By Pat Bagley
Friday, August 21, 2026
Sunday, October 12, 2025
Marx and the Seldon paradox
From David Brin, the SF author
[...] There is another, related concept – the Seldon Paradox, named after Hari Seldon, the lead character in Isaac Asimov’s Foundation universe, who develops mathematical models of human behavior that are sagaciously predictive across future centuries. In that science fictional series, Seldon’s methods are kept secret from the galaxy’s vast human population – on twenty-five million inhabited worlds – because the models will fail, if everyone knows about them and uses them.This effect is well-known by militaries, of course. It is also why so many supposed tricks to predict or game the Stock Market – even if they work at first – collapse as soon as they are widely known.
But the Seldon Paradox goes further. A good model that stops working, because of widespread awareness, might later-on start to work again, once that failure becomes assumed by everyone.
One example would be what happened in my parents’ generation, that of the Depression and the Second World War. At the time, everyone read Karl Marx. And I do mean almost everyone. Even the most vociferous anti-Marxists could quote whole passages, putting effort into understanding their enemy.
You can see this embedded in many works of the time, from nonfiction to novels to movies. All the way to Ayn Rand, whose entire scenario can be decrypted as deeply Marxist! Though heretically-so, because she cut his sequence off at the penultimate stage, and called the truncated version good.
Indeed, Asimov’s Hari Seldon was clearly (if partially) based upon Marx.
Particularly transfixing to my parents' generation were Marx’s depictions of class war, as power and wealth grew ever more concentrated in a few families, leading – his followers assumed – to inevitable revolt by the working classes. So persuasive was the script that, in much of the wealthy American caste, there arose a determination to cancel their own demise with social innovations!
One, innovation, in particular, the Marxists never expected was named Franklin Delano Roosevelt, whose game plan to save his own class was to fork over much of the wealth and power by investing heavily to uplift the workers into a prosperous, educated and confident Middle Class. One that would then be unmotivated to enact Karl's scenario.
Or, as Joe Kennedy was said to have said: "I'd rather have half my fortune taken to make the workers happy than lose it all, and my head, in revolution." (Or something to that effect.)
== It worked, SO well that eventually... ==
Whether or not you agree with my appraisal here, the results were beyond dispute. The GI Bill generation built vast infrastructure, supported science, chipped away at prejudice, and flocked to new universities, where the egalitarian trend doubled and redoubled, as their children stepped forth to confidently compete with the scions of aristocracy. And thusly brought a flawed but genuinely vibrant version of Adam Smith's flat-fair-open-competitive miracle to life! That is, until…
…until all recollection of Karl Marx and his persuasive scenarios seemed dusty, irrelevant, and mostly forgotten. Until the driving force behind Rooseveltism – to cancel out communism through concentrated egalitarian opportunity – became a distant memory.
At which point, lo and behold, conditions of wealth and power began shifting back into patterns that fit into Old Karl’s models with perfect snugness! With competition-destroying cartels and cabals. With aristocracies greedily and insatiably vampiring the system that had given them everything. (Ayn Rand's elite 'looters.") With the working classes fleeced, like sheep. And then (so far figuratively) eaten.
At which point the writings of Marx – consigned for 80 years into the dustbin – have regained interest from disgusted, formerly upward-mobile classes. Books that are now flying off the shelves, all over the world, pored-over eagerly…
...but not by those who need awareness the most. Surrounded by sycophants and flatterers, they will deem themselves to be demigods, until the tumbrels come for them. Or until another FDR rescues them, in the nick of time. (Don't count on it.)
Because of the Seldon Paradox.
== And yes, the anti-vax movement is another example ==
There are reasons why the Greatest Generation adored FDR above all other living humans. And the next American so-beloved? His name was Jonas Salk. The Man Who Gave Kids Back Their Summer....
...because until the miracle of his vaccine, parents terrified of polio kept their children away from public parks and swimming pools... and I barely remember parent-talk of their joy and relief, letting me stroll the neighborhood and nearby streets in safety.
