Category Archives: globalization

it’s getting hotter in palestine

A friend of mine confided that an intifada is coming in September. While I value his analysis over any ink the New York Times decides to spill on the issue, I’ve heard such things from him before. He’ll tell me to keep an eye on the frog in the pan, that he’ll jump soon enough, that the water can’t get much hotter. For what it’s worth, the steam is rising and the frog is shifting noticeably, but we can hardly tell which way he’ll jump if he decides it’s a good idea.

I gave my first university lecture to some students yesterday on the topic of Gaza and its treatment in the media. I felt hope that so many of them expressed real and serious outrage over what was going on and rode the feeling all the way back to the office and to the computer. I don’t read the New York Times, but a friend  pointed out an article published regarding the financial situation in the West Bank and my heart fell 10,000 feet:

“This is, without doubt, the worst financial crisis the Palestinian Authority has ever faced,” said Prime Minister Salam Fayyad, generally known for a can-do, upbeat attitude. “This could not have come at a worse time. I don’t know how this ends. I don’t have an answer.”

The immediate cause of the crisis is the failure of foreign — especially Arab — donors to fulfill promises of aid. But the budget crisis is intertwined with a diplomatic one as the Palestinians and Israelis maneuver ahead of an expected push to recognize Palestinian statehood at the United Nations in September. Different donors have opposing agendas, so the Palestinian Authority’s decisions in the coming weeks will anger one set of donors or another.

Without enough money to pay salaries, a big concern is the loyalty of the Palestinian security forces, which have brought law and order and created conditions for stability and economic growth in the past three years.

Palestine depends on foreign aid. Scrambling for dollars lowers Palestine more than the Israeli occupation, drones, strip-searches, and sniper’s nests all together.  Let’s do everything Thomas Friedman’s way, hand everything to this guy named Fayyad, and watch the market lift Palestine out of occupation! they told us. Friedman himself even gushed this year over the progress that Palestine has made in terms of markets. The IMF and World Bank stood by with proud smiles as billions of aid was funneled into housing schemes, convention centers, and let’s not forget into the deep pockets of elite Ramallawis!

In the past year, the International Monetary Fund, the World Bank and the United Nations have issued reports saying that the Palestinian Authority under Mr. Fayyad was fully prepared for statehood because of institution building and fiscal discipline.

That view is coming under scrutiny. Last month, in the journal Foreign Policy [ed: Cheney’s rag], Nathan J. Brown of George Washington University wrote: “Fayyad’s main achievement has not been to build the structures of a Palestinian state, but to stave off the collapse of those structures that did exist. An equally important achievement was his ability to persuade Western observers that he was doing much more. In the process, however, he raised expectations far beyond his ability to deliver.”

Now that Palestine is doing it the way the West wanted – wearing suits and jetting around raising money for sweatshops in Betunia – why, they think they’re one of us now! Adorable, really, coming hat in hand to the United Nations in September and begging a state of their own. Rather than humiliate the United States by forcing it to veto the rest of the world on such a tender issue, Uncle Sam will bring his Arab dogs to heel and threaten to cut the purse strings to Baba Fayyad’s Great Ramallah Experiment.

What results? A populace who was forbidden to rally in support of their Egyptian brothers and sisters as they were cut down by Mubarak’s bullets now is asked to halve their salaries in the interest of foreign donors, in the interest of solvency and in boosting the confidence of foreign investors/donors. I have friends who work for as-Sulta and they are owed thousands already. They know the person who made the decisions that put them into this situation makes 20 times what they do, they understand that elections will probably be postponed yet again, and they understand the Israelis continue to dine on land that belongs to someone else.

If this sounds polemical, it is. My comrades in Palestine – and it is presumptuous for me to call them that, as they fight harder and face more than I ever will – are dignified in their resistance and they deserve a government that reflects and protects that dignity. Foreign money is yet another shackle around the neck of Palestine, and threatening bankruptcy or a coup less they do what Israeli interests say is best is yet another way to humiliate her.

