Thursday, November 1, 2012


Socialism.  What does it mean? (2009) 

What is socialism?  This philosophy has received an unusual degree of attention recently.  Initially, it was used as a one-dimensional attack via Joe the Plumber by the McCain forces at the end of the presidential campaign.  As a result, it prompted several letters to the Citizen-Times and was the subject of a few local opinion pieces. 

In each exposition, the term never received a fair description of what it means. When it is used, it becomes in our slogan-driven public forum a meat ax to pound an opposing candidate or cause.  Clearly, an attempt to define socialism in this limited space runs a significant risk of oversimplifying. In taking that risk, let me add that my purpose is not advocacy but clarification. 

In a nutshell the major purpose of socialism is to provide the opportunity for each individual in society to develop to his or her fullest potential. Although capitalism may intend that indivudals will develop their talents and capacities, socialism makes it the primary goal. 

The first priority of capitalism, on the other hand, is through industry and commerce to create a profit or surplus value through the production and exchange of goods and services.  Individuals do benefit and great wealth may be produced through its enterprises. But many individuals do not gain and the cause is not solely attributable to intelligence and motivation.  A system that is designed to maximize profit for owners and investors guarantees, regardless of motivation and hard work, that a significant number of citizens will come out with less. 

The continuing debate between conservative and liberal capitalists is how much government is needed to lessen the pain of profit-driven economics.  The former argue that “big government” gets in the way of the free-market; the latter advocate for government to assist the many who are trampled by the ‘free market.’ 

The discussion is never about what kind of society do we really want.  Capitalism offers an indifferent market that produces by its nature a few haves and many have nots.  Socialism develops a society to provide the opportunities for each of us to develop our talents to the fullest.  Socialism cannot produce the amount of wealth that capitalism can, but it would not create the extreme artificial inequalities that capitalism inherently spits out. 

Democracy can operate just as well in a socialist society as in a capitalitist one.  In fact it would be more democratic.  The large number of individuals and families in poverty are a blight on the quality of democracy in a capitalistic culture.  This would not be the case under socialism.  With free education and healthcare, each individual would live in an environment that encourages excellence. Consequently, one could argue, the ethics of an entreprenuriel spirt and service to the community would go hand in hand to create a true practice of community.
 

So the next time a politician derides his opponent as a ‘socialist,’ it may in truth mean higher praise than intended.

 

 

 

 

 

McColl misfires on Utilities Commission’s duty to probe Duke



Charlotte Observer  July 25, 2012

McColl misfires on Utilities Commission’s duty to probe Duke

From John Clark, station manager of WDAV for 18 years, now retired, in response to Hugh McColl’s “Regulators should stay out of Duke Energy’s board room” (July 22 For the Record); reach Clark at alfven@att.net:

I don’t live in Raleigh and don’t have friends, relatives or associates in state government public oversight agencies, but I did find Hugh McColl’s opinion article disappointing.

First admission: I have a great deal of respect for Hugh McColl and his many salient contributions to the life and fabric of the city of Charlotte. I’ve met him a few times and like him.

Second thought: Hugh would have been better served by not requesting the Observer publish his writing. He should have first counted to ten.

The public utilities commission is charged by law to look out for the public’s interest in the matters of a regulated utility. What is a regulated utility? It simply is an organization that is providing such a vital service to the people of a specific region that it gets government approval to operate as a monopoly. A regulated monopoly.

Consequently, it operates neither like the tire store down the street nor like Bank of America. That’s an important distinction that Hugh fails to note. He did cite his experience as head of a company that was regulated – although those regulations over time continued to be eliminated in part through his efforts – and he even admitted he was chairman of his BofA board, which seems to me to contravene at least the spirit of board oversight of the CEO, a position he held at the same time he was chairman.

In short, let’s get real. Boards of directors do indeed have the fiduciary responsibility for the operations of a company and specifically the performance of its CEO. But in reality, and I would argue particularly at BofA, many boards are but a group of yes-men and women. Witness the actions of CEOs with board approval at both BofA and Wachovia leading right up to the Great Recession. Wachovia is gone and BofA has been crippled.

The public utilities commission is within its right and duty to investigate this matter. Whether or not it finds any action punishable by law is not the issue now. It is representing the interests of people like me, especially those citizens in the Raleigh area who, through the merger, are losing a corporate headquarters (we in Charlotte now know what that’s like) and some who will be losing their jobs.

