SOME RACES PERFORM BETTER ECONOMICALLY BECAUSE OF THEIR "RACIAL SUPERIORITY"





“For that some should rule, and others be ruled…”
- Aristotle

 



1. Introduction

For centuries, economic disparity has separated society causing an increase in the size of the wealth gap. The causes for growth discussed in this paper are a combination of social-economic factors as a result of access to varying resources and advancements in both culture and technology. This disparity has been reinforced by generations of people acting just as blindly as our ancestors. It must be understood that these terms depend on the context in which they are used and who uses them (Myburgh, 2016). Inequality is often mistaken solely for income inequality however we will define it as “the unfair difference between groups of people in society, when some have more wealth, status or opportunities than others” (Oxford Advanced Learner's Dictionary, ND). This paper aims to create a more realistic narrative opposed to the one presented by racism contrasting the argument that economic success is dependent on ethnicity - belonging to a social group that has common national or cultural traditions (Oxford Dictionary, ND). The first use of the word “racism” was recorded in 1936 when used by Lawrence Dennis to describe Nazi policies concerning only the Jews of Germany” Myburgh. J (2016). Since then the term has been used more vividly, sparking various anti-racism campaigns and charities like “Show Racism the Red Card”.

A common misconception is that being of a different skin colour leads to better economic performance which is not the case. However, being born in one country or continent does provide certain benefits over other countries and vice versa (birth lottery). Birth right can be considered a resource in itself, allowing the individual access to opportunities purely as a result of being born (Shachar, 2009). Racism is reinforced over time because it has existed for so long, we have accepted its presence without question, in itself justifying its existence. The success of an economy can be attributed to these factors through inherited wealth and the prejudice excluding ethnic minorities from achieving high paid jobs.

I have chosen to address some biases, prejudices and heuristics accumulated over a number of years which may have contributed to the success of any one particular ethnicity and the current outlook witnessed through racial inequality. This paper will analyse existing literature on the topic of racial superiority, investigate the reasons for such biases and evaluate the arguments supporting and disproving the statement. My competing narrative is that this underlying assumption is wrong as there are a number of factors that influence the performance of different ethnicities as opposed to racial superiority.

The behaviours of people in one ethnicity should not be compared to people of another ethnicity as any particular country possesses a different environment to any other and so naïve assumptions are formed and replicated. An easily comprehensible example of this is in the field of science; when the same point objects are in different environments, they behave differently. Taking water as an example, it can either freeze due to temperatures sub 0C or boil in temperatures above 100C. Can science be this wrong?
I have chosen to adopt a critical realist (CR) stance to address the causes forming this topic. While a plethora of critical realists exist (e.g. Archer 1982, 1995; Bhaskar 1975, 1979; Collier, 1994; Easton, 2007; Elder-Vass 2010; Lawson 2009; Little 2016; Sayer 2000; Vandenberghe 2015) an exact definition is difficult to pin down, however Sayer employed 8 assumptions. CR “establishes that things exist apart from our experience and knowledge of those things [and secondly] a structured and differentiated account of reality in which difference, stratification and change is central’ (Bhaskar, ND). I believe this philosophical position will enable the reader to reflect on different factors contributing to the current economic disparity, informing their social stance. 

Keywords: (in)equality, opportunity, economy, ontology, critical realism, race, culture

2. Disparity in Economic Performance

The success of western economies is the result of a combination of factors stemming from the resources accrued from the colonisation of countries under the Victorian empire, adopting the divide and conquer ideology. This included the exportation of conflict diamonds from Sierra Leone, the wheat and spice trade from India in the late 18th century – resulting in the starvation of millions (Monbiot, 2009), the culmination and subsequent exportation of 17400 tonnes of sugar from Jamaica (Newsinger, 2006) and potatoes from Ireland at the height of the famine in the 1840s. Not only did the Brits pilfer sugar, coffee, cotton and tobacco from Africa, but palm oil, petrol, and precious metals which form the basis of the current economy. Many blame “Africa's weak governments and economies, famines and disease on its post-1960 leadership” however this can only be attributed to 200 years of slavery followed by another 100 years of colonial oppression (Drayton, 2005). Now after 300 years of colonial rule, the West is now facing the consequences of its actions (Monbiot, 2009). The current economy is no longer a powerhouse, in the long term the ideas and strategies of the West have proved to be unsustainable.
Hans J Morgenthau (1960) writes that some Governments do not operate as economic devices due to the jealousy which stems from alliances with other nations. This is reinforced by Alesina & La Ferrara (2005) as “trust does not travel well across racial lines”, which could explain slower economic growth in developing countries due to an obstinate outlook. However, this is directly contrasted by Wallerstein (1974) writing that “Capital has never allowed its aspirations to be determined by national boundaries” as seen with countries previously at war, now trading goods and services internationally. In many, if not all cultures, people go to the elders seeking advice and having accumulated immense wisdom, are able to benefit from ancestral knowledge. Ancient cultures, i.e. the Egyptians, without the aid of modern technology were able to commit some of the most impressive architectural, engineering and medicinal feats, (pyramids, drainage systems, and tumour removal respectively). Aborigines had methods to strategically manage forest fires, by strategically removing small amounts of trees in the dry seasons in order to stop the spread of wildfires. However, the spread of colonisation drove out the natives, in turn increasing wildfire occurrences. This ancient knowledge has now been impacted by the rise and spread of capitalism.

