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Javier E

The Content Cycle: Tucker Carlson and Rudolph the Reindeer - 0 views

  • The Content Cycle, a phrase I did not just come up with right now, describes how content arises from the internet, is absorbed into cable television, and then gets redistributed back into the internet for the cycle to begin anew.
  • Like the water cycle, the Content Cycle provides sustenance and habitation to a multitude of organisms, and in many ways it exists independently of human thought
  • Stage One: Raw Content. The content cycle almost always begins with content that is freely distributed on a large social network.
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  • Stage Two: Aggregation, the joking tweets were gathered by HuffPost for a post in its comedy section, whose different and possibly larger audience allowed the content to remain fresh as it progressed through the cycle.
  • Stage Three: Amplification.
  • In the amplification stage, the raw content (having been processed and decontextualized into a frictionless and shareable content unit in the aggregation stage) is presented to yet another, generally even larger audience — or several audiences — by an influencer or two
  • Stage Four: Cable News. This is where Tucker Carlson comes in. Having been alerted to the presence of usable content — now four stages removed from the original audience, context, and intent of the raw content — by influencers, cable producers can craft a segment for their audiences, which will most likely not have been exposed to this content at any prior stage in the cycle.
  • But an appearance on cable, while in some ways the climax of the content cycle, is not its end. It’s a cycle, after all! And what makes it more efficient than a simple teleological progression is that television is not an endpoint, but a way station, a place to generate and process content anew. This is Stage Five: Reabsorption, in which the content returns to social media.
  • Some people might complain that the Content Cycle is corrosive and demeaning — that it’s cynical and even fraudulent to strip minor joking tweets of any context and to present them to audiences for the sole intent of generating outsized emotional reactions. But you can begin to see from this description how vital the cycle is to our natural media environment. It sustains not just major cable hosts like Carlson, but also HuffPost bloggers; not just aggregation-happy media conglomerates like Verizon Media Group, but also vast social networks like Twitter
  • People like to discuss the ill effects of social media on misinformation, but the Content Cycle demonstrates the deep, almost biological connection between the megaplatforms of the internet and legacy media like television, in a complex ecosystem of aggregation, outrage, performance, and attention.
Javier E

Economics of Good and Evil: The Quest for Economic Meaning from Gilgamesh to Wall Stree... - 2 views

