- 08 Oct 2017 02:09
#14849508
Among the hundred or so 'explanations' that have been floated for what was supposed to have been HRC's pre-ordained coronation, there is one rather shocking omission: no unifying causal mechanism. We only are presented unrelated fragments - tossed out at random, as the occasion demands.
To correct this (probably deliberate) confusion, I'd like to offer an overarching 'theory' of what happened. My aim is to describe the framework underlying the current political chaos.
As you will notice, the focus will not be on the minutiae of political maneuvering leading up to 2016. Instead I've turned my attention to the economic malaise that underlies our current political instability. This malaise is, I believe, part of a long-term trend that will continue to haunt prospects for any kind of "normal" political democracy.
[Note: this is an experimental post. The format will be unconventional. I have condensed the narrative into twitter-like structures - mostly two sentence paragraphs intended to form clear and, I hope, striking images. The intention (if I've done this correctly) is that these memes should interlock and reinforce one another, like a set of musical variations. This is a first draft of an ongoing project, so criticize away]
What ACTUALLY IN FACT REALLY Happened: A Non-Fiction Novel in Fifty-Eight Memes
1/ What 'happened' to both the Democratic and Republican Parties is that they were blindsided by a profound demographic change, happening right under their noses. This change is the rise of the "Precariat."
2/ The definition of precariat: "a social class formed by people suffering from precarity, which is a condition of existence without predictability or security, affecting material or psychological welfare."
3/ The precariat live paycheck to paycheck. They may have sufficient income to meet daily needs, but are unable to meet even minor emergencies. They literally cannot save any part of their income.
4/ They are unlikely to have health insurance. They delay doctor and dental visits unless pain is unbearable. Minor exigencies (like a car breakdown) can trigger panic mode.
5/ The precariat rents. If they've owned a home in the past, they've probably lost it (or soon will). Since they cannot save, they will not have a paid-off home nor any income besides Social Security, at retirement.
6/ The Precariat class transcends traditional demographics. You find them among the working poor in the inner city, and in rural America. Alarmingly, you find them in recent college graduates - in astounding numbers.
7/ You find the precariat among older white-collar workers who have been forced into lower paying jobs. You find them in rust belt states: the rejects of automation and outsourcing.
8/ The precariat is the fastest growing demographic in the US. It will soon be a majority. This has profound political and social implications.
9/ In terms of neoclassical economics, most Americans have zero (or negative) marginal utility. The cost of hiring and training them cannot be justified in terms of ROI.
10/ In rural America (and much of suburbia) the economy consists of school bus drivers, teachers, medical asistants, Dollar Store clerks, crafts, narcotic sellers, etc. Social Security, Medicare, and Medicaid provides a minimal base for this diminished economy.
11/ The economically stronger cities aren't much better off. The existing labor ecology has an astonishing number of make-work jobs. Paper pushers, electron pushers, Uber drivers, consultants, temps, and middle managers nervously looking over their shoulders.
12/ The pressure on employment is across the board and constant. An MIT study estimates that half of all current jobs will be automated out of existence in 20 years. Professionals are at great risk.
13/ The make-work economy is tolerated by the elite only because they require some degree of demand for their products. A form of corporate sponsored welfare, in effect.
14/ But the make-work economy is disintegrating. Companies face constant pressure to cut costs from competitors and investors. The Company Man is a distant memory. We are all either gig workers, or future gig workers.
15/ The psychological consequences are profound. The US suffers a collective insecurity that borders on national PTSD. Anger, lashing out, confusion, and depression permeate the collective consciousness.
16/ Perhaps the most damaging consequence is hopelessness, which leads inevitably to apathy, and withdrawal. This hopelessness (engineered?) serves maintenance of the status quo.
17/ This brings us back to Queen Hillary. In any rational world, her plan should have worked. The GOP had by then already turned feral and atavistic. The political "middle" seemed open for another Dick Morris style triangulation.
18/ Big finance was in her pocket. Koch and the rest of the energy sector was sidling up to her. Neoconservative hardliners were lining up for cabinet posts.
19/ Magic was in the air. Pixie dust coated the streamers. The Democrats would form a center-right majority, and rule America for another generation.
