Running out of other people’s money

There is much agitation in France concerning a number of cost-cutting measures the government is trying to implement in order to comply with the budgetary targets associated with our European commitments. Especially notable are the increase in a tax on pensions and the reform of maternity leave, whereby one is moving from a system where mothers can have up to 36 months of maternity leave, to a system where each parent has 18 months.

It is generally thought that this new system will, under a pretense of “gender equality” actually reduce spending, because most fathers will not take advantage of their eighteen months, while mothers will be compelled to halve their leave relative to the preceding system. It is also believed that the system will increase congestion in publicly-funded daycare centers, unless more slots are created there, which, as day-care centers cost more than 1000 euros per month per child, will wipe out any savings from the shorter maternity leave.

Angry middle class mothers contemplate being forced to separate themselves from their babies at a very early age, and, to add insult to injury, also being forced to fight against competitors for those coveted and rationed day care slots. Resentment builds up in anticipation of the suspicions of corruption, favoritism, and political and ethnic bias in the future allocation of this increasingly congested socialized resource. Ms Le Pen cannot believe her luck and is celebrating.

Generous maternity leave was implemented a couple of decades ago as a joint venture between “Santa Claus socialism” and “old-style feminism”. Old-style feminism recognizes that women are different from men, and concludes that taxpayers’ money should be used in order to promote the formers’  “work-life” balance. In the society that prevailed before the rise of the welfare state, women’s maternity leave was funded by their husbands; this was regarded as a form of exploitation. In order to free women, “society” had to pay for maternity leave. This meant that taxes had to be increased and consent withdrawn from the workers who had to finance those benefits regardless of their own personal choices and marital status. As for Santa Claus, his agenda was to collect votes from naive people by promising them freebies. Who could say no to 20 to 40 years of holidays (aka pensions) or to the dream of taking care of one’s kid at home while being paid an “allocation” and having her job kept warm at the office?

The problem was that as Santa Claus was pounding the population with benefits and entitlements,  costs inevitably soared, while the economy was nearing asphyxia under the burden of taxes and regulations. As people were more and more encouraged to participate in the zero-sum game of claiming benefits, and more and more discouraged to participate in the positive-sum game of voluntary exchange, the cake began to shrink. Santa Claus started realizing that the size of the cake was not sufficient to fulfill each kid’s Christmas list. Some of the children had to be reluctantly informed that there is no Santa Claus.

This is all the more painful than the poor people, after decades of being spoon-fed, can no longer take care of themselves. For one thing, they lost the habit; they cannot conceive that now that the government says they should stop work for eighteen months instead of thirty-six, they might remotely consider disobeying. But we can hardly blame them. The evil husband is no longer in a position to provide for his wife’s maternity leave. Half of his earnings are confiscated before they even land on his bank account, in order to fund, among other things, other people’s parental leave. The woman that the government has freed from the patriarchy has no other choice than organizing her life according to the government’s prescription, which means that the baby will stay with his mother for eighteen months, no more. Enjoy your freedom from the patriarchy!  Unless, of course, the family has enough money left, despite the heavy taxation…

So, in this society obsessed with egalitarianism and the fight against the “reproduction of elites”, we will observe that the children of the lower middle classes will be abducted from their homes at the age of eighteen months, to be taken care of by bureaucrats; at the same time, the children of the upper middle classes (among whom, conveniently, the apparatchiks who impose the Theory) will enjoy the benefits of staying with their mothers, or selected nannies, for much longer. Meanwhile, the boundary between those two social classes moves up, due to the swelling of the Tax Moloch.

Nobody in the establishment, though, will pay attention to that.

For one thing, the establishment is convinced that “professional” public servants do a better job at taking care of children than their mothers. I remember participating in a meeting of officials very concerned about “equality”, and they were brain storming about how to design schemes so as to prevent kids from the lower classes from spending school holidays with their family ( a number of representatives from NGOs which supposedly cared much about families, were nodding in approval). Their general prejudice was that kids from “privileged” families were spending those holidays taking intensive math and language lessons, while those from “disadvantaged” families were at best watching TV.  There was no mentioning of the inherent contradiction between subsidizing fertility at the lower end of the skill distribution and devoting public resources to separate the offspring of those subsidies from their “disadvantaged” environment.

But, more importantly, the Theory has changed. Old-style feminists have been replaced by Gender feminists. Now there is no difference whatsoever between women and men. In fact, there is no longer any presumption that the two parents should be of opposite sexes (actually those parents do not even have a sex, only an ectoplasmic “gender identity”). There is no longer a mother and a father, only a parent 1 and a parent 2. Surely, then, it would be unfair if parent 1 had a different parental leave from parent 2? So why don’t the people just obey and combine eighteen months of parent 1’s with another eighteen month of parent 2’s parental leave? Why does it matter to them? Don’t they know the Theory says it does not?

