The legacy system is affirmative action for the privileged.
We progressives hail opportunity, egalitarianism and diversity. Yet here’s our dirty little secret: Some of our most liberal bastions in America rely on a system of inherited privilege that benefits rich whites at the expense of almost everyone else.
I’m talking about “legacy preferences” that elite universities give to children of graduates. These universities constitute some of the world’s greatest public goods, but they rig admissions to favor applicants who already have had every privilege in life.
.. Most of the best universities in America systematically discriminate in favor of affluent, privileged alumni children. If that isn’t enough to get your kids accepted, donate $5 million to the university, and they’ll get a second look.
.. Reeves noted the irony that in Europe and most of the rest of the world, there is no such explicit system of legacy preferences, yet in supposedly egalitarian America it is formal and systematic.
.. Isn’t it a bit hypocritical that institutions so associated with liberalism should embrace a hereditary aristocratic structure? Ah, never underestimate the power of self-interest to shape people’s views. As Reeves put it dryly: “American liberalism tends to diminish as the issues get closer to home.”
.. having a parent graduate increased the chance of admission at 30 top colleges by 45 percentage points. For example, a candidate who otherwise had a 20 percent shot became a 65 percent prospect with a parent who had graduated from that school.
.. Earlier, a 2004 Princeton study estimated that legacy at top schools was worth an additional 160 points on an SAT, out of 1600 points.
Legacy preferences apparently were introduced in America in the early 1900s as a way to keep out Jewish students. To their credit, some American universities, including M.I.T. — not to mention Oxford and Cambridge in Britain — don’t give a legacy preference.
The top universities say that legacy preferences help create a multigenerational community of alumni, and that’s a legitimate argument. They also note that rewarding donors helps encourage donations that can be used to finance scholarships for needy kids.
Yet on balance, I’m troubled that some of America’s greatest institutions grant a transformative opportunity disproportionately to kids already steeped in advantage, from violin lessons to chess tournaments to SAT coaching. On top of that, letting wealthy families pay for extra consideration feels, to use a technical term, yucky.
Liberals object to the Supreme Court’s Citizens United decision allowing tycoons to buy political influence, so why allow tycoons to buy influence in college admissions?
Kavanaugh has reported credit card debts that exceeded $15,000 for six of his 12 years on the U.S. Court of Appeals for the D.C. Circuit. At the end of 2016, those debts ranged between $45,000 to $150,000 and were spread among three credit cards, before being paid off sometime last year.
There was never a hint of anything irresponsible about anything that he did,” said Bob Bittman, a Washington lawyer who worked with Kavanaugh in the Kenneth W. Starr-led independent counsel’s office. “But apparently he was in debt. I believe it was temporary or there was a plan to get out of it, or he was going to be repaid by friends. He’s not the type of guy who does things to keep up with the Joneses.”
.. The same year he accumulated the highest debts of his judicial tenure, Kavanaugh also joined the Chevy Chase Club — an elite country club that counts Chief Justice John G. Roberts Jr. among its members and, as of 2017, required a $92,000 initiation fee and annual dues of more than $9,000.
“It’s a place where your children can be on the swim team, learn to play tennis and play in an ice hockey league. It’s a family-focused environment,” said Helgi Walker, a Washington lawyer and friend of Kavanaugh’s who also belongs to the club.
.. “Certainly living in the D.C. area there is a keeping-up-with-the-Joneses mentality. People who you may think are quite wealthy based on their spending or how they carry themselves are not actually that wealthy. And it all comes down to, are you continually saving?”
.. Several friends of Kavanaugh described him as frugal.
.. At the same time, as Kavanaugh established his legal and family reputation, he went about adopting the trappings of a 1-percenter — and accumulating large amounts of debt in the process.
.. The same year he became a judge, Kavanaugh and his wife purchased a $1.2 million home in the Village of Chevy Chase Section 5
.. Despite living in a top public school district, Kavanaugh views the price tag of a Catholic education as a necessary expense, those close to the family said. He has publicly said that his Catholic school upbringing played a significant role in shaping his values.
I live at the intersection of politics and religion. . . . My faith impels me into the public square. It is abundantly clear that Pope Francis is correct when he says that faith has real consequences in the world . . . and these consequences involve politics. . . .
.. At NETWORK, we often say that our care for the common good is care for “the 100%” instead of the 99% or the 1%. . . .