How does this relate? Childhood vaccinations worked so well that most citizens forgot how much people suffered from two dozen lethal and "non lethal" diseases such as measles, mumps, etc. And they forgot the horrors of polio and diphtheria and tetanus (reputed to be the very worst way to die.) And yeah. The Anti-Vax movement well resembles phase one of the Seldon Paradox.
And woefully we are already seeing signs of phase two.
[....]
Some other pieces I have written on this subject:
People try to help one another
Most political unrest caused by soaring inequality
The richest Americans get even richer
Thursday, April 25, 2024
In the US, they think we're communists
In the Red Mars--Green Mars--Blue Mars trilogy, the author Kim Stanley Robinson posits a society dominated by co-operatives, driven not just by the need to survive on Mars (which requires a collective approach) but also a hostility to capitalism and its inherent inequality and greed. The capitalists, billionaires and multi-national corps are emphatically the bad guys. In these novels, the new members of a co-operative also have to buy their way into the co-op, and should you leave, the co-op would buy back your share. It seems a very attractive alternative to raw capitalism and doctrinaire socialism to me. I think he must have had the Mondragón co-operative in mind.
From The Guardian
The Basque Country’s Mondragón Corporation is the globe’s largest industrial co-operative, with workers paying for the right to share in its profits – and its losses. In return for giving more to their employer, they expect more back.
When Marisa Fernández lost her husband to cancer a few years ago, her employers at the Eroski hypermarket went, she says, “above and beyond to help me through the dark days afterwards, rejigging my timetable and giving me time off when I couldn’t face coming in.”
She had a chance to return the favour recently when the store, in Arrasate-Mondragón in Spain’s Basque Country, was undergoing renovations. Fernández, 58, who started on the cashier desk 34 years ago, and now manages the store’s non-food section, volunteered to work extra shifts over the weekend along with her colleagues to ensure everything was ready for Monday morning. “It’s not just me. Everyone is ready to go the extra mile,” she says.
Such harmonious employer-worker relations are the stuff of corporate dreams, and they are no accident here: the Eroski retail chain is part of Mondragón Corporation, the largest industrial co-op in the world. As a fully signed-up member, Fernández co-owns part of the supermarket chain that also employs her. “It feels like mine,” she says. “We work hard, but it’s a totally different feeling from working for someone else.”
That sentiment is echoed by Mondragón’s 70,000 other workers. Made up of 81 autonomous co-operatives, the corporation has grown since its creation in 1956 to become a leading force in the Basque economy. Eroski is one of its most conspicuous manifestations, with 1,645 outlets across Spain. In addition to food, the chain has profitable sidelines in white goods, electronics, insurance and holiday bookings.
More than its economic success, though, Mondragón has become a beacon for the co-operative model, as a more humane and egalitarian way of doing business that puts “people over capital”. Every worker has a stake in the company’s fortunes and a say in how it is run, and receives a share of the profits. But the goal is more about creating “rich societies, not rich people”. That means looking after workers during not only the good times but the tough times, too.
The lowest point for Maite Aguirrebeitia, for example, came back in 2013, when, after 20 years’ service, the Mondragón co-operative that she and her husband were affiliated to, Fagor Electrodomésticos, filed for bankruptcy. Demand for its ovens and household appliances had plummeted after the 2008 financial crisis and despite help from a Mondragón “solidarity fund”, it never recovered.
“I felt this overwhelming sense of pain and grief at the time, as if someone close to me had died,” the 56-year-old communications specialist recalls. “Plus we had two kids and bills to pay and so on. The mental stress of it all was huge.”
Rather than thank the redundant workers for their service and wish them on their way, Mondragón committed to find alternative employment for as many of Fagor’s 1,900 or so workers as it could. After temporary stints in five Mondragón co-operatives in 2022, Aguirrebeitia found a permanent placement with Mondragon Assembly, a manufacturer of equipment for process automation.
Although it has meant a shift in career – she now works part-time in human resources, and part-time as a receptionist – the security of having a fixed job is a “huge relief”, she says. “I always felt confident that somehow I’d be looked after. I talked to other people who were out of work at the time and they had none of that. They were out on the street, totally alone. If I’d had to compete in the open job market against all the youngsters coming out of university, I’m not sure I’d have ever found another job.”
