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Plutocratic Socialism and War on the Middle Class

The future of the republic depends on the middle class virtues that property ownership helps to cultivate.

It is becoming increasingly obvious something is amiss. One might be tempted to recall the words of a nineteenth-century revolutionary: “A specter is haunting Europe—the specter of Communism.” But the bloody history of the last century has demonstrated beyond question that Marx was no prophet.

However, a specter is, indeed, haunting not just Europe but the entire world, and ground zero for this strange new spirit is the United States, a land where communism never gained a foothold. This rising spirit has no widely recognized name at present, but it has certain definitive characteristics that coalesce into a singular, grotesque reality. Call it Plutocratic Socialism.

First, consider some facts. In a 2019 Gallup poll, 43 percent of Americans claimed that some form of socialism would be good for the country. When the same question was put to Americans in 1942, only 25 percent looked favorably on the socialist agenda. The same poll found that a majority of Democrats today have a positive view of socialism. The political agenda being pushed by Democrats in Congress and by the White House suggests, at the very least, a concerted effort to expand government programs, and in the process expand the lists of clients who find themselves increasingly dependent upon the largesse of the federal government.

Public intellectuals give voice to rising concerns that capitalism is the root cause of some of our most persistent and seemingly intractable problems. Race-guru Ibram X. Kendi puts the matter succinctly and with his characteristic antipathy to nuance: “Capitalism is essentially racist; racism is essentially capitalist.” Climate journalist Paul Mason writes that “to save the planet, we have to end capitalism,” and unless we act swiftly, we face “global catastrophe.” The implications are clear. To end two of the greatest scourges of our day—racism and climate change—we must eradicate capitalism. The apparent alternative? Socialism.

At the same time, the much-beleaguered middle class struggles. Many young people find that the relative independence that membership in that class promises is simply beyond reach. Consider these changes: A report published by the Economic Policy Institute found that between 1945 and 1973 “the top 1 percent captured just 4.9 percent of all income growth over that period.” However, between 1973 and 2007 the trend dramatically reversed: “58.7 percent of all income growth [was] concentrated in the hands of the top 1 percent of families.”

According to the Pew Research Center, “the hollowing of the American middle-class has proceeded steadily for more than four decades.” In 1971, 61 percent—a clear majority—of Americans were in the middle-class. By 2015, 50 percent were middle-class, with growth occurring both at the upper and lower ends. Home-ownership, long considered a vital indicator of middle-class status, has become an increasingly elusive dream. Under-employment, student debt, inflation, and a general demoralization have led many to conclude that their standard of living, and happiness in general, will not approximate that of their parents.

Almost as if in response to the frustration, the World Economic Forum launched an ad campaign that included eight predictions for 2030. The first: “You’ll own nothing. And you’ll be happy.” This was part of a larger initiative they called the “Great Reset.” The coronavirus pandemic provided a focal point and a sense of urgency. The looming “existential threat” of climate change made sweeping action necessary in order to prevent a catastrophe that would dwarf the carnage inflicted by the coronavirus. The killing of George Floyd in May 2020 touched off protests in the U.S. and around the globe raising awareness of racial injustice that seemed to require profound systemic changes.

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