The Democrats’ Quandary

In a struggle between oligarchy and democracy, something must give

By Michael Hudson

"Information Clearing House" - To hear the candidates debate, you would think that their fight was over who could best beat Trump. But when Trump’s billionaire twin Mike Bloomberg throws a quarter-billion dollars into an ad campaign to bypass the candidates actually running for votes in Iowa, New Hampshire and Nevada, it’s obvious that what really is at issue is the future of the Democrat Party. Bloomberg is banking on a brokered convention held by the Democratic National Committee (DNC) in which money votes. (If “corporations are people,” so is money in today’s political world.)
Until Nevada, all the presidential candidates except for Bernie Sanders were playing for a brokered convention. The party’s candidates seemed likely to be chosen by the Donor Class, the One Percent and its proxies, not the voting class (the 99 Percent). If, as Mayor Bloomberg has assumed, the DNC will sell the presidency to the highest bidder, this poses the great question: Can the myth that the Democrats represent the working/middle class survive? Or, will the Donor Class trump the voting class?
This could be thought of as “election interference” – not from Russia but from the DNC on behalf of its Donor Class. That scenario would make the Democrats’ slogan for 2020 “No Hope or Change.” That is, no change from today’s economic trends that are sweeping wealth up to the One Percent.
All this sounds like Rome at the end of the Republic in the 1st century BC. The way Rome’s constitution was set up, candidates for the position of consul had to pay their way through a series of offices. The process started by going deeply into debt to get elected to the position of aedile, in charge of staging public games and entertainments. Rome’s neoliberal fiscal policy did not tax or spend, and there was little public administrative bureaucracy, so all such spending had to be made out of the pockets of the oligarchy. That was a way of keeping decisions about how to spend out of the hands of democratic politics. Julius Caesar and others borrowed from the richest Bloomberg of their day, Crassus, to pay for staging games that would demonstrate their public spirit to voters (and also demonstrate their financial liability to their backers among Rome’s One Percent). Keeping election financing private enabled the leading oligarchs to select who would be able to run as viable candidates. That was Rome’s version of Citizens United.
But in the wake of Sanders’ landslide victory in Nevada, a brokered convention would mean the end of the Democrat Party pretense to represent the 99 Percent. The American voting system would be seen to be as oligarchic as that of Rome on the eve of the infighting that ended with Augustus becoming Emperor in 27 BC.

The party’s Clinton-Obama recipients of Donor Class largesse pretend to believe that Sanders is not electable against Donald Trump. This tactic seeks to attack him at his strongest point. Recent polls show that he is the only candidate who actually would defeat Trump – as they showed that he would have done in 2016.Today’s pro-One Percent media – CNN, MSNBC and The New York Times have been busy spreading their venom against Sanders. On Sunday, February 23, CNN ran a slot, “Bloomberg needs to take down Sanders, immediately.” Given Sanders’ heavy national lead, CNN warned, the race suddenly is almost beyond the vote-fixers’ ability to fiddle with the election returns. That means that challengers to Sanders should focus their attack on him; they will have a chance to deal with Bloomberg later (by which CNN means, when it is too late to stop him).
The DNC knew that, but preferred to lose to Trump than to win with Bernie. Will history repeat itself? Or to put it another way, will this year’s July convention become a replay of Chicago in 1968?

A quandary, not a problem

Last year I was asked to write a scenario for what might happen with a renewed DNC theft of the election’s nomination process. To be technical, I realize, it’s not called theft when it’s legal. In the aftermath of suits over the 2016 power grab, the courts ruled that the Democrat Party is indeed controlled by the DNC members, not by the voters. When it comes to party machinations and decision-making, voters are subsidiary to the superdelegates in their proverbial smoke-filled room (now replaced by dollar-filled foundation contracts).
I could not come up with a solution that does not involve dismantling and restructuring the existing party system. We have passed beyond the point of having a solvable “problem” with the Democratic National Committee (DNC). That is what a quandary is. A problem has a solution – by definition. A quandary does not have a solution. There is no way out. The conflict of interest between the Donor Class and the Voting Class has become too large to contain within a single party. It must split.
A second-ballot super-delegate scenario would mean that we are once again in for a second Trump term. That option was supported by five of the six presidential contenders on stage in Nevada on Wednesday, February 20. When Chuck Todd asked whether Michael Bloomberg, Elizabeth Warren, Joe Biden, Pete Buttigieg and Amy Klobuchar would support the candidate who received the most votes in the primaries (now obviously Bernie Sanders), or throw the nomination to the super-delegates held over from the Obama-Clinton neoliberals (75 of whom already are said to have pledged their support to Bloomberg), each advocated “letting the process play out.” That was a euphemism for leaving the choice to the Tony-Blair style leadership that have made the Democrats the servants’ entrance to the Republican Party. Like the British Labour Party behind Blair and Gordon Brown, its role is to block any left-wing alternative to the Republican program on behalf of the One Percent.
This problem would not exist if the United States had a European-style parliamentary system that would enable a third party to obtain space on the ballots in all 50 states. If this were Europe, the new party of Bernie Sanders, AOC et al. would exceed 50 percent of the votes, leaving the Wall Street democrats with about the same 8 percent share that similar neoliberal democratic parties have in Europe (e.g., Germany’s hapless neoliberalized Social Democrats), that is, Klobocop territory as voters moved to the left. The “voting Democrats,” the 99 Percent, would win a majority leaving the Old Neoliberal Democrats in the dust.
The DNC’s role is to prevent any such challenge. The United States has an effective political duopoly, as both parties have created such burdensome third-party access to the ballot box in state after state that Bernie Sanders decided long ago that he had little alternative but to run as a Democrat.
The problem is that the Democrat Party does not seem to be reformable. That means that voters still may simply abandon it – but that will simply re-elect the Democrats’ de facto 2020 candidate, Donald Trump. The only hope would be to shrink the party into a shell, enabling the old guard to go away so that the party could be rebuilt from the ground up.
But the two parties have created a legal duopoly reinforced with so many technical barriers that a repeat of Ross Perot’s third party (not to mention the old Socialist Party, or the Whigs in 1854) would take more than one election cycle to put in place. For the time being, we may expect another few months of dirty political tricks to rival those of 2016 as Obama appointee Tom Perez is simply the most recent version of Florida fixer Debbie Schultz-Wasserman (who gave a new meaning to the Wasserman Test).

So we are in for another four years of Donald Trump. But by 2024, how tightly will the U.S. economy find itself tied in knots?