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The Material Basis of Meritocracy

anon_fibw said in #4621 2d ago: received

New article attempts to explain a world becoming more individual, less eusocial, more elitist, more meritocratic, and more extreme.

https://archive.ph/WExz9

Overall I found this interesting, if discombobulated. It starts abruptly, ties in a range of disparate literature references, and ends abruptly.

The core argument is solid. I will summarize it here:

- The 20th Century was defined by Fordism: industrialized nations were able to make a large portion of their population productive by having them man the levers in factories and other, similar forms of 100-iq-friendly, standardized, process-optimized mass employment. This led to mass (sub-)urbanization and a sort of High Modern quasi-utopia in First World countries with ballooning native populations, reasonable prosperity, and low inequality.

- The underlying conditions for this are gone. Technology got too good.

- The 21st Century is therefore defined by asymmetric leverage via technology. The article covers Tyler Cowen's take (where the Internet accelerates what shipping started, global winner-take-all competition), Zero to One, and a few other classics. The article strangely fails to mention AI, but clearly that's adding fuel to the fire.

So far, this is all familiar background. The thrust of the article is this:

- The winning nations will lean into this Power Law future. They will renounce Fordism entirely. They will focus on unfair advantage, not raw population numbers; cultivating and retaining excellence, not any broad-based utilitarian concern. The birthrate itself may follow a power law, as top performers follow Elon's example and have dozens of children.

The article rejects both escapist fantasy (seasteading, Dubai, etc) and return fantasy (20th century productive mass employment). One is useless, the other unrealistic. Instead it points to a new kind of elite-driven technoaccelerationist nation state.

I offer three reactions:

1. If this future is correct, then legitimacy and consent of the governed will be the major challenge. A world where the top 10% are doing all the productive work and also having most of the kids is, by default, alienating and dystopic to the average Joe. Elections will become destructive unless we find powerful new organizational and cultural inventions that give regular people spiritually satisfying, prosocial roles.

2. San Francisco is, once again, the prototype lab for the future. It's a very small city with power-law everything. Increasingly tiny groups of people sitting on ever longer levers. Unfortunately, the example offers no relief. If this city is the coalmine canary demonstrating how the rest of the West's political economy will soon function, God help us.

3. The question posed by both (1) and (2) is this: how can wealth trickle down to the right people, and not to the wrong ones? Assume a world with fast growth driven by an ever-smaller fraction of the population, creating a huge surplus. If this surplus flows to elderly incumbents and dysfunctional, antisocial populations, then you find yourself in hell. If the surplus flows to artists, coffeeshops, other unprofitable small businesses with positive externalities, education and massive public works programs, you could imagine a better outcome.

referenced by: >>4625

New article attempts received

anon_tajo said in #4622 2d ago: received

The article seems to ignore the fact that the greatest economic and industrial success of the last fifty years is China, which simply applied the "Fordism model" for the first time and harder than ever before.

referenced by: >>4623

The article seems to received

anon_fibw said in #4623 1d ago: received

>>4622

True, but it's not clear whether this will continue to work. China achieved fast catch-up growth and now have a huge population earning $2k to $20k per year, operating the world's largest industrial base.

Can they approach US levels of per-capita income? What happens to the bottom half of the Chinese workforce as manufacturing and other industry continues to get even more automated? The problem of the Power Law is coming for them, too.

That said, China is well-positioned to win the future predicted by the article. They have super low birth rates, so will need to accommodate a shrinking workforce anyway. They are an unfree country with rigid information and speech control, so they have power to frame the domestic narrative. They are nominally Communist, which may serve them well if the economic reality of the future demands large-scale redistribution. And they are a country run by technocrats, with far more engineers and STEM graduates in government than the West, where our state leadership is dominated by elderly lawyers.

referenced by: >>4630

True, but it's not c received

db said in #4625 1d ago: received

>>4621
> If the surplus flows to artists, coffeeshops, other unprofitable small businesses with positive externalities, education and massive public works programs, you could imagine a better outcome.

Seems to me you're describing a small rich elite who sustain a patronage system? Let's call it cyber feudalism. I guess Dune was half right.

referenced by: >>4637

Seems to me you're d received

anon_tajo said in #4630 22h ago: received

>>4623
The point is that the dynamic described in the article is presented as some kind of objective future due to objective trends in economics and society, when in reality it's just describing what a society is like when it ships off all its industry to China such that China can subsidize it with industrial manufacturing. There is nobody for China to ship all its industry to however.

The point is that th received

anon_fibw said in #4637 6h ago: received

>>4625

The key element of feudalism is political decentralization. There is no large-scale monopoly on violence, just a lot of local lords each ruling over and protecting a patch of territory.

That's not coming back. It's more like: Western nations are entering a period of experimentation. The old basic neolib consensus that thrived under Fordism is falling apart. The nations that adapt best to the power-law future will win--where an ever-smaller group of people produce ever-increasing economic value.

This looks nothing like feudalism. It requires the power of a confident, sufficiently centralized state

The key element of f received

anon_fibw said in #4642 22m ago: received

Wat do? I don't think anyone has a good answer for this.

The socialist answer is retarded, rooted (as socialism always in) in resentment and destructive impulse. Blaming problems on "the billionaires" is quixotic: we will likely see the first trillionaire in the next few years. Technological leverage and returns to scale continue to increase. Rand has proven prescient with her prediction that socialist countries will evaporate away their most load-bearing citizens. This is happening quite clearly in places like France. Hating the rich is a loser's game.

It's clear that the winning solution will involve a synthesis that respects and supports the hyperproductive minority, while demanding certain things of them. Study China.

China's answer is interesting. Their demand is loyalty to country and obedience to the CCP. Chinese technologists are given ceremonial roles, public recognition, and official support. The party, in turn, accepts responsibility for the advancement of the Chinese people as a whole. The problem with the China answer, of course, is that it is totalitarian and brittle. It is the product of a collectivist mindset alien to the West. But clearly, they've had an excellent three decades, and their well defined business-elite social contract offers lessons for us to learn.

Europe's answer is to stick their heads in the sand. There is no acceleration, la la la. A longhouse Regulatory Superpower. Technocapital Nein Danke, they are sticking with Fordism, sclerotic companies founded in 1952. And once that fails, what's left? A vacation destination and retirement home. The Carnival Cruise continent.

The lack of an answer is most clearly seen in America. America is the world's capitalist Thunderdome. It's where people with agency and ambition go to try things. Therefore, America is where the Power Law hits hardest, and where the question of social contract with the winners is most urgent.

But we have no coherent plan. So what do we see? A growing net-tax-recipient client class which is utterly ungrateful, hates the people who fund their lives, and wants national Mamdanification to punish them for it. A fragmented elite that is not consistently loyal to anything and which does not feel ownership over society (the way the previous WASP elite did, or the way China's elite does today), nor the attendant responsibility, nor much kinship with the common citizen.

TLDR; accelerating technocapital is a test of every country's political system. Answers so far are lacking. We are not yet on track to pass the test.

Wat do? I don't thin received

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