Some Monday Links, in feary tales

Two sleeping beauties (the one has probably awaken), Pinocchio, and France.

Economic transitions aren’t transitory (The Hill)

Adam Posen is hardly an inflation alarmist. UK, 10 years ago. A nascent recovery and an inflation surge had Bank of England split on the way forward. He alone, as a member of the institution’s monetary policy committee, argued for more stimulus, deeming – correctly, with the benefit of hindsight – the inflation overshoot as temporary. That was in a world still relatively new in lowflation, central bank QE programs and suppressed interest rates, mind you. Today, he thinks quite different for the US.

Property is not (just) private (Verfassungsblog)

A ghost in the shell of German constitution haunts Berlin – the ghost of socialization. Article 15, which enables it, “has survived the decades, preserved and untouched and peculiarly history-less: no cases, no judgments, hardly any academic, economic and political interest”. Until now.

Why the French are revolting (UnHerd)

On pissed off French and their fighting chops (indeed, the Hellenic Military Academy, seemingly one of the world’s finest, was founded on French standards back in 1828). The author somehow missed that the French national anthem, La Marseillaise, is a literal call-to-arms.

Is the Original Pinocchio Actually About Lying and Very Long Noses? (Literary Hub)

About the famous work of a not-so-famous, disillusioned liberal in the freshly unified Italy of latter 19th century. Sheds some light at the sinister backdrop of the era (poverty, child labor and the like).

Nightcap

  1. Art and exile in the Third Republic Hannah Stamler, the Nation
  2. Spending on infrastructure doesn’t always end well Richard White, Conversation
  3. Kabul and Chicago NEO, Nebraska Energy Observer
  4. The price of Tucker Carlson’s soul Andrew Sullivan, Weekly Dish

Some Monday Links

(US) inflation?

YES — Is the Fed Getting Burned Again? (Project Syndicate)

NO — In the Fed We Trust (Foreign Affairs)

TENTATIVE — Is the Phillips Curve Back? When Should We Start to Worry About Inflation? (Niskanen Center)

The dimming of the light (Aeon). Adds some color to this brief-but-thick (and somewhat pessimistic) exchange with Jacques Delacroix.

Fast Cars, Wide Roads, Blue Skies: Vintage Postcards From Across America (Flashbak)

Monday’s frivolous, flimsy, frail flailings

Or, some Monday links on flavors, figurative flags and fails

I mean, it would be impossible to have a business like this in the States, a wood-burning fire – illegal, the meat – illegal, the dog – illegal, the cheese sitting out uncovered – illegal. Basically, everything that makes this place good would be illegal in the United States.

Anthony Bourdain: No Reservations ep. 1 – 01 France: Why the French don’t suck (Jul. 2005)

The other day, Brandon highlighted (the review of) a cultural history book, one that documents the postwar shift of cultural gravitas from Paris to New York. So, the talk is about the big league, the respectful duo of countries that gave us, among other things, modern constitutionalism and an understanding of the natural hue of fundamental rights. Here, I venture to present a sincere, if arbitrary (and somewhat superficial, since I never learned French, to my mother’s disappointment) selection of other Franco-American bites, that shadowed greater trends, or even shaped them.

160 years ago, chef Charles Ranhofer, a Frenchman, traveled to the US for a second time. A year and a false dawn at another premise after, he was hired at Delmonico’s in New York, an already established name. There, he proceeded in making it the definite flagship of American fine dining for the next 30-35 years.

A note issued by the restaurant at the time chef Ranhofer joined the team (1862) – source

His achievements include the invention of renowned dishes, innovations in the dining business model and a massive Franco-American culinary encyclopedia (The Epicurean, 1894, complete with nearly 1000 dishes and thorough guidelines for the proper tables/ menu setting, depending on the occasion). The story fits well in the Gilded Age picture, though I would guess not at front center.

Our own Escoffier (Los Angeles Times)

My pastry trilogy came a full circle only last year, having started some ten years ago: a Mississippi mud pie, a cheesecake (early 2010s, both under the guidance of my wife) and a tarte Tatin (May ‘20 lockdown, unsupervised, our then nearly-5-year old provided merry company). Of the three creations, the final was the most refined, as deserves to a French recipe from late 19th century. Like, it needed some real – if basic – technique, not the average ingredient gathering I was used to. It was also a mild failure. I followed a modern take, one to safely blame without retort. Will try again, someday. There are relevant recipes aplenty, though not in its contemporary Epicurean.

