Bullshit Brigade: Now with More NYT Bullshit [Action Item Included]

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[NB: Check the byline, please. Action item at bottom. /~Rayne]

I know I’m not the only person who’s raging at The New York Times, yet again. They’ve somehow managed to do it again and at the worst possible time — the day the Build Back Better bill will go to a vote in the House.

And whoever wrote this latest bullshit managed to do it cloaked behind the Editorial Board byline, leaving no one individual exposed to a well-deserved pummeling.

I’m talking about this POS: Democrats Deny Political Reality at Their Own Peril

Utterly unglued from reality, missing completely that:

– this country has become more progressive over the last 20 years;
– the country on a bipartisan basis supports the Build Back Better bill, with a majority supporting each of its key deliverables;
– Congress doesn’t represent a true reflection of this country thanks to gerrymandering and the corrupting effects of Citizens United on elections;
– Joe Biden was elected by a majority of voters, winning the popular vote with the most votes ever, to deliver a bill which both fixed decades of infrastructure problems AND helped the nation recover from the pandemic.

Seriously, they missed the true bipartisanship:

The opening graf sets the tone for the entire op-ed:

Tuesday’s election result trend lines were a political nightmare for the Democratic Party, and no Democrat who cares about winning elections in 2022 and the presidential race in 2024 should see them as anything less.

It’s a disaster for Democrats when one goddamned state with a weak sauce Democratic candidate narrowly lost to their GOP opponent — and by narrowly I mean 2.4% margin, less than the typical margin of error?

A disaster when that same state has a history of voting for a gubernatorial candidate from the party opposing that in the White House?

And of course it’s a disaster when the incumbent Democrat wins re-election as governor in New Jersey, right?

Never mind the NYT had also published this piece:

Murphy Narrowly Wins Re-Election as New Jersey Governor
The victory over Jack Ciattarelli, which ended Democrats’ 44-year re-election losing streak in the state, was far tighter than polls had predicted.

Oh yeah, what a disaster, breaking 44 years of New Jersey kicking out one-term Democratic governors.

~insert image of Hindenburg on fire~

Not to mention the wide swath of Democrats and in some cases Democratic Socialists who won their mayoral races across the country which I noted in my previous post.

The NYT’s editorial board had the gall to summon neoliberalism, saying, “Bill Clinton’s mantra from 1992 of ‘it’s the economy, stupid’ is rarely out of vogue, and it certainly isn’t now.”

Which is why this bullshit must be dealt with, shoveled and tossed in the manure heap to rot. This economy isn’t like any economy we’ve seen before and certainly not the one in 1992. Neoliberalism and centrism haven’t worked if one pries their privileged head out of their ass and takes a look around at this country. After so many inane pieces on “economic anxiety,” the NYT still doesn’t grasp that anxiousness doesn’t belong just to those folks who were told in 2016 and earlier that immigrants were coming for their jobs.

In spite of their access to research and likely their own reporting, the NYT editorial board still hasn’t cottoned onto that 50 years of data show trickle-down economics promulgated in tandem with moderate austerity don’t work — not here, not across 18 countries.

Though the pandemic placed a premium on the lowest paid jobs, minimum wage workers still cannot afford rent anywhere in the country — if they can even find a place to rent.

Lower wage workers who can save enough for a down payment are living in their cars because they can’t find affordable homes to buy.

But sure, let’s do what worked in the 1990s during the dot com boom, when we still had a huge middle class which could save money and buy houses with good paying blue collar jobs.

With the pandemic COVID came for their jobs. Then Trump’s disastrous handling of the pandemic came for their jobs. With that came the societal Jenga following more than 750,000 COVID deaths and more than 800,000 excess deaths, creating greater uncertainty about who was going to work where and would they and their families and loved ones survive this tectonic shift.

What families have had to go through during the pandemic requires more than temperate centrism:

Did the babysitter survive their exposure to COVID? Are they vaccinated? Are the other children in the daycare vaccinate (no, of course not, we don’t have a vaccine and won’t for a while for little ones)? Are the other parents vaccinated? Who will stay home with the kids if school is closed again because of an outbreak? Will either parents’ employer fire them for taking the time to watch their children since not all jobs permit working from home? How will we make the rent, car payment, health care, food bill, even if we’re getting $300 month for each child if we can’t work because we have no daycare and school is remote again? Who will take the time needed to provide the extra coaching the kids need through at-home coursework?

But yeah, let’s be careful and restrained right now after nearly 22 months of a rolling massive death event. Let’s not rock the boat because Tuesday was a disaster and not the pandemic or decades of starving infrastructure combined with offshoring industry, critically damaging supply chains.

Don’t even get me started on how this nation is flirting with looming disasters like the 2007 I-35W Mississippi River bridge collapse when a third of the bridges in this country are in disrepair, and the mounting climate emergency demands hardening of infrastructure, not more centrist restraint.

Fuck you editorial assholes at The New York Times. You’re privileged, blinkered morons, the lot of you. How do you even sit up and take nourishment each day?

~ ~ ~

ACTION ITEM: You can tell those NYT editorial assholes to fuck off more effectively by calling your representative and senators IMMEDIATELY this morning and insisting they vote to support the Build Back Better bill. More specifically, ask your representative to:

Pass the infrastructure bill which has already passed the Senate
Pass the Build Back Better Act which is a reconciliation bill

And then ask your Senators to pass the Build Back Better Act.

Call them at Congressional switchboard at (202) 224-3121 or use Resist.bot.

The Very Globalized Forces Manipulating the Anti-Globalist President

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I want to consider three stories related to the conspiracies that got Trump elected and have influenced his policy decisions.

Cambridge Analytica and Facebook privatizes intelligence sources and methods behind “democratic” elections

First, there’s the Cambridge Analytica scandal. Here are some of the most scandalous tidbits:

Likelihood Facebook failed to abide by a 2011 FTC consent decree and certainty that Cambridge Analytica and Facebook failed to abide by British and EU privacy law, respectively. While Facebook and other big tech companies have sometimes publicly bowed to the onerous restrictions of more repressive regimes and have secretly bowed to the invasive demands of American spies, the public efforts to rein in big tech have had limited success in Europe and virtually none in the US.

In the US in particular, weak government agencies have done little more than ask consumers to trust big tech.

As privacy advocates have long argued, big tech can’t be trusted. Nor can big tech regulate itself.

Cambridge Analytica used legally suspect means — the same kind of illegal means intelligence agencies employ — to help its customers. Channel 4 reported that Cambridge Analytica at least promised they could set honey traps and other means to compromise politicians. The Guardian reported that Cambridge Analytica acted as a cut-out to share hacked emails in Nigerian and a Nevis/St. Kitts elections. Thus far, the most problematic claim made about Cambridge Analytica’s activities in the US are the aforementioned illegal use of data shared for research purposes, visa fraud to allow foreign (British) citizens to work on US elections, and possibly the illegal coordination between Rebekah Mercer’s PAC with the campaign.