Hugh, your article was right on as a general description of businesses and business boards. Within the context of the Duke-Progress Energy merger and the way it was conducted, your view totally misses the mark. Copyright 2012 . All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

 

Sunday, August 5, 2012

On July 12, 2012, Scott Provancher, the CEO of the Charlotte Mecklenburg Arts and Science Council (ASC), 'sounded the alarm' about the current model on which the ASC operates. His article appeared on the Charlotte Viewpoint website and in it he promised a second article in which he will propose a solution.  I commented on his article and suggested a particular direction for the ASC to take. My article follows Scott's piece:
Sounding the Alarm  by Scott Provancher

I recently gave a keynote speech to a group of community leaders at the Annual Meeting of the Rockford (Ill.) Area Convention and Visitors Bureau. My good friend John Groh, the CEO of the Visitors Bureau, asked if I would be willing to talk about the role that social innovation plays in building vibrant cities.
I have a fond place in my heart for Rockford because they took a risk in hiring me to serve as the Executive Director of the Rockford Symphony when I was just 24 years old—an opportunity that became a defining leadership experience for me and a spring board for both the Rockford Symphony and my career. So when John called, I immediately said ‘yes’.
Preparing for this speech also gave me an opportunity to clarify in my mind what social innovation really means and the role it must play in ensuring Charlotte’s continued growth and prosperity.
Simply defined, innovation is an idea that creates value. There is a plethora of ideas in the world, but few create lasting value. To me, social innovation is the most elusive, yet most important form of innovation—a novel idea that creates value for the public good.
Examples of great social innovations, such as the development of language, irrigation, and the public library system, immediately come to mind. However, one doesn’t need to look back thousands of years or even outside of their own community to witness the importance of social innovation.
In fact, the development of the Arts & Science Council (ASC) was a social innovation. The pressing issue of the time was how a city poised to grow economically in the coming decades could ensure that it had the arts and culture offerings necessary to attract, retain, and inspire the needed workforce and their families.
Despite Charlotte’s prospects for future growth, it had a dilemma. More mature communities had built their arts and cultural amities through the generosity of a select few—famous philanthropists like Mellon, Rockefeller, Carnegie and Guggenheim had both significant resources and saw the importance of a cultural life for a community. Without that kind of wealth, however, Charlotte would need to innovate in order to accomplish this feat.
Through the visionary work of community leaders from both the public and private sectors, a groundbreaking partnership was formed. The ASC as we know it today was developed as a unique non-profit umbrella organization that would receive both public support from the city and county, and leverage that investment to inspire donations from companies and individuals through corporate and workplace campaigns. The dollars raised would not only help lead the creation of new venues and programs, but also provide operating support for a burgeoning group of arts and culture organizations.
What resulted was nothing short of a miracle. Over a 35 year period, more than $1 billion (52% private and 48% public) was leveraged to literally build a city centered on arts and culture. This innovation helped to make Charlotte the envy of other cities that by now are seeing stagnating urban cores and failing arts organizations, but is a significant economic engine for our community, generating over $200 million in annual economic impact and 6,200 full-time jobs.
Our funding model is no longer working
At the risk of being an alarmist, I am concerned that the entire funding model that fueled our cultural explosion over four decades is no longer working. Even before the economic downturn, the underlying system that had fueled the growth of the cultural sector was quietly and dramatically shifting without a true understanding of the consequences. The most significant shift came in two forms 1) how companies partner with ASC to fundraise in the workplace and 2) the City of Charlotte and Mecklenburg County funding structure for the arts and cultural sector.
Workplace giving was the single greatest growth engine for the cultural sector in the past, and it provided much needed operating resources to keep the doors open for organizations like Children’s Theatre, Discovery Place, Charlotte Symphony and a dozen others.
A Foundation For The Carolina’s sponsored task force in 2008 affirmed the crucial role of workplace giving for the future of both the United Way and ASC affiliates. However, the train had already left the station. Since the time of the task force report, the dollars raised in ASC’s workplace campaigns dropped almost 40%.
There is no doubt that the workplace giving model was seeing signs of its age before the economic downturn, and the task force agreed that a significant overhaul was needed to meet the changing needs of employees and employers. But the speed of this changing landscape left two huge non-profit sectors without the runway to develop a meaning alternative for the community. This is something that we still need to resolve.
Another quiet shift remained virtually unnoticed because of the tremendous growth in the private sector. The role that the City of Charlotte and Mecklenburg County plan in the partnership to fund the cultural sector.
An important aspect of the ASC model is that the City of Charlotte and Mecklenburg County would in essence outsource the function of a cultural affairs department to ASC, thus enabling a big savings on overhead and ensuring the greatest percentage of dollars going directly to the community.
These dollars also play an important role in the private-sector partnership by encouraging the private sector to match the public dollars committed to the partnership. However, over the last decade the public-private leveraging has become a lopsided arrangement, with the private sector now tackling the lion’s share of the annual support of the arts and culture sector.
Through a series of decisions beginning in the early 2000s, Mecklenburg County gradually reduced ASC funding until it reached an all-time low in 2010. During this period, total City and County funding for arts and culture decreased by 36%, while the overall City and County budgets increased significantly.
The need to forge a new path
All that is to say, the once-innovative model that was developed to support the arts and culture sector will need to be reinvented to meet the growing needs of our community.
The great Peter F. Drucker made a profound observation when he said, “Business has only two functions –marketing and innovation. All the rest are costs." In other words, the function of business is to develop products and sell them to customers.
The ASC and Charlotte-Mecklenburg is no different. We must design solutions that provide community value and ensure their success. Going back to the old model for support of arts and culture is simply not possible. The change that our community has seen is significant and, like our community did decades ago, it will need to forge a new path forward to ensure our cultural assets continue to flourish.
When I stood on stage in Rockford, behind me were two juxtaposed pictures: the Charlotte skyline in 1976 and one in 2012. I looked at the audience and said, “Do you want to see what innovation can do for a city? Look no further than the transformation of Charlotte.”
The arts and culture sector was one of the most significant catalysts in this transformation. With the help of the community, our key civic and corporate partners, I am confident we will find a way to accelerate our arts and culture sector and continue to make Charlotte one of the best places in the world to live. Innovation is how we can do it.
________________________

