It seems certain that the political economy textbooks of the future will include a chapter on the experience of Greece in 2015.

On July 5, 2015, the people of Greece overwhelmingly voted “NO” to the austerity ultimatum demanded by what is colloquially being called the Troika, the three institutions that have the power to shape Greece’s future: the European Commission, the International Monetary Fund, and the European Central Bank.

The people of Greece have stood up for the rights of working people everywhere.

Background

Greece has experienced six consecutive years of recession and the social costs have been enormous.  The following charts provide only the barest glimpse into the human suffering:

Infographics / Unemployment
Infographics / Unemployment
Infographics / Social Impact
Infographics / Social Impact
Infographics / Poverty
Infographics / Poverty

While the Troika has been eager to blame this outcome on the bungling and dishonesty of successive Greek governments and even the Greek people, the fact is that it is Troika policies that are primarily responsible. In broad brush, Greece grew rapidly over the 2000s in large part thanks to government borrowing, especially from French and German banks.  When the global financial crisis hit in late 2008, Greece was quickly thrown into recession and the Greek government found its revenue in steep decline and its ability to borrow sharply limited. By 2010, without its own national currency, it faced bankruptcy.

Enter the Troika. In 2010, they penned the first bailout agreement with the Greek government. The Greek government received new loans in exchange for its acceptance of austerity policies and monitoring by the IMF. Most of the new money went back out of the country, largely to its bank creditors. And the massive cuts in public spending deepened the country’s recession.

By 2011 it had become clear that the Troika’s policies were self-defeating. The deeper recession further reduced tax revenues, making it harder for the Greek government to pay its debts. Thus in 2012 the Troika again extended loans to the Greek government as part of a second bailout which included . . . wait for it . . . yet new austerity measures.

Not surprisingly, the outcome was more of the same. By then, French and German banks were off the hook. It was now the European governments and the International Monetary Fund that worried about repayment. And the Greek economy continued its downward ascent.

Significantly, in 2012, IMF staff acknowledged that the its support for austerity in 2010 was a mistake. Simply put, if you ask a government to cut spending during a period of recession you will only worsen the recession. And a country in recession will not be able to pay its debts. It was a pretty clear and obvious conclusion.

But, significantly, this acknowledgement did little to change Troika policies toward Greece.

By the end of 2014, the Greek people were fed up. Their government had done most of what was demanded of it and yet the economy continued to worsen and the country was deeper in debt than it had been at the start of the bailouts. And, once again, the Greek government was unable to make its debt payments without access to new loans. So, in January 2015 they elected a left wing, radical party known as Syriza because of the party’s commitment to negotiate a new understanding with the Troika, one that would enable the country to return to growth, which meant an end to austerity and debt relief.

Syriza entered the negotiations hopeful that the lessons of the past had been learned. But no, the Troika refused all additional financial support unless Greece agreed to implement yet another round of austerity. What started out as negotiations quickly turned into a one way scolding. The Troika continued to demand significant cuts in public spending to boost Greek government revenue for debt repayment. Greece eventually won a compromise that limited the size of the primary surplus required, but when they proposed achieving it by tax increases on corporations and the wealthy rather than spending cuts, they were rebuffed, principally by the IMF.

The Troika demanded cuts in pensions, again to reduce government spending. When Greece countered with an offer to boost contributions rather than slash the benefits going to those at the bottom of the income distribution, they were again rebuffed. On and on it went. Even the previous head of the IMF penned an intervention warning that the IMF was in danger of repeating its past mistakes, but to no avail.

Finally on June 25, the Troika made its final offer. It would provide additional funds to Greece, enough to enable it to make its debt payments over the next five months in exchange for more austerity.  However, as the Greek government recognized, this would just be “kicking the can down the road.” In five months the country would again be forced to ask for more money and accept more austerity. No wonder the Greek Prime Minister announced he was done, that he would take this offer to the Greek people with a recommendation of a “NO” vote.

The Referendum

Almost immediately after the Greek government announced its plans for a referendum, the leaders of the Troika intervened in the Greek debate. For example, as the New York Times reported:

By long-established diplomatic tradition, leaders and international institutions do not meddle in the domestic politics of other countries. But under cover of a referendum in which the rest of Europe has a clear stake, European leaders who have found [Greece Prime Minister] Tsipras difficult to deal with have been clear about the outcome they prefer.

