pandemic

Their Freedom, and Ours: A Case Study on Morality, Inequality, and Injustice Amid a Pandemic

Photo: Stacey Wescott / Chicago Tribune

By Peter Fousek

David Hume opens his essay “Of the First Principles of Government” with the statement that “Force is always on the side of the governed.”[1] Though she uses different terminology, Hannah Arendt’s understanding of power is analogous to Hume’s “Force.” In On Violence, she asserts that “[i]t is the people’s support that lends power to the institutions of a country, and that this support is but the continuation of the consent that brought the laws into existence to begin with.” Both accounts consider social power to be something fundamentally popular, rooted in collective action undertaken in accordance with a shared will. Thus, “[a]ll political institutions are manifestations and materializations of power,” which “petrify and decay as soon as the living power of the people ceases to uphold them.”[2] This understanding of power is consistent with the nature of the social world: institutions do not come into existence of their own accord, but are created and maintained by the actions of people. Laws do not exist as natural truths—they are established in accordance with shared beliefs and modes of understanding, and retain their jurisdiction only insofar as people assent to them. Therefore, those social structures and formations which hold significant influence over our world, do so because they have substantial, popular support underlying their authority and answering their commandments with corresponding action.

Given this notion of power, “[n]othing appears more surprising…than the easiness with which the many are governed by the few.”[3] If the governed possess a constitutive power over their social world, how is it that institutional authority so often supersedes the will of the masses with that of its ruling contingent? I will argue that this counterintuitive state of social organization, in which the few hold dominion over the majority, must rely on an imposed, hegemonic system of belief capable of convincing the general population that their oppression is just and their liberation villainous. Such a system of belief, while certainly instrumental in the maintenance of totalitarian states, is especially important in the context of ostensibly representative systems of government like that of the contemporary U.S.

In these contexts, voters must be convinced not that it would be amoral for them to overthrow their rulers, but rather that it is moral for them to continue to formally reproduce the power of those rulers year after year, by way of the voting booth. In the United States, that process of coercion has proved quite successful. According to exit polls, over 42% of voters with household incomes under $50,000 per year voted for Donald Trump, despite his promises to cut taxes for corporations and the super-wealthy while defunding already limited social services; in 2020, that contingent rose to 43%.[4] Over half of the Kentuckians in that income bracket voted to reelect Mitch McConnell in the same election cycle.[5]  In a country where well over half of the population has a household income of under $75,000,[6] our governing authorities consistently promote the aims of the wealthiest few, often at the expense of the many. While the United States incarcerates more people than any other country, and while 969 people have been killed by U.S. police this year alone,[7] the State does not rely solely on such direct repressive force to achieve its inequitable ends. As the electoral data shows, the electorate consents to its own socioeconomic oppression; with shocking frequency, we as a nation “resign [our] own sentiments and passions to those of [our] rulers.”[8]

What system of belief is responsible for convincing American citizens, whose collective sovereignty is systematized in electoral systems, to continue voting directly against their economic interests? If we are to build a better world by overcoming the oppressive systems and structures of the established order, we must first understand the mechanism by which that implicit consent of the oppressed is elicited. A society designed to pursue the aims of a small and exclusive minority at the expense of the majority cannot rely on force alone to sustain itself, since institutional authority possesses the apparatus of force only so long as a substantial contingent of the people are willing to follow its orders. Instead, it requires the tool of an official moral framework capable of securing the popular mandate upon which its dominion is established. It is possible for a small ruling class to maintain its jurisdiction over a much larger oppressed one only when the dominant segment promotes its ends as necessary, and thereby convinces its society that anything which goes against those ends is immoral. The ruling class perpetuates its existence by convincing the ruled majority that their subjugation is just, according to supposedly universal moral precepts.

That moral indoctrination is possible because, to use Marx, the economically dominant class “rule also as thinkers and producers of ideas and regulate the production and distribution of the ideas of their age. Their ideas are the ruling ideas of the epoch.”[9] Therefore, the ruling class is able to disseminate its own beliefs and understandings as comprehensive fact, absorbing, in the words of Barthes, “into its ideology a whole section of humanity which does not have its basic status and cannot live up to it except in imagination.”[10] The universality of the established ruling order and its corresponding cultural norms supersede any alternative worldviews or systems of belief, and thereby create the illusion that the entire social formation lacks meaningful class differentiation (the absence of ideological stratification is implied as evidence that social class does not cause a fundamentally different experience of the world). So, using its near monopoly on the dissemination of far-reaching ideas and discourse, through channels including broadcasting companies, social media platforms, and the national political stage, the economically dominant class convinces its entire social world that its particular morality, corresponding to its particular class interests, is in fact universal, natural moral law, obligatory for all.

Any system of official morality imposed on a society is necessarily repressive on account of that claim to universality. Morality is the product of social development in the same sense that the institutions, laws, and norms of our societies are, as Arendt notes, the products of beliefs held by the popular masses. As social institutions etc. exist to achieve defined ends, such as the preservation of property rights and relations, morality also serves social interests. We see this to be the case in moral precepts as basic as the commandment that “thou shall not kill,” which provides a foundational basis for social cohesion by establishing a normative framework in which a might-makes-right paradigm becomes condemnable. Nonetheless, even so fundamental a moral tenet as that one fails to prove universally applicable in the context of the real and dynamic world. History shows that societies which condemn killing in times of peace often herald it as the most honorable task of their soldiers in times of war. Therefore, the presentation of any system of morality as something universal, and so too ahistorical, is deceptive, given the necessarily specific and dynamic nature of moral analysis (and thus the impossibility of truly natural and universal morality).

Still, such universal moral precepts do serve social interests, even if those interests differ from those which the popular majority perceive as the purpose of their moral laws. The imposition of a particular morality onto the whole of society establishes a moral hegemony, wherein only that which promotes the aims of the social class who defines the moral system is considered right and just. Such a process serves the social interests of the dominant class, allowing the many to be subjugated by the few: the universal application of specific moral norms is all too often employed to prevent the oppressed from striving towards their own liberation. During times of relative historical calmness, that morality-mediated oppression may be concealed to the point of near-invisibility. In the United States, a nation satiated with spiritual and secular prosperity gospels, whose popular consciousness is inundated with myths of the American Dream predicated on the principle of productivity (the notion that an individual’s success is the reflection of their efforts), the illusion that social mobility is always possible—if only for the “most industrious” among us—lends credence to a moral framework that condemns the poor as lazy people suffering from self-imposed shortcomings, while celebrating the wealthy as tenacious and driven individuals whose opulence is merely the manifestation of their moral virtue.

On that basis, cycle after cycle Americans vote against their economic interest, without even understanding that they are doing so. When we are taught that poverty is personal iniquity embodied, and wealth the reflection of the opposite, then those who are not wealthy must identify “not as an exploited proletariat, but as temporarily embarrassed millionaires,”[11] if they are to consider themselves virtuous according to the official moral framework. Thus, as they have for decades, millions of working-class Americans continue to vote for “representatives” who facilitate their exploitation for the sake of the wealthy elite. When we fail to recognize the foundational social power we hold as a class, or even our position as members of the working class as such, we unwittingly provide consent for our continued oppression. The underlying misconception of the meritocratic nature of our society is bolstered by the perception that our political and legal institutions are egalitarian, and therefore that all members of our citizenry have an equal shot at financial success, free from any undue external influence or restriction. In other words, we are told that the official morality of our society is just, because all members of our society share equal freedoms under the law. However, I will argue that even if we use that politically conservative understanding of freedom, labeled negative liberty by Isaiah Berlin (that is, the understanding of freedom as freedom from interference in an individual’s exercise of her rights), supposedly universal freedom is not, in fact, shared universally across class divisions.[12] For that reason, the official morality imposed by one class onto all cannot validly substantiate its claims to universality, and can only be understood as a repressive apparatus implemented to ensure the continued self-subjugation of the oppressed. 

The contradictions of normative morality often appear more sharply when contrasted against a backdrop of historical tumult and upheaval. Such has been the case over the past fourteen months, as the national response to the pandemic in the United States has exposed the degree to which our official morality is willing to sacrifice the wellbeing, and even the lives, of the working class, in order to promote the interests of the possessing one. In this time, it has become clear “that lack of money implies lack of freedom,” even in the sense that it is defined by Berlin and the political Right, as “the absence of obstacles to possible choices and activities.”[13] This inequitable distribution exposes the class-interestedness of an official morality which heralds such freedom, by which is meant, for the most part, negative liberty, as the most just and morally virtuous ideal to be promoted by our norms and institutions. Our socioeconomic order is one predicated on the value of individual productivity and wealth accumulation. Resultantly, the freedom of the individual to exist in such a way that they might promote their own wellbeing without restriction by external influence is foundational to the American sociopolitical psyche. Hence Berlin’s explanation of the moral condemnation of the poor, whose wellbeing, we are told, is not our concern, since “it is important to discriminate between liberty and the conditions of its exercise. If a man is too poor or too ignorant or too feeble to make use of his legal rights, the liberty that these rights confer upon him is nothing to him, but it is not thereby annihilated,” (Cohen 4). According to the Right, that is the freedom of which this nation’s founders wrote, the liberty to which the United States declares its dedication, our ultimate moral value: the nominal liberty to act without restriction in pursuit of a given set of possibilities, with no guarantee to the outcome or ease of such a pursuit.

In times of crisis, like that brought on by the pandemic, the most crucial exercise of such freedom involves the liberty to protect oneself and one’s family from immediate threat of harm. The relative ability or inability of American citizens to do so, depending on their socioeconomic status, provides a tragic illustration of the fact that in the United States, “lack of money implies lack of freedom.”[14] In contemporary America, as in any capitalist society, right (as either or both ownership and access) to any object or pursuit is conferred largely by money. This claim is exceedingly apparent: for example, one does not have the freedom to sleep in a hotel room that they have not paid for, and their attempt to do so would likely be met with interference regardless of their otherwise complete ability, will, and legal allowance. In Cohen’s words, “when a person’s economic security is enhanced, there typically are, as a result, fewer ‘obstacles to possible choices and activities’ for him.”[15] Even under the dictum of nominal or negative freedom, an individual’s liberty is largely determined by their wealth. During the COVID crisis, the limits to liberty begotten by poverty have become a visible, existential threat to the marginalized poor.

In the early months of the pandemic, when we knew little about the life-threatening contagion sweeping the globe, many state and local governments to attempted to secure the safety of their citizens through mandatory stay-at-home orders and economic closures. However, the Trump administration, along with countless others in positions of power and influence, were quick to employ the tools of their official morality to an antithetical end. Mask mandates designed to promote some degree of communal security were decried as unjust, immoral attacks on freedom,[16] and as to shutdown orders, these guarantors of liberty held at best that it is the prerogative of an individual to stay at home if she so chooses, but that the State should have no say. As a result, sections of the country opened prematurely, well before the prevalence of testing, much less the existence of a vaccine.[17] Even in places where that was not the case, the categorization of almost 74 million working class Americans as “essential workers” forced them and their families into positions of very real, potentially life threatening, risk.[18] That undue burden placed on the working class was deemed the necessary condition for the restoration of moral equilibrium, according to the language of negative liberty. The resultant dichotomy of freedom as a function of wealth is substantiated by New York Times polling. Higher earners, far more likely than their lower-income counterparts to hold substantial savings, were largely free to continue working from home without risk of job loss or pay cuts. Lower earners were not afforded the same security, financially or otherwise.[19] In this, we see that the working class were compelled to observe moral norms established by the investor class, and thereby to sacrifice of self in accordance with precepts that the wealthy members of our society did not observe themselves. Through the mechanism of universalized official morality prescribed by the dominant contingent, the subjugated were convinced to accept their own suffering while those who demanded their sacrifice refused to do the same.

And to what end? While many essential workers were employed in healthcare or public infrastructure fields, millions of others included members of the food service industry,[20] Amazon warehouse laborers,[21] Tesla factory line workers[22]—in short, the exploited employees of massive, profit-seeking firms focused solely on their goal of increasing shareholder’s returns. In pursuit of profit, these firms compelled countless workers, for pitifully inadequate wages and often without even the most basic protective measures, to sacrifice their safety,[23] and in many cases even their lives.[24] These efforts by executives for the sake of their investors certainly did pay off: according to Inequality.org, “between March 18, 2020, and April 12, 2021, the collective wealth of American billionaires leapt by $1.62 trillion, or 55%.”[25] All this, as thousands died preventable deaths and millions in the world’s wealthiest country faced hunger and eviction. But what of the workers’ freedom? Surely, they were not literally forced to come into their workplaces. The answer to that depends on how we define force. Essential workers, as well as employees of businesses allowed to preemptively reopen, were barred from receiving unemployment benefits if they refused to work, as our legal framework for employment regulation deemed such refusal voluntary even when motivated by fear of death.[26] So, these workers, many of whom would have received more money through unemployment insurance than they were paid at their “essential” jobs,[27] were compelled—quite literally under threat of starvation—to put themselves and their families in harm’s way so that the rich were able to continue amassing wealth at as aggressive a rate as possible.

The hypocrisy of the official morality, and thus its repressive class-interestedness, is evidenced by the fact that this shockingly inhumane restriction of the right of the working class to self-preservation was undertaken under the guise of “freedom,” and thereby given a “moral” justification. In April 2020, Congressman Trey Hollingsworth echoed widespread convictions with his statement that “in the choice between the loss of our way of life as Americans and the loss of life of American lives, we have to always choose the latter.”[28] That stance was, and remains, a truly popular sentiment—protests in opposition to shutdowns were prevalent across the country last spring, populated largely by working class Americans who had been convinced that economic closures represented government overreach and a restriction of individual liberty.[29] To foster that sentiment, members of the investor class funded media campaigns to promote the notion of the shutdowns as morally wrong[30] These campaigns serve as a tragic example of the investor class forcing its ends onto the whole of our society, portraying anything that interferes with the pursuit of those ends as morally condemnable. The campaigns, of course, concealed their class interestedness to preserve the supposed universality of their precepts. In their polemics against “unfreedom,” they were careful to omit the fact that the “immorality” of the shutdowns, the restriction of liberty which they constituted, was a restriction of the freedom of wealthy firms to force their workers into life-threatening conditions for the sake of profit margins.

