TLDR: This book reads as a narrow-minded criticism of social programs that support our most marginalized Americans while conveniently ignoring how corporate America exploits its workers. It's an uncomfortable read that I found little to agree on as a fellow economist more interested in supporting our working populace than our ever-growing capitalist greed-driven economy.
Nicholas Eberstadt is an American Economist who obtained his training at Harvard and the London School of Economics; his current work includes advising on the National Bureau of Asian Research, the visiting committee at the Harvard School of Public Health, and membership on the World Economic Forum. Most notably, he is the Chair for Political Economy in the American Enterprise Institute, a center-right think tank that advocates in favor of private enterprise, limited government, and democratic capitalism.
In the first three pages of his introduction alone, Eberstadt declares a number of claims that may not entirely be statistically inaccurate, but are abundantly charged with conservative ideology.
First, he compares inter- and post-COVID-19 pandemic unemployment levels to the Great Depression. In 2021, male adult unemployment hovered at 5.1% whereas between 1933 and 1938, unemployment rates fluctuated between 19 and 25%. Moreover, despite being a book all about statistics and analysis, he doesn’t cite this claim, and only reinforces it by citing the number of job openings that grew over the pandemic, seemingly comparing those numbers to the depression nearly a century prior. 3.9M jobs, as he puts it, is comparable to the Depression-era 1930s. However, back then, women were working in drastically fewer numbers, racial minorities had fewer rights governing their participation in the economy, and the country’s population was less than 130M, nearly a third of what it is today. Eberstadt is either deliberately misleading the reader by ignoring all of these realities in his claims, or is authentically and drastically misunderstanding the nation’s economic realities of both then and now, despite being a world-class economist.
Second, he cites raising unemployment as a fault of deteriorating American work ethic, before laying any consideration to the worker’s natural opposition to working in unsafe, unjust, or unappealing work conditions in an otherwise highly pro-business, anti-union, anti-worker nation state. Even as he notes that by the 1960s, male unemployment steadily decreases over each passing decade. Incidentally, women have been entering the workforce in greater numbers over the same period of time, but this fact is overshadowed by the criticism that somehow men and their work ethic are instead suffering. To his credit, Eberstadt is able to concede that technological innovations and disruptions, outsourcing, lower demand in unskilled labor, and a general decline all contribute to increased levels of unemployment. Nevertheless, he continues to double down by noting if there are jobs available (11M he cites) and men to work them (7M he cites), then the concepts of job supply and job demand must be overstated. I find it baffling that an economist cannot comprehend any other reason why a worker would not be able to or willing to access a job; what of poor wages, inaccessibility to education and training, poor working conditions, the list goes on. Yet none of these possibilities are mentioned, with only a crisis of enthusiasm cited. Eberstadt even devolves his argument into a thorough criticism of the “U.S. Welfare State” that provides an overabundance of social safety nets that actively disincentivize motivations to work – another capitalist, conservative talking point made by wealthy and scholarly elites who have never had to live off of disability and/or unemployment insurance payments. J.D. Vance’s tone-deaf Hillbilly Elegy is even quoted in these claims, further attempting to reinforce the idea that a majority of individuals receiving assistance are “gaming” the system. Yet, naturally, nobody bats an eye when the ultra-wealthy “game” the system; it only appears to be the poor, marginalized groups that are worthy of criticism.
Third, he cites that if the total economic output of the United States were actually divided evenly, every family of four in the country would have earned $1.7M in the year 2021; however, instead of criticizing wealth inequality, Eberstadt uses this measure to instead complain that somehow, even with private wealth growing at a rate of 3% per year (his own statistic), the American economy is actually fairing poorly compared to the postwar era of the late 1940s and 1950s. This claim reveals an otherwise toxic longing for exponential, unceasing growth that is pernicious among zealous capitalists.
Eberstadt proceeds with the rest of his book to argue the following:
- The compact majority of people who are unemployed or not in the labor force (NILF) simply don’t want to work because they are dependent on the robust American welfare-state.
- Unemployment insurance, disability payments, and social security all actively contribute to poisoning our labor supply by making people dependent on social benefits and making them lazy.
- Unemployed people are idle, and not working hard enough to find work.
- There are productive and unproductive uses of free time, and it is only acceptable for people to be productive. Resting, socializing, and turning to hobbies is to be frowned upon.
- People with criminal records are less likely to re-enter the labor force, and it’s their own fault.
Never at any point does the author even come to acknowledge any of the following:
- Wage stagnation and raising costs of living
- Skyrocketing corporate profits in spite of unemployment rates
- Barriers to job entry, education, and training
- Societal discrimination
- Conditions of work environments and work cultures that are harmful to workers
- Treatment and status of labor unions
- Wealth inequality and disparities
- Mental Health epidemics across lower and middle class Americans
The text is extremely close-minded and dismissive of the plight of both American and Foreign workers that disguises itself with pretty numbers to avoid the revelation that it's just more capitalistic death cult propaganda.