  • Instead of self-confident and self-centered answers, the author humbly asks fundamental questions: What is economics? What is its meaning? Where does this new religion, as it is sometimes called, come from? What are its possibilities and its limitations and borders, if there are any? Why are we so dependent on permanent growing of growth and growth of growing of growth? Where did the idea of progress come from, and where is it leading us? Why are so many economic debates accompanied by obsession and fanaticism?
  • The majority of our political parties act with a narrow materialistic focus when, in their programs, they present the economy and finance first; only then, somewhere at the end, do we find culture as something pasted on or as a libation for a couple of madmen.
  • most of them—consciously or unconsciously—accept and spread the Marxist thesis of the economic base and the spiritual superstructure.
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  • He tries to break free of narrow specialization and cross the boundaries between scientific disciplines. Expeditions beyond economics’ borders and its connection to history, philosophy, psychology, and ancient myths are not only refreshing, but necessary for understanding the world of the twenty-first century.
  • Reality is spun from stories, not from material. Zdeněk Neubauer
  • “The separation between the history of a science, its philosophy, and the science itself dissolves into thin air, and so does the separation between science and non-science; differences between the scientific and unscientific are vanishing.”
  • Outside of our history, we have nothing more.
  • The study of the history of a certain field is not, as is commonly held, a useless display of its blind alleys or a collection of the field’s trials and errors (until we got it right), but history is the fullest possible scope of study of a menu that the given field can offer.
  • History of thought helps us to get rid of the intellectual brainwashing of the age, to see through the intellectual fashion of the day, and to take a couple of steps back.
  • Almost all of the key concepts by which economics operates, both consciously and unconsciously, have a long history, and their roots extend predominantly outside the range of economics, and often completely beyond that of science.
  • That is the reason for this book: to look for economic thought in ancient myths and, vice versa, to look for myths in today’s economics.
  • stories; Adam Smith believed. As he puts it in The Theory of Moral Sentiments, “the desire of being believed, or the desire of persuading, of leading and directing other people, seems to be one of the strongest of all our natural desires.”
  • “The human mind is built to think in terms of narratives … in turn, much of human motivation comes from living through a story of our lives, a story that we tell to ourselves and that creates a framework of our motivation. Life could be just ‘one damn thing after another’ if it weren’t for such stories. The same is true for confidence in a nation, a company, or an institution. Great leaders are foremost creators of stories.”
  • contrary to what our textbooks say, economics is predominantly a normative field. Economics not only describes the world but is frequently about how the world should be (it should be effective, we have an ideal of perfect competition, an ideal of high-GDP growth in low inflation, the effort to achieve high competitiveness …). To this end, we create models, modern parables,
  • I will try to show that mathematics, models, equations, and statistics are just the tip of the iceberg of economics; that the biggest part of the iceberg of economic knowledge consists of everything else; and that disputes in economics are rather a battle of stories and various metanarratives than anything else.
  • Before it was emancipated as a field, economics lived happily within subsets of philosophy—ethics, for example—miles away from today’s concept of economics as a mathematical-allocative science that views “soft sciences” with a scorn born from positivistic arrogance. But our thousand-year “education” is built on a deeper, broader, and oftentimes more solid base. It is worth knowing about.
  • is a paradox that a field that primarily studies values wants to be value-free. One more paradox is this: A field that believes in the invisible hand of the market wants to be without mysteries.
  • mathematics at the core of economics, or is it just the icing of the cake, the tip of the iceberg of our field’s inquiry?
  • we seek to chart the development of the economic ethos. We ask questions that come before any economic thinking can begin—both philosophically and, to a degree, historically. The area here lies at the very borders of economics—and often beyond. We may refer to this as protoeconomics (to borrow a term from protosociology) or, perhaps more fittingly, metaeconomics (to borrow a term from metaphysics).
  • In this sense, “the study of economics is too narrow and too fragmentary to lead to valid insight, unless complemented and completed by a study of metaeconomics.”17
  • The more important elements of a culture or field of inquiry such as economics are found in fundamental assumptions that adherents of all the various systems within the epoch unconsciously presuppose. Such assumptions appear so obvious that people do not know what they are assuming, because no other way of putting things has ever occurred to them, as the philosopher Alfred Whitehead notes in Adventures of Ideas.
  • I argue that economic questions were with mankind long before Adam Smith. I argue that the search for values in economics did not start with Adam Smith but culminated with him.
  • We should go beyond economics and study what beliefs are “behind the scenes,” ideas that have often become the dominant yet unspoken assumptions in our theories. Economics is surprisingly full of tautologies that economists are predominantly unaware of. I
  • argue that economics should seek, discover, and talk about its own values, although we have been taught that economics is a value-free science. I argue that none of this is true and that there is more religion, myth, and archetype in economics than there is mathematics.
  • In a way, this is a study of the evolution of both homo economicus and, more importantly, the history of the animal spirits within him. This book tries to study the evolution of the rational as well as the emotional and irrational side of human beings.
  • I argue that his most influential contribution to economics was ethical. His other thoughts had been clearly expressed long before him, whether on specialization, or on the principle of the invisible hand of the market. I try to show that the principle of the invisible hand of the market is much more ancient and developed long before Adam Smith. Traces of it appear even in the Epic of Gilgamesh, Hebrew thought, and in Christianity, and it is expressly stated by Aristophanes and Thomas Aquinas.
  • This is not a book on the thorough history of economic thought. The author aims instead to supplement certain chapters on the history of economic thought with a broader perspective and analysis of the influences that often escape the notice of economists and the wider public.
  • Progress (Naturalness and Civilization)
  • The Economy of Good and Evil
  • from his beginnings, man has been marked as a naturally unnatural creature, who for unique reasons surrounds himself with external possessions. Insatiability, both material and spiritual, are basic human metacharacteristics, which appear as early as the oldest myths and stories.
  • the Hebrews, with linear time, and later the Christians gave us the ideal (or amplified the Hebrew ideal) we now embrace. Then the classical economists secularized progress. How did we come to today’s progression of progress, and growth for growth’s sake?
  • The Need for Greed: The History of Consumption and Labor
  • Metamathematics From where did economics get the concept of numbers as the very foundation of the world?
  • All of economics is, in the end, economics of good and evil. It is the telling of stories by people of people to people. Even the most sophisticated mathematical model is, de facto, a story, a parable, our effort to (rationally) grasp the world around us.
  • idea that we can manage to utilize our natural egoism, and that this evil is good for something, is an ancient philosophical and mythical concept. We will also look into the development of the ethos of homo economicus, the birth of “economic man.”
  • The History of Animal Spirits: Dreams Never Sleep
  • Masters of the Truth
  • Originally, truth was a domain of poems and stories, but today we perceive truth as something much more scientific, mathematical. Where does one go (to shop) for the truth? And who “has the truth” in our epoch?
  • Our animal spirits (something of a counterpart to rationality) are influenced by the archetype of the hero and our concept of what is good.
  • The entire history of ethics has been ruled by an effort to create a formula for the ethical rules of behavior. In the final chapter we will show the tautology of Max Utility, and we will discuss the concept of Max Good.
  • The History of the Invisible Hand of the Market and Homo Economicus
  • We understand “economics” to mean a broader field than just the production, distribution, and consumption of goods and services. We consider economics to be the study of human relations that are sometimes expressible in numbers, a study that deals with tradables, but one that also deals with nontradables (friendship, freedom, efficiency, growth).
  • When we mention economics in this book, we mean the mainstream perception of it, perhaps as best represented by Paul Samuelson.
  • By the term homo economicus, we mean the primary concept of economic anthropology. It comes from the concept of a rational individual, who, led by narrowly egotistical motives, sets out to maximize his benefit.
  • the Epic of Gilgamesh bears witness to the opposite—despite the fact that the first written clay fragments (such as notes and bookkeeping) of our ancestors may have been about business and war, the first written story is mainly about great friendship and adventure.
  • there is no mention of either money or war; for example, not once does anyone in the whole epic sell or purchase something.5 No nation conquers another, and we do not encounter a mention even of the threat of violence.
  • Gilgamesh becomes a hero not only due to his strength, but also due to discoveries and deeds whose importance were in large part economic—direct gaining of construction materials in the case of felling the cedar forest, stopping Enkidu from devastating Uruk’s economy, and discovering new desert routes during his expeditions.
  • Even today we live in Gilgamesh’s vision that human relations—and therefore humanity itself—are a disturbance to work and efficiency; that people would perform better if they did not “waste” their time and energy on nonproductive things.
  • is a story of nature and civilization, of heroism, defiance, and the battle against the gods, and evil; an epic about wisdom, immortality, and also futility.
  • But labour is unlike any other commodity. The work environment is of no concern for steel; we do not care about steel’s well-being.16
  • But it is in friendship where—often by-the-way, as a side product, an externality—ideas and deeds are frequently performed or created that together can altogether change the face of society.19 Friendship can go against an ingrained system in places where an individual does not have the courage to do so himself or herself.
  • As Joseph Stiglitz says, One of the great “tricks” (some say “insights”) of neoclassical economics is to treat labour like any other factor of production. Output is written as a function of inputs—steel, machines, and labour. The mathematics treats labour like any other commodity, lulling one into thinking of labour like an ordinary commodity, such as steel or plastic.
  • Even the earliest cultures were aware of the value of cooperation on the working level—today we call this collegiality, fellowship, or, if you want to use a desecrated term, comradeship. These “lesser relationships” are useful and necessary for society and for companies because work can be done much faster and more effectively if people get along with each other on a human level
  • But true friendship, which becomes one of the central themes of the Epic of Gilgamesh, comes from completely different material than teamwork. Friendship, as C. S. Lewis accurately describes it, is completely uneconomical, unbiological, unnecessary for civilization, and an unneeded relationship
  • Here we have a beautiful example of the power of friendship, one that knows how to transform (or break down) a system and change a person. Enkidu, sent to Gilgamesh as a punishment from the gods, in the end becomes his faithful friend, and together they set out against the gods. Gilgamesh would never have gathered the courage to do something like that on his own—nor would Enkidu.
  • Due to their friendship, Gilgamesh and Enkidu then intend to stand up to the gods themselves and turn a holy tree into mere (construction) material they can handle almost freely, thereby making it a part of the city-construct, part of the building material of civilization, thus “enslaving” that which originally was part of wild nature. This is a beautiful proto-example of the shifting of the borders between the sacred and profane (secular)—and to a certain extent also an early illustration of the idea that nature is there to provide cities and people with raw material and production resources.
  • started with Babylonians—rural nature becomes just a supplier of raw materials, resources (and humans the source of human resources). Nature is not the garden in which humans were created and placed, which they should care for and which they should reside in, but becomes a mere reservoir for natural (re)sources.
  • Even today, we often consider the domain of humanity (human relations, love, friendship, beauty, art, etc.) to be unproductive;
  • Both heroes change—each from opposite poles—into humans. In this context, a psychological dimension to the story may be useful: “Enkidu (…) is Gilgamesh’s alter ego, the dark, animal side of his soul, the complement to his restless heart. When Gilgamesh found Enkidu, he changed from a hated tyrant into the protector of his city. (…)
  • To be human seems to be somewhere in between, or both of these two. We
  • this moment of rebirth from an animal to a human state, the world’s oldest preserved epic implicitly hints at something highly important. Here we see what early cultures considered the beginning of civilization. Here is depicted the difference between people and animals or, better, savages. Here the epic quietly describes birth, the awakening of a conscious, civilized human. We are witnesses to the emancipation of humanity from animals,
  • The entire history of culture is dominated by an effort to become as independent as possible from the whims of nature.39 The more developed a civilization is, the more an individual is protected from nature and natural influences and knows how to create around him a constant or controllable environment to his liking.
  • The price we pay for independence from the whims of nature is dependence on our societies and civilizations. The more sophisticated a given society is as a whole, the less its members are able to survive on their own as individuals, without society.
  • The epic captures one of the greatest leaps in the development of the division of labor. Uruk itself is one of the oldest cities of all, and in the epic it reflects a historic step forward in specialization—in the direction of a new social city arrangement. Because of the city wall, people in the city can devote themselves to things other than worrying about their own safety, and they can continue to specialize more deeply.
  • Human life in the city gains a new dimension and suddenly it seems more natural to take up issues going beyond the life span of an individual. “The city wall symbolizes as well as founds the permanence of the city as an institution which will remain forever and give its inhabitants the certainty of unlimited safety, allowing them to start investing with an outlook reaching far beyond the borders of individual life.
  • The wall around the city of Uruk is, among other things, a symbol of an internal distancing from nature, a symbol of revolts against submission to laws that do not come under the control of man and that man can at most discover and use to his benefit.
  • “The chief thing which the common-sense individual wants is not satisfactions for the wants he had, but more, and better wants.”47
  • If a consumer buys something, theoretically it should rid him of one of his needs—and the aggregate of things they need should be decreased by one item. In reality, though, the aggregate of “I want to have” expands together with the growing aggregate of “I have.”
  • can be said that Enkidu was therefore happy in his natural state, because all of his needs were satiated. On the other hand, with people, it appears that the more a person has, the more developed and richer, the greater the number of his needs (including the unsaturated ones).
  • the Old Testament, this relationship is perceived completely differently. Man (humanity) is created in nature, in a garden. Man was supposed to care for the Garden of Eden and live in harmony with nature and the animals. Soon after creation, man walks naked and is not ashamed, de facto the same as the animals. What is characteristic is that man dresses (the natural state of creation itself is not enough for him), and he (literally and figuratively) covers52 himself—in shame after the fall.53
  • Nature is where one goes to hunt, collect crops, or gather the harvest. It is perceived as the saturator of our needs and nothing more. One goes back to the city to sleep and be “human.” On the contrary, evil resides in nature. Humbaba lives in the cedar forest, which also happens to be the reason to completely eradicate it.
  • Symbolically, then, we can view the entire issue from the standpoint of the epic in the following way: Our nature is insufficient, bad, evil, and good (humane) occurs only after emancipation from nature (from naturalness), through culturing and education. Humanity is considered as being in civilization.
  • The city was frequently (at least in older Jewish writings) a symbol of sin, degeneration, and decadence—nonhumanity. The Hebrews were originally a nomadic nation, one that avoided cities. It is no accident that the first important city57 mentioned in the Bible is proud Babylon,58 which God later turns to dust.
  • is enough, for example, to read the Book of Revelation to see how the vision of paradise developed from the deep Old Testament period, when paradise was a garden. John describes his vision of heaven as a city—paradise is in New Jerusalem, a city where the dimensions of the walls(!) are described in detail, as are the golden streets and gates of pearl.
  • Hebrews later also chose a king (despite the unanimous opposition of God’s prophets) and settled in cities, where they eventually founded the Lord’s Tabernacle and built a temple for Him. The city of Jerusalem later gained an illustrious position in all of religion.
  • this time Christianity (as well as the influence of the Greeks) does not consider human naturalness to be an unambiguous good, and it does not have such an idyllic relationship to nature as the Old Testament prophets.
  • If a tendency toward good is not naturally endowed in people, it must be imputed from above through violence or at least the threat of violence.
  • If we were to look at human naturalness as a good, then collective social actions need a much weaker ruling hand. If people themselves have a natural tendency (propensity) toward good, this role does not have to be supplied by the state, ruler, or, if you wish, Leviathan.
  • How does this affect economics?
  • us return for the last time to the humanization of the wild Enkidu, which is a process we can perceive with a bit of imagination as the first seed of the principle of the market’s invisible hand, and therefore the parallels with one of the central schematics of economic thinking.
  • Sometimes it is better to “harness the devil to the plow” than to fight with him. Instead of summoning up enormous energy in the fight against evil, it is better to use its own energy to reach a goal we desire; setting up a mill on the turbulent river instead of futile efforts to remove the current. This is also how Saint Prokop approached it in one of the oldest Czech legends.
  • Enkidu caused damage and it was impossible to fight against him. But with the help of a trap, trick, this evil was transformed into something that greatly benefited civilization.
  • By culturing and “domesticating” Enkidu, humanity tamed the uncontrollable wild and chaotic evil
  • Enkidu devastated the doings (the external, outside-the-walls) of the city. But he was later harnessed and fights at the side of civilization against nature, naturalness, the natural state of things.
  • A similar motif appears a thousand years after the reversal, which is well known even to noneconomists as the central idea of economics: the invisible hand of the market.
  • A similar story (reforming something animally wild and uncultivated in civilizational achievement) is used by Thomas Aquinas in his teachings. Several centuries later, this idea is fully emancipated in the hands of Bernard Mandeville and his Fable of the Bees: or, Private Vices, Publick Benefits. The economic and political aspects of this idea are—often incorrectly—ascribed to Adam Smith.
  • Here the individual does not try anymore to maximize his goods or profits, but what is important is writing his name in human memory in the form of heroic acts or deeds.
  • immortality, one connected with letters and the cult of the word: A name and especially a written name survives the body.”77
  • After this disappointment, he comes to the edge of the sea, where the innkeeper Siduri lives. As tonic for his sorrow, she offers him the garden of bliss, a sort of hedonistic fortress of carpe diem, where a person comes to terms with his mortality and at least in the course of the end of his life maximizes earthly pleasures, or earthly utility.
  • In the second stage, after finding his friend Enkidu, Gilgamesh abandons the wall and sets out beyond the city to maximalize heroism. “In his (…) search of immortal life, Gilgamesh
  • The hero refuses hedonism in the sense of maximizing terrestrial pleasure and throws himself into things that will exceed his life. In the blink of an eye, the epic turns on its head the entire utility maximization role that mainstream economics has tirelessly tried to sew on people as a part of their nature.81
  • It is simpler to observe the main features of our civilization at a time when the picture was more readable—at a time when our civilization was just being born and was still “half-naked.” In other words, we have tried to dig down to the bedrock of our written civilization;
  • today remember Gilgamesh for his story of heroic friendship with Enkidu, not for his wall, which no longer reaches monumental heights.
  • the eleventh and final tablet, Gilgamesh again loses what he sought. Like Sisyphus, he misses his goal just before the climax
