More idiocy from Joe Stiglitz

How do you destroy a country’s economy? Well, here are a few ideas. Hike taxes. Overregulate. Ratchet up government spending. Increase welfare entitlements. Make it your goal not to achieve greater prosperity for everyone but to achieve greater income and wealth equality.

Joseph Stiglitz

This, after all, is how the chavistas ran Venezuela, once one of the world’s most prosperous nations, into the ground. And, believe it or not, these are the prescriptions offered by economist Joseph Stiglitz, whom we profiled here at some length in October 2015 and whom we’re revisiting now because of a characteristically wacky article by him that appeared in the Guardian on May 30.

But first, a reminder: this, as we noted four years ago, is a man who has taught at Yale, Oxford, Stanford, Princeton, and Columbia; who served as chief economist at the World Bank; who was a top advisor to the United Nations; who was named one of the world’s 100 most influential people by Time magazine; and who, yes, won the Nobel Memorial Prize in Economic Sciences in 2001.

Paul Krugman

How, you may ask, did a man with such cockeyed economic ideas win a Nobel Memorial Prize in Economics? Well, remember, Paul Krugman won one too. And Yasir Arafat won the Nobel Peace Prize. Not every decision they make in Stockholm or Oslo is a brilliant one.

If you think it’s unfair to compare the economic philosophy of a Nobel laureate with the cockeyed socialist ideas that ruined Venezuela, consider this: Stiglitz is a socialist – an actual member of the Socialist International who, in 2008, headed up a Socialist International commission charged with figuring out a solution to the global financial crisis. He’s an enemy of the nation-state and particularly of American-style democratic capitalism, and would replace the current world order with a socialist global government, complete with a new global currency and a global income tax.

Georg Papandreou

But while we still have nation-states, Stiglitz isn’t above profiting from some of the more poorly run ones in ways that call into question his professional integrity. For example, he weighed in repeatedly in places like Time magazine on the Greek financial crisis, which he blamed entirely on Germany, not on Greece; what he failed to mention was he was a paid advisor to Greek prime minister George Papandreou. In 2014, when New York judge Thomas P. Griesa ordered Argentina to pay its creditors, Stiglitz badmouthed the judge, called the creditors “vultures,” pronounced that “America is throwing a bomb into the global economic system,” and passionately defended Argentinian president Cristina Kirchner; again, he omitted to inform his readers that he had long been on the Kirchner payroll, supposedly serving as an economic advisor, although to many observers it certainly looked as if he was selling his name and reputation to whitewash a kleptocracy.

Cristina Kirchner

Which brings us to Stiglitz’s recent piece for the Guardian. There’s not really anything new in it; what’s remarkable is the timing. Here’s the headline: “Neoliberalism must be pronounced dead and buried. Where next?” And here’s the subhead: “For decades the US and others have pursued a free-market agenda which has failed spectacularly.” An incredible thing to say at a time when the American economy is stronger than it has been in decades and is the world’s most competitive, with record employment and income levels for pretty much every population group and every category of job.

Donald J. Trump

Many people credit President Trump for this extraordinary boom. Not Stiglitz. He not only pretends that the boom isn’t happening; he smears Trump as an avatar of “far-right nationalism,” which to him is even worse than plain old neoliberalism or the “centre-left reformism” of Tony Blair and Bill Clinton. In Stiglitz’s view, all three of these approaches should be junked in favor of a “radically different economic agenda” that he calls “progressive capitalism,” under which free markets would be a thing of the past and state-run economies would be the order of the day.

Stiglitz’s picture of what “progressive capitalism” would look like and how it would work is heavy on abstractions and light on specifics. “Governments have a duty to limit and shape markets…. government [should take] a more active role than neoliberalism prescribes.” Yet by the end of the article it’s clear what he‘s calling for. To be sure, he’s careful not to use the word Communism or even socialism, but those are the generally accepted names for what he prefers to call “progressive capitalism.”

Again, how weird to encounter a brief for socialism at a time when the chavistas’ Venezuela is dying and Trump’s America is thriving! But that’s old Joe for you.

