(If There is to be a Later)
Scenes from Last Episode
When we were last together in our third installment of episode three: (“Reckoning With the Virus as a Force for Good — What Comes Next”) we tried some perspective-taking. We slipped on the Gucci loafers of Senate Republicans to understand their resistance to helping the unemployed through the fall and winter of our pandemic discontent. We looked through the lens of Senator Rick Scott of Florida who argued that the hardball negotiation by Senate Republicans was a feature, not a bug, of keeping American labor lean, hungry, and ready to resume where it left off.
Senator Scott’s pumping on the economic relief brakes is understandable. The wealthy underwrite elections, the parties protect their donors and in Mr. Scott, we’ve got a two-for-one sale displayed proudly in the C-SPAN store window Remember that return on investment in GOP majorities a.k.a. The Tax Reform Act of 2017? Turning the clock forward to the pandemic zone shot us clear past the final solution:
1. Neutering and defanging the federal government.
2. Turning the clock back to a world of unrestrained capital
3. Fleecing, before fleeing the republic, for which it stands.
No Life Boats in Coach
Of course, once the plane crashes, fixing the auto pilot is a luxury for the survivors. Even those survivors in first class who can float their own way to safety. Even recovery of the flight recorder is a distraction to the stranded hoards in coach. Would the most unfit be voted off the island by the libertarians watching at home? What would women and children first look like to the crew piloting this rescue plane?
Wake up from the scripted nightmare and a cold splash of aspirational reality could revive us. According to former Treasury Richard Rubin, federal revenues were already running a full two points below normal when the pandemic hit. Compared to the glory days of the dot.com heyday and tax revenues are now 16.5% of GDP, compared to 20% in the late nineties.
My point? A narrow post-contested victory this November still brings the of wiggle room needed to reverse the 2017 tax holiday for those likeliest to make it a working vacation. That consequential first step has the public, and history on its side.
Confidence in paying for what exactly?
- The freedom for taxable income to do the most good for the most salary-dependent people.
- The priority shifting from American Color War to a national obsession with a shared precondition called economic insecurity.
That’s where capital in search of a home goes. Not its reflexive old normal routine: the highest return on the hoarded investments of insistent shareholders. That’s the bottom-line for the underwriters at the crash sites of broken auto pilots.
U.S. is Them
There are limits. Soaking the rich does nothing to broaden the commonweal. We all need skin in the game. Even the self-dealers and self-makers who think they can redirect highway funds to repair their imperial driveways. It can’t fall on the losers of a prior election. We need to move away from winner-take-all to a renewed spirit of shared sacrifice. Replacing one echo chamber with another extends the cycle. The concussive bluster of who gets to govern returns to the mutual respect of governing effectively. The new adversaries are not those in disagreement but dissolution: the enemies of compromise.
Here are the counter-arguments to Senator Scott’s tough winners-don’t-negotiate love from Rubin himself, a former Goldman Sachs-plated lion of Wall Street, and the furthest voice from the Bernie Bro Choir of any corporate-respecting Democrat:
Prediction #3 — The economy as a manageable problem to solve in a plausible way…
There will be ample room to increase revenues, on a highly progressive basis, for example, by increasing corporate taxes, restoring individual rates, repealing pass-through preferences and imposing a financial transactions tax. — Robert Rubin, Bringing the Economy Back to Life, 4.17.20, The New York Times
The calculation extends to health coverage:
We should also pursue universal health care coverage, preferably through a public option, while at the same time reducing our system’s overall costs, which far exceed other developed economies’. Ibid.
And that credit card balance!
Addressing our debt/G.D.P. ratio is in our longer-term economic interest and also benefits us in the nearer term, as greatly increased debt could impede the recovery. Ibid.
Some of these resentments began spilling into the public square over the summer. The backlash against systemic racism for starters. Remember that post racial society that Chief Justice Roberts used to justify the gutting of key provisions in the Voting Rights Act?
Perhaps those same rose-colored blinders are what justified the left’s lethargic turnout during off-year Obama era elections. Either way, that pendulum swing is in full counter-punch. Pendulum whiplash. Darkest midnight to highest noon.
A Petition to Replace Faster, Better, Cheaper
Why is it that economic inequality is not a bug of an unjust society? It’s a feature of a smoothly-running free market economy. For me, the answer is personal and simple. I feel lucky to have a job. And it’s not just any job so I double down on gratitude. I experience feverish gratitude that the job pays enough to sustain a family and a modest retirement savings. Head over heels on a slow day, really. My appreciation reflects the precipitous fall from office to service worker. Concepts like recognition, generosity, or even job performance do not factor into this equation. Income flow for most of us is a precarious thing. There is no actual bump in pay for superior effort. Maintaining income flow is reward in itself.
