And what has that labor bought? Lot of folks think it's good.
TCS Daily - Got to Admit It's Getting Better...
Take home ownership. In the first quarter of 1965, the first date I could find quickly, 62.9 percent of American households owned their homes. That was during Meyerson's golden era. In the second quarter of this year, the "dead middle-class era," it was 68.7 percent, an all-time high. Cars? What's relevant, as with homeownership, is the percent of the population that owns cars. And this has boomed. In 1970, presumably near the peak of Meyerson's golden era, there were 108.4 million vehicles registered in the United States; by 2003, this had soared to 231.4 million, an increase of 113.5 percent, while the population had risen by only 42.4 percent. And note that Meyerson doesn't even mention air travel, which, due to deregulation and technological improvement, has become so much cheaper that even poor Americans, let alone middle-class ones, can now afford to fly. How about college? In 1970, only 10.7 percent of the population 25 years old or more had a college degree; by 2004, this was up to an all-time high of 27.7 percent.
The bottom line is that the vast majority of us are doing well by the standard measures. Finally, (like Don Boudreaux) ask yourself this: Would you rather be in the middle 20 percent of the income distribution today or in the top 20 percent 50 years ago? How much do you value cell phones, cars that last 10 years, airline travel to Europe, iPods, and being able to fight cancer and win?
And some are saying that things ARE good, even if the media refuses to acknowledge it.
Labor Day, 2006
This Labor Day, workers actually have something to celebrate, though you'll detect precious little of it in the mainstream media coverage today:
-- 1.7 million new jobs have been created over the past year;
-- Employment has increased in 48 of the 50 states;
-- Manufacturing output is at an all-time high and production employment in manufacturing has increased by 117,000 over the past year -- the largest annual increase in over 8 years;
-- The economy has grown at 3.5% over the past year, while productivity has grown at 2.4%;
-- Real per capita disposable income has risen 9.2% since 2001;
-- Real compensation has risen 1.7%.
Labor for its part laments the state of the US economy -- again -- and points in its new study to how great things are in Europe. This is almost comical, considering the per capita US Gross Domestic Product (also known as the standard of living) is almost 50% higher than Europe's. The 3.5% GDP growth noted above is 35% faster than the EU's. The current 4.6% unemployment rate is half Europe's rate. US workers unemployed for over a year account for just 12% of the total, while in Europe, some 43% of all unemployed have been so for over a year. Finally, the percent of people starting new businesses is five times higher in the US than in France. Ask yourself this question: If you open the borders, which way will people flow -- toward Europe or toward the good ol' US of A? We think we know the answer.
So today, as you read all the wistful comparisons with Europe and read all the grim news about the US economy, just remember that this economy has come up off the economic mat from September 11 with a vengeance. We remain the largest economy in the world and the economic envy of the world.
And that gives us all something to celebrate this Labor Day.
Posted by Pat Cleary at September 4, 2006 07:33 AM
But then, there's folks worried about sustainable growth. And noting that the masses don't seem willing to rise up against their bosses. Could it be because the masses don't feel screwed by the man?
Topical Take
Happy Labor Day/Labour Day!
THE MASSES HAVE AMASSED TOO MUCH
This Labour Day, I thought about the working class, the masses.
No, honestly, I did. Okay, I was on the beach, but the folks around me lying on the sand had jobs they'll be getting back to this morning. They worked. They would be classed as workers. But they're not a homogeneous "working class," they're not conscripts in Karl Marx's "masses." The transformation of Labour Day, from a celebration of workers' solidarity to a cook-out, is the perfect precis of the history of Anglo-American capitalism.
If you want to see what "the masses" are meant to look like, buy a DVD of Metropolis, Fritz Lang's 1926 "expressionist masterpiece." As futuristic nightmares go, it's hilarious: The workers are slaves, living underground, chained to the levers, wheels, cranks and cogs of a vast machine, dehumanized by the crushing anonymity of their servitude, etc., etc.
