The following list is a combination of things you can do in your personal life and in the world at large to fight pollution. One might think it is important to draw a distinction between these two types of activities because large scale reforms are more difficult to achieve. However, big changes can only occur when individuals take it upon themselves to do what’s right, whether it’s organizing large groups of people or influencing influencers. Simply informing yourself and prioritizing how to most effectively use your energy is an essential first step to making the world a better place.
Fighting pollution and many of the world’s other seemingly intractable problems requires operating with a greater awareness of the policy issues that stand to make the most difference. The 19th century social reformer Henry George said “Until there be correct thought, there cannot be right action; and when there is correct thought, right action will follow.” Of course, some people have more of a preference for bailing water out of the sinking ship while others have more of a preferences for plugging the hole. This list practically reflects that reality.
1. Eat Less Meat
Livestock production causes many forms of pollution, from being the largest source of greenhouse gases (44% globally), to polluting water (feces, blood, etc) with diseases that can jump from animals to humans. Historically bubonic plague, bird-flu, HIV/AIDS, and Ebola were transmitted from animals to people, and new zoonotic diseases are highly likely given the scale of current factory farming methods. Processing leather is also especially harmful to the environment, most notably in the third world. For instance, untreated tannery wastewater laden with animal parts and heavy metals freely flows through Dhaka, Bangladesh.
Industrial production of animals could be steered toward less environmentally destructive ends, especially by employing permaculture methods, which involve making use of feces. There are supplements to reduce the greenhouse gases released in cow burps (farts are surprisingly not as harmful). However, the most practical solution for individuals concerned about pollution, and other ethical considerations regarding slaughtering animals, is to simply stop buying animal products. Stop buying meat, leather, etc and organize against a factory farm near you.
2. Tax Pollution
The main argument levied against trying to curb climate change is that such regulation might harm the economy. However, there is a way to curb pollution while simultaneously giving the economy an actual boost.
It means taking taxes off productive things like wages, sales, etc (goods) and putting them on (bads) like pollution. Governments give a lot of free money away to energy companies in the form of subsidies as well. So, simply eliminating those subsidies would remove the distortionary effects that the free-market climate change naysayers ostensibly care about. The more you pollute, the more you pay. This results in less pollution overall.
Unfortunately, initial attempts to price carbon resulted in a harmful policy called “Cap and Trade” which actually allots polluting quotas to companies based on how much they already pollute and then lets them sell their unmet quotas to others. In effect, the biggest polluters get to make a huge profit for being the most irresponsible! Companies also double dip; they pollute up to or more than their limit and then sell their quotas anyway. This in turn allows others to pollute more and to thus exceed the larger carbon cap.
The most effective policy is to simply tax all companies directly (at the same rate), and do away with anything resembling Cap and Trade altogether. We should tax many other pollutants as well, not just carbon. Perfluorotributylamine for instance is actually 7,100 times worse in terms of its effects on climate change.
It’s not just corporate giants that need to be financially dissuaded from polluting. We could all use a financial incentive to do the right thing. We need to tax consumption and improper disposal of harmful consumer products like non-rechargeable batteries and grocery bags. We should offer rebate systems (pay people) to properly recycle and dispose of household pollutants. This is especially important with respect to hormonal treatments like birth control, which wreck havoc on amphibians and larger ecosystems. In the mean time, take advantage of the National Drug Take-Back Day initiative. Those who produce, return, and reuse completely recyclable forms of plastic should be offered a rebate as well.
We need to charge higher rent to companies doing offshore oil drilling, and high excise taxes for extracting many types of natural resources. This will discourage and reduce environmental harm. There are a host of other important measures as well, such as taxing parking, traffic congestion, soil depletion, harmful pesticides and fertilizers, a range of environmental bads.
3. Move to a Denser Area
One might imagine that the most environmentally friendly way to live would be to move to a rural area. In fact, this is probably one of the most environmentally destructive things you can do. You would have to live without access to communication, all electronics that is, a grocery store, heating/cooling, running water, medical care: i.e. give up everything, and live completely off the grid. While that might be more environmentally friendly for you alone, if everyone did it, a great deal of habitat would be lost. The further away you live from the products and services you use, the more energy and natural resources required to sustain you. If you live in a rural or suburban area, you likely rely on your car for everything; this is what most oil in the US is used for. Lightweight vehicles consume roughly 8 million barrels of oil per day in the US. This is more than commercial light trucks, bus transportation, freight trucks, rail, passenger freight rail, domestic and international shipping, air carriers (which have become much more efficient), recreational boats, military use, lubricants, and pipeline fuel combined (5.4 million barrels).
Compare that to living on the upper east side of Manhattan where you can walk down to the store at the bottom of your building. You take the train to go to work and the doctor’s office. You don’t even need to own a car. People living in the same building also use less energy for heating, cooling, and other activities. Therefore, we could reduce energy consumption the most simply by living in denser areas. Population growth isn’t the real culprit either. In fact our cities are sprawling twice as fast as population is growing. The far bigger problem is that we are not making efficient use of central urban locations. We can completely reverse this. There is a way.
4. Land Value Tax
Density may sound like a dirty word, but it isn’t. People associate density with slums, but the upper east side in Manhattan is one of the densest places in the world with 46,000 people per square kilometer (PPSKM) in the wealthy section east of 3rd Ave, and 70,000 PPSKM elsewhere. That’s higher than the densest city (as a whole) in the world, Manila (42,857 PPSKM), where slums actually are a big problem.
Still, there are 7,000 privately owned vacant residential lots in New York City. That’s not even counting all of the vacant commercial lots, derelict structures, and ground level parking. It’s also not counting short buildings where more consistent construction, of say 10 stories, would be more appropriate. This is untapped vertical space that could be used to take pressure off the greenfields at the periphery.
The goal isn’t to maximize skyscrapers, but to simply to make effective use of central urban locations that are currently wasted. Think of skyscrapers as a kind of vertical sprawl, cramming units upward due to the inadequate use of space surrounding these tall buildings. The tallest buildings in NYC, for instance, are in midtown and downtown, not the Upper East Side. However, the Upper East Side is still much denser.
The Upper East Side does not feel claustrophobic. In fact, it’s arguably the most sought after residential area in the world, relatively calm and only a stone’s throw from Central Park. Everyone can enjoy the benefits of such density if we, including you, help enact the right policies.
It’s all well and good to say that we want more density but what is the most effective means of achieving it? How do we get all of those vacant urban lot owners to make their lots available for jobs and housing? Helping to inform them of the negative effect they’re having is one option, but it would likely have little effect alone in light of the huge profits to be made in real estate speculation. That’s precisely why we should tax the value of the land.
Taxing the value of land means that individual landowners in city centers are faced with a decision, do I make my valuable location available for people and business, generating the rental revenue to pay the tax, or do I continue to do nothing and lose money by holding onto ownership of this central urban location? Should I do something useful with the land, pay the tax and keep the difference, or do I sell the land to someone who will? Either way, the space will no longer be wasted. As all the landowners are faced with that same incentive, there will be more infill and thus less sprawl.
Another way of thinking about it is that people can’t easily afford to live in cities due to an inadequate supply of housing relative to the number of people who want to live there. If there were more apartments to people, rent would decrease and people could more easily afford to live near the center of the city. There would be more apartments constructed and renovated. Thus, housing would be more affordable. Note, the land value tax. and the other taxes on environmental bads mentioned earlier, would replace all other taxes, including taxes on buildings. So, it would mean that renters in urban areas would basically not pay taxes, just rent. The result is that environmentally friendly ways of living and producing would be more profitable than their destructive alternatives. We could have the best of both worlds, lots of innovation and little pollution.
How can we reduce pollution globally? It’s important that we not only ask individuals to change their personal behavior but that we also change the incentives under which they operate. We should tax the use and abuse of natural resources. We should make companies pay taxes in proportion to how much they pollute. This would give them not only a moral reason to pollute less but also a financial one.
One of the major causes of pollution is urban sprawl. Sprawl is caused when central locations are not used efficiently and people are forced to outlying areas as a result. The best way to curb sprawl is to tax the value of land so that owners of central locations will use their land efficiently, making the land available for the otherwise would-be sprawlers. To learn more about taxing the value of land, see our illustrated article Visualizing Earth Sharing.
Clickable text version
Pollution is one of the top ten dangers to life.
