In 1913, turnover reached an unbelievable 370 percent, and Ford hired more than 50,000 people to maintain an average labor force of about 13,600. When profits swelled, he paid well for labor, creating an uproar when he doubled the basic wage to $5.00 a day, which triggered a virtual stampede of job seekers. Paying higher wages for labor was not altruistic in Ford’s eyes. Moreover, it wasn’t simply that Ford was trying to pay his workers “enough to buy back the product,” although he did preach a high-wage doctrine after the stock market crash in 1929. Rather, paying relatively high wages was, for Ford, a matter of smart business. He regarded well-paid skilled workers as important as high-grade material. By paying workers well, he effectively lowered his costs because higher wages reduced turnover and the need for constant training of new hires. (At the time, the newspapers saw Ford’s wage increase as an extraordinary gesture of goodwill.)
Mark Spitznagel, The Dao of Capital: Austrian Investing in a Distorted World, 2013.
January 1, 2015
QotD: Henry Ford and the doubled wages – the real story
December 31, 2014
QotD: Dr. Johnson on the future
At another level, futurology implies that we are unhappy in the present. Perhaps this is because the constant, enervating downpour of gadgets and the devices of the marketeers tell us that something better lies just around the next corner and, in our weakness, we believe. Or perhaps it was ever thus. In 1752, Dr Johnson mused that our obsession with the future may be an inevitable adjunct of the human mind. Like our attachment to the past, it is an expression of our inborn inability to live in – and be grateful for – the present.
“It seems,” he wrote, “to be the fate of man to seek all his consolations in futurity. The time present is seldom able to fill desire or imagination with immediate enjoyment, and we are forced to supply its deficiencies by recollection or anticipation.”
Bryan Appleyard, “Why futurologists are always wrong – and why we should be sceptical of techno-utopians: From predicting AI within 20 years to mass-starvation in the 1970s, those who foretell the future often come close to doomsday preachers”, New Statesman, 2014-04-10.
December 30, 2014
QotD: Satire’s influence in the real world
[Satire] can’t [make a difference in the world]. Not a real difference. It can destroy, but it cannot produce. That’s the problem. You can destroy someone — it’s possible to that, if you’re very good. People have been politically destroyed by humor. But the problem is, you cannot create with it. It’s totally static in that way. It’s an act of demolition. Some things are just stronger than a laugh.
Fran Lebowitz, quoted by Lauren Ingeno in “Fran Lebowitz: I Am Not a Hostess. I Am a Prosecutor”, George Washington Today, 2014-04-20.
December 29, 2014
QotD: Austria-Hungary and the national minorities
How these challenges were met varied between the two Imperial halves. The Hungarians dealt with the nationalities problem mainly by behaving as if it didn’t exist. The kingdom’s electoral franchise extended to only 6 per cent of the population because it was pegged to a property qualification that favoured the Magyars, who made up the bulk of the wealthier strata of the population. The result was that Magyar deputies, though they represented only 48.1 per cent of the population, controlled over 90 per cent of the parliamentary seats. The 3 million Romanians of Transylvania, the largest of the kingdom’s national minorities, comprised 15.4 per cent of the population, but held only five of the Hungarian parliament’s 400-odd seats. From the late 1870s, moreover, the Hungarian government pursued a campaign of aggressive ‘Magyarization’. Education laws imposed the use of the Magyar language on all state and faith schools, even those catering to children of kindergarten age. Teachers were required to be fluent in Magyar and could be dismissed if they were found to be ‘hostile to the [Hungarian] state’. This degradation of language rights was underwritten by harsh measures against ethnic minority activists. Serbs from the Vojvodina in the south of the kingdom, Slovaks from the northern counties and Romanians from the Grand Duchy of Transylvania did occasionally collaborate in pursuit of minority objectives, but with little effect, since they could muster only a small number of mandates.
