Cass Sunstein: A sneak peek at #Republic

Forthcoming in March 2017, Cass Sunstein’s new book, #Republic speaks to our heightened state of internet-driven polarization. Arguing that social media sorts us into like-minded groups, causing political fragmentation and even extremism, Sunstein proposes practical and legal changes to make the Internet friendlier to democratic deliberation. Today on Facebook, he shared a snapshot of a section of his page proofs addressing the 2016 presidential election:

Sunstein

Sunstein

Cass R. Sunstein is the Robert Walmsley University Professor at Harvard Law School. His many books include the New York Times bestsellers Nudge: Improving Decisions about Health, Wealth, and Happiness (with Richard H. Thaler) and The World According to Star Wars. He lives in Cambridge, Massachusetts.

Books for Understanding: A Reading List

In the aftermath of the election, here are some books for better understanding the current political climate:

White Backlash
Marisa Abrajano & Zoltan Hajnal

White

The Rise and Fall of American Growth
Robert Gordon

Gordon

Democracy for Realists
Christopher Achen & Larry Bartels

Achen Bartels

Expert Political Judgement
Philip Tetlock

Tetlock

Against Democracy
Jason Brennan

Brennan
Free Trade under Fire
Douglas Irwin

Irwin

Waiting for José
Harel Shapira

Shapira

Polarized
James Campbell

Campbell

Red State Religion
Robert Wuthnow

Wuthnow

How Propaganda Works
Jason Stanley

Stanley

Good Neighbors
Nancy L. Rosenblum

Rosenblum

 Myth of the Rational Voter
Bryan Caplan

Caplan

On Bullshit
  Harry Frankfurt

Bullshit

#Election2016: And then we came to the end

Our Election 2016 blog, active since last January, has featured our authors discussing everything from oration styles, to the particulars of populist rhetoric, to the politics of motherhood. And now, gratefully, for many an exhausted blogger and policy wonk, it’s a wrap. Time to get to the polls! If you’ve forgotten the location of your polling place, you can find it on Vote411 by entering your address.

 

GoVoteGraphic

 

Graphic courtesy of our Tumblr design blog.

Carolin Emcke awarded the Peace Prize of the German Book Trade Association

EmckePrinceton University Press congratulates German journalist and author Carolin Emcke on being chosen by the Board of Trustees of the Peace Prize of the German Book Trade to be this year’s recipient. The prestigious prize was established in 1950 and reflects the German book trade’s commitment to peace and understanding. This year, the prize is awarded in recognition of Carolin Emcke’s significant contribution to social dialogue and peace through her books, articles, and speeches. The Board of Trustees noted,

The work of Carolin Emcke pays particular attention to those moments, situations and issues in which discussions threaten to break down and communication seems no longer possible. In her highly personal and vulnerable manner, she regularly places herself in perilous living situations in order to illustrate – especially in her essays and reports from war zones – how violence, hatred and speechlessness can change people. She then uses analytical empathy to call on everyone involved to find their way back to understanding and exchange. Carolin Emcke’s work has thus become a role model for social conduct and action in an era in which political, religious and cultural conflicts often leave no room for dialogue. She proves that communication is indeed possible, and her work reminds us that we must all strive to achieve this goal as well.

We are proud to have published her 2007 book, Echoes of Violence: Letters from a War Reporter, an award-winning collection of personal letters to friends from a foreign correspondent who is trying to understand what she witnessed during the iconic human disasters of our time—in Iraq, Lebanon, Afghanistan, and New York City on September 11th, among many other places.

Previous recipients of the £25,000 prize include Amos Oz, Susan Sontag, and Albert Schweitzer.

Hugo Drochon on Nietzsche’s Politics

DrochonWhen Hugo Drochon first encountered Nietzsche’s intoxicating Beyond Good and Evil, he was struck by the realization that “many things in life didn’t rise out of a politics of good faith, as it were, but rather of bad faith.” But what exactly did Nietzsche think and how did he engage with the main political events and transformations of his time? While Nietzsche’s impact on the world of culture, philosophy, and the arts is uncontested, his political thought has long been mired in controversy and remains, according to Drochon, seriously under-explored. In his new book, Nietzsche’s Great Politics, Drochon places Nietzsche’s politics back in the nineteenth century from which they arose, asking what politics meant for the famous thinker as well as how his ideas speak to contemporary debates. Recently, Drochon took the time to answer some questions about his new book.

When did you first encounter Nietzsche?

I first encountered Nietzsche during the second year of my undergraduate degree. I took two different courses that year that were to be quite significant for me: ‘History of Political Thought’ and ‘Theories of International Relations’. The latter focused on different theories of IR, from classic realism, liberalism, neo-realism and neo-liberalism, to more critical approaches including critical theory, green theory, feminism and postmodernism. Theory was new to me, but I was an instant convert. I think I bombarded the lecturer with questions until she finally said to me: ‘go read Nietzsche’. Happily we had an anthology for the History of Political Thought course – one I also really enjoyed, and which set me upon my future career path – which had as its final text Nietzsche’s Beyond Good and Evil. I read it over the summer.

And…?

It was an epiphany. Nietzsche just spoke to so many themes that resonated with me, and he opened up my eyes to the fact that many things in life didn’t arise out of a politics of good faith, as it were, but rather of bad faith. Moreover, all readers of Nietzsche will bear witness to the intoxicating nature of his writing.

Did you decide there and then you would work on Nietzsche’s politics?

Not quite, that would come a little later. In the last year of my undergraduate I studied Marxism, democratic theory and the French Revolution, which all combined very nicely in a certain way. And whilst I was impressed by the analytical tools Marxism provided, I always felt the picture it offered was incomplete. It was up to Nietzsche to fill it out.

So you came back to Nietzsche’s politics.

