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materialism is not the greedy desire for material goods, but rather the belief that the fundamental reality of the world is material;

idealism is not the aspiration toward lofty and laudable goals, but rather the belief that the fundamental reality of the world is mental or idea-like. English-speaking philosophers today tend to speak of “physicalism” or “naturalism” rather than materialism (perhaps to avoid confusion with the Wall Street sense of the term). At the same time, Anglo-American historians of philosophy continue to find the distinction between materialism and idealism a useful one in our attempts at categorizing past schools of thought. Democritus and La Mettrie were materialists; Hobbes was pretty close. Berkeley and Kant were idealists; Leibniz may have been.

And it was these paradoxes that led the Irish philosopher to conclude that talk of matter was but a case of multiplying entities beyond necessity. For Berkeley, all we can know are ideas, and for this reason it made sense to suppose that the world itself consists in ideas.

Central to this performance was the concept of  “materialism.” The entire history of philosophy, in fact, was portrayed in Soviet historiography as a series of matches between the materialist home-team and its “idealist” opponents, beginning roughly with Democritus (good) and Plato (bad), and culminating in the opposition between official party philosophy and logical positivism, the latter of which was portrayed as a shrouded variety of idealism. Thus from the “Short Philosophical Dictionary,” published in Moscow in 1951, we learn that the school of logical empiricism represented by Rudolf Carnap, Otto Neurath and others, “is a form of subjective idealism, characteristic of degenerating bourgeois philosophy in the epoch of the decline of capitalism.”Now the Soviet usage of this pair of terms appears to fly in the face of our ordinary, non-philosophical understanding of them (that, for example,  Wall Street values are “materialist,” while the Occupy movement is “idealist”). One might have thought that the communists should be flinging the “materialist” label at their capitalist enemies, rather than claiming it for themselves. One might also have thought that the Bolshevik Revolution and the subsequent failed project of building a workers’ utopia was nothing if not idealistic.

one great problem with the concept of materialism is that it says very little in itself. What is required in addition is an elaboration of what a given thinker takes matter, or ideas, to be. It may not be just the Marxist aftertaste, but also the fact that the old common-sense idea about matter as brute, given stuff has turned out to have so little to do with the way the physical world actually is, that has led Anglo-American philosophers to prefer to associate themselves with the “physical” or the “natural” rather than with the material.  Reality, they want to say, is just what is natural, while everything else is in turn “supernatural” (this distinction has its clarity going for it, but it also seems uncomfortably close to tautology). Not every philosopher has a solid grasp of subatomic physics, but most know enough to grasp that, even if reality is eventually exhaustively accounted for through an enumeration of the kinds of particles and a few basic forces, this reality will still look nothing like what your average person-in-the-street takes reality to be.

The 18th-century idealist philosopher George Berkeley strongly believed that matter was only a fiction contrived by philosophers in the first place, for which the real people had no need. For Berkeley, there was never anything common-sensical about matter. We did not need to arrive at the era of atom-splitting and wave-particle duality, then, in order for the paradoxes inherent in matter to make themselves known (is it infinitely divisible or isn’t it?

Soviet and Western Marxists alike, by stark contrast, and before them the French “vulgar” (i.e., non-dialectical) materialists of the 18th century, saw and see the material world as the base and cause of all mental activity, as both bringing ideas into existence, and also determining the form and character of a society’s ideas in accordance with the state of its technology, its methods of resource extraction and its organization of labor. So here to focus on the material is not to become distracted from the true source of being, but rather to zero right in on it.

Consider money. Though it might sometimes be represented by bank notes or coins, money is an immaterial thing par excellence, and to seek to acquire it is to move on the plane of ideas. Of course, money can also be converted into material things, yet it seems simplistic to suppose that we want money only in order to convert it into the material things we really want, since even these material things aren’t just material either: they are symbolically dense artifacts, and they convey to others certain ideas about their owners. This, principally, is why their owners want them, which is to say that materialists (in the everyday sense) are trading in ideas just as much as anyone else.

In the end no one really cares about stuff itself. Material acquisitions — even, or perhaps especially, material acquisitions of things like Rolls Royces and Rolexes — are maneuvers within a universe of materially instantiated ideas. This is human reality, and it is within this reality that mystics, scientists, and philosophers alike are constrained to pursue their various ends, no matter what they might take the ultimate nature of the external world to be.

The Notre Dame sociologist Christian Smith once summarized the moral narrative told by the American left like this: “Once upon a time, the vast majority” of people suffered in societies that were “unjust, unhealthy, repressive and oppressive.” These societies were “reprehensible because of their deep-rooted inequality, exploitation and irrational traditionalism — all of which made life very unfair, unpleasant and short. But the noble human aspiration for autonomy, equality and prosperity struggled mightily against the forces of misery and oppression and eventually succeeded in establishing modern, liberal, democratic, capitalist, welfare societies.” Despite our progress, “there is much work to be done to dismantle the powerful vestiges of inequality, exploitation and repression.” This struggle, as Smith put it, “is the one mission truly worth dedicating one’s life to achieving.”This is a heroic liberation narrative. For the American left, African-Americans, women and other victimized groups are the sacred objects at the center of the story. As liberals circle around these groups, they bond together and gain a sense of righteous common purpose.

