The example of China’s explosive growth in the last thirty years showed that capitalism can “work” without the political liberalism that was once thought to be its necessary corollary. The West seems to be arriving at the same conclusion, embracing a form of capitalism that is more tightly tied to Party purposes. But there is a crucial difference in the direction given to the economy by the party-state in the two cases. In the West, the party-state is consistently anti-productive. For example, it promotes proportional representation over competence in labor markets (affirmative action). There are probably sound reasons for doing so, all things considered, but it comes at a cost that is rarely entered into the national ledger. Less defensibly, the party-state installs a layer of political cadres in every institution (the exploding DEI bureaucracy). The mandate of these cadres is to divert time and energy to struggle sessions that serve nobody but the cadres themselves. And the Party is consistently opposed to the most efficient energy technologies that could contribute to shared prosperity (nuclear energy, as well as domestic oil and gas), preferring to direct investment to visionary energy projects. The result has been a massive transfer of wealth from consumers to Party-aligned actors. The stylized facts and preferred narratives of the Party can be maintained as “expert consensus” only by the suppression of inquiry and speech about their underlying premises. The resulting dysfunction makes the present order unsustainable.
This is an incisive essay by Matt, as always, and I agree with almost all of it — the exception being the last sentence quoted here. It seems to me that the current system is indeed sustainable, for quite some time, at least in many arenas.
For instance, in the American university system the vast expansion of DEI apparat simply follows the previous (and not yet complete) expansion of the mental-health apparat, all of which siphons resources away from the teaching of students. But that’s okay, because almost no one — least of all students and their parents — thinks that learning is the point of university. The university is for socialization, networking, and credentialing, and I expect to see a continuing expansion of the bureaucracies that promote these imperatives and a corresponding contraction of the number of teachers. And anyway, insofar as teaching and learning remain a burdensome necessity, if an annoying one, much of that work can be outsourced to ed-teach products and, now, to chatbots.
Genuine teaching and genuine learning will always go on, but for the foreseeable future it will happen at the margins of our universities or outside the universities altogether. Meanwhile, the symbolic work of the party-state will grind on, because it must:
For since the law has but a shadow of the good things to come instead of the true form of these realities, it can never, by the same sacrifices that are continually offered every year, make perfect those who draw near. Otherwise, would they not have ceased to be offered, since the worshipers, having once been cleansed, would no longer have any consciousness of sins? But in these sacrifices there is a reminder of sins every year.