Social Economics

Gordon Gekko's America

By Sean Posey

On October 19, 1987, a worldwide stock market crash-dubbed Black Monday in the States-interrupted the go-go 1980s. Only weeks after that panic-filled day, Oliver Stone's meditation on the decade of greed, Wall Street, hit the theaters. The story of Bud Fox, a wannabe master of the universe, and his Machiavellian mentor Gordon Gekko, served as a morality tale that America did not want to hear at the time. (The film proved to be far more popular in later years than it was in 1987.) And many who did see the film deeply misunderstood its central lessons.

A generation of future brokers and investment bankers cited the movie as a central influence in their decision to go to work on Wall Street; however, Gordon Gekko, the flashy, glib, and dangerous corporate raider, became a lasting symbol for the economic and moral transition America has undergone over the past few decades. [1] The character's ruthless worldview is now the norm, and not just for Wall Street where the "21st century children of Gordon Gekko," as Australian Prime Minister Kevin Rudd referred to them in 2007, rule, but for society as a whole.[2] Gekko and Gekkoisms have penetrated the political, economic, and cultural fabric of America. The age of Gekko is a terrifying world where the winners "make the rules" and the losers "get slaughtered."[3]

The late 1980s represented an intoxicating time in American life. Larger than life millionaires and billionaires penetrated the popular imagination like never before. Jim and Tammy Faye Bakker, Ivan Boesky (the crooked Wall Street insider), Michael Milken (who partially inspired the Gekko character), Donald Trump (who is bringing the spirit of the 1980s back to the presidential stage), and even John Gotti, who brought a flashy 1980s sensibility to the New York Mafia, all represented the fabulous wealth that accumulated to a lucky few. But the machinations of Wall Street's elite in particular, captured the spirit of the era.

Wall Street emerged as a cautionary tale during a time when caution went right out the window. New economic experiments in the realm of government and finance (supply side economics, the deregulation of thrifts, etc.) led to great crises: rapidly increasing inequality and the savings and loan scandal. Stone's film targeted the exotic world of high finance, complete with well-dressed corporate raiders and fortunes accumulated through the destruction of companies.

In the film, Bud Fox (played by Charlie Sheen) comes from blue-collar roots and is looking to leapfrog from the world of a junior broker to the esteemed realm of investment banking. His prospective mentor is Gordon Gekko (portrayed by Michael Douglas), a flashy executive who symbolizes the worst aspects of both Wall Street and American capitalism. Although Gekko is framed as the villain, many audiences responded positively to the charming greenmailer. Both Stone and Douglas later remarked that they met numerous individuals who readily admitted that Gekko inspired them to pursue a career on Wall Street. [4]

Gekko did not just symbolize an era, however; he proved to be a prescient philosopher, introducing America to what would soon be its future. Late in the film, Bud Fox, in a crisis of conscience, begins to turn away from his amoral idol. Gekko, sensing his hesitation, explains to Fox how the world of the 1980s really works:

"It's all about bucks, kid. The rest is conversation… It's not a question of enough. It's a zero-sum game, somebody wins, somebody loses. Money itself isn't lost or gained-it's simply transferred from one perception to another."

"The richest 1 percent of this country owns half our country's wealth, five trillion dollars… You got 90 percent of the American public out there with little or no net worth. I create nothing. I own. We make the rules, pal: the news, war, famine, upheaval, the price of a paper clip. We pick that rabbit out of the hat while everybody sits out there wondering how the hell we did it."

"Now your not naïve enough to think we are living in a democracy, are you, Buddy? It's the free market." [5]

Gekko's speech was far ahead of its time. The share in national income going to the top decile in the U.S., after dropping sharply following the Great Depression, returned to a rate of 50 percent by the turn of the century.[6] In 2005-2006, a leaked series of reports by analysts at Citigroup described an emerging "plutonomy," that is an economy driven by the spending of a small plutocratic class. [7] In many ways, America has returned to the Gilded Age, and it is once again a zero-sum game where those in the oligarchic plutocracy make the rules.

Government played a central role in the transition to a Gekko-esque economy. While Gekko pined for "the days of the free market" in Wall Street, President Reagan proclaimed, "Government is the problem."[8] This approach led to widespread efforts to deregulate the economy at almost every level, which coincided with reducing top tax rates on the wealthy.

Remarkably enough, the Clinton administration in the 1990s echoed Reagan and Gekko's sentiments: "The era of big government is over," Clinton declared. [9] The deregulation of the financial system proceeded apace with the Financial Services Modernization Act of 1999, which repealed part of the New Deal-era Glass-Steagall Act, and the Commodity Futures Modernization Act of 2000, which largely freed OTC derivatives from significant regulation. Economic bubbles began to emerge, and the sordid culture of Wall Street continued to thrive.

The days of the corporate raiders waned after the decade of greed, but with the Stock Market reaching new highs in the 1990s, a new generation of Wall Streeters looked to Gekko as a figure to emulate. Boiler Room, released in 2000, tells the story of a misguided young broker (Giovanni Ribisi) who goes to work for a shady chop shop firm during the height of the market. These young wannabes lack any of the charm of Gekko, but they emulate him all the same. When Ribisi's character goes to the home of the firm's head recruiter (Ben Affleck), he encounters a group watching Wall Street, which several characters recite from heart as it plays. And like down-market versions of Gekko, the employees of J.T. Marlin rip-off their clients with aplomb on their way to obscene riches. "There's no honor in taking that after school job at Mickey Dee's, honor's in the dollar, kid," Ribisi's character intones. "So I went the white boy way of slinging crack-rock: I became a stockbroker."[10]

Wall Street began to be used in ethics classes in business school, but judging by the behavior of the financial industry in the first decade of the 21st century, the moral lessons of the film apparently fell on deaf ears. Journalist Philip Delves Broughton describes how he remembers students at Harvard responding to Gekko's speeches: "At my old business school, Harvard, Gekko's speech electrified a snoozy morning class on leadership. By the time Gekko was done berating the board of Teldar Paper, the entire class was grinning and alert. For most MBA students that speech is less a parody than a guiding philosophy."[11]

"Gekko was merciless, but if he were on the Street today, the hedge fund guys would eat him alive," Fortune joked in a cover story on the old character in 2005.[12] The ruthlessness of the new Wall Street was confirmed by the events of 2007-2008. The children of Gordon Gekko brought the financial industry and indeed the country itself to its knees. Just as newly elected President Obama began bringing Wall Street scions like Lawrence Summers and Timothy Geithner into his new administration during the darkest days of the Great Recession, Oliver Stone readied Gordon Gekko for another appearance on the big screen.

Wall Street: Money Never Sleeps introduces audiences to an aged Gekko, recently released from prison after a laughable eight years. (Michael Milken only served two years in prison, and no major figures served prison time as a result of the financial meltdown of 2007-2008.) A free man, Gekko goes on a speaking tour in support of his memoirs. Addressing an auditorium of college students, he exclaims that, "Someone reminded me I once said 'Greed is good'. Now it seems it's legal." [13]

Indeed, the extreme views of Gordon Gekko circ. 1987 had been firmly baked into the culture by 2010. The titans of the financial industry knowingly drove their own companies into the ground in the name of short-term (personal) gain. And far from being punished, they were allowed to collect enormous bonuses while millions lost their homes and their livelihoods in a recession that continues to be a haunting reality for much of the country. Once again, a seemingly contrite Gekko plays the prescient sage in the sequel: "The system is insolvent. No one knows what to do next except repeat the insanity until the next bubble blows. That'll be the one, the big one."

Six years after Wall Street: Money Never Sleeps, little has changed. According to economist Emmanuel Saez, the top 1 percent of earners received 95 percent of the income gains between 2009-2012.[14] Conspicuous consumption is back on the rise, and Donald Trump, one of the most well known figures from the era of the original Wall Street, is the Republican candidate for president. In a fitting twist, Trump actually appears in a barbershop scene alongside Gekko in deleted scenes from Wall Street: Money Never Sleeps.

In 2013, Martin Scorsese released The Wolf of Wall Street, another well-timed tale of "greed is good" for post-Great Recession America. The center of the story is Jordan Belfort, one of the most notorious figures in the financial industry during the 1980s and 1990s. Leonardo DiCaprio's portrayal of Belfort represents a 21st century Gordon Gekko reborn as a "financial bro." Belfort, who made a large fortune on the backs of poorly informed blue-collar investors, comes across in an almost glamorous light-one of the chief criticisms of the film. During an advanced screening at the Regal Battery Park Theater in New York City, audiences cheered Belfort's on-screen exploits, including efforts to procure cocaine and prevent the feds from ensnaring criminal members of his own firm.[15]

The blame does not rest solely with Scorsese or the cast of the film, however. Lionizing the lifestyles of the rich and ruthless has become an American pastime. Even though movements like Occupy Wall Street have emerged to challenge the narrative of 'Greed is Good,' the Gekkos of the world continue to remain appealing characters to an American public inculcated into a mantra of success at any cost. Reality television shows are but one of the myriads of ways that a zero-sum society of Hobbesian dimensions is impressed upon us. Considering this, it is no surprise that America appears to be lurching toward accepting a modern day Leviathan, Donald Trump, as president. For a world where the ethics of Gordon Gekko dominate is a world where fear is bred by insecurity, and insecurity followed perhaps by authoritarianism.



Notes

[2] Kevin Rudd, Edited extract of the speech, "The Children of Gordon Gekko," October 6, 2008, The Australianhttp://www.theaustralian.com.au/archive/news/the-children-of-gordon-gekko/story-e6frg7b6-1111117670209 (accessed May 24, 2016).

[3] Wall Street , directed by Oliver Stone, 20th Century Fox, 1987.

[4] Philip Delves Broughton, "Gordon's Back," London Evening Standard, September 14, 2009.

[5] Ibid.,

[6] Thomas Piketty, Capital in the Twenty-First Century (Cambridge: Bellknap Press, 2014), 334.

[7] Ajay Apur, Niall Macleod, Narendra Singh, 'The Plutonomy Symposium - Rising Tides Lifting Yachts," Citigroup, Equity Strategy, The Global Investigator, September 29, 2006.

[8] "Inaugural Address," Ronald Reagan, Washington, D.C., January 20, 1981.

[9] "State of the Union Address," Bill Clinton, Washington D.C., January 23, 1996.

[10] Boiler Room , directed by Ben Younger, New Line Cinema, 2000.

[11] Broughton, "Gordon's Back."

[12] Andy Serwer, Fortune, "Is Greed Still Good?" June 2005.

[13] Wall Street: Money Never Sleeps , directed by Oliver Stone, 20th Century Fox, 2010.

[14] Emanuel Saez, "Striking it Richer: The Evolution of Top Incomes in the United States, " UC Berkeley, September 3, 2013.

[15] Steve Perlberg, Business Insider, "We Saw 'Wolf of Wall Street' with a Bunch of Wall Street Dudes and it was Disturbing," December 19, 2013.

Lying Down On the Job: The Ableist, Racist, Classist Underpinnings of 'Laziness'

By Lindsey Weedston

Hello, I'm a lazy Millennial.

In other words, I'm from a generation that has worked more hours for less money than any generation before me, but occasionally I eat a granola bar for breakfast instead of pouring myself a bowl of cereal. According to some, including many writers of online thinkpieces, that's enough to make me "lazy."

But the problem isn't me, or young people in general, or any group that's historically been decried for its idleness. Like Millennials, groups that are called "lazy" are often the hardest-working people around. They're just subject to ableism, racism, classism, and other bigotry that codes exploitation or exhaustion as "unwillingness to work."

I myself have had a very confusing relationship with "laziness" from a young age, often being called "lazy" for enjoying reading and video games by the same parents who praised me for always getting my homework done on time.

Needless to say, I became rather confused about the quality of my work ethic. Was I lazy or not? In my teens, I developed an anxiety disorder and a perfectionism that made academic shirking impossible, but the constant state of worry disrupted my sleep and left me so exhausted that I would often come home from school and go straight to bed for a nap. Sometimes, all I could do was lay in bed, awake, ruminating on everything I could possibly worry about.

But because I was in bed, this was called "laziness."

In adulthood, I encountered yet more inconsistencies about what it meant to be "lazy." Like many young adults, I started out working in the food and customer service industries, before I eventually got a job as a content writer for a digital marketing company.

I worked so little at that office job, I couldn't believe it. I could spend multiple hours each day scrolling through Tumblr or playing on social media. My "work" time involved reading articles vaguely related to my work-mostly because there wasn't much work for me to do. Compared to being on my feet all day, being expected to work every moment on the clock, it was nothing.

I worked three times as hard at my food and customer service jobs as I did at any of my digital marketing positions. And yet contemptuous thinkpiecers keep on describing people who work in those industries as "lazy." Why don't you get a REAL job? Like reading Tumblr while sitting at a desk, instead of busting your ass at McDonald's.

According to Dr. Alison Munoff, a licensed clinical psychologist, "laziness" is nothing more than a value judgement.

"'Laziness' is not a personality trait, it is simply a matter of a lack of proper motivation and reinforcement, as it is a behavioral pattern rather than a part of who we are," says Dr. Munoff. "The ability to actively approach a task in a time-effective manner changes depending on the task and its value in our lives. For example, in a situation of obtaining limited resources, people find themselves quite motivated and resourceful, meaning that this task is simply a priority based on its value and necessity, and has little to do with someone's personality. Unfortunately I find that when asked about the first time people were told they were being 'lazy,' it was from a parent or caregiver who was unsuccessfully attempting to motivate the child without a good understanding of the way this idea would be carried forward."

In nature, animals spend a lot of their time being idle. Most of the footage shot of big cats like lions are of them lazing around. Part of this is because many of them are nocturnal, but it's also because animals will hunt, forage, and eat until they're full, and then most of the rest of their time is spent conserving energy. Laying around doing pretty much nothing is completely natural. It's adaptive. Yet laziness has this negative connotation in many human societies. And that negative connotation is often deployed in ableist, racist, and classist ways.

Basically every race of color has been called "lazy" by white people in the U.S. at one time or another. This is completely absurd considering the fact that people of color built this nation with their bare hands. From the Chinese immigrants building our railroads to our entire economy being built on the backs of black slaves, the United States owes everything to exploited, underpaid, and incredibly hard-working people of color.

Today, we can all enjoy reasonably priced produce thanks to the many exploited Latin undocumented immigrant workers picking our fruit and vegetables-labor that is so intensive that we "non-lazy" white people simply can't handle it. And let's not forget that all of this land was stolen from the Indigenous tribes that were here before we floated over and laid claim to it all. Isn't stealing other people's hard work supposed to be lazy?

Or is it just that it's easier to call people lazy than admit that you exploited them?

Even if you're not racist, you've probably used the idea of laziness in a way that hurts a lot of people. I still struggle with an anxiety disorder and go through bouts of depression, and a lot of what's involved in these mental illnesses looks like what people call "laziness." Depression saps your energy and makes everything seem pointless. Anxiety is paralyzing, making even some of the simplest tasks (like calling people on the phone) seem daunting, so I avoid them.

Combine the two and you've got me huddled into a ball on the bed, unable to do anything but listen to Netflix playing in the background. It looks like laziness, but I'm actually engaged in an exhausting war in my own head. Anxiety is like pushing a giant boulder in front of you wherever you go, and depression is like dragging a giant boulder attached to your legs by chains.

People with physical illness and disability are also prone to being accused of laziness, especially if that illness or disability is not visible to others. There are people who are nearly constantly in pain or constantly fatigued, but you would never know by looking at them. These individuals work much harder than able-bodied and "healthy" people. Not only do they often have to work to survive because disability payments (if they can get them) are not nearly enough, they have to navigate a world that caters to able-bodied people, and they have to navigate that world while their bodies work against them. But article after article decries the "laziness" of people who use motorized carts or take elevators up one floor instead of using the stairs, not for a second thinking that there are people who wouldn't be able to shop or go up floors at all without these "conveniences."

It's not just articles, either. Politicians demonize people who are too sick or disabled to work, calling them "lazy" as justification for taking away the meager allowance our government gives them-which is not enough to live on, let alone cover medical bills. That ableism intersects with classism, with people assuming that those living in poverty or on welfare must be too lazy to go to school or get a better job. Racism shows its face here, as well, particularly in the myth of the "welfare queen." And the hatred leveled at fat individuals under the guise of thinking them "lazy" can be very intense.

