September 16, 2014
by Steve Fraser
This post first appeared at TomDispatch.
George Baer was a railroad and coal mining magnate at the turn of the 20th century. Amid a violent and protracted strike that shut down much of the country’s anthracite coal industry, Baer defied President Teddy Roosevelt’s appeal to arbitrate the issues at stake, saying, “The rights and interests of the laboring man will be protected and cared for… not by the labor agitators, but by the Christian men of property to whom God has given control of the property rights of the country.” To the Anthracite Coal Commission investigating the uproar, Baer insisted, “These men don’t suffer. Why hell, half of them don’t even speak English.”
We might call that adopting the imperial position. Titans of industry and finance back then often assumed that they had the right to supersede the law and tutor the rest of America on how best to order its affairs. They liked to play God. It’s a habit that’s returned with a vengeance in our own time.
The Koch brothers are only the most conspicuous among a whole tribe of “self-made” billionaires who imagine themselves architects or master builders of a revamped, rehabilitated America. The resurgence of what might be called dynastic or family capitalism, as opposed to the more impersonal managerial capitalism many of us grew up with, is changing the nation’s political chemistry.
Our own masters of the universe, like the “robber barons” of old, are inordinately impressed with their ascendancy to the summit of economic power. Add their personal triumphs to American culture’s perennial love affair with business — President Calvin Coolidge, for instance, is remembered today only for proclaiming that “the business of America is business” — and you have a formula for megalomania.
Take Jeff Greene, otherwise known as the “Meltdown Mogul.” Back in 2010, he had the chutzpah to campaign in the Democratic primary for a Florida senate seat in a Miami neighborhood ravaged by the subprime mortgage debacle — precisely the arena in which he had grown fabulously rich. In the process, he rallied locals against Washington insiders and regaled them with stories of his life as a busboy at the Breakers Hotel in Palm Beach. Protected from the Florida sun by his Prada shades, he alluded to his wealth as evidence that, as a maestro of collateralized debt obligations, no one knew better than he how to run the economy he had helped to pulverize. He put an exclamation point on his campaign by flying off in his private jet only after securely strapping himself in with his gold-plated seat buckles.