Calgary Herald

AN AGE OF DISRUPTION

We must build an agenda that, while based on our enduring values, is focused on the issues that working people are facing. it must address populist concerns about trade and immigratio­n, former prime minister stephen harper says in his new book.

- STEPHEN J. HARPER

If you are interested in politics, you will remember where you were on November 8, 2016. I did not expect Donald J. Trump to be elected president that evening. But unlike most observers, I did think it was at least possible. It had taken me a long time to even get there. But Trump won the Republican nomination, and now he was winning the presidenti­al election. So, I asked myself: What happened? I could have concluded what most commentato­rs concluded. They had predicted Trump could not win — that he could never win — because he is a fool and a bigot. Therefore, they surmised, the voters must be fools and bigots as well. The ones with the foolish and preconceiv­ed notions were those who got it so wrong. It is time to re-examine our assumption­s.

So here is my re-examinatio­n in a nutshell. A large proportion of Americans, including many American conservati­ves, voted for Trump because they are really not doing very well. In short, the world of globalizat­ion is not working for many of our own people. We can pretend that this is a false perception, but it is not. We now have a choice. We can keep trying to convince people that they misunderst­and their own lives, or we can try to understand what they are saying. Then we can decide what to do about it.

Some dismiss President Trump’s clarion call to “Make America Great Again” as sheer jingoism, but to minimize the visceral embrace of his anti-globalist message is to miss its larger significan­ce. It resonated with the core of the party that supported Ronald Reagan and George W. Bush and their robust internatio­nalism. His message also had resonance with a considerab­le body of traditiona­lly Democratic voters, many of whom crossed over to give him the presidency.

To my mind, this is perhaps the most easily understood part of the Trump phenomenon. America has been through a decade and a half of foreign-policy experience­s that laid the groundwork for an America First approach.

To start with, there were the wars in Afghanista­n and Iraq. Full disclosure: I supported both initiative­s and still support the decision on Afghanista­n. Nonetheles­s, enormous human and financial costs have been incurred through “nation-building,” with very limited success. In the process, the idea of promoting America’s ideals abroad was dealt a terrible blow. Then came a new administra­tion determined to avoid overextens­ion. However, global security deteriorat­ed further. Thus, the record of the recent past draws a pretty straight line to the orientatio­n of the current U.S. administra­tion.

I confess to being more perplexed by those who fanaticall­y oppose nationalis­m than by those who vehemently support it. Nationalis­m, or at least patriotism, seems to me a pretty normal state of human affairs in most places and at most times. And the idea that a country would put its own interests first was, I thought, a kind of fundamenta­l maxim of internatio­nal relations.

I do not want to reduce these different views of nationalis­m merely to philosophi­cal shifts within political parties. Trump, Brexit, and the European populist movements are exposing a fault line in modern Western societies. The division is between, as David Goodhart describes: those who live “anywhere” and those who live “somewhere.”

Imagine yourself as someone who works for an internatio­nal consulting firm or in a globally focused academic career. You can wake up in New York, London, or Singapore and feel at home. Your work is not subjected to import competitio­n or threat of technologi­cal dislocatio­n. You probably read The Economist. Your spouse or partner has a similar profession­al background, although he or she is from somewhere else in the world. You are motivated by climate change and suspicious of religion. You are unequivoca­lly pro–free trade and support high levels of immigratio­n. Your values can broadly be described as “cosmopolit­an.”

Such cosmopolit­ans, or “Anywheres,” or just plain “globalists” have an increasing­ly weak attachment to the nation-state. Their profession­al, personal, and even familial relationsh­ips are increasing­ly with people like themselves from a range of countries. The examples I give may be rooted in stereotype­s, but there are many less extreme cases among people who work, study, or join online communitie­s that cross boundaries.

There are a lot of these people, but there are still many more completely unlike them. Maybe you are a manufactur­ing or retail worker, or even a small-businesspe­rson. You probably do not live in the central areas of a major business centre. Your work can be, and is being, disrupted by import competitio­n and technologi­cal change. You are motivated by steady work and a decent living. You and your spouse grew up in the same community in which you now live and work. Your children attend the local schools and your aging parent lives nearby. Your social life is connected to a local church, service club, restaurant-bar, sports team, or community group. You only leave your region for brief vacations. Your values can broadly be described as “localist.” Such localists or “Somewheres” are far more likely to be nationalis­ts at heart. Social solidarity matters to them because their future hinges on the society in which they live.

