Dave Badtke’s Blog

Quiddities — Musings essential and frivolous

Browsing Posts published in February, 2009

Household debt vs. GDP by Columbia business professor David Beim

Household debt vs. GDP by Columbia business professor David Beim

You may have heard the conversation with David Beim, professor of business at Columbia University and NPR’s Adam Davidson, a conversation that was repeated on This American Life. Since the approach on these kinds of programs is to juxtapose happy talk, “journalists” giggling over Ken-Burns-like music that metonymically attaches itself to our emotions like cancerous tumors to our brains, you like me may have been scared silly by the claim that our household debt to GDP raio became the same in 2007 as it was in 1929: 100%.

This chart tracks the relationship between household debt and gross domestic product. You’ll see two years when Americans’ debt becomes 100 percent of GDP — 1929 and 2007. It’s the chart that made Columbia professor David Beim say:

“The problem is us. The problem is not the banks, greedy though they may be, overpaid though they may be. The problem is us… We’ve been living very high on the hog. Our living standard has been rising dramatically in the last 25 years. And we have been borrowing much of the money to make that prosperity happen.”

Beim referred to this graph as a pair of hockey sticks. Remembering that this plot is against time, to me the pair of peaks looks more like an avalanche. Note where the debt ratio ends up by the beginning of WWII, roughly 20%.  So either everyone paid off their debts, which we know didn’t happen, or everyone defaulted on their debts, their toxic assets to use today’s term for bad bank debts, and lost everything.

What I find most perplexing is the fluidity of economic interpretation. This seems like an incredibly important graph, yet we’re just hearing about it. What I don’t understand is why it’s important, a problem economics frequently seems to have. I’m looking for the fundamental constants and equations of the field, but keep finding instead a field that likes to suck us in with mushy ideas and false choices.

In other words, if we look at a good working model of how a productive society should function, what should this ratio be? Is this debt ratio a problem because Americans have been sending all their debt-leveraged cash overseas to buy flat-screen TVs and automobiles from Japan, anything small that’s boxed from China, and high-performance cars and knives from Germany? If instead we were buying these same goods from Americans made here in America, wouldn’t that be just fine since the profits would be taxed and our infrastructure and citizens would benefit?

It seems to me that the bigger problem than debt is that we can’t buy an American flat-screen TV or an American high-performance, reliable car or an American coffee maker packaged in a box made in America. And the reason we can’t do this is because American workers are no longer making what we want to buy, whether we buy with cash or credit. This strikes home in my classrooms because even if my students wanted to make a reasonable living making things, they couldn’t: those businesses are gone. Instead they need to work at Starbucks for the health benefits where they learn how to make a venti latté when the customer asks for a big espresso with milk and foam.

I’m not against globalization; I’m against the kind of greed and quarterly profit reports and ethical deficiencies that have been the philosophical cornerstone of Reganomics since 1980. It’s because of this economic philosophy that values money and profit over human needs and aspirations that a dollar spent is too often a dollar sent elsewhere with no structural benefit to your family and neighbors and friends and community and state and country.

By Bert Hölldobler and Edward O. Wilson

In the latest issue of the New York Review of Books (2/26/2009), the same issue in which you’ll find Zadie Smith’s article on Obama about which I recently wrote, Tim Flannery reviews Bert Hölldobler and Edward O. Wilson’s The Superorganism: The Beauty, Elegance, and Strangeness of Insect Societies. I’m a long-ago collector of beautiful small things with gossamer wings and thread-thin legs that I killed in pickle jars lined with carbontetrachloride-soaked cotton balls, carefully putting the butterflies and moths and beetles and most anything else with six to eight legs carefully in one practiced motion into the jar and screwing on the lid to watch them, my nose against the glass, perish.  So I would have preferred reading this book rather than reading about it, but at $55 ($34.65 at Amazon) I’ll wait until I get it from the library. I”m now first on the list.

But even in review the idea is fascinating that we should view ants as superorganisms, each ant being like a cell,  living for a short time, save for the queen that can live for ten years, dividing through bizarre sexuality, and working in concert to build vast villages and even harvest leaves and farm mushrooms.

As for sex, it could hardly be more bizarre, completely female save during brief mating seasons. There are even, if you can believe it, virgin births:

Ant sex seems utterly alien. Except for short periods just before the mating season, when an ant colony is reproducing, it is composed entirely of females, and among some primitive species virgin births are common. All the offspring of such virgin mothers, however, are winged males that almost invariably depart the nest. If a female ant mates, however, all of her fertilized eggs become females. In many ant societies, reproduction is the prerogative of a single individual—the queen. She mates soon after leaving her natal colony, and stores the sperm from that mating (or from multiple matings) all of her life, using it to fertilize (in some cases) millions of eggs over ten or more years.