It's easier to think of someone as "lazy" than to face the fact that school costs too much, that better jobs are inaccessible, that childcare is unaffordable, that people are forced to work so hard for so little that there's no way they could have enough energy to attempt schooling or finding better work, and that what we give to people who can't work is insufficient to the point of being shameful. I could say that calling people lazy is, in itself, lazy, but it's not just an intellectual shortcut. It's a defense mechanism.

Everyone has a finite amount of energy. Some of us have greater drains on our pool of energy than others, whether it comes from the stress of racial microaggressions, the stress of poverty, or mental or physical illness. Needing more time to recover isn't laziness. Having less time or energy to make breakfast than the previous generation isn't laziness. When you take a second to look into the reasons behind the behavior, you'll never end up finding laziness. Because laziness isn't real.


This was originally published at The Establishment.

Revolutionary Shop Stewards and Workers Councils in the German Revolution

By Kevin Van Meter

The following is a review essay of Ralf Hoffrogge's Historical Materialism Series book Working-Class Politics in the German Revolution: Richard Müller, the Revolutionary Shop Stewards and the Origins of the Council Movement .



If Ralf Hoffrogge were writing within an American context rather than a German one, he would be situated between two important developments in the United States. A new cohort of social movement historians is addressing the gaps in anarchist, anti-authoritarian, and left-communist historiography. Neighboring this is a resurgence of interest in workers' councils historically and in the contemporary period. With the recent translation and subsequent publication of Working-Class Politics in the German Revolution: Richard M üller, the Revolutionary Shop Stewards and the Origins of the Council Movement in two editions, Hoffrogge enters this discourse with a extremely detailed political biography of a nearly unknown militant whose finest years coincided with the German Revolution and workers' council movement of 1918. Communists of various stripes have laid claim to Rosa Luxemburg and anarchists to Gustav Landauer, both murdered as the revolution was suppressed with the latter yelling "to think you are human" as he was stomped to death. Council communists and autonomists have been gifted Richard Müller, who was forgotten in part because he survived.

Revolutions often begin in desertion: sailors, not shop stewards, led the German uprisings of 1918. The end of the Great War steered into the Russian Revolution with soldiers, worn through their boots, joining upheavals rather than returning to their old lives; resulting in the Bolshevik government of October 1917. A year later on October 29th, in a port city 250 miles northwest from Berlin, seamen rebelled, forming sailors councils that later joined with those of workers. Rebellions led by sailors quickly spread across the coast. By November 9th, workers in Berlin left the factories, though daily meetings and shop floor deliberations had begun amongst various revolutionary factions as early as the 2nd. German sailors and workers joined Russians, Greeks, Irish, Mexicans, Egyptians, and Poles as revolutions, often incorporating councils modeled on Russian soviets, emerged across the planet. The Red Scare in the United States prevented circulation of struggles to the American context. Elsewhere in Germany, the Bavarian Council Republic arose November 7th, though it would be defeated electorally in January 1919 with the left parties and radicals pushed out of the government.

There was a constellation of left parties and organizations in Germany leading up to the revolution. The Social Democratic Party of Germany (SPD) had sought a parliamentary avenue to repair the country following economic crises and war; winning the war was viewed as a step toward parliamentary democracy. Karl Liebknecht, like Luxemburg (whom he was eventually killed alongside), was expelled from the SPD due to his antiwar agenda, resulting in the formation of the Independent Social Democratic Party of Germany (USPD). The Spartacus League, led by Liebknecht and Luxemburg, initially functioned as the left wing of of the SPD before merging with the USPD as they increasingly sought revolution through parliamentary means using the vehicle of the workers' councils. Then the Spartacists founded the Communist Party of Germany (KPD) in December 1918. After the revolution of November they attempted to consolidate the left wing of the workers movement and bring the workers' councils and shop stewards under their auspices. Launching their own ill-fated insurrection on January 4th, in what is now referred to as the Spartacist uprising, the KPD was suppressed on the 19th; the arrest and execution of its leadership quickly followed. Meanwhile, outside of these shifting allegiances and political wrangling, the sailors and workers' councils persisted as the democratic, organizational expression of working-class abilities and needs.

As with Antonio Gramsci, Liebknecht and Luxemburg enter into the historical record. What is less recognized is how these party formations sought to capture the democratic and revolutionary impulses of the councils in order to form a workers' state. Müller and the shop stewards stood in opposition to these attempts, even as they participated in governing bodies. There is a fundamental political disagreement here. With regard to the shop stewards, Hoffrogge writes, "Their forum was the factory and their form of political action was the general strike" (p. 62). As a young unionist Müller struck out against the imposition of Taylorism. He was to go from a lathe operator to become the temporary head of state for the revolutionary republic. Meanwhile, as a delegate he was the workers' representative in the daily operations of the revolution. Reflecting on Müller's views, Hoffogge offers,

The councils were the original representation of the working class. In the eyes of his opponents, the mass mobilization, which turned every street and factory into a parliament, was 'pure anarchy,' the opposite of politics. The councils' potential for a different structure of representation was opposed and suppressed by the coalition of traditional elites purporting to represent the 'people' (p. 91).

Müller served as workers' council delegate to the Executive Council of the Council of People's Deputies, the governing body of the councils and hence post-revolutionary Berlin. His position as chair meant he was in charge of the Council and in turn the government. The experiment of the Executive Council was to be short-lived since on December 16th the machinery of state was subsumed under the Central Council; the Executive Council, with its direct relationships to sailors and workers' councils, was jettisoned. These maneuvers from above would mark the decline of the November Revolution. Before a year had past, in August 1919, the constitution that would become the guiding document of the Weimer Republic was instituted. Nevertheless workers in central Germany launched rebellions during March 1921 and again in Hamburg throughout October 1923. With the end of the Hamburg uprising the romance of the Germany Revolution was extinguished.

Hoffrogge details the process of revolutionary upheaval, followed by the innumerable ways it disintegrated. Hoffrogge observes that workers' councils, drawing on Müller's own writing of 1913, "had to work out collective practices, like refusal of overtime or slow-downs, gradually and painstakingly" (p. 18). These machinations do not translate into parliamentary politics. Two key political lessons result. First, as delegates and members of councils, ordinary workers are ill-equipped to jostle with party bureaucrats and professional politicians in government bodies. In fact, it is not only the structural incorporation of workers' councils into the government that lead to their defeat. The very day-to-day mechanisms of government dominated by the party and politicians erode the democratic impulses of delegates while replacing their spontaneous enthusiasm with proceduralism. As a result, and secondly, preparing for governing post-revolutionary conditions is an important area for future theorization and organizing. However, Hoffrogge has produced an intellectual history not a genealogy or strategic manual for potential workers' councils. The book suffers for lack of a proper introduction and overview for those unfamiliar with the German Revolution. The first such summary appears in chapter five. Many readers will have trouble acclimating to the context Müller was operating within.

There are two ways to read Working-Class Politics in the German Revolution: as a social movement history or as a biography. Readers looking for the former will stop at chapter nine and forgo the final three chapters, which address Müller's developments after leaving politics. But for those looking for the arc that is a political life will discover Hoffrogge's excruciatingly detailed account of the lathe operator who was to become temporary head of the German Republic before "returning to obscurity" (p. 230).

Read as a social movement history, Hoffrogge joins the resurgence of interest in workers' councils following the 2008 planetary economic crisis. Edited collections, including, Ours to Master and to Own: Workers' Control from the Commune to the Present (where Hoffrogge's writing on Müller first appeared in English), New Forms of Worker Organizing: The Syndicalist and Autonomist Restoration of Class-Struggle Unionism, and An Alternative Labor History: Worker Control and Workplace Democracy have reintroduced the concept of the workers' council to contemporary labor organizers, although, a new edition of labor historian Peter Rachleff's out-of-print Marxism and Council Communism would provide a historical overview of these ideas and practices. As social movement scholars, Hoffroge and others will have to contend with the short twentieth century where workers' councils appeared as part of revolutionary upheavals. When considered chronologically, these include: Russia, Poland, Germany, Italy, Ireland, China, Spain, Hungary, France, Chile, and Iran. Did what began in 1905 conclude in 1978?

While Hoffrogge addresses missing historiography, I am afraid that the specificity of the subject matter - Müller, shop stewards, Berlin in 1918 - will draw readers away from the considerable details of day-to-day organizing and operations of workers' councils. Admittedly this is a criticism of the reader rather than the author. The Brill edition is a pricy hardback suitable for academic libraries. Historical Materialism has corrected this initial error by providing a softcover version at just over the cost of buying a round of bier for Luxemburg, Liebknecht, Landauer, and Müller.



Hoffrogge, Ralf. Working-Class Politics in the German Revolution: Richard M üller, the Revolutionary Shop Stewards and the Origins of the Council Movement. Joseph Keady, trans. Chicago: Haymarket Books. 2015. 253 pp. $28.00 softcover. ISBN 978-16-08-46550-7; and, Leiden & Boston: Brill. 2015. 253 pp. $141.00 hardback. ISBN 978-90-04-21921-2.

Brazil's Gramscian Moment: On Cultural Hegemony and Crisis

By Jacques Simon

With the Brazilian senate confirming Dilma Rousseff's impeachment procedure, it seems increasingly likely that Brazil could soon see the long-loved Workers Party (PT) out of office. Given the seemingly unshakable support that the party had up until a few years ago, the deep political crisis that Brazil faces today may seem a bit surprising. How is it that, after winning four consecutive elections, three by a landslide, the PT's Dilma Rousseff is now facing impeachment charges, and people are in the streets by millions? Why have Brazilians completely turned their backs on the PT, despite it having enjoyed fourteen years of political hegemony?

The mainstream media has identified two main causes to the current political turmoil in Brazil.

The first is corruption. Operacao Lava Jato (operation carwash), until recently led by the now famous Justice Moro, has shaken the political class to its core. Millions of reais flowing from top Petrobras executives into the pockets of the political elites have gotten widespread news coverage. Of course, this is not factually incorrect, but it disregards the fact that corruption has been the name of the game in Brazilian politics since the end of the military regime in 1985.

In fact, Lula's 2006 re-election happened in the midst of the Mensalão scandal, where the PT was accused of buying votes in congress. Transparency International has kept Brazil at a steady 76th on 167 in terms of global corruption between 2012 and 2015, even though the Petrobras scandal started in 2014.

Corruption is such a common occurrence in the country that a term has been created to describe Brazilian institutions' feeble reactions to shady business. In Brazil, when a scandal is said to "end in pizza," it means that charges where not laid out to the extent that they could or should have.

It seems that the corruptibility of the political elite is taken for granted by Brazilians. While it may have been an accelerating factor in the current crisis, it certainly does not seem to be the determinant variable in Rousseff's demise, who, in fact, is not even facing corruption charges unlike her opponents.

The second cause to the political crisis identified by the mainstream media has been the media itself.

Some have pointed the finger at the largely right wing and anti-PT bias of Brazil's largest news corporations. Once again, while not factually false, that position of the media is not a recent occurrence.

The same families have held the five main media companies for decades. Grupo Globo for instance, the country's largest media corporation, has been privately owned by the Marinho family since its creation in 1965. There has not been a recent change in the media's ideological affiliation: the right-wing mainstream media has been a constant throughout the PT rule.

Once again, it seems that this variable may be an accelerating factor in the PTs downfall, but it certainly does not seem to be the determinant variable.

In reality, two things have actively participated in Dilma's crash: an economic recession, and her turn away from the PT's traditional politics. All else is anecdotal.

Let's turn to an influential political theorist of the early twentieth century to further elaborate on that.

This conclusion can be reached by using Antonio Gramsci's concept of cultural hegemony. It might be a bit of an overstatement to say that the Italian philosopher is making a come back. Undoubtedly, most people still do not know who he was, and few are aware of the importance of his theories. It is however, somewhat satisfying to see that Google searches for his name have been growing exponentially since the early 2000s and show no sign of slowing down.

It seems that the global capitalist crisis of 2008, which shook the entire world, has made a few people question the strength and general positive nature of the economic system we are living in. This kind of uncertainty creates a fertile ground for previously outlier positions. In Gramscian terms: such important events destabilize otherwise anchored cultural hegemony.

This concept-that of cultural hegemony-is perhaps Gramsci's most important contribution to the field of political science. The idea is the following: power, in all its forms, is rooted in popular consent. In order to successfully establish a specific way of organizing society, you must first get the local population on board. In fact, people need to be so convinced that that specific organization is the way things must be that they should not question its basis.

Rival ideologies should not compete on equal terms. To take the place of the cultural hegemon, they need first to contest its de facto legitimacy, and then successfully claim its place in the hearts and minds of the people.

In Gramscian literature, this struggle will take place as communism inevitably takes the place of global capitalism. This remains to be seen, but while we're waiting this theory can be applied to smaller instances of ideological shifts. Brazil is living just that.

In order to demonstrate this, let us first take a quick detour by Brazilian political history.

Until 1985, the country was ruled by a military dictatorship, which relied on brutal repression to get its way.

Things changed during the '80s, an active period when it comes to democratization worldwide. Some political scientists-Samuel Huntington in particular-have gone so far as to call that phase the "third-wave of democracy." Along with other South American countries, Brazil saw its military regime come to an end, and hosted its first democratic elections in over two decades.

Since the 1985 election, at least three tendencies have become abundantly clear.

First, the country has had a history of inflationary problems. If we consider the rate of inflation over the last three decades, we see two peaks. The first, in 1990, reached an astonishing 6,800%. The second, in 1994, culminated at 5,000% in June of that year. But even if we disregard these extreme cases, Brazil has had far from a stable economy throughout the end of the twentieth century. For instance, the average inflation in 1987 was 363% and in 1992 it was 1,119%.

The second clear tendency is that when Brazilians are unhappy with a governing party, they let it know with their ballots. The third is that they rarely offer a second chance: the results of the three presidential elections following the fall of the military regime led three different parties in office.

First, in 1985, Tancredo Neves of the Brazilian Democratic Movement Party (BDMP) was elected. Though, in a Hollywood-worthy turn of events he collapsed just before gaining office and died shortly after, his running mate and vice president, José Sarney, assumed the role of president.

Four years later, with inflation bordering 2,000%, Fernando Collar de Mello's Christian Labour Party (NRP) was elected with 53% in the second round. The BDMP only managed to secure 11.5%.

The following elections took place in 1994, just after the second inflationary peak. Once again, this economic fiasco led to the ruling party's political demise. The NRP secured an astounding 0.6% of the popular will, while the BDMP came fourth with 4.6%. The Brazilian people where still looking for their party: a whopping 95% of the population was not satisfied with what they had seen since the fall of the military regime a decade prior.

This time, Fernando Henrique Cardoso's Brazilian Social Democracy Party (PSDB) was elected in the first round with over 54% of the ballots: a landslide victory considering that the runner-up was Lula's PT with 27%. It is important to note here that this was the most left-leaning government elected since the end of the military regime. While all other parties had been right-of-center, Cardoso ran and governed in a clearly social-democratic manner.

FHC fought inflation tooth-and-nail (successfully-bringing it from an average of 3,000% in 1994 to 7% in 1997 by pegging the reais to the American dollar), opened the Brazilian economy to foreign investments (FDIs augmented threefold between 1995 and 2000), and privatized some industries in order to fund social projects. FHC is credited with creating social security and generalizing taxation in Brazil.

The Brazilian population responded positively to this newfound stability. A constitutional amendment was passed to allow Cardoso to run for a second term. In 1998, he was re-elected with a majority of 53.1% in the first round. During his four years in office, he had lost only one percentage point of support. He went from winning 25 out of 26 states, to 23. The surprising stability of the results of his two presidential campaigns shows how faithful his electoral base was. This popularity was not unconditional however. During his second term, the hens came back to roost: his desire to please both workers and capital created an influx in public debt.

During his 8 years as president, federal as well as state and municipal debt increased more than twofold. In an effort to save the national economy from an exponential debt crisis, and a freefalling export sector due to economic collapses around the world (Asia and Russia were seeing their economies crumble), he took a number of neoliberal measures. He liberated the reais from its US dollar parity, accepted a structural adjustment program from the IMF, and undertook a structural reforms of the economy in which privatization and austerity held a key role. The results where what one would expect: GDP per capita plunged, the value of the reais was cut in half, and capital flew out of the country at high rates.