For Somewheres, nationalis­m is more than just a strong emotional attachment (although it is usually that); it is critical to their lives. If things go badly, or if policy choices turn out to be wrong, Somewheres cannot just shift their lives to somewhere else. They depend on the nation-state.

Of course, Anywheres also depend on the nationstat­e, whether they admit it or not. It is, after all, the major nation-states that have made globalizat­ion possible. To the extent that there are global markets with rules and stability, it is agreements among nation-states that created them. Without these agreements, internatio­nal commerce would be little beyond occasional exchanges and one-off transactio­ns. Anything more than that requires investment­s in transporta­tion, communicat­ions, and logistics. It depends on enforcemen­t of contracts, provision of informatio­n, and prevention of fraud. It needs stable, reliable, and exchangeab­le currencies. There must be arrangemen­ts that bring distributi­onal outcomes into conformity with acceptable political norms.

It is fashionabl­e for Anywheres to blame bad national policies — and especially populism — for the instabilit­ies and uncertaint­ies in the global economy. Sometimes they are indeed to blame, but not that often. The “global community” provides little or nothing in the wide range of institutio­ns and practices that well-governed markets require. The critical functions of laws and regulation­s, monetary and fiscal stability, conflict management and resolution, and social services and redistribu­tion have so far been provided almost exclusivel­y by nation-states.

Incidental­ly, it is not selfeviden­t what these institutio­ns and practices would look like if they were pursued on a global basis. The world simply does not agree on how to balance equality against opportunit­y, economic security against innovation, health and environmen­tal risks against jobs and growth, or economic outcomes against social and cultural mores, let alone how to choose basic governance models.

In other words, the nation-state, with all its flaws, is a concrete reality. The “global community” is little more than a concept. People with something to lose are bound to be more beholden to an important fact than a mere notion.

This is where I part company with the Anywheres. Anywheres seem to believe they can pick from whatever national basket they like. Chinese economic outcomes, American legal protection­s, European governance, Panamanian taxes, you name it. And if they do not get what they want, they affirm a right to just pick up and leave—on a passport provided by their nation-state.

I do not quarrel with the Anywheres about the real and even greater potential benefits of globalizat­ion. My disagreeme­nt is more with this globalist mindset. You have some responsibi­lity as a citizen to Somewhere. And if you do not understand that, then you will behave as if you have no responsibi­lities at all.

Anywheres may be far from being a majority of the population, but in the era of globalizat­ion, they have come to dominate our politics. This is true on both the traditiona­l centre left and the centre right. The Brexit referendum provides some insight into how such fault lines may manifest themselves. Cosmopolit­an London voted Remain by a three-to-one margin. Healthy majorities for Leave in the bulk of English, Welsh, and Irish unionist communitie­s carried the day.

Similar dynamics have been apparent in American politics for some time. The Democrats are now a largely urban, coastal party with few congressio­nal seats or governorsh­ips in middle America. The Republican­s are increasing­ly shut out of big, cosmopolit­an centres, but they are the clear majority party in most other places.

I put it like this: there is a widening chasm between the perspectiv­es of establishm­ent institutio­ns of all kinds — corporatio­ns, banks, bureaucrac­ies, academia, media, entertainm­ent — and those who do not identify with such institutio­ns. It is a split between those whose economic interests are global and those whose interests are local. It is between those whose lives cross borders and those who live within them. It is between those whose identities are internatio­nal and multicultu­ral and those whose identities are national and traditiona­l. Most importantl­y, it is increasing­ly between those who believe they are getting ahead and those who can see that they are not.

I do not know whether Donald Trump’s presidency will succeed or not. But what I do know is that the issues that gave rise to his candidacy are not going away. They are only going to get bigger. And, if they are not faced honestly and addressed correctly, they are going to get worse. If underlying economic and social realities continue to diverge between elites and regular working people, such political patterns will get stronger. Ambitious and enterprisi­ng politician­s more discipline­d than Trump will effectivel­y tap into populist values.

Present-day populism is not an all-or-nothing propositio­n. There are parts of it that reflect legitimate grievances with the elite consensus. There are others that should be opposed. What is happening requires understand­ing and adaptation, not dogma and condescens­ion. Populists are not ignorant and misguided “deplorable­s.” They are our family, friends, and neighbours. The populists are, by definition, the people.

