Is New Jersey in any state to vote tonight?

The legitimacy of the election result in New Jersey will be undermined as residents are still struggling to cope with the damage and devastation of SuperStorm Sandy.

A weary police officer sat in his squad car Monday evening, blocking passage to one of the Sayreville, New Jersey neighborhoods most severely devastated by SuperStorm Sandy. Parts of Sayreville, which sits along the Raritan River in Middlesex County, had long been accustomed to occasional flooding. But they never anticipated anything like what Sandy – not even technically a hurricane when it made landfall on Margate City, NJ, by the way - has wrought.

“Five of my colleagues lost everything, you know,” the exhausted officer – who asked not to be identified – sighed. “Their houses are totally unlivable; foundations washed out, structures corrupted.” I was not permitted to view the neighborhood, said the officer, on the ground that residents were angry about gawkers taking photos and leery of potential looters. There had been reports of miscreants swiping damaged items from  people’s front lawns, he revealed, and such people would blame the officer himself for allowing in further intruders. A homemade placard affixed to a street sign sternly warned all non-residents: “If you don't live here, stay out!!! Let us clean up. Don't take anything!!! We will call police on you.” He said Sayreville officers had just arrested several men for attempting to steal 80 gallons of gasoline from a boat that had gotten lodged in a marsh.

Garbage and debris were strewn all over town; powerlines and various infrastructure were still knocked to the ground; queues of cars clogged the main drag, because most traffic lights were offline. Assorted emergency sirens blinkered endlessly. A huge portion of the population had left town to stay with friends, relatives, or whomever.

And yet these people are supposed to vote today? That’s an absurd proposition. No election held in Sayreville – or, indeed, the whole of New Jersey – should be considered at all legitimate. I have spoken with so many people who are absolutely in no position to exercise their franchise.

Ida Pajack, who was walking outside her home in a retirement community, told me she did not know where to vote given all the flood damage, and probably would not even bother. And under normal circumstances, she always votes. “But it’s been terrible,” she said. “I’m 83, you know, and we can’t cook. Terrible.” She and her daughter, who is pregnant, remained without power or heat. (It has gotten extremely cold in the tri-state area). “She’s afraid for her little one, due in December,” Pajack told me.

Inside a darkened pizza parlor, George Dalla cooked free pies to be delivered to needy senior citizens like Pajack. Dalla, who lives in nearby Spotswood, of course had no power, and also said he would not be voting today (for Romney) due to storm-related problems. Stories like these are disturbingly common, and amount to disenfranchisement. A FEMA notice was posted in the parlor’s front window. Harry Kruschik, waiting for a pie, described his town’s vacancy thusly: “On our street, there are two neighbours on either side. All of them left.” His wife, Leona, said the powerplant she works at one town over still had no phone service. Neither planned on voting.

There was a disquieting mood about these Sayreville neighborhoods. The local right-wing talk radio station, NJ 101.5, had been hyping rumours of looting, which some residents cited as a source of anxiety. Many are now distrustful of outsiders.

“Everybody here is so discouraged about what happened,” said homeowner Ralph Bentecourt, sounding forlorn. He would have voted for Obama, but no longer plans to turn out. His entire first floor flooded, wrecking countless possessions; water-logged vinyl records sat on his back porch, looking weirdly out of place.

Bentecourt produced for me a letter dated 26 July, 2010 from Chase Home Finance LLC, which handles his mortgage, informing him that his property is “no longer located in a Special Flood Hazard Area,” and therefore he was no longer required to purchase flood insurance. So, understandably, he does not have flood insurance on his flood-damaged house. As you might imagine, voting is probably the furthest thing from Bentecourt’s (and his wife’s) mind. He is still clearing out debris. During the storm, his backyard resembled some kind of post-apocalyptic lake.

There was a sense in Sayreville that a wave of depression and stasis had only just begun to settle in. Expecting these recently-traumatised people, many of whom lost virtually everything, to prioritise voting today is simply cruel. And this is just one town. The situation across New Jersey is dire. Gasoline has been rationed; long lines to fill up are ubiquitous. The Port of Newark, a massively important trade hub, was damaged and shut down. Frigid temperatures pose additional danger. Hundreds of thousands still have no electricity.

Local officials are doing all they can under extraordinary circumstances. However: disenfranchisement is disenfranchisement. Though low turnout probably favours Romney, the outcome today will be illegitimate regardless of who wins.

A damaged house in Beach Haven, New Jersey. Photograph: Getty Images
Photo: Getty
Show Hide image

The Future of the Left: A new start requires a new economy

Creating a "sharing economy" can get the left out of its post-crunch malaise, says Stewart Lansley.

Despite the opportunity created by the 2008 crisis, British social democracy is today largely directionless. Post-2010 governments have filled this political void by imposing policies – from austerity to a shrinking state - that have been as economically damaging as they have been socially divisive.

