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Paul Street's Blog

Web Address: http://www.zcommunications.org/zspace/paulstreet
Bio:         Paul Street is an independent radical-democratic policy researcher, journalist, historian, and speaker based in Iowa City, Iowa, and Chicago, Illinois.&nbs... (More)

All Street Blogs

Reading Between the Lines at the New York Times

By Paul Street at Nov 19, 2006


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The reactionary, power-worshipping bullshit never stops over at the "liberal" New York Times. Just look at the "Week in Review" section in today's Times. On the first and third pages you can read about a "New Class War" that has broken out in the U.S.

Who are the great combatants in this "class war?" It's (a) the "the merely rich" versus (b) "the superich" inside the elevated circles of American wealth. 

The "merely rich" are those in the top 1 percent, where households receive an average annual income of $940,000. This group has seen its income rise 57 percent between 1990 and 2004. 

The "superrich" are those with an average household income of $4.5 million.  They make up the top tenth of the top 1 percent - the top 0.1 percent.  Their income increased 85 percent between 1990 and 2004. 

There's also what we might call the superduperrich - the top 100th of the top 1 percent, with average household incomes of $20 million a year.  The .01 percent's income rose 112 percent during the same years.  So basically the superdupers have been seeing their income rise at twice the rate as that of the merely rich. 

If anyone cares, the average income of the bottom 90 percent of U.S. households rose by 2 percent between 1990 and 2004.  In lower income categories, income has stagnated and fallen. 

For what it's worth, the poverty rate has risen for five straight years in the U.S. - something that has never happened as long as national poverty statistics have been kept and which does not receive mention in this Times article.  

What is the nature of the "war" in question? Apparently the "merely rich" are beginning to privately express "envy" over the stupendous fortunes of the "super-rich." Some of the "merely rich" even suggest that dramatically escalating "superich" incomes are "against the notion of a meritocracy" because they go far beyond - imagine! - any actual achievement or special worth on the part of those receiving $20 million a year or more.

According to Times writer Eric Konigsberg, however, the "superrich''s" incomes may not in fact violate the wonderful American principle of "meritocracy." He quotes the noted liberal author Nicolas Lemann, who explains that the American ideal has always been "equality of opportunity, not equality of result." 

The "new class war" is being played out with special intensity in New York City,  "a city whose physical layout has always engendered a lot of class mixing." Apparently there are a few spaces in which the two great class combatants regularly confront each other: the priciest neighborhoods of Manhattan, the Hamptons, and the wealthy private schools where the econonomic "elite" sends its children. 

It's a "class war" driven by the envy felt by a cohort that averages nearly a million dollars a year in income (we won't even talk about wealth).  It is fought   over the monumental question of whether or not people "making" $20 million a year really deserve that sort of grotesquely excessive share of the total social income in a nation where more than a million children live at less than half the notoriously inadequate federal poverty level...in a planet where billions live at less than a dollar a day... and in a society where tens of millions or ordinary, hard-working households work extremely long hours just to keep their heads above water and find themselves shouldering an ever larger share of the cost of their basic health care and retirement expenses... and where working- and and lower-middle class kids are increasingly priced out of college and where.....[ fill in the blank...the list of this nation's unmet social needs is endless].  

Sorry, but nobody "deserves" more than a twentieth of the "merely rich's" income in a world where so many needs are unmet and poverty is so rife.  The rich and superrich's wealth is based to no small extent precisely on the material misery of millions and billions at home and abroad and on the destruction of liveable ecology by the endless pursuit of private capital accumulation.

Other highlights of the "Week in Review" section include a liberal Frank Rich column downplaying internal left-right divisions within the Democratic Party.  Rich denies the simple fact that the Democrats' recent mid-term election victory came despite the party's core corporate-plutocratic failure to present a coherent progressive alternative to radical Republican regressivism and imperial militarism.  Rich ends by calling for Republicans to "heroically come together" to "save the country" from the madness of boy King George.  

Today's mostly affluent Times readers also got to hear from moderate Republican Times columnist David Brooks and the disgraced former Harvard President, onetime high Clinton administration official and purported liberal Lawrence Summers on the benevolent wisdom of the recently deceased arch-regressive economist Milton Friedman.  Brooks recalls once being a silly youtfhul socialist who got "demolished" by Friedman's knowing "free market" doctrines.  He says that Friedman's noxious career on behalf of the rich and powerful was "an exhilarating demonstration of the power of ideas" and (this is not a joke) "one of the most exhilarating exodus stories of our time."   