Only in being justified by the official morality of the dominant class was such blatant disregard for human life allowed to occur. During the initial months of the COVID pandemic, the foundational social power of the working masses could have been utilized to substantial and life-saving effect, if only there had been sufficient organization for the development of a collective will to do so. Consider the power represented by the opportunity of essential workers to join together in a general strike in protest of unsafe conditions, or in opposition to unjust regulations which cut them off from unemployment insurance if they refused to work. Consider the power of the voting population to hold their elected officials accountable for refusing to put such protective measures in place, or that of the consumer base to boycott companies engaged in blatantly exploitative and dangerous labor practices. These collective actions were not taken because the iniquity of the situation was masked by a veil of official morality, which labelled the direct repression of the working class—the elimination of its most basic liberties—as itself a crusade for freedom. Such “moral” manipulations enable the paradox of power noted by Arendt and Hume, in which “the living power of the people,”[31] despite its foundational importance, is restrained and left unrealized by the amplified repressive force of a small but economically dominant social contingent.

It is important to note the role of the State in this process of moral imposition on behalf of the ruling class. By debating and legislating in accordance with the official morality, institutional authority reifies it, providing those precepts of ruling class interest with an appearance of naturalness and thereby working to validate their claims to universality. Representative Hollingsworth was not alone in expressing the sentiment that the flourishing of the stock market is more important than the lives of American workers; instances as brazen as the vehement attempts of conservative politicians to prevent an increase in food stamp funding despite the staggering number of children going hungry represent efforts to embody the official morality. [32] The success of such reification is heartbreakingly clear: ours is a country in which Nobel laureate economist Angus Deaton “explained the anomalous mortality rates among white people in the Bible Belt by claiming that they’ve ‘lost the narrative of their lives’,”[33] having failed to realize their own “moral value” in the terms imposed on them, unable to earn anything above a starvation wage regardless of their efforts.

Such is the outcome of the ruling class indoctrinating “into its ideology a whole section of humanity which does not have its basic status and cannot live up to it,”[34] using the apparatus of authority as an aid in its illusion. The supposed truth of the official morality, that most insidious of the “ruling ideas”[35] disseminated by the dominant class, holds a devastating weight in the popular psyche because it is manifested by our systems of power and thereby made to seem concrete. To that end, our political representatives, armed with the formalized consent of their constituents, speak and legislate in a manner that serves to enshrine official morality in the rule of law. In the face of the pandemic, they declared that the just action on the part of the working poor was to accept their loss of liberty for the sake of their country. And, faced with that reactionary mandate justified by an apparently eternal morality, we chose not to oppose oppression, but instead to clap for the essential workers as they made their way home.

“The price of obedience has become too high,”[36] writes Terry Tempest Williams, following a vivid illustration of the destruction wreaked by U.S. nuclear arms tests in the Southwest on American lands and American people. Such state-sanctioned harm is the norm, rather than the exception, as we have seen in examples ranging from the Tuskegee Study to the COVID pandemic response. It is enabled by the “inability to question authority,”[37] on account of its justification by official morality, which would have a repressed populace rather accept the rule of their oppressors than challenge it in the hope of change. But this does not have to be the case; ours could be a better world. A governing body loses its legitimacy if its commands are not carried out; its orders are not heeded if the popular masses refuse to recognize its sovereignty. Strikes, protests, and other acts of defiance, in which participants utilize their communal power by refusing, in unison, to conform to the commands of their oppressors, demonstrate the ability of an organized populace to make authority impotent and annul its influence. That transformative kind of resistance is only possible when the official morality which condemns it is recognized as a tool of reaction, when the oppressed declare a morality of their own, oriented towards the liberation and collective betterment of the social world. “[A]nd even then, when power is already in the street, some group…prepared for such an eventuality is needed to pick it up and assume responsibility.”[38] These tasks: the revocation of repressive morality, its replacement with a conviction for true justice, and the development of leadership capable of organizing such a movement, are all possible. It is imperative that we undertake them if we are to liberate ourselves by realizing our collective power.  

 

 

References

Arendt, H. On Violence. Boston: Houghton Mifflin Harcourt, 1970.

Barthes, R. Mythologies. Trans. Jonathan Cape. Paris: Jonathan Cape Ltd., 1957.

Blake, A. “Analysis | Trump's Dumbfounding Refusal to Encourage Wearing Masks.” The Washington Post.      Washington, D.C.: WP Company, 25 Jun. 2020: Digital Access.

Cohen, G.A. On the Currency of Egalitarian Justice, and Other Essays in Political Philosophy. Princeton, NJ: Princeton Scholarship Online, 2011.

Collins, C., Petergorsky, D. “Updates: Billionaire Wealth, U.S. Job Losses and Pandemic Profiteers.” Inequality.org. Washington, D.C.: Institute for Policy Studies, 29 Apr. 2021: Digital Access.

DeParle, J. "As Hunger Swells, Food Stamps Become a Partisan Flash Point." The New York Times. New York: The New York Times, 6 May 2020: Digital Access.

Desilver, D. "10 facts about American workers." Fact Tank. Washington, D.C.: Pew Research Center, 2019. Aug. 2019: Digita Access.

Diaz, J. “New York Sues Amazon Over COVID-19 Workplace Safety.” The Coronavirus Crisis. Washington,     D.C.: National Public Radio, 17 Feb. 2021: Digital Access.

“Essential Workers and Unemployment Benefits Do Not Go Together.” Occupational Health & Safety. Dallas: 1105 Media Inc., 7 May 2020: Digital Access.

“Fatal Force: Police Shootings Database.” The Washington Post. Washington, D.C.: WP Company, 22 Jan.        2020: Digital Access.

Flynn, M. “GOP congressman says he puts saving American ‘way of life’ above saving lives from the coronavirus.” The Washington Post. Washington, D.C.: WP Company, 15 Apr. 2020: Digital Access.

Hume, D. “Of the First Principles of Government. Essays, Moral, Political, and Literary. Hume Texts Online,   2021: Digital Access.

“Kentucky 2020 U.S. Senate Exit Polls.” CNN. Atlanta: Cable News Network, 2020: Digital Access.

Maqbool, A. “Coronavirus: The US Resistance to a Continued Lockdown.” BBC News. London: British         Broadcasting Corporation, 27 Apr. 2020: Digital Access.

Marx, K. Selected Writings. Indianapolis: Hackett Publishing Company, Inc., 1994.

McNicholas, C., Poydock, M. “Who Are Essential Workers?: A Comprehensive Look at Their Wages,             Demographics, and Unionization Rates.” Economic Policy Institute. Washington, D.C.: Economic Policy             Institute, 19 May 2020: Digital Access.

Nuttle, M. “Essential Workers Accounted for 87% of Additional COVID-19 Deaths in California, Data         Shows.” abc10.com. 30 Apr. 2021: Digital Access.

Reinberg, S. “Nearly 74 Million Essential Workers at High Risk for COVID in U.S.” U.S. News & World        Report. Washington, D.C.: U.S. News & World Report, 9 Nov. 2020: Digital Access.

Siddiqui, F. “Hundreds of Covid Cases Reported at Tesla Plant Following Musk's Defiant Reopening, County            Data Shows.” The Washington Post. Washington, D.C.: WP Company, 13 Mar. 2021: Digital Access.

Tankersley, J. "Job or Health? Restarting the Economy Threatens to Worsen Economic Inequality." The New York Times. New York: The New York Times, 27 Apr. 2020: Digital Access.

Tempest Williams, T. "The Clan of One Breasted Women." Psychological Perspectives (23): 123-131. Los Angeles: C.G. Jung Institute, 1990.

“U.S. Income Distribution 2019.” Statista. Statista Research Department, 20 Jan. 2021: Digital Access.

Vogel, K. P., et al. “The Quiet Hand of Conservative Groups in the Anti-Lockdown Protests.” The New York Times. New York: The New York Times, 21 Apr. 2020: Digital Access.

Wright, R. A Short History of Progress. Toronto: House of Anansi Press, 2004.

Wronski, L. New York Times|SurveyMonkey poll: April 2020. New York: The New York Times, 2020: Digital Access.

Zhang, C. “By Numbers: How the US Voted in 2020.” Financial Times. London: Financial Times, 7 Nov.        2020: Digital Access.

 

Notes

[1] Hume, 1

[2] Arendt, 41

[3] Hume, 1

[4] Zhang

[5] “Kentucky 2020 U.S. Senate Exit Polls.”

[6] “U.S. Income Distribution 2019”

[7] “Fatal Force: Police Shootings Database.”

[8] Hume, 1

[9] Marx, 129

[10] Barthes, 140

[11] Wright, 124

[12] G.A. Cohen provides a proof of this in his essay “Freedom and Money.” 

[13] Cohen, 9

[14] Cohen, 9

[15] Ibid., 10

[16] Blake

[17] Tankersley

[18] Reinberg

[19] Wronski

[20] McNicholas

[21] Diaz

[22] Siddiqui

[23] McNicholas

[24] Nuttle

[25] Collins

[26] “Essential Workers and Unemployment Benefits Do Not Go Together,” 1

[27] Ibid.

[28] Flynn

[29] Maqbool

[30] Vogel

[31] Arendt, 41

[32] DeParle

[33] Livingston

[34] Barthes, 140

[35] Marx, 129

[36] Williams, 128

[37] Ibid.

[38] Arendt, 49

Calling On Action: A Review of Henry Giroux's 'Race, Politics, and Pandemic Pedagogy: Education in a Time of Crisis'

By Yanis Iqbal

Henry Giroux’s new book “Race, Politics, and Pandemic Pedagogy: Education in a Time of Crisis”, published by Bloomsbury Academic in 2021, is an informed, impassioned and insightful response to the politico-economic conjuncture in which we are living. Organized into four sections, the book discusses a variety of things: the significance of the COVID-19 pandemic for neoliberalism, the phenomenon of Trumpism, the continued relevance of fascism, and the role of education in bringing about a new world. Operating with a whole network of organically interpenetrating concepts, Giroux does not content himself with isolated terms and one-sided definitions. He is always trying to integrate the totality of particular points and phases in a dynamic movement without suppressing the existential vitality of the individual elements. It is this internal characteristic of the book which makes it a worthwhile read.

Pandemic Pedagogy

Pandemic pedagogy is one of the central themes of the book. It serves as a concentrated expression of the multiple modalities through which neoliberalism has created a reactionary ideological configuration to stabilize pandemic profiteering. Giroux writes: “Pandemic pedagogy is the enemy of critical pedagogy because it is wedded to reproducing a debased civic culture while renouncing democratic social and political relations. It is a pedagogy for which power functions in the cultural sphere to depoliticize people while replacing democratic forms of solidarity with a social order invested in ultra-nationalism, social atomization, hyper-masculinity, a war culture, and an unbridled individualism”. Pandemic pedagogy emerges directly from the various ways in which the pandemic has mapped onto existing inequalities and social injuries plaguing the American society.

Unlike liberals who consider the pandemic as a “great equalizer”, Giroux says that “Its disproportionate effects on the poor and vulnerable, especially black and brown communities, pointed to the widening chasm between the rich and powerful wealthy few and the vulnerable and precarious majority. The inequities that this crisis revealed made clear how disasters unfold through relations of power, making it easier to challenge the myth that major catastrophes such as pandemics that affect everyone equally.”

According to Giroux, the necropolitical reality of neoliberalism is concealed through the deliberate individualization of social problems: “As a politics of control, neoliberalism privatizes and individualizes social problems, i.e., wash your hands, do not sit on toilet seats, and practice social distancing, as a way to contain the pandemic. In this instance, we learned how to be safe while being depoliticized, or uninformed about the role that capitalist economies play in producing a range of ideological viruses that gut the social welfare state and public health systems, if not resistance itself”. Pandemic pedagogy is present at every level of society and has morphed into a seemingly unshakeable “common sense”. An example of this “common sense” is the discourse on pandemic education which, as Giroux says, “is dominated by a technocratic rationality obsessed with methodological considerations regarding online teaching and learning.”

Afraid that deteriorating material conditions would increase the appeal of socialist politics and strengthen the class cohesion of the proletariat, pandemic pedagogy uses conservative ideological tools to discursively decompose class. Trumpism is an example of such a tool wielded by the ruling class to continue to maintain a gap between the objective structure of class and its self-conscious subjective awareness among the people belonging to that class.

Trumpism

Giroux conducts the analysis of Trumpism in two steps. First, he posits that Trumpism is integrally interlinked to neoliberal capitalism. While reflecting on the movement of the pandemic through the medium of neoliberal social relations of production, Giroux writes: “neoliberalism could not be disconnected from the spectacle of racism, ultra-nationalism, anti-immigrant sentiment, and bigotry that dominated the national zeitgeist as a means of promoting shared fears rather than shared responsibilities. Neoliberal capitalism created through its destruction of the economy, environment, education, and public healthcare a petri dish for the virus to wreak havoc and wide-scale destruction.”