  • is there something from it that is valid today? Have we found in Gilgamesh certain archetypes that are in us to this day?
  • The very existence of questions similar to today’s economic ones can be considered as the first observation. The first written considerations of the people of that time were not so different from those today. In other words: The epic is understandable for us, and we can identify with it.
  • We have also been witnesses to the very beginnings of man’s culturing—a great drama based on a liberation and then a distancing from the natural state.
  • Let us take this as a memento in the direction of our restlessness, our inherited dissatisfaction and the volatility connected to it. Considering that they have lasted five thousand years and to this day we find ourselves in harmony with a certain feeling of futility, perhaps these characteristics are inherent in man.
  • Gilgamesh had a wall built that divided the city from wild nature and created a space for the first human culture. Nevertheless, “not even far-reaching works of civilization could satisfy human desire.”
  • Friendship shows us new, unsuspected adventures, gives us the opportunity to leave the wall and to become neither its builder nor its part—to not be another brick in the wall.
  • with the phenomenon of the creation of the city, we have seen how specialization and the accumulation of wealth was born, how holy nature was transformed into a secular supplier of resources, and also how humans’ individualistic ego was emancipated.
  • to change the system, to break down that which is standing and go on an expedition against the gods (to awaken, from naïveté to awakening) requires friendship.
  • For small acts (hunting together, work in a factory), small love is enough: Camaraderie. For great acts, however, great love is necessary, real love: Friendship. Friendship that eludes the economic understanding of quid pro quo. Friendship gives. One friend gives (fully) for the other. That is friendship for life and death,
  • The thought that humanity comes at the expense of efficiency is just as old as humanity itself—as we have shown, subjects without emotion are the ideal of many tyrants.
  • The epic later crashes this idea through the friendship of Gilgamesh and Enkidu. Friendship—the biologically least essential love, which at first sight appears to be unnecessary
  • less a civilized, city person is dependent on nature, the more he or she is dependent on the rest of society. Like Enkidu, we have exchanged nature for society; harmony with (incalculable) nature for harmony with (incalculable) man.
  • human nature good or evil? To this day these questions are key for economic policy: If we believe that man is evil in his nature, therefore that a person himself is dog eat dog (animal), then the hard hand of a ruler is called for. If we believe that people in and of themselves, in their nature, gravitate toward good, then it is possible to loosen up the reins and live in a society that is more laissez-faire.
  • For a concept of historical progress, for the undeification of heroes, rulers, and nature, mankind had to wait for the Hebrews.
  • Because nature is not undeified, it is beyond consideration to explore it, let alone intervene in it (unless a person was a two-thirds god like Gilgamesh). It
  • They practiced money lending, traded in many assets (…) and especially were engaged in the trading of shares on capital markets, worked in currency exchange and frequently figured as mediators in financial transactions (…), they functioned as bankers and participated in emissions of all possible forms.
  • As regards modern capitalism (as opposed to the ancient and medieval periods) … there are activities in it which are, in certain forms, inherently (and completely necessarily) present—both from an economic and legal standpoint.7
  • As early as the “dark” ages, the Jews commonly used economic tools that were in many ways ahead of their time and that later became key elements of the modern economy:
  • Gilgamesh’s story ends where it began. There is a consistency in this with Greek myths and fables: At the end of the story, no progress occurs, no essential historic change; the story is set in indefinite time, something of a temporal limbo.
  • Jews believe in historical progress, and that progress is in this world.
  • For a nation originally based on nomadism, where did this Jewish business ethos come from? And can the Hebrews truly be considered as the architects of the values that set the direction of our civilization’s economic thought?
  • Hebrew religiosity is therefore strongly connected with this world, not with any abstract world, and those who take pleasure in worldly possessions are not a priori doing anything wrong.
  • PROGRESS: A SECULARIZED RELIGION One of the things the writers of the Old Testament gave to mankind is the idea and notion of progress. The Old Testament stories have their development; they change the history of the Jewish nation and tie in to each other. The Jewish understanding of time is linear—it has a beginning and an end.
  • The observance of God’s Commandments in Judaism leads not to some ethereal other world, but to an abundance of material goods (Genesis 49:25–26, Leviticus 26:3–13, Deuteronomy 28:1–13) (…) There are no accusing fingers pointed at
  • There are no echoes of asceticism nor for the cleansing and spiritual effect of poverty. It is fitting therefore, that the founders of Judaism, the Patriarchs Abraham, Isaac and Jacob, were all wealthy men.12
  • about due to a linear understanding of history. If history has a beginning as well as an end, and they are not the same point, then exploration suddenly makes sense in areas where the fruits are borne only in the next generation.
  • What’s more, economic progress has almost become an assumption of modern functional societies. We expect growth. We take it automatically. Today, if nothing “new” happens, if GDP does not grow (we say it stagnates) for several quarters, we consider it an anomaly.
  • however, the idea of progress itself underwent major changes, and today we perceive it very differently. As opposed to the original spiritual conceptions, today we perceive progress almost exclusively in an economic or scientific-technological sense.
  • Because care for the soul has today been replaced by care for external things,
  • This is why we must constantly grow, because we (deep down and often implicitly) believe that we are headed toward an (economic) paradise on Earth.
  • Only since the period of scientific-technological revolution (and at a time when economics was born as an independent field) is material progress automatically assumed.
  • Jewish thought is the most grounded, most realistic school of thought of all those that have influenced our culture.17 An abstract world of ideas was unknown to the Jews. To this day it is still forbidden to even depict God, people, and animals in symbols, paintings, statues, and drawings.
  • economists have become key figures of great importance in our time (Kacířské eseje o filosofii dějin [Heretical Essays in the Philosophy of History]). They are expected to perform interpretations of reality, give prophetic services (macroeconomic forecasts), reshape reality (mitigate the impacts of the crisis, speed up growth), and, in the long run, provide leadership on the way to the Promised Land—paradise on Earth.
  • REALISM AND ANTIASCETICISM Aside from ideas of progress, the Hebrews brought another very fundamental contribution to our culture: The desacralization of heroes, nature, and rulers.
  • Voltaire writes: “It certain fact is, that in his public laws he [Moses] never so much as once made mention of a life to come, limiting all punishments and all rewards to the present life.”21
  • As opposed to Christianity, the concept of an extraterrestrial paradise or heaven was not developed much in Hebrew thought.19 The paradise of the Israelites—Eden—was originally placed on Earth at a given place in Mesopotamia20 and at a given time,
  • The Hebrews consider the world to be real—not just a shadow reflection of a better world somewhere in the cloud of ideas, something the usual interpretation of history ascribes to Plato. The soul does not struggle against the body and is not its prisoner, as Augustine would write later.
  • The land, the world, the body, and material reality are for Jews the paramount setting for divine history, the pinnacle of creation. This idea is the conditio sine qua non of the development of economics, something of an utterly earthly making,
  • The mythology of the hero-king was strongly developed in that period, which Claire Lalouette summarizes into these basic characteristics: Beauty (a perfect face, on which it is “pleasant to look upon,” but also “beauty,” expressed in the Egyptian word nefer, not only means aesthetics, but contains moral qualities as well),
  • THE HERO AND HIS UNDEIFICATION: THE DREAM NEVER SLEEPS The concept of the hero is more important than it might appear. It may be the remote origin of Keynes’s animal spirits, or the desire to follow a kind of internal archetype that a given individual accepts as his own and that society values.
  • This internal animator of ours, our internal mover, this dream, never sleeps and it influences our behavior—including economic behavior—more than we want to realize.
  • manliness and strength,28 knowledge and intelligence,29 wisdom and understanding, vigilance and performance, fame and renown (fame which overcomes enemies because “a thousand men would not be able to stand firmly in his presence”);30 the hero is a good shepherd (who takes care of his subordinates), is a copper-clad rampart, the shield of the land, and the defender of heroes.
  • Each of us probably has a sort of “hero within”—a kind of internal role-model, template, an example that we (knowingly or not) follow. It is very important what kind of archetype it is, because its role is dominantly irrational and changes depending on time and the given civilization.
  • The oldest was the so-called Trickster—a fraudster; then the culture bearer—Rabbit; the musclebound hero called Redhorn; and finally the most developed form of hero: the Twins.
  • the Egyptian ruler, just as the Sumerian, was partly a god, or the son of a god.31
  • Jacob defrauds his father Isaac and steals his brother Esau’s blessing of the firstborn. Moses murders an Egyptian. King David seduces the wife of his military commander and then has him killed. In his old age, King Solomon turns to pagan idols, and so on.
  • Anthropology knows several archetypes of heroes. The Polish-born American anthropologist Paul Radin examined the myths of North American Indians and, for example, in his most influential book, The Trickster, he describes their four basic archetypes of heroes.
  • The Torah’s heroes (if that term can be used at all) frequently make mistakes and their mistakes are carefully recorded in the Bible—maybe precisely so that none of them could be deified.32
  • We do not have to go far for examples. Noah gets so drunk he becomes a disgrace; Lot lets his own daughters seduce him in a similar state of drunkenness. Abraham lies and (repeatedly) tries to sell his wife as a concubine.
  • the Hebrew heroes correspond most to the Tricksters, the Culture Bearers, and the Twins. The divine muscleman, that dominant symbol we think of when we say hero, is absent here.
  • To a certain extent it can be said that the Hebrews—and later Christianity—added another archetype, the archetype of the heroic Sufferer.35 Job
  • Undeification, however, does not mean a call to pillage or desecration; man was put here to take care of nature (see the story of the Garden of Eden or the symbolism of the naming of the animals). This protection and care of nature is also related to the idea of progress
  • For the heroes who moved our civilization to where it is today, the heroic archetypes of the cunning trickster, culture bearer, and sufferer are rather more appropriate.
  • the Old Testament strongly emphasizes the undeification of nature.37 Nature is God’s creation, which speaks of divinity but is not the domain of moody gods
  • This is very important for democratic capitalism, because the Jewish heroic archetype lays the groundwork much better for the development of the later phenomenon of the hero, which better suits life as we know it today. “The heroes laid down their arms and set about trading to become wealthy.”
  • in an Old Testament context, the pharaoh was a mere man (whom one could disagree with, and who could be resisted!).
  • RULERS ARE MERE MEN In a similar historical context, the Old Testament teachings carried out a similar desacralization of rulers, the so-called bearers of economic policy.
  • Ultimately the entire idea of a political ruler stood against the Lord’s will, which is explicitly presented in the Torah. The Lord unequivocally preferred the judge as the highest form of rule—an
  • The needs of future generations will have to be considered; after all humankind are the guardians of God’s world. Waste of natural resources, whether privately owned or nationally owned is forbidden.”39
  • Politics lost its character of divine infallibility, and political issues were subject to questioning. Economic policy could become a subject of examination.
  • 44 God first creates with the word and then on individual days He divides light from darkness, water from dry land, day from night, and so forth—and He gives order to things.45 The world is created orderly— it is wisely, reasonably put together. The way of the world is put together at least partially46 decipherably by any other wise and reasonable being who honors rational rules.
  • which for the methodology of science and economics is very important because disorder and chaos are difficult to examine scientifically.43 Faith in some kind of rational and logical order in a system (society, the economy) is a silent assumption of any (economic) examination.
  • THE PRAISE OF ORDER AND WISDOM: MAN AS A PERFECTER OF CREATION The created world has an order of sorts, an order recognizable by us as people,
  • From the very beginning, when God distances Himself from the entire idea, there is an anticipation that there is nothing holy, let alone divine, in politics. Rulers make mistakes, and it is possible to subject them to tough criticism—which frequently occurs indiscriminately through the prophets in the Old Testament.
  • Hebrew culture laid the foundations for the scientific examination of the world.
  • Examining the world is therefore an absolutely legitimate activity, and one that is even requested by God—it is a kind of participation in the Creator’s work.51 Man is called on to understand himself and his surroundings and to use his knowledge for good.
  • I was there when he set heavens in place, when he marked out the horizon on the face of the deep (…) Then I was the craftsman at his side.47
  • There are more urgings to gain wisdom in the Old Testament. “Wisdom calls aloud in the street (…): ‘How long will you simple ones love your simple ways?’”49 Or several chapters later: “Wisdom is supreme; therefore get wisdom. Though it cost all you have, get understanding.”50
  • examination is not forbidden. The fact that order can be grasped by human reason is another unspoken assumption that serves as a cornerstone of any scientific examination.
  • then, my sons, listen to me; blessed are those who keep my ways (…) Blessed is the man who listens to me, watching daily at my doors, waiting at my doorway. For whoever finds me finds life and receives favor from the Lord.
  • the rational examination of nature has its roots, surprisingly, in religion.
  • The Lord brought me forth as the first of his works, before his deeds of old. I was appointed from eternity, from the beginning, before the world began. When there were no oceans, I was given birth, when there were no springs abounding with water, before the mountains were settled in place,
  • The Book of Proverbs emphasizes specifically several times that it was wisdom that was present at the creation of the world. Wisdom personified calls out:
  • The last act, final stroke of the brush of creation, naming of the animals—this act is given to a human, it is not done by God, as one would expect. Man was given the task of completing the act of creation that the Lord began:
  • MAN AS A FINISHER OF CREATION The creation of the world, as it is explained in Jewish teachings, is described in the Book of Genesis. Here God (i) creates, (ii) separates, and (iii) names [my emphasis]:
  • Naming is a symbolic expression. In Jewish culture (and also in our culture to this day), the right to name meant sovereign rights and belonged, for example, to explorers (new places), inventors (new principles), or parents (children)—that is, to those who were there at the genesis, at the origin. This right was handed over by God to mankind.
  • The Naming itself (the capital N is appropriate) traditionally belongs to the crowning act of the Creator and represents a kind of grand finale of creation, the last move of the brush to complete the picture—a signature of the master.
  • Without naming, reality does not exist; it is created together with language. Wittgenstein tightly names this in his tractatus—the limits of our language are the limits of our world.53
  • He invented (fictitiously and completely abstractly!) a framework that was generally accepted and soon “made into” reality. Marx invented similarly; he created the notion of class exploitation. Through his idea, the perception of history and reality was changed for a large part of the world for nearly an entire century.
  • Reality is not a given; it is not passive. Perceiving reality and “facts” requires man’s active participation. It is man who must take the last step, an act (and we
  • How does this relate to economics? Reality itself, our “objective” world, is cocreated, man himself participates in the creation; creation, which is somewhat constantly being re-created.
  • Our scientific models put the finishing touches on reality, because (1) they interpret, (2) they give phenomena a name, (3) they enable us to classify the world and phenomena according to logical forms, and (4) through these models we de facto perceive reality.
  • When man finds a new linguistic framework or analytical model, or stops using the old one, he molds or remolds reality. Models are only in our heads; they are not “in objective reality.” In this sense, Newton invented (not merely discovered!) gravity.
  • A real-ization act on our part represents the creation of a construct, the imputation of sense and order (which is beautifully expressed by the biblical act of naming, or categorization, sorting, ordering).
  • Keynes enters into the history of economic thought from the same intellectual cadence; his greatest contribution to economics was precisely the resurrection of the imperceptible—for example in the form of animal spirits or uncertainty. The economist Piero Mini even ascribes Keynes’s doubting and rebellious approach to his almost Talmudic education.63
  • God connects man with the task of guarding and protecting the Garden of Eden, and thus man actually cocreates the cultural landscape. The Czech philosopher Zdeněk Neubauer also describes this: “Such is reality, and it is so deep that it willingly crystallizes into worlds. Therefore I profess that reality is a creation and not a place of occurrence for objectively given phenomena.”61
  • in this viewpoint it is possible to see how Jewish thought is mystical—it admits the role of the incomprehensible. Therefore, through its groundedness, Jewish thought indulges mystery and defends itself against a mechanistic-causal explanation of the world: “The Jewish way of thinking, according to Veblen, emphasizes the spiritual, the miraculous, the intangible.
  • The Jews believed the exact opposite. The world is created by a good God, and evil appears in it as a result of immoral human acts. Evil, therefore, is induced by man.66 History unwinds according to the morality of human acts.
  • What’s more, history seems to be based on morals; morals seem to be the key determining factors of history. For the Hebrews, history proceeds according to how morally its actors behave.
  • The Sumerians believed in dualism—good and evil deities exist, and the earth of people becomes their passive battlefield.
  • GOOD AND EVIL IN US: A MORAL EXPLANATION OF WELL-BEING We have seen that in the Epic of Gilgamesh, good and evil are not yet addressed systematically on a moral level.
  • This was not about moral-human evil, but rather a kind of natural evil. It is as if good and evil were not touched by morality at all. Evil simply occurred. Period.
  • the epic, good and evil are not envisaged morally—they are not the result of an (a)moral act. Evil was not associated with free moral action or individual will.
  • Hebrew thought, on the other hand, deals intensively with moral good and evil. A moral dimension touches the core of its stories.65
  • discrepancy between savings and investment, and others are convinced of the monetary essence
  • The entire history of the Jewish nation is interpreted and perceived in terms of morality. Morality has become, so to speak, a mover and shaker of Hebrew history.
  • sunspots. The Hebrews came up with the idea that morals were behind good and bad years, behind the economic cycle. But we would be getting ahead of ourselves. Pharaoh’s Dream: Joseph and the First Business Cycle To
  • It is the Pharaoh’s well-known dream of seven fat and seven lean cows, which he told to Joseph, the son of Jacob. Joseph interpreted the dream as a macroeconomic prediction of sorts: Seven years of abundance were to be followed by seven years of poverty, famine, and misery.
  • Self-Contradicting Prophecy Here, let’s make several observations on this: Through taxation74 on the level of one-fifth of a crop75 in good years to save the crop and then open granaries in bad years, the prophecy was de facto prevented (prosperous years were limited and hunger averted—through a predecessor of fiscal stabilization).
  • The Old Testament prophesies therefore were not any deterministic look into the future, but warnings and strategic variations of the possible, which demanded some kind of reaction. If the reaction was adequate, what was prophesied would frequently not occur at all.
  • This principle stands directly against the self-fulfilling prophecy,80 the well-known concept of social science. Certain prophecies become self-fulfilling when expressed (and believed) while others become self-contradicting prophecies when pronounced (and believed).
  • If the threat is anticipated, it is possible to totally or at least partially avoid it. Neither Joseph nor the pharaoh had the power to avoid bounty or crop failure (in this the dream interpretation was true and the appearance of the future mystical), but they avoided the impacts and implications of the prophecy (in this the interpretation of the dream was “false”)—famine did not ultimately occur in Egypt, and this was due to the application of reasonable and very intuitive economic policy.
  • Let us further note that the first “macroeconomic forecast” appears in a dream.
  • back to Torah: Later in this story we will notice that there is no reason offered as to why the cycle occurs (that will come later). Fat years will simply come, and then lean years after them.
