[identity profile] metatrix.livejournal.com posting in [community profile] deathtocapslock
There is an inherent divide between magical creatures (such as goblins) and wizards. This is based on two things:

1. Wizards can pass as muggles if they wish to. Magical creatures cannot. The implication of this is that magical creatures are much more vulnerable to muggle violence, and also that Secrecy means that magical creatures must go into isolation and hiding, while wizards must simply keep their magic a secret when interacting with muggles.

2. Wizards continue to be born of muggles, whereas there is no such thing as a magical creature born of non-magical parents. (Theoretically, I suppose a half-giant or half-goblin could be born of a union between a magical creature and a muggle, but there is no indication in canon that this is possible). The first implication of this is that magical creatures face extinction more easily than wizards do (even if you wiped out all living wizards, muggleborns would continue to be born). The second implication is that wizards cannot maintain Secrecy simply by isolation. They need to address the issue of muggleborns.

The statute of secrecy reinforces the divide between magical creatures and humans (wizard and muggle). Wizards are able to directly trade with muggles. But goblins cannot. They can only trade with wizards or other magical creatures. This limits their economic prospects a great deal.

Magic vs Might is an alternate model where all magic-bearers (creatures and wizards) unite against non-magic bearers (muggles). Any one magical race would likely be unable to keep muggles subdued. But united altogether, they stand a chance against the muggles. This is the model that the Death Eaters (and later Umbridge) are backing.

What the goblins fear most is wizards and muggles united against them. They wouldn't stand a chance. So it is in the goblins' best interest for there to be conflict and mistrust between muggles and wizards, as well as within wizards and within muggles. I wouldn't put it past them to fund both sides of the conflict. It is in their interest to do so. I also would not be surprised if goblins in reality have no use or desire for wands, but simply use it as a negotiation point to maintain their position as the wizarding world's sole bankers.

Incidentally, any time you have a closed economy, some people stand to get extremely rich. I envision a scenario where certain wizarding families with Ministry connections support Secrecy and isolation because they benefit financially. These families would make money by selling muggle goods to wizards. This only works if wizards are unable or unwilling to purchase muggle goods directly from muggle stores. These Ministry-connected families would want to encourage ignorance of the muggle world, prejudice and fear of muggles, and, interestingly, complete assimilation of muggleborns and half-bloods into wizarding society from a young age. This last is where things like Hogwarts, the Slug Club, and the ban against underage magic all come in. These families would also be motivated to collude with goblins to maintain a closed economy and a fiat currency. I wonder if this is how the Potters made their fortune.

Thoughts?

Re: Anti-muggle Prejudice

Date: 2015-01-20 09:31 pm (UTC)
From: [personal profile] oryx_leucoryx
Based on Severus' conversation with Lily, we know Tobias was around during their pre-Hogwarts friendship (when Severus mentions his parents arguing and his father not liking anything much), so the hook-nosed man is intended to be Tobias. Though Tobias does not accompany Severus to the train station.

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