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A Teaser to ‘The Empire of Poverty’: The First Volume of The People’s Book Project

A Teaser to ‘The Empire of Poverty’: The First Volume of The People’s Book Project

By: Andrew Gavin Marshall

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The following is a little teaser to some of the ideas, approach and perspective being pursued through the research and writing of the first volume of The People’s Book Project, ‘The Empire of Poverty.’ Please consider donating to the Project to help these efforts come to fruition.

It’s important to try to understand the global economic and financial system – the banks, corporations, central banks, economic policies (and effects) of governments, trade agreements, the creation and value of currencies, the function of the oft-heard ‘markets’ – as daunting as the task may seem. One might think that they need a degree in Economics in order to understand the complexities of the global economy, to comprehend the correct choices and policies which achieve the desired results. One might think that this is true, but it isn’t. The truth is that if most economists understood the global economy, and knew the ‘correct’ choices to make, we wouldn’t be where we currently are.

Economics – both theory and practice – is an illusion. There are no concrete rules on which to base economic thought; there is no ‘gravity’ to its physics. Economics is not science, it’s sophistry; the sleight of hand, the quick and slick tongue, the wave of the wand, the theatrics of the stage set for all to see, and the effects – as destructive as they may be to the real world and all life within it – are largely hidden from view; the illusion keeps the population enraptured in awe, aspiration, and fear.

This is not to say that there cannot be anything real produced or given growth by what we call ‘economics’: there are of course exchanges made, resources used, products created, lives benefitted, and entire societies and peoples changed. The effects are very real. However, they have a disproportionately destructive, oppressive, and dehumanizing effect upon the vast majority of humanity: they bestow upon a tiny fraction unparalleled power, and thus, dehumanization in another form; while creating a comparably minimal buffer of generally satiated and malleable middle classes, educated well-enough to work and survive the horror show that is the global economic order, but consumed by a culture lacking in substance and meaning, and thus, left morally, psychologically, and intellectually lobotomized, physically paralyzed, and thus, once again, dehumanized.

So our global economic order has the effect of generally dehumanizing all who are subject to its whims and whammies; which is to say, almost everyone, everywhere. Those peoples and societies that are not integrated into the global economy tend to be bombed, invaded, overthrown or droned. Those who remain are doomed to slow death: one in seven people on earth live in urban slums[1] – more than the combined populations of Canada, the United States, and the European Union – while the majority of humanity lives in deep poverty, in hunger, and malnutrition; with 18 million people being killed from poverty-related causes every year, including over 9 million children.[2] Every year.

During the Holocaust, approximately six million Jews were killed. Take that number, add 50% to make 9 million, and just think: this is how many children die every year from poverty. Every year a new Holocaust.

These deaths are preventable. Truly. It has been estimated that less than the yearly Pentagon budget would lift the poorest 3 billion people of the world out of extreme poverty. In fact, in the twenty years following the end of the Cold War in 1991, there were roughly 360 million preventable deaths caused by poverty-related issues, more than the combined deaths of all of the wars of the 20th century.[3]

But this is not our priority. Our priority is that banks and corporations make as much profits as possible, because this – by some unknown and unseen magic – will (it is said) benefit everyone else. It is propagated and believed that this system, as it exists, or even with the proper tinkering and toiling, can represent the totality of life and being on this world; to be humanizing, and to represent ‘human nature’ at its best. But if this system were ‘human nature,’ why would it be so dehumanizing? How many organisms grow by destroying that which their existence depends upon? Parasites, cancers and various diseases can kill the host before transferring to another.

We have no other host to go to. Those who sit atop the global structure know this, which is why they express such an interest in finding new planets to escape to (and presumably, plunder and destroy). The billionaires have given up pretending to care for the world’s billions of people suffering, which is why they are looking to space travel, mining asteroids, and searching for hospitable environments elsewhere.[4] Their long-term ‘exit strategy’ is to abandon ship, not to change the direction we currently traverse.

Are we – as a species – a cancer upon the earth? Looking at the big picture, it may often seem that way. But it is in the small moments, the single acts, exchanged emotions, interacting individuals, in the every day life – those moments of joy, love, wonder – in which we find our own personal meaning, in which we discover that humanity – and human nature – can be so much more than destructive, petty, and pestilent behaviour. We are told we are a society of ‘individuals’ – that we are free, democratic and equal. If that were the case: why are we so isolated? We are individuals, yes, in the physical sense: but we are disconnected from the collective, separated from the species as a whole.