Deconstructing tarte tatin, the classic French dessert (National Geographic)

The Gilded Age was nearing its end when the famous Lochner v New York decision was delivered (1905). The Supreme Court struck down a New York state law on regulating working hours, as a breach of the liberty of contract, which was protected under the Due Process Clause of the Fourteenth Amendment. A few decades later, in United States v Carolene Products Company (1938), an interstate trade case, the Court lowered the standard of review for economic legislation, effectively demoting economic liberty vis-à-vis the other personal liberties.

Both decisions refer to the food industry, bakeries and milk manufacturers respectively. They hold vast importance and warrant further study (for starters – note to self – judicial activism in Lochner, individual rights in Carolene).

As a certain minstrel in a certain fantasy realm would have it, the truth of these decisions became something bigger than the facts. The two cases work as handy banners of the paradigm shift from “unrestrained economic liberty” to “state interventionism”, which happened as right/ left-wing totalitarianisms convincingly challenged the prewar liberal order. Liberal-minded thinkers from the two sides of the Atlantic tried to revitalize the liberal creed in the interwar years. Some of them convened at Paris – few months after the Carolene decision – to honor the visit of the American journalist/ author Walter Lippmann, a notable critic of the New Deal.

There were deep differences, but also a strong agreement on the threat posed by central planning and some tentative overlapping on the perceived failings of “old” classical liberalism and, interestingly, the potential of the state in enhancing personal freedom by pursuing limited social goals. The – middle – way forward needed free markets in a solid, impartial legal frame, which would enforce competition and even provide for a modicum of social justice. By one account, it was during this meeting that the term “neo-liberalism” took root (other ideas included “left-wing” or “constructive” liberalism. Chicago theorists – not represented at the Colloque Lippmann- had previously written about “positive” liberalism), though the term is older. The resolution led to nowhere in particular, since World War II broke out shortly after. It is nonetheless considered a kind-of precursor to the Mont Pelerin Society, the well-known organization founded after a conference in 1947, at the invitation of Hayek.

The neoliberal position is nicely summarized by Milton Friedman (who was present at the 1947 proceedings) in a short piece from 1951:

Neo-liberalism would accept the nineteenth century liberal emphasis on the fundamental importance of the individual, but it would substitute for the nineteenth century goal of laissez-faire as a means to this end, the goal of the competitive order… The state would police the system, establish conditions favorable to competition and prevent monopoly, provide a stable monetary framework, and relieve acute misery and distress.

Neo-Liberalism and its Prospects (Hoover Institution)

The term can also be found in scholarly papers from 50s-60s, but upon closer inspection they mostly focus on its German variant, “ordoliberalism”, which was closely associated with the “social market economy” – the postwar platform that defined West Germany (though voters could hardly tell what it exactly was).

My understanding is that, at some point postwar, the French involvement dwindled. Also, some German theorists fell from grace in the Mont Pelerin Society context, while US membership increased in number and clamor. The whole approach tilted closer to classical liberal/ libertarian (another note to my – European – self, Edwin van de Haar offers precious nuance regarding such terminology in a fresh post) and away from the “free market, strong state” convictions of Colloque Lippmann. However, Hayek retained cordial relations with the University of Freiburg – where the original ordoliberal theses formed.

Then the shade of neo-liberalism faded, only to be invoked as a nebulous catch-all characterization of free market policies a couple of decades later, almost devoid of its competitive and social security chops. It got a life though, since it was fleshed in the founding Treaties of the EU of the 50s. The institutional apparatus of the Union smugly radiates “free market within the properly defined lines” (the US influence is not be discounted, of course. Case in point, competition law).

EU, as with the Colloque: The French grabbed a coffee with the Americans and threw a party. Then, they took a step back as the Germans stopped being shy and hit the decks.

