When they go to the supermarket, they buy food with money from the government. When they go to the pharmacy, they get free medication from the government. The web of clinics, supermarkets and pharmacies are not part of the working class, they are subsidized by government money and prosper by feeding off that government class.
The seven members of the classic welfare family, Grandma, Ma and her five kids, are the axis around which thousands of government professionals revolve. Their dysfunctional state keeps an entire state of government employees, employed. And it is in the interest of those government employees to seek out and create such dysfunctional families by championing social policies that break up families and keep them down, under the pretense of helping them because those families are the cash cows of the government class.
Communism, at least conceptually, argued for shifting power from those who perform intellectual labor to those who perform manual labor. Modern liberalism exists only to shift wealth from workers to non-workers, taking from the working class on behalf of the non-working class and pocketing the money for the employees of the government class.
In a hybrid economy, the differences between the government class and the working class aren’t always as obvious. There are any number of businesses, large and small, that are members of the government class, and derive the bulk of their income from the government.
The fundamental difference between the government class business and the working class business is that the government class business is an instrument of government policy. While its owner may derive value from it, the government class business only exists because it fulfills an objective of government policy. And that makes the government class business indistinguishable from the policy it represents.
As the government class expands, the number of individuals and businesses in the government class grows because joining the government class, whether as a welfare recipient, government employee or crony capitalist company is a better strategy than staying in the working class. Planned economies are easier to profit from in the short term, whether it’s by getting free stuff, early retirement or contracts on generous terms, because their centralization makes them predictable and influence-able. The only problem is that they have no future.
American society has been reshaped to seek short cuts, whether it’s through lottery tickets, credit cards or corporate mergers, at the expense of long-term profits through hard work. Corporations don’t look past the next quarter and many people don’t look past the next interest payment. And joining the government class is the ultimate shortcut. It wrecks families, trashes the economy and robs the country of its future, while providing limited short-term benefits to members of the government class.
Cities and towns are going bankrupt because government class unions asked for and got financially unsustainable benefit packages. Those small implosions are a metaphor for the tremendous harm that the government class is inflicting on the working class, and also, in the long term, on itself. In the long run, parasitism is not sustainable. In the short term, there’s a great party. In the long term, the parasite dies.
The major development of the last decade has been the government’s class disinterest in the economic sustainability of its demands. Call it the Californization of America under a government class that is both determined and doomed.
Obama has emerged as the champion of the government class, his complete disregard for the fiscal consequences of his actions, allows him to act as the champion of a predatory government class that lies and bludgeons its way through all obstacles like a horde of Black Friday shoppers, grabbing everything in sight, without caring about what will happen tomorrow.
Some might call this a cunning strategy, but it’s not as if the government class has anywhere to advance to. Pulling the same trick in 1932 might have led to government control of industry and agriculture, but in 2012, this is a country that lives off service industries, not manufacturing. Going Full Communist is not an option, because there is hardly any manufacturing sector left and national agriculture is already so government controlled that there might as well be actual Commissars in charge of it.