Some ant species do not have queen ants in the strict sense. Instead, worker ants (which are all female) that have mated with a male ant become the dominant reproductive individuals. These are the gamergates, or “married workers,” and their sex life can be brutal. In one species the gamergates venture outside of the nest to attract a male, engage him in copulation, then carry him into the nest before snipping off his genitals and throwing away the rest of his body. The severed genitals continue to inseminate the gamergate for up to an hour, after which they too are discarded. The fertilized gamergates then vie for dominance, causing disruptive conflict in the nest. Sometimes an oligarchy of gamergates is established, but in other instances a single gamergate triumphs.

You might think that such an established gamergate would watch the colony carefully for signs of emerging rivals, but this is not the case. Instead it’s the worker ants that do so by taking a keen interest in the sexual status of their sisters. If they sense that one is becoming a sexually active gamergate, they will turn on her, either assaulting her or watching carefully until she produces eggs, which they promptly consume. It’s intriguing that the sterile workers play the role of monitoring and regulating the sexual life of the colony. In a stretch of the imagination, I can see parallels between this behavior and the role of policing and censuring the sex lives of the rich and famous that gossip magazines play in our own society.

Flannery suggests that we are, like ants, a superorganism, but in our case we’re “in the process of metamorphosing into the largest, most formidable superorganism of all time.” My question is, are we becoming more like the ants, or are they becoming more like us?

Perhaps I shouldn’t admit this because I should already have known that I was a Frank O’Hara fan, but life takes sadistic joy in introducing ideas late that should have been known early.

Just the other day I was reading Stephen Greenblatt’s Will in the World and discovered that King Edward I in 1290 expelled all Jews from England, two hundred years before they were expelled from Spain (Greenblatt 258). I teach English. I teach Hamlet. So even though I don’t teach The Merchant of Venice, I should have known that when Marlowe wrote The Jew of Malta and Shakespeare wrote The Merchant of Venice that neither playwright knew Jews in the flesh, but only knew Jews as evil stereotypes in jokes and bedtime stories:

By the time of Marlowe and Shakespeare, three centuries later, the Jewish population of England was ancient history. London had a small population of Spanish and Portuguese converts from Judaism, and some of these may have been Marranos, secretly maintaining Jewish practices. But the Jewish community in England had long vanished, and there were no Jews who openly practiced their religion. Yet in fact the Jews left traces far more difficult to eradicate than people, and the English brooded on these traces — stories circulated, reiterated, and elaborated — continually and virtually obsessively. There were Jewish fables and Jewish jokes and Jewish nightmares: Jews lured little children into their clutches, murdered them, and took their blood to make bread for Passover. Jews were immensely wealthy — even when they looked like paupers — and covertly pulled the strings of an enormous international network of capital and goods. Jews poisoned wells and were responsible for spreading the bubonic plague. Jews secretly plotted an apocalyptic war against the Christians. Jews had a peculiar stink. Jewish men menstruated (Greenblatt 258-9).

To Marlowe and Shakespeare Jews must have seemed as distant and threatening as the people of sub-Saharan Africa are to many who only “know” the people of the Congo, Liberia, Rwanda, Sierra Leone, Nigeria through stories of Big Man atrocities and ethnic genocide.  So I shouldn’t be surprised that I feel uncomfortable with the comic elements in The Merchant of Venice that come at Shylock’s expense. But I should be surprised that even with this horrible depiction of a people that he didn’t understand, a people on whom ills could be blamed, Shakespeare was capable of seeing Jews with some humanity.

Solarino: Why, I am sure, if he forfeit [his debt], thou wilt not take [Antonio's] flesh: what’s that good for?

Shylock: To bait fish withal: if it will feed nothing else, it will feed my revenge. He hath disgraced me, and hindered me half a million; laughed at my losses, mocked at my gains, scorned my nation, thwarted my bargains, cooled my friends, heated mine enemies; and what’s his reason? I am a Jew. Hath not a jew eyes? hath not a Jew hands, organs, dimensions, senses, affections, passions? fed with the same food, hurt with the same weapons, subject to the same diseases, healed by the same means, warmed and cooled by the same winter and summer, as a Christian is? If you prick us, do we not bleed? if you tickle us, do we not laugh? if you poison us, do we not die? and if you wrong us, shall we not revenge?

I should have known this about Shakespeare and Jews, but I didn’t.

