Group items matching

in title, tags, annotations or url

The United States currently has the lowest minimum wage, as a proportion of its average wage, of any advanced economy,

On the other hand, two recent meta-studies (which pool together the results of multiple analyses) have found that increasing the minimum wage does not have a significant impact on employment.

The minimum wage has been a hobgoblin of economism since its origins

Think tanks including Cato, Heritage, and the Manhattan Institute have reliably attacked the minimum wage for decades, all the while emphasizing the key lesson from Economics 101: Higher wages cause employers to cut jobs.

In today’s environment of increasing economic inequality, the minimum wage is a centerpiece of political debate

The real impact of the minimum wage, however, is much less clear than these talking points might indicate.

In 1994, David Card and Alan Krueger evaluated an increase in New Jersey’s minimum wage by comparing fast-food restaurants on both sides of the New Jersey-Pennsylvania border. They concluded, “Contrary to the central prediction of the textbook model ... we find no evidence that the rise in New Jersey’s minimum wage reduced employment at fast-food restaurants in the state.”

Card and Krueger’s findings have been vigorously contested across dozens of empirical studies. Today, people on both sides of the debate can cite papers supporting their position, and reviews of the academic research disagree on what conclusions to draw.

economists who have long argued against the minimum wage, reviewed more than one hundred empirical papers in 2006. Although the studies had a wide range of results, they concluded that the “preponderance of the evidence” indicated that a higher minimum wage does increase unemployment.

The argument against increasing the minimum wage often relies on what I call “economism”—the misleading application of basic lessons from Economics 101 to real-world problems, creating the illusion of consensus and reducing a complex topic to a simple, open-and-shut case.

The profession as a whole is divided on the topic: When the University of Chicago Booth School of Business asked a panel of prominent economists in 2013 whether increasing the minimum wage to $9 would “make it noticeably harder for low-skilled workers to find employment,” the responses were split down the middle.

The idea that a higher minimum wage might not increase unemployment runs directly counter to the lessons of Economics 101

there are several reasons why the real world does not behave so predictably.

In short, whether the minimum wage should be increased (or eliminated) is a complicated question. The economic research is difficult to parse, and arguments often turn on sophisticated econometric details. Any change in the minimum wage would have different effects on different groups of peop

At the other extreme, very large employers may have enough market power that the usual supply-and-demand model doesn’t apply to them. They can reduce the wage level by hiring fewer workers

In the above examples, a higher minimum wage will raise labor costs. But many companies can recoup cost increases in the form of higher prices; because most of their customers are not poor, the net effect is to transfer money from higher-income to lower-income families.

In addition, companies that pay more often benefit from higher employee productivity, offsetting the growth in labor costs.

why higher wages boost productivity: They motivate people to work harder, they attract higher-skilled workers, and they reduce employee turnover, lowering hiring and training costs, among other things

If fewer people quit their jobs, that also reduces the number of people who are out of work at any one time because they’re looking for something better. A higher minimum wage motivates more people to enter the labor force, raising both employment and output

Finally, higher pay increases workers’ buying power. Because poor people spend a relatively large proportion of their income, a higher minimum wage can boost overall economic activity and stimulate economic growth

Even if a higher minimum wage does cause some people to lose their jobs, that cost has to be balanced against the benefit of greater earnings for other low-income workers.

Although the standard model predicts that employers will replace workers with machines if wages increase, additional labor-saving technologies are not available to every company at a reasonable cost

Nevertheless, when the topic reaches the national stage, it is economism’s facile punch line that gets delivered, along with its all-purpose dismissal: people who want a higher minimum wage just don’t understand economics (although, by that standard, several Nobel Prize winners don’t understand economics

This conviction that the minimum wage hurts the poor is an example of economism in action

one particular result of one particular model is presented as an unassailable economic theorem.

A recent study by researchers at the Cornell School of Hotel Administration, however, found that higher minimum wages have not affected either the number of restaurants or the number of people that they employ, contrary to the industry’s dire predictions, while they have modestly increased workers’ pay.

The fact that this is the debate already demonstrates the historical influence of economism

Low- and middle-income workers’ reduced bargaining power is a major reason why their wages have not kept pace with the overall growth of the economy. According to an analysis by the sociologists Bruce Western and Jake Rosenfeld, one-fifth to one-third of the increase in inequality between 1973 and 2007 results from the decline of unions.

With unions only a distant memory for many people, federal minimum-wage legislation has become the best hope for propping up wages for low-income workers. And again, the worldview of economism comes to the aid of employers by abstracting away from the reality of low-wage work to a pristine world ruled by the “law” of supply and demand.

Ukraine is also receiving vital private-sector assistance, notably the delivery of Starlink internet terminals, which are helping maintain communications

All I can do is to apply history, as there is no model from political science or economics that can really help us here.

1. Do the Russians manage to take Kyiv in a matter of two, three, four weeks or never?

At least one military analyst I respect said late last week that the Russian invasion force has around two weeks left before serious logistical and supply problems force Putin seriously to the negotiating table.

On the other hand, Western media seem over-eager to cover news of Russian reverses, and insufficiently attentive to the harsh fact that the invaders continue to advance on more than one front.

A better analogy than the Winter War with Finland may be the Soviet invasion of Afghanistan that began in December 1979.

Economic warfare between 1914 and 1918 was not a substitute for sending British armies to fight on the European continent, just as it had not been in the Napoleonic Wars against France.

What I cannot tell is whether or not these weapons and other equipment will suffice to sustain Ukrainian resistance over the coming weeks.

But the Ukrainians have no real answers to higher-altitude bombardment and missile attacks.

2. Do the sanctions precipitate such a severe economic contraction in Russia that Putin cannot achieve victory?

I have heard it said that the breadth and depth of the sanctions imposed on Russia make them unprecedented. I disagree

recalls but does not quite match the sanctions that Britain and its allies imposed on Germany at the outbreak of World War

It seems there are seven distinct historical processes at work and it’s not clear which is going fastest.

Then, as now, it was possible for an increasingly authoritarian government to impose economic controls and divert resources away from civilian consumption to the war effort, while blaming the resulting deprivation on the enemy

We should remember that those measures did not defeat Germany, however, because — like Russia today — it had the resources to be self-sufficient

no one should forget that self-sufficiency is possible for Russia, albeit at the price of severe austerity, whether it is a choice or a consequence of war.

China is able to help Russia in ways that could mitigate the economic shock, just as for years it has helped Iran to circumvent U.S. sanctions by buying its oil.

Unlike Soviet citizens, who were accustomed to a state monopoly on communications, today’s Russians have come to rely as much as we do on Big Tech. Being cut off from the metaverse may prove a more psychologically painful deprivation than shortages of imported foods.

even a 35% quarterly decline in gross domestic product does not condemn a country to military defeat if its planes can still fly and its tanks still fire rounds.

3. Does the combination of military and economic crisis precipitate a palace coup against Putin?

4. Does the risk of downfall lead Putin to desperate measures (carrying out his nuclear threat)? 

The people with the power to arrest Putin are the people he counts on to execute his arrest orders: Nikolai Patrushev, the head of the Security Council and, like Putin, a long-serving KGB officer; Sergei Naryshkin, the head of foreign intelligence; and Alexander Bortnikov, who heads the Federal Security Service, the successor to the KGB.

6. Does the West’s attention deficit disorder kick in before any of this?

If Putin’s goal was to deter members of NATO from offering direct military assistance to Ukraine, it seemed to have some effect.

Russian casualties are being caused by Ukrainians using arms supplied by multiple NATO countries, including the U.S. and Turkey, but they are mostly crossing into Ukraine from Poland. Might Putin therefore strike a target in eastern Poland — Lublin, say, or Przemysl?

he is surely more likely to do so if believes the U.S. would not immediately retaliate in kind against a Russian target. A key lesson of this entire crisis has been that indications of weakness on the U.S. side, which I discussed here last week, have emboldened Putin.

5. Do the Chinese keep Putin afloat but on the condition that he agrees to a compromise peace that they offer to broker?

My guess is that the Chinese make no serious diplomatic move until they are convinced Putin’s invasion is thoroughly bogged down in Ukraine’s spring mud.

I would not bet the fate of Ukraine on Russian internal politics.

Remarkably, one U.S. legislator told me last week that he “couldn’t recall an issue more obsessively followed and more unifying among” his constituents.

The only real significance of Western public outrage at Putin’s actions is the political pressure it exerts on Biden and other leaders to take a tougher line with Russia.

7. What is the collateral damage?

History shows that wars (much more than pandemics) are the most common cause of jumps in inflation.

The best-known recent illustration is the way wars in 1973 (Yom Kippur) and 1979 (Iran-Iraq) contributed to the great inflation of the Seventies

these price spikes are not confined to oil and gas but involve a host of other commodities. The prospect of this year’s Ukrainian grain harvest being disrupted means a significant surge in food prices, with all kinds of consequences, especially in developing countries.

A tsunami of war has struck Ukraine. Whether the Russian tide flows or ebbs in the coming weeks will do much to determine the course of world history for the rest of our lives.

Nor can we ignore the risks that may be lurking within the international financial system.

This is the first big crisis of Cold War II, which is in many ways like a mirror image of Cold War I, with China the senior partner, Russia the junior, and a hot war in Eastern Europe rather than East Asia (it was Korea’s turn in 1950).

