The Streets Were Paved with Gold - Ken Auletta [160]
Rather than accept blame for at least part of what happened to New York, the left too often portrays the city as a victim of a giant right-wing conspiracy. “Our true sin, in the eyes of Philistine skinflints and neo-conservative ideologues,” writes Irving Howe, editor of the socialist magazine Dissent, “has been the decency—if not sufficient, still impressive—with which New York has treated its poor.… The assault on the city is an assault on maintaining, let alone extending, the welfare state. The assault on the welfare state is an assault on the poor, the deprived, the blacks, the Puerto Ricans.” No doubt, many conservatives use the New York example as a weapon to bludgeon liberalism—a central thrust of William Simon’s book. But the thrust of my argument is practical, not ideological. Not whether New York often tried to do the right thing but whether, alone, it could afford to; whether it worked.
The New York crisis can be seen from many perspectives—from the left, as the result of capitalism’s need to search out cheap labor and reduce costs; from the right, as the logical consequence of intrusive government. Both arguments are, simultaneously, true. But the left tends to get so exercised that it overlooks some other truths. Take, for instance, the city’s 40 percent subway fare increase in 1975. Many cried, with considerable justice, that this was counterproductive and would lead to the loss of many more riders. That September, the city needed to borrow $906 million to meet its monthly cash needs. Sixty-five percent of this sum was earmarked to repay interest and principal on previous loans, much of which could have been eliminated if previous mayors had not borrowed so promiscuously. Just one-fifth of this September 1975 debt service payment—$120 million—could have spared the 35¢ subway fare.
An ideological view of the fiscal crisis—either from the right, which just blames the left, or from the left, which just blames Washington or capitalism—broadens the risk of bankruptcy. In truth, New York will not be able to dig itself out of its hole without additional federal help, particularly in restructuring its growing debt burden and also in the form of continued federal pressure for local reform. More important is what the city must do for itself.