The Great Democracy

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by Ganesh Sitaraman


  11. Amy Chua, “Tribal World,” Foreign Affairs (July/Aug. 2018).

  12. Sitaraman, Crisis of the Middle-Class Constitution, at 52–53; Ganesh Sitaraman, “Economic Inequality and Constitutional Democracy,” in Constitutional Democracy in Crisis? (Mark A. Graber, Sanford Levinson & Mark Tushnet, eds., 2018).

  13. Francis Fukuyama, Identity 130 (2018).

  CHAPTER 6: UNITED DEMOCRACY

  1. An arresting account of the tension between liberalism and democracy is Chantal Mouffe, “Carl Schmitt and the Paradox of Liberal Democracy,” 39–40, in The Challenge of Carl Schmitt (Chantal Mouffe, ed., 1999), and particularly so given Schmitt’s overall corpus.

  2. Jacob T. Levy, “Beyond Publius: Montesquieu, Liberal Republicanism, and the Small-Republic Thesis,” 27 History of Political Thought 50 (Spring 2006); Montesquieu, The Spirit of the Laws I.16 (Cambridge University Press, 1989).

  3. Federalist No. 10 (Madison) (Clinton Rossiter, ed., 1999); Ganesh Sitaraman, The Crisis of the Middle-Class Constitution 102–103 (2017).

  4. Lilliana Mason, Uncivil Agreement: How Politics Became Our Identity 25 (2018).

  5. For a critique of the ethics of a liberal procedural republic, see Michael J. Sandel, Democracy’s Discontent: America in Search of a Public Philosophy (1996).

  6. On Bacon’s Rebellion, see Edmund S. Morgan, American Slavery, American Freedom 328 (2003).

  7. C. Vann Woodward, Tom Watson: Agrarian Rebel 220, 221, 238–240 (1963) (1938).

  8. Martin Luther King Jr., Address at the Conclusion of the Selma to Montgomery, Mar. 25, 1965, https://kinginstitute.stanford.edu/king-papers/documents/address-conclusion-selma-montgomery-march; Woodward, Tom Watson, at 370–372, 432.

  9. Bob Herbert, “An Empty Apology,” New York Times, July 18, 2005; Rick Perlstein, “Exclusive: Lee Atwater’s Infamous 1981 Interview on the Southern Strategy,” Nation, Nov. 13, 2012, https://www.thenation.com/article/exclusive-lee-atwaters-infamous-1981-interview-southern-strategy/.

  10. Al From, The New Democrats and the Return to Power 73–74 (2013).

  11. Ta-Nehisi Coates, “Why Precisely Is Bernie Sanders against Reparations?,” Atlantic, Jan. 19, 2016, https://www.theatlantic.com/politics/archive/2016/01/bernie-sanders-reparations/424602/.

  12. David Weigel, “Clinton in Nevada: ‘Not Everything Is about an Economic Theory,’” Washington Post, Feb. 13, 2016.

  13. Asad Haider, Mistaken Identity: Race and Class in the Age of Trump 9–10 (2018); Zach Carter, “Clinton Aide: Protestors Don’t Want $15 an Hour,” Huffington Post, https://www.huffingtonpost.com/entry/trump-protesters-15-hour_us_58a1efe1e4b03df370d8db2b.

  14. Martin Luther King Jr., “My Pilgrimage to Nonviolence,” Sept. 1, 1958, https://kinginstitute.stanford.edu/king-papers/documents/my-pilgrimage-nonviolence.

  15. Raina Lipsitz, “Alexandria Ocasio-Cortez Fights the Power,” Nation, June 22, 2018, https://www.thenation.com/article/alexandria-ocasio-cortez-fights-power/.

  16. Haider, Mistaken Identity, at 7–9.

  17. Yuval Levin, “Taking the Long Way,” First Things, Oct. 2014, https://www.firstthings.com/article/2014/10/taking-the-long-way; Patrick Deneen, Why Liberalism Failed (2018). On soulcraft, see, e.g., Sandel, Democracy’s Discontent, at 319–321.

  18. Yuval Levin, “Blinded by Nostalgia,” First Things, Oct. 23, 2014, http://www.firstthings.com/web-exclusives/2014/10/blinded-by-nostalgia.