Taking on Trump: Xavier Becerra

Some of us never imagined we’d ever see such a thing happening in the United States: last Thursday, Xavier Becerra, Attorney General of California, warned employers in that state that if they assist federal officials who are looking for illegal immigrants, they will be prosecuted.

Xavier Becerra

More on that later. But first, who is Xavier Becerra? Born in Sacramento to Mexican immigrants, he went to college in Spain before earning a B.A. and J.D. from Stanford. After working in a private law practice, he went into politics, serving, in turn, as an assistant to a California state senator, as the state’s Deputy Attorney General, as a member of the State Assembly, and as a member of Congress. California Governor Jerry Brown named him state Attorney General on January 23 of last year. He is the first Latino to hold that position.

Becerra to Trump: “Be careful!”

His ideological agenda was clear from the start. A sympathetic profile of Becerra in the Atlantic began with the news that he was “issu[ing] a warning to the President of the United States:

“Be careful,” he said in a singsongy voice. “Be careful!” A wicked smile appeared.

Becerra, wrote Atlantic reporter Michelle Cottle, “clearly relishes his role as a burr in Donald Trump’s backside.” What business does a state Attorney General have issuing warnings to Presidents or being burrs in their backsides? Why was the new Attorney General of America’s largest state focused on challenging the newly elected President’s politics rather than on prosecuting people arrested for committing crimes in his (frankly) crime-ridden state?

Becerra’s ideologies allies

When talking to Cottle, Becerra had nothing to say about such matters – which are, after all, the appropriate province of a state Attorney General. No, what he was interested in was using his new position to push California, and thus the U.S., even further to the left, especially on the issue of illegal immigration. “Becerra sees California playing a special role by virtue of its size and ‘forward leaning’ politics,” wrote Cottle. As Becerra told her: “Sometimes it takes a generation, but we pull the country in certain directions.”

More Becerra allies

His first major action as Attorney General was to join a lawsuit that managed to put the kibosh on President Trump’s January 27 presidential directive that sought to restrict travel to the U.S. from certain Muslim countries that were deemed to represent dangers to American security. When Trump issued a new order on September 24, seeking to limit travel from Iran, Libya, Syria, Yemen, Somalia, Chad, North Korea, Venezuela, and Iraq, Becerra again leapt into action, accusing Trump of pushing “a political agenda rooted in fear and bias” and insisting that California would “continue to welcome and embrace people of goodwill from all backgrounds, religions, and ethnicities.”

More on Thursday.

Meet Kenyon’s violence-happy anarchist

matytsin
Matytsin wrapped in a US flag

His CV boasts a native fluency in both French and Russian, and he attended high school at the Washington International School, so presumably Anton Matystin is the son of immigrants or came to America himself in his youth. He went on to pursue undergraduate and graduate students at the University of Pennsylvania, receiving his Ph.D. in history in 2013. After spending a year as a postdoctoral fellow at Stanford, he began teaching at Kenyon College, a small but storied institution in Gambier, Ohio. At Penn he won the prize for best undergraduate history thesis and two graduate fellowships awarded in recognition of academic excellence.

Unlike many professors in the humanities these days, he teaches a list of courses that sound legit: “Early Modern Europe,” “Imperial Russia, 1547-1917,” “History of the Renaissance and the Reformation: 1300-1648,” and so on. Last year he published his first book, The Specter of Skepticism in the Age of Enlightenment, which “explores the ways in which eighteenth-century thinkers responded to the challenges posed by the revival and spread of philosophical skepticism and details how the debates about the powers and limits of human understanding led to the making of a new conception of rationality that privileged practicable reason over speculative reason.” Serious, solid-sounding stuff.

