The cost of staples from grains to meat to sugar continues to rise, raising fears of a global food crisis and ensuing political instability.
In 2008, high food prices led to riots in 25 different countries. The specter of another such crisis reared its head in September when 12 people were killed in food riots in Mozambique.
“The food riots in Mozambique can be repeated anywhere in the coming years,” said Indian food analyst Devinder Sharma. “Unless the world encourages developing countries to become self-sufficient in food grains, the threat of impending food riots will remain hanging over nations.”
Global meat prices are currently at a 20-year high, while soybean prices are at a 16-month high. Wheat prices have risen 57 percent over the last six months, and over the same period rice prices rose 45 percent and sugar prices rose 55 percent. In the last few weeks of October alone, wheat and corn prices surged 30 percent.
The price crunch has been worsened by a spate of recent climate-related crop failures worldwide, but the underlying causes are more long-term. The UN largely blames loss of arable land to urbanization, degradation and conversion to biofuels production.
“Worldwide, 5 million to 10 million hectares [12 million to 25 million acres] of agricultural land are being lost annually due to severe degradation and another 19.5 million are lost for industrial uses and urbanization,” wrote UN special rapporteur Olivier de Schutter on the right to food in a recent report.
“But the pressure on land resulting from these factors has been boosted in recent years by policies favoring large-scale industrial plantations. According to the World Bank, more than one-third of large-scale land acquisitions are intended to produce agrofuels.”
In addition, speculation by investors has artificially inflated food prices even beyond their already alarming highs, and is likely to continue doing so.
“A food crisis on the scale of two or three years ago is not imminent, but the underlying causes [of what happened then] are still there,” said Chris Leather of Oxfam.
*Germany and France to control all wages, taxes, pensions and welfare benefits across the Eurozone under new plan unveiled in Brussels.
*Economic coordination will result in a planned economy and inefficiency, economic experts say.
*People of Europe will have no say in the transfer of control over their pensions, wages and taxes to a central authority, national leaders to decide.
A plan by Germany and France to enforce the same labour, welfare, pension and economic policies across the entire Eurozone by decree was unveiled in Brussels on Friday.
Economist Hans-Werner Sinn from Germany’s IFO said that the attempt to introduce new binding agreements on labour costs, taxes and pensions that would apply to every single citizen in every single country in the Eurozone, amounted to introducing a planned economy that will promote inefficiency.
The plans set out by German Chancellor Angela Merkel and the French President Nicolas Sarkozy called for the harmonization of the corporate-tax base, the abolition of indexing pay raises to inflation, and also for the linking of pension ages to demographics i.e. the pension age to be raised across the Eurozone.
Merkel and Sarkozy are pushing for an agreement in March.
They claim their push for economic convergence in the euro monetary union without a political union and without any opportunity by the people of Europe to have a say and also without any adequate basis in an EU treaty will allow economies in Europe to overcome the financial crisis and grow faster. But experts say their plan is a way of introducing through the back door the transfer union and Eurobonds benefiting banks at the expense of ordinary people .
The plan also includes a binding indicator for labour productivity and labour unit costs across Europe i.e. the amount of earnings every person working in a specific job sector is to be set centrally across Europe.
In any event labour cost units do not address the problem of enormous and growing unemployment in the Eurozone as a result of the failed policies of Merkel and Sarokzy and EU, especially in countries in the southern European zone where many jobs have been lost because they joined the Eurozone at an exchange rate that was too high and so became uncompetitive.
To regain competitiveness, the countries need to be able to devalue their currency or introduce a regional, parallel currency, experts say. However, there is no mention of devaluation in the Merkel/Sarkozy plan.
Crucial also to a buoyant economy is the demand for products. Germany, for example, was prosperous in the 1980s because people earned enough money to be able to buy German products, creating a virtuous economic circle of demand and production. Today, Germany’s domestic demand is small because real income is barely enough to cover essentials, and the new plan does nothing to change that.
In fact, Germans along with the rest of Europeans are set to have even less money if the new pact is agreed in Brussels in March with wages and pensions set to be slashed in real terms.
Scrapping the link between annual wage increases and inflation will mean that wages will fall in real terms across Europe, leaving people with even less money to spend resulting in reduced demand in the economy.
Far from boosting the economy, the measures unveiled will, in fact, accelerate Europe’s transformation into a centrally planned, labour Gulag such as in China.
It has been estimated that more people in the developing countries will have an income of 10,000 dollars a year than in Europe and the USA together in five years time, underlining just how steep the drop in the real incomes in Europe and the USA has been.
Charities have calculated that the minimum required to live in Germany is about 1000 euros a month. That means almost 80% of the Germans are now already living on or close to the minimum needed to exist.
According to Die Welt, more than 20% of Germans have less than 1,070 euros a month and another 60% of Germans earn between 1,070 to 2,350 euros a month. Only 3% earn more than 7,000 euros a month.
The long-term unemployment benefit Hartz IV is 350 euros or only about 7 times more than the poorest Egyptians have to live on a month in spite of much higher costs in Germany.
The Hartz IV benefit is set to rise by only 5 euros this year on the insistence of Merkel, far below inflation, further eroding the real purchasing power and driving millions deeper into poverty.
It is not just in Germany but all across Europe that salaries have been decimated. Gone are the days not so long ago when professions such as young teachers for example earned 30 times more than their average cost of accommodation in major cities. In Greece, for example, the average pension is just 600 euros.
The next logical step for Merkel and Sarkozy is to float plans to send millions of Europeans to live in barracks and work in factories or roads with a bowl of soup and bread until they are 90 or drop dead as in the 1930s after a similar engineered financial crisis.
I can’t see the people of Europe allowing a centralised bureaucracy set up by governments in Berlin and Paris to cut their pensions and wages in order to give yet more to the banks and corporations – not after these same governments aided the banks in an engineered financial crisis that wrecked economies, and plunged nations into debt.
Merkel has said that the rest of Europe has to keep up with the “best”. Implying the low wage, slave labour concentration camp that Germany has become, with its corrupt financial sector, corrupt corporations caught bribing its own and foreign politicians (Siemens in Greece) is in some way to be emulated.
I suspect Europeans will not share that view.
Not the Irish for sure. Even tame politicians and newspapers like Enda Kenny and the Irish Times are comparing the brutal take-over of the Irish economy by the German and EU bankers via an enforced 85 billion euro loan with the armed conflicts of Leningrad and the Easter Rising.
How much longer will the people of Europe put up with this?
After helping the banks wreck the European economy in front of everyone’s eyes and pushing toxic vaccines on their populations, Merkel and Sarkozy pair up in a flagrant bid to steal pensions (etc) instead of presenting a serious plan.