Excessive freedom for markets has brought a society ever more divided between super-affluence and impoverishment, but also an increasingly fragile economy, and too often, as in housing, complete dysfunction.   Productivity is stagnating, undermined by a model of capitalism that can make big money for its owners and managers without the wealth creation essential for future economic health. The lessons of the meltdown have too often been ignored, with the balance of power – economic and political – even more entrenched in favour of a small, unaccountable and self-serving financial elite.

In response, the left should be building an alliance for a new political economy, with new goals and instruments that provide an alternative to austerity, that tackle the root causes of ever-growing inequality and poverty and strengthen a weakening productive base. Central to this strategy should be the idea of a “sharing economy”, one that disperses capital ownership, power and wealth, and ensures that the fruits of growth are more equally divided. This is not just a matter of fairness, it is an economic imperative. The evidence is clear: allowing the fruits of growth to be colonised by the few has weakened growth and made the economy much more prone to crisis.

To deliver a new sharing political economy, major shifts in direction are needed. First, with measures that tackle, directly, the over-dominance of private capital. This could best be achieved by the creation of one or more social wealth funds, collectively held financial funds, created from the pooling of existing resources and fully owned by the public. Such funds are a potentially powerful new tool in the progressive policy armoury and would ensure that a higher proportion of the national wealth is held in common and used for public benefit and not for the interests of the few.

Britain’s first social wealth fund should be created by pooling all publicly owned assets,  including land and property , estimated to be worth some £1.2 trillion, into a single ring-fenced fund to form a giant pool of commonly held wealth. This move - offering a compromise between nationalisation and privatization - would bring an end to today’s politically expedient sell-off of public assets, preserve what remains of the family silver and ensure that the revenue from the better management of such assets is used to boost essential economic and social investment.

A new book, A Sharing Economy, shows how such funds could reduce inequality, tackle austerity and, by strengthening the public asset base, rebalance the public finances.

Secondly, we need a new fail safe system of social security with a guaranteed income floor in an age of deepening economic and job insecurity. A universal basic income, a guaranteed weekly, unconditional income for all as a right of citizenship, would replace much of the existing and increasingly means-tested, punitive and authoritarian model of income support. . By restoring universality as a core principle, such a scheme would offer much greater security in what is set to become an increasingly fragile labour market. A basic income, buttressed by a social wealth fund, would be key instruments for ensuring that the potential productivity gains from the gathering automation revolution, with machines displacing jobs, are shared by all.  

Thirdly, a new political economy needs a radical shift in wider economic management. The mix of monetary expansion and fiscal contraction has proved a blunderbuss strategy that has missed its target while benefitting the rich and affluent at the expense of the poor. By failing to tackle the central problem  – a gaping deficit of demand (one inflamed by the long wage squeeze and sliding investment)  - the strategy has slowed recovery.  The mass printing of money (quantitative easing) may have helped prevent a second great depression, but has also  created new and unsustainable asset bubbles, while austerity has added to the drag on the economy. Meanwhile, record low interest rates have failed to boost private investment and productivity, but by hiking house prices, have handed a great bonanza to home owners at the expense of renters.

Building economic resilience will require a more central role for the state in boosting and steering investment programmes, in part through the creation of a state investment bank (which could be partially financed from the proposed new social wealth fund) aimed at steering more resources into the wealth creating activities private capital has failed to fund.

With too much private credit used for financial speculation and property, and too little to small companies and infrastructure, government needs to play a much more direct role in creating credit, while restricting the almost total freedom currently handed to private banks.  Tackling the next downturn, widely predicted to land within the next 2-3 years, will need a very different approach, including a more active fiscal policy. To ensure a speedier recovery from recessions, future rounds of quantitative easing should, within clear constraints, boost the economy directly by financing public investment programmes and cash handouts (‘helicopter money’).  Such a police mix – on investment, credit and stimulus - would be more effective in boosting the real economic base, and would be much less pro-rich and anti-poor in its consequences.

These core changes would greatly reform the existing Anglo-Saxon model of capitalism and provide the foundations for building support for a new direction for progressive politics. They would pioneer new tools for building a fairer, more dynamic and more stable economy. They could draw on experience elsewhere such as the Alaskan annual citizen’s dividend (financed by a sovereign wealth fund) and the pilot basic income schemes launching in the Netherlands, Finland and France.  Even mainstream economists, including Adair Turner, former chairman of the Financial Services Authority, are now talking up the principle of ‘helicopter money’. For these reasons, parts of the package are likely to prove publicly popular and command support across the political divide. Together they would contribute to a more stable economy, less inequality, and a more even balance of power and opportunity.

 

Stewart Lansley is the author of A Sharing Economy, published in March by Policy Press and of Breadline Britain, The Rise of Mass Impoverishment (with Joanna Mack).