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416 pages, Paperback
Published March 15, 2019
The book is primarily an intellectual history, synthesizing connections between neoliberalism, neo-conservatism and the idea of traditional families.
That's right. The central thesis of the book is that neoliberalism should be understood as seeing the "traditional" family as the necessary and proper fundamental unit of a well functioning community.
Not the atomized, narcissistic and solitary individual homo economicus it's supposed to fetishize. Hot-take indeed.
Quoting Gary Becker:
[Becker] argues that the familial incentive toward altruism is as central to the constitution of the free market as the utilitarian incentive of self-interested exchange.
The nature of the family altruism in some sense represents an internal exception to the free market, an immanent order of noncontractual obligations and inalienable services without which the world of contract would cease to function.
This premise is so constitutive of economic liberalism, both classical and neoliberal, that it is rarely articulated as such.
Yet it explains why, in Wendy Brown’s words, private family values constitute the secret underside of liberal contractualism.
we can see the connection between neoliberalism and neoconservatism:
Neo-liberals are particularly concerned about the enormous social costs that derive from the breakdown of the stable Fordist family: the costs that have been incurred, for example, by women who opt for no-fault divorce, women who have children out of wedlock or those who engage in unprotected sex without private insurance; and the fact that these costs accrue to the government and taxpayer rather than the private family.
Although they are much more prepared than are social conservatives to accommodate changes in the nature and form of relationships within the family, neoliberal economists and legal theorists wish to reestablish the private family as the primary source of economic security and a comprehensive alternative to the welfare state.
If American welfare reform has been singularly focused on the question of marriage promotion and responsible family formation in the past few decades, it is thanks to the ongoing collaboration between neoliberals and social conservatives on this point in particular.
And related:
German political economist Wolfgang Streeck, whose recent work reflects at length on what he sees as the causal relationship between the flexible employment contract and the “flexible family.”
Streeck is concerned here with the dismantling of the standard postwar employment relationship and its correlate, the so-called Fordist family consisting of a male worker, a stay-at-home wife and mother, and two or more children.
As he notes, the economic security of the postwar era was premised on a tightly enforced sexual division of labor that relegated women to lower-paid, precarious forms of employment and indexed the wage of the Fordist worker to the costs of maintaining a wife and children at home.
How and why did this particular architecture of economic security crumble so rapidly in the 1970s, Streeck asks, and why did its decline provoke so little opposition from those who benefited so much from it?
Searching for an answer to this question, he notes that “the social and family structure that the standard employment relationship had once underwritten has itself dissolved in a process of truly revolutionary change.
In fact, it appears that the Fordist family was replaced by a flexible family in much the same way as Fordist employment was replaced by flexible employment, during the same period and also all across the Western world.”
The destabilization of the long-term marital contract, Streeck wants to argue, occurred a short but significant time before the dismantling of the Fordist employment relationship and can be seen as having provoked the decline of the latter.
The revolution in family law and intimate relationships that occurred in the 1960s—from the introduction of no-fault divorce to the growing acceptance of cohabitation—destroyed the very raison d’étre of the Fordist family wage and thereby led to its gradual phasing out over the following years.
If women were no longer tied to men in long-term relation- ships of economic dependence, and if men were no longer obliged to look after a wife and children for life, then who would be left to defend that great Fordist institution of economic security, the family wage?
Emphatically, what prompted their reaction was not the New Deal welfare state itself (although neoliberals certainly had a long tradition of critique on this front) but rather the panoply of liberation movements that emerged out of and in excess of the postwar Keynesian order toward the end of the 1960s.
At various moments between the 1960s and 1980s, poverty activists, welfare militants, feminists, AIDS activists, and public-interest lawyers articulated a novel politics of redistribution that delinked risk protection from the sexual division of labor and social insurance from sexual normativity.
These movements were historically unique in that they continued to fight for greater wealth and income redistribution while refusing the normative constraints of the Fordist family wage.
While neoliberals and neoconservatives were sur- prisingly sympathetic to efforts to democratize the New Deal welfare state—most notably when it came to the inclusion of African American men within the family wage system—they balked when the Fordist family itself came into question.
In short, it was only when the liberation movements of the 1960s began to challenge the sexual normativity of the family wage as the linchpin and foundation of welfare capitalism that the neoliberal-new social conservative alliance came into being.
What they proposed in response to this “crisis” was not a return to the Fordist family wage (this particular nostalgia would be the hallmark of the left), but rather the strategic reinvention of a much older, poor-law tradition of private family responsibility, using the combined instruments of welfare reform, changes to taxation, and monetary policy.
Under their influence, welfare has been transformed from a redistributive program into an immense federal apparatus for policing the private family responsibilities…
Which makes the recent acceptance of ands laws for same sex marriage quite interesting:
The LGBT movement has subsequently moved in the opposite direction: Rather than challenge the limitations intrinsic to the public-private welfare state, it has instead fought for inclusion within an already exclusive system of private, work-based health insurance.
At a point in time when access to healthcare coverage through full-time, secure employment (and by extension) marriage, has become an increasingly rare proposition, the LGBT movement has devoted much of its energies to attaining this shrinking privilege.
The notion that same-sex marriage would ensure access to private healthcare insurance has thus become a key plank in the reform agenda of LGBT rights advocates.
Similar arguments have been made with respect to Social Security, which in the event of premature death provides survivor’s benefits for widowed spouses and children.
At a time of shrinking political horizons, same-sex marriage proponents look to the surviving remnants of the family wage–social insurance benefits premised on marital and familial status–to argue that they too should be included in this last vestige of Fordist normativity.
The call to recognize same-sex marriage thus becomes a demand for inclusion within a family wage system that is itself in terminal decline.