Internet Research Agency used the same kind of methods advertising and marketing firms use, but to create grassroots. The IRA indictment laid out how a private company in Russia used Facebook (and other tech giants’) networking and advertising services to create fake grassroots enthusiasm here in the US.

All of these means undermine the democratic process. They’re all means nation-state intelligence services use. By privatizing them, such services became available to foreign agents and oligarchical interests more easily, with easy ways (many, but not all, broadly acceptable corporate accounting methods) to hide the financial trail.

Russia buys the network behind Joseph Mifsud

Then there’s the Beeb piece advancing the story of Joseph Mifsud (ignore the repetitive annoying music and John Schindler presence). It provides details on the role played by German born Swiss financier and lawyer Stephan Roh. Roh has three ties to Mifsud. In 2014, Roe started lecturing at the London Academy of Diplomacy where Misfud worked. In the same year, he bought the Roman institution Misfud helped manage. And then, in 2016, when George Papadopoulos was being targeted, Roh was on a panel with Papadopoulos’ two handlers.

That same month, Mifsud was in Moscow on a panel run by the Kremlin-backed Valdai Club with Timofeev and the third man, Dr Stephan Roh, a German multi-millionaire.

Mifsud and Roh interlock: in 2014, Roh became a visiting lecturer at the London Academy of Diplomacy. Roh bought Link Campus University, a private institution in Rome where Mifsud was part of the management and Mifsud became a consultant at Roh’s legal firm.

The Beeb piece goes on to describe how Roh bought a British nuclear consultancy too. When the British scientist behind it balked at cozying up to Russia, he was fired, but it appears to still be used as a cut-out.

Again, none of this is new: Russia just spent a lot of money to set up some fronts. The amount of money floating around and the ability to buy into a title by buying an old castle do make it easier, however.

George Nader purchases US foreign policy for the Saudis and Emirates

Then there’s NYT’s confirmation of something that was obvious from the first reports that the FBI whisked George Nader away from Dulles Airport before he could meet Donald Trump at Mar a Lago earlier this year. Nader got an immunity deal and has been cooperating with Mueller’s team to describe how he brokered US foreign policy decisions (most notably, and anti-Qatari stance). He did so by cultivating GOP fundraiser Elliott Broidy, turning him into both an asset and front for foreign influence. Those activities included:

  • Securing hundreds of millions of dollars of contracts for Broidy’s private security firm, Circinus, with the Saudis and Emirates, and offering several times more.
  • Working with Broidy to scuttle the nomination of Anne Patterson to DOD and to orchestrate the firing, last week, of Rex Tillerson, in both cases because they were deemed too supportive of diplomacy towards Iran.
  • Offering financial support for a $12.7 million Washington lobbying and public relations campaign, drafted by a third party, targeting both Qatar and the Muslim Brotherhood.
  • Paying Broidy $2.7 million to fund conferences at both Hudson Institute and the Foundation for Defense of Democracies attacking Qatar and the Muslim Brotherhood; Broidy provided a necessary American cut-out for the two think tanks because their fundraising rules prohibit donations from undemocratic regimes or foreign countries, respectively. The payment was laundered through an “Emirati-based company [Nader] controlled, GS Investments, to an obscure firm based in Vancouver, British Columbia, controlled by Mr. Broidy, Xieman International.”
  • Unsuccessfully pitching a private meeting, away from the White House, between Trump and Emirates Crown Prince Mohammed bin Zayed.
  • Obtaining a picture of Nader with Trump, effectively showing the president in the company of a foreign agent and convicted pedophile.

Effectively, Nader provides Mueller what Mueller has been getting from Rick Gates: details of how a foreign country purchased American policy support via cutouts in our easily manipulated campaign finance system.

Nader brings two more elements of what I pointed to last May: what is ultimately a Jared Kushner backed “peace” “plan” that is instead the money laundered wish of a bunch of foreign interests. While we’ve seen the Russian, Saudi, and Emirate money behind this plan, we’re still missing full details on how Mueller is obtaining the Israeli side, though I’m sure he’s getting that too.

Note, Broidy has claimed the details behind his work with Nader were hacked by Qatari hackers. That may be the case; there have also been a slew of presumably hacked documents from Emirates Ambassador to the US, Yousef al Otaiba, floating around. So while this is important reporting, it relies on the same kind of illicitly obtained intelligence that was used against Hillary in 2016.

Importantly, the Nader story generalizes this. Nader has worked with both the Clinton and the Dick Cheney Administrations, and the laundering of foreign funds to US think tanks has long been tolerated (in some cases, such as Brookings, the think tank doesn’t even bother with the money laundering and accepts the foreign money directly). Democrats are not immune from this kind of influence peddling, in the least. It’s just that Trump, because of his greater narcissism, his ignorance of real foreign policy doctrine, and his debt and multinational business make Trump far more vulnerable to such cultivation. Given Cheney’s ties to Halliburton and the Clinton Foundation, it’s a matter of degree and competence, not principle.

Globalism is just another word for fighting over which oligarchs will benefit from globalization

Which brings us to Trump’s claim (orchestrated by Steven Bannon, paid for by the Mercers) to oppose “globalists,” a racialized term to demonize the downsides of globalization without actually addressing the forces of globalization in an effective way. Little Trump is doing (up to and including the trade war with China he’s rolling out today) will help the white people who made him president (the demonization of immigrants will have benefits and drawbacks).

What it will do is foster greater authoritarianism in this country, making it easier both to make Trump’s white voters less secure even while channeling the resultant anger by making racism even more of an official policy.

And it will also shift somewhat which oligarchs — both traditionally well-loved ones, like the Sauds, and adversaries, like the Russians — will benefit as a result.

Importantly, it is being accomplished using the tools of globalization, from poorly overseen global tech companies, easily manipulated global finance system, and a global network of influence peddling that can also easily be bought and paid for.

The Slow Death of Neoliberalism: Part 4C Conclusion

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Part 1.
Part 2.
Part 3.
Part 3A. This post at Naked Capitalism expands on Part 3, and adds a discussion of Simcha Barkai’s paper and methodology; I discuss other aspects in Part 4A.
Part 4A.
Part 4B.

It’s fairly easy to criticize neoliberalism from the inside, just based on its incoherence and its failure to deliver good outcomes to most of us. The Barkai Paper discussed in parts 3A and 3A, and the Paradise Papers and the Panama Papers make it obvious that the benefits of neoliberalism flow to the wealthy at the expense of the rest of us, whose wages are largely stagnant and have been for decades, and whose share of overall wealth has fallen.

Neoliberalism can also be criticized from the outside as a form of capitalism, and that seems to me to be more revealing. The constricted logic of capitalism leads directly to domination by the few in business and society generally. The logic that pushes towards dominance is the result of the nature of reason as it has evolved since the Enlightenment. I’ve discussed similar descriptions of the drive to domination in Polanyi, Arendt and to a lesser extent Veblen; click name above to visit my author page. My recent discussions of these points based on my first readings in Critical Theory can be found here, here, and here.