2006-07 Tuition and Fees: $36,050 2007-08 Tuition and Fees: $38,140
Kenyon College

All of which makes it come as a shock to read Matytsin’s Facebook feed. Matytsin has had a Facebook page for years, but he was almost entirely absent from it until recently. The election of Donald Trump as president of the United States appears to have been the event that broke his silence. “If you voted for Trump, please do us both a favor and unfriend me,” he wrote on November 14. “Whatever motivated your choice, I cannot bring myself to respect it, and I find it morally reprehensible. I do not want to share the public sphere with you in either digital or physical form. I have no intention of interacting with you or spending money at your business. I prefer to stay in my echo chamber of sanity. This is miles beyond party politics. This is a moral, not a political choice.” He went on to encourage his Facebook friends to boycott firms that “supported” Trump, and helpfully linked to a list of those firms. He further suggested that “perhaps it’s time to bring back old partisan slogans and great each other with ‘Death to Fascism’ with a response ‘Freedom to the People.’”

matytsin2
Matytsin: another day, another flag

How, one wonders, does he treat students in his classes who express support for Trump? Or do the Trump supporters who take his classes have to pretend not to be Trump supporters? It seems clear from his Facebook comments that he is incapable of seeing students who did not support his candidate for President as moral and sane. How can such students possibly expect fair treatment from him?

On February 3 he went even further than before, posting the following rant:

We cannot have a liberal democratic state that is run by a corrupt fascist cabal. We cannot have a secular multi-confessional republic when 30% of the population are Bible-thumping bigots who want to impose a Christian theocracy on the rest of us. We cannot have a racially inclusive, cosmopolitan, and multi-ethnic society when a large proportion of the population is composed of racists and white supremacists. We cannot have a functioning democracy when a majority of the population is politically, economically, and sometimes literally illiterate. We cannot have civil debates when our opponents are uncivilized human beings. We cannot remain idealistic lambs among hungry wolves.

In short: Trump people are so morally abominable, so barely human, that something must be done. But what? If Trump’s supporters are “hungry wolves,” and “we,” the people on the side of the good, “cannot remain idealistic lambs”…than what he is suggesting that “we” do?

A few hours later he got even uglier:

Apparently I was not abundantly clear earlier. I will continue the FB cull until there is no more fascist shit in my feed. I don’t care who you are or how far back we go. If you or your friends post racist, sexist, xenophobic, and otherwise ignorant garbage, I will take a big verbal shit on your wall and then block you on here and in real life. So if you are one of those people, spare yourself the cleanup and unfriend me.

berkeley-riot2
The Milo riot at Berkeley

Only a few hours later, after a violent anarchist riot broke out at the Berkeley campus over the planned appearance of Breitbart writer and Trump supporter Milo Yiannopoulos, Matytsin wrote: “Brother Anarchists, if you are going to engage in political violence, make sure to claim credit lest the fascists confuse you with the ‘liberal snowflakes.’” And he added: “Brother Anarchists, looking to volunteer.”

In other words, if we take him at his word, Matytsin was announcing his readiness to join the black-clad rioters, cover his face, and take part in the brutal beating of people whose only crime was their interest in hearing what Milo Yiannopoulos had to say. Contemplate the irony: a professor whose first book is all about the Enlightenment has taken his stand against freedom of speech and, in the name of opposition to fascism, is prepared to support a kind of violence that can only be described as quintessentially fascist.

Saskia Sassen, “transnational citizen”

sassen2
Saskia Sassen

Let’s start with the highlights of her CV. Her books on globalization and urbanization have been translated into twenty-one languages. Born in the Netherlands, she grew up in Buenos Aires and studied in France, Italy, Argentina, and the U.S.; she’s taught sociology at Harvard and the University of Chicago, and now divides her time between Columbia University and the London School of Economics. She has a bushel full of impressive-sounding establishment affiliations – she’s a member of the Council on Foreign Relations, of a National Academy of Sciences panel on cities, and of something called the Committee on Global Thought, no less, and has accumulated awards and honorary degrees aplenty from places like the Ecole Normale Supérieure in Paris, the University of Poitiers, and the Royal Stockholm Institute of Technology.

In short, she’s as establishment as it comes. Routinely, however, Saskia Sassen presents herself as a fearless anti-establishment radical and “transnational citizen” whose bag is proffering “counterintuitive” solutions to pretty much all the world’s major problems. This fearless-radical pose has won her a kind of cult following that’s rare, to say the least, among professors of the social sciences. A few years back, when she was teaching at the University of Chicago, a recent social-sciences grad student at that institution reported that many of his friends there “were staunch followers of Saskia Sassen – in fact, she was their raison d’etre there.”

