What is Neo-Feudalism | Casual Historian

Summary

The video script discusses the financial struggles of Modesto, California, a city known for agriculture, particularly almonds, and its famous son, George Lucas. It highlights the city's high unemployment rate and budget shortfalls, exacerbated by the 2008 recession. The script critiques the former mayor's strategy to annex neighboring areas to increase tax revenue, likening it to feudalism's land acquisition for wealth. It contrasts this with the potential of modern capitalism, where wealth can be generated through production rather than territorial expansion, and warns against the neo-feudalistic mindset in city governance.

Takeaways

• 🏙️ The city of Modesto, with a population over 200,000, is primarily an agricultural hub, especially known for almond production.
• 🌰 Locals in Modesto colloquially refer to almonds as 'ammons'.
• 🎬 Modesto is also recognized as the hometown of George Lucas, a notable figure the city prefers to highlight.
• 💸 The city faced significant financial stress during the 2000s due to expensive contracts with public sector unions and the subsequent 2008 recession.
• 📉 The economic downturn led to unemployment rates double the national average and increasing budget shortfalls for Modesto.
• 🏆 In 2011, Gared Marsh, a local businessman and city council member, was elected mayor with a plan to solve the budget deficit.
• 🔄 Marsh's strategy was to increase revenue by annexing neighboring communities to collect more taxes, rather than cutting spending or renegotiating union contracts.
• ❌ After three years, Marsh's annexation plan was rejected by residents in a runoff election in 2016, leading to his defeat by Ted Brandevald.
• 🏰 The concept of neo-feudalism is introduced as a critique of Marsh's approach, drawing parallels between acquiring land in the Middle Ages and annexing areas for tax revenue.
• 📚 The script explains feudalism as an economic system based on land ownership and agricultural production, with wealth derived from the land and its workers.
• 🛠️ It contrasts feudalism with modern capitalism, which is based on manufacturing and technological advancements allowing for wealth production beyond land ownership.
• 🚫 The video criticizes the mindset of some city governments that treat people like feudal lords, focusing on acquiring more subjects for taxation rather than fostering economic growth.

Q & A

What is the population of Modesto according to the script?

The script states that Modesto is a city of over 200,000 people.

What are the primary industries in Modesto?

The primary industries in Modesto are related to agriculture, particularly almonds.

Why are almonds referred to as 'ammons' by some people in Modesto?

The script does not provide a specific reason for this local terminology, but it suggests it's a regional colloquialism.

What economic challenges did Modesto face during the 2000s?

Modesto faced financial stress due to expensive contracts with public sector unions that were expected to be paid off by economic growth, which did not materialize after the 2008 recession.

What was the unemployment rate in Modesto after the 2008 recession?

The unemployment rate in Modesto became double the national average after the 2008 recession.

Who was elected as the mayor of Modesto in 2011 and what was his plan to solve the budget deficit?

Gared Marsh, the owner of a local bowling alley and a two-term member of the city council, was elected as mayor in 2011. His plan to solve the budget deficit was to increase revenue by annexing two neighboring communities and collecting additional taxes from their residents.

Which communities did Gared Marsh attempt to annex to increase Modesto's revenue?

Gared Marsh attempted to annex an unincorporated town named Salida and an area called Wood Colony.

What was the outcome of Gared Marsh's plan to annex neighboring communities?

The plan fell through after the residents of Wood Colony, Salida, and Modesto rallied against it in a runoff election in early 2016.

Who won the mayoral election against Gared Marsh in 2016 and what was the motivation behind the previous plan?

Ted Brandevald won the mayoral election against Gared Marsh in 2016. The previous plan was motivated by a neo-feudalistic economic view.

What is the definition of neo-feudalism as it relates to the script?

Neo-feudalism, in the context of the script, refers to an economic mindset where increasing wealth is achieved by acquiring more people to tax, similar to how feudal lords increased wealth by acquiring more land.

How does the script relate the economic activities of the Middle Ages to the actions of Gared Marsh in Modesto?

The script draws a parallel between the feudal practice of acquiring more land to increase wealth and Marsh's attempt to annex more areas to increase the tax base, suggesting a similar mindset despite the different contexts.

What alternative economic approach does the script suggest for city governments instead of neo-feudalistic practices?

The script suggests that city governments should focus on growing the wealth of their existing residents by passing business-friendly policies rather than seeking to annex more areas or increase taxes.

What is the historical context provided by the script regarding the transition from feudalism to capitalism?

The script explains that the advent of improved technology and the ability to produce wealth not based on land led to the reduction of wars over land and the birth of capitalism, which is based on the production of manufactured goods.