I do not know how the crisis will turn out, but I do know it will have profound consequences for the course of the superpower contest.

If the invasion of Ukraine ends in disaster for the heroic defenders of Kyiv and their comrades, another disaster may well follow — and it could occur as far away as Taiwan. Conversely, if there is justice in the world and the disaster befalls the architect of this war, that too will give birth to some fresh and unforeseeable event.

Add these seven imponderables together and you see how profoundly important the next few weeks will be.

The failure of the administration to signal that it would retaliate is of a piece with last year’s reports that Biden’s national security team was considering ruling out first use of nuclear weapons in its new national military strategy. Nuclear missiles cease to be a deterrent if one side is unwilling to use them.

Today, however, the boot is on the other foot. Not only is Putin intimidating NATO; he may have achieved something more, namely a tacit admission by the Biden administration that it would not necessarily retaliate with nuclear weapons if Russia used them.

How did this happen? How did cultural globalization in the twentieth century travel along such a one-way path?

For the American delegates, the question belonged to the higher plane of moral principle. The delegation wanted to extend into the international sphere the classic liberal notion of press freedom, which would prohibit governments from censoring the news and enshrine the rights of journalists to access sources and to dispatch the news across borders.

Carlos Romulo, the legendary Philippine diplomat and journalist who had uncovered Japanese atrocities in his country, went so far as to call freedom of information the “touchstone of all the freedoms to which the UN is consecrated.” World War II had been horrifying in scale and severity; information barriers were believed to have played a part. Japan’s and Germany’s bids for autarky had insulated their citizens from global currents, incubated aggressive nationalism, and, from the perspective of American policymakers, driven the world into war.

The answer, Sam Lebovic’s new book, A Righteous Smokescreen: Postwar America and the Politics of Cultural Globalization, convincingly argues, largely comes down to American policy in the middle decades of the twentieth century.

But when 600 or so journalists, media magnates, and diplomats arrived in Geneva in 1948 to draft the press freedom clauses for both the U.N. Declaration of Human Rights and the International Covenant on Civil and Political Rights, definitional difficulties abounded. Between what the U.S. meant by “freedom of information” and what the rest of the world needed lay a vast expanse.

By 1949, American films made up around half of the European and Asian markets, 62 percent of the African market, 64 percent of the South American market, and three-quarters of the Central American and Pacific markets.

Back in Geneva, delegates from the global south pointed out these immense inequalities. S.A. Brelvi of India called for the wealthier nations to equitably allocate the “supplies of physical facilities and technical equipment for the dissemination of information between all countries.” But the American delegates refused the idea that global inequality itself was a barrier to the flow of information across borders. Besides, they argued, redistributive measures violated the sanctity of the press

The U.S. was able to strong-arm its notion of press freedom—a hybrid combining the American Constitution’s First Amendment and a consumer right to receive information across borders—at the conference, but the U.N.’s efforts to define and ensure the freedom of information ended in a stalemate.

The failure to redistribute resources, the lack of multilateral investment in producing more balanced international flows of information, and the might of the American culture industry at the end of the war—all of this amounted to a guarantee of the American right to spread information and culture across the globe.

But representatives of other states had more earthly concerns. The war had tilted the planet’s communications infrastructure to America’s advantage. In the late 1940s, for example, the U.S. consumed 63 percent of the world’s newsprint supply; to put it more starkly, the country consumed as much newsprint in a single day as India did over the course of a year. A materials shortage would hamper newspaper production across much of the world into at least the 1950s (though this did provide the fringe benefit of enabling political interference with the press: The CIA supplied Italian anti-Communist newspapers with newsprint in the lead-up to the 1948 election, while the U.S. occupation administration in Japan cut the allocation of newsprint to local Communist newspapers). The war had also laid low foreign news agencies—Germany’s Wolff and France’s Havas had disappeared entirely—and not a single news agency called the global south home. At the same time, America’s Associated Press and United Press International both had plans for global expansion,

The focus of A Righteous Smokescreen is broader. It is a study of both sides of the globalization ledger: As the U.S. exported its culture in astonishing amounts, it imported very little

it remained surprisingly cut off from the rest of the world. A parochial empire, but with a global reach.

Containment, Lebovic shows, wasn’t just a territorial strategy committed to holding back Soviet expansion into Europe and Asia. Rather, it began at the American border and it involved policing the flow of people and ideas that were potentially inimical to the American status quo

An Iron Curtain, to rejig Churchill’s famous speech about Soviet policies in Eastern Europe, had descended around the U.S.

can be seen in the American national security state’s efforts to block out “propaganda.”

Throughout most of the second half of the twentieth century, Americans had to seek government approval to purchase magazines, books, and even stamps from China, North Korea, Cambodia, Cuba, and Vietnam.

An untold number of parcels—untold because for several years of the program they didn’t have to notify would-be recipients that the government had decided to destroy their mail—never arrived at their American destination.

even without direct state interference, American culture had inward-looking tendencies

Few of the films shown in American cinemas were foreign (largely a result of the Motion Picture Production Code, which the industry began imposing on itself in 1934; code authorities prudishly disapproved of the sexual mores of European films)

Few television programs came from abroad (about 1 percent, in fact, in the early 1970s—compared to 12 percent in Britain and 84 percent in Guatemala)

Few newspapers subscribed to foreign news agencies. Even fewer had foreign correspondents. And very few pages in those papers were devoted to foreign affairs.

In 1910, nearly 15 percent of the American population had been born overseas, but by 1960, that portion shrank to only 5.4 percent. Similarly, bureaucrats in the burgeoning national security state kept a variety of radicals from entering and leaving the country. Since World War I, foreign anarchists, Communists, and others—ranging from German spies and saboteurs to Black internationalists—found the gate to the U.S. bolt-locked. Likewise, Americans whom the State Department identified as holding so-called “alien” beliefs were barred from the exits.

In-person contact with foreigners was limited, too, thanks to travel controls.

Two exhibitions, one in the U.S., the other in the Soviet Union: Yet neither artist could attend their own exhibition because of American border policies. The State Department had denied Picasso a visa back in 1950 on ideological grounds, and it refused to issue a passport to Kent because of his alleged sympathies for communism.

So-called “area restrictions” forbade all Americans from traveling to countries in the Communist bloc.

in the 1940s and ’50s, hundreds or even thousands of Americans—more precise data from the innards of the national security state is rather difficult to come by—were denied passports and many, many more never thought to apply for one in the first place, out of fear of what a background check might turn up.

(about half of all foreign scientists who sought to enter the U.S. in the early postwar years encountered visa difficulties).

how “actively engaged” was the U.S., really? The answer in Menand’s exploration of culture in the early Cold War is: very. Menand points to the rest of the world’s ravenous consumption of American entertainment as evidence, as well as how Americans “welcomed and adapted art, ideas, and entertainment from other countries”

as Louis Menand notes on the first page of his recent book, The Free World, it was an era in which “the United States was actively engaged with the rest of the world.”

in Lebovic’s telling, this was a narrow stream. A lot of its contents were foreign imports that had already been thoroughly Americanized.

The flow of foreign culture and ideas into the U.S. was so limited that building bridges with the rest of the world became an important impulse of the social movements of the 1960s and ’70s,

the clash is nonetheless a giant step away from globalization — and, unlike World War I, it comes at a time when the world has already been moving away from economic integration: Trade’s share of global GDP peaked in 2008, and has been falling for the past decade.

the war in Ukraine doesn’t necessarily mark sharp a break in history. But it underlines and will perhaps cement the decline of globalization.

Similarly, the U.S. and Europe got vaccinated not only before low-income countries, but also before other rich countries — because they had the production capabilities.

Eventually, the logic of geopolitical conflict entered the equation. President Xi Jinping’s “Made in China 2025” initiative, for example, isn’t about creating jobs, it’s about securing economic space for China to operate with political autonomy.

even actors more benign than Putin can see the value of autonomy.

When the Covid-19 pandemic hit, national sovereignty took precedence over free trade almost everywhere.

That decline started with a populist backlash to the Great Recession and sluggish employment growth that made the politics of saving jobs more appealing than the politics of efficiency.

Meanwhile, in the U.S., one issue on which President Joe Biden hasn’t broken with his predecessor is trade with China.

Foreign nations see this, too. The sanctions regime against Russia is both extremely tough and surprisingly non-global.

There are good reasons for all this deglobalization. But it’s important to note that it will come at a cost.

Consumers around the world reaped large benefits from a world of specialization, comparative advantage, just-in-time shipping and elaborate supply chains.

But the populist economics that powered the current wave a decade ago are basically wrong. Mass unemployment after the financial crisis was a tragic mistake of demand-side policy, not a sin of globalization. America can absolutely drill more oil and gas, build more cars and microchips, and make more steel. But there is not a vast army of unemployed people to do that work.

If the U.S. reshores a large segment of tradeable goods, then it will have fewer people left to build houses, clean teeth, cut hair, cook food and care for children and the elderly.

To meet real security imperatives, these may be prices worth paying. Make no mistake, however: There is a price.

as more countries step away from globalization, the price will get steeper. A poorer world offers fewer customers for everyone’s exports, and a world less economically connected is one in which disruptions and conflict are more thinkable.

Are these costs unavoidable? Probably.

But they can be mitigated

One alternative to importing foreign-made goods, for example, is to import foreign-born workers. In an inflationary, supply-constrained, deglobalizing world, immigrants — including the so-called “unskilled” ones who clean houses, wash dishes and pick crops — are a valuable asset.

