Category Archives: revitalizing the left

why “liberal” can sound like “upper-class”

In an article reporting The New York Times‘ recent battleground state polls, Lisa Lerer and Ruth Igielnik quote Jonathan Ball, a Michigan floor-installer:

[He] said he believed Mr. Trump would do more to help working Americans than Ms. Harris. “I think she’s more liberal. I just don’t think she’s all for the middle class,” said Mr. Ball, 46, who plans to support Mr. Trump for a third time this fall. “I just see her one-sided. You know, for the rich.”

I don’t know how many people associate being liberal with being from (or for) the rich. I would like to see survey data specifically on that question, which would allow us to measure the prevalence of this view in various parts of the electorate. But we know that Mr. Ball’s view is not unique. In her book American Made: What Happens to People When Work Disappears, Farah Stockman discusses an Indiana industrial worker who divides the world between workers (such as himself) and capitalists, urges his union to fight the company, and votes for Trump. His wife is more favorable to management. On that basis, he categorizes her as a “liberal.” I’ve heard real people say the same kind of thing myself.

I grew up believing the opposite: that liberals were more favorable to workers than conservatives were. I acknowledge that this assumption is debatable. Libertarians argue that liberal policies are especially costly to working people. Socialists may distinguish bourgeois liberalism from more radical reform and sometimes see liberals as the main obstacles to social justice. But I doubt either framework is driving these workers’ interpretation of liberalism as favorable to the upper class.

Here is an alternative theory. If you are a worker and a consumer, you are always being notified of rules and policies that constrain and modify your behavior. Some of these rules result from governmental policies that I would code as “liberal.” For instance, the state might pass a law that results in your HR department warning you against sexual harassment. Some of the rules come from government but are not especially liberal, e.g., Don’t use marijuana. And many are not due to the government at all. For example, the same HR department that warns you not to sexually harass your colleagues also warns you not to take unauthorized breaks and not to use the company’s equipment for private purposes.

The tone, format, and consequences of all these rules are similar. The same people deliver and enforce them. These people are managers: white-collar workers with college degrees, sometimes from the corporate HQ in a big coastal city.

They talk and act rather like the most prominent advocates of liberal policies. First of all, politicians in general come from the same professions that set and enforce rules in the workplace. Nicholas Carnes notes that 75% of members of Congress were lawyers or business owners before they ran for office, compared to less than 2% who “came [directly] from working class occupations. … Even districts where working-class people make up disproportionate shares of voters seldom elect working-class politicians” (Carnes 2011). And, among politicians, Democrats are perhaps especially likely to sound like upper management. For instance, Democrats now represent the 17 richest congressional districts.

You’d have to be very politically sophisticated to separate the directives that result from liberal (or progressive, or leftist) governmental policies from those that are meant to profit the company. They all sound like the wishes of highly-educated and well-paid people at corporate headquarters. And the national leaders who advocate for the policies that are liberal sound just the same as your corporate managers.

Regulations can be beneficial and even necessary, but they are not very transparent. It is hard for the recipients to understand who is responsible for a given regulation; and legislators can’t be sure who will be affected, or how. Laws must go through regulatory agencies, courts, and private offices (like a corporation’s HR department) before they reach the people who are regulated, by which time the legislators who voted for them may not recognize the results. And workers and consumers receive a constant stream of directives that reflect companies’ wishes rather than legal mandates.

I am more enthusiastic about taxing and spending as tools of public policy. And I prefer direct, transparent taxes, especially taxes on personal income, rather than sales taxes, tariffs, or corporate income taxes, which have opaque and unpredictable costs for various people. We should be able to say: We compelled these people to pay this proportion of their incomes to buy these goods, which include new jobs for working people.

As long as we deputize private actors to regulate behavior, we must try to mitigate the resulting confusions. Small steps may be worth taking, like nominating Tim Walz instead of yet another big-city lawyer to be a face of the Democratic Party. But the problem may be endemic to the administrative state, in which case it requires more than cosmetic changes.

See also a conversation with Farah Stockman about American Made: What Happens to People When Work Disappears; class inversion as an alternative to the polarization thesis; beyond Chevron

Social class in the 2024 UK general election

UK election results by social class

One of my obsessions is the social-class inversion that has been visible in several countries in the 21st century, in which parties of the left draw their strongest support from highly educated, “professional” voters and those on the right appeal best to the working class. Under those circumstances, left parties will block bold economic initiatives (which would cost their voters), and right parties may offer ethno-nationalism and authoritarianism, since libertarian economic policies have little relevance to workers. This is potentially a road to fascism.