Table: Risk factor, deaths in millions, percentage of total: 1: Tobacco use: 1.5; 17.9 2: High blood pressure: 1.4; 16.8 3: Overweight and obesity: 0.7; 8.4 4: Physical inactivity: 0.6; 7.7 5: High blood glucose: 0.6; 7.0 6: High cholesterol: 0.5; 5.8 7: Low fruit and vegetable intake: 0.2; 2.5 8: Urban outdoor air pollution: 0.2; 2.5 9: Alcohol use: 0.1; 1.6 10: Occupational risks: 0.1; 1.1
Studies correlate nitrates in bacon, drinking water, etc. (from modern farming practices) with harm to the pancreas, increased risk of diabetes mellitus, as well as Alzheimer’s, Parkinson’s disease, and more. So… Care about what you eat and learn where it comes from. If you can’t afford organic, at least remember that how animals are reared will affect you, and may come at a high price. Source: http://sciencedaily.com/releases/2009/07/090705215239.htm Pollution can make you fat
Studies correlate air pollution with cells being less able to cope with free radicals, causing stress due to generally poorer health . So… Exercise! Walk more! Get fit! Studies also show that physical exercise helps your body fight back, compensating for the damage due to air pollution. Sources: http://sciencedaily.com/releases/2015/03/150324210045.htm Pollution makes it harder to breathe
Studies correlate air pollution with damage to brain cells, leading to increased autism in children, unhappiness in all ages, and anxiety and decreased brain function in middle aged and older people. So… Use your brain while you can! Understand the bigger economic picture: Why are we so messed up that we would poison our own air? And how can we make a better world? Learn the economics of wealth and poverty: http://understandecon.com/igivetest/register.php
“Economics in support of environmentalism” – is that an oxymoron? There are economists who put down environmentalists as unwelcome intruders in social policy; there are environmentalists who file economists under “The Great Satan.” Some economists deserve it. I will show how these differences arise, and how we may compose them.
I. Worthy goals often conflict with each other
A. Corn vs. Barley
Growing barley is a worthy goal (especially if you enjoy a little beer). So is growing corn. It would be great to raise as much of each as anyone wants, but the Earth has its limits. A choice and a decision are required. People invented (or stumbled into) the discipline of economics to help with such hard choices, and to console ourselves that we are doing the right thing. The hardest choices are those regarding land use, because there is just so much. We can build more houses, cars, and boats, write more music and drama, spawn and educate more people, but we cannot make another Hudson Valley.
Barley grows on cheap land, and the demand is limited, so the best barley land is used for growing corn. Economics reconciles the competing demands and rationalizes the outcome. It defines the “highest and best use” of land as that yielding the highest net gain, the excess of revenues over costs. Economists include non-cash “service flows” among “revenues,” although they bear watching: sometimes they forget. Thus, economics shows how the market sorts and arranges land uses, giving us a corn belt, a wheat belt, and a cotton belt. Economists pride themselves on this achievement. (Some preen themselves too much, as we will see, and pride goeth before a fall.)
By the same logic, irrigated crops take land from dry-farmed crops; orchards take land from irrigated row crops; housing takes land from orchards and groves; commerce takes land from housing.
Sometimes the rich take land from the poor, provoking sympathy, strong rhetoric, and occasionally effective rear-guard resistance to such changes. Actually, a well-oiled market is often quite democratic. People of moderate income, by crowding, can outcompete those of high income for the same land, as when a Sears or Wal-mart takes the best commercial sites from a Nordstroms or Broadway; or when an old estate is subdivided into five lots per acre. This, too, provokes negative rhetoric, but developers know how to make hay out of this, and mincemeat of their opposition. At this point developers become populists and accuse preservationists and environmentalists of snobbery and elitism. We need an answer for that one if environmentalists are going to command enough popular support to win, and hold the gains. Of this, more later.
Other worthy goals that conflict are open space and water conservation. A major problem in an arid land is that much wide open space guzzles up water. Conserving open space and conserving water conflict directly. Green grass uses more water per acre than almost any farm crop except rice (and rice returns part of it downstream). In cities most water is used not for swimming pools or toilets or washing machines, but for sprinkling lawns. Cemeteries, golf courses, horse-pastures, parks, freeway banks, and the spacious tax-exempt grounds of institutions are the greatest water junkies outside of farming itself, which of course takes much more than all cities.
Something has to give. Thus far it has been wetlands that gave. Once, perhaps, we had too much wetland, but that was long ago. We cannot accommodate all those uses, and save wetlands too, just by having restaurants stop serving water, or putting bricks in toilet tanks. Those are just token or “Goo-Goo” measures for parlor reformers; they distract us from real problems, and substitute for real solutions. What is the highest and best use of water? Wetlands, maybe; more golf courses, maybe not. But we need a rule to gauge “highest and best use.” Is it the market? Read on.
B. New rules
Some of the losers in the market game are not willing to grin and bear it. Instead, they write new rules; they want to play a different game. Soilsmen did this long since. They like to classify land and rank it by its potentiality for growing crops. Farming is – to them – the ultimate value, so it is the highest and best use: cities may have what’s left over. It is perhaps poetic justice that habitat-savers are now doing the same thing to farmers. They conceive highest use as that which saves endangered species: soils and farming may be damned, right along with housing, commerce, transportation, industry, storage, water supply, waste disposal, fire control, education, religion, mining, government, national defense, recreation, and whatever else needs land. All human activities, and survival itself, need land, so that list is a long one. Each constituent of the other uses becomes an enemy.
C. Unresolved conflicts
Both Soilsmen and habitatspersons have a point, we will see, but they have a fatal weakness. Neither has a system that composes conflict with other worthy goals, including each others’. As to cities, both soilsmen and habitat-savers would direct cities away from low-cost, high-productivity land to the high-cost leftover lands. They would not make this an end in itself, of course, but it is the necessary by-product of downgrading urban usage in the competition for land.
Thus, to restore citriculture and habitat in what is now L.A. we would move the city folks to hazard-prone floodplains, steep slopes subject to fire and erosion, quake-prone fault lines and liquefiable soils, etc. We would also move them away from the center, imposing longer commutes, greater auto-dependency, longer utility lines, longer hauls to dispose of solid wastes, more air to protect, more aquifer surface to protect, more land to protect from flooding, etc.
D. Danger of isolation through overkill
Sometimes preservationism, like any good cause given power, runs completely amok and makes itself ridiculous. For example, in Downey, California, the Los Angeles Conservancy and the National Register of Historic Places are fighting hard to save – I am not making this up – a McDonald’s drive-in, complete with neon sign! They are serious! Governor Wilson weighed in with this outburst of California pride: “The modern history of McDonald’s will be as important to the cultural history of our nation as the invention of Coca Cola.” (That comparison seems apt enough.) “Preserve for posterity the home of McDonald’s golden arches!”
In Victoria, B.C., the University of Victoria bars people from 2-3 acres of its tax-free campus to preserve habitat for its nesting skylarks, an endangered species. Never mind that they are an import from England, like starlings: now they are being “preserved” to keep things natural. Likewise, a certain residence on a steep slope in the arid Malibu Hills contains an artificial pond, filled with pumped water, but adorned with reeds “to keep it natural.”
Both soilsmen and habitat-persons will become isolated and ineffective unless they forswear extremism, and modify their new rules to accommodate other worthy goals with other constituencies. Until then, they will appear to others to be single-valued ideologues, fundamentalists with siege mentalities. To succeed they – we – must learn to lead larger alliances by offering more complete philosophies and guidelines for policy.
II. The Dereliction of Economists
There is another kind of fundamentalist, the private property kind. The economics profession (my tribe) has, in recent years, largely abdicated its proper role as an arbitrator and gone over mainly to the side of private-property extremism. This is the essential meaning of “Neo-classical Economics,” which is the idiom of most discourse in the field today, both in business and in the profession.
How did economics get so twisted? Don’t blame Adam Smith, or David Ricardo, or John Stuart Mill, or John E. Cairnes, or Knut Wicksell, or Philip Wicksteed, sterling 19th Century writers. Rather, blame J.B. Clark, Karl Marx, Richard T. Ely, Alvin Johnson, Frank Fetter, Frank Knight, George Stigler, and a host of lesser figures who gradually warped economics into its present form. How did they do it?
