January 14, 2014

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Kevin Williamson introduces us to an America we can barely imagine. 

Owsley County, Ky. – There are lots of diversions in the Big White Ghetto, the vast moribund matrix of Wonder Bread–hued Appalachian towns and villages stretching from northern Mississippi to southern New York, a slowly dissipating nebula of poverty and misery with its heart in eastern Kentucky, the last redoubt of the Scots-Irish working class that picked up where African slave labor left off, mining and cropping and sawing the raw materials for a modern American economy that would soon run out of profitable uses for the class of people who 500 years ago would have been known, without any derogation, as peasants. Thinking about the future here and its bleak prospects is not much fun at all, so instead of too much black-minded introspection you have the pills and the dope, the morning beers, the endless scratch-off lotto cards, healing meetings up on the hill, the federally funded ritual of trading cases of food-stamp Pepsi for packs of Kentucky’s Best cigarettes and good old hard currency, tall piles of gas-station nachos, the occasional blast of meth, Narcotics Anonymous meetings, petty crime, the draw, the recreational making and surgical unmaking of teenaged mothers, and death: Life expectancies are short — the typical man here dies well over a decade earlier than does a man in Fairfax County, Va. — and they are getting shorter, women’s life expectancy having declined by nearly 1.1 percent from 1987 to 2007

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If the people here weren’t 98.5 percent white, we’d call it a reservation. …

 

… There is here a strain of fervid and sometimes apocalyptic Christianity, and visions of the Rapture must have a certain appeal for people who already have been left behind. Like its black urban counterparts, the Big White Ghetto suffers from a whole trainload of social problems, but the most significant among them may be adverse selection: Those who have the required work skills, the academic ability, or the simple desperate native enterprising grit to do so get the hell out as fast as they can, and they have been doing that for decades. …

 

… There is not much novelty in Booneville, Ky., the seat of OwsleyCounty, but it does receive a steady trickle of visitors: Its public figures suffer politely through a perverse brand of tourism from journalists and do-gooders every time the U.S. Census data are recalculated and it defends its dubious title as poorest county in these United States. …

 

… it turns out that the local economy runs on black-market soda the way Baghdad ran on contraband crude during the days of sanctions.

 

It works like this: Once a month, the debit-card accounts of those receiving what we still call food stamps are credited with a few hundred dollars — about $500 for a family of four, on average — which are immediately converted into a unit of exchange, in this case cases of soda. On the day when accounts are credited, local establishments accepting EBT cards — and all across the Big White Ghetto, “We Accept Food Stamps” is the new E pluribus unum – are swamped with locals using their public benefits to buy cases and cases — reports put the number at 30 to 40 cases for some buyers — of soda. Those cases of soda then either go on to another retailer, who buys them at 50 cents on the dollar, in effect laundering those $500 in monthly benefits into $250 in cash — a considerably worse rate than your typical organized-crime money launderer offers — or else they go into the local black-market economy, where they can be used as currency in such ventures as the dealing of unauthorized prescription painkillers — by “pillbillies,” as they are known at the sympathetic establishments in Florida that do so much business with Kentucky and West Virginia that the relevant interstate bus service is nicknamed the “OxyContin Express.” A woman who is intimately familiar with the local drug economy suggests that the exchange rate between sexual favors and cases of pop — some dealers will accept either — is about 1:1, meaning that the value of a woman in the local prescription-drug economy is about $12.99 at Walmart prices. …

 

… For the smart and enterprising people left behind, life can be very comfortable, with family close, a low cost of living, beautiful scenery, and a very short climb to the top of the social pecking order. The relative ease of life for the well-off and connected here makes it easy to overlook the real unpleasant facts of economic life, which helps explain why Booneville has a lovely new golf course, of all things, but so little in the way of everyday necessities. The county seat, run down as parts of it are, is an outpost of civilization compared with what surrounds it for 50 miles in every direction. Stopping for gas on KY-30 a few miles past the OwsleyCounty line, I go looking for the restroom and discover instead that the family operating the place is living in makeshift quarters in the back. Margaret Thatcher lived above her family’s shop as a little girl, too, but a grocer’s in Grantham is a very different thing from a gas station in Kentucky, with very different prospects. …

 

… This is not the land of moonshine and hill lore, but that of families of four clutching $40 worth of lotto scratchers and crushing the springs on their beaten-down Camry while getting dinner from a Phillips 66 station.

 

This is about “the draw.”

 

“The draw,” the monthly welfare checks that supplement dependents’ earnings in the black-market Pepsi economy, is poison. It’s a potent enough poison to catch the attention even of such people as those who write for the New York Times. Nicholas Kristof, visiting nearby Jackson, Ky., last year, was shocked by parents who were taking their children out of literacy classes because the possibility of improved academic performance would threaten $700-a-month Social Security disability benefits, which increasingly are paid out for nebulous afflictions such as loosely defined learning disorders. “This is painful for a liberal to admit,” Kristof wrote, “but conservatives have a point when they suggest that America’s safety net can sometimes entangle people in a soul-crushing dependency.”

