What are the main principles of a banana republic? A very salient one might be that it has a paper currency which is an international laughingstock: a definition that would immediately qualify today’s United States of America. We may snicker at the thriller from Wasilla, who got her first passport only last year, yet millions of once well-traveled Americans are now forced to ask if they can afford even the simplest overseas trip when their folding money is apparently issued by the Boardwalk press of Atlantic City. But still, the chief principle of banana-ism is that of kleptocracy, whereby those in positions of influence use their time in office to maximize their own gains, always ensuring that any shortfall is made up by those unfortunates whose daily life involves earning money rather than making it. At all costs, therefore, the one principle that must not operate is the principle of accountability. In fact, if possible, even the similar-sounding term (deriving from the same root) of accountancy must be jettisoned as well. Just listen to Christopher Cox, chairman of the Securities and Exchange Commission, as he explained how the legal guardians of fair and honest play had made those principles go away. On September 26, he announced that “the last six months have made it abundantly clear that voluntary regulation does not work.” Now listen to how he enlarges on this somewhat lame statement. It seems to him on reflection that “voluntary regulation”
was fundamentally flawed from the beginning, because investment banks could opt in or out of supervision voluntarily. The fact that investment bank holding companies could withdraw from this voluntary supervision at their discretion diminished the perceived mandate of the program and weakened its effectiveness.
Yes, I think one might say that. Indeed, the “perceived mandate” of a parole program that allowed those enrolled in it to take off their ankle bracelets at any time they chose to leave the house might also have been open to the charge that it was self-contradictory and wired for its own self-destruction. But in banana-republicland, like Alice’s Wonderland, words tend to lose their meaning and to dissolve into the neutral, responsibility-free verbiage of a Cox.
And still, in so many words in the phrasing of the first bailout request to be placed before Congress, there appeared the brazen demand that, once passed, the “package” be subject to virtually no more congressional supervision or oversight. This extraordinary proposal shows the utter contempt in which the deliberative bodies on Capitol Hill are held by the unelected and inscrutable financial panjandrums. But welcome to another aspect of banana-republicdom. In a banana republic, the members of the national legislature will be (a) largely for sale and (b) consulted only for ceremonial and rubber-stamp purposes some time after all the truly important decisions have already been made elsewhere.
I was very struck, as the liquefaction of a fantasy-based system proceeded, to read an observation by Professor Jeffrey A. Sonnenfeld, of the Yale School of Management. Referring to those who had demanded—successfully—to be indemnified by the customers and clients whose trust they had betrayed, the professor phrased it like this:
These are people who want to be rewarded as if they were entrepreneurs. But they aren’t. They didn’t have anything at risk.
That’s almost exactly right, except that they did have something at risk. What they put at risk, though, was other people’s money and other people’s property. How very agreeable it must be to sit at a table in a casino where nobody seems to lose, and to play with a big stack of chips furnished to you by other people, and to have the further assurance that, if anything should ever chance to go wrong, you yourself are guaranteed by the tax dollars of those whose money you are throwing about in the first place! It’s enough to make a cat laugh. These members of the “business community” are indeed not buccaneering and risk-taking innovators. They are instead, to quote my old friend Nicholas von Hoffman about another era, those who were standing around with tubas in their arms on the day it began to rain money. And then, when the rain of gold stopped and the wind changed, they were the only ones who didn’t feel the blast. Daniel Mudd and Richard Syron, the former bosses of Fannie Mae and Freddie Mac, have departed with $9.43 million in retirement benefits. I append no comment.
Another feature of a banana republic is the tendency for tribal and cultish elements to flourish at the expense of reason and good order. Did it not seem quite bizarre, as the first vote on the rescue of private greed by public money was being taken, that Congress should adjourn for a religious holiday—Rosh Hashanah—in a country where the majority of Jews are secular? What does this say, incidentally, about the separation of religion and government? And am I the only one who finds it distinctly weird to reflect that the last head of the Federal Reserve and the current head of the Treasury, Alan Greenspan and Hank “The Hammer” Paulson, should be respectively the votaries of the cults of Ayn Rand and Mary Baker Eddy, two of the battiest females ever to have infested the American scene? That Paulson should have gone down on one knee to Speaker Nancy Pelosi, as if prayer and beseechment might get the job done, strikes me as further evidence that sheer superstition and incantation have played their part in all this. Remember the scene at the end of Peter Pan, where the children are told that, if they don’t shout out aloud that they all believe in fairies, then Tinker Bell’s gonna fucking die? That’s what the fall of 2008 was like, and quite a fall it was, at that.
