The great cry of free markets and downsizing government is nothing less than an all out take over of the common wealth and a direct assault on the general welfare for the profit of a few who see people only as human capital. People worried about basic necessities whether they are healthcare or food are happy to survive; they don't demand high levels of services or a quality environment.
The End of the Cold War
The end of the Cold War united the interests of the wealthy and powerful worldwide. The rich everywhere faced the same problems. Dreams of democracy and respect for humanity were breaking out everywhere (remember Tianamen Square). It was soon apparent that governments were no longer useful to corporations in protecting capitalism from communism they were now an impediment. Taxes, environmental laws, regulation for consumer protection, tort liability, civil rights compliance are all seen as limits to profit.
The corporate vision of the future also changed. Before the end of the cold war, one half of the market of the world had been largely unavailable to them. The increased market forced a change in strategy. To make a profit in the future is not to make a profit of $20 from the small proportion of the population in the industrialized world but to make a profit of a $1 from every person in the world. This view is no different from the 18th century British Mercantilist who imagined what great profits could be made by "just adding an inch of cloth to the shirttail of every chinaman,"
Democratic governments of informed populations get in the way, it's much easier to deal with totalitarian oligarchies that are willing to share in the profits and exploit the fearful, uneducated citizens they govern. That is why the marriage of American capital and Chinese Communist authoritarianism was made in capitalist heaven. Chinese Communist Capitalism is the wave of the future.
The Economics of Globalization
Capitalists are nothing but pragmatic. During the Irish potato famine grain and cattle exports were at an all time high. The Irish survived on potatoes but paid their rents in grain. When the potatoes rotted in the cellars and the Irish had to eat the grain instead of paying their rents the British landlords (who had stolen the lands from the peasants and rented it back to them) knocked down their houses and evicted them to clear land for more grain and cattle. Over a million, one in ten Irish starved, their mouths green from eating grass. Like all good capitalists the British then used their excess profits to buy the cheapest, most derelict ships they could find and robbed another million of their last farthing so that they could force economic deportation under the threat of starvation.
Not much has changed, agribusiness dumped cheap corn on Mexican markets after NAFTA forcing somewhere between 1.5-3 million Mexican farmers off from the land who could not compete. They then illegally immigrate to the U.S. where they lower demand and wages for American workers. With the land in Mexico now cleared of small farmers, industrialized mono-crop farming by multi national agribusiness companies like Con-Agra and Archer Daniels Midland move in and raise more cheap products, putting more farmers out of business in the next country. History repeats itself a win-win-win situation for Capitalists.
"Free Trade" treaties like NAFTA , CAFTA and the FTAA allow corporations to avoid environmental, and labor regulation, employing virtual slave labor, dumping of toxic waste without restriction and the corruption of local governments. To multi-national corporations global warming, resource depletion, pollution and the exploitation of humans are not concerns, just conditions to be exploited in the mad scramble for corporate dominance.
Globalization is the outgrowth of this strategy. It is about pitting poorer and poorer people against each other until people will kill each other just to have any job. American companies argue against tariffs on Chinese goods that are causing a huge trade debt and loss of jobs, stating that China is only taking jobs we already lost to Mexico and Malaysia. In the meantime we lost another 300,000 jobs to those countries. So while 13-year-old girls are making car parts in Mexico, programming jobs are going to India and the Chinese are virtual slaves producing cheap goods for Wal-Mart the multi-national corporations tell us how great globalization will be for us.
Corruption of Governments by International Policies
The World Bank, International Monetary Fund (IMF) and World Trade Organization (WTO) operate in concert. Multi-national corporate interests dominate these organizations. They lend money to poor countries whose governments are dominated by elite economic interests. Often the conditions for loans include allowing Multinational companies to enter markets and compete with locals usually driving them out of business. The elite typically siphon off the loans through corrupt contracting and sometimes, outright theft, sticking the working people with the bill.
When the country is unable to repay its loans because there has been no improvement in the economy, the World Bank and IMF demand that in exchange for debt forgiveness or restructuring, the country submit to what is called "shock therapy". The countries natural resources are sold off to multi-national corporations, government services such as utilities, water are privatized and the country suffers the same disassembly as a bankrupt corporation by its creditors. Of course the wealthy and corrupt governments are unchanged, in fact they usually profit from this as well. They get a piece of the action. In addition, these corrupt governments usually negotiate Free Trade agreements. With bribes from multinational corporations or pressure from the U.S. government to sign Free Trade agreements supervised by the WTO, agreements can come before or after loans. These agreements prevent local or state governments from making business, labor or environmental rules that might impede companies from making a profit. In other words anytime the question is people vs. profits, profits win.
Corruption of American Politics
The fastest growing business in Washington D.C. has been lobbying. Both parties have become too dependent on corporate donations to make independent policy based on the needs of the people. The Republicans however have taken it to new heights. Starting a policy under Tom Delay where lobbyists who gave to both sides were denied access. The message was clear, if you want access to the Republican controlled Executive and Congress you give all the money to the Republicans.
