Category: Economics

A fruitful victimA fruitful victim

Tetman Callis 0 Comments 5:26 am

“Historians of Asia assert that the Second World War properly began in China, rather than Poland. In 1931 Japan almost bloodlessly seized Manchuria—the north-eastern Chinese provinces, an area twice the size of Britain, with a population of thirty-five million people, hitherto ruled by an old warlord in uneasy cohabitation with a Japanese garrison—to secure its coal, raw materials, industries and strategic rail links. The Nationalist government based in Nanjing was too weak to offer resistance. The following year, Tokyo announced Manchuria’s transformation into the puppet state of Manchukuo, nominally ruled by the Manchu emperor Pu Yi, in practice by a Japanese-controlled prime minister, and garrisoned by Japan’s so-called Guandong Army. The Japanese perceived themselves as merely continuing a tradition established over centuries by Western powers in Asia—that of exploiting superior might to extend their home industrial and trading bases.” – Max Hastings, Retribution

The great endeavorThe great endeavor

Tetman Callis 0 Comments 6:52 am

“The wartime expansion of the U.S. Navy was an extraordinary achievement, which should never be taken for granted. Between 1941 and 1945, its tonnage swelled from three million to almost thirty. Of the service’s total war expenditure of $100 billion, more than a third went to ship construction. . . . Mare Island Navy Yard expanded from 6,000 employees in 1939 to 40,000 in 1944, Boston Yard from 8,700 in June 1940 to 50,000 three years later. . . . By 1944 more than a million workers were building and repairing ships, 55 percent of them on the Atlantic coast, 27 percent on the Pacific, while a further two million served supporting industries. Most were working forty-eight-hour weeks on multiple shifts. . . . Many smaller vessels, submarines and escorts, were built in sections at plants as far inland as Denver, then transported to the coasts for completion. Thousands of landing ships were constructed on the Great Lakes and sailed to the sea.” – Max Hastings, Retribution

No winning for losingNo winning for losing

Tetman Callis 0 Comments 8:06 am

“The British and Japanese fought each other on the Burman front for forty-six months. Burma thus became the longest single campaign of the Second World War. It cost the Japanese only 2,000 lives to seize this British possession in 1942, but a further 104,000 dead to stay there until 1945. The largest country on the South-East Asian mainland, rich in oil, teak and rubber, Burma had been ruled by a British governor, with only token democratic institutions. Its population of eighteen million included a million Indians, who played a prominent part in commerce and administration. A host of Indian fugitives died in ghastly circumstances during the 1942 British retreat. Burmans had always been hostile to colonial rule. Many acquiesced willingly in occupation by fellow Asians, until they discovered that their new masters were far more brutal than their former ones. By 1944, they had learned to hate the Japanese. They craved independence and, ironically, now looked to the British to secure it for them.” – Max Hastings, Retribution

Mr. OfficerMr. Officer

Tetman Callis 0 Comments 5:51 am

“Societies run by civilians proved vastly better able to organize themselves to fight the Second World War than those dominated by military men, of which Japan offered the most notable example. It is hard to overstate the extent to which Anglo-American wartime achievements were made possible by the talents of amateurs in uniform, fulfilling almost every responsible function save that of higher military command. Intelligence, for instance, was dominated by academics, many of startling brilliance. [Britain’s] intelligence chief in north-west Europe was an Oxford don masquerading in a brigadier’s uniform. In Japan, by contrast, authority and influence remained almost exclusively in the hands of career officers, who were reluctant to grant scope to outsiders even in such fields as scientific research. The Japanese army and navy never mobilised clever civilians in the fashion of the Western Allies. Intelligence was poor, because the Japanese mind-set militated against energetic inquiry, frank analysis and expression.” – Max Hastings, Retribution

Same as it ever isSame as it ever is

Tetman Callis 0 Comments 6:07 am

“Even before Pearl Harbor, Japan was divided by widespread poverty, and by tensions between city and countryside, peasants and landlords, soldiers and civilians. For all the government’s strident nationalist propaganda campaigns, conflict had deepened rather than healed domestic divisions. There was bitterness that the rich and armed forces still ate heartily, while no one else did. The government’s Home Ministry was dismayed by the incidence of what in the West would be called defeatism, ‘statements, letters and wall-writing that are disrespectful, anti-war, anti-military, or in other ways inflammatory.’ There were reports of people making contemptuous references to the emperor as a baka, bakayaro or bocchan, ‘fool,’ ‘stupid fool,’ or ‘spoiled child.’ ” – Max Hastings, Retribution

