The Literature of Capitalism

Transcription

1 The Literature of Capitalism Instructor: Tom Easton Office Hours: By appointment, either after class or on weekends. The animating core of this course is capitalism a descriptive term that has become incendiary in many parts of the world, and at the moment, in America. The class does not take a position, instead relying on literature, both fiction and non-fiction, to raise many different views presented in many different ways with the intent of providing the students with not only a deep perspective, but intellectual traction for further study and their own conclusions. In content, the course intertwines history, economic ideas, and literature to examine two related questions that underpin the discussion of capitalism, and of healthy societies: what enables success and at what cost does success come. There will be weekly reading (or in one case watching) assignments that are introduced, roughly, in chronological order. These are extensive and students would be wise to begin prior to the start of school, particularly Atlas Shrugged, which is an easy read but very long. As the course progresses, it will be apparent that the presentation styles evolve an important element by itself in the study of literature - but the two questions persist. They propel the narratives and reveal tensions that are at the core of issues that individuals and societies struggle to resolve. A beneficial consequence of the material is that it collectively provides a historical overview helpful in understanding many jarring recent events, including the global financial crisis and its unresolved, fractious, aftermath, along with much of the current political debate about the role of companies and the state. Requirements include class participation and weekly essays of fewer than 700 words and a longer final assignment tying the semester together. Writing short essays is an art form and the goal of the course is for you to develop the ability to do these quickly. This may be difficult at first, but over time will become much easier as you begin to formulate your points and highlight supporting passages in the process of reading the material. An example of short essay writing can be found in the book review sections of the Economist or Wall Street Journal. Because the writing assignments are intended to stretch imaginations, they do not follow a common structure, be it what is used by a newspaper or an academic paper. In the third week, for example, I ask you to write a letter. Later in the semester, there is an assignment for a short movie review as if you were one of the other authors in the course. Regardless of the form, however, the goal is to put forward compelling ideas that flow from one paragraph to the next, ending in a strong conclusion. Many of the best writers and cohesive thinkers I have worked with attribute their fluidity to having been required to read their papers out loud so the class will use this approach. Students will be selected on a rotating basis and their work will be used as focal points for class discussions. Students may also be assigned to present summaries and lead discussions on the brief supplemental readings Required Texts: The Wealth of Nations, Book 1; Adam Smith (1776) The Overcoat, Nikolai Gogol (1842) The Communist Manifesto, Marx and Engels (1848) 1

2 Self Help, Samuel Smiles (1859) Ragged Dick and Struggling Upward, Horatio Alger (1867) Where the Money Grows, Garet Garrett (1911) The Rise of David Levinsky, Abraham Cahan (1917) The Doctrine of Fascism, Benito Mussolini (1932) The Nature of The Firm (1937), Ronald Coase The Road to Serfdom (1944; abridged version, 1972), Friedrich Hayek Atlas Shrugged, Ayn Rand (1957) The Doctrine of Fascism, Benio Mussolini (date uncertain) The White Tiger, Aravind Adiga (2008) Tiger s Heart: the Story of a Modern Chinese Woman, Aisling Junjuan Shen (2009) How to get Filthy Rich in Rising Asia, Moshin Hamid (2013) The Forgotten Man (graphic novel version, 2014), Amity Shlaes Required Movie: It s a Wonderful Life Additional Reading (No need to purchase these though ones starred are worth owning. All will be on library reserve) Why Capitalism*, Allan Meltzer (2012) listed first because it is helpful The Law*, Frederic Bastiat (1854) On Liberty*, John Stuart Mill (1859) The Lives of Engineers, Samuel Smiles (1861) Elements of Political Economy, Arthur Latham Perry (1872 edition) Essays, Andrew Carnegie (1881) The Jungle, Upton Sinclair (1906) South of the Slot (1909), Jack London Other People s Money, Louis Brandeis (1914) Babbit, Sinclair Lewis (1922) Reminiscences of a Stock Market Operator Edwin Lefevre (1923) Where are the customers' yachts, Fred Schwed Jr (1940) The Great Transformation, Karl Polyani (1944) Capitalism and Freedom, Milton Friedman (1962) The Go-Go Years, John Brooks (1973) Equality and Efficiency, Arthur Okun (1975) A Conspiracy of Paper, David Liss (2001) Old School (2003), Tobias Wolf Free Market Fairness (2012), John Tomasi Capital in the Twenty-First Century, Piketty (2014) Week One: The American Dream Ragged Dick, Horatio Alger 2

