GETTING BEYOND THE RACIST MYTH OF THE “ZERO SUM GAME ECONOMY” — Heather  C. McGhee @ NYT

Heather C. McGhee
Heather C. McGhee speaks at TEDWomen 2019: Bold + Brilliant, December 4-6, 2019, Palm Springs, California. Photo: Stacie McChesney / TED, Creative Commons License

 

https://www.nytimes.com/2021/02/13/opinion/race-economy-inequality-civil-rights.html

Ms. McGhee is the author of “The Sum of Us: What Racism Costs Everyone and How We Can Prosper Together,” from which this essay is adapted.

Over a two-decade career in the white-collar think tank world, I’ve continually wondered: Why can’t we have nice things?

By “we,” I mean America at-large. As for “nice things,” I don’t picture self-driving cars, hovercraft backpacks or laundry that does itself. Instead, I mean the basic aspects of a high-functioning society: well-funded schools, reliable infrastructure, wages that keep workers out of poverty, or a comprehensive public health system equipped to handle pandemics — things that equally developed but less wealthy nations seem to have.

In 2010, eight years into my time as an economic policy wonk at Demos, a progressive policy research group, budget deficits were on the rise. The Great Recession had decimated tax revenue, requiring more public spending to restart the economy.

But both the Tea Party and many in President Barack Obama’s inner circle were calling for a “grand bargain” to shrink the size of government by capping future public outlays and slashing Social Security, Medicaid and Medicare. Despite the still-fragile recovery and evidence that corporations were already paring back retirement benefits and ratcheting down real wages, the idea gained steam.

On a call with a group of all-white economist colleagues, we discussed how to advise leaders in Washington against this disastrous retrenchment. I cleared my throat and asked: “So where should we make the point that all these programs were created without concern for their cost when the goal was to build a white middle class, and they paid for themselves in economic growth? Now these guys are trying to fundamentally renege on the deal for a future middle class that would be majority people of color?”

Nobody answered. I checked to see if I was muted.

Finally, one of the economists breached the awkward silence. “Well, sure, Heather. We know that — and you know that — but let’s not lead with our chin here,” he said. “We are trying to be persuasive.”

The sad truth is that he was probably right. Soon, the Tea Party movement, harnessing the language of fiscal responsibility and the subtext of white grievance, would shut down the federal government, win across-the-board cuts to public programs and essentially halt the legislative function of the federal government for the next six years. The result: A jobless recovery followed by a slow, unequal economic expansion that hurt Americans of all backgrounds.

The anti-government stinginess of traditional conservatism, along with the fear of losing social status held by many white people, now broadly associated with Trumpism, have long been connected. Both have sapped American society’s strength for generations, causing a majority of white Americans to rally behind the draining of public resources and investments. Those very investments would provide white Americans — the largest group of the impoverished and uninsured — greater security, too: A new Federal Reserve Bank of San Francisco study calculated that in 2019, the country’s output would have been $2.6 trillion greater if the gap between white men and everyone else were closed. And a 2020 report from analysts at Citigroup calculated that if America had adopted policies to close the Black-white economic gap 20 years ago, U.S. G.D.P would be an estimated $16 trillion higher.

. . . .

I’ll never forget Bridget, a white woman I met in Kansas City who had worked in fast food for over a decade. When a co-worker at Wendy’s first approached her about joining a local Fight for $15 group pushing for a livable minimum wage, she was skeptical. “I didn’t think that things in my life would ever change,” she told me. “They weren’t going to give $15 to a fast food worker. That was just insane to me.”

But Bridget attended the first organizing meeting anyway. And when a Latina woman rose and described her life — three children in a two-bedroom apartment with bad plumbing, the feeling of being “trapped in a life where she didn’t have any opportunity to do anything better” — Bridget, also a mother of three, said she was struck by how “I was really able to see myself in her.”

“I had been fed this whole line of, ‘These immigrant workers are coming over here and stealing our jobs — not paying taxes, committing crimes and causing problems,’” Bridget admitted. “You know, us against them.”

Soon after she began organizing, the cross-racial movement had won a convert. “In order for all of us to come up, it’s not a matter of me coming up and them staying down,” she said. “It’s the matter of: In order for me to come up, they have to come up too. Because honestly, as long as we’re divided, we’re conquered.”

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Read the complete article at the link.

Inability to think beyond racist myths and false narratives is holding America back from realizing our full potential. 

“Dividing and conquering” is the strategy of the modern GOP. If one could get behind the racist stereotypes and white resentment, rural America probably has far more in common with hard-working undocumented immigrants, African Americans, and Latinos than with elitist GOP politicos and corporate moguls — certainly more than with the notoriously lazy, dull, corrupt grifter Trump! But, the key seems to be to promote minority rule by sowing hate and distrust, thereby preventing the common good of the majority from prevailing.

While much of the “beggar thy neighbor” fear mongering comes right out of the current GOP playbook, Dems, including many in the Obama Administration, have also been guilty, as Heather points out. Just read some the alarmist stuff being put out by former Obama economic honcho Larry Summers.   

And, contrary to White Nationalist myths about “job stealing,” much of American economic growth and innovation can be traced directly to immigrants, both documented and undocumented. 

PWS

02-15-21