Following the footsteps of recent history, the government swapped hands in 2002, when Luiz Inácio Lula da Silva, who was running his fourth campaign for the Workers Party (PT), won two thirds of the votes against the PSDB candidate. This was the beginning of an era for Brazil, one that we haven't seen the end of-yet.

The PT was the most left-wing government since the fall of the military regime. Under Lula's presidency, real social programs were put in place, yielding real results. To name only a few, the 2003 Fome Zero program aimed at eradicating extreme poverty in the country, the Bolsa Família and Bolsa Escola programs provided impoverished working class Brazilians with an allowance if their children were vaccinated and attended school, and the Progama de Aceleraçāo do Crescimento (PAC) had a multibillion reais budget to invest in infrastructure.

Make no mistake: Lula's presidency was not that of a socialist. In fact, the left wing of the PT was so disappointed with his lack of defiance towards capital that they split to form a separate party called the Socialism and Liberty Party (PSOL). But Lula did provide working class families with a net increase in their material condition. During his two terms in office, the gini coefficient of country (measuring wealth inequality) fell continuously, the GDP per capita increased substantially, as did the GNI. 98% of people born after 1990 now have at least a secondary education, compared to 70% for those born in 1970.

It was with this kind of mindset that Lula was re-elected in 2006, winning close to 50% in the first round, and then by a more than 20 percentage point margin in the runoff. Constitutionally barred from a third presidency, his protégé Dilma Rousseff ran in 2010, and won by an over 10 percentage point margin. Running again in 2014, she got re-elected-albeit not with as impressive result as previously.

This brief recap of Brazilian political history demonstrates two things:

First, the kind of legitimacy that has been enjoyed by the PT is a one-of-a-kind instance since the fall of the military regime. However, the second lesson is that this support is quite logical. Lula and Dilma have provided the working class with what it has been asking for since 1985: a stable democracy, and material returns for the working class.

From a Gramscian perspective, this legitimacy is rooted in cultural hegemony. Indeed, PT rule and the political scene since Lula's arrival in power have been causally linked in popular conscience. This means that any opposing ideology has an uphill battle before it: that of discrediting PT's social democracy.

As of now, the PT has won four consecutive presidential elections in Brazil; half of all those that have taken place since the end of the military regime. For a time, Lula's party looked like it was the country's natural party, as if the PT and the Brazilian people had some sort of indivisible bond. So how did we arrive to the place where we are now?

According to Gramsci, cultural hegemony is essential for the ruling class. The PT has undoubtedly acquired something of that nature. It has offered Brazil social democracy. It promised a capitalistic system with real returns for the people, and, to some extent, has delivered. The material condition of a large amount of people increased impressively during the Lula era and, to a lesser extent, during Dilma's early days. But if there is one thing capitalism has shown, it is that these kinds of honeymoon periods are always finite, and at some point the economy contracts over its own weight.

The party's cultural hegemony rested on two things: a booming economy, and social democratic policies. Both fell apart in the last two years. First, the country's rise to economic prosperity came to a halt. The economy that the PT had created was highly dependant on exports to countries like China or the US. With these countries' economies contracting, the model ceased to work. Brazil's GDP growth was divided by two between 2011 and 2012. The reais has plummeted in face of the US dollar since 2011.

Between mid-August 2014 and today the Petrobras stock, Brazil's largest company worth about 10% of the country's GDP has fell from $23.35 to $8.44. Brazil, in other terms, is facing the harsh realities of capitalism.

This left Dilma with two options: either take a left-wing approach and handle the crisis by stimulating demand, nationalizing big industries, and reforming the tax code to take money where it is, or, take the right-wing path.

She chose the latter.

2015 was the year of austerity in Brazil. Budget cuts, backpedalling on investment programs, cuts to social security… the Rousseff government fell to right-wing pressure and implemented capital-friendly policies. This came after she had won the elections one-year prior with a left wing discourse. This shift in position was one of many blows to the PT's cultural hegemony. By disavowing her party's traditional positions, Dilma legitimized dissident opinions. It is thus unsurprising that the lion's share of her critics, Temer included, come from her political right.

Indeed, now that Dilma is, at least temporarily, out of office, the interim government has already called for widespread neoliberal policies, which include cuts in public spending, decreases in welfare, and cutting jobs from the federal government.

The Rousseff government has dug its own grave by coming back on settled questions. The president and her administration have broken the ideological continuity of the PT rule, which in turn destabilized the foundation of their authority. She opened a door to her right, which allowed contestation. With the hegemonic left-wing personalities turning to neoliberalism, nothing was keeping public opinion from going in that direction.

The demographic participating in the ongoing protests further proves this. One image speaks volumes about the kind of people fuelling these events. A visible rich, white couple is seen marching alongside a baby carriage pushed by a black nanny. This photo sparked mass criticism in Brazil-a country where the racial and wealth divide is still very much a reality. Some have even reported protesters drinking champagne at anti-PT events. This segment of the Brazilian population is the one represented in Temer's provisional government. Clearly, what is being witnessed is not an uproar from impoverished favela youths, but rather a movement that is largely dominated by white, upper-middle-class individuals, whose right-wing bias has been gaining traction through legitimization.

Worst of all, a specter is haunting Brazil-the specter of inflation. Granted, we are far from the four digit numbers that plagued the country in the late '80s and mid '90s. But nonetheless, since 2014, inflation has almost double from about 5.5% to 10.5%-well above the average of 4% that the country had become accustomed to during Lula's time. In fact, 2015 was the year with the highest rate of inflation since the country has been under PT rule. This has sparked some concern amongst the general population, who fear the return of hyperinflationary pressure.

The point is the following: The PT had acquired a cultural hegemony, which mechanically provided it with popular legitimacy. The schematic being used, however, was based on a capitalistic logic of economics, which is fragile and ultimately unsustainable. When the inevitable turmoil arrived, the PT could have taken measures to ensure that material benefits from the working class were not withdrawn, but decided to dive into neoliberal reforms instead. By backpedalling away from their own logic, which was the backbone of their cultural hegemony, the PT delegitimized their position, providing a fertile ground for ideological debate. This is why the right-wing media and corruption scandals are gaining traction today, even though they have always been around.

This leaves Brazil in quite an awkward situation. The population is disillusioned by the Left and is turning to the Right in order to solve their problems. Presumably, this is a bad idea. But not all hope is lost. The possibility of having a new Left rise from the old one's ashes is still possible. For that, however, there would need to be a conscious effort to establish a new cultural hegemony.



Jacques Simon is a French national, currently studying politics at the University of Ottawa in Canada. His interests include political economy, comparative politics, and the study of radical politics.

The Bosses' Utopia: Dystopia and the American Company Town

By Nick Partyka

This is the second part of a multi-part series. Read Part One here.



On The Value of Utopia

For many centuries persons, peoples, and civilizations, have dreamed about what an ideal society (utopia) would look like, and worried about ways in which society could be much worse (dystopia). Utopian dreams and dystopian worries are powerful tools for thinking about what sorts of changes a society should pursue or avoid, and what underlying dynamics these proposed changes expose. This series examines the tradition of utopian and dystopian thought in western culture, beginning with the ancient Greeks, but continuing on into the modern period. Our focus in this series will be on the important social, political, and economic ideas and issues raised in different utopian stories. When we look into utopian stories, and their historical times, what we'll see reflected in the stories of utopia are the social, political, and economic concerns of the authors, their societies, and or their particular social class.

The meaning of the word 'utopia' comes to us from ancient Greece. In our modern world the word takes its current form because of Thomas More's 1516 book of the same name. Indeed, it is this book from which most of the modern western European utopian tradition takes its origin; or at least, this work inaugurates its most common trope. Where we have in our lexicon one 'utopia', the Greeks had two. The difference, even confusion, between them marks an essential cleavage. For the Greeks, there was both Eu- topia, and Ou-topia. Both are derived in part from the Greek word topos, which means "place", and the suffix 'ia' meaning land. Translated into English, 'Ou-topia' means something like, " No-place land", whereas 'Eu-topia' translates as "good-place land". More succinctly, the difference is between the idea of the best place, and an impossible place. It is the difference between a place which does not exist, because it has not yet been realized, and a place which cannot, and could not, ever exist.

Our modern word is pronounced as the Greeks pronounced 'Eutopia'. However, the meanings of these Greek words were confused by modern writers, who ended up with the spelling 'utopia', from the old English 'Utopie' as opposed to "Eutopia", as meaning "good place". This basic confusion about utopias, between "good place" and "no place", inserts an important ambiguity directly in the center of thinking about utopias. This ambiguity forces one to wonder of utopian writers, Are their visions supposed to be dreams of possible futures meant to incite us to action, or are they impossible dreams meant as reminders that the world is not easily re-shaped by human effort? Is a utopia supposed to be a good place or a no-place, Is the author supporting or condemning the practices of the fictional societies they describe?

One qualification must be made right away. A utopia is not a paradise. There is a colloquial usage of 'utopia' and 'utopian' that seem to suggest that it is a paradise. And compared to the societies in which actual humans lives, many of the fictional utopias would have indeed been seen as paradises, relatively speaking. However, we must draw a technical distinction between a paradise or a golden-age, and a utopia. In a paradise or golden-age no work and no effort are required by humans to obtain the things they want and need. Perhaps the most famous golden-age many are familiar with would be the Biblical Garden of Eden. Another well-known paradise is described in the mid-14th century poem The Land of Cockaigne, where fully cooked turkey legs literally fly through the air and into one's mouth. In this place the only effort on need put in is to chew.

The whole idea of a Cockaigne, or a paradise, is that everything one would ever need is abundantly supplied without any effort. The natural world is just so constructed - either at random or by design - that there springs forth automatically an abundance of everything necessary for everyone, all the time, always. In this kind of society, or world, there never arises anything resembling what we - or most societies in the history of our world - recognize as a political problem. Everyone has enough of everything. So there is no cause for argument. There is no inequality, because everyone has everything everyone else has. Or at least, everyone has access to just as much of what others have whenever they would like it. In this kind of world what causes could there be for strife, or for civil war? A paradise, or a golden-age, is thus totally non-political, and as such not terribly interesting.

What this means is that utopias are enough like our own condition, our own world, that we can take inspiration from them. They are enough like the social conditions we know that we can learn lessons for and about ourselves and our societies by examining at them. This is exactly what makes utopias so interesting. As we will see, utopian literature has a long, very long, history with human beings. The enduring appeal of and, interest in utopias testifies to their relevance. This is the reason that we too are looking at utopias. We are all concerned with, or at least we are all effected by, the way our society is organized. By looking at how other ideal societies might be organized we can explore the merits, and demerits of various kinds of social institutions, and of the various ways of structuring those institutions. We are concerned to change our own society, and utopias allow us to think about the direction of that change.

We have a colloquial usage of the word 'utopia' and 'utopian' in contemporary society that works to prohibit much creative thought, and dismisses utopian thought as feckless, and as such, worthless. Part of the aims of this series is to demonstrate the value of this "worthless" endeavor. Dreaming, far from idle, far from impotent, is essential. Without wonder, without questions, the human imagination will atrophy. The value of this is that thinking about utopias allows us to both critique present societies, but also to articulate a vision of how we'd like our societies to be different. The deeper value of utopian thinking is that it sets us free, free to speculate and more importantly to give expression to our striving, to our desire for a better world. Everything human beings can be must first be dreamed by human beings. This is the value of utopia and dystopia. Thus, the first pre-requisite for this series is the rejection of this colloquial notion of utopia and the utopian. Dismissed from the start, it will not be a surprise if we fail to learn anything from our utopian traditions.


Introduction

In another part of this series I discussed the American tradition of radical utopianism. Owenites, Fourierists, as well as various and sundry religious sects, all attempted experiments in communal living inspired by utopian political or spiritual ideologies. By removing themselves from the world, these groups sought to re-make society in miniature, as an example that could be replicated throughout the country as an alternative to the ascendant bourgeois society. American history also contains a dystopian tradition. Some individuals who came under the sway of certain utopian idea also happened to have large amounts of money, and or were proprietors of large business concerns. Several very wealthy businessmen cum would-be philanthropists embarked on many now forgotten utopian experiments. In some ways their schemes resemble Owen's original New Lanark project, in that a firm's profit-motive was used to argue for less abusive working conditions for workers. I am talking, of course, about the company town.[1] A term now, and for good reason, loaded with connotations of anti-democratic forms of dependence and surveillance, a modern industrial feudalism, that galled observers and greatly angered many worker-residents.

At many points in American history wealthy capitalists saw it as beneficial to construct planned communities for their workers. These ran the gamut from unsanitary ramshackle slums and ghettoes with little planning or services, to highly elaborate planned communities designed according to the proprietors' ideology of choice, in which even small details were prescribed and regimented. In some of these capitalist-inspired utopian experiments, designed to 'elevate' workers, one can see clear examples of many dystopian themes manifested in real-life. Looking at the experience of company towns one readily discerns significant dystopian elements, e.g. some rather reminiscent of George Orwell's now famous Big Brother. The high-handed, obtrusive, and moralistic scrutiny of private life; the regimentation of work and social life; the uniformity of living standards; strictly imposed and enforced moral codes, are all dystopian elements one can find in the work of the most well-known dystopian writers, e.g. Orwell, Huxley, and Zamyatin.

The United States has had a unique experience with company towns, quite different from the experience of European countries. America saw both a greater number of company towns, as well as greater diversity among them. The uniqueness of the American experience has to do mainly with the size of America and the prominence of the frontier, and the small-government sensibilities of the founding generation. That the country was expanding geographically, and that the government was typically disposed to take a laissez-faire stance on interference with the private undertakings of businessmen and entrepreneurs. These factors combined to allow private sector actors wide latitude in their ability to construct ideal communities, that is, communities that were ideal for the bosses in that they served the bosses' interests more than those of workers. This freedom for the private sector has sometimes resulted in neo-feudal conditions, e.g. like those that were found in many Appalachian coal towns, and other times in the more bucolic and rural utopian project of magnates like Milton Hershey.


In the Beginning There Was Lowell

The Pilgrims who came to North America had designs to create a 'city on a hill', a symbol to all the world of how to live justly and righteously. There is a certain obvious utopian aspect to this view. The chartered basis of these colonies, and their need to make a profit gave them some of the shades of the company town. They remained for many years trapped in a cycle of debt, always needing to consume more in supplies to sustain themselves than the value of their exports would purchase. This is one reason that the early colonists pursued whaling, as well as fur trading and trapping right from the start. Beaver pelts in particular were extremely lucrative, and it was the expressed intention of many colonial leaders to use export of pelts to pay for not only the debts incurred for the initial transportation to the American continent, but also the provision, supplies, and other goods the colonists would eventually want and need to import.

A famed British historian writes, "Whoever says Industrial Revolution says cotton".[2] Thus, we should not be surprised to see cotton, the company town, and utopianism come together in the early phase of American industrialization. As such, one must look first to Lowell, Massachusetts where its eponymous founder Francis Cabot Lowell established one of America's first water-mill operations, as well as one its first well-known company towns. Indeed, the town, famous for its past, continues to drawn large numbers of tourists year after year.

Francis certainly had some utopian ideas behind his designs in business, and community building plans. A wealthy Boston merchant, Lowell, toured England in 1811 where he saw first-hand the conditions in the mill-towns of industrializing Britain. What he saw there, especially in places like Manchester, shocked him, as it would many others including Friedrich Engels. The poverty, degradation, squalor, misery, disease, and "moral corruption", which was perceived to run rampant in the new large urban industrial city, disturbed Lowell. Those few capitalists who did have qualms about industrialization, and the rise of industrial society, tried to find ways to achieve the social benefits of industrialization, but to avoid the crushing desperation of life in industrial cities like Manchester. This is the inspiration for Robert Owen's brand of utopian socialism. His New Lanark mill-town was a model of reform, and saw the material improvement of workers and their living conditions as the basis of the transformation of society. It is in this same spirit that Francis Cabot Lowell conceived his American mill-town. Lowell sought to create the opposite of what he saw in Manchester, a bright, healthy and virtuous community. Yet, he also certainly sought the immense profits to be made in the textile industry. He certainly had no intention of operating his business at a loss. Owen, for instance, while certainly a prosperous businessman, had a moral and ideological mission, which balanced his quest for profits, and New Lanark was profitable.