In Cisleithania [the German Austrian half of the empire], by contrast, successive administrations tampered endlessly with the system in order to accommodate minority demands. Franchise reforms in 1882 and 1907 (when virtually universal male suffrage was introduced) went some way towards levelling the political playing field. But these democratizing measures merely heightened the potential for national conflict, especially over the sensitive question of language use in public institutions such as schools, courts and administrative bodies.
Christopher Clark, The Sleepwalkers: How Europe Went To War In 1914, 2012.
December 28, 2014
QotD: The art of politics
The art of politics, under democracy, is simply the art of ringing it. Two branches reveal themselves. There is the art of the demagogue, and there is the art of what may be called, by a shot-gun marriage of Latin and Greek, the demaslave. They are complementary, and both of them are degrading to their practitioners. The demagogue is one who preaches doctrines he knows to be untrue to men he knows to be idiots. The demaslave is one who listens to what these idiots have to say and then pretends that he believes it himself. Every man who seeks elective office under democracy has to be either the one thing or the other, and most men have to be both. The whole process is one of false pretences and ignoble concealments.
H.L. Mencken, Notes on Democracy, 1926.
December 27, 2014
QotD: Political morality
There is in him, in his professional aspect, no shadow of principle or honour. It is moral by his code to get into office by false pretences, as the late Dr. [Woodrow] Wilson did in 1916. It is moral to change convictions overnight, as multitudes of American politicians did when the Prohibition avalanche came down upon them. Anything is moral that furthers the main concern of his soul, which is to keep a place at the public trough. That place is one of public honour, and public honour is the thing that caresses him and makes him happy. It is also one of power, and power is the commodity that he has for sale. I speak here, of course, of the democratic politician in his role of statesman – that is, in his best and noblest aspect.
H.L. Mencken, Notes on Democracy, 1926.
December 26, 2014
QotD: Realism versus cynicism
I don’t think I have a negative assessment of human beings. I think I have a realistic assessment of human beings. I think people like to think that people are better than they are. It is true that I don’t live in a cloud of hope, which I have a certain contempt for. If people really thought about it, which they don’t, I think that they would agree with me.
Fran Lebowitz, quoted by Lauren Ingeno in “Fran Lebowitz: I Am Not a Hostess. I Am a Prosecutor”, George Washington Today, 2014-04-20.
December 25, 2014
QotD: Reactionary views on American Progressives
In America, progressivism focuses on pointing out how terrible American culture is and how much other people’s cultures are better than ours. If we celebrate Columbus Day, we have to spend the whole time hearing about what a jerk Columbus was (disclaimer: to be fair, Columbus was a huge jerk). If we celebrate Washington’s birthday, we have to spend the whole time hearing about how awful it was that Washington owned slaves. Goodness help us if someone tries to celebrate Christmas – there are now areas where if a city puts up Christmas decorations, it has to give equal space to atheist groups to put up displays about how Christmas is stupid and people who celebrate it suck. That’s … probably not the way to maximize cultural unity, exactly?
We are a culture engaged in the continuing project of subverting itself. Our heroes have been toppled, our rituals mocked, and one gains status by figuring out new and better ways to show how the things that should unite us are actually stupid and oppressive. Even the conservatives who wear American flag lapel pins and stuff spend most of their time talking about how they hate America today and the American government and everything else associated with America except for those stupid flag pins of theirs.
Compare this to olden cultures. If someone in Victorian Britain says “God save the Queen!”, then everyone else repeated “God save the Queen!”, and more important, they mean it. “England expects every man to do their duty” is actually perceived as a compelling reason why one’s duty should be done.
It would seem that the Victorian British are more on the Mormon side and modern Americans more like the Unitarians. And in fact, the Victorians managed to colonize half the planet while America can’t even get the Afghans to stop shooting each other. While one may not agree with Victorian Britain’s aims, one has to wonder what would happen if that kind of will, energy, and unity of purpose were directed towards a worthier goal (I wonder this about the Mormon Church too).