Yes. Beyond Good and Evil had struck me as being obviously interested in politics in different ways, but when I turned to the secondary literature to get a firmer grasp of what Nietzsche’s politics were meant to be, I was left feeling quite dissatisfied. Not least because half the literature denied Nietzsche was interested in politics!

A legacy of his use by the Nazis during WWII?

Undoubtedly. After his misappropriation by the Nazis it was natural to depict Nietzsche as a thinker who was not interested in politics as a way of saving him from the philosophical abyss he had fallen into after the war, which Bertrand Russell had branded ‘Nietzsche’s War’. And we are undeniably indebted to Walter Kaufmann and others for having done that. Since then there has been a renewal of interest in Nietzsche and politics, but that has mainly been through the various ways Nietzsche is thought to contribute to the renewal of ‘agonistic’ democracy. What exactly politics meant for him, however, is still something that remains, in my view, mostly under-explored.

How did you go about exploring Nietzsche’s politics?

I think the main move was to place Nietzsche back into his own context of late nineteenth century Germany and Europe – our current debates are still too stuck, to my mind, in the twentieth century. Nietzsche was writing during Bismarck’s era, not Hitler’s. And Bismarck’s era was fascinating. It saw a number of tremendous transformations, not least the unification of Germany through Bismarck’s infamous politics of ‘blood and iron’, and the power politics between the great European nations. It was an era full of tensions and contradictions, with the simultaneous rise of nationalism and colonization – the ‘Scramble for Africa’ – socialism and democracy.

Bismarck’s ‘Great Politics’ inspired the title of your book?

Indeed. The idea was to see whether Nietzsche thought and engaged with the main political events and transformations of his time, and if he did then whether that might open the door to understanding what Nietzsche’s own politics might amount to. Nietzsche, in fact, actively participated in many of the major events of his time: he served as a medical orderly during the Franco-Prussian War, which sealed Prussia’s dominance over the newly-founded German Empire. And he thought hard about them too. Drawing from his own experience of the war, Nietzsche was at first very critical of Bismarck’s ‘great politics’. But with Beyond Good and Evil he was able to develop his own theory of what great politics should truly be about. Instead of a politics of nationalism and self-aggrandizement, Nietzsche wanted to unify Europe through a trans-European ‘Good European’ cultural elite. This united Europe could then play on a level playing field with the British and Russian Empires in the ‘Great Game’ of international politics, but it would also have a more exalted calling of fostering the emergence of a new high European culture, reminiscent of the Greeks of old.

By placing Nietzsche back in his nineteenth century context, does that mean he has nothing to say to us today?

I hope not. But if we are to understand what we might still learn from him today, we must first get a good handle on what politics meant for him, instead of just seeing how he might contribute to our contemporary debates. In the book I argue that Nietzsche’s greatest legacy is the conceptual tools he affords us in understanding the world we live in. Of course the late nineteenth century is quite different to our own time, but it also saw the development of certain aspects of politics – democratization, not least – which are still relevant to us today. The notions Nietzsche developed to theorize his world can help us better understand the world we live in today. Therein lies, in my view, his greatest teaching.

And guide us too?

Hopefully, yes. Coming up to the EU referendum in the UK on the 23 June I wrote a piece for Project Syndicate about how Nietzsche can help us think about the European question. Much of what Nietzsche says about Europe is of course dated, but there is at least one way in which I think Nietzsche can help. That is in his distinction between a ‘great’ – as he understood it – and ‘petty’ politics of European unification, which is how he recast Bismarck’s power politics in light of his own. So do we want a ‘great’ politics of European unification or a ‘petty’ politics of European fragmentation? Unfortunately the vote didn’t really go in the direction I was advocating, but I hope to have at least shown how Nietzsche can be made to address our present concerns.

Final question: who do you want to reach with this book, and what are you hoping to achieve?

Nietzsche scholars of course, but I’d like to think historians of political thought, political theorists/philosophers, intellectual historians, and a larger discerning public might be interested in it too. Nietzsche has a broad appeal, and I hope to offer here a slightly different dimension. I’ve suggested some of the things I hope to achieve above – relocating Nietzsche’s politics to his own time; how the intellectual tools he fashioned for himself can help us better understand the world we live in today – but let me finish with one last thought. I said I first came across Nietzsche in an anthology of political thought, where I read Beyond Good and Evil. That anthology, in its revised version, has replaced Beyond Good and Evil with On the Genealogy of Morality, which is in line with how Nietzsche is being taught across universities today. That, to me, is a shame. I do not mean in the least to deny the importance of the Genealogy – which is a fantastic book, and I can understand how it is easier to teach given its more focused material – but Beyond Good and Evil strikes me as a more complete text (the Genealogy was meant to serve as its appendix), which applies Nietzsche’s main philosophical ideas directly to his political context. If we are serious about studying Nietzsche’s political thought in its own right, then we must try to understand how Nietzsche’s politics is related to his philosophy. Beyond Good and Evil is the best place to do just that.

Hugo Drochon is a historian of nineteenth- and twentieth-century political thought and a postdoctoral research fellow at CRASSH, the Centre for Research in the Arts, Social Sciences, and Humanities, at the University of Cambridge.

Kenneth Rogoff: Negative interest rates are an emotional topic, too

Presenting the second post in a blog series by Kenneth Rogoff, author of The Curse of Cash. If you missed the first installment, read it here.

Rogoff

The book continues to create a vigorous debate about moving to a less-cash (not cashless) society with only smaller denomination bills; you can see various TV and radio discussion here. Below I’d like to respond to a provocative review in the Wall Street Journal.

But first a few other points that have come up: the gun lobby continues to seem particularly exercised about losing large bills. Perhaps the concern is that without convenient large notes, the government might have an easier time enforcing registration and background checks on people who buy firearms. A broader take is the American Thinker piece “Washington’s Endgame: First Your Guns Then Your Cash.” I can only say that I am not very sympathetic.