It’s also crucial to think pragmatically about what the actual issue any given policy is trying to address

there is a world of difference between a supply chain that depends on China and one that leads to Mexico, Central America or the Caribbean.

today’s monetary policymakers understand that as we wait for supply constraints to ease, which they will eventually, the Fed can help reduce inflation by slowing growth in demand. Drawing on the lessons of the past, they also understand that by doing what is needed to get inflation under control, they can help the economy and the job market avoid much more serious instability in the future.

Markets and the public appear to understand how the Fed’s approach has changed from the earlier era I described

they suggest continued confidence that, over the longer term, the Fed will be able to bring inflation down close to its 2 percent target.

This confidence in turn makes the Fed’s job easier, by limiting the risk of an “inflationary psychology,” as Burns once put it, on the part of the public.

The degree to which the central bank will have to tighten monetary policy to control our currently high inflation, and the associated risk of an economic slowdown or recession, depends on several factors: how quickly the supply-side problems (high oil prices, supply-chain snarls) subside, how aggregate spending reacts to the tighter financial conditions engineered by the Fed and whether the Fed retains its credibility as an inflation fighter even if inflation takes a while to subside.

it is easy to forget how much we have in common as people. I can’t think of any major nation after the United States with more of a Protestant work ethic and naturally capitalist population than China.

These days, it is extremely difficult for a visiting columnist to get anyone — a senior official or a Starbucks barista — to speak on the record. It was not that way a decade ago.

The Communist Party’s hold is also a product of all the hard work and savings of the Chinese people, which have enabled the party and the state to build world-class infrastructure and public goods that make life for China’s middle and lower classes steadily better.

Beijing and Shanghai, in particular, have become very livable cities, with the air pollution largely erased and lots of new, walkable green spaces.

some 900 cities and towns in China are now served by high-speed rail, which makes travel to even remote communities incredibly cheap, easy and comfortable

Just when trust has become more important than ever between the U.S. and China, it also has become scarcer than ever. Bad trend.

China’s stability is a product of both an increasingly pervasive police state and a government that has steadily raised standards of living. It’s a regime that takes both absolute control and relentless nation-building seriously.

For an American to fly from New York’s Kennedy Airport into Beijing Capital International Airport today is to fly from an overcrowded bus terminal to a Disney-like Tomorrowland.

China got an early jump on A.I. in two realms — facial recognition technology and health records — because there are virtually no privacy restrictions on the government’s ability to build huge data sets for machine learning algorithms to find patterns.

“ChatGPT is prompting some people to ask if the U.S. is rising again, like in the 1990s,”

“I understand your feeling: You have been in the first place for a century, and now China is rising, and we have the potential to become the first — and that is not easy for you,” Hu said to me. But “you should not try to stop China’s development. You can’t contain China in the end. We are quite smart. And very diligent. We work very hard. And we have 1.4 billion people.”

Before the Trump presidency, he added: “We never thought China-U.S. relations would ever become so bad. Now we gradually accept the situation, and most Chinese people think there is no hope for better relations. We think the relationship will be worse and worse and hope that war will not break out between our two countries.”

A lot of people hesitated when I asked. Indeed, many would answer with some version of “I’m not sure, I just know that it’s THEIR fault.”

t was repeated conversations like these that got me started asking American, Chinese and Taiwanese investors, analysts and officials a question that has been nagging at me for a while: What exactly are America and China fighting about?

the real answer is so much deeper and more complex than just the usual one-word response — “Taiwan” — or the usual three-word response — “autocracy versus democracy.”

Let me try to peel back the layers. The erosion in U.S.-China relations is a result of something old and obvious — a traditional great-power rivalry between an incumbent power (us) and a rising power (China) — but with lots of new twists

One of the twists, though, is that this standard-issue great-power rivalry is occurring between nations that have become as economically intertwined as the strands of a DNA molecule. As a result, neither China nor America has ever had a rival quite like the other.

in modern times, China, like America, has never had to deal with a true economic and military peer with which it was also totally intertwined through trade and investment.

Another new twist, and a reason it’s hard to define exactly what we’re fighting about, has a lot to do with how this elusive issue of trust and the absence of it have suddenly assumed much greater importance in international affairs.

This is a byproduct of our new technological ecosystem in which more and more devices and services that we both use and trade are driven by microchips and software, and connected through data centers in the cloud and high-speed internet

so many more things became “dual use.” That is, technologies that can easily be converted from civilian tools to military weapons, or vice versa.

no one country or company can own the whole supply chain. You need the best from everywhere, and that supply chain is so tightly intertwined that each company has to trust the others intimately.

when we install the ability to sense, digitize, connect, process, learn, share and act into more and more things — from your GPS-enabled phone to your car to your toaster to your favorite app — they all become dual use, either weapons or tools depending on who controls the software running them and who owns the data that they spin off.

As long as most of what China sold us was shallow goods, we did not care as much about its political system — doubly so because it seemed for a while as if China was slowly but steadily becoming more and more integrated with the world and slightly more open and transparent every year. So, it was both easy and convenient to set aside some of our worries about the dark sides of its political system.

when you want to sell us ‘deep goods’ — goods that are dual use and will go deep into our homes, bedrooms, industries, chatbots and urban infrastructure — we don’t have enough trust to buy them. So, we are going to ban Huawei and instead pay more to buy our 5G telecom systems from Scandinavian companies we do trust: Ericsson and Nokia.”

as we’ve seen in Ukraine, a smartphone can be used by Grandma to call the grandkids or to call a Ukrainian rocket-launching unit and give it the GPS coordinates of a Russian tank in her backyard.

So today, the country or countries that can make the fastest, most powerful and most energy efficient microchips can make the biggest A.I. computers and dominate in economics and military affairs.

As more and more products and services became digitized and electrified, the microchips that powered everything became the new oil. What crude oil was to powering 19th- and 20th-century economies, microchips are for powering 21st-century economies.

When you ask them what is the secret that enables TSMC to make 90 percent of the world’s most advanced logic chips — while China, which speaks the same language and shares the same recent cultural history, makes zero — their answer is simple: “trust.”

TSMC is a semiconductor foundry, meaning it takes the designs of the most advanced computer companies in the world — Apple, Qualcomm, Nvidia, AMD and others — and turns the designs into chips that perform different processing functions

TSMC makes two solemn oaths to its customers: TSMC will never compete against them by designing its own chips and it will never share the designs of one of its customers with another.

“Our business is to serve multiple competitive clients,” Kevin Zhang, senior vice president for business development at TSMC, explained to me. “We are committed not to compete with any of them, and internally our people who serve customer A will never leak their information to customer C.”

But by working with so many trusted partners, TSMC leverages the partners’ steadily more complex designs to make itself better — and the better it gets, the more advanced designs it can master for its customers. This not only requires incredibly tight collaboration between TSMC and its customers, but also between TSMC and its roughly 1,000 critical local and global suppliers.

As the physics of chip making gets more and more extreme, “the investment from customers is getting bigger and bigger, so they have to work with us more closely to make sure they harvest as much [computing power] as they can. They have to trust you.”

China also has a foundry, Semiconductor Manufacturing International Corporation, which is partly state-owned. But guess what? Because no global chip designers trust SMIC with their most advanced designs, it is at least a decade behind TSMC.

It’s for these reasons that the erosion in U.S.-China relations goes beyond our increasingly sharp disagreements over Taiwan. It is rooted in the fact that just when trust, and its absence, became much bigger factors in international affairs and commerce, China changed its trajectory. It made itself a less trusted partner right when the most important technology for the 21st century — semiconductors — required unprecedented degrees of trust to manufacture and more and more devices and services became deep and dual use.

when American trade officials said: “Hey, you need to live up to your W.T.O. commitments to restrict state-funding of industries,” China basically said: “Why should we live by your interpretation of the rules? We are now big enough to make our own interpretations. We’re too big; you’re too late.”

Combined with China’s failure to come clean on what it knew about the origins of Covid-19, its crackdown on democratic freedoms in Hong Kong and on the Uyghur Muslim minority in Xinjiang, its aggressive moves to lay claim to the South China Sea, its increasing saber rattling toward Taiwan, its cozying up to Vladimir Putin (despite his savaging of Ukraine), Xi’s moves toward making himself president for life, his kneecapping of China’s own tech entrepreneurs, his tighter restrictions on speech and the occasional abduction of a leading Chinese businessman — all of these added up to one very big thing: Whatever trust that China had built up with the West since the late 1970s evaporated at the exact moment in history when trust, and shared values, became more important than ever in a world of deep, dual-use products driven by software, connectivity and microchips.

it started to matter a lot more to Western nations generally and the United States in particular that this rising power — which we were now selling to or buying from all sorts of dual-use digital devices or apps — was authoritarian.

eijing, for its part, argues that as China became a stronger global competitor to America — in deep goods like Huawei 5G — the United States simply could not handle it and decided to use its control over advanced semiconductor manufacturing and other high-tech exports from America, as well as from our allies, to ensure China always remained in our rearview mirror

Beijing came up with a new strategy, called “dual circulation.” It said: We will use state-led investments to make everything we possibly can at home, to become independent of the world. And we will use our manufacturing prowess to make the world dependent on our exports.