John Clark Response: 

I commend Scott Provancher for suggesting the current ASC model supporting cultural arts fundraising in Charlotte-Mecklenburg is no longer working.  Five years ago (January 2007), just before the Great Recession began, I offered a critique of the approach in a Charlotte Observer op-ed piece.  It garnered support from professional musicians, dancers, painters, poets, singers, actresses/actors and other individuals from our arts community and was generally panned by the ASC and other arts organization directors.  No surprise there. 

Naturally, I am interested in Scott’s upcoming solution to the problem and in the meantime would like to offer some thoughts about the model as it has worked in our community.  My purpose is not to revisit the past per se but rather to note certain inherent weaknesses of the model with the intent to steer clear of them in the design of a new approach to supporting the arts. 

The united fund approach for the arts, borrowed from the United Way by many cities, was primarily begun to minimize the number of financial requests to the business community from arts and cultural groups.  Another reason, as Scott cited, was the business need to achieve an arts environment “...necessary to attract, retain and inspire the needed workforce.” As you see, doing it directly for the benefit of the arts was not high on the list. 

The major strength of a united fund model is its efficiency. Organized by the ASC, hundreds of individuals volunteer through their places of work cover various sectors of the community (professionals, education, retail, etc.) to solicit employees to give to the annual fund.  Scott notes during the past 35 years, 52% of the $500 million raised came from the private sector.  That’s $260 million.  Break down that figure as an average for each of those 35 years and it is only $742,857.  Not all that impressive. 

Here’s why.  While this model is efficient as a workplace campaign, it denigrates the true nature of giving.  The experience of true philanthropy is exciting, inspiring and very rewarding.  An individual makes a gift directly to an arts organization such as the Charlotte Symphony.  She does so because she enjoys the concerts and is moved to give money beyond simply buying tickets to the performances.  It’s the emotional connection with the Symphony that is most meaningful in her gift-giving.  This connection increases over the years and is reflected by her greater involvement and in larger gifts to the Symphony. 

That experience is largely missing in the ASC united fund approach.  Sure, there are key volunteers who get involved in the campaign and are highly motivated.  It’s short-term, however, not only because it occurs once a year, but also because it’s a fundraising project, not an arts-making endeavor. 

