes embodied in individuals that are relevant to economic activity
(OECD 1998). The term coalesces around the concepts of the use of skills in an economy and the need
for "personal investment" to develop these and that this investment, like capital itself, should bring
returns.
Human capital has now become a core plank of neoliberal ideology. One of the first theorists of human
capital, Gary Becker, of the Milton Friedman Chicago School of Economics (2002:3) explains:
Human capital refers to the knowledge, information, ideas, skills, and health of individuals.
This is the ‘age of human capital’ in the sense that human capital is by far the most important form
of capital in modern economies. The economic successes of individuals, and also of whole economies,
depend on how extensively and effectively people invest in themselves.
‘Investing in themselves’ stands for education, now understood as the crucial enabler of the development
of human capital.
This fake concept of "Human capital" allows education and neoliberalm to be woven together ever more
tightly and brainwash student into neoliberal thinking more effectively. This link is not new:
formal public schooling has always served, primarily, the interests of capital. Critics of neoliberal
education have a tendency to present the present phase of the industry-education takeover as something
qualitatively different, a new ‘rule of terror’ and the eclipse of democracy (Giroux 2004).
But justifiable outrage against the present effects of neoliberalism tends towards implying that
there was a previous, kindlier version of capitalism which took education seriously and left the autonomous
sphere of culture and learning alone. There was none.
History shows that education has never been free of the ideological constraints, and never was an
ideologically neutral zone. The introduction of universal education in the late nineteenth century owed
more to the pressures exerted by the needs of industry whose increasing complexity required specific
literacy and mathematical skills, than it did to motivations of democratic inclusion. Universal compulsory
schooling provided other important social benefits to controllers of capital. It socialized children
into the discipline and expectations fostered by industrial capitalism and acted as a valuable shock
absorber to the social upheavals being wrought by industrialization (Bowles and Gintis 1976:27).
Higher education, at a later phase of capitalism in the 20th century, played a different social role.
It was reserved for potential employers, professionals, top public servants and managers and formed
the top rung of education whose main function was to train the ruling class to rule. Samuel Bowles and
Herbert Gintis refer to this process as the ‘correspondence principle’ in education whereby education
replicates in various ways class division (Bowles and Gintis 1976: 130-132; see also Belamy Foster 2011:8).
Universities, they claimed, function mainly as select institutions to replicate the top end of society,
and, under the aegis of intellectual achievement and meritocracy, legitimise social hierarchy. The Italian
socialist, Antonio Gramsci, provided, I think, a more subtle elaboration of the role of universities
in capitalism. He described how modern capitalism required a different kind of leaders to the cultural,
formal-juridical graduates from the classical universities. It needed an intellectual and technical
university combined, one which would produce both professionals and teachers but also specialised functionaries
and managers for scientific industrial production (Gramsci 1971: 28). While there was always a gulf
between university graduates and the working class, universities as they widened their social functions,
Gramsci points out, also produced independent thinkers and radical critics of the system (1971: 342).
This seeming contradiction, as well as accounting for how universities can simultaneously represent
the establishment and give voice to radical opposition, constitutes a dynamic in capitalist education
that a literal reading of the ‘correspondence principle’ would seem to ignore.
In many countries including Ireland, university remained highly selective right up until relatively
recently. In 1960, just 5% of Irish students who completed secondary education went on to college; twenty
years later it was still only 20% (DES 2011: 35). The official view of a university then was th
Human capital encapsulates this binding together of knowledge and expertise with their function and
value in the economy. Knowledge is reclassified as an economic category and human endeavour linked to
productivity: the greater its outcomes, the greater its value. Where workers become human capital they
are also reduced to the level of a commodity to be sold to a willing buyer (Perelman 2011:11). A person’s
potential to learn things becomes something measurable in terms of returns on investment, and someone’s
labour a quantifiable thing that can be priced, bought on the labour market.
This representation of human beings, knowledge and work has specific ideological effects. Human capital,
when it was first coined by Becker in the 1960s, was considered to be too debasing to be used publicly.
The term was seen, correctly, as objectifying people and only suitable to refer to anonymous ‘others’.
Even today, despite the apparent wide acceptance of the term, it is, in practice, only used in official
documents and hardly at all in ordinary conversation. (Who, indeed, would spontaneously describe themselves
as human capital?) When Samuel Bowles and Herbert Gintis criticised, from a Marxist perspective, the
use of the term in the context of education in America in the 1970’s, they argued that human capital
· treats labour as a produced means of production whose characteristics depend on the total configuration
of economic forces,
· centres on differentiation in the labour force and
· brings basic social institutions previously relegated to the purely cultural and superstructural
spheres into the realm of economic analysis
· formally excludes the relevance of class and class conflict to the explication of labour market
phenomena
(Bowles and Gintis 1975:74-75)
Their study highlights how capital, as applied to individuals, invites identification with
guaranteed returns on a fixed sum of money (with money being taken as something with which individuals
are miraculously endowed). The metaphor erases social relations. Capital here, unlike how Marx described
it, is drained of class content Neoliberalism, human capital and the skills agenda in higher education
102 | P a g e 102
and becomes a given, separate from the society in which it was produced7. Likening human work to
this understanding of capital reduces what is a potential to something already existing, and makes quantifiable
that which is unquantifiable. Furthermore, neither waged or salaried work in capitalism have a fixed
or stable value; rather, both tend to be subject to what the employer, taking account of labour supply,
will pay. One might say, therefore, human capital is not very like capital - even in the neoliberal
understandings of the term - nor very human.
7 For Marx, capital as a material product divorced from social relations, was part of ‘vulgar economics’
which could not explain where wealth came from: ‘capital is not a thing, it is a definite social relation
of production pertaining to a particular historical social formation’ (Marx 1991: 953)
8 As of 2011, Irish universities charge registration fees rather than tuition fees. Historically
these have been low but the cutbacks in education have seen them rise to as much as €000 per year
The ideological function of human capital is that it draws education closely into the ambit of the
economy and also transforms the notion of education. When the neoclassical school of economics first
focused on human capital, they did so as part of measuring the link between levels of education and
earning potential or ‘the activities that influence future real income through the imbedding of resources
in people’ or ‘investing in human capital’ (Becker 1962: 9). The adoption of the human capital frame
positions education on the first rung of the education-jobs-rewards ladder. Learning thus becomes something
primarily aimed at increasing an individual’s earning potential and, by extension, something for which
an individual, not society, is responsible. Investment becomes thus not an investment for all society
but an investment for the individual, a financial commitment which will supposedly pay dividends to
the individual in the future. It follows that if human capital is an investment for an individual, an
individual should be responsible for paying for it.
The Hunt Report describes as ‘essential’ the introduction of a direct contribution from students8.
‘The only realistic option’, it goes on to say, is ‘to support growth in participation and to require
students or graduates to directly share in the cost of their education, reflecting the considerable
private returns that they can expect to enjoy’ (DES 2011:16). The assumption in the human capital template
is that earning potential afforded by higher education is the only consideration for students. The Hunt
Report, in this respect, follows the trend elsewhere. For example, the 2010 Browne report on Higher
Education in Britain adopts the same train of thought. Students are understood to be consumers of Higher
Education and they ‘are best placed to make the judgment about what they want to get from participating
in higher education’ and the major element of this is in terms of which courses will lead to higher
earnings (Collini 2010).
However, education seen as an individual investment completely ignores, from a variety of viewpoints,
the social dimension to education. As argued in the last section, class privilege and the special access
that it affords to higher education is decisive in the securing of better paid employment. What’s more,
education as an investment assumes that it is instrumentalism alone that drives people to become educated.
Concerns about employment prospects are very important, but so too, from a broader social perspective,
is the question of learning. Narrow skill-getting for an imagined job is a poor and alienating representation
of the rounded lived experience of education. Equally, over reliance on the student to know in advance
what her learning
experience will be omits the element of the unknown present in all learning. The student’s ability
to assess accurately where the learning process will take her or what exactly will be learnt can, of
necessity – from the standpoint of the student - only be a partial judgement. ‘Student choice’, despite
the accepted refrain that it has now become, focuses only on one side of the education process, and
is an impoverished, transactional view of what the education process involves.
If education human-capital-style is about looking after oneself, it follows that it is also about
greater competition between individuals. Human capital inevitably stresses skill differentiation. The
social, cooperative, creative component of education reconverts into a narrow, self-seeking activity
whose end results will ultimately pit one person against another on the labour market. William Morris,
writing in the 1880s, noted amid the erosion of craftsmanship in assembly line capitalist production,
how education was becoming debased and wrote, with striking prescience (1888):
.. just as the capitalists would at once capture this education in craftsmanship, suck out what little
advantage there is in it and then throw it away, so they do with all other education. A superstition
still remains from the times when 'education' was a rarity that it is a means for earning a superior
livelihood; but as soon as it has ceased to be a rarity, competition takes care that education shall
not raise wages; that general education shall be worth nothing, and that special education shall be
worth just no more than a tolerable return on the money and time spent in acquiring it.
In our times, debt has replaced ‘a tolerable return’ on the money spent on education, but the same
critique of functionalist and alienating education applies.
Besides human capital presenting a drab grey view of education, its reasoning does not correspond
to how the world, or capitalism, actually works. The prime mover of economic growth, unlike what neoclassical
economics dictates, is not individual enterprise but capital investment for the profit motive. When
capital, as a result of the crisis, is not being put into production of goods and services, it might
be argued, following the logic of capitalism, that education should diversify into broader objectives
or concentrate on less employment specific outlets, even as these dry up. Similarly, it might be argued
that the breakneck speed of expansion of higher education should be reviewed and alternatives discussed.
Instead, official pronouncements advocate that the numbers of those designated to acquire skills in
higher education is not only to be continued, but expanded. ‘If Ireland is to achieve its ambitions
for recovery and development within an innovation-driven economy, it is essential to create and enhance
human capital by expanding participation in higher education (DES 2011: 10). Skill development is still
regarded as the aim of higher education even if it is far from clear exactly how skills are going to
kick-start the economy or where the capital investment, in a world-wide slump, is going to come from.
In reality, the very functionalist priorities for higher education which may have seemed to make
sense in the boom days of the Celtic Tiger, repeated now in the chill winds of a slump run the risk
of heightening the spectre of economic failure. Brown and Lauder point out the political disadvantage,
from the point of view of policy makers and governments, of stressing the overlap between education
and the Neoliberalism, human capital and the skills agenda in higher education
104 | P a g e 104
economy. Creating the expectation that supplying skills will bring jobs, especially when it will
be individual families who will be making further sacrifices to get their children into higher education,
leads inevitably to political disillusion. They state that (2006:50):
…an unintended consequence of the application of human capital ideas to public and economic policy
is that it is creating increasing problems in the management of expectations. The developed economies
are in danger of creating a heady cocktail of discontent: students and their parents may find that a
degree fails to deliver the standard of living they have been led to expect and employers will have
too many overqualified and disgruntled employees.
In Ireland, expectations around skills and human capital as a magnet for investment and the creator
of jobs have become the mantra of official government policy. The elements of ‘a heady cocktail of discontent’,
which turned out to be true for Britain (Swain 2011), are also present in Ireland. While emigration
may have siphoned off some of this, it remains to be seen how, in the longer term, Irish young people,
and their indebted parents, will respond politically to the bitter reality of widespread graduate unemployment.
Education policy, capital and the state.
The official policy for higher education in Ireland may be driven by international capital and its
desire to ensure the smooth supply of labour in the future, but for implementation and legitimisation,
it is dependent on a local state. In the case of the Hunt Report in Ireland, international capital and
national policy are interwoven to such an extent that it is difficult to disentangle the two.
The strategy group which devised the report for the government was chaired by Dr. Colin Hunt, now
Director of the Irish branch of the Australian financial corporation, Macquarie Capital Advisers, an
organization which has interests in the privatisation of education. The other report group members were
from the World Bank, Irish Government Departments and Advisory Boards, members of boards of multinationals
in Ireland, and just two Presidents from Institutes of Higher Education (DES 2011: 39). Despite the
declared wish to consult with those working in universities and ‘engage with wider society’, there was
just one practising academic (from Finland), out of the total of 15 group members, and no representative
from community or wider social or cultural organisations.
The process by which reports such as these become national policy is interesting. The 2004 OECD report
on Higher Education was adopted, with no amendments, by the Irish cabinet a few months after publication
(Holborow 2006:93). The Hunt report, having been endorsed by the current Labour Minister for Education,
Ruairi Quinn, and publicly posted on the Irish Department for Education and Skills’ website, it too
has effectively become government policy (Quinn 2011). Naomi Klein (2007) speaks of the way corporate
think tanks forge theories that become the real shock doctrines of government, and there are striking
similarities in what she writes for education. Parliamentary processes, involving elected representatives
who draft bills, who discuss, amend and vote in full view of the public on what will become law, are
105 | P a g e
cursorily dispensed with, it seems. Corporate ‘expert’ reports have supplanted public policy. Between
the publishing of the Hunt Report and now, it should be remembered, a general election took place with
a change of government; yet through all of this, the Hunt Report remains the point of reference for
Irish Higher Education Policy. The corporate take-over of public policy, with corporate interests and
the state speaking as one, represents considerable democratic deficit.
In Ireland, the way in which higher education policy has also come to include industrial relations
in the education sector is another example of the overlap between corporate reports and public policy.
One of the most detailed sections of the Hunt Report is devoted to the ‘effective deployment of resources
in higher education’ and deals very specifically with Human Resources issues (DES 2011:118-9). Educational
policy has now come to include the neoliberal view of cutting the cost of education through paring back
on the salaries and working conditions of those who work in education. The section of the report which
deals with this bears a striking resemblance to those found in the present Public Service Agreement
(Dept. of Finance 2010). Greater productivity through tracking of individual performance, a comprehensive
review of contracts to include a broader concept of the academic year, adjustments to existing workloads
and the introduction of flexibility and mobility to deal with structural changes are all to be found
in the same detail as in the Public Service Agreement. If the ‘modernisation of work practices’, ‘comprehensive
review of contracts’ and ‘greater managerial discretion to deal with ‘under-performance’ now forms of
part of educational policy, it is not difficult to see that both policy and politics in neoliberal thinking
merge as one. Yet again, neoliberal directives in education assume the starting point to be the point
of view of the employer and subordinate the interests of those who work in education – the academics
and the administrators - to their interest-laden dictates.
What these developments show is that corporate dominance occurs not through by-passing the state
but by enlisting the state as its ever more effective instrument. In education, even in neoliberal,
privatising times like our own, the state continues to play a crucial role. It has often been argued
by those critical of neoliberal globalisation that today’s world is ‘transnational’, driven by a transnational
capital class (Sklair 2010); that in the age of neoliberalism, education is controlled by global actors
such as the IMF or the World Bank (Robertson and Dale 2009:33); or that the new global system was ‘deterritoralised’
and that nation states in today’s world have a lesser role (Hardt and Negri 2001). Such interpretations
underestimate the fact that corporate monopolies in competition with others depend on their own national
states for competitive advantage and that states and capital are economically, structurally and politically
interdependent. Nowhere is this fact more evident than in the educational arena. Capital needs states
for facilities that are not necessarily provided by the market: the vital infrastructures and the social
foundations – including a national education system - provides capital with an ongoing and suitably
skilled supply of labour power (Harman 2009: 264-270). Sidelining the importance of the state in contemporary
capitalism makes too many concessions to the state-free view of the world promoted by neoliberal ideology.
Neoliberal governments, contrary to their pronouncements, have actually overseen a rise in state spending
and influence (Béland 2010; Harman 2007). Small government is a flourish of ideological rhetoric which
has been revealed as such as states intervene with gusto in Neoliberalism, human capital and the skills
agenda in higher education
106 | P a g e 106
the debt crisis. As has been pointed out, the lengths to which states would go in the protection
of large chunks of capital, particularly those tied up in finance, makes nonsense of the idea that the
neoliberal state stands to one side to let the market do its work (Callinicos 2009; Žižek 2009). The
invention of the word ‘sovereign’ debt, through which private banking debt became public responsibility,
deftly captures the tightness of the state-capital overlap. In education, too the state is indulging
in ideological hyperbole when it argues that education needs to be more and more privatised. Alongside
the neoliberal pronouncements extolling a withdrawal of the state in education, in practice the state
remains decisively hands on. Educational systems, even in neoliberal times, are still overwhelmingly
funded by the state, dependent on state policy, and centralised under state moderated curricula and
exams. Education also fulfils a socialising role that the state ignores at its peril. As Lipman points
out, governments are keenly aware that too much state withdrawal from education could create a ‘crisis
of social reproduction’ as the functions of education - social stability, political legitimisation,
and the reproduction of the labour force – are not guaranteed in private hands (Lipman 2011:124). Governments
know that they cannot afford to underestimate the wider social role that education plays and sometimes
they seek to engineer developments in education to suit specific political ends. For example, in Ireland,
the Hunt Report’s specific call for a further doubling of the capacity of higher education in the next
twenty years (DES 2011: 10) may carry political advantages for the government of the day. For example,
having young people registered in college may be preferable, for political reasons, than having that
number of young people on the dole.
Education and the wider movement of resistance to austerity
Neoliberal dictates in education and financial pressures on students are the ingredients that elsewhere
have led to student radicalism. In Ireland, the exclusive emphasis on the skills-for-jobs perspective,
against the backcloth of ever higher rates of student participation in third level education and sharply
rising graduate unemployment, makes the crisis in Irish Higher Education potentially more acute. It
was the presence of just such pressure points which made student explosions erupt – in 1968 but also
in Britain in 2011 - and it is not unreasonable to expect that higher education in Ireland will be affected
by the same tensions between education and the economy.
In Ireland, which has seen the implementation of one of the severest austerity programmes, resistance
across the working class movement, up until now, has been sporadic. In February, and then in November
2009, large demonstrations and well supported public sector strikes involved thousands of students,
teachers and lecturers in a united show of opposition to the Government. In 2011 however, the trade
union leaders’ complicit agreement to cutbacks in the public sector tended to drive resistance to a
more localised level, although by early 2012 that appeared to be changing as widespread resistance to
local household charges grew.
This paper has attempted to lay out a critique of the neoliberal view of education, not from the
belief that it suffices to show how capitalism distorts education but because of an awareness that in
the present crisis, the controllers of capital attack on every front – including a concerted ideological
campaign to regain the ground that they have lost over the debt crisis (Žižek 2009; Holborow 2012).
Gramsci, writing in a 107 | P a g e
similar period of crisis in the 1930s argued that struggle against the existing order had to take
place on all fronts, the ideological as well as the practical and organisational. He explained (1971:178)
that
A crisis occurs, sometimes lasting for decades. This exceptional duration means that incurable structural
contradictions have revealed themselves … and that, despite this, the political forces which are struggling
to conserve and defend the existing structure itself are making every effort to cure them, within certain
limits, and to overcome them. These incessant and persistent efforts ... form the terrain of the 'conjunctural'
and it is upon this terrain that the forces of opposition organise.
Gramsci’s insight is apt for the present situation – the crisis is protracted and the ruling class
is persistently taking advantage of its uncertainties to drive through their own agenda of protecting
profits at the expense of workers’ living standards. Gramsci is sometimes quoted to justify a ‘counter-hegemonic
strategy’ that prioritises critical analyses, cultural practices or rather broadly defined ‘social movements
and pedagogic work’ (Apple, Au and Gandin 209:14) over and above specific questions of social class
and the role of education in the capitalist system as a whole. Gramsci’s writings, which included the
question of education, discussed the necessary strategies and tactics to achieve, not just a shift of
policy, but, following his experience during the occupation of the factories in 1919-21, the need for
social revolution. Immediately after the passage quoted above, Gramsci warns of the twin dangers, in
revolutionary movements, of an ‘excess of economism’ which sees trade union struggles alone as sufficient
and also (perhaps particularly relevant to some strands of Critical Education) to the danger of an ‘excess
of ideologism’ in which there is an exaggeration of voluntarist or individual elements (Gramsci 1971:
178-9 ). His perspective for revolutionary change is one that sees the organisational and the ideological
as part of an integrated whole.
Following Gramsci’s perspective, we can say that degree of success of any challenge to neoliberalism
in education depend on the robustness of resistance in the wider working class movement and its ability
to mobilise against the current assault from the rule of capital. Identifying neoliberalism as the specific
ideology of a section of the capitalist class is vital to understanding what is happening in higher
education. Neoliberalism is not just an aberration, an excess of the market mindset, the voluntaristic
take-over of the university by market fundamentalism that needs to be ‘reigned in’ (Mautner 2010:22).
It is an ideology in the sense that Marx used the term when he referred to ruling ideas which are ‘are
nothing more than the ideal expression of the dominant material relationships, the dominant material
relationships grasped as ideas’ (Marx and Engels 1974:64). The ‘human capital’ notion is one such expression
of the dominant material relationships, and, in this way, central to the embedding of neoliberalism
in higher education. During the boom, neoliberalism provided a unique ideological template which fused
ultra- individualism with the needs of the capitalist economy. In the context of the present great depression,
I hope I have shown here, the underlying ideological imperatives of human capital become sharply exposed
and this realisation can play a role in bolstering resistance both to the neoliberalisation of education
and to the logic of capitalism itself. Neoliberalism, human capital and the skills agenda in higher
education
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Author Details
Marnie Holborow is a lecturer
First, for neoliberals, humans are only and everywhere homo economicus. This was not so
for classical economists, where we were market creatures in the economy, but not in civic, familial,
political, religious, or ethical life. Second, neoliberal homo economicus today takes shape as
value-enhancing human capital, not as a creature of exchange, production, or even interest. This is
markedly different from the subject drawn by Smith, Bentham, Marx, Polanyi, or even Gary Becker.
likbez said in reply to Dan Kervick...
My impression is that "human capital" is one of the most fundamental neoliberal myths. See, for
example What Exactly Is Neoliberalism by Wendy Brown
https://www.dissentmagazine.org/blog/booked-3-what-exactly-is-neoliberalism-wendy-brown-undoing-the-demos
As for people betraying their own economic interests, this phenomenon was aptly described in "What's
the matter with Kansas" which can actually be reformulated as "What's the matter with the USA?".
And the answer he gave is that neoliberalism converted the USA into a bizarre high demand cult. There
are several characteristics of a high demand cult that are applicable. Among them:
- - "The group is preoccupied with making money."
- - "Questioning, doubt, and dissent are discouraged or even punished."
- - "Mind-numbing techniques (for example: meditation, chanting, speaking in tongues, debilitating
work routines) are used to suppress doubts about the group or its leader(s)." Entertainment and,
especially sport events in the US society serves the same role.
- - "The group's leadership dictates – sometimes in great detail – how members should think,
act, and feel." Looks like this part of brainwashing is outsourced to economy departments ;-)
- - "The group is elitist, claiming a special, exalted status for itself, its leader(s), and
members (for example the group and/or the leader has a special mission to save humanity)."
- - "The group has a polarized, "we-they" mentality that causes conflict with the wider society."
- - "The group's leader is not accountable to any authorities (as are, for example, clergy with
mainstream denominations)."
- - "The group teaches or implies that its supposedly exalted ends justify means (for example:
collecting money for bogus charities) that members would have considered unethical before joining."
- - "The group's leadership induces guilt feelings in lower members for the lack of wchivement
in order to control them."
- - "Members are expected to devote inordinate amounts of time to the group."
- - "Members are encouraged or required to live and/or socialize only with other group members."
It is very difficult to get rid of this neoliberal sect mentality like is the case with other
high demand cults.
Monday, November 30, 2015 at 12:42 PM
cm said in reply to likbez...
What has any of this to do with human capital? "Capital" is basically a synonym for productive capacity,
with regard to what "productive" means in the socioeconomic system or otherwise the context that
is being discussed.E.g. social or political capital designates the ability (i.e. capacity) to
exert influence in social networks or societal decision making at the respective scales (organization,
city, regional, national etc.), where "productive" means "achieving desired or favored outcomes for
the person(s) possessing the capital or for those on whose behalf it is used".
Human capital, in the economic domain, is then the combined capacity of the human population in
the domain under consideration that is available for productive endeavors of any kind. This includes
BTW e.g. housewives and other household workers whose work is generally not paid, but you better
believe it is socially productive.
"Human capital, in the economic domain, is then the combined capacity of the human
population in the domain under consideration that is available for productive endeavors of any kind.
This includes BTW e.g. housewives and other household workers whose work is generally not paid, but
you better believe it is socially productive."
This is not true. The term "human capital" under neoliberalism has different semantic meaning: it presuppose
viewing a person as a market actor.
See discussion of the term in http://www.jceps.com/wp-content/uploads/PDFs/10-1-07.pdf
Neoliberalism and Human Capital The
Public School
Learning Change
The making of human capital is increasingly seen as a principal function of
higher education. A keyword in neoliberal ideology, human capital
represents a subtle masking of social conflict and expresses metaphorically the commodification of
human abilities and an alienating notion of human potential, both of which sit ill with the goals
of education. The recent National Strategy for Higher Education to 2030 (the Hunt Report) which appeared
in Ireland in January 2010, is a representative example of official articulation, on the part of
government and corporations, of the human capital/skills agenda in post-crash Ireland. Human capital,
now commonplace across official discourse in Ireland, is a complex ideological construct which, in
the educational arena, gives voice to two specific interests of capital: the provision of a workforce
ever more narrowly suited to the current needs of employers and the intensification of competition
between individuals in the labour market. The construct subtly reinvents socio-economic processes
as acts driven solely by individuals and reconstitutes higher education as an adjunct of the economy.
However, this paper argues, a skills-driven higher education can neither deliver large numbers of
high value jobs nor overcome the deeper causes of the present crisis. This raising of false expectations,
alongside a crudely reductionist view of education, sets limits on the unchallenged hegemony of this
particular strand of neoliberal ideology. In the current recession, during which the state is attempting
to shift the burden of educational funding from public to corporate and individual contributions,
those involved in higher education need to provide a robust political economy critique of human capital
ideology in order to strengthen practical resistance to it.
Neoliberalism, human capital and the skills agenda in higher education
leave a comment "
The making of human capital is increasingly seen as a principal function of
higher education. A keyword in neoliberal ideology, human capital represents
a subtle masking of social conflict and expresses metaphorically the commodification of human abilities
and an alienating notion of human potential, both of which sit ill with the goals of education. The
recent National Strategy for Higher Education to 2030 (the Hunt Report) which appeared in Ireland in
January 2010, is a representative example of official articulation, on the part of government and corporations,
of the human capital/skills agenda in post-crash Ireland. Human capital, now commonplace across official
discourse in Ireland, is a complex ideological construct which, in the educational arena, gives voice
to two specific interests of capital: the provision of a workforce ever more narrowly suited to the
current needs of employers and the intensification of competition between individuals in the labour
market. The construct subtly reinvents socio-economic processes as acts driven solely by individuals
and reconstitutes higher education as an adjunct of the economy. However, this paper argues, a skills-driven
higher education can neither deliver large numbers of high value jobs nor overcome the deeper causes
of the present crisis. This raising of false expectations, alongside a crudely reductionist view of
education, sets limits on the unchallenged hegemony of this particular strand of neoliberal ideology.
In the current recession, during which the state is attempting to shift the burden of educational funding
from public to corporate and individual contributions, those involved in higher education need to provide
a robust political economy critique of human capital ideology in order to strengthen practical resistance
to it.
The
Chronicles of a Capitalist Lawyer Human Capital and Neoliberalism
considered as a part of Law and Economics development at the University of Chicago.
Within Becker's theory, human is viewed as a rational being that always wants to maximize his own
interest. It does not mean that human has a perfect capacity of calculating the entire costs and
benefits of his action. It simply means that when they are making their decision, they pay attention
and respond to incentives, and thus, to certain extent, human behaviors are predictable.
A separate note though, even Becker agrees with Foucault that a perfect rational men is a fictional
concept. What matters is that the theory is useful to understand the world in an insightful way by
taking certain aspects of human behavior and make a simple model. After all, all theories are fictions,
and a good theory of fiction is the one that works the best among many other fictions.
Then, why this kind of theory is liberating? According to Foucault, economists are seekers of truth,
their analysis is not based on moral or legal issues, rather they focus on human behavior and incentives,
and they also prioritize liberty (through free market concept). This is important for Foucault who
sees the possibility of maintaining order without any coercion or doctrine as presupposed by laws
and morality.
But the Neoliberalism view of Gary Becker is not totally free from any problem. Although it may be
a liberating theory it can also be used to suppress the people and here we are moving to Gary Becker
theory of Human Capital which is an essential part of Neoliberalism. Becker believes that human capital
is very important, i.e. investing in people, making them to be a better and more productive person
which will contribute to the welfare of the society.
The problem with that view, at least according to Harcourt and Foucault, is that once human is viewed
as a part of capital, the government may favor certain group above other groups, discriminating and
investing only in people who will produce the highest benefits and left the ones who are bad to suffer
in the slumps. An example would be the case of mass incarcerations in the United States that target
most of African Americans and poor people based on various criminal actions. Eugenics can also be
a problem here since there was a time where the Government of US actually allow the sterilization
of imbeciles and people with mental disorders.
Furthermore, viewing human as only a part of capital production could be degrading, i.e. human is
viewed like a machine with the sole purpose of producing more capital and whose value is solely determined
on how much capital will be produced and accumulated by him in the long run. I take this as the modern
critics of Neoliberalism and Capitalism in general.
Becker's response was simple. His theory on human capital is established to liberate the people and
while he agree that some aspects of economics theory on production and capital can be used to analyze
issues on human capital, human capital is still a separate subject (and thus the reason why he makes
a separate class on human capital in the University of Chicago).
From any point of view, human cannot be fully compared with machines. We can put machine in the warehouses
and easily disassemble them whenever we want, we can't do that with human. Furthermore, the theory
put a lot of stress in building human capital so that everyone may reap the benefit of social welfare.
It includes investment in education, on the job training, health, etc.
The most interesting response from Becker is that his theory of human capital focuses on efficiency,
but most of the time, things that are efficient, are also equitable. Through his theory, Becker want
to show that human is the most important part of our capital. By investing in people, we hope that
they can develop themselves and free to make their own life decisions without any interference. He
also notes that there is an underinvestment in poor people and that is actually an inefficient thing
to do, since better human capital always lead to better welfare maximization.
I completely agree with Becker's notion. This is indeed the main purpose of introducing the concept
of human capital, preserving freedom and reducing paternalism, finding the most efficient way to
allocate resources among the people. And I think this should be the main idea of Neoliberalism. It
is just too bad that politicians and even some academics are using this concept in such a misleading
way that they confuse the original concept of Neoliberalism that focuses on liberation and freedom
of the people with crony capitalism, dictatorism, and the freedom to do anything without any legal
liabilities which are not even parts of original concept of Neoliberalism.
Neoliberal
Education Restructuring
Neoliberal Restructuring of Public Education
When President Obama appointed Arne Duncan, former-CEO of Chicago Public Schools, to head the
U.S. Department of Education in 2008, he signaled an intention to accelerate a neoliberal education
program that has been unfolding over the past two decades. This agenda calls for expanding education
markets and employing market principles across school systems. It features mayoral control of school
districts, closing "failing" public schools or handing them over to corporate-style "turnaround"
organizations, expanding school "choice" and privately run but publicly funded charter schools, weakening
teacher unions, and enforcing top-down accountability and incentivized performance targets on schools,
classrooms, and teachers (e.g., merit pay based on students' standardized test scores). To spur this
agenda, the Obama administration offered cash-strapped states $4.35 billion in federal stimulus dollars
to "reform" their school systems. Competition for these "Race to the Top" funds favored states that
passed legislation to enable education markets.