Maybe there is something coming in September after all.

the strange case of amina abdallah and gay girls in damascus: colonizing identities

The web blog of thirty-something “gay girl” Amina Arraf/Abdallah has been removed from public view. The touching story of a half-American lesbian democracy activist living in Damascus was especially tantalizing during the recent media explosion of interest in the Syrian revolution. Discussions arose over LGBT prospects in the new “Arab Spring” , suggesting that Muslim Democracy would be far different than Jewish Democracy in that it would spurn and oppress LGBT individuals in more serious ways than Muslim autocratic dictatorships have. Of course, this makes the assumption that LGBT-identified individuals in the Middle East have never been hassled for writing a pamphlet, saying something uncouth about the government at a bus station, or have had a family member imprisoned for fighting against occupation or despotic government. It draws a shaky line from there to making LGBT-identified individuals natural allies of Mubarak-style regimes, when they could live in peace as long as they were simply Lesbian, not Lesbian-freedom lovers.

This line of thinking is dangerous, and puts innocent people in danger. Like the backlash against “Westoxification” in Iran, where Feminists were rounded up as being enemies of the Islamic state thanks to the nominal support they had enjoyed under the Shah, it puts activists at increased risk in a new society by simply suggesting their natural allies are Western values and West-supported governments. By appropriating identities (or identity politics) as a way to further political agendas, the West is indirectly fostering feelings of resentment towards these identities as hostile political classes.

Yet hasn’t this always been a problem? By assuming the West can speak for minority groups better than they can speak for themselves, all sorts of atrocities have been sold to well-intentioned people. Israel continues to publicize its treatment of LGBT groups as evidence of its civilized nature – despite critical challenges these groups still face. Yet Israel has no problem speaking for the LGBT Palestinians who surely suffer greatly under the heel of Muslim-ness.

However, there is no need to take an imperialist’s word as truth. Thanks to traditional grassroots efforts married to online communities, there are actual indigenous groups (such as Al-Fatiha or RAWA) which work towards just treatment within their own societies. It is best this way because they understand the intricacies and complex structures of their communities far better than ham-fisted imperial interests. So of course voices like Amina’s were welcome in Syrian discourse. This well-written, sexually attractive writer seemed to hit all the happy mediums – including the desire to study Hebrew and work at a Syrian embassy in Israel. This was no Shahbanu speaking. The anonymous nature and the basic format of a blogspot page led us to believe that Amina was an Arab bourgeois English speaker, quite a step up from Youtube queens and Betty Friedan.

The story goes deeper, however, when the world discovered that Amina was actually a middle-aged heterosexual white American male, who claimed rather ironically that he felt he had no available audience for his views unless he presented them as coming from a drastically different identity. Another victim of “PC Culture”, Tom MacMaster decided to wear the skin of a lesbian Muslim Arab woman in order to be heard on issues he strangely felt very connected to. This was no simple hoax, either. MacMaster had been posing as Amina for four years, leading one to speculate over his mental and emotional health.

He had started the blog, he said, because he believed online posts about the Syrian and Israel-Palestinian situations would earn “some deference from obnoxious men” if written under an Arab woman’s name rather than under his own, where “someone would immediately ask: why do you hate America? why do you hate freedom? This sort of thing.”

He had made her a lesbian, he said, in an attempt “to develop my writing conversation skills … It’s a challenge. I liked the challenge.

“I also had the thing that I like to write, and my own vanity is … if you want to compliment me, tell you like my writing … That’s how to make me happy.”

But why had he exchanged many hundreds of emails with a woman in Canada, Sandra Bagaria, who believed herself to be having a romantic relationship with the blogger?

“I feel really guilty about that … I got caught up in the moment and it seemed … fun. And I feel a little like shit about that.” He denied having been sexually excited by the interaction: “I don’t want to go into that aspect particularly of it.”