Still working on itStill working on it

Tetman Callis 0 Comments 5:16 am

“We shall prosper in proportion as we learn to dignify and glorify common labour, and put brains and skill into the common occupations of life; shall prosper in proportion as we learn to draw the line between the superficial and the substantial, the ornamental gewgaws of life and the useful.” – Booker T. Washington, “1895 Atlanta Exposition Address”

How to spend ’em if you got ’emHow to spend ’em if you got ’em

Tetman Callis 0 Comments 6:20 am

“This, then, is held to be the duty of the man of wealth: To set an example of modest, unostentatious living, shunning display or extravagance; to provide moderately for the legitimate wants of those dependent upon him; and, after doing so, to consider all surplus revenues which come to him simply as trust funds, which he is called upon to administer, and strictly bound as a matter of duty to administer in the manner which, in his judgment, is best calculated to produce the most beneficial results for the community.” – Andrew Carnegie, “The Gospel of Wealth”

Corrupting miasmaCorrupting miasma

Tetman Callis 0 Comments 7:38 am

“A world in which gangsters can rule nations and almost rule cities, in which hotels and apartment houses and celebrated restaurants are owned by rich men who made their money out of brothels, in which a screen star can be the finger man for a mob, and the nice man down the hall is a boss of the numbers racket; a world where a judge with a cellar full of bootleg liquor can send a man to jail for having a pint in his pocket, where the mayor of your town may have condoned murder as an instrument of money making, where no man can walk down a dark street in safety because law and order are things we talk about but refrain from practising; a world where you may witness a hold-up in broad daylight and see who did it, but you will fade quickly back into the crowd rather than tell anyone, because the hold-up men may have friends with long guns, or the police may not like your testimony, and in any case the shyster for the defence will be allowed to abuse and vilify you in open court, before a jury of selected morons, without any but the most perfunctory interference from a political judge. — It is not a very fragrant world, but it is the world you live in.” – Raymond Chandler, “The Simple Art of Murder”

Free loaves at the circus tonightFree loaves at the circus tonight

Tetman Callis 0 Comments 7:28 am

“The unrestricted movement of capital, the ultima ratio of American foreign and domestic policy, requires weak or corrupt—in any case, acquiescent—governments, since otherwise they might try to improve their bargaining position by combining with other governments and encouraging labor organization. Ineffectual governments and labor unions in turn require a weakening of impulses toward cooperation, solidarity, and citizen initiative. Very helpful toward that end is the redefinition of the good life as a life of continuous and increasing individual consumption—which, since it is a false definition, necessitates unremitting indoctrination by means of advertising. Expanding consumption in turn requires technological innovation, mass production, a population willing to put up with insecure, regimented, and frequently stupefying work (the effects of which are assuaged by entertainments only a little more refined and wholesome than Roman circuses), and the exploitation of resources on a vast scale.” – George Scialabba, “How Bad Is It?”

Proper places allProper places all

Tetman Callis 0 Comments 9:15 am

“The Nazi state’s sacrifice of the economic and intellectual potential of its women citizens came back to haunt the regime, just as the backward attitude of the Third Reich toward scientific research had undesired consequences in a surprisingly short space of time. While the leading Nazis obstructed the work of serious scientists or supported it only half-heartedly, they showed a lot of interest in obscure theories such as the Welteislehre, or the theory of eternal ice, developed by the Austrian engineer Hanns Hoerbiger. Meanwhile, the physicists they had driven out of the country were preparing for nuclear war. In much the same way, the idea of the ‘little woman at home’ also backfired. While the Germans waged a petty war on lipstick and nail polish and prohibited women from smoking in public, the Allied weapons industry primarily employed women.” – Anna Maria Sigmund, Women of the Third Reich (trans. NDE Publishing)

Prussic acid bathPrussic acid bath

Tetman Callis 0 Comments 7:18 am

“Bearing the brunt of Russian hatred, East Prussia suffered the most terrible fate of all the occupied areas. The land was left devastated for several years. Houses were wither burned or stripped down to the most basic fittings. Even light bulbs had been taken by peasant soldiers who had no electricity at home. The farms were dead, with all the livestock slaughtered or taken to Russia. Low-lying ground reverted to swamp. But the fate of the civilians who failed to escape was worst of all. Most women and girls were marched off to the Soviet Union for forced labour ‘in forests, peat bogs and canals for fifteen to sixteen hours a day’. A little over half of them died in the following two years. Of the survivors, just under half had been raped. When they were returned to the Soviet occupied zone of Germany in April 1947, most had to be sent immediately to hospitals because they were suffering from tuberculosis and venereal disease.” – Antony Beevor, The Fall of Berlin 1945

