When Black Unemployment Rates Were Equal to White Unemployment Rates…

In a twitter-debate with Tariq Nasheed, I pointed out that the wages rates did converge between the 1940s and 1990s. Recently, Robert Margo of the University of Chicago extended this to per capita incomes since 1870. It is fascinating to see that there was convergence between 1870 and 1940 in spite of Jim Crow laws (it tells you how much more blacks could have achieved had the laws not existed – see notably the work of Bob Higgs on this).

income-convergece

Each time I see this evidence, I am bemused. You see, I often debate colleagues on particular features of social policy in order to assess policy reforms or the effects of past reforms. But, its always good to take a step back and look at the long-view of history. It puts things in perspective. The Margo graph does just that. It tells me the story of what could have been. And just for the sake of remembering properly (infer whatever conclusions you like), it is worth showing racial differences in unemployment rates since 1890. What strikes me is how similar the rates are until the 1950s. What happened at that point? When you ask yourself this question, you’re forced to put everything in perspective. And it becomes harder to have “generic” answers in the lazy-form of “its racism”. Why would racism explain the difference after 1950, but not before?
whites

Maybe, just maybe, people like Tariq Nasheed should stop proving that H.L. Mencken was right in saying that “for every complex problem, there is an answer that is simple, clear and plainly wrong”.

 

Alguns mitos, equívocos e objeções comuns ao capitalismo parte 2

Continuando um post antigo, seguem mais alguns mitos, equívocos e objeções comuns ao capitalismo.

Três mitos a respeito da Grande Depressão e do New Deal

Mito #1: Herbert Hoover praticava o laissez-faire, e foi sua falta de ação que levou ao colapso econômico.

Na verdade Herbert Hoover era tremendamente intervencionista na economia. Sua intervenção cooperou para o início da depressão e sua continuada intervenção evitou que a economia se recuperasse logo.

Mito #2: o New Deal trouxe fim à Grande Depressão.

Longe de ser uma série de medidas coerentes contra a depressão, o New Deal foi uma tentativa de Frank Delano Roosevelt de demonstrar que estava fazendo alguma coisa. As medidas do New Deal apenas agravaram e prolongaram a crise. Países que adotaram uma postura menos intervencionista se recuperaram da crise mais rápido do que os EUA.

Mito #3: A Segunda Guerra Mundial deu fim à Grande Depressão.

Talvez este seja o pior mito de todos: a produção industrial no contexto da Segunda Guerra gerou empregos, aumentou o PIB, e com isso acabou com a Depressão. Conforme Friedrich Hayek afirmou, “da última vez que chequei, guerras apenas destroem”. Este mito é uma aplicação da falácia da janela quebrada, observada por Frédéric Bastiat. Guerras não produzem riqueza. Na verdade elas a destroem. O exame cuidadoso dos dados históricos demonstra que a economia dos EUA só se recuperou realmente quando a Segunda Guerra Mundial já havia acabado.

Mais alguns mitos, equívocos e objeções comuns ao capitalismo:

1. Capitalismo é racista e sexista

Considerando o capitalismo economia de livre mercado, onde indivíduos são livres para escolher, nada poderia estar mais longe da verdade. O capitalismo assim definido é cego para raça ou gênero. O que importa é a troca de valores. Para ficar em apenas um exemplo, as lideranças políticas do sul dos EUA pressionavam os donos de empresas de ônibus a segregar os passageiros com base na cor da pele. Os próprios empresários de ônibus queriam ganhar dinheiro com transporte de pessoas, independente da cor da pele. Apenas uma observação: recusar serviço com base em cor de pele, gênero, orientação sexual ou qualquer outro motivo é uma prerrogativa do indivíduo dentro do capitalismo. Leve seu dinheiro para uma instituição que o receba. A instituição que recusa serviço está perdendo dinheiro, e neste sentido já recebeu a punição dentro do capitalismo.

