Click here to access article by Arthur Silber from Once Upon a Time....
I haven't followed this blog, so I am not absolutely sure what the author really means by this essay. By referencing "culture", it would seem to suggest that this mass neurosis is culture specific. But nowhere in the essay is this made explicit, and it often suggests that it is an inherent human flaw--thus, it cannot be culture specific.
I would argue that psychological manipulation is a coping mechanism that enables people to function well in a capitalist system and a capitalist culture. I agree that the vast percentage of people succumb to this type of socialization, but it is clear even from his essay that they don't succumb without consequences. That is, they don't function well as human beings. This to me indicates that capitalist culture is not conducive to human development. Let me develop my views on this further.
It seems to me that there are two basic types of psychological adjustment to capitalism that people form as they develop. The first is the transference of their allegiance from parents to all authority figures in one's life. Such a person never develops into adulthood, never really develops beyond a rebellious stage, if indeed, they ever experience this stage. They simply and naively adopt the world views of people in authority. The second type I would label as a sociopathic personality: they learn to become experts at manipulating people to obtain rewards and/or to escape punishments, and they are conscious of doing this. The author of this piece seems to emphasize the latter type.
Although under capitalism such adaptations are, I believe, highly exaggerated because of the enormous control of rewards and punishments of the ruling capitalist class, I believe that these adaptations are found in all class structured societies. Unfortunately, our knowledge about pre-class structured societies is very limited, but there is some evidence that various people have uncovered (see Noam Chomsky's view here and chapter 5 at this link). There is also psychological evidence from studies of people who for various reasons have been insulated from capitalist or class influences in their socialization.
From reading only this piece, I'm not sure what he suggests is the alternative, that is, what his "one in five or ten thousand" personality development is like. What is clear to me is that the latter development usually carries with it huge penalties which the author does not acknowledge in this essay.
The great task for mankind is to develop a classless society in which the highest potential of human beings can be actualized.