The "liberal" Democrat Summers - an economist who once advocated the export of more toxic waste to Africa (he reasoned the low life expectancies there meant that the dark continent was under-polluted)  - says that he's never "voted the same way" as (the presumably Republican) Friedman.  He ads that Friedman gave "too little weight to considerations of social justice" and had too much faith in [something state capitalists like to call - P.S.] "the free market."   Still, the former neoliberal Treasury Secretary says that he "lost a hero - a  man whose success demonstrates that great ideas convincingly advanced can change the lives of people around the world" - with the passing of Milton Friedman. I wonder how many Times readers know and/or care that for Freidman social justice and its partner democracy were great obstacles to the "free" operation of the insivible hand of markets (translate to mean the visible hand of corporations) whose glorious outcomes we see in the savage inequalities of a society where stunning hyper-opulence for the privielged few combines with insecurity and poverty for the restless many. I wonder how many of them know or care that democracy is impossible in a society like the U.S. where the the "laws of the marketplace" give half of all wealth to the top hundredth of the population, which owns a probably larger share of the nation's political and policy processes.  .

One "great idea" of Friedman's that both Brooks and Summers cite as examples of Friedman's greatness seems especially worth mentioning in light of current events.  During and after an earlier imperial crime and quagmire called the Vietnam War, Friedman apparently argued "persistently" and "brilliantly" on the need for a so-called "volunteer military." 

The nation's military problems have not exactly been overcome by that little innovation, which combines the savage social injustice of the poverty draft   with creation of a defacto mercenary army whose members tend to lack the critical citizenship skills to question deceptive and unjust orders and who possess something of a vested material interest in the endless occupation of the world in the defense of something called "the free market," falsely conflated with something our leaders like to call "democracy."      

 

The Times articles discussed are:

David Brooks, “The Smile of Reason,” New York Times, 19 November 2006, section 4, p.12

Eric Konigsberg, “A New Class War: The Haves Vs. The Have Mores,” New York Times, 19 November 2006, section 4, p 1..

Frank Rich, “It's not the Democrats Who Are Divided,” New York Times, 19 November 2006, section 4, p.12.

Lawrence H. Summers, “The Great Liberator,” New York Times, 19 November 2006, section 4, p.13.

Person

Government & Who Gets the Money

By Kissenger, Clark at Nov 20, 2006 13:23 PM

Last week I was one on one with David Walker Comptroller General - GAO at U.C. after The "Fiscal wake up Tour" that is going around the Nation telling all who will listen that we are in financial meltdown, to the tune of $50Trillion and counting - Unfunded promises made by politicians for Soc Sec and Medicare -$34Trillion alone and Medicaid and Federal Pensions. FYI this is only part of the problem IMO.

When I made the statement "Government is all about who gets the Money" he said "What about Job Creation" to which I replied " isn't that about who gets the money." He was a very nice man and really did not want to debate the issue but it is a fact that no one in A-Mare-Ikan politics will ever admit - Government tax policy is what creates bazillionaires and the enormous numbers of consumers is what creates the market for goods and services. No consumer no bazillionaire. Consumer first then bazillionaire, but only in an economically unjust social structure, which is government.  

The reason why A-Mare-Ika has bazillionaires is because government has refused to fairly tax the wealth created by the socially greedy who truly believe they "earned" the wealth. Fact is capitalism allowed them to steal it from labor and over charge for "windows" or whatever product because Government grants patents - who gets the money-  and citizens allow wealth building Tax Policy to exist.

My ignornat and socially enslaved fellow A-Mare-Ikans are the cause.

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Person

Paul

By Kissenger, Clark at Nov 20, 2006 11:43 AM

Thank you and well said. I perhaps am more radical than yourself (at least publicly), but I think we think very much alike. As you have rightly said: "Capital, Marx once said, is a social relationship (of class) and it's the hierarchical relationship of class inequality that radicals have always rightly wanted to eliminate and not necessarily the relatively few number of people who happen to be in the ruling-class.". I truly believe that as long as we swallow the propaganda that becoming rich is a good and honourable thing that should not only be tolerated but encouraged, social causes and the social order will suffer. It is also true of war. As long as we make heroes of those who lead us into war, as long as we celebrate war and victory, we will continue to look to war as a solution rather than what it truly is - a problem. War has been from the beginning nothing more than a ruse placed upon the honourable of the masses to accomplish the ends of the dishonourable - the rich and powerful. We must excise this disease based solely upon greed from the corporate body or we (humankind) will likely die, and much of the world will die with us.

