Latest Developments, May 9

In the latest news and analysis…

Democratic castration
Cambridge University economist Ha-Joon Chang argues that the imposition of austerity has turned the present into “nothing less than crunch time for democracy” in Europe:

“In particularly difficult economic times, it was even argued, we need to insulate economic policies from politics altogether. Latin American military dictatorships were justified in such terms. The recent imposition of ‘technocratic’ governments, made up of economists and bankers who have not been ‘tainted’ by politics, on Greece and Italy comes from the same intellectual stable.
What free-market economists are not telling us is that the politics they want to get rid of are none other than those of democracy itself. When they say we need to insulate economic policies from politics, they are in effect advocating the castration of democracy.”

New boss
The Guardian reports that the World Trade Organization has chosen its next head, with the selection process mirroring the rich-poor divide that has left the Doha round of trade talks stalled for years:

“Ultimately, [Roberto] Azevêdo won the backing of a majority of the WTO’s 159 members, despite a lack of support from many rich countries.
‘Had [Herminio] Blanco won – with transatlantic support behind him, plus the support of Japan and Korea – it would have looked like another rich-country stitch-up of an international [organisation] job, and that would have been very unhelpful in terms of getting progress at the WTO,’ says [the University of St Gallen’s Simon] Evenett. ‘In that sense, the outcome that we have is good for the organisation.’

He added: ‘We all wish him well, but what can he do to change negotiating positions in national capitals? The answer is not much.’ ”

The Corruptors
Inter Press Service reports on some of the reactions to revelations of “bags of cash” being given by the CIA to Afghan President Hamid Karzai:

“While the United States preaches ‘good governance’ to developing countries at the United Nations, says one African diplomat, ‘it has been doing the reverse in its own political backyard’.
And good governance not only includes multi-party democracy, rule of law and a free press but also transparent and corruption-free regimes.
Michael Ratner, president emeritus of the New York-based Centre for Constitutional Rights (CCR), told IPS, ‘If the U.S. ever stood for good government and democracy, it does not any longer.’ ”

Tainted profits
Norway has announced it has dropped an American and a Chinese tobacco producer from the government pension fund:

“The Ministry of Finance has decided to exclude Schweitzer-Mauduit International Inc. and Huabao International Holdings Limited based on the recommendation from the Council on Ethics. In accordance with the guidelines, the decision to exclude is made public once the shares are sold.”

More bodies
The BBC reports that the death toll at the collapsed Bangladeshi garment factories, which supplied a number of Western retailers, has now risen above 800:

“Authorities are continuing to search the rubble for more bodies two weeks after the Rana Plaza building collapsed on 24 April.

Officials say about 2,500 people were injured in the collapse and that 2,437 people have been rescued.

The EU has said it is considering ‘appropriate action’ to encourage an improvement in working conditions in Bangladesh factories.”

Outsourcing lethality
Foreign Policy’s Micah Zenko writes about a particular kind of extrajudicial killing that eliminates perceived enemies of the US but “more easily masks US involvement and culpability” compared to drone strikes:

“However, if you’re concerned by the Obama administration’s targeted killing policies, don’t overlook similar attacks conducted by allies and partners who receive U.S. money, weapons, or actionable intelligence. When the United States provides other states or non-state actors with the capabilities that enable lethal operations — without which they would not happen — it bears primary responsibility for the outcome. Whatever drone strike reforms the White House offers, or if additional congressional hearings are held, they must take into account America’s troubling role in client-state targeted killings.”

Gun crazy
ProPublica reports that the majority of US states are enacting legislation that renders federal gun controls irrelevant or illegal:

“Kansas’ ‘Second Amendment Protection Act’ backs up its states’ rights claims with a penalty aimed at federal agents: when dealing with ‘Made in Kansas’ guns, any attempt to enforce federal law is now a felony. Bills similar to Kansas’ law have been introduced in at least 37 other states. An even broader bill is on the desk of Alaska Gov. Sean Parnell. That bill would exempt any gun owned by an Alaskan from federal regulation. In Missouri, a bill declaring federal gun laws ‘null and void’ passed by an overwhelming majority in the state house, and is headed for debate in the senate.”

Petroleum myth
The Globe and Mail reports that former US vice-president Al Gore does not buy the argument that oil is more “ethical” if produced in democratic countries:

“ ‘There’s no such thing as ethical oil,’ he said. ‘There’s only dirty oil and dirtier oil.’ The remark triggered applause from a nearly full house at the Globe-sponsored event at a Ryerson University auditorium.

While noting that the U.S. needed to change to remove the demand for Canadian oil, Mr. Gore also said: ‘I had hoped that Canada would point the way toward a better path, but as yet it has not.’ ”

Latest Developments, May 3

In the latest news and analysis…

Second thoughts
Reuters reports that the US is “rethinking” its opposition to arming rebel forces in Syria:

“Defense Secretary Chuck Hagel cautioned that giving weapons to the forces fighting President Bashar al-Assad was only one option being considered by the United States. It carries the risk of arms finding their way into the hands of anti-American extremists among the insurgents, such as the Nusra Front.
But it may be more palatable to many in the United States than direct U.S. military intervention in the conflict, such as carving out a no-fly zone or sending in troops to secure chemical weapons.”