the Reagan narrative like this: “Once upon a time, America was a shining beacon. Then liberals came along and erected an enormous federal bureaucracy that handcuffed the invisible hand of the free market. They subverted our traditional American values and opposed God and faith at every step of the way.” For example, “instead of requiring that people work for a living, they siphoned money from hard-working Americans and gave it to Cadillac-driving drug addicts and welfare queens.” Instead of the “traditional American values of family, fidelity and personal responsibility, they preached promiscuity, premarital sex and the gay lifestyle” and instead of “projecting strength to those who would do evil around the world, they cut military budgets, disrespected our soldiers in uniform and burned our flag.” In response, “Americans decided to take their country back from those who sought to undermine it.”This, too, is a heroic narrative, but it’s a heroism of defense. In this narrative it’s God and country that are sacred — hence the importance in conservative iconography of the Bible, the flag, the military and the founding fathers. But the subtext in this narrative is about moral order. For social conservatives, religion and the traditional family are so important in part because they foster self-control, create moral order and fend off chaos.

Part of Reagan’s political genius was that he told a single story about America that rallied libertarians and social conservatives, who are otherwise strange bedfellows. He did this by presenting liberal activist government as the single devil that is eternally bent on destroying two different sets of sacred values — economic liberty and moral order. Only if all nonliberals unite into a coalition of tribes can this devil be defeated.

Even if the corporatization of our society is so complete that it is objectively impossible to avoid giving money to entities that are at that very moment working to undermine our political freedoms, every religious and ethically-minded institution should be urging those under its influence to be aware and resist wherever possible.

In sum, you should absolutely be supporting corporations that put human values ahead of profit, and doing your best to keep your dollars away from ones that exploit workers and try to obstruct democracy, whether directly by stripping workers of their rights or indirectly by supporting the exclusionary social fantasies of religious reactionaries.

History: from 18.5 percent to 10.7 percent

But the deeper explanation resides not in something that has happened to it, but in what it has done to itself. English has become less and less coherent as a discipline and, worse, has come near exhaustion as a scholarly pursuit.

The twin focus, then, was on the philological nature of the enterprise and the canon of great works to be studied in their historical evolution.

Studying English taught us how to write and think better, and to make articulate many of the inchoate impulses and confusions of our post-adolescent minds. We began to see, as we had not before, how such books could shape and refine our thinking. We began to understand why generations of people coming before us had kept them in libraries and bookstores and in classes such as ours. There was, we got to know, a tradition, a historical culture, that had been assembled around these books. Shakespeare had indeed made a difference—to people before us, now to us, and forever to the language of English-speaking people.

today there are stunning changes in the student population: there are more and more gifted and enterprising students coming from immigrant backgrounds, students with only slender connections to Western culture and to the assumption that the “great books” of England and the United States should enjoy a fixed centrality in the world. What was once the heart of the matter now seems provincial. Why throw yourself into a study of something not emblematic of the world but representative of a special national interest? As the campus reflects the cultural, racial, and religious complexities of the world around it, reading British and American literature looks more and more marginal. From a global perspective, the books look smaller.

With the cost of a college degree surging upward during the last quarter century—tuition itself increasing far beyond any measure of inflation—and with consequent growth in loan debt after graduation, parents have become anxious about the relative earning power of a humanities degree. Their college-age children doubtless share such anxiety. When college costs were lower, anxiety could be kept at bay. (Berkeley in the early ’60s cost me about $100 a year, about $700 in today’s dollars.)

Economists, chemists, biologists, psychologists, computer scientists, and almost everyone in the medical sciences win sponsored research, grants, and federal dollars. By and large, humanists don’t, and so they find themselves as direct employees of the institution, consuming money in salaries, pensions, and operating needs—not external money but institutional money.

These, then, are some of the external causes of the decline of English: the rise of public education; the relative youth and instability (despite its apparent mature solidity) of English as a discipline; the impact of money; and the pressures upon departments within the modern university to attract financial resources rather than simply use them up.

several of my colleagues around the country have called for a return to the aesthetic wellsprings of literature, the rock-solid fact, often neglected, that it can indeed amuse, delight, and educate. They urge the teaching of English, or French, or Russian literature, and the like, in terms of the intrinsic value of the works themselves, in all their range and multiplicity, as well-crafted and appealing artifacts of human wisdom. Second, we should redefine our own standards for granting tenure, placing more emphasis on the classroom and less on published research, and we should prepare to contest our decisions with administrators whose science-based model is not an appropriate means of evaluation.

“It may be that what has happened to the profession is not the consequence of social or philosophical changes, but simply the consequence of a tank now empty.” His homely metaphor pointed to the absence of genuinely new frontiers of knowledge and understanding for English professors to explore.

In this country and in England, the study of English literature began in the latter part of the 19th century as an exercise in the scientific pursuit of philological research, and those who taught it subscribed to the notion that literature was best understood as a product of language.

no one has come forward in years to assert that the study of English (or comparative literature or similar undertakings in other languages) is coherent, does have self-limiting boundaries, and can be described as this but not that.

to teach English today is to do, intellectually, what one pleases. No sense of duty remains toward works of English or American literature; amateur sociology or anthropology or philosophy or comic books or studies of trauma among soldiers or survivors of the Holocaust will do. You need not even believe that works of literature have intelligible meaning; you can announce that they bear no relationship at all to the world beyond the text.

