Sunday, 3 March 2013

How to Think About Social Issues: Tips 29-30 and Conclusion


29. Remember that social arrangements can only be expected to combat natural scarcity more or less efficiently, not entirely eliminate it:
            Material goods that humans desire have, and probably always will be, scarce, and at no point was this more true than in the primitive state of nature. Mankind’s primitive condition did not at all resemble the mythological Garden of Eden, a land of bliss and plenty; rather, it was a time of all-encompassing poverty and danger. Besides a relatively greater abundance of raw land which could not possibly be used effectively without capital accumulation and a division of labor and exchange economy, the state of nature, when compared to any state of civilization, was scarcer in the vast majority of material goods that humans desired. The potential of death by starvation, disease, animal attacks, or inter-human violence was significant, and what would today be considered utter material destitution was the norm for those that were strong enough to even survive to adulthood.
            
           This, then, was the starting point of man’s material condition, a situation that could only be ameliorated through peaceful division of labour, production, exchange, capital accumulation, and technological innovation, in other words, through civilization. This is a slow process though, even with the social arrangements most conducive to the advancement of these pillars of material progress. To expect that the most productive social arrangement, assuming it were ever discovered and put into practice, would be able to entirely overcome material scarcity is a utopian fantasy. Most people will always desire things that are higher quality, available in higher quantities for lower prices, or that are more efficient with regards to the use of time (for time is a scarce commodity too). To criticize social arrangements for no other reason than because they have not overcome material scarcity entirely, without providing proper reasoning for why an alternative set of social arrangements would be able to overcome material scarcity faster, is entirely unhelpful and misleading.
            
           A common example of this fallacy can be found in certain criticisms of the Industrial Revolution. The criticizer will complain about how unsatisfactory the living conditions of some members of the working population were, and then allege that it was industrialism that caused their plight. Now, it is certainly true that from the standpoint of the standards of living prevalent in the present, the living condition of an average industrial worker was indeed quite bad. But this fact, by itself, is not a sufficient reason to criticize the industrial economy or capitalism in general. Three crucial questions must first be asked and answered: 1. How did the living standards of the average industrial worker in that period compare with the living standards of the average lower class person in the period before the Industrial Revolution? 2. Was the population of the society in question higher during the industrial period than it was in the period before the Industrial Revolution? 3. Could an alternative set of social arrangements have been conceived that would have improved material standards of living faster than the arrangements of the industrial period?

With regards to the first question, it is fairly clear that the lower classes of the pre-industrial period were by no means better off than their industrial counterparts. The rigid guild system and the lack of an extensive factory economy largely relegated the lower classes to beggary, charity, dangerous odd jobs, subsistence agriculture, sometimes as serfs, the military, banditry, prostitution, or employment in the proto-industrial unskilled labour jobs. The Industrial Revolution was characterized by the increasing importance of industries of mass production which employed many unskilled or semi-skilled workers in a factory setting. Mass production means production for the masses, there would be no point to it if the industry’s consumers were solely wealthy, upper class people as they largely had been for many industries in the Middle Ages. The masses, in this case, were the factory workers themselves and others in similar conditions, thus to argue that an economy characterized more by mass production for the needs of the masses resulted in lower living standards for those same masses is paradoxical, and indeed, incorrect.       

With regards to the second question, population is an important variable when comparing living standards across eras. Philosophically, it is debatable whether a smaller population with a higher standard of living is better than a larger population with a lower standard of living, but in either case, the fact that more people are being sustained in the world in one period than in another is not something to be ignored. The Industrial Revolution period in Britain witnessed a great population boom. Even if it could be shown that by some standard, the average material living standard per capita had slightly gone down in the early industrial period; one must still consider the fact that more people were able to enjoy such a standard of living at all, rather than being either dead or unborn.

Finally, and most importantly, with regards to the third question, the authors of the criticism being discussed were typically either novelists or socialists. Novelists generally did not take the time to study economics and the other relevant social sciences before making their critiques, and as a result, typically did not suggest plans for alternative social arrangements that they reasonably could have argued would have alleviated some of the material scarcity they were writing about more effectively than the social arrangements that had been in place. Socialists did propose such alternative arrangements, but their reasoning was riddled with holes and consequently, the supposed theory of why socialism was superior to capitalism for relieving material scarcity was faulty and, unsurprisingly to free-market economic theorists, socialist experiments in the 20th century resulted in destitution and terror for socialist subjects and thus proved a failure empirically as well. That being said, it is highly likely that some of the social arrangements of the early 19th century could have been modified somewhat to positive effect. However, though it would have been nice if the average industrial worker of the early 19th century could have enjoyed the living standards of the average worker in 21st century North America, there was no possible social arrangement that could have made it so. Many decades of capital accumulation, learning, increasing specialization, and technological innovation would have been necessary regardless, even if unsatisfactory social arrangements such as world warring and socialist policies would not have intervened as they did in actual history. Combating material scarcity takes time, longer or shorter depending on what social arrangements are adopted, but no conceivable social arrangements could completely abolish scarcity and result in a utopian land of absolute plenty.   