20/ But there was one problem. It turned out to be a very big problem. There was no middle remaining. Nothing to triangulate to. She triangulated off the edge of a cliff.
21/ Everybody was caught with their pants down. Big data. Party insiders. The talking heads. The corporate donor class. I include myself among those who missed the obvious. Mea culpa.
22/ Consequence time. The elites of both parties made devastatingly short-sighted strategic calls, and now the piper must be paid...with interest.
23/ In 1985, Bill Clinton and the DLC ditched the working class of the industrial midwest and rural America. The party of FDR evolved into the party of silicon valley.
24/ The Republicans doubled down on an astro-turfed Tea Party economic scheme. Shrink the government, and shrink the public sector. But the private sector was unable, or unwilling, to take up the slack in employment.
25/ The few populists on the right who grasped the necessity of fiscal stimulus (like Bannon) were banished. The GOP plan morphed into pure shock doctrine: a full-scale looting of public assets - precisely analogous to what was done to post-Soviet Russia.
26/ The GOP is backed into a corner. It has no constitutency left besides its billionaire donor class. Every succeeding iteration of healthcare or tax reform turns more draconian. Its donor class is vocally restive over its failure to liquidate the welfare state.
27/ A part of Mellon's advice to Hoover is now being carried out in the most literal way: "liquidate labor, liquidate stocks, liquidate farmers, liquidate real estate... it will purge the rottenness out of the system."
28/ Why only "a part?" The current GOP is focused like a laser beam on liquidating labor, period. Stocks, real estate, and other assets awill continue to be propped up by the FED and tax structure. Thus the rottenness grows exponentially.
29/ This process was actually kicked into high gear by Obama. The greatest financial fraud in human history received no indictments or convictions. Its perpetrators now advise both parties at the highest levels and extend their grasp on the levers of power.
30/ 2008 was the last off ramp. There will be no Grand Compromise like FDR arranged between capital and labor. FDR had the fear of God to spur capital into compromise. There is no longer any element of fear. They believe they are in command.
31/ The reason labor is powerless is structural. Labor's input into actual production is now minimal. It has no leverage, and thus the power to strike is meaningless. No vast factories with legions of workers.
32/ The proletariat no longer exists in the way Marx envisioned - at least not as a recognizable and delimitable group that can be targeted and organized. In a trivial sense, the 99% are the new proletariat, but they have few common features around which solidarity might emerge.
33/ The long-awaited historical juncture has arrived, unnoticed. Nobody is prepared for it, but you have to fight the war with the troops you have.
34/ The World System organized around neoliberalism is falling apart. Its disintegration is shockingly rapid.
35/ The US has always been the point of the spear for liberal capitalism. The spear is broken.
36/ The US two-party system lies in smoking ruins. The Democratic Party is virtually non-existent in half of US states. It has lost 1000+ seats in national and state legislatures.
37/ The majority of politically active Americans now stand in opposition to the current makeup of the two-party system. An unscientific estimate: Trump base 30%, Progressives 25%. 55% have become radicalized. Not even Che could have achieved that.
38/ The Dems, having ditched the working class, are engaged in all-out war with its left wing. For all the whining about Russians, the DNC's propaganda apparatus is remarkably similar to the Russian model. See Verrit.
39/ The objective is to break the progressive wing permanently, and either expel it or marginalize it into insignificance. Much of corporate journalism is on board with the Dem establishment in this objective.
40/ This strategy is profoundly ill-considered. The Dems, already mortally wounded, have no center to draw on in order to make up the difference. They have little, or nothing, to appeal to the reamining apathetic 45%. They are effectively consummating a mass suicide pact.
41/ The Republicans have a different problem. They have a well-organized state structure, plus a well-oiled and well-funded propaganda machine to boot. They have control, albeit precarious, of Congress.
42/ But the act is breaking down. Big League. Their attacks on middle America are now so vicious and draconian, that even conservative-leaning independents, are backing away in horror.
43/ They are fully dependent as the Democrats on their donor base. These donors are livid about Congressional inaction. They are demanding results.