Lowell imagined his mill-town as an intellectually and morally uplifting community, which would fit into the needs of American society at large, and in this way help form the economic basis of an American capitalist utopia. His community would help create that 'city on a hill' so many different groups had hoped to turn America into. Lowell's plan was to recruit his workforce from the younger women living and working on the farms in the area. These young New England ladies would come to work seasonally in Lowell, not become full-time proletarian toilers. In order to attract these workers Lowell advertised the intellectually stimulating, culturally vibrant, and moral upright way of life that characterized the community. He wanted these young women, and especially their parents, to think of their time in Lowell as a kind of preparation for adult life and for marriage. Francis was always keen to point out in his pitch that his lady workers had access to such essential icons of "middle class" life as books and pianos. He also highlighted the presence of older women who acted as supervisors of the boardinghouses where these young women were housed, and who enforced a strict 10pm curfew. Between studying music, or literature and poetry, attending free lectures or other amusements, life in Lowell was supposed by Lowell himself to be as good for the workers, their families, and even the country, as it was profitable for himself and his business partners.

The reality of the life of the town, and the experience of the people who resided in it, differed in several large respects from Cabot Lowell's intentions. Some aspects of the life of the community at Lowell we will see re-appear in company-towns throughout American history. The most important of these is despotism, in one or another of its many forms. The control wielded over the life of the town, and thus over the residents, by the company's owners would work to foster several dystopian and despotic elements in Lowell, as well as in later company towns. The company regimented the rhythms of life in town, fitting it to the needs of the production process, and it announced the progression of each day's routine through the sounding of bells. Workers were woken at 4:30am, and required to be to work by 4:50am. The working day ended at 7pm, and there was a 10pm curfew in town. The bells marked the transition from each part of the day to the next, when to get up, when to work, when to eat, when to rest. This regime was no doubt onerous to many. Lowell's vision of where his workforce would come from soon crumbled, as he failed to attract as many young New England ladies as he hoped. Thus, very soon Lowell and his partners had predominantly immigrant workforce in their town.

On the job, workers were subject to the personal discipline of the foreman. This was usually entirely arbitrary, and workers lacked any recourse against such depredations. Off the job, workers were subject to the scrutiny and censure of a system of "moral police" operating in the town. The older women boardinghouse-keepers were some of the main agents in this network of spies and informants, of which other workers might well also be a part. The company, i.e. its officials, could fine or fire any workers for immoral conduct, like consuming alcohol. Any employee that failed to fulfill their contractual one year of service, because they quit without the contractually mandated two weeks' notice or were not "honorably discharged", would be blacklisted from employment in the area. Workers were required to attend church services, and to pay a mandatory fee to support this church. They also had to pay a fee to stay in the boardinghouses, which apparently not lacking in food, were over-crowded, poorly ventilated, and lacking entirely in privacy. Workers came to live and work at Lowell despite these kinds of conditions because the pay was too good to pass up.

A striking vision of the lives of the women who toiled in the factories like these in antebellum America can be found in a lesser-known work by famed American author Herman Melville. In his short-story, The Paradise of the Bachelors & the Tartarus of the Maids, Melville paints a vivid picture of the drudgery of the actual work of producing cotton textiles in these early factories.[3] Though the workers in his story are making paper and not textiles, the main outlines of the workers' experience would have been much the same. Melville describes the entrance to his fictional, yet all too real, mill in the most daunting imagery, invoking the idea of "Dantean gate" one must pass through. In describing the operations, and workers of this mill Melville uses language that evokes the toil, degradation, over-bearing foremen, the sexism, being beholden to the whims and demands of the company on whom one depends. Melville is just one rather famous example of a common view at this time, that factory work, wage work, was a kind of slavery. At a time of rising sentiment of opposition to slavery, this was a potent objection to capitalism, and to the plans of capitalists, that it was slavery by another means, and not acceptable treatment for white people. This sentiment was also part of the inspiration for two strikes in Lowell in 1834 and 1836 largely in response to wage cuts announced by the company in reaction to falling prices for textile goods.


Utopian Paternalism

Francis Cabot Lowell was not to be the last American capitalist to dream of creating a model community where the vices and sins of the rapidly modernizing world would be excluded, and a more idyllic life re-created. First and foremost of these new modern ills, in the minds of capitalist utopian visionaries like George Pullman, Milton Hershey, and Henry Ford, among others, was labor strife, that is, labor unions. Thus, one of the main foci of the efforts of capitalist utopian was preventing workers from organizing and bargaining collectively. What we will see in each of the examples mentioned above is that these attempts at creating a more ideal kind of life within modernizing, and industrializing American society share certain dystopian elements. The most apt way to characterize the main themes of these capitalist - led efforts at building and operating planned communities is as utopian paternalism. Capitalists like Pullman and Ford certainly saw themselves as advancing the workers' own good, even when those workers' views about their own good were to the contrary. These men thought they knew better than workers what was in their best interests. Unsurprisingly, none of these utopian experiments was successful from the point of view of their founders, since they all failed to prevent the rise of labor unions.

In 1880 George Pullman, maker of the famous Pullman Palace Car, the ubiquitous sleeping car which made transcontinental rail travel more comfortable, began to construct an ideal community on the outskirts of Chicago.[4] The town of Pullman would feature several lavish public buildings, including a library and theater. The residences were supposed to be more commodious, most were connected to natural gas and running water, some even featured bathrooms. There was a wide array of shops housed in public buildings to accommodate the needs of the town's residents. Much effort was made to create a pleasant aesthetic in the town, from the design of the buildings to the layout of the community. Pullman desired to re-create a more bucolic atmosphere to contrast with the grit and grime of the cities. Pullman, based on a firm profit motive, believed that treating workers better would make them more loyal, harder working, and less likely to want to join a labor union. His model community would not only save money by locating workers near their place of work, but also would help to forge a new kind of worker. This new worker would be more dependable, more docile, more compliant, et cetera. This change would of course be more conducive to capitalists' accumulation of wealth.

One thing every building in Pullman had in common, from the work buildings, to the residential buildings, was that they were all owned by the Pullman company. Workers were compelled to be renters, and not permitted to own their homes. The rent payments for which were deducted automatically from workers' paychecks. Not just workers, but also all community organizations, were prohibited from owning buildings, and anyone could be evicted with a mere ten days warning. Moreover, what came to pass for a municipal government in the town of Pullman was completely under the control of the Pullman company. The foundations of community life were only further eroded by the use of "inspectors' by the Pullman company in its town, whose job it was to report on the workers, their activities, affiliations, and opinions. These inspectors were to report any resident who was found to have undesirable or immoral views, attitudes, or habits. The atmosphere of the town of Pullman was best described as a kind of, "benevolent, well-wishing feudalism" with George Pullman as its king.[5] Discontent with conditions in the town of Pullman contributed to the desire of workers to unionize, and helped spark the famous 1894 strike of the Pullman company by the American Railway Union led by Eugene V. Debs. [6]

Inspired to some extent by the example of Pullman, the man and the town, in 1903 Milton Hershey began work on his own planned industrial community. [7] His was to be modeled to a degree after the Mennonite villages familiar in the area of Pennsylvania Hershey chose. The area had one key virtue for him, lots of dairy farms nearby to provide the critical ingredient he needed for his chocolate, i.e. milk. Like Pullman, and others, Hershey was a critic of the growing urban society. The urban environment was seen as morally corrupting and physically unhealthy for the people who lived in them. Thus, Milton thought that by re-creating a more pastoral, healthier kind of life workers lives would be improved. What could also be improved was his profits, by reducing labor agitation. In the same profit-first motive of Pullman and Lowell, Hershey thought that contented works would be more productive, more loyal, workers. In a further echo of the Amish who lived in the area, Hershey envisioned a prosperous community full of clean-living residents. Even more than Pullman, Hershey invested in public buildings in his town, including the now famous Hershey Industrial School which housed and educated orphaned boys. His eponymous town would in this way, and others, serve as a living advertisement for his product, the wholesomeness of the one reinforcing that of the other.

The town of Hershey would also experience many dystopian elements, despite it is founders' intentions, though perhaps less intensely than in Pullman. In contrast to Pullman and Lowell, the high-handed moral despotism in Hershey would be doled out by the proprietor himself. In the town of Hershey, Milton was the moral police; he was also the mayor, chief of police, and fire chief, as there were no elected officials. The comfortable life available to worker-residents of Hershey came as part of a trade-off in which one sacrificed democracy. In exchange for having no control over their community, worker-residents received several benefits, medical coverage and a retirement plan; free garbage pick-up and snow removal; public buildings like churches and schools, including a junior college with free tuition for workers; and, despite having all this, there were no local taxes.

In many ways Hershey's plans came to fruition, and the town enjoyed a fairly harmonious existence for many years. Indeed, it was not long before the town achieved notoriety as a tourist attraction, both the chocolate factory as well as the "Hershey Park" amusement park. The modern world caught up to Hershey eventually, leaving a large black mark on the town's reputation. In 1937 labor violence in the town made all the wrong kind of headlines. Local dairy farmers dependent on selling to the Hershey factory brawled with striking workers. Outnumbered four to one, the strikers were badly beaten and chased away from company grounds by the mob of dairy farmers.

Henry Ford also fancied himself a philanthropic businessman, someone who could help educate workers and elevate their lives. His famous $5 a day plan was built on the same kind of hard-headed, profit-oriented logic we've seen in both Pullman and Hershey, as well as the capitalist utopian visions of the moral improvement of workers. And just like both of these others, Ford's generosity came at price. There was a rather dark side to Ford's desire to improve the lives of his largely immigrant workers. In exchange for a higher wage, workers had to pledge to live wholesome lives, that is, conduct themselves both on and off the job according to Ford's moral precepts. Just as we saw with Lowell, higher than average wages attracted an enormous glut of applicants. Workers came and they stayed, despite the brutish tactics of Ford's anti-union henchmen in the Service Department and the condescending racism of Ford's Sociological Department, because of the higher pay and benefits offered.[8]

The infamous Service Department at Ford was headed by Harry Bennett, a vicious enforcer whose egregious abuses of workers remained mostly secret from the public. He used fear, intimidation, and a paramilitary gang to pressure workers into doing as they were told. The main job of this secret police force was to prevent and disrupt and potential union organizing activity by Ford workers, by any means necessary. Surveillance and beatings were to main tactics Bennett and his thugs applied to suspected union activists. Bennett also constructed a huge network of spies within the company, so that potential agitators never knew if they were talking to one of his informers. Ford's Sociological Department was responsible for turning his immigrant workers into "real" Americans. In a racist and very insensitive way, workers were to be stripped of their foreign customs and beliefs, and then re-made to be as American as apple pie. Employment was conditional on workers learning English and American civics at company provided classes. Intentionally symbolically, the highly choreographed graduation ceremony for the Ford school began with workers in their native dress, and ended with them in American-style clothes. After graduating workers were supposed to have gotten rid of their old ways, and completely adopted American ideals and values.

Ford's Sociological Department was also responsible for a highly intrusive regime of surveillance of workers and their personal lives. Members of the Sociological Department interviewed workers, and their family members, often several times, asking extremely invasive questions about many different aspects of workers' lives. Though billed as a project aimed at social reform, the operatives of this department collected massive amounts of information about Ford employees and their families. How many times they were married, how much debt they had, how much money they remitted to relatives, and whether they had bank accounts, were all questions Sociological Department agents asked workers. These interviews were not one-off affairs. Two, three, even four, interviews would not have been uncommon, and this applies to the workers' family members as well. Workers were lectured by these company-men to maintain a certain standard of cleanliness and order at home. Naturally they were heavily discouraged from the vices of drinking, smoking, and gambling.


Industrial Feudalism

The darkest side of the American experience with the company town can be found in the example of coal and steel towns, as well as oil boom-towns. Hardy Green concisely describes this variety of the company town as, "exploitationville".[9] This title is largely self-explanatory. This is because the image of the coal town, especially the Appalachian coal town, has remained such a vivid part of America's popular consciousness. The reign of the company, its officials and its store, is legendary for its ruthlessness, brutality, arbitrary punishment, and oppression through debt. The famous song "Sixteen Tons" by Tennessee Ernie Ford affixes in the popular imagination the tyranny of the company in the coal town; the drudgery of the work; the inadequate pay; company theft of that pay; reliance on debt, and corresponding servitude to it, as well as the despair and despondency this way of life created. Often times these 'towns' were little more than camps or agglomerations of shacks, shanties, and hovels. There were often few or no public services, and when they did exist workers were usually forced to pay exorbitant prices for the most basic services, e.g. garbage collection and sanitation infrastructure.

Like other company towns, workers in coal towns were not allowed to own property, and thus forced to rent from the company at the prices it set. Workers were often paid in 'scrip', a form of local money only good at the company store. They were thus dependent on the company for everything they needed. As one might expect, workers were routinely bilked of their hard-earned wages by their unscrupulous employers through inflated prices for staple goods, as well as taxes and fees for basic services. Like in other company towns, there were usually no elected officials, and all law enforcement was overseen by the company. The 1871 Coal Creek War in Tennessee is a prominent example of the kind of reaction workers had to the many ways their employers dominated, oppressed, and robbed them. It is also a characteristic example of how employers in many different sectors dealt with organized labor in similar ways. Nor were such practices limited to the coal mining industry. Mining communities all over the country endured conditions, to one degree or another like those of the coal towns, from the omnipresent surveillance and spies, to the tyrannical foremen and threats of violence.

In many cases steel towns were not much better, though the housing might be better than the notoriously poor housing afforded workers in mining towns, particularly the coal towns. Gary, Indiana, and Homestead, Pennsylvania are two prominent examples of company towns in the steel industry. Both projects were motivated by the same utopian capitalist logic about making workers materially better off enough to reject union membership. The broad outlines of the story in both communities are familiar: inadequate, unsanitary, and or over-crowded housing; housing allocated by status; housing dependent upon employment; over-priced rents automatically deducted from wages; abusive foremen acting with impunity; workers forced to sing "yellow dog" contracts promising not to join a union as a condition of employment; no independent stores; workers paid in company 'scrip'; over-bearing moral codes imposed on workers by "moral police". Conditions at Homestead, in addition to issues like wages and hours, were one of the most significant factors in sparking the infamously bloody strike in 1892. Labor strife would come to Gary in a big way in 1919. Workers striking for improves wages, and reduced hours, were certainly also very upset about the living conditions in town. In both cases, the owners, with help from the state, used violence to disperse the workers and repress their demands and their organizations.


American Dystopias

It should be clear, after a look at the historical experience of company towns in America, that, in many, if not most, instances this experience contains many distinctly dystopian elements. Indeed, the experience of workers in company towns across America forms a unique American dystopian tradition, which contrasts sharply with its robust utopian tradition. When we look to the works of some of the great dystopian writers, we will notice the same themes that we saw in the real-life, historical experience of American company towns. George Orwell, Aldous Huxley, and Evgeny Zamyatin, all present visions of future dystopian societies which embody - in some cases to a fantastic extreme- the abusive treatment and horrible living conditions that characterized the life of many American company towns.

All three dystopian authors depict future societies in which an authoritarian government, composed of an elite minority, rules despotically over the rest of the population. Moreover, in all three, the activities of the dominated population are structured in a way that furthers the social, economic, and political aims of the ruling elite. All three of these dystopian societies make use of some particular combination of omnipresent surveillance, brutal and violent repression and torture, or some form of psychological conditioning to compel the population into compliance with the government's policies. The people of these dystopian societies are led, or forced, to believe that the current order of things is actually for everyone's benefit; though clearly some benefit more than others. All three are portrayed by their leaders as peaceful and harmonious societies, despite the fact that violence and repression, of one kind or another, are needed to maintain order in society.[10]

Whether Orwell's Big Brother in Oceania, Huxley's Alphas in the future London, or The Benefactor in Zamyatin's the One State, features from all three of these dystopian societies find analogs in American company towns: a single-minded and ideologically motivated founder or leader; the enforced dependence of the population on the state, that is the elite minority who run it; the abusive treatment of the population by the officials of the state; an unrelenting and intrusive propaganda offensive against the enemies of the state; monopoly on the press, and censorship of rivals as a form of persecution; universal surveillance of the population by the ruling elite, including an extensive network of spies and informers; unhealthy and degrading living conditions for the majority of the population, but opulence for the elite; systematic theft from, or exploitation of, the population to meet the needs of the ruling elite; thoroughly rational, totally invasive, and frustratingly stultifying regimentation of life both on and off the job.