If you’ve been living here for a while, you’ve heard the horror stories of employees, especially at the larger companies, being pressured not only to give to the ASC campaign but to give based on the level of their salaries.  I know of a friend who worked at one of our big banks whose work team had to go on a retreat to deal with sore feelings from such pressure.  This is akin to turning donors into mercenaries with the ‘pay’ being the fact you won’t lose your job or be overlooked for promotion. 

Even in its more benign form, that is not true philanthropy and hardly the way to build over the decades a true philanthropic environment for the arts.  And it does take time for that to happen.  Yet, because Charlotte opted for the united fund approach 35 years ago, we’ve lost a lot of time. 

Clearly, it’s difficult to say what would have happened if we had not gone the united fund route.  The symphony in Nashville nurtured a major donor.  She was instrumental in their impressive campaign of raising $123 million within five years.  Recall our ASC raised in private funds only $260 million in 35 years.  In choosing the road of developing a philanthropic environment for the arts during the past four decades, Charlotte may have produced a number of wealthy arts philanthropists (it did and does have very wealthy individuals).  More importantly, it would certainly have produced many more authentic donors who would have a direct giving relationship with an organization that actually made art—music, drama, dance, singing, painting, sculpting, etc. 

I hope the new direction the ASC takes is to foster that philanthropic environment to nurture individuals now in the 30s and 40s to experience the joy of giving directly to a group that is making art for our community.  The ASC can increase its role as an incubator for arts groups to learn how to raise funds and promote their art forms.  The ASC could work to get people excited, not about a fundraising campaign, but about a campaign that puts us in the center of our local arts world.  One that truly moves our hearts.








Thursday, July 26, 2012

I responded to an opinion article in the Charlotte Observer by former Bank of America CEO Hugh McColl. It also was published in the Charlotte Observer.  McColl's article is first followed by my response:

Printed from the Charlotte Observer - www.CharlotteObserver.com

Posted: Sunday, July 22, 2012

Regulators should stay out of Duke Energy’s board room

From Hugh McColl Jr., retired CEO of Bank of America:

In 53 years of living in North Carolina, I believe I have only written two letters expressing an opinion on public matters, but today I must express my concern for the future of North Carolina.

I am deeply concerned over the North Carolina Utilities Commission’s challenge of Duke Energy’s board of directors’ right to hire and fire their CEO. Such interference will cause companies considering relocating to North Carolina or remaining here to question whether North Carolina is truly a business-friendly state.

I was a director of a public regulated company for more than 25 years and was chairman of the board for 18. As CEO, I worked for the board and understood that my job was generally secure for the day. In addition, I was on the board of two other regulated companies in transportation and insurance. In short, I know what authorities and responsibilities boards have.

One of the principal functions of the board is to hire and fire the CEO. They have the authority to do so, and most important, the fiduciary responsibility to see that the company is well led. The people who wrote and adopted our corporate laws settled this issue long ago. If regulators insert themselves into matters of the board room, they chill the business atmosphere for our state.

One does not have to agree with or applaud the decision of any board, but they must respect it legally. The directors are elected by shareholders, and if the shareholders are unhappy with the board, they have the right to replace them. One could add that we citizens can do the same with our elected leaders.

It should also be said that the stockholders of both companies approved the merger and elected the board whose decision is now being challenged. One doubts that many institutional stockholders gave much weight to the proposed management structure. More than likely, they were interested in efficiencies and earnings potential of the combined entity. Duke Energy has been and will continue to be well-managed.

In addition, Duke Energy has been a good corporate citizen in all the states in which they operate. I believe that will continue. Lastly, one could argue that the commissioners who have had a professional association with Mr. Johnson should recuse themselves from these deliberations.

One hopes that the Commission will avoid further interference into the corporate governance of Duke Energy. It is not in the interest of North Carolina consumers or businesses or the state.