A 2014 profile in Le Monde breathlessly pointed out that this globalization expert is also a world-class globetrotter: “Today in Bilbao, yesterday in New York, tomorrow in the U.K….” The irony that went utterly unmentioned by Le Monde‘s awestruck correspondent was that, even though Saskia Sassen burns a lot more than her fair share of jet fuel, she’s a world-class global-warming scold who, in a May 2014 piece for Salon, solemnly browbeat readers about the dark and dire consequences of “global CO2 emissions.”

sassensennet
Sassen and Sennett at home in New York

As it happens, one of the few members of the sociology profession whose fame matches or even exceeds Saskia Sassen’s is her husband, Richard Sennett, who shares her far-left politics (he was a red-diaper baby), her preoccupation with globalization and urban issues, her hand-wringing concern about CO2 emissions and global footprints – and, ahem, her jet-setting lifestyle and two glorious homes in New York and London. For both Saskia Sassen and Sennett, hating capitalism has paid off big-time. A 2001 Guardian profile gushed over their “spacious, almost surreally well-ordered flat” in the heart of London, with a “roof terrace offer[ing] a dazzling view of an apparent jumble of warehousing and wasteground, a scene of brutal slate-grey beauty.” Six years later, a piece in the real-estate section of the New York Times described their “picturesque former carriage house on a cobblestone alleyway just off Washington Square Park” in Manhattan, in which Sennett had been living for twenty-eight years and for which they paid the landlord – Sennett’s employer, New York University – a monthly rent that was “below market rates.”

sassennydiningroom
Sassen and Sennett’s Manhattan dining room

But this luxury, reported the Times, came at a cost: namely, guilt. (The piece was actually titled “The Guilt of Having a Good Thing.”) Bennett admitted that he felt guilty about living in this “gated community,” from which pedestrians were banned between 11 p.m. and 7 a.m. After all, as he pointed out, he’s written himself “about the evils of gated communities.” Why live in one, then? Because “I’m not a sufficiently moral person to abandon this house.” He laughed as he accused himself of suffering from “a moral failing.” The refusal of both Saskia Sassen and Sennett to practice what they so vociferously preach made one wonder just how deep the guilt actually went; and Sennett’s laughter as he accused himself of “a moral failing” raised the question of just what the level of hypocrisy in that household is.

Richard Sennett
Richard Sennett

The Times was curious about the details of the couple’s lifestyle. Sennett explained that he and Saskia Sassen “divide up our clothes so that 50 percent are in London and 50 percent in New York.” And he “admitted — sheepishly — to owning duplicates of favorite items,” such as cellos. “I have a cello here and a cello in London, which may seem over the top,” he said. “But after 9/11 it became so difficult to travel with my cello.” Saskia Sassen, for her part, admitted, apropos of a recent trip to a conference in Mexico City: “I like a good comfortable plane ride.” Unlike her husband, however, she wasn’t quoted as accusing herself of “a moral failing.” No surprise there: she comes off as a hell of a lot more strident and self-righteous than he does. One gets the impression that she considers herself quite the moral icon. What with their two terrific homes and their constant air travel, their global footprint is obviously much bigger than most people’s – but one images that Saskia Sassen, at least, feels that they’ve earned it. They’re the exception. It’s all for the cause. For the rest of us, they’re certainly a great poster couple for leading the good life while preaching fiercely against it.

sassenhome
The exterior of Sassen’s and Sennett’s “former carriage house” in Greenwich Village

Global warming, to be sure, is far from the only crisis on her busy agenda. She also frets about the perpetual crisis in Middle East, and considers Israel to be at the root of the whole problem. In her writings about the Israeli-Palestinian conflict, she consistently depicts Israel as a brutal militant aggressor and Hamas as a benign force – a supplier of food and water, medical supplies, and other services that’s always being put on the defensive by the IDF. Saskia Sassen demonstrated the extent of her hostility to Israel back in 2004, when, as Stanford law prof Peter Berkowitz put it, she “storm[ed] off the stage” during a University of Chicago panel discussion about the Middle East, outraged that the panel was composed of both pro- and anti-Israel voices. As Berkowitz later wrote,

the panel consisted of Professor Saskia Sassen, who spoke on behalf of transnationalism, or principles and forms of government that transcend the nation state; myself, discussing nationalism and how Israel could be both a liberal democracy and Jewish state; Professor Anne Bayefsky…of Columbia University Law School, who analyzed the double standard the U.N. has applied to Israel for decades; and Professor Mazin Qumsiyeh, a Yale University geneticist, who sought to equate Zionism with Nazism, racism and apartheid.