The full exit polls from yesterday's UK election do not seem to be available yet (I assume they are still embargoed for the media companies that subscribe to Ipsos' service), so I have used Ipsos' final pre-election survey as a rough substitute. The interactive graphic above lets you see each party's support by social class.

The image above this post simplifies matters by grouping the Tories and Reform as "all right," and Labour, the Liberal Democrats, the Greens, and the Scottish and Welsh nationalists as "all left."

You can see evidence here of a class inversion, but it is not as dramatic as in some 21st century elections. The Reform and Green parties illustrate the pattern best, drawing their support (respectively) from the bottom and the top of the social class structure. The Conservatives perform best at the bottom, but only by a bit. In all, the right does considerably better among semi-skilled and unskilled workers than among managers and professionals, but Labour holds its own across all categories, blurring the pattern.

I would argue that Labour must pursue policies that benefit the lowest social class category, not only for social justice but also to reverse the class inversion that threatens democracy itself.

See also: social class inversion in the 2022 US elections;  class inversion as an alternative to the polarization thesissocial class in the French election.

an abundance agenda

Not for the clashing of sabres,
For carnage nor for strife;
But songs to thrill the hearts of men
With more abundant life.

-- from Songs for the People by Frances Ellen Watkins Harper

To become a more just and sustainable society, we must produce a lot. For instance, to improve affordability and address homelessness, we need much more housing. One estimate claims that we need 7.3 million additional lower-cost rental units. But the graph above this post shows a long-term decline in new housing starts per capita.

We also need windmills and solar panels, more and better transmission lines, batteries, electric vehicles, commuter railway lines and intermodal transit points, heat pumps, and urban trees.

All this production will weigh on the environment, but I don’t see any path to a sustainable economy that doesn’t involve first making a lot of new things that replace the machines we depend on now.

The graph below shows rising production of renewables along with steady production of oil and coal. We need the former to accelerate, which should also push the latter down:

Trends in oil and gas production and renewable energy production, from St Louis Fed.

Regulation is important for health, safety, and other values, but it doesn’t produce stuff. Regulation can be a barrier to production, although the severity of that problem is open to debate. Certainly, regulations must be smart, efficient, and mutually consistent.

Redistribution is necessary to address inequities, but it is not the way to create abundance. To be sure, when disadvantaged people receive support, they are able to buy things, but that may not boost the total supply of the things we need. Besides, once we produce more, we can choose to distribute more.

Governments can boost supply by buying things. The massive Biden investments in green technologies and microchip manufacturing are at least well intentioned and may turn out to be crucial. However, the private sector is going to produce most of what we need, even if governments are important customers or investors. The question is how to expand the private production of good things, such as affordable housing and renewable power.

Steve Teles and Ron Saldin discuss an abundance agenda in political terms, presenting it as a response to certain tendencies on both right and left. They argue that abundance may create a new alignment and counter partisan polarization, which is rooted in zero-sum competition. They compare an abundance agenda to the Progressive Movement, which formed strong factions within both major parties. In the 1912 general election, three presidential candidates competed to be the best progressive, offering different but comparable interpretations of what progressivism meant.

Progressivism wasn’t about abundance, but their analogy is political. An abundance agenda could scramble the political spectrum today, as progressivism did from 1900-1924. Teles and Saldin argue that only the Democratic Party is really hospitable to abundance right now, for Trump has a “hold on the GOP.” But they envision a somewhat longer timeframe.

I find their political analysis interesting, and I am open to the argument that abundance could counter hyper-partisanship. However, I would separate political arguments from substantive policy issues. For the good of people and the planet, we must produce a lot more good things very soon, and that goal should determine our political strategies. In other words, we shouldn’t produce more to reduce polarization, but scrambling the political spectrum might help us to produce more of what we need.

See also: tracking the Biden climate investments; the major shift in climate strategy; class inversion as an alternative to the polarization thesis; The New Progressive Era.

calling youth to government service

According to the 2020 American National Election Study, 63% of people under 30 thought that the government should be doing “more things,” versus just 37% who thought it should “do less.” Yet few young Americans even consider working in the civil service.

At Harvard’s Kennedy School of Government, where “Ask what you can do for your country” is engraved on the wall, 44% of the graduating class of 2022 took jobs in the private sector, 22% for nonprofits, and 28% for any government. From my beloved Tufts University, where students tend to be very idealistic, 6% of the undergraduate class of 2022 will work for “Government, Law, Public Policy, [or a] Think Tank.” I suspect public sector employment represents a small proportion of that 6%.