With everything on the table, and with foundational principles abandoned, everyone is free, in the classroom or in prose, to exercise intellectual laissez-faire in the largest possible way—I won’t interfere with what you do and am happy to see that you will return the favor

Consider the English department at Harvard University. It has now agreed to remove its survey of English literature for undergraduates, replacing it and much else with four new “affinity groups”

there would be no one book, or family of books, that every English major at Harvard would have read by the time he or she graduates. The direction to which Harvard would lead its students in this “clean slate” or “trickle down” experiment is to suspend literary history, thrusting into the hands of undergraduates the job of cobbling together intellectual coherence for themselves

Those who once strove to give order to the curriculum will have learned, from Harvard, that terms like core knowledge and foundational experience only trigger acrimony, turf protection, and faculty mutinies. No one has the stomach anymore to refight the Western culture wars. Let the students find their own way to knowledge.

In English, the average number of years spent earning a doctoral degree is almost 11. After passing that milestone, only half of new Ph.D.’s find teaching jobs, the number of new positions having declined over the last year by more than 20 percent; many of those jobs are part-time or come with no possibility of tenure. News like that, moving through student networks, can be matched against, at least until recently, the reputed earning power of recent graduates of business schools, law schools, and medical schools. The comparison is akin to what young people growing up in Rust Belt cities are forced to see: the work isn’t here anymore; our technology is obsolete.

unlike other members of the university community, they might well have been plying their trade without proper credentials: “Whereas economists or physicists, geologists or climatologists, physicians or lawyers must master a body of knowledge before they can even think of being licensed to practice,” she said, “we literary scholars, it is tacitly assumed, have no definable expertise.”

English departments need not refight the Western culture wars. But they need to fight their own book wars. They must agree on which texts to teach and argue out the choices and the principles of making them if they are to claim the respect due a department of study.

They can teach their students to write well, to use rhetoric. They should place their courses in composition and rhetoric at the forefront of their activities. They should announce that the teaching of composition is a skill their instructors have mastered and that students majoring in English will be certified, upon graduation, as possessing rigorously tested competence in prose expression.

The study of literature will then take on the profile now held, with moderate dignity, by the study of the classics, Greek and Latin.

But we can, we must, do better. At stake are the books themselves and what they can mean to the young. Yes, it is just a literary tradition. That’s all. But without such traditions, civil societies have no compass to guide them.

most subjects divided their tokens nearly equally between the public and private accounts

Economics students, by contrast, invested only 20 percent of their tokens in the public fund, on average.

Three quarters of non-economists reported that a "fair" investment of tokens would necessitate putting at least half of their tokens in the public fund. A third of economists didn't answer the question or gave "complex, uncodable responses." The remaining economics students were much more likely than their non-economist peers to say that "little or no contribution was 'fair'."

Other studies have found economics students to exhibit a stronger tendency towards anti-social positions compared to their peers.

Carter and Irons had both economics students and non-economics students play the "ultimatum" game -- a two-player game where one player is given a sum of money to divide between the two. The other player is then given a chance to accept or reject the offer; if she accepts it, then each player receives the portion of money proposed by the offerer. If she declines, then neither player gets any money. Carter and Irons found that, relative to non-economics students, economics students were much more likely to offer their partners small sums, and, thus, deviate from a "fair" 50/50 spilt.

Finally, researchers had both economics and non-economics students fill out two "honesty surveys" -- one at the start of the semester and one at the conclusion -- regarding how likely they were to either report being undercharged for a purchase or return found money to its owner. The authors found that, after taking an economics class, students' responses to the end-of-the-semester survey were more likely to reflect a decline in honest behavior than students who studied astronomy.

Other studies supported these key findings. They found that economics students are less likely to consider a vendor who increases the price of bottled water on a hot day to be acting "unfairly." Economics students who played a lottery game were willing to commit less of their potential winnings to fund a consolation prize for losers than were their peers. And such students were significantly more willing to accept bribes than other students. Moreover, economics students valued personal achievement and power more than their peers while attributing less importance to social justice and equality.

results show that it is not just selection that is responsible for the reported increase in immoral attitudes

Later studies support this conclusion. They found ideological differences between lower-level economics students and upper-level economics students that are similar in kind to the measured differences between the ideology of economics students as a whole and their peers. He finds that upper-level students are even less likely to support egalitarian solutions to distribution problems than lower-level students, suggesting that time spent studying economics does have an indoctrination effect.

The problem is not only that students are exposed to such views, but that there are no "balancing" courses taught in typical American colleges, in which a different view of economics is presented. Moreover, while practically all economic classes are taught in the "neoclassical" (libertarian, self centered) viewpoint, in classes by non-economists -- e.g., in social philosophy, political science, and sociology -- a thousand flowers bloom such that a great variety of approaches are advanced, thereby leaving students with a cacophony of conflicting pro-social views. What is needed is a systematic pro-social economics, that combines appreciation for the common good and for others as well as for the service of self.

Above all, there were many dire warnings about the evils of “printing money.” For example, in May 2009 an editorial in The Wall Street Journal warned that both interest rates and inflation were set to surge “now that Congress and the Federal Reserve have flooded the world with dollars.” In 2010 a virtual Who’s Who of conservative economists and pundits sent an open letter to Ben Bernanke warning that his policies risked “currency debasement and inflation.”

Although the Fed continued on its expansionary course — its balance sheet has grown to more than $4 trillion, up fivefold since the start of the crisis — inflation stayed low. For the most part, the funds the Fed injected into the economy simply piled up either in bank reserves or in cash holdings by individuals — which was exactly what economists on the other side of the divide had predicted would happen.

the similar state of affairs when it comes to economics, monetary economics in particular.

