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Archive for the ‘Capitalism’ Category

[One more vignette of post-war Seattle, written on New Year’s 1946. As a 20-year resident of the city’s suburbs, I find many of my father’s observations of mid-1940s Seattle quite interesting (the aversion to umbrellas remains strong, but is no longer universal). It seems that the good citizens of Seattle were more than happy to make a profit off the returning troops, who for all their drinking and partying couldn’t — to my father’s mind — conquer the “loneliness of spirit” that they shared with most other Americans.]

January 1, 1946 (Seattle, WA)

Seattle is one of the northernmost of US cities, but, being within breezing distance of the Japanese current, its winters are not as severe as they are exasperating. It’s an unusual day when a little rain falls. On a usual day a lot of rain falls. No one really worries about getting wet, but accepts his daily soaking as a matter of course. I haven’t noticed an umbrella during ten days in Seattle.

Seattle, like most other American cities, is much less impressive as an old acquaintance than as a bustling stranger. As a port city, it sees more than its share of soldiers and sailors, and sees them only as short-time transients bent on having a good time. Entertainment is a booming business for Seattle people, and the boys in the service are never in any doubt that it is a business. They pay top prices for anything that’s offered to them, and most of what they get is second-rate, or worse. But the simple pressure of their numbers makes them powerless to protest, and most of them have enough money to give them a “what-the-hell” attitude. But among themselves they curse the city volubly.

No doubt the good people of Seattle do a little private cursing of the troops. The boys go into town to get drunk and look for girls. These are the things they’ve been dreaming about most avidly during the months overseas, and as they come plowing deep into Puget Sound on the ships, they begin to build Seattle up into the Mecca of their longings. The people of Seattle apparently don’t make much objection to the damage done their city’s morals by the uniformed pilgrims, but they probably grow quite weary of their streets reeling with drunken, brawling, flirting kids.

On First Avenue are the military trinket stores and the penny arcades. Most of the boys make a bee-line from the ships to the trinket stores to stock up on the stripes, patches, medals, buttons, theater ribbons, overseas “hershey bars,” caps, and hash marks which become the visible marks of glory. Then, after everything is sewed and pinned in place (often at the USO on Second Avenue), they launch off into the city to consume and conquer. Several hours and a good many dollars later they drift back to their ships and barracks to boast or bitch, according to their respective fortunes.

The only regular stage performance in Seattle is a dingy burlesque show at the Rivoli on First Avenue. (Sin, by the way, is arranged symbolically in Seattle. It parades in its rawest forms along First Avenue, which is the waterfront, becomes more refined on each succeeding avenue up the hill, and is sophisticated practically beyond recognition by the time one reaches Sixth Avenue.) The movie theatres, which carry such piquant names as the Blue Mouse and the Music Box, are mostly all owned by a Mr. John Hamrick. Mr. Hamrick had a very mediocre offering for the Christmas season. “The Stork Club,” featuring Betty Hutton and Barry Fitzgerald, was as good as anything going, and it was not good at all. But the theatres stay open all night, and draw the bulk of their late-evening patronage from boys on pass who have no other place to go.

There’s one thing about Seattle, and about any other American city, that most fellows can’t understand, because they’re products of the city way of life. They’ve learned to depend on the mechanical, commercialized dispensers of “pleasure,” which never really please. The human spirit has probably never before been more completely neglected than it is in America today. Even lovemaking has no significance beyond its physical thrills, and the most intimate moments are shared by fellows and girls after an evening’s, or even an hour’s, acquaintance. There is in almost every American a tremendous loneliness of spirit coupled with an ignorance of the means of spiritual fulfillment. Spending money is the most obvious opiate for his vast restlessness, and just now he has plenty of money. Probably during this New Year of 1946 Americans will spend more money to satisfy personal wants than ever before, and then come to the end of the year as dismally dissatisfied as ever.

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[In this entry, my father recounts a late-night debate about politics and economics among the soldiers in his tent. Many of the comments reported touch on issues that remain hot-button topics today. They include the lamentation that “politics always seems to boil the scum to the top” and the fair observation that a Constitution “written over a hundred and fifty years ago for a little colony of thirteen states” might need some tweaking to remain relevant in the current America. If only the conservative “originalists” on the U.S. Supreme court could exhibit such common sense!)