Chinese officials also argue that a lot of American politicians — led by Trump but echoed by many in Congress — suddenly seemed to find it very convenient to put the blame for economic troubles in the U.S.’s middle class not on any educational deficiencies, or a poor work ethic, or automation or the 2008 looting by financial elites, and the crisis that followed, but on China’s exports to the United States.

As Beijing sees it, China not only became America’s go-to boogeyman, but in their frenzy to blame Beijing for everything, members of Congress started to more recklessly promote Taiwan’s independence.

Xi told President Biden at their summit in Bali in November, in essence: I will not be the president of China who loses Taiwan. If you force my hand, there will be war. You don’t understand how important this is to the Chinese people. You’re playing with fire.

at some level Chinese officials now understand that, as a result of their own aggressive actions in recent years on all the fronts I’ve listed, they have frightened both the world and their own innovators at precisely the wrong time.

I don’t buy the argument that we are destined for war. I believe that we are doomed to compete with each other, doomed to cooperate with each other and doomed to find some way to balance the two. Otherwise we are both going to have a very bad 21st century.

I have to say, though, Americans and Chinese remind me of Israelis and Palestinians in one respect: They are both expert at aggravating the other’s deepest insecurities.

China’s Communist Party is now convinced that America wants to bring it down, which some U.S. politicians are actually no longer shy about suggesting. So, Beijing is ready to crawl into bed with Putin, a war criminal, if that is what it takes to keep the Americans at bay.

Americans are now worried that Communist China, which got rich by taking advantage of a global market shaped by American rules, will use its newfound market power to unilaterally change those rules entirely to its advantage. So we’ve decided to focus our waning strength vis-à-vis Beijing on ensuring the Chinese will always be a decade behind us on microchips.

I don’t know what is sufficient to reverse these trends, but I think I know what is necessary.

If it is not the goal of U.S. foreign policy to topple the Communist regime in China, the United States needs to make that crystal clear, because I found a lot more people than ever before in Beijing think otherwise.

As for China, it can tell itself all it wants that it has not taken a U-turn in recent years. But no one is buying it. China will never realize its full potential — in a hyper-connected, digitized, deep, dual-use, semiconductor-powered world — unless it understands that establishing and maintaining trust is now the single most important competitive advantage any country or company can have. And Beijing is failing in that endeavor.

In his splendid biography of the great American statesman George Shultz, Philip Taubman quotes one of Shultz’s cardinal rules of diplomacy and life: “Trust is the coin of the realm.”

Russia has undoubtedly suffered economically from the global downturn in energy prices and from economic sanctions following the annexation of the Crimea, but the degree of dependence, in particular energy dependence, that Western Europe has on Russia is highly significant.

For example, the Nord Stream pipeline laid in international waters along the Baltic from Russia to Germany, supplies a significant -- according to EU figures, 38.7% -- proportion of Western Europe's gas needs.

Russia desperately needs the foreign earnings this generates

Consequently, while the armies and individual battles might be smaller than those in World War II, the death toll, the loss of war-making material and both sides' ability to reduce everything in their paths to rubble would make a large-scale conflict far more wide-reaching and, in terms of recovery, longer-lasting than anything we have seen before.

A real-life analysis of the Russian president's actions would suggest that he is being entirely rational and that his actions are those or an arch-realist who places the needs of his country first.

It's certainly in Putin's interests that the West cuts defense spending and has a diminished appetite for brinkmanship and it is perhaps understandable that a recently retired general should push for this to be reversed.

However, NATO's forces are deployed globally to a far greater extent than Russia's. And even acknowledging that Russia could achieve a temporary military advantage in, say, the Baltic, for how long and at what price?

the likelihood of a Kursk-style pitched battle between heavy armor is highly unlikely.

Turkey, on Russia's southern border, joined the military alliance in 1952, and since the end of the Cold War, many of Russia's former Warsaw Pact allies, including Poland, the Czech Republic, Slovakia, Romania, Bulgaria and the Baltic States have signed up, too.

Such a war, employing ships, submarines and aircraft with truly global reach, would indeed be a world war and would pay scant attention to the difference between military and civilian targets: this would truly be a war among the peoples.

Despite Shirreff's warnings, the nightmare scenario of nuclear war is highly unlikely as neither side ultimately would wish to unleash destruction on that scale.

This would be total war, waged on every imaginable front, from the internet and the stock market to outer space.

Even the relatively favored areas had rainfall of just 20 to 40 centimeters (8 to 15 inches)—where 20 centimeters (8 inches) is regarded as the absolute minimum to sustain agriculture—and the national average was less than 10 centimeters (4 inches)

Considering only “agricultural Syria,” the population is about five times as dense as Ohio or Belgium, but it does not have Ohio’s or Belgium’s other means of generating income.

Syria is not just a piece of land; it is densely populated. When I first visited Syria in 1946, the total population was less than 3 million. In 2010, it reached nearly 24 million.

The bottom line is that the population/resource ratio is out of balance. While there has been a marginal increase of agricultural land and more efficient cropping with better seed, neither has kept up with population growth.

During Ottoman rule the population was organized in two overlapping ways. First, there was no “Syria” in the sense of a nation-state, but rather provinces (Turkish: pashaliqs) that were centered on the ancient cities. The most important of these were Damascus, which may be the oldest permanently settled city in the world today, and Aleppo.

throughout its centuries of rule, the Ottoman Empire generally was content to have its subjects live by their own codes of behavior. It did not have the means or the incentive to intrude into their daily lives. Muslims, whether Turk or Arab or Kurd, shared with the imperial government Islamic mores and law. Other ethnic/religious “nations” (Turkish: millet) were self-governing except in military and foreign affairs.

the same groups also moved into mainly Muslim cities and towns, where they tended to live in more or less segregated neighborhoods that resembled medieval European urban ghettos or modern American “Little Italys” or “Chinatowns.”

Since this system was spelled out in the Quran and the Traditions (Hadiths) of the Prophet, respecting it was legally obligatory for Muslims. Consequently, when the Syrian state took shape, it inherited a rich, diverse, and tolerant social tradition.

the French created a “Greater” Lebanon from the former autonomous adjunct provinces (Turkish: sanjaqs) of Mount Lebanon and Beirut. To make it their anchor in an otherwise hostile Levant, they aimed both to make it Christian-dominated and big enough to exist as a state. But these aims were incompatible: the populations they added, taken from the pashaliq of Damascus, were mainly Muslim, so the French doomed Lebanon to be a precariously unbalanced society.

the French reversed course. They united the country as defined in the mandate but attempted to change its social and cultural orientation. Their new policy aimed to supplant the common language, Arabic, with French, to make French customs and law the exemplar, to promote Catholicism as a means to undercut Islam, and to favor the minorities as a means to control the Muslim majority. It was inevitable that the native reaction to these intrusions would be first the rise of xenophobia and then the spread of what gradually became a European style of nationalism.

When French policies did not work and nationalism began to offer an alternate vision of political life, the French colonial administration fell back on violence. Indeed throughout the French period—in contrast to the relatively laissez-faire rule of the Ottoman Empire—violence was never far below the outward face of French rule.

the “peace” the French achieved was little more than a sullen and frustrated quiescence; while they did not create dissension among the religious and ethnic communities, the French certainly magnified it and while they did not create hostility to foreigners, they gave the native population a target that fostered the growth of nationalism. These developments have lingered throughout the last 70 years and remain powerful forces today.

in the years after the French were forced out, coup leader after military dictator spoke in nationalist rhetoric but failed to lead his followers toward “the good life.”

for three and a half years, Syria became a part of the United Arab Republic.

Union did not work, so in 1961 Syrians were thrown back on their own resources. A fundamental problem they faced was what it meant to be a Syrian.

The more conservative, affluent, and Westernized nationalists believed that nationhood had to be built not on a religious but on a territorial base. That is, single-state nationalism (Arabic: wataniyah) was the focus of Syria’s statehood.

Their program, however, did not lead to success; its failure opened the way for a redefinition of nationalism as pan-Arab or folk nationalism (Arabic: qawmiyah). As it was codified by the Baath Party, it required that Syria be considered not a separate nation-state but a part of the whole Arab world and be domestically organized as a unified, secular, and at least partly Westernized state. This was a particularly difficult task because the dominant Muslim community, initially as a result of French rule and later as a result of domestic turbulence and foreign interference, regarded the members of the minority communities, particularly the Jewish community, as actual or potential turncoats.

as Syrians struggled for a sense of identity and came to suspect social difference and to fear the cooperation of minorities with foreigners, being an Alawi or a Christian or a Jew put people under a cloud. So, for Hafez al-Assad, the secular, nationalist Baath Party was a natural choice

Their answer was to try to bridge the gaps between rich and poor through a modified version of socialism, and between Muslims and minorities through a modified concept of Islam. Islam, in their view, needed to be considered politically not as a religion but as a manifestation of the Arab nation. Thus, the society they wished to create, they proclaimed, should be modern (with, among other things, equality for women), secular (with faith relegated to personal affairs), and defined by a culture of “Arabism” overriding the traditional concepts of ethnicity.

