Jan Resseger reviews here a new book that explains the full-blown triumph of plutocracy. Trump is the culmination, not the cause. Wealth and power are now concentrated, more than ever, in the hands of a small minority, and Trump has persuaded his followers that plutocracy works for them!
She begins:
For ten years Jacob Hacker, the Yale political scientist, and Paul Pierson, the Berkeley political scientist, have been tracking exploding economic inequality in the United States. In this summer’s book, Let Them Eat Tweets, Hacker and Pierson explicitly identify our government as a plutocracy. And they track how politicians (with the help of right-wing media) shape a populist, racist, gun-toting, religious fundamentalist story line to distract the public from a government that exclusively serves the wealthy. In a new article published in the Columbia Journalism Review, Journalism’s Gates Keepers, Tim Schwab examines our plutocracy from a different point of view: How is the mainstream media, the institution most of us look to for objective news, shaped increasingly by philanthropists stepping in to fill the funding gaps as newspapers go broke and news organizations consolidate?
In their 2010 classic, Winner-Take-All Politics, Hacker and Pierson present “three big clues” pointing to the tilt of our economy to winner-take-all: “(1) Hyperconcentration of Income… The first clue is that the gains of the winner-take-all economy, befitting its name, have been extraordinarily concentrated. Though economic gaps have grown across the board, the big action is at the top, especially the very top… (2) Sustained Hyperconcentration… The shift of income toward the top has been sustained increasingly steadily (and, by historical standards, extremely rapidly) since 1980… (3) Limited Benefits for the Nonrich… In an era in which those at the top reaped massive gains, the economy stopped working for middle-and working-class Americans.” Winner-Take-All Politics, pp. 15-19) (emphasis in the original)
Hacker and Pierson’s second book in the recent decade, the 2016 American Amnesia explores America’s loss of faith in government, our massive forgetting about the role of government regulation and balance in a capitalist economy: “(T)he institution that bears the greatest credit often gets short shrift: that combination of government dexterity and market nimbleness known as the mixed economy. The improvement of health, standards of living, and so much else we take for granted occurred when and where government overcame market failures, invested in the advance of science, safeguarded and supported the smooth functioning of markets, and ensured that economic gains became social gains.” (American Amnesia, p. 69)
In their new Let Them Eat Tweets, Hacker and Pierson no longer avoid the label. They now call America a full blown plutocracy: “This is not a book about Donald Trump. Instead, it is about an immense shift that preceded Trump’s rise, has profoundly shaped his political party and its priorities, and poses a threat to our democracy that is certain to outlast his presidency. That shift is the rise of plutocracy—government of, by, and for the rich. Runaway inequality has remade American politics, reorienting power and policy toward corporations and the super-rich (particularly the most conservative among them)… The rise of plutocracy is the story of post-1980 American politics. Over the last forty years, the wealthiest Americans and the biggest financial and corporate interests have amassed wealth on a scale unimaginable to prior generations and without parallel in other western democracies. The richest 0.1 percent of Americans now have roughly as much wealth as the bottom 90 percent combined. They have used that wealth—and the connections and influence that come with it—to construct a set of political organizations that are also distinctive in historical and cross-national perspective. What makes them distinctive is not just the scope of their influence, especially on the right and far right. It is also the degree to which the plutocrats, the biggest winners in our winner-take-all economy, pursue aims at odds with the broader interests of American society.” (Let Them Eat Tweets, pp. 1-2)…
But there is another hidden element of the power of plutocrats. Philanthropies led by the wealthy make charitable gifts which subtly shape news reporting itself. And the subject here is not merely Fox and Breitbart and the other right-wing outlets. Tim Schwab’s important report from the Columbia Journalism Review is about one of America’s powerful plutocrats, Bill Gates. Schwab explores, “a larger trend—and ethical issue—with billionaire philanthropists’ bankrolling the news. The Broad Foundation, whose philanthropic agenda includes promoting charter schools, at one point funded part of the LA Times’ reporting on education. Charles Koch has made charitable donations to journalistic institutions such as the Poynter Institute, as well as to news outlets such as the Daily Caller, that support his conservative politics. And the Rockefeller Foundation funds Vox’s Future Perfect, a reporting project that examines the world ‘through the lens of effective altruism’—often looking at philanthropy. As philanthropists increasingly fill in the funding gaps at news organizations—a role that is almost certain to expand in the media downturn following the coronavirus pandemic—an unexamined worry is how this will affect the ways newsrooms report on their benefactors.”
Those of us who have been following public education policy over two decades know that the Bill and Melinda Gates Foundation has invested in policy itself—funding think tanks like the Center on Reinventing Public Education—which brought us “portfolio school reform” charter school expansion—which led to Chicago’s Renaissance 2010— which led to Arne Duncan’s bringing that strategy into federal policy in Race to the Top. We know that the Gates Foundation funded what ended up as an expensive and failed small high schools initiative, and, after that failed—an experiment with evaluating teachers by their students’ standardized test scores—and later experimenting with incentive bonuses for teachers who quickly “produce” higher student scores. We remember that the Gates Foundation brought us the now fading Common Core. And we remember that Arne Duncan filled his department with staff hired directly from the Gates Foundation.
I urge you to read it all. It’s important!