Mondragón’s human-centric approach originated far from any business management school. Its roots lie in a socially engaged form of Catholicism that gained ground in the 1940s, during the early years of the Francoist regime. Its initial champion was a Basque-born cleric named José María Arizmendiarrieta, who, in 1941, arrived in the small town of Arrasate-Mondragón, about 30 miles (50km) south-east of Bilbao.
Taking it as his pastoral mission to revitalise the local economy, the diocesan priest set up a technical school for young men. A few years later, he arranged for some of them to take distance-learning degrees in industrial engineering. “After graduating, they all found jobs in conventional companies in the town, but they felt stifled … they wanted more of a say over their destiny, but their employers thought otherwise,” explains Ander Etxeberria, head of Mondragón’s outreach programme.
With Arizmendiarrieta’s encouragement, five of these first 11 graduates decided in 1955 to set up the now defunct Fagor Electrodomésticos. Seeking a model that reflected their Christian socialist philosophy, they turned to the Rochdale Pioneers, a group of tradespeople from the Lancashire town who, more than a century before, had established the world’s first co-operative. That venture grew to become today’s Co-operative Group, home to the UK’s fifth biggest food retailer and its largest provider of funeral services.
Mondragón’s founders adopted wholesale many of the Pioneers’ core tenets. In their modern-day headquarters, located in a renovated 14th-century tower with a spectacular mountain backdrop, Etxeberria counts off the group’s 10 “basic principles”. The list ranges from the sovereignty of labour and democratic organisation (one member, one vote), to wage solidarity and “social transformation” – which includes reinvesting surpluses to create new jobs, supporting local charities and community development projects, and strengthening the Basque Country’s Euskara language. Top of the list is voluntary and open membership – namely, the opportunity for everyone to have a personal stake in the enterprise where they work. As an early version of the principles reads: “The first form of elemental justice that we need to practise is to consider each other as free human beings.”
These values hold true into the present, Etxeberria explains. The salary differential between the highest and lowest paid workers in Mondragón, for example, remains about six to one; for the largest 500 listed companies in the US, the gap is closer to 272 to one. At the year end, members of Mondragón’s co-operatives also decide collectively on whether they should pay themselves bonuses and, if so, how much. This profit-sharing comes in addition to a base pay rate that, on average, is 40% above Spain’s minimum wage.
Despite its social responsibility credentials, Mondragón remains a competitive business. When Etxeberria presses “play” on an introductory video, the screen shows not pictures of happy workers doing yoga but gleaming industrial facilities and straight-faced technicians in lab coats. Overlaying these images are facts and figures that would have mainstream financiers salivating: €10.6bn (£9.1bn) in annual revenues; a dozen research and development facilities; a global roster of blue-chip clients; and a diversified sector spread – industry, retail, finance and education.
The same no-nonsense, professional vibe is on show at Fagor Arrasate, a Mondragón affiliate located on one of the many industrial estates that ring Arrasate-Mondragón, a vibrant town of cafe-strewn streets and busy bars. A specialist in metal presses and stamping systems, Fagor Arrasate boasts several hangar-sized workshops full of robotic machinery and giant components ready for export. “Some of the installations we make for customers can be three to four storeys high, so these are massive, multimillion-euro investments,” enthuses Edorta Mendieta, the venture’s marketing manager.
Pinned to a cork noticeboard beside a busy production line are photos of a recent charity run, a printout of donations to local causes (including €60,000 for a nearby organic food association), and a poster about a forthcoming “women in science” event. In the centre of the board, an A4 sheet of closely printed text gives notice of the co-operative’s general assembly, where next year’s strategy plan will be put to an all-member vote.
Mondragón’s collective spirit also offers an edge with innovation. In a process that the movement refers to as “inter-cooperation”, co-operatives within the group frequently swap ideas between themselves and engage in joint research.
Over the years, many of the best innovations have come from alliances with Mondragón’s homegrown university. Located on a leafy campus in Arrasate-Mondragón, the university was set up with a strong practical bent to both its teaching and its research. So much so, in fact, that the European Commission recently selected it to co-lead a major “dual training” programme aimed at blending academia with business to tackle global challenges such as the climate crisis.