        
July 25, 2012  Charlotte Observer
McColl misfires on Utilities Commission’s duty to probe Duke
From John Clark, station manager of WDAV for 18 years, now retired, in response to Hugh McColl’s “Regulators should stay out of Duke Energy’s board room” (July 22 For the Record); reach Clark at slfven@att.net:
I don’t live in Raleigh and don’t have friends, relatives or associates in state government public oversight agencies, but I did find Hugh McColl’s opinion article disappointing.
First admission: I have a great deal of respect for Hugh McColl and his many salient contributions to the life and fabric of the city of Charlotte. I’ve met him a few times and like him.
Second thought: Hugh would have been better served by not requesting the Observer publish his writing. He should have first counted to ten.
The public utilities commission is charged by law to look out for the public’s interest in the matters of a regulated utility. What is a regulated utility? It simply is an organization that is providing such a vital service to the people of a specific region that it gets government approval to operate as a monopoly. A regulated monopoly.
Consequently, it operates neither like the tire store down the street nor like Bank of America. That’s an important distinction that Hugh fails to note. He did cite his experience as head of a company that was regulated – although those regulations over time continued to be eliminated in part through his efforts – and he even admitted he was chairman of his BofA board, which seems to me to contravene at least the spirit of board oversight of the CEO, a position he held at the same time he was chairman.
In short, let’s get real. Boards of directors do indeed have the fiduciary responsibility for the operations of a company and specifically the performance of its CEO. But in reality, and I would argue particularly at BofA, many boards are but a group of yes-men and women. Witness the actions of CEOs with board approval at both BofA and Wachovia leading right up to the Great Recession. Wachovia is gone and BofA has been crippled.
The public utilities commission is within its right and duty to investigate this matter. Whether or not it finds any action punishable by law is not the issue now. It is representing the interests of people like me, especially those citizens in the Raleigh area who, through the merger, are losing a corporate headquarters (we in Charlotte now know what that’s like) and some who will be losing their jobs.
Hugh, your article was right on as a general description of businesses and business boards. Within the context of the Duke-Progress Energy merger and the way it was conducted, your view totally misses the mark. Copyright 2012 . All rights reserved. This material may not be published, broadcast, rewritten or redistributed.







Thursday, March 1, 2012

Two Meck Dems Support Bad Consumer Loan Bill

Last June, the N.C. House of Representatives passed a consumer loan bill that in some cases would more than double the interest rates on small loans.  The bill again came to light recently when Democracy Now published campaign contributions made by small loan business owners to House Speaker Tom Tillis and others.


In learning about this issue, I discovered that two Democratic Mecklenburg County representatives had not only voted for the bill but also had co-sponsored it.  I wrote them about their support of this discriminatory legislation.  Here's my letter:


Dear Representatives Beverly Earle and Kelly Alexander: I’ve just learned about a bill to increase the interest rates on consumer loans that was passed by the N.C. House of Representatives on June 2, 2011. Thankfully, it has yet to pass the Senate, but that may happen during the upcoming short session of the General Assembly. The bill is a travesty and in my opinion hurts the working poor in this state. I am not surprised that Speaker Tillis and his right-wing cohorts got it passed (look at the major donations from the consumer loan industry to him and others). I am, however, shocked that you both co-sponsored this legislation and voted for it. As a volunteer for four years at Crisis Assistance Ministry, I interviewed individuals and families who struggled to make a living. They had jobs but a sick child, a car problem or other mishaps created a crisis for them. I’m sure you are familiar with these situations. The people do not need to get trapped into these kinds of loans at the ludicrous interest rates. I read where this bill had some safeguards. An example was the borrower could not take out a second loan unless she had paid off half of the first loan. That’s called a ‘safeguard’? Here are some provisions that are really absurd.

  • Allow 36 percent interest rates on unsecured consumer loans up to $1,500. Now they’re only allowed on loans up to $600. 
  • Increase the maximum size of unsecured loans from $10,000 to $15,000.

  • Allow lenders to charge higher interest rates on a larger portion of those loan balances. They could charge a 30 percent interest rate on the first $5,000, 24 percent between $5,000 and $10,000 and 18 percent above that.
 The 30 percent interest rate had applied only to the first $1,000. The rate for the rest of the balance was 18 percent. I urge you to reconsider your position on this legislation. Yes, I know you cannot change your vote (or maybe you can?), but at least come out and make a public statement that you now believe the legislation is harmful to our fellow citizens including, I imagine, some of whom you represent.
I'll share any response I receive.

Sunday, February 19, 2012

Charlotte Viewpoint, a web-based portal to encourage dialogue in this "I want to be a major city" town, provided the opportunity to view a video by L.A. artist Kirsten Lapore entitled the 'Bottle.'  It is terrific.  Here's the link to a site with that and a number of her other works:  http://vimeo.com/kirstenlepore/videos

Thanks to Donald Devet for bringing this work and artist to our attention!

