Showing posts with label corporations. Show all posts
Showing posts with label corporations. Show all posts

Monday, November 2, 2015

Sheldon Wolin: Political Giant Dead At Ninety-Three - Chris Hedges

Sheldon Wolin, our most important contemporary political theorist, died Oct. 21 at the age of 93.

Sheldon Wolin

In his books “Democracy Incorporated: Managed Democracy and the Specter of Inverted Totalitarianism” and “Politics and Vision,” a massive survey of Western political thought that his former student Cornel West calls “magisterial,” Wolin lays bare the realities of our bankrupt democracy, the causes behind the decline of American empire and the rise of a new and terrifying configuration of corporate power he calls “inverted totalitarianism.

Wendy Brown, a political science professor at UC Berkeley and another former student of Wolin’s, said in an email to me: “Resisting the monopolies on left theory by Marxism and on democratic theory by liberalism, Wolin developed a distinctive—even distinctively American—analysis of the political present and of radical democratic possibilities. He was especially prescient in theorizing the heavy statism forging what we now call neoliberalism, and in revealing the novel fusions of economic with political power that he took to be poisoning democracy at its root.

Wolin throughout his scholarship charted the devolution of American democracy and in his last book, “Democracy Incorporated,” details our peculiar form of corporate totalitarianism. “One cannot point to any national institution[s] that can accurately be described as democratic,” he writes in that book, “surely not in the highly managed, money-saturated elections, the lobby-infested Congress, the imperial presidency, the class-biased judicial and penal system, or, least of all, the media.”

Inverted totalitarianism is different from classical forms of totalitarianism. It does not find its expression in a demagogue or charismatic leader but in the faceless anonymity of the corporate state. Our inverted totalitarianism pays outward fealty to the facade of electoral politics, the Constitution, civil liberties, freedom of the press, the independence of the judiciary, and the iconography, traditions and language of American patriotism, but it has effectively seized all of the mechanisms of power to render the citizen impotent

“Unlike the Nazis, who made life uncertain for the wealthy and privileged while providing social programs for the working class and poor, inverted totalitarianism exploits the poor, reducing or weakening health programs and social services, regimenting mass education for an insecure workforce threatened by the importation of low-wage workers,” Wolin writes. “Employment in a high-tech, volatile, and globalized economy is normally as precarious as during an old-fashioned depression. The result is that citizenship, or what remains of it, is practiced amidst a continuing state of worry. Hobbes had it right: when citizens are insecure and at the same time driven by competitive aspirations, they yearn for political stability rather than civic engagement, protection rather than political involvement.”

Inverted totalitarianism, Wolin said when we met at his home in Salem, Ore., in 2014 to film a nearly three-hour interview, constantly “projects power upwards.” It is “the antithesis of constitutional power.” It is designed to create instability to keep a citizenry off balance and passive.

He writes, “Downsizing, reorganization, bubbles bursting, unions busted, quickly outdated skills, and transfer of jobs abroad create not just fear but an economy of fear, a system of control whose power feeds on uncertainty, yet a system that, according to its analysts, is eminently rational.

Inverted totalitarianism also “perpetuates politics all the time,” Wolin said when we spoke, “but a politics that is not political.” The endless and extravagant election cycles, he said, are an example of politics without politics. “Instead of participating in power,” he writes, “the virtual citizen is invited to have ‘opinions’: measurable responses to questions predesigned to elicit them.”

Political campaigns rarely discuss substantive issues. They center on manufactured political personalities, empty rhetoric, sophisticated public relations, slick advertising, propaganda and the constant use of focus groups and opinion polls to loop back to voters what they want to hear. Money has effectively replaced the vote. Every current presidential candidate—including Bernie Sanders—understands, to use Wolin’s words, that “the subject of empire is taboo in electoral debates.” The citizen is irrelevant. He or she is nothing more than a spectator, allowed to vote and then forgotten once the carnival of elections ends and corporations and their lobbyists get back to the business of ruling.

“If the main purpose of elections is to serve up pliant legislators for lobbyists to shape, such a system deserves to be called ‘misrepresentative or clientry government,’ ” Wolin writes. “It is, at one and the same time, a powerful contributing factor to the depoliticization of the citizenry, as well as reason for characterizing the system as one of antidemocracy.”

The result, he writes, is that the public is “denied the use of state power.” Wolin deplores the trivialization of political discourse, a tactic used to leave the public fragmented, antagonistic and emotionally charged while leaving corporate power and empire unchallenged.

“Cultural wars might seem an indication of strong political involvements,” he writes. “Actually they are a substitute. The notoriety they receive from the media and from politicians eager to take firm stands on nonsubstantive issues serves to distract attention and contribute to a cant politics of the inconsequential.

“The ruling groups can now operate on the assumption that they don’t need the traditional notion of something called a public in the broad sense of a coherent whole,” he said in our meeting. “They now have the tools to deal with the very disparities and differences that they have themselves helped to create. It’s a game in which you manage to undermine the cohesiveness that the public requires if they [the public] are to be politically effective. And at the same time, you create these different, distinct groups that inevitably find themselves in tension or at odds or in competition with other groups, so that it becomes more of a melee than it does become a way of fashioning majorities.”

In classical totalitarian regimes, such as those of Nazi fascism or Soviet communism, economics was subordinate to politics. But “under inverted totalitarianism the reverse is true,” Wolin writes. “Economics dominates politics—and with that domination comes different forms of ruthlessness.