Detainees vs drones
The Guardian reports that a former White House lawyer has said the Obama administration prefers extrajudicial killings to indefinite detention for dealing with suspected security threats:

“[Ex-White House lawyer John] Bellinger, who drafted the legal framework for targeted drone killings while working for George W Bush after 9/11, said he believed their use had increased since because Obama was unwilling to deal with the consequences of jailing suspected al-Qaida members. ‘This government has decided that instead of detaining members of al-Qaida [at Guantánamo], they are going to kill them,’ he told a conference at the Bipartisan Policy Centre.

Obama said of the camp this week: ‘It is expensive. It is inefficient. It hurts us in terms of our international standing. It lessens co-operation with our allies on counter-terrorism efforts. It is a recruitment tool for extremists. It needs to be closed.’ ”

Austerity kills
Reuters reports that a pair of academic researchers have written a new book detailing the “devastating effect” of austerity measures in the US and Europe:

“In Greece, moves like cutting HIV prevention budgets have coincided with rates of the AIDS-causing virus rising by more than 200 percent since 2011 – driven in part by increasing drug abuse in the context of a 50 percent youth unemployment rate.
Greece also experienced its first malaria outbreak in decades following budget cuts to mosquito-spraying programmes.
And more than five million Americans have lost access to healthcare during the latest recession, they argue, while in Britain, some 10,000 families have been pushed into homelessness by the government’s austerity budget.”

Baby steps
The UK has announced that its Overseas Territories and Crown Dependencies, which comprise some of the world’s most notorious tax havens, have taken a “huge step forward” in the fight against tax evasion by agreeing to share banking information with a handful of European governments on a trial basis:

“Following the recent leadership shown by the Cayman Islands, the other Overseas Territories – Anguilla, Bermuda, the British Virgin Islands, Montserrat and the Turks and Caicos Islands – have agreed to much greater levels of transparency of accounts held in those jurisdictions.

They have agreed to pilot the automatic exchange of information bilaterally with the UK and multilaterally with the G5 – the UK, France, Germany, Italy and Spain.
Under this agreement much greater levels of information about bank accounts will be exchanged on a multilateral basis as part of a move to a new global standard.”

Capital crimes
Trinity College’s Vijay Prashad argues last month’s deadly garment factory collapse is a symptom of a problem that extends far beyond Bangladesh:

“These Bangladesh factories are a part of the landscape of globalization that is mimicked in the factories along the US-Mexico border, in Haiti, in Sri Lanka, and in other places that opened their doors to the garment industry’s savvy use of the new manufacturing and trade order of the 1990s. Subdued countries that had neither the patriotic will to fight for their citizens nor any concern for the long-term debilitation of their social order rushed to welcome garment production. The big garment producers no longer wanted to invest in factories – they turned to sub-contractors, offering them very narrow margins for profit and thereby forcing them to run their factories like prison-houses of labour. The sub-contracting regime allowed these firms to deny any culpability for what was done by the actual owners of these small factories, allowing them to enjoy the benefits of the cheap products without having their consciences stained with the sweat and blood of the workers.”

Big Green
No Logo author Naomi Klein argues “an important target is missing” from the growing movement to pressure cities and universities to divest from polluting industries, such as oil and coal:

“One would assume that green groups would want to make absolutely sure that the money they have raised in the name of saving the planet is not being invested in the companies whose business model requires cooking said planet, and which have been sabotaging all attempts at serious climate action for more than two decades. But in some cases at least, that was a false assumption.
Maybe that shouldn’t come as a complete surprise, since some of the most powerful and wealthiest environmental organisations have long behaved as if they had a stake in the oil and gas industry. They led the climate movement down various dead ends: carbon trading, carbon offsets, natural gas as a “bridge fuel” – what these policies all held in common is that they created the illusion of progress while allowing the fossil fuel companies to keep mining, drilling and fracking with abandon. We always knew that the groups pushing hardest for these false solutions took donations from, and formed corporate partnerships with, the big emitters. But this was explained away as an attempt at constructive engagement – using the power of the market to fix market failures.
Now it turns out that some of these groups are literally part-owners of the industry causing the crisis they are purportedly trying to solve.”

6 to 1
Chicago Reader’s Steve Bogira writes that US government policies have helped widen America’s “racial gap in wealth”:

“The average wealth of white families in 2010 ($632,000) was almost six times that of Hispanic families ($110,000) and more than six times that of black families ($98,000). The median wealth figures are similarly lopsided: $124,000 for white families, $16,000 for black families, $15,000 for Hispanic families.

The recession of 2007-2009 may be largely responsible: it cut the wealth of white families by 11 percent, but it reduced the wealth of black families by 31 percent and Hispanic families by 40 percent.”