The dense feeling of alienation engendered by the intensifying capitalist crisis provides the soil on which Trumpism grows. As the distinction between consumers and citizens is increasingly blurred by the marketization of each sphere of life, people become culturally deracinated. In a situation like this, Trumpism promised to supply these alienated masses with an identitarian anchorage, a cultural fixity witch which they can associate themselves. Insofar as Trumpism aims to satiate the emotive needs of its support base, it is based on irrationalism. Giroux delineates how such irrationalism manifests itself in Trump’s everyday performative politics: “Trump’s…language exhibited a mounting compulsion and hyper-immediacy that flattened out and vulgarized any viable notion of communication…Trump employed a pandemic pedagogy in which language became unmoored from critical reason, informed debate, and the weight of scientific evidence. Instead, it was tied to pageantry, political theater, and the consolidation of power, as well as the dictates of violence.”

Situating Trump’s politics within a wider panorama of historical processes allows us to confront it not as an individual problem but rather as a symptom of a sick society. As Giroux writes, “Cruelty is not something that can be simply personalized in the figure of Donald Trump. Neoliberalism produces its own forms of institutional cruelty through its austerity measures, its decimation of the welfare state, and its support for racialized mass incarceration.” Insofar that Trump is enmeshed in the structural conditions generated by neoliberalism, his authoritarian politics can neither be eliminated through the simple transfer of executive and legislative power to a thoroughly corrupt and corporate Democratic leadership nor through an impeachment process. Commenting on the latter, Giroux says: “The impeachment process with its abundance of political theater and insipid media coverage mostly treated Trump’s crimes not as symptoms of a history of conditions that have led to the United States’ slide into the abyss of authoritarianism, but as the failings of individual character and a personal breach of constitutional law.”

To prevent people like Trump from capturing power, we need to build robust movements capable of uprooting the conditions which make people vulnerable to the propaganda of demagogic leaders. Giroux is forthright in acknowledging this: “the criminogenic response to the crisis on the part of the Trump administration should become a call to arms, if not a model on a global level, for a massive international protest movement that moves beyond the ritual of trying Trump and other authoritarian politicians for an abuse of power, however justified. Instead, such a movement should become a call to put on trial neoliberal capitalism while fighting for structural and ideological changes that will usher in a radical and socialist democracy worthy of the struggle.”

Second, Giroux frames Trumpism within the problematic of fascism. It is important to note that Giroux does not interpret fascism in the narrow way of the setting up of a police state. Instead, he perceives it as “a particular response to a range of capitalist crises that include the rise of massive inequality, a culture of fear, precarious employment, ruthless austerity policies that destroy the social contract, the rise of the carceral state, and the erosion of white privilege, among other issues.” Since fascism is invariably tied to specific social conditions, it will not be homologous to the state structures established in interwar Italy and post-WWII Germany. Giroux is spot-on here: “Fascism does not disappear because it does not surface as a mirror image of the past. Fascism is not static and the protean elements of fascism always run the risk of crystallizing into new forms…comparisons to the Nazi past withered in the false belief that historical events are fixed in time and place and can only be repeated in history books”.

Another important feature of Giroux’s conception of fascism is its dynamic nature. He writes: “Fascism is often an incoherent set of assumptions combined with anti-intellectualism, ultra-nationalism, and a demonizing rhetoric aimed at a group singled out as different and undeserving of human rights…Fascism does not operate according to an inflexible script. On the contrary, it is adaptive, and its mobilizing furors are mediated through local symbols, as it normalizes itself through a country’s customs and daily rituals”. This argument resembles Jairus Banaji’s assertion that “fascist ideology is actually only a pastiche of motifs, it is a pastiche of different ideological currents, it has very little coherence on its own.”

When the aforementioned two aspects of Giroux’s analysis of Trumpism are combined, we are presented with the concept of “neoliberal fascism” - “a new political formation…in which the principles and practices of a fascist past and neoliberal present have merged, connecting the worst dimensions and excesses of gangster capitalism with the fascist ideals of white nationalism and racial supremacy associated with the horrors of authoritarian states.” Neoliberal fascism is not the apogee of an empty struggle between authoritarianism and democratic ideals. Rather, it is a “fierce battle on the part of demagogues to destroy the institutions and conditions that make critical thought and oppositional accounts of power possible.” With this statement, Giroux delves into an incisive study of the deep impacts of neoliberal fascism on agency.

Agency and Hope

Agency, defined as conscious, goal-directed activity, is heavily impacted by neoliberal fascism. Agency is the condition for every struggle and hope is a prerequisite of agency. With the arrival of neoliberal fascism, “the connections between democracy and education wither, hope becomes the enemy of agency, and agency is reduced to learning how to survive rather than working to improve the conditions that bear down on one’s life and society in general.” The overwhelming of hope by “the sheer task of survival” is elaborated in the book “Resilient Life: The Art of Living Dangerously”, where Brad Evans and Julian Reid develop the new category of resilience to capture the broad contours of neoliberal asociality and passivity. Resilience, the authors say, is not about overcoming or resolving a crisis but about the ways and means of coming to terms with it. They argue that resilience teaches us to “live in a terrifying yet normal state of affairs that suspends us in petrified awe.”

The re-molding of agency and loss of hope is fundamentally aided by ignorance which renders us incapable of problematizing our structural conditionedness and piercing through the open-ended nature of history. According to Giroux, “Ignorance has lost its innocence and is no longer synonymous with the absence of knowledge. It has become malicious in its refusal to know, to disdain criticism, to undermine the value of historical consciousness, and to render invisible important issues that lie on the side of social and economic justice. Ignorance has become the organizing principle of a pandemic pedagogy that collapses fact and fantasy, truth and lies, evidence and opinion.” Ignore needs to be combated by the constant utilization of history which will make it possible to de-naturalize hierarchies and intensely engage in a movement for social justice. Whenever history is used as a terrain of struggle for hegemony, as a space for opening up to a contextualized understanding of world and as a lens to re-think and constantly evolve our own views, a new politics of memory is developed. Memory becomes an act of moral witnessing and helps to counter what Giroux calls the “bankrupt white supremacist notion of nostalgia that celebrated the most regressive moments in U.S. history.”

Need for Action

Throughout his book, Giroux refers to the imperative need for concrete action. He is not satisfied with a mere shift in consciousness or an educative endeavor aimed at empty verbosity. He is unfailingly dedicated to the construction of a movement capable of fighting against the state’s repressive and ideological apparatuses.

In an extremely important passage, Giroux writes: “I do not want to suggest…that the strength of argument can change the political balance of power exclusively through an appeal to interpretation, rationality, and the force of dialogue… Ideas gain their merit, in part, through the institutions that produce them, and as such merit the importance of recognizing that the knowledge/power/agency connection is both a battle over ideas as well as over cultural apparatuses and institutions, and the power relations that create them…Matters of critique now merge with the imperative of actions bringing together not merely critical ideas and balanced judgment, but theory and informed action.”

 A major takeaway from Giroux’s book is that the politico-strategic logic of hegemony should occupy a central position in socialist organizing. Mere academicism is totally incapable of overthrowing the bourgeois state. What is needed is the constant re-interpretation of the world in the context of struggles. Whether this re-interpretation is correct or not is decided from the practical consequences that might conceivably result from that intellectual conception. In sum, knowledge and pedagogy need to be dialectically located in the ecology of struggle where they get endlessly embodied in concrete consequences and thus, help in consolidating the dynamic of action and reflection in conversation with each other. Giroux’s book is an example of precisely that kind of knowledge-in-struggle which is singularly committed to the goal of socialism.

Blows Against the Empire—2020 In Memoriam

By Steve Lalla

To say that 2020 has been memorable would be an understatement, but experience teaches us that our memories of the pandemic may well be struck from the record.

“The 1918 influenza epidemic is one of history’s great conundrums, obliterated from the consciousness of historians,” wrote Gina Kolata, and COVID-19 may yet meet the same fate.[1] Kolata recalls that not only was the Spanish flu omitted from basic history in her elementary and high school, but was also ignored in microbiology and virology courses in college, even though it killed more people than the first world war.

From the onset of the pandemic it was clear that it would accelerate the crumble of the u.s empire. Many had commented on the fragility of neoliberalism in the face of public health crises, and it was pretty obvious from the start that the imperialist system would prove incapable of handling COVID-19 in a reasonable manner.

While the u.s and its capitalist vassals fell prey to COVID-19, blaming it on China or insisting that “one day, like a miracle, it will disappear,” the pandemic overshadowed imperialist defeats in the Middle East and Latin America, and masked some of the scariest climate catastrophes in recorded history.

A chronology of 2020’s most salient dates:

 

January 5: Iraq’s parliament voted to expel all u.s troops from the country. Deputy commander of the Popular Mobilization Units of Iraq, Abu Mahdi Al-Muhandis, was assassinated in a January 3 drone strike—in addition to Iran’s General Soleimani—the last straw for Iraq politicians’ toleration of any u.s troops on their soil. About 5,000 u.s troops remain in the country. The ruling was the final blow to Bush Jr.’s lie that the Iraq War would “bring freedom” to Iraqis, who instead revile the u.s for killing a million of their brothers and sisters, destroying their economy and infrastructure, and bombing their most precious ancient sites.

January 6: Millions filled the streets of Tehran, Iran, following the drone killing of Major General Qasem Soleimani. Widely publicized footage of astounding mourning processions contradicted u.s Secretary of State Mike Pompeo’s hollow boasts: “We have every expectation that people not only in Iraq, but in Iran, will view the American action last night as giving them freedom, freedom to have the opportunity for success and prosperity for their nations. While the political leadership may not want that, the people in these nations will demand it.” Coupled with the late-2019 u.s retreat in Syria, it became clear that the empire was losing their war against the Shia Crescent.

January-February: Early in the new year raging forest fires in Australia grabbed world attention. Fires incinerated over 45 million acres and caused almost 500 deaths, either directly or as a result of smoke inhalation. Ecologists estimated that over one billion mammals, birds and reptiles were killed, including about eight thousand koalas. Climate change and destruction of the environment, spurred by decades of conspicuous consumption and a dependence on fossil fuels, are the results of an anarchic capitalist economic system that profits from waste and obsolescence. The u.s produces over 30 percent of the planet’s waste but holds about 4 percent of world population, a profligate lifestyle they imagine can be exported globally.   

March 10: China announces victory in the struggle against the COVID-19 virus. To date, they’ve reported one death and a handful of cases since mid-April. Following strong measures to combat the pandemic including mandatory lockdowns and mask use, antibacterial dousing of public spaces, contact tracing, and regulating travel, China emerged as the global leader in pandemic defense. As a result China represents the one significant national economy that didn’t slump in 2020 and the world’s “only major growth engine,” according to Bloomberg. They dealt an additional blow to imperialism by sending doctors and equipment to the rescue of NATO countries, notably Italy, France, and Spain, or to stalwart u.s allies such as Brazil, Indonesia or the Philippines, in addition to helping numerous resistance nations including Palestine, Venezuela, Cuba, Syria, Iran, and Iraq, and African nations such as Algeria, Ethiopia, Nigeria, Sierra Leone, South Africa, or Zimbabwe.

April 6: Prominent right-wing political figures and news sources shared the story that Nicaraguan President Daniel Ortega had died of COVID-19. In reality Nicaragua had recorded only one death. Camera-shy Ortega made a rare televised speech on April 15th denouncing the u.s empire for spending trillions of dollars on bombs and war but refusing to provide basic free health care for their people. By December, the u.s death rate for COVID-19 was 40 times that of Nicaragua. 

April 20: A blitz of news regarding the death of Kim Jong-un filled all mainstream media. With the pandemic claiming lives around the world this story became huge. Unsurprisingly the lie originated with media funded by the u.s regime-change operation National Endowment for Democracy (NED).

May 3: Venezuelan fishermen foiled the Operation Gideon armed invasion led by former green berets employed by private security company Silvercorp. In March trump placed a $15 million bounty on Maduro, with predictable results. Following the arrest and confession of Silvercorp founder Jordan Goudreau, we learned that u.s officials and their Venezuelan puppets juan guaidó and leopoldo lópez planned and funded the attack. Goudreau even presented documents to prove it. Eight mercenaries were killed, seventeen were captured. The photo of prostrate commandos in front of the Casa of Socialist Fishermen was cited as one of the year’s best.

May 24: Anti-imperialist nations, locked out of world markets by u.s sanctions, were starting to team up. On this day Iranian oil tankers, escorted by boats, helicopters and planes of the Bolivarian National Armed Forces (FANB) of Venezuela, broke the blockade and landed in El Palito.

May 25: The public lynching of George Floyd horrified the world. In the middle of the street, in broad daylight, while being filmed, a Minneapolis police officer kneeled on George Floyd’s neck for over eight minutes, until Floyd breathed no more. One of over 1,000 murders by u.s police in 2020, Floyd’s killing sparked massive spontaneous protests across the u.s in every city and town. Widespread arson and looting occurred and an army of live streamers shared daily demos, speeches, and police brutality, for those at home. The protests raged for months and had many peaks. The empire deployed the National Guard, military helicopters, and by July were using unidentified troops in black vans to kidnap protesters. At least 14,000 civilians were arrested, and 19 killed, in the protests.

May 28: Protestors torched the Minneapolis’ 3rd Precinct police headquarters, where George Floyd’s killer worked. Police forces had fled the building. The incendiary images provided some of the year’s most widely shared and beloved photographs.

May 31: u.s president trump was taken to a fortified bunker as thousands of protestors besieged the White House and threatened his life. Eventually the empire’s security forces established a perimeter around the president’s residence, with multiple layers of fencing, and fought a pitched battle with bottle-throwing protestors for weeks on end.

https://www.theguardian.com/us-news/2020/jun/03/trump-bunker-george-floyd-protests

June 3: Cristobal makes landfall in Louisiana, the first of a record-breaking five named storms to hit the state in 2020. Lake Charles, a city that held almost 80,000 people, immortalized in The Band’s “Up On Cripple Creek,” will never recover. Over 45,000 homes were damaged, insured losses topped $10 billion, and thousands of residents are still displaced.

