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The fierce and growing hostility to “plutocracy” at the opening of the twentieth century reflected moral outrage about inequality that had been absent during the Gilded Age with its emphasis on social Darwinism and the rights of ownership. This normative change was temporarily disrupted by the Red Scare of the 1920s, but the utter devastation of the Great Depression gave renewed force to the ideals of social solidarity instead of naked individualism, even among Republicans like Herbert Hoover.120 The widely shared sacrifices of World War II strongly reinforced egalitarian norms among the Greatest Generation, who would then dominate American society and politics for a quarter century after the war.
Light-touch government works more efficiently in the presence of social capital. Police close more cases when citizens monitor neighborhood comings and goings. Child welfare departments do a better job of “family preservation” when neighbors and relatives provide social support to troubled parents. Public schools teach better when parents volunteer in classrooms and ensure that kids do their homework. When community involvement is lacking, the burdens on government employees — bureaucrats, social workers, teachers, and so forth — are that much greater and success that much more elusive.