Published on Friday, October 28, 2011 by Democracy: A Journal of Ideas
Occupy Wall Street and America’s Democratic Tradition
I was recently talking with some friends who work at the Chicago Board of Trade. Hearing the opinions voiced by Occupy Wall Street protesters, the traders agreed that they’d seen disturbing changes within their industry. While they might have written off criticisms 15 years ago, they’ve since watched the financial sector become more and more based on speculative gambling—with people trying to make profits by moving money around rather than by supporting real economic activity. To a surprising degree, my friends were willing to consent that the system has grown bankrupt. Yet, while they share some of the activists’ criticisms, they don’t like the street protests and are doubtful that the occupations will help our democracy.
I have been sympathetic to their concerns, but I ultimately disagree with their assessment of the protests’ importance. Occupy Wall Street is rooted in a deep tension in American life. In Democracy in America, Alexis de Tocqueville illuminated how the conflict between equality and liberty is at the center of the American political drama. That we are now having an open and spirited debate about the optimal balance between these two values is a crucial, and welcome, development.
For decades, we have focused on extending liberty in the realm of the marketplace, but this has come at the expense of democratic equality. There was a time when our government approached economic policies with a dual bottom line: Policies were meant to create not only competitiveness, but also social well-being. In recent decades, however, our policy-makers have shifted to pursuing competitiveness as an end in itself, without regard for social benefit. As a result, we now witness a failure to create broadly shared prosperity—a failure that takes the form of glaring inequalities of wealth.
But there’s been a failure in our politics as well. Our system has too often failed to include the voices of working- and middle-class Americans as part of the discussion, privileging the political speech of the wealthy. As Harold Meyerson recently asked in The Washington Post:
Even within the business world, a variety of figures have recognized the imbalance. Henry Blodget, CEO and editor-in-chief of Business Insider, argues, “Importantly, the inequality that has developed in the economy over the past couple of decades is not just a moral issue. It’s a practical one. It is, as sociologists might say, “de-stabilizing.” It leads directly to the sort of social unrest that we’re seeing right now.” Meanwhile, Laurence D. Fink, Chief Executive of BlackRock, states of Occupy Wall Street, “These are not lazy people sitting around looking for something to do. We have people losing hope and they’re going into the street, whether it’s justified or not.” And for his part, Vikram Pandit, chief executive officer of Citigroup, says: “[These protests are] completely understandable. Trust has been broken between financial institutions and the citizens of the U.S., and that is Wall Street’s job, to reach out to Main Street and rebuild that trust.”
Historically, social movements have often been unpopular—and yet they’ve made important contributions to American politics. When viewed in hindsight, many protest movements once thought to be too unfocused, unkempt, or unruly ended up securing gains that are now taken for granted in our society.
While some observers may feel disappointed or confused by the message coming out of Occupy Wall Street, we should recognize that social change is a messy process. During the 1930s, those opposed to such measures as social security and labor rights frequently denounced those pushing for changes as dangerous Bolsheviks. Historian Kim Phillips-Fein notes that William Clinton Mullendore, president of the Southern California Edison Company and an influential conservative thinker, argued in 1931 against that era’s reformers, “[Those stirring up ‘trouble’ are] apostles of hatred.”
Yet in the end the social movement activism derided by establishment figures proved essential to creating the political climate necessary for change. Labor unionists and others speaking out made the reforms of the New Deal possible and paved the way for the growth of the American middle class in the post-World War II period. Few can argue today that this wasn’t a good thing for our country.
What’s at stake now is the health of our democracy. When a disproportionate number of Americans feel disenfranchised, it weakens the social fabric of our country. We see this in the ever-more-acrimonious clashes displayed on cable news. Will Occupy Wall Street, like New Deal-era activism, be viewed in retrospect as effectively pushing our political debate in a healthier direction? This remains to be seen. But it is clear that a renewed drive to again create shared prosperity in our economy and democratic equality in our politics is long overdue.