Reactionaries would go further and explore this idea in a depth I don’t have time for, besides to say that they believe many historical cultures were carefully optimized and time-tested for unifying potential, and that they really sunk deep into the bones of the populace until failing to identify with them would have been unthinkable. The three cultures they most often cite as virtuous examples here are Imperial China, medieval Catholicism, and Victorian Britain; although it would be foolish to try to re-establish one of those exactly in a population not thoroughly steeped in them, we could at least try to make our own culture a little more like they were.
Once again, the Reactionary claim is not necessarily that we have to brainwash people or drag the Jews kicking and screaming to Christmas parties. It’s just that maybe we should stop deliberately optimizing society for as little unity and shared culture as humanly possible.
Scott Alexander, “Reactionary Philosophy In An Enormous, Planet-Sized Nutshell”, Slate Star Codex, 2013-03-03.
December 24, 2014
QotD: The Christmas card
Is the Christmas card obsolete? I suppose the answer depends on what function you think the Christmas card is intended to serve, if any at all. Surely it is no longer intended to convey information. Email and social networks do a more efficient job, and including a Christmas newsletter or family photograph (I do both) will earn you only scorn from any self-respecting British snob.
Some believe that the Christmas card list, where we keep track of old favours and slights, is a sort of passive-aggressive vendetta. There is truth in this. Late in 1974, two sociologists, Phillip Kunz and Michael Woolcott, posted more than 500 Christmas cards to people they did not know. Some of them were “high status” cards, using expensive materials and signed “Dr and Mrs Phillip Kunz”. Others were from “Phillip and Joyce Kunz” or used cheaper stationery or both.
The Kunz family received, along with a complaint from the police, some rather touching replies: “Dear Joyce and Phil, Received your Christmas card and was good to hear from you. I will have to do some explaining to you. Your last name did not register at first … Please forgive me for being so stupid for not knowing your last name. We are fine and hope you are well. We miss your father. They were such grand friends.”
But what is most striking is that more than 100 strangers felt obliged to send a signed card in response. That is the power of reciprocity. (Response rates were particularly high if “Dr Kunz” had written on a fancy card to a working-class household. That is the power of status.)
If this is what Christmas cards are all about — mindless reciprocal obligation coupled with some social climbing — then I think we can all agree on two things: we could do without them; and we’ll never be rid of them. Thomas Schelling, a winner of the Nobel Memorial Prize for Economics, once advocated a bankruptcy procedure — wiping clean the list of people to whom we “owe” a Christmas card. If only.
Tim Harford, “The Christmas card network: ‘It is not clear new technologies are expanding our number of genuine friends’”, TimHarford.com, 2014-12-09.
December 23, 2014
QotD: Booze with coffee and cream
Here is a mixed bag of seasonable concoctions. First and foremost and indispensable, Irish Coffee. It’s a bit of a pest to make, but never was such labour more richly rewarded. To make each drink, stir thoroughly in a large pre-heated wineglass 1 teaspoon of sugar or a bit more, about a quarter of a pint of your best and freshest black coffee, and 1-2 oz Irish whiskey — no other sort will do. When the mixture is completely still, pour onto its surface over the back of a spoon about 2 oz chilled double cream. The cream must float on the other stuff, not mingle with it. If this goes wrong, take Michael Jackson’s excellent advice: “Don’t serve the drink to your guests knock it back quickly yourself, and try again.”
Other drinks have sprung up in imitation with the same coffee and cream content but with other spirits as a basis, like Benedictine, which gives Monks’ Coffee, and Drambuie, which gives Prince Charles’s Coffee — yes, that’s what the UK Bartenders Guild call it. Of those I’ve tried, none compares with the original.
Except for being warm, the next drink could hardly be more different. This is the Raging Bull, an Amis original, though no great powers of invention were called for. Make Bovril in a mug in the ordinary way and stir in a shot of vodka, a couple of shakes of Worcester sauce and a squeeze of lemon juice (optional). Thats it. Very heartening in cold and/or hung-over conditions.