3 The Communist Manifesto, Karl Marx and Friedrich Engels The frequent popular use of Horatio Alger s writing as a metaphor for the American dream makes it a core part of the course, and you will return to it many times throughout the semester in your essays. So to with The Communist Manifesto. They will be central to the class discussions but not a required part of the first essay. Instead, the first assignment looks at a fundamental component of capitalism and modern life: the company. Why does it exist? Feel free to use outside sources or not. You are also free to attack the very idea of a company. There is no need to take a position you think might overlap with another person s. The point of the paper is to think about a social structure that resembles, but is not the same, as a city or a country or a religious hierarchy. The goal of this essay is to put forward a cohesive set of thoughts in an interesting and imaginative way and the grade will not depend on an answer being correct. The question will be revisited in week eleven. Week Two: The Rise of Big Business Self Help, by Samuel Smiles. The book is a series of descriptions of entrepreneurs who played critical roles in what has generally been referred to as the industrial revolution. Smiles s writing reflects the apogee of societal acceptance of the virtues of capitalism and business. It is a compendium of biographies of people that fit the Horatio Alger template. Please flip through the book and choose several of these vignettes to read, in total no more than 80 pages. As you will see, the stories differ in detail but repeat in what they tell. Additional reading: Excerpts from The Wealth of Nations by Adam Smith (possible presentation by students). The selections are very brief. They are intended to capture some of Smith s most famous observations and provide exposure to a person whose words have never been absent from public debate since their publication in We have brought Mr. Smiles back to life. Please write him a letter and tell him what you think about Self Help. Feel free to contest his views, suggest why his thoughts on the structure of society are obsolete, or, conversely, why you found his ideas are still valuable. In the process, consider including Mr Smith, who you may similarly applaud or contest. Week Three: The Crushing Weight of Capitalism The Overcoat, Nikolai Gogol Atlas Shrugged, Part 1 3

4 Additional reading: The Communist Manifesto, Karl Marx and Friedrich Engels Gogol provides a harsh take on the state, on business, and on humanity. Who or what is the villain in this book? Is the fault in the system? Does any offer a path to a better life for the protagonist? The optional reading is truly optional far less important than completing Gogol s short story, the beginning of Atlas Shrugged and your essay. Week Four: Alger Revisited, the Plight of Immigrant Labor and the Rise of Finance The Rise of David Levinsky, Abraham Cahan. Read through page 215. Stop where Dora begins. Additional reading: Excerpts from Lombard Street, Walter Bagehot How do these readings treat the responsibilities of workers to their employees, and what are the consequences? Are the characters moral? Immoral? Criminals? Should their approach to business be tolerated? As an aside for class discussion, imagine the biography of the author (don t peek!). For the class discussion: Bagehot is another writer whose insights continue to be cited long after his death. He is not particularly difficult to read, but his work shares some of the same issues that come with Smiles and Smith: their style is somewhat archaic. What does he have to say about Levinsky and the new economic order? Week Five: Wall Street Characters Where the Money Grows, Garet Garrett. Atlas Shrugged, Part 2 Garrett was one of the more famous writers of the early to mid-20 th century who is now largely forgotten. Where the Money Grows is considered to provide one of the finest portraits of Wall Street in its many hues. The writing assignment should address the following two questions: Are these men villains or heroes? Are they necessary? Week Six: The heavy visible hand of the state 4