And before we leave the theme of falls and collapses, I hope you read the findings of the Department of Transportation and the Federal Highway Administration that followed the plunge of Interstate 35W in Minneapolis into the Mississippi River last August. Sixteen states, after inspecting their own bridges, were compelled to close some, lower the weight limits of others, and make emergency repairs. Of the nation’s 600,000 bridges, 12 percent were found to be structurally deficient. This is an almost perfect metaphor for Third World conditions: A money class fleeces the banking system while the very trunk of the national tree is permitted to rot and crash.
At a dinner party in New York during the Wall Street meltdown, where the citizens were still serious enough to do what they are supposed to do—break off the chat and tune in to the speech of the President of the United States and Leader of the Free World—the same impression of living in a surreal country that was a basket-case pensioner of the international monetary system was hugely reinforced. The staring eyes (close enough together for their owner to use a monocle) and the robotic delivery were a fine accompaniment to the already sweaty “Don’t panic. Don’t whatever you do panic!” injunction that was being so hastily improvised. At a White House meeting with his financial wizards—and I mean the term in its literal sense—the same chief executive is reported to have whimpered, “This sucker could go down,” or words to that effect. It’s not difficult to imagine the scene. So add one more banana-republic feature to the profile: a president who is a figurehead one day and a despot the next, and who goes all wide-eyed and calls on witch doctors when the portents don’t seem altogether reassuring.
Now ask yourself another question. Has anybody resigned, from either the public or the private sectors (overlapping so lavishly as they now do)? Has anybody even offered to resign? Have you heard anybody in authority apologize, as in: “So very sorry about your savings and pensions and homes and college funds, and I feel personally rotten about it”? Have you even heard the question being posed? Okay, then, has anybody been fired? Any regulator, any supervisor, any runaway would-be golden-parachute artist? Anyone responsible for smugly putting the word “derivative” like a virus into the system? To ask the question is to answer it. The most you can say is that some people have had to take a slightly early retirement, but a retirement very much sweetened by the wherewithal on which to retire. That doesn’t quite count. These are the rules that apply in Zimbabwe or Equatorial Guinea or Venezuela, where the political big boys mimic what is said about our hedge funds and investment banks: the stupid mantra about being “too big to fail.”
In a recent posting on the New York Times Web site, Paul Krugman said that the Unite
d States was now reduced to the status of a banana republic with nuclear weapons. This is a variation on the old joke about the former Soviet Union (“Burkina Faso with rockets”). It’s also wrong: In fact, it’s the reverse of the truth. In banana republics, admittedly, very often the only efficient behavior is displayed by the army (and the secret police). But our case is rather different. In addition to exhibiting extraordinary efficiency and, most especially under the generalship of David Petraeus, performing some great feats of arms and ingenuity, the American armed forces manifest all the professionalism and integrity that our rulers and oligarchs lack. Who was it who the stricken inhabitants of New Orleans and later of the Texas coastline yearned to see? Who was it who informed the blithering and dithering idiots at FEMA that they could have as many troops as they could remember to ask for, even as volunteers were embarking for Afghanistan and Iraq? What is one of the main engines of integration for blacks and immigrants, as well as one of the finest providers of education and training for those whom the system had previously failed? It may be true that the government has succeeded in degrading our armed forces as well—tasking them with absurdities and atrocities like Guantánamo and Abu Ghraib—but this only makes the banana-republic point in an even more emphatic way.