  • Moral Explanation of a Business Cycle That is fundamentally different from later Hebrew interpretations, when the Jewish nation tries to offer reasons why the nation fared well or poorly. And those reasons are moral.
  • If you pay attention to these laws and are careful to follow them, then the Lord your God will keep his covenant of love with you, as he swore to your forefathers. He will love you and bless you and increase your numbers.
  • Only in recent times have some currents of economics again become aware of the importance of morals and trust in the form of measuring the quality of institutions, the level of justice, business ethics, corruption, and so forth, and examining their influence on the economy,
  • From today’s perspective, we can state that the moral dimension entirely disappeared from economic thought for a long time, especially due to the implementation of Mandeville’s concept of private vices that contrarily support the public welfare
  • Without being timid, we can say this is the first documented attempt to explain the economic cycle. The economic cycle, the explanation of which is to this day a mystery to economists, is explained morally in the Old Testament.
  • But how do we consolidate these two conflicting interpretations of the economic cycle: Can ethics be responsible for it or not? Can we influence reality around us through our acts?
  • it is not within the scope of this book to answer that question; justice has been done to the question if it manages to sketch out the main contours of possible searches for answers.
  • THE ECONOMICS OF GOOD AND EVIL: DOES GOOD PAY OFF? This is probably the most difficult moral problem we could ask.
  • Kant, the most important modern thinker in the area of ethics, answers on the contrary that if we carry out a “moral” act on the basis of economic calculus (therefore we carry out an hedonistic consideration; see below) in the expectation of later recompense, its morality is lost. Recompense, according to the strict Kant, annuls ethics.
  • Inquiring about the economics of good and evil, however, is not that easy. Where would Kant’s “moral dimension of ethics” go if ethics paid? If we do good for profit, the question of ethics becomes a mere question of rationality.
  • Job’s friends try to show that he must have sinned in some way and, in doing so, deserved God’s punishment. They are absolutely unable to imagine a situation in which Job, as a righteous man, would suffer without (moral) cause. Nevertheless, Job insists that he deserves no punishment because he has committed no offense: “God has wronged me and drawn his net around me.”94
  • But Job remains righteous, even though it does not pay to do so: Though he slay me, yet will I hope in him.95 And till I die, I will not deny my integrity I will maintain my righteousness and never let go of it; my conscience will not reproach me as long as I live.96
  • He remains righteous, even if his only reward is death. What economic advantage could he have from that?
  • morals cannot be considered in the economic dimension of productivity and calculus. The role of the Hebrews was to do good, whether it paid off or not. If good (outgoing) is rewarded by incoming goodness, it is a bonus,99 not a reason to do outgoing good. Good and reward do not correlate to each other.
  • This reasoning takes on a dimension of its own in the Old Testament. Good (incoming) has already happened to us. We must do good (outgoing) out of gratitude for the good (incoming) shown to us in the past.
  • So why do good? After all, suffering is the fate of many biblical figures. The answer can only be: For good itself. Good has the power to be its own reward. In this sense, goodness gets its reward, which may or may not take on a material dimension.
  • the Hebrews offered an interesting compromise between the teachings of the Stoics and Epicureans. We will go into it in detail later, so only briefly
  • constraint. It calls for bounded optimalization (with limits). A kind of symbiosis existed between the legitimate search for one’s own utility (or enjoyment of life) and maintaining rules, which are not negotiable and which are not subject to optimalization.
  • In other words, clear (exogenously given) rules exist that must be observed and cannot be contravened. But within these borders it is absolutely possible, and even recommended, to increase utility.
  • the mining of enjoyment must not come at the expense of exogenously given rules. “Judaism comes therefore to train or educate the unbounded desire … for wealth, so that market activities and patterns of consumption operate within a God-given morality.”102
  • The Epicureans acted with the goal of maximizing utility without regard for rules (rules developed endogenously, from within the system, computed from that which increased utility—this was one of the main trumps of the Epicurean school; they did not need exogenously given norms, and argued that they could “calculate” ethics (what to do) for every given situation from the situation itself).
  • The Stoics could not seek their enjoyment—or, by another name, utility. They could not in any way look back on it, and in no way could they count on it. They could only live according to rules (the greatest weakness of this school was to defend where exogenously the given rules came from and whether they are universal) and take a indifferent stand to the results of their actions.
  • To Love the Law The Jews not only had to observe the law (perhaps the word covenant would be more appropriate), but they were to love it because it was good.
  • Their relationship to the law was not supposed to be one of duty,105 but one of gratitude, love. Hebrews were to do good (outgoing), because goodness (incoming) has already been done to them.
  • This is in stark contrast with today’s legal system, where, naturally, no mention of love or gratefulness exists. But God expects a full internalization of the commandments and their fulfillment with love, not as much duty. By no means was this on the basis of the cost-benefit analyses so widespread in economics today, which determines when it pays to break the law and when not to (calculated on the basis of probability of being caught and the amount of punishment vis-à-vis the possible gain).
  • And now, O Israel, what does the Lord your God ask of you but to fear the Lord your God, to walk in all his ways, to love him, to serve the Lord your God with all your heart and with all your soul, and to observe the Lord’s commands and decrees that I am giving you today for your own good? To the Lord your God belong the heavens, even the highest heavens, the earth and everything in it. Yet the Lord set his affection on your forefathers and loved them….
  • the principle of doing good (outgoing) on the basis of a priori demonstrated good (incoming) was also taken over by the New Testament. Atonement itself is based on an a priori principle; all our acts are preceded by good.
  • The Hebrews, originally a nomadic tribe, preferred to be unrestrained and grew up in constant freedom of motion.
  • Human laws, if they are in conflict with the responsibilities given by God, are subordinate to personal responsibility, and a Jew cannot simply join the majority, even if it is legally allowed. Ethics, the concept of good, is therefore always superior to all local laws, rules, and customs:
  • THE SHACKLES OF THE CITY Owing to the Hebrew’s liberation from Egyptian slavery, freedom and responsibility become the key values of Jewish thought.
  • Laws given by God are binding for Jews, and God is the absolute source of all values,
  • The Hebrew ideal is represented by the paradise of the Garden of Eden, not a city.116 The despised city civilization or the tendency to see in it a sinful and shackling way of life appears in glimpses and allusions in many places in the Old Testament.
  • The nomadic Jewish ethos is frequently derived from Abraham, who left the Chaldean city of Ur on the basis of a command:
  • In addition, they were aware of a thin two-way line between owner and owned. We own material assets, but—to a certain extent—they own us and tie us down. Once we become used to a certain material
  • This way of life had understandably immense economic impacts. First, such a society lived in much more connected relationships, where there was no doubt that everyone mutually depended on each other. Second, their frequent wanderings meant the inability to own more than they could carry; the gathering up of material assets did not have great weight—precisely because the physical weight (mass) of things was tied to one place.
  • One of Moses’s greatest deeds was that he managed to explain to his nation once and for all that it is better to remain hungry and liberated than to be a slave with food “at no cost.”
  • SOCIAL WELFARE: NOT TO ACT IN THE MANNER OF SODOM
  • regulations is developed in the Old Testament, one we hardly find in any other nation of the time. In Hebrew teachings, aside from individual utility, indications of the concept of maximalizing utility societywide appear for the first time as embodied in the Talmudic principle of Kofin al midat S´dom, which can be translated as “one is compelled not to act in the manner of Sodom” and to take care of the weaker members of society.
  • In a jubilee year, debts were to be forgiven,125 and Israelites who fell into slavery due to their indebtedness were to be set free.126
  • Such provisions can be seen as the antimonopoly and social measures of the time. The economic system even then had a clear tendency to converge toward asset concentration, and therefore power as well. It would appear that these provisions were supposed to prevent this process
  • Land at the time could be “sold,” and it was not sale, but rent. The price (rent) of real estate depended on how long there was until a forgiveness year. It was about the awareness that we may work the land, but in the last instance we are merely “aliens and strangers,” who have the land only rented to us for a fixed time. All land and riches came from the Lord.
  • These provisions express a conviction that freedom and inheritance should not be permanently taken away from any Israelite. Last but not least, this system reminds us that no ownership lasts forever and that the fields we plow are not ours but the Lord’s.
  • Glean Another social provision was the right to glean, which in Old Testament times ensured at least basic sustenance for the poorest. Anyone who owned a field had the responsibility not to harvest it to the last grain but to leave the remains in the field for the poor.
  • Tithes and Early Social Net Every Israelite also had the responsibility of levying a tithe from their entire crop. They had to be aware from whom all ownership comes and, by doing so, express their thanks.
  • “Since the community has an obligation to provide food, shelter, and basic economic goods for the needy, it has a moral right and duty to tax its members for this purpose. In line with this duty, it may have to regulate markets, prices and competition, to protect the interests of its weakest members.”135
  • In Judaism, charity is not perceived as a sign of goodness; it is more of a responsibility. Such a society then has the right to regulate its economy in such a way that the responsibility of charity is carried out to its satisfaction.
  • With a number of responsibilities, however, comes the difficulty of getting them into practice. Their fulfillment, then, in cases when it can be done, takes place gradually “in layers.” Charitable activities are classified in the Talmud according to several target groups with various priorities, classified according to, it could be said, rules of subsidiarity.
  • Do not mistreat an alien or oppress him, for you were aliens in Egypt.140 As one can see, aside from widows and orphans, the Old Testament also includes immigrants in its area of social protection.141 The Israelites had to have the same rules apply for them as for themselves—they could not discriminate on the basis of their origin.
  • ABSTRACT MONEY, FORBIDDEN INTEREST, AND OUR DEBT AGE If it appears to us that today’s era is based on money and debt, and our time will be written into history as the “Debt age,” then it will certainly be interesting to follow how this development occurred.
  • Money is a social abstractum. It is a social agreement, an unwritten contract.
  • The first money came in the form of clay tablets from Mesopotamia, on which debts were written. These debts were transferable, so the debts became currency. In the end, “It is no coincidence that in English the root of ‘credit’ is ‘credo,’ the Latin for ‘I believe.’”
  • To a certain extent it could be said that credit, or trust, was the first currency. It can materialize, it can be embodied in coins, but what is certain is that “money is not metal,” even the rarest metal, “it is trust inscribed,”
  • Inseparably, with the original credit (money) goes interest. For the Hebrews, the problem of interest was a social issue: “If you lend money to one of my people among you who is needy, do not be like a moneylender; charge him no interest.”
  • there were also clearly set rules setting how far one could go in setting guarantees and the nonpayment of debts. No one should become indebted to the extent that they could lose the source of their livelihood:
  • In the end, the term “bank” comes from the Italian banci, or the benches that Jewish lenders sat on.157
  • Money is playing not only its classical roles (as a means of exchange, a holder of value, etc.) but also a much greater, stronger role: It can stimulate, drive (or slow down) the whole economy. Money plays a national economic role.
  • In the course of history, however, the role of loans changed, and the rich borrowed especially for investment purposes,
  • Today the position and significance of money and debt has gone so far and reached such a dominant position in society that operating with debts (fiscal policy) or interest or money supply (monetary policy) means that these can, to a certain extent, direct (or at least strongly influence) the whole economy and society.
  • In such a case a ban on interest did not have great ethical significance. Thomas Aquinas, a medieval scholar (1225-1274), also considers similarly; in his time, the strict ban on lending with usurious interest was loosened, possibly due to him.
  • As a form of energy, money can travel in three dimensions, vertically (those who have capital lend to those who do not) and horizontally (speed and freedom in horizontal or geographic motion has become the by-product—or driving force?—of globalization). But money (as opposed to people) can also travel through time.
  • money is something like energy that can travel through time. And it is a very useful energy, but at the same time very dangerous as well. Wherever
  • Aristotle condemned interest162 not only from a moral standpoint, but also for metaphysical reasons. Thomas Aquinas shared the same fear of interest and he too argued that time does not belong to us, and that is why we must not require interest.
  • MONEY AS ENERGY: TIME TRAVEL AND GROSS DEBT PRODUCT (GDP)
  • Due to this characteristic, we can energy-strip the future to the benefit of the present. Debt can transfer energy from the future to the present.163 On the other hand, saving can accumulate energy from the past and send it to the present.
  • labor was not considered degrading in the Old Testament. On the contrary, the subjugation of nature is even a mission from God that originally belonged to man’s very first blessings.
  • LABOR AND REST: THE SABBATH ECONOMY
  • The Jews as well as Aristotle behaved very guardedly toward loans. The issue of interest/usury became one of the first economic debates. Without having an inkling of the future role of economic policy (fiscal and monetary), the ancient Hebrews may have unwittingly felt that they were discovering in interest a very powerful weapon, one that can be a good servant, but (literally) an enslaving master as well.
  • It’s something like a dam. When we build one, we are preventing periods of drought and flooding in the valley; we are limiting nature’s whims and, to a large extent, avoiding its incalculable cycles. Using dams, we can regulate the flow of water to nearly a constant. With it we tame the river (and we can also gain
  • But if we do not regulate the water wisely, it may happen that we would overfill the dam and it would break. For the cities lying in the valley, their end would be worse than if a dam were never there.
  • If man lived in harmony with nature before, now, after the fall, he must fight; nature stands against him and he against it and the animals. From the Garden we have moved unto a (battle)field.
  • Only after man’s fall does labor turn into a curse.168 It could even be said that this is actually the only curse, the curse of the unpleasantness of labor, that the Lord places on Adam.
  • Both Plato and Aristotle consider labor to be necessary for survival, but that only the lower classes should devote themselves to it so that the elites would not have to be bothered with it and so that they could devote themselves to “purely spiritual matters—art, philosophy, and politics.”
  • Work is also not only a source of pleasure but a social standing; It is considered an honor. “Do you see a man skilled in his work? He will serve before kings.”170 None of the surrounding cultures appreciate work as much. The idea of the dignity of labor is unique in the Hebrew tradition.
  • Hebrew thinking is characterized by a strict separation of the sacred from the profane. In life, there are simply areas that are holy, and in which it is not allowed to economize, rationalize, or maximize efficiency.
  • good example is the commandment on the Sabbath. No one at all could work on this day, not even the ones who were subordinate to an observant Jew:
  • the message of the commandment on Saturday communicated that people were not primarily created for labor.
  • Paradoxically, it is precisely this commandment out of all ten that is probably the most violated today.
  • Aristotle even considers labor to be “a corrupted waste of time which only burdens people’s path to true honour.”
  • we have days when we must not toil connected (at least lexically) with the word meaning emptiness: the English term “vacation” (or emptying), as with the French term, les vacances, or German die Freizeit, meaning open time, free time, but also…
  • Translated into economic language: The meaning of utility is not to increase it permanently but to rest among existing gains. Why do we learn how to constantly increase gains but not how to…
  • This dimension has disappeared from today’s economics. Economic effort has no goal at which it would be possible to rest. Today we only know growth for growth’s sake, and if our company or country prospers, that does not…
  • Six-sevenths of time either be dissatisfied and reshape the world into your own image, man, but one-seventh you will rest and not change the creation. On the seventh day, enjoy creation and enjoy the work of your hands.
  • the purpose of creation was not just creating but that it had an end, a goal. The process was just a process, not a purpose. The whole of Being was created so…
  • Saturday was not established to increase efficiency. It was a real ontological break that followed the example of the Lord’s seventh day of creation. Just as the Lord did not rest due to tiredness or to regenerate strength; but because He was done. He was done with His work, so that He could enjoy it, to cherish in His creation.
  • If we believe in rest at all today, it is for different reasons. It is the rest of the exhausted machine, the rest of the weak, and the rest of those who can’t handle the tempo. It’s no wonder that the word “rest…
  • Related to this, we have studied the first mention of a business cycle with the pharaoh’s dream as well as seen a first attempt (that we may call…
  • We have tried to show that the quest for a heaven on Earth (similar to the Jewish one) has, in its desacralized form, actually also been the same quest for many of the…
  • We have also seen that the Hebrews tried to explain the business cycle with morality and ethics. For the Hebrews,…
  • ancient Greek economic ethos, we will examine two extreme approaches to laws and rules. While the Stoics considered laws to be absolutely valid, and utility had infinitesimal meaning in their philosophy, the Epicureans, at least in the usual historical explanation, placed utility and pleasure in first place—rules were to be made based on the principle of utility.
  • CONCLUSION: BETWEEN UTILITY AND PRINCIPLE The influence of Jewish thought on the development of market democracy cannot be overestimated. The key heritage for us was the lack of ascetic perception of the world, respect to law and private…
  • We have tried to show how the Torah desacralized three important areas in our lives: the earthly ruler, nature,…
  • What is the relationship between the good and evil that we do (outgoing) and the utility of disutility that we (expect to) get as a reward (incoming)? We have seen…
  • The Hebrews never despised material wealth; on contrary, the Jewish faith puts great responsibility on property management. Also the idea of progress and the linear perception of time gives our (economic)…
  • the Hebrews managed to find something of a happy compromise between both of these principles.
  • will not be able to completely understand the development of the modern notion of economics without understanding the disputes between the Epicureans and the Stoics;
  • poets actually went even further, and with their speech they shaped and established reality and truth. Honor, adventure, great deeds, and the acclaim connected with them played an important role in the establishment of the true, the real.
  • those who are famous will be remembered by people. They become more real, part of the story, and they start to be “realized,” “made real” in the lives of other people. That which is stored in memory is real; that which is forgotten is as if it never existed.
  • Today’s scientific truth is founded on the notion of exact and objective facts, but poetic truth stands on an interior (emotional) consonance with the story or poem. “It is not addressed first to the brain … [myth] talks directly to the feeling system.”
  • “epic and tragic poets were widely assumed to be the central ethical thinkers and teachers of Greece; nobody thought of their work as less serious, less aimed at truth, than the speculative prose treatises of historians and philosophers.”5 Truth and reality were hidden in speech, stories, and narration.
  • Ancient philosophy, just as science would later, tries to find constancy, constants, quantities, inalterabilities. Science seeks (creates?) order and neglects everything else as much as it can. In their own experiences, everyone knows that life is not like that,
  • Just as scientists do today, artists drew images of the world that were representative, and therefore symbolic, picturelike, and simplifying (but thus also misleading), just like scientific models, which often do not strive to be “realistic.”
  • general? In the end, poetry could be more sensitive to the truth than the philosophical method or, later, the scientific method. “Tragic poems, in virtue of their subject matter and their social function, are likely to confront and explore problems about human beings and luck that a philosophical text might be able to omit or avoid.”8
Javier E