The Guardian

Whatever the personal reasons behind MacMaster’s identity fraud, further criticism must be leveled at the liberal media apparatus that skyrocketed him to fame, the online medium that can enable such streamlined appropriation of identities, but perhaps most importantly, the criteria by which one is afforded a voice in today’s political culture. Why is it that Amina’s perfect storm of attributes earns her press space and Facebook support pages over any other Arab activist arrested and tortured by the Syrian regime? Why are certain voices held higher in esteem than the collective voice of the people? Not to say some shouldn’t, but what are the criteria for our choices of who to listen to? There are numerous reasons to criticize governments and revolutions – for instance, the continued crackdowns and endemic corruption of the Egyptian Military government or tanks rolling through villages in northern Syria – without resorting to identity niche standards of “civilization”.

Perhaps this is a new dog-whistle politic, a kind of wink thrown over the shoulder to progressive movements. Sure we can harp on and on about the invasion of Afghanistan, but can we really fault the United States for bringing a “better” standard to Afghani women? And even if we don’t, would we want to bring back the Taliban to cut noses and ears again? Here the imperialist right digs the left into a mud pit of confusion and debate while it continues its merciless onslaught against the communities we are wringing our hands over. We might not be running sorties against the Afghan women in specific, but they are just as affected by the bombs and drugs as the Taliban. Say we are running  sorties for them, and watch how patriarchal attitudes on the ground entrench themselves. If these minority groups refuse to become vocal tools of imperialism, simply skin them alive and pose as one of them.

The combination of her sexual identity, her good looks, her impeccable English, her “moderate” muslimness, and her fantastical (and often sexual) autobiographical posts proved too potent a mix. Amina was a “honeytrap for Western liberals”, as one twitterer put it. Something palatable that they could identify with, the perfect half-white poster child of a brown revolution.

from Jadaliyya

Identify with, or – perhaps more truthfully in this case – identify as.

j30strike dot org and social media as a way to foment and inspire social change

Why would Facebook be blocking attempts to link the website www.j30strike.org, claiming that this link has been identified as spammy or abusive? Perhaps it is a technical error or perhaps a user-orchestrated attempt at preventing publicity (see campaign funding if you don’t understand how this works), but it is also just as likely at this time that Facebook itself is blocking attempts at organization due to political motivations.

This is not completely new, as attempts have been made in the past to stifle Palestinian organization and protest using the same feature. Hasbara, the informal Israeli corps of internet thugs who badger discussion on issues relating to Palestine, are known for engaging in tactics that will have a discussion or article censored.

Yet the J30 strike is not something that focuses on a protest in Ramallah, it is a movement to organize a national public strike in one of the richest and most powerful countries on earth.

What is needed at this time is as follows:

1. Facebook should announce whether it has made an administrative decision to block certain politically-motivated pages or links or whether there is a feature available that is being utilized to let users engage in mass-censorship. Of course, it has no obligation to do this and I suspect that even if it does respond, it will not provide a clear and transparent answer.

2. There needs to be a serious re-assessment of social media and its part in fomenting social change. If the company can be utilized to censor political activity, serious efforts need to be made to evaluate the kinds of criteria that will allow it to be “social media-friendly”. Egypt, Syria, Tunisia = Good, UK = Bad? Is social media being used to lend legitimacy to political trends?

In addition, recent revelations of “identity forgeries” on the internet (see: Amina Abdallah and “her” blog, Gay Girl in Damascus) must make us re-evaluate the idea of actual human representation online. If humans can have their identities “hacked” to push a social or political agenda through blogs, is it so much to assume they could also be hijacked and used to cast votes or “likes” online, to report “abusive” material?