Conclusion

The company towns in America all seem to share one thing in common, a pattern of boom and bust. This might be separated by decades, but all company towns seem to share a common fate. Namely, when the business dries up, or the industry collapses, the town dies. Sometimes the death is quick, other times long, drawn-out, and painful. The oil or gold boom-towns would be on one extreme, as they could disappear entirely over-night, and re-established at the next site in rapid order. Closer to the other end of the spectrum, company towns collapse because the industry changed or relocated, e.g. Lowell or Pullman. Other company towns collapse because their reason for existing disappears, e.g. the coal seam, or silver vein is tapped out. Sometimes company towns survive the collapse of the firms that dominate them, but as mere ghosts of their former selves, e.g. Gary. Only a very small successful few remain in operation, like Hershey. It is in light of this history of the company town in America that one should see the collapse of Detroit. One industry so dominated employment in that city, that as it fortunes flagged, so too did those of the city. Just as the industry declined, and resorted to new methods to remain competitive and continue to generate the profits shareholders expect, indeed demand, so too did Detroit decline. And, as a result, the city was forced to resort to measures that accelerated the city's decline by encouraging disinvestment, diminishing public services, and eroding quality of life.

To many Americans, fascism, as represented in regimes like Nazi Germany or Mussolini's Italy, is the ultimate real-life dystopia. Many Americans also think that this is a foreign problem, something embedded in the cultural DNA of the Old World. Many think of this kind of ideology is not, and cannot be, indigenously American. Hence the extreme xenophobia that arose during both world wars, and the antipathy many Americans felt towards the early labor movement. Yet, the historical experience of the company town in America demonstrates that these conceptions are quite misleading. When given freest reign, capitalists, have created social environments that resemble quite closely the kinds of literary dystopias that most haunt our imagination. Fascism, in fact, has an American pedigree in the legacy of the company town. The legacy of the company town also quite nicely illustrates that fascism is not only bigoted hate-groups waving swastika flags. It also comes in more patriotic, more benevolent and well-meaning forms, like the kind of utopian paternalism that was evident in most company towns. It can also be seen, naked and direct, in the violent and authoritarian regimes that dominated some company towns, especially those associated with the mining industry.



Notes

[1] For an interesting history of the company town, see; Green, Hardy. The Company Town: The Industrial Edens and Satanic Mills that Shaped the American Economy. Basic Books, 2010.

[2] Hobsbawn, Eric. Industry & Empire. 1968.The New Press, 1999; 34.

[3] Melville, Herman."The Paradise of the Bachelors and the Tartarus of the Maids". 1849. Great Short Works of Herman Melville. Perennial Classics, 2004.

[4] See Green (2004): 27-35.

[5] Richard T. Ely quoted in Green (2004):31.

[6] For an interesting insight into the living conditions in Pullman, and the how they contributed to the 1894 strike see; Ginger, Ray. The Bending Cross. 1947. Haymarket Books, 2007.

[7] See Green (2004): 35-41.

[8] See Grandin, Greg. Fordlandia. Picador, 200: Ch.2 & 4.

[9] Green (2004); Ch.3

[10] See Orwell, George. Nineteen Eighty-Four. 1949.; Huxley, Aldous. Brave New World. 1932; Zamyatin, Evgeny. We. 1924.

Panama Papers: Capitalism Working Well for Obscenely Rich

By John Passant

The Panama Papers show us, once again, that capitalism is a system of absolute greed. It is a system where capitalist governments help their mates to hide their income and wealth while all the time businesses pretend they are paying their "fair share" of tax.

The 11.5 million leaked documents from Mossack Fonseca contain details of the 14,000 clients of the Panama headquartered company and the 220,000 shell companies it has set up for them in tax havens around the globe.

Why tax havens? Not only do these countries have no or low tax rates they also have secrecy provisions which protect the income and assets of wealthy individuals and companies from the prying eyes of state bodies like tax offices and company regulators.

Shell companies mean that the ostensible owners of the companies are often front men and women for the real owners or are companies whose ultimate owners are untraceable. One senior tax officer many years ago summed up tax havens for me when he said they kill the paper trail.

Take Wilson Security here in Australia for example. It runs the "security" on Australia's asylum seeker and refugee gulags, Manus Island and Nauru. It is owned by Wilson Offshore Group Holdings (BVI) Limited, a British Virgin Islands company set up by Mossack Fonseca to protect the true identity of the owners from any governmental scrutiny.

Thomas Kwok, one of those true owners, is in jail for fraud in Hong Kong. The other, his brother Raymond Kwok, was acquitted of similar charges. They had resigned as the directors of Wilson Offshore Group Holdings (BVI) Limited shortly after the charges were laid. Two companies, Winsome Sky and Harmony Core, replaced them as directors. The Panama Papers show the brothers control those two companies.

The reason for these arrangements? Wilson Security would not have won Australian government contracts if it knew that one of the real owners was in jail for fraud.

By the way, Wilson Security also supplies the guards for various government bodies, including the Australian Tax Office (ATO).

It is not just Wilson Security. The ATO is investigating 800 Australian entities named in the leaked documents. The Panama Papers refer for example to Australian banks and BHP Billiton. Banks are involved because you have to get the money out of your jurisdiction and into the tax havens, often via more reputable tax haven countries that supposedly aren't, like Singapore, Hong Kong, Switzerland, The Netherlands or Luxembourg.


Ripples

Iceland's Prime Minister, in the face of big demonstrations, has gone on indefinite leave (resigned) after it was revealed his wife held shares through a shell company in the very banks her husband was negotiating a bail out with. UK Prime Minister David Cameron inherited wealth from his Dad whose Panama shell companies made tax free money for 30 years.

Australia's current Prime Minister Malcolm Turnbull, one of Australia's richest men, has what appear to be high earning investments in or through the Cayman Islands. He used to have an investment in a vulture fund (a hedge fund that buys distressed debt) based in the Cayman Islands. He sold out of that and bought into some hedge funds (unregulated funds that long and short the assets they hold).

The point here is not whether they are legitimate or not or that the investors pay their "correct" amount of tax. It is that they are part of the game the rich and powerful play to increase their individual wealth and that that game is rigged in their favour by governments too afraid to crack down on "legitimate" investments in tax havens.

So the problem is the tax havens is it? Before we get too carried away with colonial outrage, remember that many tax havens exist today as outposts or former outposts of empire set up to hide the money of British colonialists and capital. Some of them, like the British Virgin Islands, the Cayman Islands and Bermuda, are British Overseas Territories, still under some form of British control. At the centre of these tax havens is the City of London, one of the main financial hubs of British, and indeed, global capitalism.

The US has its own equivalent tax havens, in particular Delaware where half of all Wall Street companies are incorporated for the low state taxes and slack company regulation.

So the traditional view of tax havens as sunny places for shady people is actually not correct, unless climate change has turned the City of London into a tropical paradise.


Tax avoidance

These revelations are not new. They are the latest in a range of leaked and other information about the dark underside of capitalism. We have had the Luxembourg leaks, the Tax Justice Network which estimated that between US $21 trillion and $32 trillion is held in havens (about twice US GDP and five times the wealth of Australia all up), the TJN/United Voice report into tax avoidance by Australian companies, and the ATO release recently of tax data of public and private big business companies which shows that well over one third pay no income tax and the majority pay less than the statutory rate of 30 per cent. Apart from a bit of huffing and puffing nothing has happened to address rampant tax avoidance by big business.

Big business tax avoidance gives the lie to the Turnbull mantra that we have to live within our means. This mantra will be the justification for the ongoing cuts to public health and education, to public transport and to social welfare. There would be no budget crisis if we addressed big business tax avoidance. Our mantra in response to Turnbull should be to tax big business and the rich.

Using tax havens and shell companies is part of a wider capitalist dynamic of hiding assets and arrangements from prying tax and other State body eyes. It reflects the business view that any profit is "theirs," rather than the reality that it arises from the unpaid labour of workers.

As Google Chair Eric Schmidt said about his company's tax avoidance activities around the globe, activities which have seen it funnel almost $10 billion into Bermuda, saving $2 billion in taxes:

"The company isn't about to turn down big savings in taxes. It's called capitalism. We are proudly capitalistic. I'm not confused about this."

The problem of tax avoidance is systemic. It requires a systemic solution, a democratic and socialist revolution o put the vast majority in control of the assets of the world and to organise production to satisfy human need, not to make a profit. In such a world we would not need tax havens and shell companies.

In the interim we on the left must continue to argue for taxing the rich and to build all the campaigns against the injustices social and economic that capitalism creates, including the austerity agenda which is about transferring wealth from labour to capital.

We could tax the rich to fund better services. None of the parties of neo-liberalism - the Liberals and Nationals and the Labor Party - are going to really do that. At best they will offer minor changes as part of a smokescreen to give the impression of doing something without actually doing anything major to upset the rich and powerful, the capitalists, whose system drives them to avoid tax and hide their affairs in secrecy jurisdictions.

Now I know none of this tax the rich stuff will in reality get on the agenda willingly of the ALP. The answer is that when the current or future governments attack funding for workers or the poor, attack public schools, public hospitals and public universities, the fightback against those attacks has the potential to challenge the ruling class and its systemic tax avoidance and secrecy. To tax the rich we must build the fight against austerity.



Originally published by Solidarity.

"Why Don't You Just Get a Better Job" and Other Dumb Shit People Say to Low-Income Earners Stuck in Precarious Work

By Chloe Ann King

For most of my working life I have been stuck in the hospitality industry which is lowly paid, painfully precarious and poorly regulated. In New Zealand, where I live, hospitality employers mostly treat you as nothing more than an easily replaceable unit to turn-over-profit. I have spent over a decade in this industry and as such I have become acutely aware of the fact that no matter how many shifts I work or how many poorly paid jobs I undertake; I will never have enough money to meet rising living costs.

Sometimes, my life is a bit depressing. You know what I mean? I get up, I go and work one of my multiple jobs and I come home. Each week I check my bank balance and I feel pretty put-out about how low my pay is as compared to how hard I worked for it.

Obviously, working hard at minimum wage jobs is never going to land me economic security. No matter how hard I have worked in the hospo industry I have never ever received a pay-rise, not once. The lie of "hard work" serves to convince us that if we fail to achieve happy, healthy and joy filled lives which are economically secure thanks to well paid jobs, it is because we failed to work hard enough for it. Constantly we are told that external factors do not affect us. This type of pervasive 'positive' rhetoric isendlessly used by many self-help Gurus such as Tony Robbins, one of America's most well-known motivational speakers.

The lie of "hard work" is pitched to us - those from the working and lower classes, by not only self-help gurus and spiritualists but politicians and well intentioned high school teachers and even our parents, as being one of the best paths to prosperity. This myth is perpetuated and disseminated by the mainstream media as motivational newsworthy 'human interest' stories. However, there is very little which is human about these types of stories. The core of these news pieces has nothing to do with humanity or being human and everything to do with selfishness and individualism and play on insecurities and our need to compare our lives to others who we think or we are passive aggressively told, have it better than us.

A few months ago the NZ Herald (New Zealand's most read newspaper which controls the national narrative) ran yet another one of these "motivational" articles on a young landlord named Gary Lin. Who has managed to buy up a staggering eleven properties citing "hard work" as a reason for his success. He told the NZ Herald,

"Work hard, work smart, save hard, and invest smart. Wealth creation is not rocket science - perseverance and hard work can get you there."

As if wealth creation is something we should as young people, be aspiring to. In times of great wealth inequality, we should be demanding wealth dispersal not setting out to create and covet wealth for ourselves. Gary, unlike most of us, was given a hefty "leg up" or what we poor folk call a "handout" by his father in the sum of $200,000 as a wedding gift which allowed him to buy his first home which cost him $175,000. I guess for some people money really does grow on trees.

I hate to break it to you Gaz - can I call you Gaz? But "hard work" had nothing to do with your successes in life.

Gaz got lucky. He won the genetic lottery and was born into wealth - he did not earn the money that helped him buy his first home. It was given to him. Instead of using his unearned wealth to help others he made the choice to punch-down and profit off the growing number of people stuck in the rental trap by hoarding properties. Gaz has engaged in predatory behavior by renting his properties out at market rental rates. In an unregulated rental market the odds are never in favor of tenants. As George Minbiot wrote for the Guardian, "Rent is another term for unearned income."

People like Gaz rarely acknowledge their economic success is at the expense of those from the lower and working classes. To recognize this Gaz, might have to feel a little bit bad about how he came into his millionaire property portfolio. He might have some kind of world shattering epiphany that he is not as smart as he believes and his successes are owed more to an ability to stomach the ruthless actions and attitudes needed to 'make it' in a society that is quickly turning into a dystopian one. Which makes The Hunger Games, look like child's play. Sociopathy and luck had more to do with Gaz's successes in life than actual "hard work", talent and intelligence.

Lawyer and anti-poverty activist David Tong, responded to Gaz's flawed belief that anyone can own property if they just "work hard" enough, with these words:

"Motivational read from the NZ Herald: You too can be a rich property investor. If dad gives you a $200,000 gift"

"Hard work" and motivation don't mean shit in a broken economy that was built on the blood, backs and bones of the working class and the most marginalized and vulnerable. Increasingly, accessing upward mobility - which buying property can help you obtain as well as a better quality of life, is becoming an impossible task because of low wages, insecure work and a flooded job market. People are just struggling to get off minimum wage let alone save for a house.

***

The New Zealand Council of Trade Unions states that "At least 30% of New Zealand's workers - over 635,000 people - are in insecure work. We believe it may well cover 50% of the workforce." No matter how hard you work it is impossible to get ahead when your employer only offers you inconsistent hours and denies your basic right to a guarantee of minimum hours.

Casual contracts are used widely within the hospitality and service industries and state that your employer owes you "no minimum of hours." But the expectation is that you will cover and come in when needed and if you refuse you are often faced with penalties. Such as having your shifts cut the next week. Having the stability of a salary as opposed to waged work is a far off dream for so many of us. You can't budget let alone save money for a house when you never know what your pay-check is going to be from one week to the next.

Economic insecurity because of cut shifts and insecure hours has been a major feature of my working life. For example, last year just before Christmas I had my shifts cut in half. I went from working between four and five shifts a week down to only two. I was given six days' notice and when I pointed out how hard this would hit me economically to a Duty manager I was told, "I should go and find a second job" and reminded that "I was only on a casual contract so there was not much I could do about it."

For the last few months I had been back-breakingly flexible for this employer. I had come in whenever I was needed and covered shifts at short notice. I had worked hard to make every customer's experience an enjoyable one, all this for minimum wage. I spent most of December desperately scrounging around for a second job, as did two other workers who had suffered the same fate.

I popped into the same work soon after my shifts had been cut to collect my tips and one of the regulars who had been drinking, accosted me verbally and demanded to know why I was in such vocal support of the recent rolling strikes of Bunnings Warehouse workers. These workers had been subject to Zero Hour contracts, eternal bullying and harassment from managers and no guarantee of shifts or rosters. He said "why don't these Bunnings workers just go out and get a better job". This statement coming from a white male Baby Boomer who enjoyed free tertiary education and did not start his working life off in debt. All is crimson and gold in middle class Whiteywood, I guess.

"Why don't you just go and get a better job?" This singular narrative epitomizes the ignorant attitudes of people like Gaz and the regular from my work whose name is ironically Gary, as well. It also puts the sole responsibility of finding well paid and meaningful work onto the worker, while absolving a government's responsibility to push for job creation which serves their citizenry and the environment and to raise the minimum wage to a living wage, in New Zealand.

If over 30% of the workforce is stuck in precarious work and large sectors of the workforce earn below Aotearoa's living wage of $19.25 an hour, finding "better work" is statistically impossible for a vast majority of us. There are thousands of hospitality businesses in Auckland, New Zealand, and only a handful pay a living wage and nearly none offer a guarantee of hours. As such telling people to "get a better job" is like telling them to buy a lotto ticket and live in hope they take out the jackpot.

