Monday, October 24, 2011

Jonah Goldberg: Capitalism loves you, baby

Jonah Goldberg this morning delights in his own prescience in writing this 2008 column about how the children of capitalism are spoiled and ungrateful:
In large measure our wealth isn’t the product of capitalism, it is capitalism.

And yet we hate it. Leaving religion out of it, no idea has given more to humanity. The average working-class person today is richer, in real terms, than the average prince or potentate of 300 years ago. His food is better, his life longer, his health better, his menu of entertainments vastly more diverse, his toilette infinitely more civilized. And yet we constantly hear how cruel capitalism is while this collectivism or that is more loving because, unlike capitalism, collectivism is about the group, not the individual.

These complaints grow loudest at times like this: when the loom of capitalism momentarily stutters in spinning its gold. Suddenly, the people ask: What have you done for me lately? Politicians croon about how we need to give in to Causes Larger than Ourselves and peck about like hungry chickens for a New Way to replace dying capitalism.
Although I agree with Goldberg, generally, that market capitalism has generally been the best force for raising the living standards of the maximum number of people. But I think it's terribly weird that he would advance the idea—as he seems to here—that capitalism is an end unto itself. It's not: It's a means to an end; an imperfect means—and one can acknowledge that and still be a capitalist!—but likely the least-worst means.

Goldberg today places the column in the context of the Occupy Wall Street protests, and it's here that you start to see that he creates a bit of a straw man in dealing with critics of the free markets. While it's true that there are Marxists, socialists, and anarchists among the protesters, the movement has broad support beyond the fringe not because it opposes capitalism, but because it's asking an important question: Why has capitalism stopped working for us, the broad mass of Americans?

The answer the protesters have come up with is this: The wealthiest Americans and wealthiest American institutions have bent government to their will, so that while the rest of us are left to live with "austerity" and "creative destruction," the banks and banker bonuses are protected from their catastrophic mistakes with taxpayer dollars. The alternative? Letting them lay waste to the economy if they fail, making things even worse for the rest of us. As conservative commentators like Nicole Gelinas and Timothy Carney have noted, that's not free-market capitalism, properly understood—and, in fact, serves to undermine the discipline that markets usually impose when the possibility of failure is real. Corporatism is tearing at the foundations of capitalism, in other words.

It is not "spoiled" to point out when capitalism is coming unmoored from its foundations, or when it is failing to deliver the maximum good to the best number of people. (It's also not irrational to compare one's lot with one's contemporaries, instead of being grateful that conditions are better than they were 300 years ago.) The Occupy Wall Street folks are far from perfect, but they're giving voice to an important critique of the status quo that even serious advocates of the free market can agree upon.

Sunday, October 23, 2011

Bag O' Books: 'Moonlight Mile' by Dennis Lehane


Three thoughts about the novel 'Moonlight Mile' by Dennis Lehane:

• This is Lehane's most recent novel, but the first I've ever read. I'm not so ignorant of culture, though, that I don't know that his books have been adapted into acclaimed movies like "Mystic River" and "Gone Baby Gone," or that Lehane himself was a writer on "The Wire." Since I haven't read those earlier works, all I can say is that I can see how Lehane ended up so loved by Hollywood. His writing is cinematic—lean, funnier than I expected, full of violence. Plenty of internal monologues by the narrator—longtime Lehane hero Patrick Kinzie—that, in your head, you can easily hear as voiceover narration by Robert Downey Jr. It's easy, breezy fun.

• That said, this novel got me thinking about the distinction between genre fiction and literary fiction. "Moonlight Mile" seems a fairly straightforward pulp noir novel to me, yet Lehane seems to have crossed into the seemingly higher-brow literary fiction arena. (The distinction is artificial, but I wonder the same thing about music sometimes. Why is some music considered "pop" and ready for the Top 40 audience and other music, of great listenability, directed more to indie audiences? Sometimes it's quantifiable and sometimes it's not.) As best I can tell, Lehane gets the the more-coveted "literary fiction" label, at least to some extent, because lots of smart people like reading his stuff. Maybe genre distinctions are more about the audience and reader self-identification than about what a writer actually produces.

