Comment by littlestymaar
3 months ago
> the US found it in the period between the end of WWII and the 1970s. High marginal taxes on extreme wealth, high inheritance taxes and zealous antitrust and anti-monopoly enforcement all kept people's wealth and power disparity somewhat in check.
This.
People like to say Capitalism won the cold war, but in reality it was the welfare state with its massive redistribution and limits on concentration of power that won.
The current economic and social model isn't even desirable enough to prevent people from fantasizing Putin's Russia, it would have stood no chance against the USSR in the 50s.
Social welfare spending only goes up as percentage of GDP. https://ourworldindata.org/grapher/social-spending-oecd-long.... What data do you use to distinguish the "current economic system"? Notably of course, assuming the variations of the US system even mattered, the USSR collapsed after the 80ies (deregulation and liberalization having started even earlier under Carter, not after post war US economy stagnated in the 60ies-70ies.
> Social welfare spending only goes up as percentage of GDP. https://ourworldindata.org/grapher/social-spending-oecd-long....
Not everything that count can be counted, and not everything that can be counted counts. Metrics like these are meaningless when the working class' living condition keeps deteriorating.
> What data do you use to distinguish the "current economic system"?
Pick your favorite:
- wealth concentration (what share of wealth does the top, say 0.1% for instance but pick whatever you like best, of wealth distribution)
- media concentration
- number of years of average income spent in a political campaign
- effective tax rates on the wealthiest people
> Notably of course, assuming the variations of the US system even mattered, the USSR collapsed after the 80ies
The soviet union collapsed from their own issues (which were numerous, and growing), that doesn't change anything to my argument comparing today's West with peak USSR.
"Metrics like these are meaningless when the working class' living condition keeps deteriorating."
1) what is working class? 2) what proof do you have that its "living condition keeps deteriorating"? By all metrics - including disposable income after housing etc - its living conditions keep improving.
And problems like housing are caused by parts of the "current system" that are the most non capitalist - zoning and other local regulation, in particular, the result of the 70ies revolution towards safetyism and more direct democracy. When Moseses and Leavitts made all the decisions with their concentrated government OR commercial power, housing was plentiful. When FDA was approve-by-default medicine was cheap (although obviously that is not the only factor). Etc.
The things on the list either just have nothing to do with living conditions or welfare state, or if they do to an extent have little to do with the "current system"
EDIt: or just plain wrong; https://taxfoundation.org/data/all/federal/top-1-percent-tax...
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"in reality welfare state with its massive redistribution and limits on concentration of power that won"
The welfare state increased 3x since post war time so that one is plain wrong. It was not clear if the 2nd part was "its" or separate . What is the metric for concentration of /power/? Rather than wealth. If anything the recent developments are the result of more direct democracy. Candidates like trump would have never been allowed by concentrated media and party machines mid century