Tea
Party Illusion and Economic Reality
Sam Ghandchi
http://www.ghandchi.com/642-JoeThePlumberEng.htm
Late in the U.S. presidential election of two years ago, some Republicans made
an important discovery, a campaign myth which was called "Joe the Plumber." My
discussion here is not about the real man who is actually referred to by that
expression but instead the myth behind it.
In fact, in the long history of economic theory there was once another name
attached to a myth about the economic reality of society, i.e. "Robinson
Crusoe." Robinson Crusoe's origin was Daniel Defoe's novel of 1719 by that name
but for centuries he was treated as if the economic life of human societies was
developed like his fate on a remote island, a lonely man by himself trying to
survive in nature.
In the recent Congressional Election in the U.S. the myth of Joe the Plumber,
and not the man himself, was prevalent in the campaigns of a new American
conservative force in the scene of U.S. politics, namely the Tea Party. The
campaign was strong enough to help the Republican party to win the majority in
the House of Representatives and a very close number of seats in the US Senate.
Not only Sarah Palin, hoping to run for Republican presidential ticket in 2012
election has capitalized on this myth but even Newt Gingrich who has long been
supported by futurist Alvin Toffler is leaning towards this myth to gain support
although he should well know the real US economic life of today is far from such
myths.
In fact, the overwhelming majority of Republican leaders are well aware from
their Congressional experience how this myth is just a "myth," but they do not
mind to entertain it as long as the Tea Party can bring them votes from those
who believe in the myth for a while although will soon see a different economic
reality in their own lives, e.g., when they are worried to lose the option of
buying their own favorite insurance plan and end up in a new job with no
insurance at all or joining the ranks of the unemployed.
An interesting point about the myth of "Joe the Plumber" in contrast to Robin
Crusoe is that it has not been drawn out of a literary novel and treated by some
economists as reality rather it originates from two top economists of Austrian
school by the names of F.A. Hayek and Ludwig von Mises.
And prior to Tea Party, the Austrian school theories were promoted by the
Libertarian Party in the United States. The fallacies of fairness as regards to
their theories discussed elsewhere, the same way rejecting its opposite extreme
of socialist panacea (1).
But the recent upsurge of these ideas by the Tea Party is an unbelievably
masterful popularization of the Austrian school which could even be a surprise
to the old time Libertarian Party activists.
The "Joe the Plumber" myth tries to depict the US economy as if it is made of
millions of "Joe the Plumber' shops" and makes the task of every politician and
economist to solve the problems of the owner and apprentice of that shop. And of
course the panacea offered is the mythical no-government, no-taxation -- leave
it all to Joe solution, to make the American Dream come true for the millions of
these shop keepers.
But in reality, in the United States and other developed countries, we are
living in a society where the overwhelming majority of people are working for
corporations and the government. It is a myth to think of working for
corporations as similar to working at a "Joe the Plumber's shop." Also, the
situation of the workforce in the corporation is hardly any different from
working for the government .
In both places, health insurance if not provided by the employer, it can take
the huge chunk of the employee's income. Issues of job security and unemployment
benefits are the same. An individual in any dispute over all these matters is
facing a corporate lawyer which has all kinds of means at his/her disposal.
Sorry but we are not living in the early days of United States with small mom
and pop shops.
One of the biggest issues for the people working for the big enterprises is that
the employers do not want to pay benefits and they hire people as contractors.
The contractor is not referred to a firm which can charge the Pentagon $400 for
a hammer. No. The contractor is someone who has been unlucky for myriad of
reasons --including discriminations -- not getting the regular position with
benefits and job security, and is rather working without any Holidays, vacation,
insurance or retirement.
The so-called contractors are not necessarily part time workers either. Many
contractors work overtime without overtime pay and graveyard shifts without
shift differential and the employer uses them to save on paying such benefits.
In fact, the term contractor is a misnomer and does not show an individual or
group being a real private company, as it may seem on the records of D&B. Rather
it just means someone who does even better work and has worked years more than
so-called "permanent" employees at the same job, but has been unlucky with no
job security and benefits and is simply called a "contractor.".
These are the realities of economic life in the US that any economic and
political program needs to address. President Obama tried to address some of
these issues when he stood up to the conservative forces in the Congress last
year for the HealthCare Reform. A healthcare system that all developed nations
in Europe have put in place a long time ago. In fact, a conservative French
president like Nicolas Sarkozy who was visiting the US at the time of
oppositions to Obama's plan, was surprised to see so much opposition to a simple
addition to the wellbeing of the American people -- unless people think UK or
France are socialist countries.
The attempts of the Tea Party to show the issues facing the United States same
as those of a "Joe the Plumber's shop" may work for a little while but once
things get to the specific plans, they will not be much different from the old
conservative plans that promised end of government and end of taxes as a
paradise in the years when the national income was high and issues like
Healthcare could have been fixed much easier.
The fact that the majority of people are working for big employers, be it
corporations or government, determines the economic reality of our society and
the US is already a long way behind Europe in creating laws to protect those who
lack insurance and benefits like vacations, even when they have a job, let alone
when they are unemployed. Something the late Senator Edward Kennedy spoke of for
so many years.
Now as far as economic justice is concerned, definitely the socialist programs
that Europeans used in the 20th century will not be the answer and one must be a
futurist and use new strategies but futurism is not the kind of conservative
programs that Mr. Gingrich advocates to return to, rather the new plans should
be arrived at from the current social structures resulting from the new economy
(2).
In short, attracting people by the libertarian populist promises of the Tea
Party but in reality offering conservative old tried-out failed policies will
not solve the problems of more than 47 million people who lack medical insurance
in the US. Those people are not some uneducated lazy people with "alcohol
problems." A good number of them are some of the best talents working for
employers who for some reason or not are not giving them full benefits. Maybe
tomorrow one of the Tea Party favorites and his or her kids and other family
members will be dealing with the same issues at a new job!
Sam Ghandchi, Publisher/Editor
IRANSCOPE
http://www.iranscope.com
November 20, 2010
1.
http://www.ghandchi.com/303-SocialismEng.htm
2.
http://www.ghandchi.com/238-SocialJustice.htm