by Victor Davis Hanson
Progressives forget their history of breaking up mega-corporations as they lionize tech giants such as Apple, Google, and Facebook.
Progressives used to pressure U.S. corporations to cut back on outsourcing and on the tactic of building their products abroad to take advantage of inexpensive foreign workers.
During the 2012 election, President Obama attacked Mitt Romney as a potential illiberal “outsourcer-in-chief” for investing in companies that went overseas in search of cheap labor.
Yet most of the computers and smartphones sold by Silicon Valley companies are still being built abroad — to mostly silence from progressive watchdogs.
In the case of the cobalt mining that is necessary for the production of lithium-ion batteries in electric cars, thousands of child laborers in southern Africa are worked to exhaustion.
In the 1960s, campuses boycotted grapes to support Cesar Chavez’s unionization of farm workers. Yet it is unlikely that there will be any effort to boycott tech companies that use lithium-ion batteries produced from African-mined cobalt.
Progressives demand higher taxes on the wealthy. They traditionally argue that tax gimmicks and loopholes are threats to the republic.
Yet few seem to care that West Coast conglomerates such as Amazon, Apple, Google, and Starbucks filtered hundreds of billions in global profits through tax havens such as Bermuda, shorting the United States billions of dollars in income taxes.
The progressive movement took hold in the late 19th century to “trust-bust,” or break up corporations that had cornered the markets in banking, oil, steel, and railroads. Such supposedly foul play had inordinately enriched “robber baron” buccaneers such as John D. Rockefeller, Andrew Mellon, Andrew Carnegie, and J. P. Morgan.
Yet today, the riches of multibillionaires dwarf the wealth of their 19th-century predecessors. Most West Coast corporate wealth was accumulated by good old-fashioned American efforts to achieve monopolies and stifle competition.
Facebook, with 2 billion monthly global users, has now effectively cornered social media.
Google has monopolized internet searches — and modulates users’ search results to accommodate its own business profiteering.
Amazon is America’s new octopus. Its growing tentacles incorporate not just online sales but also media and food retailing.
Yet there are no modern-day progressive muckrakers in the spirit of Upton Sinclair, Frank Norris, and Lincoln Steffens, warning of the dangers of techie monopolies or the astronomical accumulation of wealth. Amazon, Apple, Microsoft, and Facebook are worth nearly $1 trillion each.
Conservatives have no problem with anyone doing well, so their silence is understandable. But in the Obama era, the nation received all sorts of progressive lectures on the downsides of being super-rich.
Obama remonstrated about spreading the wealth, knowing when not to profit, and realizing when one has made enough money. He declared that entrepreneurs did not build their own businesses without government help.
Yet such sermonizing never seemed to include Facebook, Starbucks, or Amazon.
The tech and social-media industries pride themselves on their counterculture transparency, their informality, and their 1960s-like allegiance to free thought and free speech. Yet Google just fired one of its engineers for simply questioning the company line that sexual discrimination and bias alone account for the dearth of female Silicon Valley engineers.
What followed were not voices of protest. Instead, Google-instilled fear and silence ensued, in the fashion of George Orwell’s 1984.
On matters such as avoiding unionization, driving up housing prices, snagging crony-capitalist subsidies from the government, and ignoring the effects of products on public safety (such as texting while driving), Silicon Valley is about as reactionary as they come.
Why, then, do these companies earn a pass from hypercritical progressives?
Answer: Their executives have taken out postmodern insurance policies.
Our new J. P. Morgans dress in jeans and T-shirts — like the late Steve Jobs of Apple or Mark Zuckerberg of Facebook — appearing hip and cool.
Executives in flip-flops and tie-dyes can get away with building walls around their multiple mansions in a way that a steel executive in a suit and tie might not.
The new elite are overwhelmingly left-wing. They head off criticism by investing mostly in the Democratic party, the traditional font of social and political criticism of corporate wealth.
In 2012, for example, Obama won Silicon Valley by more than 40 percentage points. Of the political donations to presidential candidates that year from employees at Google and Apple, over 90 percent went to Obama.
One of the legacies of the Obama era was the triumph of green advocacy and identity politics over class.
No one has grasped that reality better that the new billionaire barons of the West Coast. As long as they appeared cool, as they long as they gave lavishly to left-wing candidates, and as long as they mouthed liberal platitudes on global warming, gay marriage, abortion, and identity politics, they earned exemption from progressive scorn.
The result was that they outsourced, offshored, monopolized, censored, and made billions — without much fear of media muckraking, trust-busting politicians, unionizing activists, or diversity lawsuits.
Hip billionaire corporatism is one of the strangest progressive hypocrisies of our times.