September 29, 1945 (Okinawa, Japan)

I come back to the tent about eleven-thirty after an evening of bridge. The only light is at Fisher’s improvised work bench, where he sits with black-bearded head bent forward, puzzling over some piece of electrical equipment. But there are voices in the dark. Old Buck and Stan Graham are deep in a discussion of economics and politics. Right in this one tent we have concentrated the best bull-shooters in the whole platoon. Last night it was Army organization, and war responsibility. Tonight it’s communism versus capitalism. These guys are so serious that they can complete one of these discussions without once bringing in women or sex. Of course, they’re never completed in the sense that unanimous conclusions are arrived at. They die out either from the exhaustion of the participants, which is rare, or from the intercession of perverted individuals like Tom Pearson, who believes in going to sleep early because he can’t help waking up early in the morning.

The discussion tonight is even more hopelessly abstract than usual. “I’ve read, or, er, I’ve heard it said,” Buck says, “that capitalism is just the thing for a young country – “

“That’s right,” Stan breaks in, “it’s OK as long as she’s expanding, as long as there’s a frontier. But now the frontier is gone.”

“Yes. Yes.” Buck says. “That’s just what I mean. So now I think that this country is ready – er, really needs some kind of economic regulation.”

“Yeah,” Stan says, “and then we come to a situation where we’re advocating just the things we’ve been fighting this war to prevent.”

“Well,” Buck says, “I think we ought to have a group of economic experts study the situation, and then make an honest report to the people on just what has to be done to stop depressions.”

At this point I enter the discussion and explain that a large number of such studies have already been made, and the reports are available to the public for whatever they’re worth. But Buck says he’s never heard of them. Then I try to explain the dilemma that arises when anyone attempts to press economic sanity through the maze of American politics.

“Well,” says Buck, “it seems to me that if we could educate the people on those things…”

Here again I’m skeptical. I point out that good education demands exceptional teachers, and there aren’t enough exceptional teachers to go around.

“Yep,” Stan agrees, “you can’t get a good man to work for nothing, and that teaching’s one of the lowest-paid professions.”

Then Buck starts working around towards communism again. Joe Graham comes in and says that communism, without the dictatorship part, is the only solution.

“Sure,” I say, “but just take away Joe Stalin and the club over a man’s head, and see what happens to your communistic system.”

Buck has an idea of more “personal” government at the township level. “The township is a closeknit unit, and, with the right kind of supervision, there hadn’t ought to be a single person in it on direct relief.”

I don’t seem to agree with anything that Buck has put forward. “What about the huge cities?” I ask. “That’s where most of your unemployment is. And besides, local economic problems are only tiny segments of disorders that have to be considered on an international scope.”

Stan tries a new tack. “I don’t know why it is,” he says, “but politics always seems to boil the scum to the top. Now if we could have some kind of group down in Washington, and salaries high enough to attract good men, and let this group hold a whip hand over all the sonsabitching senators and representatives, maybe we’d get something done. If they didn’t do a good job, they’d just get their asses booted out of there…”

“And we get some guys just as bad in their places,” I say.

“And how would you know when they’re doing a good job?” Fisher asks.

“Well, you’ve got something there,” Stan admits. “Look, fellows, I’ll tell you what. Don’t you just think that a Constitution that was written over a hundred and fifty years ago for a little colony of thirteen states might be a little obsolete today?”

“You’re absolutely right!” Buck agrees. “Now if we could just make the right changes…”

“Listen,” T. J. Pearson breaks in with a weary voice, “there’s a bunch of guys in this tent you have to shake their asses to get them out of bed at seven in the morning for breakfast, and that starts talking politics at eleven-thirty at night. That’s the one thing that’s wrong with the American way of life.”

 

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 [In this third installment drawn from the July 22, 1945 entry, my father presciently identifies the problems the new United Nations organization will face, especially due to its adoption of the slippery concept of “national sovereignty.” In many ways, this entry foreshadows the rocky road that the UN has travelled since its founding, particularly the Cold War-era face-offs between the U.S. and the Soviet Union. Whether it’s from China, Libya or the U.S. itself, the constant invocation of National Sovereignty by U.N. member countries shows no signs of dissipating.]