Mainly, though, the currency-debasement crowd just keeps repeating the same lines, ignoring its utter failure in prognostication.

Isn’t the question of how to manage the money supply a technical issue, not a matter of theological doctrine?

Well, it turns out that money is indeed a kind of theological issue. Many on the right are hostile to any kind of government activism, seeing it as the thin edge of the wedge — if you concede that the Fed can sometimes help the economy by creating “fiat money,” the next thing you know liberals will confiscate your wealth and give it to the 47 percent.

if you look at the internal dynamics of the Republican Party, it’s obvious that the currency-debasement, return-to-gold faction has been gaining strength even as its predictions keep failing.

Quite apart from the “unbalanced power” of the financial sector, and the tendency of a super-sized financial sector to cause increasingly bad global financial crashes, excessive financialization leads to resources being misallocated. “In many of the financial sector’s segments that have grown fastest since deregulation—like investment banks—the transactions are primarily zero-sum.”

However in times of rapid technological transformation like today, the role of the economic priesthood in protecting its own interests can become a massively destabilizing.

Thus we know from the history of the last couple of hundred years that in times of rapid technological transformation, the financial sector tends to become disconnected from the real economy

This has occurred a number of times in the last few hundred years, including the Canal Mania (England—1790s), the Rail Mania (England—1840s), the Gilded Age (US: 1880s—early 1900s) the Roaring Twenties (US—1920s) and the Big Banks of today.

Getting to safety is not made any easier by the fact the modern economic priesthood—the managers of large firms and the banks—has, like their ancient Egyptian forbears, found ways to participate in the casino economy and benefit from “making money out of money”, even as the economy as a whole suffers.  As Upton Sinclair wrote, “It is difficult to get a man to understand something, when his salary depends upon his not understanding it.

Just as the ancient Egyptian economic priesthood clung to power as the economy stagnated, so today the economic priesthood shows no signs of relinquishing their gains or their power. The appetite and expectation of extraordinary returns is still there.

“Corporate chieftains rationally choose financial engineering—debt-financed share buybacks, for example—over capital investment in property, plants and equipment. Financial markets reward shareholder activism. Institutional investors extend their risk parameters to beat their benchmarks… But real economic growth—averaging just a bit above 2 percent for the fifth year in a row—remains sorely lacking.”

As a result, the economy remains in the “Great Stagnation”(Tyler Cowen), also known as “the Secular Stagnation (Larry Summers). It is running on continuing life support from the Federal Reserve. Large enterprises still appear to be profitable. The appearance, though not the reality, of economic well-being has been sufficient to make the stock market soa

Just as no change was possible in ancient Egyptian society so long as the economic priesthood colluded to preserve the status quo, so the excesses and prevarications of the Financial Sector will continue so long as the regulators remain its cheerleaders.

Just listen to the chair of the Securities and Exchange Commission (SEC), Mary Jo White at Stanford University Rock Center for Corporate Governance speaking to directors. In her speech, she makes no secret of her view that the overall corporate arrangements are sound. The job of the SEC, as outlined in the speech, is to find the odd individual who might be doing something wrong. The idea that the large-scale activities of the major banks might be socially corrosive is not even alluded.

Thus in times of transformational technology, there is a huge expansion of investment, driven by the financial sector. Wealthy investors begin to expect outsized returns and so there is over-investment. The resulting bubbles in due course burst

Just as in ancient Egypt, no progress was possible so long as the myths and rituals of the economic priesthood and their offerings to the gods were widely accepted as real indicators of what was going on, so today no progress is possible so long as the myths and rituals of the modern economic priesthood still has a pervasive hold of people’s minds

In the modern economy, the myths and rituals of the economic priesthood are built on the notion that the purpose of a firm is to maximize shareholder value and the notion that if the share price is increasing, things are going well. These ideas are the intellectual underpinnings of the zero-sum activities of the financial sector for “making money out of money”, by whatever means possible

Like the myths and rituals of the priests of ancient Egypt, shareholder value theory is espoused with religious overtones. Shareholder value, which even Jack Welch has called “the dumbest idea in the world,” remains pervasive in business, even though it is responsible for massive offshoring of manufacturing, thereby destroying major segments of the US economy, undermining US capacity to compete in international markets and killing the economic recovery.

If instead society decides that the financial sector should concentrate on its socially important function of financing the real economy and providing financial security for an ever wider circle of citizens and enterprises, we could enjoy an era of growth and lasting prosperity.

"The market is running with the assumption that while this tumult will be the deepest recession in modern-day financial history, it will also be the shortest," Innes wrote.

"The classic finding — I would say it is the most replicated finding in psychology — is that people who are good at one type of mental task tend to be good at them all,"

G-factor is real in the sense it can predict outcomes in our lives — how much money you'll make, how productive of a worker you might be, and, most chillingly, how likely you are to die an earlier death.

According to the research, people with high IQs tend to be healthier and live longer than the rest of us

One is the fact that people with higher IQs tend to make more money than people with lower scores. Money is helpful in maintaining weight, nutrition, and accessing good health care.

IQ often beats personality when it comes to predicting life outcomes: Personality traits, a recent study found, can explain about 4 percent of the variance in test scores for students under age 16. IQ can explain 25 percent, or an even higher proportion, depending on the study.