The role of the federal government expanded substantially in 2021-2 with the passage of the $1.9 trillion American Rescue Plan, the $739 billion Inflation Reduction Act, and the $280+ billion CHIPS Act. Yet young people have not heard a call to go to Washington to make these new programs work.

Some colleges and universities produce large numbers of public employees, especially teachers and law enforcement personnel. I am grateful to them and believe that a degree of class bias explains why such jobs are less popular at institutions like Tufts and Harvard. Still, the civil service is a different category than regular public sector employment. At several points in our history, government service has attracted people who have advantages and cultural capital. Not so today.

Some reasons are on the demand side. The Partnership for Public Service says that the federal “hiring process is long and complicated,” the “pay system is antiquated,” and “opportunities for young people are hidden and scarce.” The Partnership and others–including some civil servants–are working on those problems. It’s easy for me to criticize without helping with the solutions. But these challenges need attention.

The supply side is also important (and more related to my work). Recent college graduates are not just avoiding public sector careers because of clunky hiring processes and antiquated pay grades. Many of them are against it.

From one direction, there are lots of left-wing students who might (or might not) vote for Bernie Sanders and his promise to expand government, yet who deeply distrust the national government of the USA. For them, the word “state” often comes with adjectives like “carceral,” “neoliberal” or “colonial.” Why work for that kind of organization?

From the opposite direction, I think many people have absorbed the lessons of public choice theory, which is presumptively skeptical about government.

Antony Downs offers a classic statement (Downs 1957). He writes that no economist would “advise monopoly corporations to increase social welfare by cutting prices.” We assume that a corporation is self-serving, and we consider changing its incentives by boosting competition or regulating it. Nevertheless, Downs says, people routinely call on government to maximize the public good without considering the motives of the people who actually operate the government (p. 283). This is naive.

Downs acknowledges that some individuals act altruistically, but he makes the simplifying assumption that people generally direct their own behavior “toward selfish ends” (p. 27). That premise leads him to the following assumptions about government: politicians and parties try to gain and retain office, bureaucrats strive to expand their budgets and personnel allotments, and citizens collect political information and vote only insofar as that will benefit them personally. “They treat policies purely as means to the attainment of private ends” (p. 28).

There is then little point in advising a government to do better. The only strategies that can work are to alter the incentives of public employees or to reduce the size of the state.

Downs assumes bounded rationality and limited cognitive capacity, but he emphasizes people’s selfishness. In An Economic Theory of Democracy, he never cites his contemporary, Friedrich Hayek, for whom cognitive limitations were more important than bad motivations. For Hayek, the main problem with government is that it cannot know how to allocate resources, because understanding a whole society is just too hard. In contrast, markets generate reliable signals in the form of prices.

My view is that both left-wing anti-institutionalism and public choice theory offer genuine insights. They both conflict with social democratic theories, which are similar to the ideals of the New Deal and Great Society and Biden’s “Build Back Better” agenda.

In that case, one might ask which theory is right, but that’s not how I would proceed. I acknowledge that there are truly bad ideologies–based on immoral premises–that are very unlikely to yield beneficial results. Leaving those ideologies aside, I see grand social theories less as hypotheses that can be proven true or false (or right or wrong) than as forces that motivate and orient people.

A social democratic ideal can draw people to work for (or alongside) a national government and to build excellent public programs. A critique of government can inspire people to build private-sector alternatives that also do good. Although it’s worth thinking critically about these contrasting assumptions and predictions, much more depends on who responds to each ideal and what they do together.

The example I give in What Should We Do? (2022) is public schooling. Movements for universal public education arose in countries like Prussia and the USA during the 1800s. It was never true–nor was it false–that mandatory, public funded schools are good for children or a society. Some are good, some are not. The public education movement, however, had inspiring ideals, and it launched the professions of teaching, educational research, educational administration, and teacher education.

Since then, people in those professions and their allies have tried to make public schools work. At times–being human–they have failed or have even failed to try. Reform movements have arisen that offer various prescriptions, such as progressive pedagogy, choice and competition, or measurement and accountability. Again, I doubt that any of these prescriptions is right or wrong, but each has created a new field of practice and new organizations that have done some degree of good (and harm).