I have been sympathetic to their concerns, but I ultimately disagree with their assessment of the protests’ importance. Occupy Wall Street is rooted in a deep tension in American life. In Democracy in America, Alexis de Tocqueville illuminated how the conflict between equality and liberty is at the center of the American political drama. That we are now having an open and spirited debate about the optimal balance between these two values is a crucial, and welcome, development.
For decades, we have focused on extending liberty in the realm of the marketplace, but this has come at the expense of democratic equality. There was a time when our government approached economic policies with a dual bottom line: Policies were meant to create not only competitiveness, but also social well-being. In recent decades, however, our policy-makers have shifted to pursuing competitiveness as an end in itself, without regard for social benefit. As a result, we now witness a failure to create broadly shared prosperity—a failure that takes the form of glaring inequalities of wealth.
But there’s been a failure in our politics as well. Our system has too often failed to include the voices of working- and middle-class Americans as part of the discussion, privileging the political speech of the wealthy. As Harold Meyerson recently asked in The Washington Post:
After all, did the financial deregulation of the past two decades get enacted on its merits, or because of the campaign contributions and lobbying prowess of the financial sector? The 1999 repeal of the Glass-Steagall Act, which had kept federally insured commercial banks separate from investment and speculator banks, didn’t happen because speculative banking had suddenly become safe. It happened because Citibank and other institutions made mega-campaign contributions and lobbied ferociously for repeal. The Commodities Futures Modernization Act of 2000, which deregulated derivatives, was enacted because the leading banks believed they could make untold profits if it passed. And because they did indeed make untold profits—in the past decade, banks’ gains reached 41 percent of all the corporate profits in America—they had even more money with which to influence our lawmakers.Americans are not only feeling a financial pinch; they’re feeling disenfranchised. We have experienced cuts to the welfare state for decades. But what we saw in Wisconsin and other state-level fights in early 2011 was that when Republican governors coupled further rollbacks in social services and decreases in education funding with attacks on some of the few remaining middle-class jobs in America, it created a level of insecurity that drove people—in numbers rarely seen—to voice their concerns outside of an electoral framework. These people used protests because the more traditional channels of democracy seemed blocked to all except those who could afford high-priced lobbyists. The same lack of democratic equality gave rise to Occupy Wall Street, and it will continue to motivate protests for as long as it persists.
Even within the business world, a variety of figures have recognized the imbalance. Henry Blodget, CEO and editor-in-chief of Business Insider, argues, “Importantly, the inequality that has developed in the economy over the past couple of decades is not just a moral issue. It’s a practical one. It is, as sociologists might say, “de-stabilizing.” It leads directly to the sort of social unrest that we’re seeing right now.” Meanwhile, Laurence D. Fink, Chief Executive of BlackRock, states of Occupy Wall Street, “These are not lazy people sitting around looking for something to do. We have people losing hope and they’re going into the street, whether it’s justified or not.” And for his part, Vikram Pandit, chief executive officer of Citigroup, says: “[These protests are] completely understandable. Trust has been broken between financial institutions and the citizens of the U.S., and that is Wall Street’s job, to reach out to Main Street and rebuild that trust.”
Historically, social movements have often been unpopular—and yet they’ve made important contributions to American politics. When viewed in hindsight, many protest movements once thought to be too unfocused, unkempt, or unruly ended up securing gains that are now taken for granted in our society.
While some observers may feel disappointed or confused by the message coming out of Occupy Wall Street, we should recognize that social change is a messy process. During the 1930s, those opposed to such measures as social security and labor rights frequently denounced those pushing for changes as dangerous Bolsheviks. Historian Kim Phillips-Fein notes that William Clinton Mullendore, president of the Southern California Edison Company and an influential conservative thinker, argued in 1931 against that era’s reformers, “[Those stirring up ‘trouble’ are] apostles of hatred.”
Yet in the end the social movement activism derided by establishment figures proved essential to creating the political climate necessary for change. Labor unionists and others speaking out made the reforms of the New Deal possible and paved the way for the growth of the American middle class in the post-World War II period. Few can argue today that this wasn’t a good thing for our country.