While social media can undoubtedly provide inspiration and tactical strategy, it is still something that is privately owned and traded. Facebook itself is valued at incredible numbers – anywhere from $100 billion to 500 billion dollars – and few ask if the people Facebook bases its value on are even real people with real opinions. Perhaps the most important question is one we must ask ourselves: can private companies really be trusted as reliable stewards of our political development? Does the medium of online discourse really assure you freedom, democracy, or individuality?

Edit: I was recently passed along this link to a BBC article, showing that Facebook has offered to “support … in any way we can” the UK government’s efforts to cut domestic spending. Sort of strange to engage the help of a 26 year old American billionaire in selling off the future of UK youth?

Downing Street has released footage of a video conference between David Cameron and Mark Zuckerberg as it emerged that the government will seek ideas on spending cuts through a tie-up with Facebook.

The prime minister thanked Mr Zuckerberg for his involvement, while the Facebook founder said he felt it was a great way to “engage the public to create social change”.

revolution in name only

The Nile stretches thousands of miles from the center of Africa to the Mediterranean Sea, cutting a swath of fertile green through an endless expanse of desert which we call Egypt. Here are the fellaheen, the farmers who have been tending their land in the same way since the Pharaohs decided to create a priest class.  Police officers man nominal checkpoints and smoke cheap cut Cleopatra cigarettes. The revolutionary zeal puffs chests in Cairo and Alexandria, but what here in Qana Province? Where do the fellaheen fit into your globalized vision for the future?

This working force of millions must be galvanized into democracy, liberal economy, and good-old secular living.

Mubarak was a dictator no matter what Joe Biden says. He kept the foot on the necks of the Egyptian people for three decades. His methodology was perfect for control. The Pharaohs themselves could not have asked for a more docile Egypt for those years. Despite flares of resistance, it all paled in comparison to the grand monuments, the photos of his stately visage raised high and painted into DPRK murals at the Citadel in Cairo. Yet his mistake was simple – even innocent. When the going got tough, nobody was willing to save his neck because he wasn’t willing and able to move peasants and galvanize the 80 million plus Egyptian workforce into the 21st century.

After all, these tiny parcels of land handed down generation to generation don’t do anybody good in the long run. A fellah will stay a fellah. Wouldn’t it be better to move him to the aluminum factory down the road, even better as a porter in Cairo? Where is the trajectory in this backwater, where is the promise of human potential?

Maybe now is the time, the West contemplated, for Egypt to really enter the 21st century. Of course, it can’t look like the control mechanisms of the past. We need a democracy now, something more manageable than the irrationalities of a dictator in a 24 hour news cycle. When Qaddafi or Mubarak wanted to step out of line, there was little to do except cajole and bribe. The whole mess looked very unseemly in this new Global Society. Yet a democracy! Like one blossoming in Palestine, where the ruling party holds elections that expells more than half of the voting population and yet dutifully courts the Western Foreign Investor. Now that’s what we’re talking about!

Or look at Jordan, a nation with that ancient archaic method of “kingdom”. Easily looked past, indeed – England has a queen! So long as there are special visa counters for “VIP – Foreign Investors” we can stomach that kind of system, especially since a fractured society like Jordan requires – much like Iraq once did – a strong man at the top to seem like father and who will take orders docilely from the benefactors and still agreed to be interviewed on the Daily Show in perfect, slightly-accented British English. He Gets It, we nod to each other. This Mubarak guy… not so much.

The Egyptians themselves still sit in waiting. Their pride overwhelms them, and banners with the martyrs of the revolution wave proudly in Cairo. Yet he remains unmolested in Sharm el-Sheikh, a favorite destination of European and Israeli holiday-seekers. The army remains at every street corner, and a curfew runs from midnight to six in the morning.

Very little has changed besides this new novelty of “free speech”, something we have decided is not too dangerous in today’s Global Society, something Marx labeled a fraud almost a hundred and fifty years before the invention of twitter.