***

No matter what the Gaz's, Gary's and the self-help superstars such as Tony Robbins of this world have to say on the myth of "hard work" and perseverance paying off one day, the reality is our ability to access upward mobility; buy a house; obtain a decent standard of living is tied to what type of work you can access. External factors not only deeply impact people's lives they oppress those who do not benefit from certain types of privilege. Not all roads lead to Rome. More often than not for us poor folk they lead to roadblocks and hurdles that increase based on the colour of your skin, the class you were born into and/or your gender, how bodily abled you are and your sexuality or a combination of all of these.

People's situations are complicated and difficult and cannot be curtailed into passive aggressive motivational "one liners" that nearly always punch-down and not up. Our working class struggles cannot be solved by a set of self-help rules or keys or steps which are meant to guide anyone to economic stability and lead you to the life of your dreams and a perfect job. In the book, The New Soft War on Women, the chapter entitled 'Doing Well May Not Work Out So Well', Caryl Rivers and Rosaling C. Barnett, write,

"We like to believe that the workplace is fair and that if we do a good job, we will be rewarded. After all, that's the American way. But this belief is less true for women than it is for men. Indeed, too often women's performance which is stellar gets fewer rewards than men do - even men who are less than outstanding."

During a major speech at Wellesley College, presidential candidate Hillary Clinton, talked about the role women can play in politics and public life, she said,

"We know we've got to keep pushing at that glass ceiling. We have to try and break it… Obviously. I hope to live long enough to see a woman elected president of the United States."

Encouraging women to break the glass ceiling is all well and good but what if moving off minimum wage and accessing a living wage, is no easy feat? In America alone, 6 out of every 10 women are stuck on minimum wage.

The Glass Ceiling is so high up most of us can barely even see it. Researchers at the non-profit group Catalyst point out, "[…] when you start from behind, it's hard enough to keep pace, never mind catch up-regardless of what tactics you use." Both Rivers and Barnett went on to write,

"Doing all the right things to get ahead-using those strategies regularly suggested in self-help books, coaching sessions and the popular press-pays off much better for men than it does for women."

As women, we do not struggle to "get ahead" because of personal failings but this struggle is born from structural sexism which creates gendered inequality.

Telling white women and women of colour to be more ambitious and just "work harder" if they want to smash the Glass Ceiling and obtain a decent standard of living is almost laughable. Considering many women, in particular, indigenous women and women of colour, are still struggling to make it out of the basement. Still, self-help gurus such as Tony Robbins preach to millions that none of what I am writing about actually matters: race, gender… whatever you were born as, and into, does not have to hold you back. You just have to believe in yourself and follow the Tony Robbin's step-by-step guide to snagging a life beyond anything you could ever dream of. Which he has called: '12 Keys to an Extraordinary Life'. You couldn't make this shit up. He said at a recent event:

"I don't care if you are young or old, I don't care what your colour is, what your gender is, what country you come from, if you understand the science of building wealth you can have an abundance of it. If you violate those rules [of the 12 keys to an Extraordinary Life] either because you're ignorant to them or you don't apply then, you are going to have financial stress"

Tony, who sounds uncomfortably like Gaz in his belief anyone can become a millionaire, may as well have just said "we are all one"! "Everyone can make it no matter what grinding and economically depressive situations you come from"! And be done with it.

Financial stress is not brought about because you have unknowingly violated one or more of the '12 Keys to an Extraordinary Life' which Tony has made tens of millions off. Violating female stereotypes of passivity have a lot more to do with our failure or success in the workplace than how hard we do, or do not, hustle for top positions and top earning brackets. Rivers and Barnett write, "Competent women violate the traditional female stereotype of passivity. And that violation can trigger a reaction of fear and loathing [in the workplace]."

Financial stress is brought about because of injustices such as the pay-gap and the coloured pay-gap. Something Tony, has clearly gone out of his way to ignore. Self-help gurus and people like Gaz and Gary tend to, "displace questions of social justice and frame their rhetoric by the individualist and corporatist values of a consumer society," as both Jeremy Carrette and Richard King wrote in the book, Selling Spirituality: the silent take over of religion.

Both Rivers and Barnett point out in relation to the American pay gap,

"Hispanic/Latino women have the lowest median earnings, earning just 55 percent of the median weekly earnings of white men; black women have, median weekly earnings of 64 percent of those of white men."

The pay gap for America's first nation indigenous women also sits at 55 cents in the dollar compared to white men, as non-profit AAUW reports. Indigenous women are faced with earning nearly half of what white men do in America.

Similarly, in Aotearoa indigenous Maori and Pasifika women, face significant coloured/indigenous pay-gaps compared to white men and women. TheDominion Postreported last year, "Maori and Pasifika women are more likely to be in the lowest paying jobs, which increases the poverty in their lives and communities." The Human Rights Commission has been tracking unfairness and inequality at work and cites that Pasifika women on average earn $57,668 while white men earn $66,900. What this data shows us is that, "Men are paid more than women overall and within ethnic groups. The effects increase when combining several factors as is the case between New Zealand European men and Pacific women. These patterns have persisted over time."

These "patterns" of women of colour and Indigenous women being paid significantly less than white men and women, to do the same damn jobs have "persisted" all over the world from America to Aotearoa. Injustice and oppression is locally and globally connected.

A more accurate description of what the aspirational metaphor of the Glass Ceiling is made out of is to say it is made from lead. So many women are much more likely to fall off what Rivers and Barnett have labelled the "glass cliff" than triumphantly smash the glass ceiling into a million little pieces. Following Tony Robbin's guide to obtaining some magical, fairy-tale life, or any other pseudo bullshit glittery guides to financial freedom, aren't going to be very effective for women born into a system which was built to silence and eradicate them.

The only thing I am aspiring to "smash" is white imperial patriarchal systems that at best disempower women and at worst, brutally and often violently oppress them.

***

As workers we are criticized for our behavior whether we are told we need to be "more ambitious" or we "just need to work harder" in response to our perceived failure to land a great job with good pay and consistent hours. I am so tired of listening to people who endlessly tell me to go and get a "better job" or a "real job" (what does that even mean?!). And I have lost count of the times I have been told by people who hold anti-protester positions to "go and get a job" while I am on the picket line or the protest ground. As if the low waged work I do counts for absolutely nothing. As if service industry work is some kind of phantom job.

This is for anyone who has ever told a service worker to go and get a "job" or a "real job": why don't you make your own double shot soy latte, flip your own burgers and pour your own damn beer and make your own designer espresso martini, which costs more than I make in an hour.

When as a worker, I refuse to put up with horrible workplace conditions and hit the picket line or call the Union as a form of resistance I have been called a "trouble maker", "dirty hippy" and an "inconvenience". I am proud to be all of those things. I am glad I stood up and was brave and risked job loss (sometimes I have lost my job for speaking out) and arrest in an attempt to better my workplace conditions. The only people who are "dirty" are those who seize on disaster capitalism and economically benefit from the oppression of others… I am looking at you Tony Robbin's and Gaz.

We need more workers collectively rising up and following the lead of Health Care workers, Bunning Warehouse and Supermarket workers and more recently Bus drivers. Who have all relentlessly hit union backed picket lines to demand 'fair pay for fair work' and better work conditions, in New Zealand. And less people thinking magically one day their lives will get better if they just play by the rules and perform their duties at work without complaint. This is nothing but blind faith. It is like believing in god: no matter how long you patiently wait he is not going to come and save you.

People from the working classes and those who have been in the wake of the 2008 financial crash, disenfranchised from the middle and upper-classes can save each other. But we need to refuse to allow those who hold power to continue to pit us against one another in some kind of Capitalist Death Match. Where the only prize you get is some demeaning job where the wages are so low you have to pick between buying food or paying the electricity bill. Starving or freezing does not sound like much of a "win" to me. It sounds like bullshit.

The more people who push against injustice in staggering numbers the harder it is for the media to ignore us and distort our messages of resistance.

Many people's grinding situations have nothing to do with individual 'bad choices' or laziness or you know, violating the '12 Steps to an Extraordinary Life'. No matter how many times we hear rotten rhetoric like this we must refuse - absolutely - to accept these types of pervasive and dominant narratives. At their core these narratives use shame and ruggedly focus on the individual as a method to pacify and silence. We must disrupt language that is designed to disempower and divide workers while seeming to empower. We need to seek out ways to elevate the voices of our most vulnerable and the messages of people of conscience who can envision a better world and whose political imaginations outstretch the dominant reality.

Lastly, we need to fight and stand with other workers against employers who exploit their employees and view them as nothing more than units to turn-over capital. Jeremy Carrette and Richard King, went on to write in their before mentioned book:

"We are never obliged to accept the dominant version of reality (however conceived throughout history) without question."

Capitalism's Depleted Reserves: Recognizing and Preparing for Systemic Breakdown

By Ben Peck

The capitalist crisis of 2008 was rescued by an enormous transfusion of public money into the banks. The system has been on life-support ever since.

Despite this, the bourgeois see little prospects of a recovery for their system. Rather, they wring their hands and impotently grimace in anticipation of another slump. Many consider this now a question of "when", not "if".

An organism in crisis will begin to burn off its reserves of fat in order to survive. Austerity has been capitalism's economic equivalent of this process. The system has eaten deeply into its reserves, particularly in the advanced capitalist countries. All the accumulated reforms conquered by the working class in the preceding historical period; relatively decent wages, the welfare state, pensions, etc; in order to pay for a system in crisis have been, or are in the process of being, burned away.

One particularly rich reserve has been Chinese capitalism, which has been heavily depleted. In the wake of the crisis the Chinese pumped half a trillion dollars into their economy. It was one of the greatest Keynesian interventions the world has ever seen. Rather than merely propping up the banks, the intervention contributed markedly to the real economy. According to the former US treasury secretary Larry Summers, between 2010 and 2013 China poured more cement than America did in the whole of the twentieth century! Up until last summer a city the size of Rome was being built in China every two weeks. This intervention gave a clear impulse to the Chinese and world economy.

However, the Chinese reserve is now near exhaustion and the effects of the stimulus are turning into their opposite. Debt has ballooned from $7trn to $28trn - 282% of GDP. Imports and exports are falling. The massive economic stimulus has ended up in a massive crisis of overproduction, provoking a world-wide crisis of steel. In Redcar and Port Talbot in Britain steel works are closing, destroying communities. On the other side of the world, the same course is being taken in China itself.


Political reserves

The depletion of these "economic reserves" has had a corresponding effect on capitalism's "political reserves", which are also being burned away. The old political arrangements are falling apart, including many of the traditional workers' parties. According to a report in The Economist recently, the social democracies in Europe stand at their lowest level of support for seventy years.

The classic example is PASOK, which commanded forty-five percent of the electorate in Greece prior to the crisis. On the basis of its complete capitulation to the Troika and the collapse of the Greek economy it has been reduced to a mere four percent. PASOK is now hanging on to a place in parliament by its fingernails.

In Europe in 2015 the social democrats lost power in Denmark and recorded their worst ever results in Poland, Spain, Finland and also came very close in Britain.

In France the so-called Socialist President, Francois Hollande, is the most unpopular leader in seventy years. By attacking the labour laws his government has provoked a mass movement, which on March 31st carried out a general strike involving 1.2m French workers united against the socialist government.

The strike involved a significant participation of French youth, who now compose a very class conscious vanguard of the struggle. These youth did not go home, but stayed out in an occupation of the squares, the "Nuit Debout" movement, which is reminiscent of the Syntagma and Indignados movement in Greece and Spain. These movements were the basis for the rise of parties which have since supplanted the social democracies. It is not difficult to imagine the same process developing in France.

People are turning away from the social democrats in their droves everywhere, laments The Economist. The explanation is not complicated. Where the social democrats offer no alternative to austerity, but instead work hand-in-glove with the bosses to implement it, they completely undermine their reason for existence in the eyes of the working class.

Even in Britain, the two-hundred thousand-strong movement behind Corbyn is not necessarily enamoured with the Labour Party. In Greece, support for Syriza has collapsed to sixteen percent following its betrayal of the OXI movement and its resumption of the austerity programme of its predecessors.

This crisis of Social Democracy is part of the general crisis of bourgeois democracy, which is fast expending its political capital. This is a dangerous development for the ruling class, as noted by the Financial Times' Martin Wolf on February 2nd in an article entitled "Bring our elites closer to the people":

"...we already face the danger that the gulf between economic and technocratic elites on the one hand, and the mass of the people on the other, becomes too vast to be bridged. At the limit, trust might break down altogether. Thereupon, the electorate will turn to outsiders to clean up the system. We are seeing such a shift towards trust in outsiders not only in the US but also in many European countries."

The reference is to the Trump-Sanders phenomenon in the US, which was anticipated in Europe by the rise of Syriza, Podemos, the SNP and Corbyn on the left, and also the French NF and, more recently, the AfD in Germany, on the right. Class polarisation is tearing at the seams of capitalism's political veneer.

Consciously or unconsciously, when the bourgeois start to worrying about "outsiders" interfering in their system, what they actually express is the fear of the working class taking an interest in the way society is run, and interfering in their affairs.

When the next global downturn arrives, the period between that crisis and 2008 will mark a watershed period in the history of the capitalist system. It will be characterised as one in which the system, far from developing, burned away many of the reserve layers at its disposal, economically, socially and politically, which had acted as "cushioning" in 2008.

This will give the class struggles of the not-too distant future a far sharper character. The struggle on the part of the bourgeois will be far more desperate. The struggle on the part of the working class will take place after a period in which sick and enfeebled capitalism has been able to do nothing to solve its fundamental problems. Illusions that previously existed have been burned away, many defenders of the old system discredited. This is something we must prepare for, and intervene in, to build the forces of Marxism.



Originally published at In Defence of Marxism.

Capitalism as a Form of Human Sacrifice: The Comedy of Innocence and The Comedy of Guilt

By Nick Partyka

The mention of human sacrifice is likely to conjure a bevy of fantastic notions, images of exotic locales, and perhaps visions of pre-historic peoples dancing around a fire or an altar. For some, the idea may even trigger a visceral disgust. Despite killing untold numbers of persons for heresy or apostasy, the main religions of the Western world reject human sacrifice as a part of their practice of religious worship. The God of Abraham, that little episode with Isaac notwithstanding, does not require the shedding of human blood as a feature of the way He proscribes being worshiped. Many things may still be sacrificed as part of Christian religious practice, but blood, human or animal, is not one. Certainly this God, through the medium of his Earthly spokespersons, has commanded, or at least endorsed, the shedding of others' blood, e.g. that of Jews, Muslims, Pagans, and heretics. But, even here, the shedding of blood is not a mainstay of conventional worship. We rational, modern, scientifically minded people are quick to dismiss the idea of human sacrifice. Though the form has changed, we still practice human sacrifice, and it remains an important part of how society and community are reproduced. Moreover, we preserve significant features of sacrificial rituals as practiced by ancient people.

Among Marx's first words in the Manifesto are his famous, and oft quoted, line, "The history of all hitherto existing society is the history of class struggles".[1] But, importantly, he continues, "Freeman and slave, patrician and plebian, lord and serf, guild-master and journeyman, in a word, oppressor and oppressed stood in constant opposition to one another".[2] Class society is based on hierarchy, that is, on social relations of domination and subordination. And this social relationship of domination is not an end in-itself, but rather it is the means by which wealth, resources, status, and opportunities are funneled into the hands of the dominating class. Class society has always functioned in this way, as a fundamentally predatory mechanism whereby the wealthy exploit the poor. And, as long as class-based society persists, so too will this mechanism of predation and exploitation, as well as the inequalities and divisions that come with it. This is one of Marx's most essential points; wealth and poverty go together, because poverty is the direct result of the accumulation of capital.

Ritual sacrifice is typically thought of as a relic of the ancient past, something barbaric or ignorant peoples engaged in, as something enlightened societies eschewed once they developed a truly scientific, i.e. modern, way of thinking. Unfortunately for the victims, ritual human sacrifice is a widespread practice in contemporary society. It is the very foundation of how the dominant class reproduces its wealth, power, and position. We share with our ancient peers the need to justify human sacrifice, to rationalize our actions, and thus to appease our conscience. It is in this vein that while the ancient Greeks made use of a "comedy of innocence", we modern Westerners have adopted the "comedy of guilt". The ancient Greeks needed their sacrificial victims to be willing in order to appease their guilty conscience. Perhaps the most salient example is Agamemnon's sacrifice of Iphigenia at Aulis. We moderns also need our victims to be responsible for their own murder, that is, they must be the authors of their own demise. Thus, for example, the string of incoherent, blatantly racist, exaggerated, and downright preposterous legal excuses given for the murder of unarmed citizens by police, especially people of color.