Race to the Top, although originating in U.S. government, is actually part of a global neoliberal
thrust toward the commodification of all realms of existence. In a new round of accumulation by dispossession,
liberalization of trade has opened up education, along with other public sectors, to capital accumulation,
and particularly to penetration of the education sectors of the periphery (e.g., Latin America, parts
of Asia, Africa). Under the Global Agreement on Trade in Services, all aspects of education and education
services are subject to global trade.4
The result is the global marketing of schooling from primary school through higher education. Schools,
education management organizations, tutoring services, teacher training, tests, curricula online
classes, and franchises of branded universities are now part of a global education market. Education
markets are one facet of the neoliberal strategy to manage the structural crisis of capitalism by
opening the public sector to capital accumulation. The roughly $2.5 trillion global market in education
is a rich new arena for capital investment.5
In the United States, charter schools are a vehicle to commodify and marketize education. Charter
schools are publicly funded but privately operated. They eliminate democratic governance, and, although
they may be run by nonprofit community organizations or groups of teachers or parents, the market
favors scaling up franchises of charter school management organizations or contracting out to for-profit
education management organizations that get management fees to run schools and education programs.6
For example, EdisonLearning, a transnational for-profit management organization, claims it serves
nearly one-half million students in twenty-five states in the United States, the United Kingdom,
and Dubai.7
The market mechanisms and business management discourses and practices that are saturating public
education in the United States are all too familiar to teachers and students worldwide. Globally,
nations are restructuring their education systems for "human capital" development to prepare students
for new types of work and labor relations.8
This policy agenda has been aggressively pushed by transnational organizations such as the World
Bank, International Monetary Fund, and Organization for Economic Cooperation and Development. Objectives
and performance targets are the order of the day, and testing is a prominent mechanism to steer curriculum
and instruction to meet these goals efficiently and effectively.
In the United States, the neoliberal restructuring of education is deeply racialized. It is centered
particularly on urban African American, Latino, and other communities of color, where public schools,
subject to being closed or privatized, are driven by a minimalist curriculum of preparing for standardized
tests. The cultural politics of race is also central to constructing consent for this agenda. As
Stephen Haymes argues, the "concepts 'public' and 'private' are racialized metaphors. Private is
equated with being 'good' and 'white' and public with being 'bad' and 'Black.'"9
Disinvesting in public schools, closing them, and opening privately operated charter schools in African-American
and Latino communities is facilitated by a racist discourse that pathologizes these communities and
their public institutions. But "failing" schools are the product of a legacy of educational, economic,
and social inequities experienced by African Americans, Latinos/as, and Native Americans.10
Schools serving these communities continue to face deeply inequitable opportunities to learn, including
unequal funding, curriculum, educational resources, facilities, and teacher experience. High stakes
accountability has often compounded these inequities by narrowing the curriculum to test preparation-producing
an exodus of some of the strongest teachers from schools in low-income communities of color.11
Neoliberalization of public education is also an ideological project, as Margaret Thatcher famously
said, to "change the soul," redefining the purpose of education and what it means to teach, learn,
and participate in schooling. Tensions between democratic purposes of education and education to
serve the needs of the workforce are longstanding. But in the neoliberal framework, teaching is driven
by standardized tests and performance outcomes; principals are managers, and school superintendents
are CEOs; and learning equals performance on the tests with teachers, students, and parents held
responsible for "failure." Education, which is properly seen as a public good, is being converted
into a private good, an investment one makes in one's child or oneself to "add value" in order better
to compete in the labor market. It is no longer seen as part of the larger end of promoting individual
and social development, but is merely the means to rise above others. Democratic participation in
local schools is rearticulated to individual "empowerment" of education consumers-as parents compete
for slots in an array of charter and specialty schools. In Chicago, twelve thousand parents and students
attended the 2010 "High School Fair" sponsored by Chicago Public Schools, and six thousand attended
the "New Schools Expo" of charter and school choice options. The political significance of this neoliberal
shift stretches beyond schools to legitimize marketing the public sector, particularly in cities,
and to infuse market ideologies into everyday life.
jceps.com
blc.berkeley.edu
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- 20210128 : Poor Lives Matter, But Less ( Jan 26, 2021 , www.nakedcapitalism.com )
- 20201220 : The American ruling class has failed on pretty much every issue of significance for the past several decades ( Dec 20, 2020 , www.moonofalabama.org )
- 20201128 : Deplorables, or Expendables ( Nov 28, 2020 , www.theamericanconservative.com )
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- 20200623* It is shocking to see such a disgusting piece of human garbage like Joe Biden get so many working class voters to vote for him. Biden has never missed a chance to stab the working class in the back in service to his wealthy patrons. ( Mar 03, 2020 , www.moonofalabama.org ) [Recommended]
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- 20200616* How Woke Politics Keeps Class Solidarity Down by GREGOR BASZAK ( Jun 16, 2020 , www.theamericanconservative.com ) [Recommended]
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- 20200602 : Cornel West America Is A Failed Social Experiment, Neoliberal Wing Of Democratic Party Must Be Fought ( May 29, 2020 , www.realclearpolitics.com )
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- 20200602 : Two goons who work at a fancy nightclub (aka Mob Headquarters) and one ends up dead. Smells like a mob hit; ordered and paid for by who is the right question ( Jun 02, 2020 , www.moonofalabama.org )
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- 20200602 : How you define "oppression" ? ( Jan 03, 2020 , crookedtimber.org )
- 20200601 : Riots underline the need for systemic social change. An end to vulture capitalism which has caused most of the problems associated with extreme income inequity. ( Jun 01, 2020 , www.unz.com )
- 20200601 : Class struggle and the reaction of the neoliberal society to riots in the USA ( Jun 01, 2020 , www.moonofalabama.org )
- 20200529 : It s not a civil war until the *other* civilians start shooting at the rioters ( May 29, 2020 , www.moonofalabama.org )
- 20200310* Neoliberalism the ideology at the root of all our problems by George Monbiot ( Apr 16, 2016 , www.theguardian.com ) [Recommended]
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- 20190922 : The Despair of Learning That Experience No Longer Matters by Benjamin Wallace-Wells ( Apr 12, 2017 , economistsview.typepad.com )
UPDATED What is Neoliberalism
Dale
Badges
Nothing requires a greater effort of thought than arguments to justify the rule of non-thought.
-- Milan Kundera
Philoguy
Aug
16 · 12:18:45 PM
Nice one, Philoguy. Nice one, Philoguy.
Only thing I would add, putting on my cultural studies hat for a second, is that neoliberalism
reinforces all of these economic presecriptions with a theory of the individual subject, who is deemed
to be responsible for negotiating their place in the market. This is crucial, because an isolated
subject who is responsible for their own assets and liabilities cannot be considered a victim of
circumstances.
This can be summed up in the notion of human capital, which circulates in neoliberal ideological
circles: in the reckoning of human capital, an individual is an "entrepreneurial self," an "enterprise
of one" who must essentially "sell" themselves within a broader marketplace of ideas. By this reckoning,
there is no such thing as an unemployed person: someone who is unemployed is, according to this thinking,
in transition between a less profitable activity and a more profitable one.
This, of course, doesn't acknowledge that the worker was kicked to the curb by machinations beyond
her control. Instead, it implies that the worker herself failed to recognize the unprofitable nature
of the previous job, and now must vote with her feet, find employ in a different place. But the responsibility
for this lies squarely with her (so the thinking goes): if she remains unemployed, it's because she's
holding out for a job in which her wage demands see eye to eye with the corporation's own. Barring
this, she is someone who is failing to "perform," someone who is unable to sell herself to the marketplace
in an effective way.
All of this helps to explain a great deal about our present circumstances. Minimum- or living-wage
legislation is opposed by neoliberal ideologues on the grounds that it is a destructive interference
in the individual's quests to negotiate a wage with prevailing market forces. The whole legacy of
"welfare reform," complete with manifestations of "workfare" in various Western countries, comes
out of the idea that welfare provisions are an unnatural distortion of the labor market that rewards
"entrepreneurial selves" for being unproductive. Austerity measures are deemed good not only for
the fiscal bottom line for corporations, but impose a moral accounting that establishes the grounds
for a proper neoliberal subject, one who isn't coddled by well-meaning but destructive policies of
intervention.
Both the macrolevel and microlevel of neoliberalism work in lockstep with one another; the dissemination
of ideas about the ideal worker, "liberated" from the old impediments of a bureaucratic postwar compact,
help to cushion the blow of austerity measures great and small, from interest rate "shock doctrine"
to corporate downsizing.
Reply
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jm214
Dale
Aug
16 · 01:02:46 PM
I love irony, hence can't help but get a kick from I love irony, hence can't help but get a kick
from
this little phrase: "the dissemination of ideas about the ideal worker,... help to cushion the
blow of austerity measures great and small..." I hope not too many take the bit of text as an endorsement
of the "virtues" of fuckyourneighbor Gekkothinking.
"The Federal Trade Commission said Tuesday that for more than two years, Amazon didn't pass
on tips to drivers, even though it promised shoppers and drivers it would do so.
The FTC said Amazon didn't stop taking the money until 2019, when the company found out
about the FTC's investigation . The drivers were part of Amazon's Flex business, which started
in 2015 and allows people to pick up and deliver Amazon packages with their own cars. The
drivers are independent workers, and are not Amazon employees.
The FTC said Amazon at first promised workers that they would be paid $18 to $25 per hour,
and also said they would receive 100% of tips left to them by customers on the app
.
But in 2016, the FTC said Amazon started paying drivers a lower hourly rate and used the
tips to make up the difference. Amazon didn't disclose the change to drivers, the FTC said, and
the tips it took from drivers amounted to $61.7 billion."
And a "team" at Amazon reprogrammed the app to steal tips. Managers, programmers,
testers, documentation specialists, accountants, database wizards, etc. Nobody said a word. All
corrupt to the bone. "Learn to code!"
Yves here. Sundaram discusses how the obsession with metrics, a long standing favorite topic
of ours (see Management's Great Addiction )
produces policies that give short shrift to the poor and poor countries. One of the big
fallacies is treating money as the measure of the value and quality of life. For instance,
reducing the instance of cancer is worth more in rich countries because their lives are valued
more highly in these models. Similarly, they often fall back on unitary measures like lifespan,
and so don't capture outcomes like diets heavy in low nutrient foods (think simple sugars)
producing higher rates of non-communicable diseases and hence less healthy citizens
By Jomo Kwame Sundaram, a former economics professor, who was United Nations Assistant
Secretary-General for Economic Development, and received the Wassily Leontief Prize for
Advancing the Frontiers of Economic Thought. Originally published at his website
Current development fads fetishize data, ostensibly for 'evidence-based policy-making': if
not measured, it will not matter. So, forget about getting financial resources for your work,
programmes and projects, no matter how beneficial, significant or desperately needed.
Measure for Measure
Agencies, funds, programmes and others lobby and fight for attention by showcasing their own
policy agendas, ostensible achievements and potential. Many believe that the more indicators
they get endorsed by the 'international community', the more financial support they can expect
to secure.
Collecting enough national data to properly monitor progress on the Sustainable Development
Goals
is expensive. Data collection costs, typically borne by the countries themselves, have been
estimated at minimally over three times total official development assistance (ODA).
Remember aid declined after the US-Soviet Cold War, and again following the 2008-9 global
financial crisis. More recently, much more ODA is
earmarked to 'support' private investments from donor countries.
With data demands growing, more pressure to measure has led to either over- or under-stating
both problems and progress, sometimes with no dishonest intent. 'Errors' can easily be
explained away as statistics from poor countries are notoriously unreliable.
Political, bureaucratic and funding considerations limit the willingness to admit that
reported data are suspect for fear this may reflect poorly on those responsible. And once
baseline statistics have been established, similar considerations compel subsequent
'consistency' or 'conformity' in reporting.
And when problems have to be acknowledged, 'double-speak' may be the result. Organisations
may then start reporting some statistics to the public, with other data used, typically
confidentially, for 'in-house' operational purposes.
Money, Money, Money
Economists generally prefer and even demand the use of money-metric measures. The rationale
often is that no other meaningful measure is available. Many believe that showing ostensible
costs and benefits is more likely to raise needed funding. Using either exchange rates or
purchasing power parity (PPP) has been much debated. Some advocate even more convenient
measures such as the prices of a standard McDonald's hamburger in different countries.
Money-metrics imply that estimated economic losses due to, say, smoking or non-communicable
diseases ( NCD s), including
obesity, tend to be far greater in richer countries, owing to the much higher incomes lost or
foregone as well as costs incurred.
Development Discourse Changes
The four UN Development Decades after 1960 sought to accelerate economic progress and
improve social wellbeing. Unsurprisingly, for decades, there have been various debates in the
development discourse on measuring progress.
The rise of neoliberal economic thinking, claiming to free markets, has instead mainly
strengthened and extended private property rights. Rejecting Keynesian and development
economics, both associated with state intervention, neoliberalism's influence peaked around the
turn of the century.
The so-called 'Washington Consensus ' of
US federal institutions from the 1980s also involved the Bretton Woods institutions, the
International Monetary Fund (IMF) and World Bank, both headquartered in the American
capital.
In 2000, the UN Secretariat drafted the Millennium Declaration. This, in turn, became the
basis for the Millennium Development Goals which gave primacy to halving the number of poor.
After all, who would object to reducing poverty. The poor were defined with reference to a
poverty line, somewhat arbitrarily defined by the Bank.
Poverty Fetish
Presuming money income to be a universal yardstick of wellbeing, this poverty
measure has been challenged on various grounds. Most in poorer developing countries sense
that much nuance and variation are lost in such measures, not only for poverty, but also for,
say,
hunger .
Anyone familiar with the varying significance, over time, of cash incomes and prices in most
countries will be uncomfortable with such singular measures. But they are nonetheless much
publicised and have implied continued progress until the Covid-19 pandemic.
Rejection of such singular poverty measures
has led to multi-dimensional poverty indicators, typically to meet 'basic needs'. While such
'dashboard' statistics offer more nuance, the continued desire for a single metric has led to
the development, promotion and popularisation of composite indicators.
Worse, this has been typically accompanied by problematic ranking exercises using such
composite indicators. Many have become obsessed with such ranking, instead of the underlying
socio-economic processes and actual progress.
Blind Neglect
Improving such metrics has thus become an end in itself, with little debate over such
one-dimensional means of measuring progress. The consequent 'tunnel vision' has meant ignoring
other measures and indicators of wellbeing.
In recent decades, instead of subsistence agriculture, cash crops have been promoted. Yet,
all too many children of cash-poor subsistence farmers are nutritionally better fed and
healthier than the offspring of monetarily better off cash crop or 'commercial' farmers.
Meanwhile, as cash incomes rise, those with diet-related NCDs have been growing. While life
expectancy has risen in much of the world, healthy life expectancy has progressed less as ill
health increasingly haunts the sunset years of longer lives.
Be Careful What You Wish For
Meanwhile, as poor countries get limited help in their efforts to adjust to global warming,
rich countries' focus on supporting mitigation efforts has included, inter alia, promoting
'no-till agriculture'. Thus attributing greenhouse gas emissions implies corresponding
mitigation efforts via greater herbicide
use .
Maximising carbon sequestration in unploughed farm topsoil requires more reliance on
typically toxic, if not carcinogenic pesticides, especially herbicides. But addressing global
warming should not be at the expense of sustainable agriculture.
Similarly, imposing global carbon taxation will raise the price of, and reduce access to
electricity for the 'energy-poor', who comprise a fifth of the world's population. Rich
countries subsidising affordable renewable energy for poor countries and people would resolve
this dilemma.
Following the 2008-2009 global financial crisis, the UN proposed a Global Green New Deal
(GGND) which included such cross-subsidisation by rich countries of sustainable development
progress elsewhere.
The 2009 London G20 summit succeeded in raising more than the trillion dollars targeted. But
the resources mainly went to strengthening the IMF, rather than for the GGND proposal. Thus,
the finance fetish blocked a chance to revive world economic growth, with sustainable
development gains for all.
Sound of the Suburbs , January
27, 2021 at 4:00 am
The globalists found just the economics they were looking for.
The USP of neoclassical economics – It concentrates wealth.
Let's use it for globalisation.
Mariner Eccles, FED chair 1934 – 48, observed what the capital accumulation of
neoclassical economics did to the US economy in the 1920s.
"a giant suction pump had by 1929 to 1930 drawn into a few hands an increasing proportion
of currently produced wealth. This served then as capital accumulations. But by taking
purchasing power out of the hands of mass consumers, the savers denied themselves the kind of
effective demand for their products which would justify reinvestment of the capital
accumulation in new plants. In consequence as in a poker game where the chips were
concentrated in fewer and fewer hands, the other fellows could stay in the game only by
borrowing. When the credit ran out, the game stopped"
This is what it's supposed to be like.
A few people have all the money and everyone else gets by on debt.
Neoliberals as an occupying force for the country
Notable quotes:
"... The bottom line is the true enemies of the American people are no foreign nation or adversary---the true enemy of the American people are the people who control America. ..."
"... This way of thinking points to a dilemma for the American ruling class. Contrary to a lot of the rhetoric you hear, much of the American ruling class, including the "deep state" is actually quite anti-China. To fully account for this would take longer than I have here. But the nutshell intuitive explanation is that the ruling class, particularly Wall Street, was happy for the past several decades to enrich both themselves and China by destroying the American working class with policies such as "free-trade" and outsourcing. But in many ways the milk from that teat is no more, and now you have an American ruling class much more concerned about protecting their loot from a serious geopolitical competitor (China) than squeezing out the last few drops of milk from the "free trade." ..."
Bemildred , Dec 19 2020 2:00 utc |
124
This is awesome, he nails the dilemma which our owners are confronted with;
I'll put it this way: It is not as though the American ruling class is intelligent,
competent, and patriotic on most important matters and happens to have a glaring blind spot
when it comes to appreciating the threat of China. If this were the case, it would make
sense to emphasize the threat of China above all else.
But this is not the case. The American ruling class has failed on pretty much every
issue of significance for the past several decades. If China were to disappear, they would
simply be selling out the country to India, Saudi Arabia, Vietnam, or some other country
(in fact they are doing this just to a lesser extent).
Our ruling class has failed us on China because they have failed us on everything. For
this reason I believe that there will be no serious, sound policy on China that benefits
Americans until there is a legitimate ruling class in the United States. For this reason
pointing fingers at the wickedness and danger of China is less useful than emphasizing the
failure of the American ruling class. The bottom line is the true enemies of the
American people are no foreign nation or adversary---the true enemy of the American people
are the people who control America.
This way of thinking points to a dilemma for the American ruling class. Contrary to
a lot of the rhetoric you hear, much of the American ruling class, including the "deep
state" is actually quite anti-China. To fully account for this would take longer than I
have here. But the nutshell intuitive explanation is that the ruling class, particularly
Wall Street, was happy for the past several decades to enrich both themselves and China by
destroying the American working class with policies such as "free-trade" and outsourcing.
But in many ways the milk from that teat is no more, and now you have an American ruling
class much more concerned about protecting their loot from a serious geopolitical
competitor (China) than squeezing out the last few drops of milk from the "free
trade."
The Zürich
Interviews - Darren J. Beattie: If Only You Knew How Bad Things Really Are
Grieved , Dec 19 2020 3:12 utc |
129
@102 karlof1 - "By deliberately setting policy to inflate asset prices, the Fed has
priced US labor out of a job, while as you report employers sought labor costs that allowed
them to remain competitive."
I never heard it said so succinctly and truly as this before. That is what happened isn't
it? The worker can't afford life anymore, in this country.
And if the worker can't afford the cost of living - who bears the cause of this, how
follows the remedy of this, and what then comes next?
I really appreciate your point of view, which is the only point of view, which is that the
designers of the economy, the governors of the economy, have placed the workers of the
economy in a position that is simply just not tenable.
No wonder they strive to divide in order to rule - because they have over-reached through
greed and killed the worker, who holds up the society.
How long can the worker flounder around blaming others before the spotlight must turn on
the employer?
uncle tungsten , Dec 19 2020 3:12 utc |
130
Bemildred #115
You have to remember these people really do think they are better. They do think in class
terms even if they avoid that rhetoric in public. The problem is they thought they could
control China like they did Japan. That was dumb then and it looks even dumber now. You can
see similar dumbness in their lack of grip on any realisitic view of Russia. Provincials
really. Rich peasants.
Thank you, they certainly DO think in class terms ALWAYS. + Rich peasants is perfect
:))
Thankfully they are blinded by hubris at the same time. The USA destroyed the Allende
government in Chile in 1973. After the Nixon Kissinger visit to China in 1979 they assumed
they could just pull a color revolution stunt when they deemed it to be the right time.
Perhaps in their hubris they thought every Chinese worker would be infatuated with capitalism
and growth.
They tested that out in the People Power colour (yellow) revolt in the Filipines in 1986
following a rigged election by Marcos. In 1989 only 16 years after China had been buoyed up
with growth and development following the opening to USA capitalism, they tried out the same
trick in Tienanmen square in China but those students were up against the ruling party of the
entire nation - not the ruling class. BIG MISTAKE. The ruling party of China was solidly
backed by the peasant and working class that was finally enjoying some meager prosperity and
reward a mere 40 years after the Chinese Communist Party and their parents and grandparents
had liberated China from 100 years of occupation, plunder, human and cultural rapine and
colonial insult. Then in 2020 it was tried on again in Hong Kong. FAIL.
The hubris of the ruling class and its running dogs is pathetic.
We see the same with Pelosi and the ruling class in the Dimoratss today. They push Biden
Harris to the fore, piss on the left and refuse to even hold a vote on Medicare for All in
the middle of a pandemic. Meanwhile the USAi ruling class has its running dogs and hangers on
bleating that "its wrong tactic, its premature, its whatever craven excuse to avoid exposing
the ruling class for what they are - thieves, bereft of compassion, absent any sense of
social justice, fakes lurking behind their class supposition.
They come here to the bar with their arrogant hubris, brimming with pointless information
some even with emoji glitter stuck on their noses. Not a marxist or even a leftie among them.
Still its class that matters and its the ruling class that we must break.
chu teh , Dec 19 2020 4:00 utc |
131
@102 karlof1 and Grieved | Dec 19 2020 3:12 utc | 129
I did not understand inflate-assets/suppress-workers and forgot to return to it to clear
it up. Grieved sent me back to Karlof1. I just got it.
That viewpoint indeed explains method of operation to accomplish the results I observed.
When Nixon was forced to default on Bretton Woods use of Gold Exchange Standard* [the USD is
as good as gold], then printing fiat solved the problem [threat to US inventory of
gold]....but printing fiat [no longer redeemable as a promise convert to gold] became the new
problem [no way to extinguish the promises to redeem/pay].
So how to proceed? Aha! Steal from the workers; squeeze 'em, entertain and dazzle 'em!..
Such an elegant solution...slow, certain and hardly noticeable...like slow-boiling frogs...an
on-going project as we blog.
Now I'll read Karlof1's link.
Notable quotes:
"... The Expendables: How the Middle Class got Screwed by Globalization ..."
"... The Innovation Illusion ..."
"... The Expendables ..."
"... Napoleon Linarthatos is a writer based in New York. ..."
Home / Articles / Economy
/ Deplorables, Or Expendables? ECONOMY Deplorables, Or
Expendables?
Rubin offers some valuable, albeit well-known, critiques of globalized trade, but doesn't go
far beyond that.
(By momente/Shutterstock)
NOVEMBER 26, 2020
|
12:01 AM
NAPOLEON
LINARTHATOS
Back in 2013 a group of Apple employees decided
to sue the global behemoth. Every day, after they were clocking out, they were required to
go through a corporate screening where their personal belongings were examined. It was a
process required and administered by Apple. But Apple did not want to pay its employees for the
time it had required them to spend. It could be anywhere from 40 to 80 hours a year that an
employee spent going through that process. What made Apple so confident in brazenly
nickel-and-diming its geniuses?
Jeff Rubin, author of The
Expendables: How the Middle Class got Screwed by Globalization , has an answer to the
above question that is easily deduced from the subtitle of his book. The socio-economic
arrangements produced by globalization have made labor the most flexible and plentiful resource
in the economic process. The pressure on the middle class, and all that falls below it, has
been so persistent and powerful, that now " only 37
percent of Americans believe their children will be better off financially than they
themselves are. Only 24 percent in Canada or Australia feel the same. And in France, that
figure dips to only 9 percent." And "[i]n the mid-1980s it would have taken a typical
middle-income family with two children less than seven years of income to save up to buy a
home; it now takes more than ten years. At the same time, housing expenditures that accounted
for a quarter of most middle-class household incomes in the 1990s now account
for a third ."
https://lockerdome.com/lad/13045197114175078?pubid=ld-dfp-ad-13045197114175078-0&pubo=https%3A%2F%2Fwww.theamericanconservative.com&rid=www.nakedcapitalism.com&width=838
The story of globalization is engraved in the " shuttered
factories across North America, the boarded-up main streets, the empty union halls." Rubin
does admit that there are benefits accrued from globalization, billions have been lifted up out
of poverty in what was previously known as the third world, wealth has been created, certain
efficiencies have been achieved. The question for someone in the western world is how much more
of a price he's willing to pay to keep the whole thing going on, especially as we have entered
a phase of diminishing returns for almost all involved.
As Joel Kotkin has written, "[e]ven in Asia, there are signs of social collapse. According
to a recent survey by the
Korea Institute for Health and Social Affairs, half of all Korean households have experienced
some form of family crisis, many involving debt, job loss, or issues relating to child or elder
care." And "[i]n "classless" China, a massive class of migrant workers -- over 280 million --
inhabit a netherworld of substandard housing, unsteady work, and miserable environmental
conditions, all after leaving their offspring behind in villages. These new serfs vastly
outnumber the Westernized, highly educated Chinese whom most
Westerners encounter. " "Rather than replicating the middle-class growth of
post–World War II America and Europe, notes researcher Nan Chen, 'China appears to have
skipped that stage altogether and headed straight for a model of extraordinary productivity but
disproportionately
distributed wealth like the contemporary United States.'"
Although Rubin concedes to the globalist side higher GDP growth, even that does not seem to
be so true for the western world in the last couple decades. Per Nicholas Eberstadt, in "Our
Miserable 21st Century," "[b]etween late 2000 and late 2007, per capita GDP growth averaged
less
than 1.5 percent per annum." "With postwar, pre-21st-century rates for the years
2000–2016, per capita GDP in America would be more than 20
percent higher than it is today."
Stagnation seems to be a more apt characterization of the situation we are in. Fredrik
Erixon in his superb The Innovation
Illusion , argues that "[p]roductivity growth is going south, and has been doing so
for several decades." "Between 1995 and 2009, Europe's labor productivity grew by just 1
percent annually." Noting that "[t]he four factors that have made Western capitalism dull and
hidebound are gray capital, corporate managerialism, globalization, and complex
regulation."
me title=
https://imasdk.googleapis.com/js/core/bridge3.426.0_en.html#goog_1789765618 Ad ends in
15s
Contrary to popular belief, globalization has functioned as a substitute for innovation and
growth. With globalization on the march, the western ruling class could continue to indulge in
its most preferred activities, regulation and taxation, in an environment where both of these
political addictions appeared sustainable. Non-western elites could perpetuate their
authoritarian regimes, garnering growth and legitimacy, from the access to the western markets.
Their copy-and-paste method of "innovation" from western firms would fit well with an
indigenous business class composed of mostly insiders and ex-regime apparatchiks.
There are plenty of criticisms that can be laid at the feet of globalization. The issue with
Rubin's book is that is does not advance very much beyond some timeworn condemnations of it.
One gets the sense that the value of this book is merely in its audacity to question the
conventional wisdom on the issue at hand. Rubin, who is somewhat sympathetic to Donald Trump,
seems to be much closer to someone like Bernie Sanders, especially an earlier version of
Sanders that dared to talk about the debilitating effects of immigration on the working
class.
Like Sanders, Rubin starts to get blurry as he goes from the condemnation phase to the
programmatic offers available. What exactly would be his tariffs policy, how far he would go?
What would be the tradeoffs of this policy? Where we could demarcate a reasonable fair
environment for the worker and industry and where we would start to create another type of a
stagnation trap for the whole economy? All these would be important questions for Rubin to
grapple with and would give to his criticisms more gravitas.
It would have also been of value if he had dealt more deeply with the policies of the Trump
administration. On the one hand, the Trump administration cracked down on illegal and legal
immigration. It also started to use tariffs and other trade measures as a way to boost industry
and employment. On the other hand, it reduced personal and corporate taxes and it deregulated
to the utmost degree possible. It was a kind of 'walled' laisser-faire that seemed to work
until Covid-19 hit. Real household income in the U.S.
increased $4,379 in 2019 over 2018. It was "more income growth in one year than in the 8
years of Obama-Biden." And during Trump's time, the lowest paid workers started not to just be
making gains, but making gains faster than the wealthy. "Low-wage workers are getting bigger
raises than bosses" ran a CBS News
headline .
Rubin seems to view tax cuts and deregulation as another giveaway to large corporations. But
these large corporations are just fine with high taxation, since they have a choice as to when
and where they get taxed. Regulation is also more of a tool than a burden for them. It's a very
expedient means for eliminating competitors and competition, a useful barrier to entry for any
upstart innovator that would upend the industry they are in. Besides, if high taxation and
regulation were a kind of antidote to globalization, then France would be in a much better
shape than it appears to be. But France seems to be doing worse than anybody else. In the
aforementioned poll about if their "children will be better off financially than they
themselves are" France was at the bottom in the group of countries that Rubin cited. The recent
events with the yellow-vests movement indicate a very deep dissatisfaction and pessimism of its
middle and working class.
Moreover, there does not seem to be much hostility or even much contention between
government bureaucracies and the upper echelons of the corporate world. Something that Rubin's
politics and economics would necessitate. And cultural and political like-mindedness between
government bureaucracies and the managerial class of large corporations is not just limited to
the mutual embrace of woke politics. It seems that there is a cross pollination of a much
broader set of ideas and habits between bureaucrats and the managerial class. For instance,
Erixon notes that "[c]orporate
managers shy away from uncertainty but turn companies into bureaucratic entities free from
entrepreneurial habits. They strive to make capitalism predictable." Striving for
predictability is a very bureaucratic state of mind.
In Rubin's book, missed trends like that make his perspective to feel a bit dated. There is
still valuable information in The Expendables . Rubin does know a lot about
international trade deals. For instance, a point that is often ignored in the press about
international trade agreements is that "[i]f you're designated a "developing" country, you get
to protect your own industries with tariffs that are a multiple of those that developed
economies are allowed to use to protect their workers." A rule that China exploits to the
utmost.
Meanwhile, Apple, after its apparent lawsuit loss on the case with its employees in
California, now seems committed to another fight with the expendables of another locale. The
Washington Post reported that "Apple
lobbyists are trying to weaken a bill aimed at preventing forced labor in China, according to
two congressional staffers familiar with the matter, highlighting the clash between its
business imperatives and its official stance on human rights." "The bill aims to end the use of
forced Uighur labor in the Xinjiang region of China ." The war against the expendables never
ends.
Napoleon Linarthatos is a writer based in New York.
hunkerdown ,
November 16, 2020 at 10:29 am
Consider the structure of the term "common sense", which is just shared opinion. If there
is no common sense, there will be no common action.
The problem with coming together is that the ruling class divides and rules us as a normal
procedure of creating a class system. Nobody in the ruling class has a problem with this.
Their purpose in life is to reproduce the system of mass slavery and adapt it to present
conditions and they, being among the elect, are fine with this.
Pat ,
November 16, 2020 at 9:48 am
Cognitive dissonance is a daily occurrence for anyone paying attention. And our struggling
"leaders" are largely struggling over territory while ignoring the state of the nation.
True national emergencies are ignored as they are inconvenient, or more honestly buried
under the rug, because they might mean our sociopaths at the top of the food chain would have
to pony up some of their Ill gotten gains to the social good AND lose some of their leverage
over modern serfs. And unlike "war" and "military intervention" which have been monetized to
the nth degree, pandemic response has been bungled not only because the social systems have
been shredded but because factions are fighting over response in order to find a way to strip
as much public money from it as possible.
We make black jokes here about brunch, but the election of Biden is NOT about him, it is a
probably a vain attempt to put the genie back in the bottle. The sad thing is that instead of
pretending to be the adults in the room, the usual suspects kept up their four year long
tantrum, instead of letting the process play out and talking about how our system works, it
was all "he isn't giving up, he is being mean." All because it slightly delayed them
reestablishing their rice bowls. And so ends the "bring us together" meme with nary a
whimper.
I wish there was a chance our national leaders would get their heads out of the pockets of
their donors long enough to notice that the foundation THEY depend on for their corrupt
lifestyles had been destroyed. I wish our foundations had not been so corrupted that even one
part remains strong.