  19. Andrew J. Cherlin & Judith A. Seltzer, “Family Complexity, the Family Safety Net, and Public Policy,” 654 Annals of the American Academy of Political and Social Science 231 (2014); Sara McLanahan, “Family Instability and Complexity after a Nonmarital Birth,” at 119, in Social Class and Changing Families in an Unequal America (Marcia J. Carlson & Paula England, eds., 2011).

  20. Andrew J. Cherlin, “The Real Reason Rich People Marry,” New York Times, Dec. 6, 2014; Andrew J. Cherlin, “In the Season of Marriage, a Question. Why Bother?” New York Times, Apr. 27, 2013; Kathryn Edin & Maria Kefalas, Promises I Can Keep: Why Poor Women Put Motherhood Before Marriage (2005).

  21. Kara Gotsch, “Families and Mass Incarceration,” The Sentencing Project, Apr. 24, 2018, https://www.sentencingproject.org/publications/6148/; Ta-Nehisi Coates, “The Black Family in the Age of Mass Incarceration,” Atlantic (Oct. 2015).

  22. Levin, “Taking the Long Way” (citing Tocqueville on the importance of local institutions and the “habits of freedom”); Robert D. Putnam, Bowling Alone: The Collapse and Revival of American Community (2000).

  23. Walter Lippmann, Drift and Mastery: An Attempt to Diagnose the Current Unrest (centennial ed., 2015) (1914).

  24. Justin Fox, “Why German Corporate Boards Include Workers,” Bloomberg, Aug. 24, 2018; Jan Schwartz & Andreas Cremer, “VW Works Council Says Will Pursue Labor Representation at U.S. Plant,” Reuters, Feb 16, 2014; Ned Resnikoff, “How Tenn. Politicians Killed Volkswagen Unionization,” MSNBC, Apr. 14, 2014. In the American context, the term used was industrial democracy. See Sitaraman, Middle-Class Constitution, at 179.

  25. Levin, “Taking the Long Way.”

  26. Barry Friedman & Maria Ponomarenko, “Democratic Policing,” 90 N.Y.U. Law Review 1827, 1829–1830 (2015).

  27. Friedman & Ponomarenko, “Democratic Policing,” at 1830–31, 1844–1846.

  28. Friedman & Ponomarenko, “Democratic Policing,” at 1875, and generally.

  29. United States Government, Fourth National Climate Assessment (2018), https://nca2018.globalchange.gov/chapter/14/.

  30. See, e.g., Rhiana Gunn-Wright & Robert Hockett, “The Green New Deal,” New Consensus (Feb. 2019).

  31. “If National Service Is So Good, Everyone Should Do It,” Economist, July 5, 2018.

  32. Federal Reserve, Consumer Credit Outstanding, G.19, https://www.federalreserve.gov/releases/g19/HIST/cc_hist_memo_levels.html.

  33. Suzanne Mettler, “The Creation of the GI Bill of Rights of 1944: Melding Social and Participatory Citizenship Ideals,” 17 Journal of Policy History 345, 345 (2005); see also Michael J. Bennett, When Dreams Came True: The GI Bill and the Making of Modern America 7–8, 198–199 (1996); Theda Skocpol, “The G.I. Bill and U.S. Social Policy, Past and Future,” 14 Social Philosophy and Policy 95, 98–99 (1997); Staff of Subcommittee on Education and Health of the Joint Economic Committee, 100th Congress, “A Cost-Benefit Analysis of Government Investment in Post-Secondary Education under the World War II GI Bill” 10 (Comm. Print 1988), reprinted in The Future of Head Start: Hearing before the Subcommittee on Education and Health of the Joint Economic Committee 101st Congress 92–113 (1990).

  34. Christopher Zara, “The Most Important Law in Tech Has a Problem,” Wired, Jan. 3, 2017, https://www.wired.com/2017/01/the-most-important-law-in-tech-has-a-problem/; Derek Khanna, “The Law That Gave Us the Modern Internet—and the Campaign to Kill It,” Atlantic, Sept. 12, 2013, https://www.theatlantic.com/business/archive/2013/09/the-law-that-gave-us-the-modern-internet-and-the-campaign-to-kill-it/279588/; Danielle Keats Citron & Benjamin Wittes, “The Internet Will Not Break: Denying Bad Samaritans §230 Immunity,” 86 Fordham Law Review 401, 404–405 (2017).

