The Practical Choice: Not American Capitalism or ‘Welfare State Socialism’

Posted on May 21, 2014

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This Is How Empires Collapse

TUESDAY, APRIL 22, 2014

CHARLES HUGH SMITH

This is how empires collapse: one complicit participant at a time.

Before an empire collapses, it first erodes from within. The collapse may appear sudden, but the processes of internal rot hollowed out the resilience, resolve, purpose and vitality of the empire long before its final implosion.
What are these processes of internal rot? Here are a few of the most pervasive and destructive forces of internal corrosion:

1. Each institution within the system loses sight of its original purpose of serving the populace and becomes self-serving. This erosion of common purpose serving the common good is so gradual that participants forget there was a time when the focus wasn’t on gaming the system to avoid work and accountability but serving the common good.

2. The corrupt Status Quo corrupts every individual who works within the system.Once an institution loses its original purpose and becomes self-serving, everyone within either seeks to maximize their own personal share of the swag and minimize their accountability, or they are forced out as a potentially dangerous uncorrupted insider.

The justification is always the same: everybody else is getting away with it, why shouldn’t I? Empires decline one corruptible individual at a time.
3. Self-serving institutions select sociopathic leaders whose skills are not competency or leadership but conning others into believing the institution is functioning optimally when in reality it is faltering/failing.

The late Roman Empire offers a fine example: entire Army legions in the hinterlands were listed as full-strength on the official rolls in Rome and payroll was issued accordingly, but the legions only existed on paper: corrupt officials pocketed the payroll for phantom legions.

Self-serving institutions reward con-artists in leadership roles because only con-artists can mask the internal rot with happy-story PR and get away with it.

4. The institutional memory rewards conserving the existing Status Quo and punishes innovation. Innovation necessarily entails risk, and those busy feathering their own nests (i.e. accepting money for phantom work, phantom legions, etc.) have no desire to place their share of the swag at risk just to improve sagging output and accountability.

So reforms and innovations that might salvage the institution are shelved or buried.

5. As the sunk costs of the subsystems increase, the institutional resistance to new technologies and processes increases accordingly. Those manufacturing steam locomotives in the early 20th century had an enormous amount of capital and institutional knowledge sunk in their factories. Tossing all of that out to invest in building diesel-electric locomotives that were much more efficient than the old-tech steam locomotives made little sense to those looking at sunk costs.
As a result, the steam locomotive manufacturers clung to the old ways and went out of business. The sunk costs of empire are enormous, as is the internal resistance to change.

6. Institutional memory and knowledge support “doing more of what worked in the past” even when it is clearly failing. I refer to this institutional risk-avoidance and lack of imagination as doing more of what has failed spectacularly.

Inept leadership keeps doing more of what once worked, even when it is clearly failing, in effect ignoring real-world feedback in favor of magical-thinking. The Federal Reserve is an excellent example.

7. These dynamics of eroding accountability, effectiveness and purpose lead to systemic diminishing returns. Each failing institution now needs more money to sustain its operations, as inefficiencies, corruption and incompetence reduce output while dramatically raising costs (phantom legions still get paid).

8. Incompetence is rewarded and competence punished. The classic example of this was “Good job, Brownie:” cronies and con-artists are elevated to leadership roles to reward loyalty and the ability to mask the rot with good PR. Serving the common good is set aside as sychophancy (obedient flattery) to incompetent leaders is rewarded and real competence is punished as a threat to the self-serving leadership.

9. As returns diminish and costs rise, systemic fragility increases. This can be illustrated as a rising wedge: as output declines and costs rise, the break-even point keeps edging higher, until even a modest reduction of input (revenue, energy, etc.) causes the system to break down:



A modern-day example is oil-exporting states that have bought the complicity of their citizenry with generous welfare benefits and subsidies. As their populations and welfare benefits keep rising, the revenues they need to keep the system going require an ever-higher price of oil. Should the price of oil decline, these regimes will be unable to fund their welfare. With the social contract broken, there is nothing left to stem the tide of revolt.

10. Economies of scale no longer generate returns. In the good old days, stretching out supply lines to reach lower-cost suppliers and digitizing management reaped huge gains in productivity. Now that the scale of enterprise is global, the gains from economies of scale have faltered and the high overhead costs of maintaining this vast managerial infrastructure have become a drain.

11. Redundancy is sacrificed to preserve a corrupt and failing core. Rather than demand sacrifices of the Roman Elites and the entertainment-addicted bread-and-circus masses to maintain the forces protecting the Imperial borders, late-Roman Empire leaders eliminated defense-in-depth (redundancy). This left the borders thinly defended. With no legions in reserve, an invasion could no longer be stopped without mobilizing the entire border defense, in effect leaving huge swaths of the border undefended to push back the invaders.

Phantom legions line the pockets of insiders and cronies while creating a useful illusion of stability and strength.

12. The feedback from those tasked with doing the real work of the Empire is ignored as Elites and vested interests dominate decision-making. As I noted yesterday in The Political Poison of Vested Interests, when this bottoms-up feedback is tossed out, ignored or marginalized, all decisions are necessarily unwise because they are no longer grounded in the consequences experienced by the 95% doing the real work.

This lack of feedback from the bottom 95% is captured by the expression “Let them eat cake.” (Though attributed to Marie Antoinette, there is no evidence that she actually said Qu’ils mangent de la brioche.)

The point is that decisions made with no feedback from the real-world of the bottom 95%, that is, decisions made solely in response to the demands of cronies, vested interests and various elites, are intrinsically unsound and doomed to fail catastrophically.

How does an Empire end up with phantom legions? The same way the U.S. ended up with ObamaCare/Affordable Care Act. The payroll is being paid but there is no real-world feedback, no accountability, no purpose other than private profit/gain and no common good being served.

That’s how empires collapse: one corrupted, self-serving individual at a time, gaming one corrupted, self-serving institution or another; it no longer matters which one because they’re all equally compromised. It’s not just the border legions that are phantom; the entire stability and strength of the empire is phantom. The uncorruptible and competent are banished or punished, and the corrupt, self-serving and inept are lavished with treasure.

This is how empires collapse: one complicit participant at a time.

 

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The Myth of Human Progress and the Collapse of Complex Societies

Posted on Apr 13, 2014

By Chris Hedges

The most prescient portrait of the American character and our ultimate fate as a species is found in Herman Melville’s “Moby Dick.” Melville makes our murderous obsessions, our hubris, violent impulses, moral weakness and inevitable self-destruction visible in his chronicle of a whaling voyage. He is our foremost oracle. He is to us what William Shakespeare was to Elizabethan England or Fyodor Dostoyevsky to czarist Russia.

Our country is given shape in the form of the ship, the Pequod, named after the Indian tribe exterminated in 1638 by the Puritans and their Native American allies. The ship’s 30-man crew—there were 30 states in the Union when Melville wrote the novel—is a mixture of races and creeds. The object of the hunt is a massive white whale, Moby Dick, which in a previous encounter maimed the ship’s captain, Ahab, by dismembering one of his legs. The self-destructive fury of the quest, much like that of the one we are on, assures the Pequod’s destruction. And those on the ship, on some level, know they are doomed—just as many of us know that a consumer culture based on corporate profit, limitless exploitation and the continued extraction of fossil fuels is doomed.

“If I had been downright honest with myself,” Ishmael admits, “I would have seen very plainly in my heart that I did but half fancy being committed this way to so long a voyage, without once laying my eyes on the man who was to be the absolute dictator of it, so soon as the ship sailed out upon the open sea. But when a man suspects any wrong, it sometimes happens that if he be already involved in the matter, he insensibly strives to cover up his suspicions even from himself. And much this way it was with me. I said nothing, and tried to think nothing.”

Our financial system—like our participatory democracy—is a mirage. The Federal Reserve purchases $85 billion in U.S. Treasury bonds—much of it worthless subprime mortgages—each month. It has been artificially propping up the government and Wall Street like this for five years. It has loaned trillions of dollars at virtually no interest to banks and firms that make money—because wages are kept low—by lending it to us at staggering interest rates that can climb to as high as 30 percent. … Or our corporate oligarchs hoard the money or gamble with it in an overinflated stock market. Estimates put the looting by banks and investment firms of the U.S. Treasury at between $15 trillion and $20 trillion. But none of us know. The figures are not public. And the reason this systematic looting will continue until collapse is that our economy [would] go into a tailspin without this giddy infusion of free cash.

The ecosystem is at the same time disintegrating. Scientists from the International Programme on the State of the Ocean, a few days ago, issued a new report that warned that the oceans are changing faster than anticipated and increasingly becoming inhospitable to life. The oceans, of course, have absorbed much of the excess CO2 and heat from the atmosphere. This absorption is rapidly warming and acidifying ocean waters. This is compounded, the report noted, by increased levels of deoxygenation from nutrient runoffs from farming and climate change. The scientists called these effects a “deadly trio” that when combined is creating changes in the seas that are unprecedented in the planet’s history. This is their language, not mine. The scientists wrote that each of the earth’s five known mass extinctions was preceded by at least one [part] of the “deadly trio”—acidification, warming and deoxygenation. They warned that “the next mass extinction” of sea life is already under way, the first in some 55 million years. Or look at the recent research from the University of Hawaii that says global warming is now inevitable, it cannot be stopped but at best slowed, and that over the next 50 years the earth will heat up to levels that will make whole parts of the planet uninhabitable. Tens of millions of people will be displaced and millions of species will be threatened with extinction. The report casts doubt that [cities on or near a coast] such as New York or London will endure.