Back to the kitchen. Late 60s and into the 70s, gastronomic developments trace the retooling of society-at-large. That was the time various “new” national cuisines rose, with the French Nouvelle cuisine once again leading the way and the New American Cuisine taking clue from it (in Greece we usually talk about the “(new) urban cuisine” of that period, as the country experienced a rapid urbanization wave in the preceding decades).

Fantasy unchained: A cooking center in 1980 as imagined in 1973 – source

In the meantime: Political turmoil, be it protests or terrorism, there go Bretton Woods arrangements, productivity flattens, environmental concerns kick-in, enter competition from Asia, human rights against the Soviet Block, university studies expand, telecommunications and transport improve, oil crises, the lights go out in Britain and elsewhere, inflation runs, and so on and so forth. The next decade coincided with the emergence of new political leaderships across the West, as the turbulence discredited the previous guard.

The consensus got a drift for privatizations, deregulation and liberalization of international transactions, with US and Britain adhering to it (though to say that they indeed rolled-back the size and scope of State is questionable). This time, the Nobel Memorial Prizes in Economic Sciences awarded to Hayek (1974) and Friedman (1976) served as a flag (or a scarecrow) for the transition to market-based prescriptions.

The endgame was meant to play out in France. In May 1981, Mitterrand won the presidential election on a pretty standard socialist agenda. The program of nationalizations, hiked taxation, capital controls, grants and subsidies run its course till 1983, when the bad results in deficit, employment, inflation and the exchange rate – underlined by an equally poor performance in local elections – prompted a turn to anti-inflationary rigor and a realignment with more market-oriented policies (Spain and Greece, btw, more or less copycatted the French experience).

In a twist in the myth, three Mitterrand guys even went to assume head posts in international bodies, like the IMF (a member of the unholy trinity of the “Washington Consensus”), and promote capital account liberalization from there.

Endnote: The No Reservations show of late Anthony Bourdain had a role in our family’s inconsistent knack for things cooking/ baking. While writing this, I found out that a documentary on the man’s life just premiered at the Tribeca Film Festival.

‘Roadrunner: A Film About Anthony Bourdain’ Review: The Insatiable Life and Enigmatic Death of a Foodie Superstar (Variety)

Encore: To France”, Mike Oldfield’s cover by power metal band Blind Guardian, from their The Forgotten Tales album (1996). Pas mal.

Immigration in the Time of Joe Biden: What to Do (Part 4 of 11)

The Nation-State and Borders

Nation-states have to possess immigration policies or they cease to exist. I mean any number of things by “cease to exist,” including falling apart organizationally and economically, to the point of being unable to provide a minimum degree of order, of predictability. (This last sentence might rub pure libertarians the wrong way. I am willing and eager to engage them on the topic of nation-states, societies, and social order.) This failure to function can be the result of an influx of large numbers of immigrants unable to provide for themselves, obviously. I am not suggesting that this is the only possible cause. It’s one cause and it’s staring us in the eyes as I write (April 2021, three and half months into the Biden presidency).

More prosaically, but also a little mysteriously, “cease to exist” may simply refers to the nation-state becoming something else, subjectively less desirable than what it was. The insulting word “nativism” does not do justice to the complex and subtle issues involved here.

Right now, for example, many French people believe that the large presence in their midst of un-assimilated Muslim immigrants endangers the fundamental building blocks of their society’s ethics and laws. These would include, for example, the separation of church and state (of religion and government) and the equality of men and women. Many French people who are not “white supremacists,” (or, more pertinently perhaps, not Christian supremacists) are calling for an end to all Muslim immigration. (Note that I have said nothing about whether I believe their fears are justified.)*

Guarded national borders have been the conventional way to protect the nation-state since the mid-19th century. They don’t have to be but other available methods are even less palatable to those who love freedom. If, for example, every resident of the US carried a personally identified GPS that it is illegal to turn off, it would be easy to monitor the totality of the population. Those moving about without an authorized GPS would stand out. Legal immigrants might be given a GPS with a different signal. Legal visitors who are not immigrants would get yet another with a signal set to come off on or just before their visa expiration. Illegal immigrants would carry no authorized GPS. This absence would designate them the attention of immigration authorities. (Of course, fake GPS would soon be for sale but they would be more difficult to create than are current SS card and other such paper or plastic documents.) And, thinking about it, a microchip painlessly implanted under each person’s skin might work even better! See what I mean about guarded borders not being so repugnant after all?