June 20: After tweeting that “almost one million people requested tickets for the Saturday night rally in Tulsa, Oklahoma!" trump spoke to only 6,000 supporters and over 13,000 empty seats. He was trolled by K-Pop fans and teens on Tik Tok who had bought up all the tickets and created fake hype around the event. Photos of a dejected trump leaving the rally were wildly popular.

August 19: Out-of-control California wildfires began to gain international media attention. By this day over 350 fires were already burning. The state went on to record over nine thousand fires, burning about 4 percent of the state’s land, by far the worst wildfire season in California’s history. The smoke from the fires, which are still burning, will create a miniature nuclear winter, contributing more carbon dioxide into the atmosphere than all the cars, cities and industries in the u.s during an entire year, and release energy equivalent to “hundreds of hydrogen bombs.”

October 6: Enormous protests erupted across Indonesia in the wake of the government’s passing of an Omnibus Law that undermines workers’ rights and the environment. The law was enacted November 3; protests are ongoing and have resulted in the arrest of at least six thousand civilians including 18 journalists.

October 13: In recognition of their success in maintaining the “highest standards in the promotion and protection of human rights,” both Cuba and China were elected to the United Nations Human Rights Council.

October 18: Luis Arce, candidate of the Movement for Socialism (MAS), swept into power by trouncing Carlos Mesa in Bolivia’s presidential election, gaining 55 percent of the vote to Mesa’s 28 percent. The results put the lie to claims by u.s-backed Organization of American States (OAS) that the 2019 elections, in which Evo Morales was elected to a new term, were fraudulent. Arce’s election vindicated those who had argued for a year that Morales was deposed in an illegitimate, u.s-sponsored coup. Coup dictator jeanine añez and her coterie of imperialist supporters were panned worldwide. añez was captured trying to flee the country while other offending politicians, such as Minister of the Interior arturo murillo, and Minister of Defense fernando lopez, escaped.

October 25: In response to gigantic demonstrations that began in October, 2019 and still haven’t let up, Chile held a Constitutional Referendum. The main objectives of the ongoing protest movement are the removal of president piñera and of the pinochet Constitution that made Chile “ground zero” for the failed neoliberal experiment. To date over 2,500 Chileans have been injured, almost three thousand arrested, and 29 killed in the protests. In the October 25 referendum 80 percent voted for a new constitution, and chose to have it drafted by a Constituent Assembly elected by the people.

November 3: trump’s loss in the u.s presidential elections wasn’t really a defeat for imperialism because biden’s regime will prove to be just as bad, or worse,  for targets of the empire.

Nevertheless, it felt like a victory for a couple of reasons. Firstly, because trump embodied outright neo-fascism and was supported by the most reactionary, racist yankees. Secondly, because, following his electoral defeat, trump and his entourage resorted to every possible ruse that CIA regime-change operations have employed in other countries for decades: crying fraud, attacking voting centers, and denouncing imaginary communists. “trump did more for the liberation of humanity from Western imperialism, because of his crudeness, than any other u.s leader in history,” commented political analyst Laith Marouf. “The latest example was him calling the u.s elections a fraud. With that he made it impossible to undermine the elections in Venezuela.”

November 11: Evo Morales returned to Bolivia exactly one year to the day after his ouster. His return was celebrated by multitudes, and hailed as a “world historic event.” Morales assumed his place as head of MAS and as an eminent spokesperson against imperialism.

November 23: While u.s reported their largest increase in poverty since they began tracking data, China announced that they had lifted all counties out of poverty, and eradicated extreme poverty across the Republic. Since 1978 China has lifted over 850 million out of poverty, according to the World Bank.

November 25: Cuba’s Foreign Minister Bruno Rodriguez Parrilla revealed links between members of the San Isidro movement and the u.s embassy in Havana. The failed San Isidro campaign revolved around Cuban rapper Denis Solis, detained in Havana for failing to respect COVID-19 regulations and assaulting a police officer. A small group went on a highly publicized "hunger strike" demanding his release and claiming that Cuba was repressing dissent. Meanwhile Cuba's government and investigative journalists revealed the ties, including funding and numerous meetings, between San Isidro group members, Miami-based right-wing agitators and u.s politicians in Cuba. The rapper in question, Denis Solis, didn't help his case by yelling "trump 2020!" at Cuban police officers in a video he filmed and shared himself a few days after trump had lost the election.

November 26: Over 250 million took to the streets in India, reported as the “biggest organized strike in human history,” protesting new laws that will attack farm workers and subject the nation to inequitable neoliberal doctrines. Huge masses of demonstrators marched on Delhi from neighboring states. They met barricades, roadblocks, armed security forces, teargas and all manner of obstructions, but dismantled everything and reached their target. "They are trying to give away agriculture to capitalists, just like they sold so many of our important public sector companies across India," said a spokesperson. "Through this relentless privatization they want to further exploit farmers and workers."

December 6: Venezuela’s Parliamentary Election resulted in a landslide victory for Maduro’s Chavista party PSUV/GPP, breaking a deadlock in Parliament that had lasted for five years, and ushering in a new era in Venezuelan politics that will last until the end of Maduro’s term in 2024—barring a military invasion, assassination or successful coup by imperialist powers.

The upcoming year certainly holds more of the same in store for us: embarrassments for imperialism, hundreds of thousands of preventable COVID-19 deaths, and a doubling-down on capitalism’s claims that it provides the only way forward, evidenced by the hubris of promotional efforts for The Great Reset.

 

 

Notes

[1] Kolata, Gina. Flu: The Story of the Great Influenza Pandemic of 1918 and the Search for the Virus That Caused It. Farrar, Straus and Giroux, 1999

Challenging Neoliberal Complacency: The Future of Leftist Organizing

By Mahnoor Imran

Republished from Michigan Specter.

The lesser evil has prevailed. President-elect Joe Biden and Vice President-elect Kamala Harris have defeated the demagogic megalomaniac in the White House otherwise known as Donald Trump. However, in the middle of a mismanaged pandemic that has cost hundreds of thousands of lives, nationwide protests against the epidemic of police brutality, and the looming threat of climate change, Biden’s insipid promise of returning to some semblance of normalcy feels uninspiring. A return to the pre-Trump status quo will not actively transform the material conditions of the working class, and a massive shift in the political paradigm is desperately needed.

Although their win has prompted celebration, there is something to be said about the failure of establishment Democrats to provide compelling narratives that take on Wall Street, insurance companies, and the fossil fuel industry. Though progressives and leftists are frequently vilified for expressing concerns about the incoming Biden-Harris administration, both Biden and Harris have problematic records that warrant criticism about their vision for the future.

Last year, Biden assured his wealthy donors that “nothing would fundamentally change” if he were elected, once more reminding us that elite centrists will always prioritize the interests of the ruling class. Despite having an atrocious record of racist tough-on-crime policies, Biden operated his campaign under the assumption that people of color were obligated to vote for him simply because he was not Trump. In addition to these things, many resistance liberals have conveniently forgotten about him leading support for the Iraq War, the Obama-Biden administration carrying out mass deportations that ripped families apart, his inappropriate displays of unwanted affection toward women, and credible sexual assault allegations against him. As Attorney General of California, Harris fought hard to keep the wrongfully convicted in prison, withheld evidence that would have freed incarcerated people, criminalized and imprisoned parents because their children were truant, and received criticism from the transgender community for denying gender-affirming healthcare and banning forums that sex workers use to protect themselves.

In the next four years, the Biden-Harris administration will continue to champion neoliberal governance and imperialist interests. Their transition team is filled with wealthy corporate executives and lobbyists from companies like Uber and Amazon who are entirely disconnected from the struggles of the working class. The team also comprises Obama administration alumni like Cecilia Muñoz, President Obama’s top immigration advisor who continually justified harsh immigration enforcement policies and rationalized the separation of parents from their children.

Though centrism may have won at the top of the ticket, it proved to be electorally shaky. In fact, many moderates lost their seats or came dangerously close to losing their seats. Although Democrats tried to blame the Left for their own shortcomings, progressive organizers, many of whom were people of color, were the ones who helped secure Biden’s win in swing states. Black communities, indigenous communities, and Hispanic communities did the heavy lifting for a democracy that never worked in their favor. Representative Rashida Tlaib, who represents one of the most impoverished districts in the country, recently told Politico that “If [voters] can walk past blighted homes and school closures and pollution to vote for Biden-Harris, when they feel like they don’t have anything else, they deserve to be heard.” Instead of paying lip service to social issues and defaulting to vague bromides about unity, the incoming Biden administration owes these communities more than just a nod of thanks. They deserve a bold vision for the future of America.

The reality is that our nation’s current modality of political and economic operation is committed to half-hearted incrementalism and assumes that anything other than that is impossible. This concession to pragmatism inhibits real progress. The pursuance of middle-ground politics paves the way for excessive globalization at the expense of developing countries, corporate tax breaks paid for through austerity, and rhetoric about civility at the expense of communities of color.

Neoliberalism is degenerative. It allows for oligarchs to dictate our political agenda and influence our political process. It launches wars based on lies and makes billions in profits by selling arms to repressive regimes. It tries to convince us that the levers of the capitalist market are capable of producing equity and sustainability. It fuels a for-profit healthcare system that burdens people with thousands of dollars in medical debt. It maintains an egregious carceral system that disproportionately harms and kills black, indigenous, Hispanic, immigrant, mentally ill, and disabled communities. It deceives us into believing that individual hard work is the key to amassing wealth and achieving the American Dream. It generates cult-like infatuations with billionaires who would be nothing without government subsidies and the workers whom they underpay and exploit.

When governments abandon their obligation to transform socioeconomic outcomes for the better, political efficacy diminishes. This points to the inextricable link between neoliberalism and the triumph of Trumpism. In four years, we may have hard-right candidates try to take the presidency again. In that terrifying prospect, the pullback might be stronger than the push forward. The only way to prevent this is for the Democratic Party to muster the moral and political courage to get behind popular movements and policies like the Green New Deal, Medicare for All, and defunding the police.

Unfortunately, both Biden and Harris have spent a considerable amount of energy contemptuously distancing themselves from progressivism and denouncing socialism. Although the word “socialist” is used pejoratively by Republicans to lambaste any Democrat with a pulse, the more that Democrats try to distance themselves from progressivism and socialism as if they were inherently bad, the more it legitimizes GOP framing.

Instead of waiting out an interregnum in our political history, we must continue to fight for progressive policies that are actually popular among rural, urban, and suburban voters. The future for leftist organizing and movement building is far from bleak. In fact, 67% of Americans support increasing the minimum wage to $15, 69% support Medicare for All, and 63% support free public college.

Furthermore, 26 out of 30 of the Democratic Socialists of America’s nationally endorsed candidates won their races. All four members of “The Squad” — Representatives Alexandria Ocasio-Cortez, Rashida Tlaib, Ayanna Presley, and Ilhan Omar — have won their reelections and will be joined by progressive insurgents Jamaal Bowman and Cori Bush. Every single swing-seat House Democrat who endorsed Medicare for All won their race and 99% of Green New Deal co-sponsors won their races in this cycle.

Although Biden’s win has undoubtedly exacerbated neoliberal complacency, this is a critical moment to push for an unapologetic agenda that promotes justice, challenges structural racism, combats climate change, increases political accountability, dismantles institutions of oppression, and radically redistributes wealth. We can continue to organize by supporting indigenous sovereignty, fighting for police and prison abolition, developing ecosocialist frameworks for promoting environmental justice, and creating mutual aid networks. When we build community power and cultivate solidarity, we can rise above the forces of oppression, marginalization, and vituperation that threaten to destroy us. The horizon of a liberated future is within our line of sight. We just have to keep moving forward and pushing left.

Seven Theses on "Re-opening the Economy": Further Notes on Viral Dialectics

By Bryant William Sculos

1.  The economy is not—and never was—closed or shutdown.

At the peak of the global economic shutdown, it is likely that less than 50% of the economy actually shutdown. And for most of the initial “lockdown” period, much much less than 50% of the economy was inactive. Unskilled workers, sometimes having their hours cut, sometimes increased without overtime pay, magically became “essential workers.” While there is national and regional global variance, this is nearly universally true. Of course, many millions—if not billions—have lost their jobs around the world. Some of these are entertainment or hospitality/comfort service workers, but many are truly essential care and educational workers. The real backbone of the capitalist economic system has been endangered, hyper-exploited, or otherwise cast off. The stock market thrives all the while. Maybe, just maybe, we should actually shutdown this foundationally unjust world order.

2.  The cure is worse than the disease.

The shutdown—and this weird post-shutdown partial shutdown period—has caused enormous harm to countless people. Actually, we could count them, but the people who make those decisions about what to count (and what counts) don’t care enough. It is because of the literal insanity of our system that people are literally being driven insane, into the depths of emergent and exacerbated mental illness. People are killing themselves because of the responses to COVID-19. But that isn’t because we shut down, but rather it is because of how we shutdown, without coming close to addressing long-preexisting social inequities that were barely below the surface—if below the surface at all. This is no cure at all. The most vulnerable are either dead or more vulnerable; the safe and secure are, for the most part, at least as safe and secure as they were before.

3. The disease is worse than the cure.

An economy isn’t a thing that is capable of caring. In the midst of a mass pandemic where likely well-over a million people have already died, we should care about something that has never cared about us? How could it? Economies are systems that reflect the distributions of power and then the character of the values and priorities of that society. The responses to COVID-19 are perfectly in-line with the systemic values of capitalism. As the infamous graffiti reminds us, capitalism is the virus. A COVID-19 vaccine won’t change that. There is a vaccine for capitalism, and it is up to all of us to find it (really, to create it, in practice) together.