I am not entirely pessimistic. The kids are largely alright. I just hope we can hold it
together long enough to give them a chance.
David ,
November 16, 2020 at 11:30 am
Two slightly different things here, perhaps.
I think it's generally accepted that all societies need a common frame of reference against
which you can have discussions and arguments, make and critique policy and try to interpret
the world. This doesn't mean that everybody agrees, or still less that everybody is obliged
to, but rather that everybody agrees about what the issues are and about the ground over
which they may disagree. Back in the days of the Cold War, for example, there were furious
debates about politics, not to mention wars, atrocities and dictatorships, but pretty much
everybody agreed what the issues were, even if they were on different sides of them.
Historically, this was very much the norm: the religious wars of Europe, or the wars of the
French Revolution were between people with very different views, but who agreed on the
underlying context. What we have now, is what the philosopher Alasdair McIntyre called
"incommensurability": a jaw-breaking term which means, essentially, that people don't even
begin from the same assumptions, and so are condemned to talk past each other. This accounts
for a lot of the cognitive dissonance. In the case of Brexit, for example, much of the
bitterness and confusion arose from the fact that Leavers and Remainers were simply talking
about different things, and starting from different assumptions, but didn't realise it. The
same applies, obviously to the whole TDS story. As a result, Joe Public is now faced with the
need to choose between competing and mutually exclusive interpretations of events, or even
whether events have actually occurred. It's hardly surprising there's so much confusion and
stress.
It's made worse by the kind of thing Thuto mentions. One of the least helpful ideas to
emerge from the 1960s was that children should be "left to find their own way", rather than
being taught things. But children mature by testing their ideas against the norms and
structures of society, and indeed their parents, and coming to some sort of personal vision
of the world. A lot of modern politics (and practically all of IdiotPol) is the result of
middle-class educated people who were never contradicted as children, and are still looking
to shock and provoke twenty or thirty years later. Once you understand that much of the
political and media system is made of people who are basically adolescents ("why does it have
to make sense? Tell me why it has to make sense!) the chaos and stress become easier to
understand.
Sound of the Suburbs ,
November 16, 2020 at 1:00 pm
This is what we should expect.
Western liberalism's descent into chaos.
1920s/2000s – neoclassical economics, high inequality, high banker pay, low regulation,
low taxes for the wealthy, robber barons (CEOs), reckless bankers, globalisation phase
1929/2008 – Wall Street crash
1930s/2010s – Global recession, currency wars, trade wars, austerity, rising
nationalism and extremism
1940s – World war.
Right wing populist leaders are what we should expect at this stage in the descent into
chaos.
Why is Western liberalism always such a disaster?
They did try and learn from past mistakes to create a new liberalism (neoliberalism), but the
Mont Pelerin Society went round in a circle and got back to pretty much where they
started.
It equates making money with creating wealth and people try and make money in the easiest
way possible, which doesn't actually create any wealth.
In 1984, for the first time in American history, "unearned" income exceeded "earned"
income.
The American have lost sight of what real wealth creation is, and are just focussed on making
money.
You might as well do that in the easiest way possible.
It looks like a parasitic rentier capitalism because that is what it is.
Bankers make the most money when they are driving your economy into a financial
crisis.
What they are doing is really an illusion; they are just pulling future spending power into
today.
The 1920s roared at the expense of an impoverished 1930s.
Japan roared on the money creation of real estate lending in the 1980s, they spent the next
30 years repaying the debt they had built up in the 1980s and the economy flat-lined.
https://www.youtube.com/watch?v=8YTyJzmiHGk
Bankers use bank credit to pump up asset prices, which doesn't actually create any
wealth.
The money creation of bank credit flows into the economy making it boom, but you are heading
towards a financial crisis and claims on future prosperity are building up in the financial
system.
https://www.bankofengland.co.uk/-/media/boe/files/quarterly-bulletin/2014/money-creation-in-the-modern-economy.pdf
Early success comes at the expense of an impoverished future.
Things haven't been the same since 2008.
Early success came at the expense of an impoverished future.
https://www.youtube.com/watch?v=vAStZJCKmbU&list=PLmtuEaMvhDZZQLxg24CAiFgZYldtoCR-R&index=6
At 18 mins.
The money creation of bank credit flowed into the economy before 2008 making it boom, but
they were heading towards a financial crisis and claims on future prosperity were building up
in the financial system.
It's repayment time.
Sound of the Suburbs ,
November 16, 2020 at 1:01 pm
Let's get the basics sorted.
When no one knows what real wealth creation is, you are in trouble.
We want economic success
Step one – Identify where wealth creation occurs in the economy.
Houston, we have a problem.
Economists do identify where real wealth creation in the economy occurs, but this is a
most inconvenient truth as it reveals many at the top don't actually create any wealth.
This is the problem.
Much of their money comes from wealth extraction rather than wealth creation, and they need
to get everyone thoroughly confused so we don't realise what they are really up to.
The Classical Economists had a quick look around and noticed the aristocracy were
maintained in luxury and leisure by the hard work of everyone else.
They haven't done anything economically productive for centuries, they couldn't miss it.
The Classical economist, Adam Smith:
"The labour and time of the poor is in civilised countries sacrificed to the maintaining
of the rich in ease and luxury. The Landlord is maintained in idleness and luxury by the
labour of his tenants. The moneyed man is supported by his extractions from the industrious
merchant and the needy who are obliged to support him in ease by a return for the use of his
money."
There was no benefits system in those days, and if those at the bottom didn't work they
died.
They had to earn money to live.
Ricardo was an expert on the small state, unregulated capitalism he observed in the world
around him. He was part of the new capitalist class, and the old landowning class were a huge
problem with their rents that had to be paid both directly and through wages.
"The interest of the landlords is always opposed to the interest of every other class in
the community" Ricardo 1815 / Classical Economist.
They soon identified the constructive "earned" income and the parasitic "unearned"
income.
This disappeared in neoclassical economics.
GDP was invented after they used neoclassical economics last time.
In the 1920s, the economy roared, the stock market soared and nearly everyone had been making
lots of money.
In the 1930s, they were wondering what the hell had just happened as everything had appeared
to be going so well in the 1920s and then it all just fell apart.
They needed a better measure to see what was really going on in the economy and came up with
GDP.
In the 1930s, they pondered over where all that wealth had gone to in 1929 and realised
inflating asset prices doesn't create real wealth, they came up with the GDP measure to track
real wealth creation in the economy.
The transfer of existing assets, like stocks and real estate, doesn't create real wealth and
therefore does not add to GDP. The real wealth creation in the economy is measured by
GDP.
Real wealth creation involves real work producing new goods and services in the economy.
So all that transferring existing financial assets around doesn't create wealth?
No it doesn't, and now you are ready to start thinking about what is really going on
there.
GlassHammer ,
November 16, 2020 at 2:08 pm
"Much of their money comes from wealth extraction rather than wealth creation, and they
need to get everyone thoroughly confused so we don't realise what they are really up to."
And this is why the quintessential business model in the U.S (at least since the 1970s)
has been the multi-level marketing scheme.
donten , Nov 5 2020 23:33 utc |
178
The amount of cerebral activity wasted here is, well, wasted...It's a class-war people,
recognize it for such. The U.S. needs to fall down among the weeds, and fertilize what's
coming...The libertarian impulse must be squashed until it is unrecognizable!!
Equality, Fraternity, and Liberty in that order, my friends. All else is sickness in the
mind.
I think the difference is owning of stock. If a person owns anough money to maintin the
current standard of living without employment this person belong to upper middle class.
In this sense Steven Johnson comment are bunk.
Chetan Murthy 07.06.20 at 6:45 am (
48 )
likbez @ 39:
Without working class votes they can't win. And those votes are lost
It's helpful that you told us who you were, in so few words. The Dems didn't lose
working-class votes in 2016: the median income of a Hillary voter was less than that
of a Trump voter [or maybe it was average? In any case, not much difference.] What the Dems
lost, was "white non-college-educated" voters. They retained working class voters of
color.
But hey, they don't count as working-class voters to you. Thanks for playing.
MisterMr 07.06.20 at 8:21 am (
49 )
Two points:
1) White collar are, by definition, working class, because they don't own the means of
production. What I see is an opposition between blue collars and white collars, that are two
wings of the working class, not that democrats are going against the working class.
For some reason, the main divide in politics today is a sort of culture war, and republicans
and other right wing parties managed to present the traditionalist side of the culture war as
the "working class" one, and therefore the other side as the evil cosmopolitan prosecco
sipping faux leftish but in reality very snobbish one, so that they pretend that they are the
working class party because of their traditionalist stance.
But they aren't: already the fact that they blame "cosmopolitans" shows that they think in
terms of nationalism (like Trump and his China virus), which is a way to deflect the
attention from class conflict.
So comparatively the Dems are still the working class party, and the fact that some working
class guys vote for trump sows that they suffer from false consciousness, not that the Dems
are too right wing (the dems ARE too right wing, but this isn't the reason some working class
guys are voting Trump).
2) Neoliberalism and free markets are not the same thing, and furthermore neoliberalism
and capitalism are not the same thing; at most neoliberalism is a form of unadultered
capitalism. However since neoliberalism basically means "anti new deal", and new deal
economies were still free market and still capitalist (we can call them social democratic,
but in this sense social democracy is a form of controlled capitalism), it follows that the
most economically succesful form of capitalism and free markets to date is not
neoliberalism.
Orange Watch 07.06.20 at 5:40 pm (
59 )
Chetan Murthy@48:
It's helpful that you told us who you were, in so few words. 43% of the US are non-voters.
The median household income of non-voters is less than half of the median income of a Clinton
voter (which was higher than the overall US median, albeit by less than the Trump median
was). Clinton didn't lose in 2016 because of who voted as much as who didn't ; every
serious analysis (and countless centrist screeds) since Trump's installation has told us
that. Losing the working class doesn't require that the Republicans gain them; if the working
class drops out, that shifts the electoral playing field further into the favor of politics
who cater to the remaining voting blocks. Democrats playing Republican-lite while mouthing
pieties about how they're totally not the party of the rich will always fare worse in that
field than Republicans playing Republicans while mouthing pieties about how they ARE the
party of the rich, but also of giving everyone a chance to make themselves rich. I know it's
been de rigour for both Dems and the GOP to ignore the first half of Clinton's
deplorable quote, but it truly was just as important as the half both sides freely remember.
The Democrats have become a party of C-suite diversity, and they have abandoned the working
class. And when their best pick for President's plenty bold plan for solving police violence
is to encourage LEOs to shoot people in the leg instead of the chest (something that could
only be said by a grifter or someone with more knowledge of Hollywood than ballistics
or anatomy), the prospect of keeping the non-white portions of the working class from
continuing to drop out is looking bleak.
MisterMr@49:
The traditional threading of that needle is to expand class-based analysis to more
accurately reflect real-world political and economic behavior. In the past (and in some
countries who updated the applicable definitions, still), the most relevant additional class
was the petty bourgeoisie; in the modern US, however, the concept of the
professional-managerial class is the most useful frame of reference.
MisterMr 07.07.20 at 12:06 pm (
76 )
Orange Watch 59
"The traditional threading of that needle is to expand class-based analysis to more
accurately reflect real-world political and economic behavior. In the past (and in some
countries who updated the applicable definitions, still), the most relevant additional class
was the petty bourgeoisie; in the modern US, however, the concept of the
professional-managerial class is the most useful frame of reference."
Sure, but one has to adopt a logicwhen building "class" groups. One relrvant dimension is
educational attainment, which is IMHO where the "professional-managerial" class comes
from.
But, not everyone with a degree is a manager, and "professional" normally implies a level of
income that is higher that that of an average rank and file white collar.
So the question is whether this "new class" is really managers, or just white collar
workers who work in services instead than in industrial production.
Furthermore, as technology increases, it is natural that a larger share of people will work
in services and a smaller share in industry, for the same reason that increased agricultural
productivity means less agricultural jobs.
Orange Watch 07.08.20 at 11:01 pm (
105 )
steven t johnson@98:
There are a great many unstated assumptions baked into this comment, but I'll take a shot
at a foundational one. You suggest PMC is a distinction without difference vis a vis middle
class appears to suggest that you've bought into a commonly accepted "truth" that can't
withstand close scrutiny, and your claim that economic status is not a useful distinguisher
only further drives it home. What is the cutoff between middle class and rich? I've seen far
too many well-educated idiots with professional degrees make ridiculous claims like $150k
household income representing a solidly middle-class income. That's in the upper 15% of
national incomes, but it's being called middle class. 240% of the national median household
income, but it's "middle class". And to pre-empt cost-of-living arguments, it's 175% of the
median household income in Manhattan. So when you say PMC is not a useful concept, and that
income is not a useful class distinction, I need to ask you where you draw your lines, or if
you're asserting that class has no economic aspect at all. If you're arguing that households
in the upper quintile and bottom quintile don't have different concerns, outlooks, values,
and lifestyles – that someone in either could be working class or middle class
(but I assume not upper class? Arguments like what yours appears to be typically don't start
the upper class anywhere below the 1% ) is hard to treat as serious. If that is an assertion
you'd stand by, what that tells me is that you're using private definitions of working and
middle class, and they're essentially unintelligible.
Gorgonzola Petrovna 07.09.20 at 10:13 am (
113 )
@MisterMr
White collar are, by definition, working class, because they don't own the means of
production
That's not the definition. For example: despite not owning any means of production,
lumpenproletariat is not part of the working class.
What I see is an opposition between blue collars and white collars, that are two wings
of the working class
If this is the way you feel, that's fine. It is, however, a controversial view. An
alternative (and quite convincing, imo) view is that "white collars" belong to the
'professional-managerial class', with entirely different interests.
Anyhow, a bourgeois democracy (aka 'dictatorship of the bourgeoisie') does not and can not
represent interests of the working class; this is indeed "by definition". Any benefits
encountered by the working class are coincidental.
And in the current circumstance, the struggle between the remains of domestic bourgeoisie
and global finance capitalism, the former faction is definitely – obviously –
better aligned with interests of the domestic working class.
Orange Watch 07.08.20 at 11:01 pm (no link)
steven t johnson@98:
There are a great many unstated assumptions baked into this comment, but I'll take a shot
at a foundational one. You suggest PMC is a distinction without difference vis a vis middle
class appears to suggest that you've bought into a commonly accepted "truth" that can't
withstand close scrutiny, and your claim that economic status is not a useful distinguisher
only further drives it home. What is the cutoff between middle class and rich? I've seen far
too many well-educated idiots with professional degrees make ridiculous claims like $150k
household income representing a solidly middle-class income. That's in the upper 15% of
national incomes, but it's being called middle class. 240% of the national median household
income, but it's "middle class". And to pre-empt cost-of-living arguments, it's 175% of the
median household income in Manhattan. So when you say PMC is not a useful concept, and that
income is not a useful class distinction, I need to ask you where you draw your lines, or if
you're asserting that class has no economic aspect at all. If you're arguing that households
in the upper quintile and bottom quintile don't have different concerns, outlooks, values,
and lifestyles – that someone in either could be working class or middle class
(but I assume not upper class? Arguments like what yours appears to be typically don't start
the upper class anywhere below the 1% ) is hard to treat as serious. If that is an assertion
you'd stand by, what that tells me is that you're using private definitions of working and
middle class, and they're essentially unintelligible.
Highly recommended!
Notable quotes:
"... From wiping out the ability of regular folks to declare bankruptcy (something supported by our founding fathers who were NOT socialists), to shipping our industrial base to communist China (which in less enlightened days would have been termed treason), to spending tens of trillions of dollars bailing out and subsiding the big banks (that's not a misprint), to supporting "surprise medical billing," to opening the borders to massive third-world immigration so that wages can be driven down and reset and profits up (As 2015 Bernie Sanders pointed out), Backstabbing Joe Biden is neoliberal scum pure and simple. ..."
"... It's astonishing that so many people will just blindly accept what they are told, that Biden is. "moderate." Biden is so far to the right, he makes Nixon look like Trotsky. ..."
"... Joe Biden is a crook and a con man. He has been lying his whole life. Claimed in his 1988 Campaign to have got 3 degrees at college and finished in top half of his class. Actually only got 1 degree & finished 76th out of 85 in his class. ..."
TG , Mar 3 2020 22:02 utc |
56
Yet another circus. The proles get to scream and holler, and when all is done, the oligarchy gets the policies it wants, the public
be damned. Our sham 'democracy' is a con to privatize power and socialize responsibility.
Although it is shocking to see such a disgusting piece of human garbage like Joe Biden get substantial numbers of people to
vote for him. Biden has never missed a chance to stab the working class in the back in service to his wealthy patrons.
The issue is not (for me) his creepiness (I wouldn't much mind if he was on my side), nor even his Alzheimer's, but his established
track record of betrayal and corruption.
From wiping out the ability of regular folks to declare bankruptcy (something supported by our founding fathers who were NOT
socialists), to shipping our industrial base to communist China (which in less enlightened days would have been termed treason),
to spending tens of trillions of dollars bailing out and subsiding the big banks (that's not a misprint), to supporting "surprise
medical billing," to opening the borders to massive third-world immigration so that wages can be driven down and reset and profits
up (As 2015 Bernie Sanders pointed out), Backstabbing Joe Biden is neoliberal scum pure and simple.
It's astonishing that so many people will just blindly accept what they are told, that Biden is. "moderate." Biden is so
far to the right, he makes Nixon look like Trotsky. Heck, he makes Calvin Coolidge look like Trotsky.
Mao , Mar 3 2020 22:01 utc |
55
Ian56:
Joe Biden is a crook and a con man. He has been lying his whole life. Claimed in his 1988 Campaign to have got 3 degrees at college and finished in top half of his class. Actually only got 1 degree & finished 76th out of 85 in his class.
[VIDEO]
https://twitter.com/Ian56789/status/1234914227963518977
Notable quotes:
"... Mass unemployment will bring the United States closer to less-developed economies. Very large regions of the poor will surround small enclaves of the rich. Narrow bands of "middle-income professionals," etc., will separate rich from poor. Ever-more rigid social divisions enforced by strong police and military apparatuses are becoming the norm. Their outlines are already visible across the United States. ..."
"... In this context, U.S. capitalism strode confidently toward the 21st century. The Soviet threat had imploded. A divided Europe threatened no U.S. interests. Its individual nations competed for U.S. favor (especially the UK). China's poverty blocked its becoming an economic competitor. U.S. military and technological supremacy seemed insurmountable. ..."
"... Amid success, internal contradictions surfaced. U.S. capitalism crashed three times. The first happened early in 2000 (triggered by dot-com share-price inflation); next came the big crash of 2008 (triggered by defaulting subprime mortgages); and the hugest crash hit in 2020 (triggered by COVID-19). ..."
"... Second, we must face a major obstacle. Since 1945, capitalists and their supporters developed arguments and institutions to undo the New Deal and its leftist legacies. They silenced, deflected, co-opted, and/or demonized criticisms of capitalism. ..."
"... Third, to newly organized versions of a New Deal coalition or of social democracy, we must add a new element. We cannot again leave capitalists in the exclusive positions to receive enterprise profits and make major enterprise decisions. ..."
Organized labor led no mass opposition to Trump's presidency or the December 2017 tax cut or
the failed U.S. preparation for and management of COVID-19. Nor do we yet see a labor-led
national protest against the worst mass firing since the 1930s Great Depression. All of these
events, but especially the unemployment, mark an employers' class war against employees. The
U.S. government directs it, but the employers as a class inspire and benefit the most from
it.
Before the 2020 crash, class war had been redistributing wealth for decades from
middle-income people and the poor to the top 1 percent. That upward redistribution was U.S.
employers' response to the legacy of the New Deal. During the Great Depression and afterward,
wealth had been redistributed downward. By the 1970s, that was reversed. The 2020 crash will
accelerate upward wealth redistribution sharply.
With tens of millions now a "reserve army" of the unemployed, nearly every U.S. employer can
cut wages, benefits, etc. Employees dissatisfied with these cuts are easily replaced. Vast
numbers of unemployed, stressed by uncertain job prospects and unemployment benefits,
disappearing savings, and rising household tensions, will take jobs despite reduced wages,
benefits, and working conditions. As the unemployed return to work, most employees' standards
of consumption and living will drop.
Germany, France, and other European nations could not fire workers as the United States did.
Strong labor movements and socialist parties with deep social influences preclude governments
risking comparable mass unemployment; it would risk deposing them from office. Thus their
antiviral lockdowns keep most at work with governments paying 70 percent or more of pre-virus
wages and salaries.
Mass unemployment will bring the United States closer to less-developed economies. Very
large regions of the poor will surround small enclaves of the rich. Narrow bands of
"middle-income professionals," etc., will separate rich from poor. Ever-more rigid social
divisions enforced by strong police and military apparatuses are becoming the norm. Their
outlines are already visible across the United States.
Only if workers understand and mobilize to fight this class war can the trends sketched
above be stopped or reversed. U.S. workers did exactly that in the 1930s. They fought -- in
highly organized ways -- the class war waged against them then. Millions joined labor unions,
and many tens of thousands joined two socialist parties and one communist party. All four
organizations worked together, in coalition, to mobilize and activate the U.S. working
class.
Weekly, and sometimes daily, workers marched across the United States. They criticized
President Franklin D. Roosevelt's policies and capitalism itself by intermingling reformist and
revolutionary demands. The coalition's size and political reach forced politicians, including
FDR, to listen and respond, often positively. An initially "centrist" FDR adapted to become a
champion of Social Security, unemployment insurance, a minimum wage, and a huge federal jobs
program. The coalition achieved those moderate socialist reforms -- the New Deal -- and paid
for them by setting aside revolutionary change.
It proved to be a good deal, but only in the short run. Its benefits to workers included a
downward redistribution of income and wealth (especially via homeownership), and thereby the
emergence of a new "middle class." Relatively well-paid employees were sufficient in number to
sustain widespread notions of American exceptionalism, beliefs in ever-rising standards of
working-class living across generations, and celebrations of capitalism as guaranteeing these
social benefits. The reality was quite different. Not capitalists but rather their critics and
victims had forced the New Deal against capitalists' resistance. And those middle-class
benefits bypassed most African Americans.
The good deal did not last because U.S. capitalists largely resented the New Deal and sought
to undo it. With World War II's end and FDR's death in 1945, the undoing accelerated. An
anti-Soviet Cold War plus anti-communist/socialist crusades at home gave patriotic cover for
destroying the New Deal coalition. The 1947 Taft-Hartley Act targeted organized labor. Senate
and House committees spearheaded a unified effort (government, mass media, and academia) to
demonize, silence, and socially exclude communists, socialists, leftists, etc. For decades
after 1945 -- and still now in parts of the United States -- a sustained hysteria defined all
left-wing thought, policy, or movement as always and necessarily the worst imaginable social
evil.
Over time, the New Deal coalition was destroyed and left-wing thinking was labeled
"disloyal." Even barely left-of-center labor and political organizations repeatedly denounced
and distanced themselves from any sort of anti-capitalist impulse, any connection to socialism.
Many New Deal reforms were evaded, amended, or repealed. Some simply vanished from politicians'
knowledge and vocabulary and then journalists' too. Having witnessed the purges of leftist
colleagues from 1945 through the 1950s, a largely docile academic community celebrated
capitalism in general and U.S. capitalism in particular. The good in U.S. society was
capitalism's gift. The rest resulted from government or foreign or ideological interferences in
capitalism's wonderful invisible hand. Any person or group excluded from this American Dream
had only themselves to blame for inadequate ability, insufficient effort, or ideological
deviancy.
In this context, U.S. capitalism strode confidently toward the 21st century. The Soviet
threat had imploded. A divided Europe threatened no U.S. interests. Its individual nations
competed for U.S. favor (especially the UK). China's poverty blocked its becoming an economic
competitor. U.S. military and technological supremacy seemed insurmountable.
Amid success, internal contradictions surfaced. U.S. capitalism crashed three times. The
first happened early in 2000 (triggered by dot-com share-price inflation); next came the big
crash of 2008 (triggered by defaulting subprime mortgages); and the hugest crash hit in 2020
(triggered by COVID-19). Unprepared economically, politically, and ideologically for any of
them, the Federal Reserve responded by creating vast sums of new money that it threw at/lent to
(at historically low interest rates) banks, large corporations, etc. Three successive exercises
in trickle-down economic policy saw little trickle down. No underlying economic problems
(inequality, excess systemic debts, cyclical instability, etc.) have been solved. On the
contrary, all worsened. In other words, class war has been intensified.
What then is to be done? First, we need to recognize the class war that is underway and
commit to fighting it. On that basis, we must organize a mass base to put real political force
behind social democratic policies, parties, and politicians. We need something like the New
Deal coalition. The pandemic, economic crash, and gross official policy failures (including
violent official scapegoating) draw many toward classical social democracy. The successes of
the Democratic Socialists of America show this.
Second, we must face a major obstacle. Since 1945, capitalists and their supporters
developed arguments and institutions to undo the New Deal and its leftist legacies. They
silenced, deflected, co-opted, and/or demonized criticisms of capitalism. Strategic decisions
made by both the U.S. New Deal and European social democracy contributed to their defeats. Both
always left and still leave employers exclusively in positions to (1) receive and dispense
their enterprises' profits and (2) decide and direct what, how, and where their enterprises
produce. Those positions gave capitalists the financial resources and power -- politically,
economically, and culturally -- repeatedly to outmaneuver and repress labor and the left.
Third, to newly organized versions of a New Deal coalition or of social democracy, we must add a new element. We cannot
again leave capitalists in the exclusive positions to receive enterprise profits and make major enterprise decisions. The
new element is thus the demand to change enterprises producing goods and services. From hierarchical, capitalist organizations
(where owners, boards of directors, etc., occupy the employer position) we need to transition to the altogether different
democratic, worker co-op organizations. In the latter, no employer/employee split occurs. All workers have equal voice in
deciding what gets produced, how, and where and how any profits get used. The collective of all employees is their own employer.
As such an employer, the employees will finally protect and thus secure the reforms associated with the New Deal and social
democracy.
We could describe the transition from capitalist to worker co-op enterprise organizations as
a revolution. That would resolve the old debate of reform versus revolution. Revolution becomes
the only way finally to secure progressive reforms. Capitalism's reforms were generated by the
system's impacts on people and their resulting demands for change. Capitalism's resistances to
those reforms -- and undoing them after they happened -- spawned the revolution needed to
secure them. In that revolution, society moves beyond capitalism itself. So it was in the
French Revolution: demands for reform within feudal society could only finally be realized by a
social transition from feudalism to capitalism.
This article was produced by Economy for All , a project of the
Independent Media Institute. Join the debate on
Facebook More articles by: Richard D. Wolff
Richard Wolff is the author of Capitalism Hits the
Fan and Capitalism's Crisis
Deepens . He is founder of Democracy at Work .
Highly recommended!
Notable quotes:
"... It's a commonplace to say the primary job of police is to "protect and serve," but that's not their goal in the way it's commonly understood -- not in the deed, the practice of what they daily do, and not true in the original intention, in why police departments were created in the first place. "Protect and serve" as we understand it is just the cover story. ..."
"... Urban police forces in America were created for one purpose -- to "maintain order" after a waves of immigrants swept into northern U.S. cities, both from abroad and later from the South, immigrants who threatened to disturb that "order." The threat wasn't primarily from crime as we understand it, from violence inflicted by the working poor on the poor or middle class. The threat came from unions, from strikes, and from the suffering, the misery and the anger caused by the rise of rapacious capitalism. ..."
"... What's being protected? The social order that feeds the wealthy at the expense of the working poor. Who's being served? Owners, their property, and the sources of their wealth, the orderly and uninterrupted running of their factories. The goal of police departments, as originally constituted, was to keep the workers in line, in their jobs, and off the streets. ..."
"... In most countries, the police are there solely to protect the Haves from the Have-Nots. In fact, when the average frustrated citizen has trouble, the last people he would consider turning to are the police. ..."
"... Jay Gould, a U.S. robber baron, is supposed to have claimed that he could hire one half of the working class to kill the other half. ..."
"... I spent some time in the Silver Valley of northern Idaho. This area was the hot bed of labor unrest during the 1890's. Federal troops controlled the area 3 separate times,1892, 1894 and 1899. Twice miners hijacked trains loaded them with dynamite and drove them to mining company stamping mills that they then blew up. Dozens of deaths in shoot outs. The entire male population was herded up and placed in concentration camps for weeks. The end result was the assassination of the Governor in 1905. ..."
"... Interestingly this history has been completely expunged. There is a mining museum in the town which doesn't mention a word on these events. Even nationwide there seems to be a complete erasure of what real labor unrest can look like.. ..."
"... Straight-up fact: The police weren't created to preserve and protect. They were created to maintain order, [enforced] over certain subjected classes and races of people, including–for many white people, too–many of our ancestors, too.* ..."
Yves here. Tom mentions in passing the role
of Pinkertons as goons for hire to crush early labor activists. Some employers like Ford went as far as forming private armies for
that purpose. Establishing police forces were a way to socialize this cost.
By Thomas Neuberger. Originally published at
DownWithTyranny!
One version of the "thin blue line" flag, a symbol used in a variety of ways by American
police departments , their most
fervent supporters
, and other
right-wing
fellow travelers . The thin blue line represents the wall of protection that
separates the orderly "us" from the disorderly, uncivilized
"them" .
[In the 1800s] the police increasingly presented themselves as a thin blue line protecting civilization, by which they meant
bourgeois civilization, from the disorder of the working class.
-- Sam Mitrani
here
It's a commonplace to say the primary job of police is to "protect and serve," but that's not their goal in the way it's commonly
understood -- not in the deed, the practice of what they daily do, and not true in the original intention, in why police departments
were created in the first place. "Protect and serve" as we understand it is just the cover story.
To understand the true purpose of police, we have to ask, "What's being protected?" and "Who's being served?"
Urban police forces in America were created for one purpose -- to "maintain order" after a waves of immigrants swept into northern
U.S. cities, both from abroad and later from the South, immigrants who threatened to disturb that "order." The threat wasn't primarily
from crime as we understand it, from violence inflicted by the working poor on the poor or middle class. The threat came from unions,
from strikes, and from the suffering, the misery and the anger caused by the rise of rapacious capitalism.
What's being protected? The social order that feeds the wealthy at the expense of the working poor. Who's being served? Owners,
their property, and the sources of their wealth, the orderly and uninterrupted running of their factories. The goal of police departments,
as originally constituted, was to keep the workers in line, in their jobs, and off the streets.
Looking Behind Us
The following comes from an
essay
published at the blog of the Labor and Working-Class History Association, an academic group for teachers of labor studies, by
Sam Mitrani, Associate Professor of History at the College of DuPage and author of
The Rise of the Chicago Police
Department: Class and Conflict, 1850-1894 .
According to Mitrani, "The police were not created to protect and serve the population. They were not created to stop crime, at
least not as most people understand it. And they were certainly not created to promote justice. They were created to protect the
new form of wage-labor capitalism that emerged in the mid to late nineteenth century from the threat posed by that system's offspring,
the working class."
Keep in mind that there were no police departments anywhere in Europe or the U.S. prior to the 19th century -- in fact, "anywhere
in the world" according to Mitrani. In the U.S., the North had constables, many part-time, and elected sheriffs, while the South
had slave patrols. But nascent capitalism soon created a large working class, and a mass of European immigrants, "yearning to be
free," ended up working in capitalism's northern factories and living in its cities.
"[A]s Northern cities grew and filled with mostly immigrant wage workers who were physically and socially separated from the
ruling class, the wealthy elite who ran the various municipal governments hired hundreds and then thousands of armed men to impose
order on the new working class neighborhoods ." [emphasis added]
America of the early and mid 1800s was still a world without organized police departments. What the
Pinkertons were to strikes , these
"thousands of armed men" were to the unruly working poor in those cities.
Imagine this situation from two angles. First, from the standpoint of the workers, picture the oppression these armed men must
have represented, lawless themselves yet tasked with imposing "order" and violence on the poor and miserable, who were frequently
and understandably both angry and drunk. (Pre-Depression drunkenness, under this interpretation, is not just a social phenomenon,
but a political one as well.)