*The French left-wing media do not offer substantive arguments to calm the widespread alarm raised by the center, by the right, by many others. Instead, they try to make the alarmed feel guilty of “Islamophobia,” supposedly a close cousin of racism. This accusation quickly losses forces because many people realize that Islam is a set of beliefs and of values that Muslims are free to abandon, unlike race. At least, they may abandon it in the French legal context. (In several Muslim countries, such “apostasy” is theoretically punished by death.) By the way, a month before this writing, I talked on a Santa Cruz beach with a pleasant young French Muslim, a pure product of French public schools born in France. He told me calmly that he believed French law should forbid blasphemy.

With all the agitation and all the negative emotions, people with Muslim names appear well represented at all levels and in all sectors of French society. (Firm numbers are hard to come by because the French government does not allow its various branches to collect information on religious affiliation nor on ethnicity.) And, by the way, I just love what Arabic influence has done to French popular music and songs.

[Editor’s note: this is Part 4 of an 11-part essay. You can read Part 3 here, or read the essay in its entirety here.]

Some Monday Links

The Paris Commune at 150 (The Tablet)

“The greatest legend in proletariat history”, we were told in the modern European history class (back in 2001, probably still a solid claim).

Liberalism and class (Interfluidity)

All Apologies for Democracy (Project Syndicate)

Nightcap

  1. Roman and Ottoman treasures in Algeria William Dalrymple, Financial Times
  2. Is Israel a Jewish state, or The Jewish state? Michael Koplow, Ottomans & Zionists
  3. Recovering the socialist free trade tradition Marc-William Palen, I & G Forum
  4. A Muslim woman and the sea (Algeria) Jacques Delacroix, Notes On Liberty

Nightcap

  1. Latin America’s democratic-imperial roots Cañizares-Esguerra & Masters, Not Even Past
  2. Ayn Rand, Roman Catholics, and the American federalists David Gordon, Modern Age
  3. Austro-Hungarian-Americans during World War I Nicole Phelps, IEFWW
  4. France and Islam, secularism and religion Andrew Hussey, New Statesman

Nightcap

  1. Can we still learn from Lincoln? Forrest Nabors, Law & Liberty
  2. On Brexit and beyond Lionel Barber, Financial Times
  3. On Morocco’s most revered leftist Khalid Lyamlahy, Los Angeles Review of Books
  4. 2015: France’s bad year Andrew Hussey, Literary Review

Paris Islamophobia, 2019

Here is a little story that may confuse you for a short while. At least, I hope it does.

The story takes place in the eastern Paris neighborhood where I grew up. It used to be frankly working class. I guess that it may have become a little gentrified but, I guess, not much. It’s at a bus stop next to a large park built over a former 1900 mushroom farm that used the abundant horse manure then available in Paris. (That’s another story told in my book of memoirs, I Used to be French…. Ask me.)

Anyway, two youngish women are waiting for a bus in broad daylight. When one shows up, they signal for it to stop. The bus slows down and then speeds away. It’s stopped shortly at a red light. One of the women runs to it, pounds on the door, and demands to know why the driver did not stop to pick her and her girlfriend up. “You should dress better,” responds the driver motioning at her short skirt.

The next day, a man tried to place a formal complaint with the Paris Transport Authority (“RATP”). His name is Kamel Bencheikh; he is one of the young women’s father. He is a well-known Algerian poet who writes in French. I don’t know if he is a French citizen but he seems to live in France. He demands exemplary punishment for the driver.

The Transport Authority announced publicly that it would investigate the alleged incident as a violation of driver’s rules. It added that its hands were mostly tied in the absence of contact with the two young women – including Bencheikh’s daughter – who were the victims in the reported incident. The daughter is 29.

Bencheikh took the opportunity to announce to the media that he claims forcefully his Islamophobia.

The French Have It Better?