The “Resurrection” (Arabic: Baath) Party had its origins, like the nationalist-communist Vietnamese movement, in France. Two young Syrians, one a Christian and the other a Sunni Muslim, who were then studying in Paris were both attracted to the grandeur of France and appalled by the weakness of Syria. Like Ho Chi Minh, they wanted to both become like France and get the French out of their nation. Both believed that the future lay in unity and socialism. For Michel Aflaq and Salah Bitar, the forces to be defeated were “French oppression, Syrian backwardness, a political class unable to measure up to the challenge of the times,”

After Assad’s assault in 1982, the Syrian city of Hama looked like the Iraqi city of Fallujah after the American assault in 2004. Acres of the city were submerged under piles of rubble. But then, like Stalingrad after the German attack or Berlin after the Russian siege, reconstruction began. In a remarkable series of moves, Hafez al-Assad ordered the rubble cleared away, built new highways, constructed new schools and hospitals, opened new parks, and even, in a wholly unexpected conciliatory gesture, erected two huge new mosques. He thus made evident what had been his philosophy of government since he first took power: help the Syrian people to live better provided only that they not challenge his rule. In his thought and actions, his stern and often-brutal monopoly of power, he may be compared to the ruling men, families, parties, and establishments of Chinese, Iranian, Russian, Saudi Arabian, Vietnamese, and numerous other regimes.

Hafez al-Assad did not need to wait for leaks of documents: his intelligence services and international journalists turned up dozens of attempts by conservative, oil-rich Arab countries, the United States, and Israel to subvert his government. Most engaged in “dirty tricks,” propaganda, or infusions of money, but it was noteworthy that in the 1982 Hama uprising, more than 15,000 foreign-supplied machine guns were captured, along with prisoners including Jordanian- and CIA-trained paramilitary forces (much like the jihadists who appear so much in media accounts of 2013 Syria). And what he saw in Syria was confirmed by what he learned about Western regime-changing elsewhere.

As Iraq “imploded” in coups beginning in 1958 and morphed into Saddam Husain’s regime, the Syrians came to regard it as an enemy second only to Israel.

During the rule of the two Assads, Syria made considerable progress. By the eve of the civil war, Syrians enjoyed an income (GDP) of about $5,000 per capita. That was nearly the same as Jordan’s, roughly double the income per capita of Pakistan and Yemen, and five times the income of Afghanistan, but it is only a third that of Lebanon, Turkey, or Iran

In 2010, savaged by the great drought, GDP per capita had fallen to about $2,900, according to UN data. Before the civil war—and except in 2008 at the bottom of the drought, when it was zero—Syria’s growth rate hovered around 2 percent,

In social affairs, nearly 90 percent of Syrian children attended primary or secondary schools and between eight and nine in 10 Syrians had achieved literacy. On these measures, Syria was comparable to Iran, Saudi Arabia, and Libya despite having far fewer resources to employ.

Like his father, Bashar sought to legitimize his regime through elections, but apparently he never intended, and certainly did not find, a way satisfactory (to the public) and acceptable (to his regime) of enlarged political participation.

The lack of political participation, fear of public demands, and severe police measures made the regime appear to be a tyranny

This and its hostility to Israel led to large-scale, if covert, attempts at regime change by outside powers including the United States. These acts of subversion became particularly pronounced during the second Bush administration.

between 2 and 3 million of Syria’s 10 million rural inhabitants were reduced to “extreme poverty.”  

Four years of devastating drought beginning in 2006 caused at least 800,000 farmers to lose their entire livelihood and about 200,000 simply abandoned their lands, according to the Center for Climate & Security. In some areas, all agriculture ceased. In others, crop failures reached 75 percent. And generally as much as 85 percent of livestock died of thirst or hunger. Hundreds of thousands of Syria’s farmers gave up, abandoned their farms, and fled to the cities and towns

Syria was already a refuge for a quarter of a million Palestinians and about 100,000 Iraqis who had fled the war and occupation. Formerly prosperous farmers were lucky to get jobs as hawkers or street sweepers. And in the desperation of the times, hostilities erupted among groups that were competing just to survive.

And so tens of thousands of frightened, angry, hungry, and impoverished former farmers were jammed into Syria’s towns and cities, where they constituted tinder ready to catch fire.

Instead of meeting with the protesters and at least hearing their complaints, the government saw them as subversives. The lesson of Hama must have been at the front of the mind of every member of the Assad regime. Failure to act decisively, Hama had shown, inevitably led to insurrection. Compromise could come only after order was assured. So Bashar followed the lead of his father. He ordered a crackdown. And the army, long frustrated by inaction and humiliated by its successive defeats in confrontation with Israel, responded violently. Its action backfired. Riots broke out all over the country. As they did, the government attempted to quell them with military force. It failed. So, during the next two years, what had begun as a food and water issue gradually turned into a political and religious cause.

we don’t know much about the rebels. Hundreds of groups and factions—called “brigades” even when they are just a dozen or so people—have been identified. Some observes believe that there are actually over 1,000 brigades. A reasonable guess is that, including both part-time and full-time insurgents, they number about 100,000 fighters.

In Syria, quite different causes of splits among the brigades are evident. To understand the insurgency there, we must look carefully at the causes. The basis is religion

During the course of the Assad regime, the interpretation of Islam was undergoing a profound change. This was true not only of Syria but also of understanding, practice, and action in many other areas of the world.

tens of thousands of young foreigners flocked to Syria to fight for what they see as a religious obligation (Arabic: fi sabili’llah).

in Syria, while many Muslims found the Assad regime acceptable and many even joined its senior ranks, others saw its Alawi and Christian affiliations, and even its secularism and openness to Muslim participation, insupportable.

The foreign jihadists, like the more recent nationalists, put their emphasis on a larger-than-Syria range. For them, it is a folk nationalism not only to the Arab world but also to the wider world of Islam, affecting a billion people across the globe. What they seek is a restored Islamic world, a Dar ul-Islam, or a new caliphate.

the aims of the two broad groups—the Syrians and the foreigners—have grown apart in a way similar to the split that occurred in Arab nationalism. The Syrians focus on Syria and seek the overthrow of the Assad regime much as their fathers and grandfathers focused on the task of getting the French out of their country—their watan. Their nationalism is single-country oriented

all the rebels regard the conflict in Syria as fundamentally a religious issue. Particularly for the native rebels, as I have pointed out, the religious issue is overlaid by ethnic complexities.

It would be a mistake to regard the Syrian war, as some outside observers have done, as a fight between the forces of freedom and tyranny. If the opponents of the regime are fighting for some form of democracy, they have yet to make their voices heard.

as in Afghanistan, they have fought one another over territory, access to arms, leadership, and division of spoils as bitterly as they have fought their proclaimed enemy. This fracturing has made them impossible to defeat—as the Russians experienced in Afghanistan—but also, so far at least, incapable of governing on a national scale. But they are moving in that direction.

All observers agree that the foreign-controlled and foreign-constituted insurgent groups are the most coherent, organized, and effective. This is little short of astonishing as they share no common language and come from a wide variety of cultures.

Paradoxically, governments that would have imprisoned the same activists in their own countries have poured money, arms, and other forms of aid into their coffers. The list is long and surprising in its makeup: it includes Turkey; the conservative Arab states, particularly Qatar and Saudi Arabia; the EU member states; and the U.S.

The United States has a long history of covertly aiding insurgents in Syria, and has engaged in propaganda, espionage, and various sorts of dirty tricks. The rebels, naturally, have regarded the aid they’ve received as insufficient, while the government has regarded it as a virtual act of war. Both are right: it has not been on a scale that has enabled the rebels to win, but it is a form of action that, had another country engaged in it, seeking to overthrow the government, any American or European administration would have regarded as an act of war under international law.

Such covert intervention, and indeed overt intervention, is being justified on two grounds, the first being that the Syrian government is a tyranny. By Western standards, it is undoubtedly an authoritarian regime

However, the standards Western nations proclaim have been applied in a highly selective way. The EU and the U.S. enjoy cordial and mutually beneficial relations with dozens of tyrannical governments including most of the countries now attempting to regime-change Syria.              

Senior rebels have publicly threatened to carry out a genocide of the country’s main ethnic/religious minority, the Alawis. Scenes being enacted in Syria today recall the massacres and tortures of the wars of religion in 16th- and 17th-century Europe.

Most urgent in the minds of the EU and the U.S. is the second justification for intervention: the Syrian government is charged with using illegal chemical weapons. This is a very serious charge. However, doubts remain about who actually used the weapons. And, more importantly, even though the weapons are indeed horrible and are now generally considered illegal, several other states (the U.S., Israel, Egypt, and Iraq) have used them. Terrible as they are, they are only a small part of the Syrian problem—more than 99 percent of the casualties and all of the property damage in the war have been the result of conventional weapons. Getting rid of chemical weapons will neither in and of itself stop the war nor create conditions favorable to a settlement.

the cost of the war has been immense. And, of course, it is not over. We have only guesses on the total so far. One estimate is that the war has cost Syria upwards of $150 billion. Whole cities now resemble Stalingrad or Berlin in World War II. More than 2 million people have fled abroad while more than 4 million are internal refugees, remaining in Syria.

Lebanon. Even though there is little fighting there, the conflict in Syria is estimated to have cost that little country about $7.5 billion and doubled unemployment to 20 percent. About 1 million Lebanese were already judged by the World Bank as “poor,” and an additional 170,000 are now thought to have been pushed into poverty. The Syrian refugee population in the country has reached at least 1 million, making Syrians now almost a third of the total Lebanese population.