What happened on that panel? According to Berkowitz, here’s how it went down:

After listening to Professor Bayefsky recount the many and varied ways that the U.N. had singled out Israel among all the nations of the world for special condemnation and Professor Qumsiyeh single out Israel as indistinguishable from one of the most heinous regimes in human history, Professor Saskia Sassen knew which opinion needed to be denounced…..Saskia Sassen explicitly upbraided the calm, lucid analyst of U.N. hypocrisy toward Israel (and me implicitly), and sided with the hate-mongering purveyor of the monstrous falsehood that Israel was in principle no different from the regime that murdered six million Jews for no other reason than that they were Jewish.

Here’s what she actually said on the panel in reaction to Bayefsky’s remarks: “We cannot make any headway even in our academic discussion if we talk about the Israeli government as a pure victim the way two of the speakers explicitly or implicitly did….We need to recognize that the Israeli state has operated with excess power in a situation of extreme asymmetry.” Which to her, presumably, meant that a panel discussion on the issue should also be characterized by “extreme assymetry” – in favor, naturally, of the Palestinian side.

And then she walked out – “after she had spoken for a second time,” noted Berkowitz, “but before she could be challenged.” By doing this, charged Berkowitz, “She showed that she held her own opinions to be beyond criticism and regarded her opponents’ opinions as unworthy of serious debate….Taking her conduct and comments together, one is led to conclude that Professor Saskia Sassen objects to sharing a stage with people who hold views that differ from hers; that she finds offensive the obligation to confront evidence and arguments put forward on behalf of positions she dislikes; and that she has forgotten or is unaware that the kind of debate that educates is debate with people with who hold the opposite opinion.” In short, Berkowitz concluded, she had exhibited “the high-handed and authoritarian habits that have become second nature for many faculty on campuses across the country.”

sassensennett3Saskia Sassen’s ardent engagement with such issues notwithstanding, her big bugaboo isn’t global warming or the brutal tyranny of Israel. It’s capitalism. For her, the overarching cause is “social justice,” and Public Enemy #1 is capitalist oppression (a conviction she shares with her late friend and mentor, Communist historian Eric Hobsbawm). She speaks of “capitalism’s deepening crisis” and of “the end of financial capitalism.” In her view, the current global financial system is suffering from a terminal ailment, and there’s no hope of saving it. “It is too late,” she maintains. What we need to do, Saskia Sassen prescribes, is “to definancialise our economies, as a prelude to move beyond the current model of capitalism.”

And what’s the ultimate symbol of capitalism’s rot, as Saskia Sassen sees it? Apparently, the phenomenon of distressed-security funds – which she, echoing Argentinian President Cristina Fernández de Kirchner, doesn’t hesitate to call “vulture funds.” Saskia Sassen despises those funds. They’re “a problem to be taken seriously,” she asserts, because they “threaten capital markets and the economic stability of many countries – and in doing so put the entire international economic system at risk.” When Fernández – in an effort to avoid paying her country’s debt to one such fund, Elliott Associates, as ordered by a U.S. judge in 2014 – took the case to the International Court of Justice, Saskia Sassen lent the President her full support. Of course she did: when you’re a “transnational citizen,” you support transnational institutions. This is one woman who trusts diktats by the UN (up to and including its absurd Human Rights Council) as zealously as she distrusts the free market, the American judiciary, and the West-based international financial order.

Then again, it’s easy, fun, and hip to be a “transnational citizen” who sneers at everything Western when you’ve got dream homes in the world’s two financial capitals and are constantly traveling the globe on a Western passport. “Transnational citizen,” indeed.