The "Radicalization of the Politics of Great Wealth" or "Why the Rich Are Colossal Dicks"

Josh Marshall has a great piece on why the obscenely rich are suddenly so defensive about their wealth. ("Colossal Dicks" is my phrase (lifted from Charlie Pierce), not Josh's.)

There is a disconnect there that is so massive and glaring that it demands some sociocultural explanation. I've written about this before. But I confess not terribly well because I've found it a difficult issue to get my arms fully around and to reorient my focus on day to day events to the longer horizon. But I do think it's one of the core political and economic issues of our time and deserves real explanation.

I first started noticing this when I saw several years ago that many of the wealthiest people in the country, especially people in financial services, not only didn't support Obama (not terribly surprising) but had a real and palpable sense that he was out to get them. This was hard to reconcile with the fact that Obama, along with President Bush, had pushed through a series of very unpopular laws and programs and fixes that had not only stabilized global capitalism, saved Wall Street but saved the personal fortunes (and perhaps even the personal liberty) of the people who were turning so acidly against him. Indeed, through the critical years of 2009, 10 and 11 he was serving as what amounted to Wall Street's personal heat shield, absorbing as political damage the public revulsion at the bailout policies that had kept Wall Street whole.

Let's start by stipulating that no one expects the extremely wealthy to react happily to mounting discussion of wealth and income inequality or left-wing diatribes about "the 1%." But again, the reaction is extreme and excessive and frequently runs into less comical versions of Perkins' screed, with weird fears of persecution and threat from the folks who quite truly rule the roost.

To oversimplify: socioeconomic acrophobia, 2008 whiplash, genuine fear of loss and the first progressive president in 40 years.

Put it all together and you get the climate in which someone like Perkins writes something as ridiculous as he did. As I said up top, his Holocaust analogy is so hyperbolic and ridiculous that he's getting dumped on by almost everyone. But we miss the point if we see this in isolation or just the rant of one out-of-touch douchebag. It is pervasive. The disconnect between perception and reality, among such a powerful segment of the population, is in itself dangerous. And it's led to what I would call a significant radicalization of the politics of extreme wealth. My evidence for this is only anecdotal. But it's come up in conversations I've had with many business reporters who cover these folks on a daily basis.

We take it more or less rightly as a given that people in finance will have generally right-leaning politics - low taxes, tight money, lax regulatory regimes. Basically traditional money Republicanism. But over the last few years (since 2008), I think there's been a pretty dramatic growth in what we'd call Tea Party politics in that set - extreme conservatism that goes beyond hands off fiscal and regulatory policy, the kind of feverish mindset in which you could write with a straight face that progressives might be building toward some sort of mass wealth confiscation or internment or even extermination for the likes of Tom Perkins.

Like I said. Colossal Dicks.