• Final thought: Lehane lards this novel with so many contemporary references— the band Pela, the TV show "Arrested Development," jokes about P. Diddy—that it's impossible to place this novel in any year besides, roughly, 2010. On one hand, Kinzie's constant name-checking helps us figure out who he is: He's not just a Chandleresque tough guy—he's an aging Gen X hipster with great taste in popular culture. But at times it almost seems to overwhelm the crime story (which has ... plausibility problems) and turn it into an episode of "Community." "Moonlight Mile" is a fun read, but it's also—despite the violence—light as a feather.

Drop out of school, become a billionaire

Michael Ellsberg argues in the New York Times that we should emphasize entrepreneurship over education:
I TYPED these words on a computer designed by Apple, co-founded by the college dropout Steve Jobs. The program I used to write it was created by Microsoft, started by the college dropouts Bill Gates and Paul Allen.

And as soon as it is published, I will share it with my friends via Twitter, co-founded by the college dropouts Jack Dorsey and Evan Williams and Biz Stone, and Facebook — invented, among others, by the college dropouts Mark Zuckerberg and Dustin Moskovitz, and nurtured by the degreeless Sean Parker.

American academia is good at producing writers, literary critics and historians. It is also good at producing professionals with degrees. But we don’t have a shortage of lawyers and professors. America has a shortage of job creators. And the people who create jobs aren’t traditional professionals, but start-up entrepreneurs.
College isn't for everybody, sure, but this line of attack rings false to me. The men—all men—mentioned here didn't have traditional educations, to be sure, but their knowledge base was heavily augmented in non-traditional ways not necessarily available to most Americans. Steve Jobs continued auditing classes at Reed College after he dropped out, and he learned the fundamentals of electronics in his father's workshop. Bill Gates went to an "exclusive prep school" in high school, and obtained free computer time at a time when computers weren't ubiquitous. Same for Paul Allen. Stone went to one of the most academically challenging high schools in Massachusetts, while Zuckerberg went to Philips Exeter Academy on his way to Harvard.

Point being: All these men received educations that gave them a pretty good knowledge foundation for their future work. All of these men were born to comfortably middle class families, often with parents personally deepening their child's knowledge base. And because of those middle class families, each of the men had a comfortable safety net to fall back into if their entrepreneurship failed. It's easier to start a business if you understand the world a bit, and if the failure of that startup won't ruin you for life.

Ellsberg is right to argue for alternatives to the higher education machine. And as a proud liberal arts grad, I'll even agree that maybe we could use a few less liberal arts degree holders. But his "college dropout" meme ignores that nearly all the men he names arrived at college having already had extraordinary educations. Would we know of any of them without those educations? Education is the foundation of entrepreneurship, not a substitution.

Friday, October 21, 2011

The problem of humanitarian interventions

Something I've been wrestling with since I posted my opposition to the Uganda intervention is whether I could ever support an American military intervention on purely humanitarian grounds. I came of political age around the time of the Rwandan genocide, and I can say that it truly troubled my conscience at the time—and angered me greatly that the West stood by and watched while an entire region descended into hell. If my framework for supporting a military intervention wouldn't allow the United States to get involved, then two possibilities exist: The United States should never intervene on humanitarian grounds, or the framework doesn't work.

Spencer Ackerman today gets at the trouble inherent with humanitarian interventions conducted under a doctrine known as "Responsibility To Protect" on his blog today:
The uncomfortable truth is that a belief in human rights is a disruptive force in global affairs. It scrambles ideological boundaries and takes people down intellectual roads they did not anticipate travelling. It's why the Responsibility To Protect is a force for -- let's strip it of euphemism -- war. Not because, say, Ken Roth or Samantha Power are warmongers; that's absurd. But because the world, and America, has yet to come to terms with the obligations that human rights place on nations, particularly hegemonic ones.