The members of the Frankfurt School were trained in classical German thought, including Hegel, Kant, and Marx. Initially they accepted Marx’ theory of an inherent contradiction in capitalism: that the rich would accumulate all the money and impoverish the workers, who would rise up and lead the revolution. That didn’t happen. Instead, the drive to domination was restrained by legislation. The majority’s insistence on restraints was so strong that the Supreme Court, that playground of the elites, was forced to allow the legislation to stand. But the scholars of the Frankfurt School knew that the drive to domination didn’t disappear. Today it’s just as strong as it was in the late 19th Century.

The natural logic of capitalism is gigantism. Marx said that in unrestrained capital, smaller businesses will be swallowed up by larger businesses, and he was right, as we see today. Organizations with massive capital wield enormous power, and can easily take over control of a society. We see the beginnings of all this today. There is a long tradition in the US of distrust of large piles of money and the people who control them, a sentiment that drove the progressive movement of the late 19th Century. That doesn’t disappear accidentally. It requires an external force to change it. I wouldn’t say it has disappeared today, but far too many of us have lost that natural distrust.

Somehow many people think billionaires as just like the rest of us. They aren’t, and the vulgar braggart in the White House is a perfect exemplar. But far too many of us are willing to accept rule by the rich. One of the central influences that led to this sorry situation is the Law and Economics movement, with its single-minded focus on economic efficiency. Economic efficiency: who could object that? Of course we should be efficient.

Once courts decided that the most important part of justice is insuring economic efficiency, they began to eat away at the laws and theories that enabled the majority to control the rich and powerful. Ideals like the importance of fairness, or social equality, or recognizing and correcting power imbalances through legislation, withered and vanished. Gradually we lost the ability to govern by majority rule. Our Supreme Court feels no compunction in overruling the will of the majority on health care, on voting rights, even on actual elections.

That is the result of the same kind of logic that drives capitalism, the logic of economic efficiency applied to every area of life. A somewhat simple idea that might be useful in limited settings becomes the overall mindset, the formula for decision-making that jumps from the tiny number of cases in which it might be a useful to the absurd idea that it works in every area of law.

It would be interesting to see a history of the erosion of the Securities Laws beginning under Reagan and his hit-man SEC Chair John Shad, followed by mildly limiting legislation, which the courts expanded to cut way back on the ability of the regulator to regulate, and the investor to sue. The Supreme Court bought into Posner’s principle, and then expanded it beyond recognition.

Friedrich Pollock, a member of the Frankfurt School, said that the profit motive has always been a form of the power motive. It just gets dressed up in fancy reductive logic by the likes of Posner and Bork for public consumption. Regardless of their motives, they are no different from Frank Luntz, who uses the tools of rhetoric to hide the ugly transformations sought by the rich.

All these changes start small, and require something that seems like a justification, but eventually, it’s just the whim of the elites. That’s how Trump acts, and that’s how the more effective members of his cabinet and his other appointees act. Rex Tillerson is destroying our capacity to engage in diplomacy. Scott Pruitt is destroying our ability to protect ourselves from climate change and pollution. Jeff Sessions is wrecking the Justice Department. All this was foreshadowed by the destruction of the SEC under Shad.

When government is dismantled, how does a society work? The rich take over and run things according to their fancies.

That’s the logic of capitalism. Control the capitalists or they controls you.

The Slow Death of Neoliberalism: Part 4B

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Part 1.
Part 2.
Part 3.
Part 3A. This post at Naked Capitalism expands on Part 3, and adds a discussion of Simcha Barkai’s paper and methodology; I discuss other aspects in Part 4A.
Part 4A.

In Part 4A, I laid out the neoliberal theory of the person, and the beginning of an appraisal of the effect of that theory on elites. In this post I add to that appraisal, and take up the impact of this theory on the rest of us. In the next post I will offer a possible explanatory context, but not a solution.

The neoliberal theory of the person is the basis of the economics most of the elites learn as undergrads, and in business schools. Lawyers are taught neoliberal principles in anti-trust classes and in the jurisprudential aspects of other courses, through the impact of the law and economics movement. When elites get jobs in business or law or government, they are surrounded by others who are deeply enmeshed in neoliberalism, even if they can’t name it. They believe that the market, whatever that is, is a wonderful, if occasionally erratic, judge of worth. They earn what they make because the market rewards the productive, and everyone finds their level in that system of rewards, based on their personal merit and their productivity. As they rise in pay and prestige, that opinion is cemented. It’s like Calvinism, with the market substituted for the Almighty. And if the market rewards the productive and dumps on the “non-productive”, then that is right and just.

The farther elites get from the productive work of businesses, the more they come to regard employees as cogs in a machine, not fully human, merely factors of production. The ease with which they fire people is the result of their belief that elites are productive and the rest tools. Lawyers and politicians may see their employees as humans, if weak versions, but the rest of the working world vanishes, except when needed. In brief, the elites operationalize Karl Polanyi’s concept of labor as a fictitious commodity.

And how does this work out for the lesser people? They are forced to live and work in the neoliberal world. They learn to repeat its tropes. For a beautiful piece of research on this, see Coming Up Short: Working-Class Adulthood in an Age of Uncertainty, 2015, by Jennifer M. Silva, The people Silva interviewed describe themselves in the terms in the Mirowski quote in Part 4A, as bundles of skill sets, who must take risks and invest in themselves to get ahead; when it doesn’t work, they think it’s their fault, they blame themselves, and they struggle to find some other way forward.

I saw this many times in my 25 years of bankruptcy practice. People who file Chapter 7 always blamed themselves, and never could understand how their failures resulted from the cruel form of capitalism we enjoy in the US. Here’s a composite case. A young couple with two low-level jobs in a county near Nashville decide that the husband will go back to school so he can get a better job. The wife gets pregnant, suffers a bad miscarriage and can’t go on working. They don’t have insurance, and the bills pile up. He drops out to get a job to support them and tries to pay down the debt. She gets well enough to work, and then he loses his job. They can’t pay the medical and student debt. They get money from family, but it doesn’t work. They file Chapter 7, but they can’t discharge the student debt and they feel obligated to pay back their families. And when we talk to them, they blame themselves in words and phrases exactly like those Silva reports in her book.

In Part 4A, I describe two of the prevalent ideas that neoliberalism has given us, Bork’s antitrust revisionism and Posner’s Law and Economics. For the elites, the first was a boon. It was easy to explain how the markets would protect consumers after a merger. Corporations became larger and larger. Regulators allowed almost every merger, and the elites became more and more powerful, with more and more assets under their control. Combine the new wealth and power with their belief that they are superior, as shown by the rewards heaped on them by the all-knowing market, and suddenly elites are exerting even greater control over the government and using it to enrich themselves as managers and shareholders. According to Mirowski, this is a desired outcome of neoliberalism. See, e.g. point 10.

The Law and Economics movement supports this view. Courts following Posner look at economic efficiency above any other interest, and interpret the laws narrowly so as not to interfere with the sacred market. The consistent rulings in their favor support elites in thinking they are wonderful.