Yet we, like Ahab and his crew, rationalize our collective madness. All calls for prudence, for halting the march toward economic, political and environmental catastrophe, for sane limits on carbon emissions, are ignored or ridiculed. Even with the flashing red lights before us, the increased droughts, rapid melting of glaciers and Arctic ice, monster tornadoes, vast hurricanes, crop failures, floods, raging wildfires and soaring temperatures, we bow slavishly before hedonism and greed and the enticing illusion of limitless power, intelligence and prowess.

The corporate assault on culture, journalism, education, the arts and critical thinking has left those who speak this truth marginalized and ignored, frantic Cassandras who are viewed as slightly unhinged and depressingly apocalyptic. We are consumed by a mania for hope, which our corporate masters lavishly provide, at the expense of truth.

Friedrich Nietzsche in “Beyond Good and Evil” holds that only a few people have the fortitude to look in times of distress into what he calls the molten pit of human reality. Most studiously ignore the pit. Artists and philosophers, for Nietzsche, are consumed, however, by an insatiable curiosity, a quest for truth and desire for meaning. They venture down into the bowels of the molten pit. They get as close as they can before the flames and heat drive them back. This intellectual and moral honesty, Nietzsche wrote, comes with a cost. Those singed by the fire of reality become “burnt children,” he wrote, eternal orphans in empires of illusion.

Decayed civilizations always make war on independent intellectual inquiry, art and culture for this reason. They do not want the masses to look into the pit. They condemn and vilify the “burnt people”—Noam Chomsky, Ralph Nader, Cornel West. They feed the human addiction for illusion, happiness and hope. They peddle the fantasy of eternal material progress. They urge us to build images of ourselves to worship. They insist—and this is the argument of globalization ¬¬—that our voyage is, after all, decreed by natural law. We have surrendered our lives to corporate forces that ultimately serve systems of death. We ignore and belittle the cries of the burnt people. And, if we do not swiftly and radically reconfigure our relationship to each other and the ecosystem, microbes look set to inherit the earth.

Clive Hamilton in his “Requiem for a Species: Why We Resist the Truth About Climate Change” describes a dark relief that comes from accepting that “catastrophic climate change is virtually certain.” This obliteration of “false hopes,” he says, requires an intellectual knowledge and an emotional knowledge. The first is attainable. The second, because it means that those we love, including our children, are almost certainly doomed to insecurity, misery and suffering within a few decades, if not a few years, is much harder to acquire. To emotionally accept impending disaster, to attain the gut-level understanding that the power elite will not respond rationally to the devastation of the ecosystem, is as difficult to accept as our own mortality. The most daunting existential struggle of our time is to ingest this awful truth—intellectually and emotionally—and rise up to resist the forces that are destroying us.

The human species, led by white Europeans and Euro-Americans, has been on a 500-year-long planetwide rampage of conquering, plundering, looting, exploiting and polluting the earth—as well as killing the indigenous communities that stood in the way. But the game is up. The technical and scientific forces that created a life of unparalleled luxury—as well as unrivaled military and economic power for a small, global elite—are the forces that now doom us. The mania for ceaseless economic expansion and exploitation has become a curse, a death sentence. But even as our economic and environmental systems unravel, after the hottest year [2012] in the contiguous 48 states since record keeping began 107 years ago, we lack the emotional and intellectual creativity to shut down the engine of global capitalism. We have bound ourselves to a doomsday machine that grinds forward.

Complex civilizations have a bad habit of ultimately destroying themselves. Anthropologists including Joseph Tainter in “The Collapse of Complex Societies,” Charles L. Redman in “Human Impact on Ancient Environments” and Ronald Wright in “A Short History of Progress” have laid out the familiar patterns that lead to systems breakdown. The difference this time is that when we go down the whole planet will go with us. There will, with this final collapse, be no new lands left to exploit, no new civilizations to conquer, no new peoples to subjugate. The long struggle between the human species and the earth will conclude with the remnants of the human species learning a painful lesson about unrestrained greed, hubris and idolatry.

Collapse comes throughout human history to complex societies not long after they reach their period of greatest magnificence and prosperity.

“One of the most pathetic aspects of human history is that every civilization expresses itself most pretentiously, compounds its partial and universal values most convincingly, and claims immortality for its finite existence at the very moment when the decay which leads to death has already begun,” Reinhold Niebuhr wrote.

That pattern holds good for a lot of societies, among them the ancient Maya and the Sumerians of what is now southern Iraq. There are many other examples, including smaller-scale societies such as Easter Island. The very things that cause societies to prosper in the short run, especially new ways to exploit the environment such as the invention of irrigation, lead to disaster in the long run because of unforeseen complications. This is what Ronald Wright in “A Short History of Progress” calls the “progress trap.” We have set in motion an industrial machine of such complexity and such dependence on expansion, Wright notes, that we do not know how to make do with less or move to a steady state in terms of our demands on nature.

And as the collapse becomes palpable, if human history is any guide, we, like past societies in distress, will retreat into what anthropologists call “crisis cults.” The powerlessness we will feel in the face of ecological and economic chaos will unleash further collective delusions, such as fundamentalist beliefs in a god or gods who will come back to earth and save us. The Christian right provides a haven for this escapism. These cults perform absurd rituals to make it all go away, giving rise to a religiosity that peddles collective self-delusion and magical thinking. Crisis cults spread rapidly among Native American societies in the later part of the 19th century as the buffalo herds and the last remaining tribes were slaughtered. The Ghost Dance held out the hope that all the horrors of white civilization—the railroads, the murderous cavalry units, the timber merchants, the mine speculators, the hated tribal agencies, the barbed wire, the machine guns, even the white man himself—would disappear. And our psychological hard wiring is no different.

In our decline, hatred becomes our primary lust, our highest form of patriotism. We deploy vast resources to hunt down jihadists and terrorists, real and phantom. We destroy our civil society in the name of a war on terror. We persecute those, from Julian Assange to [Chelsea] Manning to Edward Snowden, who expose the dark machinations of power. We believe, because we have externalized evil, that we can purify the earth. And we are blind to the evil within us.

Melville’s description of Ahab is a description of the bankers, corporate boards, politicians, television personalities and generals who through the power of propaganda fill our heads with seductive images of glory and lust for wealth and power. We are consumed with self-induced obsessions that spur us toward self-annihilation.

“All my means are sane,” Ahab says, “my motive and my object mad.”

Ahab, as the historian Richard Slotkin points out in his book “Regeneration Through Violence,” is “the true American hero, worthy to be captain of a ship whose ‘wood could only be American.’ ” Melville offers us a vision, one that D.H. Lawrence later understood, of the inevitable fatality of white civilization brought about by our ceaseless lust for material progress, imperial expansion, white supremacy and exploitation of nature.

Melville, who had been a sailor on clipper ships and whalers, was keenly aware that the wealth of industrialized societies was stolen by force from the wretched of the earth. All the authority figures on the ship are white men—Ahab, Starbuck, Flask and Stubb. The hard, dirty work, from harpooning to gutting the carcasses of the whales, is the task of the poor, mostly men of color. Melville saw how European plundering of indigenous cultures from the 16th to the 19th centuries, coupled with the use of African slaves as a workforce to replace the natives, was the engine that enriched Europe and the United States. The Spaniards’ easy seizure of the Aztec and Inca gold following the massive die-off from smallpox and [other diseases] among native populations set in motion five centuries of unchecked economic and environmental plunder. Karl Marx and Adam Smith pointed to the huge influx of wealth from the Americas as having made possible the Industrial Revolution and modern capitalism. The Industrial Revolution also equipped the industrialized state with technologically advanced weapons systems, turning us into the most efficient killers on the planet.

Ahab, when he first appears on the quarterdeck after being in his cabin for the first few days of the voyage, holds up a doubloon, an extravagant gold coin, and promises it to the crew member who first spots the white whale. He knows that “the permanent constitutional condition of the manufactured man … is sordidness.” And he plays to this sordidness. The whale becomes like everything in the capitalist world a commodity, a source of personal profit. A murderous greed, one that Starbuck, Ahab’s first mate, denounces as “blasphemous,” grips the crew. Ahab’s obsession infects the ship.

“I see in [Moby Dick] outrageous strength, with an inscrutable malice sinewing it,” Ahab tells Starbuck. “That inscrutable thing is chiefly what I hate; and be the white whale agent, or be the white whale principal, I will wreak that hate upon him. Talk not to me of blasphemy, man; I’d strike the sun if it insulted me.”