I try in the book to efficiently cover every possible misconception that people might have about where all the missing big bills are (even the spirit world), but I am afraid I missed one. Writing in the Numismatic News, Patrick A Heller suggests that we all should know “that a sizeable percentage of this (missing cash) is held by central banks as reserves.” Well, not really. Foreign central-bank dollar holdings are almost entirely in the form of electronic bills and bonds. Some foreign banks do hold physical U.S. dollars to meet customer demand, but most world holdings of dollars are in the underground economy (crime and tax evasion). As the book discusses extensively, foreign demand mostly likely accounts for less than 50% of total U.S. dollars outstanding.

In his thoughtful Finance and Development review, Peter Garber asks why not just make $100 bills larger and bulkier, then we don’t need to get rid of them. Well, if we make them ten times heavier and ten times bulkier, yes, that would be another approach (albeit not equivalent to mine, because tenfold oversized notes would be easier to tabulate, and you could probably pack them tighter unless the bills are larger still). But seriously, what is the difference, the symbolism? Anyway, I have no objections to leaving a giant $100 bill for collectors. Garber also argues that if the physical dollar becomes less prominent internationally, the electronic dollar will suffer. Maybe once upon a time that was true, but it is almost irrelevant today in the legal tax-paying world, domestic or foreign. Also, let’s not forget my plan leaves plenty leaves small bills, so the symbolism is still there.

This takes us to Jim Grant’s Wall Street Journal review. Several people I respect think Grant is a very smart guy who likes to be provocative, but I would to take up some of his simple errors and profound misconceptions.

Grant has little interest in the main part of the book, which argues that the large notes, which dominate the currency supply, do far more to facilitate tax evasion and crime than legal transactions. He posits that it would be so much simpler to legalize narcotics and simplify taxes, and that “Mr. Rogoff considers neither policy option.” In point of fact, I address legalizing marijuana on page 69, and the book goes on to detail the many other ways cash is used in crime besides drugs: racketeering, money laundering, human trafficking, extortion, corruption, you name it. Simplifying taxes is a great idea with lots of efficiency benefits I have written often about. But to think that any realistic simplification plan would end tax evasion is delusional.

Grant focuses his ire almost entirely on negative interest rates, saying “You rub your eyes. You can recall no precedent. There has never been one in 5,000 years of banking.” Well, Grant is known for his interesting historical analyses, but this statement is misleading at best. Before paper currency, governments routinely paid negative interest rates on metallic currencies by calling in coins and shaving them (as I discuss at some length in chapter 2). That might not immediately imply a negative rate on other debt instruments, but if your debt is repaid in physically debased pence that have much less silver than the ones you lent, it is a negative interest rate in any meaningful sense.

In modern times, the existence of paper currency prevents any significant negative rate on other government debt because of fear of a run on cash, though Europe and Japan have managed to get away with slight negative rates. So the statement that this has not happened until now is, well, hardly profound. Besides, there have been countless episodes of significant negative real interest rates on government bonds, that is when the nominal (face value) interest rate is not nearly enough to keep up with inflation, for example in the 1970s, when inflation went over 13% in the U.S. and over 20% in the U.K. and Japan.

In any event, my plan excludes small savers. And if effective negative-rate policy were possible, it would likely be quite short lived, and would probably cause a lot less problems that a decade of zero rates or high inflation. If the Fed could engage in effective monetary policy in a deep recession, most savers will gain far more than they will lose. It would bring back jobs more quickly, restore house and stock prices faster, and it would actually raise nominal rates on long-term bonds through restoring expected inflation to target. The suggestion that negative rates are just a policy to rob savers is empty polemic.

In chapter 12, I discuss populist perspectives on central banking, including Ron Paul and a return of the gold standard. Grant, evidently, was tapped to be Paul’s Fed Chairman had his 2012 presidential campaign been successful. On CNBC Squawkbox, Grant compares Fed chair Ben Bernanke to the head of Zimbabwe’s central bank, because he is just sure that all the “money printing” Bernanke was doing would lead to high inflation. Of course, what Bernanke was doing was not so much printing money as exchanging short-term central bank reserves for long-term government debt, as a reader of chapter 9 would understand. (And critically, the government fully owns the central bank.) I am not a big believer in the wonders of quantitative easing, but those who predicted that it would lead to very high inflation made an epic wrong call. Grant not only hates negative rates, he says he doesn’t like zero rates, and said back then the Fed should promptly raise them. Many other central banks, including the European Central Bank, tried just that—the results were disastrous.

Lastly, it is worth mentioning that by and large the financial industry lobbies heavily against negative rates. Leading financial newspapers regularly publish articles by banking industry proponents that argue how negative rates will deter governments from pursuing structural reform. Some of their arguments—about the problems with implementing negative rates today, having to with institutional, tax, and legal issues that need to be fixed before negative rates can be effective—are legitimate. The Curse of Cash addresses all that, and explains that it will take a long time even if the problem of a run into cash is taken off the table. Ultimately, banks make money off the difference between the rates they pay to borrow and the rates they charge to lend, and once the preparations are made, they will not have cause to complain.

In the end, if global real interest rates stay low for the next decade, there will likely be occasional periods of negative rates during recessions in most advanced economies, whether we like it or not. Part II of the book explains how to make negative rate policy better and more effective. Anyone who wants to understand it should read The Curse of Cash.

Kenneth S. Rogoff, the Thomas D. Cabot Professor of Public Policy at Harvard University and former chief economist of the International Monetary Fund, is the coauthor of the New York Times bestseller This Time Is Different: Eight Centuries of Financial Folly (Princeton). He appears frequently in the national media and writes a monthly newspaper column that is syndicated in more than fifty countries. He lives in Cambridge, Massachusetts.

