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After the Civil War, a series of amnesties were passed, eventually encompassing almost all Confederate soldiers.

The complicit were so great in number that identifying and trying every one of them would come at significant cost, but more important, no law could sufficiently condemn what they had done, and no criminal procedure could adequately consecrate the memory of their wrongs.

the “act of oblivion,” an ancient, imperfect legal and moral mechanism for bringing an end to episodes of political violence. These acts were invoked when forgiveness was impossible, yet when pragmatism demanded a certain strain of forgetting — a forgetting that instead of erasing unforgivable transgressions, paradoxically memorialized them in the minds of all who had survived their assault

Rather than relying upon the courts to deliver impossible and unattainable forms of reckoning, oblivion provided opportunities for the extralegal recognition of political and moral wrongs, and reminded its subjects of the desire for, and necessity of, coexistence.

For centuries, legislative “acts of oblivion” were declared in times when betrayal, war and tyranny had usurped and undermined the very foundations of law; when a household or nation had been torn apart, its citizens pitted against one another; when identifying, investigating, trying and sentencing every single guilty party threatened to redouble the harm

Under the oblivions of old, the ringleaders of riots, insurrections and tyrannical reigns were prosecuted for their crimes and in many cases were forced out of the cities and states they had once claimed to rule. Treasonous leaders were prohibited from holding public office

I wondered what it would mean to revive the old idea of oblivion in our age of seemingly unending memory.

Oblivion demanded accountability for those who bore primary responsibility for political rupture and often required material compensation and restitution for the harms don

consecrating the facts of what had occurred while refusing to allow the misfortunes of the past to dictate the future.

over the course of the 20th century, as the cultural tide gradually turned toward an embrace of remembrance and recrimination, oblivion fell out of favor, and out of collective memory.

The oldest act of oblivion is usually dated to 403 B.C., when the Athenians, having survived the bloody reign of the Thirty Tyrants, swore to never remember the wrongs of a war within the family, a civil war that had divided Athens.

The 1648 Treaty of Westphalia, the supposed origin point of our world of sovereign states, promised that all the violence, hostility, damage and expenses that had been incurred “on the one side, and the other … shall be bury’d in eternal Oblivion.”

In 1660, the Indemnity and Oblivion Act restored the British monarchy after the English Civil War

To remember the power of oblivion is not to naïvely wish away the wrongs of the recent past, but rather quite the opposite: By marking certain transgressions as unforgivable and unforgettable, it recognizes the depth of the loss while also opening a path toward political pragmatism

the Continental Congress passed a resolution recommending that states treat loyalists with leniency, “to receive such returning penitents with compassion and mercy, and to forgive and bury in oblivion their past failings and transgressions.” Punishments for loyalists were, according to the scholar Mugambi Jouet, “particularly mild” for the era.

Over the past several decades, our society has become oversaturated with memory. In our legal system, a single, low-level crime can ruin an individual’s life forever, people are forced to serve sentences for acts that are no longer illegal, and even a sealed conviction or an arrest with no charge can jeopardize job, housing and volunteer opportunities.

This virtual culture of incessant, uncompromising remembrance and recrimination has seeped from our screens, affecting the kinds of conversations we are willing to have in public, and with whom.

Every day, we depend on our devices to store every photograph, every video, every file. We store all these things because we have learned a bit too well that it is important to remember, to archive, to keep receipts and screenshots. To create a faithful, digitized log not only of our own lives but also of those around us

we have been very good students of memory. So good that we have, I think, forgotten what all our memory is for — that it can guide us to choose justice over vengeance

Revisiting the forgotten idea of oblivion would give us permission to reconsider our unthinking overdependence on memory and perhaps to begin to let go of all the data, digital and otherwise, that we do not need

our personal and political memories, which, left to fester for too long, can corrode and transform, causing us to lose sight of their original force and feeling.

Gripped too tightly, memory can become a vengeful and violent force.

The unique power of oblivion is that it does not forgive the crimes committed on one side or the other, but rather consecrates and memorializes the profound gravity of the wrongs. It demands accountability and refuses absolution, yet it rejects the project of perpetual punishment.