Ahab conducts a dark Mass, a Eucharist of violence and blood, on the deck with the crew. He orders the men to circle around him. He makes them drink from a flagon that is passed from man to man, filled with draughts “hot as Satan’s hoof.” Ahab tells the harpooners to cross their lances before him. The captain grasps the harpoons and anoints the ships’ harpooners—Queequeg, Tashtego and Daggoo—his “three pagan kinsmen.” He orders them to detach the iron sections of their harpoons and fills the sockets “with the fiery waters from the pewter.” “Drink, ye harpooneers! Drink and swear, ye men that man the deathful whaleboat’s bow—Death to Moby Dick! God hunt us all, if we do not hunt Moby Dick to his death!” And with the crew bonded to him in his infernal quest he knows that Starbuck is helpless “amid the general hurricane.” “Starbuck now is mine,” Ahab says, “cannot oppose me now, without rebellion.” “The honest eye of Starbuck,” Melville writes, “fell downright.”

The ship, described as a hearse, was painted black. It was adorned with gruesome trophies of the hunt, festooned with the huge teeth and bones of sperm whales. It was, Melville writes, a “cannibal of a craft, tricking herself forth in the chased bones of her enemies.” The fires used to melt the whale blubber at night turned the Pequod into a “red hell.”

Our own raging fires, leaping up from our oil refineries and the explosions of our ordinance across the Middle East, bespeak our Stygian heart. And in our mad pursuit we ignore the suffering of others, just as Ahab does when he refuses to help the captain of a passing ship who is frantically searching for his son, who has fallen overboard.

Ahab has not only the heated rhetoric of persuasion; he is master of a terrifying internal security force on the ship, the five “dusky phantoms that seemed fresh formed out of air.” Ahab’s secret, private whale boat crew, who emerge from the bowels of the ship well into the voyage, keeps the rest of the ship in abject submission. The art of propaganda and the use of brutal coercion, the mark of tyranny, define our lives just as they mark those on Melville’s ship. The novel is the chronicle of the last days of any civilization.

And yet Ahab is no simple tyrant. Melville toward the end of the novel gives us two glimpses into the internal battle between Ahab’s maniacal hubris and his humanity. Ahab, too, has a yearning for love. He harbors regrets over his deformed life. The black cabin boy Pip is the only crew member who evokes any tenderness in the captain. Ahab is aware of this tenderness. He fears its power. Pip functions as the Fool did in Shakespeare’s “King Lear.” Ahab warns Pip of Ahab. “Lad, lad,” says Ahab, “I tell thee thou must not follow Ahab now. The hour is coming when Ahab would not scare thee from him, yet would not have thee by him. There is that in thee, poor lad, which I feel too curing to my malady. Like cures like; and for this hunt, my malady becomes my most desired health. … If thou speakest thus to me much more, Ahab’s purpose keels up in him. I tell thee no; it cannot be.” A few pages later, “untottering Ahab stood forth in the clearness of the morn; lifting his splintered helmet of a brow to the fair girl’s forehead of heaven. … From beneath his slouched hat Ahab dropped a tear into the sea; nor did all the Pacific contain such wealth as that one wee drop.” Starbuck approaches him. Ahab, for the only time in the book, is vulnerable. He speaks to Starbuck of his “forty years on the pitiless sea! … the desolation of solitude it has been. … Why this strife of the chase? why weary, and palsy the arm at the oar, and the iron, and the lance? How the richer or better is Ahab now?” He thinks of his young wife—“I widowed that poor girl when I married her, Starbuck”—and of his little boy: “About this time—yes, it is his noon nap now—the boy vivaciously wakes; sits up in bed; and his mother tells him of me, of cannibal old me; how I am abroad upon the deep, but will yet come back to dance him again.”

Ahab’s thirst for dominance, vengeance and destruction, however, overpowers these faint regrets of lost love and thwarted compassion. Hatred wins. “What is it,” Ahab finally asks, “what nameless, inscrutable, unearthly thing is it; what cozening, hidden lord and master, and cruel, remorseless emperor commands me; that against all natural lovings and longings, I so keep pushing, and crowding, and jamming myself on all the time. …”

Melville knew that physical courage and moral courage are distinct. One can be brave on a whaling ship or a battlefield, yet a coward when called on to stand up to human evil. Starbuck elucidates this peculiar division. The first mate is tormented by his complicity in what he foresees as Ahab’s “impious end.” Starbuck, “while generally abiding firm in the conflict with seas, or winds, or whales, or any of the ordinary irrational horrors of the world, yet cannot withstand those more terrific, because spiritual terrors, which sometimes menace you from the concentrating brow of an enraged and mighty man.”

And so we plunge forward in our doomed quest to master the forces that will finally smite us. Those who see where we are going too often lack the fortitude to actually rebel. Mutiny was the only salvation for the Pequod’s crew. It is our only salvation. But moral cowardice turns us into hostages.

I am reading and rereading the debates among some of the great radical thinkers of the 19th and 20th centuries about the mechanisms of social change. These debates were not academic. They were frantic searches for the triggers of revolt. Lenin placed his faith in a violent uprising, a professional, disciplined revolutionary vanguard freed from moral constraints and, like Marx, in the inevitable emergence of the worker’s state. [Pierre-Joseph] Proudhon insisted that gradual change would be accomplished as enlightened workers took over production and educated and converted the rest of the proletariat. [Mikhail] Bakunin predicted the catastrophic breakdown of the capitalist order, something we are likely to witness in our lifetimes, and new autonomous worker federations rising up out of the chaos. [Peter] Kropotkin, like Proudhon, believed in an evolutionary process that would hammer out the new society. Emma Goldman, along with Kropotkin, came to be very wary of both the efficacy of violence and the revolutionary potential of the masses. “The mass,” Goldman wrote bitterly toward the end of her life in echoing Marx, “clings to its masters, loves the whip, and is the first to cry Crucify!”

The revolutionists of history counted on a mobilized base of enlightened industrial workers. The building blocks of revolt, they believed, relied on the tool of the general strike, the ability of workers to cripple the mechanisms of production. Strikes could be sustained with the support of political parties, strike funds and union halls. Workers without these support mechanisms had to replicate the infrastructure of parties and unions if they wanted to put prolonged pressure on the bosses and the state. But now, with the decimation of the U.S. manufacturing base, along with the dismantling of our unions and opposition parties, we will have to search for different instruments of rebellion.

We must develop a revolutionary theory that is not reliant on the industrial or agrarian muscle of workers. Most manufacturing jobs have disappeared, and, of those that remain, few are unionized. Our family farms have been destroyed by agro-businesses. Monsanto and its Faustian counterparts on Wall Street rule. They are steadily poisoning our lives and rendering us powerless. The corporate leviathan, which is global, is freed from the constraints of a single nation-state or government. Corporations are beyond regulation or control. Politicians are too anemic, or more often too corrupt, to stand in the way of the accelerating corporate destruction. This makes our struggle different from revolutionary struggles in industrial societies in the past. Our revolt will look more like what erupted in the less industrialized Slavic republics, Russia, Spain and China and uprisings led by a disenfranchised rural and urban working class and peasantry in the liberation movements that swept through Africa and Latin America. The dispossessed working poor, along with unemployed college graduates and students, unemployed journalists, artists, lawyers and teachers, will form our movement. This is why the fight for a higher minimum wage is crucial to uniting service workers with the alienated college-educated sons and daughters of the old middle class. Bakunin, unlike Marx, considered déclassé intellectuals essential for successful revolt.

It is not the poor who make revolutions. It is those who conclude that they will not be able, as they once expected, to rise economically and socially. This consciousness is part of the self-knowledge of service workers and fast-food workers. It is grasped by the swelling population of college graduates caught in a vise of low-paying jobs and obscene amounts of debt. These two groups, once united, will be our primary engines of revolt. Much of the urban poor has been crippled and in many cases broken by a rewriting of laws, especially drug laws, that has permitted courts, probation officers, parole boards and police to randomly seize poor people of color, especially African-American men, without just cause and lock them in cages for years. In many of our most impoverished urban centers—our internal colonies, as Malcolm X called them—mobilization, at least at first, will be difficult. The urban poor are already in chains. These chains are being readied for the rest of us. “The law, in its majestic equality, forbids rich and poor alike to sleep under bridges, beg in the streets or steal bread,” Anatole France commented acidly.

Erica Chenoweth and Maria J. Stephan examined 100 years of violent and nonviolent resistance movements in their book “Why Civil Resistance Works.” They concluded that nonviolent movements succeed twice as often as violent uprisings. Violent movements work primarily in civil wars or in ending foreign occupations, they found. Nonviolent movements that succeed appeal to those within the power structure, especially the police and civil servants, who are cognizant of the corruption and decadence of the power elite and are willing to abandon them. And we only need 1 to 5 percent of the population actively working for the overthrow of a system, history has shown, to bring down even the most ruthless totalitarian structures. It always works on two tracks—building alternative structures such as public banks to free ourselves from control and finding mechanisms to halt the machine.