What’s at stake now is the health of our democracy. When a disproportionate number of Americans feel disenfranchised, it weakens the social fabric of our country. We see this in the ever-more-acrimonious clashes displayed on cable news. Will Occupy Wall Street, like New Deal-era activism, be viewed in retrospect as effectively pushing our political debate in a healthier direction? This remains to be seen. But it is clear that a renewed drive to again create shared prosperity in our economy and democratic equality in our politics is long overdue.
Copyright 2011. Democracy: A Journal of Ideas, Inc.
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21 Comments so far
Show AllYou want a vivid symbol of corporate excess? There it is!
As for the traders' agreement about disturbing changes in the industry, "with people trying to make profits by moving money around rather than by supporting real economic activity", did they really expect any other result from "latency compressed" microsecond trading courtesy of Bank of America Merrill Lynch?!
The only thing I see "trickling down" is what one would normally expect from a bull surrounded by pigs.
This article is from 2009
//vigilantcitizen.com/sinistersites/sinister-sites-rockefeller-center/
Prepare to be surprised.
But I'll say that every time there is violence in these protests it hurts not helps the cause. It will turn off the very people that need to get on board. Getting arrested helps no one.
You may not like it, but that's the truth. Riots, fighting, destructive behavior are the enemy of the ability to influence change. Only idiots and children think Americans like to see violent confrontations in the streets or view them favorably.
As to the people that work in the financial industry, they are simply working stiffs till you get to upper management, why the surprise that they are not far off in their feelings from what is being expressed in the streets? They know it better than we do.
By the way Dan, the cops look as if they are on fat steroids too. NYPD needs to spend more time in the gym than on Wall Street.
And yet many do argue just that. I think the argument is more often than not, disengenuous but some of these fools really do believe their own BS.
Thank you for a very good article.
The New Deal did not "pave the way" for the "growth" of the so-called "American middle class," it channeled and corralled the growing working class movement into safe paths and protected the ruling class from being overthrown.
"To not know history it's as if you were born yesterday." Howard Zinn
how's this for disingenuous?
☮☮
That every person who shall seek to avail himself of this proclamation shall take and subscribe the following oath before any authority in the Philippine archipelago authorized to administer oaths, namely: "'I solemnly swear (or affirm) that I recognize and accept the supreme authority of the United States of America in the Philippine Islands and will maintain true faith and allegiance thereto; that I impose upon myself this obligation voluntarily without mental reservation or purpose of evasion so help me God."
Given under my hand at the city of Washington, this 4th day of July, A. D. 1902, and in the one hundred and twenty-seventh year of the Independence of the United States.
That every person who shall seek to avail himself of this proclamation shall take and subscribe the following oath before any authority in the Philippine archipelago authorized to administer oaths, namely: "'I solemnly swear (or affirm) that I recognize and accept the supreme authority of the United States of America in the Philippine Islands and will maintain true faith and allegiance thereto; that I impose upon myself this obligation voluntarily without mental reservation or purpose of evasion so help me God."
Given under my hand at the city of Washington, this 4th day of July, A. D. 1902, and in the one hundred and twenty-seventh year of the Independence of the United States.
THEODORE ROOSEVELT
1) Pick a color to represent your movement and wear it daily in public places (work, restaurant, etc.). Remember, this is a numbers game. You want maximum visibility, and to bring your movement into everyday life.
2) Have an all-inclusive strategy. Accept people with different views who are willing to join you in protest. Contrary to popular belief, you don’t have to know what you want as a movement yet. The goal at this stage is to point to your opponents and say that they have been lying to you; that the show they have constructed is false and that you are sick of it.
3) Demonstrate peacefully. Committing violence during demonstrations leads to ruptures within your movement, diminishes public sympathy, and gives the security forces a reason to violently suppress your protest.
