You are currently browsing the monthly archive for October 2009.



a self-explanatory call to action from Jobs with Justice that is right on. [alex]

Too Big To Fail is just plain TOO BIG.

Activists will be in the streets of Chicago tomorrow to protest the American Bankers Association meeting. These banks took bailouts that add up to $15,000 for every man, woman, and child in the U.S. They claimed they were “too big to fail.”

But instead of using the bailout to help the economy, they actually reduced lending that would keep people working, increased foreclosures, charged outrageous overdraft fees and – surprise, surprise – gave themselves record salaries, bonuses and perks.

The reality is that these corporate criminals are too big and powerful politically. Explaining why even minor reforms have been bottled up in Congress, Senator Durbin from Illinois admitted that the banks “frankly own the place.”

Take action now!

They spend hundreds of millions of dollars on politics and they’re using our bailout money to become bigger and more powerful (rather than helping people and the economy through a crisis).

These ‘too big to fail’ banks are a threat to democracy as much as they are a threat to the economy. Even Alan Greenspan, Paul Volcker, and Mervyn King agree: It’s time to break up the banks.

We have to break their grip on Congress, break up their political and economic power, break up the corporate crime spree and break through this economic crisis with a major jobs program, new regulations (like the Consumer Financial Protection Agency), new financial institutions that put workers and communities first and a new economy that works for everyone

 

Send a letter to the following decision maker(s):
Your Congressperson
Your Senators
Below is the sample letter:

Subject: Break up the Banks; Make the Economy Work

Dear [decision maker name automatically inserted here],

The Wall Street “Bailout Bandits” stuffed their pockets with false profits while wrecking our economy, Read the rest of this entry »


Walden Bello explains the logic of breaking with corporate globalization and points the way towards a more socially and ecologically responsible economic paradigm.  Includes “11 pillars of deglobalization.” [alex]

The Virtues of Deglobalization

by Akbayan! Representative Walden Bello
originally posted on Foreign Policy in Focus
reposted from Focus on the Global South.

The current global downturn, the worst since the Great Depression 70 years ago, pounded the last nail into the coffin of globalization. Already beleaguered by evidence that showed global poverty and inequality increasing, even as most poor countries experienced little or no economic growth, globalization has been terminally discredited in the last two years. As the much-heralded process of financial and trade interdependence went into reverse, it became the transmission belt not of prosperity but of economic crisis and collapse.

End of an Era

In their responses to the current economic crisis, governments paid lip service to global coordination but propelled separate stimulus programs meant to rev up national markets. In so doing, governments quietly shelved export-oriented growth, long the driver of many economies, though paid the usual nostrums to advancing trade liberalization as a means of countering the global downturn by completing the Doha Round of trade negotiations under the World Trade Organization. There is increasing acknowledgment that there will be no returning to a world centrally dependent on free-spending American consumers, since many are bankrupt and nobody has taken their place.

Moreover, whether agreed on internationally or unilaterally set up by national governments, a whole raft of restrictions will almost certainly be imposed on finance capital, the untrammeled mobility of which has been the cutting edge of the current crisis.

Intellectual discourse, however, hasn’t yet shown many signs of this break with orthodoxy. Neoliberalism, with its emphasis on free trade, the primacy of private enterprise, and a minimalist role for the state, continues to be the default language among policymakers. Establishment critics of market fundamentalism, including Joseph Stiglitz and Paul Krugman, have become entangled in endless debates over how large stimulus programs should be, and whether or not the state should retain an interventionist presence or, once stabilized, return the companies and banks to the private sector. Moreover some, such as Stiglitz, continue to believe in what they perceive to be the economic benefits of globalization while bemoaning its social costs.

But trends are fast outpacing both ideologues and critics of neoliberal globalization, and developments thought impossible a few years ago are gaining steam. “The integration of the world economy is in retreat on almost every front,” writes the Economist. While the magazine says that corporations continue to believe in the efficiency of global supply chains, “like any chain, these are only as strong as their weakest link. A danger point will come if firms decide that this way of organizing production has had its day.”

