‘What most alarms us in our contemporary world, what
unsettles and scares us, is the extent to which the forces that shape our lives
are no longer personal – they know nothing of us; and to the extent that we
know nothing of them – cannot put a face on them, cannot find in them anything
we recognize as human – we cannot deal with them. We feel like small, powerless
creatures in the coils of an invisible monster, vast but insubstantial, that
cannot be grasped or wrestled with.’
That quote seems to me to sum up the main point that David Malouf
was making in: ‘The Happy Life; The Search for Contentment in the Modern
World’, Quarterly Essay, March 2011.
In the paragraphs preceding the quoted passage, the author
argues that it is possible for humans to be happy even in the most miserable
conditions if they perceive their world as having human dimensions. He explains
that a world with human dimensions is one that humans can recognize and
encompass. In his words:
‘We start always from the body, and relate everything back
to it. In a way that goes back to our most primitive beginnings, we use it to
establish direction – where we are facing, where we might move to; to gauge
distance – how far off an object is and how far we have got along the way
towards it; to determine how each thing we are observing stands in relation to
our own being – its size in relation to ours, how light or heavy it is when we
try to lift it or weigh it on our palm; how much it occupies of the space we
share; how it smells and tastes, how it feels to the touch or when we roll it
between finger and thumb’.
I feel in awe of people who manage to maintain tranquillity
in the most miserable conditions. It is probably correct to say that such
people do experience the sources of human misery as having human dimensions –
they feel uncertainty, discomfort, pain, fear and anger just like the rest of
us – but they are not overwhelmed by such feelings. The fact that they have
normal human feelings doesn’t mean, however, that they necessarily see major
sources of human misery – extreme climatic events, for example – as having
human dimensions.
Irrespective of their capacity to maintain tranquillity in
the face of misfortune, our ancestors saw God (or the gods) as the most likely
explanation for extreme climatic events – and just about everything else they
experienced. Malouf acknowledges this, but he suggests that when we were in the
hands of the gods we had stories that made these distant beings human and
brought them close. Of the gods, he writes:
‘They watched over us and were concerned, though in moments
of wilfulness or boredom they might also torment us as “wanton boys” do flies.
We had our ways of obtaining their help as intermediaries. We could deal with
them’.
By contrast:
‘The Economy is impersonal. It lacks manageable dimensions.
We have discovered no mythology to account for its moods. Our only source of
information about it, the Media and their swarm of commentators, bring us
“reports”, but these do not help: a possible breakdown in the system, a new
crisis, the descent on Greece or Ireland or Portugal, like Jove’s eagle, of the
IMF. We are kept in a state of permanent low level anxiety broken only by
outbreaks of alarm’.
I admire David Malouf’s writing style, but I have a couple
of problems with this line of reasoning. First, personal gods left good people
bewildered as to why bad things were happening to them. Remember the biblical story
of Job, the virtuous man who suffered from ‘acts of God’. Job was not a happy
chappy – he cursed the day he was born. My reading of the story is that Job
tried to deal with God, but that didn’t work. Job found tranquillity only after
he accepted that God was not a person that he could deal with. He had to learn
to accept that some factors affecting his life were beyond his capacity to
understand and influence.
Second, many people seem to have difficulty in accepting that
economic forces are impersonal. Economic crises, in particular, are often
viewed in very personal terms – for example, in terms of the excessive greed of
human agents, such as Wall Street bankers, or even in terms of conspiracies
involving bankers and politicians. Modern conspiracy theories have their demons
(and super-heroes) in much the same way as ancient religions had their personal
gods.
One of the features of the modern world is that the role of
the personal gods has tended to be displaced impersonal scientific explanations
of the forces that shape our lives. Do these scientific explanations leave
people feeling unsettled? I don’t think so. Psychological evidence discussed by
Timothy Wilson (in his book ‘Redirect’, discussed recently on this blog) indicates
that people who are affected by negative events tend to feel worse when they
are uncertain about the nature of those events and why they occurred. Reducing uncertainty about negative events is
a good way to bounce back from those events.
It seems to me that it is the uncertainty associated with
recent economic crises that has made them particularly unsettling. With the
onset of the global financial crisis there was a great deal of public discussion
among economists about the inadequacy of existing scientific explanations of
what was happening. When leading economists admit that they can’t understand an
economic crisis, other people have good reason to feel unsettled. Over the last
couple of years, however, there has been growing support among economists for
the idea that (unconventional) monetary policy can be influential in shaping
expectations about the growth of aggregate demand, even when interest rates are
very low. This provides grounds for optimism that the world will be able to
avoid a major economic downturn over the next few years. (At the same time, as
I suggested in a post a few weeks ago, there are still some grounds for concern
that the European Central Bank will maintain deflationary policies that will
exacerbate the financial crisis in Europe and impact adversely on the world
economy.)
More robust scientific explanations of economic crises could
be expected to help the people who have adversely affected to adjust to their
misfortune, but would they not still feel like small, powerless creatures in
the coils of an invisible monster? Quite possibly. Yet, a better understanding of the economic
forces involved may give them reason to hope for better outcomes in future. A
surfer who is dumped by a wave might feel like a powerless creature in
the coils of a monster, even if he has some understanding of wave mechanics.
But his understanding of why he was dumped might give him reason to hope that
in future he is more likely to experience the exhilaration of riding the wave.
2 comments:
Your offers of explanations and insights come across as pacifiers, at least if the tone of the explanation is, 'yes Virginia, economics is a force of nature which cannot be negotiated with. Right wing snarks often quip 'fighting the laws of economics is like fighting the law of gravity,' but the law of gravity at least can be negotiated with, hence the science of aviation. If you're serious about heling me get over my enraged determination to give the Invisible Hand the bionic handshake, your key communication objective should be less about acceptance and more about demystification. That's what did in all those gods and goddesses, after all. Uncloak the Invisible Hand, rendering it a Visible Hand. I wouldn't be too quick to dismiss this as impossible.
Hi Lorraine
The message that I was intending to convey was that demystification of factors affecting economic outcomes might help people to come to terms with economic misfortune and even give them hope that they might be able to feel more in control of their lives in future.
The problem is that we have good reason to feel uneasy about the future of the world economy at the moment - not least because the ECB might drive Europe into a deep recession.
In this instance I am not trying to persuade you that the free market (i.e. free banking) would resolve the problem. (I think it might, but I can understand why anyone who is anywhere near the levers of power would not contemplate it at the moment.) The priority, as I see it, is to get central banks to act sensibly by signalling that they intend to use the policy instruments at their disposal to promote steady growth in aggregate demand and to actually pursue that objective in bond markets etc.
If unease about economic forces was primarily about the effects of globalization, for example, then I would be arguing that attempts to promote better public understanding of the market forces involved should have high priority. However, I am not sure how far it is possible to go in demystifying the market without destroying it. For example, it seems to me that people who want to know in great detail where the new jobs will come from to replace those lost as a result of import competition must be asking for a centrally planned economy which is held in a stationary state. There is no way that new technologies or changes in consumer tastes influencing future patterns of employment could be predicted with much confidence.
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