Nowadays the US Government pays agents to twitter, to troll message boards, to blog, and more. Television stations are bought up by large conglomerates who call elections and have the men who advise the President on speed-dial. Mubarak thought he had a chance at trying to contain speech by working the state – shutting down NileSat and the internet.  Yet the mistake he made was assuming the state has any more power in this New World Order. No, the right investors have the power. The businessmen have the power. Nobody will work with you Mubarak, when they can work with Muhammad Yunus or the Koch brothers instead.

So – let the clean up efforts begin! Don’t worry about the litter, Cairenes, because the new government will find someone to contract for that matter. Don’t worry about jobs, that parcel of land in Middle Egypt, the peace treaty with Israel, the phone company, or the internet ever again. Indeed, don’t worry about anything at all (except your foreign debt of course!). Thank you for your revolution. Now here is a call center. Time to get to work helping to build a new Egyptian society; one that will be of benefit to the entire world, not simply your fellaheen.

between worlds

Where else on earth do you travel so far as along the road from Ramallah to Jerusalem? Finish up with the wall, the checkpoint, the watch towers, the barbed wire, the guns, the soldiers, the questions, the passports, the turnstiles, the crackling loudspeakers. Ride a little ways, take a little walk, and suddenly be transported to another world completely. Surround yourself with well-dressed people sipping coffee and listening to Billie Holiday. Go wandering boutiques and sanitized markets, eying sales and new arrivals.

Realize for a moment, after you imagine the impact of an explosion on this place you stand, that you are the connection between these two places. You are a wormhole through which both experiences exist nearly simultaneously. In other times your apparition would be an expression of rage or  violence, but at this moment it is a swallow and a dizziness, a sense of disconnection and an emotional dead-end. You are that which exists between two worlds, both here and when you go home.

Perhaps it is easy to imagine the severity of the shift when you walk it yourself, down back alleyways of Jerusalem past Arabs who turn into Jews who turn into hip young twenty-somethings on vacation from America. Yet it is the same all over. Take the walk from the North Side to the South Side, step over train tracks or MLK Boulevard and it can be the same thing anywhere else in the world. Sure, differences are even more cartoonishly apparent here, what with the change of printed language and lack of barbed wire, but the occasional soldier walking past you on Jaffa Road, notably more at ease with an ice cream cone in their hand and gun bouncing their hip as they walk, will remind you of it all. Are you more at ease here? If you forgot the change, would you relax and have fun too?

This little ride, this little walk, illustrates perfectly the relationship of violence in our modern times. One exists because of the other, and one would not exist without the other. Without the checkpoints, there would be no bare-armed girl flirting with the barista at the cafe. Without the soldier playing video games at the arcade, there would be no empty-eyed disconnect at the checkpoint. Without the Deleuze and Guattari at the second-hand bookshop, there might not be modern justification for all of it.

Start to wonder which way things flow over this bridge you represent. Are you observing or carrying? When you left America you swore to try and be like the signs in the national parks. Leave things as you found them. So then, do you start to doubt the cut of your coat in the windows of the boutiques on Jaffa Road in Jerusalem or do you start to hate your uncovered hair in the eyes of the young men on at-Tiere Road in Ramallah? Have you tried your best to move among these worlds, not changing anything?

After all, it is not your place to do anything but go between them.

February 11th

The aim is not to promote an organic Arab democracy ‘of the people, and for the people,’ but rather to promote an evolutionary “democratization” in which the old despots of American strategic support are removed in favour of a neoliberal democratic system, in which the outward visible institutions of democracy are present (multi-party elections, private media, parliaments, constitutions, active civil society, etc); yet, the power-holders within that domestic political system remain subservient to U.S. economic and strategic interests, continuing to follow the dictates of the IMF and World Bank, supporting America’s military hegemony in the region, and “opening up” the Arab economies to be “integrated” into the world economy. Thus, “democratization” becomes an incredibly valuable strategy for maintaining hegemony; a modern re-hash of “Let them eat cake!” Give the people the ‘image’ of democracy and establish and maintain a co-dependent relationship with the new elite. Thus, democracy for the people becomes an exercise in futility, where people’s ‘participation’ becomes about voting between rival factions of elites, who all ultimately follow the orders of Washington. 