 

There is much here to confound conservatives, too. Jim DeMint likes to say that marriage is our best anti-poverty program, and he also has a point. But a 2004 study found that the majority of impoverished households in Appalachia were headed by married couples, not single mothers. Getting and staying married is not a surefire prophylactic against poverty. Neither are prophylactics. …

 

… In effect, welfare has made Appalachia into a big and sparsely populated housing project — too backward to thrive, but just comfortable enough to keep the underclass in place. There is no cure for poverty, because there is no cause of poverty — poverty is the natural condition of the human animal. It is not as though labor and enterprise are unknown here: Digging coal is hard work, farming is hard work, timbering is hard work — so hard that the best and brightest long ago packed up for Cincinnati or Pittsburgh or Memphis or Houston. There is to this day an Appalachian bar in Detroit and ex-Appalachian enclaves around the country. The lesson of the Big White Ghetto is the same as the lessons we learned about the urban housing projects in the late 20th century: The best public-policy treatment we have for poverty is dilution. But like the old project towers, the Appalachian draw culture produces concentration, a socio­economic Salton Sea that becomes more toxic every year.

 

“The government gives people checks, but nobody teaches them how to live,” says Teresa Barrett, a former high-school principal who now publishes the OwsleyCounty newspaper. “You have people on the draw getting $3,000 a month, and they still can’t live. When I was at the school, we’d see kids come in from a long weekend just starved to death. But you’ll see those parents at the grocery store with their 15 cases of Pepsi, and that’s all they’ve got in the buggy — you know what they’re doing. Everybody knows, nobody does anything. And when you have that many people on the draw, that’s a big majority of voters.” …

 

… There is another Booneville, this one in northern Mississippi, just within the cultural orbit of Memphis and a stone’s throw from the two-room shack in which was born Elvis Presley, the Appalachian Adonis. There’s a lot of Big White Ghetto between them, trailers and rickety homes heated with wood stoves, the post-industrial ruins of old mills and small factories with their hard 1970s lines that always make me think of the name of the German musical group Einstürzende Neubauten — “collapsing modern buildings.” (Some things just sound more appropriate in German.) You swerve to miss deer on the country roads, see the rusted hulk of a 1937 Dodge sedan nestled against a house and wonder if somebody was once planning to restore it – or if somebody just left it there on his way to Detroit. You see the clichés: cars up on cinderblocks, to be sure, but houses up on cinderblocks, too. And you get a sense of the enduring isolation of some of these little communities: About 20 miles from Williamsburg, Ky., I become suspicious that I have not selected the easiest route to get where I’m going, and stop and ask a woman what the easiest way to get to Williamsburg is. “You’re a hell of a long way from Virginia,” she answers. I tell her I’m looking for Williamsburg, Kentucky, and she says she’s never heard of it. It’s about the third town over, the nearest settlement of any interest, and it’s where you get on the interstate to go up to Lexington or down to Knoxville. “I went to Hazard once,” she offers. The local economic-development authorities say that the answer to Appalachia’s problems is sending more people to college. Sending them to Nashville might be a start. …

 

 

George Will writes on the importance of families.

… If America is to be equitable, with careers open to all talents and competent citizens capable of making their way in an increasingly demanding world, Americans must heed the warnings implicit in observations from two heroes of modern conservatism. In “The Constitution of Liberty” (1960), Friedrich Hayek noted that families are the primary transmitters of human capital — habits, mores, education. Hence families, much more than other social institutions or programs, are determinative of academic and vocational success. In “The Unheavenly City” (1970), Edward C. Banfield wrote: “All education favors the middle- and upper-class child, because to be middle or upper class is to have qualities that make one particularly educable.”

Elaborating on this theme, Jerry Z. Muller, a Catholic University historian, argued in the March-April 2013 issue of Foreign Affairs that expanding equality of opportunity increases inequality because some people are simply better able than others to exploit opportunities. And “assortative mating” — likes marrying likes — concentrates class advantages, further expanding inequality. As Muller said, “formal schooling itself plays a relatively minor role in creating or perpetuating achievement gaps” that originate “in the different levels of human capital children possess when they enter school.”

The Cato Institute’s Brink Lindsey argued in “Human Capitalism: How Economic Growth Has Made Us Smarter — and More Unequal” that this growth intensifies society’s complexity, which “has opened a great divide between those who have mastered its requirements and those who haven’t.” Modernity — education-based complexity — intensifies the demands on mental abilities. People invest increasingly in human capital — especially education — because status and achievement increasingly depend on possession of the right knowledge.

Lindsey cited research showing that “by the time they reach age 3, children of professional parents have heard some 45 million words addressed to them — as opposed to only 26 million words for working-class kids, and a mere 13 million words in the case of kids on welfare.” So, class distinctions in vocabularies are already large among toddlers. …

 

 

Don Boudreaux has a great thought on inequality.

Suppose that Jones chooses a career as a poet. Jones treasures the time he spends walking in the woods and strolling city streets in leisurely reflection; his reflections lead him to write poetry critical of capitalist materialism. Working as a poet, Jones earns $20,000 annually.

Smith chooses a career as an emergency-room physician. She works an average of 60 hours weekly and seldom takes a vacation. Her annual salary is $400,000. Is this “distribution” of income unfair? Is Smith responsible for Jones’ relatively low salary? Does Smith owe Jones money? If so, how much? And what is the formula you use to determine Smith’s debt to Jones?

While Dr. Smith earns more money than does poet Jones, poet Jones earns more leisure than does Dr. Smith. Do you believe leisure has value to those who possess it? If so, are you disturbed by the inequality of leisure that separates leisure-rich Jones from leisure-poor Smith? Do you advocate policies to “redistribute” leisure from Jones to Smith—say, by forcing Jones to wash Smith’s dinner dishes or to chauffeur Smith to and from work? If not, why not?

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