In response, corporations have been able to write legislation to be passed, install its own people in regulatory agencies that supervise them, discount scientific information detrimental to there profits and consolidate the press under their control. In the eyes of corporations political parties are to be bought to change public policy to favor profits. Differences are to be exploited with fear so that free people will voluntarily give up their freedoms for the promise of safety. Corporations don't really care about abortion or gay rights, but they will fund those who are against such things if those voters will put in office people who will serve corporate interests.
The End of the Cold War
The end of the Cold War united the interests of the wealthy and powerful worldwide. The rich everywhere faced the same problems. Dreams of democracy and respect for humanity were breaking out everywhere (remember Tianamen Square). It was soon apparent that governments were no longer useful to corporations in protecting capitalism from communism they were now an impediment. Taxes, environmental laws, regulation for consumer protection, tort liability, civil rights compliance are all seen as limits to profit.
The corporate vision of the future also changed. Before the end of the cold war, one half of the market of the world had been largely unavailable to them. The increased market forced a change in strategy. To make a profit in the future is not to make a profit of $20 from the small proportion of the population in the industrialized world but to make a profit of a $1 from every person in the world. This view is no different from the 18th century British Mercantilist who imagined what great profits could be made by "just adding an inch of cloth to the shirttail of every chinaman,"
The Economics of Globalization
Capitalists are nothing but pragmatic. During the Irish potato famine grain and cattle exports were at an all time high. The Irish survived on potatoes but paid their rents in grain. When the potatoes rotted in the cellars and the Irish had to eat the grain instead of paying their rents the British landlords (who had stolen the lands from the peasants and rented it back to them) knocked down their houses and evicted them to clear land for more grain and cattle. Over a million, one in ten Irish starved, their mouths green from eating grass. Like all good capitalists the British then used their excess profits to buy the cheapest, most derelict ships they could find and robbed another million of their last farthing so that they could force economic deportation under the threat of starvation.
Not much has changed, agribusiness dumped cheap corn on Mexican markets after NAFTA forcing somewhere between 1.5-3 million Mexican farmers off from the land who could not compete. They then illegally immigrate to the U.S. where they lower demand and wages for American workers. With the land in Mexico now cleared of small farmers, industrialized mono-crop farming by multi national agribusiness companies like Con-Agra and Archer Daniels Midland move in and raise more cheap products, putting more farmers out of business in the next country. History repeats itself a win-win-win situation for Capitalists.
"Free Trade" treaties like NAFTA , CAFTA and the FTAA allow corporations to avoid environmental, and labor regulation, employing virtual slave labor, dumping of toxic waste without restriction and the corruption of local governments. To multi-national corporations global warming, resource depletion, pollution and the exploitation of humans are not concerns, just conditions to be exploited in the mad scramble for corporate dominance.
Globalization is the outgrowth of this strategy. It is about pitting poorer and poorer people against each other until people will kill each other just to have any job. American companies argue against tariffs on Chinese goods that are causing a huge trade debt and loss of jobs, stating that China is only taking jobs we already lost to Mexico and Malaysia. In the meantime we lost another 300,000 jobs to those countries. So while 13-year-old girls are making car parts in Mexico, programming jobs are going to India and the Chinese are virtual slaves producing cheap goods for Wal-Mart the multi-national corporations tell us how great globalization will be for us.
Corruption of Governments by International Policies
The World Bank, International Monetary Fund (IMF) and World Trade Organization (WTO) operate in concert. Multi-national corporate interests dominate these organizations. They lend money to poor countries whose governments are dominated by elite economic interests. Often the conditions for loans include allowing Multinational companies to enter markets and compete with locals usually driving them out of business. The elite typically siphon off the loans through corrupt contracting and sometimes, outright theft, sticking the working people with the bill.
When the country is unable to repay its loans because there has been no improvement in the economy, the World Bank and IMF demand that in exchange for debt forgiveness or restructuring, the country submit to what is called "shock therapy". The countries natural resources are sold off to multi-national corporations, government services such as utilities, water are privatized and the country suffers the same disassembly as a bankrupt corporation by its creditors. Of course the wealthy and corrupt governments are unchanged, in fact they usually profit from this as well. They get a piece of the action. In addition, these corrupt governments usually negotiate Free Trade agreements. With bribes from multinational corporations or pressure from the U.S. government to sign Free Trade agreements supervised by the WTO, agreements can come before or after loans. These agreements prevent local or state governments from making business, labor or environmental rules that might impede companies from making a profit. In other words anytime the question is people vs. profits, profits win.
Corruption of American Politics
The fastest growing business in Washington D.C. has been lobbying. Both parties have become too dependent on corporate donations to make independent policy based on the needs of the people. The Republicans however have taken it to new heights. Starting a policy under Tom Delay where lobbyists who gave to both sides were denied access. The message was clear, if you want access to the Republican controlled Executive and Congress you give all the money to the Republicans.
In response, corporations have been able to write legislation to be passed, install its own people in regulatory agencies that supervise them, discount scientific information detrimental to there profits and consolidate the press under their control. In the eyes of corporations political parties are to be bought to change public policy to favor profits. Differences are to be exploited with fear so that free people will voluntarily give up their freedoms for the promise of safety. Corporations don't really care about abortion or gay rights, but they will fund those who are against such things if those voters will put in office people who will serve corporate interests.
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