Second, consider this situation from the standpoint of the wealthy who hired these men. Given the rapid growth of capitalism during
this period, "maintaining order" was a costly undertaking, and likely to become costlier. Pinkertons, for example, were hired at
private expense, as were the "thousands of armed men" Mitrani mentions above.
The solution was to offload this burden onto municipal budgets. Thus, between 1840 and 1880, every major northern city
in America had created a substantial police force, tasked with a single job, the one originally performed by the armed men paid by
the business elites -- to keep the workers in line, to "maintain order" as factory owners and the moneyed class understood it.
"Class conflict roiled late nineteenth century American cities like Chicago, which experienced major strikes and riots in 1867,
1877, 1886, and 1894. In each of these upheavals, the police attacked strikers with extreme violence, even if in 1877 and 1894 the
U.S. Army played a bigger role in ultimately repressing the working class. In the aftermath of these movements, the police increasingly
presented themselves as a thin blue line protecting civilization , by which they meant bourgeois civilization, from the disorder
of the working class. This ideology of order that developed in the late nineteenth century echoes down to today – except that today,
poor black and Latino people are the main threat, rather than immigrant workers."
That "thin blue line protecting civilization" is the same blue line we're witnessing today. Yes, big-city police are culturally
racist as a group; but they're not just racist. They dislike all the "unwashed." A
recent study that reviewed "all the data
available on police shootings for the year 2017, and analyze[d] it based on geography, income, and poverty levels, as well as race"
revealed the following remarkable pattern:
" Police violence is focused overwhelmingly on men lowest on the socio-economic ladder : in rural areas outside the
South, predominately white men; in the Southwest, disproportionately Hispanic men; in mid-size and major cities, disproportionately
black men. Significantly, in the rural South, where the population is racially mixed, white men and black men are killed by police
at nearly identical rates."
As they have always been, the police departments in the U.S. are a violent force for maintaining an order that separates and protects
society's predator class from its victims -- a racist order to be sure, but a class-based order as well.
Looking Ahead
We've seen the violence of the police as visited on society's urban poor (and anyone else, poor or not, who happens to be the
same race and color as the poor too often are), and we've witnessed the violent reactions of police to mass protests challenging
the racism of that violence.
But we've also seen the violence of police during the mainly white-led Occupy movement (one instance
here ; note that while the officer involved
was fired, he was also compensated $38,000 for "suffering he experienced after the incident").
So what could we expect from police if there were, say, a national, angry, multiracial rent strike with demonstrations? Or a student
debt s trike? None of these possibilities are off the table, given the
economic damage -- most of it still unrealized -- caused by the current Covid crisis.
Will police "protect and serve" the protesters, victims of the latest massive
transfer of wealth
to the already massively wealthy? Or will they, with violence, "maintain order" by maintaining elite control of the current predatory
system?
If Mitrani is right, the latter is almost certain.
MK ,
June 19, 2020 at 12:31 am
Possible solutions? One, universal public works system for everyone 18-20. [Avoiding armed service because that will never
happen, nor peace corp.] Not allow the rich to buy then or their children an out. Let the billionaires children work along side
those who never had a single family house or car growing up.
Two, eliminate suburban school districts and simply have one per state, broken down into regional areas. No rich [or white]
flight to avoid poor systems. Children of differing means growing up side by side. Of course the upper class would simply send
their children to private schools, much as the elite do now anyway.
Class and privilege is the real underlying issue and has been since capital began to be concentrated and hoarded as the article
points out. It has to begin with the children if the future is to really change in a meaningful way.
timbers ,
June 19, 2020 at 8:06 am
I would add items targeted as what is causing inequality. Some of these might be:
1). Abolish the Federal Reserve. It's current action since 2008 are a huge transfer of wealth from us to the wealthy. No more
Quantitative Easing, no Fed buying of stocks or bonds.
2). Make the only retirement and medical program allowed Congress and the President, Social Security and Medicare. That will
cause it to be improved for all of us.
3). No stock ownership allowed for Congress folk while serving terms. Also, rules against joining those leaving Congress acting
as lobbyists.
4). Something that makes it an iron rule that any law passed by Congress and the President, must equally apply to Congress
and the President. For example, no separate retirement or healthcare access, but have this more broadly applied to all aspects
of legislation and all aspects of life.
MLTPB ,
June 19, 2020 at 11:11 am
Abolish the Fed and/or abolish the police?
Inbetween, there is
Defund Wall Street
Abolish banking
Abolish lending
Abolish cash
Defund fossil fuel subsidies
Etc.
Broader, more on the economic side, and perhaps more fundamental???
TiPs ,
June 19, 2020 at 8:34 am
I think you'd also have to legalize drugs and any other thing that leads creation of "organized ciminal groups." Take away
the sources that lead to the creation of the well-armed gangs that control illegal activities.
David ,
June 19, 2020 at 9:32 am
Unfortunately, legalising drugs in itself, whatever the abstract merits, wouldn't solve the problem. Organised crime would
still have a major market selling cut-price, tax-free or imitation drugs, as well, of course, as controlled drugs which are not
allowed to be sold to just anybody now. Organised crime doesn't arise as a result of prohibitions, it expands into new areas thanks
to them, and often these areas involve smuggling and evading customs duties. Tobacco products are legal virtually everywhere,
but there's a massive criminal trade in smuggling them from the Balkans into Italy, where taxes are much higher. Any time you
create a border, in effect, you create crime: there is even alcohol smuggling between Sweden and Norway. Even when activities
are completely legal (such as prostitution in many European countries) organised crime is still largely in control through protection
rackets and the provision of "security."
In effect, you'd need to abolish all borders, all import and customs duties and all health and safety and other controls which
create price differentials between states. And OC is not fussy, it moves from one racket to another, as the Mafia did in the 1930s
with the end of prohibition. To really tackle OC you'd need to legalise, oh, child pornography, human trafficking, sex slavery,
the trade in rare wild animals, the trade in stolen gems and conflict diamonds, internet fraud and cyberattacks, and the illicit
trade in rare metals, to name, as they say, but a few. As Monty Python well observed, the only way to reduce the crime rate (and
hence the need for the police) is to reduce the number of criminal offences. Mind you, if you defund the police you effectively
legalise all these things anyway.
km ,
June 19, 2020 at 11:48 am
I dunno, ending Prohibition sure cut down on the market for bootleg liquor. It's still out there, but the market is nothing
like what it once was.
Most people, even hardcore alcoholics, aren't going to go through the hassle of buying rotgut of dubious origin just to save
a few dimes, when you can go to the corner liquor store and get a known product, no issues with supply 'cause your dealer's supplier
just got arrested.
For that matter, OC is still definitely out there, but it isn't the force that it was during Prohibition, or when gambling
was illegal.
As an aside, years ago, I knew a guy whose father had worked for Meyer Lansky's outfit, until Prohibition put him and others
out of a job. As a token of his loyal service, the outfit gave him a (legal) liquor store to own and run.
David ,
June 19, 2020 at 12:09 pm
Yes, but in Norway, for example, you'd pay perhaps $30 for a six-pack of beer in a supermarket, whereas you'd pay half that
to somebody selling beers out of the back of a car. In general people make too much of the Prohibition case, which was geographically
and politically very special, and a a stage in history when OC was much less sophisticated. The Mob diversified into gambling
and similar industries (higher profits, fewer risks). These days OC as a whole is much more powerful and dangerous, as well as
sophisticated, than it was then, helped by globalisation and the Internet.
rob ,
June 19, 2020 at 12:25 pm
I think ending prohibitions on substances, would take quite a bite out of OC's pocketbook. and having someone move trailers
of ciggarettes of bottles of beer big deal. That isn't really paying for the lifestyle.and it doesn't buy political protection.
An old number I saw @ 2000 . the UN figured(guess) that illegal drugs were @ 600 billion dollars/year industry and most of that
was being laundered though banks. Which to the banking industry is 600 billion in cash going into it's house of mirrors. Taking
something like that out of the equation EVERY YEAR is no small thing. And the lobby from the OC who wants drugs kept illegal,
coupled with the bankers who want the cash inputs equals a community of interest against legalization
and if the local police forces and the interstate/internationals were actually looking to use their smaller budgets and non-bill
of rights infringing tactics, on helping the victim side of crimes then they could have a real mission/ Instead of just abusing
otherwise innocent people who victimize no one.
so if we are looking for "low hanging fruit" . ending the war on drugs is a no brainer.
flora ,
June 19, 2020 at 1:36 am
Thanks for this post.
"What's being protected? The social order that feeds the wealthy at the expense of the working poor. " – Neuberger
In the aftermath of these movements, the police increasingly presented themselves as a thin blue line protecting civilization,
by which they meant bourgeois civilization, from the disorder of the working class. – Mitrani
I think this ties in, if only indirectly, with the way so many peaceful recent protests seemed to turn violent after the police
showed up. It's possible I suppose the police want to create disorder to frighten not only the protestors with immediate harm
but also frighten the bourgeois about the threate of a "dangerous mob". Historically violent protests created a political backlash
that usually benefited political conservatives and the wealthy owners. (The current protests may be different in this regard.
The violence seems to have created a political backlash against conservatives and overzealous police departments' violence. )
My 2 cents.
John Anthony La Pietra ,
June 19, 2020 at 2:20 am
Sorry, but the title sent my mind back to the days of old -- of old Daley, that is, and his immortal quote from 1968: "Gentlemen,
let's get the thing straight, once and for all. The policeman isn't there to create disorder; the policeman is there to preserve
disorder."
Adam1 ,
June 19, 2020 at 7:39 am
LOL!!! great quote. Talk about saying it the way it is.
It kind of goes along with, "Police violence is focused overwhelmingly on men lowest on the socio-economic ladder: in rural
areas outside the South, predominately white men; in the Southwest, disproportionately Hispanic men; in mid-size and major cities,
disproportionately black men. Significantly, in the rural South, where the population is racially mixed, white men and black men
are killed by police at nearly identical rates."
I bang my head on the table sometimes because poor white men and poor men of color are so often placed at odds when they increasingly
face (mostly) the same problems. God forbid someone tried to unite them, there might really be some pearl clutching then.
rob ,
June 19, 2020 at 8:07 am
yeah, like Martin Luther King's "poor people's campaign". the thought of including the poor ,of all colors .. just too much
for the status quo to stomach.
The "mechanism" that keeps masses in line . is one of those "invisible hands" too.
run75441 ,
June 19, 2020 at 8:23 am
Great response! I am sure you have more to add to this. A while back, I was researching the issues you state in your last paragraph.
Was about ten pages into it and had to stop as I was drawn out of state and country. From my research.
While not as overt in the 20th century, the distinction of black slave versus poor white man has kept the class system alive
and well in the US in the development of a discriminatory informal caste system. This distraction of a class level lower than
the poorest of the white has kept them from concentrating on the disproportionate, and growing, distribution of wealth and income
in the US. For the lower class, an allowed luxury, a place in the hierarchy and a sure form of self esteem insurance.
Sennett and Cobb (1972) observed that class distinction sets up a contest between upper and lower class with the lower social
class always losing and promulgating a perception amongst themselves the educated and upper classes are in a position to judge
and draw a conclusion of them being less than equal. The hidden injury is in the regard to the person perceiving himself as a
piece of the woodwork or seen as a function such as "George the Porter." It was not the status or material wealth causing the
harsh feelings; but, the feeling of being treated less than equal, having little status, and the resulting shame. The answer for
many was violence.
James Gilligan wrote "Violence; Reflections on A National Epidemic." He worked as a prison psychiatrist and talked with many
of the inmates of the issues of inequality and feeling less than those around them. His finding are in his book which is not a
long read and adds to the discussion.
A little John Adams for you.
" The poor man's conscience is clear . . . he does not feel guilty and has no reason to . . . yet, he is ashamed. Mankind
takes no notice of him. He rambles unheeded.
In the midst of a crowd; at a church; in the market . . . he is in as much obscurity as he would be in a garret or a cellar.
He is not disapproved, censured, or reproached; he is not seen . . . To be wholly overlooked, and to know it, are intolerable
."
likbez, June 19, 2020 at 3:18 pm
That's a very important observation.
Racism, especially directed toward blacks, along with "identity wedge," is a perfect tool for disarming poor white, and suppressing
their struggle for a better standard of living, which considerably dropped under neoliberalism.
In other words, by providing poor whites with a stratum of the population that has even lower social status, neoliberals manage
to co-opt them to support the policies which economically ate detrimental to their standard of living as well as to suppress the
protest against the redistribution of wealth up and dismantling of the New Deal capitalist social protection network.
This is a pretty sophisticated, pretty evil scheme if you ask me. In a way, "Floydgate" can be viewed as a variation on the same
theme. A very dirty game indeed, when the issue of provision of meaningful jobs for working poor, social equality, and social
protection for low-income workers of any color is replaced with a real but of secondary importance issue of police violence against
blacks.
This is another way to explain "What's the matter with Kansas" effect.
John Anthony La Pietra, June 19, 2020 at 6:20 pm
I like that one! - and I have to admit it's not familiar to me, though I've been a fan since before I got to play him in a
neighboring community theater. Now I'm having some difficulty finding it. Where is it from, may I ask?
run75441, June 20, 2020 at 7:56 am
JAL:
Page 239, "The Works of John Adams, Second President of the United States."
Read the book "Violence: Reflections of A National Epidemic" . Not a long read and well documented.
Carla ,
June 19, 2020 at 12:39 pm
MLK Jr. tried, and look what happened to him once he really got some traction. If the Rev. William Barber's Poor People's Campaign
picks up steam, I'm afraid the same thing will happen to him.
I wish it were only pearl-clutching that the money power would resort to, but that's not the way it works.
JacobiteInTraining ,
June 19, 2020 at 9:20 am
Yeah – that quote struck me too, never seen it before. At times when they feel so liberated to 'say the quiet part out loud',
then as now, you know the glove is coming off and the vicious mailed fist is free to roam for victims.
Those times are where you know you need to resist or .well, die in many cases.
That's something that really gets me in public response to many of these things. The normal instinct of the populace to wake
from their somnambulant slumber just long enough to ascribe to buffoonery and idiocy ala Keystone Cops the things so much better
understood as fully consciously and purposefully repressive, reactionary, and indicating a desire to take that next step to crush
fully. To obliterate.
Many responses to this – https://twitter.com/oneunderscore__/status/1273809160128389120
– are like, 'the police are dumb', 'out of touch', 'a lot of dumb gomer pyles in that room, yuk yuk yuk'. Or, 'cops/FBI are
so dumb to pursue this antifa thing, its just a boogieman' thinking that somehow once the authorities realize 'antifa' is a boogieman,
their attitudes towards other protesters will somehow be different 'now that they realize the silliness of the claims'.
No, not remotely the case – to a terrifyingly large percentage of those in command, and in rank & file they know exactly where
it came from, exactly how the tactics work, and have every intention of classifying all protesters (peaceful or not) into that
worldview. The peaceful protesters *are* antifa in their eyes, to be dealt with in the fully approved manner of violence and repression.
km ,
June 19, 2020 at 11:56 am
In most countries, the police are there solely to protect the Haves from the Have-Nots. In fact, when the average frustrated
citizen has trouble, the last people he would consider turning to are the police.
This is why in the Third World, the only job of lower social standing than "policeman" is "police informer".
cripes ,
June 19, 2020 at 3:35 am
The anti-rascist identity of the recent protests rests on a much larger base of class warfare waged over the past 40 years
against the entire population led by a determined oligarchy and enforced by their political, media and militarized police retainers.
This same oligarchy, with a despicable zeal and revolting media-orchestrated campaign–co-branding the movement with it's usual
corporate perpetrators– distorts escalating carceral and economic violence solely through a lens of racial conflict and their
time-tested toothless reforms. A few unlucky "peace officers" may have to TOFTT until the furor recedes, can't be helped.
Crowding out debt relief, single payer health, living wages, affordable housing and actual justice reform from the debate that
would benefit African Americans more than any other demographic is the goal.
The handful of Emperors far prefer kabuki theater and random ritual Seppuku than facing the rage of millions of staring down
the barrel of zero income, debt, bankruptcy, evictions and dispossession. The Praetorians will follow the money as always.
I suppose we'll get some boulevards re-named and a paid Juneteenth holiday to compensate for the destruction 100+ years of
labor rights struggle, so there's that..
Boatwright ,
June 19, 2020 at 7:51 am
Homestead, Ludlow, Haymarket, Matewan -- the list is long
Working men and women asking for justice gunned down by the cops. There will always be men ready to murder on command as long
as the orders come from the rich and powerful. We are at a moment in history folks were some of us, today mostly people of color,
are willing to put their lives on the line. It's an ongoing struggle.
MichaelSF ,
June 19, 2020 at 12:18 pm
Jay Gould, a U.S. robber baron, is supposed to have claimed that he could hire one half of the working class to kill the
other half.
https://en.wikipedia.org/wiki/Jay_Gould
rob ,
June 19, 2020 at 7:58 am
So how can a tier of society(the police) . be what a society needs ? When as this story and many others show how and why the
police were formed. To break heads. When they have been "the tool" of the elite forever. When so many of them are such dishonest,
immoral, wanna be fascists. And the main direction of the US is towards a police state and fascists running the show . both
republican and democrat. With technology being the boot on the neck of the people and the police are there to take it to the streets.
Can those elusive "good apples" turn the whole rotten barrel into sweet smelling apple pie? That is a big ask.
Or should the structure be liquidated, sell their army toys. fill the ranks with people who are not pathological liars and
abusers and /or racists; of one sort or another. Get rid of the mentality of overcompensation by uber machismo. and make them
watch the andy griffith show. They ought to learn that they can be respected if they are good people, and that they are not respected
because they seek respect through fear and intimidation.
Is that idiot cry of theirs, .. the whole yelling at you; demanding absolute obedience to arbitrary ,assinine orders, really
working to get them respect or is it just something they get off on?
When the police are shown to be bad, they strike by work slowdown, or letting a little chaos loose themselves. So the people
know they need them So any reform of the police will go through the police not doing their jobs . but then something like better
communities may result. less people being busted and harassed , or pulled over for the sake of a quota . may just show we don't
need so much policing anyway. And then if the new social workers brigade starts intervening in peoples with issues when they are
young and in school maybe fewer will be in the system. Couple that with the police not throwing their family in jail for nothing,
and forcing them to pay fines for breaking stupid laws. The system will have less of a load, and the new , better cops without
attitudes will be able to handle their communities in a way that works for everyone. Making them a net positive, as opposed to
now where they are a net negative.
Also,
The drug war is over. The cops have only done the bidding of the organized criminal elements who make their bread and butter
because of prohibition.
Our representatives can legally smoke pot , and grow it in their windowboxes in the capital dc., but people in many places
are still living in fear of police using possession of some substance,as a pretext to take all their stuff,throw them in jail.
But besides the cops, there are the prosecutors . they earn their salaries by stealing it from poor people through fines for things
that ought to be legal. This is one way to drain money from poor communities, causing people to go steal from others in society
to pay their court costs.
And who is gonna come and bust down your door when you can't pay a fine and choose to pay rent and buy your kids food instead
. the cops. just doing their jobs. Evil is the banality of business as usual
Tom Stone ,
June 19, 2020 at 8:20 am
The late Kevin R C O'Brien noted that in every case where the Police had been ordered to "Round up the usual suspects" they
have done so, and delivered them where ordered. It did not matter who the "Usual suspects" were, or to what fate they were
to be delivered. They are the King's men and they do the King's bidding.
The Rev Kev ,
June 19, 2020 at 10:10 am
To have a reasonable discussion, I think that it should be recognized that modern police are but one leg of a triad. The first
of course is the police who appear to seem themselves as not part of a community but as enforcers in that community. To swipe
an idea from Mao, the police should move amongst the people as a fish swims in the sea. Not be a patrolling shark that attacks
who they want at will knowing that there will be no repercussions against them. When you get to the point that you have police
arresting children in school for infractions of school discipline – giving them a police record – you know that things have gotten
out of hand.
The next leg is the courts which of course includes prosecutors. It is my understanding that prosecutors are elected to office
in the US and so have incentives to appear to be tough on crime"" . They seem to operate more like 'Let's Make a Deal' from what
I have read. When they tell some kid that he has a choice of 1,000 years in prison on trumped up charges or pleads guilty to a
smaller offence, you know that that is not justice at work. Judges too operate in their own world and will always take the word
of a policeman as a witness.
And the third leg is the prisons which operate as sweatshops for corporate America. It is in the interest of the police and
the courts to fill up the prisons to overflowing. Anybody remember the Pennsylvania "kids for cash" scandal where kids lives were
being ruined with criminal records that were bogus so that some people could make a profit? And what sort of prison system is
it where a private contractor can build a prison without a contract at all , knowing that the government (California in
this case) will nonetheless fill it up for a good profit.
In short, in sorting out police doctrine and methods like is happening now, it should be recognized that they are actually
only the face of a set of problems.
MLTPB ,
June 19, 2020 at 11:00 am
How did ancient states police? Perhaps Wiki is a starting point of this journey. Per Its entry, Police, in ancient Greece,
policing was done by public owned slaves. In Rome, the army, initially. In China, prefects leading to a level of government
called prefectures .
Pookah Harvey ,
June 19, 2020 at 10:54 am
I spent some time in the Silver Valley of northern Idaho. This area was the
hot bed of labor unrest during
the 1890's. Federal troops controlled the area 3 separate times,1892, 1894 and 1899. Twice miners hijacked trains loaded them
with dynamite and drove them to mining company stamping mills that they then blew up. Dozens of deaths in shoot outs. The entire
male population was herded up and placed in concentration camps for weeks. The end result was the assassination of the Governor
in 1905.
Interestingly this history has been completely expunged. There is a mining museum in the town which doesn't mention a word
on these events. Even nationwide there seems to be a complete erasure of what real labor unrest can look like..
rob ,
June 19, 2020 at 11:58 am
Yeah, labor unrest does get swept under the rug. Howard zinn had examples in his works "the peoples history of the United States"
The pictched battles in upstate new york with the Van Rennselear's in the 1840's breaking up rennselearwyk . the million acre
estate of theirs . it was a rent strike.
People remembering , we have been here before doesn't help the case of the establishment so they try to not let it happen.
We get experts telling us . well, this is all new we need experts to tell you what to think. It is like watching the
footage from the past 100 years on film of blacks marching for their rights and being told.. reform is coming.. the more things
change, the more things stay the same. Decade after decade. Century after century. Time to start figuring this out people. So,
the enemy is us. Now what?
Carolinian ,
June 19, 2020 at 11:01 am
Doubtless the facts presented above are correct, but shouldn't one point out that the 21st century is quite different from
the 19th and therefore analogizing the current situation to what went on before is quite facile? For example it's no longer necessary
for the police to put down strikes because strike actions barely still exist. In our current US the working class has diminished
greatly while the middle class has expanded. We are a much richer country overall with a lot more people–not just those one percenters–concerned
about crime. Whatever one thinks of the police, politically an attempt to go back to the 18th century isn't going to fly.
MLTPB ,
June 19, 2020 at 11:15 am
Perhaps we are more likely to argue among ourselves, when genetic fallacy is possibly in play.
Pookah Harvey ,
June 19, 2020 at 11:37 am
" the 21st century is quite different from the 19th "
From the Guardian: "How Starbucks, Target, Google and Microsoft quietly fund police through private donations"
More than 25 large corporations in the past three years have contributed funding to private police foundations, new report
says.
These foundations receive millions of dollars a year from private and corporate donors, according to the report, and are
able to use the funds to purchase equipment and weapons with little public input. The analysis notes, for example, how the
Los Angeles police department in 2007 used foundation funding to purchase surveillance software from controversial technology
firm Palantir. Buying the technology with private foundation funding rather than its public budget allowed the department to
bypass requirements to hold public meetings and gain approval from the city council.
The Houston police foundation has purchased for the local police department a variety of equipment, including Swat equipment,
sound equipment and dogs for the K-9 unit, according to the report. The Philadelphia police foundation purchased for its police
force long guns, drones and ballistic helmets, and the Atlanta police foundation helped fund a major surveillance network of
over 12,000 cameras.
In addition to weaponry, foundation funding can also go toward specialized training and support programs that complement
the department's policing strategies, according to one police foundation.
"Not a lot of people are aware of this public-private partnership where corporations and wealthy donors are able to siphon
money into police forces with little to no oversight," said Gin Armstrong, a senior research analyst at LittleSis.
Maybe it is just me, but things don't seem to be all that different.
Bob ,
June 19, 2020 at 11:40 am
If we made America Great Again we could go back to the 18th century.
rob ,
June 19, 2020 at 12:11 pm
While it is true, this is a new century. Knowing how the present came to be, is entirely necessary to be able to attempt any
move forward.
The likelihood of making the same old mistakes is almost certain, if one doesn't try to use the past as a reference.
And considering the effect of propaganda and revisionism in the formation of peoples opinions, we do need " learning against learning"
to borrow a Jesuit strategy against the reformation, but this time it should embrace reality, rather than sow falsehoods.
But I do agree,
We have never been here before, and now is a great time to reset everything. With all due respect to "getting it right" or at
least "better".
and knowing the false fables of righteousness, is what people need to know, before they go about "burning down the house".
Carolinian ,
June 19, 2020 at 12:42 pm
You know it's not as though white people aren't also afraid of the police. Alfred Hitchcock said he was deathly afraid of police
and that paranoia informed many of his movies. Woody Allen has a funny scene in Annie Hall where he is pulled over by a cop and
is comically flustered. White people also get shot and killed by the police as the rightwingers are constantly pointing out.
And thousands of people in the streets tell us that police reform is necessary. But the country is not going to get rid of
them and replace police with social workers so why even talk about it? I'd say the above is interesting .not terribly relevant.
Mattski ,
June 19, 2020 at 11:37 am
Straight-up fact: The police weren't created to preserve and protect. They were created to maintain order, [enforced] over
certain subjected classes and races of people, including–for many white people, too–many of our ancestors, too.*
And the question that arises from this: Are we willing to the subjects in a police state? Are we willing to continue to let
our Black and brown brothers and sisters be subjected BY such a police state, and to half-wittingly be party TO it?
Or do we want to exercise AGENCY over "our" government(s), and decide–anew–how we go out our vast, vast array of social ills.
Obviously, armed police officers with an average of six months training–almost all from the white underclass–are a pretty f*cking
blunt instrument to bring to bear.
On our own heads. On those who we and history have consigned to second-class citizenship.
Warning: this is a revolutionary situation. We should embrace it.
*Acceding to white supremacy, becoming "white" and often joining that police order, if you were poor, was the road out of such
subjectivity. My grandfather's father, for example, was said to have fled a failed revolution in Bohemia to come here. Look back
through history, you will find plenty of reason to feel solidarity, too. Race alone cannot divide us if we are intent on the lessons
of that history.
Highly recommended!
Notable quotes:
"... While not as overt in the 20th century, the distinction of black slave versus poor white man has kept the class system alive and well in the US in the development of a discriminatory informal caste system. ..."
"... a class level lower than the poorest of the white has kept them from concentrating on the disproportionate, and growing, distribution of wealth and income in the US. ..."
"... It was not the status or material wealth causing the harsh feelings; but, the feeling of being treated less than equal, having little status, and the resulting shame. ..."
"... In other words, by providing poor whites with a stratum of the population that has even lower social status, neoliberals manage to co-opt them to support the policies which economically ate detrimental to their standard of living as well as to suppress the protest against the redistribution of wealth up and dismantling of the New Deal capitalist social protection network. ..."
"... This is a pretty sophisticated, pretty evil scheme if you ask me. In a way, “Floydgate” can be viewed as a variation on the same theme. A very dirty game indeed, when the issue of provision of meaningful jobs for working poor, social equality, and social protection for low-income workers of any color is replaced with a real but of secondary importance issue of police violence against blacks. ..."
run75441 June 19, 2020 at 8:23 am
...A while back, I was researching the issues you state in your last paragraph. Was about ten pages into it and had to stop
as I was drawn out of state and country.
From my research.
While not as overt in the 20th century, the distinction of black slave versus poor white man has kept the class system
alive and well in the US in the development of a discriminatory informal caste system.
This distraction of a class level lower than the poorest of the white has kept them from concentrating on the disproportionate,
and growing, distribution of wealth and income in the US.
For the lower class, an allowed luxury, a place in the hierarchy and a sure form of self esteem insurance.
Sennett and Cobb (1972) observed that class distinction sets up a contest between upper and lower class with the lower social
class always losing and promulgating a perception amongst themselves the educated and upper classes are in a position to judge
and draw a conclusion of them being less than equal.
The hidden injury is in the regard to the person perceiving himself as a piece of the woodwork or seen as a function such as
"George the Porter."
It was not the status or material wealth causing the harsh feelings; but, the feeling of being treated less than equal,
having little status, and the resulting shame.
The answer for many was violence.
James Gilligan wrote "Violence; Reflections on A National Epidemic." He worked as a prison psychiatrist and talked with many
of the inmates of the issues of inequality and feeling less than those around them. His finding are in his book which is not a
long read and adds to the discussion.
A little John Adams for you.
"The poor man's conscience is clear . . . he does not feel guilty and has no reason to . . . yet, he is ashamed. Mankind
takes no notice of him. He rambles unheeded.
In the midst of a crowd; at a church; in the market . . . he is in as much obscurity as he would be in a garret or a cellar.
He is not disapproved, censured, or reproached; he is not seen . . . To be wholly overlooked, and to know it, are intolerable."
likbez June 19, 2020 1:25 pm
That’s a very important observation. Racism, especially directed toward blacks, along with “identity wedge,” is a perfect tool
for disarming poor white, and suppressing their struggle for a better standard of living, which considerably dropped under neoliberalism.
In other words, by providing poor whites with a stratum of the population that has even lower social status, neoliberals
manage to co-opt them to support the policies which economically ate detrimental to their standard of living as well as to suppress
the protest against the redistribution of wealth up and dismantling of the New Deal capitalist social protection network.
This is a pretty sophisticated, pretty evil scheme if you ask me. In a way, “Floydgate” can be viewed as a variation on
the same theme. A very dirty game indeed, when the issue of provision of meaningful jobs for working poor, social equality, and
social protection for low-income workers of any color is replaced with a real but of secondary importance issue of police violence
against blacks.
This is another way to explain “What’s the matter with Kansas” effect.
Highly recommended!
Notable quotes:
"... Anti-racism as an ideology serves a perfect function for corporations that ultimately take workers for granted. ..."
"... Today, we find Lincoln statues desecrated . Neither has the memorial to the 54th Massachusetts Infantry , one of the first all-black units in the Civil War, survived the recent protests unscathed. To many on the left, history seems like the succession of one cruelty by the next. And so, justice may only be served if we scrap the past and start from a blank slate. As a result, Lincoln's appeal that we stand upright and enjoy our liberty gets lost to time. ..."
"... Ironically, this will only help the cause of Robert E. Lee -- and the modern corporations who rely on cheap, inhumane labor to keep themselves going. ..."
"... Before black slaves did this work, white indentured servants had. (An indentured servant is bound for a number of years to his master, i.e. he can't pack up and leave to find a new opportunity elsewhere.) ..."
"... But in the eyes of the Southern slavocracy, the white laboring poor of the North also weren't truly human. Such unholy antebellum figures as the social theorist George Fitzhugh or South Carolina Senator James Henry Hammond urged that the condition of slavery be expanded to include poor whites, too. Their hunger for a cheap, subservient labor source did not stop at black people, after all. ..."
"... Always remember Barbara Fields's formula: The need for cheap labor comes first; ideologies like white supremacy only give this bleak reality a spiritual gloss. ..."
"... Michael Lind argues in his new book The New Class War that many powerful businesses in America today continue to rely on the work of quasi indentured servants. Hungry for unfree, cheap workers, corporations in Silicon Valley and beyond employ tens of thousands of foreign workers through the H-2B visa program. These workers are bound to the company that provided them with the visa. If they find conditions at their jobs unbearable, they can't switch employers -- they would get deported first. In turn, this source of cheap labor effectively underbids American workers who could do the same job, except that they would ask for higher pay. ..."