The dramatic rise in food prices is fueling a great deal of discontent in Tunisia, Egypt and elsewhere. It’s a deep undercurrent propelling many of the poor, who face prospects of starvation to resort to the streets and to violence. According to the United Nation’s Food Agency (Food and Agriculture Organization — FAO) world food prices are up for the 7th month in a row and are likely to surpass the record high reached in December 2010.
No end is in sight for this destabilizing battle with food price inflation in places like Egypt, where more than half of an average income goes for food. According to the State Department, more than 60 food riots occurred worldwide over the past two years.
In March 2008, a dramatic spike in food prices led thousands of people on the brink of starvation in Egypt to violently riot — sending a seismic shock wave through the Mubarak regime. After the Egyptian military was able to distribute enough wheat to dispel the rioting, efforts to stockpile wheat by the Mubarak government have failed, as food prices continue to hover at record highs.
The media is reporting many reasons for this problem ranging from soaring demand, cuts in food subsidies, droughts, and government mandates to use more grain-based biofuel. But, another significant factor is at play: unfettered speculation by investment banks. As noted in USA Today, in 2008, “the bulls may not be running on Wall Street, but they’re charging in the commodities pits.
At issue are the still deregulated commodity markets ushered in by the Clinton administration and the U.S. Congress with the passage of the Commodity Futures Modernization Act of 2000. Before this law, the Commodity Futures Trading Commission (CFTC) served as a cop on the beat, enforcing rules that prevent the distortion or manipulation of prices beyond normal supply and demand. But Wall Street banks and companies such as ENRON and British Petroleum were determined to make a lot more money from speculation by exempting energy-derivative contracts and related swaps from government oversight.
For this reason, the 2000 law allows entities that have no stake in whether adequate amounts of food and fuel are available for ordinary people and commodity-dependent businesses to make huge sums of money by gambling with other people’s money.
Soon after passage of the 2000 law, “dark” unregulated futures trading markets emerged, most notably the Intercontinental Exchange (ICE) in London — created by Wall Street and European investment banks and several oil companies. A key practice involves “over the counter index trading” in which hundreds of billions of dollars of pension, sovereign wealth, and other institutional funds are used to flood “dark” commodity markets to buy and hold futures contracts without an expiration date or oversight. When it’s time to make money on a losing bet, these funds are withdrawn, causing commodity price crashes and economic instability.
These transactions don’t involve customary “bona fide” commodity traders, such as an airline company hedging on the price of jet fuel by purchasing futures contracts. As prominent hedge fund manager Michael McMasters noted before a U.S. Senate panel in 2008, this amounts to “a form of electronic hoarding and greatly increases the inflationary effect of the market. It literally means starvation for millions of the world’s poor.”
Some world leaders are willing to speak out against the pernicious role of “dark” commodity markets. Recently, French President Sarkozy warned of further unrest and even war at the Davos forum, unless commodity speculation is reined in — something that Wall Street and Republican lawmakers are bitterly fighting. The Dodd/Frank Financial Reform Law places some restrictions on this practice by the CFTC. In particular, the CFTC is beginning the process of weeding out “non bona fide” investment bank speculators.
True to form, House Republicans are demanding that the CFTC slam on the brakes. They’re planning hearings and legislation to hamstring these efforts.
The spontaneous mass uprising of ordinary people in Egypt and the Middle East against their authoritarian regimes has many root causes. One that deserves much greater attention is unfettered speculation by powerful private financial institutions that don’t care about world-wide starvation and its impacts. It’s distorting global food supplies.
Robert Alvarez, an Institute for Policy Studies senior scholar, served as senior policy adviser to the Energy Department’s secretary from 1993 to 1999.
Iranian OPEC Governor Mohammad Ali Khatibi has announced that the crude oil reserves of the country have increased more than 9 percent to 150 billion barrels.
Khatibi said on Tuesday that considering the new oil and gas discoveries, Iran’s crude oil reserves have risen to 150 billion barrels of oil, Iran’s oil ministry’s official website Shana reported.
The Iranian official noted that the figure represents a 9.5 percent increase from the previous reserve level of 137 billion barrels of crude oil estimated to exist in Iran’s basin.
Khatibi further pointed out that Iran will maintain a daily oil production level of around 4.2 million barrels, so the proven reserves of the country will last at least another 98 years.
Iran took over at the rotating presidency of OPEC this year for the first time in the past 36 years. The Organization of the Petroleum Exporting Countries (OPEC) is a permanent intergovernmental organization of 12 oil-exporting developing nations also including Algeria, Angola, Ecuador, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates and Venezuela.
Earlier on Sunday, Iranian Oil Minister Massoud Mirkazemi announced that a new gas field worth more than $50 billion with in-place reserves of 260 billion cubic meters of natural gas was discovered in eastern part of the port city of Assaluyeh in southern Iran.
Khayyam gas field also has some proven reserves of 220 million barrels of gas condensates, the minister added.
Iran discovered 13 new oil and gas fields with in-place reserves of 14 billion barrels of oil and 45 trillion cubic feet of natural gas from August 2009 to August 2010, a report published by Iran’s Oil Ministry said in August 2010.
Iran is ranked third in terms of proven oil reserves and is OPEC’s second-largest oil producer after Saudi Arabia. In 2009, Iran’s crude production stood approximately at 3.8 million barrels per day. The Persian Gulf country sits on the world’s second largest gas reserves after Russia.
An 18-year-old youth has been killed in riots in Algeria, becoming the first casualty since the outbreak of clashes over soaring food prices and rampant unemployment in the African country.
Azzedine Lebza was hit by a bullet in Ain Lahdjel in the M’Sila region, 300 kilometers (180 miles) southeast of Algiers and died instantly as youths clashed with police in the capital and several other towns, AFP reported on Saturday.
But Algerian authorities have not yet confirmed the death.
Citizens in the North African country started to protest nationwide when the government announced price increases for basic commodities such as oil and sugar at the beginning of this year.
The official APS news agency said protesters ransacked government buildings, bank branches and post offices in “several eastern cities” overnight, including Constantine, Jijel, Setif and Bouira.
On Friday afternoon, rioting youths set shops on fire in the capital and clashed with police in several other cities.
Meanwhile, police fired tear gas and water cannons at young people hurling stones and glass bottles at security forces.
The General Union of Algerian Traders and Artisans said consumer prices had increased 20% to 30% in recent days, especially the prices of sugar and oil.
The prices of flour, cooking oil, and sugar have doubled in Algeria over the past few months.
According to the International Monetary Fund, about 75 percent of Algerians are under the age of 30, and 20 percent of the youth are unemployed.
The still-unfolding riots have raised the specter of a political turmoil reminiscent of the 1990s that triggered 10 years of civil strife.
Prince Charles and his wife Camilla have declared that they will not be cowed by the attack by rioters, and plan to continue with “business as usual”. They will carry on with “visible” public engagements, according to The Telegraph.
