Isocrates and us or “plus ça change, plus c'est la même chose”

 “When I was a boy, being rich was considered so secure and honorable that almost everyone pretended he owned more property than he actually did possess, because he wanted to enjoy the prestige it gave.  Now, on the other hand, one has to defend oneself against being rich as if it were the worst of crimes… for it has become far more dangerous to give the impression of being well-to-do than to commit open crime; criminals are let off altogether or given trivial punishments, but the rich are ruined utterly.  More men have been deprived of their property than have paid the penalty of their misdeeds.”

This was the Greek, Isocrates, writing I guess in the early 4^th Century BC.  The thing is, if de Ste. Croix is correct in his analysis in The Class Struggle in the Ancient Greek World,  Isocrates wrote these words during a time when, in fact, economic inequality was growing in much of the Greek world.  The demos was on the defensive; the oligarchic sector was (correctly) realizing that their interests were better served by supporting outside imperialists like Phillip II of Macedon (and his successors), who would permit them free reign to squeeze the local peasantry, as long as they eschewed outright political ambition beyond the local level, but would be very suspicious of the potential for a popular uprising by hoi polloi.  And, in fact, under, first, the Macedonian kings, and later the Romans, the last vestiges of democracy were stamped out, opening the world to more and more vicious exploitation of the poor and middling by the uber-rich, until finally the Emperors Diocletian and others basically enserfed the entire population below the economic and political elite.  Economic, and political, inequality in the late Roman Empire reached a level that we, in our still relatively open societies, can barely conceive.

The thing that bothers me about the Isocrates quote I opened with is that it seems so modern.  We again find ourselves subject to “poor me” complaints from the rich, fuming, for example, that they pay the lion’s share of income taxes (but taking as a natural right their claim to an even more disproportionate share of the fruits of economic production), and decrying the slender benefits allotted to the “undeserving” poor; calling for us to be tough on crime (while we imprison, in the U.S. more of our population than any other country in the world, and more black men than were slaves  before the Civil War), and for tax cuts for the “creators” of (mostly non-existent) Mac-jobs.  So, while financial markets soar post-depression, we cut unemployment benefits and food stamps in time for Christmas, and produce movies in which criticism of the excesses of the corrupt ruling class is so muted that members of that class can cheer at screenings, while critics on the left complain, in effect, that the director is praising with faint “damns”.

And I think:  It’s been 2400 years.  Why are we still fighting the same fight?

All the Money in the World

"If you had all the money in the world, it would be worthless." At the risk of ruining the appearance of sagacity, I will 'splain my thinking.

If "money" is defined as "gold" or "cattle" or something else which has use value as well as value as a medium of exchange, then the statement in my "status" would not be true. If you had all the gold or cattle in the world, it would be worth something. But money, qua money, has value only in its role as facilitating exchange in a functioning economy. If it became TOO concentrated, it could no longer fill this role. Most people having no money, they would have to acquire goods and services they didn't produce themselves in some other way (e.g., barter or rapine), or they would have to introduce some other medium of exchange in lieu of "money" (e.g., cigarettes in prison or post-war Europe), which of course would then technically be money, in which case the people who had concentrated the official "money" in their hands would no longer have "all the money in the world".

In any case, my thought experiment ran that IF you had "all the money in the world" its extreme scarcity would make it useless as medium of exchange, and it would no longer be "money". Of course, social disruption and change (of the political system, or economic system, or both) would happen long before that that time. The relevant questions, to our own radically unequal national and (even more) world societies are: "What kind of change?" and "When?"

That’s not the American Dream...

I’ve had people tell me that the so-called “American Dream” is about the idea, however false, that anybody can get rich.  Therefore, they argue, if your politics tries to clip the wings of the very rich, people feel you are choking off their dreams, and they won’t support you.

I won’t deny that there’s some truth to that, and if the issue of class fairness is presented the wrong way, you might get that reaction.  But I don’t think the American Dream is really about the ability to get filthy rich, and I think if you frame your arguments the right way, you can get around this obstacle.

Now, everybody has occasionally fantasized about what it would be like to be just stinking rich.  But I don’t think Americans feel that helping some people to get rich is a matter of justice.  I had to frame that sentence carefully.  If I had said “allowing some people to get rich”, a lot of people would think that was just.  To arbitrarily prevent some people from getting rich, “just because”, would be seen by many of us as simply mean.  But if you frame the question in terms of what others would have to give up for that person to become rich, then people hear a different story.

The American Dream is really about the idea that anybody, maybe even everybody, can do well.  It is about prosperity, not opulence.  You should be amply rewarded for a lifetime of honest work, and if you’re especially clever, or work especially hard, you should have a proportionate increase in your level of well-being.  That just strikes most of us as fair.  You should be secure in your enjoyment of these things.  You should do well enough that you can enjoy a few hobbies, and leisure time with your family.  When you’ve paid your dues for 40 years or so, you should be entitled to a comfortable retirement.  You should also have the right to feel confident that your children, and your children’s children will have the right and ability to enjoy the same comforts and opportunities that you have.  This is what the American Dream really means, to most of us.

What we need to get people to understand is that some people’s ability to become super rich, if it is realized, chokes off this dream of prosperity for the rest of us.  When 1%, 2%, even 10% of the people receive half of the total income produced by society every year, and lay claim to more than 70% of the total wealth, they do this by squeezing it out of our paychecks, out of our public or common goods (parks, roadways, schools), out of our healthcare, our retirement – lately, out of the equity that could have accumulated in our homes.
The vast wealth of the lucky few has been justified to us on the basis that they are somehow the engines of economic growth, that they are “job creators”, that their enormous wealth is somehow necessary for the rest of us to be prosperous.  We have now had nearly two generations of experience to prove that that is a lie; that policies to benefit the super rich not only don’t help the rest of us, but actually do us harm.

Since the mid-1970’s, when neoliberal talk of “job creators” and “trickle down economics” began to take hold, the richest 10% increased their share of national income from about 1/3, where it had held pretty steady since the early 1950’s (and which already meant they made between 4 & 5 times, on average, as much as the rest of us), to reach 50% about 2007.  Did this make the rest of us better off?  Total employment did grow a little, at the beginning of that period, before it crashed at the end of it, but it had been pretty stagnant for nearly a decade before the crash.  And how much of that “expansion” in jobs represented low wage, no benefits “Macjobs”, replacing the good “middle class” jobs that people had lost?  And our sense of security in a prosperous future for ourselves and our children has virtually disappeared. 

Trickle down economics does not, and never has worked.  Many, if not most, of the people who originally espoused it never really believed it would.  It was a convenient lie to justify their rampant looting of the economy.  It’s time we put an end to it.  We must put an end to it, if we are ever to reclaim the real American Dream.

“I have seen good working people, Throughout this mighty land. I’ve prayed we’ll get together, And together take a stand. “Then we’ll own those Banks of Marble, With no guard at any door. And we’ll share those vaults of silver That we all have sweated for.”