Henry Giroux 10

Reclaiming the Radical Imagination: Challenging Casino Capitalism's Punishing Factories

Monday, 13 January 2014 09:14By Henry A. Giroux, Truthout | Op-Ed

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(Image: Jared Rodriguez / Truthout)

A society consisting of the sum of its vanity and greed is not a society at all but a state of war. - Lewis Lapham

The Gilded Age is back, with huge profits for the ultrarich, hedge fund managers and the major players in the financial service industries. In the new landscapes of wealth, exclusion and fraud, the commanding institutions of a savage and fanatical capitalism promote a winner-take-all ethos and aggressively undermine the welfare state and wage a counter revolution against the principles of social citizenship and democracy. The geographies of moral and political decadence have become the organizing standard of the dreamworlds of consumption, privatization, surveillance and deregulation. For instance, banks such as JP Morgan Chase, Bank of America and other investment companies including Barclays, Citigroup, Deutsche Bank, Goldman Sachs, and UBS prosper from subterfuge and corruption. They also have been transformed into punishing factories that erode the welfare state while pushing millions into hardship and misery and relegating an entire generation of young people into a state of massive unemployment, debt, and repression.  The profits seem endless and the lack of moral responsibility unchecked as the rich go on buying sprees soaking up luxury goods in record numbers. The New York Times reports that dealers of high-end luxury cars cannot keep up with the demand. Indulging in luxury items is no longer a dirty word for the ultrarich in spite of living in a society wracked by massive unemployment, inequality and poverty. One example provided by theTimes, without either irony or criticism, points to "Matt Hlavin, an entrepreneur in Cleveland who owns seven businesses, mostly in manufacturing, bought three Mercedes last year: a $237,000 SLS AMG and a $165,000 S63 AMG for himself, and a $97,000 GL550 sport utility vehicle for his wife."[1]  This example of shameless consumption reads like a scene out of Martin Scorsese’s film The Wolf of Wall Street, which portrays the financial elite as infantilized frat boys out of control in their unquenchable craving for greed, sex, power, and every other debauchery imaginable.[2] At a time when the United States has descended into forms of political and moral amnesia, massive inequity and high levels of poverty, coupled with narratives of excess and over-the-top material indulgence, have become normalized and barely receive any critical commentary in the mainstream media.

It gets worse. As the zombies of casino capitalism rake in unprecedented amounts of wealth, they appear to take delight in mocking and humiliating the poor and disadvantaged as if they are not only responsible for their suffering but deserve such hardships in spite of the fact they are not accountable for the difficulties in which they find themselves. Those with little power or wealth are now seen not only as morally degenerates but as disposable, subject to the whims of the market and outside any consideration of compassion or justice. Yet there is more at work here than a moral deficit or the kind of pathological daring and willingness to remove oneself from any sense of compassion for others. There is also a culture of cruelty willfully reproduced by a rabid form of casino capitalism that measures human worth in cost-benefit analysis and accrues and consolidates power in the interests of the top one percent of the population.

The new extremists balk at extending unemployment benefits or providing food stamps for young children. Yet, they have no trouble offering millions in subsidies to corporate interests or lowering taxes for the ultrarich corporations. Obscene wealth couples with the arrogance of power as billionaires such as the Koch brothers make 3 million dollars an hour from their investments while simultaneously calling for the abolishment of the minimum wage.[3] CEO salaries reach into the financial stratosphere, while the middle and working classes increasingly face impoverishment and misery.  In 2012, the "top 10 percent took in half of the country’s total income" while the top 1 percent took more than one-fifth (22.5 percent) of the income earned by Americans. [4] In the midst of the upward redistribution of wealth, misery proliferates, and the commanding institutions of society are increasingly more divorced from maters of ethics, social responsibility and social costs. This is evident as the ranks of homeless children grow exponentially, while corporate fat cats fund various groups to lobby against health care policies and social provisions for the poor. It is also evident in the growing ranks of people on food stamps, an increase in the homeless population, especially among children. Moreover, 46.2 percent of the American population lives in poverty. [5]

Republicans claim they are now concerned about addressing poverty, especially since the general public rightly views them as heartless, cruel and indifferent to the hardships experienced by people who are unemployed and lack food, shelter, health care and any sense of hope. Yet, the hypocrisy of the apostles of casino capitalism is on full display in a commentary by The New York Times which states: "But at the same time that the party is shifting its focus to poverty, many Republicans are pushing for deep cuts to food assistance programs and unemployment insurance, while 11 million Americans are jobless and poverty rates remain elevated in the wake of the recession." [6] For the right-wing extremists dominating government, the courts and cultural life, talk about choice and agency is divorced from social responsibility and the emphasis on individual responsibility is nothing more than a cheap trick to divert the public’s attention away from larger structural and systemic problems facing the United States.