We think and act individually, but do so ignorantly, and arrogantly. Our thoughts and feelings are collected and collated by our commanding culture of irrelevance. The immense gift of a human mind – with all of its possibilities and capabilities, both known and unknown – is largely squandered on pop culture, sports, celebrities, consumer items and entertainment. So long as we remain distracted by the ‘celebration of irrelevance’, we are lobotomized of our meaning.

Is this how you see yourself as an individual? As the world you live in? It’s not an appealing thought. So why, then, do we live in a world in which as individuals we may act morally, purposefully, passionately, and proudly; though as a collective species, we are petty, parasitic, power-mad, pathological, and pretty much evil?

Is it ‘human nature’ that our personal values and priorities are not reflected in the collective – institutionalized – expression of humanity? Or, is it that the way in which our society is constructed, the institutions and ideologies, the policies, programs, priorities and effects of the way in which our world is ordered and altered, is inherently counter to ‘human nature’? In other words: is human nature inherently self-destructive; or, is our constructed human ‘society’ (our global social, political and economic order) inherently destructive to human nature? Does human nature pervert the effects we have upon the world, or do the structures of world order – and power – pervert human nature?

It is this vast disconnect between our personal values and the form they take at the global – collective – level of the species, which is ultimately so dehumanizing. Because power is centralized at the top, and for such a tiny fraction of the species – so much so that there has never been a more unequal and vast ‘Empire of Poverty’ in all of human history, the ‘great inequality’ is not of wealth, but of power.

Wealth is an illusion: a manufactured means to power, a collective delusion. Power is central to human nature. Every person needs power: they need autonomy over their own lives, thoughts, feelings, and decisions. It is central to maturity, it is central to leaving adolescence and becoming an adult, and it is central to finding a sense of self-worth. Understanding oneself is to empower oneself. Power is about possibility, personal fulfillment, passion and purpose. It has individual and social representations. It can be seen – or not – in your own life, but also in the world around us.

A pre-requisite for power is freedom. The process of achieving freedom is, itself, empowering. Once (and if) achieved, it is of immense responsibility to use your new power of freedom wisely, for the effects that it may have upon others and the rest of the world are endless. Power is freedom, quite simply, because slavery is the opposite of both freedom and power: it is the most un-free and the most disempowering personal position to be in.

Freedom is power; power is freedom. If we were actually free, we would have significantly more power. But we don’t. We barely have any control over our own individual lives, let alone the world around us. We leave all that to the others, to those with the proper degrees, the ‘expertise,’ the politicians, the pundits, the ‘right’ people… because they’ve obviously done such a great job of it so far. We remain – as a species, and very often as individuals – neutered from the necessities of individual empowerment, subjected instead to the very-often-arbitrary abuses of power over others.

So if we are not free, what are we? Certainly, we are not slaves, for we have no shackles, bear the brunt of no whips, serve no visible masters. We are, perhaps, slaves of another kind. We are financially, reflexively, intellectually, emotionally and hopelessly and very often spiritually enslaved to the system, as it exists. We are slaves to money. We serve the masters of money, with our time, with our labour and efforts, with our interactions, exchanges, interests, intelligence and aspirations. We are slaves to money.

Our society is built and sustained upon it; and our species is being driven to extinction because of it. The cause and effect of money – or more aptly, debt – slavery, is the distribution of power among the species: too few have too much, and too many have too little. This imbalance of power within the species is leading to our self-destruction, our inevitable extinction if we continue along this path.

Money is both the means and very often – the reason – for continuing down this path, for maintaining this imbalance. While very few have all the money, everyone – and everywhere else – has all the debt. This is not the wondrous ‘free market’ capitalist utopia which is incessantly babbled about, but the very real global feudal dystopia, both cause and effect of the power imbalance and money-system. In feudalism, there is no freedom, only serfdom.

Welcome to our global economic order, serf!

Welcome to the Empire of Poverty.

But it’s not hopeless. The truth is both painful, but also full of possibilities. The truth is that we do have the ability to understand the world we live in, to comprehend our global economic order. We don’t need a degree; we just need honesty.

The illusion that is our economic system is built not upon technical knowledge, but rather, technical language, a highly political language, “designed to make lies sound truthful, murder respectable, and to give a feeling of solidity to pure wind,” as George Orwell defined the term. Our inability to communicate honesty, and thus effectively, about our economic – and indeed, political and social – system is an essential mechanism in maintaining that system.