Just as with the ancient Greeks, myth helps sustain our preferred justifications for ritual sacrifice. Myth is essential because at the heart of ritual sacrifice lies the deadly contradiction. Namely, the question, as Walter Burkett asks it, "Can what is not a gift really be a sacrifice?" If society can't get the victim to agree to be sacrificed, then the act is much more a murder than a sacrifice, and hence an unworthy form of offering for a God(s). Complicating the matter is one major difference, namely, that unlike the ancients, we specially select, and then groom for the purpose, the eventual victims of sacrifice. In their ritual comedy, the ancient Greeks only had to trick an animal into a performing a simple gesture, our modern ritual comedy requires highly elaborate, sophisticated, and inter-connected social, economic, and political institutions. Within these institutions lurk apparitions like the welfare queen, the food-stamp surfer, the ghetto gang-banger, the lazy immigrant, et cetera. These are myths created by the dominant class to rationalize and justify the ritual sacrifice of some members of the community.


The Comedy of Innocence

For the ancient Greeks, ritual sacrifice was an integral part of the practice of their religion.[3] The sacrificial ritual consisted of the killing, butchering, and eating of the sacrificial animal. Blood sacrifice was one the most important ways in which the ancient Greeks connected to their Gods. The obvious similarity of animal blood to human blood, the sense of worshiping a God in animal form, the wearing of clean clothes, the wearing of animal masks during the ritual, all point to the way in which the animal sacrificed stood in for human sacrifice. The Gods required sacrifice in order to be propitiated, and thus provide the things Greek people needed in order to flourish. There is a certain quid pro quo about this practice. The Gods want things, and human wants things. So, humans give the Gods what they want, and thus the Gods will give humans what they want. Humans, of course, want things like good weather for growing crops, calm seas for sailing and trading, for favor in battle, et cetera. Human sacrifice, despite appearing in Greek literature, was certainly considered to be taboo by the ancient Greeks; in fact, the Furies are thought to hunt down and wreak vengeance upon those who commit blood crimes. Indeed, there remains no archeological evidence for human sacrifice among the Greeks. Thus, the sacrificial animal stands in for humans, and also for the God, in the ritual sacrifice.

The sacrificial ritual was an important way that community was re-created by the Greeks. Most members of the community had roles to play in the ritual. This ritual was an elaborate process, and it would begin with cleansing, and festooning the chosen animal. Because the Greeks made use of animals like cattle and sheep, the most important sacrificial animals, for their secondary products, they would have been older animals, chosen based on having a suitably healthy and unblemished appearance. The Gods demand a good looking sacrifice, not an ugly or deformed one. The process then moved on to a ritual procession to the sanctuary which included singing and dancing, and invocations to the particular God the sacrifice is intended for. Once the procession reached the sanctuary the comedy of innocence would then be performed. After this, the clan chief, a person of political and thus also religious power, would kill the animal, catching its blood in a basin, then spatter some over the altar, and the rest being burnt. Then the animal would be skinned and butchered, the inedible bits set aside for reconstituting the animal symbolically. These innards, the splanchna, are then burned on the altar. Lastly comes the cooking and eating of the meat.

The offerings to the Gods must be burnt, for it is in the form of smoke that the sacrifice rises to the sky, that is, to a place where the Gods can consume it. If the blood of a sacrifice was allowed to drain into the ground, this would be a sacrifice to chthonic Gods, that is, the Gods of the underworld. Moreover, the Gods require sacrifice because without it, they cease to exist. Indeed, there is no God where there is no sacrifice, no ritual observance of the God. The Gods thus depend on sacrifice to sustain their own existence. This comes out in Aristophanes' The Birds, where two disaffected Athenians defect to form a new kingdom in the sky with the birds, after which they begin an embargo on humans' sacrifices to the Gods, in effect threatening to starve the Olympians. Whether the offering is burned up or poured out, if the Gods do not receive sacrificial offerings, and in the appropriate form, they will eventually perish.

Even without potential embargoes, as described in Aristophanes' play, the mechanics of the sacrificial ritual posed problems for the Greeks. They utilize myth, and the comedy of innocence to alleviate the moral dilemmas their form of religious worship created. Consider again Walter Burkett's question, How can something that is not a gift be a sacrifice? The Greeks get the meat of the animal, all the useable pieces, and the rest is symbolically reconstituted, and then offered to the Gods. Why, one might reasonably ask, are the Gods satisfied with what they receive? Here the myth of Prometheus helps the Greeks have their cake and eat it too. In one form of the myth Prometheus tells the humans to sew up innards and entrails, the inedible bits, back inside the skin. He then helps the humans by tricking Zeus into choosing the "reconstituted" animal instead of a pile of meat. In a different version of the myth Zeus intentionally picks to get the worse end of the deal, no doubt because of his benevolence. In fact, in the first version of the myth, it is precisely because Prometheus tricked Zeus, that Zeus took fire away from humans. This is why Prometheus then has to do what he becomes best known for, namely, stealing fire from Mt. Olympus and giving it back to humans. This is how, through myth, the Greeks could answer Burkett's question in the affirmative.

The other problem that had to be confronted was that the idea of a cow, sheep, ram, or pig consenting to be sacrificed by a human in the name of a God is laughable. Humans and animals possess no reliable means of communicating, especially for such a complex notion as ritual sacrifice. Moreover, even if a machine enabled humans and animals to communicate, it is by no means clear that we could sufficiently explain to them notions like God and ritual sacrifice for them to make a suitably informed choice that could alleviate humans' guilt. Thus, the Greeks made use of the comedy of innocence to resolve their feelings of guilt at killing an animal they have raised, and have a relationship with, and stands in symbolically for humans. As we saw above, this process would occur at the beginning of the sacrificial ritual. The human participants would stand in a circle, water would be brought in a vessel, and there would be a ritual washing of hands. Water would then be offered to the animal, or perhaps sprinkled on its head, inducing the animal to make a gesture that the humans could interpret as it giving its assent to be sacrificed. In another variation of this process a select few animals might be arrayed around the altar, upon which were places some food item cows would find hard to resist. The first animal to move in for a taste of the treats displayed before it could then be interpreted as assenting to be sacrificed. Since the animal could be said to go "voluntarily" to the sacrificial altar any feelings of guilt the Greeks had would be assuaged.

One can see now how the practice of ritual sacrifice in ancient Greek religion made a comedy, a mockery, of the innocence of the sacrificial animal by conducting a sham of a ceremony through which the animal agrees to be killed. This is how the Greeks again answer Burkett's question in the affirmative. Something which is not a gift can be a sacrifice, if the sacrifice itself consents to be sacrificed. The sacrificial animal in effect makes a gift of itself. And then, since the animal stands in for both God and human, each makes itself the sacrifice, giving itself as a gift to the other. This reciprocal giving formed the basis of the on-going relationship between humans and the Gods. It also helped re-create and reinforce the sense of community through participation in the ritual sacrifice and meal. Thus, through myth and comedy the Greeks were able accomplish two important tasks in how they rationalized their practice of ritual sacrifice. First they were able to obtain important elements of reproducing their community, that is, meat products, and at the same time to appropriately honor the Gods.


The Comedy of Guilt

Ritual sacrifice is no less a part of contemporary society than it was ancient Greek society. One important difference is that while the ancient Greeks may or may not have actually engaged in human sacrifice, contemporary capitalist society definitely does.[4] And, where the ancients situated their comedy at the beginning of their sacrificial ritual, we moderns place our comedy at the end of our sacrificial ritual. Unlike the ancients we select our sacrificial animals more or less at birth, and then groom them assiduously for their role. The most important difference between us and our ancient Greek counterparts is that while they made a comedy of the innocence of their sacrificial victim, we moderns make a comedy of the guilt of our sacrificial victims. Only if presented with "choices" at the beginning, and then voluntarily making the wrong choice can we moderns revel in the joy of the punishment of the sacrificial victim. We go out of our way, quite a ways out sometimes, to establish the guilt of the sacrificial victim. For, indeed, there can be no joy in punishment unless the victim is guilty. However, the institutional structure of capitalist society is such that the mechanisms for establishing guilt are so decisively flawed that it constitutes a comedy of guilt.

Capitalist society precisely structures inequality so that those on the bottom have the least wealth, the fewest resources, the fewest opportunities, the worst schools, the worst healthcare, the unhealthiest neighborhoods, are destined for the worst jobs, for social marginalization, mass incarceration, political disenfranchisement, and for an early death. These people try to make their ends meet as best they can, and when this requires bending or breaking the law, they are punished severely. A society based, most fundamentally, on private property delights in seeing people punished for crimes against property. This makes the observers feel more secure in their property holdings, and helps reaffirm the basic notions and prejudices of a form of community based on the ownership and exchange of private property. Just like with the ancient Greeks, the comedic aspect to our modern sacrificial rituals helps assuage our collective guilt, it helps us to answer Burkett's question in the affirmative. The comedy of guilt, just like the comedy of innocence, makes the voluntary action of the would-be sacrifice the key element. Modern capitalism needs its sacrificial victims to be willing, or, as it is in our case, unwilling to abide by the eminently reasonable prescriptions of a system of law designed to uphold the bourgeoisie as a class, and thus the system of social relations that sustains their position of ideological hegemony.

One particularly dark variation on this ritual comedy of guilt can be observed in the extremes to which authorities, pundits, and everyday people on social media, will go to place blame for their own death on those unarmed, mostly people of color, killed by police. Legally speaking, we simply allow the police to claim that they felt that their lives were in danger, thus excusing the use of deadly force. In these instances one can observe the comedy of guilt being played out as predominantly white officers try again and again to explain how and why they felt so threatened that they had to kill an unarmed civilian. Darren Wilson, in one particularly ghastly instance of this ritual, went so far as to make Michael Brown out to be a demon, to imbue him with super-human qualities, and thus perceive him as posing a deadly threat to Wilson's life. In another, rather macabre, instance of the comedy of guilt there is the case of Tamir Rice. Many attempted to place the blame on this little boy because the officer perceived him as older, and as more threatening. Many even tried making his own murder Tamir's fault by blaming him for playing with a realistic-looking toy gun in public, which he should not have been doing in the first place. In this same vein one can observe the comedy of guilt being played out in cases like that of Trayvon Martin & Dontay Ivy, Eric Garner & Freddy Gray, Laquan MacDonald & Jamar Clark, Sandra Bland & so many many others. "If only the now deceased citizen hadn't done when confronted by the police", or "if they had only said y when stopped by the police", "if only they hadn't been engaging in z low-level criminal offense at the time, or just prior", are the refrains sung during the ritual comedy of guilt.

More mundane variations on this sacrificial ritual, and the comedy that accompanies it, occur on a daily basis. Indeed, they form the very foundation of capitalist society. Without ritual sacrifice, the form of community which is most central to reproducing bourgeoisie society cannot be sustained. For the Greeks, ritual sacrifice was also about sustaining community. In their case the sustenance is more physical in nature, that is, they needed the calories. The Greeks sacrificed animals because they needed to eat, but also to honor the Gods. Today, we also need to eat, but the way we feed ourselves is much more complex than it was with the ancient Greeks. The sustenance derived from ritual sacrifice is, however, much more financial in nature today than in more distant epochs. The plain truth is that capitalism profits from the use, exploitation, and destruction of the poor, in particular black and brown bodies, and the bodies of women. This is as true today as it was in the halcyon days of the Atlantic slave trade. After slavery there was Segregation, after Segregation there was Jim Crow, after Jim Crow there arrived mass incarceration. Mass incarceration is the modern form taken by the capitalist machine which feeds on the poor, on black and brown bodies, and on the bodies of women, and profits from their poverty, captivity, marginalization, and also their deaths.

Poverty and inequality are the structural products of capitalism. They are also the main drivers of the feelings of desperation and exclusion that incline many to engage in illegal activities. Simply put, capitalism is a pyramid scheme whereby the opulence of the few is subsidized by the exploitation of the many. Thus, the kinds of material and social circumstances that studies have routinely shown to be criminogenic are the direct result of the "healthy" operation of a capitalist economy. Thus, capitalism can never be without crime, since it creates so many potential criminals, and incentivizes the rewards of successful crime so heavily. This is the main reason why the search for guilt, after certain kinds of individuals commit certain kinds of crimes is so comedic, to the point of being a mockery, a sham. Capitalist society chooses, almost from birth, those it will subject to the kinds of social and material pressures that drive people to crime in order to meet their needs, either for material resources or for social status. Then, after some of these people succumb to the pressures and incentives arrayed before them, capitalists utilize their power to organize public rituals of sacrifice, or as we call it, the criminal justice system. Capitalist elites intentionally dis-invest in public social services, e.g. education and healthcare, then when people find it impossible to live with dignity, they resort to any means necessary to provide. Capitalist elites criminalize this behavior, then apprehend, try, and if convicted, punish those who refuse to accept the social station assigned them. One grotesque example of the comedy of guilt in this connection is the widespread criminalization of homelessness.

One other prominent, and almost Kafkaesque, example of the way capitalist society makes a comedy of the guilt of its sacrificial victims is the insidious school to prison pipeline scholars have done much work to illuminate. The poorest students - usually people of color - are crowded into the worst neighborhoods, are segregated into the worst schools, and are suspended, expelled, and otherwise disciplined at an alarmingly disproportionate rate. These students are, without a sufficient education, left to fend for themselves in an economy we're constantly being told is globalizing and shifting to reward highly educated, high-skill workers. These people, again, mostly people of color, are increasingly caught up in the criminal justice system, where they are stopped and questioned, arrested, charged, tried, and convicted much more often than their white peers. Then they are given more sever treatment at sentencing, less lenience at parole, few to no resources for re-integration upon release, then thrust into the same job market for which they were originally poorly suited, only now at a further disadvantage; and also likely formally politically disenfranchised. Capitalist society condemns an entire segment of the population, the working classes, to systematic deprivation of resources and opportunities, and then punishes these people when they do whatever they have to in order to get by. Once these poor and marginalized persons have been caught-up in the criminal justice system their labor is exploited for profit by the prison-industrial complex. Dis-investing in resources for the re-integration of former convicts into their communities ensures that recidivism rates will be high enough to produce a reliable pool of labor to exploit. The privatization of prisons, which are proliferating in America, only exacerbates these incentives by cutting out the middle-man of the allegedly impartial "democratic" state.

Outside of, though certainly many times in conjunction with, the prison-industrial complex, the poor and marginalized are preyed upon and exploited by other elements of the capitalist ruling class. Sub-prime loans, student loans, and payday loans are all ways that the desperation, humiliation, and aspiration of the poor and marginalized are used against them for profit. The dominant neo-liberal narratives about education and the job market, for example, endlessly repeat how essential a college education is for success. And yet, poor students who reach for a better future by getting a college degree are finding that education is not a silver-bullet for social mobility, nor a panacea for income inequality. Large debt loads, a recession weakened labor market, structural changes in the capitalist global economy, as well as racism, patriarchy, and elite privilege all combine to sharply limit the avenues of social mobility truly open to graduates from the lower classes. Even those who major in highly remunerative disciplines, get excellent grades, and graduate, often face significant obstacles to success in their chosen field, e.g. the prospect of years of unpaid internships in order to have a resume appropriate to the job one ultimately wants, that they simply cannot afford. Payday loans, with their egregiously high interest rates and heavily punitive system of fees and fines, have been decisively shown to be nothing more than economic traps to bilk the poor of what little they may have. These companies take advantage of poor people, whose delicate economic equilibrium are easily disrupted by exogenous shocks, and who typically have insufficient savings to absorb those shocks; if they have any savings at all. Payday loans offer a quick fix to the cash-strapped poor, which quickly and reliably spiral into a mountain of crushing debt the poor borrower has little to no chance of ever paying off.