Getting on with itGetting on with it

Tetman Callis 0 Comments 7:21 am

“Women in Berlin just wanted to get life back to some semblance of normality. The most common sight in Berlin became the Trümmerfrauen, the ‘rubble women’, forming human chains with buckets to clear smashed buildings and salvage bricks. Many of the German men left in the city were either in hiding or had collapsed with psychosomatic illnesses as soon as the fighting was over. Like most working parties, the women were paid at first in little more than handfuls of potatoes, yet the Berliner sense of humour did not fail. Every district was renamed. Charlottenburg had become ‘Klamottenberg’, which means ‘heap of rubbish’, Steglitz became ‘steht nichts’—‘nothing is standing’—and Lichterfelde became ‘Trichterfelde’—‘the field of craters’. To a large degree this was an outward courage masking resignation and quiet despair. ‘People were living with their fate,’ remarked one young Berliner.” – Antony Beevor, The Fall of Berlin 1945

A carton for a concubineA carton for a concubine

Tetman Callis 0 Comments 5:41 am

“In Berlin, the black-market exchange rate was based on Zigarettenwährung—‘cigarette currency’—so when American soldiers arrived with almost limitless cartons at their disposal, they did not need to rape. The definition of rape had become blurred into sexual coercion. A gun or physical violence became unnecessary when women faced starvation.” – Antony Beevor, The Fall of Berlin 1945

Take it now and make paymentsTake it now and make payments

Tetman Callis 0 Comments 6:05 am

“The deepest determinant of contemporary social psychology is not mass unbelief but mass production. Industrialism has decisively undermined the republican ideals of independence, self-sufficiency, and proprietorship—the ‘modest competence’ postulated by early democratic theorists as the basis of civic virtue and civil equality. It is the practice of demanding skills, rather than fragmented and routinized drudgery, that disciplines us and makes mutual respect and sympathy possible. Work that provides scope for the exercise of virtues and talents; a physical, social, and political environment commensurate in scale with our authentic, non-manufactured needs and appetites; and a much greater degree of equality, with fewer status distinctions, and those resting on inner qualities rather than money—these are the requirements of psychic health at present. The alternative is infantilism and authoritarianism, compensated—at least until the earth’s ecology breaks down—by frantic consumption.”  – George Scialabba, “The Wages of Original Sin”

Storm force 7Storm force 7

Tetman Callis 0 Comments 5:16 am

“What can motivate ordinary men and women to behave decently most of the time and heroically in emergencies? Perhaps it might help to reduce the many temptations to behave otherwise. Chief among these in twenty-first-century America are the relentless sexualization of advertising and entertainment, the pervasive economic insecurity engineered by business and government (especially Republican) policies, and the enfeeblement of civic life entailed by extreme laissez-faire ideology. These things make it harder to maintain dignity or restraint and to trust or care about other people. None of them are necessary consequences of skepticism or intellectual freedom, and some of them are promoted most vigorously by people who loudly proclaim themselves religious.” – George Scialabba, “The Wages of Original Sin”

She might have brought something to studyShe might have brought something to study

Tetman Callis 0 Comments 5:29 am

“A skilled professional I know had to turn down an important freelance assignment because of a recurring commitment to chauffeur her son to a resumé-building ‘social action’ assignment required by his high school. This involved driving the boy for 45 minutes to a community center, cooling her heels while he sorted used clothing for charity, and driving him back—forgoing income which, judiciously donated, could have fed, clothed, and inoculated an African village. The dubious ‘lessons’ of this forced labor as an overqualified ragpicker are that children are entitled to treat their mothers’ time as worth nothing, that you can make the world a better place by destroying economic value, and that the moral worth of an action should be measured by the conspicuousness of the sacrifice rather than the gain to the beneficiary.” – Steven Pinker, “The Trouble with Harvard”

The ProjectThe Project

Tetman Callis 0 Comments 11:14 am

Twenty-seven months ago, around the time of the centenary of the the start of the First World War, I began a reading project, setting myself to read about the twentieth century’s wars, the political and economic and ideological struggles, and the people caught up in them. I knew a fair amount about the subject already, picked up in bits and pieces over the years, but I wanted to get a bigger picture – learn the contexts, draw connections, see the flow, see how one thing made the way for another thing, see if I could gain a better understanding of the world I live in – we live in – and how it got from where it was to where it is.

Today I finished: eighty-three books, innumerable articles, and various films later. I learned various things, made various connections, saw the flows, the causes and effects (in so far as those are discernable). The two major lessons I learned were, 1) The First World War (also known as the Great War) was a catastrophe for Eurpean civilization, a cataclysm from which the pre-war European world had no hope of recovery, and from which the aftershocks are still felt. If you seek to understand the world, you could do well by understanding how it was before the Great War, how quckly and how much was destroyed during that war, and all that arose from the wreckage of that collapse. And 2) if people are given the choice between believing a comforting lie and believing a discomforting truth, they will pick the lie, every time. They will hold onto their belief in that lie until they are crushed – their men slaughtered, their women raped, their children enslaved, their cities burned and razed.