Thus, the existence of some material scarcity in a society is not, in and of itself, a valid criticism of existing social arrangements. To be such, it must be shown that alternate social arrangements would help alleviate that particular scarcity faster without higher costs elsewhere in the economy or in the long-run.


30. One does not have to be a political partisan to think about political issues:
            One of the biggest mistakes of many politically-involved people is that they feel the need to support wholeheartedly a particular political party and its stance on social issues rather than assessing those social issues independently and coming to their own conclusions. These partisans consider themselves politically well-informed because they follow all the machinations of day-to-day politics, cheering on ‘their’ party and disparaging the ‘enemy’ party/parties.  
            
           There are two reasons why this phenomenon is a barrier to careful thinking about social/political issues. Firstly, political parties tend to be coalitions of various interest groups, and thus often hold contradictory views on issues that should probably be resolved either one way or the other. For instance, take the Republicans in the United States. Though by no means a great champion of free-market ideas, the party does tend to make economic freedom a slightly higher priority than the Democrats do. At the same time though, they are fanatically opposed to things such as gay marriage. Economic freedom means allowing individuals to advance their personal, economic aspirations as they see fit, so why is it beneficial do deny homosexuals the freedom to marry if they so choose? The answer is because free-market sympathizers (I wouldn’t go so far as to say supporters…) and Christian social conservatives are both represented by the same political party, even though their doctrines are in many respects antithetical.
            
           As another example, take the Conservative Party of Canada. They are at once a proponent of liberalizing the wheat market in the Prairies by abolishing the Canada Wheat Board’s monopoly and a proponent of maintaining extensive supply-management policies for Ontario dairy farmers. There is no sound logic behind these contradictory positions, just that the wheat farmer interest group and the dairy farmer interest group happened to want different things for themselves.

Finally, take the ‘moderate’ leftist parties in most western democracies. They seem to believe that certain industries such as the healthcare, education, and non-car transportation industries must absolutely be socialized while other industries that are no less important, such as the food or clothing industries can be left alone. They do not talk much about the food and clothing industries, but judging from their anti-market rhetoric that they use to justify their plans to socialize some industries and intervene heavily in others, it would appear that they should see the relative freedom of the food and clothing industries as an absolute disaster that must be rectified with more intervention as soon as possible. When one asks why certain industries must be socialized and others left free, one does not receive a clear answer. I suspect that the answer lies in the machinations of political interest groups rather than in the mind of some theoretician that thought these issues out carefully before-hand. Likewise, how these parties can both support the activities of exclusive, monopolistic labour unions while bemoaning high unemployment and income inequality is another mystery. The same goes for their tirades against the banking and financial industries, accompanied by their policies of facilitating credit expansion inflation that benefits precisely these industries at the expense of the average money holder.
            
           All this is to say that political parties do not tend to hold intellectually consistent positions on all social issues. Thus, if one is trying to find a ready-made package of social issue stances from the political parties, it is highly unlikely that they will be intellectually coherent when you or a disputant analyzes each issue individually.
            
           The second reason is that most politically-involved people end up spending their time following political events and evaluating political people (politicians), rather than thinking about political ideas. One might know everything there is to know about the attempts of US politicians to avoid ‘the fiscal cliff’ or how ‘competent’ Angela Merkel seems to be, but this knowledge does not, per se, advance your understanding of social issues and their possible solutions. Before you despair because a particular political event happened or criticize a certain politician for doing this or that, it would be a good idea to actually formulate your own opinions on particular policies based on well-reasoned theories, relevant empirical evidence, and your own well-considered valuations.

Conclusion
           I have composed this list of tips to show you that positions on social questions are not immune to the scrutiny of reason and proper methodology. ‘Everything’ does not ‘go’, nor are ‘all opinions equally valid’. If you ever hope to convince anyone to come around to your way of thinking, you will have to examine social policies scientifically and then explain your subjective valuations of the ends that a scientific analysis indicates that policy will advance. Logic must prevail in the social sciences if civilization is to be saved from the ravages of ill-thought-out policies, and for this reason I implore you to take these tips to heart.  
         
             

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