To speak and ‘understand’ this language, at least at a superficial level, usually does require some ‘education’: economists must be trained, so too must political and other social scientists. The artificial separations in their knowledge – (as in, the notion that the economic world exists separate from the political and social world, and thus, must be studied separately) ensures that none who receive a ‘proper education’ achieve a profound understanding of the world. Some may, but they are few and far between, and usually weeded out or co-opted.

Such a ‘proper education’ will allow one to gain enough basic knowledge related to the sector of society in which they aim to explore and advance, and they are given just enough knowledge to do so, but not enough to honestly look at – let alone have the capacity to communicate – the reality of how our global political, social and economic order functions and evolves. They may see problems, make recommendations, propose policies, and they may even do some good, but ultimately – as we still remain on the path toward extinction – they have not, and cannot – do enough.

Few possibilities – few ‘solutions’ – or opportunities, are communicated to the populations that are effected under and by these societies, and by the decisions the few at the top make. People are generally given a small set of options from which to choose, like guessing what’s behind door number one or two, when both are ultimately terrible, and ineffectual (in a positive sense). We put ‘faith’ – however empty – into the hands of politicians, we consume the crap spewed in the media, or we lose ourselves in the vast vacancy that is the ‘substance’ of our culture; a culture of mythology, lies, fantasy, persuasion, punishment, entertainment and manipulation.

Our hope is first in honesty. We can – and must – look honestly at the world for what it is, not what we want or imagine it to be, but what it is. Then, we can – and must – communicate this message, and to do so honestly and directly. This is a human reality, and it must become a part of a collective human knowledge, a shift in understanding, and thus, a change in direction; away from the current-inevitably of extinction, and toward survival. What comes after is for future generations to determine. For now, we must aim to simply survive.

Our goal must first be to begin charting a new path toward survival; this must be the duty of our present living and younger generations, as challenging, demanding and terrifying a responsibility that may be, it is either that, or extinction. And this is not a matter of hundreds or thousands of years away; it could be as soon as decades. If you – like me – are between 18 and 45 – the coming few decades of the world in which you currently live and hope to survive will become increasingly dreadful, destructive, oppressive, and disempowering. We cannot afford to continue kicking the can down the road, delaying – and exacerbating – the inevitable.

There is always hope, not in myths and fantasy, but hidden in reality. In our actions, ideas, in us – as individuals – connecting, interacting, sharing, working and creating together, as collectives, as part of a larger human organism; beginning to act as if we don’t want to self-destruct as a species, creating a new society – a new order – to make the current one obsolete. This is our great challenge. How do we navigate through living within the present existing order, while simultaneously seeking to create a new and alternative order? Moreover, how do we achieve this if it takes nearly all our effort, time and energy to simply survive the present order? To put it as crudely (and honestly) as possible: how the fuck are we supposed to change the world?!

I don’t know the answers. But I think that the best way to get them is to ask honest questions, seek an honest understanding, and to communicate honestly – about ourselves and the world – personally, and globally. This book is my attempt to understand and speak honestly about the world, not to speak in a language that only economists and political scientists or other so-called ‘experts’ can understand, but to speak plainly and directly. This will require me to dedicate some focus in attempting to translate political language into English. I don’t have a degree, and you won’t need one to read this, or to understand it.

The hope, then, that I hold for this book – and the wider book project of which it is apart – is that it presents an accessible and usable collection of knowledge. It is not the book that asks every question, or has ever answer (no books do!), but it is an attempt at taking a different approach to asking and seeking answers to some rather important questions about our world: what is the true nature of our society? How did we get here? Where are we going? Why? And, what can we do to change it?

This is but an introduction to our world, by no means comprehensive or conclusive, simply accessible, honest, and (hopefully) useful.

Andrew Gavin Marshall is a 26-year old researcher and writer based in Montreal, Canada. He is Project Manager of The People’s Book Project, chair of the Geopolitics Division of The Hampton Institute, research director for Occupy.com’s Global Power Project and the World of Resistance (WoR) Report, and hosts a weekly podcast show with BoilingFrogsPost.

Notes

[1]       Mike Davis, Planet of Slums (Verso: London, 2007), pages 151-173.