Now you may object that since — according to the Theory itself — parent 1 and parent 2 are interchangeable, one day of parental leave by parent 1 is interchangeable with one day of parental leave by parent 2. Therefore, why not give a total of 36 months to both parents, and let these two people decide on how to split it between themselves? Remember they are free. What does free mean? Or maybe “free” in “free from the patriarchy” has  a specific, unusual meaning, as in, say, “freedom is slavery“?

Now I am not familiar enough with the apparatchiks who apply the Theory to figure out why this obvious remark has escaped them. But I suspect they believe that Parent 1 and Parent 2, if left free to choose, would decide that the parent with the least stable and/or least paying job would take the maternity, sorry, parental leave.

This has two big drawbacks. First, it is what people want. Second, it is efficient. A Theory which would let that happen would be useless — it would make no difference if the Theory was not around. A Theory which makes a difference is one which compels people to do what they do not want.

The Theory is especially useful when the cake shrinks. It tells you who should have their piece, and who should be denied a piece. Households who prove the theory should have their piece. Households who disprove the theory should have nothing. Households who apply the theory will have 36 months of parental leave. Households who do not will just have 18 months.

You do not know how much you should bend human nature for the Theory to be true.  Lyssenko found out that he could not bend the nature of wheat by enough for his theory to be true. Others died. Our Theory is much more humane than Lyssenko’s; we just impose a little tax on those who do not conform to it. They are welcome to pay it and contribute to the consolidation of public finances; they are also welcome to dutifully take turns in child care between Parent 1 and Parent 2 and show that the Theory works.