2. Capitalismo tende a bolhas e pânico

Esta é uma observação presente tanto em Marx quanto em Keynes. Conforme observado nos mitos sobre a Grande Depressão e o New Deal, exatamente o oposto é verdade. Conforme a Escola Austríaca em geral e Friedrich Hayek de forma especial observaram, é a intervenção do governo, particularmente no setor bancário e financeiro, que produz bolhas e pânico. A tentativa do governo de estimular a economia através de juros baixos e outros artifícios apenas cria ciclos de crescimento e queda. Milton Friedman e a Escola de Chicago fizeram observações semelhantes. Deixada livre a economia é de certa forma imprevisível, mas através do sistema de preços podemos nos guiar sobre quando e no que é melhor gastar.

3. Capitalismo não investe em coisas importantes

É difícil saber o que seria um investimento importante. Somente indivíduos podem avaliar o que é importante para eles mesmos. O raciocínio aqui é que há investimentos de longo prazo, que custam muito dinheiro e não produzem resultado imediato. Capitalistas não investiriam em voos espaciais ou na cura de doenças, por exemplo. Mais uma vez observa-se a falácia da janela quebrada: investir em uma coisa significa não investir na próxima melhor opção. Exemplos recentes mostram que empresas atuando no livre mercado podem fazer mais, melhor e com menos desperdício do que governos, inclusive quando o assunto é exploração espacial.

4. Capitalismo leva a produção de coisas duvidosas

Mais uma vez este é um argumento de orientação subjetiva. Aquilo que é duvidoso para um individuo pode ser bom para outro. Há aqui a velha máxima de que “o capitalismo produz necessidades artificiais”. Conforme Voltaire respondeu a Rousseau mais de 200 anos atrás, este argumento não se sustenta. O que é uma “necessidade artificial”? Tesouras são necessidades artificiais? E sabão? E pasta de dente? Porque seres humanos viveram por séculos sem estas coisas. Conforme já foi observado por Joseph Schumpeter, a grande virtude do capitalismo é justamente trazer conforto a baixo preço não para reis e rainhas, mas para as pessoas mais simples em uma sociedade. Ainda que alguns possam considerar certos produtos de consumo duvidosos. Apenas não comprem.

Referências:

3 Myths of Capitalism (YouTube)

Top 3 Myths about the Great Depression and the New Deal (YouTube)

Common Objections to Capitalism (YouTube)

BC’s weekend reads

  1. The raccoon scrotum monster
  2. The unrecognized
  3. The Gandhi statue causing a fuss in Ghana
  4. The battle for Burundi
  5. The end of interventionism
  6. The Socratic classroom for an activist age

Sexism, Trump, and American Media

Almost everything has been said about that rather boring first presidential debate on Monday. One observation missing: It’s amazing how the progressive-liberal narrative categories have invaded even Republican understanding and vocabulary. Two examples.

During the first presidential debate, the moderator unambiguously presented as racist the “birther” preoccupation, the belief that Mr Barack Hussein Obama was not born in the US. It makes absolutely no sense why this should be considered racist. If a presidential candidate of Polish ancestry with blue eyes etc… had presented himself for years through his literary agent as born in Cracow, there would be those who would doubt aloud his constitutional qualification to be president. Those so inclined would be considered racist? If the answer is “no,” are we facing a situation where any negativity toward a black person is by definition racist? If a black-looking person steals a parking spot from me and I call him an “asshole” that makes me a racist although that’s exactly what I have called several white persons who have done the same to me in the past? Are we drowning in absurdity? Have we collectively lost the ability to recognize simple sense? In the parking case example above, a better case could be made, given my intemperate verbal habits, that not calling the black driver an asshole would be racist.

Second example. At the very end of the debate, when he placed the accent on the fact that Mrs Bill Clinton is the first female candidate nominated by a major party, the moderator qualified as sexist the Trump statement that Mrs Clinton does not have the stamina to be president. Same problem of logic. If Mr Trump had said this of any male opponent it would have been considered legitimate. Making the statement about a female candidate makes the statement automatically sexist. But the statement is sexist only because it concerns a female. It posed the question of whether there exists any negative statement about a female politician that is not sexist? I think the answer is quickly becoming “No!”