A. Defining away land
They wiped out land, resources, nature, and the environment as a separate class for analysis. In official Neo-classical doctrine, the world is an infinite reservoir of raw land and resources. Raw land has no value until man does two things:
1. Man subjects land to private tenure. The very act of privatizing land gives it value it lacked before. Land without an owner has no value – take that, Aldo Leopold! You will find this in J.B. Clark, 1886, The Philosophy of Wealth. Clark points out that wealth is created “from the mere appropriation of limited natural gifts …” (p.10). The atmosphere as a whole, showers or breezes, “minister transiently to whomsoever they will, and, in the long run, with impartiality.” Therefore they are not wealth. Those who appropriate them create wealth by so doing. The essential attribute of wealth is “appropriability,” to create which “the rights of property must be recognized and enforced, …. Whoever makes, interprets, or enforces law produces wealth.” It follows that those who pollute the common air, or anything held in common, are not damaging anything of value, since it belongs to no one.
Clark writes of “the essential wealth-constituting attribute of appropriability.” He goes on in that vein: those who seize land and exclude others thereby produce its value. Clark founded Neo-classical economics, and is emulated closely by the “New Resource Economists” of today.
2. Man improves the raw land, pumping value into it. After that it is just like any man-made capital. Raw land has no value: God contributed nothing. Consistently with this worldview, merely eyeing the General Sherman redwood tree adds nothing to GNP, but cutting it down would add a lot. Eyeing it would only raise GNP if you had to pay for it, or had to drive a long way to get there, and bought a kewpie doll while you were there. Likewise, commuting 80 miles a day raises GNP, while finding a homesite near work lowers it.
B. Private property: from means to end
In a proper view of things, I submit, private property is a means to an end. It is not an end in itself; it needs a functional rationale. The end is to get land put to the best use. All the private land in the world was originally granted by some sovereign public person or body, mainly for that purpose, not as a welfare entitlement. Landowners and their lawyers have slyly, over time, turned the means into an end, a fetish they endow with “sanctity.” This is a term they borrowed from absolutist medieval theology. “Sanctity” means the quality or state of being holy or sacred, hence inviolable. It means property may not be challenged, or even questioned. It has become an end in itself, its own voucher. You’re not even supposed to think about it, it is above thought. Taboo!
Neoclassical economics, historically, marked the final, total surrender of the profession to this fetish. The modern economist’s view runs something like this: “I pledge allegiance to the 14th Amendment, and to the overinterpretation of private landowner supremacy for which it has come to stand.” It is ironic to recall that Radical Republicans passed that Amendment, at a time when a “Radical Republican” was one who favored freeing the slaves. The 14th Amendment was designed to protect the rights of freedmen. As interpreted now, the 14th Amendment means that The Emancipation Proclamation itself was unconstitutional! Fortunately, no one has brought that case – yet.
The Neo-classical economists’ view of their proper role is rather like that in The Realtor’s Oath, which includes a vow “To protect the individual right of real estate ownership.” The word “individual” is construed broadly to include corporations, estates, trusts, anonymous offshore funds, schools, government agencies, institutions, partnerships, cooperatives, the Duke of Westminster, the Sultan of Brunei, the Medellin Cartel, Saddam Hussein, congregations, Archbishops, families (including criminal families) and so on, but “individual” sounds more all-American and subsumes them all. This is a potent chant that stirs people to extremes of self-righteousness and siege mentality when challenged.
The resemblance between Neo-classical economics and the Realtor’s Oath is easier to understand when you learn that Professor Richard T. Ely, founder of the modern discipline of Land Economics, was heavily subsidized by the National Association of Real Estate Boards, the utilities, the major landowning railroads, and others of like mind and property interests.
When it comes to violating property rights, air pollution today is perhaps the greatest invader and confiscator of property. Where do economists stand? Once a few of them tried to say, following A.C. Pigou, “let the polluter pay,” and in parts of Europe they still do. In our modern backward thinking here at home, however, it’s not the polluter who is invading the property of others, nor the human rights of those not owning property. Rather, when you tell them to stop, the government is invading their rights. The wage-earning taxpayers must pay them to stop, else you are violating both the 14th Amendment and the “Coase Theorem,” a rationalization for polluting now dearly beloved by Neo-classical economists.
C. Leapfrogging, floating value, and compensation
The environmental damage from those attitudes might not be so bad were it not for leapfrogging, urban disintegration, and floating value. Leapfrogging is when developers jump over the next eligible lands for urban expansion, and build farther out, here and there. This has been a problem in expanding economies ever since cities emerged from within their ancient walls and stockades, but in our times and our country it has gone to unprecedented extremes, with subsidized superhighways and universal auto ownership and truck shipping.
Alfred Gobar, savvy real estate consultant from Placentia, has recorded the amount of land actually used by city and suburban dwellers for all purposes. From this, he calculates that the entire U.S. population could live in the state of Missouri (68,965 square miles). That would be at a density of 3625 people per square mile, or 5.67 per acre. That is 7683 square feet per person. On a football gridiron, this is the area from the goal to the 16-yard line.
He is not being stingy with land, at 3625 persons per square mile. The population density of Washington, D.C., is 10,000 per square mile, with a 10-story height limit, with vast areas in parks, wide baroque avenues and vistas, several campuses, and public buildings and grounds. This is also the density of Whitefish Bay, Wisconsin, a well-preserved upper-income residential suburb of Milwaukee, with generous beaches and parks, tree-lined streets, detached dwellings, retailing, and a little industry. San Francisco, renowned for its liveability, has 15,000 per square mile. More than half the land is in non-residential uses: vast parks, golf courses, huge military/naval bases, water surface, industry, a huge regional CBD, etc., so the actual residential density is over 30,000 per square mile.
On Manhattan’s upper East Side they pile up at over 100,000 per square mile. They do not crowd like this out of desperation, either. You may think of rats in cages, but some of the world’s wealthiest people pay more than we could dream about to live that way. They’ll pay over a million dollars for less than a little patch of ground: all they get is a stratum of space about 12 feet high on the umpteenth floor over a little patch of ground they share with many others. They could afford to live anywhere: they choose Manhattan, they actually like it there!
Take 10,000 per square mile as a reference figure, because it is easy to calculate with, and because it works in practice, as noted. You may observe and experience it. At that density, 250 million Americans would require 25,000 square miles, the land in a circle with radius of 89 miles, no more. That gives a notion of how little land is actually demanded for full urban use. It is 9.4% as big as Texas, 4.2% as big as Alaska, and 7/10 of 1% of the area of the United States.
And yet, the urban price influence of Los Angeles extends over 89 miles east-south-east clear to Temecula and Murrieta and beyond, at which point, however, it meets demand pushing north from San Diego. Urban valuation fever thus affects much more land than can ever actually be developed for urban use. Regardless, most owners come to imagine they might cash in at a high price, with high zoning, at their own convenience, with public services supplied by “the public,” meaning other taxpayers. This is the meaning of “floating value.”
If their land is downzoned for farming, open space, or habitat, they regard it as a “taking,” and plead the 14th Amendment. Once we buy into the Sanctity (Holiness, Sacredness) of private property, we owe them. If we think of the public’s buying large quantities of it to preserve habitat or open space, the price is already high above its aggregate value, and the new demand will push the price higher yet.
Here is a case showing how this works. The Los Angeles Metropolitan Transit Authority (MTA) needed the old Union Station, northeast of downtown in a run-down neighborhood, as the centerpiece of its new, integrated mass transit system. With the decline of interurban passenger rail traffic, the old station was unused. The owners, mainly Southern Pacific, asked more than MTA offered, so MTA invoked its power of eminent domain and condemned the land. The case went to judgement, and in 1984 the court awarded SP an amount about twice the going price for land in the area. The court’s reason was that the coming of mass transit would raise values around the new central station, and SP should be paid as much as neighboring landowners would be able to get after the station was built.
Thus, land originally granted to SP to help subsidize mass transit was used instead to obstruct and penalize mass transit. Private property had become an end in itself, Holy and Sacred, a welfare entitlement, rather than a means to an end. MTA (the taxpayers) had to pay a price for land based on the unearned increment that its own construction and operation was expected to create in the future.