By the same token, the competence, fairness, and responsiveness of government are variables, not constants. Some bureaucracies behave worse than in Downs’ model, because he explicitly assumes (p. 30) that officials will follow laws, which is often not the case. But some public agencies perform much better than he would anticipate, because they attract talent and develop impressive professional cultures. Downs’ assumption of selfishness is a priori, not empirical. Real people go into public service for a variety of complex reasons, some quite impressive. (By the way, if they were strictly motivated by economic self-interest, they wouldn’t serve at all.)

Allocating enough money matters, and the Biden spending bills are helping with that. But as long as Congress is a poor deliberative body, and as long as federal agencies are sclerotic and distant, the money will not be spent very well. Cash alone will not maximize social or environmental outcomes, and it definitely will not raise public support for government. Nothing alienates more than an unresponsive bureaucracy, even it sends you a check.

What we need now is a large, energetic, youthful, and diverse movement that wants to transform government to be more effective, wise, and responsive. That movement would not negate the insights of leftwing anti-institutionalism or of public choice theory, but it would treat those ideas as diagnoses and would look for cures.

Source: Downs, Anthony, An Economic Theory of Democracy (Addison Wesley 1957). See also the Green New Deal and civic renewal; using federal spending to strengthen democracy; putting the civic back in civil service; on the Deep State, the administrative state, and the civil service.

Regan and Biden approval ratings through day 913 of their respective administrations.

1984 all over again? The Reagan/Biden analogy

The Biden team is preparing for a Reagan-style victory lap in the event that the economy looks healthy in 2024. I hope they are also prepping for more difficult circumstances, since the economic forecast is highly uncertain. However, for what it’s worth, Morgan Stanley “now projects 1.9% GDP growth for the first half of this year.”

These are my prior assumptions:

  1. A president has limited and ambiguous impact on macroeconomic trends. Too many other factors matter, from the Federal Reserve and Congress to the business cycle, and from wars and technological developments to the budgets of 50 states.
  2. Although many people vote on other grounds, enough marginal voters are influenced by recent changes in the economy that those trends predict the results of presidential elections.
  3. People cite the economic and electoral fortunes of each presidential administration to support their ideological positions. For instance, the apparent successes of FDR and Reagan were used to vindicate New Deal liberalism and neoliberalism, respectively.
  4. Economic trends influence public opinion, but they do not determine the outcome of the debate about ideology. Eisenhower, Clinton, and Obama are examples of presidents who saw healthy net economic growth and were reelected, yet their administrations did not move public opinion as FDR’s and Reagan’s did. The big shifts in opinion seem to reflect changes in the Zeitgeist, not just electoral and economic developments.

Applying #1 means that Biden’s policies will not affect the economy much in 2024, even though Morgan Stanley believes that he is responsible for the upturn. According to #2, Biden will win pretty easily if growth is robust but could lose to Trump or another Republican if it stalls.

Per #3, if the economy grows and Biden wins, the President and many Democrats will argue that the reason was his industrial policy, which is aggressive, green, and pro-equity. I favor the policy, so I will be hoping that this argument sticks, even though I believe that macroeconomic trends are out of his hands.

If the case for Bidenomics does persuade, it will be thanks to the Zeitgeist. To make that explanation a little less mystical, I would focus on two factors.

First, the previously dominant neoliberal view really is fading now, much as late-Victorian laissez-faire was faltering by 1932 and New Deal liberalism had run its course by 1980. By a certain point, established theories don’t offer plausible solutions to the problems of the day, but alternatives do. By the time FDR took office, his home state of New York and several others had already moved in the direction of the New Deal; Roosevelt took the opportunity to bring their ideas to Washington. Likewise for Reagan in 1980–and for Biden in 2020. Indeed, Trump is no neoliberal, and there will probably be no national candidate who runs on cutting taxes and spending.

Second, the demographic basis of politics has shifted. I avoid crude materialistic and class-based predictions, yet the people who have the most to gain from low taxes and light regulation are business owners and investors. They are now outweighed in the GOP (which they once controlled) by working-class voters. They are represented in the Democratic Party, but outweighed there, too, by diverse lower-income voters, public sector workers, and salaried professionals.

The tectonic plates are shifting, and it’s at such moments that presidential administrations become examples or even metaphors for fundamental change. We had a “new deal for America” and then saw “morning in America” once the actual New Deal state faltered. The opportunity to make another such shift is a good reason to run a celebratory campaign in 2024–if (but only if) the economy holds up.

See also: federal spending for both climate and democracy