44/ GOP can't back down. Each new iteration of repeal-and-replace or tax reform grows increasingly extreme. There is no parliamentary trick that won't be used. Medicare and Medicaid will be slashed by $1 1/2T, and ACA starved into submision.
45/ Either the GOP enacts these cuts, or they lose their donors. A lose/lose proposition. This is why there is panic in GOP ranks, despite their organizational prowess.
46/ Cuts demanded by donors are an automatic recession (best scenario). GOP, as you might expect, are just as clueless as Dems. Shrinking the public sector savagely, with no guarantee (and little chance) that private sector can absorb such massive job loss.
47/ Obama-era growth policies, miserly as they were, are now petering out. We have had negative job growth for the first time in 7 years.
48/ We are waiting for the next trigger. Nobody knows exactly what it will be. Student debt. An attack on North Korea. It will be soon. Impeachment won't save us.
49/ Structural problems ignored by Obama in 2008 crash will be revisited. I don't foresee Trump's crew having the competence to deal with a large scale financial holocaust.
50/ The long-delayed deflationary collapse can't be averted this time. I would say Great Depression, but that's too modest. Greatest Depression Ever?
51/ If Trump can't rescue Puerto Rico, what will he do with an entire nation?
52/ Along with the Depression, you will have a non-functional political party system. Unlike 1929, when most Americans lived on farms and could feed themselves, most of the population is urban or suburban.
53/ With a majority of Americans already disaffected, how will they react to a real crisis? A profound political realignment is inevitable. But what will it look like?
54/ The right holds the cards now. They hold influential positions within the military, police, legislatures, judiciary, and media.
55/ If people react in untoward ways, there is the example of Catalonia to remind us of what state power is capable. If you don't want they're offering, some level of sacrifice may be required.
56/ The people have only numbers. Internet and cellphone service will be interrupted if these become means of organization against state power. Don't count on digitally mediated solidarity.
57/ It may come down to you, and people you know, acting in concert. If any of this strikes you as plausible, you must organize and develop a plan of action now.
58/ Needless to say, if it hits the fan in the US, it's going to hit the fan everywhere. Even China is not immune to an economic breakdown in the US. Be prepared.
To correct this (probably deliberate) confusion, I'd like to offer an overarching 'theory' of what happened. My aim is to describe the framework underlying the current political chaos.
As you will notice, the focus will not be on the minutiae of political maneuvering leading up to 2016. Instead I've turned my attention to the economic malaise that underlies our current political instability. This malaise is, I believe, part of a long-term trend that will continue to haunt prospects for any kind of "normal" political democracy.
[Note: this is an experimental post. The format will be unconventional. I have condensed the narrative into twitter-like structures - mostly two sentence paragraphs intended to form clear and, I hope, striking images. The intention (if I've done this correctly) is that these memes should interlock and reinforce one another, like a set of musical variations. This is a first draft of an ongoing project, so criticize away]
What ACTUALLY IN FACT REALLY Happened: A Non-Fiction Novel in Fifty-Eight Memes
1/ What 'happened' to both the Democratic and Republican Parties is that they were blindsided by a profound demographic change, happening right under their noses. This change is the rise of the "Precariat."
2/ The definition of precariat: "a social class formed by people suffering from precarity, which is a condition of existence without predictability or security, affecting material or psychological welfare."
3/ The precariat live paycheck to paycheck. They may have sufficient income to meet daily needs, but are unable to meet even minor emergencies. They literally cannot save any part of their income.
4/ They are unlikely to have health insurance. They delay doctor and dental visits unless pain is unbearable. Minor exigencies (like a car breakdown) can trigger panic mode.
5/ The precariat rents. If they've owned a home in the past, they've probably lost it (or soon will). Since they cannot save, they will not have a paid-off home nor any income besides Social Security, at retirement.
6/ The Precariat class transcends traditional demographics. You find them among the working poor in the inner city, and in rural America. Alarmingly, you find them in recent college graduates - in astounding numbers.
7/ You find the precariat among older white-collar workers who have been forced into lower paying jobs. You find them in rust belt states: the rejects of automation and outsourcing.