How 'long economic waves' could save capitalism - The Washington Post - 0 views

  • Kondratieff was a young Russian economist who died in prison in 1938. He developed an economic theory that purportedly explains both the dynamism and the destructiveness of the capitalist economic systems. The source of this explanatory power, he contended, was the existence of “long waves” or “long cycles” that bred both leaps of prosperity and spasms of instability.
  • Unlike normal business cycles, which lasted about a decade, Kondratieff’s long waves typically spanned 50 to 60 years. Initially, investment capital flows into new technologies. That’s the up cycle; the down cycle occurs when surplus production reduces prices and raises unemployment. Markets are saturated.
  • If you Google “Kondratieff cycles,” you get a concise history of the theory
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  • Long cycles don’t preclude shorter, more traditional business cycles. To the contrary, they may make these standard business cycles more likely. As Kondratieff wrote, “Our investigation demonstrates that during the rise of long waves, years of prosperity are more numerous, whereas years of depression predominate during the downswing.”
  • most of these markets move in tandem — usually rising when the long wave is going through its expansion phase and falling in its contractionary period.
  • It’s argued that we’ve passed through five “long waves” since the late 1700s. Here is a brief list, with my rough estimates of the year the cycle’s upswing reached its peak: (1) the invention of the steam engine and advances in textile manufacturing (1817); (2) railroads and steelmaking (1870); (3) electricity (1920); (4) automobiles and petrochemicals (1975); (5) information technology (now). The sixth wave may be health care
  • Similarities between Kondratieff’s different phases and the recent tumultuous behavior of the U.S. and global economies are hard to miss. Economists have struggled to explain low wages and interest rates, neither of which was widely predicted. Could they simply be the consequence of the downside of the most recent long wave?
Javier E

Will the US Really Experience a Violent Upheaval in 2020? | Live Science - 0 views

  • If Turchin's model is right, then the current polarization and inequality in American society will come to a head in 2020. "After the last eight years or so, notice how the discourse in our political class has become fragmented. It's really unprecedented for the last 100 years," he said. "So basically by all measures, there are social pressures for instability that are much worse than 50 years ago."
  • Why 50-year cycles? Turchin explained that a surge of violence begins in the same way as a forest fire: explosively. After a period of escalation followed by sustained violence, citizens begin to "yearn for the return of stability and an end to fighting," he wrote in his paper. The prevailing social mood swings toward stifling the violence at all costs, and those who directly experienced the civil violence maintain the peace for about a human generation — 20 or 30 years. But the stability doesn't last.
  • Eventually, "the conflict-scarred generation dies off or retires, and a new cohort arises, people who did not experience the horrors of civil war and are not immunized against it. If the long-term social forces that brought about the first outbreak of internal hostilities are still operating, then the society will slide into the second civil war," he wrote. "As a result, periods of intense conflict tend to recur with a period of roughly two generations (40–60 years)."
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  • The longer cycle is "the one which we understand much better, and it is a universal feature of all complex societies," Turchin told Life's Little Mysteries. From the Roman Empire to medieval France to ancient China, scholars have noted that societies swing between 100-150 years of relative peace and 100-150 years of conflict, and then back again
  • The data indicates that a cycle of violence repeats itself every 50 years in America, like a wave that peaks in every other generation. This short-term cycle is superimposed over another, longer-term oscillation that repeats every 200 to 300 years. The slower waves in violence can either augment or suppress the 50-year peaks, depending on how the two cycles overlap.
  • Turchin, who reported his results in the July issue of the Journal of Peace Research, compiled historical data about violent incidents in U.S. history between 1780 and 2010, including riots, terrorism, assassinations and rampages
  • "The database is too short: the entire study covers the period 1780-2010, a mere 230 years," he wrote in an email. "You can fit at most four 50-year peaks and two [long-term] ones. I just don't see how one could reasonably exclude that the observed pattern is random. But of course we would have to wait a lot longer to collect new data and find out."
  • Pigliucci said, but most historians would say these fluctuations are chaotic.
  • Daniel Szechi, professor of early modern history at the University of Manchester in England, agrees that not enough time has passed for patterns to have emerged. However, he believes "cliodynamics" could eventually work, once humanity racks up a few more centuries of good record-keeping. "Maybe 500 years from now we will have sufficient data and sufficient number crunching power to really make use of the data we will have generated and stored in vast quantities since about 1900,"
Javier E

Painted bike lanes are waste of money, say cycling commissioners | Politics | The Guardian - 0 views

  • The commissioners also call for an end to car-centric transport planning and a move towards investment decisions that “account for the true cost of car use to society”. They argue that current economic appraisal models used by the Treasury to decide whether to fund a new motorway or a segregated cycle lane “do not take full account of the negative consequences of making private car use easier, nor do they take full account of the benefits of walking and cycling on our health, wellbeing and environment”.
  • This approach has led to “systemic undervaluation and underinvestment in sustainable transport,” they argue, and urge the Department for Transport to change its appraisal methods “to focus on efficient use of road space and total people movement, rather than being based around capacity and journey times for vehicles”.
  • In Scotland, 19 local authorities are reinvesting road penalty income in safety enforcement activities, public transport, car clubs, parks maintenance, and park and rides.
yehbru