 July 22, 1945 (Ft. Jackson, S.C.), con’t.

…We may already have congratulated ourselves on the part we played in the drafting of the United Nations Charter at San Francisco, and on the part we now expect to play in whatever international organization is established under the charter. But our congratulations should be well-tempered with caution. The document on which we are preparing to set our Congressional stamp of approval is well booby-trapped with those supposedly rational words and phrases which technological developments have made largely obsolete in the modern world. We may bandy them about in good faith, but when we shape national policy on them, we’d better be damned sure we know what we’re talking about before we act.

“National sovereignty” was a phrase stressed more, perhaps, than any other at the Conference, and it’s by all odds the most dangerous. For what does “national sovereignty” mean in today’s world? The most common interpretation seems to be that the administration of domestic affairs is solely the concern of the respective national governments. This, at least, is the best that the delegates to San Francisco would allow themselves publically to express, though if they are the able men they’re supposed to be, they must all privately have realized that this interpretation is little more than a verbal evasion for the time being of a practical problem which must be faced repeatedly whenever the international organization begins to function. For it is simply a backhanded statement of isolationism (You let me alone, and I’ll let you alone), and  thus at the very beginning a flat admission that the nations are not willing to attempt to enforce that international law and order which could be their only justification for joining together in the first place.

Of course this is an overstatement of the situation. But it’s better to see it that way than to attempt to hide it or minimize it. Its most optimistic supporters admit that the charter is only a hopeful beginning. At least it gets most of the nations on the world peacefully together under one roof. What goes on after that admittedly depends on the willingness of the great powers, or the US and the USSR, to cooperate. But it isn’t clearly pointed out that international cooperation must inevitably mean a continuing compromise on matters which are still considered to be purely domestic in nature. Until “national sovereignty” is whittled down to about the present significance of “state sovereignty” in the US, no international organization will have a ghost of a chance of keeping the world at peace.

This is going to [be] a tough job of whittling, when most of it must be done by two nations of such divergent political opinion and practice as America and Russia. We want the Russians to come a certain distance towards democratic capitalism. We must then be prepared to move a certain distance towards democratic communism. I say this without meaning that Russian communism is at present markedly democratic. We believe that much is lacking in that respect, though we must concede that millions of Russians are apparently well-satisfied with their government, and convinced that we Americans are politically backward in certain respects. This is certainly not a situation which can be helped by name-calling. But we should insist on steadily expanding facilities for the interchange of unbiased news, as well as facts and figures on industrial production and military strength. Among nations which honestly desire to remain at peace with each other there can be no reason for suppressing such information, and its dissemination in reliable, public bulletins should have the effect of dissipating that unhealthful atmosphere of intrigue and distrust with which nations have habitually carried on their diplomatic relations. Texas doesn’t feel injured when Massachusetts knows how much oil it produces, or how many airplanes. The members of an international organization which means business should invite the publication of all such devious facts.

The possibilities of such forms of international cooperation are as numerous as the problems which the nations of the world share in common. But we will never see them realized if we place our hopes in the formal signing of documents and treaties, and the dispensation of high-minded advice. Ours is the potential power, and therefore the responsibility, to set practical examples of cooperation for the maintenance of international law and order. There’ll be no law and order in those places where people have no food and shelter and clothing. In those places it’s our responsibility to provide the essentials of life as far as our means allow without the actual deprivation of any of our own citizens of these essentials. Our business sense should tell us, if it’s as keen as we claim, that we won’t get something valuable without paying a good price for it. International order and peace in a world so terribly devastated by war comes at a high price. Millions of American men are still paying that price in the actual  waging of war. But most Americans have a chance to get off incomparably easy as compared with the peoples of the rest of the world. Near the all time material peak of their standard of living, in spite of the war, they have only consent to the slight cut in that standard which will be necessary to supply the peoples of devastated areas with the means of staying alive and starting a new community life from scratch.