Now an unusual evening warmer, the Broken Leg. Having had a real broken leg myself earlier this year I puzzle of the significance of the name but the drink’s straightforward enough. Slowly heat about a quarter of a pint of apple juice in a saucepan with a few raisins, a cinnamon stick and a lemon slice. When it starts to bubble, strain into a pre-heated glass or mug. Pour a couple of ounces of bourbon whiskey into the pan, warm for a few seconds and pour into the remainder. Formula from John Doxat.
Lastly. American Milk Punch. You drink this cold, but it’ll soon light a fire in you. The previous evening — this is the hard part — put milk instead of water into your refrigerator ice trays. On the day, mix thoroughly in a jug one part bourbon whiskey, one part French cooking brandy and four parts fresh milk. Pour into biggish glasses, drop in milk cubes, stir gently, dust with grated nutmeg and serve. This punch is the very thing for halfway through the morning of Boxing Day, when you may be feeling a little jaded and need a spot of encouragement before some marvellous treat like the in-laws coming over for lunch. In fact, it can be treated as a Snowy Mary, sustaining and uplifting, and much kinder to the digestion than the old Bloody Mary, a delicious drink, I agree, but full of acid fruit juices.
Remember the Milk Punch for the New Year as a heartener before air trips, interviews, etc.
Kingsley Amis, Everyday Drinking: The Distilled Kingsley Amis, 2008.
December 22, 2014
QotD: Celebrity gossip as a common good
Celebrity gossip is psychologically healthy.
It provides an outlet, a useful sublimation, of our self-destructive subconscious compulsion to lean over the back fence and cluck (or tweet) about the godawful things our relatives, friends, and neighbors do.
Celebrities are not our family. Although there are so many celebrities that we are probably related to some. But they’re not the niece looking daggers at us across the Thanksgiving turkey because of what we said to Uncle Bill about her hookup with that McDermott idiot. They’re not the daughter locked in her bedroom running up our Visa card bill with online shopping for new makeup, clothes, and other mall finds.
Celebrities are not our friends. They don’t borrow our money or power tools. They don’t forget it’s their turn to carpool the kids to junior high. They don’t come over when we’re busy watching The View and litter the kitchen table with used Kleenex, pouring their hearts out about their (remarkably frequent) divorces. They don’t get caught — unless Dean McDermott is late to the set for his televised therapy session on True Tori — necking with our spouses in the coat closet at our cocktail parties.
P.J. O’Rourke, “Welcome to Showbiz Sharia Law: No talent? Kind of dim-witted? No shame? Perfect. The celebrity industry needs you — just don’t ever veil your face”, The Daily Beast, 2014-05-04
December 21, 2014
QotD: The family as something to escape from
What many movement conservatives can’t or won’t understand is that for some of us, the “family” should not be the base unit of society, because it can just as easily be a locus of evil as for good.
To many people, the “world” is a haven from a heartless family.
I am forever bowled over by my Jewish friends’ affection (or at least, infinite tolerance) for their families. When one of them suggested that I set up some kind of enterprise with “a trusted family member,” I reminded him that, being a gentile, I have no trusted family members.
The idea of wanted to increase one’s ties to one’s relatives rather than snip them as quickly and permanently as possible is utterly foreign to me.
Radical leftists are half-right in wanting to reduce each individual’s forced reliance upon their families for lifelong security and prosperity. They went wrong when they held up the State as a replacement. You can always, if you absolutely have to, kill your family. But the State is, at the end of the day, immortal and a million times more powerful.
Kathy Shaidle, “Christopher Lasch was one of those pseudo-conservative writers, like Chesterton, Buckley and Burke, who left me cold”, Five Feet of Fury, 2014-05-13
December 20, 2014
QotD: When it’s steam engine time
Ridcully poked at his pipe with a pipe cleaner and said, “Ye-es, that is a conundrum. Surely the steam engine cannot happen before it’s steam-engine time? If you saw a pig, you would, I think, say to yourself, well, here’s a pig, so it must be time for pigs. You wouldn’t question its right to be there would you?”
“Certainly not,” said Lu-Tze. “In any case, pork gives me the wind something dreadful. What we know is that the universe is never-ending story that, happily, writes itself continuously. The trouble with my brethren in Oi Dong is that they are fixated on the belief that the universe can be totally understood, in every particular jot and tittle.”