In Jordan, the story is similar. Half a million refugees are camped out there. One refugee encampment in the country houses over 100,000 people and has become Jordan’s fifth-largest city

However reprehensible the Syrian government may be in terms of democracy, it has not only given refugees and minorities protection but also maintained the part of Syria that it controls as a secular and religiously ecumenical state.

Tragic as these numbers are—the worst for nearly a century—factored into them is that Syria has lost the most precious assets of poor countries: most of the doctors and other professionals who had been painstakingly and expensively educated during the last century

Even more “costly” are the psychological traumas: a whole generation of Syrians have been subjected to either or both the loss of their homes and their trust in fellow human beings. Others will eventually suffer from the memory of what they, themselves, have done during the fighting. Comparisons are trivial and probably meaningless, but what has been enacted—is being enacted—in Syria resembles the horror of the Japanese butchery of Nanjing in World War II and the massacres in the 1994 Hutu-Tutsi conflict in Rwanda.

How the victims and the perpetrators can be returned to a “normal life” will be the lingering but urgent question of coming generations in Syria and elsewhere.

one in four or five people in the world today are Muslim: roughly 1.4 billion men, women, and children. That whole portion of the world’s population has its eyes on Syria. What happens there is likely to have a ripple effect across Asia and Africa. Thus, even though it is a small and poor country, Syria is in a sense a focal point of world affairs.

Unlike the Iraq and Afghan wars, the Syrian conflict will also have a “blowback” effect on the countries from which the Muslim fundamentalist insurgents come. It is in recognition of this fact that Russian President Vladimir Putin decided to intervene in the Syrian war.

Even if fighting dies down, “lasting and bitter war,” like the wars in Iraq and Afghanistan—regardless of what American and European politicians say or even hope—will necessarily involve “boots on the ground.” That is, it will be fought with guerrilla and terrorist tactics on the rebel side against the now-typical counterinsurgency methods on the other side.

When organizations like the Chamber of Commerce or the Heritage Foundation declare that Trump’s tariffs are a bad idea, they are on solid intellectual ground: All, and I mean all, economic experts agree. But they don’t have any credibility, because these same conservative institutions have spent decades making war on expertise.

it’s hard to pivot from “pay no attention to those so-called experts who say the planet is warming” to “protectionism is bad — all the experts agree.”

Similarly, organizations like Heritage have long promoted supply-side economics, a.k.a., voodoo economics — the claim that tax cuts will produce huge growth and pay for themselves — even though no economic experts agree. So they’ve already accepted the principle that it’s O.K. to talk economic nonsense if it’s politically convenient. Now comes Trump with different nonsense, saying “trade wars are good, and easy to win.” How can they convince anyone that his nonsense is bad, while theirs was good?

Much worse and scarier things may lie ahead, because Trump isn’t just a protectionist, he’s an authoritarian. Trade wars are nasty; unchecked power is much worse, and not just for those who are poor and powerless.

The point is that it’s not just world trade that’s at risk, but the rule of law. And it’s at risk in part because big businesses abandoned all principle in the pursuit of tax cuts.

Hamas has launched more than 4,000 rockets at southern Israel — the vast majority shot down by Israeli defenses, falling short of their targets or landing in unpopulated areas. That steady onslaught appeared to slow overnight, with Israeli military officials recording 70 rockets between 7 p.m. and 7 a.m.

Israel has targeted around 1,000 sites in Gaza that it claims hold significant military value, according to Israeli military officials. However, the campaign has also caused widespread destruction of homes and critical infrastructure, displacing tens of thousands from their homes and causing dire shortages of water and medical supplies.

While fighting continued for an 11th day, it appeared to ease as the two sides indicated that they could soon reach an agreement.

Since the start of the conflict 11 days ago, Israeli airstrikes have killed more than 200 Palestinians, including over 60 children, according to the Gaza health ministry. The Israeli military said that more than 130 of those killed were combatants. Hamas rocket attacks have killed more than a dozen people in Israel, including two children, according to the Israeli authorities.

The shape of a possible cease-fire deal between Hamas and Israel started to come into clearer focus on Thursday, even as diplomats and Middle East experts cautioned that the last moments before any agreement are fraught with risk and uncertainty.

Under growing international pressure, Israel and Hamas are said to be edging toward a cease-fire that could end their deadliest conflict since a 2014 war. But the history of Israeli-Palestinian hostilities is littered with agreements that have failed to resolve the underlying disputes.

The flip side of falling rates of business investment is a slackening pace of economic growth, which economists have termed “secular stagnation.” It’s this decades-long slowdown that has generated the insecure labour force on which Uber and Lyft rely.

This fight for workers’ rights is grounded in a growing recognition that the expansion of the digital economy does not simply reflect the triumph of an unstoppable technological change. Behind Silicon Valley rhetoric, much of what appears to be technological innovation turns out to be a means of circumventing legal regulations, including minimum wage laws

That governments turned a blind eye to Uber and Lyft’s misbehaviour for so long is no surprise. Governments are complicit in making workers more vulnerable. Facing persistently slow economic growth and high rates of unemployment, governments have spent decades trying to coax companies to invest by making it easier to deny workers’ benefits and to avoid paying taxes.

By misclassifying its workers, Uber avoided paying hundreds of millions of dollars into US state unemployment insurance schemes. Yet during the Covid-19 economic crisis, Uber lobbied the federal government to step in and pay its drivers’ unemployment benefits anyway.

High rates of economic growth in the mid-20th century – the reference point for any politics that seeks to restore economic growth in the present – were premised on a historically exceptional period. The restoration of stable international trade following two world wars made possible the largest growth of economic productive capacity in human history, not just in Europe and the United States, but worldwide

By the 1970s, rapid expansion had given way to worsening global overcapacity, resulting in rising competition and falling rates of investment in internationally traded goods. People were left scrambling for work in the growing service sector, where the potential for labour productivity growth, and hence economic growth, is significantly lower.

Capitalist economies have been able to extend security to widening circles of workers only in periods of rapid economic growth, when low rates of unemployment made it possible for more and more workers to demand better wages and working conditions.

this bid to restore conditions of rapid economic growth, much like supply-side and trickle-down solutions that failed to produce generalised prosperity, was a failure. The Covid crisis has only made economic prospects less auspicious.

People need security that is not tied to their job. The pandemic has revealed this imperative more than ever before. In a world that is as wealthy as ours, and given the technologies we have already produced – even without the realisation of the dreams of automation – everyone should have access to food, energy, housing and healthcare

The owners of Uber and Lyft know that their business is predicated on a world in which they get to make the key decisions that shape our futures, without our input. The world of work is going to have to be democratised. They are just delaying what should be inevitable.

well-meaning people everywhere from statehouses to your local middle school have responded to this surging anti-Semitism by doubling down on Holocaust education. Before 2016, only seven states required Holocaust education in schools. In the past seven years, 18 more have passed Holocaust-education mandates

These casual stories sickened me in their volume and their similarity, a catalog of small degradations. At a time when many people in other minority groups have become bold in publicizing the tiniest of slights, these American Jews instead expressed deep shame in sharing these stories with me, feeling that they had no right to complain. After all, as many of them told me, it wasn’t the Holocaust.

These people talked about bosses and colleagues who repeatedly ridiculed them with anti-Semitic “jokes,” friends who turned on them when they mentioned a son’s bar mitzvah or a trip to Israel, romantic partners who openly mocked their traditions, classmates who defaced their dorm rooms and pilloried them online, teachers and neighbors who parroted conspiratorial lies. I was surprised to learn how many people were getting pennies thrown at them in 21st-century Americ

the blood libel, which would later be repurposed as a key part of the QAnon conspiracy theory. This craze wasn’t caused by one-party control over printing presses, but by the lie’s popularity

I have come to the disturbing conclusion that Holocaust education is incapable of addressing contemporary anti-Semitism. In fact, in the total absence of any education about Jews alive today, teaching about the Holocaust might even be making anti-Semitism worse.

The Illinois Holocaust Museum & Education Center is a victim of its own success. When I arrived on a weekday morning to join a field trip from a local Catholic middle school, the museum was having a light day, with only 160 students visiting

the docent established that the ’30s featured media beyond town criers, and that one-party control over such media helped spread propaganda. “If radio’s controlled by a certain party, you have to question that,” she said. “Back then, they didn’t.”

I wondered about that premise. Historians have pointed out that it doesn’t make sense to assume that people in previous eras were simply stupider than we are, and I doubted that 2020s Americans could outsmart 1930s Germans in detecting media bias. Propaganda has been used to incite violent anti-Semitism since ancient times, and only rarely because of one-party control.

The Nazi project was about murdering Jews, but also about erasing Jewish civilization. The museum’s valiant effort to teach students that Jews were “just like everyone else,” after Jews have spent 3,000 years deliberately not being like everyone else, felt like another erasur

I was starting to see how isolating the Holocaust from the rest of Jewish history made it hard for even the best educators to upload this irrational reality into seventh-grade brains.

the docent began by saying, “Let’s establish facts. Is Judaism a religion or a nationality?

My stomach sank. The question betrayed a fundamental misunderstanding of Jewish identity—Jews predate the concepts of both religion and nationality. Jews are members of a type of social group that was common in the ancient Near East but is uncommon in the West today: a joinable tribal group with a shared history, homeland, and culture, of which a nonuniversalizing religion is but one feature

Millions of Jews identify as secular, which would be illogical if Judaism were merely a religion. But every non-Jewish society has tried to force Jews into whatever identity boxes it knows best—which is itself a quiet act of domination.