Historically, appeals to oblivion offered political communities the prospect of rethinking the present, presenting a rare opportunity to re-evaluate and confront societal divisions.

In fact, the news from Wall Street lately has mostly been about retreat from climate goals, rather than recommitment. Banks and asset managers are withdrawing from international climate alliances and chafing at their rules. Regional banks are stepping up lending to fossil fuel producers. Sustainable investment funds have sustained crippling outflows, and many have collapsed.

In some cases, it’s a classic prisoner’s dilemma: If firms collectively shift to cleaner energy, a cooler climate benefits everyone more in the future

in the short term, each firm has an individual incentive to cash in on fossil fuels, making the transition much harder to achieve.

when it comes to avoiding climate damage to their own operations, the financial industry is genuinely struggling to comprehend what a warming future will mean.

A global compact of financial institutions made commitments worth $130 trillion to try to bring down emissions, confident that governments would create a regulatory and financial infrastructure to make those investments profitable. And in 2022, the Inflation Reduction Act passed.

What about the risk that climate change poses to the financial industry’s own investments, through more powerful hurricanes, heat waves that knock out power grids, wildfires that wipe out towns?

“If we think about what is going to be the best way to tilt your portfolios in the direction to benefit, it’s really difficult to do,”

“These will probably be great investments over 20 years, but when we’re judged over one to three years, it’s a little more challenging for us.”

Some firms cater to institutional clients, like public employee pension funds, that want combating climate change to be part of their investment strategy and are willing to take a short-term hit. But they aren’t a majority

And over the past couple of years, many banks and asset managers have shrunk from anything with a climate label for fear of losing business from states that frown on such concerns.

On top of that, the war in Ukraine scrambled the financial case for backing a rapid energy transition. Artificial intelligence and the movement toward greater electrification are adding demand for power, and renewables haven’t kept up

All of that is about the relative appeal of investments that would slow climate change

If you bought some of the largest solar-energy exchange-traded funds in early 2023, you would have lost about 20 percent of your money, while the rest of the stock market soared.

There is evidence that banks and investors price in some physical risk, but also that much of it still lurks, unheeded.

“I’m very, very worried about this, because insurance markets are this opaque weak link,” Dr. Sastry said. “There are parallels to some of the complex linkages that happened in 2008, where there is a weak and unregulated market that spills over to the banking system.”

Regulators worry that failing to understand those ripple effects could not just put a single bank in trouble but even become a contagion that would undermine the financial system.

But while the European Central Bank has made climate risk a consideration in its policy and oversight, the Federal Reserve has resisted taking a more active role, despite indications that extreme weather is feeding inflation and that high interest rates are slowing the transition to clean energy.

“The argument has been, ‘Unless we can convincingly show it’s part of our mandate, Congress should deal with it, it’s none of our business,’”

a much nearer-term uncertainty looms: the outcome of the U.S. election, which could determine whether further action is taken to address climate concerns or existing efforts are rolled back. An aggressive climate strategy might not fare as well during a second Trump administration, so it may seem wise to wait and see how it shakes out.

big companies are hesitating on climate-sensitive investments as November approaches, but says that “two things are misguided and quite dangerous about that hypothesis.”

One: States like California are establishing stricter rules for carbon-related financial disclosures and may step it up further if Republicans win

And two: Europe is phasing in a “carbon border adjustment mechanism,” which will punish polluting companies that want to do business there.

at the moment, even European financial institutions feel pressure from the United States, which — while providing some of the most generous subsidies so far for renewable-energy investment — has not imposed a price on carbon.

The global insurance company Allianz has set out a plan to align its investments in a way that would prevent warming above 1.5 degrees Celsius by the end of the century, if everyone else did the same. But it’s difficult to steer a portfolio to climate-friendly assets while other funds take on polluting companies and reap short-term profits for impatient clients.

“This is the main challenge for an asset manager, to really bring the customer along,” said Markus Zimmer, an Allianz economist. Asset managers don’t have sufficient tools on their own to move money out of polluting investments and into clean ones, if they want to stay in business,

“Of course it helps if the financial industry is somehow ambitious, but you cannot really substitute the lack of actions by policymakers,”

According to new research, the benefit is greater when decarbonization occurs faster, because the risks of extreme damage mount as time goes on. But without a uniform set of rules, someone is bound to scoop up the immediate profits, disadvantaging those that don’t — and the longer-term outcome is adverse for all.

