For everything there is a season
Positing that the purpose of an economy is to produce and equitably distribute the requisite goods and services for a given societal unit, that the purpose of government is to provide a societal unit essential services including a well functioning economy, that no form of either is ordained, that it is neither the duty nor the purpose of that societal unit to support an economic or governmental elite nor to provide personnel for any governmental military ventures other than defense, that the government and the economy are codependent and inextricably linked, and that all governmental and economic models are constructs.
Observing that we are now 50 plus years into transitioning from the Industrial Age to the Digital/Information Age and even farther into an existence threatening Climate Change on a planet already stressed by its 8.5 Billion human inhabitants; that current governmental and economic models bear more than a little responsibility for Climate Change and other stresses on the planet and society, and have proven themselves unequal the task of dealing with either the transitioning or Climate Change; it is reasoned that it is time and past for new models for both.
On a planet where 12% of those 8.5 billion consumes 60% of the goods, we have people writing books about growing our way out of it. Where, to be fair, for these ten thousand years after the last ice age, before the earth’s population reached 8.5 Billion and the consequences of Climate Change set in in earnest, the past often did presage the future, to look to the past was wise; today, the past does not presage the future and to look to it for answers would not be wise. Because of Climate Change alone, for at least the next 200 years, the future will not resemble the past. Collectively, we 8.5 billion have brought this period of plentiful resources and climate stability to an end. Plus, the capital intensive Digital Age will require fewer and fewer workers; meaning that without significant governmental action, wealth distribution will effectively collapse. With it, the market. We will either find a way to live in the world we have or collectively self-destruct.
Meanwhile: “We know that $50 Trillion moved from the bottom 90% to the top 1% between 1981 and 2021,” HeatherCox Richardson. Current United States’ governmental and economic models are leaving 60% of us behind while greatly increasing the wealth of the most wealthy; idly watching employers such as McDonalds pay 401k holders more than its workers while its gospelers prattle on about the need for families to accumulate wealth; continuing a long history of promoting variations of the ‘Big Lie’ which distort, divert attention away from, reality. Current United States’ governmental/economic models are promoting and protecting the interests of the wealthy few while doing way too little to protect the interests of the bottom 60%.
In a nation where over the past 40 plus years most of the wealth has been transferred to the top, where emissary private equity firms are currently voraciously vacuuming up ever more housing, healthcare, schools, … of the its wealth while the working class descends more and more into serfdom; this ‘Big Lie’ about the need for the lower 40-60 percent to accumulate wealth (the proverbial carrot on a stick in front of the donkey) is an especially sadistic, despicable, form of blaming the victim.
Forty out of a hundred does not a good economy make. Nor do, “Bill Gates goes into this bar ... ,” stories. Working for less than a living wage is a step in the direction of becoming redundant, of becoming unemployed and/or homeless. Is a whole lot like being a tenant farmer or sharecropper; is well along on the road to serfdom.
Serfdom somewhat in line with what gurus like Curtis Yarvin to oligarchs like Thiel, Musk et al have in mind for dealing with the consequences of Artificial Intelligence (AI). Where, the oligarchs, being deserving geniuses, get their tech-bro enclaves and other (Mars) escape hatches; the redundants get rendered. What possible better solution?
The last thing we need is more self centered la la solutions from $billionaire oligarchs and their gurus. The accumulation of extreme wealth and power by these very few and the accompanying diminished wealth and power of the many is both a problem unto itself, and — something getting in the way of the development and implementation of governmental and economic models adequate for dealing with the consequences of Climate Change and transitioning to the Digital/Information Age. As noted, the rate of transfer of wealth, the disparity, will only accelerate unless decisive action is taken soon. For workers, all workers, inaction portends peonage and worse. Note: AI will soon replace many in the professions.
We need, the world needs, to promptly design and construct governmental and economic models that reduce greenhouse gasses emissions to pre-industrial age levels as rapidly as possible; that do everything possible to mitigate the harm from previous emissions. Models that provide for an equitable distribution of wealth amongst 8.5 billion souls in the Digital/Information Age; do so in a sustainable manner. Do so while saving as many of the earth’s remaining species as possible. History needn’t apply.
For ten thousand years now, unless some major change like colonialism, the industrial age, democracy, etc. was occurring, history has been a pretty good predictor of the future. This was because, ten thousand years ago the earth’s climate stabilized. For ten thousand years humans could count on the seasons; could successfully plant, grow and harvest crops. Each year would look a whole like the one before.