Many are openly opposing him on the referendum, which could very possibly make way for a new government and a new approach to finding a compromise. The situation in Greece, analysts said, is not the first time that European politics have crossed borders, but it is the most open instance and the one with the greatest potential effect so far on European unity…

Martin Schulz, a German who is president of the European Parliament, offered at one point to travel to Greece to campaign for the “yes” forces, those in favor of taking a deal along the lines offered by the
creditors.

On Thursday, Mr. Schulz was on television making clear that he had little regard for Mr. Tsipras and his government. “We will help the Greek people but most certainly not the government,” he said.

European leaders actively worked to distort the terms of the referendum. Greeks were voting on whether to accept or reject Troika austerity policies yet the Troika leaders falsely claimed the vote was on whether Greece should remain in the Eurozone. In fact, there is no mechanism for kicking a country out of the Eurozone and the Greek government was always clear that it was not seeking to leave the zone.

Having whipped up popular fears of an end to the euro, some Greeks began talking their money out of the banks. On June 28, the European Central Bank then took the aggressive step of limiting its support to the Greek financial system.

This was a very significant and highly political step. Eurozone governments do not print their own money or control their own monetary systems. The European Central Bank is in charge of regional monetary policy and is duty bound to support the stability of the region’s financial system. By limiting its support for Greek banks it forced the Greek government to limit withdrawals which only worsened economic conditions and heightened fears about an economic collapse. This was, as reported by the New York Times, a clear attempt to influence the vote, one might even say an act of economic terrorism:    

Some experts say the timing of the European Central Bank action in capping emergency funding to Greek banks this week appeared to be part of a campaign to influence voters.

“I don’t see how anybody can believe that the timing of this was coincidence,” said Mark Weisbrot, an economist and a co-director of the Center for Economic and Policy Research in Washington. “When you restrict the flow of cash enough to close the banks during the week of a referendum, this is a very deliberate move to scare people.”

Then on July 2, three days before the referendum, an IMF staff report on Greece was made public. Echos of 2010, the report made clear that Troika austerity demands were counterproductive. Greece needed massive new loans and debt forgiveness. The Bruegel Institute, a European think tank, offered a summary and analysis of the report, concluding that “the creditors negotiated with Greece in bad faith” and used “indefensible economic logic.”

The leaders of the Troika were insisting on policies that the IMF’s own staff viewed as misguided.  Moreover, as noted above, European leaders desperately but unsuccessfully tried to kill the report. Only one conclusion is possible: the negotiations were a sham.

The Troika’s goals were political: they wanted to destroy the leftist, radical Syriza because it represented a threat to a status quo in which working people suffer to generate profits for the region’s leading corporations. It apparently didn’t matter to them that what they were demanding was disastrous for the people of Greece. In fact, quite the opposite was likely true: punishing Greece was part of their plan to ensure that voters would reject insurgent movements in other countries, especially Spain.

The Vote

And despite, or perhaps because of all of the interventions and threats highlighted above, the Greek people stood firm. As the headlines of a Bloomberg news story proclaimed: “Varoufakis: Greeks Said ‘No’ to Five Years of Hypocrisy.”

The Greek vote was a huge victory for working people everywhere.

Now, we need to learn the lessons of this experience. Among the most important are: those who speak for dominant capitalist interests are not to be trusted. Our strength is in organization and collective action. Our efforts can shape alternatives.

Cross-posted at Reports from the Economic Front.

Martin Hart-Landsberg is a professor of economics at Lewis and Clark College. You can follow him at Reports from the Economic Front.

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The governors of Virginia and South Carolina have now taken stands against the Confederate battle flag. So have honchos at Wal*Mart, Sears, Target, and NASCAR.

NASCAR! How could this cascade of reversals have happened so rapidly? Did these important people wake up one morning this week and say to themselves, “Gee, I never realized that there was anything racist about the Confederacy, and never realized that there was anything wrong with racism, till that kid killed nine Black people in a church”?