Later, MTA was to stint on subway construction, resulting in subsidence on Hollywood Boulevard, but there was no stinting on paying off SP for doing nothing: the award came to $84.7 millions. This is how the 14th Amendment works in practice, making private property an end, sanctified for its own sake, rather than a means to a higher end. It makes landowners the spoiled children of the national family, inflating the cost of every program that entails acquiring land. It means there is no chance that the public, whether through government or the Nature Conservancy, can preserve more than token areas of habitat by buying it: it would bankrupt us.
D. Siege mentalities
The result of sprawl and floating value and the Sanctity of Private Property and the 14th Amendment (as construed) is to put conservationists-environmentalists-ecologists under siege. Here is a sharp, clear statement of it from Vivian Null, San Bernardino Audubon Society.
“Once humans lived in small groups surrounded by expanses of wilderness. Today, human civilization has pushed our natural world into ever smaller, fragmented pockets of deteriorating habitat. As a result, we are living in an age of mass extinction.”
I sympathize with the view expressed, and understand what outrages provoked it. When it comes to solutions, however, we have a problem. Being under siege fosters a siege mentality. “Science,” for all its virtues, can also be an ideology. To the layman, self-styled “hard” Scientists can seem more hardheaded and hardball than scientific. They can seem single-valued, self-righteous, imperious, and – dare I say it? – even a bit arrogant at times. At the same time landowners also feel under siege. You may observe how developers rage about having their land set aside for the likes of Stephens Kangaroo Rats, Three-toed Lizards, and California Gnatcatchers. The ideology of Science and the ideology of Private Property have become clashing absolutes, no more able to come to terms than Kach Movement militants can compromise with Islamic Fundamentalists. What can we do? It helps to read some history of the successful Conservation Movement of the Progressive Era.
III. Gifford Pinchot’s Winning Formula
A. Defining “Conservation”
Gifford Pinchot was a great leader of the Conservation Movement. He defined his central term, conservation, as “The greatest good for the greatest number for the longest time.” Caviling theorists sometimes pick at that famous phrase, since you cannot maximize three things at the same time, but that is unfair, since he was not being technical. He was making a speech, and obviously what he meant was that those three elements should all be considered, and none was to be slighted.
Notice especially the middle clause, for the greatest number. Conservation was not just for landowners, or any other elite. Conservation was part of the Progressive Movement, which had sprung from the Populist Movement. Social equity was at its core. Here is some more of Pinchot’s speech (to the 1st National Conservation Congress, 1909):
… the third principle of conservation. It is this: the natural resources must be developed and preserved for the benefit of the many and not merely for the profit of a few. … public action for public benefit has … a much larger part to play than was the case … before certain constitutional arrangements … had given so tremendously strong a position to vested rights and property in general. … by reason of the 14th Amendment to The Constitution, property rights in the U.S. occupy a stronger position than in any other country in the civilized world. … it becomes then a matter of multiplied importance, … when property rights once granted are so strongly entrenched, that they shall be granted only under such conditions as that the people shall get their fair share of the benefit which comes from the development of the country which belongs to us all. The time to do that is now.
You modern habitat-savers, your foes score points against you by calling you “elitists.” Sure enough, you do appear a bit above, and therefore outside the mainstream, especially when you talk down to people from the eminence of “Science.” Pinchot saw that brick coming and dodged it before it was even thrown. He teamed up with the populists; he spoke as a man for the people, even if not quite of them. Can you say the same? Is there a place in your plans, and your hearts, for Joe Sixpack?
Here is a list that the Southern California Association of Governments (SCAG) has published from its recent public opinion survey of public issues. Preserving habitat and endangered species are not even among the top 17 priorities listed by citizens. Neither are private property rights. Their top three concerns are crime, education, and jobs. Politicians have preempted the crime issue, but no one is doing a thing this year for education and jobs. Take a leaf from the successful Gifford Pinchot: team up with some populists. Move into the vacuum left behind the gale of anti-crime oratory. No one is serving the constituency for education and jobs.
Other populist issues high on the SCAG list are homelessness, affordable housing, job training, and child care.
B. Finding common ground
On what basis shall habitat-savers identify with median Americans? We share a problem: we are all victims of private property rights carried to extremes. Abraham Lincoln, the original Radical Republican, once spoke to the effect that whenever landless people cannot find work and shelter, then the rights of private property have been carried too far and must be curbed. We have seen what Gifford Pinchot said.
“… natural resources must be developed and preserved for the benefit of the many and not merely for the profit of a few. … the people shall get their fair share of the benefit which comes from the development of the country WHICH BELONGS TO US ALL.”
Belongs to us all? Was Pinchot a Communist? Not likely: he was a Republican, an active political one, twice Governor of Pennsylvania.
We have too little time together to develop that fully, but here are some ideas. First, environmentalists might rethink what we mean by “open space.” To Pinchot, “open” meant the space had public access. Today it often means the reverse: golf courses, duck clubs, sacred Indian lands, private beaches, cemeteries, farmlands, vacant speculative holdings, unpoliced parks taken over by gangs, protected and posted habitat, water from which swimmers are excluded for power boats, rights-of-way closed to hikers, University experimental plots, and so on. In this sense, there is more open land in downtown Manhattan than in many of our rural and sylvan areas. Many a water reservoir is open to beavers, ducks and geese, who routinely powder their noses there, but not to humans who seldom do, and can be trained not to.
To get more support for habitat, find ways to open it to people, putting more funds and effort into behavioral controls if necessary. In Pinchot’s day, people spoke unblushingly of “character training,” and practiced it. Pinchot himself said, “the training of our people in citizenship is as germane to it (conservation) as the productiveness of the earth.” Wilderness clubs preached and taught responsible behavior in the wilds. The Boy Scouts taught it, churches taught it, schools taught it, forest rangers taught it, camp counselors taught it, community leaders taught it: you heard it all around, and it did help shape your character. It was a great community effort, enlisting broad support and conviction. Then, in that less mobile, less commercialized, more communitarian age, social control over public behavior came naturally. We came to take it for granted, until it silently slipped away. Today it may take more conscious effort, but it was done then, it can be done now.
Second, go with the flow for economy in government. For most of our lives now, we have looked to big government to resolve disputes by buying out both parties. We would have government pay top dollar for land, if needed, and then hire scientists to manage it for habitat. Thus, both sides dream of cutting into line at the government trough: but the trough is empty, and the taxpaying public is in a foul mood. Rather, let’s look for ways to cut spending by curbing subsidies to urban sprawl. I shall return with particulars.
IV. Pinchot on “Development”
Gifford Pinchot, the father of Conservation, was not against developing land. In his own words:
” The first principle of conservation is development, the use of the natural resources now existing … for the benefit of the people who live here now. There may be just as much waste in neglecting the development and use of certain natural resources as there is in their destruction by waste. … Conservation, then, stands emphatically for the use of substitutes for all the exhaustible natural resources, … (water power and water transportation are his examples). … The development of our natural resources and the fullest use of them for the present generation is the first duty of this generation. …
In the second place conservation stands for the prevention of waste. … ”
So Pinchot was against waste, so what? Who isn’t? This could be just a banality, but he gives it a new turn. To him, waste means failing to use renewable resources. His example was hydropower, which he would substitute for coal and oil. That is not such a good example today, when we cherish our few remaining wild rivers, but today urban land makes an even better example.
“Urban land?”, you may ask. “What has urban land in common with falling water?” Economists (who are not all bad) classify urban land as a “flow resource.” They liken it to flowing water because its services perish with time, whether used or not, and we are trapped in the one-way flow of time. Likewise, urban land is not depleted by use. It is an even better example of a “flow resource” than flowing water itself, because, as we are so conscious today, “unharnessed” flowing water may have other downstream uses. Even in wasting out through the Golden Gate, it may repel salinity. The unreaped harvests of idle land, however, flow down the river and out the gates of time like lost loves dimming, and golden moments we let slip away beyond recall.
What is this “service” of urban land, that we should be mindful of it? For one thing, using central urban land conserves all the hydrocarbons and other resources otherwise needed to traverse it. Compact urban settlement is a direct substitute for oil, with all that implies – and it implies a great deal, which I will leave you to fill in.