Many of these correlations are less than .5, which means there's plenty of room for individual differences. So, yes, very smart people who are awful at their jobs exist. You're just less likely to come across them.

The correlation between IQ and happiness is usually positive, but also usually smaller than one might expect (and sometimes not statistically significant)," Ritchie says.

It could also be that people with higher IQs are smart enough to avoid accidents and mishaps. There's actually some evidence to support this: Higher-IQ people are less likely to die in traffic accidents.

Even though intelligence generally declines with age, those who had high IQs as children were most likely to retain their smarts as very old people.

"If we know the genes related to intelligence — and we know these genes are related to cognitive decline as well — then we can start to a predict who is going to have the worst cognitive decline, and devote health care medical resources to them," he says.

Studies comparing identical and fraternal twins find about half of IQ can be explained by genetics.

genetics seems to become more predictive of IQ with age.

The idea is as we age, we grow more in control of our environments. Those environments we create can then "amplify" the potential of our genes.

About half the variability in IQ is attributed to the environment. Access to nutrition, education, and health care appear to play a big role.

People’s lives are really messy, and the environments they are in are messy. There’s a possibility that a lot of the environmental effect on a person’s intelligence is random."

Hurray! Mean IQ scores appear to be increasing between 2 and 3 points per decade.

This phenomenon is know as the Flynn effect, and it is likely the result of increasing quality of childhood nutrition, health care, and education.

Historians and sociologists of science say that since the tobacco wars of the 1960s, corporations trying to block legislation that hurts their interests have employed a strategy of creating the appearance of scientific doubt, usually with the help of ostensibly independent researchers who accept industry funding.

“The whole doubt-mongering strategy relies on creating the impression of scientific debate,” said Naomi Oreskes, a historian of science at Harvard University and the co-author of “Merchants of Doubt,” a book about such campaigns. “Willie Soon is playing a role in a certain kind of political theater.”

Environmentalists have long questioned Dr. Soon’s work, and his acceptance of funding from the fossil-fuel industry was previously known. But the full extent of the links was not; the documents show that corporate contributions were tied to specific papers and were not disclosed, as required by modern standards of publishing.

“What it shows is the continuation of a long-term campaign by specific fossil-fuel companies and interests to undermine the scientific consensus on climate change,” said Kert Davies, executive director of the Climate Investigations Center, a group funded by foundations seeking to limit the risks of climate change.

Many experts in the field say that Dr. Soon uses out-of-date data, publishes spurious correlations between solar output and climate indicators, and does not take account of the evidence implicating emissions from human behavior in climate change.

Though often described on conservative news programs as a “Harvard astrophysicist,” Dr. Soon is not an astrophysicist and has never been employed by Harvard. He is a part-time employee of the Smithsonian Institution with a doctoral degree in aerospace engineering. He has received little federal research money over the past decade and is thus responsible for bringing in his own funds, including his salary.

Though he has little formal training in climatology, Dr. Soon has for years published papers trying to show that variations in the sun’s energy can explain most recent global warming. His thesis is that human activity has played a relatively small role in causing climate change.

As the oil-industry contributions fell, Dr. Soon started receiving hundreds of thousands of dollars through DonorsTrust, an organization based in Alexandria, Va., that accepts money from donors who wish to remain anonymous, then funnels it to various conservative causes.

Gavin A. Schmidt, head of the Goddard Institute for Space Studies in Manhattan, a NASA division that studies climate change, said that the sun had probably accounted for no more than 10 percent of recent global warming and that greenhouse gases produced by human activity explained most of it.“The science that Willie Soon does is almost pointless,” Dr. Schmidt said.

Dr. Soon has found a warm welcome among politicians in Washington and state capitals who try to block climate action. United States Senator James M. Inhofe, an Oklahoma Republican who claims that climate change is a global scientific hoax, has repeatedly cited Dr. Soon’s work over the years.

Dr. Oreskes, the Harvard science historian, said that academic institutions and scientific journals had been too lax in recent decades in ferreting out dubious research created to serve a corporate agenda.

In recent years, many of the industry’s elite have pledged financial support to schools, hospitals, police stations and homeless shelters, all while many of the industry’s companies have avoided paying taxes that would fund those same vital public institutions.

Any philanthropy seems legitimate when it aligns with your own goals.

We did indeed give them this mandate through our politics: loose campaign finance laws and lower tax rates. Through policies that have reinforced exceptional wealth disparities, we have allowed them not just to govern themselves, but us as well.

To many of Gawker’s critics, Mr. Thiel is a hero on a charitable crusade for justice. It would be safe to say that this is how his fellow Silicon Valley philanthropists would also define their giving. They are under a presumptive mandate to improve society according to their own values, purely because they have made a lot of money while most everyone else has not. The Gospel of Wealth dictates that this is not only their ability, but their responsibility.

the concerned public might take a different, simpler tack.Mr. Thiel told an interviewer in 2012 that he feared the result of this precipitous wealth gap. “In the history of the modern world, inequality has only been ended through Communist revolution, war or deflationary economic collapse,” he said. “It’s a disturbing question which of these three is going to happen today, or if there’s a fourth way out.”

If we’re lucky, there may be, but Mr. Thiel isn’t going to like it. Wealth gleaned by way of tax dodges and monopolistic business practices is wealth stolen from the public, even when it is returned in the form of supposed gifts.