One major factor facilitating the disparity in economic performance is an individuals’ access to resources. This is thwarted by the distribution of these resources i.e. oil reserves in the Middle East. Basic human needs are unfulfilled in too many countries, while the consumption of the West only increases. “What makes the poor, poor, is the absence of productive technology and developed organisational systems, not entrepreneurial spirit” (Chang, 2010, p.157). However, innovation is seen to have thrived with limited access to resources (compared to the West) like China’s Haier creating a washing machine sturdy enough to wash clothes and vegetables. By introducing a novel product, Haier was able to satisfy market demand and exploit this entrepreneurial opportunity becoming market leader in rural China (Ramoglou & Tsang, 2016). Chang (2010) explains that we must forget about the individual entrepreneur and unite him with others to build businesses together in order to sidestep potential failures and grow themselves out of poverty. Although I truly believe this idea has potential, without some organizational hierarchy, this will not succeed. Economic theory implies that over time the economies of different countries will attain similar levels of wealth. When there is competition between organizations (be they tribes, companies, or countries), the less effective organizations die out and are replaced by more effective organizations (Victor Abiad, 2003). The US is a role model for the Western economies and most developing ones as well. It has sold the ideal lifestyle to millions of humans though televisions and advertising “if the US is doing – and the US is doing it – then, despite all the pressures, then we can do it as well…” (Dr Sunita Narain, 2016, Before the flood).

Another strong argument is the well-versed nature vs nurture argument, which can be applied in understanding the causes for inequality across all genres as an individual is shaped by both their internal and external environment. Sacerdote (2000) argues that intelligence is hereditary, but this does not explain why economic opportunity is not inherently associated with intelligence. There is a large range of existing literature on income inequality (Kuznets S., 1955; Kakwani, N.C., 1980., Durlauf, S.N., 1996) as this creates the most opportunities for individuals in less economically powerful countries, however the production of equal opportunity would override this and would provide income equality as a result.

3. Cognitive Errors 

The following are a number of cognitive errors that influence our decision making and thought processes. These are responsible for the way we see and treat people, how we perceive and react to situations and how we generally view life. In the context of this argument, they relate to how our ancestors’ perceptions have been shaped and streamlined over time, to form our current perception.

3.1 Confirmation bias - Our natural instinct is to oppose the truth, when we believe something, we look for evidence to support our beliefs but almost no amount of evidence will convince us otherwise (Bertrand Russell, ND). An elegant explanation of this bias is the Plato’s cave Allegory. Confirmation bias explains that we form communities of people who confirm our opinions, this can be seen in any culture over the last few centuries but becomes especially dangerous after extended periods of time as our thinking becomes narrowed and conclusive without considering all or even any opposing information. Daniel Kahneman (2011) explains that the people tend to rely on a lazy system 2 [slow thinking] which endorses many [existing] beliefs, and details how people jump to conclusions based on very limited information naming this phenomenon “WYSIATI (What You See Is All There Is)” (Ibid). This is applicable in society where information supporting our existing notions is presented, reinforcing our beliefs i.e. racist beliefs. Dobelli (2013) proposes a method to combat this by systematically setting out to discover disconfirming evidence to form a better perspective.

3.2 Inductive thinking – Inductive thinking is the logic of past experience, influencing future behaviour (Croskerry, 2000; Glaser & Pellegrino, 1982). This means that any past behaviour, believed by the individual to have a specific outcome, will be repeated in order to achieve the same result. This can be accurately illustrated by the cargo cults of Papua New Guinea with a current example being racial profiling today.

3.3 Ingroup/outgroup bias –ingroup bias involves evaluating one's own group more positively in comparison to other groups (Aberson et al., 2000). In the past, group membership was key to survival, the one individual who did not run from the approaching beast would be wiped out of the food chain. A modern example of this would be people supporting the same sports team and automatically accepting the fans who share the same passion for the team.
3.4 Just world hypothesis – This hypothesis states that everyone gets what they deserve enabling people to accept certain events as facts that happen, because that is the way things are (Furnham, 2003). To a lesser extent, believers in a Just World deem les of a need for themselves to “engage in activities to change society or to alleviate plight of social victims” (Andre & Manuel, 1990). It has also been frequently recorded that if an individual has a direct impact on a person’s suffering, they will devalue the person as a way of reducing guilt (Lerner & Miller, 1978, p.1033).
3.5 Blaming the victim (“causation is just an illusion”) - When we apply the just world hypothesis, we make assumptions using the same fallacious conclusions rather than questioning whether the same opportunities were presented to each of us. This fallacious reasoning helps reinforce racial biases by not providing equal opportunities and treating these people differently as a result of the lack of opportunity. We keep blaming the victim for their own demise creating a self-fulfilling prophecy. In doing so we inadvertently but actively perpetuate the vicious cycle of inequality by reproducing the existing conditions of exclusion and unequal treatment. 
3.6 Fundamental Attribution Error (FAE) – “The tendency to believe that what people do reflects who they are” (NirandFar.com, 2019). In everyday life we detest those behind bars for the crimes they’ve committed, but we all justify our actions as the best decision at that time due to a number of complex factors (Maruna & Mann, 2006). So how can we blame those less fortunate than us?