This strategy also has its benefit for the maintenance of American power in the region. While dictators have their uses in geopolitical strategy, they can often become too independent of the imperial power and seek to determine the course of their country separate from U.S. interests, and are subsequently much more challenging to remove from power (i.e., Saddam Hussein). With a “democratized” system, changing ruling parties and leaders becomes much easier, by simply calling elections and supporting opposition parties. Bringing down a dictator is always a more precarious situation than “changing the guard” in a liberal democratic system.

from America’s Strategic Repression of the ‘Arab Awakening'”

The fever pitch excitement and elation on February 11th echoed another event in recent history: the Obama election. The power of the people was hailed and a new chapter in history emerged. After the disastrous upset of a false success the night before, when Mubarak appeared on television and called the Egyptian people his children, a pallid Omar Suleiman appeared the next night and said he was gone. Rejoice! Television presenters wiped tears from their eyes. The people danced in the streets. Finally – justice prevailed. Egypt was free! But what did that mean?

I was called a cynic immediately for not joining the rejoicing masses. Yet I’d been led on before. The election of Obama was supposed to herald a new age in progress and democracy and it has done nearly the opposite. Likewise, the day after Mubarak left office and the television cameras began to be shipped back home, the Egyptian military began a quiet bust-up of the few hundred protesters remaining in Tahrir Square who insisted with some confusion that their demands for democracy and a free society had not yet been made! The promises of the army to hold elections in September nearly echoed the ones made by Mubarak. Yet the people had cried for his resignation. Well, give the people what they want – but not what they really want. With so many slogans centered around one man, the dangerous possibility of the entire movement being co-opted by his name became a reality. With Mubarak gone, what was there left to complain about? You got what you asked for – now get back to work!

I still plan on traveling to Egypt in the coming weeks and will report back what I see, if these steps towards democracy – this outrageous show of the people’s power – have gained any wins towards alleviating the day-to-day situation of the Egyptian people.  I sincerely hope things have improved, yet it remains to be seen if the conditions of over 20 million living in slums on less than a dollar a day will have changed much. A social movement is only gauged in how it uplifts the lowest members in that society. I would hate for Mubarak to be right on this point. I sincerely hope the protesters were not simply the petit-bourgeois reacting to satellite television. I hope history sees February 11th as the first battle won in a broad people’s movement for actual change.

where the cynicism is born

In the past week, the Palestinian Authority has violently suppressed two separate rallies in support of the Egyptian people and their rights to revolt against an unjust government (not reported in Ma’an news). At the same time, the Palestinian Authority set up a fake protest in support of the Mubarak regime (also not reported). Today, we see the Palestinian Authority calling for the people of Gaza to emulate their brothers in Egypt (!) and rally to overthrow Hamas.

1. This page is not affiliated to any party or religion but it is working for Palestinians
2. Friday 11 February will be the day the Palestinian people say no to division and yes to national unity, they will stand in the face of the challenges facing the Palestinian cause
3. We call on Hamas to stop its coup and go back seriously and immediately to reconciliation to unite again with our people
4. Overthrow the unjust government in Gaza by coordination with the rest of the national parties in the Palestinian arena
5. Initiate an intifada against the current situation in Gaza. A peaceful intifada to say yes to unity and enough to the emirate of darkness.

At the same time, the Palestinian Authority is currently amending their election law to dis-include the Gaza Strip from elections supposedly to be held in May – over a year since they were previously scheduled to be held.