Mondragón’s approach has proved itself profitable and resilient, so could it become a realistic alternative to the modern corporation?
It’s a moot point. Despite their worker-first philosophy, the movement’s leaders are reluctant to denounce the wealth-maximising nature of modern market capitalism. The reason is as simple as it is awkward: Mondragón must actively participate in that same capitalist system for its survival.
This tactic of being “in, but not of” the world of mainstream business has seen the Basque-based movement face charges of double standards. In particular, critics highlight its outsourcing of some of its production to low-wage countries with weaker labour standards, such as China and Mexico. Mondragón argues that it has checks and balances in place to ensure that its foreign business partners uphold workers’ rights, and that keeping costs low is part and parcel of staying competitive. “For us, workers will always come before capital. But capital is still important because without it we cannot fulfil our mission of social transformation,” says Javier Marcos, Mondragón’s director of communications.
Radical as that mission is, its focus is and always has been primarily on el territorio (the local Basque region); less about rewriting the global economic order and more about improving co-op members’ lives. That said, if others want to copy the Mondragón model, then its doors are always open, insists Etxeberria. In the past month alone, he has hosted large groups of policymakers and business students from the Philippines, Brazil and the US. “They come to see if our approach works in practice,” he says. “They all go back pleasantly surprised, I think.”
Young people, in particular, are attracted to the notion of business and entrepreneurship going beyond just the pursuit of profit, but they “don’t know the co-operative possibility exists,” says Ana Aguirre, a graduate of Mondragón University. The 33-year-old now co-runs Tazebaez, a worker-owned consultancy and education provider that she and eight fellow students created during their bachelor’s degree. For the few who have heard of co-operativism, she adds, most relegate it in the folksy, do-gooder box. “The problem is that it’s portrayed as something to do with charity or [philanthropic] foundations, rather than as a credible business model.”
Pursuing a co-operative model is far from plain sailing, however. Numerous hurdles exist. For one, membership does not come cheap. To join a co-operative, workers typically put up a one-off payment of about €17,000 each. Plus, just as they are entitled to a share of any profits, so, too, are they liable for any losses.
Commercial pressures can also prove acute, as Fagor Electrodomésticos’s troubled history shows. The fact that all major investment decisions have to be put to the vote can also make Mondragón’s co-operatives less agile than their conventional competitors. And finding financing can be problematic as the private capital markets are effectively closed to them, admits Fagor Arrasate’s Mendieta: “We can’t incorporate external capital into the co-operative’s share capital because we are governed by the principle of ‘one person, one vote’, which no capitalist investor would accept.”
In some parts of the world, Mondragón’s approach just looks downright weird. No one bats an eyelid at the co-operative model in countries such as Germany, “but with these ideas in Texas or Kansas, you’re basically a communist,” says Mendieta, only half jokingly.
Across Europe, at least, the co-operative model is widespread. In Norway, for instance, co-ops have a strong heritage in the social housing sector. Italy’s Emilia-Romagna region boasts a long tradition of industrial co-operatives similar to that of the Basque Country. And, as well as the Co-operative Group, the UK’s almost 7,000 co-operatives include the mighty John Lewis Partnership, which has a turnover of nearly £10bn. In total, the EU hosts about 250,000 co-operatives, providing 5.4m jobs.
Increasingly, the movement’s footprint is also being seen in company law. Germany has long required corporate boards to have worker representatives, for instance. Similarly, Spanish law allows unemployed people to lump together their unemployment benefit to set up small businesses – known as Sociedades Laborales – as long as they are majority owned by their employees. The rise in mainstream corporations now talking the language of employee autonomy, horizontal management, dignified wages and similar themes suggests co-operativism is leaving its mark on business company practices if not – yet – on capitalist ownership
Back in Mondragón’s fort-like headquarters, Etxeberria is quietly confident about the movement’s prospects. Co-operativism, he says, is a little like zirimiri – the Eusakara word for “drizzle”. “It’s the same ideas that keep falling; they’ll settle eventually.”
