The Corporation and the Twentieth Century

428. Schumpeter (1950).

429. For an extended discussion of this claim—and an argument that it is wrong—see Lan-

glois (2007).

644 Notes to Chapter 8

430. Burnham (1941, p. 80).

431. Burnham (1941, p. 104).

432. Orwell (1949). In one reading, the Trotskyesque McGuffin within Orwell’s novel, The

Theory and Practice of Oligarchical Collectivism by Emmanuel Goldstein, is actually The Manage- rial Revolution (Kelly 2002, p. 99).

433. Galbraith (1967, p. 62).

434. Galbraith (1967, p. 71).

435. Galbraith (1967, p. 33).

436. Sutton et al. (1956, pp. 35–36).

437. Cyert and March (1963); March and Simon (1958). 438. Baumol (1959); Williamson (1964).

439. Galbraith (1967, p. 39); see also Bell (1960, pp. 43–44). 440. Marris (1966).

441. Graham and Leary (2018, p. 4295).

442. Calomiris and Raff (1995).

443. Drucker (1978, pp. 277–78). Both Charlie Wilson and Walter Reuther had wanted a defined-contribution plan rather that a defined-benefits plan, but they were overruled by the GM Finance Committee; and other companies would follow suit (Drucker 1986, pp. 16–17). This would lead to severe problems later in the century when many of these companies started going out of business.

444. Calomiris and Ramirez (1996, p. 161).

445. Brownlee (2016, pp. 150–51); Piketty and Saez (2007, p. 11). Economists understand that federal tax receipts from these sources are completely fungible and that there is no meaningful sense in which the payroll tax is a “contribution” being set aside specifically for Social Security and Medicare. It is simply a tax on wage income.

446. Bank (2010, pp. 191–92).

447. Piketty and Saez (2007, pp. 12–13).

448. Galbraith (1958, p. 191).

449. Galbraith (1967, pp. 360–61). What Galbraith is advocating here, and what was in fact

put into practice in American urban policy, is a domestic variant of the “big push” theory of economic development that Western economists and planners imposed on developing coun- tries in the same era—with the same disastrous results (Easterly 2006).

450. Jackson (1987, p. 248); Kaszynski (2000, pp. 131–32).

451. Moses’s unsympathetic biographer Robert Caro judges him “America’s, and probably the world’s, most vocal, effective and prestigious apologist for the automobile” (Caro 1974, p. 927).

452. Caro (1974, p. 623).

453. Caro (1974, p. 19).

454. Flint (2009, pp. 253–74).

455. Jackson (1987, pp. 223–29).

456. Franck and Mostoller (1995).

457. Teaford (2000, p. 445).

458. Although, as Tom Wolfe would point out in his scathing lampoon From Bauhaus to Our

House (1981), the wealthy bourgeoisie were also anxious to adopt the unornamented style of

Notes to Chapter 9 645

what had originally been conceived of in the 1920s as socialist worker housing. In midcentury America, it was only the workers who did not occupy worker housing. They lived in kitchy houses in the suburbs.

459. Newman (1972).

460. Wilson (1987, p. 7).

461. Chyn (2018).

462. Galbraith (1958, p. 359).

463. Jacobs (1961, p. 324, emphasis original).

464. Glaeser (2011, pp. 192–93).

465. Mettler (2011); Prasad (2012); Sheingate (2010).

466. Cogan (2017, p. 178).

467. Halberstam (1993, pp. 446–52). The technology had many sources, the most notable

of which was a determined lone inventor called John Rust. 468. Lemann (1991, pp. 70, 6, and 287).

469. Halberstam (1993, p. 687).

470. Cogan (2017); Levine (1970).

471. Meyer and Sullivan (2013, figure 1). 472. Cogan (2017, p. 203).

473. Moynihan (1967, p. 31).

474. Cannato (2001, pp. 267–352).

475. Meyer and Sullivan (2013, pp. 23–27).

476. Wilson (1979, p. 41).

477. Melnick (2005, p. 391).

478. In the view of Elizabeth Hinton (2016), it was these Great Society anti-crime networks

that were the true beginning of the “carceral state.”

479. Years after Watergate, John Ehrlichman would admit this with astounding candor. “The

Nixon campaign in 1968, and the Nixon White House after that, had two enemies: the antiwar left and black people. You understand what I’m saying? We knew we couldn’t make it illegal to be either against the war or black, but by getting the public to associate the hippies with mari- juana and blacks with heroin, and then criminalizing both heavily, we could disrupt those com- munities. We could arrest their leaders, raid their homes, break up their meetings, and vilify them night after night on the evening news. Did we know we were lying about the drugs? Of course we did” (quoted in Dan Baum, “Legalize It All,” Harper’s, April 2016).

480. National Research Council (2014, p. 34). 481. Moynihan (1993, pp. 161–62).

Chapter 9: The Undoing

1. “‘We Are All Keynesians Now,’” Time, Volume 86, Issue 27, December 31, 1965, pp. 64–67B. What Friedman really said was: “In one sense, we are all Keynesians now; in another, no one is a Keynesian any longer” (Friedman 1968, p. 15). “We all use the Keynesian language and ap- paratus,” he elaborated; “none of us any longer accepts the initial Keynesian conclusions.”

2. Chandler (1977, p. 495). 3. Chandler (1967, p. 100).

646 Notes to Chapter 9

4. Chandler (1977, p. 496).