Another Pelican book brought on the same trip as America's Receding Future, Galbraith is writing ten years before Segal and while they do have slightly different focuses they are seeing much the same world through much the same lens.
It was particularly interesting to be reading this essay while traveling in China as it showed some great similarities to the America of the late 1950s and some radical departures (both in line with Galbraith's recommendations and at counterpoint to them).
It seems China today is living the America dream - there are plenty of opportunities to get rich quick - and while there are the dream lives as even the poorest of the poor can endure in the hope that it could be them - however this phase will not last for ever - soon the opportunities will dry up and wealth will settle around a traditional core the really rich will not be people who made money but people who inherited it - society has a great capacity to look warmly on those who made money (even when they did so with little ethic regard) the link between their toil, their gamble, even their lie, and the wealth they enjoy is a model for how to join them, for inherited wealth has no redemption for try as you might you can not become born on a wealthy father after the fact.
One area of interest is on productivity - one of the striking things about China is the number of people working in roles which we saw as under-employed - the vast numbers of assistants in the shops - the people sweeping the highway with twig brooms or cutting the bushes in the central reversion with hand shears - one of Galbraith's key arguments is that in a poor society it is important that every member is pushed to the maximum level of productivity but in an affluent society (like our and these days China - where people have enough food, shelter etc) the drive to increase productivity is counterproductive it renders some members of society redundant - "That full employment is more desirable than increased production combined with unemployment would be clear alike to the most sophisticated and the most primitive politician." If you are adequately fed what is the point in you working harder if it while adding marginally to your wealth denies a job to another?
The second be area is the contrast we make between private expenditure and public expenditure - Galbraith asks why money spent by individuals is a sign of a successful society but money spend collectively by the society/the state is a problem, why is money spend on for examples cars better than money spent on schools? Clearly China does not at this time make this distinction - it has high taxes, it spends big money on public infrastructure (which is an enabler to private enterprise - for example while its cities are huge they are moving because the state has put in the trains, expressways, and subways to meet the need - in the West the same ciy would be on its knees in grid lock) also the success of China's state owned corporations means that the dividing line between the state and the private economy not as clear as in the West.
There are also clear questions to ask in light of the problems of public deficits - Galbraith argues that the affluence of the private sphere should be matched by the affluence of the public (with the accompanying high taxes to transfer money from private to public hands) - to Galbraith the answer to the deficit would be more tax not less expenditure - on a day when many public sector works are on strike trying to protect their pension rights the question is how much higher tax would they be prepared to stomach in order to key those rights?
I think Galbraith's ideas are so far out of fashion at the moment to be almost laughable - but they do ask some very deep questions of the assumptions that frame they current political debates and reveal just how narrow our politics has become as you would have to go to the very extremes of the left (beyond politics and into the realms of insanity and idealism) to find anyone who would publicly sign up to any of what Galbraith is saying.