He continues: “The United States has become the showcase of how democracy can be managed without appearing to be suppressed.”

The corporate state, Wolin told me, is “legitimated by elections it controls.” To extinguish democracy, it rewrites and distorts laws and legislation that once protected democracy. Basic rights are, in essence, revoked by judicial and legislative fiat. Courts and legislative bodies, in the service of corporate power, reinterpret laws to strip them of their original meaning in order to strengthen corporate control and abolish corporate oversight.

He writes: “Why negate a constitution, as the Nazis did, if it is possible simultaneously to exploit porosity and legitimate power by means of judicial interpretations that declare huge campaign contributions to be protected speech under the First Amendment, or that treat heavily financed and organized lobbying by large corporations as a simple application of the people’s right to petition their government?”

Our system of inverted totalitarianism will avoid harsh and violent measures of control “as long as ... dissent remains ineffectual,” he told me. “The government does not need to stamp out dissent. The uniformity of imposed public opinion through the corporate media does a very effective job.”

And the elites, especially the intellectual class, have been bought off. “Through a combination of governmental contracts, corporate and foundation funds, joint projects involving university and corporate researchers, and wealthy individual donors, universities (especially so-called research universities), intellectuals, scholars, and researchers have been seamlessly integrated into the system,” Wolin writes. “No books burned, no refugee Einsteins.”

But, he warns, should the population—steadily stripped of its most basic rights, including the right to privacy, and increasingly impoverished and bereft of hope—become restive, inverted totalitarianism will become as brutal and violent as past totalitarian states. “The war on terrorism, with its accompanying emphasis upon ‘homeland security,’ presumes that state power, now inflated by doctrines of preemptive war and released from treaty obligations and the potential constraints of international judicial bodies, can turn inwards,” he writes, “confident that in its domestic pursuit of terrorists the powers it claimed, like the powers projected abroad, would be measured, not by ordinary constitutional standards, but by the shadowy and ubiquitous character of terrorism as officially defined.”

The indiscriminate police violence in poor communities of color is an example of the ability of the corporate state to “legally” harass and kill citizens with impunity. The cruder forms of control—from militarized police to wholesale surveillance, as well as police serving as judge, jury and executioner, now a reality for the underclass—will become a reality for all of us should we begin to resist the continued funneling of power and wealth upward. We are tolerated as citizens, Wolin warns, only as long as we participate in the illusion of a participatory democracy. The moment we rebel and refuse to take part in the illusion, the face of inverted totalitarianism will look like the face of past systems of totalitarianism.

“The significance of the African-American prison population is political,” he writes. “What is notable about the African-American population generally is that it is highly sophisticated politically and by far the one group that throughout the twentieth century kept alive a spirit of resistance and rebelliousness. In that context, criminal justice is as much a strategy of political neutralization as it is a channel of instinctive racism.”

In his writings, Wolin expresses consternation for a population severed from print and the nuanced world of ideas. He sees cinema, like television, as “tyrannical” because of its ability to “block out, eliminate whatever might introduce qualification, ambiguity, or dialogue.” He rails against what he calls a “monochromatic media” with corporate-approved pundits used to identify “the problem and its parameters, creating a box that dissenters struggle vainly to elude. The critic who insists on changing the context is dismissed as irrelevant, extremist, ‘the Left’—or ignored altogether.”

The constant dissemination of illusions permits myth rather than reality to dominate the decisions of the power elites. And when myth dominates, disaster descends upon the empire, as 14 years of futile war in the Middle East and our failure to react to climate change illustrate. Wolin writes

When myth begins to govern decision-makers in a world where ambiguity and stubborn facts abound, the result is a disconnect between the actors and the reality. They convince themselves that the forces of darkness possess weapons of mass destruction and nuclear capabilities: that their own nation is privileged by a god who inspired the Founding Fathers and the writing of the nation’s constitution; and that a class structure of great and stubborn inequalities does not exist. A grim but joyous few see portents of a world that is living out “the last days.”

Wolin was a bombardier and a navigator on a B-24 Liberator heavy bomber in the South Pacific in World War II. He flew 51 combat missions. The planes had crews of up to 10. From Guadalcanal, he advanced with American forces as they captured islands in the Pacific. During the campaign the military high command decided to direct the B-24 bombers—which were huge and difficult to fly in addition to having little maneuverability—against Japanese ships, a tactic that saw tremendous losses of planes and American lives. The use of the B-24, nicknamed “the flying boxcar” and “the flying coffin,” to attack warships bristling with antiaircraft guns exposed for Wolin the callousness of military commanders who blithely sacrificed their air crews and war machines in schemes that offered little chance of success.

“It was terrible,” he said of the orders to bomb ships. “We received awful losses from that, because these big, lumbering aircraft, particularly flying low trying to hit the Japanese navy—and we lost countless people in it, countless.

“We had quite a few psychological casualties ... men, boys, who just couldn’t take it anymore,” he said, “just couldn’t stand the strain of getting up at 5 in the morning and proceeding to get into these aircraft and go and getting shot at for a while and coming back to rest for another day.”