8/ The precariat is the fastest growing demographic in the US. It will soon be a majority. This has profound political and social implications.
9/ In terms of neoclassical economics, most Americans have zero (or negative) marginal utility. The cost of hiring and training them cannot be justified in terms of ROI.
10/ In rural America (and much of suburbia) the economy consists of school bus drivers, teachers, medical asistants, Dollar Store clerks, crafts, narcotic sellers, etc. Social Security, Medicare, and Medicaid provides a minimal base for this diminished economy.
11/ The economically stronger cities aren't much better off. The existing labor ecology has an astonishing number of make-work jobs. Paper pushers, electron pushers, Uber drivers, consultants, temps, and middle managers nervously looking over their shoulders.
12/ The pressure on employment is across the board and constant. An MIT study estimates that half of all current jobs will be automated out of existence in 20 years. Professionals are at great risk.
13/ The make-work economy is tolerated by the elite only because they require some degree of demand for their products. A form of corporate sponsored welfare, in effect.
14/ But the make-work economy is disintegrating. Companies face constant pressure to cut costs from competitors and investors. The Company Man is a distant memory. We are all either gig workers, or future gig workers.
15/ The psychological consequences are profound. The US suffers a collective insecurity that borders on national PTSD. Anger, lashing out, confusion, and depression permeate the collective consciousness.
16/ Perhaps the most damaging consequence is hopelessness, which leads inevitably to apathy, and withdrawal. This hopelessness (engineered?) serves maintenance of the status quo.
17/ This brings us back to Queen Hillary. In any rational world, her plan should have worked. The GOP had by then already turned feral and atavistic. The political "middle" seemed open for another Dick Morris style triangulation.
18/ Big finance was in her pocket. Koch and the rest of the energy sector was sidling up to her. Neoconservative hardliners were lining up for cabinet posts.
19/ Magic was in the air. Pixie dust coated the streamers. The Democrats would form a center-right majority, and rule America for another generation.
20/ But there was one problem. It turned out to be a very big problem. There was no middle remaining. Nothing to triangulate to. She triangulated off the edge of a cliff.
21/ Everybody was caught with their pants down. Big data. Party insiders. The talking heads. The corporate donor class. I include myself among those who missed the obvious. Mea culpa.
22/ Consequence time. The elites of both parties made devastatingly short-sighted strategic calls, and now the piper must be paid...with interest.
23/ In 1985, Bill Clinton and the DLC ditched the working class of the industrial midwest and rural America. The party of FDR evolved into the party of silicon valley.
24/ The Republicans doubled down on an astro-turfed Tea Party economic scheme. Shrink the government, and shrink the public sector. But the private sector was unable, or unwilling, to take up the slack in employment.
25/ The few populists on the right who grasped the necessity of fiscal stimulus (like Bannon) were banished. The GOP plan morphed into pure shock doctrine: a full-scale looting of public assets - precisely analogous to what was done to post-Soviet Russia.
26/ The GOP is backed into a corner. It has no constitutency left besides its billionaire donor class. Every succeeding iteration of healthcare or tax reform turns more draconian. Its donor class is vocally restive over its failure to liquidate the welfare state.
27/ A part of Mellon's advice to Hoover is now being carried out in the most literal way: "liquidate labor, liquidate stocks, liquidate farmers, liquidate real estate... it will purge the rottenness out of the system."
28/ Why only "a part?" The current GOP is focused like a laser beam on liquidating labor, period. Stocks, real estate, and other assets awill continue to be propped up by the FED and tax structure. Thus the rottenness grows exponentially.
29/ This process was actually kicked into high gear by Obama. The greatest financial fraud in human history received no indictments or convictions. Its perpetrators now advise both parties at the highest levels and extend their grasp on the levers of power.
30/ 2008 was the last off ramp. There will be no Grand Compromise like FDR arranged between capital and labor. FDR had the fear of God to spur capital into compromise. There is no longer any element of fear. They believe they are in command.
31/ The reason labor is powerless is structural. Labor's input into actual production is now minimal. It has no leverage, and thus the power to strike is meaningless. No vast factories with legions of workers.