To support the R2P seems like a recipe for endless war; to oppose it, a recipe for endless injustice and impunity. The responsible work of intellectuals and policymakers is to bridle it, to make it commensurate with American capabilities and American interests; to shape a world in which America is not the only nation burdened with enforcing it; and not to avoid the circumstances in which it conflicts with American capabilities and American interests.
Which is to say, once again, that there's no perfect framework for deciding to support or oppose an American military intervention. My framework is very much biased against military adventures of most sorts, which makes it also biased against humanitarian interventions. My problem: I still think the United States and the world should've done something a generation ago in Rwanda. Picking and choosing which holocausts to send troops to halt is tricky business. But it's also necessary.* The difference between Rwanda and Uganda may be mostly that the Rwandan genocide burned hotter, faster, and with much greater immediate loss of life. Is that enough of a distinction? It feels like it to me, but your mileage may vary.

* Necessary, presuming the United States retains its ability to project power virtually anywhere in the world. That's not a given, and if America retreats closer to home, then a lot of this calculation makes no difference. You can't go where you can't go.

Thursday, October 20, 2011

The 'regulatory uncertainty' canard

Ben and I discuss whether regulatory uncertainty is holding back the U.S. economy in this week's column. My take:
Let's be honest: "Regulatory uncertainty" is a euphemism for "regulations." Businesses -- and their mostly Republican allies -- don't want them.

We have regulations for a reason. The Dodd-Frank law passed because the financial industry proved it couldn't police itself and nearly destroyed the American economy. Richard Nixon created OSHA at a time when 14,000 employees were dying in the workplace every year; that number dropped 60 percent over the next 30 years. Left to their own devices, businesses often cut corners, resulting in financial and even physical harm to the rest of us.

Overregulation can stifle the economy. The Obama administration recognizes this -- and in August announced a reform effort to reduce regulatory burdens on business by $10 billion a year, mostly by streamlining required health, labor and tax paperwork. Obama even alienated environmentalist supporters this fall by delaying new EPA ozone standards to save jobs.

The problem isn't regulatory uncertainty. The Economic Policy Institute in September reported that weekly hours for still-employed workers are still down from their last high in August 2007.

If businesses wanted to produce more widgets --but wanted to avoid the federal paperwork that goes with hiring more widget-making workers -- they'd increase the number of hours their existing employees are working. They aren't. That suggests that the problem is demand: Americans aren't buying stuff.

Why? They're digging themselves out of debt -- often in the form of mortgages that are now worth more than the houses those mortgages bought. Until that issue is adequately addressed, or until those mortgages are finally paid off over the next 30 years, America will continue to have a problem with demand.

"Regulatory uncertainty" offers a handy political club to use against Obama, though. The GOP, it seems, would rather win the presidential campaign with stale untruths rather than address our real problems.

Does intervening in Uganda meet the Mathis Test?

Ooh. Self-referential headlines are ugly, aren't they? But back when President Obama announced the United States would intervene in Libya's civil war, I set out a list of questions to help guide me through decisions on supporting or not supporting America's military interventions abroad. Now that Qaddafi is dead, it's a good time to apply those questions to America's latest intervention—the sending of 100 troops to Central Africa to aid the fight against the brutal Lord's Resistance Army.

Here are the questions, slightly revised:

A: Does the party against whom the United States is considering military action threaten U.S. security? No. The Lord's Resistance Army isn't attacking the United States or United States' interests. Now that the U.S. is getting involved, though, maybe that changes.

B: Is the party against whom the United States is considering action committing genocidal-levels of violence, such that even by the standards of war or civil war the conscience is shocked? Yes. The numbers are staggering. LRA's campaign of terror in Uganda has displaced 2 million people; the forces are said to have raped, mutilated, or abducted another 66,000 residents; and Michael Gerson's account is especially striking: "But (LRA leader Joseph) Kony’s crimes are vivid at close hand. When I was there in 2006, I talked to a boy forced by LRA rebels to execute his neighbors in order to break his ties with the past and to deaden his sympathy. I met another who was forced to bow in Kony’s presence — the rebel leader claims divinity — but who dared to look up in curiosity. The LRA soldiers took out one of the boy’s eyes in punishment." The conscience is shocked, and this violence is taking place on a widespread level to destabilize and horrify an entire region. It's important to note that humanitarian reasons—while significant—aren't as important as national security when weighing these questions. Answering "yes" here doesn't necessarily mean we should send the troops.