Wolin saw the militarists and the corporatists, who formed an unholy coalition to orchestrate the rise of a global American empire after the war, as the forces that extinguished American democracy. He called inverted totalitarianism “the true face of Superpower.” These war profiteers and militarists, advocating the doctrine of total war during the Cold War, bled the country of resources. They also worked in tandem to dismantle popular institutions and organizations such as labor unions to politically disempower and impoverish workers. They “normalized” war. And Wolin warns that, as in all empires, they eventually will be “eviscerated by their own expansionism.” There will never be a return to democracy, he cautions, until the unchecked power of the militarists and corporatists is dramatically curtailed. A war state cannot be a democratic state

Wolin writes: National defense was declared inseparable from a strong economy. The fixation upon mobilization and rearmament inspired the gradual disappearance from the national political agenda of the regulation and control of corporations. The defender of the free world needed the power of the globalizing, expanding corporation, not an economy hampered by “trust busting.” Moreover, since the enemy was rabidly anticapitalist, every measure that strengthened capitalism was a blow against the enemy. Once the battle lines between communism and the “free society” were drawn, the economy became untouchable for purposes other than “strengthening” capitalism. The ultimate merger would be between capitalism and democracy. Once the identity and security of democracy were successfully identified with the Cold War and with the methods for waging it, the stage was set for the intimidation of most politics left or right.

The result is a nation dedicated almost exclusively to waging war

“When a constitutionally limited government utilizes weapons of horrendous destructive power, subsidizes their development, and becomes the world’s largest arms dealer,” Wolin writes, “the Constitution is conscripted to serve as power’s apprentice rather than its conscience.

He goes on: That the patriotic citizen unswervingly supports the military and its huge budget means that conservatives have succeeded in persuading the public that the military is distinct from government. Thus the most substantial element of state power is removed from public debate. Similarly in his/her new status as imperial citizen the believer remains contemptuous of bureaucracy yet does not hesitate to obey the directives issued by the Department of Homeland Security, the largest and most intrusive governmental department in the history of the nation. Identification with militarism and patriotism, along with the images of American might projected by the media, serves to make the individual citizen feel stronger, thereby compensating for the feelings of weakness visited by the economy upon an overworked, exhausted, and insecure labor force. For its antipolitics inverted totalitarianism requires believers, patriots, and nonunion “guest workers.

Sheldon Wolin was often considered an outcast among contemporary political theorists whose concentration on quantitative analysis and behaviorialism led them to eschew the examination of broad political theory and ideas. Wolin insisted that philosophy, even that written by the ancient Greeks, was not a dead relic but a vital tool to examine and challenge the assumptions and ideologies of contemporary systems of power and political thought. Political theory, he argued, was “primarily a civic and secondarily an academic activity.” It had a role “not just as an historical discipline that dealt with the critical examination of idea systems,” he told me, but as a force “in helping to fashion public policies and governmental directions, and above all civic education, in a way that would further ... the goals of a more democratic, more egalitarian, more educated society.” His 1969 essay “Political Theory as a Vocation” argued for this imperative and chastised fellow academics who focused their work on data collection and academic minutiae. He writes, with his usual lucidity and literary flourishes, in that essay:

In a fundamental sense, our world has become as perhaps no previous world has, the product of design, the product of theories about human structures deliberately created rather than historically articulated. But in another sense, the embodiment of theory in the world has resulted in a world impervious to theory. The giant, routinized structures defy fundamental alteration and, at the same time, display an unchallengeable legitimacy, for the rational, scientific, and technological principles on which they are based seem in perfect accord with an age committed to science, rationalism and technology. Above all, it is a world which appears to have rendered epic theory superfluous. Theory, as Hegel had foreseen, must take the form of “explanation.” Truly, it seems to be the age when Minerva’s owl has taken flight.

Wolin’s 1960 masterpiece “Politics and Vision,” subtitled “Continuity and Innovation in Western Political Thought,” drew on a vast array of political theorists and philosophers including Plato, Aristotle, Augustine, Immanuel Kant, John Locke, John Calvin, Martin Luther, Thomas Hobbes, Friedrich Nietzsche, Karl Marx, Max Weber, John Dewey and Hannah Arendt to reflect back to us our political and cultural reality. His task, he stated at the end of the book, was, “in the era of Superpower,” to “nurture the civic consciousness of the society.” The imperative to amplify and protect democratic traditions from the contemporary forces that sought to destroy them permeated all of his work, including his books “Hobbes and the Epic Tradition of Political Theory” and “Tocqueville Between Two Worlds: The Making of a Political and Theoretical Life.”

Wolin’s magnificence as a scholar was matched by his magnificence as a human being. He stood with students at UC Berkeley, where he taught, to support the Free Speech Movement and wrote passionately in its defense. Many of these essays were published in “The Berkeley Rebellion and Beyond: Essays on Politics and Education in the Technological Society.” Later, as a professor at Princeton University, he was one of a handful of faculty members who joined students to call for divestment of investments in apartheid South Africa. He once accompanied students to present the case to Princeton alumni. “I’ve never been jeered quite so roundly,” he said. “Some of them called me [a] 50-year-old ... sophomore and that kind of thing.”

From 1981 to 1983, Wolin published Democracy: A Journal of Political Renewal and Radical Change. In its pages he and other writers called out the con game of neoliberalism, the danger of empire, the rise of unchecked corporate power and the erosion of democratic institutions and ideals. The journal swiftly made him a pariah within the politics department at Princeton.

“I remember once when I was up editing that journal, I left a copy of it on the table in the faculty room hoping that somebody would read it and comment,” he said. “I never heard a word. And during all the time I was there and doing Democracy, I never had one colleague come up to me and either say something positive or even negative about it. Just absolute silence.”