Before the pandemic, a number of variables were statistically significant indicators for consumer sentiment in our model; in particular, the most salient variables appear to be vehicle sales, gas prices, median household income, the federal funds effective rate, personal savings and household expenditures (excluding food and energy).

During the pandemic, the personal savings rate soared. In April 2020, the metric was nearly double its previous high, recorded in May 1975.

All this taken together meant Americans were flush with cash but had nowhere to spend it. So despite the fact that the savings rate went way up, consumers still weren't feeling positively about the economy — contrary to the relationship between these two variables we saw in the decades before the pandemic.

Fast forward to 2024, and the personal savings rate has dropped to one of its lowest levels ever (the only time the savings rate was lower was in the years surrounding the Great Recession)

during and after the pandemic, Americans saw some of the highest rates of inflation the country has had in decades, and in a very short period of time. These sudden spikes naturally shocked many people who had been blissfully enjoying slow, steady price growth their entire adult lives. And it has taken a while for that shock to wear off, even as inflation has cre

the numbers align with our intuitive sense of how consumers process suddenly having their grocery store bill jump, as well as the findings from our model. In simple terms: Even if inflation is getting better, Americans aren't done being ticked off that it was bad to begin with.

surprisingly, our pre-pandemic model didn't find a notable relationship between housing prices and consumer sentiment

However, in our post-pandemic data, when we examined how correlated consumer sentiment was with each indicator we considered, consumer sentiment and median housing prices had the strongest correlation of all****** (a negative one, meaning higher prices were associated with lower consumer sentiment)

during the pandemic, low interest rates, high savings rates and changes in working patterns — namely, many workers' newfound ability to work from home — helped overheat the homebuying market, and buyers ran headlong into an enduring supply shortage. There simply weren't enough houses to buy, which drove up the costs of the ones that were for sale.

That's true even if a family has been able to save enough for a down payment, already a difficult task when rents remain high as well. Fewer people are able to cover their current housing costs while saving enough to make a down payment.

Low-income households are still the most likely to be burdened with high rents, but they're not the only ones affected anymore. High rents have also begun to affect those at middle-income levels as well.

In short, there was already a housing affordability crisis before the pandemic. Now it's worse, locking a wider array of people, at higher and higher income levels, out of the home-buying market

People who are renting but want to buy are stuck. People who live in starter homes and want to move to bigger homes are stuck. The conditions have frustrated a fundamental element of the American dream

In our pre-pandemic model, total vehicle sales had a strong positive relationship with consumer sentiment: If people were buying cars, you could pretty reasonably bet that they felt good about the economy. This feels intuitive — who buys a car if they think the economy

Cox Automotive also tracks vehicle affordability by calculating the estimated number of weeks' worth of median income needed to purchase the average new vehicle, and while that number has improved over the last two years, it remains high compared to pre-pandemic levels. In April, the most recent month with data, it took 37.7 weeks of median income to purchase a car, compared with fewer than 35 weeks at the end of 2019.

"Right before the pandemic, the typical average transaction price was around $38,000 for a new car. By 2023, it was $48,000," Schirmer said. This could all be contributing to the break in the relationship between car sales and sentiment, he noted. Basically, people might be buying cars, but they aren't necessarily happy about it.

Inspired by our model of economic indicators and sentiment from 1987 to 2019, we tried to train a similar linear regression model on the same data from 2021 to 2024 to more directly compare how things changed after the pandemic. While we were able to get a pretty good fit for this post-pandemic model,******* something interesting happened: Not a single variable showed up as a statistically significant predictor of consumer sentiment.

This suggests there's something much more complicated going on behind the scenes: Interactions between these variables are probably driving the prediction, and there's too much noise in this small post-pandemic data set for the model to disentangle i

Changes in the kinds of purchases we've discussed — homes, cars and everyday items like groceries — have fundamentally shifted the way Americans view how affordable their lives are and how they measure their quality of life.

Even though some indicators may be improving, Americans are simply weighing the factors differently than they used to, and that gives folks more than enough reason to have the economic blues.