Quantcast
Connect with us

What capitalists don’t get about socialism

Published

on

- Commentary
Thanks for your support!
This article was paid for by reader donations to Raw Story Investigates.

This article was paid for by Raw Story subscribers. Not a subscriber? Try us and go ad-free for $1. Prefer to give a one-time tip? Click here.

Terry H. Schwadron
Terry H. Schwadron

Terry H. Schwadron

The 2020 presidential election has spawned a strange discussion about whether capitalism is dead or dying, and about whether “socialism” is yet a worse fit for the United States.

ADVERTISEMENT

Basically more conservative politicians are trashing the Scandinavia-like desires of more liberal Democrats, leaving all in between scratching the heads about why the choices are greed or taxation.

In large part, the unusual discussion is strange because it is a false set of choices, and, in part, because, like so much else, this is just another convenient way to run down your political opponent. It feels much like a first-world word-definition problem rather than a guide to setting acceptable national economic policy.

To conservatives, waving a “socialism” flag every time Rep. Alexandria Ocasio-Cortez (D-N.Y.) or others mention climate disruption, seems a sage warning about dissembling the American economic system, the pride of rugged individualism and the removal of all incentives for hard work.

If you hope yourself to be rich one day, you support capitalism. If you think we should have affordable health insurance, you take the other side.

ADVERTISEMENT

To AOC, Sens. Bernie Sanders (I-Vt.) and Elizabeth Warren (D-Mass.) and New York City Mayor Bill DeBlasio and other progressive Democrats, the term “socialism” simply means having a heart for helping others, a short-hand for saying that capitalism has spurred unwarranted greed and meanness against those at the bottom of the inevitable food chain that our economy creates.

Weirdly, it has become a standard question for journalists, pundits and voters to ask the Democratic candidates whether they support “socialism” or “capitalism.” Every time I hear the question, I cringe, because people are neither prepared to enter into a discussion about economic systems nor are they really interested in the answer. A yes or no here merely underscores the listener’s standing bias about what the terms mean and who will benefit most from a response.

If you hope yourself to be rich one day, you support capitalism under this one-word debate. If you think we should have affordable health insurance, you take the other side in the debate.

ADVERTISEMENT

A Mixed Economy

The fact is that for at least a century, America has been a mixture of economic systems, favoring an American Dream that allows individuals with special drive to create an Apple company or an industrialized car industry or an economic system in which richer people become yet richer by moving around pieces of paper that represent financing of others’ work products.

But along the way, we’ve had a labor movement that brought the end of child labor, demanded pay for work hours, overtime, pensions. We’ve had civil rights movements that have asked for more inclusion of protections for women, non-whites, and, in recent decades for gays and transsexual people. We’ve had—and now are undoing—an environmental revolution in which we have tried to equate the values of clean air and water with profit. We’ve coped with an increasingly multi-national corporate world in which the traditional “individualism” arguments simply don’t apply because we Americans are not in full control of the factors that govern the direction of the economy.

So, instead, we have settled around terms for the economy that simply declare team membership that we represent in political parties or sub-parties rather than in differently colored tee-shirts.

ADVERTISEMENT

For decades, Democrats and Republicans have hailed America’s business elite, especially in Silicon Valley, as the country’s salvation, argued a recent piece in The Washington Post. “The government might be gridlocked, the electorate angry and divided, but America’s innovators seemed to promise a relatively pain-free way out of the mess. Their companies produced an endless series of products that kept the U.S. economy churning and its gross domestic product climbing. Their philanthropic efforts were aimed at fixing some of the country’s most vexing problems. Government’s role was to stay out of the way. Now that consensus is shattering. For the first time in decades, capitalism’s future is a subject of debate among presidential hopefuls and a source of growing angst for America’s business elite. In places such as Silicon Valley, the slopes of Davos, Switzerland, and the halls of Harvard Business School, there is a sense that the kind of capitalism that once made America an economic envy is responsible for the growing inequality and anger that is tearing the country apart.”

Everyone Wants the ‘Dream’

A writer named Umair Haque has written several pieces in Medium that note that Americans want the Dream, but are upset by “many ills (that come) with it. It makes people immoral, foolish, vain, short-sighted, selfish. It leads to strife and division and greed. But it’s worth it. Why? Because in the end, we all get rich. In fact, it’s the only way that we all get rich in the end — and not end up poor. And being poor brings worse things with it.”

Of course, as he notes, for an astonishing number of Americans, they don’t get rich, though corporations and those already wealthy do. Business Insider Magazine argues that more than half the country have a negative net worth.

ADVERTISEMENT

In other words, that expectation that we will all get rich is an elusive truth. It’s possible, but not likely.

Instead, what is not only likely but increasingly certain is that basics of housing, food, prescription drugs and health care, clothing, transportation and work itself are all pulling in the wrong directions. Jobs that pay enough for us to comfortably afford our lives are more difficult to come by, and prices for all those basic needs are increasing and quickly.

The exigencies of climate disruption and increased automation clearly are only going to make all this worse; climate change is going to create price and supply wars, and spawn massive migrations; automated robots will eliminate wide swaths of jobs in the name of profit.

ADVERTISEMENT

Our salaries have been held to minimal improvements for nearly 50 years as the wealthy continue to get wealthier. The income gap is galloping ahead unchecked.

The Democratic candidates or Congress members calling for adjustments are not throwing capitalism out the window. They are saying that we need an infusion of caring, of what they see as fairness and inclusion, of a bit of a stabilizing role for government.