After the Great Crash, brought on by elites at gigantic banks, hedge funds, big law firms and other cheats and liars, not a single member of the elites went to jail, and they all got paid, and they all got to keep their ill-gotten gains. Many of the political elites defended their Wall Street friends. Pundits and academics and think-tankers sprang to the defense of Wall Street. Both of these groups pretended that it was everybody’s fault, or the fault of those evil subprime borrowers or nobody’s fault because it was all perfectly legal and the deals were between equally sophisticated and brilliant people, but it surely wasn’t the fault of the well-known people who organized and sold RMBSs and other deals. The prosecutors said they couldn’t indict any individual because responsibility was spread out among lots of people, or it was too hard to get a conviction, or because something something. When elites are not held accountable, it reinforces their sense of how wonderful they are.

But the effect of these two two neoliberal theories on the rest of us is bad. As I note in Part 4A, based on this paper by Simcha Barkai, increasing concentration is perhaps the most important cause of the wage-productivity gap. Wage stagnation as profits increased has left workers struggling to get ahead, to the point that less than half of US households can pay an unexpected $500 bill without borrowing or selling something.

In the same way, the law and economics movement has hurt workers. For example, Banks and other large corporations put arbitration clauses in all their contracts, and clauses that bar class actions, and courts routinely uphold these clauses, because it’s so efficient. That means that when you get cheated in one of Wells Fargo’s schemes, you have to arbitrate, and class actions are barred.

So far, the legacy political parties and the elites have been able to deflect the anger that is slowly building up in our society as frustration turns into pain. It’s dawning on all of us that the way we treat our people is disgusting, whether it’s cops killing unarmed Black people, sexual predators attacking women, unfair pay for people of color, massive corruption, lawsuits with utterly unjust results; the list is endless.

My prediction of the slow death of neoliberalism is based on my profound hope that people are realizing that neoliberalism is a nightmarish theory, the spell will be broken, and people will demand to be treated like human beings with natural rights that must be the central focus of social organization.

[Photo: Annie Spratt via Unsplash]

The Slow Death of Neoliberalism: Part 4A The Nature of the Person

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Part 1.
Part 2.
Part 3.
Part 3A. This post at Naked Capitalism expands on Part 3, and adds a discussion of Simcha Barkai’s paper and methodology; I discuss other aspects below.

In this post, I take up the nature of the person in neoliberal theory and neoliberal society. I begin by describing the nature of the person in theory, and then apply it to elites. In a separate post I will discuss the nature of the average person in neoliberal theory and society. Then I will try to put this in a general context, based on my initial readings on Critical Theory.

The nature of the person in a neoliberal society is simple: a utility-maximizing computing machine, only interested in satisfying wants and needs in a world of scarce resources, where survival depends on the ability to grab stuff ahead of other people. Somewhat more elegantly, Philip Mirowski explains it this way

Neoliberalism thoroughly revises what it means to be a human person. Classical liberalism identified “labor” as the critical original human infusion that both created and justified private property. Foucault correctly identifies the concept of “human capital” as the signal neoliberal departure that undermines centuries of political thought that parlayed humanism into stories of natural rights. Not only does neoliberalism deconstruct any special status for human labor, but it lays waste to older distinctions between production and consumption rooted in the labor theory of value, and reduces the human being to an arbitrary bundle of “investments,” skill sets, temporary alliances (family, sex, race), and fungible body parts. “Government of the self ” becomes the taproot of all social order, even though the identity of the self evanesces under the pressure of continual prosthetic tinkering; this is one possible way to understand the concept of “biopower.” Under this regime, the individual displays no necessary continuity from one “decision” to the next. The manager of You becomes the new ghost in the machine.

Mirowski could be describing corporations: they are in fact the Platonic Ideal of this version of human nature. They have only one goal: to succeed in the market, whatever that is, by grabbing everything they can, money, power, resources, everything. We should all aspire to be like corporations.

In the neoliberal universe, the market, whatever that is, is the perfect computer. It balances all desires with money and spits out the perfect answer. The market can do no wrong. It disciplines everyone to its demands. There is no need for external government oriented regulation. Any regulation will simply make everything worse. In fact, there is no need for or room for democratic control of any kind. The market also selects our leaders, as Thorstein Veblen observed over a century ago.

We’ve been living under this intellectual regime for half a century now, and we can see its impact all around us. On the corporate side let’s look at two of the main theoretical innovations, Robert Bork’s antitrust revisions and Richard Posner’s Law and Economics movement.

As far back as 1960, Bork was fretting that socialism would be enforced on the US through antitrust law. In his seminal 1978 book, The Antitrust Paradox, he claimed that the purpose of the Sherman Act, the crucial antitrust law, was to protect consumer welfare, and that the existing law protected inefficient firms and thus drove up consumer prices. That view was adopted by the Supreme Court in 1979. Supposedly it would protect consumers better than prior law focused on the dangers of concentrated money and power.

A recent paper by Simcha Barkai shows how that worked out. Barkai is now a professor at the London School of Economics. His paper, Declining Labor and Capital Shares, is here. The first two sections and the conclusion lay out the thesis in English, not econspeak. The labor share is declining. The cost of capital is low and little additional capital has not been added to the existing depreciating stock, so the capital share is low. Profits are up in an amount sufficient to cover both drops. The profit share has risen because of increased concentration, which occurred because of the adoption of Bork’s opinion. See Part 3A, Observations.

Across specifications, the profit share (equal to the ratio of profits to gross value added) has increased by more than 12 percentage points. To offer a sense of magnitude, the value of this increase in profits amounts to over $1.1 trillion in 2014, or $14 thousand for each of the approximately 81 million employees of the non-financial corporate sector. P. 3.

Profits go to the owners of firms, who distribute the money as they see fit. Profits are not distributed to the 99%; they go to shareholders and top management. This is terrible for consumers, whose wages have stagnated while profits soar. Bork was totally wrong, and wrong in ways that hurt people and society.

The second neoliberal innovation is the Law and Economics Movement, driven by Richard Posner, recently retired from the Seventh Circuit. This is from a 1987 speech he gave at the American Economic Association, behind pay-wall but available through your local library. According to Posner, these are the basic premises of Law and Economics:

1) People act as rational maximizers of their satisfactions in making such nonmarket decisions as whether to marry or divorce, commit or refrain from committing crimes, make an arrest, litigate or settle a lawsuit, drive a car carefully or carelessly, pollute (a nonmarket activity because pollution is not traded in the market), refuse to associate with people of a different race, fix a mandatory retirement age for employees.

2) Rules of law operate to impose prices on (sometimes subsidize) these nonmarket activities, thereby altering the amount or character of the activity.

A third premise, discussed at greater length later, guides some research in the economics of nonmarket law:

3) Common law, (i.e., judge-made) rules are often best explained as efforts, whether or not conscious, to bring about either Pareto or Kaldor-Hicks efficient outcomes. P. 5

You can find my discussion of Kaldor-Hicks efficiency here, with a link to a discussion of Pareto Efficiency. Posner is quite serious about this.