The wing of the Democratic Party now on the ascendant is deeply totalitarian. It shows in the small things, as in the two examples above. It knows no dissent that is legitimate when it comes down to it. It’s important to stop them even if we have to take the considerable risks inherent in the Trump candidacy. One sure thing about Donald Trump: He is not coherent enough to become a Mussolini.

BC’s weekend reads

  1. Racism in Brazil, and American academic imperialism
  2. A quick lesson on race and class in Brazil
  3. Unlike Their Parents, Black Millennials Aren’t A Lock For Clinton
  4. The Rise of the Libertarian Technocrats
  5. Property versus Democracy
  6. Our Friendly Visitors

Another Race Riot

Note: This is written for my overseas readers mainly. If you live in the US, you will probably find that you already know most of what I am writing about.

A couple of days ago, a police officer shot to death a black man in full daylight in Charlotte, North Carolina, very much the Old South, former home of abject slavery.

This is happening in the last months of the second administration of the first black American president, after more than seven years of his being in charge. “Being in charge” is an exaggeration of sorts though. The President of the United States exercises no constitutional authority over local police forces (or state police forces). His federal Department of Justice only has jurisdiction when a violation of civil rights is at stake and only over that specific putative violation. Homicide is not in itself a civil rights violation. It’s true that Pres. Obama cannot pick up the phone and tell the Charlotte police what to do or how. Yet, Mr Obama is responsible to some extent although indirectly for the violence, an idea I will develop below.

Cop kills black man: familiar story, right?

I forgot to give you important information. The police officer who did the shooting is black and a woman. She answers to a black police chief. He is squarely in charge of training officers and making rules for their behavior, including their use of firearms. The Chief of Police is appointed and answers to the mayor of Charlotte. The mayor is a white woman and a prominent Democrat. She is assisted by a city council of eleven, four or whom are black. As far as I can tell, there are zero, or one, or two Republican city councilors. The rest are Democrats.

The police says the victim had a gun. His family says in was sitting in his car reading a book while waiting for his child to come out of school. Disturbingly different stories, for sure.

There have been three nights or protests in Charlotte, that quickly became riots, with demonstrators throwing heavy objects at police officers and much destruction of property. One demonstrator was shot, apparently not by a police officer. And, of course, there was much looting of stores. It’s nearly always like this: One young black man dies, fifteen young black men acquire brand new mountain bikes.

Watching the riots on TV, I notice something that television channels and printed press journalist don’t comment on: Some of the most aggressive rioters are young white men who seem to me to know what they are doing and who are not distracted by broken store windows. I should use the word cautiously but they seem to me almost professional in their approach to rioting. The white young rioters are not mentioned I think because they cannot be fitted in the prevailing liberal narrative: It’s a race riot, it’s a demonstration against racial injustice by black people who have just had enough. How about the young white guys? Irrelevant, they are just lovers of justice who happen to be there. Yet, I can’t claim that I recognize any of them on TV but there are young white men just like them in every race riot I have watched in the past two years. If they are absent the first day, they are plainly present the second day and the next few days.

The show on my TV looks a bit like a movie because it’s not well connected to reality, the reality that everyone knows: On the whole, young black men don’t die because cops shoot them, they die because other young black men kill them. They also kill the occasional child and lately, even a young mother pushing her baby carriage. The percentage of violent deaths of black men at police hands that are legally unjustified, must be minuscule. No one in Chicago demonstrates against this continuing mass killing by African-Americans. I think blacks and whites alike don’t because it would contradict the main, tired old liberal narrative: Injustice and racial oppression are the source of all evils in American society.