Palestine is the canary in the mineshaft. I have serious doubts about Egypt’s prospects for success when Palestine – the heart of the anticolonial movement in the Middle East – is this infested with thuggery and juvenile propaganda tactics and no one here responds.

why egypt might in fact fail

To return to the Tunisian riot, it is very likely that it is itself going to continue – and divide itself – by proclaiming that the figure of power that it will put in place it is so disconnected from the popular movement that it no longer wants it. On what criteria, then, can we evaluate the riot? In the first place, the criteria must have a definite empathy towards the riot, this is an absolutely necessary condition. It’s negative power is recognised, a lamentable [honni] power that vanishes [effrondre] fully into its own image [symboles]. But what is affirmed? The Western press has already responded by saying that what was expressed their was a Western desire. What we can affirm is that a desire for liberty is involved and that such a desire is without debate a legitimate desire under a regime both despotic and corrupt as was that of Ben Ali. How this desire as such suggests a Western desire is very uncertain [plus problématique].

Alain Badiou, 19 January 2011

I told my friends Egypt was too big to fail – words heralding some sort of nasty bailout at any cost to the livelihood of the people whose “stake” was involved. I still believe Egypt is too big to fail. Western revolutionaries sit on the edge of their seats watching Al Jazeera, biting their nails because – as Badiou says – the end of history is not yet here! We can still take to the streets and enact change through revolutionary non-violent means – a million people in Tahrir square!

Yet, I am pessimistic. If Egypt can be salvaged as a client state of the West in any way, then it will be salvaged at any cost. Perhaps the poison has already entered the veins of the people as they choose to protest peacefully for the cameras, appealing to the Western mindset of nonviolence and peaceful flower-laden revolutions. They tweet, update facebook statuses, call in to radio and television shows… their message is united: Mubarak ETLA min Masr! They forget, though, that the Western news cycle is fickle. A manufactured win, like Mubarak offering to leave office in September,  will stand in for actual closure. A new story will rise up on the wave and – if conditions persist- Egypt will be forgotten in a month.

The Western media, accusing Obama now of “abandoning” Mubarak, is not abandoning the people of Egypt. CNN, FOX, etc raise the terrifying specter of Islamic fundamentalism, war with Israel (a big no-no!), and anti-American sentiments in Egypt. I intend to travel to Egypt myself in the coming weeks to prove this to be untrue and to see for myself what happens when democracy is betrayed.

Egypt is the lynchpin that holds the status quo of the Middle East in place. Our prisoners are tortured there, our oil goes through the Suez, and our catspaw Israel gets to lash out at whoever they like so long as Egypt holds a shaky peace. The West stood on uncertain feet at this strong show of displeasure and was careful to craft their responses, but their actions will speak louder than words when they install a new puppet more friendly to global economic interests at the end of 2011. Actions will speak louder than words when a new government just as friendly to Western interests is installed in Tunisia.

The one benefit of this whole exercise for the Western observer is that we have finally seen the face of hypocrisy and naked greed laid bare. Our propaganda slips and falls in a terribly undignified way with our response to Egypt. Yet this too may be forgotten in the coming weeks, as the news cycle turns over and over again, leaving the 79 million people of Egypt in the dust of the “end of history”.

change you can believe in

Barack Obama on regulation:

Sometimes, those rules have gotten out of balance, placing unreasonable burdens on business—burdens that have stifled innovation and have had a chilling effect on growth and jobs. At other times, we have failed to meet our basic responsibility to protect the public interest, leading to disastrous consequences. Such was the case in the run-up to the financial crisis from which we are still recovering. There, a lack of proper oversight and transparency nearly led to the collapse of the financial markets and a full-scale Depression.

Over the past two years, the goal of my administration has been to strike the right balance. And today, I am signing an executive order that makes clear that this is the operating principle of our government….

Despite a lot of heated rhetoric, our efforts over the past two years to modernize our regulations have led to smarter—and in some cases tougher—rules to protect our health, safety and environment. Yet according to current estimates of their economic impact, the benefits of these regulations exceed their costs by billions of dollars.