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This is from [Posner’s] 1985 article in the Columbia Law Review, An Economic Theory of the Criminal Law:

My analysis can be summarized in the following propositions:
1. The major function of criminal law in a capitalist society is to prevent people from bypassing the system of voluntary, compensated exchange-the “market,” explicit or implicit-in situations where, because transaction costs are low, the market is a more efficient method of allocating resources than forced exchange. Market bypassing in such situations is inefficient — in the sense in which economists equate efficiency with wealth maximization — no matter how much utility it may confer on the offender. … (P. 1195, footnote omitted)

Posner carefully explains how this works with rape. I’m sure Weinstein, O’Reilly and all of the sexual predators heartily endorse his conclusions. It’s just sick to think in terms of the utility these predators gain balanced against the “disutility” to the people they attack. In Kaldor-Hicks terms, the predator can make everything right with a few bucks and/or a part in a movie, and Posner would be fine with that.

This analysis is explicitly inhuman: it takes no account of human dignity, or bodily autonomy and personhood of people under assault. The disutility caused by rich predators? What kind of person thinks like that?

To be precise, that is the exact mindset that neoliberalism calls out. That focus on economic efficiency defined in the most dehumanizing terms possible is at the core of the education of the elites and it perfectly explains their behavior in their institutional roles. All of them are sure they are perfection of humanity because they were selected by the perfect market. And it is therefore right and just that they should be in charge of everything. Screw democracy; as Posner put it in a 2007 opinion, the value of voting to the individual is elusive.

What Becomes Of The Brokenhearted Dems And Clickbait Complicit Media Who Got Us Here?

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Will Rogers very famously said:

“I am not a member of any organized political party. I am a Democrat.”

That was made sometime in the 1930’s I think, but it is enduringly true.

So, where will the Democratic party go now that they have had their ass handed to them by Trump? Who will lead the Democratic party going forward?

The calls are already ringing out. Liz Warren! Bernie Sanders! Keith Ellison (Sanders has even issued an email ask as to Ellison)! But there is a serious money people and Clintonian push for Howard Dean. Which is truly mind numbing.

Howard Dean is moldy cheese that needs to be taken out with the next non-recycle trash dump. He did neither himself, nor the party, any favors in the 2016 election clownshow cycle. Seriously, in the 2016 election cycle, Sarah Palin may have been more reserved and credible than Howard Dean.

Dean’s 50 state op got Obama elected in 2008, but he is smelly garbage now. Screw this always retread manure. Dean needs to dry up and go away.

And the Democratic Party needs to extricate their head from their ass and move to the future.

New blood. Dems CANNOT be the same old constantly revanchist assholes every time they lose bigly. And, boy did they lose bigly.

The Dem go to kleptomaniacs like Debbie Wasserman Schultz and Rahm Emanuel not only did not help the party expand but set it back in serious ways in places like MO, KS, AZ and the entire United States.

And, while we are at it, the high holy “Senator Professor Warren” ain’t immune either. She had a moment and a shot, and she cowardly whiffed. Maybe it is something she just truly did not want, and, if so, fine. But don’t tell me that someone that is little more than a year younger than Hillary, and who consciously forfeited both her, and Bernie’s, shot in 2016, will be the Democratic holy savior in 2020.

Don’t do that. This is the same ignorant reset idiocy that got Democrats here today. That time is done. If Democrats do one thing ever, it ought be to build the bridge for the young’s of the United States to clean up the shithole we left them. Liz Warren and Bernie Sanders can be a huge part in doing that. But only as bridge builders, not as the man or woman who will be the avatar in 2020. We need them terribly, but not themselves as the embodiment of the future. That kind of thinking is the idiocy of the past.

There is a future. Although CNN’s Jeff Zucker and Trump/Breitbartism’s Steve Bannon are brothers in clickbait cuck arms that birthed, literally, President Trump, and will not easily give up their money raking news cycles.

The “new normal” is that CNN, MSNBC, NBC, CBS, ABC, New York Times, Washington Post, and an endless roll call of dying, wimpering subservient media jackasses, who rode Trump’s clickbait train to a place in hell, will find it’s new Stockholm Syndromed place and start lecturing us how it is all good and just a “function of normal democracy”. It is already occurring, just watch any Wolf Blitzer on CNN or Chris Matthews on MSNBC moment. They are getting climax happy legs on Trump and Giuliani fascism as we speak.

That is one vision, and the early reality, of what the “press” will do in the coming Trump Presidency. The competing vision, which is what I hope and ascribe to, is that the media extricates their heads from their asses and brings real scrutiny to try to mitigate the hell they helped gestate. Are there enough Brian Stelters and Jay Rosens to get us there?

The brokenhearted Dems have some serious soul searching to engage in. So do the currently unapologetic and furiously rationalizing media and “pundits” who so helped get us here.

“Balanced” is NOT fair. Honest is fair. Accurate is fair. Truth is fair. Putting on panels of bickering loud mouthed bought and paid for political assholes as “news coverage” is NOT fair. Nor is it “balanced” news. Jeff Zucker makes Roger Goodell look like a piker in terms of the pantheon of American assholes.

While the media, especially cable, has a circle jerk field day congratulating themselves over their “wall to wall coverage”, and “looking forward to the transition”, just remember how the Trumpism and fascism germinated. Not shockingly, it germinated the same way it always has. When the gatekeepers of a rational society become more about themselves and their money than their jobs representing society.

There is a lesson here, too, for the Dems in media interaction. You got played and hosed royally. Don’t be the brokenhearted, be the, for once, party that learns from its mistakes and failures, and does better.

Just once, do this. If you can.

UPDATE: Commenter GK James posted something below that I think crystallizes much of what I was trying to say far better than I did, even if from a slightly different perspective.

Sure, but doesn’t that effectively absolve the demos that does the choosing? Aren’t Democrats up against a larger problem, one that they’ve had to wrestle with since Reagan? How do you advocate a progressive worldview when the majority of an aging, increasingly atomized, entertainment-addicted population doesn’t want that? It’s easy enough to say, after the fact, that Clinton should have focused more on those disadvantaged by globalization, or that, had they only chosen Sanders, the Democrats would have won. But recall that, without moving to the center, Bill Clinton would never have made it. A lousy bargain in retrospect, but not a crazy one at the time.

Yes, the DNC needs new blood. But assuming someone is found who can articulate a crisp clear message of what Democrats stand for—and who’s telegenic, personable, and entertaining to boot—how would that change the stranglehold that Republicans have on state governments, state legislatures, and the US Congress? The clear majority likes the status quo, having no problem with gerrymandered districts, voter suppression, or bought-and-paid-for legislators who enjoy an incumbency rate of 90%+. And the infotainment complex is likely to help keep it that way by making sure that its customers are never overtaxed by complicated thoughts. There will still be people, adults, who read, think, and have constructive ideas about matters of public import, which they’ll express in complete sentences. But they’ll be increasingly outnumbered and marginalized in a Twittered world.

Can’t argue with that, and don’t know the answers to the questions. But the Democratic party, if it is to continue (and I think it must), has to start finding those answers quickly.