"... We're getting turned into rats. Naturally, this is no fertile soil for solidarity. And with so many jobs precarious and subcontracted out on a temporary basis, there is preciously little that most workers can do to fight back this insidious managerial control. Free labor looks different. ..."
"... It's hard to come out of the 2020 primaries without realizing that the corporations that run our mainstream media will do anything to protect their right to abuse cheap labor. ..."
"... At this point in history, to the extent that black people suffer any meaningful oppression at all, its down to disproportionate poverty rates, not their racial background. ..."
"... I agree one hundred percent with your take on Biden. Let me add something else: he is a war hawk who not only voted for the Iraq war but used his position as the chairman of an important committee to promote it. ..."
"... Because of slavery alot of bad political policy was incorporated in the founding documents. If a police officer is about to wrongly arrest you because you are black , you do not care if his hatred stems from 400 years of discrimination against blacks. Rather you care that he won't kill you in this encounter because of his racism. ..."
"... Baszak believes racism has no life of its own, it exists only as a tool of the bosses. This is vulgar Marxism. At least since the decades after Bacon's Rebellion ended in 1677, poor whites have invested in white supremacy as a way of boosting their social status. Most Southern families owned no slaves, yet most joined the Civil War cause. ..."
"... They made a movie that beautifully touches this in the 1970s with Harvey Keitel and Richard Pryor called " Blue Collar ." ..."
"... "That's exactly what the company wants: to keep you on their line," says Smokey, the coolest and most strategically minded of the crew. "They'll do anything to keep you on their line. They pit the lifers against the new boys, the old against the young, the black against the white -- everybody -- to keep us in our place." ..."
"... The core thesis in this piece is the animating foundation of The Hill's political talk show "Rising." Composed of a populist Bernie supporter (Krystal Ball) and populist conservative (Saagar Enjeti) as hosts, they frequently highlight the purpose of woke cultural battles is to distract everyone for their neoliberal economic models ..."
Anti-racism as an ideology serves a perfect function for corporations that ultimately take workers for granted.
Former injured Amazon employees join labor organizers and community activists to demonstrate and hold a press conference
outside of an Amazon Go store to express concerns about what they claim is the company's "alarming injury rate" among warehouse
workers on December 10, 2019 in Chicago, Illinois. (Photo by Scott Olson/Getty Images)
On April 2, 1865, in the dying days of the American Civil War, President Abraham Lincoln wandered the streets of burnt out Richmond,
the former Confederate capital. All of a sudden, Lincoln found himself surrounded by scores of emancipated men and women. Here's
how the historian James McPherson describes the moving episode in his magisterial book
Battle Cry of Freedom :
Several freed slaves touched Lincoln to make sure he was real. "I know I am free," shouted an old woman, "for I have seen Father
Abraham and felt him." Overwhelmed by rare emotions, Lincoln said to one black man who fell on his knees in front of him: "Don't
kneel to me. That is not right. You must kneel to God only, and thank Him for the liberty you will enjoy hereafter."
Lincoln's legacy as the Great Emancipator has survived the century and a half since then largely intact. But there have been cracks
in this image, mostly caused by questioning academics who decried him as an overt white supremacist. This view eventually entered
the mainstream when Nikole Hannah-Jones wrote misleadingly in her
lead essay
to the "1619 Project" that Lincoln "opposed black equality."
Today, we find Lincoln statues
desecrated . Neither has the memorial
to the 54th Massachusetts Infantry , one of the first all-black units in the Civil War, survived the recent protests unscathed.
To many on the left, history seems like the succession of one cruelty by the next. And so, justice may only be served if we scrap
the past and start from a blank slate. As a result, Lincoln's appeal that we stand upright and enjoy our liberty gets lost to time.
Ironically, this will only help the cause of Robert E. Lee -- and the modern corporations who rely on cheap, inhumane labor
to keep themselves going.
***
The main idea driving the "1619 Project" and so much of recent scholarship is that the United States of America originated in
slavery and white supremacy. These were its true founding ideals. Racism, Hannah-Jones writes, is in our DNA.
Such arguments don't make any sense, as the historian Barbara Fields clairvoyantly argued in a
groundbreaking essay from 1990. Why would Virginia planters in the 17th century import black people purely out of hate? No, Fields
countered, the planters were driven by a real need for dependable workers who would toil on their cotton, rice, and tobacco fields
for little to no pay. Before black slaves did this work, white indentured servants had. (An indentured servant is bound for a number
of years to his master, i.e. he can't pack up and leave to find a new opportunity elsewhere.)
After 1776 everything changed. Suddenly the new republic claimed that "all men are created equal" -- and yet there were millions
of slaves who still couldn't enjoy this equality. Racism helped to square our founding ideals with the brute reality of continued
chattel slavery: Black people simply weren't men.
But in the eyes of the Southern slavocracy, the white laboring poor of the North also weren't truly human. Such unholy antebellum
figures as the social theorist George Fitzhugh or South Carolina Senator James Henry Hammond
urged that the condition of slavery be expanded to include poor whites, too. Their hunger for a cheap, subservient labor source
did not stop at black people, after all.
Always remember Barbara Fields's formula: The need for cheap labor comes first; ideologies like white supremacy only give
this bleak reality a spiritual gloss.
The true cause of the Civil War -- and it bears constant
repeating for all the doubters -- was whether slavery would expand its reach or whether
"free labor" would reign supreme. The latter was the dominant
ideology of the North: Free laborers are independent, self-reliant, and eventually achieve economic security and independence by
the sweat of their brow. It's the American Dream. But if that is so, then the Civil War ended in a tie -- and its underlying conflict was never really settled.
***
Michael Lind argues in his new book The New Class War
that many powerful businesses in America today continue to rely on the work of quasi indentured servants. Hungry for unfree, cheap
workers, corporations in Silicon Valley and beyond employ tens of thousands of foreign workers through the H-2B visa program. These
workers are bound to the company that provided them with the visa. If they find conditions at their jobs unbearable, they can't switch
employers -- they would get deported first. In turn, this source of cheap labor effectively underbids American workers who could
do the same job, except that they would ask for higher pay.
America's wealth rests on this mutual competition between workers -- some nominally "free," others basically indentured -- whether
it be through unjust visa schemes or other unfair managerial practices.
Remember that the next time you read a public announcement by the Amazons of this world that they remain committed to "black lives
matter" and similar identitarian causes.
Fortunately, very few Americans hold the same racial resentments in their hearts as their ancestors did even just half a century
ago. Rarely did we agree as much than when the nation near unanimously condemned the death of George Floyd at the hands of a few
Minneapolis police officers. This is in keeping with another fortunate trend: Over the last 40 years, the rate of police killings
of young black men declined by 79% percent .
But anti-racism as an ideology serves a perfect function for our corporations, even despite the evidence that people in this country
have grown much less bigotted than they once were: As a management tool, anti-racism sows constant suspicion among workers who are
encouraged to detect white supremacist sentiments in everything that their fellow workers say or do.
We're getting turned into rats. Naturally, this is no fertile soil for solidarity. And with so many jobs precarious and subcontracted
out on a temporary basis, there is preciously little that most workers can do to fight back this insidious managerial control. Free
labor looks different.
And so, through a surprising back door, the true cause for which Robert E. Lee chose to betray his country might still be coming
out on top, whether we remove his statues or not -- namely, the steady supply to our ruling corporations of unfree workers willing
to hustle for scraps.
It's time to follow Abraham Lincoln's urging and get off our knees again. We should assert our rights as American citizens to
live free from economic insecurity and mutual resentment. The vast majority of us harbor no white supremacist views, period. Instead,
we have so many more things in common, and we know it.
Another anecdote from the last days of the Civil War, also taken from Battle Cry of Freedom, might prove instructive here: The
surrender of Lee's Army of Northern Virginia to Ulysses S. Grant at Appomattox Court House on April 9, 1865 essentially ended the
Civil War. The ceremony was held with solemn respect for Lee, though one of Grant's adjutants couldn't help himself but have a subtle
dig at Lee's expense:
After signing the papers, Grant introduced Lee to his staff. As he shook hands with Grant's military secretary Ely Parker,
a Seneca Indian, Lee stared a moment at Parker's dark features and said, "I am glad to see one real American here." Parker responded,
"We are all Americans."
Gregor Baszak is a PhD Candidate in English at the University of Illinois at Chicago and a writer. His articles have appeared
in Los Angeles Review of Books, Public Books, Spectator USA, Spiked, and elsewhere. Follow Gregor on Twitter at @gregorbas1.
Megan S •
15 hours ago
It's a bit off-topic but this is a big reason I supported Bernie Sanders in the Democratic Primary this year, he was the only
candidate talking about how businesses demand that cheap labor, illegal labor, replace American labor. For this, the corporate
media called him a racist, an anti-semite, a dangerous radical. None of his opponents aside from Elizabeth Warren had anything
to run on aside from pseudo-woke touchy-feely bs. And somehow, with the media insisting that Joe Biden was the only one who could
beat Trump, we ended up with the one candidate who was neither good on economics, good for American workers, or offering platitudes
about wokeness.
It's hard to come out of the 2020 primaries without realizing that the corporations that run our mainstream media will do anything
to protect their right to abuse cheap labor.
JonF311
Victor_the_thinker •
8 hours ago
Racism is very real. If it weren't it couldn't be used to "divide and conquer" the working calss. we can walk and chew gum
and the same time: oppose racism, and also oppose exploitive labor practices.
Bureaucrat
Victor_the_thinker •
an hour ago • edited
What kind of polemic, unsupported statement is "black fast food workers are the ones who gave us the fight for $15"? How about
it was a broad coalition of progressives (of all colors)? Moreover, $15 minimum wage is a poor, one-size-fits-all band-aid that
I doubt even fits ONE scenario. Tackling the broader shareholder capitalism model of labor arbitrage (free trade/mass immigration),
deunionization, and monopolistic hurdles drafted by corporations is where it actually matters. And on that, we are seeing the
inklings of a populist left-right coalition -- if corporate-funded race hustlers could only get out of the way.
Bureaucrat
JonF311 •
2 hours ago • edited
That's the problem. We CAN'T chew gum and walk at the same time. Every minute focusing on racial friction is a minute NOT talking
about neoliberal economics. What's the ratio of air time, social media discussion, or newspaper inches are devoted to race vis-a-vis
the economic system that has starved the working class -- which is disproportionately black and brown? 10 to 1? 100 to 1? 1000
to 1? If there are no decent working class jobs for young black and brown men, then it makes it nearly impossible to raise families.
Let's be clear: Systemic racism is real, but it is far less impactful than economic injustices and family dissolution.
Selvar
Victor_the_thinker •
33 minutes ago • edited
Class really isn't the primary issue for black people.
That's a frankly ridiculous statement. At this point in history, to the extent that black people suffer any meaningful oppression
at all, its down to disproportionate poverty rates, not their racial background. No one--except a few neurotic, high-strung corporate
HR PMC types--cares about "microaggressions". Even unjust police shootings of blacks are likely down to class and not race--despite
the politically correct narrative saying otherwise.
Putting racial identity politics as an equal (or even greater) priority than class-based solidarity creates an absurd system
where an upper-middle class black woman attending Yale can act as if a working class white man is oppressing her by not acknowledging
his "white privilege", and not bowing to her every demand. It's utterly delusional to think that sort of culture is going to create
a more just or equal world.
joeo
Megan S •
9 hours ago
shiva
Biden is a Rorschach test, people see whatever they want in a party apparatchik. Trump has been Shiva, the destroyer of the
traditional Republican party. How else do you explain the support among Multi-Billionaires for the Democratic party. Truly ironic.
Jessica Ramer
Megan S •
8 hours ago
I agree one hundred percent with your take on Biden. Let me add something else: he is a war hawk who not only voted for the
Iraq war but used his position as the chairman of an important committee to promote it. I understand that he still wants to divide
Iraq into three separate countries--a decision for Iraqis to make and not us. If we try to implement that policy, it would doubtless
lead to more American deaths--to say nothing of Iraqi deaths.
So not only is he not good for American workers, he is not good for the American soldier who is disproportionately likely not
to be from the elite classes but rather from the working and lower-middle class.
The only other Democratic candidate who opposed war-mongering besides Sanders was Tulsi Gabbard. I watched CNN commentary after
a debate in which she participated. While the other participants received lots of commentary from CNN talking heads. she got almost
nothing. She was featured in a video montage of candidates saying "Trump"; other than that, she was invisible in the post-debate
analysis.
Megan S
Jessica Ramer •
7 hours ago
I don't know how far it travelled outside of Democratic primary voters, but I recall Biden's campaign saying that they were
planning to be sort of a placeholder that would pass the torch to the next generation. He's insinuated that he only wants to serve
one term and saw jumping into the race as the only way to beat Trump. Not the most exciting platform for the Democrats to run
on.
As depressing as this primary was, it's good to see that the rising generation of Democrats was resistant to platitudes and demanded
actual policy proposals.
Shame the party elders fell for the same old tricks yet again. I just hope that once there are more of
us, we can have a serious policy debate in both major parties about free trade, immigration, inequality. The parties' voters aren't
all that far apart on economics, yet neither of us is being given what we want. Whichever party sincerely takes a stand for the
American working class stands to dominate American politics for a generation.
kouroi
Megan S •
5 hours ago
"Shame the party elders fell for the same old tricks yet again."
Oops, they tripped, poor oldies, not good in keeping their balance, eh?!
Bureaucrat
Megan S •
2 hours ago • edited
The problem with Biden's "placeholder" comments is that he specifically mentioned it for Pete Buttigeig, the McKinsey-trained
career opportunist who believes in his bones the same neoliberal economics and interventionist foreign policies as the last generation.
Same bad ideas, new woke packaging.
Megan S
Bureaucrat •
2 hours ago
On the bright side, young people despise Buttigieg and his attempt to cast us all as homophobic didn't really catch on outside
of corporate media.
Bureaucrat
Megan S •
an hour ago
Kamala Harris and Susan Rice, both tops on the VP list, will do just fine in place of Buttigieg - he's slated to revive TPP
as the new USTR cabinet lead.
kouroi •
14 hours ago
And just like that Mr. Baszak has become the second favorite writer here at TAC, after Mr. Larison...
stephen pickard •
9 hours ago
Because of slavery alot of bad political policy was incorporated in the founding documents. If a police officer is about to
wrongly arrest you because you are black , you do not care if his hatred stems from 400 years of discrimination against blacks.
Rather you care that he won't kill you in this encounter because of his racism.
To me, I have always thought that America's original sin was slavery. Its stain can not be completely wiped out.
And I further believe that if Native Americans would have enslaved the newly arrived Europeans, and remained the ruling majority,
white people would be discriminated against today.
So the problem is not that white people are inherently evil, or other races are inherently good. It is that because of slavery
black people are bad, white people are good.
As a nation we have never been able to wash out the stain completely. Never will. Getting closer to the promised land is the
best we are going to do. Probably take another 400 years.
In everyday encounters no one cares how discrimination began, just treat me like you want to be treated. Pretty simple.
Randolph Bourne •
2 hours ago
"As a management tool, anti-racism sows constant suspicion among workers who are encouraged to detect white supremacist sentiments
in everything that their fellow workers say or do."
The author does not offer one smidgen of proof that any company uses antiracism to divide workers. It might be plausible that
it's happened, but Baszak has no data at all.
Over the last 40 years, the rate of police killings of young black men declined by 79% percent.
You think this is an accident? It came about through intense pressure on the police to stop killing Black people -- exactly
the sort of racial emphasis the author seems to be decrying. Important to note that the non-fatal mistreatment has remained high.
The need for cheap labor comes first; ideologies like white supremacy only give this bleak reality a spiritual gloss
Baszak believes racism has no life of its own, it exists only as a tool of the bosses. This is vulgar Marxism. At least since
the decades after Bacon's Rebellion ended in 1677, poor whites have invested in white supremacy as a way of boosting their social
status. Most Southern families owned no slaves, yet most joined the Civil War cause. The psychological draw of racism, its cultural
strength, are obviated by Barszak. And I bet Barbara Fields does not consider racism an epiphenomenon of economics.
Bureaucrat •
2 hours ago
They made a movie that beautifully touches this in the 1970s with Harvey Keitel and Richard Pryor called "Blue
Collar."
"That's exactly what the company wants: to keep you on their line," says Smokey, the coolest and most strategically minded
of the crew. "They'll do anything to keep you on their line. They pit the lifers against the new boys, the old against the young,
the black against the white -- everybody -- to keep us in our place."
Bureaucrat •
an hour ago
The core thesis in this piece is the animating foundation of The Hill's political talk show "Rising." Composed of a populist
Bernie supporter (Krystal Ball) and populist conservative (Saagar Enjeti) as hosts, they frequently highlight the purpose of woke
cultural battles is to distract everyone for their neoliberal economic models -- a system that actually has greater deleterious
impact on black communities.
This video is one recent example of what you'll rarely see in mainstream media:
https://www.youtube.com/watch?v=Chq_VxzDsSc
Highly recommended!
Notable quotes:
"... Debt-free is the new American dream ..."
Krystal Ball exposes the delusion of the American dream.
About Rising: Rising is a weekday morning show with bipartisan hosts that breaks the mold of
morning TV by taking viewers inside the halls of Washington power like never before. The show
leans into the day's political cycle with cutting edge analysis from DC insiders who can
predict what is going to happen.
It also sets the day's political agenda by breaking exclusive
news with a team of scoop-driven reporters and demanding answers during interviews with the
country's most important political newsmakers.
Owen Cousino , 4 days
ago
Debt-free is the new American dream
poppaDehorn , 4
days ago
Got my degree just as the great recession hit. Couldn't find real work for 3 years, not
using my degree... But it was work. now after 8 years, im laid off. I did everything "right".
do good in school, go to college, get a job...
I've never been fired in my life. its always,
"Your contract is up" "Sorry we cant afford to keep you", "You can make more money collecting!
but we'll give a recommendation if you find anything."
Now I'm back where i started... only
now I have new house and a family to support... no pressure.
Under neoliberalism (and generally under any form of capitalism without countervailing force) the wages tend to deteriorate to the
starvation level
Sound too familiar? Sometime in the late 80s (??) Americans began to see day labors line up at Home Depot and Lowe's lots in numbers
not seen since The Great Depression. Manufacturing Corporations began subbing out their work to sub-contractors, otherwise known
as employees without benefits; Construction Contractors subbed out construction work to these employees without benefits; Engineering
Firms subbed out engineering to these employees without benefits; Landscapers' workers were now sub-contractors/independent contractors;
Here, in the SF Bay Area, time and again, we saw vans loads of undocumented Hispanics under a 'Labor Contractor' come in from the
Central Valley to build condos; the white Contractor for the project didn't have a single employee; none of the workers got a W-2.
Recall watching, sometime in the 90s (??), a familiar, well dressed, rotund guest from Wall Street, on the PBS News Hour, forcefully
proclaiming to the TV audience:
American workers are going to have to learn to compete with the Chinese; Civil Service employees, factory employees, are all
going to have to work for less
All this subcontracting, independent contractors, was a scam, a scam meant to circumvent paying going wages and benefits, to enhance
profit margins; a scam that transferred more wealth to the top. Meanwhile back at The Ranch, after the H1B Immigration Act of 1990,
Microsoft could hire programmers from India for one-half the cost of a citizen programmer. Half of Bill Gates' fortune was resultant
these labor savings; the other half was made off those not US Citizens. Taking a cue, Banks, Bio-Techs, some City and State Governments
began subcontracting out their programming to H1Bs. Often, the subcontractors/labor contractors (often themselves immigrants) providing
the programmers, held the programmers' passports/visas for security.
In the aftermath of Hurricane Katrina, friends of Bush/Cheney made fortunes on clean up contracts they subbed out for next to
nothing; the independent/subcontractor scam was now officially governmentally sanctioned.
By about 2000 we began to hear the term gig-workers applied to these employees without benefits. Uber appeared in 2007 to be followed
by Lift. Both are scams based on paying less than prevailing wages, on not providing worker benefits,
These days, the nightly news, when talking about the effect of the pandemic on the populace in America, shows footage of Food
Banks in California with lines 2! miles long. Many of those waiting in these lines didn't have a real job before; they were gig-workers;
they can't apply for Unemployment Benefits. It is estimated that 1.6 million American workers (1% of the workforce) are gig-workers;
they don't have a real job. That 1% is in addition to the 16 million American workers (10% of the workforce) that are independent
contractors. Of the more than 40 million currently unemployed Americans, some 17 million are either gig-workers or subcontractors/independent
contractors. All of these are scams meant to transfer more wealth to the top. All of these are scams with American Workers the victims;
scams, in a race to the bottom.
Denis Drew , May 31, 2020 10:51 am
Ken,
Read this by the SEIU counsel Andrew Strom -- and tell me what you think:
https://onlabor.org/why-not-hold-union-representation-elections-on-a-regular-schedule/
Democrats in the so called battle ground states would clean up at the polls with this. Why do you think those states strayed?
It was because Obama and Hillary had no idea what they really needed. Voters had no idea what they SPECIFICALLY needed either
-- UNIONS! They had been deunionized so thoroughly for so long that they THEMSELVES no long knew what they were missing (frogs
in the slowly boiling pot).
In 1988 Jesse Jackson took the Democratic primary in Michigan with 54% against Dukakis and Gephardt. Obama beat Wall Street
Romney and red-white-and-blue McCain in Wisconsin, Ohio and Michigan. But nobody told these voters -- because nobody seems to
remember -- what they really needed. These voter just knew by 2016 that Democrats had not what they needed and looked elsewhere
-- anywhere else!
Strom presents an easy as can be, on-step-back treatment that should go down oh, so smoothly and sweetly. What do you think?
ken melvin , May 31, 2020 1:04 pm
Denis
Thanks for your comment and the link. Wow! Where to start, huh?
SEIU was a player from the get go, but I don't want to go there just now.
Before Reagan, there was the first rust belt move to the non-union south. Why was the south so anti-union? I think this stuff
is engendered from infancy and most of us are incapable of thinking anew when it comes to stuff our parents 'taught' us. MLK was
the best thing that ever happened to the dirt-road poor south, yet they hated him and they hated the very unions that might have
lifted them up. They did seem to take pleasure in the yanks' loss of jobs.
I think the Reagan era was prelude to what is going on now, i.e., going backward while yelling whee look at me go. No doubt,
Reagan turned union members against their own unions. But, the genesis of demise probably lay with automation and the early offshoring
to Mexico. By Reagan, the car plants were losing jobs to Toyota and Honda and automation. By 1990, car plants that had previously
employed 5,000, now automated, produced more cars employing only 1200. At the time, much of the nation's wealth was still derived
from car production.
Skipping forward a bit, the democrats blew it for years with all their talk about the 'middle-class' without realizing it was
the 'disappearing middle-class'. They ignored the poor working-class vote and lost election after election.
I've come to not like the term labor, think it affords capital an undeserved status, though much diminished, I think thought
all workers would be better off in a union. Otherwise, as we are witnessing, there is no parity between workers and wealth; we
are in a race to the bottom with the wealth increasingly go to the top.
ken melvin , May 31, 2020 1:15 pm
Matthew – thanks for your comment
I think that we are into a transition (about 45 yrs into) as great as the industrial revolution. We, as probably those poor
souls of the 18th and 19th centuries did, are floundering, unable to come to terms with what is going on.
I also think that those such as the Kochs have a good grasp of what is going on and are moving to protect themselves and their
class.
ken melvin , May 31, 2020 1:21 pm
EMichael, thanks for the comment
Are you implying that the politicians are way behind the curve? If so, I think that you are right.
Let me share what I was thinking last night about thinking:
Descartes' problem was that he desperately wanted to make philosophy work within the framework of his religion, Catholicism.
Paul Krugman desperately wants to make economics all work within the Holy Duality of Capitalism and Free Markets. Even Joe Stiglitz
can't step out of this text. All things being possible, it is possible that either could come up with a solution to today's economic
problems that would fit within the Two; but the odds are not good. Better to think anew.
We see politicians try and try to find solutions for today's problems from within their own dogmas/ideologies. Even if they
can't, they persist, they still try to impose these dogmas/ideologies in the desperate hope they might work if only applied to
a greater degree. How else explain any belief that markets could anticipate and respond to pandemics? That markets could best
respond to housing demand?
- Interesting and fine writing.
anne , May 31, 2020 1:49 pm
https://twitter.com/paulkrugman/status/1267060950026326018
Paul Krugman @paulkrugman
Glad to see Noah Smith highlighting this all-too-relevant work by the late Alberto Alesina 1/
https://www.bloomberg.com/opinion/articles/2020-05-30/racism-is-the-biggest-reason-u-s-safety-net-is-so-weak
Racism Is the Biggest Reason the U.S. Safety Net Is So Weak
Harvard economist Alberto Alesina, who died last week, found that ethnic divisions made the country less effective at providing
public goods.
7:50 AM · May 31, 2020
The Alesina/Glaeser/Sacerdote paper on why America doesn't have a European-style welfare state -- racism -- had a big impact
on my own thinking 2/
https://scholar.harvard.edu/files/glaeser/files/why_doesnt_the_u.s._have_a_european-style_welfare_state.pdf
For a long time anyone who pointed out that the modern GOP is basically a party that serves plutocratic ends by weaponizing
white racism was treated as "shrill" and partisan. Can we now admit the obvious? 3/
- a long, long time. Possibly forever.
anne , May 31, 2020 1:56 pm
https://scholar.harvard.edu/files/glaeser/files/why_doesnt_the_u.s._have_a_european-style_welfare_state.pdf
September, 2001
Why Doesn't the United States Have a European-Style Welfare State?
By Alberto Alesina, Edward Glaeser and Bruce Sacerdote
Abstract
European countries are much more generous to the poor relative to the US level of generosity. Economic models suggest that
redistribution is a function of the variance and skewness of the pre-tax income distribution, the volatility of income (perhaps
because of trade shocks), the social costs of taxation and the expected income mobility of the median voter. None of these factors
appear to explain the differences between the US and Europe. Instead, the differences appear to be the result of racial heterogeneity
in the US and American political institutions. Racial animosity in the US makes redistribution to the poor, who are disproportionately
black, unappealing to many voters. American political institutions limited the growth of a socialist party, and more generally
limited the political power of the poor.
rick shapiro , May 31, 2020 2:07 pm
This dynamic is not limited to low-skill jobs. I have seen it at work in electronics engineering. When I was a sprat, job shoppers
got an hourly wage nearly twice that of their company peers, because they had no benefits or long-term employment. Today, job
shoppers are actually paid less than company engineers; and the companies are outsourcing ever more of their staffing to the brokers.
Without labor market frictions, the iron law of wages drives wages to starvation levels. As sophisticated uberization software
eliminates the frictions that have protected middle class wages in the recent past, we will all need to enlist unionization and
government wage standards to protect us.
ken melvin , May 31, 2020 2:29 pm
Rick
The big engineering offices of the 70s were decimated and worse by the mid-90s; mostly by the advent of computers w/ software.
One engineer could now do the work of 10 and didn't need any draftsman.
rick shapiro , May 31, 2020 2:40 pm
I was speaking of engineers with equal skill in the same office. Many at GE Avionics were laid off, and came back as lower
paid contract employees.
Trump's threat
to deploy the military here is an excessive and dangerous one. Mark Perry reports on the reaction
from military officers to the president's threat:
Senior military officer on Trump statement: "So we're going to tell our soldiers that we're
redeploying them from the Middle East to the midwest? What do we think they're going to say,
'yeah, sure, no problem?' Guess again."
-- Mark Perry (@markperrydc)
June 2,
2020
Earlier in the day yesterday, audio has leaked in which the Secretary of Defense
referred to U.S. cities as the "battlespace." Separately, Sen. Tom Cotton was
making vile remarks about using the military to give "no quarter" to looters. This is the
language of militarism.
It is a consequence of decades of endless war and the government's
tendency to rely on militarized options as their answer for every problem. Endless war has had a
deeply corrosive effect on this country's political system: presidential overreach, the
normalization of illegal uses of force, a lack of legal accountability for crimes committed in
the wars, and a lack of political accountability for the leaders that continue to wage pointless
and illegal wars. Now we see new abuses committed and encouraged by a lawless president, but this
time it is Americans that are on the receiving end. Trump hasn't ended any of the foreign wars he
inherited, and now it seems that he will use the military in an llegal mission here at home.
Megan S •
an hour ago
The military is the only American institution that young people still have any real degree of
faith in, it will be interesting to see the polls when this is all over with.
Notable quotes:
"... our culture so market-driven, everybody for sale, everything for sale, you can't deliver the kind of really real nourishment for soul, for meaning, for purpose. ..."
"... The system cannot reform itself. We've tried black faces in high places ..."
"... You've got a neoliberal wing of the Democratic party that is now in the driver's seat with the collapse of brother Bernie and they really don't know what to do because all they want to do is show more black faces -- show more black faces. ..."
"... So when you talk about the masses of black people, the precious poor and working-class black people, brown, red, yellow, whatever color, they're the ones left out and they feel so thoroughly powerless, helpless, hopeless, then you get rebellion. ..."
Dr. Cornel West said on Friday we are witnessing the failed social experiment that is
the United States of America in the protests and riots that have followed the death of George
Floyd at the hands of Minneapolis police. West told CNN host Anderson Cooper that what is going
on is rebellion to a failed capitalist economy that does not protect the people. West, a
professor, denounced the neoliberal wing of the Democratic party that is all about "black faces
in high places" but not actual change. The professor remarked even those black faces often lose
legitimacy because they ingriatiate themselves into the establishment neo-liberal Democratic
party.
"I think we are witnessing America as a failed social experiment," West said. "What I mean
by that is that the history of black people for over 200 and some years in America has been
looking at America's failure, its capitalist economy could not generate and deliver in such a
way people can live lives of decency. The nation-state, it's criminal justice system, it's
legal system could not generate protection of rights and liberties."
From commentary delivered on CNN Friday night:
DR. CORNEL WEST: And now our culture so market-driven, everybody for sale, everything for
sale, you can't deliver the kind of really real nourishment for soul, for meaning, for
purpose.
So when you get this perfect storm of all these multiple failures at these different
levels of the American empire, and Martin King already told us about that...
The system cannot reform itself. We've tried black faces in high places. Too often our
black politicians, professional class, middle class become too accommodated to the capitalist
economy, too accommodated to a militarized nation-state, too accommodated to the
market-driven culture of celebrities, status, power, fame, all that superficial stuff that
means so much to so many fellow citizens.
And what happens is we have a neofascist gangster in the White House who doesn't care for
the most part. You've got a neoliberal wing of the Democratic party that is now in the
driver's seat with the collapse of brother Bernie and they really don't know what to do
because all they want to do is show more black faces -- show more black faces.
But often
times those black faces are losing legitimacy too because the Black Lives Matter movement
emerged under a black president, a black attorney general, and a black Homeland Security
[Secretary] and they couldn't deliver.
So when you talk about the masses of black people, the
precious poor and working-class black people, brown, red, yellow, whatever color, they're the
ones left out and they feel so thoroughly powerless, helpless, hopeless, then you get
rebellion.
... ...
Organized crime in the USA is not a myth and its connections to law enforcement also is not a
myth. They are ideal provocateurs for riots. Also they want their piece of action too ;-)
ak74 , Jun 2 2020 0:49 utc |
132
News Flash!!!
There is increasing evidence that certain gangs and other nefarious outside agitators are
engaged in deliberate property damage and vandalism during the recent protests against police
brutality--demonstrating that they are trying to hijack these protests and are not sincerely
concerned about the issue of racism against African Americans/minorities in the US or police
repression.
I wonder if William Barr or the American Regime will now finally declare these groups as
"terrorists"?
Police at Protests All Over the Country Caught Destroying Property
https://libya360.wordpress.com/2020/06/01/police-at-protests-all-over-the-country-caught-destroying-property/
Trailer Trash , Jun 1 2020 19:10 utc |
37
It is my informal observation that riots tend to collapse from exhaustion after about three
days. That's not happening this time, as every new day sees more and more house arrest orders
(called "curfew", a nice antiseptic term) across the country.
Current events bring to mind the 1933 failed fascist coup d'etat exposed by General
Smedley "War is a Racket" Butler. Instead of organizing half a million war veterans by the
VFW, today's "Business
Plot" organizers would have at their disposal one million already trained and equipped
paramilitary police forces.