This stabilization led to civilization. Virtually all the progress of modern humans’ 250,000 years of existence occurred during this period of stable climate. Now, due to Climate Change, caused by the release of greenhouse gases into the atmosphere from the burning of fossil fuels, it will be at least 200 years before the climate is again as stable as it was for most of the previous 10,000 years. The destabilization will get worse before it gets better in proportion to our inaction.
Climate Change alone would be epochal. Unfortunately, we are concurrently fifty plus years into transitioning from the industrial to the digital age; an epochal change in and of itself. In the digital age, for the first time in human history, machines will soon, if not already, do most of the work required to produce and distribute the requisite goods and services. For fifty plus years now, less and less of the wealth from producing these goods and services has gone to the workers.
The workers’ share was in the form of wages which were used to purchase the requisite goods and services for survival. Nowhere is it writ that this is the way it has to be. Nowhere is it writ that either money or personal wealth are essential an economy. The objective is to design and construct governmental and economic models that provide everyone the requisite goods and services — a share of the wealth. Money is quickly becoming, soon to be, an anachronism, anyway.
Redistribution or some form of communism sans corruption might work in an enlightened democratic government isolated from, immune to, the influence of wealth and greed. An enlightened democratic or communist government would understand that a well fed, well housed, healthy, and well educated people make for a stronger, better society. Might, or might not, think that a few, or that everyone, should own the means of production. Would certainly understand that politics/ government must be kept free from the influences of wealth, greed, religion and ideologies. That the economy is a function of government. Unfortunately, for us and the world, at this time, neither the United States of America nor its current government could be described as being enlightened.
Interestingly, today’s retirement plans vest their owners in American corporations; accord them ownership of America’s means of production. An enlightened democratic government might expand this to all citizens, make every citizen a shareholder as a way of redistributing wealth. So far, no one has called 401k retirement plans socialist or communist.
In a time when the past doesn’t apply, a time like no other before, it seems likely that a new and different form of government (including economy) is needed; something as new and different as the times themselves. What Smith, Locke, Marx, Keynes, Galbraith et al proffered only applied to a specific time. None of their ideas are of much use today or for going forward. What the oligarchs, and the Trumps, Erdoğans and Orbáns of the world are proposing is all about them; is worse than worthless..
Even the terminology of the past, itself, doesn’t apply to today. What we are seeing isn’t really facism, is it? The terminology for these times will come later.
Is it possible that it is better that a nation’s wealth belongs to all its citizens? That none other than the nation should hold wealth? That each citizen’s share (account) shall provide them, as a minimum, adequate food,clothing, housing, healthcare, and access to education as a matter of priority. That for now and into the foreseeable future, those who can and do contribute to the provision of goods and services, the common good, shall be remunerated with access to more of the nation’s wealth in proportion to that contribution. That trade between nations will be accommodated by accounts they hold with one another (hoc de facto?). That these things, or something similar, need to be implemented forthwith in order to ensure an economy that serves all the people.
Workers have been losing hard won leverage ever since the dawn of the digital age; with artificial intelligence (AI), only a few members of a few crafts and professions will have any leverage. It is bad now (This is not a good economy! A strong economy is not necessarily a good economy.); will soon get much worse. We need models that are both equitable and sustainable for times unlike any others.
John Locke might have been right about private property back in the 17th century. Then, it was a way of breaking up the huge estates; transitioning from serfdom. Then was another time, another problem. Now, it is another ‘Big Lie' being appropriated to enable the concentration of wealth; a carrot the donkey can never reach. One that is deleterious to social mobility; the economy as a whole.
Nothing new about a government/economy employing the ‘Big Lie’ in the interest of the wealthy few. The “wisdom of the markets ‘Big Lie’” was a (Nobel) prize winning one that spectacularly wreaked havoc on natural resources and the economy; failed to provide adequate healthcare, housing, education, food, response to Climate Change, … ; enabled the concentration of wealth. How the hell could supposedly rational people be so dumb? ‘Markets’ are wrong as often as right. The entrepreneurs’ secret is asking, “How should it be?”, and damn the consequences. No oracles involved. They could all easily be replaced with a group of smart, knowledgeable people asking, “What needs to be done and how can it be done efficiently without damaging the environment?”; with a group who could do it better, without the waste, the greed, and the obscene accumulation of wealth and its associated asininity.