And I should have known about Frank O’Hara before reading Zadie Smith’s “Speaking in Tongues,” but I didn’t.

Smith quotes the following passage from “In Memory of My Feelings,” which you can find in full at poetryhunter.com.

“I am a Hittite in love with a horse,” writes Frank O’Hara.

I don’t know what blood’s
in me I feel like an African prince I am a girl walking downstairs
in a red pleated dress with heels I am a champion taking a fall
I am a jockey with a sprained ass-hole I am the light mist
in which a face appears
and it is another face of blonde I am a baboon eating a banana
I am a dictator looking at his wife I am a doctor eating a child
and the child’s mother smiling I am a Chinaman climbing a mountain
I am a child smelling his father’s underwear I am an Indian
sleeping on a scalp
and my pony is stamping in
the birches,
and I’ve just caught sight of the
Niña, the Pinta and the Santa
Maria.
What land is this, so free?

This reminds us that we can only understand those whose skin we wear — an African prince, a girl walking downstairs in a red pleated dress, a jockey with a sprained ass-hole — whose lives we can imagine are like ours because they too bleed and laugh and die.

I should have known this, but sometimes I need reminding.

Zadie Smith’s article in the lastest New York Review of Books, “Speaking in Tongues,” revisits the exploration of cultural, mixed,middle, mimic identities that so many have written about before — Ralph Ellison, James Baldwin, V. S. Naipaul, Richard Rodriguez, and, of course, Smith herself in White Teeth. She regrets that she has not had the courage to keep her double tongues alive in her personal life, the tongues of the London district of Willesden, where she grew up, and Cambridge, where she was educated.

Recently my double voice has deserted me for a single one, reflecting the smaller world into which my work has led me. Willesden was a big, colorful, working-class sea; Cambridge was a smaller, posher pond, and almost univocal; the literary world is a puddle. This voice I picked up along the way is no longer an exotic garment I put on like a college gown whenever I choose—now it is my only voice, whether I want it or not. I regret it; I should have kept both voices alive in my mouth. They were both a part of me. But how the culture warns against it! As George Bernard Shaw delicately put it in his preface to the play Pygmalion, “many thousands of [British] men and women…have sloughed off their native dialects and acquired a new tongue.”

She compares her own identity diffusion that has replaced one tongue with another, one language or dialect with another to Barack Obama’s ability in Dreams from My Father to seemlessly add identities, building one on the next, juxtaposing them, mixing them, using them to bridge distinct identities.

In Dreams from My Father, the new president displays an enviable facility for dialogue, and puts it to good use, animating a cast every bit as various as the one James Baldwin—an obvious influence—conjured for his own many-voiced novel Another Country. Obama can do young Jewish male, black old lady from the South Side, white woman from Kansas, Kenyan elders, white Harvard nerds, black Columbia nerds, activist women, churchmen, security guards, bank tellers, and even a British man called Mr. Wilkerson, who on a starry night on safari says credibly British things like: “I believe that’s the Milky Way.” This new president doesn’t just speak for his people. He can speak them. It is a disorienting talent in a president; we’re so unused to it. I have to pinch myself to remember who wrote the following well-observed scene, seemingly plucked from a comic novel:

“Man, I’m not going to any more of these bullshit Punahou parties.”

“Yeah, that’s what you said the last time….”

“I mean it this time…. These girls are A-1, USDA-certified racists. All of ‘em. White girls. Asian girls—shoot, these Asians worse than the whites. Think we got a disease or something.”

“Maybe they’re looking at that big butt of yours. Man, I thought you were in training.”

“Get your hands out of my fries. You ain’t my bitch, nigger…buy your own damn fries. Now what was I talking about?”

“Just ’cause a girl don’t go out with you doesn’t make her a racist.”

This is the voice of Obama at seventeen, as remembered by Obama. He’s still recognizably Obama; he already seeks to unpack and complicate apparently obvious things (“Just ’cause a girl don’t go out with you doesn’t make her a racist”); he’s already gently cynical about the impassioned dogma of other people (“Yeah, that’s what you said the last time”). And he has a sense of humor (“Maybe they’re looking at that big butt of yours”).

Obama has inspired so many of us because of his uncanny ability to add rather than subtract, his ability to live a dream that is both rational and pragmatic as well as rhetorical and ethereal. She relates this to the dream-city character portrayed by Cary Grant.