How Trump made people care about politics again - CNNPolitics - 0 views

  • Record numbers of Americans felt strongly favorable or unfavorable toward Trump during his time in office. (The strongly favorable and unfavorable was 71% in a Fox News poll last month, for instance.)
  • Trump's presidency drove historic turnout and record donations to political campaigns in a country whose voters have often shown a disinterest in politics.
  • The 2020 campaign, by comparison, had a little less than 160 million voters participate
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  • Just 51.7% of the voting-eligible population cast a ballot, according to the US Elections Project. That was the lowest since 18-year-olds got the vote before the 1972 election. In raw numbers, a little more than 96 million voters decided to take part in that year's presidential election.
  • the US Elections Project estimates a turnout rate of 66.7% of the voting-eligible population.
  • What's amazing is how far back you have to go to beat 66.7% for a turnout rate in a presidential election. There wasn't a higher turnout rate in either the 20th or 21st century.
  • Half of the voter-eligible population turned out to vote in 2018. This 50.0% turnout rate was more than 13 points higher than in 2014 (36.7%). In raw numbers, nearly 120 million turned out in 2018 compared to only a little more than 80 million in 2014.
  • The strong feelings toward Trump also drove record donations to political candidates up and down the ballot.
  • Through November 30, 2020, the FEC reports that nearly $24 billion was raised by federal candidates, PACs and party committees during the 2020 election cycle. No other year comes anywhere close to that total. For comparison, a little more than $9 billion was raised by federal candidates, PACs and party committees during the 2016 election cycle.
  • Looking just at the presidential candidates, over $4 billion was taken in. Never before had more than $2 billion been raised.
  • In the House races, candidates raised $1.9 billion. Again, that's a record for any cycle. The next highest total was in 2018 with Trump in the White House. During the midterm cycle, $1.7 billion was raised by House candidates.
  • The interest in elections during the past four years isn't just about Trump the individual. It's about everything around Trump and everything that can strengthen or lessen the power he has.
mariedhorne

The 2020 election for the White House and Congress poised to hit record-shattering $14 ... - 0 views

  • The cost of this year's federal elections will hit close to $14 billion, shattering records and doubling the amount of money spent to influence presidential and congressional contests four years ago, according to an estimate released Wednesday.
  • And the 2020 election also has seen a dramatic reversal in the financial fortunes of the two men vying for the White House
  • Donations to the Biden campaign alone through mid-October -- the most recent public filings -- already have topped $930 million.
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  • Bloomberg and California hedge-fund founder Tom Steyer -- Democratic candidates and groups spent $5.5 billion in this cycle; Republicans, $3.8 billion. That marks an unprecedented financial advantage for Democrats.Small-dollar donors account for 22% of the money raised this cycle, up from 15% in the last presidential election cycle.
  • "Ten years ago, a billion-dollar presidential candidate would have been difficult to imagine. This cycle, we're likely to see two," the center's executive director Sheila Krumholz said in a statement.
  • race in South Carolina, out-of-state money accounted for 93% of Harrison's money and about 87% of the campaign funds collected by Graham.Women donors have stepped up their giving, accounting for 44% of contributions, a new high. And women donors have donated $1.3 billion to Democrats, compared to roughly $570 million to Republicans.
Javier E

David Simon | Barack Obama And The Death Of Normal - 0 views

  • America is different now, more so with every election cycle. Ronald Reagan won his mandate in an America in which 89 percent of the voters were white. That number is down to 72 percent and falling. Fifty thousand new Latino citizens achieve the voting age every month. America will soon belong to the men and women — white and black and Latino and Asian, Christian and Jew and Muslim and atheist, gay and straight — who can comfortably walk into a room and accept with real comfort the sensation that they are in a world of certain difference, that there are no real majorities, only pluralities and coalitions. The America in which it was otherwise is dying, thank god, and those who relied on entitlement and division to command power will either be obliged to accept the changes, or retreat to the gated communities from which they wish to wax nostalgic and brood on political irrelevance.
  • Eighty years ago, the Democratic party became a national utilitarian enterprise, molding the immigrant waves of Irish and Italian and Jew into a voting bloc that stunned the political opposition and transformed American society, creating the world’s greatest economic engine in the form of a consumer class with vast discretionary income. The New Deal asserted for American progress — shaping and influencing administrations both Democratic and Republican — for three decades before running aground on the shoals of the civil rights movement, resulting racial fears and resentments, and, of course, the Southern strategy of political cynics
  • right now, the conservative movement in America is fleeing from dramatic change that is certain and immutable. A man of color is president for the second time, and this happened despite a struggling economic climate and a national spirit of general discontent. He has been returned to office over the specific objections of the mass of white men. He has instead been re-elected by women, by people of color, by homosexuals, by people of varying religions or no religion whatsoever. Behold the New Jerusalem. Not that there’s anything wrong with being a white man, of course. There’s nothing wrong with being anything. That’s the point.
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  • This election marks a moment in which the racial and social hierarchy of America is upended forever. No longer will it mean more politically to be a white male than to be anything else. Evolve, or don’t. Swallow your resentments, or don’t. But the votes are going to be counted, more of them with each election. Arizona will soon be in play. And in a few cycles, even Texas. And those wishing to hold national office in these United States will find it increasingly useless to argue for normal, to attempt to play one minority against each other, to turn pluralities against the feared “other” of gays, or blacks, or immigrants, or, incredibly in this election cycle, our very wives and lovers and daughters, fellow citizens who demand to control their own bodies.
  • now, normal isn’t white or straight or Christian. There is no normal. That word, too, means less with every moment. And those who continue to argue for such retrograde notions as a political reality will become less germane and more ridiculous with every passing year.
Javier E

The Plight of the Overworked Nonprofit Employee - The Atlantic - 0 views

  • Many nonprofit organizations stare down a shared set of challenges: In a 2013 report, the Urban Institute surveyed over 4,000 nonprofits of a wide range of types and sizes across the continental U.S. It found that all kinds of nonprofits struggled with delays in payment for contracts, difficulty securing funding for the full cost of their services, and other financial issues.
  • Recent years have been especially hard for many nonprofits. Most have annual budgets of less than $1 million, and those budgets took a big hit from the recession, when federal, municipal, and philanthropic funding dried up. On top of that, because so many nonprofits depend on government money, policy changes can cause funding priorities to change, which in turn can put nonprofits in a bind.
  • The pressure from funders to tighten budgets and cut costs can produce what researchers call the “nonprofit starvation cycle.” The cycle starts with funders’ unrealistic expectations about the costs of running a nonprofit. In response, nonprofits try to spend less on overhead (like salaries) and under-report expenses to try to meet those unrealistic expectations. That response then reinforces the unrealistic expectations that began the cycle. In this light, it’s no surprise that so many nonprofits have come to rely on unpaid work.
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  • Strangely, though nonprofits are increasingly expected to perform like businesses, they do not get the same leeway in funding that government-contracted businesses do. They don’t have nearly the bargaining power of big corporations, or the ability to raise costs for their products and services, because of tight controls on grant funding. “D.C. is full of millionaires who contract with government in the defense field, and they make a killing, and yet if you’re a nonprofit, chances are you aren’t getting the full amount of funding to cover the cost of the services required,” Iliff said. “Can you imagine Lockheed Martin or Boeing putting up with a government contract that didn’t allow for overhead?”
  • When faced with dwindling funding, one response would be to cut a program or reduce the number of people an organization serves. But nonprofit leaders have shown themselves very reluctant to do that. Instead, many meet financial challenges by squeezing more work out of their staffs without a proportional increase in their pay:
  • nonprofits like PIRG, for example, have a tradition of forcing employees to work long, unpaid hours—especially their youngest staff. “There’s a culture that says, ‘Young people are paying their dues. It’s okay for them to be paid for fewer hours than they’re actually working because it’s in the effort of helping them grow up and contribute to something greater than they are,’” Boris says.
  • These nonprofit employees are saying that their operations depend on large numbers of their lowest-paid staff working unpaid overtime hours. One way to get  to that point would be to face a series of choices between increased productivity on the one hand and reduced hours, increased pay, or more hiring on the other, and to choose more productivity every time. That some nonprofits have done this speaks to a culture that can put the needs of staff behind mission-driven ambitions.
  • In the 1970s, 62 percent of full-time, salaried workers qualified for mandatory overtime pay when they worked more than 40 hours in a week. Today, because the overtime rules have not had a major update since then (until this one), only 7 percent of workers are covered, whether they work in the nonprofit sector or elsewhere. In other words, U.S. organizations—nonprofit or otherwise—have been given the gift of a large pool of laborers who, as long as they clear a relatively low earnings threshold and do tasks that meet certain criteria, do not have to be paid overtime.
  • Unsurprisingly, many nonprofits have taken advantage of that pool of free work. (For-profit companies have too, but they also have the benefit of being more in control of their revenue streams.) B
  • “There is this feeling that the mission is so important that nothing should get in the way of it,”
  • “Too often, I have seen the passion for social change turned into a weapon against the very people who do much—if not most—of the hard work, and put in most of the hours,” Hastings recently wrote on her blog. “Because they are highly motivated by passion, the reasoning goes, they don’t need to be motivated by decent salaries or sustainable work hours or overtime pay.”
  • A 2011 survey of more than 2,000 nonprofit employees by Opportunity Knocks, a human-resources organization that specializes in nonprofits, in partnership with Jessica Word, an associate professor of public administration at the University of Nevada, Las Vegas, found that half of employees in the nonprofit sector may be burned out or in danger of burnout.
  • . “These are highly emotional and difficult jobs,” she said, adding, “These organizations often have very high rates of employee turnover, which results from a combination of burnout and low compensation.” Despite the dearth of research, Word’s findings don’t appear to be unusual: A more recent study of nonprofits in the U.S. and Canada found that turnover, one possible indicator of burnout, is higher in nonprofits than in the overall labor market.
  • for all their hours and emotional labor, nonprofit employees generally don’t make much money. A 2014 study by Third Sector New England, a resource center for nonprofits, found that 43 percent of nonprofit employees in New England were making less than $28,000 per year—far less than a living wage for families with children in most cities in the United States, and well below the national median income of between $40,000 and $50,000 per year.
  • Why would nonprofit workers be willing to stay in jobs where they are underpaid, or, in some cases, accept working conditions that violate the spirit of the labor laws that protect them? One plausible reason is that they are just as committed to the cause as their superiors
  • But it also might be that some nonprofits exploit gray areas in the law to cut costs. For instance, only workers who are labelled as managers are supposed to be exempt from overtime, but many employers stretch the definition of “manager” far beyond its original intent.
  • even regardless of these designations, the emotionally demanding work at many nonprofits is sometimes difficult to shoehorn into a tidy 40-hours-a-week schedule. Consider Elle Roberts, who was considered exempt from overtime restrictions and was told not to work more than 40 hours a week when, as a young college grad, she worked at a domestic-violence shelter in northwest Indiana. Doing everything from home visits to intake at the shelter, Roberts still ignored her employer’s dictates and regularly worked well more than 40 hours a week providing relief for women in crisis. Yet she was not paid for that extra time.
  • “The unspoken expectation is that you do whatever it takes to get whatever it is done for the people that you’re serving,” she says. “And anything less than that, you’re not quite doing enough.
Javier E

How Trump?s attempts to win the daily news cycle feed a chaotic coronavirus response - ... - 0 views