Max Weber, whom Wolin called “the greatest of all sociologists,” argues in his essay “Politics as a Vocation” that those who dedicate their lives to striving for justice in the modern political arena are like the classical heroes who can never overcome what the ancient Greeks called fortuna. These heroes, Wolin writes in “Politics and Vision,” rise up nevertheless “to heights of moral passion and grandeur, harried by a deep sense of responsibility.” Yet, Wolin goes on, “at bottom, [the contemporary hero] is a figure as futile and pathetic as his classical counterpart. The fate of the classical hero was that he could never overcome contingency or fortuna; the special irony of the modern hero is that he struggles in a world where contingency has been routed by bureaucratized procedures and nothing remains for the hero to contend against. Weber’s political leader is rendered superfluous by the very bureaucratic world that Weber discovered: even charisma has been bureaucratized. We are left with the ambiguity of the political man fired by deep passion—‘to be passionate, ira et studium, is … the element of the political leader’—but facing the impersonal world of bureaucracy which lives by the passionless principle that Weber frequently cited, sine ira et studio, ‘without scorn or bias.’ ”

Wolin writes that even when faced with certain defeat, all of us are called to the “awful responsibility” of the fight for justice, equality and liberty.

“You don’t win,” Wolin said at the end of our talk. “Or you win rarely. And if you win, it’s often for a very short time. That’s why politics is a vocation for Weber. It’s not an occasional undertaking that we assume every two years or every four years when there’s an election. It’s a constant occupation and preoccupation. And the problem, as Weber saw it, was to understand it not as a partisan kind of education in the politicians or political party sense, but as in the broad understanding of what political life should be and what is required to make it sustainable. He’s calling for a certain kind of understanding that’s very different from what we think about when we associate political understanding with how do you vote or what party do you support or what cause do you support. Weber’s asking us to step back and say what kind of political order, and the values associated with it that it promotes, are we willing to really give a lot for, including sacrifice.”

Wolin embodied the qualities Weber ascribes to the hero. He struggled against forces he knew he could not vanquish. He never wavered in the fight as an intellectual and, more important, in the fight as a citizen. He was one of the first to explain to us the transformation of our capitalist democracy into a new species of totalitarianism. He warned us of the consequences of unbridled empire or superpower. He called on us to rise up and resist. His “Democracy Incorporated” was ignored by every major newspaper and journal in the country. This did not surprise him. He knew his power. So did his enemies. All his fears for the nation have come to pass. A corporate monstrosity rules us. If we held up a scorecard we would have to say Wolin lost, but we would also have to acknowledge the integrity, brilliance, courage and nobility of his life. More

=================================

By Dusty Hinz

Sheldon Wolin passed away just under two weeks ago at the age of 93. He was an incredibly important thinker for our times. His book, "Democracy Incorporated", is a must-read as far as I am concerned. In it he lays out his critique of contemporary America and defines it as an "inverted totalitarian" society, in which politics have become subservient to economics.

If you can't read the book, read this article, if you can't read the article, just read these quotes:

"Inverted totalitarianism is different from classical forms of totalitarianism. It does not find its expression in a demagogue or charismatic leader but in the faceless anonymity of the corporate state. Our inverted totalitarianism pays outward fealty to the facade of electoral politics, the Constitution, civil liberties, freedom of the press, the independence of the judiciary, and the iconography, traditions and language of American patriotism, but it has effectively seized all of the mechanisms of power to render the citizen impotent."

"In classical totalitarian regimes, such as those of Nazi fascism or Soviet communism, economics was subordinate to politics. But “under inverted totalitarianism the reverse is true,” Wolin writes. “Economics dominates politics—and with that domination comes different forms of ruthlessness.”

He continues: “The United States has become the showcase of how democracy can be managed without appearing to be suppressed.”

The corporate state, Wolin told me, is “legitimated by elections it controls.” To extinguish democracy, it rewrites and distorts laws and legislation that once protected democracy. Basic rights are, in essence, revoked by judicial and legislative fiat. Courts and legislative bodies, in the service of corporate power, reinterpret laws to strip them of their original meaning in order to strengthen corporate control and abolish corporate oversight.

He writes: “Why negate a constitution, as the Nazis did, if it is possible simultaneously to exploit porosity and legitimate power by means of judicial interpretations that declare huge campaign contributions to be protected speech under the First Amendment, or that treat heavily financed and organized lobbying by large corporations as a simple application of the people’s right to petition their government?”

Our system of inverted totalitarianism will avoid harsh and violent measures of control “as long as ... dissent remains ineffectual,” he told me. “The government does not need to stamp out dissent. The uniformity of imposed public opinion through the corporate media does a very effective job.""

 

Saturday, August 1, 2015

We Are All Greece

The cast of heroes and villains in Greece’s ongoing battle to save its economy varies depending on who’s telling the story.

One simplified narrative depicts the German people as rich and callous overlords inflicting hardship on the downtrodden Greeks.

The austerity measures they insist upon are essentially meant to punish the Greeks for spending too much on social programs for the sick and elderly.

In an opposing storyline, the Greeks have only themselves to blame: they lived beyond their means, evaded taxation, were generally corrupt, and irresponsibly piled up debts they simply could not repay. In this scenario the Germans are like parental figures administering discipline on the immature Greeks.