Performance reviews aside, a former colleague summed up his amazement at another widening gap. It’s the one between
… How stubbornly we defend our pocketbooks against scams, knock-offs, and mark-ups… versus …
How cheaply we discount our own value to a contracting labor market.
The connection here is more than personal. When every labor is justified as an exchange of assets, the cheaper the transaction, the more marginalized the laborer. We get this theoretically for buying cheap T-Shirts and jeans from Pakistan. Does that rationale find its way home when it’s our work product that finds its ways into the software code, legal contracts, marketing collateral, or even health care coverage consumed by our employers?
The corona-infested economy may well in fact settle for a continuation of faster, better, cheaper; especially if we don’t find a replacement for the race-to-the-lowest reduction-based logic. That’s a return to the humming along economy that dropped us like a stranded passenger that forfeited their free Two Day shipping flight home from planet Amazon.
It’s not enough to blame the status quo for this predicament. We need to intercept faster, better, cheaper at the factory gates before escorting it out of the board room. We need to knock innovation off its trajectory enough to factor the greater good into the disruptions to come. Only then can we justify a future that includes us in business-as-usual. Three next chapters have yet to be written. Blame their stripped-down open-endedness on the allure of alternative arrangements and these bloated time bubbles:
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- What’s an economy for? This is not the question that comes to mind in the reinsertion of the prior default settings of manufacturing and distribution. Plug and play makes sense to the owners of capital than the holders of debt, let alone the 50% who were a few off weeks from belly-up when the prior economy was purring along. How do we get from a trillion dollar cash injection to more of it actually circulating as we enter that tentative, post coma rehab phase?
- What’s our collective sense of security? Is it to beat back the advancing hordes of the bad hombres? Perhaps it’s no longer about who’s: (1) labeling who the terrorists or, (2) determining the greater of two evils … global, or homegrown (you pick ’em!) Perhaps it’s about an America first that favors the nationalizing of the medical necessities we’ll need as more of us are victimized by changing climates, dissipating resources, and heavy hand of the unforeseen to come.
- What’s the role of the individual in all this? Prioritizing what brings us together in shared sacrifice was a pipedream before this pandemic. It becomes almost graspable if we can re-establish the guiding clarity of the greater good. That’s no drug-induced high. That’s corona phoning in a sick-out from the Oval Office last evening. But that begs the biggest-picture question looming on the great post-pandemic horizon. How to see each other as individual contributors to that greater good, and not its dilution.
Will the pivot back to a road ahead be engineered outside the exclusionary interests of the muscular capital elites? Until offshore means: (1) a full-time residence in a private island tax haven, or (2) different planet to occupy, we have a shared outcome in a mutual controlling interest.
A Poverty of Professions
Part of that mutual interest is to occupy the time on earth of those whose needs suddenly outpace the capital formation of their labors. A paucity of wealth-providing trades and professions is a seldom mentioned scarcity in the recently completed run of the bull market. It’s also curious that our oligarchy-favoring leadership decides that throwing unregulated profits at corporations is the shortest distance between record-setting unemployment and mission accomplished.
What future economy will open the door of career choices for the able-minded people of an entering workforce?
Prediction #4 — Amazon needs workers until … they don’t
In 2020, they’re arriving into workplaces where their labor is both urgently needed and conspicuously treated as a problem to be eventually solved.” — John Herrman, Amazon’s Big Breakdown, The New York Times, 5.27.20
Easy access to short bursts of cash works out great for the connected and the corrupted. For the rest of us, writing the rules requires a new way to tie three laudable goals long buried under an unsustainable pile of Better, Faster Cheaper: compensation, merit, and stability. OK, merit cuts both ways and the current steadiness in direction is taking us to some pretty unstable territory. How about if stable keeps merit honest? That leaves an open slot for “better” to climb back in… so long as we unmoor it from the greasy downslide to the cheap farm that globalization wins no matter who’s racing.
You Don’t Have to Worship a Dollar (to Go to Work Everyday)
I’m a part-timer nanny who drives for a ride-sharing service when I’m not pinch-hitting for a local caterer.
How many gigs are you holding up? Are they even consistent enough to be counted the same from one pay period to the next?
What if the social contract wasn’t bleed-me-dry in exchange for a chance of a promotable event in some foreseeable future? What if there was an actual dependency between the personal fortunes of the big tech elites and my take home pay? What if the downstream impact of decisions were felt firsthand by the folks who make them? Would they make those same decisions if they had to live with those decisions?
Returning to Senator Scott’s cautionary “do better someplace else” tale on the Senate floor, when was the last time you personally were moved to refuse the terms of your employer? That’s the leverage needed for economic recovery. And it’s not a return to work or the ethic of hard work. It’s the dignity of work that provides for the workers and their managers. Not simply for owners and shareholders.
The dignity of work: Step one in our long national recovery to come.