In such a scenario there is no reason for local cops to know who is pulling strings; all
they have to do is follow orders, which they are more than willing to do, especially with
commanders giving them football-style pep talks before going out to break heads.
It's well-documented that the spooks have been trying to get rid of Trump since the
election, first with "Russia-gate", then arresting and/or driving out all his trusted staff,
then the impeachment. Why should anyone think the spooks have given up? How many times did
they try to kill Castro?
If the idea that a spook-led coup d'etat is in progress really has merit (I have "medium
confidence"), it will be enforced by the police, not the Army or even National Guard units.
So far, Guard units have not fired on protesters and many are not armed. I strongly suspect
the army is not reliable, and
commanders know it :
In Denver, Guard troops are carrying nonlethal weapons, including batons, tasers, and
pepper spray. "They were fully embedded with Denver PD," said Air Force Maj. Gen. Michael
Loh, Colorado's adjutant general. "The Denver police chief Paul Pazen said if we have to
use deadly force and I want my police officers to do it , and I want you to be in
support."
National Guard are recruited with boatloads of TV ads all promoting how Guardsmen are used
to help their neighbors during natural disasters. Those ads never feature Guardsmen facing
down or shooting angry protesters, and Guardsmen want to believe they are there "to help".
The police, however, are under no such illusions and affirm their willingness to kill
civilians every time they strap on their side-arm.
If Guardsmen get itchy trigger fingers and shoot civilians without orders, well that just
happens sometimes, not a big deal. But if commanders give the order to shoot and they don't,
that is a huge crisis which I assume commanders would want to avoid.
--------
From the BBC
timeline :
During this attempt [to put Floyd in the patrolcar], at 20:19, Mr Chauvin pulled Mr Floyd
out of the passenger side, causing him to fall to the ground, the report said.
He lay there, face down, still in handcuffs.
This suggests he was pulled out of the car by Chauvin for the express purpose of
killing him. His cool demeanor is striking. He knows he is openly killing Floyd while being
filmed but remains confident he is protected.
Two goons who work at a fancy nightclub (aka Mob Headquarters) and one ends up dead.
Smells like a mob hit; ordered and paid for by who is the right question.
Alpi , Jun 1 2020 20:28 utc |
55
The death of George Floyd was ruled a HOMICIDE by independent autopsy.
https://www.rt.com/usa/490441-george-floyd-died-asphyxia-neck/
This report, combined with the fact that Derek Chauvin knew and worked with the victim,
makes this homicide premeditated or at the very least a 2nd degree murder.
The fact that the other officers did not intervene makes them complicit in the act and
should be brought up on manslaughter charges and accessory to commit murder.
Charging the other officers will help slightly in tamping down the riots, although it may
be too late. The wheels have been placed in motion and this is morphing into something bigger
than George Floyd.
RJPJR , Jun 1 2020 20:33 utc |
57
Look closely at the film of the end of the murder when the ambulance came for the victim:
https://twitter.com/littllemel/status/1266393141906726912
First responders immediately examine the victim for any signs of life, and they come
prepared with equipment to resuscitate the victim if possible. Not these men.
They got out of the ambulance and moved in fast, picked up his body like it was a huge
sack of potatoes, and THREW him on to the gurney. Obviously, they knew that he was dead, knew
that he was supposed to be dead.
They were NOT first responders in any sense, but openly armed and uniformed policemen.
Consider...
karlof1 , Jun 1 2020 17:14 utc |
15
It's True how this
analysis sees and describes what's occurring within the Outlaw US Empire, more than
validating Cornel West's assessment, except it misses the major component--Class--while
seeing lizard's list:
"As the world watches the US being confronted with massive riots, looting, chaos and
heightened violence, US officials, instead of reflecting on the systematic problems in their
society that led to such a crisis, have returned to their old 'blame game' against
left-wingers, 'fake news' media and 'external forces....'
"[O]bservers see a weak, irresponsible and incompetent leadership navigating the country
into a completely opposite direction, with all-out efforts to deflect public attention from
its own failure.
"Mass protests erupted in a growing numbers of cities in the US over the weekend, and at
least 40 cities have imposed curfews, while the National Guard has been activated in 14
states and Washington DC, according to US media reports ... [P]rotests across the country
continued into a sixth straight night.
"More Americans have slammed the US president for inciting hatred and racism, and US
officials, who turn a blind eye to the deep-seated issues in American society, including
racial injustice, economic woes and the coronavirus pandemic, began shifting the blame to the
former US president, extremists, and China for inflaming the social unrests."
Blaming Chinese, Russians and/or Martians isn't going to help Trump. Without doing a
thing, Biden has risen to a lead of 8-10% in the most recent polling. Trumps many mistakes
have dug him a hole that now seems to be collapsing in upon him. He's cursed worse than Midas
as everything he attempts turns out a big negative and only worsens the situation.
soru 12.31.19 at 6:39 pm
21 (
21 )
The problem is in how you define "oppression".
For example if you take a marxian definition of l class, it means people who don't own the
means of production, that easily means the bottom 80% of the population. However a large
part of this group is usually considered middle class, and is not really seen as
oppressed.
I don't think this is right; unlike 'exploited', Marx doesn't use the word 'oppression' in
any technical or unusual way, just in it's usual sense.
So a prosperous middle class person in a liberal democracy is not oppressed. A Marxist
would merely point out that they would be in a more capitalist society; one without a
universal franchise that requires the rich to seek political allies.
people of the working class don't feel they are working class, but rather identify as
blue collars
If you look into the actual details of vote tallies; you find more or less the precise
opposite. There are a key block of people who, objectively speaking, earn most of their
income from stocks that they own, in the form of pension funds. Up until recently, this block
was the victim of false consciousness; they identified as something like 'blue collar', based
on the jobs they used to do, and the communities they they used to belong to. As of the last
few elections, political activity by the Republicans and Tories has managed to overcome that,
so they now vote based on their objective class interests. Those who rely on a small lump of
capital have mostly the same class interests as those in possession of more; fewer
environmental regulations, lower minimum wages, and so forth.
Meanwhile, most of the current working class don't get to vote, because they lack
citizenship in the countries in question.
Nancy O'Brien
Simpson , says: Show Comment
June 1, 2020 at 2:09 pm GMT
@mark green It is interesting how both sides think they know the other side. Liberals
think that Deplorables are redneck Nascar people with zero education. Rightists think the
left are deluded commie pinkos, radical queers and pink pussy hatted idiots.
To help with your education I have protested the death of George Floyd in Cincinnati for
two days. The protests were mostly young persons and half were white. About two thousand were
in our park yesterday to hear speeches. The speeches were about systemic social change. An
end to vulture capitalism which has caused most of the problems associated with extreme
income inequity.
Also, an end to the endless insane wars fought for profit and American hegemony in places
we do not belong. No one is horrified at the violence, we are surprised it did not begin
sooner. Desperate people act in desperate ways. The system needs to change.
Notable quotes:
"... It's also true that the oligarchy will continue to preserve the system it's created in the U.S. through all available means, using its militarized police forces as its loyal street level enforcers. Change would happen very quickly if enough police turned and join with the "mobs". ..."
by lizard
hauled from a
comment
I think this relevant to how fractured the discourse is. it's a repost from my litter
watering hole.
I know it's going to be difficult to accept what I'm about to say because people get very
invested in their chosen narratives, but it's important that you at least be exposed to the
notion that it's all true.
- It's true that people engaged in peaceful protests.
- It's true that people engaged in lawless looting.
- It's true that provocateurs have committed acts of vandalism and sometimes carry
umbrellas.
- It's true that Antifa exists and that they don't advocate gently placing flowers in the
gaping hole of a long gun.
- It's true that some very messed up militia minded people call themselves Boogaloo Bois, wear
Hawaiian shirts, and are showing up to add their brand of crazy to the mix.
- It's true looters come in all shades and sizes.
- It's true some desperate people are taking things they need.
- It's true some opportunistic people are taking things they want.
- It's true opportunistic government thugs suddenly shifted the Covid-19 rationale for using
contract tracing to a catch-them-rioters rationale for using contract tracing.
- It's true the policy infrastructure for enacting martial law has been a long-term,
bi-partisan project.
It's true that now is the time to realize what's at stake, but instead of acting
collectively for our mutual benefit, the cognitive challenge of accepting that all these things
can be true at the same time will keep us tied to one of these things to the exclusion of all
the others.
It's hard work, I know. But I have faith in you.
Posted by b on June 1, 2020 at 16:08 UTC | Permalink
this analysis sees and
describes what's occurring within the Outlaw US Empire, more than validating Cornel West's assessment, except it misses
the major component--Class--while seeing lizard's list: "As the world watches the US being confronted with massive
riots, looting, chaos and heightened violence, US officials, instead of reflecting on the systematic problems in their
society that led to such a crisis, have returned to their old 'blame game' against left-wingers, 'fake news' media and
'external forces....'
"[O]bservers see a weak, irresponsible and incompetent leadership navigating the country into a completely opposite
direction, with all-out efforts to deflect public attention from its own failure.
"Mass protests erupted in a growing numbers of cities in the US over the weekend, and at least 40 cities have imposed
curfews, while the National Guard has been activated in 14 states and Washington DC, according to US media reports ... [P]rotests
across the country continued into a sixth straight night.
"More Americans have slammed the US president for inciting hatred and racism, and US officials, who turn a blind eye
to the deep-seated issues in American society, including racial injustice, economic woes and the coronavirus pandemic,
began shifting the blame to the former US president, extremists, and China for inflaming the social unrests."
Blaming Chinese, Russians and/or Martians isn't going to help Trump. Without doing a thing, Biden has risen to a lead
of 8-10% in the most recent polling. Trumps many mistakes have dug him a hole that now seems to be collapsing in upon
him. He's cursed worse than Midas as everything he attempts turns out a big negative and only worsens the situation.
Posted by: karlof1 | Jun 1 2020 17:14 utc |
15 |
It's also true that the oligarchy will continue to preserve the system it's created in the U.S. through all
available means, using its militarized police forces as its loyal street level enforcers. Change would happen very
quickly if enough police turned and join with the "mobs". Otherwise any positive change in the prevailing structure
will be extremely incremental if at all, and will be resisted at every level until it collapses because there is nothing
left worth to exploit.
Posted by: krypton | Jun 1 2020 17:24 utc |
18 |
Posted by: Noirette | Jun 1 2020 17:26 utc |
19 |
Imho the present protests, social 'unrest,' in the USA will just die out as usual, nothing will be accomplished -
what are the politcal demands? zero.. - on to the next chapter of misery and oppression.
Posted by: Noirette | Jun 1 2020 17:26 utc | 19
Indeed, and there was no other goal by stirring up these protest to the public murder of Floyd in plain daylight,
after decades of deideologization of the US masses by brainwashing through US education system, TV, Hollywood, and so
on.
Provocate the poor masses to find no way than to emotionally revolt through a brute action broadcasted to the four
corners of the US through the media, to then show the rightful protesters as disorganized anarchist riotters without any
vison or idea ( with unestimable help by white supremacists and cops infiltrated, and even by rich blonde boys stealing
surf boards as if there was no tomorrow...)so as to show the middle and upper classes that this will be the aspect of
the country in case socialist policies would be put in practice. This is to appeal once again, and possibly the last
one, to the greedy individualist allegevd "winner" to once more vote against its own interest, as after the elections
all what would not be looted by the poor would be looted by the state. Then it will come the gnashing of teeth and
regrets on not having suppoorted those poor people when they were being murdered in the streets.
But, may be, some would even be grateful of being quirurgically robed by the state ( thorugh their bank accounts and
propieties value going down the hole...) instead of by these obviously majority of needed people....needed at least of
respect....
Posted by: H.Schmatz | Jun 1 2020 17:42 utc |
20 |
"Antifa" only shows up and exists when it is needed, then magically disappears; same as Ali Queada and ISIS ...
This!
<> <> <> <> <>
Reposting my earlier comment on the Open Thread:
ZH reports that 6 people have died in the protests. Dozens of protesters and police have been injured. Tens of
millions of dollars in property damage, police overtime, and cost of the likely spread of coronavirus ('second wave' now
being blamed on the protesters).
All because the authorities will not appropriately charge the killers of George Floyd.
Instead, Trump and MSM turn the focus to "antifa". How convenient. MSM says nothing of the killing of 26-year old
Ahmaud Arbery in Georgia weeks before and the attempted cover-up of his killing.
How many more have to die before the authorities act appropriately? How much more destruction and silent spread of
coronavirus?
<> <> <> <> <>
The protesters say that a manslaughter charge against Chauvin is an injustice. Chauvin was a veteran officer who KNEW
WHAT HE WAS DOING when he remained on Floyd for more than 3 minutes after he had become non-responsive.
The protesters say that the other officers are accessories to murder because they did nothing to stop it.
Every reasonable person understands that the protesters have valid points. I would say that there's a consensus
that Chauvin should be charged with Second-degree murder and the other officers charged as accessories. But the
authorities drag their feet - while America burns.
!!
Posted by:
Jackrabbit | Jun 1
2020 17:44 utc |
21 Posted by: Lozion | Jun 1 2020 17:49 utc |
22
a)refrain from looting and that specifically the the small properties is a stupidity that will backfire
quickly!
b) the demonstrations leaders must organize their own security
squads to prevent provocateurs from outside.
Fm these tasks the 1st one is rather difficult to reach, yes.The second one is much easier.
Posted by:
augusto | Jun 1 2020 16:43 utc |
6 |
|
Richard Steven Hack , May 29 2020 13:54 utc |
18
It's not a civil war until the *other* civilians start shooting at the rioters. At this point, it's just the usual police repression.
Now given that thousands of people who previously never owned a firearm have now acquired them - although it is unclear how
many of them will be concealed carriers, given the variance in state laws - it's only a matter of time before some people start
shooting. Like the Korean shop owners in LA notably did during the Rodney King riots IIRC.
But it won't be a civil war until a significant number of people on both sides are actually shooting.
There's a guy named Selco Begovic who survived the civil war in Bosnia. He writes articles for prepper Web sites and he has
book out. He has vividly
described conditions of life in a civil war. Most people in the US are not going to handle that sort of thing well. Try this one
as it pertains to b's post.
How the SHTF in Bosnia: Selco Asks
Americans, "Does this sound familiar?"
Trisha , May 29 2020 15:02 utc |
32
The true enemies of humanity are corporations, so the violence is not a "civil war", but revolt. Along those lines, it's not "looting"
but sabotage. And the "police" are not peace-keepers but militarized enforcers.
It's a complete waste of time engaging in electoral "politics." Politicians are corporate whores doing their master's bidding,
as are the "police."
Thanks b, for another incisive post.
Nemesiscalling , May 29 2020 16:07 utc |
44
Blacks occupy a disproportionate piece of those in poverty.
Poverty breeds a lot of different evils and many of them are self-defeating cycles.
... ... ...
karlof1 , May 29 2020 21:26 utc |
90
Just finished listening to the latest interview
given by Michael Hudson , "Defining a Tyrant," whose focus is on the necessity of applying debt forgiveness to those residing
within the Outlaw US Empire as the economic affects of COVID-19 will be much worse than we've already seen. Those who want to
get to the current moment can begin listening at the 40 minute mark (yes, it's just audio). You'll need to note that the unemployment
numbers as I've been writing for awhile now are greatly understated, although the host Gary Null does allude to that reality as
NYC itself is emptying out--imagine Wall Street sitting in the middle of a ghost metropolis. As you'll learn, Trump's MAGA Mantra
is 100% hollow without enacting a wide ranging debt write-off--even if factories could be put back into business, the Outlaw US
Empire's economy would still remain very uncompetitive because of the issue of debt service and privatized health care--issues
I've written about before.
And so the main topic: Civil War. Or, is it? Reality demands it be named Class War, for that's what it is in reality. Hudson
maps out how its done and by whom while naming the abettors. The Popular Forces number 280 million, not including those too young/old/infirm
to bear arms. The Forces of Reaction minus the paid forces of coercion number well under 100,000. Even adding in police and military,
it's still 280 million to perhaps 10 million. And even if only half of the 280 million stand up, that's 140 million. The rallying
cry ought to be It's better to die standing up for your rights versus groveling on your knees. Too bad all of the above's too
large for one Tweet.
willie , May 29 2020 21:31 utc |
91
The way they provoked the violence on smashing shop windows with forehammer is exactly what was witnessed inParis when apparent
"black block" types did the same and then got back in their policevan.
I note that in France Riot police is clad in robocop armour and that this armour is a weapon in itself,it deshumanizes the man
inside to himself,and to others.A strike of his arm is much more powerful than if he were dressed as your american cop on patrol,probably
they give them steroid or something to be able to move rapidly with all the weight.They must feel like the Hulk!
Now it would be a sign of peaceful government if just any political party would make a ban on those outfits.
vinnieoh , May 29 2020 21:51 utc |
93
So the medical examiner concluded that there was no evidence of choking or suffocation, and instead was the result of his "restraint"
exacerbating underlying conditions, and suggesting there was the possibility of intoxication or drugs, which is the basis for
the pre-determination that Chauvin will only be charged with 3rd degree murder, which of course they'll try to whittle down to
manslaughter (the coincidental charge.)
Let me see if I've got this straight: a man that is being restrained by the neck, who eventually dies from no other action,
who repeatedly pleads that "I can't breath," who onlookers see and record that the man can not in fact breath, and the medical
examiner finds no evidence of choking or strangulation.
Further, Officer Chauvin, in close physical contact with the eventual corpse of his victim, must surely have felt the life
ebbing from George Floyd. No way no how this mother fucker gets charged with anything other than 1st degree murder. His accomplices
get charged with accessory to 1st degree murder.
Dr Wellington Yueh , May 29 2020 21:59 utc |
97
Note to peaceful protestors: CAPTURE THE PROVOCATEUR!!!!!
If you see somebody doing this shit, don't wag your finger at him, get that fucker and firmly-but-peacefully eject him from
the crowd.
CitizenX , May 29 2020 22:10 utc |
102
Do yourself a favor and read-
"War is a Racket" -Smedley Butler 1933
"Beyond Vietnam - Time to Break the Silence" -MLK 1967
"Art Truth and Politics" -Harold Pinter 2005
What has changed in 100 yrs of uSSa Empire? Foreign policy? Domestic policy?
Economic policy? All have become worse.
The u$$a Regime lies, cheats, steals, rapes, murders, tortures, overthrows, bombs,
invades, destroys, and loots with impunity Global wide.
How a citizen of this Rogue nation can feel good about that is beyond hypocrisy.
This Regime and the humans behind this sickening system must be replaced.
The Military Surveilance Police state must end. The Humans behind this system must be replaced
by any means necessary. Both the safety of the world and domestically rely on their removal.
When finished "Entertaining Ourselves to Death" and coming to terms with the truly Evil nature of the human beings operating
and supporting this system- perhaps you will becomea full human being. Get Up Stand Up.
The difference between ignorance and delusions are substantial.
Ignorance being the lack of knowledge. Delusion being the presence of false
knowledge. Where do you stand?
I don't need protection from the police.
But We ALL need protection FROM the police state.
Will you fight to defend yourself, your family, your neighbor or fellow human being
against a cruel vile corrupt system? Selfishness and greed are no excuse for complacency.
What is worth defending- your property or your virtues?
I have long been disgusted by the u$$a regimes domestic and foreign policies. Which means I have long been disgusted by my
fellow citizens (human beings) which support and operate this vile system.
Revolution-
Complacency and passive complicit citizens Or values, humaneness and justice?
Where do you stand? When do you stand for a meaningful life of society?
lysias , May 29 2020 22:24 utc |
106
The white working and lower middle classes will not support violent rioting by blacks over a black issue. This is not a way to
start a revolution.
What's more, the latest reporting I read in the Washington Post is that Floyd initially resisted arrest. The early reporting
that he did not resist arrest was apparently incorrect.
Moreover, the medical evidence suggests that he died not from asphyxiation or a broken neck, but because of comorbidities.
Floyd had a lengthy criminal record.
If you want a revolution in the U.S., wait a month or two until there are mass evictions.
H.Schmatz , May 29 2020 22:30 utc |
108
It seems that the revolution will not happen after all,
just has been declared curfew...
This is a warning to anybody who would dare to revolt against the coming misery conditions of life while the oligarchs continue
enriching themselves and looting every penny available.
This is a secondary gain from the pandemic, as we were accustomed to multiple declared state of alarm throughout the world,
they thinks that going a step further would not cause any shock....
There have been equally violent revolts in France and Chile continuously during the past year, and in France again in the banlieus,
and then curfew was not declared...
This is the land of the free....There you have your fascist state turning on yourselves...
When they came for the Venezuelans, seized their assets and embassies, I did nothing; when they came for the Iranians and murdered
Soleimani, I said nothing; when they came for the communists in the Odessa House of Unions, I did not move a finger; when they
slaughtered people at the four cardinal points of the world, I did continue living my "American Dream" as if the thing would not
go with me...until I did awaken to find myself in the same nightmare....
https://twitter.com/edukabak/status/1266055032883023872/photo/1
Do you think that were not for the riots of the last nights, Chauvin would had been detained and charged?
Richard Steven Hack , May 29 2020 22:50 utc |
112
I've suggested in the past that civil war was unlikely in the US because that would requires a significant percentage of the electorate
to actually take sides and shoot someone - and most of the population is so anti-gun these days that such a scenario was unlikely,
especially over political issues that aren't usually considered as *directly* adversely affecting most of the population, at least
in their minds. It would also require some direct organization on both sides and I don't see anyone capable of that on the national
scene.
What I can easily see happening, however, is the sort of multi-city, large-scale rioting that occurred in the Sixties and in
other parts of the world, leading to a declaration of martial law in at least some, possibly many, larger cities, if not nation-wide
(a lot of rural areas would likely not be affected.) Economic issues and issues of social repression are usually the causes of
large-scale violence historically in most countries. Most "political" issues usually boil down to either ethnic or economic or
repression issues.
The US doesn't have really that much ethnic issues, except in the Southwest over Latino immigration. The US has racial, economic
and repression issues, however. Most of the time they just simmer, with local limited outbreaks of violence. But in cases of blatant
repression, or under severe economic pressure, they can explode into wider-scale violence.
And we've got both on the horizon. The impact of the pandemic (and the government's clueless response, thanks to Trump and
previous Presidents) on the economy is likely to produce extreme economic pressure, especially on the middle class and the poor.
Adding the extreme militarization of the US police over the last several decades, and this is a recipe for large-scale violence
that continues for more than a few days or a week. Once police over-reaction and the appearance of the National Guard to control
rioting results in the sort of deaths like in the well-known Kent State incident, then like in Ukraine we could start to see cops
and National Guard fatalities from snipers. Next we could see things like the 1985 Philadelphia police bombing of the MOVE headquarters
and the use of armed drones (Connecticut has a law banning armed drones - but not for police.) The next step beyond that is curfew,
and the next step beyond that is martial law.
The next step beyond that is not civil war - it's explicit fascism. And that ends in revolution - which then usually recycles
into either more fascism or "modified: fascism (see France in the 1800's.)
Bottom line: It's not going to get better. One of the many things preppers have been warning against is national repression.
They warned against natural disasters like hurricanes and no one listened until Katrina. They warned against pandemics and no
one listened - until today. They've been warning against national repression - like the Selco article I linked to. Better listen
this time.
The US government has been preparing for some time:
Pentagon
preparing for mass civil breakdown
Maybe you should: How To Prepare
for Civil Unrest: 30 Steps You Can Take Now
Highly recommended!
Under neoliberalism inequality is recast as virtuous. The market ensures that everyone gets what they deserve: Neoliberalism sees competition as the defining characteristic of
human relations and redefines citizens as consumers
Notable quotes:
"... Imagine if the people of the Soviet Union had never heard of communism. The ideology that dominates our lives has, for most of us, no name. Mention it in conversation and you'll be rewarded with a shrug. Even if your listeners have heard the term before, they will struggle to define it. Neoliberalism: do you know what it is? ..."
"... Its anonymity is both a symptom and cause of its power. It has played a major role in a remarkable variety of crises: the financial meltdown of 2007‑8, the offshoring of wealth and power, of which the Panama Papers offer us merely a glimpse, the slow collapse of public health and education, resurgent child poverty, the epidemic of loneliness , the collapse of ecosystems, the rise of Donald Trump . ..."
"... Inequality is recast as virtuous. The market ensures that everyone gets what they deserve. ..."
"... Neoliberalism sees competition as the defining characteristic of human relations. It redefines citizens as consumers, whose democratic choices are best exercised by buying and selling, a process that rewards merit and punishes inefficiency. It maintains that "the market" delivers benefits that could never be achieved by planning. ..."
"... We internalise and reproduce its creeds. The rich persuade themselves that they acquired their wealth through merit, ignoring the advantages – such as education, inheritance and class – that may have helped to secure it. The poor begin to blame themselves for their failures, even when they can do little to change their circumstances. ..."
"... Never mind structural unemployment: if you don't have a job it's because you are unenterprising. Never mind the impossible costs of housing: if your credit card is maxed out, you're feckless and improvident. Never mind that your children no longer have a school playing field: if they get fat, it's your fault. In a world governed by competition, those who fall behind become defined and self-defined as losers. ..."
"... Among the results, as Paul Verhaeghe documents in his book What About Me? are epidemics of self-harm, eating disorders, depression, loneliness, performance anxiety and social phobia. ..."
"... It may seem strange that a doctrine promising choice should have been promoted with the slogan 'there is no alternative' ..."
"... Where neoliberal policies cannot be imposed domestically, they are imposed internationally, through trade treaties incorporating " investor-state dispute settlement ": offshore tribunals in which corporations can press for the removal of social and environmental protections. When parliaments have voted to restrict sales of cigarettes , protect water supplies from mining companies, freeze energy bills or prevent pharmaceutical firms from ripping off the state, corporations have sued, often successfully. Democracy is reduced to theatre. ..."
"... Neoliberalism was not conceived as a self-serving racket, but it rapidly became one ..."
"... Another paradox of neoliberalism is that universal competition relies upon universal quantification and comparison. The result is that workers, job-seekers and public services of every kind are subject to a pettifogging, stifling regime of assessment and monitoring, designed to identify the winners and punish the losers. The doctrine that Von Mises proposed would free us from the bureaucratic nightmare of central planning has instead created one. ..."
"... When you pay an inflated price for a train ticket, only part of the fare compensates the operators for the money they spend on fuel, wages, rolling stock and other outlays. The rest reflects the fact that they have you over a barrel . ..."
"... Those who own and run the UK's privatised or semi-privatised services make stupendous fortunes by investing little and charging much. In Russia and India, oligarchs acquired state assets through firesales. In Mexico, Carlos Slim was granted control of almost all landline and mobile phone services and soon became the world's richest man. ..."
"... Financialisation, as Andrew Sayer notes in Why We Can't Afford the Rich , has had a similar impact. "Like rent," he argues, "interest is ... unearned income that accrues without any effort". ..."
"... Chris Hedges remarks that "fascist movements build their base not from the politically active but the politically inactive, the 'losers' who feel, often correctly, they have no voice or role to play in the political establishment". When political debate no longer speaks to us, people become responsive instead to slogans, symbols and sensation . To the admirers of Trump, for example, facts and arguments appear irrelevant. ..."
"... Like communism, neoliberalism is the God that failed. But the zombie doctrine staggers on, and one of the reasons is its anonymity. Or rather, a cluster of anonymities. ..."
"... The invisible doctrine of the invisible hand is promoted by invisible backers. Slowly, very slowly, we have begun to discover the names of a few of them. We find that the Institute of Economic Affairs, which has argued forcefully in the media against the further regulation of the tobacco industry, has been secretly funded by British American Tobacco since 1963. We discover that Charles and David Koch , two of the richest men in the world, founded the institute that set up the Tea Party movement . We find that Charles Koch, in establishing one of his thinktanks, noted that "in order to avoid undesirable criticism, how the organisation is controlled and directed should not be widely advertised". ..."
"... The anonymity of neoliberalism is fiercely guarded. ..."
"... Neoliberalism's triumph also reflects the failure of the left. When laissez-faire economics led to catastrophe in 1929, Keynes devised a comprehensive economic theory to replace it. When Keynesian demand management hit the buffers in the 70s, there was an alternative ready. But when neoliberalism fell apart in 2008 there was ... nothing. This is why the zombie walks. The left and centre have produced no new general framework of economic thought for 80 years. ..."
"... What the history of both Keynesianism and neoliberalism show is that it's not enough to oppose a broken system. A coherent alternative has to be proposed. For Labour, the Democrats and the wider left, the central task should be to develop an economic Apollo programme, a conscious attempt to design a new system, tailored to the demands of the 21st century. ..."
Financial meltdown, environmental disaster and even the rise of Donald Trump –
neoliberalism has played its part in them all. Why has the left failed to come up with an
alternative? @GeorgeMonbiot
Imagine if the people of the Soviet Union had never heard of communism. The ideology
that dominates our lives has, for most of us, no name. Mention it in conversation and you'll be
rewarded with a shrug. Even if your listeners have heard the term before, they will struggle to
define it. Neoliberalism: do you know what it is?
Its anonymity is both a symptom and cause of its power. It has
played a major role in a remarkable variety of crises: the financial meltdown of 2007‑8,
the offshoring of wealth and power, of which the Panama Papers offer us merely a
glimpse, the slow collapse of public health and education, resurgent child poverty, the
epidemic of loneliness , the collapse of ecosystems, the rise of Donald Trump . But we respond to these
crises as if they emerge in isolation, apparently unaware that they have all been either catalysed or exacerbated by the same coherent philosophy; a philosophy that has – or had
– a name. What greater power can there be than to operate namelessly?
Inequality is recast as virtuous. The market ensures that
everyone gets what they deserve.
So pervasive has neoliberalism become that we seldom even
recognise it as an ideology. We appear to accept the proposition that this utopian, millenarian
faith describes a neutral force; a kind of biological law, like Darwin's theory of evolution.
But the philosophy arose as a conscious attempt to reshape human life and shift the locus of
power.
Neoliberalism sees competition as the defining characteristic of
human relations. It redefines citizens as consumers, whose democratic choices are best
exercised by buying and selling, a process that rewards merit and punishes inefficiency. It
maintains that "the market" delivers benefits that could never be achieved by
planning.
Attempts to limit competition are treated as inimical to liberty.
Tax and regulation should be minimised, public services should be privatised. The organisation
of labour and collective bargaining by trade unions are portrayed as market
distortions that impede the formation of a natural hierarchy of winners and losers. Inequality
is recast as virtuous: a reward for utility and a generator of wealth, which trickles down to
enrich everyone. Efforts to create a more equal society are both counterproductive and morally
corrosive. The market ensures that everyone gets what they deserve.
We internalise and reproduce its creeds. The rich
persuade themselves that they acquired their wealth through merit, ignoring the advantages
– such as education, inheritance and class – that may have helped to secure it. The
poor begin to blame themselves for their failures, even when they can do little to change their
circumstances.
Never mind structural unemployment: if you don't have a job it's
because you are unenterprising. Never mind the impossible costs of housing: if your credit card
is maxed out, you're feckless and improvident. Never mind that your children no longer have a
school playing field: if they get fat, it's your fault. In a world governed by competition,
those who fall behind become defined and self-defined as losers.
See also
Neoliberalism has brought out the worst in
us by Paul Verhaeghe, Sep 24, 2014
Among the results, as Paul Verhaeghe documents in his book What
About Me? are epidemics of self-harm, eating disorders, depression, loneliness, performance
anxiety and social phobia. Perhaps it's unsurprising that Britain, in which neoliberal ideology
has been most rigorously applied, is
the loneliness capital of Europe . We are all neoliberals now.
***
The term neoliberalism was coined at a meeting in Paris in 1938.
Among the delegates were two men who came to define the ideology, Ludwig von Mises and
Friedrich Hayek. Both exiles from Austria, they saw social democracy, exemplified by Franklin
Roosevelt's New Deal and the gradual development of Britain's welfare state, as manifestations
of a collectivism that occupied the same spectrum as nazism and communism.