.. God is alive in all. No one can be left out of my care. Therefore this political work is anchored in caring for those whom we lobby as well as those whose cause we champion. This was illustrated for me . . . when I was with four of my colleagues lobbying a Republican Senator on healthcare legislation. I commented on the story of a constituent and asked her how her colleagues could turn their eyes away from the suffering and fear of their people. . . .
She said that many of her colleagues . . . did not get close to the candid stories of their people. In fact, some did not see these constituents as “their people.” Tears sprang to my eyes at her candor and the pain that keeps us sealed off from each other because of political partisanship.
.. our position “for the 100%” requires an empathy that stretches my being beyond my imagining. Finding a way to not vilify or divide into “them” and “us” in today’s federal politics goes against . . . current custom.
we talk a lot about the “post-war capital-labor accord” and the golden age of the 1940s-1970s. In these years, inequality went down, unions flourished, civil rights laws were passed along with LBJ’s Great Society programs like Medicare, etc. Corporations saw themselves as not just profit-seeking nexuses-of-contracts but also as institutions with duties to their stakeholders – employees, local community organizations, etc.
.. Then everything went to hell in the 1970s. Oil shocks, poor economic performance, large increases in foreign competition, an overheated economy created by the meeting of increased social spending and increased military spending, all combined to create massive inflation and other sorts of economic upheaval.
.. union contracts were blamed for causing inflation and big business began to push for
regulatory changes (to fight the hated EPA and OSHA, along with unions) and increased layoffs.
Institutional investors, growing rapidly in size in part *because* of the prosperity of the “golden age” (e.g. the massive pension funds like CALPERS and TIAA-CREF), began to demand discipline from corporations unused to having to listen to anyone
.. Changes in financial regulations and institutions made possible the junk bond market and, in turn, a more active market for corporate control – suddenly, large firms that were used to making acquisitions became targets.
.. by the mid-1980s, the golden age had ended along with the capital-labor accord and something new had begun – perhaps we can call it the “neoliberal era
.. This era’s hallmarks include the dramatic decline in unions, massive increases in the share of wealth going to the top 1% and .1% (cf. Piketty and Saez), massive increases in the share of profits going to finance (cf. Krippner 2005), and an overall change in the way that corporations perceived themselves.
.. No longer institutions with obligations beyond profit-seeking, corporations became (thought of as) legal fictions that served the sole purpose of maximizing shareholder value
.. The old dominant strategy of firms was to “retain and reinvest”, the new mantra was to “downsize and distribute”
.. The old model of the firm was GM – a massive, vertically integrated institution that dominated a market and did everything in-house. The new model was the “Original Equipment Manufacturer” (OEM), a firm like Nike that designs a product and markets it but outsources and off-shores as much of the actual producing, distributing, etc. The firm is now a brand, an identity demarcating a certain set of contracts, whose value is more about intangibles than men and machines.
.. Okun’s Law is an economic relationship between the magnitude of an economic downturn (in terms of real GDP) and increases in unemployment
.. if GDP (production and incomes, that is) rises or falls two percent due to the business cycle, the unemployment rate will rise or fall by one percent. The magnitude of swings in unemployment will always be half or nearly half the magnitude of swings in GDP.
.. The last downturns – 1991ish, 2001ish and the current moment – have all been characterized by “jobless recoveries” or, more broadly, much larger decreases and much smaller increases in unemployment than would be predicted by Okun’s law.
.. “businesses will tend to “hoard labor” in recessions, keeping useful workers around and on the payroll even when there is temporarily nothing for them to do”.
.. Manufacturing firms used to think that their most important asset was skilled workers. Hence they hung onto them, “hoarding labor” in recessions. And they especially did not want to let go of their prime productive asset when the recovery began. Skilled workers were the franchise. Now, by contrast, it looks as though firms think that their workers are much more disposable—that it’s their brands or their machines or their procedures and organizations that are key assets.
.. The 1980s saw a reordering of the world – a transition from a period governed by one set of rules that privileged the relationship between businesses and their employees to one that privileged (relatively speaking, in ideology anyway) shareholders.
.. What variables should we care about, if GDP seems to be connected less to welfare than it used to be?
.. the neoliberal period is marked by dramatic, mind-boggling increases in executive compensation without, as far as I know, any signs of better performance or increased shareholder value.