But is that really wise? Is this really such a good idea given the fact that they came so close to being lynched by an angry mob engulfing their Rolls Royce in Regents Street on Thursday?
Is there is no one in the Palace, like the Queen, to sit down and have a chat with them and take a firm grip on this pair before they get into a similar situation, and luck deserts them and they come to real harm?
It turns out that Prince Charles was warned by his bodyguards not to go to the theatrical extravaganza at the London Palladium on Thursday evening, making his decision to go all the more inexplicable.
It is worth recalling the scenes of chaos, of violent riots, of mayhem probably not seen in the capital since the Blitz – only this time the anger of the Brits was turned squarely against their own government. Thousands of police had to be drafted in to stop students from storming Parliament.
It was not just the tripling of student fees that angered protestors. It was the treachery of the Liberal Democrat Leader Nick Clegg who had pledged not to increase the fees before the election – and who had collected votes precisely for that reason.
His treachery was too much even for his own MPs to stomach: more than three quarters refused to vote for a bill that will effectively cut off the bridges to higher education – and a future — for a generation.
When votes don’t count, when elections change nothing, when parliamentary democracy is fixed, when people can see that the rulers plan for them to sink into ever more poverty, then they do what the German Philosopher Hegel said they should do, and must do: they revolt against the elite that has fixed the system and is depriving them of their natural, God-given right to free, productive and dignified futures.
The police are a body designed to keep law and order not to deal with a revolution against a corrupt elite, and there is only so much they can do.
The UK banks have received countless billions from US taxpayers through the Federal Reserve bailouts as well as from British tax payers, but the FSA has even refused to release a key report on the banking collapse. Wise. The report will reveal the entire scam for what it is: debts that come from the manipulation of balance sheets; banks that have not collapsed at all; a false flag financial crisis designed to capture tax money under the pretext of having to pay interest on nonexistent, paper debts.
Irish Times economics reporter Dan O’Brien is probably the only person who still confuses public government debt and private bank debt that is saddled on governments. He is one of the few left who doesn’t understand that fiscal austerity is just another word for robbery of the people when the government debts are private banking debts and not public debts.
The problem in this case is not that taxation and spending have got out of balance: governments have not spent more than they have earned in the form of taxes.
The problem is that the gigantic, fraudulent bank debts should never have been loaded onto the tax payer in the first place. The solution is not a deflationary budget and debt spiral but default.
The speeches of the Union Leaders on Parliament Square showed that the people have a clear grasp of the economic theory underpinning this fraud. It really is as if your boss has borrowed your credit card, gone on a spending spree and given you the bill to pay. Or rather cut your wages by half to pay the bill.
Protests against magnate Sir Philip Green – who flew into Iceland at the height of the crisis and bought up companies for a pittance — were going on in the centre of London at the same time as the student protests: people are asking how come they have to pay more taxes and the pet tycoons of the government pay none?
Or to put it in another way: why are their wages being cut in half to pay for the fraudulent credit card debt but not the much higher wages of their bosses’ best friends?
It doesn’t help Bilderberg Prince Charles’ cause when the “elites” trickery is so transparent.
It doesn’t help Charles cause either that his German father Prince Philip Mountbatten – ( brother was in the Nazi Party) declared that a population of 3 million in Britain is more than enough, thank you very much.
It surely doesn’t help that key government advisors like Jonathon Porrit said in the Times in March 2009 that the population of the UK must be reduced to 30 million, roughly the same as in Victorian times, to protect the environment.
This makes it most regrettable that Prince Charles is seen as a figurehead of this population reduction movement. It is also regrettable that climate change is now widely considered to be a scientific fraud, and he is its cheerleader.
These remarks about population reduction and saving trees might well start to make the people of England think that they are superfluous in their own country and the Mountbattens and other Nazi types and bankers in the City of London want it all for themselves.
In this context where the “Endgame” is being played out, it doesn’t help that the GSK has just tried to give the whole population vaccines with mercury and adjuvants, proven to cause damage, for a non-existent swine flu pandemic. And people know it.
Nor is it helpful for Charles’ that he has been linked in the minds of the people with the murder of his popular wife, Princess Diana: she wrote a note saying Charles planned to kill her in a car crash just before a suspicious car crash…
It doesn’t help that Charles is seen as the ultimate effete and pampered cad with his butlers, valets and aides, the very reincarnation of Richard III, insecure, suffering from a chip on his shoulder, arrogant, immoral and aggressive.
All these factors made a trip to the theatre in a Rolls Royce when the city is engulfed by riots inadvisable.
But Charles ignored all the warnings, joked about the protests, and stepped into his highly visible Phantom V Rolls Royce for an enjoyable evening at the theatre.
It did not take long for the first people to recognize him as his Rolls Royce sailed like the Titanic on wheels down Regent Street. Within seconds, hundreds of people were chasing after the Rolls Royce, shouting, waving sticks.
Prince Charles actually thought his fans had come to greet him and he waved through the windows of his Rolls Royce and smiles at the faces pressed against the glass.
The rioters multiplied, called for his head to be cut off, banged their fists on his car, kicked it. The police officers struggled to keep control and still Charles waved and smiled, apparently really not aware of the fact he was in the middle of a mob, baying for his blood. A window was cracked. Camilla got down on the floor, cowering before the chauffeur stepped on the pedal and drove straight into the crowd in one of the busiest streets of London in truly shocking scenes that have gone around the world.
Is it really wise for Charles and Camilla to continue with business as usual given what happened? Have they shown good judgment in measuring risks so far?
In their position, I think I would be reinforcing the security of Buckingham Palace and Highbury with machine gun posts, sand bags and underground bunkers and stocking up on food and ammo instead. And don’t forget a few water canon trucks at every corner!
Is there no one in Charles’s highly experienced circle of advisors who is ready to take him aside for a quiet one-to-one chat and explain to him that he is one of the most detested figures in all England and that going into the crowds that see him as the very personification of the corrupt, City of London, Bilderberg elite, that has brought so much suffering, oppression and poverty, let alone going into those crowds, waving highly visibly, is just not advisable? That German police chiefs explained to their governments that no amount of water trucks and police can quell large-scale political unrest arising from obvious misrule and corruption?
What about the Queen? She seems like a sensible type of woman? My Mum met the Queen when she was younger and thought she had her feet still on the ground.
Would the Queen not have a heart to heart chat with her son? Would she not explain to him over a cup of tea that the circle of people who like him — or at least suffer him gladly — has shrunk to her, Prince Philip, his valet, butler, the Rothschilds, George Soros, Cameron and Blair, the Queen of the Netherlands and the Queen of Spain and the Hohenzollerns and a few other Globalists.