In The Road to Serfdom , published in 1944, Hayek argued
that government planning, by crushing individualism, would lead inexorably to totalitarian
control. Like Mises's book Bureaucracy , The Road to Serfdom was widely read. It
came to the attention of some very wealthy people, who saw in the philosophy an opportunity to
free themselves from regulation and tax. When, in 1947, Hayek founded the first organisation
that would spread the doctrine of neoliberalism – the Mont Pelerin Society – it was supported financially by
millionaires and their foundations.
With their help, he began to create what Daniel Stedman Jones
describes in Masters of the Universe as "a kind of neoliberal international": a
transatlantic network of academics, businessmen, journalists and activists. The movement's rich
backers funded a series of thinktanks
which would refine and promote the ideology. Among them were the American Enterprise Institute , the Heritage Foundation , the Cato Institute , the Institute of Economic Affairs , the Centre for Policy Studies and the Adam Smith Institute . They also financed academic
positions and departments, particularly at the universities of Chicago and
Virginia.
As it evolved, neoliberalism became more strident. Hayek's view
that governments should regulate competition to prevent monopolies from forming gave way
– among American apostles such as Milton Friedman
– to the belief that monopoly power could be seen as a reward for efficiency.
Something else happened during this transition: the movement lost
its name. In 1951, Friedman was happy to describe
himself as a neoliberal . But soon after that, the term began to disappear. Stranger still,
even as the ideology became crisper and the movement more coherent, the lost name was not
replaced by any common alternative.
At first, despite its lavish funding, neoliberalism remained at
the margins. The postwar consensus was almost universal: John Maynard Keynes 's economic
prescriptions were widely applied, full employment and the relief of poverty were common goals
in the US and much of western Europe, top rates of tax were high and governments sought social
outcomes without embarrassment, developing new public services and safety nets.
But in the 1970s, when Keynesian policies began to fall apart and
economic crises struck on both sides of the Atlantic, neoliberal ideas began to enter the
mainstream. As Friedman remarked, "when the time came that you had to change ... there was an
alternative ready there to be picked up". With the help of sympathetic journalists and
political advisers, elements of neoliberalism, especially its prescriptions for monetary
policy, were adopted by Jimmy Carter's administration in the US and Jim Callaghan's government
in Britain.
It may seem strange that a doctrine promising choice should have
been promoted with the slogan 'there is no alternative'
After Margaret Thatcher and Ronald Reagan took power, the rest of
the package soon followed: massive tax cuts for the rich, the crushing of trade unions,
deregulation, privatisation, outsourcing and competition in public services. Through the IMF,
the World Bank, the Maastricht treaty and the World Trade Organisation, neoliberal policies
were imposed – often without democratic consent – on much of the world. Most
remarkable was its adoption among parties that once belonged to the left: Labour and the
Democrats, for example. As Stedman Jones notes, "it is hard to think of another utopia to have
been as fully realised."
***
It may seem strange that a doctrine promising choice and freedom
should have been promoted with the slogan "there is no alternative". But, as Hayek remarked on a
visit to Pinochet's Chile – one of the first nations in which the programme was
comprehensively applied – "my personal preference leans toward a liberal dictatorship
rather than toward a democratic government devoid of liberalism". The freedom that
neoliberalism offers, which sounds so beguiling when expressed in general terms, turns out to
mean freedom for the pike, not for the minnows.
Freedom from trade unions and collective bargaining means the
freedom to suppress wages. Freedom from regulation means the
freedom to poison rivers , endanger workers, charge iniquitous rates of interest and design
exotic financial instruments. Freedom from tax means freedom from the distribution of wealth
that lifts people out of poverty.
Facebook
Twitter Pinterest Naomi Klein documented that neoliberals advocated the use of crises to
impose unpopular policies while people were distracted. Photograph: Anya Chibis/The
Guardian
As Naomi Klein documents in The Shock Doctrine ,
neoliberal theorists advocated the use of crises to impose unpopular policies while people were
distracted: for example, in the aftermath of Pinochet's coup, the Iraq war and Hurricane
Katrina, which Friedman described as "an opportunity to radically reform the educational
system" in New Orleans
.
Where neoliberal policies cannot be imposed domestically, they are
imposed internationally, through trade treaties incorporating "
investor-state dispute settlement ": offshore tribunals in which corporations can press for
the removal of social and environmental protections. When parliaments have voted to restrict
sales of cigarettes ,
protect water supplies from mining companies, freeze energy bills or prevent pharmaceutical
firms from ripping off the state, corporations have sued, often successfully. Democracy is
reduced to theatre.
Neoliberalism was not conceived as a self-serving racket, but it
rapidly became one
Another paradox of neoliberalism is that universal competition
relies upon universal quantification and comparison. The result is that workers, job-seekers
and public services of every kind are subject to a pettifogging, stifling regime of assessment
and monitoring, designed to identify the winners and punish the losers. The doctrine that Von
Mises proposed would free us from the bureaucratic nightmare of central planning has instead
created one.
Neoliberalism was not conceived as a self-serving racket, but it
rapidly became one. Economic growth has been markedly slower in the neoliberal era (since 1980
in Britain and the US) than it was in the preceding decades; but not for the very rich.
Inequality in the distribution of both income and wealth, after 60 years of decline, rose
rapidly in this era, due to the smashing of trade unions, tax reductions, rising rents,
privatisation and deregulation.
The privatisation or marketisation of public services such as
energy, water, trains, health, education, roads and prisons has enabled corporations to set up
tollbooths in front of essential assets and charge rent, either to citizens or to government,
for their use. Rent is another term for unearned income. When you pay an inflated price for a
train ticket, only part of the fare compensates the operators for the money they spend on fuel,
wages, rolling stock and other outlays. The rest reflects the fact that
they have you over a barrel .
In Mexico, Carlos Slim was granted control of almost all phone services
and soon became the world's richest man. Photograph: Henry Romero/Reuters
Those who own and run the UK's privatised or semi-privatised
services make stupendous fortunes by investing little and charging much. In Russia and India,
oligarchs acquired state assets through firesales. In Mexico,
Carlos Slim was granted control of almost all landline and mobile phone services and soon
became the world's richest man.
Financialisation, as Andrew Sayer notes in Why We Can't Afford the
Rich , has had a similar impact. "Like rent," he argues, "interest is ... unearned
income that accrues without any effort". As the poor become poorer and the rich become richer,
the rich acquire increasing control over another crucial asset: money. Interest payments,
overwhelmingly, are a transfer of money from the poor to the rich. As property prices and the
withdrawal of state funding load people with debt (think of the switch from student grants to
student loans), the banks and their executives clean up.
Sayer argues that the past four decades have been characterised by
a transfer of wealth not only from the poor to the rich, but within the ranks of the wealthy:
from those who make their money by producing new goods or services to those who make their
money by controlling existing assets and harvesting rent, interest or capital gains. Earned
income has been supplanted by unearned income.
Neoliberal policies are everywhere beset by market failures. Not
only are the banks too big to fail, but so are the corporations now charged with delivering
public services. As Tony Judt pointed out in Ill Fares the
Land , Hayek forgot that vital national services cannot be allowed to collapse, which
means that competition cannot run its course. Business takes the profits, the state keeps the
risk.
The greater the failure, the more extreme the ideology becomes.
Governments use neoliberal crises as both excuse and opportunity to cut taxes, privatise
remaining public services, rip holes in the social safety net, deregulate corporations and
re-regulate citizens. The self-hating state now sinks its teeth into every organ of the public
sector.
Perhaps the most dangerous impact of neoliberalism is not the
economic crises it has caused, but the political crisis. As the domain of the state is reduced,
our ability to change the course of our lives through voting also contracts. Instead,
neoliberal theory asserts, people can exercise choice through spending. But some have more to
spend than others: in the great consumer or shareholder democracy, votes are not equally
distributed. The result is a disempowerment of the poor and middle. As parties of the right and
former left adopt
similar neoliberal policies, disempowerment turns to disenfranchisement. Large numbers of
people have been shed from politics.
Chris Hedges
remarks that "fascist movements build their base not from the politically active but the
politically inactive, the 'losers' who feel, often correctly, they have no voice or role to
play in the political establishment". When political debate no longer speaks to us, people
become responsive instead
to slogans, symbols and sensation . To the admirers of Trump, for example, facts and
arguments appear irrelevant.
Judt explained that when the thick mesh of interactions between
people and the state has been reduced to nothing but authority and obedience, the only
remaining force that binds us is state power. The totalitarianism Hayek feared is more likely
to emerge when governments, having lost the moral authority that arises from the delivery of
public services, are reduced to "cajoling, threatening and ultimately coercing people to obey
them".
***
Like communism, neoliberalism is the God that failed. But the
zombie doctrine staggers on, and one of the reasons is its anonymity. Or rather, a cluster of
anonymities.
The invisible doctrine of the invisible hand is promoted by
invisible backers. Slowly, very slowly, we have begun to discover the names of a few of them.
We find that the Institute of Economic Affairs, which has argued forcefully in the media
against the further regulation of the tobacco industry,
has been secretly funded by British American Tobacco since 1963. We discover that
Charles and David
Koch , two of the richest men in the world, founded the institute that set up the
Tea
Party movement . We find that Charles Koch, in establishing one of his thinktanks,
noted that "in order
to avoid undesirable criticism, how the organisation is controlled and directed should not be
widely advertised".
The nouveau riche were once disparaged by those who had
inherited their money. Today, the relationship has been reversed
The words used by neoliberalism often conceal more than they
elucidate. "The market" sounds like a natural system that might bear upon us equally, like
gravity or atmospheric pressure. But it is fraught with power relations. What "the market
wants" tends to mean what corporations and their bosses want. "Investment", as Sayer notes,
means two quite different things. One is the funding of productive and socially useful
activities, the other is the purchase of existing assets to milk them for rent, interest,
dividends and capital gains. Using the same word for different activities "camouflages the
sources of wealth", leading us to confuse wealth extraction with wealth creation.
A century ago, the nouveau riche were disparaged by those who had
inherited their money. Entrepreneurs sought social acceptance by passing themselves off as
rentiers. Today, the relationship has been reversed: the rentiers and inheritors style
themselves entre preneurs. They claim to have earned their unearned income.
These anonymities and confusions mesh with the namelessness and
placelessness of modern capitalism: the franchise model which ensures that workers do not know for
whom they toil ; the companies registered through a network of offshore secrecy regimes so
complex that even the
police cannot discover the beneficial owners ; the tax arrangements that bamboozle
governments; the financial products no one understands.
The anonymity of neoliberalism is fiercely guarded. Those who are
influenced by Hayek, Mises and Friedman tend to reject the term, maintaining – with some
justice – that it is used today only pejoratively . But they
offer us no substitute. Some describe themselves as classical liberals or libertarians, but
these descriptions are both misleading and curiously self-effacing, as they suggest that there
is nothing novel about The Road to Serfdom , Bureaucracy or Friedman's classic
work, Capitalism and Freedom .
***
For all that, there is something admirable about the neoliberal
project, at least in its early stages. It was a distinctive, innovative philosophy promoted by
a coherent network of thinkers and activists with a clear plan of action. It was patient and
persistent. The Road to Serfdom became the path to power.
Neoliberalism, Locke and the Green party |
Letters Read more
Neoliberalism's triumph also reflects the failure of the left.
When laissez-faire economics led to catastrophe in 1929, Keynes devised a comprehensive
economic theory to replace it. When Keynesian demand management hit the buffers in the 70s,
there was an alternative ready. But when neoliberalism fell apart in 2008 there was ...
nothing. This is why the zombie walks. The left and centre have produced no new general
framework of economic thought for 80 years.
Every invocation of Lord Keynes is an admission of failure. To
propose Keynesian solutions to the crises of the 21st century is to ignore three obvious
problems. It is hard to mobilise people around old ideas; the flaws exposed in the 70s have not
gone away; and, most importantly, they have nothing to say about our gravest predicament: the
environmental crisis. Keynesianism works by stimulating consumer demand to promote economic
growth. Consumer demand and economic growth are the motors of environmental
destruction.
What the history of both Keynesianism and neoliberalism show is
that it's not enough to oppose a broken system. A coherent alternative has to be proposed. For
Labour, the Democrats and the wider left, the central task should be to develop an economic
Apollo programme, a conscious attempt to design a new system, tailored to the demands of the
21st century.
George Monbiot's How Did We Get into This Mess? is
published this month by Verso. To order a copy for £12.99 (RRP £16.99) ) go to
bookshop.theguardian.com or call 0330 333 6846. Free UK p&p over £10, online
orders only. Phone orders min p&p of £1.99.
Topics Economics
Highly recommended!
Notable quotes:
"... "The purpose of life is not to be happy. It is to be useful, to be honorable, to be compassionate, to have it make some difference that you have lived and lived well." ..."
"... Recently I read Not Fade Away by Laurence Shames and Peter Barton. It's about Peter Barton, the founder of Liberty Media, who shares his thoughts about dying from cancer. ..."
For the longest time, I believed that there's only one purpose of life: And that is to be happy. Right? Why else go through all
the pain and hardship? It's to achieve happiness in some way. And I'm not the only person who believed that. In fact, if you look
around you, most people are pursuing happiness in their lives.
That's why we collectively buy shit we don't need, go to bed with people we don't love, and try to work hard to get approval of
people we don't like.
Why do we do these things? To be honest, I don't care what the exact reason is. I'm not a scientist. All I know is that it has
something to do with history, culture, media, economy, psychology, politics, the information era, and you name it. The list is endless.
We are who are.
Let's just accept that. Most people love to analyze why people are not happy or don't live fulfilling lives.
I don't necessarily care about the why .
I care more about how we can change.
Just a few short years ago, I did everything to chase happiness.
- You buy something, and you think that makes you happy.
- You hook up with people, and think that makes you happy.
- You get a well-paying job you don't like, and think that makes you happy.
- You go on holiday, and you think that makes you happy.
But at the end of the day, you're lying in your bed (alone or next to your spouse), and you think: "What's next in this endless
pursuit of happiness?"
Well, I can tell you what's next: You, chasing something random that you believe makes you happy.
It's all a façade. A hoax. A story that's been made up.
Did Aristotle lie to us when he said:
"Happiness is the meaning and the purpose of life, the whole aim and end of human existence."
I think we have to look at that quote from a different angle. Because when you read it, you think that happiness is the main goal.
And that's kind of what the quote says as well.
But here's the thing: How do you achieve happiness?
Happiness can't be a goal in itself. Therefore, it's not something that's achievable. I believe that happiness is merely a byproduct
of usefulness. When I talk about this concept with friends, family, and colleagues, I always find it difficult to put this into words.
But I'll give it a try here. Most things we do in life are just activities and experiences.
- You go on holiday.
- You go to work.
- You go shopping.
- You have drinks.
- You have dinner.
- You buy a car.
Those things should make you happy, right? But they are not useful. You're not creating anything. You're just consuming or doing
something. And that's great.
Don't get me wrong. I love to go on holiday, or go shopping sometimes. But to be honest, it's not what gives meaning to life.
What really makes me happy is when I'm useful. When I create something that others can use. Or even when I create something I
can use.
For the longest time I foud it difficult to explain the concept of usefulness and happiness. But when I recently ran into a quote
by Ralph Waldo Emerson, the dots connected.
Emerson says:
"The purpose of life is not to be happy. It is to be useful, to be honorable, to be compassionate, to have it make some
difference that you have lived and lived well."
And I didn't get that before I became more conscious of what I'm doing with my life. And that always sounds heavy and all. But
it's actually really simple.
It comes down to this: What are you DOING that's making a difference?
Did you do useful things in your lifetime? You don't have to change the world or anything. Just make it a little bit better than
you were born.
If you don't know how, here are some ideas.
- Help your boss with something that's not your responsibility.
- Take your mother to a spa.
- Create a collage with pictures (not a digital one) for your spouse.
- Write an article about the stuff you learned in life.
- Help the pregnant lady who also has a 2-year old with her stroller.
- Call your friend and ask if you can help with something.
- Build a standing desk.
- Start a business and hire an employee and treat them well.
That's just some stuff I like to do. You can make up your own useful activities.
You see? It's not anything big. But when you do little useful things every day, it adds up to a life that is well lived. A life
that mattered.
The last thing I want is to be on my deathbed and realize there's zero evidence that I ever existed.
Recently I read
Not Fade Away by Laurence Shames and Peter Barton. It's about Peter Barton, the founder of Liberty Media, who shares his
thoughts about dying from cancer.
It's a very powerful book and it will definitely bring tears to your eyes. In the book, he writes about how he lived his life
and how he found his calling. He also went to business school, and this is what he thought of his fellow MBA candidates:
"Bottom line: they were extremely bright people who would never really anything, would never add much to society, would leave
no legacy behind. I found this terribly sad, in the way that wasted potential is always sad."
You can say that about all of us. And after he realized that in his thirties, he founded a company that turned him into a multi-millionaire.
Another person who always makes himself useful is Casey Neistat
. I've been following him for a year and a half now, and every time I watch his
YouTube show , he's doing something.
He also talks about how he always wants to do and create something. He even has a tattoo on his forearm that says "Do More."
Most people would say, "why would you work more?" And then they turn on Netflix and watch back to back episodes of Daredevil.
A different mindset.
Being useful is a mindset. And like with any mindset, it starts with a decision. One day I woke up and thought to myself: What
am I doing for this world? The answer was nothing.
And that same day I started writing. For you it can be painting, creating a product, helping elderly, or anything you feel like
doing.
Don't take it too seriously. Don't overthink it. Just DO something that's useful. Anything.
Darius Foroux writes about productivity, habits, decision making, and personal finance. His ideas and work have been featured
in TIME, NBC, Fast Company, Inc., Observer, and many more publications. Join
his free weekly newsletter.
More from Darius Foroux
This article was originally published on October 3, 2016, by Darius Foroux, and is republished here with permission. Darius Foroux
writes about productivity, habits, decision making, and personal finance.
Join his newsletter.
Highly recommended!
likbez -> anne... ,
October 05, 2019 at 04:40 PM
Anne,
Let me serve as a devil advocate here.
Japan has a shrinking population. Can you explain to me why on the Earth they need
economic growth?
This preoccupation with "growth" (with narrow and false one dimensional and very
questionable measurements via GDP, which includes the FIRE sector) is a fallacy promoted by
neoliberalism.
Neoliberalism proved to be quite sophisticated religions with its own set of True
Believers in Eric Hoffer's terminology.
A lot of current economic statistics suffer from "mathiness".
For example, the narrow definition of unemployment used in U3 is just a classic example of
pseudoscience in full bloom. It can be mentioned only if U6 mentioned first. Otherwise, this
is another "opium for the people" ;-) An attempt to hide the real situation in the neoliberal
"job market" in which has sustained real unemployment rate is always over 10% and which has a
disappearing pool of well-paying middle-class jobs. Which produced current narco-epidemics
(in 2018, 1400 people were shot in half a year in Chicago (
http://www.chicagotribune.com/news/breaking/ct-met-weekend-shooting-violence-20180709-story.html
); imagine that). While I doubt that people will hang Pelosi on the street post, her
successor might not be so lucky ;-)
Everything is fake in the current neoliberal discourse, be it political or economic, and
it is not that easy to understand how they are deceiving us. Lies that are so sophisticated
that often it is impossible to tell they are actually lies, not facts. The whole neoliberal
society is just big an Empire of Illusions, the kingdom of lies and distortions.
I would call it a new type of theocratic state if you wish.
And probably only one in ten, if not one in a hundred economists deserve to be called
scientists. Most are charlatans pushing fake papers on useless conferences.
It is simply amazing that the neoliberal society, which is based on "universal deception,"
can exist for so long.
Mr. Bill ,
September 22, 2019 at 09:55 PM
The decrepitating of the world's society can be traced back to the crap, contemporary
economics, the purview of the Ivy league. Somehow, labor arbitrage was accepted as a worthy
objective. America lost it's way.
Paine -> Mr. Bill... ,
September 23, 2019 at 06:12 AM
Joe stiglitz is an honored product of the ivy system
And he has conducted a 50 year demolition of standard micro economics as taught in the 101 class rooms of collegiate AMERIKA
Yes it is, but only for couples with low level of marital satisfaction.
Notable quotes:
"... They also looked at marital breakup more generally, focusing on when couples decided to end their relationships (not necessarily if or when they got divorced). Their findings revealed that when men were unemployed, the likelihood that either spouse would leave the marriage increased. What about the woman's employment status? For husbands, whether their wife was employed or not was seemingly unimportant-it was unrelated to their decision to leave the relationship. It did seem to matter for wives, though, but it depended upon how satisfied they were with the marriage. ..."
"... When women were highly satisfied, they were inclined to stay with their partner regardless of whether they had employment. However, when the wife's satisfaction was low, she was more likely to exit the relationship, but only when she had a job. ..."
The first study considers government data from all 50 U.S. states between the years 1960 and 2005.1 The researchers predicted
that higher unemployment numbers would translate to more divorces among heterosexual married couples. Most of us probably would have
predicted this too based on common sense-you would probably expect your partner to be able to hold down a job, right? And indeed,
this was the case, but only before 1980. Surprisingly, since then, as joblessness has increased, divorce rates have actually
decreased.How do we explain this counterintuitive finding? We don't know for sure, but the researchers speculate that unemployed
people may delay or postpone divorce due to the high costs associated with it. Not only is divorce expensive in terms of legal fees,
but afterward, partners need to pay for two houses instead of one. And if they are still living off of one salary at that point,
those costs may be prohibitively expensive. For this reason, it is not that uncommon to hear about estranged couples who can't stand
each other but are still living under the same roof.
The second study considered data from a national probability sample of over 3,600 heterosexual married couples in the U.S. collected
between 1987 and 2002. However, instead of looking at the overall association between unemployment and marital outcomes, they considered
how gender and relationship satisfaction factored into the equation. 2
They also looked at marital breakup more generally, focusing on when couples decided to end their relationships (not necessarily
if or when they got divorced). Their findings revealed that when men were unemployed, the likelihood that either spouse would leave
the marriage increased. What about the woman's employment status? For husbands, whether their wife was employed or not was seemingly
unimportant-it was unrelated to their decision to leave the relationship. It did seem to matter for wives, though, but it depended
upon how satisfied they were with the marriage.
When women were highly satisfied, they were inclined to stay with their partner regardless of whether they had employment.
However, when the wife's satisfaction was low, she was more likely to exit the relationship, but only when she had a job.
Notable quotes:
"... A good economy compensates for much social dysfunction. ..."
"... More than that, it prevents the worst of behaviors that are considered an expression of dysfunction from occurring, as people across all social strata have other things to worry about or keep them busy. Happy people don't bear grudges, or at least they are not on top of their consciousness as long as things are going well. ..."
"... This could be seen time and again in societies with deep and sometimes violent divisions between ethnic groups where in times of relative prosperity (or at least a broadly shared vision for a better future) the conflicts are not removed but put on a backburner, or there is even "finally" reconciliation, and then when the economy turns south, the old grudges and conflicts come back (often not on their own, but fanned by groups who stand to gain from the divisions, or as a way of scapegoating) ..."
"... "backwaters of America, that economy seems to put out fewer and fewer chairs." ~~Harold Pollack~ ..."
"... Going up through the chairs has become so impossible for those on the slow-track. Not enough slots for all the jokers within our once proud country of opportunities, ..."
"... George Orwell: "I doubt, however, whether the unemployed would ultimately benefit if they learned to spend their money more economically. ... If the unemployed learned to be better managers they would be visibly better off, and I fancy it would not be long before the dole was docked correspondingly." ..."
"... Perhaps you are commenting on the aspect that when (enough) job applicants/holders define down their standards and let employers treat them as floor mats, then the quality of many jobs and the labor relations will be adjusted down accordingly, or at the very least expectations what concessions workers will make will be adjusted up. That seems to be the case unfortunately. ..."
Avraam Jack Dectis said...
A good economy compensates for much social dysfunction.
A bad economy moves people toward the margins, afflicts those
near the margins and kills those at the margins.
This is what policy makers should consider as they pursue policies that do not put the citizen above all else.
cm -> Avraam Jack Dectis...
"A good economy compensates for much social dysfunction."
More than that, it prevents the worst of behaviors that are considered an expression of dysfunction from occurring, as
people across all social strata have other things to worry about or keep them busy. Happy people don't bear grudges, or at least
they are not on top of their consciousness as long as things are going well.
This could be seen time and again in societies with deep and sometimes violent divisions between ethnic groups where in
times of relative prosperity (or at least a broadly shared vision for a better future) the conflicts are not removed but put on
a backburner, or there is even "finally" reconciliation, and then when the economy turns south, the old grudges and conflicts
come back (often not on their own, but fanned by groups who stand to gain from the divisions, or as a way of scapegoating)
Dune Goon said...
"backwaters of America, that economy seems to put out fewer and fewer chairs." ~~Harold Pollack~
Going up through the chairs has become so impossible for those on the slow-track. Not enough slots for all the jokers within
our once proud country of opportunities, not enough elbow room for Daniel Boone, let alone Jack Daniels! Not enough space
in this county to wet a tree when you feel the urge! Every tiny plot of space has been nailed down and fenced off, divided up
among gated communities. Why?
Because the 1% has an excessive propensity to reproduce their own kind. They are so uneducated about the responsibilities of
birth control and space conservation that they are crowding all of us off the edge of the planet. Worse yet we have begun to *ape
our betters*.
"We've only just begun!"
~~The Carpenters~
William said...
"Many of us know people who receive various public benefits, and who might not need to rely on these programs if they made
better choices, if they learned how to not talk back at work, if they had a better handle on various self-destructive behaviors,
if they were more willing to take that crappy job and forego disability benefits, etc."
George Orwell: "I doubt, however, whether the unemployed would ultimately benefit if they learned to spend their money
more economically. ... If the unemployed learned to be better managers they would be visibly better off, and I fancy it would
not be long before the dole was docked correspondingly."
cm said in reply to William...
A valid observation, but what you are commenting on is more about getting or keeping a job than managing personal finances.
Perhaps you are commenting on the aspect that when (enough) job applicants/holders define down their standards and let
employers treat them as floor mats, then the quality of many jobs and the labor relations will be adjusted down accordingly, or
at the very least expectations what concessions workers will make will be adjusted up. That seems to be the case unfortunately.
Notable quotes:
"... In a recent interview Mr. Deaton suggested that middle-aged whites have "lost the narrative of their lives." That is, their economic setbacks have hit hard because they expected better. Or to put it a bit differently, we're looking at people who were raised to believe in the American Dream, and are coping badly with its failure to come true. ..."
"... the truth is that we don't really know why despair appears to be spreading across Middle America. But it clearly is, with troubling consequences for our society... ..."
"... Some people who feel left behind by the American story turn self-destructive; others turn on the elites they feel have betrayed them. ..."
"... What we are seeing is the long term impacts of the "Reagan Revolution." ..."
"... The affected cohort here is the first which has lived with the increased financial and employment insecurity that engendered, as well as the impacts of the massive offshoring of good paying union jobs throughout their working lives. Stress has cumulative impacts on health and well-being, which are a big part of what we are seeing here. ..."
"... Lets face it, this Fed is all about goosing up asset prices to generate short term gains in economic activity. Since the early 90s, the Fed has done nothing but make policy based on Wall Street's interests. I can give them a pass on the dot com debacle but not after that. This toxic relationship between wall street and the Fed has to end. ..."
"... there was a housing bubble that most at the Fed (including Bernanke) denied right upto the middle of 2007 ..."
"... Yellen, to her credit, has admitted multiple times over the years that low rates spur search for yield that blows bubbles ..."
"... Bursting of the bubble led to unemployment for millions and U3 that went to 10% ..."
"... "You are the guys who do not consider the counterfactual where higher rates would have prevented the housing bubble in 2003-05 and that produced the great recession in the first place." ..."
"... Inequality has been rising globally, almost regardless of trade practices ..."
"... It is not some unstoppable global trend. This is neoliberal oligarchy coup d'état. Or as it often called "a quite coup". ..."
"... First of all, whether a job can or is offshored has little to do with whether it is "low skilled" but more with whether the workflow around the job can be organized in such a way that the job can be offshore. This is less a matter of "skill level" and more volume and immediacy of interaction with adjacent job functions, or movement of material across distances. ..."
"... The reason wages are stuck is that aggregate jobs are not growing, relative to workforce supply. ..."
"... BTW the primary offshore location is India, probably in good part because of good to excellent English language skills, and India's investment in STEM education and industry (especially software/services and this is even a public stereotype, but for a reason). ..."
"... Very rough figures: half a million Chicago employees may make less than $800 a week -- almost everybody should earn $800 ... ..."
"... Union busting is generally (?) understood as direct interference with the formation and operation of unions or their members. It is probably more common that employers are allowed to just go around the unions - "right to work", subcontracting non-union shops or temp/staffing agencies, etc. ..."
"... Why would people join a union and pay dues when the union is largely impotent to deliver, when there are always still enough desperate people who will (have to) take jobs outside the union system? Employers don't have to bring in scabs when they can legally go through "unencumbered" subcontractors inside or outside the jurisdiction. ..."
"... Credibility trap, fully engaged. ..."
"... The anti-knowledge of the elites is worth reading. http://billmoyers.com/2015/11/02/the-anti-knowledge-of-the-elites/ When such herd instinct and institutional overbearance connects with the credibility trap, the results may be impressive. http://jessescrossroadscafe.blogspot.com/2015/11/gold-daily-and-silver-weekly-charts-pop.html ..."
"... Suicide, once thought to be associated with troubled teens and the elderly, is quickly becoming an age-blind statistic. Middle aged Americans are turning to suicide in alarming numbers. The reasons include easily accessible prescription painkillers, the mortgage crisis and most importantly the challenge of a troubled economy. The Center for Disease Control and Prevention claims suicide rates now top the number of deaths due to automobile accidents. ..."
"... The suicide rate for both younger and older Americans remains virtually unchanged, however, the rate has spiked for those in middle age (35 to 64 years old) with a 28 percent increase (link is external) from 1999 to 2010. ..."
"... When few people kill themselves "on purpose" or die from self-inflicted but probably "unintended" harms (e.g. organ failure or accidental death caused by substance abuse), it can be shrugged off as problems related to the individual (more elaboration possible but not necessary). ..."
"... When it becomes a statistically significant phenomenon (above-noise percentage of total population or demographically identifiable groups), then one has to ask questions about social causes. My first question would be, "what made life suck for those people"? What specific instrument they used to kill themselves would be my second question (it may be the first question for people who are charged with implementing counter measures but not necessarily fixing the causes). ..."
"... Since about the financial crisis (I'm not sure about causation or coincidence - not accidental coincidence BTW but causation by the same underlying causes), there has been a disturbing pattern of high school students throwing themselves in front of local trains. At that age, drinking or drugging oneself to death is apparently not the first "choice". Performance pressure *related to* (not just "and") a lack of convincing career/life prospects has/have been suspected or named as a cause. I don't think teenagers suddenly started to jump in front of trains that have run the same rail line for decades because of the "usual" and centuries to millennia old teenage romantic relationship issues. ..."
"There is a darkness spreading over part of our society":
Despair, American Style, by Paul
Krugman, Commentary, NY Times: A couple of weeks ago President Obama mocked Republicans who are "down on America," and reinforced
his message by doing a pretty good Grumpy Cat impression. He had a point: With job growth at rates not seen since the 1990s, with
the percentage of Americans covered by health insurance hitting record highs, the doom-and-gloom predictions of his political
enemies look ever more at odds with reality.Yet there is a darkness spreading over part of our society. ... There has been
a lot of comment ... over a new paper by the economists Angus Deaton (who just won a Nobel) and Anne Case, showing that mortality
among middle-aged white Americans has been rising since 1999..., while death rates were falling steadily both in other countries
and among other groups in our own nation.
Even more striking are the proximate causes of rising mortality. Basically, white Americans are, in increasing numbers, killing
themselves... Suicide is way up, and so are deaths from drug poisoning and ... drinking... But what's causing this epidemic of
self-destructive behavior?...
In a recent interview Mr. Deaton suggested that middle-aged whites have "lost the narrative of their lives." That is, their
economic setbacks have hit hard because they expected better. Or to put it a bit differently, we're looking at people who were
raised to believe in the American Dream, and are coping badly with its failure to come true.
