Harry Geels: Five developments of Neo-egalitarianism considered

January 20, 2022

By Harry Geels

In the Netherlands the most left-wing cabinet since the early 1980s has been appointed. This event is part of broader trend that sees various developments coming together under the denominator of 'neo-egalitarianism', a movement that appears to be an inevitable counter-reaction to neo-liberalism. To put it bluntly: the white man, who symbolizes greed, aggression and individualism, must make way for a gender- and color-neutral society that stands for equality, charity and the preservation of the environment.

The Rutte IV cabinet is special for three reasons. Firstly, in terms of climate and spending policy, it is probably the most left-wing cabinet in the Netherlands since the 1980s. Secondly, for the first time in history there are as many female as male ministers. Furthermore, partly due to mutual distrust as a result of the Benefits Affair (Toeslagenaffaire), this has been the longest formation ever.

However, if we look through a more philosophical lens, the new cabinet actually fits in perfectly with a new social movement that we could call neo-egalitarianism and that consists of five interrelated developments: 1. The Woke Movement, 2. The growing dissatisfaction with alleged fiscal inequality and (international) tax evasion, 3. Neo-decolonization, 4. The growing belief in a different human image and spiritual design and 5. Crumbling democratic values.

[1] The Woke movement

Woke is a movement, originally from the US, that freely translated stands for ‘alertness to (institutional) discrimination against ethnic minorities and women’. In the past few years, the movement has gained increasing significance. In fact, Woke has come to encompass the fight against virtually all social inequalities, including sexism (for example the 'Me Too' movement).

On a political level, the Woke movement has become part of the battle between left and right. For conservatives, it represents an 'intolerant and moralising ideology'. In March 2021, however, the French left-liberal magazine Les Echos called it 'Un tournant sociétal for Génération Z', a (positive) social turning point for people born between 1995 and 2010.

[2] The growing dissatisfaction with perceived fiscal inequality

A second component of neo-egalitarianism is the growing social discontent about fiscal inequality and (international) tax evasion. There is growing indignation about the fact that rich people and large corporations, via all sorts of tax routes, pay almost no tax. Whereas during the credit crisis the banks were the scapegoat, now, in the Netherlands at least, the big offices on the Zuidas in Amsterdam are being scolded.

There are also new heroes in neo-egalitarianism, for example the 376 journalists from 76 countries who published the Panama Papers. Or the journalists behind the Pandora Papers. Or the Dutch author Rutger Bregman, who achieved worldwide fame by outwitting the popular American newsreader Tucker Carlson of right-wing Fox News about tax evasion and too low marginal tax rates for the rich.

[3] The neo-decolonisation

From 1918 to 1998, roughly about 150 colonies became independent. The overseas regions that are still mainly in British and French hands are no longer called colonies, but overseas regions, communities or departments. In the last decade, however, a new form of decolonization has emerged. It consists mainly of a growing consciousness of guilt on the part of the former colonizers.

The king of the Netherlands, for example, recently expressed regret about what happened in Indonesia and banned the Golden Coach because it is adorned with a painting depicting slaves. The Amsterdam Museum no longer uses the term Golden Age and the cabinet expressed 'deep regret and repentance for the slave trade' in 2020. There is also a growing receptivity to the demands of former colonies to return looted art treasures.

[4] The growing belief in a different human image and spiritual design

The most abstract element of neo-egalitarianism is a changing image of man and the belief in a new spiritual design. Fewer and fewer companies are still purely concerned with making as much profit as possible. A Google search on the terms Business and Spirituality will turn up countless (scientific) studies and stories of companies that are looking for their own purpose. The movement from shareholder capitalism towards stakeholder capitalism is an expression of this. Especially the climate is increasingly high on the agenda.

The popularity of books such as Humankind, a hopeful history by Rutger Bregman also speaks volumes. Between the lines, Bregman even breaks a lance for communist principles. According to him, the communist regimes that have existed failed not so much because people were not willing to help each other according to their needs, but because of wrong social institutions that were meant to keep bad people in check.

In this respect, it is also striking that more and more surveys and polls show that young people in particular have increasingly positive attitudes towards communist principles. Figure 1 shows that no fewer than 38% of British young people between the ages of 18 and 34 believe that communism can work if it is implemented properly. The popularity of Bernie Sanders who had a very left-wing political program in the last two US elections also says it all.

Figure 1: Views on communism in the UK

Source: Number Crunshing Politics/CapX, 2018

[5] Crumbling democratic values

Neo-egalitarianism also poses a major challenge. Laws in most countries are still designed based on the developments of the past decades in which neo-liberalism set the tone. Laws and democratic principles regularly clash with ambitions. Dutch judges, for instance, have taken strange turns to condemn Shell for not adhering to all kinds of climate targets that are not clearly laid down in law.

In the case of the COVID-19 policy, too, it is questionable whether all fundamental rights are being properly safeguarded. And central banks have appropriated a far greater mandate than has been officially laid down, for example by operating as financing counters for governments that spend generous amounts of money - a mandate on which voters have never been able to express themselves in the first place. The separation of (shadow) powers is less and less respected, in a political urge to realize certain (common) objectives.

The white man

The white man is seen as a symbol of neo-liberalism. In neo-egalitarianism, he stands for greed, aggression and individualism. And if the white man does not agree with this stereotyping, he is dismissed as an 'angry white man'. Plastically speaking, neo-egalitarianism has another figurehead: a person of an undefined skin color and gender, who stands for equality, climate preservation and charity.

Please note that this is an observation of social developments that I have tried to present as objectively as possible. I have tried, as best I could, not to make value judgements on either neo-liberalism or neo-egalitarianism. Neo-egalitarianism is not a conspiracy against the white man. Nor should he care. Its rise is a logical reaction to (the perceived negative consequences of) neo-liberalism. It is always action and counteraction.

Human history is a spectacle, a theatre play, a drama of course, in which the old protagonists have to die in order to experience an episode with new protagonists. The heads of Louis the XVI and Marie Antoinette also had to be put under the guillotine to start the Enlightenment. And neo-egalitarianism, too, already bears the seeds of a new countermovement within it.

Short afterthoughts

The struggle between neo-liberalism and neo-egalitarianism is actually still in its infancy. Whether and how neo-egalitarianism will succeed in its goals is still unclear. Investors should however be aware of the fact that certain companies or sectors may fall into disfavor, for example due to neo-egalitarian ideas. Think of what happened to the fossil fuel sector. The cornerstones of investment portfolios, of which Shell has been one for decades, are given different definitions.

This article contains a personal opinion of Harry Geels

More columns by Harry Geels