Community | February 06, 2010 | 40 comments

Economist: 1 in 4 Americans is employed to guard the wealth of the rich

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SleepDirt
Here's a fascinating profile on radical Santa Fe Institute economist Samuel Bowles, an empiricist who says his research doesn't support the Chicago School efficient marketplace hypothesis. Instead, Bowles argues that the wealth inequality created by strict market economics creates inefficiencies because society has to devote so much effort to stopping the poor from expropriating the rich. He calls this "guard labor" and says that one in four Americans is employed to in the sector -- labor that could otherwise be used to increase the nation's wealth and progress.

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http://www.boingboing.net/2010/02/05/santa-fe-institute-e.html
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40 comments // Economist: 1 in 4 Americans is employed to guard the wealth of the rich

  • COPE2
  • RaceBannon
  • JonRaymond
  • outtheinside
    • 0
      outtheinside  
    • our market isn't pure so to take an example from our labor market and use it against a pure market ideology just doesn't make sense. this guy is known as a radical for a reason.

      now, if he were to just leave the argument at "higher inequality creates higher potential productivity losses to the economy," then i could go with it, but then again, he would have to bring in lobbyists and spending by big corporations acting in rent-seeking to get an accurate picture of potential productivity losses.

    • 2 years ago
  • existentialist
    • +2
      existentialist  
    • I hope the author is not getting his data from that chart pictured. If that is the case then not only is his grammar incorrect, but also his chart reading skills. The chart pictured puts the actual number of Americans in the guard business around 2.5% rather than 25%. The figure of 2.5% does sound a lot more accurate.

    • 2 years ago
  • SleepDirt
    • -1
      SleepDirt  
    • existentialist:

      "The figure of 2.5% does sound a lot more accurate."
      No, it does not sound more accurate. First, you are totally misreading the chart.

      Note the horizontal row of teeny weeny numbers and consider again how that reads.
      Looks like it's your chart-reading skills that are in question.

      Also, if you read the article and links you might understand the hypothesis.

      **The job descriptions of guard labor range from “imposing work discipline" —think of the corporate IT spies who keep desk jockeys from slacking off online—to enforcing laws, like the officers in the Santa Fe Police Department paddy wagon parked outside of Walmart.

      The greater the inequalities in a society, the more guard labor it requires, Bowles finds. This holds true among US states, with relatively unequal states like New Mexico employing a greater share of guard labor than relatively egalitarian states like Wisconsin.**

      And finally, I see no obvious grammatical errors by the author, but if you say so it must be true.

    • 2 years ago
  • outtheinside
    • 0
      outtheinside  
    • SleepDirt:

      i'm with existentialist.

      the journalist got the numbers wrong. the graph clearly reads 2.5%

      and that "horizontal row of teeny weeny numbers" is the genie coefficient which is a measure of inequality. it is not the count of "guard laborers".

      SleepDirt, i would change the title of this for a few reasons: (i) the number is wrong, (ii) using "Economist:" to start makes it appear that you're quoting the global magazine "The Economist", (iii) it makes an otherwise valid social commentary (as his hypothesis does make sense) much less legitimate by using a misleading title.

      **edit: (after reading the original paper) guard labor isn't even defined in the paper as jobs that protect the wealthy. the title is 100% misleading.

    • 2 years ago
  • existentialist
  • outtheinside
    • 0
      outtheinside  
    • existentialist:

      page 5 of that paper is the most important. none of the links can be claimed as causal and inequality does not explain the long-term growth in guard labor. there is even an explanation for why guard labor could be considered natural in the u.s. as a social norm. basically, this paper is much ado about nothing. they don't quantify the benefits of the guard labor even after admitting that there are obvious benefits to police and supervisory roles. measuring pure growth in the labor of these jobs tells us nothing. again, i'd knock down lobbyists as their unproductive capital flows are more of a hindrance in their effects on the government versus productive opportunities.

    • 2 years ago
  • neocongo
    • 0
      neocongo  
    • existentialist:

      I can't make out the label of the "X" axis though I did some looking. I think it might have an effect on the 2.5% figure of the "Y" axis creating the 25% figure stated in the article. Not sure.

    • 2 years ago
  • mojojuju
  • hunzedog
  • JonRaymond
  • hunzedog
  • frizzlecat
  • obamaisajoke
  • neocongo
  • outtheinside
    • 0
      outtheinside  
    • this is only one half of the story. compare those hypothetical inefficiencies to those caused by lobbyists and rich corporations rent-seeking in the government. i'm sure the dollar amount, and hence the forgone productive additions to the economy, are much more in big business and lobbyists than what he considers "guard laborers".

    • 2 years ago
  • s_peak
  • sk8bs55
  • frizzlecat
  • Confucius
  • Varex_Sythe
  • frizzlecat
  • Tyler_Roberts
  • existentialist
    • 0
      existentialist  
    • Image
    • frizzlecat:

      You could ask the editor at merriam-webster.com. I believe that "1 in 4" in the sense used is plural, because it suggests that you are speaking about a large number of people. "One in four Americans" is the equivalent of 77,158,000 people. If you were talking about a group of only four people you would say something like one of those four people is retarded. That is how I look at it anyway.

    • 2 years ago
  • iammyfathersson
  • s_peak
  • escarondito
  • existentialist
  • SleepDirt
  • Varex_Sythe
    • +1
      Varex_Sythe  
    • frizzlecat:

      Because it is not the one American, it is one out of four Americans. If you said one out of every four Americans is retarded, then it would fit because you are separating the one from the other four and are speaking specifically about that one. However, you said one in four Americans, by saying in, you are making that one inclusive with the other three, to make a total of four, so the subject is not a singular American but multiple Americans.

    • 2 years ago
  • frizzlecat
  • frizzlecat
    • 0
      frizzlecat  
    • existentialist:

      to existentialist, I was seeing it as literally 1 in 4 people, not a quarter of the whole population of america, which of course would be a group, not a singular person in a small group. But I really don't know. I tried asking Lord Google, but he didn't care to answer me.

    • 2 years ago
  • frizzlecat
  • frizzlecat
    • 0
      frizzlecat  
    • frizzlecat:

      I'm gonna stick with "1 in 4 is", not "1 in 4 are". I don't think it requires the long, complex thinking others are putting in to it. It's pretty face value: I'm talking about a single person in a group of four i.e. 1 in 4. They are retarded, therefor 1 in 4 people in that group is retarded. 1 in 4 is retarded.

    • 2 years ago
  • Varex_Sythe
  • Progresshiv
  • treewolf39
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