Five PUP authors included in the Politico 50 2016 list

We are thrilled that five PUP authors have been included in the Politico 50 2016 list!

 Robert Gordon, author of The Rise and Fall of American Growth

Gordon

George Borjas, author of Heaven’s Door

Borjas

David Card and Alan Krueger, authors of Myth and Measurement

Myth

Angus Deaton, author of The Great Escape

Deaton

Kenneth Rogoff: Cash is an emotional topic

Read on for the first post in a blog series by Kenneth Rogoff, author of The Curse of Cash:
Rogoff

In The Curse of Cash, I make a serious case for phasing out the bulk of paper currency, particularly large denomination notes. Since pre-publication copies started floating around just a few weeks ago, a number of engaging, thoughtful reviews have published (for example, here, here, here, here and here). But mere rumors of the book’s impending publication have also evoked an extraordinary number of visceral comments (online and by email): “This idea is almost as bad as banning semi-automatic weapons,” is one theme. Another is, “Why should people feel guilty about doing business in cash to avoid paying taxes when we all know the government will just waste the money?” Having first explained two decades ago why governments that print big bills are penny-wise and pound-foolish, I am well familiar with how emotional this topic can be.

There have also been some comments having to do with individual liberty and wondering if criminals will use other currencies and transactions media. I address these and many other serious concerns in the book, and I have tried to do so in a clear and engaging way that anyone can understand. But here is a quick version to straighten out some key points:

The most fundamental point is to emphasize that the book argues for a less-cash society, not a cash-less one. There is a world of difference. If the U.S. first phased out one hundred-dollar bills and fifty-dollar bills, and then after perhaps two decades phased out twenty-dollar bills, there would still be ten-dollar bills and below. I strongly argue these should be left around indefinitely, and explain why it would be a mistake to withdraw cash entirely, as opposed to just larger bills. Even if we get down to ten-dollar bills, making an anonymous cash purchase of $1,000 would still be pretty easy—and even a $100,000 purchase would require only a briefcase. The aim of my proposal is to get at wholesale tax evasion by businesses and higher-income individuals, and by large-scale criminal enterprises, e.g., drug lords and crime bosses. With ten-dollar bills and below—which will be left in place indefinitely—there will always be ways for ordinary people to make private (anonymous) payments and for low-income individuals to buy groceries.

Any reader of the book will see that I am not proposing getting rid larger bills as segue to an outright abolition of cash—I explain why I’m against eliminating physical cash into the very distant future, perhaps another century. But for all the advantages of cash, we have to recognize that the current system is badly off kilter. A lot of central banks and finance ministries know it, as do justice departments and tax authorities.

What about the argument that in lieu of big bills, criminals and tax evaders are always going to find other ways to make anonymous payments? Obviously this is an important point, and one that comes up throughout in the book. But there is a reason why cash is king. No other anonymous transactions vehicle, however, is as remotely easy to use. Gold coins have to be weighed and assayed, and can hardly be spent at the tobacco shop. Uncut diamonds are even less liquid. Bitcoin is somewhat anonymous (albeit traceable in many instances), but governments have been putting up all sorts of tax rules and restrictions on financial institutions that make it a very poor substitute for cash. And by the way, governments will continue to do this with any new transaction media they view as facilitating tax evasion, money laundering, and crime. As I explain in the book, big bills facilitate big crime—taking them out of circulation will have a significant effect.

Finally, another very early comment on the book, of a vastly different type, is from someone I greatly respect but do not always agree with, Edward Chancellor. Unfortunately, he makes a couple of absolutely critical misrepresentations. Most importantly, he seems happy to blur the critical distinction between “less cash” and cashless. He slips easily into the “cashless” phraseology, for example, when wondering how to give money to beggars in my world. I am impressed if he can give out one hundred-dollar bills to beggars, but if so, I think he would find that a fistful of tens is also welcome.

I agree with Edward that to take advantage of today’s ultra-low real interest rates, it would be a good idea for governments right now to issue very long-term bonds (see my recent article); I have no objections to his preferred perpetuities. But there is an enormous difference between issuing registered perpetual bonds and issuing anonymous currency; that is my whole point. By the way, as the book notes, anonymous bearer bonds were effectively killed a long time ago.

Edward and I disagree on negative interest rates, but that it is whole different can of worms. I’ll just say that, in addition to explaining the issues, the section in the book on negative rates shows that effective negative-interest-rate policy is going to require laying many years of ground work—not a recommendation for something the ECB or the Bank of Japan can do tomorrow. But for reasons discussed, it is by a wide margin the best plan for the future. All the others are much worse.

In the meantime, anyone who has looked serious at the data will realize that even as currency use is declining in the legal economy, it is growing in the underground economy. Something is badly out of whack, and it is time to have a serious discussion about it.

Kenneth S. Rogoff, the Thomas D. Cabot Professor of Public Policy at Harvard University and former chief economist of the International Monetary Fund, is the coauthor of the New York Times bestseller This Time Is Different: Eight Centuries of Financial Folly (Princeton). He appears frequently in the national media and writes a monthly newspaper column that is syndicated in more than fifty countries. He lives in Cambridge, Massachusetts.

Join Ken Rogoff for the launch of The Curse of Cash at The Infoshop Bookstore

New York Times bestselling author of This Time Is Different Ken Rogoff will be at The InfoShop Bookstore for the launch of The Curse of Cash, “a fascinating and important book” (Ben Bernanke), on Tuesday, September 13 at 12:oopm in the IFC Auditorium at 2121 Pennsylvania Avenue NW Washington D.C..

RSVP by emailing infoshop@worldbank.org.

Curse_Cash_web

Nevada Senate Election 2016: Money and the Shadows of Party

by Wendy Schiller and Cory Manento

This post appears concurrently on the Brown University website.