Perhaps she can show him some video clips of the students waging pitched battles with the police on Parliament Square, of mounted police riding into crowds and the crowds flinging sticks, and anything they could get their hands on, attacking police with metal bars, injuring several seriously, to make him understand that going on Thursday into a city engulfed by unprecedented riots in his Rolls Royce was rather risky.
Or a video of the student taken to hospital with blood on his face, concussed from the truncheon blows, to show that the people are serious about wanting a change and a revolution is brewing and the cuts haven’t even begun to bite.
After tea and biscuits, she could go over the budget figures and point out to him that the UK government has just slashed 40 % off the budget to give money to the banks for fraudulently engineered paper debts.
Perhaps she should show him footage of the parliament in Iceland being stormed because the people refused to pay the banks debts as evidence that in 2010 things are really not like they used to be in the good old days when kids went down the coal mines.
Who knows if facts will help?
It could be that Charles thinks plunging into a round of high profile public engagements is a display of defiance that will impress the hard pressed peasants, suggesting toughness, courage and an arrogant disdain of dangers by the superman, who is destined to rule the British empire.
Perhaps he thinks the crowds will be inspired by his appearance in a Rolls Royce, waving from the window, as he trundles down Regents Street guarded by water canon trucks, tanks and armoured vehicles, all sticking close just in case.
Water canon trucks are of limited use when crowds move fast around a city, splitting into groups. Also, the use of water canon on peaceful protestors in Stuttgart, Germany, actually multiplied the number of people demonstrating on the streets against a railway project perceived to benefit only a corporate clique.
Someone needs to pluck up courage and explain to Charles that keeping a stiff upper lip generally only wins kudos when people are seen to be fighting for a higher ideal: for example, the common good, justice, truth.
The robbery of a country via a bank scam to have more valets and butlers is not considered a high ideal. A draconian reduction of the population so that Charles and Philip have more green space to ride out in is not considered a statemanlike ideal in a civilization moulded by the ideals of classical Greece and Rome, and infused by the sensibility of Shakespeare.
If Charles has a moment in between playing polo, skinning or gardening, he could flick through his Plato, and study Plato’s theory of courage. For someone to be courageous, they have to fight for something that is objectively a good thing, argues Plato. Otherwise it is not courage, it is stubbornness, folly, delusion.
Another approach to get Charles to open his mind might be to show him the many recent neurological studies that show that if we think the same thoughts over and over again, these thoughts configure our brain in such a way that we find it hard to think other thoughts.
For example, if we spend all our time scheming, calculating, plotting, intriguing for our profit, we can find those parts of our brains that think more altruistic thoughts shutting down for lack of use. Our thoughts become locked into the neurological circuits that lead to repetition. This appears to be the neurological roots of obsession, fixation and egomaniacal delusion. If the thought is speeding around my own brain so fast, it must be real, no?
No one as much as Aristotle put so much emphasis on cultivating the habit of virtue, the habit of justice, of integrity of generosity and of courage.
Who knows what will persuade Charles to consider the many new factors at play, and adapt his behaviour to the ever changing circumstances, and take sensible precautions for his own safety?
But for his own sake, one of his plentiful and highly paid advisors should surely make an effort and try to stop him getting into a scrap of the kind he got into on Thursday after he ignored warnings about just how dangerous his jaunt to the theatre would be and found himself dangerously alone in a mob, and that no amount of water canons, tanks and riot police can protect him or his banker friends if he takes such risks under the influence, it would appear, of nothing more noble than hubris.
The universal law of justice is as simple as it is inexorable: they who sow the wind of war and bank collapses, shall reap the whirlwind.
Vandana Shiva doesn’t mince words. Food safety is food fascism:
“Risk Assessment in the hands of centralized corruptible agencies is no protection for consumers as the disease and health epidemic in the U.S. linked to over processed, industrial foods show. Even while the U.S. is at the epicenter of the food related public health crises, the U.S. government is trying to export its Food laws which deregulate the industry and over regulate ordinary citizens and small enterprise. This deregulation of the big and toxic and over regulation of the small and ecological is at the core of Food Fascism …”
The Nazi Minister of Propaganda, Joseph Goebbels, is equally straightforward:
“If you tell a lie big enough and keep repeating it, people will eventually come to believe it. The lie can be maintained only for such time as the State can shield the people from the political, economic and/or military consequences of the lie. It thus becomes vitally important for the State to use all of its powers to repress dissent, for the truth is the mortal enemy of the lie, and thus by extension, the truth is the greatest enemy of the State.”
What’s the truth?
Michael Taylor, the Monsanto executive who gave this country rBGH, deregulated GMOs, and kept GMOs all unlabeled, thanks to Obama, is “The Food Safety Czar” at the FDA.
That Czar, “[t]he person who may be responsible for more food-related illness and death than anyone in history,” has been using “food safety” as a weapon against small local farms and local food co-ops. (For any who missed the Rawesome Raid, here’s the video on youtube.)
The places being shut down are providing the most wholesome and nutritious food available and their tests come back clean, but the places are closed down regardless, often with no means of reopening. The problem is they are not within a just or even rational legal framework but one run by Monsanto, a company which devised a means to sue farmers for labeling their milk honestly, as rBGH-free.
Requirements farmers are being asked to meet include such violations of civil and human rights as keeping the names, addresses and phone numbers of customers and limits of on how much milk they can produce (If the milk is safe, on what basis does the state limit how much can be produced? And what other food has limits on production?). They face closings over missing a single page of pasteurization information, and shutting down of a food club with demands for paper work and names of customers even without charges being filed.
There are no “food safety” violations here, only the violation of a corporation shutting people down who are providing safe food and cutting off people depending on them for that food.
The list of raids since Obama came in is incomplete. It comes on top of SWAT team raids that occurred under Bush – also without reasonable cause, and repeatedly against a single farmer, and sometimes without any cause.
Food (especially milk products), equipment and personal computers are seized by state agents without a warrant and destroyed (sometimes running into hundreds of thousands of dollars of losses) which is followed by destruction of the farmers’ own food, stored for the family for the year. None is replaced and the farmer is not compensated.
Under such an FDA regime, “food safety” has lost all meaning. It is a farce of paperwork and a complex, irrelevant (to true safety of food) regulations which allow for governmental discretion in how standards must be met or maliciously assuring they can never be met, and in how penalties are applied. It is an arrangement that keeps doors wide open to willful government injustices. Lost in this complicated, pretense-filled, science-sounding bureaucratic system is the fact that “food safety” has nothing whatever to do with the actual safety of the food.
When it comes to literal food safety, the FDA, tasked to protect food, has illegally allowed antibiotics, hormones and slaughterhouse waste (all banned for years in Europe) to enter the food supply, along with pesticides and GMOs, with none ever having been tested for safety in humans. And those toxic items remain there today despite decades of studies (by scientists outside the FDA) proving their danger conclusively. How many people have died from this exposure, and not from acute infections but from chronic diseases such as cancer, diabetes, heart disease and more?