4. Yes, the economy is more important than your grandma.

And it always has been. It is more important than you too! It shouldn’t be though. It doesn’t have to be, but if we look at the absolutely wretched state of elder care in the US and around the world, we shouldn’t be surprised to hear actual alive human beings—elected officials and policymakers no less—suggest that grandparents should be willing to sacrifice their lives on the altar of capitalism. Think about that. These people have been made completely fucking psychotic. Then again, before COVID-19 too many of us accepted this basic logic on a daily basis.

5. We really should compare this to the flu.

Not that COVID-19 is as serious as the seasonal flu—a mistaken thought I had and quickly abandoned in early March 2020. And yet, seasonal flu is an enduring civilizational challenge that we too easily accept as intractable, beyond what we’ve achieved thus far with the existing vaccination protocols. We have, occasionally more than 50% effective, vaccines that people need to take every year. Still, we have hundreds of thousands of people dying annually from the flu. Perhaps millions are saved, yes. But how many billions of dollars are made by the health care companies that make and distribute these vaccines? Vaccines that—while better than nothing—are still wildly inadequate. There are political-economic lessons we must learn from how the flu is treated, and we must refuse to allow the same things to happen with COVID-19, a much more serious problem.

6. Don’t let them bring evictions back.

We should be paying more attention to the fact that right now, in many places (but, perhaps, most notably in the US), evictions are effectively non-existent. As banks, landlords, and local sheriffs still try to find a way to evict people, we should fight to get the prohibition against eviction accepted as a new political norm—even if the result of such a struggle is a compromise that simply makes it harder for people to be evicted.

7.  Physical distancing is new. Social distancing has been going on for a while. Since the late 1700s probably.

With the urbanization associated with the industrial revolution people have, over the past several centuries, lived increasingly close to one another. Physical proximity has increased along with the development and spread of global capitalism. During that same period, humanity has become increasingly socially-isolated. Family ties are less. Friendship bonds, while they may be maintained in more mediated form through social media, are perhaps stronger and more significant than ever before. Still, these bonds are not as powerful or enduring at this stage of historical social development as family bonds were prior to the advent of global capitalism—however oppressive and violent they indeed were. COVID-19 has merely exacerbated a problematic sociological pattern that was already with us. One wonders whether social ties will experience a jump in strength once COVID-19 is under better control, epidemiologically and medically speaking (likely only possible once mass vaccination is achieved).

Bryant William Sculos, Ph.D. is the founding curator and editor of LeftHooked, a monthly aggregator and review of socialist writing, published by the Hampton Institute, where he is also a contributing editor. He is a visiting assistant professor of global politics and theory at Worcester State University. Bryant is also the politics of culture section editor for Class, Race and Corporate Power and co-editor (with Prof. Mary Caputi) of Teaching Marx & Critical Theory in the 21st Century (originally published with Brill and now available in paperback with Haymarket Books).

 

The Protracted Crisis of Capitalism

By Prabhat Patnaik

Republished from People’s Democracy.

THERE is a commonly-held view that the current crisis in capitalism, which has resulted in a massive output contraction and increase in unemployment, is because of the pandemic; and that once the pandemic gets over, things will go back to “normal”.

This view is entirely erroneous for two reasons. The first which has been often discussed in this column, has to do with the fact that even before the pandemic the world economy was slowing down. In fact ever since the financial crisis of 2008 following the collapse of the housing bubble, the real economy of the world had never fully recovered. Small recoveries were followed quickly by collapses; and the low unemployment rates in the United States that had prompted Donald Trump’s triumphalism, were to a very large extent explicable by the reduced work participation rate after 2008. In fact if we assume the same work participation rate in 2020(just before the pandemic), as had prevailed on the eve of the financial crisis, then the unemployment rate in the U.S. was as high as 8 per cent as compared to the less than 4 per cent mentioned in official figures.

This slowing down in turn has been a result of the operation of neoliberal capitalism which has massively increased the share of economic surplus in output, both within countries and also at the world level, by keeping the vector of real wage-rates unchanged, even as the vector of labour productivities has increased; and this increase in the share of surplus, or this shift from wages to surplus, has lowered the level of aggregate demand for consumption goods, and hence of overall aggregate demand, as workers spend more on consumption out of a unit of income than the surplus earners.

The pandemic has occurred in this context, so that even after it gets over, the world will still be stuck with the crisis of over-production which had already engulfed it well before the pandemic. To get out of this crisis it is necessary to use State expenditure, provided such expenditure is financed by either taxes on capitalists or by a fiscal deficit ; State expenditure financed by taxes on workers will not help, since workers consume the bulk of their incomes anyway, so that State demand only substitutes workers’ demand without adding to aggregate demand.

But neither fiscal deficits nor taxes on capitalists are liked by finance capital, so that State expenditure as an anti-crisis measure is ruled out. This means that, even after the pandemic is over,not only will the crisis continue, but it will do so without any counteracting measures, at least as long as neoliberal capitalism lasts. This crisis therefore marks a dead-end for neoliberal capitalism.

There is however a second reason why even after the pandemic gets over, capitalism will still remain engulfed in a crisis; and this has to do with the fact that even if the demand for consumer goods recovers to the level where it had been before the pandemic, investment goods production will still remain below what it had been, and this very fact will also ensure that even the consumer good output does not get back to the level where it had been before the pandemic. This is what happens when an economy receives a major shock, of the kind that the pandemic represents for the world economy.

An example will make the point clear. Suppose before the pandemic the economy was growing at 2 per cent per annum. Then capitalists, anticipating a 2 per cent rate of growth, would have been adding to their capital stock also at 2 per cent. If the capital stock was 500, output was 100, then investment would have been 10, and consumption would have been 90. Let the share of post-tax profits and post-tax wage-bill in total private post-tax incomes be 50:50; and let all wages and 75 per cent of profits be consumed. If government consumption (assuming a balanced budget for simplicity) happens to be 20, then this 90 of consumption would have been divided as 20 by government, 30 by capitalists and 40 by workers.

Now, suppose, for argument’s sake, that after the pandemic, consumption recovers to 90. All of it can be produced by the existing capital stock requiring no additional investment. Moreover, there is no reason why the capitalists should expect output to grow at 2 per cent next year; so they would not add 10 to capital stock as they had done before the pandemic. Let us assume that they add only 5 to capital stock, and wait to see what happens before deciding to add any further to capital stock.

Two things will happen in such a case. First, in the capital goods sector, output will be only half of what it had been before the pandemic; likewise capacity utilisation in the capital goods sector will be only half of what it had been before the pandemic. Second, even the consumption demand of 90 cannot be sustained. Assuming the same ratios as above, an investment of 5, which must equal private savings, will generate a total consumption demand of only 55 (given by 20 of government+15 of capitalists out of total post-tax profits of 20 + 20 of workers). Total output will be only 60, equalling consumption of 55 and investment of 5.

The 90 of consumption therefore, which we assumed the world economy to reach, for argument’s sake, will not even materialise. The consumption goods sector’s capacity utilisation will be 61 per cent of what it had been before the pandemic (55 divided by 90). This will be higher than the ratio of capacity utilisation in the investment goods sector compared to what it had been before the pandemic (in fact it will now be only 50 per cent of what it had been earlier).

Any severe external shock to the capitalist system has this effect, namely that investment recovers only after a long time; and precisely for that reason even the recovery of consumption, though less delayed than the recovery of investment, also takes a fairly long time.

In other words, even if there had been no crisis of over-production engulfing world capitalism before the pandemic, the sheer external shock represented by the pandemic would have kept the system mired in crisis for quite a long time. The existence of an over-production crisis predating the pandemic only makes matters worse.

This is exactly what had happened in the U.S. in the recovery from the Great Depression of the 1930s. The consumption goods sector had recovered relatively faster than the investment goods sector, as a result of Roosevelt’s New Deal which had enlarged government spending. The recovery of the investment goods sector occurred only when there was an increase in armament expenditure in preparation for the war, which is why it is said that the recovery from the Great Depression was made possible by the war.

But the New Deal had meant larger government spending which is why at least the consumption goods sector had recovered somewhat, even before the war. Globalised finance capital today does not even allow larger government spending within any economy, either by taxing capitalists or by enlarging the fiscal deficit, the only two ways that such spending can increase aggregate demand. Therefore even the depression in the consumption goods sector will last much longer that in the 1930s, so that, altogether, world capitalism will remain sunk in a protracted crisis for a very long time.

In an economy like India where the government obeys the dictates of finance capital quite slavishly, the prospects of recovery are even bleaker. None of the measures adopted by the government to revive the economy addresses the issue of demand, because the government does not understand that the crisis is because of insufficient aggregate demand. In fact, the government measures are such that they will only aggravate the deficiency of aggregate demand, thereby worsening the crisis rather than alleviating it. As the crisis gets aggravated, however, the government will resort even more strongly to repression against the working people, and intensify even further its communal agenda.

COVID-19, Marxism, and the Metabolic Rift

By Sagar Sanyal

Originally published at Red Flag.

The COVID-19 pandemic is far from a purely natural occurrence. Respiratory viruses like SARS-CoV-2 (the virus that causes COVID-19) that exist in populations of birds and various mammals such as pigs, horses, cows and humans, are nothing new. But the circulation of these viruses between species, and the frequency of viruses spreading from animals to humans, has increased in recent decades, and changes in the relationship between human society and nature have been the main driver of this.

The origin of COVID-19 and the vector for its spread to humans are still under investigation by scientists. The closest variant of the virus has been identified in bats, and it’s possible it was transmitted to humans through wild meat or bush meat markets, perhaps via pangolins. Whatever the exact origin and vector, however, the jump from animals to humans fits a familiar pattern, one long understood by epidemiologists.

The destruction of nature by capitalist industry plays a big part. As forests and other areas untouched by human development are destroyed, wild species like bats are forced out to forage for food in urban centers. Those wild species carry diseases that previously remained confined to forests and only rarely infected humans – never enough to cause an epidemic. But now this migrating wildlife comes into more frequent contact with large human populations. Sneezes and droppings from wild animals spread the virus to other animals that humans handle more often – like pigs, chickens or, as with the MERS outbreak in the Middle East a decade ago, camels.

Evolutionary biologist Rob Wallace, author of Big Farms Make Big Flu: Dispatches on Influenza, Agribusiness, and the Nature of Science, is among the writers who for years have warned of the increasing likelihood of such epidemics. On COVID-19 specifically, Wallace and his collaborators emphasize how the wild meat sector fits into the broader context of industrial food production. “How did the exotic food sector arrive”, he asks, “at a standing where it could sell its wares alongside more traditional livestock in the largest market in Wuhan? The animals were not being sold off the back of a truck or in an alleyway”.

Increasingly, according to Wallace, wild food is being integrated into the mainstream of the capitalist food market. “The overlapping economic geography”, he writes, “extends back from the Wuhan market to the hinterlands where exotic and traditional foods are raised by operations bordering the edge of a contracting wilderness. As industrial production encroaches on the last of the forest, wild food operations must cut farther in to raise their delicacies or raid the last stands”.

Right wing news outlets more interested in racist scapegoating than in facts made a big deal of the wild meat issue, as if the world would have been spared the virus if only Chinese consumers had stuck to eating chicken or pork. But that is a false narrative. Since the 1990s, several deadly strains of bird flu and swine flu have developed and spread from industrial farms of chickens or pigs, including in North America and Europe, as well as in China.  

It has long been understood why these places breed disease. The animals are crowded into feedlots under conditions that run down their immune systems. The genetic monoculture of these populations takes away the natural diversity that reduces the prevalence of diseases. As farmers try to minimize time from birth to slaughter, this has the perverse consequence of acting as a natural selection pressure for pathogens that can survive more robust immune systems. All these things mean diseases can spread very fast within industrial herds and flocks. The cost cutting imperative means that work conditions (like protective equipment) are so poor that farm laborers are highly vulnerable to catching viruses from these animals.

The danger to humanity from such practices was reinforced in June, when scientists discovered a number of new strains of swine flu with pandemic potential circulating among pigs on farms in China. Although the strains, collectively referred to as G4 viruses, don’t appear currently to be able to spread between humans, around 10 percent of blood samples taken from farm laborers showed evidence of prior infection. All it would take is a small mutation and one or other of these viruses could start jumping from human to human and spread rapidly through the broader population, just as has occurred with SARS-CoV-2.

Marx and Engels’ groundbreaking work on the relationship between human society and nature in the context of the emergence of capitalism as a global system in the 19th century can help us understand the destructive dynamics underlying these developments. Central to their work in this area was the idea of the “metabolic rift”. All living things have a metabolic relation with their ecological surroundings, taking in certain things and putting out waste. When it comes to humans, Marx and Engels noted that our metabolism with the rest of nature is not due to our biology alone, but also to the kind of society we’ve built. To understand human metabolism with nature, we thus need social science in addition to natural science.

The metabolic rift has both historical and theoretical aspects. On the historical side is the displacement of peasants and peasant farming methods from the countryside, and their corralling into towns to create the modern working class. Workers, unlike the peasantry, had no means of livelihood of their own, and therefore had to move around to find waged work, crowding into the cities where that work was concentrated. One consequence of this was that, instead of being reabsorbed back into the local environment, human waste now collected in vast pools in the cities.

This process was the main driver of the soil fertility crisis that struck Europe in the late 19th century. By displacing the peasantry, and forcing more and more people into the cities, capitalism, Marx wrote, “disturbs the metabolic interaction between man and the earth, i.e. it prevents the return to the soil of its constituent elements consumed by man in the form of food and clothing; hence it hinders the operation of the eternal natural condition for the lasting fertility of the soil”.

What about the theoretical aspect? The rift isn’t just about the natural effects they observed, but also their social cause. It is a rift in social relations: the forcible conversion of a peasantry into the modern working class.