When there is an open U.S. Senate seat, the dynamics of Senate elections are quite different than when an incumbent is seeking reelection. In 2016, there are few open seat races but one in particular – Nevada – has major consequences for party control of the Senate and is closely tied to the fortunes of the two main party presidential candidates, Hillary Clinton and Donald Trump. In this essay, Cory Manento and I analyze the Nevada open seat Senate race in the context of the 2016 political environment. We also take a trip back in time to showcase how this race stacks up to a similarly hotly contested open seat Nevada Senate election that occurred more than 100 years ago.

Newlands

Francis Newlands

On March 27, 2015, U.S. Senator Harry Reid (D-NV) announced that he would not seek reelection in 2016 after serving for 30 years in the Senate and 12 years as the leader of the Senate Democrats. In response, two ambitious politicians, Joe Heck and Catherine Cortez Masto, jumped into the fray to run for the open seat. More than a century earlier, another senior Nevada U.S. Senator, John Jones, announced that he would not seek reelection after serving for 30 years. An ambitious and enterprising politician named Francis Newlands seized the opportunity to run for what was now an open seat to represent Nevada in the Senate. Newlands parlayed his wealth and political pedigree into a successful campaign for the open seat. Just four years earlier Newlands had mounted a challenge against incumbent U.S. Senator William Stewart, but dropped out of the race when it was clear that he would not gain the support needed to win the election. That Newlands didn’t fare well against Stewart in 1899 is telling, because it shows that the political advantages of an entrenched incumbent can overcome a well-funded challenger. But with an open seat, Newlands’s wealth (and political experience made possible by his wealth) made a critical difference.

Comparing the 2016 election to the 1903 election highlights the differences between what it takes to win a U.S. Senate election in the age of indirect elections versus direct elections. Under the indirect system of elections, each chamber of the state legislature met separately at the beginning of their legislative session to vote for senator; a candidate who received a majority in each chamber was declared the winner. If no candidate received a majority, the two chambers would meet jointly and vote until a winner was chosen or they adjourned for the year. Under direct Senate elections, which came about after the 17th Amendment was ratified in 1913, voters cast their votes directly for U.S. Senators. In 1903, Francis Newlands used his tremendous wealth and political power to curry favor in the Nevada state legislature and won the open seat left by Jones’s retirement without having to worry about the down ballot effects of a national party presidential nominee. In contrast, Republican Congressman Joe Heck and Democratic former Nevada Attorney General Catherine Cortez Masto, the 2016 candidates, are each showcasing their own personal histories of service to the voters directly while simultaneously trying to avoid comparisons to polarizing national figures from their own parties.

Modern Political Ambition – Joe Heck and Catherine Cortez Masto

The Republican candidate for Senate, U.S. Representative Joe Heck, was born in New York in 1961, grew up in Pennsylvania, and moved to Nevada in 1992.[1] He has served for over 20 years in the U.S. Army Reserve and was called into active duty three times over that period, including a 2008 deployment to Iraq, and he recently became a one-star general.[2] Heck also served his community as a volunteer firefighter, ambulance attendant, and search-and-rescue team member before becoming an emergency room doctor and running a company that provides consulting, medical training, and operational support to law enforcement, emergency responders, and military special operations.[3]

Heck first entered politics in 2004, when he was elected as a Nevada state senator. After serving one four-year term, he was defeated by 765 votes (0.76 percentage points) in his bid for reelection.[4] But Heck recovered quickly, successfully running for Congress for Nevada’s 3rd district in 2010. In Congress, he has put his military experience to work, serving on the Armed Services Committee and the House Permanent Select Committee on Intelligence, while chairing the Military Personnel Subcommittee and the Subcommittee on Department of Defense Intelligence. Through these committees, his stated primary focus has been “maintaining our national security.”[5] A relatively moderate Republican, Heck is not a member of the conservative House Freedom Caucus, and ranks in the 73rd percentile for conservatism among House Republicans when examining his bill sponsorship patterns.[6] Despite this relatively moderate bill sponsorship record, Heck has voted with the Republican Party about 93 percent of the time.[7] Heck’s record of public service, his Congressional experience, and his relatively centrist tendencies make him a strong candidate in a state that usually has competitive statewide elections.

The Democratic candidate for U.S. Senate, Catherine Cortez Masto, presents a strong opponent for Heck. Nevada Democrats were eager to find a potential replacement for Harry Reid that would be supported by retiring Senator Reid but not overshadowed by him. Cortez Masto fits that bill. With a victory in November, she would become the first Latina U.S. Senator in American history. Cortez Masto has already exhibited her ability to win a statewide election, as she was elected Attorney General of Nevada for two terms – winning each election by more than 15 points – before being required to step down in accordance with the term limit imposed by Nevada’s constitution.[8]

Born and raised in Las Vegas, Cortez Masto worked as a prosecutor in the U.S. Attorney’s Office and as former Nevada Governor Bob Miller’s Chief of Staff before entering electoral politics herself. She successfully ran to become Nevada’s 32nd Attorney General in 2006, and was reelected to a second four-year term in 2010. Cortez Masto’s family is well known in Nevada; her father, Manny Cortez, is widely credited with transforming the Las Vegas strip into a prominent tourism destination while he was the head of the Las Vegas Convention and Visitors Authority.[9]

As Attorney General, Cortez Masto worked to combat the use and distribution of methamphetamines in the state, and worked to strengthen laws preventing sex trafficking and violence against women.[10] Nevada is still recovering from being hit particularly hard by the housing crisis in 2008, and Cortez Masto has made this issue front-and-center in her campaign. She points to the state’s “historic” $1.9 billion settlement with big banks that she helped secure as Attorney General as evidence that she will be able to continue to help the state’s housing market recover.[11] By emphasizing her past accomplishments and service, Cortez Masto hopes to present a competitive contrast to Joe Heck’s record of experiences as a Nevada state senator and then U.S. Congressman.