We now live under a form of casino capitalism that revels in deception, kills the radical imagination, depoliticizes the American public and promulgates what might be called disimagination factories and punishing machines. Idealism has been replaced by a repressive punishing machine and a surveillance state that turns every space into a war zone, criminalizes social problems and legitimates state violence as the most important practice for addressing important social issues. Racism now fuels a mass incarceration system that expands the reach of the punishing state to those viewed as excess and excluded from American society. The carceral state and the surveillance state now work together to trump security over freedom and justice while solidifying the rule of the financial elite and the reigning financial services such as banks, investment houses and hedge funds, all of which profit from the expanding reach of the punishing state. The drug war has become a war on racial minorities just as the war on poverty has become a war on the poor.

Chris Hedges is right when he argues that "any state that has the capacity to monitor all its citizenry, any state that has the ability to snuff out factual public debate through [the] control of information, any state that has the tools to instantly shut down all dissent is totalitarian." [7]  While Hedges is aware that this disciplinary culture of fear and repression is rooted in a political economy that treats people as objects and makes the accumulation of capital the subjects of history, he underestimates one important element of the new authoritarianism produced by casino capitalism. That is, what is novel about existing registers of discipline and control is that they operate in a new historical conjuncture in which the relationship among political power, cultural institutions and everyday life has become more powerful and intense in the ability to undermine the radical imagination and the power and capacities of individuals to resist repression and make the crucial decisions necessary to take control over the forces that shape their lives. The machineries of public pedagogy and consent have taken on an Orwellian presence in the age of digital technologies, and when challenges to authoritarian rule emerges, the state resorts to the overt and unapologetic repression of critical thought and dissent.

The anonymity of the corporate state becomes invisible as historical and public memory are erased and the American public is increasingly infantilized. Stupidity is normalized through a consumer/celebrity culture, and where that does not work, the machinery of state repression, with its endless culture of fear, punishes those willing to question authority. Authorities try to blind people to the courage exhibited by whistleblowers such as Chelsea Manning, Jeremy Hammond and Edward Snowden, painting them instead as traitors. Courage is now under attack by the sterile and dangerous call for unchecked security. Fear becomes the only value left in the arsenal of the machinery of surveillance, control and social death. David Graeber is right in arguing that the call for public dialogue, dissent and critical exchange in order to hold power accountable no longer provokes informed judgement and outrage among the public or thoughtful responses from politicians and popular pundits. On the contrary, he writes:

Objections to such arrangements are to be met with truncheons, lasers, and police dogs. It's no coincidence that marketization has been accompanied by a new ethos where challenge is met with an instant appeal to violence. In the end, despite endless protests to the contrary, our rulers understand that the market is not a natural social arrangement. It has always had to be imposed at the point of a gun . . . The question to ask now is not, how do we bring it back. That's impossible and quite undesirable. The question is what new forms of genuinely democratic self-organization might rise from its ashes? To even begin to ask this question we must first of all get rid of the police. [8]

American politics and culture have been handed over to the rich, lobbyists for the corporate elite, and now function largely to produce a state that offers the ultrawealthy and powerful all of the benefits they need to accumulate even more capital, regardless of the massive inequality in wealth, income and suffering such policies produce. In spite of being discredited by the economic recession of 2008, unfettered casino capitalism remains a dominant force and continues to produce runaway environmental devastation, egregious amounts of human suffering and the reinforcement of what Charles Ferguson has called "finance as a criminalized, rogue industry. [9] And, yet, while resistance to such measures is growing, it is far too weak to offer a significant challenge to the new authoritarianism.

Further Reading: http://www.truth-out.org/opinion/item/21113-disimagination-machines-and-punishing-factories-in-the-age-of-casino-capitalism