If you haven’t seen this heartfelt speech until now, it might be because it was hacked shortly after it went up on Thursday. The culprit probably wasn’t an Arlo Guthrie critic, so my guess is someone feeling protective of a broad group of plutocrats. Anyway, take the time while it’s still up to read this well-respected, time-tested gentleman’s assessment of what has happened to our country, and the lyrics he looked to for inspiration.
He speaks passionately about America’s plutocracy, “where political power is derived from the wealthy and controlled by the wealthy to protect their wealth.”
Moyers and many others believe it was a plan that got its big kick-off from Lewis Powell, Jr.’s confidential memorandum, Attack of American Free Enterprise System. A copy of it is in an earlier post remembering the manifesto’s fortieth anniversary. It’s surprisingly short for all the damage it’s done, whether or not Powell realized its horrific potential.
Another interesting, infamous memo, sent only to its wealthiest customers, was from Citigroup in 2005. In The Plutonomy Symposium Rising Tides Lifting Yachts, global strategist Ajay Kapur came up with the term “Plutonomy” describing our massive income and wealth inequality. He discusses the advantages for the wealthy almost gayly, advising patrons that “… these wealth waves involve great complexity exploited best by the rich and educated of the time.” The arrogance in the two-part memo is deafening:
This imbalance in inequality expresses itself in the standard scary “global imbalances”. We worry less.
Also, in part 2, on March 5, 2006, some of the no-nos for their beloved “Plutonomy” are shared. Though it wasn’t intended for the 99% to see, it’s interesting how their risk list stacks up today.
RISKS — WHAT COULD GO WRONG?
Our whole plutonomy thesis is based on the idea that the rich will keep getting richer. This thesis is not without its risks. For example, a policy error leading to asset deflation, would likely damage plutonomy. Furthermore, the rising wealth gap between the rich and poor will probably at some point lead to a political backlash. Whilst the rich are getting a greater share of the wealth, and the poor a lesser share, political enfranchisement remains as was — one person, one vote (in the plutonomies). At some point it is likely that labor will fight back against the rising profit share of the rich and there will be a political backlash against the rising wealth of the rich. This could be felt through higher taxation on the rich (or indirectly though higher corporate taxes/regulation) or through trying to protect indigenous [home-grow] laborers, in a push-back on globalization — either anti-immigration, or protectionism. We don’t see this happening yet, though there are signs of rising political tensions. However we are keeping a close eye on developments.
And then, of course, the lovely lyrics and song by Arlo Guthrie ~ Patriots’ Dream