Neither of these narratives is accurate or helpful; rather than providing real insight, they merely serve to heighten nationalistic and xenophobic impulses in both countries. In order to make sense of what’s going on, we need to go behind the scenes to look more broadly at the underpinnings of the crisis.

It is widely assumed that the European Union was formed in order to prevent conflict. This notion can be traced to the aftermath of the Second World War, when well-intentioned statesmen promoted the notion that economic integration was a path to peace and harmony. And until this day many idealists support the EU for this reason. However, for many in my network – particularly in Scandinavia – it was clear from the beginning that the EU was primarily about big business.

In the end, the economic problem in Greece is the product of a global system that puts the needs of corporations and banks ahead of people and the planet.

Before countries were linked together into an economic union, Europe’s many regions were home to a great variety of cultures, languages and customs. But the Union erodes this rich diversity, which was born of human adaptation to different climates and ecological realities. The many borders, currencies, and differing regulations made trade difficult for big business, while the diversity of languages and cultural traditions put limits on mass marketing.

None of these were obstacles to businesses operating within their own countries – in fact, the borders and cultural diversity helped protect the markets of domestic producers from the predations of mobile capital, helping to ensure their survival. But for big corporations and financial institutions, diversity is an impediment, monoculture is ‘efficient’. For them, a single Europe-wide market of 500 million people was an essential step to further growth. Meeting that goal required a single currency, ‘harmonized’ regulations, the elimination of borders, and centralized management of the European economy.

The European Union is an extension of the Bretton Woods institutions – The World Bank, the International Monetary Fund (IMF), and the General Agreement on Tariffs and Trade (GATT) – founded at the end of World War II. Their stated purpose was global economic integration in order to avoid another depression and to avert war. But the result was a form of economic development – based on debt, global trade and consumerism – that systematically favored corporate interests while hollowing out local economies worldwide. Sadly, many people still idealistically embrace the Bretton Woods institutions, as well as the European Union.

Neither the media nor academia has focused on the role of transnational banks and corporations in promoting this economic path. Instead they continue to reinforce the notion that European “economic integration” is about peaceful coexistence among countries that would otherwise be at war with each other. The benefits to big business, meanwhile, are hardly mentioned at all. It is no wonder that the public continues to be beguiled by this message, and that many statesmen have internalized the notion that centralization is in the public interest.

However, Greece reveals clearly where a centralized economy dominated by corporations and banks leads. In country after country, TNCs have been able to evade taxes by ‘offshoring’ their activities, and to bargain for lower tax rates and higher subsidies by threatening to move where even less in taxes will be demanded, and even more in subsidies provided. At the same time, governments must pay from their depleted treasuries to provide support for the growing ranks of unemployed, to retrain displaced workers, to mend the unraveling social fabric, and to clean up the despoiled environments left behind by deregulated, mobile corporations. Forced to go hat-in-hand to banks – which can create money out of thin air by issuing loans – countries can easily find themselves on a downward spiral, with interest payments consuming an increasing proportion of national output. It’s no wonder that so many governments today are struggling to stay afloat, while global corporations and banks are flush with cash.

In the end, the economic problem in Greece is the product of a global system that puts the needs of corporations and banks ahead of people and the planet. The same system is responsible for the polluted rivers and air in China, for the sweatshop conditions in Bangladesh, for the economic refugees from Africa desperately seeking asylum in Europe, and for the collapsing economies of Puerto Rico, Greece, and beyond. The internal logic of this global system favors no nation – not Germany, not even the United States – but only the footloose corporations and banks that dominate the global economy.

There is an alternative to starving our own people to enrich foreign banks: it involves moving away from ever-more specialized production for export, towards prioritizing diversified production to meet people’s genuine needs; away from centralized, corporate control, towards diverse, localized economies that are more equitable and sustainable. This means encouraging greater regional self-reliance, and using our taxes, subsidies and regulations to support enterprises embedded in society, rather than transnational monopolies.

Although the localization path is not yet visible in the media, more and more economists, environmentalists and social activists are embracing it. Awareness is growing, as people around the world recognize this simple truth: “we are all Greece.” More

 

Wednesday, April 23, 2014

The war on democracy

A stunning new report compiles extensive evidence showing how some of the world's largest corporations have partnered with private intelligence firms and government intelligence agencies to spy on activist and nonprofit groups. Environmental activism is a prominent though not exclusive focus of these activities.

Protestors in DC during the Stop Watching Us Rally

The report by the Center for Corporate Policy (CCP) in Washington DC titled Spooky Business: Corporate Espionage against Nonprofit Organizations draws on a wide range of public record evidence, including lawsuits and journalistic investigations. It paints a disturbing picture of a global corporate espionage programme that is out of control, with possibly as much as one in four activists being private spies.
The report argues that a key precondition for corporate espionage is that the nonprofit in question:

"... impairs or at least threatens a company's assets or image sufficiently."

One of the groups that has been targeted the most, and by a range of different corporations, is Greenpeace. In the 1990s, Greenpeace was tracked by private security firm Beckett Brown International (BBI) on behalf of the world's largest chlorine producer, Dow Chemical, due to the environmental organisation's campaigning against the use of chlorine to manufacture paper and plastics. The spying included:

"... pilfering documents from trash bins, attempting to plant undercover operatives within groups, casing offices, collecting phone records of activists, and penetrating confidential meetings."

Other Greenpeace offices in France and Europe were hacked and spied on by French private intelligence firms at the behest of Électricité de France, the world's largest operator of nuclear power plants, 85% owned by the French government.