“Deglobalization,” a term that the Economist attributes to me, is a development that the magazine, the world’s prime avatar of free market ideology, views as negative. I believe, however, that deglobalization is an opportunity. Indeed, Read the rest of this entry »


This article only scratches the surface of why capitalism as a system based in constant expansion is absolutely incompatible with a planet of real social and ecological limits, peak oil being one. My book will flesh these arguments out in greater detail, but for now check out what Professor Wolff has been cooking up. [alex]

Peak Oil and Peak Capitalism

by Professor Richard Wolff, March 27, 2009.

Originally posted on The Oil Drum, and on Rick Wolff’s homepage.

wolff_real_wages

Worker Productivity (blue) vs. Wages (pink), 1890-2009

The concept of peak oil may apply more generally than its friends and foes realize. As we descend into US capitalism’s second major crash in 75 years (with another dozen or so “business cycle downturns” in the interval between crashes), some signs suggest we are at peak capitalism too. Private capitalism (when productive assets are owned by private individuals and groups and when markets rather than state planning dominate the distribution of resources and products) has repeatedly demonstrated a tendency to flare out into overproduction and/or asset inflation bubbles that burst with horrific social consequences. Endless reforms, restructurings, and regulations were all justified in the name not only of extricating us from a crisis but also finally preventing future crises (as Obama repeated this week). They all failed to do that.

The tendency to crisis seems unstoppable, an inherent quality of capitalism. At best, flare outs were caught before they wreaked major havoc, although usually that only postponed and aggravated that havoc. One recent case in point: the stock market crash of early 2000 was limited in its damaging social consequences (recession, etc.) by an historically unprecedented reduction of interest rates and money supply expansion by Alan Greenspan’s Federal Reserve. The resulting real estate bubble temporarily offset the effects of the stock market’s bubble bursting, but when real estate crashed a few years later, what had been deferred hit catastrophically.

Repeated failure to stop its inherent crisis tendency is beginning to tell on the system. The question increasingly insinuates itself even into discourses with a long history of denying its pertinence: has capitalism, qua system, outlived its usefulness? Read the rest of this entry »


Re-published by ZNet and Toward Freedom and The Rag Blog. Available in print by the Defenestrator. Also translated to Dutch for GlobalInfo. cool!

Anti-Capitalism Goes Mainstream
Michael Moore’s New Film Names the System and Presents a Radical Democratic Critique

Alex Knight, October 16, 2009

Capitalism: A Love Story, which opened in 962 theaters earlier this month, is Michael Moore’s most ambitious work yet – taking aim at the root cause behind the injustices he’s exposed in his other films over the last 20 years. This time capitalism itself is the culprit to be maligned in Moore’s trademark docu-tragi-comic style. And by using the platform of a major motion picture to make a direct assault at the root of the problem, Moore has created space in the political mainstream for a radical conversation (radical meaning “going to the root”).

It’s a conversation that is desperately needed as the economic crisis continues to devastate low- and middle-income Americans in spite of President Obama’s and Congress’ efforts to stop the bleeding by throwing trillions of dollars at the banks. Yesterday, Democracy Now! reported that while the Dow Jones topped 10,000 for the first time in a year, foreclosures have reached a record level of 940,000 in the third quarter. But with this film airing in major chain cinemas across the nation, the normally taboo topics of how wealth is divided, who owns Congress, and how vital economic decisions are made are now open for discussion in a way they haven’t been in the U.S. for decades.

In Capitalism, Michael Moore features the reality of the economic crisis for America’s usually-invisible poor and working class. The movie begins with a family filming their eviction from their own home. In a terrifying scene, we watch from inside their living room window as 7 police cars roll up to throw the ill-fated family onto the street for failing to make their payments. Moore explained in an interview, “You see [a foreclosure] really for the first time from the point of view of the person being thrown out of the house.” This same bottom-up viewpoint carries the audience through the rest of the film, from the stories of kids in Pennsylvania sent to private detention centers for minor offenses by judges who received kickbacks from the prison company, to airline pilots whose wages are so low they have to go on food stamps.

By grounding the viewers in the human costs of out-of-control capitalism, Moore finds firm footing for launching his attacks on the Wall St. firms who he believes are responsible for this crisis. As the film points out, the richest 1% of Americans now control more wealth than the bottom 95%, a sorry state of affairs that has grown steadily worse since the 1980s. Ronald Reagan, Alan Greenspan, and his two buddies Larry Summers and Robert Rubin are implicated in Capitalism as responsible parties behind the gutting of regulations and the deliverance of the federal government into the hands of the bankers.

