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Tag Archives: Mittelstand

A restless muddled class

With one word – zeitgeist — Germans manage to describe two complex metaphysical concepts:- time and spirit.

Zeitgeist as adopted by the Anglophone world means the spirit of the age and defines seminal points in history.

I detected a shift in the zeitgeist over these last few weeks and I suspect the middle class to which I belong noticed the flux as well.

But the majority, who aspire to a middle class life, seem more muddled than middle. The outcome of the last federal election underscores the point.

Former Prime Minister Paul Keating focused on Australia’s middle class during an interview on the ABC’s 7.30 Report. Among topics raised by Laura Tingle, Keating outlined the ALP’s woeful failure to communicate with the middle class, a corps largely created by him and Bob Hawke.

As Keating’s band of baby boomer brothers and sisters retire from the work force at an unprecedented rate, they take with them swags of money unimagined by their parents.

Baby boomer wealth, enterprise and business acumen, underwrite the success of the Australian economy, and the stellar performance of the ASX – Australian Stock Exchange.

And so to the second shift in the zeitgeist; the extraordinary attack on China by Andrew Hastie, Federal MP for Canning.

So powerful is Hastie within conservative ranks, Prime Minister Morrison laughed off his comments as the observations of a mere back bencher. If this is so, perhaps the PM might check whom Hastie voted for in the recent Liberal Party nastiness.

Trade Minister Simon Birmingham’s appeal for reticence by his colleagues on ABC TV Insiders on August 11 2019, is too little, too late.

A recent essay published in The AIM Network by Dr Binoy Kampmark, illuminates the vacuity of Hastie’s intemperate remarks.

Hastie’s comments underscore the inability of the current government to manage the national economy, let alone conduct cordial relations with a significant trading partner.

Indeed the government’s misreading of China per se, date back to Andrew Robb’s mind boggling rubber stamping of the 100 year lease of the Port of Darwin to China.

South Australian Labor MP Nick Champion attempted to revive the Port of Darwin fiasco, but to no avail.

Of the two criticisms of Chinese dealings with Australia, we know the issue to which Beijing responded.

The conservative Liberal Party is fiscally clueless, and the nation’s muddled middle class is finally realising its wealth is under threat from a Wunch of Bankers who came together last week for a right wing back slapping orgy known as CPAC.

Keating’s critique of Labor’s failure to communicate its policies with all Australians but especially the middle class, flushed out an old left wing warrior who sprang to the party’s defence.

But Kim Carr’s swipe at Keating proved that neither the right nor left wings of the ALP know how to craft a meaningful dialogue with a bemused middle class.

This conundrum is a major challenge for both Anthony Albanese MP and the trade union movement which conducted one of the worst political campaigns in its history during the last federal election.

Thus it is fair to ask where to now for an increasingly restless middle class.

The answer might be found in another German word, Mittelstand, which roughly translates as “a statistical category of small and medium-sized enterprises”.

In German Mittelstand is expressed as kleine und mittlere Unternehmen or KMU.

Mittelstand companies typically have a maximum of 499 employees. According to an internet definition, “the term is not officially defined or self-explanatory, hence in English linguistic terms, SMEs are not necessarily equivalent to the Mittelstand. In fact, even larger, and often family-owned, firms claim to be part of the Mittelstand”.

In his heyday Prime Minister Bob Hawke touted European social and economic models. This admiration, aided and abetted by Paul Keating as Treasurer, led to the Australian society we enjoy today.

Perhaps a shell-shocked ALP might deploy its brightest thinkers to evaluate Mittelstand as a way forward for both the Party and the nation.

Sadly the non-aligned Dr Andrew Leigh has a lot of spare time on his hands.

Dr Leigh possesses the intellectual clout to craft an Australian model of Mittelstand which is increasingly popular in a faltering United Kingdom where it is known as Brittelstand.

Perhaps the ALP might scrape up some money for a couple of air fares to send Dr Leigh and Paul Keating to a Brittelstand symposium next month at the University of Reading.

As changes to the spirit of the age develop, Australia’s muddled middle class will again look to the ALP for answers. And if Labor manages to craft a new way of doing business with business – including Howard’s Battlers — and communicate simply and clearly with a suspicious middle class, it can win government.

But if Labor fails to craft policy for the future, the nation remains at the mercy of a conservative clique, who for no apparent reason, is determined to bankrupt and impoverish every class of Australian society.

Henry Johnston is a Sydney-based author. His latest book, The Last Voyage of Aratus is on sale here

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