Those toxic substances are all corporate products and the bases of the immense profits to Monsanto, agribusiness in general, the food industry, and especially to the pharmaceutical industry which both sells the toxins and many of the food “additives” and then, after the food is consumed, swoops in like a vulture to pick the bones clean from perhaps the most profitable aspect of all – the steadily increasing diseases it and its brother corporations are assuring.
America does produce safe food but it is produced outside of the industrial [model] based on drugs chemicals, animal confinement, and GMOs. It comes only from the farms Monsanto is working to shut down.
That the FDA is concerned with “food safety” is a fiction propped [up] by propaganda. This is perhaps best exemplified by the raids occurring now, most of them involving raw milk.
The “food safety” stage was set by a long standing government smear campaign around raw milk’s alleged threat to health, giving the public the impression that the FDA was on the job protecting them from dangerous pathogens on farms. The public was unaware of how often the government accused farmers of producing milk with salmonella or another pathogen, shut the farmer down for a few weeks, and put that scare-mongering news in the media. But when the tests came back clean, that did not make the news. In the meantime, the farmer’s reputation was damaged and weeks of income were lost. Farmers, to defend themselves, began taking samples at the same time the government did, and having independent labs quickly confirm the milk was safe, undermining the government ruse.
In any case, the false accusations did not dampen the rapidly growing demand for raw milk. Perhaps because the milk is clean and the rigmarole of testing wasn’t offering a means to shut down dairy farmers Monsanto is now shutting them and food buying clubs down anyway, dropping all pretense of cause.
This becomes yet more absurd and unjust since the reality is that raw milk is the cleanest milk in the country whereas pasteurized milk in supermarkets contains pesticides, hormones, antibiotics, pus and GMOs. And pathogens. For while the FDA is accusing raw milk of being unsafe, in truth, the FDA is ignoring 5 to 20% of pasteurized milk in supermarkets, coming from the dairy industry, can be cultured for the Crohn’s bacterium. It is contaminated with a disease bacterium. The FDA has known this for more than a decade and done nothing about it, not even informing researchers and doctors searching for the cause that pasteurized milk is a likely source.
And to make the FDA’s actions more ludicrous in terms of “food safety,” the raw milk they are trying to get rid of is sought after by many in order to treat Crohn’s disease.
“Food safety” under Monsanto is Orwellian regulations enlarged to the specter of a Howitzer, easy to swing around and aim at small farms and food co-ops providing incontrovertibly safe, nutritious food, in order to shut them down. But somehow the big gun is permanently jammed when it comes pointing at giant corporate facilities sending out contaminated food to millions, sickening and even killing people. Those facilities, despite deaths, have not been closed for a single day.
The FDA (Monsanto) claims it can’t deal with the big corporate offenders without more fire power, so it wants a much, much bigger weapon and total discretion to act whenever and however it decides. The farmers and local food producers, wide-eyed, call out to the country, “Look who their target has been! Look who their target is now!” Given Monsanto overriding existing legal constraints to shut down people doing everything right, their intent is clear as is their drive. With the force and scope of what the “food safety” bills contain, Monsanto would be freed up to obliterate small farming and all local food systems in the US.
Colbert has done a show on the armed FBI raid in LA, and Olbermann did a show on a proposed Miami law that would use “food safety” to criminalize donating to the homeless. Word is starting to get out that something serious is occurring around food and Americans’ rights to produce it and use it freely. Monsanto would probably agree, since it has been appearing in court (as FDA’s “food safety” division) to try to remove human rights around food and health.
Realizing that who is behind FDA “food safety” (Monsanto of documentary fame) begins to lift the veil from the FDA’s claims that it must have more power to go after corporate violators, to reveal the Howitzer beneath, one which Monsanto is using only against hard-working people providing exactly what the country says it wants – a local food economy, safe food, local jobs, food security, and little carbon footprint.
Vandana Shiva says this partnership between the state and corporations is corporate rule. Is that the truth about “food safety”?
Imagine an American president who, during a press conference, extols the importance of cars made by Mercedes Benz or BMW. The reaction, particularly on Fox News, is easily envisioned: outraged cries of “elitist” and “out of touch” would persist for days or even months afterward.
Fine. Both Mercedes and BMW manufacture cars in the U.S. But here are two essential points: Those two automakers each control about the same percentage of the domestic car market that automotive analysts believe electric cars will have by 2020. Second, and perhaps more important: the same people who buy Benzes and Beemers – the wealthy – are the ones most likely to buy a new electric car.
Obama’s electric vehicle fetish reflects much of the inanity of our discussions about energy. The idea that oil is bad, and that we must therefore throw vast sums of money at efforts aimed at fueling our automotive fleet with something else – anything else – ignores both economic realities and the myriad problems inherent with EVs.
First, the economic realities. Earlier this year, Deloitte Consulting released a report on EVs which found that the most likely buyers are people with household incomes “in excess of $200,000” and “who already own one or more vehicles.” Furthermore, Deloitte expects those buyers to be “concentrated around southern California where weather and infrastructure allow for ease of EV ownership.”
Deloitte concluded that the US now has about 1.3 million consumers who “fit the demographic and psychographic profiles” of expected EV buyers. It went on, saying that mass adoption of the EV “will be gradual” and that by 2020, perhaps 3 percent of the US car market could be amenable to EVs. The report also says that the keys to “mass adoption are 1) a reduction in price; and 2) a driving experience in which the EV is equivalent to the internal combustion engine.”
Think about those numbers. Out of 300 million Americans, perhaps 1.3 million of them – with many of those living in areas in or around Los Angeles and San Diego — are likely to buy an EV.
Deloitte’s projections are exactly the same as those recently put forward by Johnson Controls Inc., a company that makes batteries for cars and is building two new plants in order to supply the EV market. Last month, the Wall Street Journal reported that Johnson Controls’ research “found that the pool of US customers for whom an electric car makes financial sense – those who travel many miles a year, but on short trips – is very small, about three percent of drivers.”
Hmmm. Three percent of drivers? In both 2009 and 2010, Mercedes and BMW each controlled about 2 percent of the US auto market.
Why will EVs be playthings for the rich? The answer is simple: the history of the EV is a century of failure tailgating failure. Consider this quote: In 1911, the New York Times declared that the electric car “has long been recognized as the ideal solution” because it “is cleaner and quieter” and “much more economical” that gasoline-fueled cars.
Whenever you hear about the wonders of the new hybrid-electric Chevrolet Volt, which at $41,000 per copy costs as much as a new Mercedes-Benz C350, consider this assessment by a believing reporter: “Prices on electric cars will continue to drop until they are within reach of the average family.” That line appeared in the Washington Post on Halloween, 1915.