The attack on meritocracy and the new oligarchy

Ever since Pierre Bourdieu stigmatized the “reproduction of elites”, these elites have felt guilty. That their children’s achievements compare to theirs is perceived as a sign of unfair privilege. And prominent members of those elites do not miss an opportunity to publicly complain about “reproduction” and lack of social mobility, even though privately they spare no money, effort, time and connections to lift their progeny as high as possible in the social ladder.
Reproduction is what life is made of. That social structures reproduce themselves should therefore come as no surprise. Parents transmit genetic, human, financial, and social capital to their kids; this is not only a natural “default” outcome but for many people such transmission is the most important purpose in their life.
For Marxists and partisans of “social justice”, this is unfair because you do not choose your parents. Some kids are lucky to be born in an educated, wealthy family; others are unlucky.
Traditionally this problem had been corrected by putting in place a public education system which was supposed to give everybody the ability to acquire human capital and to progress in society despite an unfavorable initial environment. This system was based on strict meritocratic criteria and was meant as giving opportunities to those who had the will and capacity to seize them; it was not meant to be evaluated on the basis of statistical data regarding the relative outcomes of various social groups.
The system was deemed fair because it was meritocratic, regardless of its outcomes. If indeed the elites reproduced themselves, this was just tough luck for the non-elites who had been on average incapable of seizing their opportunities. Whether or not the system is fair depends on its design and not on its outcomes.
In the era of political correctness, this perception is no longer tolerated. The system has to deliver “equality of outcome”, otherwise it is considered as biased. Furthermore, any person who would claim that the system is fair could be cornered into admitting that members of those groups who do comparatively worse are less deserving, and from them easily accused of racism, sexism, and so forth. This, despite that it is generally the Marxists, not the conservatives, who insist on categorizing individuals by sex, ethnicity, class and other collective characteristics.
As a result the guilty elites are gradually eroding the meritocratic system that brought them to the top, by introducing arbitrary criteria meant to promote “diversity” (a conveniently vague concept) in the recruitment process for elite schools and positions.
So what does it mean to promote “diversity”? To answer that question, we need to note that the criteria by which the system is being evaluated have changed. In 7th century China, participants in the Mandarinate contest had their exams copied by a bureaucrat, so as to make sure that the graders could not recognize the handwriting of the candidates and indulge in favoritism. In the 21th century West, instead, elite educational institutions boast of the proportions of various “disadvantaged groups” in their recruitment, while relying on increasingly opaque and arbitrary procedures.
The two processes go hand in hand: if I am targeting a given statistical distribution for the personal characteristics of my students, I cannot at the same time abide by strict rules that apply to all individuals equally.
The most transparent I could get is to have a segmented recruitment process, by which there would be a fixed number of slots for each group. In such a situation, though, it would be all too obvious that those who are admitted to school X in capacity of their belonging to some anatomical group, are not in the same category as the others. The equality of outcome agenda would simply defeat itself if it were to use such obvious means. Instead, it has to rely on opaque means in order to preserve the illusion that the preferred groups are thriving in a process which does not systematically favor them, but instead relies on criteria that are supposed to have less of a disparate impact on the disadvantaged.
These techniques range from having an admission meeting in order to demote members of the non-preferred groups who would have made it on meritocratic criteria, so as to make room for members of the preferred groups who would not have made it (up to the point where the statistical targets are met), to getting rid of some parts of an entrance exam on the grounds of their alleged disparate impact, and replace them by tests that leave considerably more discretion to the admission committee.
As an example of the first method, I once briefly participated in an NSF-style body in the French university system which was in charge of allocating an important set of grants. After discussing the academic merits of the candidates and ranking them, we then counted the number of people who resided outside Paris and the number of women. If the result was not deemed acceptable by the president of the jury, then some men and some Parisians were demoted from their ranking and replaced by provincials and women. Since I was very uncomfortable in contributing to a process that I do not approve of, I did not last long in that jury, especially given that the president greeted me and the other members by complaining that there were not enough women in the jury (I guess they appointed me just to let me know). This Darwinian elimination process guarantees that the jury will eventually be mostly made of yes-men (and women) who will never challenge its non-meritocratic criteria.
As an example of the second method, the French elite school Sciences-Po has decided to withdraw its general culture test from its entrance exam, on the grounds that “disadvantaged groups” — like recent immigrants — would perform poorly because their background made them less acquainted with mainstream higher French culture (similarly, Pierre Bourdieu advocated that selection at school should emphasize mathematics, which is less culturally loaded than humanities). There were also talks of getting rid of the English language test, on similar grounds that the disadvantaged groups were less proficient in foreign languages, having fewer opportunities to live and vacation abroad. Somebody must have pointed out that English is used to communicate in the modern professional world, and that maybe, just maybe, social mobility would not improve if the Sciences Po graduates, regardless of their family background, were incapable of speaking English. So the English test was finally maintained, but the general culture exam was suppressed.
Which brings the following interesting question: How long can an elite survive, if it recruits its members so as to get rid of any of the characteristics that make it legitimate as an elite? If these people are not more knowledgeable, more proficient in English, nor better at logical reasoning than the average Joe, on what grounds do they hold privileged positions in society? This is of course exactly the question that the eighteenth century enlightened liberals were asking on the eve of the French Revolution. We may speculate that competition in labor markets will do to educational institutions that abandon meritocracy what the French Revolution did to the aristocratic system.
The new criteria that Sciences Po uses heavily favor those applicants who have an “interesting” and “diverse” profile. The fair exam principles borrowed from the Chinese Mandarinate system were well received in a Catholic country for which salvation is a reward for good actions (the selective exams reward hard work, and all candidates who were admitted had “suffered” in preparing the exam; therefore they tend to believe that their suffering was rewarded). By contrast, recruiting “interesting people” is a neo-Calvinist concept borrowed from U.S. universities. Salvation is now an outcome of pre-destination, not of your actions. In fact Sciences Po is remarkably opaque in disclosing how you become an interesting person, because they do not want people to develop a fake personality in order to make it to the school. As a result of the new system, some 40 % of a class had to take no written exam [1] and was admitted on the grounds of a bogus motivation letter which was at best written by their parents, and a 20 minute interview on no specific topic.
The important point here, though, is that these loose criteria, while contributing to the goals of apparent equality of outcomes, at the same time provide the oligarchy with considerable discretion in order to co-opt its members. It is very easy to decide that members of influential networks (financial contributors, political acquaintances, colleagues’ children, media pundits…) just happen to have kids whose profile is wonderfully interesting and diverse. After all, nobody can disprove you and it may even be true! It is easy to imagine that a family located at the center of power has more opportunities for a challenging, original and diverse experience than the children of a regular electrical engineer or manager of a medium-size supermarket in some dull provincial city. And, when one compares these boring middle-class people, whose only claim to upward mobility is hard work and academic excellence, to the Chosen who cannot be bothered being asked demonstrating their skills, all talk of the elite reproducing itself suddenly vanishes [2]. One only opens Bourdieu’s grave when it is convenient.

NB: [1] This ignores specific procedures for foreigners and applicants from “disadvantaged neighborhoods” who also waive any written exam.

[2] The trick is not to distinguish, in the statistics and in the rhetoric, between relatively high skilled workers earning a fair wage on their human capital, and the actual oligarchy in control of power. The dismantling of meritocracy benefits the latter at the expense of the former.