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Person

On eliminating the ruling class

By Kissenger, Clark at Nov 20, 2006 11:26 AM

Hyperbole aside, Victor is not arguing for “killing people” as such. He seems to be arguing for getting rid of our ruling class…a relatively tiny cohort within the much larger group called “people.” And while I am neither a Leninist nor a fan of Mao, I think Victor has a good point. We've been carrying the top .001, the top .01, the top .1, the top 1, and the top 10 percents on our overburdened backs for far too long. The top 1 percent alone possesses half the nation's wealth. Meaningful democracy is simply impossible when such disparities exist, as Jefferson and Aristotle and a long record of populists, socialists, anarchists, some consistent liberals and various assorted other radicals and lunatic fringe “cranks” have always known. And I think such disparities are pretty much the natural, inherent outcome of the defacto dictatorship of capital – the savage business class domination that is the dark underlying reality beneath absurd phrases like “free market capitalism” and “democracy promotion.” Billions past and present die and have died early and lived crippled lives because of the perverted societal priorities that result to no small extent because of the existence of “our” miserable privileged classes, whose social order now threatens the very existence of an ecology suitable for human habitation (except perhaps for a few hundred million toward the melting poles). When you pay attention to the sorts of truly terrible facts you can pick up in a mind-blowing book like Mike Davis's recent Planet of Slums (which depicts simply astonishing and increasing mass misery in expanding Third World mega slums) or for that matter in my own nice and polite study (penned when I was still [sort of] working under the defacto supervision of the Chicago business class) of racial inequality in First World “global Chicago,” it just blows your mind to turn to the style, tourism, and fashion sections of the New York Times and to read about the terrible angst the super-elite experiences when a favorite French chef leaves one of their favorite restaurants in the Hampton's or to learn about a new vacation resort where grateful natives serve scandalous new desserts and exquisite wines to vapid narcissistic millionaires and (now increasingly) billionaires whose fortunes rest on inherited wealth and special talents for manipulating currencies and mastering the intricacies of hedge fund investing and profiting from the ever more thorough unraveling of the social contract for ordinary hard working Americans and the elimination of basic programs for the minimal defense of the rising number of very poor. I'd like some of the “merely rich” who are fuming with “class envy” over the “superrich's” uber-opulence to be compelled to spend a year or two as a nurse's assistant in a public health clinic in one of the fifteen neighborhood where I found more than a fourth of the children living at less than half the openly laughable U.S. poverty level in 1999 – at the peak of the longest peacetime economic “expansion” in U.S. history. I think or perhaps I hope that the economic so-called “elite” could cease to exist without having to actually be physically eliminated (I don't like blood very much and had to turn away from the high school driver's education video that showed all the wrecks on the interstate…the movie was titled “Signal 30”). They just have to follow the counsel of Jesus and give up their attachment to worldly goods and the undue political influence that flows from obscenely concentrated wealth. Those of them who are religious (I am not) might want to recall the savior's dictum that Heaven is pretty much closed to the rich. Capital, Marx once said, is a social relationship (of class) and it's the hierarchical relationship of class inequality that radicals have always rightly wanted to eliminate and not necessarily the relatively few number of people who happen to be in the ruling-class.

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Person

Perhaps I need to explain a little more...

By Kissenger, Clark at Nov 20, 2006 10:58 AM

PR Although I believe these people do not deserve to live, it would not be my decision to kill them. In fact, I would encourage the opposite - non-cooperation. I am a firm believer in the principles of civil disobedience that Gandhi so wonderfully exhibited in his life. Such people should be stripped of their wealth and their power. We as a society should stand up and deny them what they most want of us - allegiance and obeisance. We should deny them the ability to function in any way as a significant part of society. We should forcibly remove them from their wealth and deny them the ability to get it back - ever. And we should never allow anyone to accumulate wealth beyond certain reasonable limits. Would that stifle the economy as we know and love it? Yes, indeed. And that is the point. We build an economy based not upon capital accumulation but upon sustainability. Anyone who gets in the way of that is publicly ostracised.

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Person

PR

By Kissenger, Clark at Nov 20, 2006 10:34 AM

No one ever accused me of being tolerant.

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Person

Wow, are you really calling

By Cclausent, Pr at Nov 20, 2006 10:12 AM

Wow, are you really calling for killing people? 

That's pretty... tolerant of you.

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Person

May they fight to the death!

By Kissenger, Clark at Nov 20, 2006 09:45 AM

Paul - Is this some sort of surrealistic dream? Have things become so fucking unreal that even the higher classes are fighting among themselves? If there were not so much pain and suffering resulting from the maintenance of such classes by a free society, I would truly laugh. Lenin was right. These people don't deserve to live. They're sick. They're useless. There is absolutely no advantage to society to allow such people to exist and prosper. And yet we do. Why? The people have enormous patience. But for God's sake, why do we continue to promote these folks' agenda? Why do we continue to allow them space? They have a contempt for us that cannot be adequately expressed in words. We are lower than cattle to them, yet we tolerate their selfish existence and that of their useless children - yes, we even encourage it! Why? I am beginning at long last to understand the reasons behind Mao's Red Guard. Society needs to purge itself of shit from time to time - and we have so much of it.....

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