Oil companies Shell and BP had also reportedly hired Hackluyt, a private investigative firm with "close links" to MI6, to infiltrate Greenpeace by planting an agent who "posed as a left -wing sympathiser and film maker." His mission was to "betray plans of Greenpeace's activities against oil giants," including gathering "information about the movements of the motor vessel Greenpeace in the north Atlantic."

The CCP report notes that:

"A diverse array of nonprofits have been targeted by espionage, including environmental, anti-war, public interest, consumer, food safety, pesticide reform, nursing home reform, gun control, social justice, animal rights and arms control groups.

Many of the world's largest corporations and their trade associations - including the US Chamber of Commerce, Walmart, Monsanto, Bank of America, Dow Chemical, Kraft, Coca-Cola, Chevron, Burger King, McDonald's, Shell, BP, BAE, Sasol, Brown & Williamson and E.ON - have been linked to espionage or planned espionage against nonprofit organizations, activists and whistleblowers."

Exploring other examples of this activity, the report notes that in Ecuador, after a lawsuit against Texaco triggering a $9.5 billion fine for spilling 350 million gallons of oil around Lago Agrio, the private investigations firm Kroll tried to hire journalist Mary Cuddehe as a "corporate spy" for Chevron, to undermine studies of the environmental health effects of the spill.

Referring to the work of US investigative reporter Jeremy Scahill, the report points out that the notorious defence contractor Blackwater, later renamed XE Services and now Academi, had sought to become "the intel arm" of Monsanto, the agricultural and biotechnology corporation associated with genetically modified foods. Blackwater was paid to "provide operatives to infiltrate activist groups organizing against the multinational biotech firm."

In another case, the UK's Camp for Climate Action, which supports the decommissioning of coal-fired plants, was infiltrated by private security firm Vericola on behalf of three energy companies, E.ON, Scottish Power, and Scottish Resources Group.

Reviewing emails released by Wikileaks from the Texas-based private intelligence firm Stratfor, the report shows how the firm reportedly "conducted espionage against human rights, animal rights and environmental groups, on behalf of companies such as Coca-Cola." In one case, the emails suggest that Stratfor investigated People for the Ethical Treatment of Animals (PETA) at Coca-Cola's request, and had access to a classified FBI investigation on PETA.

The report uncovers compelling evidence that much corporate espionage is facilitated by government agencies, particularly the FBI. The CCP report examines a September 2010 document from the Office of the Inspector General in the US Justice Department, which reviewed FBI investigations between 2001 and 2006. It concluded that:

"... the factual basis of opening some of the investigations of individuals affiliated with the groups was factually weak... In some cases, we also found that the FBI extended the duration of investigations involving advocacy groups or their members without adequate basis…. In some cases, the FBI classified some of its investigations relating to nonviolent civil disobedience under its 'Acts of Terrorism' classification."

For instance, on an FBI investigation of Greenpeace, the Justice Department found that:

"... the FBI articulated little or no basis for suspecting a violation of any federal criminal statute... the FBI's opening EC [electronic communication] did not articulate any basis to suspect that they were planning any federal crimes….We also found that the FBI kept this investigation open for over 3 years, long past the corporate shareholder meetings that the subjects were supposedly planning to disrupt... We concluded that the investigation was kept open 'beyond the point at which its underlying justification no longer existed,' which was inconsistent with the FBI's Manual of Investigative and Operational Guidelines (MIOG)."

The FBI's involvement in corporate espionage has been institutionalised through 'InfraGard', "a little-known partnership between private industry, the FBI and the Department of Homeland Security." The partnership involves the participation of "more than 23,000 representatives of private industry," including 350 of the Fortune 500 companies.

But it's not just the FBI. According to the new report, "active-duty CIAoperatives are allowed to sell their expertise to the highest bidder", a policy that gives "financial firms and hedge funds access to the nation's top-level intelligence talent. Little is known about the CIA's moonlighting policy, or which corporations have hired current CIA operatives."

The report concludes that, due to an extreme lack of oversight, government effectively tends to simply "rubber stamp" such intelligence outsourcing:

"In effect, corporations are now able to replicate in miniature the services of a private CIA, employing active-duty and retired officers from intelligence and/or law enforcement. Lawlessness committed by this private intelligence and law enforcement capacity, which appears to enjoy near impunity, is a threat to democracy and the rule of law. In essence, corporations are now able to hire a private law enforcement capacity - which is barely constrained by legal and ethical norms - and use it to subvert or destroy civic groups. This greatly erodes the capacity of the civic sector to countervail the tremendous power of corporate and wealthy elites."

Gary Ruskin, author of the report, said:

"Corporate espionage against nonprofit organizations is an egregious abuse of corporate power that is subverting democracy. Who will rein in the forces of corporate lawlessness as they bear down upon nonprofit defenders of justice?"

That's a good question. Ironically, many of the same companies spearheading the war on democracy are also at war with planet earth - just last week the Guardian revealed that 90 of some of the biggest corporations generate nearly two-thirds of greenhouse gas emissions and are thus overwhelmingly responsible for climate change. More

 

 

Thursday, October 31, 2013

The Trans-Pacific Partnership: A Trade Agreement for Protectionists

A number of leaders from the the Trans-Pacific Partnership (TPP) member states and prospective member states at a TPP summit in 2010.

