![]() Subscribe to Dollars & Sense magazine. Recent articles related to the financial crisis. Security and Order Not the Issue in Haiti (Alternet)Excellent piece on Haiti by Arun Gupta at Alternet.More Pain for Devastated Haiti: Under the Pretense of Disaster Relief, U.S. Running a Military Occupation The rapid mobilization of U.S troops in Haiti was not primarily done for humanitarian reasons; we're likely to see a neoliberal economic plan imposed, at gunpoint if necessary. By Arun Gupta | February 12, 2010 Official denials aside, the United States has embarked on a new military occupation of Haiti thinly cloaked as disaster relief. While both the Pentagon and the United Nations claimed more troops were needed to provide "security and stability" to bring in aid, according to nearly all independent observers in the field, violence was never an issue. in Instead, there appears to be cruder motives for the military response. With Haiti's government "all but invisible" and its repressive security forces collapsed, popular organizations were starting to fill the void. But the Western powers rushing in envision sweatshops and tourism as the foundation of a rebuilt Haiti. This is opposed by the popular organizations, which draw their strength from Haiti's overwhelmingly poor majority. Thus, if a neoliberal plan is going to be imposed on a devastated Haiti it will be done at gunpoint. The rapid mobilization of thousands of U.S troops was not for humanitarian reasons; in fact it crowded out much of the arriving aid into the Port-au-Prince airport, forcing lengthy delays. Doctors Without Borders said five of its cargo flights carrying 85 tons of medical and relief supplies were turned away during the first week while flights from the World Food Program were delayed up to two days. One WFP official said of the 200 flights going in and out of Haiti daily "most...are for the U.S. military." Nineteen days into the crisis, only 32 percent of Haitians in need had received any food (even if just a single meal), three-quarters were without clean water, the government had received only two percent of the tents it had requested and hospitals in the capital reported they were running "dangerously low" on basic medical supplies like antibiotics and painkillers. On Feb. 9, the Washington Post reported that food aid was little more than rice, and "Every day, tens of thousands of Haitians face a grueling quest to find food, any food. A nutritious diet is out of the question." At the same time, the United States had assumed control of Haiti's airspace, landed 6,500 soldiers on the ground, with another 15,000 troops offshore at one point, dispatched an armada of naval vessels and nine coast guard cutters to patrol the waters, and the U.S. embassy was issuing orders on behalf of the Haitian government. In a telling account, the New York Times described a press conference in Haiti at which "the American ambassador and the American general in charge of the United States troops deployed here" were "seated at center stage," while Haitian President René Préval stood in the back "half-listening" and eventually "wandered away without a word." Read the rest of the article. Labels: Disaster Capitalism, Haiti, Haiti earthquake, neoliberalism Haiti Suffering: Partly 'Made in the USA'Here is something from Bill Quigley at HuffPo. I like his take on U.S. involvement in Haiti (for a more economics-focused, and satirical, version of some of these same points in connection with the last crisis in Haiti--the 2008 food shortages--see Maurice Dufour's How to Make Mud Cookies from D&S, July/August 2008). But the anarchist in me wants to resist his claim that although the people of Haiti are pulling together to address the crisis, "They are courageous and generous and innovative, but volunteers cannot replace government."For less statist solutions to crises like this, consider donating to the Cooperative Development Fund. Here's info from Melissa Hoover, director of the U.S. Federation of Worker Cooperatives (of which D&S is a member): Dear USFWC Members, Now here's that Bill Quigley article: What the Mainstream Media Will Not Tell You About Haiti: Part of the Suffering of Haiti is "Made in the USA" Read the original article. Labels: Disaster Capitalism, earthquake, Haiti, humanitarian aid, neoliberalism Analysis of Indian Election ResultsFrom D&S collective member Smriti Rao; I am posting this belatedly:India-watchers across the world celebrated the unexpectedly strong victory of the Congress-party–led coalition in Indian elections, interpreting it as a victory for centrism over extremism of both the religious and (left) economic kind. Journalists for the mainstream press in the west seemed as relieved about the poor performance of the left parties in India as they were about the defeat of the right-wing nationalist party, the BJP. Every report on the Indian elections seems to end by predicting that the Prime Minister, Manmohan Singh, can now push forward with reforms—the codeword for economic liberalization—now that his hands are no longer 'tied' by a strong Left party presence in the government. And yet, as these same journalists attempt to explain why the Congress won, they usually point to India’s relative insulation from the current economic crash—a result of its moderation in the pursuit of economic liberalization (staying away from further financial sector liberalization, for example)—and its institution of some social safety net programs—particularly a national employment guarantee scheme in rural India. As left commentator Vijay Prashad points out, both 'achievements' were at least partly the result of pressure from the very same Left parties these journalists seem to criticize as holding India back and neither would suggest that this government should interpret its victory as a mandate for further liberalization. (See this Counterpunch article.) The recent appointment of Congress Party veteran Pranab Mukherjee as Finance minister suggests that while the Prime Minister is planning to push the liberalization process forward, he may be willing to proceed cautiously. While Mukherjee cut his political teeth in the Congress' socialist days, he is best known for being a political survivor, able to reinvent himself as the environment around him changes. He was instrumental in pushing forward the recent nuclear deal with the US—a far cry from the days when political upheavals in India were