  35. Leonard Downie Jr. & Michael Schudson, “The Reconstruction of American Journalism,” Columbia Journalism Review (Nov./Dec. 2009); Robert Kuttner & Hildy Zenger, “Saving the Free Press from Private Equity,” American Prospect, Dec. 27, 2017; Richard Johns, Spreading the News: The American Postal System from Franklin to Morse 37 (1998); Geoffrey Cowan & David Westphal, “Public Policy and Funding the News,” 1, USC Annenberg Center on Communication Leadership & Policy, Jan. 2010.

  36. Some commentators have called for a National Endowment for Journalism, but the terms of their proposal are far different. Bruce Ackerman & Ian Ayres, “A National Endowment for Journalism,” Guardian, Feb. 13, 2009 (“In contrast to current proposals, we do not rely on public or private do-gooders to dole out money to their favourite journalists. Each national endowment would subsidise investigations on a strict mathematical formula based on the number of citiz
ens who actually read their reports on news sites.”).

  37. Federal Communications Commission, “Broadcast Incentive Auction and Post-Auction Transition,” https://www.fcc.gov/about-fcc/fcc-initiatives/incentive-auctions.

  38. Rasmus Kleis Nielsen with Geert Linnebank, “Public Support for the Media: A Six-Country Overview of Direct and Indirect Subsidies” 4, Reuters Institute for the Study of Journalism, Aug. 2011. In dollars, it is $7.6 per capita.

  39. Lee C. Bollinger, “Journalism Needs Government Help,” Wall Street Journal, July 14, 2010.

  40. Lucy E. Salyer, Laws Harsh as Tigers: Chinese Immigrants and the Shaping of Modern Immigration Law 3 (1995); Hiroshi Motomura, Americans in Waiting: The Lost Story of Immigration and Citizenship in the United States 8–9, 191–194 (2006).

  41. Motomura, Americans in Waiting, at 19–20; Jason Lange & Yeganeh Torbati, “U.S. Foreign-Born Population Swells to Highest in over a Century,” Reuters, Sept. 13, 2018.

  42. Border Security, Economic Opportunity, and Immigration Modernization Act of 2013, S.744; United States Senate, Roll Call Vote, 113th Congress, 1st Session, https://www.senate.gov/legislative/LIS/roll_call_lists/roll_call_vote_cfm.cfm?&congress=113&session=1&vote=00168; Dara Lind, “The Basics of the US Immigration System: What Was the Immigration Reform Bill the Senate Passed in 2013,” Vox, Aug. 4, 2015, https://www.vox.com/cards/immigration-immigrants-reform-us/what-is-the-senate-immigration-reform-bill.

  43. Government of Canada, “Syrian Refugee Resettlement Initiative—Looking to the Future,” https://www.canada.ca/en/immigration-refugees-citizenship/services/refugees/welcome-syrian-refugees/looking-future.html; Jodi Kantor & Catrin Einhorn, “Canadians Adopted Refugee Families for a Year. Then Came ‘Month 13,’” New York Times, Mar. 25, 2017.

  CHAPTER 7: ECONOMIC DEMOCRACY

  1. Ganesh Sitaraman, The Crisis of the Middle-Class Constitution: Why Economic Inequality Threatens Our Republic 69, 111–114 (2017).

  2. Sitaraman, Middle-Class Constitution, at 113.

  3. See generally Sitaraman, Middle-Class Constitution, at 174–185; K. Sabeel Rahman, Democracy against Domination (2016).

  4. Sitaraman, Middle-Class Constitution, at 137–138, 147–149.

  5. Naomi Lamoreaux, The Great Merger Movement in American Business, 1895–1904 (1985). The case was Standard Oil Co. of New Jersey v. United States, 22 U.S. 1 (1911).