First things firstFirst things first

Tetman Callis 0 Comments 5:34 am

“When front-line soldiers escaped from imminent peril for a few hours, their desires were usually pathetically simple. Soldiers talk much about women, but on the battlefield their private cravings are seldom sexual. A British officer described his men’s priorities as ‘char, wad, flick and kip’—tea, food, a movie and sleep.” – Max Hastings, Armageddon

Keeping their heads downKeeping their heads down

Tetman Callis 0 Comments 5:18 am

“It is the nature of every soldier in every war to focus overwhelmingly upon his own prospects of life and death, rather than to think much about distant battlefields. The men of the Red Army cared little for the doings of their allies, save that they were thankful for American trucks and canned meat. Among many other commodities, the United States supplied to the Soviet Union 500,000 vehicles, 35,000 radio sets, 380,000 field telephones and a million miles of signal wire. Few Russians were ever allowed to know that they marched to Berlin in boots manufactured by the U.S. under Lend-Lease, or that much of the Soviet Union’s aircraft production was made possible by American aluminum supplies.” – Max Hastings, Armageddon

Lingua non-francaLingua non-franca

Tetman Callis 0 Comments 8:09 am

“Like all complex institutions, markets rest on supporting structures of rules, impartially devised and enforced. That requires politics, preferably democratic politics. And no rules, however well formulated and enforced, can prevent large differences in initial endowments of ability, resources, and information from producing extreme and permanent inequality. That requires redistribution. Public or collective goods—infrastructure, literacy, basic science, clean air—cannot be privately owned and so will not be privately produced. That requires public investment. A viable society requires civic virtue, above all an irreducible minimum of selflessness. Laissez-faire ideology cannot generate, or even comprehend, selflessness.” – George Scialabba, “The Squandering of America”

The world as given (or taken away)The world as given (or taken away)

Tetman Callis 0 Comments 7:09 am

“The economic turbulence caused by Indochina war expenditures and a sharp rise in oil prices, along with racial and cultural polarization, nourished a conservative backlash. Nixon did not attack the welfare state directly, but he did withdraw the United States from the Bretton Woods agreement. Carter initiated the fateful estrangement of the Democratic Party from its New Deal heritage, which culminated in the Wall Street-dominated Democratic Leadership Council. Ronald Reagan was not elected to dismantle the New Deal and may not even have understood that this was what the rest of his administration was up to. But his large and regressive tax cuts, as well as a cascade of deregulation and non-enforcement, massively increased military spending, and the heavy-handed use of the IMF and World Bank (with an assist from the CIA when necessary) to force a ‘favorable investment climate’ (i.e., low wages and unrestricted capital flows) on the developing world—all these policies began to change America from a middle-class society and mixed economy with countervailing power centers to a sharply unequal, business-dominated society. The Clinton administration increased taxes on the rich and restored a modicum of integrity to the regulatory apparatus. But it also joined the rhetorical assault on ‘big government’ and sponsored considerable deregulation, both on Wall Street and by means of ‘free trade’ agreements, which sought to reduce the leverage of organized labor and democratic governments over American investors. Under the Bush/Cheney administration and the Gingrich/DeLay congress, America degenerated into a thoroughly corrupt plutocracy.” – George Scialabba, “The Squandering of America”

A beautiful dreamA beautiful dream

Tetman Callis 0 Comments 5:06 am

“Though challenged periodically by labor unions, Populist farmers, and Progressive reformers, business elites dominated American politics from the beginnings of industrialization in the second half of the nineteenth century. But when the economy collapsed in the 1930s, business could no longer stave off substantial regulation; and the collective effort called forth by World War II gave rise to a modicum of social solidarity. The resulting institutions of managed capitalism included labor legislation, unemployment insurance, tuition assistance through the GI Bill, mortgage assistance for first-time home-buyers, Social Security, Medicaid, a fiscal policy aimed at full employment, a structure of mainly reasonable industrial and financial regulations (along with a serious commitment to enforce them), and a decently progressive income tax; internationally, a fixed-rate currency exchange system, limits on financial capital flows, and, in the World Bank and International Monetary Fund, instruments of stabilization and reconstruction for national economies in trouble. Together, these policies produced a high level of widely shared economic well-being and security. For a brief, bright interval, capitalism worked properly.” – George Scialabba, “The Squandering of America”