As I keep saying, facts matter. Facts matter more than ideological consistency if you want to know. That’s why I keep comparing us with the other society I know well, France. I am up-to-date on it, a task facilitated by the fact that I read a major French newspaper online every day, by the fact that I watch the French-language Francophone television chain, TV5, nearly every day, and by occasional recourse to my brother who lives in France. My brother is especially useful as a source because he is well-informed by French standards, articulate, and an unreconstructed left-of-center statist. I suspect he has never in his life heard a clear exposition of how markets are supposed to work. He is a typical Frenchman in that respect.

I almost forgot: I must admit that I watch a French soap opera five days a week at lunchtime. And finally, I spy on my twenty-something French nieces and nephews through Facebook. I never say anything to them so they have forgotten I am their so-called “friend.” I almost forgot again: Until recently, I went to France often. Every time I was there, I made it my duty to read local newspapers and newsweeklies and to listen to the radio and to watch the news on television. I said “duty” because it was not always fun.

So, those are my credentials. I hope you find them as impressive as I do.

And, incidentally, for those who know me personally, mostly around Santa Cruz, the rumor that I am a guy from New Jersey who fakes a French accent to make himself interesting to the ladies, that rumor has no foundation. In fact, the accent is real. French is my first language; the accent never went away and it’s getting worse as my hearing deteriorate. I like to write in part because I don’t have much of an accent in writing. Got it?

I found out recently that the French national debt to GDP ratio is about 85. That is, French citizens, as citizens, owe 85 cents for every dollar they earn in a year. The debt is a cumulative total, of course, And “national debt” refers to what’s owed by the national government of a country. The private debt of the citizens of the same country is an unrelated matter. Another way to say the same thing is that, should you reduce the national debt of your country down to zero, it wouldn’t help you directly with your personal credit card balance. (It might help you indirectly to some extent because you wouldn’t be in a position anymore to compete with the federal government for credit. This competition raises interest rates.)

The national debt also does not include the debts of states and local governments. In this country, the aggregate of these non-federal government debts is also high because of our decentralized structure. Let me say it another way: The national debt, associated entirely with the federal government, is a relatively small fraction of the total debt US citizens owe by virtue of the cost of their overall system of government. It’s relatively small as compared to the same quantity for France, for example. The French national debt includes most sub-debts that would be counted as state debt and local debt in this country. Accordingly, the French national debt is overestimated as compared to ours. If French accounting were like ours the French national debt would be considerably less than 85% of GDP.

Well, you ask: What’s ours, our national debt as a percentage of GDP? Fair enough:

It’s about 100% of GDP, 15 points higher than the French percentage. We are closer to Greece than France is in that respect.

This pisses me off to no end. The divergence between the directions taken by French society and American society occurred during my adulthood. I witnessed that divergence in concrete terms through my French relatives and directly, through my visits to France, and the occasional longish sojourn there, and so forth. So, let me summarize what I saw in France during the past thirty years.

The French eat better than Americans. They always did but their food could have become worse under “socialism.” Even the children who stay at school over lunch eat good meals for a nominal sum. School lunches in the average French town taste better than the fare of a better-than-average American restaurant, in my book.

The French have longer vacations than Americans. That’s all of them, all Americans, including civil servants and bricklayers’ union members. Five weeks is the norm in France. You read that right: 5!

In many French municipalities – I am tempted to say “most” but I have not done the research – children go skiing at public expense one week each year or more. There are also many subsidized “initiation to the sea” summer camps.

It’s also true that Americans have bigger houses and bigger cars than do French people. Personally (and I am a kind of small expert on the topic) I think French universities are not nearly as good as their American counterparts. I mean that the best French universities don’t come close to the best American universities and that the worst American universities maintain standards absent in the worst French universities. Elementary and secondary French schools seem to me to be about equivalent to American schools. They also turn out large numbers of functional illiterates. But, there is more.

The French have universal health care that is mostly free. It hurts me a lot to say this but I saw it at work several times, including under trying circumstances, and the French national health care system performed fine every time. (There is an essay on this topic on this blog, I think.) I know this is only anecdotal evidence but the raw numbers don’t contradict my impression. In point of fact, French males live two years longer than American men. I realize this superior longevity could be due to any number of factors (except genetic factors, both populations are very mixed). However, it is not compatible with a truly horrendous “socialized medicine” system. And, yes, I too would like to credit Frenchmen’s longevity to regular drinking of red wine but it’s not reasonable. If it were, a health cult of red wine would have been launched by the wine industry in this country a long time ago.