Young black men kill one another in gang wars for turf (for possession of a piece of ground.) The turf, the ground, is an important asset in the retail sale of illegal drugs. I would be curious of what would happen if Congress decriminalized all drug sales to adults and if a rational president signed the bill into law. I would bet that young black men’s death rate would plummet by 90% in a few weeks. I have no explanation as to why this is not done. It’s not as if the 40-year old so-called “War on Drugs” were working in reducing drug use!

After seven+ years of Obama, the economic gap between whites and blacks – however you measure it – has increased. African-Americans are worse off in relative terms than they were under Pres. Bush. This is no surprise to me. It’s a Democratic administration. The worst place for a black man to live in America is in Democratic-ruled big cities. It begins with Chicago, a Democratic city for 85 years. And then, there is Detroit, a war zone with no war. All this being said, we must not forget that most African-Americans lead lives that are both normal and peaceful, in crying contradiction to the narrative of continued racial oppression. There is a large minority of young black men however who have never had a job, who don’t look for one, who may have never known a person with a job except teachers and cops.

Democratic politicians have been promising salvation in the form of “social programs” paid for by those who do work. They have done so for fifty years. They have not implemented them, or the programs have done little good, or even worse. It’s time for a revolutionary new idea, one that’s very old, in fact. When there is rapid economic growth, employers compete for labor, even for the labor of the inexperienced, even for the labor of those usually seen as unemployable. Black Americans in ghettos need the same thing that all Americans need: vigorous and fast economic growth. This may be hard to believe but the United States has few problems that could not be solved by ten years of 3.5% annual GDP growth.

There is no sign of a search for economic development in the Democratic presidential candidate’s program. Donald Trump, by contrast, promises to reduce taxes and to rid business of many regulations. Historically, it’s usually enough to produce growth. Black Americans need less abstract “justice” and more of a fair chance. The left wing of the Democratic Party hates the very idea.

An Alternative to the Presiding Theory of Privilege

Recently, debate about systemic privilege has been omnipresent, as fodder for political campaigning and millennial-dominated critique of culture. Peggy McIntosh first wrote about white privilege in an ontological checklist that ultimately offered representation as privilege, e.g., if you can open a newspaper and see your race, if you learn about your civilization in the history books, etc. This classification has mostly been lost to simplifications that pervert its sensible message. Everydayfeminism, which exemplifies modern dogma in line with women’s studies courses, defines privilege as a “set of unearned benefits given to people who fit into a specific social group.” This transliteration is still an interesting exercise in understanding social dynamics and has general applicability; however, when applied to issues such as the proven gender pay gap (whether the figure is the oft-cited 79%, 93%, lower or higher), often for a privilege of this categorization to be genuinely manifested every single individual involved has to be knowingly sexist, including the victim of the unlevel playing field.

For an example: Joanna is a secretary at a large business firm. She discovers her coworker Jim gets a larger paycheck for the exact same job, and they both take equal days off. She learns she is making $.79 to his one dollar. The federal Equal Pay Act and the 1964 Civil Rights Act make this illegal. Now, for Jim’s male privilege (the unearned benefit of larger pay) to continue:

  1. Joanna has to not report it to her boss or the authorities
  2. Jim has to not report it to his boss or the authorities
  3. Her boss has to stay intentionally sexist and not correct the disparity

Only if all of these conditions are met will the situation remain unrectified. This workplace privilege, built by a narrative that pay is different for the exact same job, relies on intentional sexism or surrender of all parties – it loses sight of subtlety completely. The current privilege hypothesis is also not very useful because different groups receive de facto and de jure benefits in different circumstances – no single sexual, racial or gendered group dominates every aspect of authority, though certainly a specific Caucasian demographic dominates most of it. The hypothesis is primitive in this sense, and it is also imprecise in that, because of political correctness, it entirely misses the true nature of “privilege,” more on that later.