4) Be rigorous. Security forces, dressed as civilians, may commit public acts of violence in order to have an excuse to squash protests. Find footage of those that police accuses of acting violently. Make sure they are legitimate protestors. Expose them if they are not.
5) Be creative. During demonstrations in Iran, security forces dressed a male protester in female attire in a bid to embarrass him. The next day, hundreds of male protesters came out in female attire.
6) Record protests with your mobile phones and send to television stations. Many broadcasters are owned by the very people who are in the 1%. But every now and then, there are producers and news workers who are willing to get in trouble for showing the truth. This happened in Iran on many occasions. News websites have an e-mail address and they generally ask you to send them footage. Do IT.
7) Send your footage of acts of violence committed by the police to foreign television broadcasters like Al Jazeera, RT, etc. When they show the footage, it puts pressure on American broadcasters to do the same. (Iranian protestors used BBC very effectively, even though it is a British outlet).
8) Write, “I am 99%” or “OWS” on all dollar bills that you circulate. Remember, you are fighting on the plane of the symbolic, and cash circulates widely and quickly.
9) Do not let politicians co-opt your movement. Many politicians, domestic or not, may hope to use your movement to their advantage. Allow them to join your movement, but DO NOT let them lead or act as spokesperson.
10) Write arguments and op-eds that aim at the logic of the system that has robbed you of opportunities and comfort. Do not aim at a particular person. People can be replaced; it is the system that is hurting you.
What a bunch off Hogwash! The entire premise of this article is ridiculus.
Our economy and governing model is a Kleptocracy based on Monopoly - just look at the Health Insurance industy - legalized Monopoly.
This article is nothing more than begging us to believe in the status quo with a few tweaks around the edges -
And quoting citigroup as understanding of OWS is BS - quoting the citi jerkoff on anything is bs.
Peddle that shit elsewhere
The economy is of, by and for the monoplists and kleptocrats - the politicians are bought off -
The banksters ARE the problem -
CD is still pushng this shit on us and refusing to publish www.ampedstatus.com articles - probably because david degraw is full tilt Against the duopoly - aka BOTH political parties - and soon the 'lesser of 2 evils' mantra will start in earnest.
Anyhow, the comments (even those with which one may not entirely agree) always seem to me more insightful that the articles themselves.
Ding DIng DIng DIng DIng DIng DIng DIng DIng.........
...peace...
In the USA, it might be helpful to boycott all of the big box stores on black Friday--shop only in the mom and pop operations on that day. We no longer have any power at the ballot box, so we might do well to hit them in the only place that they care about--the bottom line.
Lisa is the host of an opera show, which was distributed by NPR. Lisa was spotted at Occupy Washington and word got back to NPR. She was there on her own time, as an individual citizen. NPR reacted by terminating the opera show.
NPR is listener supported; it requests donations from the public. It also accepts corporate donations and is partially funded by the US government.
Many people believe the action by NPR abridges her civil rights and indicated that they would no longer contribute to NPR.
This morning an NPR official responsible for the termination of the opera show was interviewed by one of the NPR reporters. She indicated that NPR is non-political.
The NPR official explained that NPR people are not allowed to engage in political activities and because NPR is non-political.
Non-political used to mean that workers leave their political ideas at the workplace entrance. On their own time they would be able to participate in political activity as they wish.
This redefinition of “non-political” by NPR is disturbing. It is like redefining rules so that what used to be illegal is now legal, so that bankers can increase their profits at the expense of the public, or like removing regulations so that corporations can pollute. It is dangerous for the country.
Although the bailout was a crime, there are much more serious crimes our government is guilty of, which beating on drums, invading bank branches, and squatting in public parks is not going to change.
OWS is a wrong-headed approach for dealing with what is, in reality, a very minor issues (the bank bailouts).
Washington is where our problems lie, not Wall Street, because our federal government is responsible for corruption, lying, murder, and treason.
Dealing with corruption alone (OWS) is certainly no solution to these far more serious problems.
Google "ows tea party what we must do" as well as "ows otpor" and "the revolution business" to learn more