“What we need is equality without conformity.”“Beauty is power and elegance, right action, form fitting function, intelligence, and reasonability. And very often expressed in curves.”“Economics was like psychology, a pseudoscience trying to hide that fact with intense theoretical hyperelaboration. And gross domestic product was one of those unfortunate measurement concepts, like inches or the British thermal unit, that ought to have been retired long before.”“You can't get any movement larger than five people without including at least one fucking idiot.”“That's libertarians for you — anarchists who want police protection from their slaves.”“We were outside the world, we didn't even own things -- some clothes. . . . This arrangement resembles the prehistoric way to live, and it therefore feels right to us, because our brains recognize it from 3 millions of years practicing it. In essence our brains grew to their current configuration in response to the realities of that life. So as a result people grow powerfully attached to that kind of life, when they get the chance to live it. It allows you to concentrate your attention on the real work, which means everything that is done to stay alive, to make things, or satisfy one's curiosity, or play. That is utopia.”“And because we are alive, the universe must be said to be alive. We are its consciousness as well as our own. We rise out of the cosmos and we see its mesh of patterns, and it strikes us as beautiful. And that feeling is the most important thing in all the universe—its culmination, like the color of the flower at first bloom on a wet morning.”“Very few people ever bother to find out what other people really think. They are willing to accept whatever they are told about anyone sufficiently distant.”“History was like some vast thing that was always over the tight horizon, invisible except in its effects. It was what happened when you weren't looking -- an unknowable infinity of events, which although out of control, controlled everything.”“That is what capitalism is—a version of feudalism in which capital replaces land, and business leaders replace kings. But the hierarchy remains. And so we still hand over our lives’ labor, under duress, to feed rulers who do no real work.”“That's a large part of what economics is - people arbitrarily, or as a matter of taste, assigning numerical values to non-numerical things. And then pretending that they haven't just made the numbers up, which they have. Economics is like astrology in that sense, except that economics serves to justify the current power structure, and so it has a lot of fervent believers among the powerful.”
Monday, April 11, 2022
We are not communists
Friday, July 9, 2021
The Rabid Right threat to democracy is nothing new
The Rabid Right threat to democracy is nothing new. I believe it's worse now, because the Republican Party has embraced doolally fringe theories like QAnon, whereas in the 60s, the then Republican Party shunned the John Birch Society.
From a fascinating Twitter thread by Seth Cotlar, who teaches history at Willamette University. He looks at newspaper articles and letters to the editor from 1962.
Salem Statesman Journal, 29 January 1962. A commentator notes that ultraconservative "super-patriots" seem to be rising in number and influence, do they pose a greater threat to the nation than Communists?
"Now for the rookie in the movement, everything falls into place--unless, of course, he knows some contemporary history."
The US right has always been at war with the Marxist "enemies of the people" who run the media.
Part 3 is on General Edwin Walker, a precursor in many ways to our current Q-warlord Michael Flynn.
Part 4. "It is worth pondering the possibility that [the John Birch Society], unwittingly, is following a Communist-inspired line to destroy Americans' faith in their most respected leaders and institutions."
Part 5 focuses on Strom Thurmond as the great hero of the ultraconservatives ca. 1962. Striking that the author makes very little mention of the civil rights/segregation part of Thurmond's national appeal.
Forgot to mention the interesting coincidence that the 1962 angry Christian Patriot letter writer was from Independence, OR...the hometown of recently expelled far right OR legislator Mike Nearman.
Sixth and final installment. Interesting how the author implies that the various ultra-right groups won't successfully join together because then they'd have to pool resources. IOW, for many, this was a lucrative grift they weren't about to give up.
I've only attached one pic of the texts Cotlar references, but the original twitter feed is worth visiting to see all the others.
Here's the Wikipedia article on the John Birch Society. I noted with interest that the JBS was also anti-science (for example, promoting laetrile as an anti-cancer cure) Crackpot unhinged loonies. And the modern Right echoes all these dotty theories--even though Communism has been completely discredited and defeated.