“Religion, right,” the docent affirmed. (Later, in the gallery about Kristallnacht, she pointed out how Jews had been persecuted for having the “wrong religion,” which would have surprised the many Jewish converts to Christianity who wound up murdered. I know the docent knew this; she later told me she had abbreviated things to hustle our group to the museum’s boxcar.)

The docent motioned toward the prewar gallery’s photos showing Jewish school groups and family outings, and asked how the students would describe their subjects’ lives, based on the pictures.“Normal,” a girl said.“Normal, perfect,” the docent said. “They paid taxes, they fought in the wars—all of a sudden, things changed.”

the museum had made a conscious decision not to focus on the long history of anti-Semitism that preceded the Holocaust, and made it possible. To be fair, adequately covering this topic would have required an additional museum

The bedrock assumption that has endured for nearly half a century is that learning about the Holocaust inoculates people against anti-Semitism. But it doesn’t

Then there was the word normal. More than 80 percent of Jewish Holocaust victims spoke Yiddish, a 1,000-year-old European Jewish language spoken around the world, with its own schools, books, newspapers, theaters, political organizations, advertising, and film industry. On a continent where language was tightly tied to territory, this was hardly “normal.” Traditional Jewish practices—which include extremely detailed rules governing food and clothing and 100 gratitude blessings recited each day—were not “normal” either.

the idea of sudden change—referring to not merely the Nazi takeover, but the shift from a welcoming society to an unwelcoming one—was also reinforced by survivors in videos around the museum

Teaching children that one shouldn’t hate Jews, because Jews are “normal,” only underlines the problem: If someone doesn’t meet your version of “normal,” then it’s fine to hate them.

When I asked about worst practices in Holocaust education, Szany had many to share, which turned out to be widely agreed-upon among American Holocaust educators.

First on the list: “simulations.” Apparently some teachers need to be told not to make students role-play Nazis versus Jews in class, or not to put masking tape on the floor in the exact dimensions of a boxcar in order to cram 200 students into i

Szany also condemned Holocaust fiction such as the international best seller The Boy in the Striped Pajamas, an exceedingly popular work of ahistorical Christian-savior schlock

She didn’t feel that Anne Frank’s diary was a good choice either, because it’s “not a story of the Holocaust”—it offers little information about most Jews’ experiences of persecution, and ends before the author’s capture and murder.

Other officially failed techniques include showing students gruesome images, and prompting self-flattery by asking “What would you have done?

Yet another bad idea is counting objects. This was the conceit of a widely viewed 2004 documentary called Paper Clips, in which non-Jewish Tennessee schoolchildren, struggling to grasp the magnitude of 6 million murdered Jews, represented those Jews by collecting millions of paper clips

it is demeaning to represent Jewish people as office supplies.

Best practices, Szany explained, are the opposite: focusing on individual stories, hearing from survivors and victims in their own words. The Illinois museum tries to “rescue the individuals from the violence,

In the language I often encountered in Holocaust-education resources, people who lived through the Holocaust were neatly categorized as “perpetrators,” “victims,” “bystanders,” or “upstanders.” Jewish resisters, though, were rarely classified as “upstanders.

I felt as I often had with actual Holocaust survivors I’d known when I was younger: frustrated as they answered questions I hadn’t asked, and vaguely insulted as they treated me like an annoyance to be managed. (I bridged this divide once I learned Yiddish in my 20s, and came to share with them a vast vocabulary of not only words, but people, places, stories, ideas—a way of thinking and being that contained not a few horrific years but centuries of hard-won vitality and resilience

Szany at last explained to me what the dead Elster couldn’t: The woman who sheltered his sister took only girls because it was too easy for people to confirm that the boys were Jews.

I realized that I wouldn’t have wanted to hear this answer from Elster. I did not want to make this thoughtful man sit onstage and discuss his own circumcision with an audience of non-Jewish teenagers. The idea felt just as dehumanizing as pulling down a boy’s pants to reveal a reality of embodied Judaism that, both here and in that barn, had been drained of any meaning beyond persecution

Here I am in a boxcar, I thought, and tried to make it feel real. I spun my head to take in the immersive scene, which swung around me as though I were on a rocking ship. I felt dizzy and disoriented, purely physical feelings that distracted me. Did this not count as a simulation

I had visited Auschwitz in actual reality, years ago. With my headset on, I tried to summon the emotional intensity I remembered feeling then. But I couldn’t, because all of the things that had made it powerful were missing. When I was there, I was touching things, smelling things, sifting soil between my fingers that the guide said contained human bone ash, feeling comforted as I recited the mourner’s prayer, the kaddish, with others, the ancient words an undertow of paradox and praise: May the great Name be blessed, forever and ever and ever

Students at the Skokie museum can visit an area called the Take a Stand Center, which opens with a bright display of modern and contemporary “upstanders,” including activists such as the Nobel laureate Malala Yousafzai and the athlete Carli Lloyd. Szany had told me that educators “wanted more resources” to connect “the history of the Holocaust to lessons of today.” (I heard this again and again elsewhere too.) As far as I could discern, almost nobody in this gallery was Jewish.

As Szany ran a private demo of the technology for me, I asked how visitors react to it. “They’re more comfortable with the holograms than the real survivors,” Szany said. “Because they know they won’t be judged.”

t the post-Holocaust activists featured in this gallery were nearly all people who had stood up for their own group. Only Jews, the unspoken assumption went, were not supposed to stand up for themselves.

Visitors were asked to “take the pledge” by posting notes on a wall (“I pledge to protect the Earth!” “I pledge to be KIND!”)

It was all so earnest that for the first time since entering the museum, I felt something like hope. Then I noticed it: “Steps for Organizing a Demonstration.” The Nazis in Skokie, like their predecessors, had known how to organize a demonstration. They hadn’t been afraid to be unpopular. They’d taken a stand.

I left the museum haunted by the uncomfortable truth that the structures of a democratic society could not really prevent, and could even empower, dangerous, irrational rage. Something of that rage haunted me too.

the more I thought about it, the less obvious it seemed. What were students being taught to “take a stand” for? How could anyone, especially young people with little sense of proportion, connect the murder of 6 million Jews to today without landing in a swamp of Holocaust trivialization, like the COVID-protocol protesters who’d pinned Jewish stars to their shirt and carried posters of Anne Frank?

weren’t they and others like them doing exactly what Holocaust educators claimed they wanted people to do?

The 2019 law was inspired by a changing reality in Washington and around the country. In recent years, Kennedy said, she’s received more and more messages about anti-Semitic vandalism and harassment in schools. For example, she told me, “someone calls and says, ‘There’s a swastika drawn in the bathroom.’ ”

Maybe not, Kennedy admitted. “What frightens me is that small acts of anti-Semitism are becoming very normalized,” she said. “We’re getting used to it. That keeps me up at night.”“Sadly, I don’t think we can fix this,” Regelbrugge said. “But we’re gonna die trying.”

Almost every city where I spoke with Holocaust-museum educators, whether by phone or in person, had also been the site of a violent anti-Semitic attack in the years since these museums had opened

I was struck by how minimally these attacks were discussed in the educational materials shared by the museums.

In fact, with the exception of Kennedy and Regelbrugge, no one I spoke with mentioned these anti-Semitic attacks at all.

The failure to address contemporary anti-Semitism in most of American Holocaust education is, in a sense, by design

the story of the (mostly non-Jewish) teachers in Massachusetts and New Jersey who created the country’s first Holocaust curricula, in the ’70s. The point was to teach morality in a secular society. “Everyone in education, regardless of ethnicity, could agree that Nazism was evil and that the Jews were innocent victims,” Fallace wrote, explaining the topic’s appeal. “Thus, teachers used the Holocaust to activate the moral reasoning of their students”—to teach them to be good people.

The idea that Holocaust education can somehow serve as a stand-in for public moral education has not left us. And because of its obviously laudable goals, objecting to it feels like clubbing a baby seal. Who wouldn’t want to teach kids to be empathetic?

by this logic, shouldn’t Holocaust education, because of its moral content alone, automatically inoculate people against anti-Semitism?

Apparently not. “Essentially the moral lessons that the Holocaust is often used to teach reflect much the same values that were being taught in schools before the Holocaust,”

(Germans in the ’30s, after all, were familiar with the Torah’s commandment, repeated in the Christian Bible, to love their neighbors.) This fact undermines nearly everything Holocaust education is trying to accomplish, and reveals the roots of its failure.

One problem with using the Holocaust as a morality play is exactly its appeal: It flatters everyone. We can all congratulate ourselves for not committing mass murder.

This approach excuses current anti-Semitism by defining anti-Semitism as genocide in the past

When anti-Semitism is reduced to the Holocaust, anything short of murdering 6 million Jews—like, say, ramming somebody with a shopping cart, or taunting kids at school, or shooting up a Jewish nonprofit, or hounding Jews out of entire countries—seems minor by comparison.