And then, after the poor and marginalized have fallen victim to the trap set by predators in our rigged economy, the elite, and of course their sycophants, blame the victims for their victimization. Recent college grads should have not gone to college if they couldn't afford to pay back the loans, debtors should have forgone whatever luxury they borrowed money in order to maintain. In this elite narrative it is always the moral failings of the individual that produce their impoverished, and desperate situation. The sub-prime loan crisis at the bottom of the housing collapse in 2007-2008 is a perfect example. Poor families were targeted by the big banks for risky loans that the banks assumed, even without a financial crisis, those families could not pay back. In the boom stage, elites and their institutions proclaim to the poor that prosperity is within reach; "easy credit can get you that home in the suburbs with the good schools". When the securitized debt instrument trend caught fire the incentives for financial institutions to create debt only multiplied. Then, after the crash, all the blame was placed at the door of those greedy poor families trying to live beyond their means, i.e. live with dignity outside the ghettos assigned to them. If only those people hadn't fallen for the insidious trap set for them by the sophisticated con-artists and loan sharks on Wall-Street, then the economy wouldn't have collapsed. This is a great example of the comedy of guilt being played out before our eyes.


Conclusion

Over the years, elites have developed an elaborate lexicon and discourse that they use to condemn the poor and justify the violence visited on them. The prejudices of the bourgeoisie against the poor are reified in formal law codes, sometimes approved by "representative" governments, and then used to justify the brutality needed to harness the labour-power of the poor to the apparatus of capitalist accumulation. These prejudices can be millennia old. Interestingly, this ancient pedigree can be seen in the very word at the heart of the controversy. "Democracy" is an oft invoked concept these days, but one about which there is not always a great deal of clarity. The word comes from the Greek words, Demos, meaning 'the people', and kratos , meaning 'power'. In the ancient world the term 'democracy' would have been used by elites as a pejorative for a kind of polis where the "common man", especially those with no property, had a voice in the government. Thus, 'democracy' translates as "the force of the people". Though, one must mention here that Demos does not refer to "the people" in the way modern readers will likely infer. The demos refers to the body of native-born adult male citizens of the polis. And, even more specifically it is used to refer to those native-born adult males wealthy enough to afford the hoplite panoply.

In the ancient world, 'demokratia' was invoked by elites in much the same way that the term 'anarchy' is used by elites today. However, the word 'anarchy' comes from the Greek 'an', a prefix implying the negation of what follows, and 'archos', meaning 'ruler'. Thus, 'an archos' translates as "without a ruler". The difference is that a ruler has some kind of legitimacy on their side, whether they are a tyrannos or a basileus. A demokratia, on the other hand, has no, and can have no, legitimacy at all; it is by definition an illegitimate regime, based on use of force by the majority of the worst people against the minority of the best people. One finds this echoed in the Romans' use of the concepts of libertas and licentia. The former refers to the legitimate power of the senatorial class to make the law, and to dominate the most important functions of the state. The latter referred to the illegitimate use of force by the lower classes against the nobility. A political regime imposed by, and for the Plebian order, in the eyes of the Patricians, could never be said to act with or from libertas, even though they were acknowledged to be free men and Roman citizens. A political regime dominated by the Plebian order could only ever be said to act from licentia, that is, from wantonness, lust, and instinct. The Plebians could never act from freedom, because they are led around by their dominant pursuits, pleasure and luxury, thus they can only act from licentia.

Suchlike forms of prejudiced language are still an integral part of the acting out of the comedy of guilt in capitalist society. This is because these vocabularies help elites ritually express their rationalizations for sacrifice, and thus absolve themselves of guilt. Only once they have been self-absolved can the moral guilt of sacrificing an unwilling victim be dissolved in the mind of the elite, who have always been the ones who organized and performed sacrifice. The comedy of guilt must be continually re-performed in order for the ruling class of capitalist society to square the circle implicit in Burkett's question; How can that which is not a gift be a sacrifice? By shifting blame for the problems and peril associated with poverty and precariousness onto the poor and exploited, the elite are able to turn unwilling victims into consenting sacrificial animals. So, when the process of capital accumulation requires the consumption, degradation, and exploitation of human life, as it inherently does, elites are ready with a bevy of convenient rationalizations that deflect blame; and, in a way that allows elites to continue to feel good about enjoying their opulence, even amidst appalling poverty. The ideology of the elite has always been flexible enough to accommodate the needs of the ritual comedy of guilt. Medieval Christian rulers found a way to rationalize the exploitation and persecution of Jews for profit; early modern Europeans found a way to rationalize the Atlantic slave trade; contemporary Americans have, in this illustrious tradition, found a way to rationalize a school to prison pipeline and prison-industrial complex that continues the super-exploitation of black and brown bodies which has fueled the capitalist development of the, now, "developed" countries.


Notes

Marx, Karl. "Manifesto of the Communist Party". The Marx & Engels Reader. Ed. Robert C. Tucker.:473

Ibid, 474

For excellent resources on the religion of ancient Greece see Burkett, Walter. Greek Religion. 1977. Trans. John Raffan. Harvard University Press, 1985. Also see Meineck, Peter. "When Gods Walked the Earth: Myths of Ancient Greece". Barnes & Noble Audio. Portable Professor Series: 2005.

Scholarly opinion is divided on this question. Though there are literary references to human sacrifice, e.g. Achilles' sacrifice of Trojan captives during the funeral of Patroclus, there is as yet no archeological evidence of the practice of human sacrifice among the Greeks.

The Gathering Storm: Donald Trump and the Hollowed-Out American Heartland

By Sean Posey

During the winter of 2016, the ever-present visage of Donald J. Trump remained burned into television sets and computer screens across America. In the well-manicured lawns of the modest working-class homes of Austintown, Ohio, situated in long-struggling Mahoning County, "Team Trump. Rebuild America" signs began popping up everywhere.

Formerly a sparsely populated farming community, Austintown grew as a working-class suburb in the decades after World War II. Steel and autoworkers could commonly afford vacations and college tuition for their children; the community, in many ways, symbolized the working-class American Dream. By 1970, Austintown, along with the neighboring township of Boardman, was part of the largest unincorporated area in the state. [1] The township's population peaked in 1980 at 33,000. Today, however, it's a very different place. Job losses in the local manufacturing sector and the graying of the population led Forbes to label Austintown as the "fifth-fastest dying town" in the country in the midst of the Great Recession. The township's poverty rate had already reached nearly 14 percent in the year before the meltdown of Wall Street.[2]

The 2016 Ohio Republican primary in Mahoning County witnessed the largest shift of Democratic voters to the Republican Party in decades. "Most of them crossed over to vote for Donald Trump," remarked David Betras, Mahoning County Democratic Party Chairman.[3]

This used to be Democrat country. But like so many other places in America, the brash billionaire's message is remaking the local political landscape. Trump narrowly lost the Ohio primary to incumbent Governor John Kasich. However, he won the majority of Republican primary voters in Mahoning County and in neighboring Trumbull County, home to the city of Warren - one of the most embattled municipalities in the state. Winning his home state should have been a given for Kasich; instead, Trump pushed the twice-elected governor to the brink.

Ohio is not the only place in the heartland the Trump tornado is sweeping through. Scores of America's most insecure communities are joining the once prosperous Buckeye State in flirting with or joining the mogul's camp. Yet, for as much attention as has been paid to Trump and the often controversial movement behind him, far less has been said about the cracking core of a country that is currently looking for a savior, any savior, in such enormously troubled times.

Years before America's most famous real estate and reality television personality descended a gold escalator at Trump Tower to announce his candidacy for president, long-time journalists Dale Maharidge and Michael Williamson began a cross-country journey to document America in the wake of the 911 attacks.

"On one trip," Maharidge writes, "I drove from Chicago to Johnstown, Pennsylvania. In places like this, the abandoned shells of factories, all broken windows and rust, make this country look like it was bombed in a war. In other places it's as if an economic neutron bomb hit-with trees and houses intact but lives decimated, gone with good jobs."[4]

Traditionally, this part of the heartland represented the economic engine of industrial America, filled with good-paying jobs in manufacturing. However, the great economic dislocations of the past forty-odd years have rendered much of this landscape a void, one more akin to the developing world than that of the United States. Even for the more outwardly normal communities, as Maharidge mentions, looks can be deceiving. Heroin is hitting the inner core of the country with a hammer force, destroying young lives already beset by economic insecurity and the end of upward mobility.

Perhaps even more disturbing is the declining life expectancy for a large swath of working-class whites, one of Trump's key constituencies. For the past sixteen years, death rates have risen for Caucasians between the ages of 45 and 54 and also for those between the ages of 25 to 34. [5] These are notable exceptions to the overall increase in life expectancy for all groups, regardless of race or ethnicity. While working class whites in Europe continue to experience increases in life expectancy, their counterparts in America are dying from drugs, suicide, and despair.[6]

The relationship between growing white death rates and support for Trump appears in the voting data. "Trump seems to represent a shrinking, in part dying segment of America," writes Jeff Guo in a detailed analysis of election results for the state of Iowa.[7] This holds true for other states as well. Guo goes on to demonstrate that, with the exception of Massachusetts, "the counties with high rates of white mortality were the same counties that turned out to vote for Trump." Many of these same voters are located in former industrial centers which themselves, in many ways, are also dying.

The deindustrialization of America first appeared in the Northeast and then in the former "Industrial Belt" (now dubbed the "Rust Belt" for the region's numerous decaying factories), stretching from Central New York to Illinois and Wisconsin. However, offshoring and free trade agreements have also severely damaged manufacturing centers in the "Right to Work" states of the South. Anger over free trade deals is driving much of Trump's populist economic rhetoric; a similar, though smaller effect, is being felt with Bernie Sanders's campaign on the Democratic side.

Despite regional changes, overall employment in manufacturing remained at a steady level until the end of the 1990s. Free trade agreements like NAFTA and the granting of "most favored nation" status to China (along with China's entry in the WTO in 2001) greatly undermined American manufacturing employment, which has almost continually declined over the past two decades. Aside for the traditional Rust Belt states, Alabama, Arkansas, Kansas, Kentucky, and Mississippi are among the top ten states in terms of loss of total share of manufacturing jobs.[8] Trump won all but Kansas during the Republican primaries. His campaign also looks to be pursuing a "Rust Belt strategy" for the general election, which could see the wooing of disaffected former Reagan Democrats and independents who will never embrace the Clinton candidacy. So, if Trump were to falter in states with large Latino populations, he could (in theory) potentially take economically troubled swing states like Ohio (no Republican has won a general election without it) and Michigan. Trump's appeal with working class voters could put traditionally Democratic states such as Wisconsin and Pennsylvania in play as well in November.

Much is being made (rightfully) of the violent clashes at Trump rallies-often connected to the nativist and authoritarian overtones of the campaign itself. Yet far less attention is paid to the outlet Trump is providing by borrowing populist strains from the political left and right. With the exception of Bernie Sanders, who is facing increasing hostility from the party elite, the Democrats appear unwilling to tap into the mounting frustration over inequality, free trade deals, deindustrialization, and stagnant wages.

After their apocalyptic defeat in the 1972 presidential election, the Democratic elite began to push for the transition from a labor-oriented party to one rooted in the professional (upper) middle class. The process greatly accelerated under the auspices of the Democratic Leadership Council and Bill Clinton in the 1990s. It brought the party electoral success, but as the upper 10 percent of the country prospered-including the new elite professional class loyal to the Democrats-economic conditions deteriorated for the party's old base and for the majority of the country at large.

In Thomas Frank's latest book, Listen, Liberal: Or, Whatever Happened to the Party of the People, the acerbic author takes a painful look at the effect of the unmooring of the Democratic Party from its roots in the working class: "Since 1992, Democrats have won the plurality of votes in every single election except one. For six of those years, they controlled Congress outright. But on matters of inequality they have done vanishingly little: They have stubbornly refused to change course when every signal said stop."[9]

It is indisputable that Republican policies during the same period also greatly increased inequality; however, the old liberal class of Franklin Roosevelt's party should have been the antidote to supply-side poison. They failed. And while the Republicans are paying the price for offering disaffected white workers the wages of identity politics (while advancing policies that destroy their livelihoods) the Democrats are likely next in line for the blowback.

"If you read mainstream coverage of Donald Trump, it's all focused on the bigotry and intolerance," Thomas Franks writes, "but there is another element, which is [he] talks about trade and he talks about it all the time."[10] Where is the Democratic Party on trade? It took the Democrats and Bill Clinton to succeed where George H.W. Bush failed and get NAFTA passed, which devastated whole regions and cost the country 700,000 jobs.[11] President Obama and Hillary Clinton both championed the Trans-Pacific Partnership-which will also cost working class jobs-over the objections of labor. (Clinton has since tried to walk back her initial support.) According to analysis by The Atlantic, "The trade pact will increase the importation of competing goods, which will drive down the cost of U.S.-made goods, putting downward pressure on wages." Even Breitbart News, a stalwart conservative publication, condemns the TPP for its likely effect on the working class, while the Obama Administration relentlessly pushes for its passage:

The question that conservatives must answer in the on-going debate over President Barack Obama's proposal to rewrite the rules for the world's economy through the Trans-Pacific Partnership is whether following General Electric's agenda to flatten the world's regulatory regimes to produce efficiencies in manufacturing and labor is in the interests of the United States? [12]

It is difficult to imagine President Obama ever uttering such words about a free trade deal.

Only Senator Sanders has rallied to the defense of labor and the sections of the country hard-hit by trade; Clinton by contrast is seemingly ready to turn her back on the traditional manufacturing heartland in the Midwest and parts of the South. In reality, the Democratic Party's record over the pasty twenty-five years on everything from trade to protections for labor is a fantastically dismal one.

The best strategy to counter Trump's rise would be to focus on the legitimate grievances of much of his constituency while countering his appeal to identity politics. Democratic elites who view the white working class as hopelessly racist are playing into Trump's hands (while also discounting the racism of the professional class). But while they dither, the thunder of a movement inspired by the storm that is Donald Trump continues to coalesce. And even if Trump disappears from the political radar tomorrow, the backlash he has inspired will live on.

From the crumbling factory walls of the Rust Belt to the shuttered main streets of the Deep South, a revolt is underway. The long forgotten "flyover country" is erupting in a paroxysm of anger and despair over the generations of decline that have battered once solid bastions of white working and lower-middle class America. With progressive voices replaced by neoliberal orthodoxy, no constructive outlets remain to channel the cacophony emerging from the heartland. With a fading Bernie Sanders and a rising Trump, the outcome might already be decided. If both parties fail to come up with economic solutions for decaying sections of the country's interior (and if no radical movements emerge from the grass roots), the potential for the worst possible right-wing backlash will remain. It is certain that America will never right itself until it deals with this crisis; if it does not, the forces of nativism and demagoguery will win the day. And from there, we will all reap the whirlwind.


Notes

[1] Charles Etlinger, "Mahoning Valley Faces 70s Crisis," Youngstown Vindicator, September 27, 1970.

[2] "Austintown 5th-Fastest Dying Town in U.S. Says Forbes," Vindicator, December 20, 2008.

[3] Peter H. Milliken, "The Elephant in the Room," Vindicator, March 20, 2016.

[4] Dale Maharidge and Michael Williamson, Homeland (New York: Seven Stories Press, 2004), xlii.

[5] Wonkblog, Jeff Guo, "The Places That Support Trump and Cruz are Suffering. But That's Not True of Rubio," Washington Post, February 8, 2016.

[6] Olga Khazan, "Middle-Aged White Americans are Dying of Despair," The Atlantic, November 4, 2015.

[7] Wonkblog, Jeff Guo, "Death Predicts Whether People Vote for Donald Trump," Washington Post, March 4, 2016.

[8] Economic Policy Institute, "The Manufacturing Footprint and the Importance of U.S. Manufacturing Jobs," January 22, 2015.

[9] Thomas Frank, Listen, Liberal: Or, Whatever Happened to the Party of the People? (New York: Metropolitan Books, 2016),9.

[10] CBC Radio, "It's not Bigotry but Bad Trade Deals Driving Trump Voters, Says Author Thomas Frank," CBC online site. http://www.cbc.ca/radio/thecurrent/the-current-for-march-16-2016-1.3493397/it-s-not-bigotry-but-bad-trade-deals-driving-trump-voters-says-author-thomas-frank-1.3493433 (accessed March 22, 2016).

[11] Economic Policy Institute, "NAFTA's Impact on U.S. Workers," December 9, 2013.

[12] Rick Manning, "A Rebuttal to National Review's Claim that White Working Class Communities Deserve to Die," Bretibart News, March 17, 2016.