Michael Moore’s conversations with congressmen and women about the $700 billion bank bailout passed last October best illustrate this transfer of sovereignty. The congresspeople are remarkably candid in their dismay at what was essentially a blank check to Goldman Sachs, Bank of America and Citigroup. Representative Baron Hill from Indiana recounts that the bailout bill was pushed through Congress in a similar manner as the Iraq War authorization, under threat of catastrophe and terror. Marcy Kaptur, congresswoman from Ohio, however, does one better. “This was almost like an intelligence operation,” she laments. And when Moore asks her if the bailout represents a “financial coup d’etat” by the bankers, she responds, “I could agree with that. Because the people here [pointing to the Capitol] really aren’t in charge. Wall Street is in charge.”

We also see Kaptur’s courageous honesty on the floor of the House, urging Americans to resist foreclosure by remaining in their homes. Detroit sheriff Warren Evans stands out as another hero in the film when he announces he will cease foreclosure evictions in his jurisdiction because of the damage to the community caused by making more houses vacant and more families homeless. Moore also features grassroots organization Take Back the Land, which has dramatically responded to the crisis by moving evicted families back into their homes in the Miami area.

Regular folks fighting back against a system that is depriving them of income, housing, health care and other basic needs is inspiring stuff to watch, and it’s not something we’re used to seeing up on the big screen. Capitalism displays this grassroots defiance surprisingly well by humanizing those on the bottom of the pyramid. One man whose farm is foreclosed angrily warns, “There’s got to be some kind of rebellion between people who’ve got nothing and people who’ve got it all.” His words are buttressed by a behind-the-scenes look at Republic Windows & Doors, where laid-off workers occupied their Chicago factory and refused to leave until receiving their promised severance pay. For Moore this represents the kind of direct action that everyday people must now begin to take to protect themselves from having to pay for the misdeeds of the wealthiest one percent.

This call to action is well taken. However, one piece lacking in the film’s analysis of capitalism is how the system of economic power interlocks with other structures of oppression, for example U.S. imperialism, patriarchy and white supremacy. Capitalism affects different people in extremely different ways, and while some fear losing their jobs, others fear imprisonment, rape, or even being hit by a drone attack. But Michael Moore seems to avoid a conversation about racism, sexism and homophobia in order to appeal to a mythical homogeneous American working class. And besides a brief comparison to Rome, the movie also shies away from discussing the U.S. role in the world and how a militaristic foreign policy serves the interests of corporate and financial elites – even though opposition to the wars in Afghanistan/Pakistan and Iraq have never been greater.

Another weakness is how Moore handles Barack Obama with kid gloves. Even while his economic advisers are skewered in the film, President Obama’s role in the bank bailouts is downplayed, and he comes out looking like a champion of the people, or at least a potential champion. In this respect Michael Moore bestows honors like the Nobel Committee, not so much for what the president has done, but for the “hope” of what he might do.

So what does Michael Moore propose as an alternative to capitalism? Not socialism, but a kind of economic democracy – an opportunity for average folks to have a say in how their money is used, from the workplace on up to the government. Moore takes us inside co-ops in America where workers vote on decisions about finances democratically, and where salaries are equal and adequate for everyone in the company. In one factory, assembly line workers and the CEO each make about $60,000.

To reinforce his economic prescription, Moore even dug through archives to recover lost footage of FDR’s long-forgotten proposal for a “Second Bill of Rights,” which called for guaranteeing meaningful work and a living wage, decent housing, adequate medical care, and a good education for every American. It is striking how such common-sense ideas in our current political climate appear dangerously radical, even coming from the lips of a U.S. president. It seems the overriding purpose of Capitalism: A Love Story is to flip these expectations on their heads. For Michael Moore, guaranteeing basic economic security is as American as apple pie; what is radical is a system that would deny such prosperity to bolster the wealth of a tiny few.

If there is to be any solution to the economic crisis that doesn’t involve millions more people thrown out of their homes or dropped from their health care, it will have to involve a sharp break from a system that values private profits higher than meeting people’s basic needs. To this end, Michael Moore has done a great public service by making a film that is essentially an invitation for views outside the bounds of established mainstream discourse to propose what might be done about the economic quagmire we now find ourselves in. It is time for an American Left to come out of the wilderness and speak out with proposals for better ways of organizing our economy. I see no reason to be any less bold than President Roosevelt was 65 years ago.