Philanthropy has the power to do a great deal of good, but so do tax dollars allocated in an equitable democratic system. Perhaps it’s time to adopt a Gospel of Government.

But just because the result is unintentional doesn’t mean it is fantasy: Newsrooms have been decimated, with basic accountability reporting slashed as a result.

I’m not saying that the good stuff — the mobile revolution, blocking intrusive ads, better marketing options for small businesses — doesn’t outweigh the bad. And local news organizations absolutely contributed to the problem with their sluggish and often uncreative reaction to the digital revolution.

This corruption map of France seems to be a local initiative. Similar maps of other countries would make for equally compelling reading. Except of course the corruption maps of Somalia, South Sudan and North Korea – they would be totally blank.

Mr. Murray and other conservatives often seem to assume that the decline of the traditional family has terrible implications for society as a whole. This is, of course, a longstanding position. Reading Mr. Murray, I found myself thinking about an earlier diatribe, Gertrude Himmelfarb’s 1996 book, “The De-Moralization of Society: From Victorian Virtues to Modern Values,” which covered much of the same ground, claimed that our society was unraveling and predicted further unraveling as the Victorian virtues continued to erode.

But is it really all about morals? No, it’s mainly about money.

Still, something is clearly happening to the traditional working-class family. The question is what. And it is, frankly, amazing how quickly and blithely conservatives dismiss the seemingly obvious answer: A drastic reduction in the work opportunities available to less-educated men.

For lower-education working men, however, it has been all negative. Adjusted for inflation, entry-level wages of male high school graduates have fallen 23 percent since 1973. Meanwhile, employment benefits have collapsed. In 1980, 65 percent of recent high-school graduates working in the private sector had health benefits, but, by 2009, that was down to 29 percent.

So we have become a society in which less-educated men have great difficulty finding jobs with decent wages and good benefits. Yet somehow we’re supposed to be surprised that such men have become less likely to participate in the work force or get married, and conclude that there must have been some mysterious moral collapse caused by snooty liberals.

The economics community just hasn't spent much time over the past couple of decades focusing on the effect that machine intelligence is likely to have on the labor marke

The Digital Revolution is different because computers can perform cognitive tasks too, and that means machines will eventually be able to run themselves. When that happens, they won't just put individuals out of work temporarily. Entire classes of workers will be out of work permanently. In other words, the Luddites weren't wrong. They were just 200 years too early

Slowly but steadily, labor's share of total national income has gone down, while the share going to capital owners has gone up. The most obvious effect of this is the skyrocketing wealth of the top 1 percent, due mostly to huge increases in capital gains and investment income.

Robotic pets are growing so popular that Sherry Turkle, an MIT professor who studies the way we interact with technology, is uneasy about it: "The idea of some kind of artificial companionship," she says, "is already becoming the new normal."

robots will take over more and more jobs. And guess who will own all these robots? People with money, of course. As this happens, capital will become ever more powerful and labor will become ever more worthless. Those without money—most of us—will live on whatever crumbs the owners of capital allow us.

Economist Paul Krugman recently remarked that our long-standing belief in skills and education as the keys to financial success may well be outdated. In a blog post titled "Rise of the Robots," he reviewed some recent economic data and predicted that we're entering an era where the prime cause of income inequality will be something else entirely: capital vs. labor.

while it's easy to believe that some jobs can never be done by machines—do the elderly really want to be tended by robots?—that may not be true.

Third, as more people compete for fewer jobs, we'd expect to see middle-class incomes flatten in a race to the bottom.

The question we want to answer is simple: If CBTC is already happening—not a lot, but just a little bit—what trends would we expect to see? What are the signs of a computer-driven economy?

if automation were displacing labor, we'd expect to see a steady decline in the share of the population that's employed.

Second, we'd expect to see fewer job openings than in the past.

In the economics literature, the increase in the share of income going to capital owners is known as capital-biased technological change

Fourth, with consumption stagnant, we'd expect to see corporations stockpile more cash and, fearing weaker sales, invest less in new products and new factories

Fifth, as a result of all this, we'd expect to see labor's share of national income decline and capital's share rise.

We're already seeing them, and not just because of the crash of 2008. They started showing up in the statistics more than a decade ago. For a while, though, they were masked by the dot-com and housing bubbles, so when the financial crisis hit, years' worth of decline was compressed into 24 months. The trend lines dropped off the cliff.

Corporate executives should worry too. For a while, everything will seem great for them: Falling labor costs will produce heftier profits and bigger bonuses. But then it will all come crashing down. After all, robots might be able to produce goods and services, but they can't consume them

in another sense, we should be very alarmed. It's one thing to suggest that robots are going to cause mass unemployment starting in 2030 or so. We'd have some time to come to grips with that. But the evidence suggests that—slowly, haltingly—it's happening already, and we're simply not prepared for it.

the first jobs to go will be middle-skill jobs. Despite impressive advances, robots still don't have the dexterity to perform many common kinds of manual labor that are simple for humans—digging ditches, changing bedpans. Nor are they any good at jobs that require a lot of cognitive skill—teaching classes, writing magazine articles

in the middle you have jobs that are both fairly routine and require no manual dexterity. So that may be where the hollowing out starts: with desk jobs in places like accounting or customer support.

In fact, there's even a digital sports writer. It's true that a human being wrote this story—ask my mother if you're not sure—but in a decade or two I might be out of a job too

Doctors should probably be worried as well. Remember Watson, the Jeopardy!-playing computer? It's now being fed millions of pages of medical information so that it can help physicians do a better job of diagnosing diseases. In another decade, there's a good chance that Watson will be able to do this without any human help at all.