But beyond this, many of the same voices in the same-sex marriage debate simultaneously adopt the neoliberal argument that legal recognition of their unions will ultimately allow same-sex couples to take care of themselves and thus renounce their rights to state welfare altogether.
In this optic, the campaign for same-sex marriage no longer entails a demand for inclusion in the family wage system of social insurance but rather an affirmation of one’s ability to live independently of the state. By allowing lesbians and gay men to enter into legally enforceable and long-term obligations of care and mutual support, it is suggested, the recognition of gay marriage will induct same-sex couples into a neoliberal ethic of family responsibility.
and
By any standard, the terrain traversed by queer politics over the
last three decades has been extreme, moving as it has from the radio
cal antinormativity of ACT UP and Queer Nation to the reproductive
legitimacy of the same-sex marriage campaign. We live in an era where
normativity itself no longer appears to play the overwhelmingly exclusionary—and hence central—role it once did in the regulation of sexuality in the mid- to late twentieth century, despite its prominence as a concept in contemporary queer studies.
The fact of non-normative sexuality is no longer defined as criminal or pathological by the social sciences; nor is it likely to trigger a whole series of medical and psychiatric
interventions on the part of the welfare state and its allied institutions
(although these older forms of social stigmatization are now being rapidly replaced by new kinds of religiously inflected moral exclusion).
We live at a time where the public affirmation of one's status as a homosexual will no longer automatically exclude a person from employment, credit, or housing (which is not to say that homophobia no longer exists—far from it). In the spirit of Foucault's periodization of power, in fact, we might classify this period as postnormative—if we take normativity to refer to the precise forms of statistical exclusion that accompanied and shaped the Fordist family wage, along with their epistemological expression in the biological, psychological, and social sciences, where different kinds of sexuality were once overwhelmingly defined in terms of pathological deviance.
In this sense, perhaps, Foucault was right to see the advent of neoliberalism as marking the passage toward a postnormative formation of power
Some interesting stuff about education too. How are the UC's can no longer provide free higher education:
For their part, neoliberal economists such as Milton Friedman and James M. Buchanan also suspected some kind of causal connection between free public education and rising militantism of the student movement.
Drawing on the pragmatic insights of rational choice economics, which understands the most antisocial behavior as a rational response to market signals, they sought to show how the creation of free public goods such as education could act as a perverse incentive toward destructive anarchism and, conversely, how the pricing of these same goods could reverse such alarming trends.
The question of family was central to neoliberal arguments against public investment in education and key to their proposals for a new economic order powered by private investment and household debt.
Both Chicago school human capital theorists and the public choice economists of the Virginia school justified their opposition to public deficit spending by pointing to its role in inciting the anti-authoritarianism of the student movement. Although their arguments often meshed with the overtly moralizing rhetoric of neoconservatives such as Sameuel Huntington, the neoliberals offered a much more adaptive and flexible solution to what they perceived as a threat to inherited wealth and a decline in family responsibility.
Neoconservatives would spend the next few decades railing against affirmative action and fighting a cultural war against the new minority disciplines of black, ethnic, and women's studies.
Neoliberal economists also opposed affirmative action as a distortion of the allocative virtues of the free market.
But unlike the neoconservatives, they were more interested in the positive task of developing an entirely new model of education funding—one that would replace public with private deficit spending and in so doing reinstate the economic obligations of family.
Origins for the rise of student debt?
"…critical to policy debates around human capital funding: First, how
much public investment is needed? Second, should the returns from
public investment accrue to the individuals in whose training the
investment was made?" Without offering an explicit response to
the first question, Friedman and Kuznets suggested that in an ideal
world, existing inequalities in education and wages could be resolved
entirely through the private capital markets: With a few changes to
corporate law, students could be persuaded to sell "stock" in them.
selves and obligated to pay a portion of their future wages as "dividends" to their public of stockholders.
In this remarkable passage, Friedman and Kuznets see students not so much as investors in their
own human capital as corporations selling a stake in their human capital to outside investors–a vision that has now in large part been realized, albeit in the form of debt- rather than equity-based finance, and crucially without the usual corporate protections of limited liability or bankruptcy laws.
In their 1962 book Capitalism and Freedom, Rose and Milton Friedman came out even more decisively in favor of private investment
in human capital, Here they argued that the returns to investment in education accrued entirely to the individual student and that any ostensible social benefits were merely the summation of private wage gains.
The individual student should therefore be held responsible for the costs of his education.
The Friedmans concurred with Schultz that there had been massive underinvestment in higher education, but unlike Schultz, they believed that this failure could best be remedied through the liberalization of credit.
The fact that low-income students were unable to pay for a degree and thus discriminated against in the labor market could be attributed to "imperfections in the capital market."
There's a lot of interesting stuff and the book is very thorough.
Kinda reminds me of Chomsky's Understanding Power: "cite everything back and forth twenty ways to Tuesday".
But similarly, the book still reads a little biased, and I am no historian to tell whether there are alternative interpretations and what the author omits.
On the other hand it does clarify one thing–the postwar years were interesting–and something unlikely we'll see again.
Parts also reminded me of Eric Hoffer's prescient criticism of mass movements in how often they fail to achieve what they want.
She covers a vast number of themes: welfare reform, deindustrialization, the AIDS crisis, incarceration, spiraling inequality, the return of religion, and the role of securitized credit markets in mortgages and student debt. These discussions bring together intellectual, political, economic, and cultural history into a satisfying, and sometimes exhilarating, unity. These familiar stories, she shows, are bound up in one overarching narrative: the installation of the nuclear family, and not the state, as the privileged site of debt, wealth transfer, and care.