And since the Volt is being built by GM, ponder this news item which declared that the carmaker has found “a breakthrough in batteries” that “now makes electric cars commercially practical.” The batteries will provide the “100-mile range that General Motors executives believe is necessary to successfully sell electric vehicles to the public.” That story was published in the Washington Post on September 26, 1979.
The problem today is the same as it was in 1911, 1915, and 1979: the paltry energy density of batteries. On a gravimetric basis, gasoline has 80 times the energy density of the best lithium-ion batteries. Of course, electric-car supporters will immediately retort that electric motors are about four times more efficient than internal combustion engines. But even with that four-fold advantage in efficiency, gasoline will still have 20 times the energy density of batteries. And that is an essential advantage when it comes to automobiles, where weight, storage space, and of course, range, are critical considerations.
Despite the all-electric automobile’s long history of failure, despite the fact that EVs will likely only be driveway jewelry for the wealthy, the Obama administration is providing more than $20 billion in subsidies and tax breaks for the development and production of cars that use electricity instead of oil.
Indeed, the administration keeps throwing money at EVs despite a January 2009 report published by the Department of Energy’s Office of Vehicle Technologies, which said that despite the enormous investments being made in plug-in hybrid-electric vehicles and lithium-ion batteries, four key barriers stand in the way of their commercialization: cost, performance, abuse tolerance, and life. The key problem, according the DOE analysts, was—predictably—the battery system. The report concludes that lithium-based batteries, which it calls “the most promising chemistry,” are three to five times too expensive, are lacking in energy density, and are “not intrinsically tolerant to abusive conditions.”
Remember when Barack Obama, the presidential candidate, berated the Bush administration for not paying attention to the science? In December 2008, shortly after being elected to the White House, he declared, “It’s time we once again put science at the top of our agenda and worked to restore America’s place as the world leader in science and technology.”
Restoring America’s leadership in science and technology is a worthy goal. But by attempting to pick winners in the car business — arguably the world’s single most competitive industry — the Obama administration is forgetting history and the panoply of problems that have kept EVs in the garage since the days of Thomas Edison. It’s time to unplug this subsidy-dependent industry and let the free market work.
This past week, U.S. President Barak Obama announced a plan to displace 11 percent of U.S. oil consumption with biofuels by 2022, offering $786 million in subsidies to energy corporations for new refineries in an ethanol industry that is far from being economically viable.
Under the new Obama plan the Environmental Protection Agency (EPA) will require fuel refiners and importers to guarantee that a percentage of their fuel is from renewable sources. The percentage will increase each year until the country is using 36 billion gallons of renewable fuel by 2022.
“It’s another opportunity for producers to profit” Agriculture Secretary Tom Vilsack says, but the fact that the plan is being marketed as such might suggest cause for caution in an industry that exists almost wholly due to federal mandates.
“Our economy is at the mercy of foreign oil producers, and everybody feels that when it hits us at the pump,” EPA Administrator Lisa Jackson said in support of the new plan. In fact though, recent events in the oil markets reveal that it was market activity rather than suppliers that caused the oil price bubble. Just as with real estate, there never was a lag in supply and prices were boosted by speculative trading with some shipments exchanging hands dozens of times while en route to their destinations. Hedge funds gambled with highly leveraged portfolios of oil futures in a bubble market fed by alarmist fears of ever compounding rates of growth in oil demand balanced against projected future oil production data that didn’t recognize unconventional oil.
The reality is that energy producers, whose economies are reliant on exports for as much as 95% of their income, are much more at the mercy of the demand-side driven market. Entire national government budgets are funded by nothing else but oil receipts. Energy production and supply is an industry that is characterized by interdependence between importer and exporter, this is why Europe and China are engaging in long term supply contracts that offer stability for all involved.
Left unaddressed by the Obama team is the harsh reality of globalized commodity markets which will see basic food prices sustain price rises that result in starvation for hundreds of thousands or as many as tens of millions of the world’s poorest, often landless, populations. It takes 232 kilos of maize to fill a standard gas tank with fuel. In this case, supply and demand are actually at work affecting market prices and economic choices such as which type of use land is put to.
Responding to European hunger for biofuel, many African countries have expanded single-crop farming surfaces. But only large businesses have the resources and capital to reach the critical size that allows for economies of scale which make the venture profitable.
Smallholders, which in countries like Benin account for the majority of land use, and up to 80 percent of employment opportunities, do not benefit from the biofuel windfall. In addition, land, water and other limited resources are being diverted from scarce food-producing crops.
Several international institutions, including the International Monetary Fund and the Food and Agriculture Organisation, have acknowledged in recent years that the increasing demand for biofuel crops has catastrophic social, economic and nutritional impacts on developing countries and their already tense food resources.
In Senegal, which was affected by food riots a year ago, up to 200,000 hectares (10 percent of the country’s arable lands) might be set aside for jatropha crops for biofuels.
Second and third generation biofuels are supposed to limit environmental and social impacts because of either the use of non food-producing crops or biomass such as algae and fungus.
“That’s a sham,” insists Ambroise Mazal of the Catholic Committee against Hunger and for Development, “because second generation fuels made from non-edible crops still take up arable lands and the research is far from developing sustainable biomass in laboratories.”
Why did Obama choose to exceed both the Bush and E.U. mandates? Even the Congressional Budget Office has reported that ethanol mandates drive food prices higher. While Obama’s connections with corporate agriculture are well documented and widely reported, less discussed is the Israel lobby’s interest in “energy independence”. It seems that as in so many other crucial areas of U.S. policy, the Israel lobby has been influencing the energy agenda as well. Nancy Pelosi perceives a need (for America?) to “achieve independence from Middle East oil.” Even though imports from Middle East sources account for only a small percentage of U.S. oil imports. One wonders just what scenario of hers results in a cessation of oil exports from the Middle East, Israeli aggression on Iran perhaps?
House Speaker Nancy Pelosi at a 2007 AIPAC conference:
“With innovation, we broaden our horizons, and expand our vision, in order to create a better world. That is why House Democrats have introduced our Innovation Agenda: A Commitment to Competitiveness to Keep America Number One. I know this is an area where the United States and Israel can work together.
“At the end of February, the House passed legislation to foster joint projects between the United States and key allies such as Israel, which offer the promise of using the best new innovation to improve security for all of us.
“In energy policy, the United States and Israel have another opportunity to combine our best innovative ideas. The U.S.-Israel Energy Cooperation Act would help fund joint ventures between United States and Israeli businesses and academic institutions for the development and commercialization of alternative renewable energy sources.
“American and Israeli ingenuity can be put to work to achieve energy independence from Middle East oil. A sustained investment in research and development is crucial to creating cutting-edge technologies to develop these clean, sustainable alternatives and capitalize on vast renewable natural resources, including solar energy and wind power.