What did Pauline Kael call Cary Grant? ” The Man from Dream City.” When Bristolian Archibald Leach became suave Cary Grant, the transformation happened in his voice, which he subjected to a strange, indefinable manipulation, resulting in that heavenly sui generis accent, neither west country nor posh, American nor English. It came from nowhere, he came from nowhere. Grant seemed the product of a collective dream, dreamed up by moviegoers in hard times, as it sometimes feels voters have dreamed up Obama in hard times. Both men have a strange reflective quality, typical of the self-created man—we see in them whatever we want to see. ” Everyone wants to be Cary Grant,” said Cary Grant. ” Even I want to be Cary Grant.” It’s not hard to imagine Obama having that same thought, backstage at Grant Park, hearing his own name chanted by the hopeful multitude. Everyone wants to be Barack Obama. Even I want to be Barack Obama.

But I haven’t described Dream City. I’ll try to. It is a place of many voices, where the unified singular self is an illusion. Naturally, Obama was born there. So was I. When your personal multiplicity is printed on your face, in an almost too obviously thematic manner, in your DNA, in your hair and in the neither this nor that beige of your skin—well, anyone can see you come from Dream City. In Dream City everything is doubled, everything is various. You have no choice but to cross borders and speak in tongues. That’s how you get from your mother to your father, from talking to one set of folks who think you’re not black enough to another who figure you insufficiently white. It’s the kind of town where the wise man says “I” cautiously, because “I” feels like too straight and singular a phoneme to represent the true multiplicity of his experience. Instead, citizens of Dream City prefer to use the collective pronoun “we.”

Throughout his campaign Obama was careful always to say we. He was noticeably wary of “I.” By speaking so, he wasn’t simply avoiding a singularity he didn’t feel, he was also drawing us in with him. He had the audacity to suggest that, even if you can’t see it stamped on their faces, most people come from Dream City, too. Most of us have complicated back stories, messy histories, multiple narratives.

It was a high-wire strategy, for Obama, this invocation of our collective human messiness. His enemies latched on to its imprecision, emphasizing the exotic, un-American nature of Dream City, this ill-defined place where you could be from Hawaii and Kenya, Kansas and Indonesia all at the same time, where you could jive talk like a street hustler and orate like a senator. What kind of a crazy place is that? But they underestimated how many people come from Dream City, how many Americans, in their daily lives, conjure contrasting voices and seek a synthesis between disparate things. Turns out, Dream City wasn’t so strange to them.

But his multiplicity skill also makes many nervous, for they suspect that behind his chameleon-like identities is something sinister. Perhaps they find it impossible to believe that one can live out multiple points-of-view without being duplicitous, an actor, a Cary Grant who’s someone for the people, someone else when he’s offstage without makeup. And so they wait for his mask to drop, convinced that at some point the true Obama will be revealed.

Which brings us to the single-voiced Obamanation crowd. They rage on in the blogs and on the radio, waiting obsessively for the mask to slip. They have a great fear of what they see as Obama’s doubling ways. “He says one thing but he means another”—this is the essence of the fear campaign. He says he’s a capitalist, but he’ll spread your wealth. He says he’s a Christian, but really he’s going to empower the Muslims. And so on and so forth. These are fears that have their roots in an anxiety about voice. Who is he? people kept asking. I mean, who is this guy, really? He says sweet potato pie in Philly and Main Street in Iowa! When he talks to us, he sure sounds like us—but behind our backs he says we’re clinging to our religion, to our guns. And when Jesse Jackson heard that Obama had lectured a black church congregation about the epidemic of absent black fathers, he experienced this, too, as a tonal betrayal; Obama was “talking down to black people.” In both cases, there was the sense of a double-dealer, of someone who tailors his speech to fit the audience, who is not of the people (because he is able to look at them objectively) but always above them.

Despite all the problems we face and the newness of the man we’ve selected to lead us, Smith ends her essay on hope, the hope that so many of us have that we’re living through a new period that may not be replicated again, that may be unique to the individual, but that will surely have a positive effect if we can discover a more “decent human harmony.”

It’s my audacious hope that a man born and raised between opposing dogmas, between cultures, between voices, could not help but be aware of the extreme contingency of culture. I further audaciously hope that such a man will not mistake the happy accident of his own cultural sensibilities for a set of natural laws, suitable for general application. I even hope that he will find himself in agreement with George Bernard Shaw when he declared, “Patriotism is, fundamentally, a conviction that a particular country is the best in the world because you were born in it.” But that may be an audacious hope too far. We’ll see if Obama’s lifelong vocal flexibility will enable him to say proudly with one voice “I love my country” while saying with another voice “It is a country, like other countries.” I hope so. He seems just the man to demonstrate that between those two voices there exists no contradiction and no equivocation but rather a proper and decent human harmony.