The apparent strategy of both candidates thus far has been to equate their opponent with an established national party figure. Representative Heck has tried to cast Catherine Cortez Masto as the second coming of Harry Reid. But Harry Reid has served Nevada for 30 years and has balanced his role as partisan leader of the Democrats with strong advocacy for the state of Nevada. Heck may gain traction by emphasizing that Masto, like Reid, is a Democrat but it will be hard to produce enough negatives about Reid to swing the election.

Cortez Masto has drawn some associations of her own between Heck and Donald Trump: “Congressman Dr. Joe Heck says he has ‘high hopes’ for Donald Trump to be our next President; I have high hopes Nevadans will reject Congressman Heck and the Trump-Pence ticket in November,” she said in an August Facebook post.[12] In a state with a surging Latino population, and with Republican presidential nominee Donald Trump highly unpopular with that voting demographic, Masto is hoping that the association proves costly to Heck. Harry Reid is also backing up Masto’s attempts to tie Heck to Trump stating that Heck “had an opportunity to be courageous. Instead he gave a big bear hug to Donald Trump.”[13] Heck has responded by actively trying to shift the focus away from Trump – he refrained from a formal endorsement – and back to Heck’s impressive resume of service. But as with several other GOP candidates for U.S. Senate this year, disassociation from the top of the party ticket is proving to be a challenge.

The Nevada 2016 election is likely to be a close one; polling averages show Heck and Masto separated by fewer than 3 percentage points which is typically the margin of error in standard polls.[14] The candidates and outside groups have already spent, and will continue to spend, a lot of money to gain an advantage. Fundraising hauls thus far have been nearly even, with a slight advantage to the Democratic side. Cortez Masto has raised $8.7 million and spent $5.2 million, while Heck has raised $7.4 million and spent $2.6 million.[15] The National Republican Senatorial Committee has committed $6.3 million to aid Heck, but the Democratic Senatorial Campaign Committee – with the help of Harry Reid – has raised $12 million to help Masto defeat Heck.[16]

Just as Senator Reid comfortably won reelection throughout his Senate career, Senator John Jones was able to keep his seat for several terms without a serious challenge. But when long-serving U.S. Senators retire, the dynamics of the next Senate election change considerably. This year’s candidates, mired in a contest that will likely be decided by a small margin, are lacking the inherent advantages associated with being an incumbent. Without the established fundraising connections from a previous Senate run or the ability to highlight previous U.S. Senate experience, Heck and Cortez Masto have tried to earn the trust of voters and donors alike by framing the race in terms of their own strengths while attacking their opponent.

The political career of Francis Newlands offers some insight into what these candidates can do to be successful. After his unsuccessful bid to unseat an incumbent in 1899, Newlands learned about the advantages of running for an open seat through that experience. With a more “level” playing field, Newlands was able to play to his strengths to win the Senate seat in 1903. While money certainly provided the deciding advantage for Newlands over 100 years ago, vying for an open seat was also crucial to his success; 100 years later, open seat Senate races also still require astute campaign strategies but this one is also strongly influenced by the presidential nominees.

Historical Political Ambition – Francis Newlands

When John Jones retired from the Senate in 1903 after serving for 30 years, Francis Newlands finally had the opening to wage a successful campaign for a U.S. Senate seat. The senatorial career of Francis Newlands provides a stark example of how ambitious individuals could parlay their own wealth into a U.S. Senate seat in the age of indirect elections. Though the Democrats have a slight fundraising advantage in 2016’s Nevada Senate race, in the age of direct Senate elections, it is unlikely that a fundraising advantage will yield such a singular advantage in the way that it did for Nevada Senator Francis Newlands throughout his political career.

Before entering politics, Francis Newlands was an attorney who inherited great wealth as a result of his marriage to the daughter of a California banker named William Sharon.[17] Sharon himself briefly served as a U.S. Senator from Nevada – he was elected in 1875 and served one term – laying the foundation for his son-in-law’s future political career in the state.[18] Newlands entered politics by backing the Republican and Silver parties. The Silver Party advocated a monetary standard that would allow the use of silver in addition to gold as backing for the dollar. This was advantageous for western states that had a lot of silver deposits, including Nevada, which is nicknamed the Silver State. The more established wing of the Republican Party, backed by banking and manufacturing interests, opposed the free coinage of silver.[19]

But despite his support for free silver, Newlands was able to win the Republican nomination for Nevada’s at-large House of Representatives district in 1892 through an effective use of money: he bought influence with key newspaper editors and made several contributions to the campaigns of other party members running on the same ticket.[20] By his own account, Newlands spent a total of $50,000 (about $1.3 million in 2016 dollars) to win election to the House.[21]

In 1899, Newlands decided to launch an electoral challenge against Senator William Stewart, who was well-entrenched in Nevada politics. One of the elements working in Newlands’s favor was his effort to magnify his own public voice through the purchase of several state and regional newspapers, including the Nevada State Journal. Using these press outlets as a megaphone, Newlands flooded the public with his argument that Stewart was no longer an effective advocate for Nevada.[22] But Stewart was able to use his established political connections and skill to convince Nevada state legislators that he was a candidate who represented a wide array of interests, including silver. After losing the support of the pro-silver activists who migrated to Stewart, Newlands dropped out of the race.