Here is an excerpt from President Roosevelt’s 1944 “Second Bill of Rights” speech:

“We cannot be content, Read the rest of this entry »


The video is available on Democracy Now! at this address: http://www.democracynow.org/2009/10/9/as_us_continues_afghan_iraq_occupations

Below is the transcript:

JUAN GONZALEZ: President Obama has been awarded the 2009 Nobel Peace Prize, less than nine months after taking office. The chair of the Nobel Committee, Thorbjorn Jagland, made the announcement today in the Norwegian capital of Oslo.

    THORBJORN JAGLAND: [translated] The Norwegian Nobel Committee has decided that the Nobel Peace Prize for 2009 is to be awarded to President Barack Obama for his extraordinary efforts to strengthen international diplomacy and cooperation between peoples.

JUAN GONZALEZ: The Nobel Committee specifically highlighted what it called Obama’s outreach to the Muslim world and his attempts to curb nuclear proliferation. After the announcement, Jagland took questions from journalists.

    REPORTER: If we could just go over that same territory of the fact that he’s not been in office one year yet and has not fulfilled any of his promises, may never do so, and in English, if you could state why you’re so certain that this is a good choice so early in the day.

    THORBJORN JAGLAND: Because we would like to enhance, to support what is he’s trying to do, what is he trying to achieve. And it is a clear signal to the world that we want to advocate the same as he has done, namely to promote international diplomacy, to strengthen the international institutions, to work for a world free of nuclear arms. All these kind of things, which—I mean, it’s a longstanding history of the Nobel Committee that we have tried to promote that kind of attitudes and that kind of policies. And, I mean, I could mention a lot of examples of awarding a prize to a personality that has started that kind of processes in the very beginning.

    REPORTER: Mr. Obama is in the middle of a major decision, as you know, on—and will probably end up increasing troop levels in Afghanistan. How does the committee feel about that at this time?

    THORBJORN JAGLAND: The conflict in Afghanistan concerns us all. And we do hope that an improvement of the international climate and the emphasis on negotiations could help resolve that. I do not claim that it must help or will help, but we could hope that this could help resolving that conflict, as well.

    REPORTER: And what—do you have an opinion about raising the troop levels, increasing the—

    THORBJORN JAGLAND: Well, I could have an opinion, but not the Norwegian Nobel Committee.

JUAN GONZALEZ: President Obama took office less than two weeks before the nomination deadline. He is the third sitting American president to win the Nobel Peace Prize after Theodore Roosevelt in 1906 and Woodrow Wilson in 1919.

For more, we’re joined by award-winning journalist and author Naomi Klein. She’s the author of the books The Shock Doctrine and No Logo. She joins us on the line from her home in Toronto.

Welcome to Democracy Now!, Naomi.

NAOMI KLEIN: Thank you, Juan.

JUAN GONZALEZ: Your reaction to this surprise announcement?

NAOMI KLEIN: You know, I try not to speak about things before I really had a process—you know, a chance to process it, because my raw reaction is really that this represents—it’s very significant and disappointing, cheapening of the Nobel Prize. And, you know, it’s been cheapened before, and it will cheapen again—be cheapened again, but I think there’s something really striking here. And even just listening to the rationale that, despite overwhelming evidence, they’re giving this prize in the hopes that it will change Obama’s mind or encourage him to do things he hasn’t done—this is a candidate that ran a campaign that was much more based on hope and wishful thinking than it was on concrete policy. So we have hopes being piled on hope and wishful thinking.

Read the rest of this entry »

Enter your email address and subscribe to get the latest End of Capitalism news right in your inbox..

Join 841 other followers

You are here

Friendly Websites

Anda La Lucha
- Andalusia Knoll

Feminist Frequency
- Anita Sarkeesian

Recovering Hipster
- Heather

Praxis Makes Perfect
- Joshua Kahn Russell

Organizing for Power
- Lisa Fithian

Misanthropic Anthropologist

For Student Power
- Patrick St. John

AIDS and Social Justice
- Suzy Subways

Follow on Twitter!

Books I’m Reading

Alex's  book recommendations, reviews, favorite quotes, book clubs, book trivia, book lists