Peasants farmed a plot of land to which they had customary right over generations. They controlled their own labor process, and this meant there was a feedback mechanism between their labor and its effects on the land. If they depleted the soil and thus threatened their livelihood, they could adjust their methods of work accordingly. Peasant farmers had, over many generations, developed practices to maintain soil fertility through crop rotation, cycling between crops and pasture to ensure manuring, and returning human excrement to the fields. Peasant methods of labor were the main factor in the metabolism between feudal society and the rest of nature. Feudal lords would leave peasants to farm as they wished, then take a portion of the produce.

By contrast, the capitalist mode of production involves the capitalist dictating the labor process, and then just hiring laborers to do what they are told. As capitalist farmers emerged, they realized more money was to be made by cutting out the aspects of peasant farming practices that had no immediate pay-off (even though they maintained soil fertility) and focusing just on the highest earning aspects.

Around the same time the first factories were bmetabloismeing established in towns, and the emerging capitalist class and the state that served them realized that wages could be forced down if large masses of former peasants were concentrated in a handful of industrial areas rather than scattered across a large number of small population centers. During the 18th and 19th centuries, vast numbers of peasants were driven from the land by a combination of brute force and legal changes (such as the Enclosure Acts). Out of this uprooted peasantry, the modern working class was born.

A new dynamic began to shape social metabolism with nature. Unlike the peasants who worked the land directly, capitalist farmers and the new captains of industry were far removed from the destructive consequences of their activities. So long as they had workers prepared to exchange their labor for a wage (and the desperate poverty in which most people lived ensured that there was no shortage), they could turn a profit, even if their actions were detrimental to the natural world on which their business ultimately depended. If they destroyed the land, they could use the profits they had made to buy more land elsewhere. More often, however, the destructive consequences of their activities were simply externalized – the poisoning of the air and water in factory districts, which had a major impact on the lives of workers in this period, provides a clear example.

From this point on, what was produced in society and through which methods was determined by the profit motive and competition among rival capitalists and nation-states. The impact of production on the natural world became, at best, an afterthought. A new dynamic was driving society’s metabolism with nature – one that would create environmental disasters on an ever widening scale.

Scientists who study the origins of diseases have been telling us for decades that we will continue to have outbreaks of novel viruses that hop from other animals to humans because of how we farm animals and how we destroy wilderness. This advice is ignored, just as the advice of climate scientists is ignored, because acting on it would require breaking from the profit-driven logic of capitalism.

Where it’s a choice between booking short-term profits and taking a hit to profit to address potentially destructive consequences in the longer term, capitalists will always put profit first. They, after all, can escape the consequences of their actions. They spend their days in air conditioned offices, unlike the farm laborers who spend their days surrounded by hundreds of pigs riddled with swine flu. In a pandemic, capitalists can hide away in their country mansions and, in the event that they fall ill, can pay for the very best of medical care.

For workers it’s a different story. We’re the ones on the front lines of the battle against COVID-19, not through our own free choice, but through economic necessity. For the vast majority of workers around the world, stopping work isn’t an option. We must work to survive, even if in doing so we are actually putting our lives at risk. This suits the capitalists very nicely. The COVID-19 pandemic arrived at a moment when the world economy was already struggling. The ruling class, whether in Australia, the US or any other country, is desperate to limit the economic damage from the crisis, even if that means many more people will die.

If workers ran the world, it would be very different. It would make no sense for us to ignore the warnings of scientists about how industrial agriculture and environmental destruction are fueling the emergence of new diseases, for the simple reason that we’re the ones who will suffer when they appear. We don’t have a stake in the relentless scramble for short-term profit that defines capitalism today. We can organize production – both what we produce and how we produce – with human health and environmental sustainability in mind.

In the current pandemic, that might mean shutting down all but the most essential parts of the economy to slow the spread of the virus, while ensuring other workers are paid to stay home. In the longer term, it would mean reshaping animal agriculture to limit the potential for it to function as a petri dish for the emergence of deadly diseases.

This is how Marx envisaged the metabolic rift being healed. “Freedom in this field”, he wrote in volume 3 of Capital, “can only consist in socialized man, the associated producers, rationally regulating their interchange with nature, bringing it under their common control, instead of being ruled by it as by the blind forces of nature; and achieving this with the least expenditure of energy and under conditions most favorable to, and worthy of, their human nature”.

Such freedom will never exist under a capitalist system in which the drive to profit rules. The first step in fixing the metabolic rift is to make our labor our own again. That means taking it back from the ruling class.

Working From Home: The Silver Lining of the COVID-19 Pandemic

[Image Credit: Alessandro Massimiliano/ Getty Images]

By Cherise Charleswell

During this unprecedented global coronavirus pandemic there has been a great deal of uncertainty, hardships, frustration, and unfortunately – loss of loved ones, so it makes it exceptionally difficult to recognize any positivity during these trying times. As our existence becomes more and more precarious, and it feels like we are failing miserably on this team assignment to combat this virus and slow the spread of infection, I want to point out a sliver of hope, and the silver lining that has come out of this pandemic.

To truly understand what I’m going to share please consider one of the main reasons why the COVID-19 pandemic is unprecedented. This has to do with the fact that we, our global community, all homo sapiens are more connected than we have been during any other time in human history. In a sense, globalization has been completed. We can board a plane and get to the most remote parts of the world within hours, use high speed rail (outside of the United States, of course, because our infrastructure is poorly lacking) and crisscross a country within hours, and there are many far flung Diasporas where certain groups, whether identified by nationality, race, or ethnicity, can be found in parts of the world that is a great distance from their country/region of origin.

And there is no doubt that we’ve benefited from this connectedness.  We’ve benefited in terms of learning about different cultures, tasting and falling in love with various cuisines, establishing meaningful friendships, and we could only hope, that we’ve learned more about tolerance, respect for others, and the importance of upholding human rights across the world.

Unfortunately, at this time, we are losing the Microbial Arms Race, which is a war that began with our early human ancestors and involves a competition between humans and microbes; where microbes are constantly adapting (mutating) to overcome barriers to their ability to infect our bodies. These barriers have include the complexity and evolutionary adaptability of our own immune systems, improved sanitation practices, as well as the use of vaccines and drugs/therapeutics. One of the most well-known “superbugs” is methicillin-resistant Staphylococcus aureus (MRSA), an especially difficult-to-treat variety of the disease-causing bacteria staph. MRSA and other antibiotic-resistant bacteria stand proof that bacteria have learned to outsmart us much faster than we can invent new treatments.

Our current connectedness and exploitation of the planet, uncovering unknown microbes for which we do not have any immunity, only exacerbates the situation, and has helped to fuel this pandemic. And it truly seems like the microbes are winning, as borders are closing – forcing  us to disconnect, and we have to cope with the reality that we are without immunity or any natural defense against COVID-19.

So, where is the silver lining?

It’s faint, but it’s there. And one place to find it, is when we look at the way that “working from home”  or “remotely” has helped to not only transform the lives of workers, and the dynamics of communities, but how this transition has positively impacted the planet.While we spend so much time focused on the microscopic organism and its threat, we must not forget the fact that we all call Earth home, and as Astronomer, cosmologist, astrophysicist, astrobiologist, author, and lecturer Carl Sagan stated, this “Pale Blue Dot” is home to all of us, all life forms, and it is the only place in the known universe that we can inhabit. Unfortunately and despite, knowing that we have no other planet or place to go, we’ve continued to harm and destroy this planet.

Prior to the COVID19 pandemic scientists had estimated that we had only 11 years left (as in until 2030) before we will have to cope with the devastating effects of global warming and climate degradation. Swedish teen activist Greta Thunberg who has been afforded the most attention by the international press, and other young activists, such as Isra Hirsi, Autumn Peltier, Bruno Rodriguez, Helena Gualinga, Mary Copeny, Delaney Reynolds, Kisha Erah Muana, Alexandria Villasenor, Vic Barrett, Katie Eder, have also been beating the drum, demanding climate action, and fighting for their, and our right to have a future. Seriously, as a Millennial, I would like to be able to live into my “Golden Years”!

For the young activists and other people from the Global south, island nations, and other nations at or below sea level, the situation is even more dire. Their lives, and my own family’s lives, will be impacted more greatly; and this includes the complete loss of homeland. Countries such as Kirbati in the South Pacific have actually already begun the process of vacating their island-nation, and re-settling it’s citizens. The worse and most ironic part about all of this is that those living in the Global South and marginalized people all around the world, hold the least responsibility for climate change and environmental degradation.  What is taking place is the result of the actions of people living in the “West”, more affluent nations, and their multinational corporations. These nations have built their wealth off of raping and exploitation of peoples and the very planet that we live on. All for manufactured wealth and profit. Not realizing that our greatest form of wealth has been this planet.

In short, capitalism and hyper-consumerism are leading us to the apocalypse.

So, let’s focus on some of the positive that COVID-19 and the resultant millions of people who no longer commute daily, no longer piling onto congested highways, and instead are working from home has done for the planet:

Internationally, the levels of air pollution has declined since early March when lockdown directives really began to go into effect. This is being tracked and confirmed by the number of nitrogen dioxide (NO2) emissions in the air; with NO2 being a marker of pollution.

The earth has gone quiet! Seismologist and other researchers have reported that there has been a noted drop in seismic noise, which could be the result of transport networks and other human activities being shut down.

More about the environmental benefits here, here, and here.

When you consider all of this it would seem like Mother Earth is healing, and we must really take some time to appreciate the fact, that we are witnessing the reversal of centuries of destruction, in merely a few  months’ time. That this small pause in destructive human activity, is all the earth needed to begin healing again.We must remember this, and realize that we have been presented with a great opportunity, and cannot go back to what we’ve been doing before.

It is no longer about surviving a virus, but surviving as a species, period.

The increase in the number of people working from home globally, has created this silver-lining.

I would like to present Six Shades of Silver to consider. These are the environmental and social benefits of having more people work from home:

  1. Environmental Protection: Less traffic, less utilization of gasoline, and a sharp reduction in all forms of commuting has without a doubt provided a benefit to the planet. Also, the fact that the “Outdoors” seem to be the only thing currently accessible “Outside” means that there are more people interested in exploring and preserving national parks, hiking trails, and other natural environments that they may have not visited before.

  2. No Bedroom Communities - When one really thinks about it, it didn’t really make any sense to force the majority of workers to pile into their cars, generally head in the same direction, and across overburdened  roads and highways, to join a slow procession of cars; in order to trade their labor for pay/wages. We can immediately do away with the phrase “rush hour” by increasing the number of remote workers.

    With remote work, more workers could opt to move away from over crowded urban centers and this may offer the benefit of not only improving quality of life, but may help to reduce homelessness, particularly in urban areas, where many find themselves residing in because of the proximity to jobs. Leaving housing in these areas, such as San Francisco, Los Angeles, New York, Boston, Washington D. C. limited and thus unaffordable.

    Let’s talk more about the lives of people who would no longer have to live in “bedroom communities” and who would instead be able to live in affordable, less congested, greener, and thriving communities that are located at a distance from urban centers. Rather than awaking at some ridiculous time in the morning in order to sit for an hour or more in traffic, and essentially abandon their communities until nightfall. These workers will have an opportunity to be active members of their communities and these communities won’t be deserted towns for most of the day.

    Non-commuting workers would have more time to spend with their children and families, to get out-and-about in their neighborhood, take a walk along a trail (a physical and mental health benefit that can increase longevity), prepare nutritious meals for breakfast and lunch rather than relying on eating snacks, junk food, and fast-food in a hurry at their desk or in their car during their commute. And working in the community that one lives means that there is a greater  opportunity to build bonds with neighbors and patronize local businesses. Retaining the workers who are often gone for 10-12 hours a day, 5 days a week, means that these communities will truly be able to “come to life”.

  3. Less Office Space/More Affordable Housing: Homelessness is a manufactured phenomenon. One that is brought about by accepted socioeconomic & political systems, such as capitalism, policies, and social norms. There is truly enough “room” or space to effectively provide shelter to all people on this planet. We simply do not do so, because we place more value on land and land use than we do on lives. This is why it is not uncommon to find buildings, houses, and other housing units sitting unoccupied in cities that have extreme problems with homelessness.

    Homelessness and poverty are inextricably linked. Poor people are frequently unable to pay for housing, food, childcare, utilities (heating & electricity) health care, and education. Leaving them with difficult choices to make when limited resources cover only some of these necessities. Often it is housing, which absorbs a high proportion of income that must be dropped. If you are poor, you are essentially an illness, an accident, a paycheck, and now a pandemic away from living on the streets.

    With the mass loss of jobs and the resultant unemployment and underemployment of workers, the COVID-19 pandemic is providing an opportunity to re-think, or finally admit that there is a problem in believing that some people are more deserving of housing than others. As we talk about stopping evictions of workers and business owners, we should also consider those who were not only evicted, but forced out of their homes due to increasing economic inequity and poverty and the lack of affordable housing prior to the COVID-19 pandemic. The current alarming rates of homelessness that we see with 2019 estimates being that 567,715 Americans experience homelessness on a single  night, have been growing over the past 40 years, and has been tied to the erosion of the  middle class, the massive transfer of wealth from workers to the 1%,  economic inequity - with 20% of families making more than half of all U.S. income, stagnant wages, and the exponential  growth in the cost of housing. Reagan’s trickle down economy was a trick, and no one knows  this more than those of us born during and after the Reagan era. We are the first generation in  American history to have a quality of life that is far worse off than the previous generation.

    With an increase in the number of workers working from  home, we can begin considering converting office spaces to residential use, and/or halting the  development of even more office buildings, and focus on building more affordable housing.  Further, “affordable” housing shouldn’t be something that is made available to workers living  well below the poverty line. We need to think of affordable housing in terms of something that  is accessible to the average worker. So, it is not about creating a program, checking eligibility,  and having social workers visit families placed in affordable units, its more about having enough  available units and homes that can be afforded by (meaning not costing more than 30-40% of  their salary) people making the median salary/wage in a city or county. “Affordable housing” truly needs to signify being able to afford to pay the rent or mortgage on a home based on one’s current wages.