The most important dilemma facing us is not ideological. It is logistical. The security and surveillance state has made its highest priority the breaking of any infrastructure that might spark widespread revolt. The state knows the tinder is there. It knows that the continued unraveling of the economy and the effects of climate change make popular unrest inevitable. It knows that as underemployment and unemployment doom at least a quarter of the U.S. population, perhaps more, to perpetual poverty, and as unemployment benefits are scaled back, as schools close, as the middle class withers away, as pension funds are looted by hedge fund thieves, and as the government continues to let the fossil fuel industry ravage the planet, the future will increasingly be one of open conflict. This battle against the corporate state, right now, is primarily about infrastructure. We need an infrastructure to build revolt. The corporate state is determined to deny us one.

The state, in its internal projections, has a vision of the future that is as dystopian as mine. But the state, to protect itself, lies. Politicians, corporations, the public relations industry, the entertainment industry and our ridiculous television pundits speak as if we can continue to build a society based on limitless growth, profligate consumption and fossil fuel. They feed the collective mania for hope at the expense of truth. Their public vision is self-delusional, a form of collective psychosis. The corporate state, meanwhile, is preparing privately for the world it knows is actually coming. It is cementing into place a police state, one that includes the complete evisceration of our most basic civil liberties and the militarization of the internal security apparatus, as well as wholesale surveillance of the citizenry.

Moby Dick rams and sinks the Pequod. The waves swallow up Ahab and all who followed him, except one. A vortex formed by the ship’s descent collapses, “and the great shroud of the sea rolled on as it rolled five thousand years ago.”

As the planet begins to convulse with fury, as the senseless greed of limitless capitalist expansion implodes the global economy, as our civil liberties are eviscerated in the name of national security, shackling us to an interconnected security and surveillance state that stretches from Moscow to Istanbul to New York, how shall we endure and resist?

Our hope lies in the human imagination. It was the human imagination that permitted African-Americans during slavery and the Jim Crow era to transcend their physical condition. It was the human imagination that sustained Sitting Bull and Black Elk as their land was seized and their cultures were broken. And it was the human imagination that allowed the survivors in the Nazi death camps to retain the power of the sacred. It is the imagination that makes possible transcendence. Chants, work songs, spirituals, the blues, poetry, dance and art converged under slavery to nourish and sustain this imagination. These were the forces that, as Ralph Ellison wrote, “we had in place of freedom.” The oppressed would be the first—for they know their fate—to admit that on a rational level such a notion is absurd, but they also know that it is only through the imagination that they survive. Jewish inmates in Auschwitz reportedly put God on trial for the Holocaust and then condemned God to death. A rabbi stood after the verdict to lead the evening prayers.

African-Americans and Native Americans, for centuries, had little control over their destinies. Forces of bigotry and violence kept them subjugated by whites. Suffering, for the oppressed, was tangible. Death was a constant companion. And it was only their imagination, as William Faulkner noted at the end of “The Sound and the Fury,” that permitted them—unlike the novel’s white Compson family—to “endure.”

The theologian James H. Cone captures this in his book “The Cross and the Lynching Tree.” Cone says that for oppressed blacks the cross was a “paradoxical religious symbol because it inverts the world’s value system with the news that hope comes by way of defeat, that suffering and death do not have the last word, that the last shall be first and the first last.” Cone continues:

That God could “make a way out of no way” in Jesus’ cross was truly absurd to the intellect, yet profoundly real in the souls of black folk. Enslaved blacks who first heard the gospel message seized on the power of the cross. Christ crucified manifested God’s loving and liberating presence in the contradictions of black life—that transcendent presence in the lives of black Christians that empowered them to believe that ultimately, in God’s eschatological future, they would not be defeated by the “troubles of this world,” no matter how great and painful their suffering. Believing this paradox, this absurd claim of faith, was only possible in humility and repentance. There was no place for the proud and the mighty, for people who think that God called them to rule over others. The cross was God’s critique of power—white power—with powerless love, snatching victory out of defeat.

Reinhold Niebuhr labeled this capacity to defy the forces of repression “a sublime madness in the soul.” Niebuhr wrote that “nothing but madness will do battle with malignant power and ‘spiritual wickedness in high places.’ ” This sublime madness, as Niebuhr understood, is dangerous, but it is vital. Without it, “truth is obscured.” And Niebuhr also knew that traditional liberalism was a useless force in moments of extremity. Liberalism, Niebuhr said, “lacks the spirit of enthusiasm, not to say fanaticism, which is so necessary to move the world out of its beaten tracks. It is too intellectual and too little emotional to be an efficient force in history.”

The prophets in the Hebrew Bible had this sublime madness. The words of the Hebrew prophets, as Abraham Heschel wrote, were “a scream in the night. While the world is at ease and asleep, the prophet feels the blast from heaven.” The prophet, because he saw and faced an unpleasant reality, was, as Heschel wrote, “compelled to proclaim the very opposite of what his heart expected.”

Primo Levi in his memoir “Survival in Auschwitz” tells of teaching Italian to another inmate, Jean Samuel, in exchange for lessons in French. Levi recites to Samuel from memory Canto XXVI of Dante’s “The Inferno.” It is the story of Ulysses’ final voyage.

We cheered, but soon that cheering turned to woe,

 

for then a whirlwind born from the strange land

 

battered our little vessel on the prow.

 

 

Three times the boat and all the sea were whirled,

 

and at the fourth, to please Another’s will,

 

the aft tipped in the air, the prow went down,

 

Until the ocean closed above our bones.

 

 

“He has received the message,” Levi wrote of his friend and what they shared in Dante, “he has felt that it has to do with him, that it has to do with all men who toil, and with us in particular.” Levi goes on. “It is vitally necessary and urgent that he listen, that he understand … before it is too late; tomorrow he or I might be dead, or we might never see each other again.”

The poet Leon Staff wrote from the Warsaw ghetto: “Even more than bread we now need poetry, in a time when it seems that it is not needed at all.”

It is only those who harness their imagination, and through their imagination find the courage to peer into the molten pit, who can minister to the suffering of those around them. It is only they who can find the physical and psychological strength to resist. Resistance is carried out not for its success, but because by resisting in every way possible we affirm life. And those who resist in the years ahead will be those who are infected with this “sublime madness.” As Hanna Arendt wrote in “The Origins of Totalitarianism,” the only morally reliable people are not those who say “this is wrong” or “this should not be done,” but those who say “I can’t.” They know that as Immanuel Kant wrote: “If justice perishes, human life on earth has lost its meaning.” And this means that, like Socrates, we must come to a place where it is better to suffer wrong than to do wrong. We must at once see and act, and given what it means to see, this will require the surmounting of despair, not by reason, but by faith.

“One of the only coherent philosophical positions is revolt,” Camus wrote. “It is a constant confrontation between man and his obscurity. … It is not aspiration, for it is devoid of hope. That revolt is the certainty of a crushing fate, without the resignation that ought to accompany it.”

“… [T]he people noticed that Crazy Horse was queerer than ever,” Black Elk said in remembering the final days of the wars of Western expansion. He went on to say of the great Sioux warrior: “He hardly ever stayed in the camp. People would find him out alone in the cold, and they would ask him to come home with them. He would not come, but sometimes he would tell the people what to do. People wondered if he ate anything at all. Once my father found him out alone like that, and he said to my father: ‘Uncle, you have noticed me the way I act. But do not worry; there are caves and holes for me to live in, and out here the spirits may help me. I am making plans for the good of my people.’  ”

Homer, Dante, Beethoven, Melville, Dostoevsky, Proust, Joyce, W.H. Auden, Emily Dickinson and James Baldwin, along with artists such as the sculptor David Smith, the photographer Diane Arbus and the blues musician Charley Patton, all had it. It is the sublime madness that lets one sing, as bluesman Ishman Bracey did in Hinds County, Miss., “I’ve been down so long, Lawd, down don’t worry me.” And yet in the mists of the imagination also lie the absurdity and certainty of divine justice:

I feel my hell a-risin’, a-risin’ every day;
I feel my hell a-risin’, a-risin’ every day;
Someday it’ll burst this levee and wash the whole wide world away.

Shakespeare’s greatest heroes and heroines—Prospero, Antony, Juliet, Viola, Rosalind, Hamlet, Cordelia and Lear—all have this sublime madness. King Lear, who through suffering and affliction, through human imagination, is finally able to see, warns us all that unbridled human passion and unchecked hubris mean the suicide of the species. “It will come,” Albany says in “Lear.” “Humanity must perforce prey on itself, Like monsters of the deep.” It was the poems of Federico Garcia Lorca that sustained the republicans fighting the fascists in Spain. Music, dance, drama, art, song, painting [have been] the fire and drive of resistance movements. The rebel units in El Salvador when I covered the war there always traveled with musicians and theater troupes. Art, as Emma Goldman pointed out, has the power to make ideas felt. Goldman noted that when Andrew Undershaft, a character in George Bernard Shaw’s play “Major Barbara,” said poverty is “[t]he worst of crimes” and “All the other crimes are virtues beside it,” his impassioned declaration elucidated the cruelty of class warfare more effectively than Shaw’s socialist tracts. The degradation of education into vocational training for the corporate state, the ending of state subsidies for the arts and journalism, the hijacking of these disciplines by corporate sponsors, sever the population from understanding, self-actualization and transcendence. In aesthetic terms the corporate state seeks to crush beauty, truth and imagination. This is a war waged by all totalitarian systems.