32/ The proletariat no longer exists in the way Marx envisioned - at least not as a recognizable and delimitable group that can be targeted and organized. In a trivial sense, the 99% are the new proletariat, but they have few common features around which solidarity might emerge.
33/ The long-awaited historical juncture has arrived, unnoticed. Nobody is prepared for it, but you have to fight the war with the troops you have.
34/ The World System organized around neoliberalism is falling apart. Its disintegration is shockingly rapid.
35/ The US has always been the point of the spear for liberal capitalism. The spear is broken.
36/ The US two-party system lies in smoking ruins. The Democratic Party is virtually non-existent in half of US states. It has lost 1000+ seats in national and state legislatures.
37/ The majority of politically active Americans now stand in opposition to the current makeup of the two-party system. An unscientific estimate: Trump base 30%, Progressives 25%. 55% have become radicalized. Not even Che could have achieved that.
38/ The Dems, having ditched the working class, are engaged in all-out war with its left wing. For all the whining about Russians, the DNC's propaganda apparatus is remarkably similar to the Russian model. See Verrit.
39/ The objective is to break the progressive wing permanently, and either expel it or marginalize it into insignificance. Much of corporate journalism is on board with the Dem establishment in this objective.
40/ This strategy is profoundly ill-considered. The Dems, already mortally wounded, have no center to draw on in order to make up the difference. They have little, or nothing, to appeal to the reamining apathetic 45%. They are effectively consummating a mass suicide pact.
41/ The Republicans have a different problem. They have a well-organized state structure, plus a well-oiled and well-funded propaganda machine to boot. They have control, albeit precarious, of Congress.
42/ But the act is breaking down. Big League. Their attacks on middle America are now so vicious and draconian, that even conservative-leaning independents, are backing away in horror.
43/ They are fully dependent as the Democrats on their donor base. These donors are livid about Congressional inaction. They are demanding results.
44/ GOP can't back down. Each new iteration of repeal-and-replace or tax reform grows increasingly extreme. There is no parliamentary trick that won't be used. Medicare and Medicaid will be slashed by $1 1/2T, and ACA starved into submision.
45/ Either the GOP enacts these cuts, or they lose their donors. A lose/lose proposition. This is why there is panic in GOP ranks, despite their organizational prowess.
46/ Cuts demanded by donors are an automatic recession (best scenario). GOP, as you might expect, are just as clueless as Dems. Shrinking the public sector savagely, with no guarantee (and little chance) that private sector can absorb such massive job loss.
47/ Obama-era growth policies, miserly as they were, are now petering out. We have had negative job growth for the first time in 7 years.
48/ We are waiting for the next trigger. Nobody knows exactly what it will be. Student debt. An attack on North Korea. It will be soon. Impeachment won't save us.
49/ Structural problems ignored by Obama in 2008 crash will be revisited. I don't foresee Trump's crew having the competence to deal with a large scale financial holocaust.
50/ The long-delayed deflationary collapse can't be averted this time. I would say Great Depression, but that's too modest. Greatest Depression Ever?
51/ If Trump can't rescue Puerto Rico, what will he do with an entire nation?
52/ Along with the Depression, you will have a non-functional political party system. Unlike 1929, when most Americans lived on farms and could feed themselves, most of the population is urban or suburban.
53/ With a majority of Americans already disaffected, how will they react to a real crisis? A profound political realignment is inevitable. But what will it look like?
54/ The right holds the cards now. They hold influential positions within the military, police, legislatures, judiciary, and media.
55/ If people react in untoward ways, there is the example of Catalonia to remind us of what state power is capable. If you don't want they're offering, some level of sacrifice may be required.
56/ The people have only numbers. Internet and cellphone service will be interrupted if these become means of organization against state power. Don't count on digitally mediated solidarity.
57/ It may come down to you, and people you know, acting in concert. If any of this strikes you as plausible, you must organize and develop a plan of action now.
58/ Needless to say, if it hits the fan in the US, it's going to hit the fan everywhere. Even China is not immune to an economic breakdown in the US. Be prepared.
The old world is dying, and the new world struggles to be born: now is the time of monsters. -Antonio Gramsci