In Latest Russian Plot, WikiLeaks Reveals Hillary Opposes ISDS

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Among the emails released as part of the Podesta leaks yesterday, WikiLeaks released this one showing that, almost a year before she was making the same argument in debates with Bernie Sanders, Hillary was opposed to Investor State Dispute Settlement that is part of the Trans Pacific Partnership. (h/t Matt Stoller) ISDS is the means by which corporations have used trade agreements to operate above the domestic laws of party countries (if you haven’t read this three part series from BuzzFeed to learn about the more exotic ways business are profiting off of ISDS).

The email also appears to echo her later public concern that she had changed her mind on TPP because of KORUS.

After our last talk with HRC, we revised our letter to oppose ISDS and include her caution about South Korea.

Sure, other Podesta emails show Hillary supporting a broad region of free trade (and labor) in the Americas. But this more recent email confirms that the views she expressed in debate were more than just an attempt to counter Bernie’s anti-trade platform.

Whether or not this is newsworthy enough to justify the WL dump, it is noteworthy in light of NYT’s rather bizarre article from some weeks back suggesting that WL always sides with Putin’s goals. As I noted, the article made a really strained effort to claim that WL exposed TPP materials because it served Putin’s interests. Now, here, WL is is releasing information that makes Hillary look better on precisely that issue.

That doesn’t advance the presumed narrative of helping Trump defeat Hillary!

Then, as I noted yesterday, in spite of all the huff and puff from Kurt Eichenwald, the release of a Sid Blumenthal email used by Trump is another case where the WL release, as released, doesn’t feed the presumed goals of Putin.

Which brings me to this Shane Harris piece, which describes four different NatSec sources revealing there’s still a good deal of debate about WL’s ties to Russia.

Military and intelligence officials are convinced that WikiLeaks is an ongoing threat to U.S. national security and privacy owing to its leaks of classified documents and emails. But its precise relationship with Russia has been a subject of internal debate. Some do see the group as being in cahoots with the Kremlin. But others find that WikiLeaks is acting mainly as the beneficiary of stolen documents, not unlike a journalistic organization.

There are some funny aspects to this story. Nothing in it considers the significant evidence that WL is (and has reason to be) affirmatively anti-Hillary, which means its interests may align with Russia, even if it doesn’t take orders from Russia.

It also suggests that if the spooks can prove some tie between WL and Russia, they can spy on it as an agent of foreign power.

But those facts don’t mean WikiLeaks isn’t acting at Russia’s behest. And that’s not a trivial matter. If the United States were to determine that WikiLeaks is an agent of a foreign power, as defined in U.S. law, it could allow intelligence and law enforcement agencies to spy on the group—as they do on the Russian government. The U.S. can also bring criminal charges against foreign agents.

WL has been intimately involved in two separate charges cases of leaking-as-espionage in the US, Chelsea Manning and Edward Snowden. The government has repeatedly told courts that it has National Security/Criminal investigations, plural, into WikiLeaks, and when pressed for details about how and whether the government is collecting on supporters and readers of WikiLeaks, the government has in part hidden those details under a b3 FOIA exemption, meaning a statute prevents disclosing it, while extraordinarily refusing to reveal what statute that is. We certainly know that FBI has used multiple informants to spy on WL and used a variety of collection methods against Jacob Appelbaum, including (according to Appelbaum) physical tails.

So there’s not only no doubt that the US government believes it can spy on WikiLeaks (which is, after all, headed by a foreigner and not a US organization), but that it already does, and has been doing for at least six years.

Perhaps Harris’ sources really mean they’ve never found a way to indict Julian Assange before, but if they can claim he’s working for Putin, then maybe they’ll overcome past problems of indicting him because it would criminalize journalism. If that’s the case, it may be shading analysis of WL, because the government would badly like a reason to shut down WL (as the comments about the direct threat to the US in the story back up).

As I’ve said before, the role of WL in this and prior leak events is a pretty complex one, one that if approached too rashly (or too sloppily) could have ramifications for other publishers. While a lot of people are rushing to collapse this (in spite of what sounds like a continuing absence of directly incriminating evidence) into a nation-state conflict, things like this TPP email suggest it’s not that simple.

9/11: A Story of Attacks, Horror, Victims, Heroes and Jingoistic Shame

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screen-shot-2016-09-11-at-2-54-38-amSeptember 11, 2001 is now 15 years in the mirror of life. Like the two Kennedy assassinations, the Moonshot and a few other events in life, it is one of those “yeah I remember where I was when…” moments. Personally, being on west coast time, I was just waking up thinking all I had was a normal morning court calendar. When my wife, who gets up far earlier than I, shouted at me to rub out the cobwebs and watch the TV because something was seriously wrong in New York City. She was right. It was a hell of a day, one of unspeakable tragedy and indescribable heroism. It was truly all there in one compact day, unlike any other, save maybe December 7, 1941.

2,996 people lost their lives, and their families and history were forever altered in the course of hours on an otherwise clear and beautiful day in Manhattan. Most were simply innocent victims, but many were the epitome of heroes who charged into a hellscape to try to salvage any life they could. There were other heroes that altered their lives in response, and either died or were forever changed as a result. One was a friend of mine from South Tempe, Pat Tillman.

No one can speak for Pat Tillman, and, save for his family, those who claim to only prove they never met the man. All I can say is, I wish he were here today. The one thing that is certain is he would not give the prepackaged trite partisan reaches you are likely to hear today. It would be unfiltered truth. Which the US did not get from its leaders after September 11, 2001, and is still missing today.

Instead of rallying and solidifying the oneness of the American citizenry that was extant immediately after September 11, 2001, the Bush/Cheney Administration and GOP told us to go shopping and that we needed to invade Iraq, who had nothing whatsoever to do with 9/11. It was a fools, if not devil’s, errand and a move that threw away an opportunity for greatness from the country and exploited it in favor of war crimes and raw political power expansion and consolidation.

Instead of gelling the United States to make ourselves better as the “Greatest Generation” did sixty years before, America was wholesale sold a bill of goods by a determined group of unreformed and craven Neo-Con war criminals left over from the Vietnam era, and we were led down the path to a war of aggression that was an unmitigated disaster we have not only not recovered from today, but are still compounding.

The 2000’s will prove to be a decade of American shame when history is written decades from now. Not from the attacks, but from our craven response thereto. So, pardon me if I join Colin Kaepernick and choose not to join, every Sunday, just because the Madison Avenue revenue generating NFL of Roger Goodell cravenly exploits it, the jingoistic bullshit of rote dedication to a racist National Anthem. Also, too, shame on opportunistic and Constitutionally ignorant whiny police unions who scold free speech and threaten to abandon their jobs in the face of it.

powell_un_anthraxBut that is all over now surely. Taking the United States, nee the world, to a forever war on the wings of a craven lie is universally recognized, condemned and scorned, right?