Second, using good central land saves all the costs of settling on other land – including the cost of taking more of the shrinking habitat from endangered species. Therefore, habitat-savers should emulate Pinchot and favor development in the right places, the better to oppose it in the wrong places. This is the great lost secret of conservation our times have forgot. You cannot beat development by opposing it everywhere it pops up. People need land for all kinds of legitimate things, and they will have it. To stop urban sprawl, you must support compact, efficient urban development, including healthy, timely renewal of older cities, inner suburbs, and neighborhoods.
V. Urban Sprawl
We have met the enemy, and it is US (Urban Sprawl). Let’s analyze this beast, US.
A. Development is not identical with Sprawl
Many people carelessly equate urban growth and urban sprawl, but they are not the same, not at all. Cities may grow like the posh upper East Side of Manhattan with 100,000 per square mile, or San Francisco with 15,000, or Riverside, California with 2500, or Oklahoma City with 734. Metropolitan regions are even more varied. We have seen that 250 million Americans could fit nicely into a small part of southern California, were it compactly settled at moderate urban densities that are actually found in practice, as in the upper middle class suburb of Whitefish Bay, Wisconsin (10,000 per square mile).
Urban sprawl, which creates a psychological effect of great crowding, is not the product of development as such, but of leapfrogging. Leapfrogging means chaos, with development in the wrong places and times. Infilling, on the other hand, is anti-sprawl. It is the cure for sprawl.
B. Sprawl is not a quest for open space
A common belief is that the search of open space is the main force behind sprawl. You may test that by observing high density, cookie-cutter subdivisions scattered throughout the land. Within each such development, you are living at urban densities. It is when you get onto the freeway to commute, or shop, or take the kids to school or the dentist, or worship, that you experience open space. You experience it as a negative resource, an obstacle between where you are and where you want to go.
C. Sprawl is not the product of free choice
A favorite fallacy is that sprawl results from free individual choice. In fact, sprawl results mainly from subsidies to sprawl, enforced through taxation and/or utility rate regulation. Thus it is imposed, not freely chosen. The classic case, which exemplifies the whole genus, is postal service. It costs you 29¢ to send a letter across the street downtown, or from rural Idaho to rural Florida. The generic name for such subsidies to sprawl is “postage-stamp pricing” (a species of spatial cross-subsidy), which gives you the idea.
In British Columbia, people move around a good deal by car-ferry, because of the terrain. The Provincial Government (“The Crown Provincial”) runs the system. There are many lovely little islands in the Straits of Georgia, between Vancouver Island and the mainland, favored by the wealthy, the exclusive and reclusive. Being more sybaritic than Henry D. Thoreau, and politically puissant, they have demanded and received car-ferry service. This service costs about $10 for every $1 in revenue. The resulting deficit is covered by raising rates on the main plebeian line, Victoria-Vancouver. Naturally, these cheap ferries attract new visitors to the islands, and new demand for land there.
D. Looking for Mr. Goodbar
Here is how we get urban sprawl with leapfrogging. Remember the last time you moved and went househunting? You saw some mouthwatering homes, but they were not for sale. You had to find motivated sellers, and pick from what they offered. It’s the same with builders. They scour the exurbs seeking motivated sellers. Ideally the most motivated sellers would line up by distance from the existing city, but the market is not ideal. Each seller is moved by his personal circumstances, not the geographical location.
Potential builders are little concerned with the social costs they might impose, so long as others are to bear them. Thus, they sometimes settle for and build on steep lands (like Malibu Hills) with flammable brush and erosion problems, on flood plains (like Victoria Woods subdivision in Riverside), on soils subject to liquefaction in quakes (like Northridge), in canyons and arroyos, on lands with limited access for emergency equipment. They even build on lands without water supply, even in arid southern California, then demand water and get it, secure in the knowledge that Sacramento rejected a recent move to ban development in areas with no assured water supply.
E. The public pays twice
Let’s go back to those Channel Islands in British Columbia, with subsidized car-ferries. Naturally, as I said, these cheap ferries attract new visitors to the islands, and new demand for land there. Developers and hopeful subdividers bid up land prices. This is not what the old settlers had in mind: their environment is threatened, including the habitat of endangered species. They appeal to the Crown, which subsidizes their ferries, to help them preserve land for habitat.
They want the government to buy some of it, paying the high prices created by the ferry subsidy, to keep it from use by people who might use the ferries. Thus the government would pay twice: to subsidize the ferries, and then to retire the land at the high prices made possible by the ferries. Failing that, they want the Crown to downzone most of it. The landowners are not charged when the ferries raise their asking prices, but demand compensation when downzoned.
Here, in microcosm, is the American problem with sprawl and habitat. Multiply that ferry subsidy a thousand times, and you have the Great American System of Public Works and Services for Private Gain. First the public pays to bring urban demand to remote lands; now the landowners, the spoiled children of the national family, demand to be paid again for downzoning or selling that same land to preserve habitat. They demand payment not to cash in on the opportunities we just gave them free.
Thus far, it is true, the courts have let us downzone without compensating. However, now a storm has gathered. Proposition 300, on the ballot in Arizona, demands compensation for downzoning – it is aimed at the Clean Water Act and the Endangered Species Act. There is a movement in Congress to compensate for any Federal regulation that devalues land by more than 50%. It is led by Congressman Billy Tauzin, a Democrat from Louisiana. You can imagine what a more conservative Congress might do. Speculative landowners may soon get everything they demand, leaving heavy debts to which their light tax payments now contribute very little.
F. Proactive solutions
How do we dig out from this one? I’ll repeat: go with the flow of cutting public spending by cutting down subsidies to urban sprawl. They are a major source of the problem. We’ll never win the environmental fight until those subsidies are withdrawn.
A second proactive solution is to motivate and help the owners of good land to sell or develop it. To help them, make infilling a positive goal. If you put impost fees on new buildings, do so only in outlying areas that require new public services, not on new buildings that help renew places like South Central L.A. If you ration sewer hookups, save them for central land with street improvements already in place.
Those are the carrots. A good stick is also needed. We have seen how leapfrogging results from the scattered locations of motivated sellers. We can motivate sellers near-in, and in compact increments as we expand spatially, by raising land taxes there. Proposition 13 makes this difficult, but not impossible: many special assessments have the essential motivating quality of land taxes, with a different legal form, that exempts them from Proposition 13.
I could wax rhapsodic about the results to expect from such taxation, but have done so elsewhere and will leave it with a word: visit Sydney, Adelaide, Brisbane, Copenhagen, or Johannesburg, which have made use of this principle to excellent effect.
VI. Dig deep
These are basic issues, and call for bold actions. Do not waste your time on wimpish meliorism, or “Goo-goo” thinking. For example:
It is said we need a land use inventory. We already have lots of them: people have been classifying land for decades. The question is, what shall we do with them?
It is said we need “risk ratings.” These are subject to manipulation and juggling, like benefit/cost analyses of recent ill fame. The question is, who will control the ratings, and to what ends?
It is said we need fire models. We have fire models; they were already chic in 1950. The question is, how to keep scattered homes out of fire-prone areas, where they make prescribed controlled burning nearly impossible. The question is how to keep the State and the fire insurance industry from cross-subsidizing these homes by averaging their risks in with others.
Rather, let us study how to emulate the model of Butchart Gardens, near Victoria, B.C. Butchart doesn’t sound like a gardener’s name, and sure enough, Mr. Butchart was a hardrock miner who attacked the earth and left a great ugly gash in it. Ah, but Mrs. Butchart, she wanted space for a garden, so she made one there. She rediscovered the truth that land is not just the matter that occupies space, it is space, always renewable and reclaimable. Now Butchart Gardens is one of the world’s great beauty spots, drawing visitors from everywhere – in the summertime you hear every language there. Our decayed central cities, too, may bloom again like Mrs. Butchart’s garden. Let us make it our model.
This paper was presented by professor Mason Gaffney at Community Stewardship of Environmental Resources, a program sponsored by the Community Regional and Environmental Studies Program, Bard College, Annandale-on-Hudson, NY, 24 October 1994
What did you like about this year’s conference organized by the Council of Georgist Organizations and the International Union for Land Value Taxation? That’s what we asked this year’s attendees. Here are their responses, edited for brevity.
What I liked most was seeing a younger generation attending and participating, and promoting the use of Internet and social media methods to get our message out more widely. I hope all those trends continue and grow.
What I felt was most important was the overall *spirit* of the conference. When I say spirit, I mean that all presenters showed a strong motivation to keep Henry George’s ideas alive. It was a good opportunity to brainstorm and move forward with the inclusion of social media as an important tool to grab the attention and participation of youth.