  • But in Trump’s White House, certain symptoms remain: a president who governs as if producing and starring in a reality television show, with each day a new episode and each news cycle his own creation, a successive installment to be conquered.
  • Facing a global pandemic, Trump still seems to lurch from moment to moment, with his methods and messages each day disconnected from — and in some cases contradictory to — the ones just prior.
  • Trump has focused on his self-image — claiming credit wherever he believes it is owed, attempting to project strength and decisiveness, settling scores with critics, boasting about the ratings of his televised news conferences and striving to win the cable news and social media wars.
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  • Lapan added that it is important for the president to address the public about a topic as serious as the pandemic but said Trump should quickly “turn it over to the experts and leave, and not turn it into this stream of consciousness of every topic he wants to talk about and the adoration that seems to be required from everybody else who participates.”
  • “Trump is a sales guy, and it’s all about point of sale,” said Stuart Stevens, a longtime Republican operative and frequent Trump critic. “It’s not about repeat customers and follow-ups. He wants to get the sale — that’s it — he wants to sell you the undercoating for your car, and it’s not his problem if the car breaks driving off of the lot.”
  • Trump’s mind at times was elsewhere. A few hours before his news conference, he took to Twitter to brag about the high television ratings of his coronavirus updates, noting that they were on par with the season finale of “The Bachelor,” an ABC reality hit.
  • At day’s end, when Trump strode into the White House press briefing room to deliver a coronavirus update, he turned over the presidential lectern to an array of business executives, who alternately praised him and pitched their products.
  • The potpourri quality of Trump’s message to a nation in crisis that day was a stark contrast to Franklin D. Roosevelt, who as president during the Great Depression and World War II offered his reassurances in a series of fireside chats broadcast nationally — and he limited them to have maximum impact.
  • “He only delivered these fireside chats every couple of months, when there was an essential moment for the president to speak,”
  • “Someone said to him, ‘Why don’t you go on the radio every night? Your speeches are so effective.’ He said, ‘If my speeches become routine they will lose their effectiveness.’ And he said, ‘It takes me three or four days to work on a fireside chat — and I have to run the country, too.”
  • By Tuesday, Trump had finally come to acknowledge the sheer magnitude of the crisis.
  • the president and his medical experts offered a somber and grim projection: In a best-case scenario, and with strict abidance by social distancing, between 100,000 and 240,000 Americans would die of the coronavirus.
  • The worst-case scenario was even more horrifying: Without community mitigation measures, the models presented by the White House predict 1.5 million to 2.2 million Americans could die.
  • Lockhart said that Tuesday’s news conference was a concerted effort by the administration to “rewrite history,” after two months of Trump playing down the threat of the virus. He added that there appeared to be a political calculation as well: By revealing specific projected fatalities, Trump laid the groundwork to be able to claim victory ahead of November’s election if the death toll is substantially less than predicted.
  • The Centers for Disease Control and Prevention had developed new guidance to mitigate the coronavirus, recommending all Americans wear face masks, and as with many announcements by the federal government, Trump chose to unveil it himself.
  • But he risked diluting the effectiveness of the measure — designed to prevent asymptomatic carriers of the virus from spreading to others — by stressing it was voluntary and musing at Friday’s news conference that he wouldn’t be seen wearing a mask himself.
  • his vanity, it seemed, could not abide wearing a mask.Asked why he opposed covering his nose and mouth as the CDC recommends, Trump struggled to articulate his hesitation.“Somehow sitting in the Oval Office behind that beautiful Resolute Desk — the great Resolute Desk — I think wearing a face mask as I greet presidents, prime ministers, dictators, kings, queens, I don’t know. Somehow, I don’t see it for myself.”
rerobinson03

If the Economy Overheats, How Will We Know? - The New York Times - 0 views

  • Some big-name economists argue that the economy will soon overheat because of the Biden administration’s $1.9 trillion pandemic relief and other spending measures.
  • When demand for goods and services expands faster than the supply of them, consumers simply bid up the price of finite goods, and businesses bid up wages to try to keep up. This begins a cycle of higher wages fueling higher prices, which in turn fuels higher wages.Such a process began in the mid-1960s and culminated in double-digit inflation in the 1970s. But there are important differences between then and now. For one thing, unions then were more powerful and demanded steep wage increases. For another, a series of one-off events made inflation worse, including the breakdown of the Bretton Woods international currency arrangements and oil embargoes that sent fuel prices soaring.
  • The overheating worriers, who include prominent Clinton-era policymakers and many conservatives, believe there is a more substantial chance that one of two more pessimistic scenarios will come true. As vast federal spending keeps coursing through the economy, they fear that high inflation will come to be seen as the new normal and that behavior will adjust accordingly.
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  • It turns out that the two sides — the overheating worriers and those who think those concerns are misplaced — agree on many points. They have common ground on what a bad outcome might look like, and agree that it will take some time to know whether a problematic form of inflation is really taking root. The differences are in how likely they consider it to happen.
  • He now assigns roughly equal odds to three possibilities: that everything goes according to plan, with inflation returning to normal after a one-time surge; that a cycle of ever-rising inflation develops; or that the Fed ultimately causes a steep downturn to prevent that inflationary cycle.
  • Michael Strain of the American Enterprise Institute also emphasized these inflation “break-evens,” which capture bond investors’ views of future inflation based on the gap between inflation-protected and regular securities. Like Mr. Mankiw, he said that break-evens suggesting 3 percent or higher annual inflation over the next five years would be worrying, as would 2.5 percent or higher inflation expected for the period five to 10 years from now.
katherineharron

Supreme Court vacancy brings new urgency to battle for Senate control. Here's a look at... - 0 views

  • For President Donald Trump, the vacancy offers an opportunity to further reshape the court and bolster his legacy by installing a third conservative justice during his first term in office.
  • Democrats won control of the House in 2018, picking up a net gain of 40 seats, many in diversifying suburban districts that delivered a rebuke of the President's first two years in office. Given those gains, Democrats have a smaller universe of offensive targets for this cycle, but the party still sees opportunities across the map -- including a handful in Texas due, in part, to Republican retirements.
  • According to Inside Elections, six Republican-held Senate seats currently rate as Tilt Democratic or Toss-up. In Arizona, Sen. Martha McSally is running against Democrat Mark Kelly, a former NASA astronaut and the husband of former Rep. Gabrielle Giffords. Colorado Sen. Cory Gardner, meanwhile, is facing off against former Gov. John Hickenlooper in a Democratic-leaning state. Both contests are rated Tilt Democratic.
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  • The four Toss-up races are all seats with Republican incumbents.
  • Democrats are also benefiting from not having to play much defense this cycle. Of the dozen Democrats up for reelection this year, only the two running for reelection in states Trump carried in 2016 -- Alabama Sen. Doug Jones and Michigan Sen. Gary Peters -- face competitive contests, according to Inside Elections.
  • In the wake of Ginsburg's death and McConnell's commitment to giving Trump's nominee a vote, there's even more attention on Graham, the chairman of the Senate Judiciary Committee.
  • Recent public polling suggests Harrison's spending could be paying off, too. He was tied with Graham at 48% among likely voters in a Quinnipiac University poll earlier this month, which followed another tied-up Quinnipiac poll of registered voters last month.
  • Of the 35 Senate seats up for grabs in November, 23 are held by Republicans and 12 by Democrats. For the 2020 cycle, CNN is featuring race ratings for Senate and House contests from Inside Elections with Nathan L. Gonzales, who is a CNN contributor.
  • For Republicans, the path back to the majority would start with the 30 districts held by Democrats that Trump carried on his way to the presidency four years ago.
  • Inside Elections currently rates 205 seats as safe for Democrats, which would put the party just 13 seats away from keeping control of the chamber. There are 164 seats that are Safe Republican, leaving a universe of 65 seats in play -- 37 held by Republicans and 28 by Democrats.
  • Only 10 seats are rated Toss-up, the most competitive designation, with seven held by Republicans and three by Democrats.
  • Hillary Clinton won this South Florida district in 2016, but the Cuban-American community's embrace of Trump could move it away from Democrats. Freshman Rep. Debbie Mucarsel-Powell, who unseated GOP Rep. Carlos Curbelo in the 2018 midterms, is no longer in a Tilt Democratic race. Her campaign against Miami Dade County Mayor Carlos Gimenez, himself a Cuban American with a high profile, is now a Toss-up.
  • The other four ratings changes, however, are all in Democrats' favor. A tightening presidential race in Arkansas' 2nd District, which backed Trump by 10 points in 2016, could help Democrats unseat GOP Rep. French Hill. His race shifted from Likely Republican to Lean Republican.
  • Although it's not at all like the suburban seats described above, Maine's 2nd District also shifted in Democrats' favor. Trump's 2016 victory here earned him an electoral vote, but he's not expected to do nearly as well in the White working class district against Biden as he did against Clinton.
Javier E

The Fourth Turning: What past generations can teach us about our future - YouTube - 0 views

  • a 2022 conversation in front of a small audience with historian and demographer, Neil Howe, as we discuss: the patterns of human history, a long-view perspective on the current charge of events, and, most importantly, hope for our future.
  • ANTICIPATION IS POWER and PATTERN RECOGNITION is a huge key to intelligent decision making
  • Neil Howe’s theory is all about the patterns of the past and what they suggest we can anticipate in the future.
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  • Howe and his co-author William Strauss wrote two extremely impactful books – Generations (published in 1991) and The Fourth Turning (published in 1997).
  • Strauss and Howe theory considers the 4-stage cycle that repeats every 80-100 years (approximately the length of a human life, also referred to as a saeculum).
  • Their books suggest four turnings of history: 1. A High 2. An Awakening 3. An Unravelling 4. (Culminating in) A Crisis
  • What can be helpful to remember in these times is that no storm lasts forever, and this too shall pass
  • Additionally, one can consider four generational archetypes (a fancy word for patterns) of people born in the same era and coming of age shaped by the same historical events
  • The four archetypes Strauss and Howe use to describe generational cohorts are: Prophets, Nomads, Heroes, and Artists
  • So, for example, Millennials fall into the Hero archetype, while Gen Xers are Nomads, and Baby Boomers are Prophets. The generation born in or after 2005 are Artists.
  • As each archetypal generation reaches the end of its 80-year lifespan, the cycle repeats.
Javier E

Housing markets face a brutal squeeze | The Economist - 0 views

  • interest-rate rises have now returned mortgage rates to levels not seen for decades. A year ago the 30-year fixed-rate mortgage in America was below 3%. Today it is only a little shy of 7%
  • Three factors will determine where the pain is most acute, and thus where these consequences are most likely. The first is recent price growth. Housing markets where prices have surged since the pandemic are especially vulnerable to cooling demand
  • Borrowing levels are the second factor. The higher household debt is as a share of income, the more vulnerable owners are to higher mortgage payments and defaults.
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  • The third factor is the speed with which higher interest rates pass through to homeowners. The biggest risk is to borrowers on floating-rate mortgages
  • not all fixed-term loans are alike. In America the bulk of them are fixed for two or three decades. In other countries, even fixed-rate borrowers will face soaring mortgage costs soon enough
  • all the ingredients for a deep housing slump are in place. This time, though, it is likely to be led not by America, but by Canada, the Netherlands, Australia, New Zealand and Norway
  • First-time buyers and recent borrowers are especially vulnerable. Many stretched their finances to buy a home, leaving less spare cash to cover a jump in mortgage costs
  • First-time buyers have also had less time to accumulate equity. Oxford Economics estimates that a 15% drop in house prices in America over a year would cancel out two-thirds of the housing equity they have accumulated since the start of the pandemic
  • the housing squeeze will have profound consequences. “The housing cycle IS the business cycle”, wrote Edward Leamer of the University of California, Los Angeles, in a paper published in 2007
  • The link between the two cycles arises because housing confers “wealth effects” on owner occupiers. When house prices rise, people feel good about their financial situation, so borrow and spend more.
  • It noted that housing slowdowns had preceded eight of the past ten recessions in America
  • 2019 research by the Bank of England found that a 10% increase in house prices raises consumption by 0.35–0.5%
  • Another important channel between the housing market and the rest of the economy is investment. Capital spending associated with housing, especially house building, can be extremely volatile—and is often the difference between a growing or shrinking economy.
  • Some people see an upside to a housing crash. They hope lower prices will allow young folk to buy their first houses. These hopes are almost certain to be dashed. In housing corrections, and sometimes for years after, home ownership rates tend to fall, rather than rise
  • Economic conditions that cause house prices to fall simultaneously imperil the chances of would-be homeowners. Unemployment rises and wages decline. If interest rates jump, people are able to borrow less and mortgage lenders tend to become more skittish about lending
  • The biggest effect of a housing downturn may be in politics
  • In countries where home ownership is seen as a rite of passage, lower prices without any increase in affordability will rub salt in already sore wounds. “Falling to what? Falling to absurdly grotesque prices instead of just unthinkable?”
  • For years more established homeowners took comfort in the thought that, even if real-wage growth was terrible, at least the price of their house was rising. Those days are over. Even baby-boomers, the great winners from a decade of price growth, now face the prospect of living off a smaller nest-egg in retirement, as downsizing becomes less lucrative
  • All this means rising interest rates will have unpredictable political repurcussions, as people who once benefited from the status quo discover what it feels like to lose out.
  • Do not be surprised, then, if policymakers launch enormous rescue operations
Javier E