At the recent AIPAC conference the program featured Mr. Andy Karsner Former Assistant Secretary of Energy, Office of Energy Efficiency and Renewable Energy and Mr. Jonathan Baron Founder and Principal, Baron Communications LLC giving a report titled:
The majority of the world’s oil sits beneath the sands of unstable nations and under the control of hostile authoritarian leaders. Is there still an American appetite for energy independence? If so, what will it take to achieve, and can such a move secure our nation? [emphasis mine]
Are biofuels really a sensible way for the U.S. to address the “hostility” of Middle Eastern leaders or would it be more in America’s interests to remedy the cause of anger? The biofuels “energy independence” policy offers a grim view of a future so warlike that America’s trade relations with entire, economically significant, regions are shut off. Is this Obama’s “forward looking” vision?
Daily we are deluged with gloom about how we are overwhelming the Earth’s ability to sustain and support our growing numbers. Increasing population is again being hailed as the catastrophe of the century. In addition, floods and droughts are said to be leading to widespread crop loss. The erosion of topsoil is claimed to be affecting production. It is said that we are overdrawing our resources, with more people going hungry. Paul Ehrlich and the late Stephen Schneider assure us that we are way past the tipping point, that widespread starvation is unavoidable.
Is this true? Is increasing hunger inevitable for our future? Are we really going downhill? Are climate changes (natural or anthropogenic) making things worse for the poorest of the poor? Are we running out of food? Is this what we have to face?
Fortunately, we have real data regarding this question. The marvelous online resource, the UN Food and Agriculture Organization (FAO) statistics database called FAOSTAT, has data on the amount of food that people have to eat.
Per capita (average per person) food consumption is a good measure of the welfare of a group of people because it is a broad-based indicator. Some kinds of measurements can be greatly skewed by a few outliers. Per capita wealth is an example. Since one person can be a million times wealthier than another person, per capita wealth can be distorted by a few wealthy individuals.
But no one can eat a million breakfasts per day. If the per capita food consumption goes up, it must perforce represent a broad-based change in the food consumption of a majority of the population. This makes it a good measure for our purposes.
The FAOSTAT database gives values for total food consumption in calories per day, as well as for protein and fat consumption in grams per day. (Fat in excess is justly maligned in the Western diet, but it is a vital component of a balanced diet, and an important dietary indicator.) Here is the change over the last fifty years:
Figure 2. Consumption of calories, protein, and fat as a global average (thin lines), and for the “LDCs”, the Least Developed Countries (thick lines) . See Appendix 1 for a list of LDCs.
To me, that simple chart represents an amazing accomplishment. What makes it amazing is that from 1960 to 2000, the world population doubled. It went from three billion to six billion. Simply to stay even, we needed to double production of all foodstuffs. We did that, we doubled global production, and more. The population in the LDCs grew even faster, it has more than tripled since 1961. But their food consumption stayed at least even until the early 1990s. And since then, food consumption has improved across the board for the LDCs.
Here’s the bad news for the doomsayers. At this moment in history, humans are better fed than at any time in the past. Ever. The rich are better fed. The middle class is better fed. The poor, and even the poorest of the poor are better fed than ever in history.
Yes, there’s still a heap of work left to do. Yes, there remain lots of real issues out there.
But while we are fighting the good fight, let’s remember that we are better fed than we have ever been, and take credit for an amazing feat. We have doubled the population and more, and yet we are better fed than ever. And in the process, we have proven, once and for all, that Malthus, Ehrlich, and their ilk were and are wrong. A larger population doesn’t necessarily mean less to eat.
Of course despite being proven wrong for the nth time, it won’t be the last we hear of the ineluctable Señor Malthus. He’s like your basic horror film villain, incapable of being killed even with a stake through the heart at a crossroads at midnight … or the last we hear of Paul Ehrlich, for that matter. He’s never been right yet, so why should he snap his unbeaten string?
APPENDIX 1: Least Developed Countries
Africa (33 countries)
Angola
Benin
Burkina Faso
Burundi
Central African Republic
Chad
Comoros
Democratic Republic of the Congo
Djibouti
Equatorial Guinea
Eritrea
Ethiopia
Gambia
Guinea
Guinea-Bissau
Lesotho
Liberia
Madagascar
Malawi
Mali
Mauritania
Mozambique
Niger
Rwanda
São Tomé and Príncipe
Senegal
Sierra Leone
Somalia
Sudan
Togo
Tanzania
Uganda
Zambia
Critics of globalization point out with some justice that poor people around the world suffer far more than the citizens of industrialized nations during downturns in the global economy. Peasants in developing countries can find their lives hanging in the balance during a rise in food prices or a decline in the global market value of the goods they produce. Never was this more true than during the hey-day of the European imperialism in the last three decades of the nineteenth century. Aggressive trade practices and the ruthless use of military force effectively subdued nations in Asia, Africa, and South America and brought these countries into a global trade system. By the 1870s, and certainly by the turn of the century, many European countries, above all Great Britain, had created the world’s first global market economy. Financial markets in London, Paris, Amsterdam, and elsewhere were linked by telegraph to places where raw materials were produced for European consumption, while established trade routes were patrolled by European navies (particularly the Royal Navy). The economic power of the extensive British Empire was unparalleled and the inner workings of the global system dominated by London determined the fate of innumerable people around the world.
It is with the workings of the British economic system and their impact on indigenous populations in India, China, and elsewhere that Mike Davis’ book Late Victorian Holocausts is concerned. Davis’ point of departure is a simple question. Why is it that widespread hunger in Western Europe disappeared in the nineteenth century while famine and disease raged throughout multiple places in what today we would call the “Third World”? Davis provides a simple answer: European imperialism (especially British imperialism) created a global economic system through which the food and wealth of conquered nations (i.e. colonies) was siphoned off for the benefit of wealthy and powerful Europeans, while those in the colonies were left to starve and die. The result was mass death (what Davis calls “holocausts”) on an unprecedented scale in India, China, Brazil and other places, that was most intense during the El Niño drought years of 1876-77 and 1888-1902.
This imperial global economic system was certainly not a “free” market in any sense of the word. It was in fact bolstered by a long series of tariffs and unfavorable trade relationships that were forced by Europeans upon the peoples they conquered. Colonies were in turn subjected to economic pressure dictated by and manipulated from financial centers in Western Europe. It was these economic forces, as well as brutal gunboat diplomacy, that Davis argues created the Third World as we know it today.
THE “FREE MARKET” AS A MECHANISM OF MASS MURDER
Davis’ primary focus in fleshing out his story is the crown jewel of Britain’s colonial empire: India. Drought was the precipitating cause of the hardship faced by the Indian people. However, Davis demonstrates with statistics and anecdotes that it was the unregulated “free market” system imposed on India by Britain that led to the deaths of tens of millions in the mid-1870s and late 1880s.