routinely attributed by the Congress Party to the foreign hand' of the US. And he is clearly on board with the broad idea of economic reforms—the government yesterday announced it was considering removing its decades-long program of subsidizing gas prices (see this Reuters report). However, unlike one of the other possible candidates for the Finance Ministry post, he is not considered a free-market ideologue. Let us hope he, and the Prime Minister, vindicate the faith the Indian voter has placed in them. Labels: BJP, Congress Party, elections, India, Manmohan Singh, neoliberalism Ha-Joon Chang on Democracy NowCambridge University economist Ha-Joon Chang was on Democracy Now! today. (Hat-tip to Taki M.) We ran an online review of his book Bad Samaritans: The Myth of Free Trade and the Secret History of Capitalism by Mark Engler a couple of months ago. Here are some excerpts from the DN! interview:AMY GOODMAN: The US government has poured hundreds of billions of dollars into the US economy in the wake of the financial crisis. But what steps are being taken to address the crisis on a global scale? On Sunday, the World Bank warned of the first global recession since World War II, with the world economy set to shrink for the first time since the 1940s. The bank also cautioned that the cost of helping poorer nations in crisis would exceed the current financial resources of multilateral lenders. The economic crisis is projected to push around 46 million people into poverty this year. The financial crisis is forcing some to rethink the neoliberal policies widely blamed for the financial collapse. On Monday, British Prime Minister Gordon Brown called for a new international fund to support poorer countries during the global recession. He also acknowledged richer Western nations have often imposed economic policies on poorer countries that they haven't followed themselves. PRIME MINISTER GORDON BROWN: We will work with the World Bank and our G20 partners to build support for a new fund specifically to help the world's poorest through the downturn. Too often, our responses to past crises have been inadequate or misdirected, promoting economic orthodoxies that we ourselves have not followed and that have condemned the world's poorest to a deepening crisis of poverty. AMY GOODMAN: Brown says he'll raise the issue of a global fund at the next G20 meeting in July. Well, my first guest has been among the leading economists to criticize the neoliberal policies imposed on poor nations but not followed by the West. Ha-Joon Chang is an economist at the University of Cambridge specializing in developmental economics. In 2005, he was awarded the Leontief Prize for Advancing the Frontiers of Economic Thought. He is author of the books Kicking Away the Ladder: Development Strategy in Historical Perspective, and his latest is called Bad Samaritans: The Myth of Free Trade and the Secret History of Capitalism. Welcome to Democracy Now!, as you come from, well, Gordon Brown's country to this one. First, what is your assessment of the situation right now? Warren Buffett has just said that the economy has gone off a cliff. HA-JOON CHANG: Well, I think we are facing the biggest economic crisis since the Great Depression. Now, it probably wouldn't get as bad as the Great Depression, because, unlike in the Great Depression, governments are more willing to intervene with deficit spending and nationalizing financial institutions and giving subsidies to industry and so on, whereas in the 1930s they more kind of adamantly held onto free market doctrines, which they subsequently abandoned, but, I mean, there was a period of time when they just held onto it and lost the opportunity. So I don't think the impact would not be as severe as what it was in the 1930s, but yes, I mean, there's no question that this is as big or possibly even bigger a crisis than what we saw in 1929. Read the rest of the transcript, or watch the video. Labels: Amy Goodman, Democracy Now, financial crisis, free trade, Gordon Brown, Ha-Joon Chang, Mark Engler, neoliberalism Neoliberalism, the IMF, Summers, & GeithnerInteresting post by Ken Hanly on lbo-talk, about Obama's new economics appointees: Timothy Geithner (to be Treasury Secretary) and Larry Summers (to be head of the National Economics Council, which coordinates economic policy throughout the executive branch):Both Summers and Geithner worked at the IMF and favored the deregulation that caused the financial crisis and Geithner of course has worked with Paulson and Bernanke and also used taxpayer money to help JP Morgan purchase Bear Stearns. Labels: IMF, larry Summers, neoliberalism, Timothy Geither G-8 Crisis: Failing to Fight Food PricesThis weeks meeting of the G-8 Industrial nation’s leaders concluded with a statement pledging action on, in part, the issue of rising global food prices; "We agreed on the need to address in particular, issues of elevated oil and food prices and global inflationary pressure, stability of the financial markets and fight against protectionism.”It is obvious that the food crisis needs to be addressed, and millions of people saved from the brink of starvation, but it seems as though the G-8 leaders are committed more to maintaining the status quo or further cementing the structural problems that lead to the crisis in the first place. The leaders called for more aid to countries particularly stricken from higher food prices but as Robert Weissman points out, this aid is usually administered by the IMF which requires certain neoliberal pro-market measures to be implemented in order for that aid to be delivered. These measures have had a pathetic history of failing in poverty stricken countries around the world and have been blamed for causing all sorts of crises, including the current one with food prices. While the attention is, and should be, placed primarily on impoverished countries—whose residents literally survive off stable food prices—even here in the United States food prices are having a noticeable effect on everyday life. Aside from simply higher prices in grocery stores, such signs as people flooding food banks and overbudget and undersubsidized school lunch programs indicate the wide reaching negative influence of high food prices. Be sure to check out the upcoming issue of Dollars & Sense for several insightful articles on the world food crisis and its causes. Labels: food crisis, G8 summit, neoliberalism, poverty |