4. Differentiating Factors 

There are a number of factors causing opportunity inequality, subsequently affecting economic performance. A few examples have been listed below, evidenced by current events and existing literature to support the argument that economic performance is dependent on a variety of factors not due to race or ethnicity.
4.1 Culture and tradition - The culture of a country heavily influences its development. Economic theory implies a survival of the fittest attitude, with successful organisations growing and the less successful being replaced (Abiad, 2003). In fact, development within a country is influenced by culture, so across countries this can be observed more broadly. This culture may shape economic performance as the emergence of political agendas take form (Tabellini, 2010). As traditions are continually practiced, they are strengthened by the number of people who believe and adhere to them. They are then passed down to their children, reinforcing these notions further. “Much of what we think of as traditional…is actually a product at most of the last couple of centuries and is often much more recent than that” (Giddens, 2002, p.37). Even traditions held for centuries are susceptible to change. Much of what we consider to be traditional comes from the last 200 years; so why are some traditions still practised and others not? (Giddens, 2002).
4.2 Globalisation – Giddens (2002) also argues that globalisation has a strong part to play in the restructuring of our societies and that these “movements” have an effect on our everyday lives influencing both personal and external perceptions. This is because the countries first benefitting from the industrial revolution, were able to expand more rapidly influencing emigration.

4.3 The Domestication of plants and animals - Jared Diamond explains that the reason for such economic disparity occurs within the source for domesticated plants and animals, and the reliance on other cultures for these objects which could not be tamed or reared in their native habitat (Diamond, 1999). Jared argues that food production has a massive part to play in terms of economic development. The countries rich with crops were the first to raise these crops, therefore cultivating mass production.

4.4 Socio-economic status - Whatever social advantage might arise from heavy engagement in cultural activities will accrue to those who are highly educated, who occupy higher occupational class positions, and who have backgrounds within higher social classes (Bennet et al., 2009).

4.5 The shift from political to economic power/The rise of capitalism - Mostly European Sovereign states emerged with complete political power within their borders and although over time have become less prevalent due to an acceleration in manufacturing and the creation of services, the emergence of capitalism has shifted power from political to economic (Wallerstein, 1974; Giddens 1991).
4.6 Inheritance and the birth right lottery - Alexis de Tocqueville (1835) concerns about the governance of inheritance are not folly, as he explains that wealth once accumulated could be passed down through generations and like a machine would act under its own power and steer itself. This put simply means existing wealth, with a small amount of control, will generate more wealth. Shachar (2009) explains that extreme inequities in life prospects can be analogous with that of property inheritance and recommends that to overcome this, those born with inheritance should be required to provide a minimum threshold to others. With poor families unable to provide basic care for their children “children born in the poorest nations are five times more likely to die before the age of five” (World Health Organisation, 2011). 
4.7 Religion –Religion has long separated man from his neighbour however radicalised terrorists still present a threat. The belief in racial supremacy can be recognised as a motive for murder as with the case of Dylann Roof in South Carolina; possessed by the ideology of white supremacy and led him to kill nine innocent worshippers in Emanuel African Methodist episcopal church (Mohler, 2015).

5. Conclusion

From the arguments presented in this paper, it is fair to say that racial superiority exists in an economical context as some economies clearly outperform others. However, this is due to a number of reasons besides the factor of ethnicity. This paper has explained these reasons, shed light on a number of cognitive errors that propel these biases and notions and explained the factors differentiating economies, however we are limited by our own capacity to prove things. The positive and negative sides follow, the culture, traditions and social norms vs. the racial stereotypes. How can we condemn one man over another for his lack of opportunity, when none of chose to be born?
Economic inequality is both the cause and the consequence of our racial problems. We view those differently to us as a result of their financial situation, yet every business born in the Western world helps increase the wealth gap. Moreover, the growth of giant multinational media corporations means that unelected business tycoons can hold enormous political and economic power (Giddens, 2002). Economic disparity is autocatalytic. Previous methods of reducing the wealth gap i.e. increasing wages usually has negative side effects like increasing inflation We are able to surpass these issues by regulating tax and inheritance more efficiently, creating affordable housing for those who need it or creating microeconomies to help encourage businesses to collaborate and increase revenue as economic performance is not largely affected by education levels, more so the countries attitude to business and entrepreneurship (Chang, 2010). 
The world is much more interdependent than it was and the problems we face today are also much greater (Giddens, 2002). Alesina & La Ferrara (2005) argue that different groups are most likely to find an agreement when they have to face external threats larger than the differences between them, one such as the deteriorating environment…
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