Well, having been to about 45 of such conferences, I’m still learning things about the theory and what other people think will work in getting it adopted. I most like seeing all my Georgist friends, and sharing/debating the finer points over meals and free time. Alas, I would have liked to see the worst parts of Detroit.
What I liked best about the CGO conference was the fellowship of friends and colleagues, and opportunities to express our points of view and learn from each other. I was also pleased that there were Georgists there from several countries.
One of the great insights came from one of the people from Australia. They said that so much of their progress has come from people interested in land value tax on its merits as a public policy issue rather than from people who are driven by ideology–Georgists. I think we should change the name of CGO to remove “George” for this reason.
These annual get-togethers are always enjoyable for me. We are now (hopefully) set up to get the recorded sessions online quickly to reach the audience of people who do attend or cannot attend these events in person. This, to me, is an important movement-building tool. The next step is to live stream conference sessions over the internet. However, our demographics is a real concern. Age is catching up with many in our ranks. The number of younger people joining us is encouraging but not to the level that suggests we are growing as a movement.
All the presentations were educational, and the speakers were well informed. I learned a lot. The opportunity to network was also great. I love the work being done by courageous and dedicated people in developing nations. However, I was concerned about the lack of economic analysis. Perhaps there could be separate conference streams, those into economic history and those into producing economic analysis useful to the local community. Please can there be an established daytime strategy session next year?
I would rather have fewer presentations and more time to socialize and talk about strategy. I would cut out presentations about georgist theory and philosophy, or better yet, shorten them to 5 or 10 minutes.
I really enjoy getting together with other Georgists. Smart people. We are on the right track.
The conference was excellent! I enjoyed seeing young and old find ways to help one another. In the future, wouldn’t it be great if we could somehow make it easier for young people to attend, like openly reducing their cost and hosting the conference in a central location? That would really boost their attendance!
The Southfield conference hit many high notes. (1) Hotel: the vast open central atrium, everything within easy navigation; the daily free breakfast and happy hour; the friendly and very helpful staff; free shuttle service. (2) Program: both the invited guests and regulars provided new insights; the well-researched presentations added value. (3) Camaraderie: CGO regulars — returning Elders as well as new Young Ones — combined with IU guests from other countries to expand the sense of who we are; and the discussions, networking and friendships were fueled by the excellent food Osamu served-up each night in the hospitality suite; (4) All the new Georgist materials, more than usual, free or for sale at nice discounts. (5) The sense that contacts will be maintained and cooperation will be pursued during the coming year.
Once Detroit was motown, the home of Mustangs, Chevies and Cadillacs, of Aretha, the Jacksons, the Temptations. What happened? How can it be turned around? How can other cities escape the suffering that Detroit has endured?
In the 1960s, in the town of Southfield, the Detroit suburb where the Council of Georgist Organizations (CGO) annual conference will take place, a forward-thinking Mayor, James Clarkson, and an expert Assessor (Ted Gwartney, who will be one of our featured speakers) implemented reforms that made Southfield one of the fastest-growing cities in the country. Southfield’s success reprised the tax and business climate Detroit enjoyed in the early 20th century, the policies that made it the USA’s automotive capital.
This conference will explore that fascinating history, and bring together social scientists and reformers from around the world to focus on innovative solutions to today’s most “intractable” economic problems. The CGO looks beyond the ideological limits of “Left” or “Right” to explore viable Third Way policy solutions that can move society toward greater equality, without sacrificing prosperity.
Stuart Gaffney and John Lewis spoke at the Council of Georgist Organizations annual conference. Their talk was entitled: Case Study in Building Successful Movements, How the LGBT Community Went from the Margins to Mainstream. They discuss how movements to end poverty and save the environment can benefit from the what they have learned about the LGBT movement.
Stuart Gaffney and his husband John Lewis are leaders in the freedom to marry movement. Together as a couple for 26 years, they were two of the plaintiffs in the historic 2008 lawsuit that held that California’s ban on same-sex marriage violated the state constitution. On June 17, 2008, they married at San Francisco City Hall, surrounded by friends and family.
Stuart and John are leaders in Marriage Equality USA, a national grassroots organization, and API Equality, a coalition targeting outreach and education to the Asian-American community. They have appeared extensively in local, national and international media. The focus of their work has been to foster connection between the general public and the lives of LGBTIQ people.
Stuart is a graduate of Yale University and currently a Policy Analyst at the UCSF Center for AIDS Prevention Studies. [from Huffington Post]
You walk up to a food counter in a train station. You have five minutes to grab a bite before you have to board your morning train. A grumbling young woman, who exudes contempt for you and for every other customer in the line, charges you a premium price for a leathery, slapped-together breakfast sandwich which, nevertheless, takes another three minutes to get to you. She and her colleagues are distracted; each of them likely has a long list of personal problems — but all you know for sure is that she has made your breakfast transaction thoroughly unpleasant. You have encountered Homo Economicus.
“Economic man” is a key template for economic analysis. It assumes that we respond to the problem of scarcity with profit-maximizing behavior— or in other words, we try to secure material gain in the hardest-nosed, most self-interested way. Many people are uncomfortable with this idea: is it a simplifying assumption — or is it simply nonsense? People bristle at the notion of self-interested maximization. What about fun? Family? Spiritual Life? Cat videos?
And, anyway, we are often observed choosing to do things that aren’t “economical.” Someone drives into a convenience store twelve days in a row and buys a soft drink. The buyer could make a single trip to a supermarket and buy a twelve-pack of same beverage for 40¢ less per bottle. Who knows what constitutes economic behavior? Perhaps the soda-drinker had a crush on the cashier. Perhaps he liked to thumb through the magazines on sale there. And, anyway, the soda has zero nutritional value, so it’s really hard to say what’s going on in any sort of practical terms, but, well — he keeps buying those sodas.
“Economic Man” in Economic History
This issue isn’t new; it was recognized by the classical economists. John Stuart Mill was the first to refer to “economic man.” He made it clear that he saw Homo Economicus not as the whole person, but only that part of the person which concerns the science of political economy,
…an arbitrary definition of man, as a being who inevitably does that by which he may obtain the greatest amount of necessaries, conveniences, and luxuries, with the smallest quantity of labour and physical self-denial with which they can be obtained.
Henry George added the clarifying insight that the desires we seek to satisfy are entirely subjective. Contra Adam Smith, George pointed out that our desires aren’t necessarily selfish; they might be spiritual, or altruistic. Whatever our desires are, anyway, we try to satisfy them with the least “irksome toil” (and, what constitutes “irksome toil” is also subjective: one person’s hard labor might be another’s best fun).
When we undertake irksome toil, unwilling to do so without compensation, seeking to do as little of it as we can — our behavior falls under the definition of Homo Economicus. Obviously, we want to spend as little time as possible in that state. We want to get mere profit-maximization out of the way so that we can enjoy our free time.
Despite the tremendous progress of labor-saving technology, there is still work that people have to do. People are still called upon to pick up garbage, change diapers, unclog drainpipes, guard convicts, seize territory, do laundry, teach children, serve all-night customers, patrol streets… and, even, write books. Will there ever be enough labor-saving inventions to get the Homo Economicus out of human lives? In Sacred Cows and Other Edibles, Nikki Giovanni offered an interesting point of view on this question:
I like my profession. I hope the telephone operators, the hamburger turner at McDonald’s, the pressure checker at Kentucky Fried who see to it that those spices and herbs get really deep in the chicken are proud, too.
At first, I thought Nikki Giovanni (whose poetry I like very much) was being facetious. She had the talent, drive and good fortune to enjoy a career as a poet. That didn’t necessarily make her life easy, but I think she’d choose it over frying chicken for Colonel Sanders. Eventually, though, I realized that her point is unassailable: if the chicken fryer doesn’t care about her work, everyone suffers. True, she is underpaid; most workers are. But, jobs are scarce: more personable and diligent workers are eager to take her place. Giovanni is telling us that, despite the manifest injustice of our society, one can still choose to be a person. Remember that young woman at the breakfast counter? She was resigned to being Homo Economicus — and you’re not going back to that breakfast counter, if you can possibly avoid it.