Throughout the past, wealth interests have exchanged money and wealth for political favors. A quid pro quo that is accountable for much of the mess America, the world, is in. Capital punishment is abhorable and should be absolutely prohibited; except, in cases of corrupt public servants. Then, it should be de jure. Corruption is a death knell for democracy, for good government.
For 50 plus years now, our politics/government have been more co-opted and corrupted by wealthy interests at levels not seen since the Gilded Age, maybe ever. This was largely done by making politics/elections about cultural issues such as racism and religion; sending cultural warriors to Congress, and the Courts. By funding the writing and enactment of laws that allowed for gerrymandering that assured them indefinite control of state and federal legislatures. Consequentially, we have not had a well functioning government for decades. And lord It shows.
One might reasonably conclude that our current governmental and economic models are incapable of dealing with the situation at hand; unsuitable for going forward. That we need to begin forthwith designing and constructing governmental and economic models suitable for the reality of these times; models flexible and adaptable enough to take us well into the future.
Although, these days the past provides few, if any, answers for the present or the future, it does afford many cautions. It warns us that any new governmental model must assure the separation of wealth and politics, wealth and state, courts and ideologues, and church and state; serve the interests of all, not some. Accord equal and basic rights to all, not some. Must ensure all citizens equal representation, adequate food, clothing, healthcare and housing, and equal access to education at all levels. Because, doing so would provide for a better and stronger nation; be fitting, proper and forward looking.
As noted, although we have been here some 250,000 years, almost all of our progress has been in the last 10,000 years of climate stability. Now, accumulated greenhouse gasses from the increased burning of fossil fuels are destabilizing that very climate that civilization is so dependent upon.
From the earliest days of civilization, humans have recklessly depleted natural resources. Any new economic model should strive to produce and equitably distribute the requisite goods and services in a sustainable way. We have but one earth — Mars is for idiots. Henceforth, economies can not be premised on growth, excessive consumption, or the burning of fossil fuels.
Governments and economies are indeed codependent, inextricably linked. For the sake of simplification and because they are, let it be posited that henceforth they are one and the same with the economy being a fitting and proper function of government, with every member of a societal unit having a voice in both.
Our Declaration of Independence, that most timely shiny new star, lit up the world — is yet a beauty to behold. Our Constitution suffers sorely from initial flaws; has too often failed us; hasn’t aged well; has of late been co-opted and corrupted by troglodytes (hey troglodyte dudes and dudette, the Declaration of Independence was about getting rid of monarchs and tyrants, instituting democracy, and the separation of church and state!); is no way suitable for the 21st Century, let alone further. It is time to save the good and discard the rest; do so while looking as far ahead as possible. It is time to write a new Constitution that is itself a shiny new star.
Our democracy has never before been under such a threat as now, this weak and vulnerable since the founding. We have a moribund legislature and troglodytic majority on the Supreme Court as a consequence of years and years of wealth corrupted politics whilst being double-whammied with the terrible combination of oligarchs in tandem with a corrupt executive neither of whom like the idea of democracy. All this being double-whammied again by Climate Change and transitioning from the Industrial Age to the Digital Age. The United States of America (perhaps the world) is on the edge of a cataclysmic disaster. One mostly due to the influence of wealth on governance and the economy.
First order is to survive as a democracy, if we can (These bastards are serious, the next few days and weeks are critical.). Then, get cranking on designing and constructing a new governmental/economic model suitable for the Digital Age that addresses full on the impact of automation and the other portents of artificial intelligence (AI), Climate Change, and the realities of living in a multicultural world.
https://www.kqed.org/forum/2010101909409/how-countries-fall-into-authoritarianism
https://www.kqed.org/forum/2010101909416/is-the-nerd-reich-taking-over-the-government
https://kenmelvin.substack.com/p/dearly-beloved
https://substack.com/home/post/p-160630960
https://angrybearblog.com/2023/08/the-narrative-and-the-wall
https://angrybearblog.com/2024/01/the-big-crunch
https://angrybearblog.com/2022/12/the-inflations
https://angrybearblog.com/2024/12/wealth-money-worth
https://substack.com/home/post/p-161495689?source=queue&autoPlay=true
Give em hell!