  4. Families and Childcare: While most women are active members of the global workforce. Out of the world’s 197 countries, the United States and Papua New Guinea are the only countries that have no federally mandated policy to provide new mothers with paid time off. Policies, provision, and management of maternity leave is left up to states and individual employers. And the time off provided to expectant and new mothers in the United States pales in comparison to maternity leave in other countries. For example, in the “progressive” state of California, mothers can typically take up 12 weeks to bond with their child; and are expected to return back to work while their child is still an infant. In the United States paternity leave is nonexistent and quality childcare is extremely expensive.

    Remote work can decrease or eliminate these financial and logistical burdens for families, and allow time for more critical bonding between parent and child(ren). This is especially true when you consider getting back all of the time loss to commuting, which often leaves parents and their children with very limited time to actually interact before bedtime and preparation for the next day. Flexible work from home schedules means that parents can begin working earlier in the day, resume work later in the evening, or even take off a Wednesday, and catch up on work on a Sunday. The silver-lining is that working parents do not have to choose between being professionals, breadwinners, and having a presence in their child(ren)’s lives.

  5. Less Commuting, Coworkers Coughing, & the Potential To Contract Communicable Diseases: We all have our “war stories” where we arm ourselves with lysol, sanitizer, tissue boxes, etc. and enter our places of work, knowing that there would be many sick and infectious people passing by and working in close proximity. We avoid shaking hands, ask people not to use the phones on our desks, and begin to bob-and-weave the minute that we hear someone coughing. And we did all of this long before COVID-19. We did this because we knew that entering our crowded workplaces, particularly office buildings & warehouses where windows don’t open, and doors remain close for the most of the day, meant that it was likely for us to contract a disease, whether it be the common cold, flu; or more serious diseases such as meningitis or tuberculosis; which can readily spread in a workplace setting.Therefore, there can only be a benefit of decrease interactions with coworkers, collaborators, clients, and others; particularly during Flu season.

  6. Improved Work-Life Balance: Working from home not only allows a worker to save money, due to less of a need for gasoline or eating out for lunch, it further improves the work-life balance by providing workers more time for their families, for themselves, for rest (sleeping in rather than having to rush to catch a bus, train, or battle traffic), to workout, do yoga, meditate, and cook healthy meals. It allows them to actively implement self care into their daily routine rather than make it something that has to be planned for and scheduled by appointment. Far more can be accomplished when preparing for work, going to work, and actually working doesn’t take up 40-50% of the day or a 24 hours period.

The Need To Transform The Workplace

The COVID-19 pandemic has made, or should’ve made it clear to many employers that their businesses and/or organizations can continue to operate with their workers or most of their workers working remotely. This is why the job advertisements that state “temporary remote” really are nonsensical. If that position can be carried out by a remote worker for the unforeseeable future, as we wait for this pandemic to wane, why should the worker in that position return to working onsite?

Employers have to get out of the outdated view of employees as children who need to be micromanaged by babysitters (managers and supervisors) who glare at them through their office windows or as they sit in crammed cubicles. This need to supervise not only the output of workers, but also their movement, truly harkens back to the practice of blocking exits that was once utilized in the workplace prior to the infamous Triangle Shirtwaist Factory fire that took place in Manhattan’s Greenwich Village in 1911. On that day 150 garment workers who were mostly women and immigrants were trapped and killed when the building caught fire, and all exits remained blocked. A number of the women were photographed as they attempted to flee the building by jumping through the windows, and falling to their death. This horrific incident was witnessed by Frances Perkins, a sociologist, workers-rights advocate and the first women to be appointed to the U.S. Cabinet; where she served as the Secretary of Labor from 1933 to 1945, under President Theodore Roosevelt. Frances championed the cause of The Fair Labor Standards Act of 1938. The FLSA required that employers pay overtime to all employees who worked more than 44 hours a week, and by 1940 the 40-hour work week became U.S. law.

Henry Ford and his Ford Motor Company actually began popularizing the 40-hour work week prior to this landmark legislation, in 1914, after research confirmed his belief that working more yielded only a small increase in productivity that lasted a short period of time; hence too many hours of work were bad for worker’s productivity and a company’s profitability. 

When it comes to this continued need or desire to “babysit” that some employers have, one has to ask - Why go through the process of searching for the best educated, experienced, and professional job candidates, if you are going to treat them like children who are unable to set priorities and manage their own schedules?

We are long overdue for a Labor revolution, and the COVID-19 pandemic has only helped to illuminate this fact. It has forced us to rethink where, how, and when we work; as well as what & how much we are willing to sacrifice when we trade our time for wages. We should take the opportunity presented by the pandemic to make changes that match the current needs, lifestyle, and realities of the 21st century worker. The re-establishment and/or support of labor unions will be needed to usher in this change.

Transitioning workers whose jobs are performed in an office setting, using a computer, etc. to remote workers, should be a part of this Labor revolution. Remote work provides the opportunity to shift the focus of work from the amount of time dedicated to work, to confirming whether tasks and assignments are completed. With task-based work, workers are provided with far more flexibility and freedoms; especially since there is less emphasis on the time of day, or days that they work. And this is something that employers really need to consider, because forcing people to sit at a desk for 8 consecutive hours does not guarantee that they are going to spend all of that time working. Instead, they are likely to attempt to get other things accomplished during that time, whether it is taking an extending lunch in order to make a medical appointment, checking personal emails, responding to texts from family and friends, surfing social media, paying their bills online, getting caught up on gossip near a water cooler, or taking multiple informal breaks to grab coffee or tea, walk, stretch, and think; because it is truly difficult for human beings to sit still and stare at a screen for long periods.

Our bodies didn’t evolve to sustain this sedentary lifestyle. All of this again, makes the focus on how worker’s spend their time futile, and far from a true measure of productivity.

A 2014 report from AtTask shared the following response from 268 workers about how they typically spent their 8-hour work days:

  • 45% of the time was spent on primary job duties

  • 40% of the time was spent on meetings, administrative tasks, and “interruptions”

  • 14% of the time was spent responding to emails

Remote Work Also Offers Benefits To Employers

Here is a short list of benefits of remote work that employers should take the time to contemplate:

  1. Research has shown that engaged remote workers are more productive. And this productivity could also be contributed to having a healthier workforce where worker’s had more time for physical activity and where there were no concerns about spread of infectious agents, resulting in many workers having to take sick days.

  2. There are obvious cost-saving benefits to having employees work from home, and this includes less overheard expenses in form of office space leases, furniture, security, as well as utility costs. Outside of payroll and fringe benefits the other major expenses would only be providing employees with technology (computers, printers, web conference logins, etc.) and supplies to utilize at home to perform their jobs.

  3. Meetings would be fewer, shorter, and more meaningful. In person meetings tend to involve lots of casual banter, and may be used by people to lodge complaints and personal grievances that only involve few people in the meeting. When it comes to remote meetings, there is more of a desire and incentive to use the allocated time more wisely, which means stay on task and get through the agenda. There are already jokes about being “Zoomed out”, and this has led to more focused meanings and less frequent meetings. And remote work doesn’t have to mean the end of in person meetings, in a post-covid world, these types of meetings could always be arranged at local restaurants, cafes, coffee shops, or even in rental office and co-working  spaces; book through sites such as peerspace.com, easyoffice.com, or liquidspace.com.

  4. Employers will be able to use the cost savings to reinvest in the company, expand the organization and increase capacity, maximize profits, or increase employee salaries in order to retain the most productive and effective workers, but also attract additional talent.

  5. With remote work, employers can literally cast their nets wider and further, and tap into a larger pool of talented, educated, and experienced job candidates, rather than being limited by geographic location. More about how remote work attracts and retains top talent here.

The Reality

Our professions are greatly varied, so the reality is that not all workers will be able to transition to remote work, and this includes those deemed to be essential workers - who work in health care, agriculture, food service (especially supermarkets), law enforcement, fire, and first responders, construction workers, entertainers and athletes, and those working in human services; as well as workers in the service industries - cosmetologists, barbers, masseuses, and so on.

However, the COVID-19 pandemic has proven that many jobs can transition to a remote model quickly and efficiently , and these are the positions that we should focus on, because there are great benefits to the planet, to individual workers, to families, to communities, and even the companies when these workers stay home.

Finally, the best way to be prepared for and combat the next pandemic, or ensure that our planet remains habitable to human life, is by embarking on this radical change to the “workplace”. Like that of the early 20th Century, The 21st Century Labor Revolution is a matter of life and death.

Let’s stay home.

Cherise Charleswell is an unapologetic Black feminist, author/writer, poet, public health researcher/practitioner, radio personality, social critic, political commentator, independent scholar, activist, entrepreneur, and model who doesn’t believe in thinking or staying in one box. She is also a Founding member of The Hampton Institute and remains in an Advisory position. Her work has been published in various magazines, textbooks and  anthologies, websites, and academic journals; including The Hampton Institute: A Working Class Think Tank, New Politics, For Harriet, Black Women Unchecked, Zocalo The Public Square, Truth Out, Rewind & Come Again, Natural Woman Magazine, Kamoy Magazine, New Republic, Blue Stocking Magazine, Broad A Feminist & Social Justice Magazine, Obsidian Magazine, AWID Young Feminist Wire, Afro City Magazine, Role Reboot, Code Red for Gender Justice, Kalyani Magazine, Interviewing The Caribbean, TruthOut, Our Legacy Magazine, and Rival Magazine Los Angeles.

Cherise is of West Indian descent, with heritage from various Caribbean islands, & is an avid world traveler, visiting over 30 countries and counting. She can’t wait for Da’ Rona to go away so she can get back to traveling.

Here Comes the Second Wave

By Andrew Gavin Marshall

Originally published at Empire and Economics.

As the pandemic spread across the world, unprecedented lockdowns followed. Now, as many of those countries are in the early weeks of lifting restrictions, we see signs of what may be the start of the second wave of the COVID-19 pandemic. And we cannot rule out a second wave of lockdowns.

The spread of the viral pandemic resulted in one country after another beginning the process of shutting down its society. It began in Asia, spread to Europe, then to North America and across much of the rest of the world. By early April, half of humanity was living under lockdown.

The lockdowns were incredibly controversial. This time period will be seared into the collective human memory for as long as we all live. Its significance to our societies, our economies, our political systems and our own individual experiences cannot be overstated.

People have grown tired of the lockdowns, and understandably so. But business leaders and politicians feel worried about the economy most of all, and want to reopen in order to revive the economy.

Countries in Asia began the process of lifting the lockdowns last month. With the earliest cases of the pandemic and some of the more effective means of handling it, everyone was keeping a close eye on these countries as they emerged from restrictions.

South Korea marked the ending of the most strict social distancing measures last week. Within days, numbers of the infected began to spike. The spike in South Korea’s numbers resulted entirely from one man’s night out going to clubs. South Korean President Moon Jae-in warned Koreans to “brace for the pandemic’s second wave.”

The Chinese province of Wuhan, where the COVID19 outbreak first began and where the lockdown ended the previous month, experienced its first cluster of new infections.

Iran – one of the early epicentres of the epidemic – had lifted its lockdown. But on May 10, Iran put a region of the country under a second lockdown after a sharp increase of cases in the province.

Lebanon, after emerging from the virus and the restrictions nearly two weeks ago, has put the entire country again under a lockdown as infections started to spike. Just ten days after reopening, Lebanon announced a four-day lockdown of the country, prompting grocery stores to once again be quickly emptied of essential items. This is all taking place in the midst of the country experiencing a brutal economic and financial crisis, one which began prior to the pandemic, and resulted in massive protests and social unrest that began late last year and continued even in the midst of the pandemic, as hunger and desperation spread. (Meanwhile, many Americans were protesting because they want haircuts, to go golfing, and for their favourite restaurants to be opened again.)

Europe followed Asia’s example in the lifting of restrictions and ending of lockdowns. This is a slow process that looks different in different countries. Ultimately, however, it follows the same course of slowly removing restrictions and opening public spaces, schools, businesses and borders, and incrementally easing social distancing measures.

At the start of April, virtually all of Europe except for Sweden was under lockdown. By the second week of May, most of the continent had started easing restrictions. The United Kingdom was the only large European country to not be easing (as it was one of the last to impose a lockdown).

Last week, the World Health Organization (WHO) warned about proceeding “extremely carefully” in seeking to emerge from the lockdowns in order to avoid another spike in infections.

“The risk of returning to lockdown remains very real if countries do not manage the transition extremely carefully and in a planned approach.” – WHO Director-General Tedros Adhanom Ghebreyesus

“If lockdown measures are lifted too quickly, the virus can take off.” – Maria Ban Kerkhove, WHO epidemiologist

Within days of Germany starting the process of easing restrictions, cases began to spike. Not only the largest country in Europe (by population, economic weight and political power), Germany is also one of the more successful models of countries in dealing with the pandemic. Despite its size, deaths from the virus in Germany were fractions of those witnessed in Italy, Spain, the United Kingdom and France. Thus, with German infection rates starting to increase, fears grow of a second wave.

German Chancellor Angela Merkel warned, “We always have to be aware that we are still at the beginning of the pandemic… And there’s still a long way in dealing with this virus in front of us.”

The United States, with the most known cases of COVID19 in the world, has witnessed many individual states begin to reopen their societies in the past weeks. As businesses opened and people started to go to public places, infection rates began to spike in multiple U.S. states. The actual effects of reopening will take weeks to know, however. Though various official models suggest that we can expect a spike in cases and deaths over the coming weeks as a result.