Friday, February 17, 2012

On Living Alone



I was at Julia's Coffee Shop and Used Books http://www.juliascoffee.org about two weeks ago where it is challenging not to browse the shelves. I came away with a paperback of essays entitled Here Lies My Heart, Essays on Why We Marry, Why We Don't, and What We Find There.  At my age and with two marriages along my life's trail, it was almost impossible not to purchase it.


The essays, by people who make their living from writing, were funny, intriguing, poignant and, a few, right on. Authors included Barbara Ehrenreich, David Mamet, Katha Pollitt, Mark Doty and others. I was, however, most taken with piece by a woman with whom I was unfamiliar, Vivian Gornick. It's titled “On Living Alone” and is from her novel End of the Novel of Love, 1997.  Here's an excerpt:

….My stride lengthened. I got where I was going, did what I’d gone to do and decided to walk back.  When I got home I saw that the bad feeling had washed out of me. I was purged. The walk purged me.
I realized then how ordinary my depression was. Ordinary and predictable, ordinary and daily. Daily depression, that’s all it was. I saw, as though for the first time, that daily depression eats energy. Without energy inner life evaporates; without inner life there is no animation; without animation there is no work. A life in thrall to daily depression is doomed to mediocrity. 
In the same moment I saw that this was loneliness, the thing itself. Loneliness was the evaporation of inner life. Loneliness was me cut off from myself. Loneliness was the thing nothing out there could cure.
Having lived a good part of my adult life alone, I found this observation to ring with truth.  As you know, the point of the realization is not new.  The theme of 'know thyself' or 'the answer is within,' has become a cliche although if we look around us, the evidence of it being practiced is hard to find.


Don't worry; I'm not about to begin preaching about the inner life.  I simply wanted to share the way in which Gornick, or the character in her novel, stumbled upon this truth.  I couldn't find the novel in the library, but maybe it's on a shelf at Julia's.  A good place, I found, to go if you've got a tinge of loneliness.

Wednesday, February 15, 2012

David Brooks Materialist Fallacy



The Materialist Fallacy
By DAVID BROOKS  NY TIMES  February 14, 2012
Edited February 16, 2012
DB: David Brooks
DV: Me

DV:  David, I’m a bit worried about you.  You’re one of the most enlightened conservative columnists in the general media today.  Recently, you’ve been enraptured with a kind of social psychology mindset.  Your recent book and this column are recent examples.  That in itself is not a problem.  When you use it, however, to swat at large problems, you come up short. 

Your title is the ‘Materialist Fallacy,’ however, nowhere in the column do you use the word ‘materialist.’ From my previous readings over the years, I know what you mean by the term, yet the linking of the word with economic determinism is at best a stretch, at worse a display of analytical rigidity. I can imagine that certain materialist philosophies or worldviews could be deterministic, but to label them all ‘deterministic’ and ergo a failure is sloppy thinking.

But let’s get to your column.