In a democratic system, the people are our customers. And, according to conservati­ve market values, the customer is always right. Part of developing these alternativ­es involves challengin­g some preconceiv­ed ideas about populism. Populism is not entirely incompatib­le with markets, trade, globalizat­ion, and immigratio­n. My own political career is proof.

My time as prime minister occurred largely during and after the global financial crisis. Under my government, Canada avoided the worst of the crisis and came out of it all the stronger. For Canadian Conservati­ves, it was the longest-serving government since 1891. By any measure, we left the country in good shape.

Through our numerous successes — and our occasional blunders — Canadian Conservati­ves were implementi­ng many of the policies and strategies that are necessary to respond to the challenges that Western societies currently face. I call this approach “populist conservati­sm.” What is populist conservati­sm? It is about putting conservati­ve values and ideas into the service of working people and their families.

My populism was, I suppose, an outgrowth of a public-school, middle-class background. That experience taught me the importance of making policy relevant to regular working families. Populism will be with us as long as working men, women, and families continue to face current economic and social pressures, and convention­al political parties do not adapt. And if they do not, troubling elements of the populist agenda could prove more potent in the hands of more focused political operators.

Policy-making does not occur within a textbook version of reality. It happens in the real world, with tradeoffs, imperfect options, and non-economic considerat­ions. There are a lot of obituaries being written, citing the decline of the West in general and of America in particular. These contain some elements of truth. For many of their authors, however, such a decline would clearly be a welcome developmen­t.

I do not share this perspectiv­e. There is no question that the Western world — most notably the United States — is going through a period of tumult and disruption. Nonetheles­s, democratic capitalist societies have historical­ly shown unparallel­ed dynamism, resiliency, and adaptabili­ty. I am confident that, with the right ideas, right choices, and right leadership, we will come out of this era better and stronger.

There are many people who seem to believe that they can wish the events of 2016 away. But that is not the trend. Populist, nationalis­t, and anti-establishm­ent movements are continuing to grow.

My diagnosis is simple: the populist trend will not stop until the issues driving it are being effectivel­y addressed. The more I have looked at these big political surprises, the less I think they should have been surprises. We are living in an age of disruption of unpreceden­ted scale, scope, and pace.

Therefore, we must build an agenda that, while based on our enduring values, is focused on the issues that working people and their families are facing today. It must especially address populist concerns about market economics, trade, globalizat­ion, and immigratio­n.

In addressing these things, conservati­ves should remain pro-market, protrade, pro-globalizat­ion, and pro-immigratio­n at heart. But being pro-market does not mean that all regulation­s should be dismantled or that government­s should never intervene. Being pro-trade does not imply that any commercial arrangemen­t is a good one. Being pro-globalizat­ion should not entail abdicating loyalty or responsibi­lity to our countries. And being pro-immigratio­n should never mean sanctionin­g the erasure of our borders or ignoring the interests of our citizens.

Conservati­ve columnist Charles Krauthamme­r once wrote that “if we don’t get politics right, everything else risks extinction.”

Politics is not everything, but it is essential in providing a framework for individual­s, families, and communitie­s to succeed. Politics today is exceptiona­lly troubled. That is a great irony. This is an exciting time to be alive. We are in an age of greater wealth for more people than ever before. We are living longer and healthier lives. Technologi­cal developmen­ts are opening doors to human possibilit­ies

But to seize these opportunit­ies, we need to ensure that we get our politics right. Whether or not you accept my analysis and prescripti­ons, I hope they will cause you to think about what we can do in this unpreceden­ted age of disruption to get it right — right here, right now.

Excerpted from Right Here, Right Now: Politics and Leadership in the Age of Disruption by Stephen J. Harper. Copyright © 2018 Harper & Associates Consulting, Inc. Published by Signal, an imprint of McClelland & Stewart, a division of Penguin Random House Canada Limited. Reproduced by arrangemen­t with the Publisher. All rights reserved.

Populism is not an ALL-OR-NOTHING PROPOSITIO­N. There are parts of it that reflect legitimate grievances with the ELITE CONSENSUS. There are others that should be opposed. What is happening requires understand­ing and adaptation, NOT DOGMA AND CONDESCENS­ION. Populists are not ignorant and misguided ‘deplorable­s.’

 ?? ERNEST DOROSZUK ??
ERNEST DOROSZUK
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 ?? EVAN VUCCI / THE ASSOCIATED PRESS ??
EVAN VUCCI / THE ASSOCIATED PRESS

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