You might point out that it is in a worker’s economic interest to be more pleasant, so she can hold onto her job. But, I suspect that she cares very little for this job; she considers herself to be a worker, (impersonally, insultingly) hired to do a (dull, underpaid) job; perhaps her situation is a notch above abject slavery, but it’s not far above it. She is, in a word, alienated.
Is Social Progress Linear?
“Alienation” is something that Marxist theory has a lot to say about; indeed, it is said to be the basic condition of workers under the capitalist more of production. Marx saw workers as suffering from a four-fold alienation: from the things they made, from the process of making them, from their own selfhood, and from other workers. This cubicle of alienation in which workers (inevitably) find themselves is a big part of the reason why Marxist theory sees revolution inevitable, and capitalism doomed.
Others, however — such as Henry George — see the possibility of fundamental reforms that would make a market economy work for everyone. If we all seek to reduce the amount of irksome toil we have to to perform, it follows that a progressive society would be able to reduce the net amount of time that its people spend behaving as Homo Economicus. This would imply a continuum of social progress. At the bottom is slavery: a slave, compelled to perform “irksome toil” to survive and avoid punishment, is pure Homo Economicus. At the top, we might find an artist: getting paid for for work that was done for the sheer joy of doing it.
Then there is the joyous, painful endeavor of raising children — where does that come in on the scale?
Let’s consider a few examples:
Autoworker Aaron works for $17/hr in a nonunion Toyota plant, and has to make a decision about whether to join a union. He decides against it, because $17/hr is better than any alternative that’s available to him, and he doesn’t want to jeopardize his job.
Autoworker Betty is a member of the Communist party working at the Totota plant, and works behind the scenes to organize coworkers. Her activism is frowned on by her supervisors, who stick her with unpleasant tasks and don’t recommend her for promotion.
Dad Charlie chooses to forgo his career and stay home with the kids. His wife makes good money, but has a stressful, long-hours, fast-track career. Charlie’s role as a home support person makes it all work.
Mom Diane chooses to forgo her career and stay home with the kids. They’ve moved to a low-rent area and her husband is working part-time. They don’t have much money, but they have plenty of time together as a family.
Mom Ellen and dad Frank both work full-time. The kids are in pre-school, and after-school activities. They need to do this to keep up with their mortgage and all the other payments, and try to put some money away for the kids’ college educations.
Dad Greg and mom Harriet would both be working full time, if they could both find jobs. As it is, they work as they can, often on conflicting schedules. They’ve had to get help from friends and family to get by, and finding responsible supervision for the kids is a constant challenge.
Neighbor Ian worked overtime to save up enough to hire a contractor to build an addition to his house. Neighbor Jim made sure to have a flexible work schedule (at a lower pay scale) and built his home addition himself.
Can you divide the Homo Economicus behavior from the “for my own good reasons” personal behavior? Which of those examples do you admire? Which do you feel pity for? The further we rise, economically, above abject servitude, the more ambiguous this question gets. It gets harder to separate the time we spend making a living from the time time we spend pursuing personal satisfaction — each blends into the other.
The question is by no means simple. A progressive society, as we’ve seen, is one that succeeds in reducing the net amount if time its people spend as Homo Economicus. But, if we cannot clearly separate out the portion of our labor time we spend that way, then how can we make that distinction? How can we tell (in the aggregate) whether we are gaining or losing?
On the other hand, “gaining,” in the sense of moving along the line on which society is advancing (or retreating) might not be the only option, or the best way to look at things. Marxist theory sees human society as moving along a time-line from feudalism, through capitalism, on the way to socialism and the Workers’ Paradise. Henry George’s conception of social development also sees society as moving along a line, either forward toward a progressive society that maximizes both association and equality, or regressing, failing the promise of civilization, declining into a new dark age. Marx, I suppose, would transform Homo Economicus into HomoComunismus, a fit and happy team player. Henry George would reduce Homo Economicus to a vestige, no more onerous or stressful than brushing one’s teeth. (Some versions of Marxist utopia, as well, have technological development enabling workers to sample many jobs and switch them at will.) These outcomes are, at best, a long way off. In the meantime, is self-interested maximixation all we have to look forward to? (Or as Nikki Giovanni put it, “Spam, Used Cars, and More of the Same”?)
When was Homo Economicus Born?
It may be, however, that in terms of economic behavior, society does not move in a line. There may also be a recursive process at work. Another possible starting point for social/economic development is the traditional society. There are various kinds of traditional societies, of course, but compared to the paradigm we’d call modern, industrial or developed, there are things they have in common. I think it would be accurate to say that the behavior we’ve been calling Homo Economicus was rarely, if ever, exhibited in traditional societies. True, there were fights over land and resources, and there was even slavery. There was drudgery and hardship; winters were long; lifespans were short. Nevertheless, in no indigenous culture was it the norm for people to spend substantial portions of their time performing meaningless tasks in exchange for things. We take this behavior for granted; our ancestors didn’t.
In an earlier stage of industrial development the “labor time” model made perfect sense. It didn’t matter that the work might be meaningless, because the efficiency of industrial production made it possible for everyone to be better off. As productivity continued to increase, workers could organize to collectively bargain for better wages. In the United States this process reached its peak in the industrial golden age of the 1950s and 60s. While not everyone was happy (African Americans, for example, were effectively excluded from the general prosperity), millions of US workers were quite happy to get paid $25 an hour, with pensions, health plans and paid vacations, for being Homo Economicus.
It seemed like such a good plan: you get a decent job, put in the hours, get raises, buy a house (a comfortably appreciating asset), raise kids, send them to college, and then get rewarded for your career of homo economizing by settling into a well-provisioned retirement. But then “our jobs” started getting sent overseas, real wages stagnated or fell, and things started getting confusing. Raising a family started to require two full-time salaries. In the prevailing myth, June Cleaver and her friends had happily done the cooking and the childcare as their part of the family bargain. Now, suddenly, they were too busy, and these “household” tasks increasingly became part of the economy. Should June have received Homo Economicus wages for handling all those poopy diapers?
Such a question would never have come up among the unassimilated Sioux, or Inuit, or Australian Aborigines, the Kalahari Bushmen, or the artists of Lascaux or Mesa Verde. Such societies had their problems, to be sure, but alienation, in the sense that Karl Marx described, was not one of them. The Georgist economist Fred Foldvary put it this way:
Human beings did not start out poor, hungry, needing development. Primal man had natural wealth from the bounty of nature. Only after humanity turned to agriculture and conquerors took the land did the brave hunter become a lowly peasant working for a wage pittance from dawn to dusk while the lord dined on wine and game hens under chandeliers. Only after the descent to serfdom does development beckon with the promise of increasing productivity.
It has long struck me that the economic analysis of Henry George, dealing as it does with the pervasive, unavoidable role of land in society, offers a key theoretical bridge between traditional and modern ways of seeing the economy. When indigenous people admonish European colonists that “The land does not belong to us; we belong to the land,” they are not being romantic. They are making an entirely reasonable and true statement that arises from a worldview in which there is no Homo Economicus. That statement only seems quaint from the point of view of industrial society, which is predicated on owning the land and controlling its resources.
But: industrial society has reached a turning point. We can no longer afford to reckon “economic growth” without factoring in its effect on the natural world. And we live in a dysfunctional society in which, in James Baldwin’s words, “not even the most spectacular recipients of this prosperity are able to endure these benefits; they can neither understand them, nor do without them, nor can they go beyond them.” (Soccer moms cannot escape this dilemma in their SUVs.)
I think we need to return — without turning away from the benefits of science and technology, for there can be nothing evil in science and technology per se, only in the self-serving uses to which we put them — to a life in which we are part of where we live, in which we are nurtured and informed by our place and our community. By doing so, we may be able to develop a sustainable understanding of “economic growth.” And then we can finally put Homo Economicus to rest. Not because there will no longer be work to do — but because the challenges of devising a sustainable future will leave us no time for the “irksome toil” that industrial development so usefully, efficiently, imposed on us. What we have to do will be too important not to care about. We will have to keep it real.
Many of us know that capitalism creates wealth, but also that it causes inequality and destroys nature at the same time. But we don’t seem to understand how: For example, how does capitalism lead to financial insecurity for many, even for those who, by all accounts, shouldn’t have to worry about money? And how exactly are we destroying our planet in our frantic conversion of nature into digits and little bits of paper we call money?