DB: The half-century between 1912 and 1962 was a period of great wars and economic tumult but also of impressive social cohesion. Marriage rates were high. Community groups connected people across class.
In the half-century between 1962 and the present, America has become more prosperous, peaceful and fair, but the social fabric has deteriorated. Social trust has plummeted. Society has segmented. The share of Americans born out of wedlock is now at 40 percent and rising.
DV:  In 1912, the beginning of your socially cohesive period, the country had come through a previous period of significant social change.  Major changes occurred through immigration, the abusive racial practices of Jim Crow laws in the South, and the populist movement within our rural regions. Additionally, a significant change had occurred by your start date—the development of the capitalist corporation, and by that time, the form was already having an effect on people’s lives. That trend not only would continue but also significantly transform our lives during the next 100 years.
Although you do not fully define what you mean by the ‘social fabric,’ we get an idea. Social relations which include trust, cohesion, etc.  A greater problem, however, is you do not explain why the social fabric deteriorated during the latter half of the 20th century. You describe three theories that try to explain this social weakening, but those theories, as you present them, serve only as straw men.  This is especially true for the one you attribute to Liberals, ‘economic determinist theory,’ for this relates to your materialist fallacy title.  Consequently, I’ll focus on that notion.
DB:  As early as the 1970s, three large theories had emerged to explain the weakening of the social fabric. Liberals congregated around an economically determinist theory. The loss of good working-class jobs undermined communities and led to the social deterioration.
DV:  Whoa.... Any thoughtful analysis of this column must pause here.  If one reads that last sentence, it is reasonable to assume a rational creature might say, ‘well, that sounds reasonable.’  The loss of a good paying, working-class job could reasonably tear the family’s social fabric. If the job loss was due to the closing of a factory (with jobs moving to another country) in a medium-sized community, then the pressures on that family would be significant.
The important point here is this in fact happened to thousands of families during the period. Yes, there were neither world wars nor a Great Depression, but there was a watershed change in the way the U.S. economy functioned.  The impact of global economic relations reached Mainstreet USA. U.S. corporations shipped, and are shipping, thousands of jobs overseas as ‘good capitalists’ would do to lower production costs and increase profits. Corporate chains came to both small and large towns causing thousands of locally-owned businesses to close.  Corporations began to move workers around at will—we are familiar with the IBM term of ‘I’ve been moved.’
During the 20th century, corporate capitalism became the dominant economic mode in the U.S..  Since the end of WWII, however, the change has been more dramatic. The U.S. corporate structure has morphed into a global animal whose interests transcend national boundaries. To suggest, as you do, David, that these changes had no effect on our social fabric is hard to overlook, especially for one writing in the year 2012 almost five years after the Great Recession began.
And speaking of that recent economic debacle, the change in our economy has not been limited to the effects of global market forces. The very nature of what qualifies as a commodity has shifted.  Businesses, small and large, produce a product or a service and sell it to make a profit.  To grow, the companies need capital and for larger businesses, that capital is raised through the sale of stock in the company. The nature of investment began to shift in the 1980s when companies as companies became commodities in the financial markets.  Hedge funds attracted investors to buy a company, make changes in its operation and then seel it for a profit.  We’re now familiar with Romney’s workk at the hedge fund Bain Capital.
With the loosening of regulations at the end of the last century, investment entities shifted to bundles of contracts such as mortgages and insurance policies.  These derivative packages were not based on the potential success of the sale of a product or service or of an entire company itself.  They were based on promises to pay. We know what happened when such promises were secured by unsecured or devious means.  Millions of individuals suffered: shredded retirement funds, significant unemployment, massive infusion of federal tax dollars to save the system itself and a continuing negative ripple effect around the world.
So, David, you see why I struggle to understand how you dismiss the effects of economic factors as a cause, not to mention a primary cause, of the deterioration of our social fabric.
DB:  Libertarians congregated around a government-centric theory. Great Society programs enabled people to avoid work and gave young women an incentive to have children without marrying.
DV: At least among the few Libertarians I know, I can’t imagine any of them believing that young women were craving to have children without marrying.
DB:  Neo-conservatives had a more culturally deterministic theory. Many of them had been poor during the Depression. Economic stress had not undermined the family then. Moreover, social breakdown began in the 1960s, a time of unprecedented prosperity. They argued that the abandonment of traditional bourgeois norms led to social disruption, especially for those in fragile circumstances.
DV:  As I’ve written, the nature of the economy during the first half of the 20th century was markedly different from the mature corporate capitalism gone globally wild as well as the shift  to volatile investment instruments which developed during the last half of that century. As for this neo-conservative view, what do they say caused this breakdown of traditional bourgeois norms?
At this point, David, you bring in the new research which focuses on social psychology. You’ve just presented three theories which you easily shoot down because you don’t do justice in explaining their analyses.  Especially the Liberal economic one.  But let’s see if you’ve got the rabbit in the hat with this new research.
