As a result of previous discussion on this blog, I invited one of our regular commentors, Anthony Chelette, who works as an advertising agency art director, to read the Pontifical Council on Social Communications document Ethics In Advertising and write his thoughts on it as a person working in the field. He was kind enough to do so, and thus results the following guest post.
I’d like to thank Anthony for taking the time to read the document and write this response over the last several weeks. I hope this will lead to fruitful discussion and greater understanding of the field and this response to it.
–Brendan Hodge (DarwinCatholic)
Certain ideas are intrinsically a part of being American. Liberty. Individualism. Capitalism. But often another ‘ism’— consumerism— is associated with the American experience. Catholics appropriately abhor what consumerism is — an insatiable search for happiness through material gratification— and some point a finger at advertising as a pusher for ‘unneeded’ products of questionable value. Such opinion holds advertisers partially responsible for behavior that distracts from moral progress and discourages the ordering of economies.
The Church has always had a keen eye on how the desire for material satisfaction erects walls between the human person and his true destiny in Heaven. Jesus himself recognized that love for possessions easily make men willing slaves. Suddenly, man is more obedient to besting his Guitar Hero score than Christ’s teachings.
It is oft observed that we have a consumption problem. Various people come at this from various angles. Health experts warn that we have an obesity epidemic. Religious leaders warn that consumerism can be a threat to one’s real moral priorities. Environmentalists warn that we are consuming the earth’s resources at an unsustainable pace.
All of these are true to one extent or another. The fact of the matter is, the human animal is not well set up to deal with situations of long term abundance. In nature, lack almost invariably follows abundance in the natural cycle, and so our evolutionary heritage tends to tell us, in the presence of obvious plenty, “Eat up now, there may be nothing later.” For animals this is likely to be the case. The plants which are in season now will not be later, and the predator who has made a kill one day may well not another.
MSNBC recently did an interesting piece on the shortage of primary care practitioners, which has become particularly acute in rural and low-income areas. As a result, many older doctors feel that they cannot retire because there is no one to take their place:
There are not enough general care doctors to meet current needs, let alone the demands of some 46 million uninsured, who threaten to swamp the system.
With the garden currently shooting up, I’ve found myself again disposed to read gardening and food related books. I finished reading The Omnivore’s Dilemma last week, and aside from a few gripes in regards to Michael Pollan’s understanding of economics, I enjoyed it quite a bit. On the last run by the library, I picked up a copy of Barbara Kingsolver’s Animal, Vegetable, Miracle: A Year of Food Life. The idea of moving out onto acreage and growing much of one’s own food is something that I find interesting. I enjoy gardening, I enjoy cooking gourmet food, and I think there’s a cultural and psychological value to remaining in touch with the way that humans have gained food for themselves in past centuries.
However, Kingsolver is far more passionate (and less balanced) in her jeremiads against “industrial food” than Pollan, and more prone to denunciations of what “capitalism” has done to our food culture. Indeed, so much so as to crystallize for me a trend among those who denounce “capitalism” and its impact on Western Culture. Kingsolver had just reached the crescendo of a complaint in regards to large seed companies peddling hybrids and genetically modified strains, when she turned to the subject of heirloom vegetable varieties, and her joy at paging through lengthy seed catalogs full of heirloom seeds.
…Heirloom seeds are of little interest to capitalism if they can’t be patented or owned. They have, however, earned a cult following among people who grow or buy and eat them. Gardeners collect them like family jewels, and Whole Foods Market can’t refrain from poetry in its advertisement of heirlooms….
So you see, when large agribusiness firms sell farmers seeds for field corn which are genetically modified to repel pests,
that’s capitalism. But when catalog and internet businesses build a thriving niche selling heirloom vegetable seeds, and Whole Foods ad men wax poetical over $7/lb tomatoes, that’s… Well, it certainly can’t be capitalism, can it? Not if it’s good.
One of the concepts in economics that people seem to have difficulty grasping at an intuitive level is how other people’s income affects one’s own income. Many people instinctively ascribe to the “lump theory” of money, in which one may imagine all wealth to consist of a set amount of money, like a dragon’s hoard. If you capture more of it, that means that someone, somehow, has ended up with less.
In certain circumstances, this theory might describe things pretty well, but in most times and places wealth grows and shrinks with productivity. Basically, if I am able to produce more goods and services of value to othe people in the same amount of time, then my income grows.