The N.R.A. Protection Racket - NYTimes.com - 0 views

  • The message to Republicans is clear: “We will help you get elected and protect your seat from Democrats. We will spend millions on ads that make your opponent look worse than the average holdup man robbing a liquor store. In return, we expect you to oppose any laws that regulate guns. These include laws requiring handgun registration, meaningful background checks on purchasers, limiting the right to carry concealed weapons, limiting access to semiautomatic weapons or anything else that would diminish the firepower available to anybody who wants it. And if you don’t comply, we will load our weapons and direct everything in our arsenal at you in the next Republican primary.”
  • According to the Center for Responsive Politics, the N.R.A. spent almost $19 million in the last federal election cycle. This money is not just spent to beat Democrats but also to beat Republicans who don’t toe the line.
  • the party establishment should refuse to endorse anyone who runs in a primary with N.R.A. money against a sitting Republican. If the establishment refuses to support Republicans using other Republicans for target practice, the N.R.A. will take its shooting game somewhere else.
Javier E

For Obama's Second Term, Start Here - NYTimes.com - 0 views

  • Since President Lyndon Johnson declared a “war on poverty,” the United States has spent some $16 trillion or more on means-tested programs. Yet the proportion of Americans living beneath the poverty line, 15 percent, is higher than in the late 1960s in the Johnson administration.
  • What accounts for the cycles of poverty that leave so many people mired in the margins, and how can we break these cycles? Some depressing clues emerge from a new book, “Giving Our Children a Fighting Chance,” by Susan Neuman and Donna Celano.
  • there’s a difference in parenting strategies, the writers say. Upper-middle-class parents in America increasingly engage in competitive child-rearing. Parents send preschoolers to art classes and violin lessons and read “Harry Potter” books to bewildered children who don’t yet know what a wizard is.
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  • Meanwhile, partly by necessity, working-class families often take a more hands-off attitude to child-raising.
  • some of the most cost-effective antipoverty programs are aimed at the earliest years. For example, the Nurse-Family Partnership has a home-visitation program that encourages new parents of at-risk children to amp up the hugging, talking and reading. It ends at age 2, yet randomized trials show that those children are less likely to be arrested as teenagers and the families require much less government assistance.
  • Or take Head Start. Critics have noted that the advantage its preschoolers gain in test scores fades by third grade, but scholars also have found that Head Start has important impacts on graduates, including lessening the chance that they will be convicted of a crime years later.
  • James Heckman, a Nobel Prize-winning economist, argues that the most crucial investments we as a country can make are in the first five years of life, and that they pay for themselves. Yet these kinds of initiatives are underfinanced and serve only a tiny fraction of children in need.
Javier E

Billionaires Going Rogue - NYTimes.com - 0 views

  • The virtually unanimous view throughout the course of four decades of revised regulation was that the Republican Party and its candidates would be the major beneficiaries, and, so far, that has been true.
  • in 2010 — in the aftermath of deregulation — the balance skewed decisively to the right. In the current 2011-12 election cycle, it shifted overwhelmingly to the right:
  • The movement rightwards of almost half a billion dollars in this cycle alone — signified by the red bar on the graph representing Republican donations — is not, however, the pure gold that analysts on both sides expected.
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  • the Republican Party and the conservative establishment is institutionally stronger than the Democratic Party, with an infrastructure that served as a bulwark through the 1960s and 70s
  • The right wing of the Republican Party has more disruptive potential than the left wing of the Democratic Party because it is more willing to go to extremes:
  • While, the rapid growth of well-financed and autonomous competitors threatens all existing power structures, the bulk of the costs are likely to fall on the Republican Party.
  • The most powerful weapon of all was always the oversight exercised by party leaders over the flow of money to candidates
  • The Republican establishment has a full arsenal of weapons at its disposal, including endorsements, favored speaking engagements at key party gatherings, leverage over top consultants and a signaling process to show who has been anointed from on high.
  • Republicans, in contrast to Democrats, prefer hierarchical, well-ordered organizations, and are much more willing to cede authority to those in power.
  • Unleashed by Citizens United, a handful of renegade billionaires made life miserable for Mitt Romney, the establishment candidate. More importantly, it only took four men — Sheldon Adelson, the Las Vegas and Macao casino mogul; Harold Simmons, a Dallas-based leveraged buyout specialist; Foster Friess, a conservative Christian and a successful investor; and William Dore, a Louisiana energy company C.E.O. – to stun traditional party power brokers during the first four months of 2012.
  • turned the primary process into an open contest, giving full voice to the more extreme wings dominated by the Tea Party and the evangelical right.
  • The newly empowered billionaires are positioned to challenge the Republican Party at its point of greatest vulnerability, during the primaries.
  • These new players, along with their super PACs, undermine the influence of the parties in another crucial way. Before Citizens United, the three major Republican Party committees exerted power because their financial preeminence gave them the final word on the award of contracts to pollsters, direct mail, voter contact, and media consultants – very few of whom were willing to alienate a key source of cash.
  • The ascendance of super PACs creates a separate and totally independent source of contracts for the community of political professionals. Super PACs and other independent groups already raise more than any of the political party committees and almost as much as either the Republican or Democratic Party committees raise in toto.
  • “Who is the Republican Party in the Citizens United age? If you had to point to the ‘Republican Party’ would you be more likely to point to Reince Preibus (and implicitly the R.N.C.) or Karl Rove (and Crossroads G.P.S.)? I think candidates might consider Rove more important.”
  • the diminishment of the parties means that the institutions with the single-minded goal of winning a majority will be weakened. When parties are influential, they can help keep some candidates and office holders from going off the ideological deep end. The emergence of independently financed super PACs give voice to those with the most extreme views.
  • If the parties are eviscerated, the political system could adjust itself and regain vitality. But I doubt it. For all their flaws, strong political parties are important to a healthy political system. The displacement of the parties by super rich men determined to flex their financial muscles is another giant step away from democracy.
Javier E

FC96: The English Revolution: (1603-88) - The Flow of History - 0 views

  • In religion, Elizabeth skillfully maintained peace in England while much of Europe was embroiled in religious wars. She did this by grafting moderate Protestant theology onto Catholic style ritual and organization.  She also blunted the ferocity of the religiously radical Puritans (Calvinists) by incorporating many of them into the hierarchy of the Church of England.  However, this put many Puritans into positions of authority where they could demand more sweeping reforms beyond the Queen's lukewarm Protestantism.  In addition, many of these Puritans were also members of the gentry (lower nobles) and middle classes who controlled the House of Commons in Parliament and voted on taxes.  Thus the issues of religion and money became even more tangled.
  • Religious wars, which threatened everyone's peace and security, and inflation, which made maintaining armies too expensive for rebellious nobles, also combined to help with the rise of absolutism in Europe.  This rising tide of absolutism would influence the Stuart kings of England to try to establish absolutism in their own realm in spite of popular opinion.  A less skillful and diplomatic ruler than Elizabeth would have trouble dealing with these new forces rising up in England.  Such an undiplomatic ruler succeeded Elizabeth in the person of James I (1603-1625).
  • While Elizabeth had so skillfully kept the issues of money and religion in check, James' absolutist beliefs and abrasive personality brought them to the surface.  As far as religion went, James fought the largely Puritan Parliament to keep the Church of England's Catholic style ritual, decorations, and hierarchy of clergy, over which he as king had control.  In money matters, king and Parliament clashed over James' growing requests for money to support his lavish lifestyle.  He also angered the middle class by raising customs duties, one of his main sources of revenue, to keep pace with inflation.  While James and Parliament never completely broke with one another over these issues, their constant squabbling did set the stage for the revolution that was to follow.
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  • While the individual events of the English Revolution could be somewhat involved and complicated, they did fit into a basic pattern.  Parliament and the ruler of England would clash over the issues of religion and taxes as the government became less decisive and/or reasonable.  This would trigger a reaction by Parliament that would bring in a new ruler, and then the process would start all over again.  This cycle would repeat itself three times over the next sixty years, with each successive stage feeding back into the aforementioned cycle as well as into the next stage
  • The first stage would see England plunged into civil war (1642-49) that would result in the beheading of Charles I and the rise of the Puritans and Parliament to power.  In the second stage, continued fighting over religion and money, this time between Parliament and its army, would bring in military dictatorship under Oliver Cromwell in the 1650's.  After Cromwell's death (1658) would come the third stage with the restoration of the monarchy (1661-88).  However, the old conflicts over money and religion would resurface in the reign of James II and lead to his overthrow by Parliament with the help of William III and Mary of Holland in 1688.
rachelramirez

Charles Koch thinks Hillary Clinton might be a better president than the Republican can... - 0 views

  • Charles Koch thinks Hillary Clinton might be a better president than the Republican candidates
  • billionaire brothers Charles G. and David H. Koch, arguably two of the United States's most influential big-money donors in conservative politics, have kept quiet this presidential cycle.
  • They unveiled a budget of up to $900 million for the 2016 presidential election cycle at their donors' retreat in January.
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  • , Koch said, "it's possible" that a Clinton presidency would be better than anyone currently in the Republican nomination race
  • As a result, in the past months, Clinton has shifted some positions to the left, including endorsing the $15 federal minimum wage during the Democratic debate in New York.
Javier E

Andrew Sullivan: The Madness of King Donald - 0 views

  • all politicians lie. Bill Clinton could barely go a day without some shading or parsing of the truth. Richard Nixon was famously tricky. But all the traditional political fibbers nonetheless paid some deference to the truth — even as they were dodging it. They acknowledged a shared reality and bowed to it. They acknowledged the need for a common set of facts in order for a liberal democracy to function at all.
  • Trump’s lies are different. They are direct refutations of reality — and their propagation and repetition is about enforcing his power rather than wriggling out of a political conundrum. They are attacks on the very possibility of a reasoned discourse, the kind of bald-faced lies that authoritarians issue as a way to test loyalty and force their subjects into submission.
  • No error is ever admitted. Any lie is usually doubled down by another lie — along with an ad hominem attack.
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  • Here is what we are supposed to do: rebut every single lie. Insist moreover that each lie is retracted — and journalists in press conferences should back up their colleagues with repeated follow-ups if Spicer tries to duck the plain truth. Do not allow them to move on to another question. Interviews with the president himself should not leave a lie alone; the interviewer should press and press and press until the lie is conceded.
  • “In the life of every honorable man comes a difficult moment … when the simple statement that this is black and that is white requires paying a high price.”
  • Then there is the obvious question of the president’s mental and psychological health. I know we’re not supposed to bring this up — but it is staring us brutally in the face
  • If you came across someone in your everyday life who repeatedly said fantastically and demonstrably untrue things, what would you think of him? If you showed up at a neighbor’s, say, and your host showed you his newly painted living room, which was a deep blue, and then insisted repeatedly — manically — that it was a lovely shade of scarlet, what would your reaction be?
  • It is that when the linchpin of an entire country is literally delusional, clinically deceptive, and responds to any attempt to correct the record with rage and vengeance, everyone is always on edge.
  • I think this is a fundamental reason why so many of us have been so unsettled, anxious, and near panic these past few months. It is not so much this president’s agenda
  • This man is off his rocker. He’s deranged; he’s bizarrely living in an alternative universe; he’s delusional. If he kept this up, at some point you’d excuse yourself and edge slowly out of the room and the house and never return. You’d warn your other neighbors. You’d keep your distance. If you saw him, you’d be polite but keep your distance.
  • At the core of the administration of the most powerful country on earth, there is, instead, madness.
  • There is no anchor any more
  • With someone like this barging into your consciousness every hour of every day, you begin to get a glimpse of what it must be like to live in an autocracy of some kind
  • He begins to permeate your psyche and soul; he dominates every news cycle and issues pronouncements — each one shocking and destabilizing — round the clock.
  • He delights in constantly provoking and surprising you, so that his monstrous ego can be perennially fed. And because he is also mentally unstable, forever lashing out in manic spasms of pain and anger, you live each day with some measure of trepidation
  • One of the great achievements of free society in a stable democracy is that many people, for much of the time, need not think about politics at all. The president of a free country may dominate the news cycle many days — but he is not omnipresent — and because we live under the rule of law, we can afford to turn the news off at times.
  • In that sense, it seems to me, we already live in a country with markedly less freedom than we did a month ago. It’s less like living in a democracy than being a child trapped in a house where there is an abusive and unpredictable father, who will brook no reason, respect no counter-argument, admit no error, and always, always up the ante until catastrophe inevitably strikes
  • I’ve managed to see Scorsese’s Silence twice in the last couple of weeks. It literally silenced me. It’s a surpassingly beautiful movie — but its genius lies in the complexity of its understanding of what faith really is
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