Newlands gained new political life when he ran successfully for the House in 1900 as a Democrat and worked in Congress to pass a major irrigation bill that became known as the Newlands Act.[23] With that accomplishment under his belt, Newlands decided to run for Senate again when Senator Jones announced his retirement. Newlands realized that he had to unify Democrats and Silver Party members in order to win control of the state legislature. His well-funded efforts paid off, as he defeated a challenger that was hand-picked by Senator Stewart. Newlands won the seat on the first ballot by a vote of thirteen to four in the Nevada Senate and thirty to five votes in the Nevada House.[24] See the roll call vote here. Once Senator Jones, an established political figure, retired from the U.S. Senate, Newlands’s wealth and political experience (which was largely possible in the first place because of his wealth) won him the open seat.

If Francis Newlands were alive today, he might have some political wisdom for the Nevada Senate candidates who are each well-funded and have adequate political experience. Newlands would have recognized the changes in the voting demographic in Nevada and advised Cortez Masto to emphasize her government experience in the context of being a Latina and a woman in a state that has never elected either to the U.S Senate. And he might advise Heck to distance himself even further from Trump and play up the range of his public service to Nevada, from military, to medical, to legislative. Both candidates have demonstrated their ability to win an election decided by a wider constituency than Newlands faced when Senate elections were indirect. But Newlands knew enough to emphasize what he had done for the state and how he would be different from the towering long-serving Senator whose seat he was trying to win. In that same way, in 2016, the winner of the open seat in Nevada may be determined by which candidate more successfully highlights their own past and emerges from the shadow of prominent figures within their own party.

Wendy J. Schiller is a professor of political science and international & public affairs and the Chair of the Department of Political Science at Brown University.

Wendy J. Schiller

Wendy J. Schiller

___________________________________

[1] Steve Tetreault and Ben Botkin, “Rep Joe Heck Says He’s Running for US Senate,” Las Vegas Review-Journal, July 6, 2015. Accessed on August 4, 2016.

[2] Molly O’Toole, “Meet Joe Heck, the GOP One-Star General Who Could Take Reid’s Senate Seat,” Defense One May 31, 2015. Accessed on August 4, 2016 .

[3] “Joe Heck (R)”, The Wall Street Journal. Accessed on August 4, 2016.

[4] “Races for the November 4, 2008 General Election,” The Las Vegas Sun. Accessed on August 4, 2016.

[5] “Meet Joe,” Dr. Joe Heck for U.S. Senate. Accessed on August 4, 2016.

[6] “2015 Report Card, Rep. Joseph Heck,” GovTrack. Accessed on August 4, 2016.

[7] “Joe Heck,” Ballotpedia. Accessed on August 4, 2016.

[8] Andrea Drusch, “Meet the Woman Harry Reid Wants to Replace Him in the Senate,” The Atlantic, March 27, 2015. Accessed on August 4, 2016.

[9] Ibid.

[10] “About,” Catherine Cortez Masto for Senate. Accessed on August 4, 2016.

[11] Ibid.

[12] Facebook, Catherine Cortez Masto. Accessed on August 4, 2016 .

[13] Burgess Everett, “Inside the GOP’s Campaign to Snatch Harry Reid’s Senate Seat,” Politico, June 5, 2016. Accessed on August 4, 2016.

[14] “Poll Chart: 2016 Nevada Senate Race,” The Huffington Post. Accessed on August 20, 2016.

[15] Opensecrets, “Nevada Senate Race.” Accessed on August 3, 2016 .

[16] Burgess Everett, “Inside the GOP’s Campaign to Snatch Harry Reid’s Senate Seat,” Politico, June 5, 2016. Accessed on August 4, 2016.

[17] Wendy J. Schiller and Charles Stewart III, Electing the Senate: Indirect Democracy before the Seventeenth Amendment (Princeton: Princeton University Press, 2014), 93.

[18] Ibid.

[19] Ibid, 94.

[20] William D. Rowley, Reclaiming the Arid West: The Career of Francis G. Newlands (Bloomington: Indiana University Press, 1996), 68-69.

[21] Schiller and Stewart, Electing the Senate, 94.

[22] Ibid, 95.

[23] Ibid, 95-96.

[24] Ibid, 96.

Brexit, voting, and political turbulence

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Helen Margetts, Peter John, Scott Hale and Taha Yasseri

On 23rd June 2016, a majority of the British public voted in a referendum on whether to leave the European Union. The Leave or so-called #Brexit option was victorious, with a margin of 52% to 48% across the country, although Scotland, Northern Ireland, London and some towns voted to remain. The result was a shock to both leave and remain supporters alike. US readers might note that when the polls closed, the odds on futures markets of Brexit (15%) were longer than those of Trump being elected President.

Political scientists are reeling with the sheer volume of politics that has been packed into the month after the result. From the Prime Minister’s morning-after resignation on 24th June the country was mired in political chaos, with almost every political institution challenged and under question in the aftermath of the vote, including both Conservative and Labour parties and the existence of the United Kingdom itself, given Scotland’s resistance to leaving the EU. The eventual formation of a government under a new prime minister, Teresa May, has brought some stability. But she was not elected and her government has a tiny majority of only 12 Members of Parliament. A cartoon by Matt in the Telegraph on July 2nd (which would work for almost any day) showed two students, one of them saying ‘I’m studying politics. The course covers the period from 8am on Thursday to lunchtime on Friday.’

All these events – the campaigns to remain or leave, the post-referendum turmoil, resignations, sackings and appointments – were played out on social media; the speed of change and the unpredictability of events being far too great for conventional media to keep pace. So our book, Political Turbulence: How Social Media Shape Collective Action, can provide a way to think about the past weeks. The book focuses on how social media allow new, ‘tiny acts’ of political participation (liking, tweeting, viewing, following, signing petitions and so on), which turn social movement theory around. Rather than identifying with issues, forming collective identity and then acting to support the interests of that identity – or voting for a political party that supports it – in a social media world, people act first, and think about it, or identify with others later – if at all.