  6. Jack Nickas, “Airline Consolidation Hits Smaller Cities Hardest,” Wall Street Journal, Sept. 10, 2015, http://www.wsj.com/articles/airline-consolidation-hits-smaller-cities-hardest-1441912457#:M1ZMKtAVWk5eBA; Nathan Bomey, “Walgreens in $17.2B Deal to Acquire Rite Aid,” USA Today, Oct. 28, 2015, http://www.usatoday.com/story/money/2015/10/27/walgreens-rite-aid/74684642/; Christopher Leonard, “How the Meat Industry Keeps Chicken Prices High,” Slate, Mar. 3, 2014, http://www.slate.com/articles/life/food/2014/03/meat_racket_excerpt_how_tyson_keeps_chicken_prices_high.html; William A. Galston & Clara Hendrickson, “A Policy at Peace with Itself: Antitrust Remedies for our Concentrated, Uncompetitive Economy,” Brookings, Jan. 5, 2018, https://www.brookings.edu/research/a-policy-at-peace-with-itself-antitrust-remedies-for-our-concentrated-uncompetitive-economy/#_edn6; Joseph E. Stiglitz, “America Has a Monopoly Problem—and It’s Huge,” Nation, Oct. 23, 2017, https://www.thenation.com/article/america-has-a-monopoly-problem-and-its-huge/; Noah Smith, “Monopolies Are Worse Than We Thought,” Bloomberg, Feb. 15, 2017, https://www.bloomberg.com/view/articles/2017-02-15/monopolies-are-worse-than-we-thought; Virgil, “Protecting American Sovereignty against Big Tech’s Globalist Corporate Power,” Breitbart, Aug. 24, 2017, http://www.breitbart.com/big-government/2017/08/24/virgil-protecting-american-sovereignty-big-techs-globalist-corporate-power/; The Economist, “Too Much of a Good Thing,” Mar. 26, 2016, https://www.economist.com/news/briefing/21695385-profits-are-too-high-america-needs-giant-dose-competition-too-much-good-thing.

  7. John Kwoka, Mergers, Merger Control, and Remedies: A Retrospective Analysis of U.S. Policy (2014); Lina Khan & Sandeep Vaheesan, “Market Power and Inequality: The Antitrust Counterrevolution and Its Discontents,” 11 Harvard Law and Policy Review 235 (2017); Jose Azar, Ioana Elena Marinescu & Marshall Steinbaum, “Labor Market Concentration,” https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3088767; Ian Hathaway & Robert E. Litan, “What’s Driving the Decline in the Firm Formation Rate? A Partial Explanation,” Economic Studies, Brookings, Nov. 20, 2014, https://www.brookings.edu/wp-content/uploads/2016/06/driving_decline_firm_formation_rate_hathaway_litan.pdf.

  8. For discussions, see, e.g., Zephyr Teachout & Lina M. Khan, “Market Structure and Political Law: A Taxonomy of Power,” 9 Duke Journal of Constitutional Law and Public Policy 37 (2014); Sitaraman, Middle-Class Constitution.

  9. Rebecca Haw, “Amicus Briefs and the Sherman Act: Why Antitrust Needs a New Deal,” 89 Texas Law Review 1247 (2011).

  10. Ganesh Sitaraman & Ariel Dobkin, “The Case against Multimember Commissions,” Administrative Law Review (forthcoming 2019).

  11. Daniel A. Crane, The Institutional Structure of Antitrust Enforcement 42–46 (2011).

  12. As an example, see Lina Khan, “Amazon’s Antitrust Paradox,” 126 Yale Law Journal 564 (2017).

  13. For more along these lines on both the arc of antitrust law and potential reforms to antitrust, see Ganesh Sitaraman, “Taking Antitrust Away from the Courts,” Great Democracy Initiative, Sept. 2018. This section is based on this paper.

  14. Bloomberg News, “Apple’s Tim Cook Calls for More Regulations on Data Privacy,” Bloomberg, Mar. 23, 2018; Nicholas Thompson, “Mark Zuckerberg Talks to Wired about Facebook’s Privacy Problem,” Wired, Mar. 21, 2018.

  15. Khan, “Amazon’s Antitrust Paradox,” at 780–783.

  16. Conor Dougherty, “Yelp’s Six-Year Grudge against Google,” New York Times, July 1, 2017; Mark Scott, “Google Fined Record $2.7 Billion in E.U. Antitrust Hearing,” New York Times, June 27, 2017; Charles Duhigg, “The Case against Google,” New York Times Magazine, Feb 20, 2018.

  17. This hypothetical is a modification of United States v. Terminal R.R. Ass’n, 224 U.S. 383 (1912). For a description of the doctrine, see MCI v. AT&T, 708 F.2d 1081, 1132–1133 (7th Cir., 1983). There is some debate over its applicability given the Supreme Court’s decision in Verizon Comm’s v. Law Offices of Curtis V. Trinko, LLP, 540 U.S. 398 (2004).