Take driverless cars.

The next step might be passenger vehicles on fixed routes, like airport shuttles. Then long-haul trucks. Then buses and taxis. There are 2.5 million workers who drive trucks, buses, and taxis for a living, and there's a good chance that, one by one, all of them will be displaced

There will be no place to go but the unemployment lin

we'll need to let go of some familiar convictions. Left-leaning observers may continue to think that stagnating incomes can be improved with better education and equality of opportunity. Conservatives will continue to insist that people without jobs are lazy bums who shouldn't be coddled. They'll both be wrong.

The modern economy is complex, and most of these trends have multiple causes.

we'll probably have only a few options open to us. The simplest, because it's relatively familiar, is to tax capital at high rates and use the money to support displaced workers. In other words, as The Economist's Ryan Avent puts it, "redistribution, and a lot of it."

would we be happy in a society that offers real work to a dwindling few and bread and circuses for the rest?

Most likely, owners of capital would strongly resist higher taxes, as they always have, while workers would be unhappy with their enforced idleness. Still, the ancient Romans managed to get used to it—with slave labor playing the role of robots—and we might have to, as well.

 economist Noah Smith suggests that we might have to fundamentally change the way we think about how we share economic growth. Right now, he points out, everyone is born with an endowment of labor by virtue of having a body and a brain that can be traded for income. But what to do when that endowment is worth a fraction of what it is today? Smith's suggestion: "Why not also an endowment of capital? What if, when each citizen turns 18, the government bought him or her a diversified portfolio of equity?"

In simple terms, if owners of capital are capturing an increasing fraction of national income, then that capital needs to be shared more widely if we want to maintain a middle-class society.

it's time to start thinking about our automated future in earnest. The history of mass economic displacement isn't encouraging—fascists in the '20s, Nazis in the '30s—and recent high levels of unemployment in Greece and Italy have already produced rioting in the streets and larger followings for right-wing populist parties. And that's after only a few years of misery.

When the robot revolution finally starts to happen, it's going to happen fast, and it's going to turn our world upside down. It's easy to joke about our future robot overlords—R2-D2 or the Terminator?—but the challenge that machine intelligence presents really isn't science fiction anymore. Like Lake Michigan with an inch of water in it, it's happening around us right now even if it's hard to see

A robotic paradise of leisure and contemplation eventually awaits us, but we have a long and dimly lit tunnel to navigate before we get there.

beauty is very much about familiarity and it’s reinforcing an idea we have already. It’s like when we go on holiday, all we really want to do is take the photograph that we’ve seen in the brochure. Because our idea of beauty is constructed, by family, friends, education, nationality, race, religion, politics, all these things

I have found the 21st-century version of the Venetian secret and it is a mathematical formula. What you do, you get a half-decent, non-offensive kind of idea, then you times it by the number of studio assistants, and then you divide it with an ambitious art dealer, and that equals number of oligarchs and hedge fund managers in the world.

the nearest we have to an empirical measure of art that actually does exist is the market. By that reckoning, Cézanne’s “Card Players” is the most beautiful lovely painting in the world. I find it a little bit clunky-kitsch but that’s me. It’s worth $260m.

The opposite arguments are that it’s art for art’s sake and that’s a very idealistic position to take. Clement Greenberg, a famous art critic in the 1950s, said that art will always be tied to money by an umbilical cord of gold, either state money or market money. I’m pragmatic about it: one of my favourite quotes is you’ll never have a good art career unless your work fits into the elevator of a New York apartment block.

there’s one thing about that red painting that ends up in Sotheby’s. It’s not just any old red painting. It is a painting that has been validated. This is an important word in the art world and the big question is: who validates? There is quite a cast of characters in this validation chorus that will kind of decide what is good art. They are a kind of panel, if you like, that decides on what is good quality, what are we going to end up looking at?

They include artists, teachers, dealers, collectors, critics, curators, the media, even the public maybe. And they form this lovely consensus around what is good art.

there were four stages to the rise of an artist. Peers, serious critics and collectors, dealers, then the public.

Another member of that cast of validating characters is the collectors. In the 1990s, if Charles Saatchi just put his foot over the threshold of your exhibition, that was it. The media was agog and he would come in and Hoover it up. You do want the heavyweight collector to buy your work because that gives it kudos. You don’t want a tacky one who is just buying it to glitz up their hallway.

The next part of this chorus of validation are the dealers. A good dealer brand has a very powerful effect on the reputation of the artist; they form a part of placing the work. This is a slightly mysterious process that many people don’t quite understand but a dealer will choose where your work goes so it gains the brownie points, so the buzz around it goes up.

now, of course, galleries like the Tate Modern want a big name because visitor numbers, in a way, are another empirical measure of quality. So perhaps at the top of the tree of the validation cast are the curators, and in the past century they have probably become the most powerful giver-outers of brownie points in the art world.

ach of the encounters with these members of the cast of validation bestows upon the work, and on the artist, a patina, and what makes that patina is all these hundreds of little conversations and reviews and the good prices over time. These are the filters that pass a work of art through into the canon.

So what does this lovely consensus, that all these people are bestowing on this artwork, that anoints it with the quality that we all want, boil down to? I think in many ways what it boils down to is seriousness. That’s the most valued currency in the art world.