Put didactically, as I have done it, this sounds like an easy thing to do. But put practically to Sam Jones and family, in the form of continued rationing so that our ships can cart off to foreign countries some of the things “we’ve been fighting for,” it will be near to a political impossibility. In the abstract, perhaps, it won’t be so hard to convince Sam that primarily we’re fighting for a peaceful world where all men will be able to enjoy a larger share of the things which make life more pleasant, – the beef steaks and the automobiles. But then tell him that he’ll have to wait a little longer than he expected for his own postwar beefsteak and automobile, and he’ll write to his senator: “Dear Bill: How much longer is this country of our going to play Santa Claus to those damned foreigners? Cut out sending them good stuff that American citizens can use right her and now!”

Already this outcry is rising like an Anvil Chorus throughout the nation’s newspapers. And no doubt it’s rising to a roar in Congressional mail. That’s public opinion. The poor Congressmen have little choice. Cut down UNRRA shipments. Stop feeding civilian populations in liberated and conquered countries. Relax rationing at home. No foreign loans without guaranteed security….

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[This entry begins with an analysis of the interplay between government and business in communist and fascist countries, and contrasts that interplay with America’s historically more-balanced model. From that foundation, my father revisits one of his favorite themes — the importance of individual self-expression and creativity — and discusses how America has done better than most in cultivating and nourishing the individual. Near the entry’s end, however, he cautions that “A society is thrown fatally out of balance when one group within it accumulates the power to deny expression to all conflicting interests.”

Sadly, in our current electoral season, corporations have been given carte blanche by the U.S. Supreme Court to spend endlessly and anonymously to promote their preferred candidates and causes. While Tea Partiers and other right-wing zealots worry endlessly about Big Government, they seem completely oblivious to the threat that Big Business poses to our democratic institutions (to say nothing of the threat to their own self interests…). Perhaps we’ve already reached the tipping point where American democracy is beginning to spin “fatally out of balance.”

September 10, 1944 (Camp Shelly, Miss.)

Call government the chicken and business the egg. Then ask which came first, the chicken or the egg. In the Communist state it was the chicken, nor was this simply a matter of chance. In Russia at the time of the Revolution there was only a comparatively small industrial plant, and its owners were on the losing side. So, entirely aside from the Marxist theories, it was quite natural that the political organization should come first, and that it should assume complete control of the development of the nation’s industry, making it a state enterprise. Nor is it strange that the Communist leaders should believe that their way was the best way. They made it work.

In Germany after the World War, the ruling class, mostly in the person of the Kaiser, was eliminated, but German industry, already highly developed, and not greatly damaged by war, remained in the hands of its pre-war owners. Thus they, by default, became the top-dogs in Germany, and controlled the government as they saw fit. This was the prime condition of Fascism. These businessmen picked Hitler as the best front-man available, and have perhaps lived to regret their choice. But that’s debatable, since it isn’t quite clear that Hitler has ever got completely out of hand, or crossed them up badly.

In the United states, the question of the chicken and the egg remains a riddle. Business and government, through the historical accident by which our state was established at the beginnings of the industrial revolution, have grown up together and though the preponderance of power has sifted back and forth during the years, they’ve never been completely out of balance with each other. It’s this system of constantly-maintained balance between business and government which we’ve come to call democracy. It’s an extension of the system of checks and balances which was written into the original Constitution, and which is probably one of the most fruitful social theories ever formulated. Though we may have acquired it partly through accident, it’s very important today that we understand its value and function, so that we’ll be the stronger to dismiss all temptations to destroy it.

The Communist and Fascist states are both built to ignore the most pressing need of modern society, which is the need for individual self-expression. The leaders of these states have become fascinated with the idea of the mass, and have forgotten that the strength of the mass is in its individual members. And though, for a limited time, and under special conditions, it may be possible to inspire mass movements of considerable force, there is nothing more permanent in such a movement than in the display of the pent-up force in a released rocket. Both are brilliant, and soon spent.

Democratic society has few moments of this type of hysterical mass movement and in these moments it’s the least democratic. The crude techniques of mass appeal have no place in a democratic system, and should be avoided except as a last expedient at times when the state is threatened by outside force. Even then such appeals should be strongly salted with emphasis on the individual.