One of the main reasons capitalism does not provide equal benefits to everyone is because the commons—the gifts of nature—have been privatized. This privatization of nature is one of the root causes of economic recessions, ecological destruction, as well as social and cultural decline—even in a world of plenty.
All of nature is community wealth, including—and especially—land. People give value to land through the goods and services they provide to their communities. For example, because people offer more goods and services in the city than in the countryside, urban land tends to be much more expensive than rural land. As communities become more attractive to live in, some property owners—but mostly the financial institutions that finance them—then extract this value by making money from real estate—money that in truth belongs to everyone—, and this extraction is one of the root causes of wealth inequality, ecological destruction, and even economic recessions.
Land—even undeveloped land—costs a lot of money in our society. Why is that? It’s because land has an intrinsic value to human beings: We all need land. And because we all need land, those that own land can make money by buying and selling land at the expense of other people who have to pay money to live on it. Under our current land ownership model, property owners only pay other property owners for land as well as the banks that finance property ownership.
While land can certainly be privately used, its value is created by the community and therefore belongs to the community. Land has to be owned in common, and whenever people use land, they need to reimburse their local communities for their exclusive use of it. They can do this by making community land contributions for the land they use. A land contribution approximates the market rental value of land, and the rental value of land is a measuring stick that reveals the financial value of the benefits that land users receive from their exclusive use of land.
In most nations around the world, land has already been privatized: If communities were to suddenly impose land contributions upon existing property owners, property owners would end up having to pay twice for their ownership of land—first to the previous landowner (from whom they bought land), and a second time to their local communities.
In order to transition from a land ownership model to a land stewardship model, local governments and community land trusts would either have to financially compensate existing property owners for the land value portion of the properties in question or cancel their existing mortgage debts. Land users would then be required to share the value of land with all members of their community through community land contributions. And finally, these contributions would then have to be redistributed to all community members in the form of a Universal Basic Income to prevent gentrification, reduce wealth inequality, and create a truly fair economy for all participants.
It’s become a convention, on the news, to refer to the Jihadist force that’s been gaining ground in Iraq and Syria as the “so-called” Islamic State. This seems to be a requirement. Sure, they call themselves a state — but they’re not! States are sovereign. They have governments, and ambassadors and such; they have seats in the UN General Assembly — like Syria, for example.
What is it, really, that constitutes a sovereign nation?
To begin with, it has to do with authority and control; we think of it as “where the buck stops.” It may be comforting to think of this as an absolute thing (i.e., Israel absolutely has it; the Palestinians absolutely don’t). But it is not all-or-nothing, of course; there are degrees. The “national sovereignty” of a place like “The Republic of South Vietnam” (or post-Dubya Iraq) is an evanescent thing, crafted on the fly to suit the interests of a larger power. Nevertheless, international diplomacy rests, however shakily, on the concept of national sovereignty. So far in human history, is nations that make and enforce laws. International law is an ad hoc matter. It is enacted by means of treaties, and only enforced at the national level, if nations choose to do so. (Has the International Criminal Court ever compelled the United States to do anything?)
Nations have various degrees of power, and various degrees, alas, of legitimacy. If the nation is not powerful enough, it may fall to conquest by external powers. But what if it is not legitimate enough? The (so-called!) Islamic State’s legitimacy is bestowed by Allah — the same Deity that confers legitimacy, via the Queen, to land tenure in Great Britain. (It has to be the same Deity: both faiths believe there is only one.) The classical Chinese concept of national legitimacy was called “The Mandate of Heaven.” It was thought possible for a ruling dynasty to lose this, become illegitimate, and become deposed. If a nation is not legitimate enough, therefore, it may succumb to internal revolutionary forces.
Eventually, Divine bestowal of sovereign power came to be vested in hereditary monarchs. In the minds of the Enlightenment philosophers, however, sovereignty came to rest in the incontestable, and infallible, will of the people. Thomas Jefferson, for example, wrote that governments are instituted to secure the people’s inalienable rights, and that their powers — if they are just — are derived from the consent of the governed.
This raises questions. Who are “the governed”? How is their consent ascertained? How, and where, and in what ways are they to be “governed” — presumably through the exercise of the sovereign powers of a “government” which the people have chosen? According to Jefferson, a governments just powers are derived from the consent of the governed — and it wields those powers through the process of creating and enforcing laws. Does this mean that if a majority of a nation’s citizens decide, through some representative process, that slavery is OK, then slavery is OK? Well, it’s legal, anyway; fee-simple private ownership of human beings was legal in the United States for 75 years.
Furthermore, the idea of government cannot be separated from the question of jurisdiction. Over what area does sovereign control extend? There is no global government. Our concept of sovereignty is inextricably bound up with the idea of nationhood. Now, sometimes we might speak of a “nation” in spiritual or cultural terms — a holy covenant? a community brought together by its victimhood? a romantic generational consciousness, such as the “Woodstock Nation”? But, in stark political terms, such notions are frivolous. In the “real world,” nationhood is a matter of jurisdiction over a defined portion of the planet: a territory — a piece of land.
Job #1 for any nation is the administration of its territory: its boundaries and their defense; the duties and prerogatives of states, municipalities and other lesser jurisdictions; and — most important — what people can do with that territory: what rights they have to its possession and use. This has obvious economic implications, because all economic activity must use land in some way. It is incumbent upon a sovereign nation to set rules concerning how people use the land: to make stuff, to live on, and to dump their garbage in.
Fine, OK — all of this sounds so commonplace as to hardly be worth mentioning. But, when we start to think about how these issues play out, we find some astounding breaches of logic.
Many smart people have told us that international trade agreements, such as the Trans-Pacific Partnership, or TPP, dangerously erode national sovereignty. Democratic societies have repeatedly chosen to implement regulations deemed necessary to protect health, safety and the environment. Pacts like the TPP seem to be taking these powers away from governments. I wonder how many citizens in struggling, export-dependent poor countries have any inkling what prerogatives their “sovereign governments” have given away in order to stave off trade sanctions.
But it’s not just the poor countries that are “yielding up their sovereignty” to multinational corporations — oh, no! Lots of people in the Great and Powerful USA are exercised about the increasing ease with which corporations reconfigure their profits into other jurisdictions to avoid paying “their fair share” of US taxes. Have the governed given their consent to that? Perhaps not, but the Emperor, in any case, has made it legal.
If Job #1 of a nation is to administer its territory, what can we say of a country that allows private investors to hold hundreds of thousands of hectares of that territory entirely idle, while its people have no place to make a living? Hasn’t that nation’s sovereignty been seriously degraded?
Furthermore, if a corporation is making “obscene” levels of profit in the United States and then paperworking them into another country to avoid taxes, well — did it not need land, locations and natural resources, to undertake the activities that created those profits? Did it fully compensate the community for the privilege of using that land?
Questions like these have a way of making one’s head swim. They seem to sudden, too sweeping. One is tempted to back-track to see whether some key factor has been left out. That impulse is both understandable and necessary — because in today’s discussions of economic policy a key factor is left out.
So let’s back-track. We’ve said that the most vital task of a nation is the administration of its territory. It defends against invasion, creates and enforces laws, and provides all kinds of infrastructure, both civil and physical. To the extent that nations do these things effectively, they become pleasant and prosperous places to live and do business. And to the extent that they become pleasant and prosperous places, the land in them — most of which is held in fee simple by private interests — increases in value.
Any nation that allows fee-simple ownership of land has already — long since — yielded up its sovereignty to private interests. These recent “sovereign giveaways” are just minor embellishments. We can close the barn door if we like, but the horse is long gone.
One of the many things this means is that, while the TPP will exacerbate a number of problems, the solution to those problems is not to be found in protectionism. “Local self-sufficiency” will only make the local landlords a bit less rich.
There was a West African nation that took a series of effective steps to assert its own rightful sovereignty — have you heard of it? It began with a military coup — nothing very noteworthy in that; there are lots of military coups — but this one set out to implement a novel program of reform. The country defaulted on its foreign debt. It proceeded to abolish all income taxes, VATs and tariffs, and to collect the value of land for its public revenue. And what happened? It no longer needed exports, or foreign loans, because its domestic markets were strong, its employment full. The most serious policy problem it had to deal with was the large numbers of people who wanted to immigrate. This country’s name is Alodia — but, alas, it is fictional. So far.