(Vanity Fair online, October 9, 2008)
An Anglosphere Future13
HAVING DEVOURED the Sherlock Holmes stories as a boy, I did what their author hoped and graduated to his much finer historical novels. The best of these, The White Company, appeared in 1890; it describes the recruitment and deployment of a detachment of Hampshire archers during the reign of King Edward III, a period that, as Arthur Conan Doyle phrased it, “constituted the greatest epoch in English History—an epoch when both the French and the Scottish kings were prisoners in London.”
This book, it’s of interest to note, also influenced Dwight Eisenhower’s boyhood (I owe this information to the extraordinary Arthur Conan Doyle: A Life in Letters, edited by Jon Lellenberg, Daniel Stashower, and Charles Foley). For there came a time when this child of German-American parents also had to muster a considerable force from Hampshire headquarters, and launch them across the Channel in one of the greatest military interventions in history. Of course, on D-Day, Eisenhower took care to have a French leader on his side (admittedly a turbulent and mutinous one), and Scottish regiments were as usual to the fore in the storming of the Atlantic Wall. But it’s funny how one somehow can thrill to the same tradition, whether it’s the medieval yeomen and bowmen of Anglo-Saxondom or the modern, mechanized, multinational coalition against fascism.
Doyle was only a few years from his first trip to the United States when he published The White Company, which he dedicated as follows: “To the hope of the future, the reunion of the English-speaking races, this little chronicle of our common ancestry is inscribed.” Around the same time, two other renowned figures—Cecil Rhodes and Rudyard Kipling—made similar pitches. Two monuments, the Rhodes scholarships and the poem “The White Man’s Burden,” still survive in American life. The purpose of the scholarships was to proselytize for the return of the U.S. to the British imperial fold. The poem, written for Theodore Roosevelt, who passed it to Senator Henry Cabot Lodge, sought to influence the vote of the U.S. Senate on the annexation of the Philippines. (The poem’s subtitle was “The United States and the Philippine Islands.”) In urging the U.S. to pick up the scepter of empire, Kipling had one hope and one fear: hope of Anglo-American solidarity against rising German power; and fear of a revival of the demagogic atmosphere of 1894 and 1895, in which America and Britain almost went to war after the United States, citing the Monroe Doctrine, intervened in a border dispute between Britain and Venezuela.
Doyle’s visit coincided with the height of this anti-British feeling, and at a dinner in his honor in Detroit he had this to say:
You Americans have lived up to now within your own palings, and know nothing of the real world outside. But now your land is filled up, and you will be compelled to mix more with the other nations. When you do so you will find that there is only one which can at all understand your ways and your aspirations, or will have the least sympathy. That is the mother country which you are now so fond of insulting. She is an Empire, and you will soon be an Empire also, and only then will you understand each other, and you will realize that you have only one real friend in the world.
After Detroit, Doyle spent Thanksgiving with Kipling and his American wife, Carrie, in Brattleboro, Vermont. It is of unquantifiable elements such as this that the Anglo-American story, or the English-speaking story, is composed.
To a remarkable extent, Americans continue to assume a deep understanding with the English—one that, in their view, reflects a common heritage much more than it does anything as mundane as a common interest. This assumption, at least as exemplified in the Bush-Blair alliance that sent expeditionary forces to Afghanistan and Mesopotamia, has recently taken a severe bruising on both sides of the Atlantic, as well as north of the U.S. border and in the countries of the antipodes: the historical homelands of the “English-speaking” adventure. The conservative British historian Andrew Roberts, author of the important new book A History of the English-Speaking Peoples Since 1900, regards this as a matter of regret, as do I, though for different reasons. For no less different reasons, he and I believe that the “Anglosphere,” to give it a recently updated name, may have a future as well as a past.
The idea is certainly in the air. Earlier this year, President Bush hosted a lunch for Roberts in the Oval Office, with senior advisers Karl Rove, Stephen Hadley, and Josh Bolten in attendance, and Dick Cheney was seen holding Roberts’s book on a trip to Afghanistan. Other writers, including John O’Sullivan, have recently written about the unique virtues of Anglo-Americanism.