The TPP is a controversial US-proposed free-trade bloc that would stretch from Vietnam to Chile to Japan, encompassing 800 million people, about a third of world trade and nearly 40 percent of the global economy. (Wikimedia Commons)

The Trans-Pacific Partnership (TPP) stands at the top of the Obama administration’s trade agenda. The argument from its supporters is that this agreement is part of the never-ending quest for freer trade. The evidence from what we know of this (still secret) pact is that the TPP has little to do with free trade. It can more accurately be described as a pact designed to increase the wealth and power of crony capitalists.

At this point, with few exceptions, formal trade barriers, such as tariffs and quotas, are not very large. If lowering or eliminating the formal barriers that remain were the main agenda of this pact, there would be relatively little interest. Rather, the purpose of the pact is to use an international trade agreement to create a regulatory structure that is much more favorable to corporate interests than they would be able to get through the domestic political process in the United States and in the other countries in the pact.

The gap between free trade and the agenda of the TPP is clearest in the case of prescription drugs. The US drug companies have a major seat at the negotiating table. They will be trying to craft rules that increase the strength of patent and related protections. The explicit purpose is to raise (as in not lower) the price of drugs in the countries signing the TPP.

Note that this goal is the opposite of what we would expect in an agreement designed to promote free trade. Instead of having drug companies at the table, we might envision that we would have representatives of consumer groups who would try to negotiate rules that could ensure safe drugs at lower prices. Instead of using a “trade” agreement to try to push drug prices in other countries up, we could actually use trade to bring the price of drugs in the United States down to the levels seen elsewhere.

Insofar as this creates problems for the model of government granted patent monopolies as the main tool for financing research, we could even look to promote methods of research financing that don’t have their origins in the medieval guild system, like patents. Everyone, including the drug companies, seems to think that the $30 billion we spend on research each year through the National Institutes of Health is extremely valuable. This suggests that there are other ways to finance research.

We could also look to have freer trade in doctors. The doctors’ lobbies have erected numerous barriers to keep qualified foreign physicians from practicing in the United States. There are enormous potential gains from eliminating these barriers. If we got the pay of doctors in the United States in line with doctors’ pay in other wealthy countries, the savings would be close to $1 trillion over the next decade. That comes to around $7,000 per household.

It is striking that we openly make deals to bring in foreign nurses to lower the pay of nurses in the United States, but can never even discuss doing the same with doctors. The potential benefits to the United States from importing doctors are certainly much larger than for importing nurses.

In fact the potential gains from bringing in foreign physicians are so large that we could tax a portion of the earnings of foreign doctors to repay their home countries and allow them to educate two to three doctors for every one that comes to the United States. This would ensure that everyone benefits from freer trade in physicians’ services. The lack of interest in this sort of free trade likely has something to do with the fact that doctors make up a large chunk of the richest one percent.

There are many other areas where we could envision freer trade bringing real gains to the bulk of the population. However this is not what the TPP is about. The TPP is about crafting rules that will favor big business at the expense of the rest of the population in both the United States and in other countries.

For example, we can expect to see limits on the ability of national and sub-national governments to impose environmental restrictions, such as requirements that companies engaging in fracking disclose the list of chemicals they use. There may also be limits on the extent to which governments can restrict the sale of genetically modified foods, with rules on labeling. And, the TPP may prevent governments from imposing restraints on financial firms that would prevent the sort of abuses that we saw during the run-up of the housing bubble.

The world has benefited from the opening of trade over the last four decades. But this opening has been selective so that, at least in the United States, most of the gains have gone to those at the top. It is possible to design trade deals that benefit the population as a whole, but not when corporate interests are literally the negotiators at the table. Rather than being about advancing free trade, the TPP is the answer to the question: How can we make the rich richer? More

 

Saturday, October 27, 2012

Boycott Companies Violating Human Rights Of The Palestinians, Says UN Expert

Call to boycott Caterpillar, Hewlett Packard, Motorola, Veolia Environment, G4S, Dexia, Volvo Group, Assa Abloy, Ahava, Elbit Systems, Mehadrin, Riwal Holding Group and Cemex has been made by the UN special investigator on human rights in the Palestinian territories.

These companies are violating international human rights and humanitarian laws by exploiting Palestinian resources and helping Israel construct illegal settlements and provide security for them.

An AP report carried by Arizona Daily Star [1] said:

Richard Falk, the UN special investigator on human rights in the Palestinian territories called on October 24, 2012 for a boycott of all companies that have dealings with Israeli settlements in the West Bank and East Jerusalem until they adhere to international rights standards and practices.

In a report presented to the UN General Assembly, Falk said a number of Israeli-owned and multinational corporations headquartered in the US, Europe and Mexico appear to be violating international human rights and humanitarian laws by exploiting Palestinian resources and helping Israel construct illegal settlements and provide security for them. But he said further investigations will be made to determine whether the allegations are well-founded.

Falk said the call for a boycott is an effort to take infractions of international law seriously and "use what influence we have to change behavior." He said the pace of Israeli settlement building has accelerated and Israel has ignored UN resolutions condemning the practice, so "there is a sense that what the U.N. says doesn't count."

Falk, a professor emeritus of international law at Princeton University, has previously angered Israel by comparing the Jewish state to Nazi Germany and accusing it of crimes against humanity because of its treatment of Palestinians. Israel has barred Falk from visiting the Palestinian territories.

In the report, Falk reiterated his request that the Israeli government cooperate with his efforts, as he said it is required to do under the UN Charter.