If we teach that the Holocaust happened because people weren’t nice enough—that they failed to appreciate that humans are all the same, for instance, or to build a just society—we create the self-congratulatory space where anti-Semitism grow

One can believe that humans are all the same while being virulently anti-Semitic, because according to anti-Semites, Jews, with their millennia-old insistence on being different from their neighbors, are the obstacle to humans all being the same

One can believe in creating a just society while being virulently anti-Semitic, because according to anti-Semites, Jews, with their imagined power and privilege, are the obstacle to a just society

To inoculate people against the myth that humans have to erase their differences in order to get along, and the related myth that Jews, because they have refused to erase their differences, are supervillains, one would have to acknowledge that these myths exist

To really shatter them, one would have to actually explain the content of Jewish identity, instead of lazily claiming that Jews are just like everyone else.

one of several major Holocaust-curriculum providers, told me about the “terrible Jew jokes” she’d heard from her own students in Virginia. “They don’t necessarily know where they come from or even really why they’re saying them,” Goss said. “Many kids understand not to say the N-word, but they would say, ‘Don’t be such a Jew.’ ”

There’s a decline in history education at the same time that there’s a rise in social media,”

“We’ve done studies with our partners at Holocaust centers that show that students are coming in with questions about whether the Holocaust was an actual event. That wasn’t true 20 years ago.”

Goss believes that one of the reasons for the lack of stigma around anti-Semitic conspiracy theories and jokes is baked into the universal-morality approach to Holocaust education. “The Holocaust is not a good way to teach about ‘bullying,’ 

Echoes & Reflections’ lesson plans do address newer versions of anti-Semitism, including the contemporary demonization of Israel’s existence—as opposed to criticism of Israeli policies—and its manifestation in aggression against Jews. Other Holocaust-curriculum providers also have material on contemporary anti-Semitism.

providers rarely explain or explore who Jews are today—and their raison d’être remains Holocaust education.

Many teachers had told me that their classrooms “come alive” when they teach about the Holocaust

Holocaust-education materials are just plain better than those on most other historical topics. All of the major Holocaust-education providers offer lessons that teachers can easily adapt for different grade levels and subject areas. Instead of lecturing and memorization, they use participation-based methods such as group work, hands-on activities, and “learner driven” projects.

A 2019 Pew Research Center survey found a correlation between “warm” feelings about Jews and knowledge about the Holocaust—but the respondents who said they knew a Jewish person also tended to be more knowledgeable about the Holocaust, providing a more obvious source for their feelings

In 2020, Echoes & Reflections published a commissioned study of 1,500 college students, comparing students who had been exposed to Holocaust education in high school with those who hadn’t. The published summary shows that those who had studied the Holocaust were more likely to tolerate diverse viewpoints, and more likely to privately support victims of bullying scenarios, which is undoubtedly good news. It did not, however, show a significant difference in respondents’ willingness to defend victims publicly, and students who’d received Holocaust education were less likely to be civically engaged—in other words, to be an “upstander.”

These studies puzzled me. As Goss told me, the Holocaust was not about bullying—so why was the Echoes study measuring that? More important, why were none of these studies examining awareness of anti-Semitism, whether past or present?

One major study addressing this topic was conducted in England, where a national Holocaust-education mandate has been in place for more than 20 years. In 2016, researchers at University College London’s Centre for Holocaust Education published a survey of more than 8,000 English secondary-school students, including 244 whom they interviewed at length.

The study’s most disturbing finding was that even among those who studied the Holocaust, there was “a very common struggle among many students to credibly explain why Jews were targeted” in the Holocaust—that is, to cite anti-Semitism

“many students appeared to regard [Jews’] existence as problematic and a key cause of Nazi victimisation.” In other words, students blamed the Holocaust on the Jews

This result resembles that of a large 2020 survey of American Millennials and Gen Zers, in which 11 percent of respondents believed that Jews caused the Holocaust. The state with the highest percentage of respondents believing this—an eye-popping 19 percent—was New York, which has mandated Holocaust education since the 1990s.

Worse, in the English study, “a significant number of students appeared to tacitly accept some of the egregious claims once circulated by Nazi propaganda,” instead of recognizing them as anti-Semitic myths.

One typical student told researchers, “Is it because like they were kind of rich, so maybe they thought that that was kind of in some way evil, like the money didn’t belong to them[;] it belonged to the Germans and the Jewish people had kind of taken that away from them?

Another was even more blunt: “The Germans, when they saw the Jews were better off than them, kind of, I don’t know, it kind of pissed them off a bit.” Hitler’s speeches were more eloquent in making similar points.

One of the teachers I met was Benjamin Vollmer, a veteran conference participant who has spent years building his school’s Holocaust-education program. He teaches eighth-grade English in Venus, Texas, a rural community with 5,700 residents; his school is majority Hispanic, and most students qualify for free or reduced-price lunch. When I asked him why he focuses on the Holocaust, his initial answer was simple: “It meets the TEKS.”

The TEKS are the Texas Essential Knowledge and Skills, an elaborate list of state educational requirements that drive standardized testing

it became apparent that Holocaust education was something much bigger for his students: a rare access point to a wider world. Venus is about 30 miles from Dallas, but Vollmer’s annual Holocaust-museum field trip is the first time that many of his students ever leave their town.

“It’s become part of the school culture,” Vollmer said. “In eighth grade, they walk in, and the first thing they ask is, ‘When are we going to learn about the Holocaust?’

Vollmer is not Jewish—and, as is common for Holocaust educators, he has never had a Jewish student. (Jews are 2.4 percent of the U.S. adult population, according to a 2020 Pew survey.) Why not focus on something more relevant to his students, I asked him, like the history of immigration or the civil-rights movement?

I hadn’t yet appreciated that the absence of Jews was precisely the appeal.“Some topics have been so politicized that it’s too hard to teach them,” Vollmer told me. “Making it more historical takes away some of the barriers to talking about it.”

Wouldn’t the civil-rights movement, I asked, be just as historical for his students?He paused, thinking it through. “You have to build a level of rapport in your class before you have the trust to explore your own history,” he finally said.

“The Holocaust happened long ago, and we’re not responsible for it,” she said. “Anything happening in our world today, the wool comes down over our eyes.” Her colleague attending the conference with her, a high-school teacher who also wouldn’t share her name, had tried to take her mostly Hispanic students to a virtual-reality experience called Carne y Arena, which follows migrants attempting to illegally cross the U.S.-Mexico border. Her administrators refused, claiming that it would traumatize students. But they still learn about the Holocaust.

Student discomfort has been a legal issue in Texas. The state’s House Bill 3979, passed in 2021, is one of many “anti-critical-race-theory” laws that conservative state legislators have introduced since 2020. The bill forbade teachers from causing students “discomfort, guilt, anguish, or any other form of psychological distress on account of the individual’s race or sex,” and also demanded that teachers introduce “diverse and contending perspectives” when teaching “controversial” topics, “without giving deference to any one perspective.

These vaguely worded laws stand awkwardly beside a 2019 state law mandating Holocaust education for Texas students at all grade levels during an annual Holocaust Remembrance Week

the administrator who’d made the viral remarks in Southlake is a strong proponent of Holocaust education, but was acknowledging a reality in that school district. Every year, the administrator had told Higgins, some parents in her district object to their children reading the Nobel laureate Elie Wiesel’s memoir Night—because it isn’t their “belief” that the Holocaust happened.

In one model lesson at the conference, participants examined a speech by the Nazi official Heinrich Himmler about the need to murder Jews, alongside a speech by the Hebrew poet and ghetto fighter Abba Kovner encouraging a ghetto uprising. I only later realized that this lesson plan quite elegantly satisfied the House bill’s requirement of providing “contending perspectives.”

The next day, I asked the instructor if that was an unspoken goal of her lesson plan. With visible hesitation, she said that teaching in Texas can be like “walking the tightrope.” This way, she added, “you’re basing your perspectives on primary texts and not debating with Holocaust deniers.” Less than an hour later, a senior museum employee pulled me aside to tell me that I wasn’t allowed to interview the staff.

Many of the visiting educators at the conference declined to talk with me, even anonymously; nearly all who did spoke guardedly. The teachers I met, most of whom were white Christian women, did not seem to be of any uniform political bent. But virtually all of them were frustrated by what administrators and parents were demanding of them.

Two local middle-school teachers told me that many parents insist on seeing reading lists. Parents “wanting to keep their kid in a bubble,” one of them said, has been “the huge stumbling block.”

“It is healthy to begin this study by talking about anti-Semitism, humanizing the victims, sticking to primary sources, and remaining as neutral as possible.”

Wasn’t “remaining as neutral as possible” exactly the opposite of being an upstander?

In trying to remain neutral, some teachers seemed to want to seek out the Holocaust’s bright side—and ask dead Jews about i

We watched a brief introduction about Glauben’s childhood and early adolescence in the Warsaw Ghetto and in numerous camps. When the dead man appeared, one teacher asked, “Was there any joy or happiness in this ordeal? Moments of joy in the camps?”

These experiences, hardly unusual for Jewish victims, were not the work of a faceless killing machine. Instead they reveal a gleeful and imaginative sadism. For perpetrators, this was fun. Asking this dead man about “joy” seemed like a fundamental misunderstanding of the Holocaust. There was plenty of joy, just on the Nazi side.

In the educational resources I explored, I did not encounter any discussions of sadism—the joy derived from humiliating people, the dopamine hit from landing a laugh at someone else’s expense, the self-righteous high from blaming one’s problems on others—even though this, rather than the fragility of democracy or the passivity of bystanders, is a major origin point of all anti-Semitism

To anyone who has spent 10 seconds online, that sadism is familiar, and its source is familiar too: the fear of being small, and the desire to feel big by making others feel small instead.