That sounds like a plausible hypothesis..., but the truth is that we don't really know why despair appears to be spreading
across Middle America. But it clearly is, with troubling consequences for our society...
I know I'm not the only observer who sees a link between the despair reflected in those mortality numbers and the volatility
of right-wing politics. Some people who feel left behind by the American story turn self-destructive; others turn on the elites
they feel have betrayed them. No, deporting immigrants and wearing baseball caps bearing slogans won't solve their problems,
but neither will cutting taxes on capital gains. So you can understand why some voters have rallied around politicians who at
least seem to feel their pain.
At this point you probably expect me to offer a solution. But while universal health care, higher minimum wages, aid to education,
and so on would do a lot to help Americans in trouble, I'm not sure whether they're enough to cure existential despair.
bakho said...
There are a lot of economic dislocations that the government after the 2001 recession stopped doing much about it. Right after
the 2008 crash, the government did more but by 2010, even the Democratic president dropped the ball. and failed to deliver. Probably
no region of the country is affected more by technological change that the coal regions of KY and WV. Lying politicians promise
a return to the past that cannot be delivered. No one can suggest what the new future will be. The US is due for another round
of urbanization as jobs decline in rural areas. Dislocation forces declining values of properties and requires changes in behavior,
skills and outlook. Those personal changes do not happen without guidance. The social institutions such as churches and government
programs are a backstop, but they are not providing a way forward. There is plenty of work to be done, but our elites are not
willing to invest.
DrDick -> bakho...
The problem goes back much further than that. What we are seeing is the long term impacts of the "Reagan Revolution."
The affected cohort here is the first which has lived with the increased financial and employment insecurity that engendered,
as well as the impacts of the massive offshoring of good paying union jobs throughout their working lives. Stress has cumulative
impacts on health and well-being, which are a big part of what we are seeing here.
ilsm said...
Thuggee doom and gloom is about their fading chance to reinstate the slavocracy.
The fever swamp of right wing ideas is more loony than 1964.
Extremism is the new normal.
bmorejoe -> ilsm...
Yup. The slow death of white supremacy.
Peter K. -> Anonymous...
If it wasn't for monetary policy things would be even worse as the Republicans in Congress forced fiscal austerity on the economy
during the "recovery."
sanjait -> Peter K....
That's the painful irony of a comment like that one from Anonymous ... he seems completely unaware that, yes, ZIRP has done
a huge amount to prevent the kind of problems described above. He like most ZIRP critics fails to consider what the counterfactual
looks like (i.e., something like the Great Depression redux).
Anonymous -> sanjait...
You are the guys who do not consider the counterfactual where higher rates would have prevented the housing bubble in 2003-05
and that produced the great recession in the first place. Because preemptive monetary policy has gone out of fashion completely.
And now we are going to repeat the whole process over when the present bubble in stocks and corporate bonds bursts along with
the malinvestment in China, commodity exporters etc.
Peter K. -> Anonymous...
"liquidate labor, liquidate stocks, liquidate farmers, liquidate real estate... it will purge the rottenness out of the system.
High costs of living and high living will come down. People will work harder, live a more moral life. Values will be adjusted,
and enterprising people will pick up from less competent people."
sanjait -> Anonymous...
"You want regulation? I would like to see1) Reinstate Glass Steagall
2) impose a 10bp trans tax on trading financial instruments."
Great. Two things with zero chance of averting bubbles but make great populist pablum.
This is why we can't have nice things!
"3) Outlaw any Fed person working for a bank/financial firm after they leave office."
This seems like a decent idea. Hard to enforce, as highly intelligent and accomplished people tend not to be accepting of such
restrictions, but it could be worth it anyway.
likbez -> sanjait...
" highly intelligent and accomplished people tend not to be accepting of such restrictions, but it could be worth it anyway."
You are forgetting that it depends on a simple fact to whom political power belongs. And that's the key whether "highly intelligent
and accomplished people" will accept those restrictions of not.
If the government was not fully captured by financial capital, then I think even limited prosecution of banksters "Stalin's
purge style" would do wonders in preventing housing bubble and 2008 financial crush.
Please try to imagine the effect of trial and exile to Alaska for some period just a dozen people involved in Securitization
of mortgages boom (and those highly intelligent people can do wonders in improving oil industry in Alaska ;-).
Starting with Mr. Weill, Mr. Greenspan, Mr. Rubin, Mr. Phil Gramm, Dr. Summers and Mr. Clinton.
Anonymous -> Peter K....
"2003-2005 didn't have excess inflation and wage gains."
Monetary policy can not hinge just on inflation or wage gains. Why are wage gains a problem anyway?
Lets face it, this Fed is all about goosing up asset prices to generate short term gains in economic activity. Since the
early 90s, the Fed has done nothing but make policy based on Wall Street's interests. I can give them a pass on the dot com debacle
but not after that. This toxic relationship between wall street and the Fed has to end.
You want regulation? I would like to see
1) Reinstate Glass Steagall
2) impose a 10bp trans tax on trading financial instruments.
3) Outlaw any Fed person working for a bank/financial firm after they leave office. Bernanke, David Warsh etc included. That includes
Mishkin getting paid to shill for failing Iceland banks or Bernanke making paid speeches to hedge funds.
Anonymous -> EMichael...
Fact: there was a housing bubble that most at the Fed (including Bernanke) denied right upto the middle of 2007
Fact: Yellen, to her credit, has admitted multiple times over the years that low rates spur search for yield that blows bubbles
Fact: Bursting of the bubble led to unemployment for millions and U3 that went to 10%
what facts are you referring to?
EMichael -> Anonymous...
That FED rates caused the bubble.
to think this you have to ignore that a 400% Fed Rate increase from 2004 to 2005 had absolutely no effect on mortgage originations.
Then of course, you have to explain why 7 years at zero has not caused another housing bubble.
https://research.stlouisfed.org/fred2/series/FEDFUNDS
Correlation is not causation. Lack of correlation is proof of lack of causation.
pgl -> Anonymous...
"You are the guys who do not consider the counterfactual where higher rates would have prevented the housing bubble
in 2003-05 and that produced the great recession in the first place."
You are repeating the John B. Taylor line about interest rates being held "too low and too long". And guess what - most economists
have called Taylor's claim for the BS it really is. We should also note we never heard this BS when Taylor was part of the Bush
Administration. And do check - Greenspan and later Bernanke were raising interest rates well before any excess demand was generated
which is why inflation never took off.
So do keep repeating this intellectual garbage and we keep noting you are just a stupid troll.
anne -> anne...
http://www.pnas.org/content/early/2015/10/29/1518393112
September 17, 2015
Rising morbidity and mortality in midlife among white non-Hispanic Americans in the 21st century
By Anne Case and Angus Deaton
Midlife increases in suicides and drug poisonings have been previously noted. However, that these upward trends were persistent
and large enough to drive up all-cause midlife mortality has, to our knowledge, been overlooked. If the white mortality rate for
ages 45−54 had held at their 1998 value, 96,000 deaths would have been avoided from 1999–2013, 7,000 in 2013 alone. If it had
continued to decline at its previous (1979‒1998) rate, half a million deaths would have been avoided in the period 1999‒2013,
comparable to lives lost in the US AIDS epidemic through mid-2015. Concurrent declines in self-reported health, mental health,
and ability to work, increased reports of pain, and deteriorating measures of liver function all point to increasing midlife distress.
Abstract
This paper documents a marked increase in the all-cause mortality of middle-aged white non-Hispanic men and women in the United
States between 1999 and 2013. This change reversed decades of progress in mortality and was unique to the United States; no other
rich country saw a similar turnaround. The midlife mortality reversal was confined to white non-Hispanics; black non-Hispanics
and Hispanics at midlife, and those aged 65 and above in every racial and ethnic group, continued to see mortality rates fall.
This increase for whites was largely accounted for by increasing death rates from drug and alcohol poisonings, suicide, and chronic
liver diseases and cirrhosis. Although all education groups saw increases in mortality from suicide and poisonings, and an overall
increase in external cause mortality, those with less education saw the most marked increases. Rising midlife mortality rates
of white non-Hispanics were paralleled by increases in midlife morbidity. Self-reported declines in health, mental health, and
ability to conduct activities of daily living, and increases in chronic pain and inability to work, as well as clinically measured
deteriorations in liver function, all point to growing distress in this population. We comment on potential economic causes and
consequences of this deterioration.
ilsm -> Sarah...
Murka is different. Noni's plan would work if it were opportune for the slavocracy and the Kochs and ARAMCO don't lose any
"growth".
Maybe cost plus climate repair contracts to shipyards fumbling through useless nuclear powered behemoths for war plans made
in 1942.
Someone gotta make big money plundering for the public good, in Murka!
CSP said...
The answers to our malaise seem readily apparent to me, and I'm a southern-born white male working in a small, struggling Georgia
town.
1. Kill the national war machine
2. Kill the national Wall Street financial fraud machine
3. Get out-of-control mega corporations under control
4. Return savings to Main Street (see #1, #2 and #3)
5. Provide national, universal health insurance to everyone as a right
6. Provide free education to everyone, as much as their academic abilities can earn them
7. Strengthen social security and lower the retirement age to clear the current chronic underemployment of young people
It seems to me that these seven steps would free the American people to pursue their dreams, not the dreams of Washington or
Wall Street. Unfortunately, it is readily apparent that true freedom and real individual empowerment are the last things our leaders
desire. Shame on them and shame on everyone who helps to make it so.
DeDude -> CSP...
You are right. Problem is that most southern-born white males working in a small, struggling Georgia town would rather die
than voting for the one candidate who might institute those changes - Bernie Sanders.
The people who are beginning to realize that the american dream is a mirage, are the same people who vote for GOP candidates
who want to give even more to the plutocrats.
kthomas said...
The kids in Seattle had it right when WTO showed up.
Why is anyone suprised by all this?
We exported out jobs. First all the manufacturing. Now all of the Service jobs.
But hey...we helped millions in China and India get out of poverty, only to put outselves into it.
America was sold to highest bidder a long long time ago. A Ken Melvin put it, the chickens came home to roost in 2000.
sanjait -> kthomas...
So you think the problem with America is that we lost our low skilled manufacturing and call center tech support jobs?
I can sort of see why people assume that "we exported out jobs" is the reason for stagnant incomes in the U.S., but it's still
tiresome, because it's still just wrong.
Manufacturing employment crashed in the US mostly because it has been declining globally. The world economy is less material
based than ever, and machines do more of the work making stuff.
And while some services can be outsourced, the vast majority can't. Period.
Inequality has been rising globally, almost regardless of trade practices. The U.S. has one of the more closed economies in
the developed world, so if globalization were the cause, we'd be the most insulated. But we aren't, which should be a pretty good
indication that globalization isn't the cause.
cm -> sanjait...
Yes, the loss of "low skilled" jobs is still a loss of jobs. Many people work in "low skilled" jobs because there are not enough
"higher skill" jobs to go around, as most work demanded is not of the most fancy type.
We have heard this now for a few decades, that "low skilled" jobs lost will be replaced with "high skill" (and better paid)
jobs, and the evidence is somewhat lacking. There has been growth in higher skill jobs in absolute terms, but when you adjust
by population growth, it is flat or declining.
When people hypothetically or actually get the "higher skills" recommended to them, into what higher skill jobs are they to
move?
I have known a number of anecdotes of people with degrees or who held "skilled" jobs that were forced by circumstances to take
commodity jobs or jobs at lower pay grades or "skill levels" due to aggregate loss of "higher skill" jobs or age discrimination,
or had to go from employment to temp jobs.
And it is not true that only "lower skill" jobs are outsourced. Initially, yes, as "higher skills" obviously don't exist yet
in the outsourcing region. But that doesn't last long, especially if the outsourcers expend resources to train and grow the remote
skill base, at the expense of the domestic workforce which is expected to already have experience (which has worked for a while
due to workforce overhangs from previous industry "restructuring").
likbez -> sanjait...
"Inequality has been rising globally, almost regardless of trade practices."
It is not some unstoppable global trend. This is neoliberal oligarchy coup d'état. Or as it often called "a quite coup".
sanjait -> cm...
"Yes, the loss of "low skilled" jobs is still a loss of jobs. Many people work in "low skilled" jobs because there
are not enough "higher skill" jobs to go around, as most work demanded is not of the most fancy type.
We have heard this now for a few decades, that "low skilled" jobs lost will be replaced with "high skill" (and better
paid) jobs, and the evidence is somewhat lacking. "
And that is *exactly my point.*
The lack of wage growth isn't isolated to low skilled domains. It's weak across the board.
What does that tell us?
It tells us that offshoring of low skilled jobs isn't the problem.
"And it is not true that only "lower skill" jobs are outsourced. Initially, yes, as "higher skills" obviously don't exist
yet in the outsourcing region."
You could make this argument, but I think (judging by your own hedging) you know this isn't the case. Offshoring of higher
skilled jobs does happen but it's a marginal factor in reality. You hypothesize that it may someday become a bigger factor ...
but just notice that we've had stagnant wages now for a few decades.
My point is that offshoring IS NOT THE CAUSE of stagnating wages. I'd argue that globalization is a force that can't really
be stopped by national policy anyway, but even if you think it could, it's important to realize IT WOULD DO ALMOST NOTHING to
alleviate inequality.
cm -> sanjait...
I was responding to your point:
"So you think the problem with America is that we lost our low skilled manufacturing and call center tech support jobs?"
With the follow-on:
"I can sort of see why people assume that "we exported out jobs" is the reason for stagnant incomes in the U.S., but
it's still tiresome, because it's still just wrong."
Labor markets are very sensitive to marginal effects. If let's say "normal" or "heightened" turnover is 10% p.a. spread out
over the year, then the continued availability (or not) of around 1% vacancies (for the respective skill sets etc.) each month
makes a huge difference. There was the argument that the #1 factor is automation and process restructuring, and offshoring is
trailing somewhere behind that in job destruction volume.
I didn't research it in detail because I have no reason to doubt it. But it is a compounded effect - every percentage point
in open positions (and *better* open positions - few people are looking to take a pay cut) makes a big difference. If let's say
the automation losses are replaced with other jobs, offshoring will tip the scale. Due to aggregate effects one cannot say what
is the "extra" like with who is causing congestion on a backed up road (basically everybody, not the first or last person to join).
"Manufacturing employment crashed in the US mostly because it has been declining globally. The world economy is less
material based than ever, and machines do more of the work making stuff."
Are you kidding me? The world economy is less material based? OK maybe 20 years after the paperless office we are finally printing
less, but just because the material turnover, waste, and environmental pollution is not in your face (because of offshoring!),
it doesn't mean less stuff is produced or material consumed. If anything, it is market saturation and aggregate demand limitations
that lead to lower material and energy consumption (or lower growth rates).
In the aftermath of the financial crisis, several nations (US and Germany among others) had programs to promote new car sales
(cash for clunkers etc.) that were based on the idea that people can get credit for their old car, but its engine had to be destroyed
and made unrepairable so it cannot enter the used car market and defeat the purpose of the program. I assume the clunkers were
then responsibly and sustainably recycled.
cm -> sanjait...
"The lack of wage growth isn't isolated to low skilled domains. It's weak across the board.
What does that tell us?
It tells us taht offshoring of low skilled jobs isn't the problem."
This doesn't follow. First of all, whether a job can or is offshored has little to do with whether it is "low skilled"
but more with whether the workflow around the job can be organized in such a way that the job can be offshore. This is less a
matter of "skill level" and more volume and immediacy of interaction with adjacent job functions, or movement of material across
distances. Also consider that aside from time zone differences (which are of course a big deal between e.g. US and Europe/Asia),
there is not much difference whether a job is performed in another country or in a different domestic region, or perhaps just
"working from home" 1 mile from the office, for office-type jobs. Of course the other caveat is whether the person can physically
attend meetings with little fuss and expense - so remote management/coordination work is naturally not a big thing.
The reason wages are stuck is that aggregate jobs are not growing, relative to workforce supply. When the boomers
retire for real in another 5-10 years, that may change. OTOH several tech companies I know have periodic programs where they offer
workers over 55 or so packages to leave the company, so they cannot really hurt for talent, though they keep complaining and are
busy bringing in young(er) people on work visa. Free agents, it depends on the company. Some companies hire NCGs, but they also
"buy out" older workers.
cm -> cm...
Caveat: Based on what I see (outside sectors with strong/early growth), domestic hiring of NCGs/"fresh blood" falls in two
categories:
- Location bound jobs (sales, marketing, legal, HR, administration, ..., also functions attached to those or otherwise preferring
"cultural affinity") - which are largely staffed with locals, also foreigners (visa as well as free agent (green card/citizen))
- "Technical functions" and "technical" back office (i.e. little or no customer contact) - predominantly foreigners on visa
(e.g. graduates of US colleges), though some "free agent" hiring may happen depending on circumstances
Then there is also the gender split - "technical/engineering" jobs are overweighed in men, except technical jobs in traditionally
"non-technical/non-product" departments which have a higher share of women.
All this is of course a matter of top-down hiring preferences, as generally everything is either controlled top-down or tacitly
allowed to happen by selective non-interference.
cm -> sanjait...
"You could make this argument, but I think (judging by your own hedging) you know this isn't the case. Offshoring of
higher skilled jobs does happen but it's a marginal factor in reality. You hypothesize that it may someday become a bigger
factor ... but just notice that we've had stagnant wages now for a few decades."
I've written a lot of text so far but didn't address all points ...
My "hedging" is retrospective. I don't hypothesize what may eventually happen but it is happening here and now. I don't presume
to present a representative picture, but in my sphere of experience/observation (mostly a subset of computer software), offshoring
of *knowledge work* started in the mid to late 90's (and that's not the earliest it started in general - of course a lot of the
early offshoring in the 80's was market/language specific customization, e.g. US tech in Europe etc., and more "local culture
expertise" and not offshoring proper). In the late 90's and early 2000's, offshoring was overshadowed by the Y2K/dotcom booms,
so that phase didn't get high visibility (among the people "affected" it sure did). Also the internet was not yet ubiquitous -
broadband existed only at the corporate level.
- 15-20 years ago it was testing and "low level" programming, perhaps self contained limited-complexity functions or modules
written to fairly rigid specifications, or troubleshooting and bug fixes implemented here or there.
- Then 10-15 years ago it advanced to offshore product maintenance, following up on QA issues, small development projects,
or assisting/supporting roles in "real" projects (either conducted offshore or people visiting the domestic offices for weeks
to months).
- This went on in parallel with domestic visa workers from the first 15-20 years ago wave either being encouraged or themselves
expressing a desire to go back home (personal, career, family reasons etc.) and "spread the knowledge" and advancing into technical/organization
management roles.
- Then 5-10 years ago with clearly grown offshore skills (my theory is that people everywhere are cut from the same cloth,
and we are now at 10+ years industry experience in this narrative), the offshore sites started taking on ownership of product
components, while all the "previous" functions of testing, R&D support, tech pub (which I didn't mention earlier), etc. remained
and evolved further. Also IT (though IT support is more timezone bound and is thus present in all time zones).
Since then there has been little change, it is pretty much a steady state.
BTW the primary offshore location is India, probably in good part because of good to excellent English language skills,
and India's investment in STEM education and industry (especially software/services and this is even a public stereotype, but
for a reason).
Syaloch -> sanjait...
Whether low skilled jobs were eliminated due to offshoring or automation doesn't really matter. What matters is that the jobs
disappeared, replaced by a small number of higher skill jobs paying comparable wages plus a large number of low skill jobs offering
lower wages.
The aggregate effect was stagnation and even decline in living standards. Plus any new jobs were not necessarily produced in
the same geographic region as those that were lost, leading to concentration of unemployment and despair.
sanjait -> Syaloch...
"Whether low skilled jobs were eliminated due to offshoring or automation doesn't really matter. "
Well, actually it does matter, because we have a whole lot of people (in both political parties) who think the way to fight
inequality is to try to reverse globalization.
If they are incorrect, it matters, because they should be applying their votes and their energy to more effective solutions,
and rejecting the proposed solutions of both the well-meaning advocates and the outright demagogues who think restricting trade
is some kind of answer.
Syaloch -> sanjait...
I meant it doesn't matter in terms of the despair felt by those affected. All that matters to those affected is that they have
been obsoleted without either economic or social support to help them.
However, in terms of addressing this problem economically it really doesn't matter that much either. Offshoring is effectively
a low-tech form of automation. If companies can't lower labor costs by using cheaper offshore labor they'll find ways to either
drive down domestic wages or to use less labor. For the unskilled laborer the end result is the same.
Syaloch -> Syaloch...
See the thought experiment I posted on the links thread, and then add the following:
Suppose the investigative journalist discovered instead that Freedonia itself is a sham, and that rather than being imported
from overseas, the clothing was actually coming from an automated factory straight out of Vonnegut's "Player Piano" that was hidden
in a remote domestic location. Would the people who were demanding limits on Freedonian exports now say, "Oh well, I guess that's
OK" simply because the factory was located within the US?
Dan Kervick -> kthomas...
I enjoyed listening to this talk by Fredrick Reinfeldt at the LSE:
http://www.lse.ac.uk/newsAndMedia/videoAndAudio/channels/publicLecturesAndEvents/player.aspx?id=3253
Reinfeldt is a center-right politicians and former Swedish Prime Minister. OF course, what counts as center-right in Sweden
seems very different from what counts as center-right in the US.
Perhaps there is some kind of basis here for some bipartisan progress on jobs and full employment.
William said...
I'm sure this isn't caused by any single factor, but has anyone seriously investigated a link between this phenomena and the
military?
Veterans probably aren't a large enough cohort to explain the effect in full, but white people from the south are the most
likely group to become soldiers, and veterans are the most likely group to have alcohol/drug abuse and suicide problems.
This would also be evidence why we aren't seeing it in other countries, no one else has anywhere near the number of vets we
have.
cm -> William...
Vets are surely part of the aggregate problem of lack of career/economic prospects, in fact a lot of people join(ed) the military
because of a lack of other jobs to begin with. But as the lack of prospects is aggregate it affects everybody.
Denis Drew said...
" At this point you probably expect me to offer a solution. But while universal health care, higher minimum wages, aid to
education, and so on would do a lot to help Americans in trouble, I'm not sure whether they're enough to cure existential despair."
UNOINIZED and (therefore shall we say) politicized: you are in control of your narrative -- win or lose. Can it get any more hopeful
than that? And you will probably win.
Winning being defined as labor eeking out EQUALLY emotionally satisfying/dissatisfying market results -- EQUAL that is with
the satisfaction of ownership and the consumer. That's what happens when all three interface in the market -- labor interfacing
indirectly through collective bargaining.
(Labor's monopoly neutralizes ownership's monopsony -- the consumers' willingness to pay providing the checks and balances
on labor's monopoly.)
If you feel you've done well RELATIVE to the standards of your own economic era you will feel you've done well SUBJECTIVELY.
For instance, my generation of (American born) cab drivers earned about $750 for a 60 hour (grueling) work week up to the early
80s. With multiples strip-offs I won't detail here (will on request -- diff for diff cities) that has been reduced to about $500
a week (at best I suspect!) I believe and that is just not enough to get guys like me out there for that grueling work.
Let's take the minimum wage comparison from peak-to-peak instead of from peak-to-trough: $11 and hour in 1968 -- at HALF TODAY'S
per capita income (economic output) -- to $7.25 today. How many American born workers are going to show up for $7.25 in the day
of SUVs and "up-to-date kitchens" all around us. $8.75 was perfectly enticing for Americans working in 1956 ($8.75 thanks to the
"Master of the Senate"). The recent raise to $10 is not good enough for Chicago's 100,000 gang members (out of my estimate 200,000
gang age minority males). Can hustle that much on the street w/o the SUBJECTIVE feeling of wage slavery.
Ditto hiring result for two-tier supermarket contracts after Walmart undercut the unions.
Without effective unions (centralized bargaining is the gold standard: only thing that fends off Walmart type contract muscling.
Done that way since 1966 with the Teamsters Union's National Master Freight Agreement; the long practiced law or custom from continental
Europe to French Canada to Argentina to Indonesia.
It occurred to me this morning that if the quintessential example of centralized bargaining Germany has 25% or our population
and produces 200% more cars than we do, then, Germans produces 8X as many cars per capita than we do!
And thoroughly union organized Germans feel very much in control of the narrative of their lives.
cm -> Denis Drew...
"thoroughly union organized Germans"
No longer thoroughly, with recent labor market reforms the door has likewise been blown open to contingent workforces, staffing
agencies, and similar forms of (perma) temp work. And moving work to nations with lower labor standards (e.g. "peripheral" Europe,
less so outside Europe) has been going on for decades, for parts, subassembly, and even final assembly.
Denis Drew said...
Very rough figures: half a million Chicago employees may make less than $800 a week -- almost everybody should earn $800
...
... putative minimum wage? -- might allow some slippage in high labor businesses like fast food restaurants; 33% labor costs!
-- sort of like the Teamsters will allow exceptions when needed from Master agreements if you open up your books, they need your
working business too, consumer ultimately sets limits.
Average raise of $200 a week -- $10,000 a year equals $5 billion shift in income -- out of a $170 billion Chicago GDP (1% of
national) -- not too shabby to bring an end to gang wars and Despair American Style.
Just takes making union busting a felony LIKE EVERY OTHER FORM OF UNFAIR MARKET MUSCLING (even taking a movie in the movies).
The body of laws are there -- the issues presumably settled -- the enforcement just needs "dentures."
cm -> Denis Drew...
Union busting is generally (?) understood as direct interference with the formation and operation of unions or their members.
It is probably more common that employers are allowed to just go around the unions - "right to work", subcontracting non-union
shops or temp/staffing agencies, etc.
cm -> Denis Drew...
Why would people join a union and pay dues when the union is largely impotent to deliver, when there are always still enough
desperate people who will (have to) take jobs outside the union system? Employers don't have to bring in scabs when they can legally
go through "unencumbered" subcontractors inside or outside the jurisdiction.
cm -> cm...
It comes down to the collective action problem. You can organize people who form a "community" (workers in the same business
site, or similar aggregates more or less subject to Dunbar's number or with a strong tribal/ethnic/otherwise cohesion narrative).
Beyond that, if you can get a soapbox in the regional press, etc., otherwise good luck. It probably sounds defeatist but I don't
have a solution.
When the union management is outed for corruption or other abuses or questioable practices (e.g. itself employing temps or
subcontractors), it doesn't help.
Syaloch said...
There was a good discussion of this on last Friday's Real Time with Bill Maher.
https://www.youtube.com/watch?v=Bl5kFZ-SZq4
Surprisingly, I pretty much agree with David Frum's analysis -- and Maher's comment that Trump, with his recent book, "Crippled
America", has his finger on the pulse of this segment of the population. Essentially what we're seeing is the impact of economic
stagnation upon a culture whose reserves of social capital have been depleted, as described in Robert Putnam's "Bowling Alone".
When the going gets tough it's a lot harder to manage without a sense of identity and purpose, and without the support of family,
friends, churches, and communities. Facebook "friends" are no substitute for the real thing.
Peter K. said...
Jared Bernsetin:
"...since the late 1970s, we've been at full employment only 30 percent of the time (see the data note below for an explanation
of how this is measured). For the three decades before that, the job market was at full employment 70 percent of the time."
We need better macro (monetary, fiscal, trade) policy.
Maybe middle-aged blacks and hispanics have better attitudes and health since they made it through a tough youth, have more
realistic expectations and race relations are better than the bad old days even if they are far from perfect. The United States
is becoming more multicultural.
Jesse said...
Credibility trap, fully engaged.
Jesse said...
The anti-knowledge of the elites is worth reading.
http://billmoyers.com/2015/11/02/the-anti-knowledge-of-the-elites/
When such herd instinct and institutional overbearance connects with the credibility trap, the results may be impressive.
http://jessescrossroadscafe.blogspot.com/2015/11/gold-daily-and-silver-weekly-charts-pop.html
Fred C. Dobbs said...
White, Middle-Age Suicide In America Skyrockets
Psychology Today - May 6, 2013
https://www.psychologytoday.com/blog/reading-between-the-headlines/201305/white-middle-age-suicide-in-america-skyrockets
Suicide, once thought to be associated with troubled teens and the elderly, is quickly becoming an age-blind statistic.
Middle aged Americans are turning to suicide in alarming numbers. The reasons include easily accessible prescription painkillers,
the mortgage crisis and most importantly the challenge of a troubled economy. The Center for Disease Control and Prevention claims
suicide rates now top the number of deaths due to automobile accidents.
The suicide rate for both younger and older Americans remains virtually unchanged, however, the rate has spiked for those
in middle age (35 to 64 years old) with a 28 percent increase (link is external) from 1999 to 2010. The rate for whites in
middle-age jumped an alarming 40 percent during the same time frame. According to the CDC, there were more than 38,000 suicides
(link is external) in 2010 making it the tenth leading cause of death in America overall (third leading cause from age 15-24).
The US 2010 Final Data quantifies the US statistics for suicide by race, sex and age. Interestingly, African-American suicides
have declined and are considerably lower than whites. Reasons are thought to include better coping skills when negative things
occur as well as different cultural norms with respect to taking your own life. Also, Blacks (and Hispanics) tend to have stronger
family support, community support and church support to carry them through these rough times.
While money woes definitely contribute to stress and poor mental health, it can be devastating to those already prone to depression
-- and depression is indeed still the number one risk factor for suicide. A person with no hope and nowhere to go, can now easily
turn to their prescription painkiller and overdose, bringing the pain, stress and worry to an end. In fact, prescription painkillers
were the third leading cause of suicide (and rising rapidly) for middle aged Americans in 2010 (guns are still number 1). ...
cm -> Fred C. Dobbs...
When few people kill themselves "on purpose" or die from self-inflicted but probably "unintended" harms (e.g. organ failure
or accidental death caused by substance abuse), it can be shrugged off as problems related to the individual (more elaboration
possible but not necessary).
When it becomes a statistically significant phenomenon (above-noise percentage of total population or demographically identifiable
groups), then one has to ask questions about social causes. My first question would be, "what made life suck for those people"?
What specific instrument they used to kill themselves would be my second question (it may be the first question for people who
are charged with implementing counter measures but not necessarily fixing the causes).
Since about the financial crisis (I'm not sure about causation or coincidence - not accidental coincidence BTW but causation
by the same underlying causes), there has been a disturbing pattern of high school students throwing themselves in front of local
trains. At that age, drinking or drugging oneself to death is apparently not the first "choice". Performance pressure *related
to* (not just "and") a lack of convincing career/life prospects has/have been suspected or named as a cause. I don't think teenagers
suddenly started to jump in front of trains that have run the same rail line for decades because of the "usual" and centuries
to millennia old teenage romantic relationship issues.
Notable quotes:
"... If returns to experience are in decline, if wisdom no longer pays off, then that might help suggest why a group of mostly older people who are not, as a group, disadvantaged might become convinced that the country has taken a turn for the worse. It suggests why their grievances should so idealize the past, and why all the talk about coal miners and factories, jobs in which unions have codified returns to experience into the salary structure, might become such a fixation. ..."
RGC ,
April 12, 2017 at 06:41 AM
The Despair of Learning That Experience No Longer Matters
April 10, 2017
.....................
The arguments about Case and Deaton's work have been an echo of the one that consumed so much of the primary campaign, and
then the general election, and which is still unresolved: whether the fury of Donald Trump's supporters came from cultural and
racial grievance or from economic plight. Case and Deaton's scholarship does not settle the question. As they write, more than
once, "more work is needed."
But part of what Case and Deaton offer in their new paper is an emotional logic to an economic argument.
If returns to experience are in decline, if wisdom no longer pays off, then that might help suggest why a group of mostly
older people who are not, as a group, disadvantaged might become convinced that the country has taken a turn for the worse. It
suggests why their grievances should so idealize the past, and why all the talk about coal miners and factories, jobs in which
unions have codified returns to experience into the salary structure, might become such a fixation.
Whatever comes from the deliberations over Case and Deaton's statistics, there is within their numbers an especially interesting
story.
http://www.newyorker.com/news/benjamin-wallace-wells/the-despair-of-learning-that-experience-no-longer-matters
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