From last weekend’s Wall Street Journal, an article on the not-yet-crowded heritage treasures in the world:
As dawn breaks on top of a mountain near the China-Vietnam border, hundreds of water-filled rice terraces reveal themselves, clinging to the mountainside in geometric patterns in every direction. The rising sun, reflecting off the water, turns some of the terraces bright shades of orange and gold. Then solitary figures appear, black against the rising sun — peasants with their water buffaloes hitched to wooden plows.
Contributor Joe Hargrave posted a link to an interesting new essay of his today on the topic of the Culture of Death and its connections to consumerism. It’s an interesting essay, and I encourage people to read it. I do not pretend to similar length or erudition in this piece, but in formulating some thought about Joe’s essay I realized that it would be very long for a comment, so I’m writing it up as a post here instead.
There are a lot of things I found interesting and wanted to discuss (or dispute) in your essay — perhaps in part because I get the impression that our areas of historical knowledge are somewhat non-overlapping (I know most about 3000 BC to 400 AD, you seem to be most expert on the last two centuries), and the person who imagines himself an expert in anything invariably has all sorts of quibbles with what the “outsider” writes. However, I’m going to try to stick to what I think is my most central critique.
Joe finds at the root of the culture of death the materialistic and individualistic phenomenon of modern consumerism, and about consumerism he says the following, beginning with a quote from Pope John Paul II:
Blogger Sam Rocha wrote a post the other day titled, “A Brief Defense of ‘Capitalism'”. However, Rocha’s attempt is, I think, somewhat hampered by the fact that he by his own description does not think much of capitalism.
For the most part we (by “we” I mean those of us on the left, yes I will own up to being something of a leftist, whatever that means) like to say that all capitalism, and its governing libertarian sentiment, desires is for there to be no limit at how much one can take for one’s self. It is a creed of the indulgent and the rich. Greed, selfishness, isolationism, sterile individualism and other nasty things, are what we enjoy making capitalism out to be.
With such an opener, what might wonder what it is that Rocha then finds to praise in capitalism. What he find is, I think, not at all unique to capitalism narrowly defined, but it is something which those of us in the West are much attached to:
If we can cut-out the name calling, I think we can find a powerful meaning within capitalist sentiment. Namely, the much-abused, taboo, and rejected idea of the individual, the person-singular. I think that if we take notions of private property and negative freedom (“freedom from”) inherent in capitalist sentiment, and ponder what they mean, we will find that we all value such things privately….
Here is my defense: Capitalism, as it is believed in benevolently, reminds us of our radical existence as images of God with a potency to as we wish within the vast sea of possibility. What we need next is the ability to control ourselves with the prudence, grace, and love of our Creator in this stormy sea of freedom. But we should never be too quick to accept external-control over our bodies, minds, and hearts. We need to be free. And perfect freedom is not the raw, brute force of libertarianism, to be sure. At the same time, it also is that imposing force.
I don’t find what Rocha finds to praise unappealing, but at the same time I think that there is something more to be found in capitalism as described by Adam Smith and others which even many of those who frequently condemn capitalism would find it in themselves to admire if they could look past their preconceptions and see Smith-ian capitalism for what it is.
I was struck by this Megan McArdle post, of which I will go ahead a quote a large chunk:
Guess what, honey? You’re not entitled. You can do everything right, and the universe doesn’t owe you anything. Neither do your fellow taxpayers. If there is any way to save the banking system without paying you $2 million a year, I will do it, not because I hate you and want to rob you, but because I don’t want to pay more than I have to. You may have come across this concept in business school. At Chicago, we called it “a market”.
The real problem with investment bankers goes deeper, and is the problem of the entire upper middle class: we have come to believe that complying with the rules produces excellent results as by some natural law. In school, if you do your work, teacher gives you an A. It comes to seem like a sort of a natural law: if you have a good education and work hard, the universe is supposed to reward you. After school, the upper middle class gravitates towards careers with very well defined advancement hierarchies: medicine, law, finance, consulting, where this subtle belief is constantly reinforced. Continue reading
With people focused on the economic downturn, many have found it a good time to give a little extra thought to whether other people are making more than they ought to. The president has spoken out several times against “excessive compensation” of executives, and a number of people have floated the idea of adjusting the top marginal income tax rate to effectively cap total compensation at ten million dollars a year. MZ tackled the question somewhat humorously here.
Beyond question, $10 million is a lot of money. Most of us will never see anything like that much money, and so it seems entirely reasonable to demand: Why should anyone be paid so much? What’s so special about CEOs and actors and baseball players that they deserve tens of millions of dollars? Aren’t they running off with the money that we should be getting instead?