Culture, real culture, is radical and transformative. It is capable of expressing what lies deep within us. It gives words to our reality. It makes us feel as well as see. It allows us to empathize with those who are different or oppressed. It reveals what is happening around us. It honors mystery. “The role of the artist, then, precisely, is to illuminate that darkness, blaze roads through the vast forest,” James Baldwin wrote, “so that we will not, in all our doing, lose sight of its purpose, which is, after all, to make the world a more human dwelling place.”

“Ultimately, the artist and the revolutionary function as they function, and pay whatever dues they must pay behind it because they are both possessed by a vision, and they do not so much follow this vision as find themselves driven by it,” wrote Baldwin. “Otherwise, they could never endure, much less embrace, the lives they are compelled to lead.”

I do not know if we can build a better society. I do not even know if we will survive as a species. But I know these corporate forces have us by the throat. And they have my children by the throat. I do not fight fascists because I will win. I fight fascists because they are fascists. And this is a fight which in the face of the overwhelming forces against us requires us to embrace this sublime madness, to find in acts of rebellion the embers of life, an intrinsic meaning that lies outside of certain success. It is to at once grasp reality and then refuse to allow this reality to paralyze us. It is, and I say this to people of all creeds or no creeds, to make an absurd leap of faith, to believe, despite all empirical evidence around us, that good always draws to it the good, that the fight for life always goes somewhere—we do not know where; the Buddhists call it karma—and in these acts we sustain our belief in a better world, even if we cannot see one emerging around us.

The Turkish poet Nazim Hikmet, who spent most of his adult life in prison or in exile, knew something of despair. But he knew something too of resistance, of that rebellious spirit which must define us in times of terrible oppression and woe if we are to remain fully human. Any act of resistance is its own eternal triumph. Hikmet captured this in his poem “On Living.”

Living is no laughing matter:
you must live with great seriousness
like a squirrel, for example—
I mean without looking for something beyond and above living,
I mean living must be your whole occupation.
Living is no laughing matter:
you must take it seriously,
so much so and to such a degree
that, for example, your hands tied behind your back,
your back to the wall,
or else in a laboratory
in your white coat and safety glasses,
you can die for people—
even for people whose faces you’ve never seen,
even though you know living
is the most real, the most beautiful thing.
I mean, you must take living so seriously
that even at seventy, for example, you’ll plant olive trees—
and not for your children, either,
but because although you fear death you don’t believe it,
because living, I mean, weighs heavier.

II
Let’s say we’re seriously ill, need surgery—
which is to say we might not get up
from the white table.
Even though it’s impossible not to feel sad
about going a little too soon,
we’ll still laugh at the jokes being told,
we’ll look out the window to see if it’s raining,
or still wait anxiously
for the latest newscast . . .
Let’s say we’re at the front—
for something worth fighting for, say.
There, in the first offensive, on that very day,
we might fall on our face, dead.
We’ll know this with a curious anger,
but we’ll still worry ourselves to death
about the outcome of the war, which could last years.
Let’s say we’re in prison
and close to fifty,
and we have eighteen more years, say,
before the iron doors will open.
We’ll still live with the outside,
with its people and animals, struggle and wind—
I mean with the outside beyond the walls.
I mean, however and wherever we are,
we must live as if we will never die.

III
This earth will grow cold,
a star among stars
and one of the smallest,
a gilded mote on blue velvet—
I mean this, our great earth.
This earth will grow cold one day,
not like a block of ice
or a dead cloud even
but like an empty walnut it will roll along
in pitch-black space . . .
You must grieve for this right now
—you have to feel this sorrow now—
for the world must be loved this much
if you’re going to say “I lived”. . .

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The Price Of Human Life, According To GM

4/2/2014

Michael Moore

I am opposed to the death penalty, but to every rule there is usually an exception, and in this case I hope the criminals at General Motors will be arrested and made to pay for their pre-meditated decision to take human lives for a lousy ten bucks. The executives at GM knew for 13 years that their cars had a defective ignition switch that would, well, kill people. But they did a “cost-benefit analysis” and concluded that paying off the deceased’s relatives was going to be cheaper than having to install a $10 part per car. They then covered up their findings and continued to let millions drive around with the defective part in their cars. There would be no recalls. There would only be parents and the decapitated body parts of their dead children. See the USA in your Chevrolet. In 2007 a National Highway Traffic Safety Administration official recommended a formal investigation but was overruled by others in Bush’s “business-friendly” Transportation Department.

Only now, under the newly-configured GM — owned, essentially, by you and me from 2009 through last year — has the truth come out. And my guess is that it has to do with the fact that a mother now runs General Motors. A few months ago, Marry Barra, a former resident of Flint, the daughter of GM union autoworker, was named its CEO. And it looks like she isn’t one of the good ol’ boys. She stepped forward, announced the truth of what GM did, ordered one massive recall after another, and now is showing up to face Congress in a few hours.

The Washington Post, in an otherwise good article, blames the whole sad affair on the “corporate culture” at GM. What a user-friendly term! To even have to read the words “culture” and “General Motors” in the same sentence is enough to make anyone gag. No, the cause of this tragedy is an economic system that places profit above everything else, including — and especially — human life. GM has a legal and fiduciary responsibility to its shareholders to make the biggest profits that it can. And if their top people crunch the numbers and can show that they will save more money by NOT fixing or replacing the part, then that is what they are going to goddam well do. F*** you, f*** me, and f*** everybody they sent to their deaths. That pretty much sums up their “culture”. They knew they wouldn’t get caught, and if they did, no one would ever serve any time.

I hope someone in the Obama administration will get out the handcuffs, the SWAT teams, or the U.S. army if need be, march into GM headquarters in downtown Detroit and haul away anyone who is there who had anything to do with this. And if they already left town, hunt them down and bring them in to face justice.

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The End of the Capitalist Era, and What Comes Next

04/01/2014

Jeremy Rifkin

This post is excerpted from Jeremy Rifkin’s new book, The Zero Marginal Cost Society: The Internet of Things, the Collaborative Commons, and the Eclipse of Capitalism, published today by Palgrave Macmillan.

The capitalist era is passing… not quickly, but inevitably. A new economic paradigm — the Collaborative Commons — is rising in its wake that will transform our way of life. We are already witnessing the emergence of a hybrid economy, part capitalist market and part Collaborative Commons. The two economic systems often work in tandem and sometimes compete. They are finding synergies along each other’s perimeters, where they can add value to one another, while benefiting themselves. At other times, they are deeply adversarial, each attempting to absorb or replace the other.

Although the indicators of the great transformation to a new economic system are still soft and largely anecdotal, the Collaborative Commons is ascendant and, by 2050, it will likely settle in as the primary arbiter of economic life in most of the world. An increasingly streamlined and savvy capitalist system will continue to soldier on at the edges of the new economy, finding sufficient vulnerabilities to exploit, primarily as an aggregator of network services and solutions, allowing it to flourish as a powerful niche player in the new economic era, but it will no longer reign.

What’s undermining the capitalist system is the dramatic success of the very operating assumptions that govern it. At the heart of capitalism there lies a contradiction in the driving mechanism that has propelled it ever upward to commanding heights, but now is speeding it to its death: the inherent dynamism of competitive markets that drives productivity up and marginal costs down, enabling businesses to reduce the price of their goods and services in order to win over consumers and market share. (Marginal cost is the cost of producing additional units of a good or service, if fixed costs are not counted.) While economists have always welcomed a reduction in marginal cost, they never anticipated the possibility of a technological revolution that might bring marginal costs to near zero, making goods and services priceless, nearly free, and abundant, and no longer subject to market forces.

The near zero marginal cost phenomenon has already wreaked havoc on the entertainment, communications, and publishing industries, as more and more information is being made available nearly free to billions of people. Today, more than forty percent of the human race is producing its own music, videos, news, and knowledge on relatively cheap cellphones and computers and sharing it at near zero marginal cost in a collaborative networked world. And now the zero marginal cost revolution is beginning to affect other commercial sectors, including renewable energy, 3D printing in manufacturing, and online higher education. There are already millions of “prosumers” — consumers who have become their own producers — generating their own green electricity at near zero marginal cost around the world. It’s estimated that around 100,000 hobbyists are using open source software and recycled plastic feedstock to manufacture their own 3D printed goods at nearly zero marginal cost. Meanwhile, six million students are currently enrolled in free Massive Open Online Courses (MOOCs) that operate at near zero marginal cost and are taught by some of the most distinguished professors in the world, and receiving college credits.

The reluctance to come to grips with near zero marginal cost is understandable.

