I Fear This Is True

On late capitalism.

Could you expound on that, because this is a foundational problem and I want to make sure the reader knows exactly what you mean when you say “embedded growth hypotheses” are turning us into “scoundrels and liars.”  

Eric Weinstein:  Sure. Let's say, for example, that I have a growing law firm in which there are five associates at any given time supporting every partner, and those associates hope to become partners so that they can hire five associates in turn. That formula of hierarchical labor works well while the law firm is growing, but as soon as the law firm hits steady state, each partner can really only have one associate, who must wait many years before becoming partner for that partner to retire. That economic model doesn't work, because the long hours and decreased pay that one is willing to accept at an entry-level position is predicated on taking over a higher-lever position in short order. That's repeated with professors and their graduate students. It's often repeated in military hierarchies. It takes place just about everywhere, and when exponential growth ran out, each of these institutions had to find some way of either owning up to a new business model or continuing the old one with smoke mirrors and the cannibalization of someone else's source of income.

I've seen this everywhere since I started working.