I certainly wouldn’t claim that executives are not often paid more than they are worth. A board of directors is still a group of people with emotional commitments (including wanting to assure themselves that they made the right pick in choosing the current CEO) and they will certainly not always do what is in their own best interest. Though we may be comforted that in a free economy the incentives are in place to automatically punish them for not doing so.
For something over a year now, I’ve been enjoying the EconTalk podcast, something which Blackadder of Vox Nova turned me on to. EconTalk is a weekly, one hour podcast put out by the Library of Economics and Liberty. It’s hosted by Dr. Russ Roberts, a professor of economics at George Mason University and regular National Public Radio commentator on economics, and the format is usually one of Prof. Roberts interviewing an economist about his/her recent book, or about an topic of current interest. And generally it succeeds in pursuing that fascinating middle ground of being accessible to the general listener while not shying away from discussing highly technical/academic topics.
I was inspired to post on them at this point because this week’s podcast was of a different format than usual, consisting of an extended interview of Prof. Roberts by a journalist on the difference between wealth and income, and what it means to say that we have “become much less wealthy” over the course of the recession of the last 6-9 months. Roberts also discusses the inexact nature of economics as a science and how the uncertainties of interpreting data play into policy debates.
This Newsweek article about Nobel Prize-winning economist and NY Times columnist Paul Krugman contained an interesting biographical detail:
Krugman says he found himself in the science fiction of Isaac Asimov, especially the “Foundation” series—”It was nerds saving civilization, quants who had a theory of society, people writing equations on a blackboard, saying, ‘See, unless you follow this formula, the empire will fail and be followed by a thousand years of barbarism’.”
His Yale was “not George Bush’s Yale,” he says—no boola-boola, no frats or secret societies, rather “drinking coffee in the Economics Department lounge.” Social science, he says, offered the promise of what he dreamed of in science fiction—”the beauty of pushing a button to solve problems. Sometimes there really are simple solutions: you really can have a grand idea.”
There’s been some discussion of inequality in posts and comments here recently. I have ambitions to write a series of the particular challenges I believe our country is facing in regards to inequality in a modern high-skill-based economy, but given recent discussion I’d like to open with something fairly open-ended.
John Henry pointed out that the Catechism of the Catholic Church addresses the question of equality to some extent in its section on Human Solidarity:
1935 The equality of men rests essentially on their dignity as persons and the rights that flow from it:
Every form of social or cultural discrimination in fundamental personal rights on the grounds of sex, race, color, social conditions, language, or religion must be curbed and eradicated as incompatible with God’s design.40
As the government continues to pump money into AIG, the foundering insurance giant which found itself at the center of the real estate and financial crashes, I’ve seen increasing numbers of commentators demand to know why no one is calling for the jailing of AIG executives on charges of fraud. How, the argument goes, was their selling of financial insurance products any different from the sort of fraud Maddoff carried out? They sold insurance policies they couldn’t cover! They took money and gave nothing in return!
I think this tends to underline that people don’t actually understand insurance and how it works very well. This is doubly concerning in that insurance has become increasingly central to people’s ideas of economic security in the last few decades. Indeed, we’ve reached a point where lacking health insurance is itself considered a health problem, regardless of whether this actually results in someone failing to receive needed treatement.
What is insurance? Basically, insurance is a way of extending your savings for unlikely but high cost eventualities.
While Americans weather layoffs and watch their 401ks dwindle, the developing nations in which many of our products originate are being hit even harder by the global downturn. Many of these developing nations have virtually no social safety net, and job loss can be crippling. However, as jobs manufacturing good to be sold to the West dry up, many are turning to the “informal economy” the open air markets, street vendors, and in-home manufacturers which make up more than half the economy in countries ranging from India and Mexico to much of sub-Saharan Africa.
The informal economy consists of cash and in-kind transactions and its practitioners do not pay taxes, hold licenses, or obey regulations. Pay is simply however much money is made, and there are no benefits. Because informal businessmen pay no taxes and work on a cash only basis (they seldom capitalize through loans, nor do they put savings into banks) economists have generally seen them as a drag on the economy. But as export-based jobs dry up, it provides a fallback safety net for many workers:
Until late December, Pilaporn Jaksurat, 33, was working full-time on a cotton spinning machine in a textile mill in Bangkok. She made about $7 a day and her benefits included bonuses of $30 a month for good attendance and a severance package worth about $800.
Then she was laid off when her factory, which sells fabric to clothing manufacturers in Europe, said it had to cut costs to cope with the global economic crisis.