Many, though not all, of the old guard in the commercial arena can’t imagine how economic life would proceed in a world where most goods and services are nearly free, profit is defunct, property is meaningless, and the market is superfluous. What then?

A powerful new technology platform is emerging with the potential of reducing marginal costs across large sectors of the capitalist economy, with far reaching implications for society in the first half of the 21st Century. The Communications Internet is converging with the fledgling Energy Internet and Logistics Internet in a seamless twenty-first-century intelligent infrastructure — the Internet of Things (IoT). The IoT will connect every thing with everyone in an integrated global network. People, machines, natural resources, production lines, logistics networks, the electricity grid, consumption habits, recycling flows, and virtually every other aspect of economic and social life will be linked via sensors and software to the IoT platform, continually feeding Big Data to every node — businesses, homes, vehicles — moment to moment, in real time. Anyone will be able to access the IoT and use Big Data and analytics to develop predictive algorithms that can dramatically increase productivity and reduce the marginal cost of producing and delivering a full range of physical goods and services to near zero just like we now do with information goods.
Lost in all of the excitement over the prospect of the Internet of Things is that connecting everyone and everything in a global network driven by extreme productivity moves us ever faster toward an era of nearly free goods and services and, with it, the shrinking of capitalism in the next half century. The question is what kind of economic system would we need to organize economic activity that is nearly free and shareable?

We are so used to thinking of the capitalist market and government as the only two means of organizing economic life that we overlook the other organizing model in our midst that we depend on daily to deliver a range of goods and services that neither market nor government provides. The Commons predates both the capitalist market and representative government and is the oldest form of institutionalized, self-managed activity in the world.

The contemporary Commons is where billions of people engage in the deeply social aspects of life. It is made up of literally millions of self-managed, mostly democratically run organizations, including educational institutions, healthcare organizations, charities, religious bodies, arts and cultural groups, amateur sports clubs, producer and consumer cooperatives, credit unions, advocacy groups, and a near endless list of other formal and informal institutions that generate the social capital of society.

Currently, the social Commons is growing faster than the market economy in many countries around the world. Still, because what the social Commons creates is largely of social value, not pecuniary value, it is often dismissed by economists. Nonetheless, the social economy is an impressive force. According to a survey of 40 nations, the nonprofit Commons accounts for $2.2 trillion in operating expenditures. In eight countries surveyed–including the United States, Canada, Japan, and France–the nonprofit sector makes up, on average, 5 percent of the GDP. In the US, Canada, and the UK, the nonprofit sector already exceeds 10% of the workforce.
While the capitalist market is based on self-interest and driven by material gain, the social Commons is motivated by collaborative interests and driven by a deep desire to connect with others and share. If the former defends property rights, caveat emptor, and the search for autonomy, the latter promotes open-source innovation, transparency, and the search for community.

What makes the Commons more relevant today than at any other time in its long history is that we are now erecting a high-tech global technology platform whose defining characteristics potentially optimize the very values and operational principles that animate this age-old institution. The IoT is the technological “soul mate” of an emerging Collaborative Commons. The new infrastructure is configured to be distributed in nature in order to facilitate collaboration and the search for synergies, making it an ideal technological framework for advancing the social economy. The operating logic of the IoT is to optimize lateral peer production, universal access, and inclusion, the same sensibilities that are critical to the nurturing and creation of social capital in the civil society. The very purpose of the new technology platform is to encourage a sharing culture, which is what the Commons is all about. It is these design features of the IoT that bring
the social Commons out of the shadows, giving it a high-tech platform to become the dominant economic paradigm of the twenty-first century.

The Collaborative Commons is already profoundly impacting economic life. Markets are beginning to give way to networks, ownership is becoming less important than access, and the traditional dream of rags to riches is being supplanted by a new dream of a sustainable quality of life.

Hundreds of millions of people are transferring bits and pieces of their economic life from capitalist markets to the global Collaborative Commons. Prosumers are not only producing and sharing their own information, entertainment, green energy and 3D-printed goods at near zero marginal cost and enrolling in massive open online college courses for nearly free, on the Collaborative Commons. They are also sharing cars, homes, clothes, tools, toys, and countless other items with one another via social media sites, rentals, redistribution clubs, and cooperatives, at low or near zero marginal cost. An increasing number of people are collaborating in “patient-driven” health-care networks to improve diagnoses and find new treatments and cures for diseases, again at near zero marginal cost. And young social entrepreneurs are establishing socially responsible businesses, crowdfunding new enterprises, and even creating alternative social currencies in the new economy. The result is that “exchange value” in the marketplace is increasingly being replaced by “shareable value” on the Collaborative Commons.

In the unfolding struggle between the exchange economy and the sharing economy, most economists argue that if everything were nearly free, there would be no incentive to innovate and bring new goods and services to the fore because inventors and entrepreneurs would have no way to recoup their up-front costs. Yet millions of prosumers are freely collaborating in social Commons, creating new IT and software, new forms of entertainment, new learning tools, new media outlets, new green energies, new 3D-printed manufactured products, new peer-to-peer health-research initiatives, and new nonprofit social entrepreneurial business ventures, using open-source legal agreements freed up from intellectual property restraints.

The upshot is a surge in creativity that is at least equal to the great innovative thrusts experienced by the capitalist market economy in the twentieth century.

While the capitalist market is not likely to disappear, it will no longer exclusively define the economic agenda for civilization. There will still be goods and services whose marginal costs are high enough to warrant their exchange in markets and sufficient profit to ensure a return on investment. But in a world in which more things are potentially nearly free and shareable, social capital is going to play a far more significant role than financial capital, and economic life is increasingly going to take place on a Collaborative Commons.

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Our Crazy College Crossroads

Frank Bruni

Over recent days the notices have gone out, an annual ritual of dashed hopes.

Brown University offered admission to the lowest fraction ever of the applicants it received: fewer than one in 10. The arithmetic was even more brutal at Stanford, Columbia, Yale. The University of North Carolina at Chapel Hill had a record number of students vying for its next freshman class — 31,321 — and accepted about one in six who applied from outside the state. Notre Dame took about one in five of all comers.

And right now many young men and women who didn’t get in where they fervently longed to are worrying that it’s some grim harbinger of their future, some sweeping judgment of their worth.

This is for them. And it’s intended less as a balm for the rejected than as a reality check for a society gone nuts over the whole overheated process.

If you were shut out of an elite school, that doesn’t mean you’re less gifted than all of the students who were welcomed there. It may mean only that you lacked the patronage that some of them had, or that you played the game less single-mindedly, taking fewer SAT courses and failing to massage your biography with the same zeal.

A friend of mine in Africa told me recently about a center for orphans there that a rich American couple financed in part to give their own teenage children an exotic charity to visit occasionally and mine for college-application essays: admissions bait. That’s the degree of cunning that comes into this frenzy.

Maybe the school that turned you down ranks high in the excessively publicized “College Salary Report” by PayScale.com, which looks at whose graduates go on to make the most money.

What a ludicrous list. It’s at least as imperfectly assembled as the honor roll that U.S. News & World Report puts together every year. And even if you trust it, what does it tell you? That the colleges at the top have the most clout and impart the best skills? Or that these colleges admit the most young people whose parents and previously established networks guarantee them a leg up?

Maybe it tells you merely that these colleges attract the budding plutocrats with the greatest concern for the heft of their paychecks. Is that the milieu you sought?

About money and professional advancement: Shiny diplomas from shiny schools help. It’s a lie to say otherwise. But it’s as foolish to accord their luster more consequence than the effort you put into your studies, the earnestness with which you hone your skills, what you actually learn. These are the sturdier building blocks of a career.

In “David and Goliath,” Malcolm Gladwell makes the case that a less exclusive university may enable a student to stand out and flourish in a way that a more exclusive one doesn’t. The selectiveness of Gladwell’s science doesn’t nullify the plausibility of his argument.

Corner offices in this country teem with C.E.O.s who didn’t do their undergraduate work in the Ivy League. Marillyn Hewson of Lockheed Martin went to the University of Alabama. John Mackey of Whole Foods studied at the University of Texas, never finishing.

Your diploma is, or should be, the least of what defines you. Show me someone whose identity is rooted in where he or she went to college. I’ll show you someone you really, really don’t want at your Super Bowl party.

And your diploma will have infinitely less relevance to your fulfillment than so much else: the wisdom with which you choose your romantic partners; your interactions with the community you inhabit; your generosity toward the family that you inherited or the family that you’ve made.

If you’re not bound for the school of your dreams, you’re probably bound for a school that doesn’t conform as tidily to your fantasies or promise to be as instantly snug a fit.

Good. College should be a crucible. It’s about departure, not continuity: about turning a page and becoming a new person, not letting the ink dry on who, at 17 or 18, you already are. The disruption of your best-laid plans serves that. It’s less a setback than a springboard.

A high school senior I know didn’t get into several of the colleges she coveted most. She got into a few that are plenty excellent. And I’ve never been more impressed with her, because she quickly realized that her regrets pale beside her blessings and she pivoted from letdown to excitement.