For the end of democratic society has never been conceived as the power of the state, but as the opportunity and happiness of the individual citizen. In a civilization which seems peculiarly suited to the creation of great Force-States, this democratic theory may appear almost archaic, and certainly very fragile. But the facts don’t bear out this fear. The United States is today the most powerful state in the world, and at the same time, among the large nations, the most democratic. We have demonstrated that mass effort can be demanded of millions of individuals without destroying their individuality. The danger among us now is that fascination with the material power we’ve built for ourselves will make us forget that the main source of this power is in the individual who is free to think for himself, and, to a large degree, free to direct his own creative activities.

In any society it’s always been hard to find a way of guaranteeing a practical degree of freedom to every adult individual, and most societies haven’t even attempted to find such a way. Industrial society, perhaps, makes it at the same time more possible and more difficult than ever before. The material and mechanical means exist which can free men from slavery to the labor of maintaining a bare subsistence. But these same means can also be used to subject men to the most terrible slavery in history. This is the slavery which makes them not slaves of themselves, or of other men, but of the machine. All human quality is sapped out of this relationship, and men can be brutalized to a point where they are themselves nothing more than machines. Something of this sort has happened to the leaders of the Nazi state.

The safest state of affairs exists in a society where no element or interest is completely satisfied, and no one is completely denied satisfaction, where everyone has an opportunity to voice his own desires and have their merits submitted to a forum of the whole. A society is thrown fatally out of balance when one group within it accumulates the power to deny expression to all conflicting interests. In such a society, sufficiency is sacrificed to efficiency. The machine-quality displaces the human-quality. Such a society cannot last…

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[Having just read John Dos Passos’s USA, my father reflected on the author’s depiction of society in the early 1900s, including the stagnation of the “propertied class” and the qualified “revolution” of the workers. My father appreciated Dos Passos’s ability to see both sides of the social debate, and my father generally strove to match this kind of balanced objectivity in his own observations and critiques. His analysis that the New Deal prevented, rather than caused, a revolution has meaning today in the context of the various federal efforts to mitigate the current recession’s effects. Unfortunately, it’s no easier today than in the past to counter criticism of the government’s efforts with a “things would have been much worse” defense of those efforts.]

January 26, 1944 (Jefferson Barracks, Mo.)

…Yesterday I finished Dos Passos. In the last paragraph of the narrative, Mary French says, “Say, Rudy, if Ada Cohn calls up again, tell her I’m out of the office… I have too much to do to spend my time taking care of hysterical women on a day like this.” She put on her hat, collected her papers, and hurried over to the meeting of the committee.

When you know the situation and the characters, that paragraph sums up a lot of Dos Passos’ ideas and hopes. Ada Cohn is a rich Jewish girl, a dilettante musician. Mary French is a radical social worker. She and Ada become friends during college days at Vassar. The night before, they’d gone to a Greenwich village party given by Eveline Hutchins, a jaded member of the idle rich. Next morning the papers carry the story of Eveline’s suicide. That’s why Ada’s hysterical. Mary herself is terribly discouraged by the impending failure of the strike on which she’s working. But Mary, you see, has a cause to work for. No hysterics for her. She hurries off to a meeting of the strike committee. The year is about 1928.

That’s Dos Passos’ way of summing up what seemed to him the significant trends in the social history of the USA at that time. The rich propertied class had lost contact with creative living, was collapsing, stagnating; the “revolution” of the workers, on the other hand, was not strong enough to take over the state, as had happened in Russia, but the workers weren’t giving up.

If Dos Passos had been a professor, and written his book as a text, he might have called it The Radical Labor Movement In the United States 1900-1928. But he had more of a mind for people than for statistics, so he wrote as he did. He himself was on the radical side, but he saw more than the shortcomings of those on the other side of the tracks. He understood how faction and treachery within his own ranks had as much to do with the failure of the cause as did interference and persecution from the outside. Because of this objectivity, his work deserves a high rank as history, and powerfully drawn history. It burst far beyond the bounds of narrowly defensive propaganda put out by some “party-line” communists.

The conditions which Dos Passos describes, – the strikes, the beatings, the massacres, the official murder of civil liberties, – have never been part of my America. Yet I know that they happened, and still do happen. But to speak now of a revolution sounds ridiculous. The New Deal wasn’t a revolution. In fact, it probably prevented a revolution by restoring to the working people enough economic security to keep them from resorting to violence. But this security was largely restored through the channels of the existing industrial machine, and the owners of that machine remained in power.