  18. For overviews of this body of law, including the English inheritance, see, e.g., Joseph William Singer, “No Right to Exclude: Public Accommodations and Private Property,” 90 Northwestern University Law Review 1283 (1996); Alfred Avins, “What Is a Place of ‘Public’ Accommodation?,” 52 Marquette Law Review 1, 1–7 (1968).

  19. For an overview, see Peter W. Huber et al., Telecommunications Law (2d. ed., 1999); Richard A. Epstein, “Common Carriers,” New Palgrave Dictionary of Economics and the Law (1998).

  20. For discussions of the separation principle, see Tim Wu, The Master Switch (2010); Lina M. Khan, “The Separation of Platforms and Commerce,” Columbia Law Review (forthcoming 2019).

  21. The FTC’s authority under Section 5 is broader than the antitrust laws. FTC v. Sperry & Hutchinson Trading Stamp Co., 405 U.S. 233 (1972).

  22. On the kill zone, see Ashley Schechter, “Google and Facebook’s ‘Kill Zone’: ‘We’ve Taken the Focus Off of Rewarding Genius and Innovation to Rewarding Capital and Scale,” ProMarket, May 25, 2018. This section is based on Ganesh Sitaraman, “Regulating Tech Platforms: A Blueprint for Reform,” Great Democracy Initiative, May 2018.

  23. David Dayen, “Ban Targeted Advertising,” New Republic, April 10, 2018.

  24. Gautam Mukunda, “The Price of Wall Street’s Power,” Harvard Business Review, June 2014, https://hbr.org/2014/06/the-price-of-wall-streets-power; Thomas Philippon & Ariell Reshef, “Wages and Human Capital in the U.S. Finance Industry, 1909–2006,” 127 Quarterly Journal of Economics 1551 (2012).

  25. This section draws upon Ganesh Sitaraman, “The Case for Glass Steagall Act, the Depression-Era Law We Need
Today,” Guardian, June 16, 2018. For a general discussion of some of these issues, see also Ganesh Sitaraman, “Unbundling ‘Too Big to Fail,’” Center for American Progress, July 15, 2014.

  26. Morgan Ricks, John Crawford & Lev Menand, “Central Banking for All: A Public Option for Bank Accounts,” Great Democracy Initiative, June 2018; Morgan Ricks, John Crawford & Lev Menand, “A Public Option for Bank Accounts (Or Central Banking for All),” https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3192162.

  27. Federal Deposit Insurance Corporation, “2017 FDIC National Survey of Unbanked and Underbanked Households,” Oct. 2018, www.fdic.gov/householdsurvey/2017/2017report.pdf; John Caskey, Fringe Banking (1994).

  28. Delaware Division of Corporations, “2016 Annual Report,” https://corp.delaware.gov/2016AnnualReport.pdf.

  29. Walter Lippmann, Drift and Mastery 35 (centennial ed. 2015) (1914).

  30. Michael C. Jensen & William H. Meckling, “Theory of the Firm: Managerial Behavior, Agency Costs, and Ownership Structure,” 3 Journal of Financial Economics 305 (Oct. 1976); Lynn Stout, The Shareholder Value Myth (2012).

  31. William Lazonick, “Profits without Prosperity,” Harvard Business Review, Sept. 2014, https://hbr.org/2014/09/profits-without-prosperity; Lawrence Mishel & Jessica Schieder, “CEO Pay Remains High Relative to the Pay of Typical Workers and High-Wage Earners,” Economic Policy Institute, July 20, 2017, https://www.epi.org/publication/ceo-pay-remains-high-relative-to-the-pay-of-typical-workers-and-high-wage-earners/; Rob Wile, “The Richest 10% of Americans Now Own 84% of All Stocks,” Time, Dec. 19, 2017, http://time.com/money/5054009/stock-ownership-10-percent-richest/.

  32. Sitaraman, Middle-Class Constitution, at 147–149, 179–180; Louis D. Brandeis, “Testimony before the Commission on Industrial Relations,” Jan. 23, 1915, in Brandeis on Democracy 99 (Philippa Strum, ed., 1995).

 

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