DB:  Over the past 25 years, though, a new body of research has emerged, which should lead to new theories. This research tends to support a few common themes. First, no matter how social disorganization got started, once it starts, it takes on a momentum of its own. People who grow up in disrupted communities are more likely to lead disrupted lives as adults, magnifying disorder from one generation to the next.
DV:  If I read you correctly, I could not see how proponents of any of the three theories above could disagree with that observation.  Once the dam breaks it’s difficult to stop the flow of the water.  But I’m more interested in why the dam breaks; why the disorganization gets started.
DB:  Second, it’s not true that people in disorganized neighborhoods have bad values. Their goals are not different from everybody else’s. It’s that they lack the social capital to enact those values.
DV:  Some fundamental conservatives might believe that the people in such neighborhoods have bad values, but not many others.  But you know, David, Liberals have stated this for decades.  Remember the FDR and the New Deal?
DB:  Third, while individuals are to be held responsible for their behavior, social context is more powerful than we thought. If any of us grew up in a neighborhood where a third of the men dropped out of school, we’d be much worse off, too.
DV:   Again, it is hard to disagree that a neighborhood in which 30% of the men drop out of high school is not going to be a good environment for the others living there. But one could say, as I do, a neighborhood that has seen businesses close or leave the area becomes a troubled neighborhood whose social fabric begins to weaken. It’s not simply that an area has a disrupted social fabric but why it does.  David, you avoid explaining why an area can come to such a condition, so the new research you cite comes across as simple, common sense descriptions without solutions.  My point is you have no solutions, because you won’t look at the causal factors for the tears in the social fabric.
Your following examples show interesting research in and of itself, but they hardly cast any light on the point reflected in your title, “The Fallacy of Materialism.”  You imply that materialism is economic determinism, but that is all you do.  Your new research, as you describe it here, says nothing about causes of social disruption. 
DB:  The recent research details how disruption breeds disruption. This research includes the thousands of studies on attachment theory, which show that children who can’t form secure attachments by 18 months face a much worse set of chances for the rest of their lives because they find it harder to build stable relationships.
It includes the diverse work on self-control by Walter Mischel, Angela Duckworth, Roy Baumeister and others, which shows, among other things, that people raised in disrupted circumstances find it harder to control their impulses throughout their lives.
It includes the work of Annette Lareau, whose classic book, “Unequal Childhoods,” was just updated last year. She shows that different social classes have radically different child-rearing techniques, producing different outcomes.
Over the past two weeks, Charles Murray’s book, “Coming Apart,” has restarted the social disruption debate. But, judging by the firestorm, you would have no idea that the sociological and psychological research of the past 25 years even existed.
Murray neglects this research in his book. Meanwhile, his left-wing critics in the blogosphere have reverted to crude 1970s economic determinism: It’s all the fault of lost jobs. People who talk about behavior are blaming the victim. Anybody who talks about social norms is really saying that the poor are lazy.
Liberal economists haven’t silenced conservatives, but they have completely eclipsed liberal sociologists and liberal psychologists. Even noneconomist commentators reduce the rich texture of how disadvantage is actually lived to a crude materialism that has little to do with reality.
DV:  So you’re really going after those ‘liberal economists’ who are hogging the popular media.  Why don’t you identify them.  Do you mean folks like Paul Krugman or Simon Johnson?  I cannot imagine either one being so one dimensional as to not appreciate ‘the rich texture of how disadvantage is actually lived.’  So I don’t know with whom you are so angry.
DB:  I don’t care how many factory jobs have been lost, it still doesn’t make sense to drop out of high school. The influences that lead so many to do so are much deeper and more complicated than anything that can be grasped in an economic model or populist slogan.
DV:  Oops...You’re crying foul against the lack of appreciation of the human pain of social disruption, admirable, but you make a statement like it doesn’t make sense to drop out of high school.  Well, that’s certainly true for an individual’s future well-being, but if that 16 year-old girl’s mother just lost her job, then the decision to leave school may make plenty of short-term sense. And, if that family is living in a disruptive, down-trodden neighborhood, their perspective is likely to be very, very short-term, such as tomorrow only.
DB:  This economic determinism would be bad enough if it was just making public debate dumber. But the amputation of sociologic, psychological and cognitive considerations makes good policy impossible.
The American social fabric is now so depleted that even if manufacturing jobs miraculously came back we still would not be producing enough stable, skilled workers to fill them. It’s not enough just to have economic growth policies. The country also needs to rebuild orderly communities.
This requires bourgeois paternalism: Building organizations and structures that induce people to behave responsibly rather than irresponsibly and, yes, sometimes using government to do so.
Social repair requires sociological thinking. The depressing lesson of the last few weeks is that the public debate is dominated by people who stopped thinking in 1975.
DV:  I’ll end by noting your suggested solution of a return to ‘bourgeois paternalism.’ I haven’t read the comments which followed your column in the Times, but this part probably brought out the most vociferous response to your piece.  As for me, I’ll simply let it lie.

Beginning Again

After creating two posts last summer to begin this blog, I'm starting over.  Coming soon a response to the recent column by David Brooks in NYT...'The Fallacy of Materialism.'  I actually completed my response earlier today, but somehow (really..I haven't a clue how), I lost it.

Stay tuned.