WSJ Op-Ed Yesterday

Executive orders? Including more business interests in economic policy? I’m looking forward to new American economic prosperity from slashing business regulation!

the almighty dollar: part 3, guest contribution

Part I and II of this series on the American Dollar can be found here and here.


Simple Thoughts on Money
by Donald Hughes


Money is not the root of all evil, but it does come from a sort of failing. That failing is that we have, so far, found it impossible to limit our consumption to our needs while contributing what we can in the absence of an apparatus of coercion. Even stating the problem, however, gives a sign of how difficult that challenge would be to meet. Money is how we make certain promises to each other. If we recognize our need for a high level of coordination between people and property with a fairly strict degree of rationing, it makes sense to express that coordination in prices. Once you have a set of prices, certain imperatives require a related monetary policy and systems of coercion to enforce the price system. Nothing in this seems inherently objectionable if you can tolerate the “original sin” of the loss of achieving the communist ideal. Prices perform strong information functions, and if they reflect real social costs then they are a beautifully simple way of conveying an immense amount of wisdom about how a consumer might behave. For example, if I buy food that is more expensive, I know it took more scarce resources to consume it, encouraging me to go for more efficient options.

One problem with this simple model is that markets produce severe inequalities which exacerbate the basic failing at the heart of prices, and become a tool for freezing in yawning gaps in wealth and power. One argument is that if inequality derives from free choices then it should be tolerated. For example, as Robert Nozick suggests, imagine if a person is good at basketball. Now imagine if everyone in an equal community gave a little bit of their money to see them play basketball. The inequality resulting from this would be immense, but is it really the sort of thing the state should be trying to prevent? The argument made is that both sides are better off, at least in ideal conditions, so that there shouldn’t be an arbitrary intervention to prevent free choices that lead to unequal resource outcomes. While this may be sensible to some degree, a counterargument, made by G.A. Cohen, is that a person acting in step with justice and community would not demand extraordinary inequalities in order to deploy their talents. Indeed, if we go back to the communist ideal, shouldn’t a person simply perform their best at basketball because it will make people happy, rather than using it as a strategy to deny them their wealth? While this argument seems powerful to me, one can easily see the complexity of the issue – if you have prices at all, then you really are accepting the logic of prices, to some degree.

Returning to the idea of the principle of community, I agree with the idea that true market rivalry is not consistent with a strong sense of justice. This places me on the socialist side of things. However, there are other values at play. One recognition of this diversity of values is a reasonable pluralism. If we are still in the age of money, then it seems unlikely that a planning system that approaches the totality of society is compatible with a maximum degree of latitude for a wide range of opinions on how to organize ourselves. That is, socialism might require more of us than we are currently able to agree on. I believe that workers’ self-management is an important component of participatory democracy, but I see how not everyone agrees with that, and how markets can allow different people to pursue radically different models of organizing with relatively little conflict. If there is to be an overlapping consensus on a certain political conception of justice, then, perhaps it makes sense to focus on issues of inequality within market societies, and in ways of introducing participatory elements in the economy in a more measured way in response to the advance of a more comprehensive moral doctrine associated with socialism. In other words, there might be sustained moral change over time until socialism becomes part of the overlapping consensus, but we need to recognize that it is far from agreed upon in current debates.

Pluralism is not the same as defeatism, of course. I do believe that money is historically contingent and may well disappear over time. There are good reasons to shape markets and to insist on maximizing workers’ control, and the state will still loom large over the many choices of how to structure society while guaranteeing access to adequate incomes and wealth. Using prices and structured property rights to achieve shared aims seems like a second best in the absence of a more complete Utopia. Even the limited planning functions of a social-democratic state are useful foundations for future moves towards an advanced form of a just society. It will take radical moral change or stupendous economic progress to make money superfluous, and it will be an immense effort simply to reign markets towards more egalitarian outcomes. Fortunately, the quest to achieve justice seems limitlessly exciting.