My guess is that what’s going on is not a sudden enlightenment or even much of a change in views about the flag. To me it looks more like the process of “pluralistic ignorance.” What these people changed was not their ideas about the Confederacy or racism but their ideas about other people’s ideas about these matters. With pluralistic ignorance (a term coined by Floyd Allport nearly a century ago) everyone wants X but thinks that nobody else does. Then some outside factor makes it possible for people to choose X, and everyone does. Everyone is surprised – “Gee, I thought all you guys wanted Y, not X .” It looks like a rapid change in opinion, but it’s not.

A few years ago in places like Ireland and Europe, people were surprised at the success of new laws banning smoking in pubs and restaurants. “Oh, the smokers will never stand for it.” But it turned out that the smokers, too, were quite happy to have rooms with breathable air. It’s just that before the laws were passed, nobody knew that’s how other people felt because those people kept smoking.

The same thing happened when New York City passed a pooper-scooper law. “The law is unenforceable,” people said. “Cops will never see the actual violation, only its aftermath. And do you really think that those selfish New Yorkers will sacrifice their own convenience for some vague public good?” But the law was remarkably effective. As I said in this post from 2009:

Even before the new law, dog owners had probably thought that cleaning up after their dogs was the right thing to do, but since everyone else was leaving the stuff on the sidewalk, nobody wanted to be the only schmuck in New York to be picking up dog shit. In the same way that the no-smoking laws worked because smokers wanted to quit, the dog law in New York worked because dog owners really did agree that they should be cleaning up after their dogs. But prior to the law, none of them would speak or act on that idea.

In South Carolina and Georgia and Bentonville, Arkansas and elsehwere, the governors and the CEOs surely knew that the Confederacy was based on racist slavery; they just rarely thought about it. And if the matter did come up, as with the recent Supreme Court decision about license plates, they probably assumed that most of their constituents and customers were happy with the flag and that the anti-flaggers were a cranky minority.

With the support for letting that flag fade into history, it looks as though for a while now many Southerners may have been uncomfortable with the blatant racism of the Confederacy and the post-Reconstruction era. But because nobody voiced that discomfort, everyone thought that other Southerners still clung to the old mentality. The murders in the Charleston church and the subsequent discussions about retiring the flag may have allowed Southerners to discover that their neighbors shared their misgivings about the old racism. And it allowed the retail giants to see that they weren’t going to lose a lot of money by not stocking the flag.

Cross-posted at Montclair SocioBlog.

Jay Livingston is the chair of the Sociology Department at Montclair State University. You can follow him at Montclair SocioBlog or on Twitter.

Saturday night, I went to the 7:30 showing of “Me and Earl and the Dying Girl.” The movie had just opened, so I went early. I didn’t want the local teens to grab the all the good seats – you know, that thing where maybe four people from the group are in the theater but they’ve put coats, backpacks, and other place markers over two dozen seats for their friends, who eventually come in five minutes after they feature has started.

That didn’t happen. The theater (the AMC on Broadway at 68th St.) was two-thirds empty (one-third full if you’re an optimist), and there were no teenagers. Fox Searchlight, I thought, is going to have to do a lot of searching to find a big enough audience to cover the $6 million they paid for the film at Sundance. The box office for the first weekend was $196,000 which put it behind 19 other movies.

But don’t write off “Me and Earl” as a bad investment. Not yet. According to a story in Variety, Searchlight is looking that “Me and Earl” will be to the summer of 2015 what “Napoleon Dynamite” was to the summer of 2004. Like “Napoleon Dynamite,” “Me and Earl” was a festival hit but with no established stars and debt director (though Gomez-Rejon has done television – several “Glees” and “American Horror Storys”). “Napoleon” grossed only $210,000 its first week, but its popularity kept growing – slowly at first, then more rapidly as word spread – eventually becoming cult classic. Searchlight is hoping that “Me and Earl” follows a similar path.

The other important similarity between “Napoleon” and “Earl” is that both were released in the same week as a Very Big Movie – “Harry Potter and the Prisoner of Azkaban” in 2004, “Jurassic World” last weekend. That too plays a part in how a film catches on (or doesn’t).