Anthony Fauci, the director of the National Institute of Allergy and Infectious Diseases, one of the leading experts in the fight against COVID19 in the United States, warned on May 12 that if U.S. states reopened too quickly and ignored guidelines from public health authorities, “you will trigger an outbreak that you might not be able to control,” which would lead “to some suffering and death that could be avoided.” But, he added, “that could even set you back on the road to try to get economic recovery.” Doing so, he added, “could almost turn the clock back rather than going forward.”

A research paper from a Harvard economist examined the past Spanish flu pandemic of 1918, looking at the various successes and failures of lockdowns and openings. He concluded that an assortment of restrictions and lockdowns failed to save as many lives in the past because the duration of the lockdowns was for too short a period: four weeks (one month), on average. The lesson from this, he concluded, was that restrictions and lockdowns “have to be maintained for substantially longer than a few weeks. Most likely, 12 weeks work much better than 4-6 weeks.”

People have entered into a state of mental lockdown. Many have shut down to the overconsumption of information and simply grasp onto the hope that things seem to be opening and that, therefore, the worst is behind us and the future is simply a slow decline from present extremes. This is a very hopeful – and one might say naive – perspective. It is fine to hope for miracles, or even to wish them into being, but misguided to plan for them.

Instead, we should mentally prepare ourselves for a second wave of the pandemic and the potential for future lockdowns as a result. South Korea and Germany are among the most successful and advanced nations in dealing with the pandemic, and when their leaders are saying to “brace for the pandemic’s second wave” and that “we are still at the beginning,” we should take these claims seriously.

We are still in the early stages and months of this pandemic and in understanding the virus itself, so nothing can be said of the near and medium-term future with any certainty. Well, except for one thing: the virus is here now.

“Exactly how long remains to be seen… It’s going to be a matter of managing it over months to a couple of years. It’s not a matter of getting past the peak, as some people seem to believe.” – Marc Lipsitch, infectious disease epidemiologist at Harvard’s T.H. Chan School of Public Health

One wave of lockdowns and social distancing is not going to be enough in the long term. Thus, it is important to manage our expectations and understandings. The virus comes in waves and so we must become like liquid, more able to adapt to the contours of the wave and outlast its peaks and crashes.

Our societies must also become more adaptive. This means that we will need to be more willing to spend and support large segments of the population for extended durations of time. If our politicians and leaders do not meet these standards, widespread (unnecessary) suffering will result. But we can and we must adapt to the necessities and realities of the pandemic.

The pandemic does not have to be hopeless. We can and will get through this. But it is a test of our society and our civilization as to how we get through it. Do we prioritize reopening economies or do we prioritize keeping people safe? If we maintain or return to lockdowns, how do we address and meet the needs of the population confined to their homes? How do we meet the needs of those who don’t have the option to stay home?

There is hope in how we answer these questions and how we move forward through the pandemic and emerge from it. But it is important to not waste our hope on the empty notions that this is over or near its end. We are still in the beginning. There is more to come. Prepare yourselves mentally, arm yourselves intellectually, and plan accordingly.

Put your hope in the right places. But plan according to reality. Yes, we all want haircuts and to spend time with our friends and go out for a drink (or ten). But if the cost of that is to see tens of thousands more infections and thousands more deaths, I can make peace with some out-of-control hair. This “sacrifice” is nothing compared to the lives that will be sacrificed from reopening too early.

This is still the beginning. Plan accordingly.

Profitability, Investment, and the Pandemic

[Photo Credit: REUTERS]

By Michael Roberts

Originally published at the author’s blog.

Last week’s speech by US Federal Reserve Chair Jay Powell at the Peterson Institute for International Economics, Washington was truly shocking.  Powell told his audience of economists that “The scope and speed of this downturn are without modern precedent”. One shocking fact that he announced was that, according to a special Fed survey of ‘economic well-being’ among American households, “Among people who were working in February, almost 40% households making less than $40,000 a year had lost a job in March”!!!

Powell went on to warn his well-paid audience sitting at home watching on Zoom that “while the economic response has been both timely and appropriately large, it may not be the final chapter, given that the path ahead is both highly uncertain and subject to significant downside risks”. Indeed, if the continual downgrading of forecasts of global growth are anything to go by, then the number of optimists about a V-shaped recovery are beginning to dwindle to just the leaders of governments and finance.

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Another study projects that US GDP will decline by 22% compared to the pre-COVID-19 period and 24% of US jobs are likely to be vulnerable. The adverse effects are further estimated to be strongest for low-wage workers who might face employment reductions of up to 42% while high-wage workers are estimated to experience just a 7% decrease.

And Powell was worried that this collapse could leave lasting damage to the US economy, making any quick or even significant recovery difficult.  “The record shows that deeper and longer recessions can leave behind lasting damage to the productive capacity of the economy.”, said Powell, echoing the arguments presented in my recent post on the ‘scarring’ of the economy.

Powell reckoned the main problem in achieving any recovery once the pandemic was over was that “A prolonged recession and weak recovery could also discourage business investment and expansion, further limiting the resurgence of jobs as well as the growth of capital stock and the pace of technological advancement. The result could be an extended period of low productivity growth and stagnant incomes.”  See here.

And there was a serious risk that the longer the recovery took to emerge, the more likely there would be bankruptcies and the collapse of firms and eve n banks, as “the recovery may take some time to gather momentum, and the passage of time can turn liquidity problems into solvency problems.”

Indeed, last week, the Federal Reserve released its semi-annual Financial Stability Report, in which it concluded that “asset prices remain vulnerable to significant price declines should the pandemic take an unexpected course, the economic fallout prove more adverse, or financial system strains re-emerge.”  The Fed report warned that lenders could face “material losses” from lending to struggling borrowers who are unable to get back on track after the crisis. “The strains on household and business balance sheets from the economic and financial shocks since March will probably create fragilities that last for some time,” the Fed wrote.  “All told, the prospect for losses at financial institutions to create pressures over the medium term appears elevated,” the central bank said.

So the coronavirus slump will be deep and long lasting with a weak recovery to follow and could cause a financial crash.  And working people will suffer severely, especially those at the bottom of the income and skills ladder. That is the message of the head of the world’s most powerful central bank.

But the other message that Jay Powell wanted to emphasise to his economics audience was that this terrifying slump was not the fault of capitalism.  Powell was at pains to claim that the cause of the slump was the virus and lockdowns and not the economy. “The current downturn is unique in that it is attributable to the virus and the steps taken to limit its fallout. This time, high inflation was not a problem. There was no economy-threatening bubble to pop and no unsustainable boom to bust.  The virus is the cause, not the usual suspects—something worth keeping in mind as we respond.”

This statement reminded me of what I said way back in mid-March when the virus was declared a pandemic by the World Health Organisation. “I’m sure when this disaster is over, mainstream economics and the authorities will claim that it was an exogenous crisis nothing to do with any inherent flaws in the capitalist mode of production and the social structure of society.  It was the virus that did it.”  My response then was to remind readers that “Even before the pandemic struck, in most major capitalist economies, whether in the so-called developed world or in the ‘developing’ economies of the ‘Global South’, economic activity was slowing to a stop, with some economies already contracting in national output and investment, and many others on the brink.”

After Powell’s comment, I went back and had a look at the global real GDP growth rate since the end of the Great Recession in 2009.  Based on IMF data, we can see that annual growth was on a downward trend and in 2019 global growth was the slowest since the GR.

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And if we compare last year’s 2019 real GDP growth rate with the 10yr average before, then every area of the world showed a significant fall.

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The Eurozone growth was 11% below the 10yr average, the G7 and advanced economies even lower, with the emerging markets growth rate 27% lower, so that the overall world growth rate in 2019 was 23% lower than the average since the end of the Great Recession.  I’ve added Latin America to show that this region was right in a slump by 2019.

So the world capitalist economy was already slipping into a recession (long overdue) before the coronavirus pandemic arrived.  Why was this?  Well, as Brian Green explained in the You Tube discussion that I had with him last week, the US economy had been in a credit-fuelled bubble for the last six years that enabled the economy to grow even though profitability has been falling along with investment in the ‘real’ economy.  So, as Brian says, “the underlying health of the global capitalist economy was poor before the plague but was obscured by cheap money driving speculative gains which fed back into the economy”.  (For Brian’s data, see his website here).

In that discussion, I looked at the trajectory of the profitability of capital globally. The Penn World Tables 9.1 provide a new series called the internal rate of return on capital (IRR) for every country in the world starting in 1950 up to 2017. The IRR is a reasonable proxy for a Marxian measure of the rate of profit on capital stock, although of course it is not the same because it excludes variable capital and raw material inventories (circulating capital) from the denominator.  Despite that deficiency, the IRR measure allows us to consider the trends and trajectory of the profitability of capitalist economies and compare them with each other on a similar basis of valuation.

If we look at the IRR for the top seven capitalist economies, the imperialist countries, called the G7, we find that the rate of profit in the major economies peaked at the end of the so-called ‘neoliberal’ era in the late 1990s.  There was a significant decline in profitability after 2005 and then a slump during the Great Recession, matching Brian’s results for the US non-financial sector.  The recovery since the end of the Great Recession has been limited and profitability remains near all-time lows.

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The IRR series only goes up to 2017.  It would be possible to extend these results to 2019 using the AMECO database which measures the net return on capital similarly to the Penn IRR.  I have not had time to do this properly, but an eye-ball look suggests that there has been no rise in profitability since 2017 and probably a slight fall up to 2019.  So these results confirm Brian Green’s US data that the major capitalist economies were already significantly weak before the pandemic hit.

Second, we can also gauge this by looking at total corporate profits, not just profitability.  Brian does this too for the US and China.  I have attempted to extend US and China corporate profit movements to a global measure by weighting the corporate profits (released quarterly) for selected major economies: US, UK, China, Canada, Japan and Germany.  These economies constitute more than 50% of world GDP.  What this measure reveals is that global corporate profits had ground to a halt before the pandemic hit.  Marx’s double-edge law of profit was in operation.

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The mini-boom for profits that began in early 2016 peaked in mid-2017 and slid back in 2018 to zero by 2019.

That brings me to the causal connection between profits and the health of capitalist economies.  Over the years, I have presented theoretical arguments for what I consider is the Marxian view that profits drive capitalist investment, not ‘confidence’, not sales, not credit, etc.  Moreover, profits lead investment, not vice versa.  It is not only the logic of theory that supports this view; it is also empirical evidence.  And there is a stack of it.

But let me bring to your attention a new paper by Alexiou and Trachanas, Predicting post-war US recessions: a probit modelling approach, April 2020. They investigated the relationship between US recessions and the profitability of capital using multi-variate regression analysis.  They find that the probability of recessions increases with falling profitability and vice versa.  However, changes in private credit, interest rates and Tobin’s Q (stock market values compared with fixed asset values) are not statistically significant and any association with recessions is “rather slim”.

I conclude from this study and the others before it, that, although fictitious capital (credit and stocks) might keep a capitalist economy above water for a while, eventually it will be the profitability of capital in the productive sector that decides the issue. Moreover, cutting interest rates to zero or lower; injecting credit to astronomical levels that boost speculative investment in financial assets (and so raise Tobin’s Q) and more fiscal spending will not enable capitalist economies to recover from this pandemic slump.  That requires a significant rise in the profitability of productive capital.

If we look at investment rates (as measured by total investment to GDP in an economy), we find that in the last ten years, total investment to GDP in the major economies has been weak; indeed in 2019, total investment (government, housing and business) to GDP is still lower than in 2007. In other words, even the low real GDP growth rate in the major economies in the last ten years has not been matched by total investment growth.  And if you strip out government and housing, business investment has performed even worse.

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By the way, the argument of the Keynesians that low economic growth in the last ten years is due to ‘secular stagnation’ caused by a ‘savings glut’ is not borne out.  The national savings ratio in the advanced capitalist economies in 2019 is no higher than in 2007, while the investment ratio has fallen 7%.  There has been an investment dearth not a savings glut.  This is the result of low profitability in the major capitalist economies, forcing them to look overseas to invest where profitability is higher (the investment ratio in emerging economies is up 10% – I shall return to this point in a future post).

What matters in restoring economic growth in a capitalist economy is business investment.  And that depends on the profitability of that investment.  And even before the pandemic hit, business investment was falling.  Take Europe. Even before the pandemic hit, business investment in peripheral European countries was still about 20 per cent below pre-crisis levels.

Andrew Kenningham, chief Europe economist at Capital Economics, forecast eurozone business investment would fall 24 per cent year on year in 2020, contributing to an expected 12 per cent contraction in GDP. In the first quarter, France reported its largest contraction in gross fixed capital formation, a measure of private and public investment, on record; Spain’s contraction was also near-record levels, according to preliminary data from their national statistics offices.

In Europe, manufacturers producing investment goods — those used as inputs for the production of other goods and services, such as machinery, lorries and equipment — experienced the biggest hit to activity, according to official data. In Germany, the production of investment goods fell 17 per cent in March compared with the previous month, more than double the fall in the output of consumer goods. France and Spain registered even wider differences

Low profitability and rising debt are the two pillars of the Long Depression (ie low growth in productive investment, real incomes and trade) that the major economies have been locked into for the last decade.  Now in the pandemic, governments and central banks are doubling down on these policies, backed by a chorus of approval from Keynesians of various hues (MMT and all), in the hope and expectation that this will succeed in reviving capitalist economies after the lockdowns are relaxed or ended.

This is unlikely to happen because profitability will remain low and may even be lower, while debts will rise, fuelled by the huge credit expansion.  Capitalist economies will remain depressed, and even eventually be accompanied by rising inflation, so that this new leg of depression will turn into stagflation.  The Keynesian multiplier (government spending) will be found wanting as it was in the 1970s.  The Marxist multiplier (profitability) will prove to be a better guide to the nature of capitalist booms and slumps and show that capitalist crises cannot be ended while preserving the capitalist mode of production.