How did death and human suffering on such a massive scale happen? Following the English conquest of India in the early nineteenth century, economic relationships in the sub-continent underwent revolutionary changes. Thousands of miles of railroad track were laid. Telegraph wire was strung between outlying areas and the capitol city of Bombay (Mumbai today). Central grain collection depots were created and Indian grain was exported in massive quantities to the British Isles. Also, Indian subsistence farmers were gradually forced out in favor of large land enclosures. Within these new enclosures cash crops like cotton were planted, which supplied the textile mills of Lancashire, but which could not feed the Indian peasants who farmed the land. Finally, the tax burden upon the Indian peasantry was increased exorbitantly to pay for these “improvements”. British authorities needed the revenue to finance war in neighboring Afghanistan.
The innovations imposed by the British on India re-directed the trajectory of Indian commerce and especially food production toward Great Britain and away from the local village markets where the food was needed. Rail lines and the adjacent grain depots enabled British authorities to stockpile grain and keep it under guard away from the people who needed it most, while telegraph lines dictated the price of grain on world commodities markets to local producers. When grain prices rose across the board in global trading, peasants could not afford to buy food.
In the face of these crippling economic forces, British colonial authorities did nothing, primarily because they would not “tamper” with the operation of the liberal “free” market that Britain had created. The Viceroy of India during the famine years of the 1870s was Lord Lytton, a mentally unbalanced English noble. Davis recounts that in the midst of widespread famine and the deaths of millions all around him, Lytton maintained a strict laissez-faire attitude toward famine relief. As Lytton wrote at the time, “there is to be no interference of any kind on the part of the Government with the object of reducing the price of food,” a policy proposal Lytton termed “humanitarian hysterics” and “cheap sentiment”. (p. 31)
Lytton and his fellow administrators preferred instead to blame the “laziness” of famine victims themselves for causing their own dire fate. Citing Lord Temple, “Nor will; many be inclined to grieve much for the fate which they brought upon themselves, and which terminated lives of idleness and too often of crime”. (p. 41) The task of saving life, therefore, was “beyond our power to undertake,” claimed Temple and Lytton, and it was “a mistake to spend so much money to save a lot of black fellows”. (p. 37)
British officials were thus completely unwilling to intervene in the operation of the “free” market despite seeing death on a massive scale all around them. Overall at least 7.1 million people, and perhaps as many as 10.3 million people, died during the famine years of 1876-1878. (p. 111) Furthermore, despite death on this scale and falling production caused by drought, British officials in India still managed to export 6.4 million cwt. of wheat to Great Britain. (p. 31)
LIFE AND DEATH FOLLOWS THE MARKET CYCLE
The years following 1879 were a time when the world market continued to expand. Monsoonal rains settled back into a normal pattern and grain production around the world rose considerably. These were also years when Britain and other colonial powers expanded their reach into the interior of the subjugated countries they held. In India, even more land is brought under cultivation. These lands are then connected to the market by expanded telegraph and rail lines. Then in 1888-89 and 1891-92, the bottom again fell out of the system as El Niño drought gripped the temperate regions of Asia once more.
The resulting death from famine and disease, caused by the very same factors operating in India and elsewhere in the 1870s, was unfathomably huge. By 1902 in India alone between 12.2 and 29.3 million people perished. In China, where the British, Americans, and other European powers controlled practically all trade using military force, between 19.5 and 30 million people died. In Brazil another 2 million perished over the same time span. (p. 7).
THE “FREE” MARKET AND THE MAKING OF THE THIRD WORLD
Mike Davis demonstrates beyond a doubt that the economic structure of exploitative globalization is not a new phenomenon in the world. The lives of millions of people who formerly had survived in localized economies based on subsistence farming were wiped out “in the process of being forcibly incorporated” into the modern world system. (p. 9) Davis reminds us that markets are never free and they never operate according to “iron laws” of economics. Rather, markets are created and often the power underpinning their operation is fiscal manipulation and simple brute force.
Great Britain’s global imperial economy was a case in point. It was never a “free” market. England imposed unfavorable trade terms and high tariff walls on India, China and on all of the other countries in its empire. Local economies forced open by the British were sucked dry of their vital raw materials and in return peasants were forced to buy expensive British manufactured goods. This practice was put into place throughout the colonial world by France, Portugal, Spain, Germany and other colonial powers. If anything, the economies of European colonies were more captive markets than free markets.
The latter point is perhaps the most important conclusion of Late Victorian Holocausts; specifically, that what we call the Third World today was a product of European and, to a lesser extent, American economic exploitation. The incorporation of formerly powerful countries like China and India into the global economy by Great Britain and others effectively destroyed indigenous production. Contrary to conventional wisdom, until around 1850, India and China had actually held their own against Europeans when it came to industrial production. The localized production of wealth and industry, however, was halted and then reversed by the imposition of the global economic system. It is for this reason, Davis concludes, that India’s per capita income did not increase between 1757 and 1947; and in fact declined by more than 50% between 1850 and 1900. (p. 311).
The energy industry is aligning with government of the Philippines in reducing the burden of suppression of the insurgency in Mindanao.
Divide and rule tactics pitting Christians and Muslims against one another have failed to cement state power. Military occupation has proved ineffective. The intractable conflict with the rebels has persisted for decades despite the presence of US military advisers as well as generous provision of the latest, most lethal, weapons.
During the Vietnam war, the US used napalm and agent orange in an attempt to isolate and expose the Viet Cong. Now a new and progressive method of fracturing the links between the insurgency and the population in which the insurgents move is appearing.
Tropical rainforests can now be cleared and converted into biodiesel. All the while, the stripped areas can be replanted with palm oil plantations. Local, newly dispossessed, people can be readily hired to provide plantation labor. What’s more, consumers in Europe will have to pay the premium cost of the biodiesel because the mandates for biodiesel sales are already established.
All these benefits for transnational investors accrue from meeting carbon reduction goals!
For countless centuries slash and burn agriculture provided a sustainable subsistence in harmony with the environment in tropical rain-forests due to ample rotation cycles. But this practice is simply impossible to exploit for the export of cash crops.
Forests are now being converted into energy farms around the world at an unprecedented rate.
Proposed changes to the Brazilian Forest Code, if accepted, will double deforestation in the Amazon. As a result of lobbying by the alternative energy sector, 85 million hectares of the Amazon could be destroyed. An area equivalent to the size of England and France together and more than the total that has been destroyed until now.
By Joseph Solis-Mullen | The Libertarian Institute | August 22, 2024
Given that official Washington seems increasingly determined to fight Beijing over Taiwan, concerned Americans are right to wonder: how did the question of Taiwan come to be of such purported importance to these global powers? … continue
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