In an earlier post I graphed the growth in cumulative box office receipts for two movies – “My Big Fat Greek Wedding” and “Twilight.”  The shapes of the curves illustrated two different models of the diffusion of ideas.  In one (“Greek Wedding”), the influence came from within the audience of potential moviegoers, spreading by word of mouth. In the other (“Twilight”), impetus came from outside – highly publicized news of the film’s release hitting everyone at the same time. I was working from a description of these models in sociologist Gabriel Rossman’s Climbing the Charts.

You can see these patterns again in the box office charts for the two movies from the summer of  2004 – “Harry Potter/Azkaban” and “Napoleon Dynamite.” (I had to use separate Y-axes in order to get David and Goliath on the same chart; data from BoxOfficeMojo.)

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“Harry Potter” starts huge, but after the fifth week the increase in total box office tapers off quickly. “Napoleon Dynamite” starts slowly. But in its fifth or sixth week, its box office numbers are still growing, and they continue to increase for another two months before finally dissipating. The convex curve for “Harry Potter” is typical where the forces of influence are “exogenous.” The more S-shaped curve of “Napoleon Dynamite” usually indicates that an idea is spreading within the system.

But the Napoleon curve is not purely the work of the internal dynamics of word-of-mouth diffusion. The movie distributor plays an important part in its decisions about how to market the film – especially when and where to release the film. The same is true of “Harry Potter.”

The Warner Bros. strategy for “Harry Potter” was to open big – in theaters all over the country. In some places, two or more of the screens at the multi-plex would be running the film. After three weeks, the movie began to disappear from theaters, going from 3,855 screens in week #3 to 605 screens in week #9.

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“Napoleon Dynamite” opened in only a small number of theaters – six to be exact.  But that number increased steadily until by week #17, it was showing in more than 1,000 theaters.

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It’s hard to separate the exogenous forces of the movie business from the endogenous word-of-mouth – the biz from the buzz.  Were the distributor and theater owners responding to an increased interest in the movie generated from person to person? Or were they, through their strategic timing of advertising and distribution, helping to create the film’s popularity? We can’t know for sure, but probably both kinds of influence were happening. It might be clearer when the economic desires of the business side and the preferences of the audience don’t match up, for example, when a distributor tries to nudge a small film along, getting it into more theaters and spending more money on advertising, but nobody’s going to see it. This discrepancy would clearly show the influence of word-of-mouth; it’s just that the word would be, “don’t bother.”

Cross-posted at Montclair SocioBlog.

Jay Livingston is the chair of the Sociology Department at Montclair State University. You can follow him at Montclair SocioBlog or on Twitter.

A Gallup poll of a random sample of Americans conducted in May finds that, for the first time, a majority of Republicans report that they believe that gay and lesbian relations are “morally acceptable.” This is your image of the week:

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And this, showing that a plurality of Republicans — meaning more than not — think sexual orientation is inborn, not chosen or learned:

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Now, to be fair, Gallup specifies a sampling error of ±4 percentage points. So, they’re 95% confident that at least 47% of Republicans now approve of gayness, but also as many as 55%. Also, I don’t know what “gay and lesbian relations” means — sexual relations? relationships? — and neither do the pollsters or the respondents, as far as I know, which is some interesting slippery question asking. Still, that’s the data. Here’s some skepticism, just in case you’ve got an eyebrow raised.

Lisa Wade is a professor of sociology at Occidental College and the co-author of Gender: Ideas, Interactions, Institutions. You can follow her on Twitter and Facebook.

On average, white and black Americans have different ideas as to what’s behind the recent unrest in Ferguson and Baltimore. A Wall Street Journal/NBC poll of 508 adults found that nearly two-thirds of African Americans felt that the unrest reflected “long-standing frustrations about police mistreatment of African Americans,” compared to less than one-third of whites.

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In contrast, among whites, 58% believed that African Americans were just looking for an “excuse to engage in looting and violence.” A quarter of black respondents thought the same.

Though they may see it differently, almost everyone expects the uprising to reach more cities over the summer.

Lisa Wade is a professor of sociology at Occidental College and the co-author of Gender: Ideas, Interactions, Institutions. You can follow her on Twitter and Facebook.

