Download PDF The Vanishing Middle Class: Prejudice and Power in a Dual Economy (The MIT Press), by Peter Temin
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The Vanishing Middle Class: Prejudice and Power in a Dual Economy (The MIT Press), by Peter Temin
Download PDF The Vanishing Middle Class: Prejudice and Power in a Dual Economy (The MIT Press), by Peter Temin
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Review
There are a great many books to be read on the problem of growing inequality and the attendant social, political and economic issues that both cause it and result from it. If you had to read only one book on the growing crisis, The Vanishing Middle Class is it. Its powerful combination of race and class analysis doesn't hold back any punches in exposing the deliberate and systematic exploitation of the poor and the racialized by a minority of wealthy and mostly white elites in today's America.―PopMatters
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The Vanishing Middle Class is a book for our unsettled times. We are a divided nation economically and politically, brought on by recent changes in the demand for and supply of skill layered on top of a long history of racial politics. Part social commentary, part history, part academic inquiry, Temin's book tells us how the two parts of the modern dual economy can be glued back together.―Claudia Goldin, Henry Lee Professor of Economics, Harvard UniversityArguing that the high-wage sector promotes inequality and deterioration of the middle class through its disproportionate influence on political decision making in various areas such as criminal justice, education, and social welfare policy, The Vanishing Middle Class is a significant addition to the existing literature on inequality.―Gerald Jaynes, Professor, Department of Economics & African American Studies, Yale University
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Product details
Series: The MIT Press
Paperback: 288 pages
Publisher: The MIT Press; Reprint edition (March 9, 2018)
Language: English
ISBN-10: 0262535297
ISBN-13: 978-0262535298
Product Dimensions:
6 x 0.8 x 9 inches
Shipping Weight: 14.1 ounces (View shipping rates and policies)
Average Customer Review:
4.0 out of 5 stars
28 customer reviews
Amazon Best Sellers Rank:
#182,366 in Books (See Top 100 in Books)
This book really hits the nail on the head. The author is "Peter Temin is an economist and economic historian, currently Gray Professor Emeritus of Economics, MIT and former head of the Economics Department."In economics, models are used to help explain an economy. The models are simplified ways of looking at them. Since they are simplified they miss things making them imperfect. That's always the case with economic models. None of them are perfect but some are better than others.The models he uses in this book is from "W. Arthur Lewis, a professor at the University of Manchester in England, (who) proposed a theory of economic development in a paper published in 1954."He also won a Nobel Prize in Economics for his "pioneering research into economic development research with particular consideration of the problems of developing countries""He noted that development did not progress only country by country, but also by parts of countries. Economic progress was not uniform, but spotty. Ports where merchants organized trade in and out of a county might well grow rich before the country as a whole. Parts of a country might grow apart as a result. Lewis wanted to generalize from examples like this to learn how the parts of such an economy related to each other. Lewis assumed that developing countries often have what has come to be called a dual economy. He termed the two sectors, “capitalist†and “subsistence†sectors. The capitalist sector was the home of modern production using both capital and labor. Its development was limited by the amount of capital in the economy.The subsistence sector was composed of poor farmers where the population was so large relative to the amount of land or natural resources that the productivity of the last worker put to work—called the “marginal product†by economists—was close to zero. The addition of another farmer would not add to the total production. The new worker would be like a fifth wheel on your car."Using this model, the "Lewis Model", explains how things like slums can and do form.The model, when created, was for developing countries.The author takes that idea and applies it to the US. The frightening part is it works pretty well to describe what we are seeing.He starts with US history similarity to Howard Zinn's "A People's History of the United States" tying racism to class and yes we have class in the US along with racism. Having a linkage to racism means it also has loads of difficulties in trying to fix things just like bigotry has. The TV show "Dear White People" does a very good job of outlining some of the difficulties and many of them are shared between the two. I also suggest that TV show.Having those two things tied together means that very rich folks can just have one group fight another group while they get away with loads of things.It goes well beyond just that point to many others that using the model and they all fit pretty well to describe what we are seeing in the US.A model for developing countries is fitting the US, a developed country. Think about that for a second or two.It's a good, well-written book. I definitely suggest folks pick it up and read it.
This is a really important, and reasonably thorough book on this topic (it offers a fair number of reasonably good examples and a fair amount of at least basic data relevant to the conversation), that really offers concrete analysis and synthesis into effects that tend to cavitate the economic spectrum, so that there is an increasing difference between "haves" and "have nots" and a depletion of the middle class. It's an important read, and it dovetails well with important other books on major structural changes in the postmodern economy, such as Westlake & Haskell's Capitalism without Capital, in developed countries generally, but also the US specifically. I really encourage thinking about this as a book that analyzes changes that are happening in developed economies for complex reasons, many of which are not overtly political in a partisan sense, but which require societal and political responses, including organized government responses, many of which are increasingly not happening in the US because of partisan bickering. The bottom line is that: the changes being described in this book are real, solid evidence suggests they are sustained and developing their own inertia, the changes have the potential to cause great human harm, and we have opportunities to manage them and lead society to a better place, if we are willing to do so.
This is an important book-but somehow unsatisfactory, as the peculiarities of America's ghastly history of discrimination parade in the foreground-while the problem advertised in the title-that is the shrinkage or "hollowing out" of the middle classes - is a problem also found in a number of other advanced Western countries which don't have America's history of fraught race relations. He hasn't nailed it. More and better analysis is needed.
Brilliant essay - short (166 pages) and highly readable. And it makes an unexpected, innovative use of the Lewis model of a dual economy that is normally used to explain the challenges faced by developing countries - not a developed, advanced country like the United States. But the model's explanatory power works, and it helps to forcefully highlight what is wrong with both American democracy and the American economy. Professor Temin's book takes Thomas Piketty's famous disquisition on wealth and income inequality in the 21st century one step further and applies it to the American situation today - in the age of Trump.Two major forces, class and race ( "class segregation" and "racecraft" as he calls it) explain how it happened, and the Investment Theory of Politics wraps up the argument. Today the United States is fast becoming a plutocracy in the hands of the finance and tech sector and it is truly a grim prospect. The lights of the "city on the hill" are going out!A must read, highly recommended. Take a close look at the solutions Temin proposes - they make a lot of sense to me, but I fear that many are not politically viable...I have left a question on Goodreads and hope many of you will want to go over there to answer and enter the debate.
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