A lot of this comes down to our national views on taxes—the money to fuel government. If you are a “capitalist,” you want to pay as little tax as possible, because it will only be shared through services with those who are not pulling as hard on the oars as you do. If you are a “socialist” or “democratic socialist,” you want to tax the rich to pay their fair share, exactly to help lessen this income gap.

ADVERTISEMENT

I have no problem with disagreement over these issues, but it seems that Americans prefer to wave hats and banners for their teams rather than look at the reasoning.

Make America Think Again might be a better hat.

Enjoy this piece?

… then let us make a small request. Like you, we here at Raw Story believe in the power of progressive journalism — and we’re investing in investigative reporting as other publications give it the ax. Raw Story readers power David Cay Johnston’s DCReport, which we've expanded to keep watch in Washington. We’ve exposed billionaire tax evasion and uncovered White House efforts to poison our water. We’ve revealed financial scams that prey on veterans, and legal efforts to harm workers exploited by abusive bosses. We’ve launched a weekly podcast, “We’ve Got Issues,” focused on issues, not tweets. And unlike other news outlets, we’ve decided to make our original content free. But we need your support to do what we do.

Raw Story is independent. You won’t find mainstream media bias here. We’re not part of a conglomerate, or a project of venture capital bros. From unflinching coverage of racism, to revealing efforts to erode our rights, Raw Story will continue to expose hypocrisy and harm. Unhinged from billionaires and corporate overlords, we fight to ensure no one is forgotten.

We need your support to keep producing quality journalism and deepen our investigative reporting. Every reader contribution, whatever the amount, makes a tremendous difference. Invest with us in the future. Make a one-time contribution to Raw Story Investigates, or click here to become a subscriber. Thank you. Click to donate by check.

Enjoy this piece?

… then let us make a small request. Like you, we here at Raw Story believe in the power of progressive journalism — and we’re investing in investigative reporting as other publications give it the ax. Raw Story readers power David Cay Johnston’s DCReport, which we've expanded to keep watch in Washington. We’ve exposed billionaire tax evasion and uncovered White House efforts to poison our water. We’ve revealed financial scams that prey on veterans, and efforts to harm workers exploited by abusive bosses. We’ve launched a weekly podcast, “We’ve Got Issues,” focused on issues, not tweets. Unlike other news sites, we’ve decided to make our original content free. But we need your support to do what we do.

Raw Story is independent. You won’t find mainstream media bias here. We’re not part of a conglomerate, or a project of venture capital bros. From unflinching coverage of racism, to revealing efforts to erode our rights, Raw Story will continue to expose hypocrisy and harm. Unhinged from corporate overlords, we fight to ensure no one is forgotten.

We need your support to keep producing quality journalism and deepen our investigative reporting. Every reader contribution, whatever the amount, makes a tremendous difference. Invest with us in the future. Make a one-time contribution to Raw Story Investigates, or click here to become a subscriber. Thank you.


This article was paid for by Raw Story subscribers. Not a subscriber? Try us and go ad-free for $1. Prefer to give a one-time tip? Click here.


Report typos and corrections to: [email protected]. Send news tips to: [email protected]ory.com.
READ COMMENTS - JOIN THE DISCUSSION
Continue Reading

Breaking Banner

How Trump’s limited intellectual development has given him a ‘God complex’

Published

on

Trump's lack of respect for the country's long-standing democratic norms and institutions also extends to America's alliances, security arrangements with its allies and friends, and the international order more broadly. To that end  Trump has threatened to remove the U.S. from NATO, hailed the merits of nationalism (while barely pretending that does not mean white nationalism), tried to surrender U.S. security to Russian President Vladimir Putin and proclaimed on numerous occasions that America will now stand (mostly) alone in the world.

This story first ran at Salon in November of 2018. 

Continue Reading

Breaking Banner

Conservative columnist blasts GOP as ‘partisan hacks for whom hypocrisy is second-nature’

Published

on

On Tuesday, President Donald Trump once again ripped into The Squad, this time to undercut an emotional press conference in which Rep. Rashida Tlaib (D-MN) described the conditions her Palestinian relatives live under.

“Sorry, I don’t buy Rep. Tlaib’s tears. I have watched her violence, craziness and, most importantly, WORDS, for far too long,” the president tweeted. “Now tears? She hates Israel and all Jewish people. She is an anti-Semite. She and her 3 friends are the new face of the Democrat Party. Live with it!”

Sorry, I don’t buy Rep. Tlaib’s tears. I have watched her violence, craziness and, most importantly, WORDS, for far too long. Now tears? She hates Israel and all Jewish people. She is an anti-Semite. She and her 3 friends are the new face of the Democrat Party. Live with it!

Continue Reading
 

Breaking Banner

Trump’s Labor Department wants to ‘weaponize’ right-wing discrimination and bigotry

Published

on

Just in case you wanted to believe that the Trump administration isn’t on a campaign to trample rights for Americans, here comes the Labor Department to shove a grapefruit in your face.

Labor officials have made public a new rule—no Congress, needed, thank you—to allow companies contracting with the federal government who are “religion-exercising organizations” to ignore federal laws protecting the rights of gays, transsexuals, and who knows who else in hiring or workplace practices. Religious employers and companies with “closely held” religious ties now will be shielded from claims of bias in court or other law enforcement actions, says the rule.

Continue Reading
 
 

Thank you for whitelisting Raw Story!

As a special thank you, from now until August 31st, we're offering you a discounted rate of $5.99/month to subscribe and get ad-free access. We're honored to have you as a reader. Thank you. :) —Elias, Membership Coordinator
LEARN MORE
close-link
close-image