Alas, nothing dates faster than a futuristic vision: Today, the nightmare that beckons is quite the opposite. Instead of a world in which the workers are forced to operate huge, clanking machines below the Earth all day long, the machines are small and silent and so computerized no manpower is required and the masses have to be sedated by shallow distractions like supersized shakes and Wal-Mart and 24-hour lesbian wrestling channels on Premium Cable.
It took the workers' tribunes a while to catch on: Even today, when your average union leader issues his annual Labour Day address, you can tell at heart he still thinks it's 1926 and Metropolis is just around the corner. But the intellectual left has been scrambling for decades to come up with explanations as to why, if everything's so bad, everything's so good: Noam Chomsky's theory of media manipulation - "manufactured consent" - can stand for an entire school of philosophers who believe a subtler breed of capitalist overlords are maintaining the workers in some sort of fools' illusion of content.
But, inevitably, this was only going to be an intermediate stage, given that the shimmering mirage seems to be holding up pretty well. The new received wisdom - forcefully articulated by, among others, Maude Barlow's Council of Canadians at the laugh-a-minute Johannesburg "Earth Summit" - is that the masses themselves are the problem. The oppressed masses refuse to stay oppressed. If they were down in the basement chained to the great turbines, all would be well. But, instead, they insist on moving out of their tenements, getting homes with non-communal bathrooms, giving up the trolley car, putting a deposit down on a Honda Civic and driving to the mall. When it was just medieval dukes swanking about like that, things were fine: That was "sustainable" prosperity. But now, everyone wants in. And, once you do that, there goes the global neighbourhood.
Thus, Simon Fairlie, in his new pamphlet The Prospect Of Cornutopia, ponders the consequence of a 3% "sustainable" growth rate and immediately spots the catch: by the year 2100 we'll be 18 times wealthier than we are today.
That's the problem? Of course! These days, for your serious media pessimist, the good news is the bad news. As Fairlie frets, "Will each home have 10 rooms and a swimming pool and, if so, where are we going to build them?"
Labrador. Next question.
But to this future of vast, unstoppable, ever-expanding wealth, the champions of the oppressed have come up with an ingenious solution: global poverty! We need a massive Poverty Expansion Program if we're to save the planet. "I don't think a lot of electricity is a good thing," says Gar Smith of San Francisco's Earth Island Institute. "I have seen villages in Africa that had vibrant culture and great communities that were disrupted and destroyed by the introduction of electricity," he continues, globally warming to his theme and regretting that African peasants "who used to spend their days and evenings in the streets playing music on their own instruments and sewing clothing for their neighbours on foot-pedal powered sewing machines" are now slumped in front of "Dynasty" reruns all day long.
Yet he lives in Scan Francisco, instead of playing the happy peasant. Oh, the sacrifices one must make for their fellow man, right?
Anyway, Happy Labor Day! Swapped out a circuit breaker in the main panel, with the little guy's help (he held the flashlight) and talked with him about how electricity freed us from a heck of a lot of labor. And in retrospect - I'm just glad folks like Gar Smith don't have any real control of our economy or political system. They're the sort who romanticize poverty and think it would be great for all, yet somehow would never THINK their lives should be so circumscribed.
One of the best things my father ever did was rent a plot of land from a guy out in the country when I was about 13-14. About two acres it was, and he decided we were going to plant a garden in it and grow some vegetables. We tilled it by hand, by shovel, by hoe in the middle of the Midwest summer. I HATED it then, though I'm glad he did it now. THAT was labor, and I respect the guys who do that. I've also unloaded semitrailers by hand, and think the powered Forklift's a gift from God himself. (Pallet jacks come from either Satan or an Archangel, depending on how they've been maintained.) The guys who lionize the worker and think we all should live like that probably haven't done much in the way of the labor they romanticize. If they did, they'd be singing another tune.
J.