Was this a triumph of the American democratic system? Have the men of property at last learned the responsibility of property? Can the unions settle peacefully their differences with the managers without the domination of both by government? And if government domination of both groups becomes necessary, can the real values of democratic society be maintained and strengthened?

Those are some very general questions for a liberal democrat today. I didn’t ask them to answer them here, because I don’t know the answers. To me now they’re like sign posts on the road.

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[This entry gives some insight into my father’s post-Great Depression hope for “collectivistic, or socialistic, capitalism.” Using as a starting point a lecture by Harry M. Fife, a Middlebury professor of economics from 1925-1950, my father writes about the exposed shortcomings of private business and the emerging potential of “public business.” It’s impossible to read this entry and its phrases — “general fabric of irresponsibility,” “rapacious self-interest,” “great spree of speculation” — without drawing parallels to the financial-market and mortgage manipulations that sparked our recent deep recession. It seems that the “corporate-finance-banker-imperialistic capitalism” of the 20s, 30’s and 40’s had some staying power. So did the ability of politicians and ideologues to demonize terms and concepts such as “socialism” and “welfare.” How quaint that my father could write: “No man can find moral justification for getting into business for the sake of profits.” And how sad that this sentiment is so at odds with the reality of our present-day world.]

December 11, 1942 (Middlebury College)

Fife gave a swell lecture this morning. He traced through the several phases of capitalism from the “putting-out” period down to the recent, and not yet extinct corporate-finance-banker-imperialistic capitalism. This last fits in as both cause and effect of the present woes of the world. But we are advancing into the period of collectivistic, or socialistic, capitalism. Please keep your thinking constructive, he said. Corporate organization is indispensable in our society. What we need to find out is how to keep the advantages of the corporation and get rid of its disadvantages.

Old Fife embodies the true spirit of our times better than any other prof that I have, not excepting Doc Cook. I’m going to ride high on that spirit not because I believe in following the crowd, but because I have no other choice, no other urge, but this. It seems to me that the moral issue is more clearly defined these days than it has been for a long time. Up until the depression of the 30’s there must have been room for a great deal of doubt in a young man’s mind if he asked himself just what his position in society should be. On the one hand there was the dominant business interest in private hands, apparently serving the community as well as anything available. On the other hand was the growing volume of public business, barely articulate, and yet containing dim possibilities of great future good in society. But a man would have had to be morally keen to have seen these possibilities, and courageous to invest his life work in bringing them to fruition.

This problem no long[er] exists. No man can find moral justification for getting into business for the sake of profits. This, indeed, must have always seemed narrow justification to some businessmen, even when it was thickly glossed over with the ideal theory of the self-regulatory, free competitive system, automatically assuring the greatest good to the greatest number. Many intelligent men who were hand and glove in the system must have sometimes wondered, nonetheless, if things were actually so fine as the theory suggested. A lot of people knew that things were actually very bad, but they were the people on the bottom, the working masses, and their voice didn’t count. In the land of “free enterprise” it was obviously their own fault that they stayed down; – they lacked the brains, or the ability, or something. It must have been possible for many men on the top to reason this way with perfect sincerity.

But this ground got shakier all the time, especially after the first World War. The moral compromise involved became more and more obvious to men in high positions, and [as] a result they began to lose faith in the system to which they were allied. They lost their integrity. Out of this general fabric of irresponsibility, the whole tendency of too rapacious self-interest which had been inherent in the system for a long time, though to a large degree rationalized out of sight, now came into its own. We embarked on the great spree of speculation, with all the bars down. It was an out-and-out case of dog eat dog, at least among the men of power and influence in our society who were to a large degree responsible for decent social order and justice. In that mad decade this class abdicated its position as the recognized leading class of the nation.

So the choice today is no problem. I am on the side that has stepped into the breach, – the New Deal side, the socialist side. And it’s a good side to be on, because it’s fresh and new, with an untainted, if short, history, and a tremendous future full of work. We’re not out for revenge, but as Fife says, our job is to build an economy for welfare, and not for money profits.

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