C: If the answer to (A) or (B) is "yes," are there non-military means that could effectively mitigate the threat? No. The Lord's Resistance Army is a non-state actor; sanctions wouldn't work in this case.

D: If the answer to (C) is "yes," do that. If the answer to (C) is "no," then: What is the desired end state of U.S. military action? A return to a previous status quo? Regime change? What? I'd have to say the death or capture of Joseph Kony. He claims divinity for himself; he runs the LRA as a cult of personality. Cut off the personality, and the cult is likely to be greatly diminished.

E: What is the worst-case scenario that could develop from U.S. military intervention? Is the scenario more or less threatening to U.S. security than the current threat? That LRA, which has ignored the U.S., becomes motivated to attack America and its interests because of the 100 U.S. troops that are helping track him down. From a security standpoint, the potential costs of blowback are more than the costs of doing nothing. But how likely is that blowback? We probably wouldn't know until the attack occurred.

F: Does the United States have the military and financial resources to bear the burdens of that worst-case scenario? Yes. At 100 troops, our footprint is light and the cost—as these things go—is unlikely to break the federal bank.

This series of questions doesn't produce a neat, mathematical "yes" or "no" answer. On the "for intervention" side, you have the serious of Kony's acts, the inability to address them through non-military means, and the relative cheapness of the operation from a U.S. perspective. On the "against intervention" side, though, you have the fact that Kony doesn't now threaten U.S. security—but that intervening raises the likelihood he will.

And that's, ultimately, why I come down against the U.S. deployment to Central Africa—though it's a closer call, in my mind, than the Libya intervention. The U.S. troops are supposedly going there on a training mission, to "advise" the African troops on how best to combat the LRA and pursue Kony; they only shoot if shot at. Being there makes it quite likely they'll be shot at, and shoot. At that point, we're at war, even if minor. To what good end?

The interesting thing about the deployment is that it is, apparently, an effort to help the countries of Central Africa help themselves, by training troops from those countries on how to pursue Kony and battle the LRA. That's going in the right direction. If there's a way to do that without putting armed U.S. troops in the field against this villain, I might well support that.

Final thought: This set of questions almost certainly leads to a U.S. foreign policy that is a good deal more risk-averse and less adventurous than we've had in the post-Cold War era. I'm OK with us. I want our leaders to clear a high bar before taking us to war.

John Yoo: Obama didn't kill Qaddafi enough

Torture advocate John Yoo gives Obama some credit for Qaddafi's downfall, but with a caveat:
But Obama does not get full credit, I think, because he took so long to intervene. Recall that the U.S. intervened only after the U.N. Security Council approved intervention. Obama chose to wait until Qaddafi had driven the rebels into a last holdout in Benghazi. He chose to restrain our operations along the lines set out by the Security Council, which forbade ground troops. This prolonged the ouster of Qaddafi into a full-blown civil war and resulted in more disintegration of the nation’s institutions than was necessary. To the extent that it is harder to get a new government to stand up and to collect and control Libya’s arms, part of the blame must also go to Obama’s delay because of his undue sensitivity to foreign opinion and the U.N.
Yoo doesn't really offer a basis for American intervention into Libya's foreign affairs that would demand unilateral American action, though. In the absence of a threat against Americans or U.S. soil—and Qaddafi posed none—President Obama was exceedingly wise to partner with other nations in the matter, lest the whole thing look like a bit of American empire-building ... a perception that might actually damage our interests in the Middle East, not strengthen them.

I don't think there was a sound American basis for intervening militarily. I feel certain that President Obama's decision to go to war there was constitutionally suspect, and that Congress was feckless in exercising its own power over the matter. For John Yoo, though, the world is endless ticking time bombs that can be solved only with the power of an unchecked Imperial Presidency. Whatever you think about that attitude, it is not keeping with the best traditions of American governance.