No. The Neo-Cons are unrepentant and still trying to advance themselves on the lie that their once and forever war justifies more than their prosecution and conviction in The Hague. Here is a belligerent and unrepentant Dick Cheney passing the torch of evil to his spawn Liz Cheney in the august pages of the Wall Street Journal:

We are no longer interrogating terrorists in part because we are no longer capturing terrorists. Since taking office, the president has recklessly pursued his objective of closing the detention facility at Guantanamo by releasing current detainees—regardless of the likelihood they will return to the field of battle against us. Until recently, the head of recruitment for ISIS in Afghanistan and Pakistan was a former Guantanamo detainee, as is one of al Qaeda’s most senior leaders in the Arabian Peninsula.

As he released terrorists to return to the field of battle, Mr. Obama was simultaneously withdrawing American forces from Iraq and Afghanistan. He calls this policy “ending wars.” Most reasonable people recognize this approach as losing wars.

Times may change, but the bottomless pit of Cheney lies and evil do not. As Charlie Savage pointed out on Twitter, the two terrorists the Cheneys refer to were actually released back to the “field of battle” by Bush and Cheney, not Obama. Was Obama involved in the story? Yes, he would be the one who actually tracked them down and killed them.

And then there is the failure to learn the lessons of the failed torture regime Bush and Cheney instituted as the hallmark of the “War on Terror”. Our friend, and former colleague, Spencer Ackerman has a must read three part series over the last three days in The Guardian (Part One, Part Two and Part Three) detailing how the CIA rolled the Obama Administration and prevented any of the necessary exposure, accountability and reform that was desperately needed in the aftermath of the torture regime and war of aggression in Iraq. It will take a while, but read all three parts. It is exasperating and maddening. It is also journalism at its finest.

And so, as we glide through the fifteenth anniversary of September 11, what are we left with from our response to the attacks? A destabilized world, an ingraining of hideous mistakes and a domestic scene more notable for jingoism and faux patriotism than dedication to the founding principles that America should stand for.

That is not what the real heroes, not only of 9/11 but the totality of American history, died to support and protect. In fact, it is an insult to their efforts and lives. If America wants to win the “War on Terror”, we need to get our heads out of our asses, quit listening to the neocons, war mongers, and military industrial complex Dwight Eisenhower warned us about, and act intelligently. This requires a cessation of adherence to jingoistic and inane propaganda and thought, and a focus on the principles we are supposed to stand for.

In Attempted Hit Piece, NYT Makes Putin Hero of Defeating TPP

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In an remarkable hit piece NYT spent over 5,000 words yesterday trying to prove that all of WikiLeaks’ leaks are motivated from a desire to benefit Russia.

That of course took some doing. It required ignoring the evidence of the other potential source of motivation for Julian Assange — such as that Hillary participated in an aggressive, and potentially illegal, prosecution of Assange for being a publisher and Chelsea Manning for being his source — even as it repeatedly presented evidence that that was Assange’s motivation.

Putin, who clashed repeatedly with Mrs. Clinton when she was secretary of state,

[snip]

In late November 2010, United States officials announced an investigation of WikiLeaks; Mrs. Clinton, whose State Department was scrambled by what became known as “Cablegate,” vowed to take “aggressive” steps to hold those responsible to account.

[snip]

Another person who collaborated with WikiLeaks in the past added: “He views everything through the prism of how he’s treated. America and Hillary Clinton have caused him trouble, and Russia never has.”

It also required dismissing some of the most interesting counterexamples to the NYT’s thesis.

Sunshine Press, the group’s public relations voice, pointed out that in 2012 WikiLeaks also published an archive it called the Syria files — more than two million emails from and about the government of President Bashar al-Assad, whom Russia is supporting in Syria’s civil war.

Yet at the time of the release, Mr. Assange’s associate, Ms. Harrison, characterized the material as “embarrassing to Syria, but it is also embarrassing to Syria’s opponents.” Since then, Mr. Assange has accused the United States of deliberately destabilizing Syria, but has not publicly criticized human rights abuses by Mr. Assad and Russian forces fighting there.

As I have noted, there is a significant likelihood that the Syria files came via Sabu and Anonymous from the FBI — that is, that it was actually an American spy operation. Even aside from how important a counterexample the Syrian files are (because they went directly contrary to Putin’s interests in protecting Assad, no matter how bad they made Assad’s western trade partners look), the provenance of these files and Assange’s current understanding of them deserve some attention if NYT is going to spend 5,000 words on this story.

But the most remarkable stunt in this 5,000 screed is taking Wikileaks’ efforts to show policies a great many people believe are counterproductive — most importantly, passing trade deals that benefit corporations while hurting real people, but also weakening other strong hands in climate change negotiations — and insinuating they might be a Putinesque plot. This bit requires editorial notes in line:

From November 2013 to May 2016, WikiLeaks published documents describing internal deliberations on two trade pacts: the Trans-Pacific Partnership, which would liberalize trade [ed: no, it would protect IP, the opposite of liberalizing trade] between the United States, Japan and 10 other Pacific Rim countries, and the Trade in Services Agreement, an accord between the United States, 21 other countries and the European Union.

Russia, which was excluded, has been the most vocal opponent of the pacts [this is presented with no evidence, nor even a standard of evidence. I and all of America’s TPP opponents as well as TPP opponents from around the world must redouble our very loud effort], with Mr. Putin portraying them as an effort to give the United States an unfair leg up in the global economy.

The drafts released by WikiLeaks stirred controversy among environmentalists, advocates of internet freedom and privacy, labor leaders and corporate governance watchdogs, among others. They also stoked populist resentment against free trade that has become an important factor in American and European politics. [Here, rather than admitting that this broad opposition to these trade deals shows that Putin is not the most vocal opponent of these pacts — contrary to their foundational assumption in this section — they instead portray a wide spectrum of well-considered activism as unthinking response to Putinesque manipulation. And note, here, a news outlet is complaining that ordinary citizens get access to critically important news, without even blushing? Also note the NYT makes no mention of the members of Congress who were also begging for this information, which makes it easier to ignore the profoundly anti-democratic nature of these trade agreements.]

The material was released at critical moments, with the apparent aim of thwarting negotiations, American trade officials said. [In a piece obscuring the unpopular and anti-democratic nature of these trade deals, the NYT gives these sources anonymity.]

WikiLeaks highlighted the domestic and international discord on its Twitter accounts.

American negotiators assumed that the leaks had come from a party at the table seeking leverage. [That anonymity again: NYT is protecting some bitter trade negotiators who’ve invented a paranoid conspiracy here. On what grounds?]

Then in July 2015, on the day American and Japanese negotiators were working out the final details of the Trans-Pacific Partnership, came what WikiLeaks dubbed its “Target Tokyo” release.

Relying on top-secret N.S.A. documents, the release highlighted 35 American espionage targets in Japan, including cabinet members and trade negotiators, as well as companies like Mitsubishi. The trade accord was finally agreed on — though it has not been ratified by the United States Senate — but the document release threw a wrench into the talks.