The whole idea of quality now seems to be contested, as if you’re buying into the language of the elite by saying, “Oh, that’s very good.” How you might judge this work is really problematic because to say it’s not beautiful is to put the wrong kind of criteria on it. You might say, “Oh, it’s dull!” [And people will say] “Oh, you’re just not understanding it with the right terms.” So I think, “Well, how do we judge these things?” Because a lot of them are quite politicised. There’s quite a right-on element to them, so do we judge them on how ethical they are, or how politically right-on they are?

What I am attempting to explain is how the art we see in museums and in galleries around the world, and in biennales – how it ends up there, how it gets chosen. In the end, if enough of the right people think it’s good, that’s all there is to it. But, as Alan Bennett said when he was a trustee of the National Gallery, they should put a big sign up outside saying: “You don’t have to like it all.”

Or then again I might say, “Well, what do I judge them against?” Do I judge them against government policy? Do I judge them against reality TV? Because that does participation very well. So, in the end, what do we do? What happens to this sort of art when it doesn’t have validation? What is it left with? It’s left with popularity.

Then, of course, the next group of people we might think about in deciding what is good art is the public. Since the mid-1990s, art has got a lot more media attention. But popularity has always been a quite dodgy quality [to have]. The highbrow critics will say, “Oh, he’s a bit of a celebrity,” and they turn their noses up about people who are well known to the public

Eventually Brad Katsuyama came to realize that the most sophisticated investors didn’t know what was going on in their own market. Not the big mutual funds, Fidelity and Vanguard. Not the big money-management firms like T. Rowe Price and Capital Group. Not even the most sophisticated hedge funds.

The deep problem with the system was a kind of moral inertia. So long as it served the narrow self-interests of everyone inside it, no one on the inside would ever seek to change it, no matter how corrupt or sinister it became

Technology had collided with Wall Street in a peculiar way. It had been used to increase efficiency. But it had also been used to introduce a peculiar sort of market inefficiency. Taking advantage of loopholes in some well-meaning regulation introduced in the mid-2000s, some large amount of what Wall Street had been doing with technology was simply so someone inside the financial markets would know something that the outside world did not. The same system that once gave us subprime-mortgage collateralized debt obligations no investor could possibly truly understand now gave us stock-market trades involving fractions of a penny that occurred at unsafe speeds using order types that no investor could possibly truly understand.

The trouble with the stock market — with all of the public and private exchanges — was that they were fantastically gameable, and had been gamed: first by clever guys in small shops, and then by prop traders who moved inside the big Wall Street banks. That was the problem, Puz thought. From the point of view of the most sophisticated traders, the stock market wasn’t a mechanism for channeling capital to productive enterprise but a puzzle to be solved.

As they worked through the order types, the Puzzle Masters created a taxonomy of predatory behavior in the stock market. Broadly speaking, it appeared as if there were three activities that led to a vast amount of grotesquely unfair trading. The first they called electronic front-running — seeing an investor trying to do something in one place and racing ahead of him to the next (what had happened to Katsuyama when he traded at RBC). The second they called rebate arbitrage — using the new complexity to game the seizing of whatever legal kickbacks, called rebates within the industry, the exchange offered without actually providing the liquidity that the rebate was presumably meant to entice. The third, and probably by far the most widespread, they called slow-market arbitrage. This occurred when a high-frequency trader was able to see the price of a stock change on one exchange and pick off orders sitting on other exchanges before those exchanges were able to react. This happened all day, every day, and very likely generated more billions of dollars a year than the other strategies combined.

IEX had made its point: That to function properly, a financial market didn’t need to be rigged in someone’s favor. It didn’t need payment for order flow and co-location and all sorts of unfair advantages possessed by a small handful of traders. All it needed was for investors to take responsibility for understanding it, and then to seize its controls. “The backbone of the market,” Katsuyama says, “is investors coming together to trade.”

If an investor as large as T. Rowe Price, which acted on behalf of millions of investors, had trouble obtaining the information it needed to determine if its brokers had acted in their interest, what chance did the little guy have?

The stock market really was rigged. Katsuyama often wondered how enterprising politicians and plaintiffs’ lawyers and state attorneys general would respond to that realization. (This March, the New York attorney general, Eric Schneiderman, announced a new investigation of the stock exchanges and the dark pools, and their relationships with high-frequency traders.

And the kind of people who can comfortably afford to pay a nine-figure sum for a Picasso, the top 0.001 percent, say, are doing still better than that. You can draw that conclusion by reading the work of the French economists Thomas Piketty and Emmanuel Saez. Or you can form it by looking carefully at the market for the work of a certain Spanish painter.

After adjusting for inflation and using our 1 percent of net worth premise, a person would have needed $12.3 billion of wealth in 1997 dollars to afford the painting

In other words, the number of people who, by this metric, could easily afford to pay $179 million for a Picasso has increased more than fourfold since the painting was last on the market

American and European authorities may wish to put further effort into preventing art transactions from being used to launder money or evade taxes, as the economist Nouriel Roubini has argued is commonplace

l sums for a painting or sculpture should hope most of all that this basic global inequality trend — of the wealth of the ultrarich growing faster than the world population overall economy — remains intact

‘A young man came yesterday, quoted me $49 to open my door, then he drilled my lock, charged me $400 and left — and now I need a new lock.’ I hear something like that almost every week.”