Coronavirus and the Two Americas

“Coronavirus has exposed the fault line between those who are subsidized by government and those who pay for government. The people who live off the government, either directly or indirectly, have relatively comfortable lives โ€“ all financed by the people who deal with much greater levels of hardship and uncertainty.” ~ Dan Mitchell

Earlier this month, Neil Ferguson was awarded membership in the Bureaucrat Hall of Fame after he and his mistress were caught violating lockdown rules that Ferguson โ€“ in his role as a supposed public health expert โ€“ demanded for the entire United Kingdom.

This was a stunning display of hypocrisy, perhaps even to the extent that Joe Biden or Elizabeth Warren might be shocked.

But I want to focus on a different point, which is the degree to which the coronavirus has exposed the fault line between those who are subsidized by government and those who pay for government.

In her Wall Street Journal column, Peggy Noonan opines about how the โ€œprotectedโ€ donโ€™t have to worry about the consequences of economic shutdowns.

There is a class divide between those who are hard-line on lockdowns and those who are pushing back. We see the professionals on one sideโ€”those James Burnham called the managerial elite, and Michael Lind, in โ€œThe New Class War,โ€ calls โ€œthe overclassโ€โ€”and regular people on the other. The overclass are highly educated and exert outsize influence as managers and leaders of important institutionsโ€”hospitals, companies, statehouses. โ€ฆSince the pandemic began, the overclass has been in chargeโ€”scientists, doctors, political figures, consultantsโ€”calling the shots for the average people. But personally they have less skin in the game. The National Institutes of Health scientist wonโ€™t lose his livelihood over whatโ€™s happened. Neither will the midday anchor. Iโ€™ve called this divide the protected versus the unprotected. โ€ฆHereโ€™s a generalization based on a lifetime of experience and observation. The working-class people who are pushing back have had harder lives than those now determining their fate. They havenโ€™t had familial or economic ease. No one sent them to Yale. โ€ฆthey look at these scientists and reporters making their warnings about how tough itโ€™s going to be if we lift shutdowns and they donโ€™t think, โ€œOh what informed, caring observers.โ€ They think, โ€œYou have no idea what tough is. You donโ€™t know what painful is.โ€

Fareed Zakariaโ€™s column for the Washington Post acknowledges that it is a problem when a bunch of cossetted elites make policy for everyone else.

โ€ฆthere is a broader distrust that we need to understand. โ€ฆSocial power exists in three realms โ€” government, the economy, and the culture. โ€ฆIn all three, leaders tend to be urban, college-educated professionals, often with a postgraduate degree. That makes them quite distinct from much of the rest of the country. โ€ฆAnd yet, the top echelons everywhere are filled with this โ€œcredentialed overclass.โ€ โ€ฆmany non-college-educated peopleโ€ฆsee the overclass as enacting policies that are presented as good for the whole country but really mostly benefit people from the ruling classโ€ฆ Letโ€™s look at the covid-19 crisis through this prism. Imagine you are an American who works with his hands โ€” a truck driver, a construction worker, an oil rig mechanic โ€” and you have just lost your jobโ€ฆ You turn on the television and hear medical experts, academics, technocrats and journalists explain that we must keep the economy closed โ€” in other words, keep you unemployed โ€” because public health is important. All these people making the case have jobs, have maintained their standards of livingโ€ฆ The covid-19 divide is a class divide.

Writing for USA Today, Professor Glenn Reynolds observes that the self-anointed experts are not the ones paying the price for coronavirus policies.

โ€ฆitโ€™s hard not to notice a class divide here. As with so many of Americaโ€™s conflicts, the divide is between the people in the political/managerial class on the one hand and the people in the working class on the other. And as usual, the smugness and authoritarianism are pretty much all on one side. โ€ฆin Los Angeles โ€” where less than half the county is working now โ€” radio journalist Steve Gregory asked the L.A. County Board of Supervisors whether any of them were willing to take voluntary pay cuts during this crisis. He was told by the chair that his question was โ€œirresponsible,โ€ which is to say embarrassing and inconvenient. (By contrast, New Zealandโ€™s senior officials, including the prime minister, are taking a 20% pay cut.) โ€ฆThere really are two Americas here: Those still getting a paycheck from government, corporations or universities, and those who are unemployed, or seeing their small businesses suffer due to shutdowns. โ€ฆThen there are the hypocritical gestures, like Chicago Mayor Lori Lightfootโ€™s illicit haircutโ€ฆ People donโ€™t appreciate being lectured and condescended to and bossed around. They especially donโ€™t appreciate being urged to sacrifice by people who make no sacrifices themselves.

Iโ€™m tempted to focus on Glennโ€™s point about how American politicians should follow the lead of New Zealand lawmakers and accept a pay cut as a gesture of solidarity.

Heck, all levels of bureaucracy should take a haircut. Bureaucrats already have a significant advantage in compensation compared to the private sector, and that gap surely will grow now that so many businesses have been shuttered and so many workers have been forced into unemployment.

But I want to focus on a different point, which is the inherent unfairness of the elite having consequence-free power and authority over ordinary people.

In part, itโ€™s the point that Thomas Sowell makes in the accompanying quote.

But it goes beyond that. The problem with the โ€œoverclassโ€ or โ€œprotected classโ€ is that they also donโ€™t pay any price when theyโ€™re totally right, somewhat right, or only partly right.

In other words, the people who live off the government, either directly or indirectly, have relatively comfortable lives โ€“ all financed by the people who deal with much greater levels of hardship and uncertainty.

At the risk of understatement, thatโ€™s not right.

P.S. This gap is exacerbated when government officials display thuggery rather than empathy.

This article first appeared in International Liberty



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