Perhaps in recognition of the failures of this undeveloped adaptation, some modern feminist writers have employed the 1990’s idea of kyriarchy that more adequately describes the modality of experience through position in stratified society. Elisabeth Schüssler Florenza’s kyriarchal system sought to analyze layers of objective privilege overlapped in social milieu. Yet although all feminists cite privilege as an everyday occurrence, the few social justice warriors that have heard of kyriarchy can rarely be relied on to understand its nuanced applicability, and fewer still can appreciate the algorithmic complexity to determine actual systems of privilege. It has been simplified, again, into white, black, male, female, cis- and transgender, and so on. Intersectional feminism – a desperate linguistic attempt to avoid the egalitarian label – still alleges an all-encompassing subordination, and then seeks to recognize exchanges throughout other identity types that further enforce the oppression. This ideological branch could have been one of legitimate merit, except that again its white- and androcentric view of privilege, though broadly qualifiable, disallows further theorizing. The system lacks usefulness because its analysis, as interpreted by modern feminists, is embedded into its definition. Abstract discussion of privilege is unachievable.

Talking about privilege with intent to reach further conclusions is not only impossible, but it also feels like a competition just because of self-loathing and thoroughly brainwashed contributions from both sides of the debate. Moving past the caricatures of race, gender, sex or wealth: the only group that suffers on all fronts is the physically or mentally disabled, and their representation is horribly lacking, their image pitied, and advocates are few and far compared to organizations for other identities. However, if you want to be completely astute, the only group of people not privileged is those that are not customarily good-looking. It’s the conventionally attractive or wealthy people that own the power, when its not built on pure work or entrepreneurialism. Charisma is a part of this. People that are typically thought of as ugly never get the advantage and people of orthodox beauty standards often dominate the masses.  This conclusion can be arrived at from pure observance, and holds more empirical strength than the speculative nature of current privilege theory that consistently ignores the concept of individual cases.

Privilege boils down to beauty and humans divine facial attractiveness from symmetry. Plato thought that we find things beautiful when we infer virtues from gazing upon them: bridges can summon feelings of strength; sunsets, of harmony; our souls recognize our own need for these stabilities. It isn’t remarkable that humans find symmetry beautiful and then psychologically categorize faces into attractive and unattractive. (Nor does it mean, however, that asymmetric faces are not beautiful. Aesthetics would reveal more truths in this topic.) Applying this idea instantly collapses the perceived white hegemony, as beautiful people from any walk of life are flocked to from the average-looking majority. Beauty is power like sex is power. When privilege is observed it will be never be in the hands of the unattractive.

To extrapolate with the question of the largest burden of oppression and privilege: Where does racism actually come from? It’s intrinsically irrational, typically xenophobic, and ubiquitous across the continents. This theory could be interpreted to suggest that racists hold unreasonable views about other skin colors and ethnicities because of a lack of physical attraction, which coincides with an inability to relate familially and romantically. Systematic racial disparity and racist paradigms would then be caused by hyper-localized, non-diverse beauty standards. It could also be deducted that those of the natural default (without racist tendencies) are capable of nondiscriminatory and cosmopolitan attraction. Now here we see a definite connection between sexuality and bigotry, two contingents only meaninglessly juxtaposed by the mainstream privilege theory.

In conclusion, instead of challenging the conjecture of authoritative gendered dominion, progressives and activists could more benefit from challenging society’s standard of beauty. The standard that tells equally men and women what is and isn’t desirable. The advantages of injecting truth into the politics of self-worth are critical for a society concerned with honest evaluation and individual progress. The individual’s own conception of self-beauty is usually either bolstered by inflated confidence or hampered by poor self-image and has no overlap with how objectively beautiful they are, beauty that is uninvolved from ethnicity, sex or gender.

A note: I imagine myself to be, and from my life opportunities it would seem I am, decently attractive, so in either conviction of privilege I’m decently privileged, as a young white male or as a decently attractive person. Hopefully this grants more credibility to my writing, as if I was unattractive, it would probably come off as tormented and envious. Fortunately I have the chutzpah to stand on the line and propound these ideas regardless. Measures should be taken to highlight the identity group that will forever go without privilege or authority: the ugly people.