Roberts’s book, though, exhibits some of the potential problems that can befall a defense of the Anglosphere. One shows up in its title. You will notice that Arthur Conan Doyle referred to the English-speaking “races.” On the model of Winston Churchill’s famous book of almost the same name, Roberts prefers the term “peoples.” But this is to make a distinction without much difference. No such thing as an Australian or a Canadian “race” exists, so one either means to describe people of originally Anglo-Saxon “stock” (as we used to say) or one doesn’t. It hasn’t been very long since Lionel Trilling was denied tenure on the grounds, frankly stated, that a Jew could not understand English literature. Without an appreciation of the ways in which the language and ethnicity are quite distinct, a kind of imperialist nostalgia is likely.
Regrettably, Roberts doesn’t always avoid such nostalgia, devoting a major portion of his book to vindicating episodes in the British colonial past that most Tories long ago ceased to defend. He represents General Reginald Dyer’s massacre of protesters in the Indian city of Amritsar in 1919, for example, as a necessary law-and-order measure. He defends the catastrophic Anglo-French-Israeli invasion of Egypt in 1956: a folly that Eisenhower had to terminate. He writes leniently about the white settler regimes in southern Africa. And he never misses an opportunity to insult Irish nationalism, while whitewashing the Tory and Orange policies that led first to rebellion and second to bloody partition.
Determined to shoehorn everything into one grand theory, Roberts also flirts with tautology. For example, he mentions the opening of the Hoover Dam at Boulder City and comments: “The English-speaking peoples had long excelled at creating the wonders of the modern industrial world: the Great Eastern, the Brooklyn Bridge, the Sydney Bridge, the American, Canadian and Australian transcontinental railroads, the Panama Canal among them.” A theory that tries to explain everything explains nothing: We can all think of other countries that have accomplished industrial and engineering marvels.
Further, the many advances in physics and medicine attributed to Jewish refugees in America (especially, for some reason, from Hungary) are slighted if credited to the genius of Englishness. Roberts describes radar as “another vital invention of the Engli
sh-speaking peoples”—an insult to international scientific cooperation. One might add that Ferdinand de Lesseps did not shout orders in English when he organized the building of the Suez Canal. And the Magna Carta wasn’t written in English.
Nonetheless, properly circumscribed, the idea of an “Anglosphere” can constitute something meaningful. We should not commit the mistake of “thinking with the blood,” as D. H. Lawrence once put it, however, but instead emphasize a certain shared tradition, capacious enough to include a variety of peoples and ethnicities and expressed in a language—perhaps here I do betray a bias—uniquely hostile to euphemisms for tyranny. In his postwar essay “Towards European Unity,” George Orwell raised the possibility that the ideas of democracy and liberty might face extinction in a world polarized between superpowers but that they also might hope to survive in some form in “the English-speaking parts of it.” English is, of course, the language of the English and American Revolutions, whose ideas and values continue to live after those of more recent revolutions have been discredited and died.
Consider in this light one of Nelson Mandela’s first acts as elected president of South Africa: applying to rejoin the British Commonwealth, from which South Africa had found itself expelled in the 1960s (by a British Tory government, incidentally) because of its odious racism. Many people forget that the Soweto revolt in the 1980s, which ultimately spelled apartheid’s downfall, exploded after the Nationalist regime made the medium of school instruction exclusively Afrikaans, banning the classroom use of English, along with Xhosa and Zulu.
More recently, in July 2005, Indian prime minister Manmohan Singh came to Oxford University to receive an honorary degree and delivered a speech, not uncontroversial in India itself, in which he observed that many of India’s splendors as a rising twenty-first-century superpower—from railroads to democracy to a law-bound civil service—were the result of its connection with England. “If there is one phenomenon on which the sun cannot set,” Singh observed, “it is the world of the English-speaking peoples, in which the people of Indian origin are the single largest component.” He added that the English language was a key element in the flourishing of India’s high-tech sector. Few would have wanted to point this out, but it was Karl Marx who argued that India might benefit in this way from being colonized by England and not (and he spelled out the alternatives) Russia or Persia or Turkey.
Arguably: Essays by Christopher Hitchens Page 12