In the U.S., we recognize two main party platforms: Republican and Democrat. Each party packages together specific positions on economic and social issues together into ideologies we call conservative and liberal. The desire for a small government, for example, is lumped with opposition to same sex marriage, while believing in a larger role for government is lumped together with support for abortion rights.

Do all people neatly fit into these two packages? And, if not, what are the consequences for electoral outcomes?

In the American Journal of Sociology, Delia Baldassarri and Amir Goldberg use 20 years of data (1984–2004) from the National Election Studies to show that many Americans have consistent and logical political ideas that don’t align with either major party’s ideological package. These voters, whom the authors call alternatives, are socially liberal and economically conservative (or vice versa).

The images below show correlations between social and economic liberalism or social and economic conservativism. Strong correlations are dark and weak are light. The top image is of the opinions of ideologues — those who adhere pretty closely to the existing liberal and conservative packages — and the bottom images shows the opinions of alternatives.

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In this data, being an alternatives is not just about being unfocused or uncommitted. Baldassarri and Goldberg show that their positions are logical, reasoned, consistent, and remain steady over time.  The study makes it clear that the ties between economic and social issues made by the left and the right, which many people see as normal or natural, represent just two among the many belief systems that Americans actually hold.

When it comes to the ballot box, though, alternatives usually vote Republican. The authors write that the most conservative among the alternatives’ views tend to hold sway when it comes to picking a party. It appears that the salience of moral issues is not the primary reason for Republicans’ electoral success. Instead, for as-yet unknown reasons, alternative voters follow their more conservative leanings at the ballot, whether economic or social.

Cross-posted at The Reading List.

Jack Delehanty is a graduate student in sociology at the University of Minnesota. His work is about how social movement organizations can reframe dominant social narratives about inequality. In his dissertation, he explores how white Protestant-influenced discourses of poverty, family, and individual choice are being critically reshaped in the public sphere today.

According to a survey of 1,387 students in Sociology 101 classes at a large west coast university,  25.8% of college students “somewhat” or “strongly agree” that romantic love brainwashes women. Another 20% could be convinced.  Interestingly, the numbers were similar for men and women, though women were a bit more likely to agree.

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Data from “Hey God, is that You in my underpants?” by Roger Friedland and Paolo Gardinali, published in Intimacies: A New World of Relational Life.

Lisa Wade is a professor of sociology at Occidental College and the co-author of Gender: Ideas, Interactions, Institutions. You can follow her on Twitter and Facebook.

Look closely. Which would you rather ride?

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Transport scholars David Hensher and Corinne Mulley asked this question of residents of six cities in Australia. They included these ultra modern examples and also photographs featuring less modern trains and buses.

They found that people overwhelmingly preferred trains to buses, even though the modern bus has a dedicated lane just like the train and identical boarding and fare collection procedures.

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We associate trains with romance and leisure travel or hip, urban places like Manhattan. In contrast, buses bring to mind traffic, exhaust, and being exhausted after getting off from a second job.  Members of a focus group organized by the U.S. Department of Transportation, for example, had these things to say:

I’m ashamed to tell that I am taking buses…In Europe, I wouldn’t. But here, they would think, “Did he lose his job?”

The shame factor is majorly big.

I’m just saying that when I was in L.A. and I was in the car and just looking in at the bus…the people getting on….it just seems scary…

The bus has a bad rap.

But the authors found it wasn’t that simple. People from cities with better bus service tended to feel a little better about buses. If someone had recently had a good experience on a bus — like getting a seat for the whole trip — they felt better about buses. In fact, riding buses made people like buses more. People who rode more often had a better opinion.

Basically, give people good buses, good bus routes, and good service and they will come to love buses.

So, the authors argue that cities shouldn’t let the bad reputation of buses stop them from providing and improving bus service. Often buses are a better choice than trains. Bus routes are cheaper to get started and easier to change. High frequency and dedicated lanes can make them as efficient. So, if a bus is the right thing for the city, don’t give the people what they want, show them.

Lisa Wade is a professor of sociology at Occidental College and the co-author of Gender: Ideas, Interactions, Institutions. You can follow her on Twitter and Facebook.