These tiny acts of participation can scale up to large-scale mobilizations, such as demonstrations, protests or petitions for policy change. These mobilizations normally fail – 99.9% of petitions to the UK or US governments fail to get the 100,000 signatures required for a parliamentary debate (UK) or an official response (US). The very few that succeed usually do so very quickly on a massive scale, but without the normal organizational or institutional trappings of a social or political movement, such as leaders or political parties. When Brazilian President Dilma Rousseff asked to speak to the leaders of the mass demonstrations against the government in 2014 organised entirely on social media with an explicit rejection of party politics, she was told ‘there are no leaders’.

This explosive rise, non-normal distribution and lack of organization that characterizes contemporary politics as a chaotic system, can explain why many political mobilizations of our times seem to come from nowhere. In the US and the UK it can help to understand the shock waves of support that brought Bernie Sanders, Donald Trump, Jeremy Corbyn (elected leader of the Labour party in 2015) and Brexit itself, all of which have challenged so strongly traditional political institutions. In both countries, the two largest political parties are creaking to breaking point in their efforts to accommodate these phenomena.

The unpredicted support for Brexit by over half of voters in the UK referendum illustrates these characteristics of the movements we model in the book, with the resistance to traditional forms of organization. Voters were courted by political institutions from all sides – the government, all the political parties apart from UKIP, the Bank of England, international organizations, foreign governments, the US President himself and the ‘Remain’ or StrongerIn campaign convened by Conservative, Labour and the smaller parties. Virtually every authoritative source of information supported Remain. Yet people were resistant to aligning themselves with any of them. Experts, facts, leaders of any kind were all rejected by the rising swell of support for the Leave side. Famously, Michael Gove, one of the key leave campaigners said ‘we have had enough of experts’. According to YouGov polls, over 2/3 of Conservative voters in 2015 voted to Leave in 2016, as did over one third of Labour and Liberal Democrat voters.

Instead, people turned to a few key claims promulgated by the two Leave campaigns Vote Leave (with key Conservative Brexiteers such as Boris Johnson, Michael Gove and Liam Fox) and Leave.EU, dominated by UKIP and its leader Nigel Farage, bankrolled by the aptly named billionaire Arron Banks. This side dominated social media in driving home their simple (if largely untrue) claims and anti-establishment, anti-elitist message (although all were part of the upper echelons of both establishment and elite). Key memes included the claim (painted on the side of a bus) that the UK gave £350m a week to the EU which could instead be spent on the NHS; the likelihood that Turkey would soon join the EU; and an image showing floods of migrants entering the UK via Europe. Banks brought in staff from his own insurance companies and political campaign firms (such as Goddard Gunster) and Leave.EU created a massive database of leave supporters to employ targeted advertising on social media.

While Remain represented the status-quo and a known entity, Leave was flexible to sell itself as anything to anyone. Leave campaigners would often criticize the Government but then not offer specific policy alternatives stating, ‘we are a campaign not a government.’ This ability for people to coalesce around a movement for a variety of different (and sometimes conflicting) reasons is a hallmark of the social-media based campaigns that characterize Political Turbulence. Some voters and campaigners argued that voting Leave would allow the UK to be more global and accept more immigrants from non-EU countries. In contrast, racism and anti-immigration sentiment were key reasons for other voters. Desire for sovereignty and independence, responses to austerity and economic inequality and hostility to the elites in London and the South East have all figured in the torrent of post-Brexit analysis. These alternative faces of Leave were exploited to gain votes for ‘change,’ but the exact change sought by any two voters could be very different.

The movement‘s organization illustrates what we have observed in recent political turbulence – as in Brazil, Hong Kong and Egypt; a complete rejection of mainstream political parties and institutions and an absence of leaders in any conventional sense. There is little evidence that the leading lights of the Leave campaigns were seen as prospective leaders. There was no outcry from the Leave side when they seemed to melt away after the vote, no mourning over Michael Gove’s complete fall from grace when the government was formed – nor even joy at Boris Johnson’s appointment as Foreign Secretary. Rather, the Leave campaigns acted like advertising campaigns, driving their points home to all corners of the online and offline worlds but without a clear public face. After the result, it transpired that there was no plan, no policy proposals, no exit strategy proposed by either campaign. The Vote Leave campaign was seemingly paralyzed by shock after the vote (they tried to delete their whole site, now reluctantly and partially restored with the lie on the side of the bus toned down to £50 million), pickled forever after 23rd June. Meanwhile, Teresa May, a reluctant Remain supporter and an absent figure during the referendum itself, emerged as the only viable leader after the event, in the same way as (in a very different context) the Muslim Brotherhood, as the only viable organization, were able to assume power after the first Egyptian revolution.

In contrast, the Leave.Eu website remains highly active, possibly poised for the rebirth of UKIP as a radical populist far-right party on the European model, as Arron Banks has proposed. UKIP was formed around this single policy – of leaving the EU – and will struggle to find policy purpose, post-Brexit. A new party, with Banks’ huge resources and a massive database of Leave supporters and their social media affiliations, possibly disenchanted by the slow progress of Brexit, disaffected by the traditional parties – might be a political winner on the new landscape.

The act of voting in the referendum will define people’s political identity for the foreseeable future, shaping the way they vote in any forthcoming election. The entire political system is being redrawn around this single issue, and whichever organizational grouping can ride the wave will win. The one thing we can predict for our political future is that it will be unpredictable.

MargettsHelen Margetts the Director of Oxford Internet Institute and professor of society and the internet at the University of Oxford. Peter John is professor of political science and public policy at University College London. Scott Hale is a data scientist at the Oxford Internet Institute and a faculty fellow of the Turing Institute. Taha Yasseri is a research fellow in computational social science at the Oxford Internet Institute, a faculty fellow at Turing Institute, and research fellow in Humanities and Social Sciences at Wolfson College, University of Oxford. The four collaborated on the book Political Turbulence: How Social Media Shape Collective Action.