Ridcully burst out laughing. “Oh, my word! You know, my wonderful associate Mister Ponder Stibbins appears to have fallen into the same misapprehension. It seems that even the very wise have neglected to take notice of one rather important goddess … Pippina, the lady with the Apple of Discord. She knows that the universe, while it requires rules and stability, also needs just a tincture of chaos, the unexpected, the surprising. Otherwise it would be a mechanism — a wonderful mechanism, ticking away the centuries, but with nothing different happening. And so we may assume that the loss of balance will be allowed this time and the beneficent lady will decree that this mechanism might yield wonderful things, given a chance.”
“For my part, I would like to give it a chance,” said Lu-Tze. “Serendipity is no stranger to me. I know the monks have been carefully shepherding the world, but I rather think they don’t realize that the sheep sometimes have better ideas. Uncertainty is always uncertain, but the difficulty with people who rely on systems is that they begin to believe that nearly everything is in some way a system and therefore, sooner or later, they become bureaucrats.”
Terry Pratchett, Raising Steam, 2013.
December 19, 2014
QotD: The twin rise and fall of unions and manufacturing
Unions only help if the underlying economic situation is that the employer is able to charge a great deal more for the amount of product generated per worker-hour than the worker is getting — there is headroom for the worker’s wage to expand into while the manufacturer still makes a net profit. (If the manufacturer doesn’t make a net profit the business collapses and nobody gets paid.)
During the age that manufacturing nostalgisists remember nostalgically, this was true. For most of that period (roughly 1870-1970), the capital goods required to manufacture in a way price-competitive with the U.S. were so expensive that almost nobody outside the U.S. could afford them, and in the few places that could they were mainly preoccupied with supplying their domestic markets rather than the U.S. World War II prolonged this period by hammering those “few places” rather badly.
In that environment, U.S. firms could profit-take hugely, benefited by being scarce suppliers not just to the U.S. but (later on) to the whole world. And unions could pry loose enough of that margin to make manufacturing jobs comfortably middle-class.
All that ended in the early 1970s. A good marker for the change is the ability of the Japanese to make cheap cars for export and sell them for the U.S.
In the new world, the profit margins on manufactured goods narrowed dramatically. The manufacturing firms could no longer effectively ignore overseas competition in the U.S. domestic market. U.S. consumers no longer had to to pay the large price premiums required to sustain domestic manufacturing wages at pre-1970 levels, and they jumped right on that option.
In this environment, unions don’t help because they have almost no negotiating room. If they bid up workers’ wages, the jobs will evaporate or move overseas – not because corporations are being “greedy” but because they can no longer charge the prices that would allow such high wages to be sustained. Too much foreign labor and capital is ready to pounce on the first hint of price-taking.
Eric S. Raymond, “Why labor unions have lost their moxie”, Armed and Dangerous, 2014-11-29.
December 18, 2014
QotD: Fear and fairy tales
The timidity of the child or the savage is entirely reasonable; they are alarmed at this world, because this world is a very alarming place. They dislike being alone because it is verily and indeed an awful idea to be alone. Barbarians fear the unknown for the same reason that Agnostics worship it – because it is a fact. Fairy tales, then, are not responsible for producing in children fear, or any of the shapes of fear; fairy tales do not give the child the idea of the evil or the ugly; that is in the child already, because it is in the world already. Fairy tales do not give the child his first idea of bogey. What fairy tales give the child is his first clear idea of the possible defeat of bogey. The baby has known the dragon intimately ever since he had an imagination. What the fairy tale provides for him is a St. George to kill the dragon.
Exactly what the fairy tale does is this: it accustoms him for a series of clear pictures to the idea that these limitless terrors had a limit, that these shapeless enemies have enemies in the knights of God, that there is something in the universe more mystical than darkness, and stronger than strong fear.
G.K. Chesterton, “The Red Angel”, Tremendous Trifles, 1909.