“The lesson for Japan is this: Do not expect a global surveillance superpower to act with honor or respect,” Mr. Assange said in a news release at the time. “There is only one rule: There are no rules.” [That the US spies on trade negotiations was of course not news by this point. But it is, nevertheless, worthy to point out.]

Because of the files’ provenance, United States intelligence officials assumed that Mr. Assange had gotten his hands on some of the N.S.A. documents copied by Mr. Snowden.

But in an interview, Glenn Greenwald, one of the two journalists entrusted with the full Snowden archive, said that Mr. Snowden had not given his documents to WikiLeaks and that the “Target Tokyo” documents were not even among those Mr. Snowden had taken.

The next paragraph goes on to note that the same NSA documents focused on climate negotiations between Germany and the UN, which seems to suggest the NYT also believes it is in petro-state leader Putin’s interest for the US attempts to dominate climate change negotiations to be thwarted, even as Assange describes US actions as protection petroleum interests, which of course align with Putin’s own.

In other words, as a central piece of evidence, the NYT spent 11 paragraphs repackaging opposition to shitty trade deals — a widely held very American view (not to mention a prominent one is most other countries affected) — into something directed by Russia, as if the only reasons to oppose TPP are to keep Russia on an equal shitty neoliberal trade footing as the rest of us, as if opposing the deals don’t benefit a whole bunch of red-blooded Americans.

That’s not only logically disastrous, especially in something billed as “news,” but it is very dangerous. It makes legitimate opposition to bad (albeit widely accepted as good within beltway and I guess NYT conventional wisdom) policy something disloyal.

NYT’s argument that Putin was behind WikiLeaks’ NSA leaks doesn’t hold together for a lot of reasons (not least that those two topics are probably not what Putin would prioritize, or even close). But it also has the bizarre effect, in a hit piece targeting Assange and Putin, of making Putin the hero of the anti-TPP movement.

And yet, NYT’s three journalists don’t seem to understand how counterproductive to their “journalistic” endeavor that argument is.

Update: Oy. As Trevor Timm notes, NYT worked with WL on the TPP release.

Security, Territory and Population Part 1: Introduction

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Security, Territory and Population is a collection of lectures given by the French thinker Michel Foucault at the College of France in 1977-8. Foucault describes the lectures as a work of philosophy, defined as “the politics of truth” (p. 3), a term which itself seems to require a definition. This creates two difficult problems for the reader. First, philosophy is hard. It involves carefully picking things apart, examining each element, putting the pieces back together, and then picking them apart from some other perspective, examining the new set of pieces and reassembling. It’s hard work, and it makes for difficult reading.

Second, these are lectures, not a polished work prepared for publication with the aid of editors and the time it takes to smooth out analysis. Foucault says that these lectures are part of a long program of study, of which other books and sets of lectures are parts. The earlier books include Discipline and Punish and The History of Sexuality for certain, and others as well. These are polished works, and they give an idea of the general program.

In this book, Foucault wants to talk about what he calls “bio-power” which he describes as “… the set of mechanisms through which the basic biological features of the human species became the object ofa political strategy, of a general strategy of power….” Note that I did not use the word “define”, but the word describe. We should understand this book and The Birth of Bio-Power which I plan to take up next, as tentative explorations, and not as a formal philosophical explication.

I haven’t written about Discipline and Punish or The History of Sexuality (except briefly), but I don’t think that will be a problem. The last three books I’ve written about, The Great Transformation, The Origins of Totalitarianism and The Theory of Business Enterprise, raise a similar set of issues. In each one of these books, we saw a massive change in the lives of the working people in Western Europe and the US beginning with the Industrial Revolution. These changes have produced amazing wealth for a few people, and have completely revamped the day-to-day lives of the vast group of working people. How exactly did these changes happen? Was there some great clamor for 12 hour work days in deep-pit mines? Did working people spontaneously decide to put their children to work in spinning mills at the age of 8? Was the demand for coal and cheap shirts so great that these things seemed like fair exchanges to the people whose lives were affected?

Polanyi seems to suggest that the changes were driven by economic duress both from the early capitalists and from the government. Arendt talks about the collapse of earlier social structure, and a combination of economic insecurity and random violence coupled with an appeal to nationalism and scape-goating of the Jews. Veblen doesn’t directly discuss the mechanisms of change but he does say that the industrial age demanded new structures to achieve maximum efficiency. Polanyi says that society resists these massive changes, and Veblen seems to agree. Arendt says that the people can be changed by a combination of force and rhetoric. I realize these are gross simplifications, but they are offered to show that these writers lead us to the problem Foucault wants to talk about. Foucault says that he is not interested in a theory of power, but that his investigations have the potential to expand into a discussion of major social trends.

Third, the analysis of these power relations may, of course, open onto or initiate something like the overall analysis of a society. The analysis of mechanisms of power may also join up with the history of economic transformations, for example. P. 2.

Human beings are a species, and in large groups can be understood and manipulated by those who have studied the species. In Discipline and Punish, Foucault gives us an early example:

[T]he ideas of crime and punishment must be strongly linked and ‘… follow one another without interruption…. When you have thus formed the chain of ideas in the heads of your citizens, you will then be able to pride yourselves on guiding them and being their masters.’ Foucault, Discipline and Punish, at 102, quoting J. M. Servan, Discours sur l’administration de la justice criminelle, 1767.

It reads just like Ivan Pavlov’s theory of classical conditioning. We are much more refined than that now, of course. Almost every day we read a new theory about ourselves as a species. These insights are used by business to boost sales, by politicians to gain their own ends, and by each of us for our own purposes. For some of us, it is enough to know that. For Foucault, it was a signal that we need to think more clearly about power.

One good question might be, how did neoliberalism become the dominant discourse, not just of general societal power but of control over the self. Freedom is the most important thing in neoliberal rhetoric, but if we have to work to live, how free are we? If we have to take whatever is on offer as wages and employment, how free are we? People have internalized neoliberalism as a tool of self-discipline, and at such a deep level that they cannot even recognize it as an ideology. They think it is the natural way life should be, and anyone who questions it is anathema. This leads us to think about governmentality, which I discussed very briefly here, and which Foucault discusses in some detail in this book.

I believe that theory is important. The right wing is winning because so many people believe in neoliberalism, including a large number of Democrats. Kuhn points out that scientists can’t even do analysis without a theory with which to understand the observations they are making. I don’t think theories about societies or individual human behavior can ever have the kind of certainty we can get in the physical sciences, because as humans, any theory becomes an object of study and then of change. Even so, we can’t understand our society without some kind of theory. Foucault says that philosophy is about the politics of truth. Is neoliberalism a truth? What are the points about it where we can push back against the idea that it is a truth? Identifying those points is one of the goals of this series of lectures and of the next set, collected as The Birth of Bio-Politics.

In this post, I suggested the beginnings of a theory for the left. The same kind of analysis can and should be applied to that proposal. But that’s for the future. As I work my way through these books, I will try to remember that every proposal has points of struggle, as Foucault calls them, points that are contested. Let’s start with the recognition that for many people, neoliberalism has successfully concealed the points of struggle from the people whose minds it has colonized.

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