No Mercy / No Malice: Strike

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• In the American consumer economy, the most potent form of political power resides not in Washington or corporate headquarters, but in consumer spending, which accounts for 68% of GDP.  Copied to clipboard!
• Historically effective consumer boycotts, such as the Montgomery Bus Boycott, require high participation and media attention, but the speaker argues that modern concentrated wealth makes targeted boycotts by the privileged a more powerful weapon against authoritarian enablers.  Copied to clipboard!
• General strikes have a poor historical track record in the U.S., leading the speaker in "No Mercy / No Malice: Strike" to advocate for targeted consumer boycotts with clear demands against specific companies enabling authoritarianism.  Copied to clipboard!

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Amazon Seller Ad Read

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(00:00:00)

• Key Takeaway: Independent sellers account for 60% of Amazon sales, utilizing services like fulfillment.
• Summary: String Joy, a guitar string maker in Nashville, Tennessee, grows its business through Amazon. Amazon handles the picking, storing, and delivery of their products nationwide. This segment promotes shopping small businesses on Amazon.

The Guardian Ad Read

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(00:00:30)

• Key Takeaway: The Guardian emphasizes its fierce independence in reporting across global and domestic issues.
• Summary: The Guardian claims nobody owns or dictates its reporting, allowing it to cover corruption and provide fresh perspectives on topics from climate to culture. Their coverage connects Washington events to the rest of the globe. Content is available to read, watch, and listen to for free at theguardian.com.

Volvo EX90 Ad Read

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(00:01:00)

• Key Takeaway: The fully electric Volvo EX90 offers advanced safety and a serene Scandinavian interior.
• Summary: The seven-seat Volvo EX90 is designed for tranquility in traffic, featuring advanced safety to avoid hazards. It includes intuitive technology with Google built-in. Consumers can learn more at Volvocars.com/US.

Introduction and Authoritarianism Context

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(00:01:31)

• Key Takeaway: Consumer wallets hold the real power against authoritarianism when institutions fail to stand up.
• Summary: Scott Galloway introduces the theme of the episode, noting that American institutions have not effectively countered authoritarianism. He asserts that in a consumer economy, power ultimately rests in consumer spending. This segment is read by George Hahn.

Government Shutdowns as Ineffective Strikes

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(00:02:00)

• Key Takeaway: Government shutdowns are a normalized, yet ineffective, form of economic strike that rarely achieves political goals.
• Summary: Since 1976, the U.S. has experienced 20 funding gaps resulting in 10 shutdowns. The current Democratic strategy in the standoff focuses on healthcare subsidies, which strategically divides Republicans. However, the core topic shifts away from this specific political maneuver.

Idolatry of the Dollar and Market Power

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(00:02:46)

• Key Takeaway: The American economy worships the dollar, shareholder value, and growth, yet even authoritarians ultimately yield to the power of the markets.
• Summary: The U.S. suffers from an idolatry of the dollar, where CEOs are gods praying to shareholder value. Bond markets previously forced President Trump to back down from a protectionist stance, leading to the term ‘Taco’ (Trump Always Chickens Out). The real economic power lies in consumer spending, not just capital versus labor.

Consumer Spending Impact on Policy

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(00:03:47)

• Key Takeaway: Sharp declines in consumer spending force aggressive government intervention and leadership responsiveness.
• Summary: Consumer spending accounts for 68% of U.S. GDP; the Great Recession saw a 3.4% drop, and Q2 2020 saw a 9.8% drop. In both crises, the government responded with massive spending (bailouts and direct aid). The lesson is that when consumers stop spending, American leaders start listening.

Seizing Means of Consumption

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(00:04:34)

• Key Takeaway: A 2% average reduction in consumption by every American would constitute the most potent form of protest.
• Summary: Gio Husser suggested that seizing the means of consumption, rather than production, is the effective consumer action. This action would be louder and more potent than traditional strikes. This concept is demonstrated by the consumer boycott against Disney.

Disney Boycott and CEO Response

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(00:05:01)

• Key Takeaway: A strong consumer boycott, even if organic, proved more effective than political pressure in forcing Disney’s CEO Bob Iger to reverse course on suspending Jimmy Kimmel.
• Summary: The Walt Disney Company suspended Jimmy Kimmel due to government threats but reversed course after facing consumer backlash, reportedly losing 1.7 million streaming subscribers in under a week. Despite celebrity outcry, journalist Lauren Egan noted the blowback was organic, not an organized campaign. The CEO was compared unfavorably to Neville Chamberlain for capitulating to consumer pain.

Effectiveness of Historical Boycotts

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(00:06:10)

• Key Takeaway: Traditional boycotts historically have a negligible direct impact on sales, with media attention being the primary predictor of effectiveness.
• Summary: Studies of 342 boycotts between 1962 and 1990 showed an average stock price decline of only 1%. Brayden King noted that media attention, not petition signatures, determines success. Trump’s commentary ironically aided the Disney boycotters by directing attention to their cause.

Boycotts in American History

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(00:07:23)

• Key Takeaway: Consumer boycotts are a long-standing American political weapon, evolving from colonial non-importation agreements to moral and civil rights activism.
• Summary: Colonists used non-importation agreements in the 1760s to demonstrate resolve against British taxation. Abolitionists used the free produce movement to boycott slave-labor goods, positioning slavery as a moral issue. Civil rights activists successfully integrated Montgomery buses after a 13-month boycott costing the city $3,000 daily.

Boycotts as Weapons of the Privileged

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(00:10:24)

• Key Takeaway: Consumer boycotts have shifted from being ‘weapons of the weak’ to ‘weapons of the privileged’ due to Trump’s personalized economic worldview and concentrated wealth.
• Summary: Lawrence Glickman notes that Trump’s focus on specific companies makes consumer activism more feasible. Consumers in the top 10% income bracket account for half of all consumer spending and can afford to reduce spending significantly. A 3% reduction in spending by this cohort could cause a 1% decline in GDP.

Call for Targeted Consumer Action

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(00:11:51)

• Key Takeaway: Targeted boycotts against specific enablers, rather than generalized strikes, are the necessary and effective tool against authoritarianism.
• Summary: General strikes have historically ended in bloodshed with minimal gains and lack clear demands. The recommended action is to pick an enabler, cancel services (like a Target card for a specific workplace policy issue), show receipts on social media, and state a clear demand. The speaker plans personal actions, such as proposing a slate of directors at Disney or shifting donations if UCLA pays Trump blackmail.