Dear Paul,
You
might remember me from graduate school at MIT. I would like to ask you
a question about what constitutes a reasonable argument.
For
example, suppose I were to say, "We should abolish the minimum wage.
That would increase employment and enable more people to climb out of
poverty."
There are two types of arguments you might make in response. I call these Type C and Type M.
A hypothetical example of a Type C argument would be, "Well,
A
hypothetical example of a Type M argument would be, "People who want to
get rid of the minimum wage are just trying to help the corporate
plutocrats."
Paul, my question for you is this:
Do you see any differences between those two types of arguments?
I see differences, and to me they are important. Type C arguments are about the consequences of policies. Type M arguments are about the alleged motives of individuals who advocate policies.
In
this example, the type C argument says that the consequences of
eliminating the minimum wage would not be those that I expect and
desire. We can have a constructive discussion of the Type C argument --
I can cite theory and evidence that contradicts Krueger and Card -- and
eventually one of us could change his mind, based on the facts.
Type
M arguments deny the legitimacy of one's opponents to even state their
case. Type M arguments do not give rise to constructive discussion.
They are almost impossible to test empirically.
Here are some more examples of issues where liberals could choose to use either type C or type M arguments:
Tax Cuts
Suppose that someone were to say, "The Bush tax cuts will increase long-term growth." You might raise various objections.
One
possible type C argument would be that even if the tax cuts increase
long-term growth, they will increase inequality. Thus, the consequences
are not good. We could have a constructive discussion of that issue,
although we may not come to agreement.
Another
possible type C argument would be that the tax cuts will reduce
national saving, thereby lowering the capital stock, thereby reducing
economic growth. They will have the exact opposite of the consequence
that is claimed for them. I think that this is an important argument. I
have the discomfiting impression that many in the Bush Administration
and its supply-side supporters fail to understand this argument.
A
type M argument would be, "So what were the Bush tax cuts really about?
The best answer seems to be that they were about securing a key part of
the Republican base. Wealthy campaign contributors have a lot to gain
from lower taxes, and since they aren't very likely to depend on
Medicare, Social Security or Medicaid, they won't suffer if the beast
gets starved." In fact, this is what you wrote in "The Great Tax Cut
Con," which can now be found at The unofficial Krugman archive.
To
me, this is not a helpful argument. Imagine that we could somehow prove
that the motives of the supply-siders were pure, and that they really
did want to improve economic growth. Would that purity of motive
outweigh the argument that the higher deficits will actually have the
consequence of reducing growth? I would hope not. Conversely, if the
motives are wrong but the consequences are good, to me that would argue
in favor of the tax cuts, not against them.
School Vouchers
Suppose
that I were to say, "I believe that school vouchers would increase the
quality of education and reduce the gap between the quality of schools
attended by the poor and that of those attended by the rich."
A
type C argument would be that there are other values that are more
important, so that public education, whatever its flaws, should be
maintained as it is. If you took such a position, we could have a
constructive discussion, but we might end up having to disagree.
Another type C argument, which you raised in an essay in Mother Jones,
would be, "Upper-income families would realize that a reduction in the
voucher is to their benefit: They will save more in lowered taxes than
they will lose in a decreased education subsidy. So they will press to
reduce public spending on education, leading to ever- deteriorating
quality for those who cannot afford to spend extra. In the end, the
quintessential American tradition of public education for all could
collapse." This is an argument about consequences. I believe that it is
wrong, because I think that upper-income families would be happy to pay
higher taxes to support an education system that works rather than one
that fails. But at least we are talking about an empirical question.
A
type M argument would be the one you made in the next paragraph of your
essay. "The leaders of the radical right want privatization of schools,
of public sanitation -- of anything else they can think of -- because
they know such privatization undermines what remaining opposition
exists to their program." This argument shuts off any constructive
debate. It dehumanizes me to the point where I am not even given credit
for knowing what my own motives are. Similarly, when I read the
comments on Kevin Drum's blog post about vouchers, I see a lot of type M arguments.
The War in
Suppose that someone says, "The war in
A type C argument would be to suggest that in fact the war in
A type M argument would be to write, as you did on September 9, that, "It's now clear that the
The Economic Consequences of Mr. Krugman
Paul,
your columns consist primarily of type M arguments. Either you do not
see the difference between type C arguments and type M arguments, or
you do not care.
I am not going to try to guess your motives for relying on type M arguments. However, I can tell you some of the consequences.
One
consequence is to lower the level of political discourse in general.
You have a lot of influence with those who sympathize with your views.
When they see you adopt type M arguments, they do the same.
Conversely,
many of your opponents are stooping to your level. I see type M
arguments raised by many of your enemies on the Right. As horse manure
draws flies, your columns generate opposition that is vindictive and
uninformed.
Another
consequence is to lower the prestige and impact of economists. We are
trained to make type C arguments. Instead, you are teaching by example
that making speculative assessments of one's opponent's motives is more
important than thinking through the consequences of policy options. If
everyone were to use such speculative assessments as the basis for
forming their opinions, then there would be no room for economics in
public policy discussions.
You could express your point of view using type C arguments and still take strong stands for what you believe is right. In fact, you might find that doing so would make you more effective. Even if that is not the case, even if there is a sort of media version of Gresham's Law in which specious reasoning drives out careful analysis, then that is a challenge for all of us who are trained as economists. I believe that we have a professional duty to try to be part of the solution, not part of the problem.








