I read through Kevin’s post on the Fed, and I don’t think he is claiming that inflation is caused by wage increases (or other price increases).

His point is that the Fed has made decisions about monetary policy partly in order to manipulate labor markets so as to keep employment rates within a particular fixed window. When employment is “too high” in their view, they have ratcheted up interest rates with the express purpose of “solving” that “problem.”

I don’t think that depends on a false theory about the causes of inflation. It just depends on reading public policy-oriented statements by Fed board members.

Gene: Well, Bob, if you want to work about three hours a day for your living, be relatively healthy, and live about the same lifespan (35 years for both), then you would want to be a hunter-gatherer rather than a English factory worker.

Bob: But would I have learned the Pythagorean theorem?

Probably not. But what makes you think you would have learned the Pythagorean theorem as an illiterate English factory worker ca. 1800?

Bob: And would I have to speak Swahili?

I don’t know what this is supposed to mean. Modern Swahili is a literate language which serves as a lingua franca for trade, diplomacy, and education throughout much of East Africa. It developed as a direct result of extensive trade, cultural exchange, and colonization between the Arabian peninsula and East Africa, via the Indian Ocean. It has just about as much to do with a “primitive” or hunter-gatherer lifestyle as does modern English, French, Mandarin Chinese, or Hindi.

I don’t see anything wrong with buying “shit you don’t need.” There are lots of things that I don’t need, but which I choose to buy anyway because it makes my life better to have them. E.g., books, music, tasty food, computer equipment, furniture, hot running water, trips to visit my family and friends, etc. etc. etc. Of course, I could choose to abstain from these and limit my spending only to necessities. But why should I?

Of course, there are also many activities that make your life worthwhile that do not require a purchase. To the extent that corporatism cuts people off from these forms of enjoyment, corporate capitalism should be undermined and resisted. But whether or not one chooses to personally abstain from spending on non-necessities does just about nothing to address these issues. The power of corporate capitalism to restrict alternative forms of enjoyment has very little to do with individual decisions about consumption and a lot to do with the monopolistic privileges granted by State power at the points of production and acquisition of land and resources. These are better resisted through labor organizing, targeted strikes and boycotts, resistance to State coercion, etc., rather than doing what “anti-consumerist” groups typically do, i.e. adopting an ascetic lifestyle and chiding, ridiculing or harassing those who aren’t as personally hardcore as you are.