5 The Forgotten Man, graphic novel, Amity Shlaes Additional reading: Atlas Shrugged, Part 2, second half. Shlaes book is a twist on the conventional history of the 1930s and the presentation, through the use of a graphic novel, is innovative. The assignment is to write a review of the book Week Seven: Hollywood s Portrayal of Capitalism Required watching: It s a Wonderful Life (1946). This movie is cited constantly and the continued existence of small banks is often attributed to its message. Additional Reading: Milton Friedman: The Social Responsibility of Business is to increase profits. New York Times Magazine, September 13 th, Is there any defense for Potter s demands, or flaw in George Bailey s actions? Week Eight: Capitalism vs. Statism Atlas Shrugged, Part 3 The Doctrine of Fascism, Benito Mussolini Assume Rand happens to be a student in this class and has been assigned to write essays on the material you have already reviewed. Please write, from her perspective, a review of It s a Wonderful Life, David Levinsky, and the Overcoat.. Week nine: An Economist s Defense of Capitalism Road to Serfdom, F.A. Hayek (abridged edition) Theory of the Firm, Ronald Coase Please rewrite your assignment from Week Two, positing why you think a company exists (or why it should not). 5

6 Theme for the final three weeks: Horatio Alger in the 2000s (and Asia) tied to three countries, first Pakistan, then India, then China Week Ten: Horatio Alger in Modern Pakistan How to Get Filthy Rich in Rising Asia (2013), Mohsin Hamid This book was hugely controversial in Pakistan, as was next week s reading in India. Why did the book end as it did? Could you, or would you, structure an alternative ending? Week Eleven: Horatio Alger in Modern India The White Tiger, Aravind Adiga (2008) Optional Reading On Liberty, John Stuart Mill Is the character moral? Is there a place for a moral system in his world? Week Twelve: Horatio Alger in Modern China A Tiger s Heart: the Story of a Modern Chinese Woman, Aisling Juanjuan Shen Welfare not Market Value, Oliver Hart and Luigi Zingalis, Journal of Law, Finance and Accounting. What does her rise say about capitalism and law? About relationships and appearances? How would you compare this book to the many others read during the semester with similar themes? Does the treatment of capitalism differ in substance or merely appearance? This paper should bring together the issues raised in the course and be longer than the normal length). Attendance Course Policies 6

7 Attendance is Mandatory. More than one unexcused absence will result in your advisor being contacted; it may affect your grade. The same holds true for coming late or leaving early. If you will miss a class, please notify me. Reading is still required. Handing in assignments A dropbox account will be created with a folder for each weekly assignment and for your name. Assignments are due at 5 pm the day before the class so I can have all papers read. Additionally, please bring two copies of your essays to class. Electronics Food s can be checked only during the break; the use of computers during class is not permitted nor are recordings in any form (which would impede spontaneity and openness in class conversation). It is impermissible to read your assignment from a cell phone or any electronic device. Coffee or tea is fine if allowed by NYU. So too is food, as long as it is not vexing to classmates. There will be a break in the middle of each class. Timeliness Please be prompt. If you are late, your grade will be reduced. Office hours I will try to meet with each student at least once in the semester and will be available to meet more frequently. Typically, this will be after the class but depending on student interest, I may be available on weekends. Reading, writing, commenting and grading The reading is essential. It is what will remain with you years from now and will open up other areas for inquiry during the rest of your time in college. Your contribution to the class discussions comes in two forms: the reading of your essays and your comments. Grades will be derived from the weekly papers (60%-to-70%), 20% on class contributions and 10% to 20% from the final paper. As noted above, each week I will evaluate your papers using a three-level metric. This will be distinct from the final grade which will follow the NYU conventions. There may be some special projects assigned to teams of students on critical ideas that will result in a presentation. Goals of the class: to become conversant with crucial ideas and writers, develop writing skills and gain intellectual traction that will allow for further academic inquiry. The course is constructed around an idea that has been at the center of incendiary debate throughout recorded history and doubtless before. It will not attempt to be encompassing nor even a survey. Instead, it should serve as an intellectual appetizer 7

8 comprised of fine writers and difficult insights. Among the ancillary benefits is that you will confront the words of authors who are commonly cited but rarely read, a key distinction between those who are genuinely thoughtful and those who merely echo the insights of others. More importantly, it will lead to a better understanding of wrenching debates about how a society should be organized. In the process, it will show how economic insights converge with life to create literature. 8