That resiliency and talent for optimism will matter more down the line than the name of the school lucky enough to have her. Like those of her peers who are gracefully getting past this ordeal that our status-mad society has foisted on them, she’ll do just fine.

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The New Billionaire Political Bosses

Posted on Mar 26, 2014

By Robert Reich

Charles and David Koch should not be blamed for having more wealth than the bottom 40 percent of Americans put together. Nor should they be condemned for their petrochemical empire. As far as I know, they’ve played by the rules and obeyed the laws.

They’re also entitled to their own right-wing political views. It’s a free country.

But in using their vast wealth to change those rules and laws in order to fit their political views, the Koch brothers are undermining our democracy. That’s a betrayal of the most precious thing Americans share.

The Kochs exemplify a new reality that strikes at the heart of America. The vast wealth that has accumulated at the top of the American economy is not itself the problem. The problem is that political power tends to rise to where the money is. And this combination of great wealth with political power leads to greater and greater accumulations and concentrations of both — tilting the playing field in favor of the Kochs and their ilk, and against the rest of us.

America is not yet an oligarchy, but that’s where the Koch’s and a few other billionaires are taking us.

American democracy used to depend on political parties that more or less represented most of us. Political scientists of the 1950s and 1960s marveled at American “pluralism,” by which they meant the capacities of parties and other membership groups to reflect the preferences of the vast majority of citizens.

Then around a quarter century ago, as income and wealth began concentrating at the top, the Republican and Democratic Parties started to morph into mechanisms for extracting money, mostly from wealthy people.

Finally, after the Supreme Court’s “Citizen’s United” decision in 2010, billionaires began creating their own political mechanisms, separate from the political parties. They started providing big money directly to political candidates of their choice, and creating their own media campaigns to sway public opinion toward their own views.

So far in the 2014 election cycle, “Americans for Prosperity,” the Koch brother’s political front group, has aired more than 17,000 broadcast TV commercials, compared with only 2,100 aired by Republican Party groups.

p>“Americans for Prosperity” has also been outspending top Democratic super PACs in nearly all of the Senate races Republicans are targeting this year. In seven of the nine races the difference in total spending is at least two-to-one and Democratic super PACs have had virtually no air presence in five of the nine states.

The Kochs have spawned several imitators. Through the end of February, four of the top five contributors to 2014 super-PACs are now giving money to political operations they themselves created, according to the Center for Responsive Politics.

For example, billionaire TD Ameritrade founder Joe Ricketts and his son, Todd, co-owner of the Chicago Cubs, have their own $25 million political operation called “Ending Spending.” The group is now investing heavily in TV ads against Republican Representative Walter Jones in a North Carolina primary (they blame Jones for too often voting with Obama).

Their ad attacking Democratic New Hampshire Senator Jeanne Shaheen for supporting Obama’s health-care law has become a template for similar ads funded by the Koch’s “Americans for Prosperity” in Senate races across the country.

When billionaires supplant political parties, candidates are beholden directly to the billionaires. And if and when those candidates win election, the billionaires will be completely in charge.

At this very moment, Casino magnate Sheldon Adelson (worth an estimated $37.9 billion) is busy interviewing potential Republican candidates whom he might fund, in what’s being called the “Sheldon Primary.”

“Certainly the ‘Sheldon Primary’ is an important primary for any Republican running for president,” says Ari Fleischer, former White House press secretary under President George W. Bush. “It goes without saying that anybody running for the Republican nomination would want to have Sheldon at his side.”

The new billionaire political bosses aren’t limited to Republicans. Democratic-leaning billionaires Tom Steyer, a former hedge-fund manager, and former New York Mayor Michael Bloomberg, have also created their own political groups. But even if the two sides were equal, billionaires squaring off against each other isn’t remotely a democracy.

In his much-talked-about new book, “Capital in the Twenty-First Century,” economist Thomas Piketty explains why the rich have become steadily richer while the share of national income going to wages continues to drop. He shows that when wealth is concentrated in relatively few hands, and the income generated by that wealth grows more rapidly than the overall economy – as has been the case in the United States and many other advanced economies for years – the richest receive almost all the income growth.

Logically, this leads to greater and greater concentrations of income and wealth in the future – dynastic fortunes that are handed down from generation to generation, as they were prior to the twentieth century in much of the world.

The trend was reversed temporarily in the twentieth century by the Great Depression, two terrible wars, the development of the modern welfare state, and strong labor unions. But Piketty is justifiably concerned about the future.

A new gilded age is starting to look a lot like the old one. The only way to stop this is through concerted political action. Yet the only large-scale political action we’re witnessing is that of Charles and David Koch, and their billionaire imitators.

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#WaveOfAction For A New Economic Paradigm

March 26, 2014

Written by Daniel Schmachtenberger, Critical Path Global in support of the Worldwide Wave.

Economics, Values and Our Collective Fate

Underneath and driving all of the major problems in our world is the fact that people are more financially incentivized to perpetuate them than to solve them. As long as killing a whale confers a million dollars of advantage to a fishing company, while leaving it alive confers none, we will continue to hunt whales towards extinction. As long as a millennia old redwood tree is worth no specific amount to us alive, but worth $100k as timber, we will continue destroying the tiny percentage of old growth forests we have left.

Based on a very old, primitive and barbaric dominator worldview, our economic system doesn’t ask if they are ours to take, and doesn’t factor whose balance sheet the costs show up on.

How different is this in its fundamental rationale, than taking Africans as slaves for the economic value their “free” labor conferred? That was not that long ago. If you look at the conditions of the labor force in the third world responsible for manufacturing almost all our goods, you will realize that this still hasn’t changed as much as we’d like to think. Our goods economy was built upon and requires the continuance of cheap labor resulting from extreme economic disparity. Get that: our current economic system could not function with anything near economic equality for all.

Even if a regulation is put in place, when the liability limiting status of a corporation means the consequence for violating it is just a fine, then the price for breaking the law is simply factored as a cost of doing business.

As long as sick people are worth more to a for-profit medical system than well people, then the success of some of the most powerful organizations on the planet will continue to require optimal human thriving not to occur. As long as news stations are for-profit corporations that stay in business by selling advertising to the large corporations that can afford those marketing budgets, airing news that is not in the fiscal interest of their advertisers would put them out of business. As long as coal companies are allowed to externalize the majority of the cost of producing coal-energy to the environment in the form of mercury vapor, carbon dioxide, zinc and nitric oxide emissions, etc, as well as the ecosystem destruction involved in the mining to acquire the coal… we will continue to hear the insane nonsense that solar isn’t cost competitive yet.

If we actually factored into the cost of coal or other fossil fuels the cleanup energy required to achieve a net neutral environmental effect, solar and other renewables would proliferate globally within a year, taking us off the self-induced extinction path we are currently on with climate change and ocean acidification. These issues simply can’t wait for solar to become cost competitive in a rigged game where almost all the costs are externalized on the other side.

As long as war is profitable to the tune of trillions, with the military industrial complex being the largest sector of for-profit economics… the most powerful institutions in the world require war and threats of war for their continued existence. Given the percentage of the total profit steam it represents, the economy as a whole requires it.

We have a global economic system developed in the context of managing poverty, sickness, and war… and would collapse from real solutions to any of these issues. We have an economic system that because of interest and fractional reserve banking, requires continuous exponential growth to even maintain homeostasis, which is simply impossible on a finite planet. The extractionary and waste producing system that developed with less than a billion people and relatively low technology, does not work with 7 billion people and high technology.

This economic system is extinctionary, and it is a made up system. It is not a natural system like physics or biology or ecology. It is a system humans made up, based on an old and very poor understanding of our world.

The crux of the problem is that this made up system–economics–interacts with and affects a fundamental system–ecology–without understanding it well, in ways that are incommensurate. Meaning, either we change the structure of economics to work sustainably with the inescapable reality of how our planet works, or our made-up system will self-terminate. There are no other options.

If our intelligence and ethics don’t change this system, then the inescapable reality of resource limits will. The only way to prevent the forced collapse of the system is to actively redesign it. The difference between the two paths is how much unnecessary suffering we let happen in the process, and how much earth we have left to work with.

Economics is the codification of our collective human values into a value equation that then determines how science and technology get applied to create industry, infrastructure, and ultimately, society.

USA, Alaska, Frederick Sound, Humpback whale (Megaptera novaeangliae) breachingValuing a dead whale over an alive one, or a dead tree or forest, or a lower economic class that can provide cheap labor, or sick people over healthy ones… shows a value system that sees the rest of the world as commodities for us. Not as unique sentient co-inhabitants with their own right to life and intrinsic value.

Valuing something that’s scarce more than the same thing if it were abundant shows a competitive rather than symbiotic interest, that values things that offer differential advantage over others, rather than advantage for everyone.

This worldview of being separate and in competition for scarce resources, where everyone and everything else is seen either as commodity or threat, conditions empathy out of the whole population, leads to rationalizing violence, prevents real connection, and is rapidly destroying our world.