However, an AFP news carried by gulfnews.com [2] said:

The US and Israel on October 25, 2012 slammed the call for a boycott of companies helping Israel’s colony expansion in the Palestinian territories.

US Ambassador to the UN Susan Rice said the boycott appeal by Richard Falk would “poison the environment for peace.”

An Israeli spokeswoman criticized the “distasteful sideshow.”

Richard Falk singled out Caterpillar, Hewlett Packard and Motorola of the United States, Veolia Environment of France, G4S of Britain, Dexia of Belgium, Volvo Group and Assa Abloy of Sweden, Ahava, Elbit Systems and Mehadrin of Israel, Riwal Holding Group of the Netherlands and Cemex of Mexico.

He said all were involved in building and maintaining Israeli colonies in the occupied territories that the UN, US and EU all consider illegal. More

 

Sunday, April 8, 2012

Capitalism: A Ghost Story and a Land Grab

Is it a house or a home? A temple to the new India, or a warehouse for its ghosts? Ever since Antilla arrived on Altamont Road in Mumbai, exuding mystery and quiet menace, things have not been the same. “Here we are,” the friend who took me there said, “Pay your respects to our new Ruler.”

Antilla belongs to India’s richest man, Mukesh Ambani. I had read about this most expensive dwelling ever built, the twenty-seven floors, three helipads, nine lifts, hanging gardens, ballrooms, weather rooms, gymnasiums, six floors of parking, and the six hundred servants. Nothing had prepared me for the vertical lawn—a soaring, 27-storey-high wall of grass attached to a vast metal grid. The grass was dry in patches; bits had fallen off in neat rectangles. Clearly, Trickledown hadn’t worked.

But Gush-Up certainly has. That’s why in a nation of 1.2 billion, India’s 100 richest people own assets equivalent to one-fourth of the GDP.

The word on the street (and in the New York Times) is, or at least was, that after all that effort and gardening, the Ambanis don’t live in Antilla. No one knows for sure. People still whisper about ghosts and bad luck, Vaastu and Feng Shui. Maybe it’s all Karl Marx’s fault. (All that cussing.) Capitalism, he said, “has conjured up such gigantic means of production and of exchange, that it is like the sorcerer who is no longer able to control the powers of the nether world whom he has called up by his spells”.

In India, the 300 million of us who belong to the new, post-IMF “reforms” middle class—the market—live side by side with spirits of the nether world, the poltergeists of dead rivers, dry wells, bald mountains and denuded forests; the ghosts of 2,50,000 debt-ridden farmers who have killed themselves, and of the 800 million who have been impoverished and dispossessed to make way for us. And who survive on less than twenty rupees a day.

Mukesh Ambani is personally worth $20 billion. He holds a majority controlling share in Reliance Industries Limited (RIL), a company with a market capitalisation of $47 billion and global business interests that include petrochemicals, oil, natural gas, polyester fibre, Special Economic Zones, fresh food retail, high schools, life sciences research and stem cell storage services. RIL recently bought 95 per cent shares in Infotel, a TV consortium that controls 27 TV news and entertainment channels, including CNN-IBN, IBN Live, CNBC, IBN Lokmat, and ETV in almost every regional language. Infotel owns the only nationwide licence for 4G Broadband, a high-speed “information pipeline” which, if the technology works, could be the future of information exchange. Mr Ambani also owns a cricket team.

RIL is one of a handful of corporations that run India. Some of the others are the Tatas, Jindals, Vedanta, Mittals, Infosys, Essar and the other Reliance (ADAG), owned by Mukesh’s brother Anil. Their race for growth has spilled across Europe, Central Asia, Africa and Latin America. Their nets are cast wide; they are visible and invisible, over-ground as well as underground. The Tatas, for example, run more than 100 companies in 80 countries. They are one of India’s oldest and largest private sector power companies. They own mines, gas fields, steel plants, telephone, cable TV and broadband networks, and run whole townships. They manufacture cars and trucks, own the Taj Hotel chain, Jaguar, Land Rover, Daewoo, Tetley Tea, a publishing company, a chain of bookstores, a major brand of iodised salt and the cosmetics giant Lakme. Their advertising tagline could easily be: You Can’t Live Without Us.

According to the rules of the Gush-Up Gospel, the more you have, the more you can have.

The era of the Privatisation of Everything has made the Indian economy one of the fastest growing in the world. However, like any good old-fashioned colony, one of its main exports is its minerals. India’s new mega-corporations—Tatas, Jindals, Essar, Reliance, Sterlite—are those who have managed to muscle their way to the head of the spigot that is spewing money extracted from deep inside the earth. It’s a dream come true for businessmen—to be able to sell what they don’t have to buy.

The other major source of corporate wealth comes from their land-banks. All over the world, weak, corrupt local governments have helped Wall Street brokers, agro-business corporations and Chinese billionaires to amass huge tracts of land. (Of course, this entails commandeering water too.) In India, the land of millions of people is being acquired and made over to private corporations for “public interest”—for Special Economic Zones, infrastructure projects, dams, highways, car manufacture, chemical hubs and Formula One racing. (The sanctity of private property never applies to the poor.) As always, local people are promised that their displacement from their land and the expropriation of everything they ever had is actually part of employment generation. But by now we know that the connection between GDP growth and jobs is a myth. After 20 years of “growth”, 60 per cent of India’s workforce is self-employed, 90 per cent of India’s labour force works in the unorganised sector. More