The French collectively spend about half as much as we do on health care.

I can hear my virginal libertarian friends howling: The French can afford all those tax-based luxuries because they are less likely than Americans to become involved in military ventures. (And I would add, they cut out earlier, as they are now doing in Afghanistan.) But the numbers have to jibe: In the past thirty years, the US never spent more than 5% of GDP on the military. In most years, it was under 4% . Both figures include incompressibles such as veterans’ benefits that aren’t really spent to wage war, now or in the future. Those costs, about ¼ of the military budget in the average year, would be more or less made up elsewhere if they did not exist. So, it seems to me that higher military budgets cannot begin to account for the fifteen percentage points the French have over us in their national debt relative to GDP.

I am a small government conservative who would call himself a libertarian if I did not see the word as associated with pacifism. Yet, I cannot look away from these simple facts. I wish I had an answer to the quandary they pose but I don’t. Any ideas?

Nightcap

  1. A Mexican perspective on NAFTA Roberto Salinas-Leon, Law & Liberty
  2. Prosperity, the periphery, and the future of France Andrew Hussey, Literary Review
  3. The Indian Ocean slave trade Geoffrey Clarfield, Quillette
  4. The meaning of the exoplanet revolution Caleb Scharf, Aeon

The Yellow Vests: Update

In the ninth weekend of demonstrations, the politics of envy seem to dominate. (Soak the rich again!) The Government must give us more money. Lower some taxes but impose or re-impose others especially the former tax on wealth.

Far behind: Introduce a degree of popular initiative in the political process: allow groups of citizens to initiate legislation, to implement it, and to abrogate it.

I can’t tell if those who want more money are the same as those who demand popular initiative in legislation. It’s a problem with grass root movements. They make attribution difficult.

Pres. Macron’s response is all over the place. It sounds like the work of an old man although the pres. is only 41. I think I know why this is: Nearly all the past thirty presidents and prime ministers are graduates from the one same school. Maybe they just crib the class notes of their predecessors.

Notably, Mr Macron’s response – contained in an open letter – to the nation includes more “save the Planet” proposals as if he had forgotten that an environmentalist tax set the barrels of powder on fire to begin with. Little chance he will be heard by the Yellow Vests although his open letter may serve to rally the main part of the population around him as the lesser of several evils.

Notably, the president, on his own, mentioned the possibility of limiting immigration although that’s not high in any of the Yellow Vests demands. Curious.

The president’s proposed themes are supposed to be debated widely and on a national scale. They are expected to give rise to suggestions on how to govern France. The suggestions will be collected at the municipal level (a good idea; the French like their mayors) in complaint books called “cahiers de doléances.” The latter sounds to me like a very bad idea. The last time those words were used on a large scale, was around 1788-89. The ruling circles lost their heads soon afterwards. (I mean literally.)

Keep things in perspective: If you add all the demonstrators nationally in every town any Saturday, you arrive at a very small number although it’s made up of persistent people . They are persistent because they represent a large minority facing serious, possibly unsolvable problems. Many ordinary French people have grown weary of the disruptions the Yellow Vests have caused. There is also huge revulsion against the acts of violence that accompany Yellow Vests demonstrations (not necessarily their own acts).

Cool heads counsel the president to dissolve the National Assembly and to call for new elections. Supposedly, this would bring up elected representatives more in tune with the people’s mood. My own guess is that new elections would result in the isolation of the Yellow Vests and bring an end to their movements. Just guessing.

Did I forget anything?

Nightcap

  1. Egypt banned the sale of yellow vests. Are the French protests spreading? Adrián Lucardi, Monkey Cage
  2. Castro’s Revolution on Its 60th Anniversary Vincent Geloso, AIER
  3. Americans Are Losing Faith in Free Speech. Can Two Forgotten Philosophers Help Them Regain It? Bill Rein, FEE
  4. Do Congresswomen Outperform Congressmen? Tyler Cowen, MarginalRevolution