We live on a small, fragile, organic spaceship. We are all co-inhabitants of this tiny, exquisite biosphere, all affecting and being affected by the whole. Our fates and well-being are inseparably intertwined. We need a new story and new global values that recognize this… and a new system of economics based on these new values.

That does not externalize or incentivize harm.
That is not based on continuous extraction.
That does not force ubiquitous competition and the desensitization that goes along with it.
That does not require or permit gross inequity.
That does… recognize our fundamental interconnectedness and that honors the dignity and rights of all the inhabitants of this biosphere.

This is possible. And it is the necessary work of this generation. Nothing less than this is adequate to address the magnitude and urgency and scope of the self-induced challenges we face… or to realize our true, full individual and collective potentials.

We do not have many separate problems to solve. We just have multiple symptoms of one core issue: a primitive and maladaptive worldview and the resultant global economic system, one that pits individual’s personal desires against their responsibility to the collective good.

The issues are not the result of a few bad guys at the top. The top 1% are as much a result of this system as they are perpetuators of it. The real perpetrator is our collective ignorance of our interconnectedness and interdependence, codified in separate and competitive interest power structures.

The answer is not to rail against the top of this misguided system. That has happened countless times in history, where the energy of againstness itself ensured that the overthrowers eventually become the new tyrants.

The answer is to build a fundamentally new system, based on new understandings. A system that meets needs so much more effectively that it obsoletes the old one. That is our call to action: a ground-up redesign of human civilization.

DanielTree #2

~ Daniel Schmachtenberger is a social engineer and evolutionary philosopher and strategist. He is the founder of Critical Path Institute, a research and design initiative aimed at developing an integrated set of technologies and processes capable of organizing and supporting a distributed and continually updating comprehensive critical path management system for humanity’s total evolution.

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Going Home Again

David Brooks

March 21, 2014

VANCOUVER, British Columbia — The TED conference is dedicated to innovation. Most of the people who give TED talks are working on some creative project: to invent new bionic limbs for amputees, new telescopes, new fusion reactors or new protest movements to reduce the power of money in politics.

The speakers generally live in hope and have the audacity of the technologist. Naturally enough, they believe fervently in their projects. “This will change everything!” they tell the crowds.

And there’s a certain suspension of disbelief as audiences get swept up in the fervor and feel themselves delightedly on the cutting edge. The future will be insanely great. Everything will change at the speed of Moore’s Law.

But at this year’s TED conference, which was held here in Vancouver, British Columbia, the rock star Sting got onstage and gave a presentation that had a different feel. He talked about his rise to stardom and then about a period in middle age when he was unable to write any new songs. The muse abandoned him, he said — for days, then weeks, then months, then years.

But then he went back and started thinking about his childhood in the north of England. He’d lived on a street that led down to a shipyard where some of the world’s largest ocean-going vessels were built.

Most of us have an urge, maybe more as we age, to circle back to the past and touch the places and things of childhood. When Sting did this, his creativity was reborn. Songs exploded from his head.

At TED, he sang some of those songs about that shipyard. He sang about the characters he remembers and his desire to get away from a life in that yard. These were songs from his musical “The Last Ship,” which he’s performed at The Public Theater and which is expected to arrive on Broadway in the fall.

Most TED talks are about the future, but Sting’s was about going into the past. The difference between the two modes of thinking stood in stark contrast. In the first place, it was clear how much richer historical consciousness is than future vision. When we think about the future, we don’t think about the texture and the tensions, the particular smells, shapes, conflicts — the dents in the floorboards. But Sting’s songs were about unique and unlikely individuals and life as it really is, as a constant process of bending hard iron.

Historical consciousness has a fullness of paradox that future imagination cannot match. When we think of the past, we think about the things that seemed bad at the time but turned out to be good in the long run. We think about the little things that seemed inconsequential in the moment but made all the difference.

Then it was obvious how regenerating going home again can be. Sting, like most people who do this, wasn’t going back to live in the past; he was circling back and coming forward.

Going back is a creative process. The events of childhood are like the Hebrew alphabet; the vowels are missing, and the older self has to make sense of them. Robert Frost’s famous poem about the two paths diverging in the woods isn’t only about the two paths. It also describes how older people go back in memory and impose narrative order on choices that didn’t seem so clear at the time.

The person going back home has to invent a coherent tradition out of discrete moments and tease out future implications. He has to see the world with two sets of eyes: the eyes of his own childhood self and the eyes of his current adult self. He has to circle back deeper inside and see parts of himself that were more exposed then than now. No wonder the process of going home again can be so catalyzing.

The process of going home is also reorienting. Life has a way of blowing you off course. People have a way of forgetting what they originally set out to do. Going back means recapturing the original aspirations. That’s one reason Jews go back to Exodus every year. It’s why Augustine went back during a moment of spiritual crisis and wrote a book about his original conversion. Heck, it’s why Miranda Lambert performs “The House That Built Me” — to remind herself of the love of music that preceded the trappings of stardom.

Sting’s appearance at TED was a nice reminder of how important it is to ground future vision in historical consciousness. Some of the TED speakers seemed hopeful and creative, but painfully and maybe necessarily naïve.

Sting’s talk was a reminder to go forward with a backward glance, to go one layer down into self and then after self-confrontation, to leap forward out of self. History is filled with revivals, led by people who were reinvigorated for the future by a reckoning with the past.

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The Real Job Killers

Posted on Mar 1, 2014

By Robert Reich

House Speaker John Boehner says raising the minimum wage is “bad policy” because it will cause job losses.

The U.S. Chamber of Commerce says a minimum wage increase would be a job killer. Republicans and the Chamber also say unions are job killers, workplace safety regulations are job killers, environmental regulations are job killers, and the Affordable Care Act is a job killer. The California Chamber of Commerce even publishes an annual list of “job killers,” including almost any measures that lift wages or protect workers and the environment.

Most of this is bunk.

When in 1996 I recommended the minimum wage be raised, Republicans and the Chamber screamed it would “kill jobs.” In fact, in the four years after it was raised, the U.S. economy created more jobs than were ever created in any four-year period.

For one thing, a higher minimum wage doesn’t necessarily increase business costs. It draws more job applicants into the labor market, giving employers more choice of whom to hire. As a result, employers often get more reliable workers who remain longer – thereby saving employers at least as much money as they spend on higher wages.

A higher wage can also help build employee morale, resulting in better performance. Gap, America’s largest clothing retailer, recently announced it would boost its hourly wage to $10. Wall Street approved. “You treat people well, they’ll treat your customers well,” said Dorothy Lakner, a Wall Street analyst. “Gap had a strong year last year compared to a lot of their peers. That sends a pretty strong message to employees that, ‘we had a good year, but you’re going to be rewarded too.’”

Even when raising the minimum wage — or bargaining for higher wages and better working conditions, or requiring businesses to provide safer workplaces or a cleaner environment — increases the cost of business, this doesn’t necessarily kill jobs.

Most companies today can easily absorb such costs without reducing payrolls. Corporate profits now account for the largest percentage of the economy on record.  Large companies are sitting on more than $1.5 trillion in cash they don’t even know what to do with. Many are using their cash to buy back their own shares of stock – artificially increasing share value by reducing the number of shares traded on the market.

Walmart spent $7.6 billion last year buying back shares of its own stock — a move that papered over its falling profits. Had it used that money on wages instead, it could have given its workers a raise from around $9 an hour to almost $15. Arguably, that would have been a better use of the money over the long-term – not only improving worker loyalty and morale but also giving workers enough to buy more goods from Walmart (reminiscent of Henry Ford’s pay strategy a century ago).

There’s also a deeper issue here.  Even assuming some of these measures might cause some job losses, does that mean we shouldn’t proceed with them?

Americans need jobs, but we also need minimally decent jobs. The nation could create millions of jobs tomorrow if we eliminated the minimum wage altogether and allowed employers to pay workers $1 an hour or less. But do we really want to do that?

Likewise, America could create lots of jobs if all health and safety regulations were repealed, but that would subject millions of workers to severe illness and injury.

Lots of jobs could be added if all environmental rules were eliminated, but that would result in the kind of air and water pollution that many people in poor nations have to contend with daily.

If the Affordable Care Act were repealed, hundreds of thousands of Americans would have to go back to working at jobs they don’t want but feel compelled to do in order to get health insurance.

We’d create jobs, but not progress. Progress requires creating more jobs that pay well, are safe, sustain the environment, and provide a modicum of security. If seeking to achieve a minimum level of decency ends up “killing” some jobs, then maybe those aren’t the kind of jobs we ought to try to preserve in the first place.

Finally, it’s important to remember the real source of job creation. Businesses hire more workers only when they have more customers. When they have fewer customers, they lay off workers. So the real job creators are consumers with enough money to buy.

Even Walmart may be starting to understand this. The company is “looking at” whether to support a minimum wage increase. David Tovar, a Walmart spokesman, noted that such a move would increase the company’s payroll costs but would also put more money in the pockets of some of Walmart’s customers.

In other words, forget what you’re hearing from the Republicans and the Chamber of Commerce. The real job killers in America are lousy jobs at lousy wages.

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