[2]       Thomas Pogge, “Keynote Address: Poverty, Climate Change, and Overpopulation,” Georgia Journal of International and Comparative Law (Vol. 38, 2010), pages 526-534.

[3]       Ibid.

[4]       Dan Vergano, “Billionaires back ambitious space projects,” USA Today, 13 May 2012:

http://usatoday30.usatoday.com/tech/science/space/story/2012-04-25/space-exploration-billionaires/54866272/1

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The Debtor’s War: A Modern Greek Tragedy

The Debtor’s War: A Modern Greek Tragedy

By: Andrew Gavin Marshall

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Early on Thursday, 7 November 2013, Greek riot police stormed the offices of Greece’s main public broadcaster, which had been under a five-month occupation by workers who opposed the government’s decision to shutdown the broadcaster, firing thousands and destroying a major cultural institution. The broadcast seems to have come to an end.

The long and painful Greek tragedy continues, where society and culture are gutted, people impoverished, driven into a deep depression, with growing political and social conflicts, the rise of fascism, detention camps filled with immigrants from Africa and the Middle East, trying to escape the dictators we arm, or the wars we support, with suicide rates spiking, health and well-being deteriorate, services and support vanish, and all the people are left to be punished, humiliated, oppressed and destroyed… These are called “solutions” to an economic crisis, on the road to “economic recovery”… think about that for a moment.

Why is this done? Because some of the world’s largest banks demand it. The same banks that created the global financial crisis, and the European debt crisis, and the global food crisis (which drives tens of millions more people into hunger, and makes the banks richer in the process)., and which launder hundreds of billions of dollars in drug money, profit from arms sales, war and terror. Those banks want the people of Greece (and Spain, and Italy, Portugal, and Ireland, and everywhere, always, across the world) to pay the interest they feel they are owed.

Let me put this simply: a computer screen somewhere, at some big bank, says that some country owes that bank a certain amount of money, and thus, the people of that country must suffer and even die, so that the government can afford to pay back the bank. That’s what government’s are for, right? To serve banks… right?

Greece needs to pay the bank, because the bank and all the bank’s friends (what we call “financial markets”) have decided to punish the country of Greece by betting against the ability of the country to repay its debts, to crash its credit rating, making its ability to borrow and spend increasingly expensive and impossible. Now Greece is basically broke. Greece needs money, so it turns to the EU, the European Central Bank, and the IMF for “assistance.”

They demand that Greece – in return for the loan(s) – impoverish its population, cut all social services and health care, education, anything of benefit to the population – destroy it! – because it’s “too costly.” These are called “austerity measures.” Then, ensure that the newly-impoverished population has all their ‘benefits’ withdrawn, which were promised to them through the ‘social contract’ between the population and the government (essentially, a social agreement between people and the state which legitimizes the state’s ability to rule over them). These things must be destroyed. So things like pensions, social security, labour rights and regulations, protections and safety, industries, resources, services and anything that again benefits the population, must be dismantled and sold for cheap to foreign banks and corporations. All must be dismantled to ensure that the newly-impoverished population and country can be effectively and efficiently exploited by cosmopolitical corporations. These are called “structural reforms,” presumably because they ‘reform’ the very structure of society.

Then, with the combination of impoverishment and exploitation, comes the saintly glow of the all-encompassing human desire and civilizational drive – our goal and purpose as a species on this planet, what our societies are organized by and for – the highest stage of humanity: “economic growth.” Who wouldn’t want “growth”? Well, unless we’re talking about something like a wart, rash, infection, inflammation, or a tumour, everyone wants “growth”, right? Even if it’s at the expense of entire societies and populations of actual individual and living human beings, like any single one of us. Just so long as they suffer for “growth,” all will be well and happy.

So what does “growth” mean? It means that the banks and corporations – which worked with government agencies and officials in creating the global economic and financial crises in the first place – now have the ability to reap the benefits of destruction: massive profits, and growing global power. Large corporations have more money than most countries on earth. Their power is protected by the state, their influence unquestioned, their domination of the world’s resources, materials, culture and society is rapidly advancing, and they are – institutionally and ideologically – totalitarian. So what’s not to love, really?

They want it all. Profit and power. Our world is dominated and being re-shaped by a tiny global financial, corporate, political and intellectual elite. And all must suffer so that they can have what anyone in their position would want to have: more, they want it all. And they want you to just shut up and let them take it all. If you have a problem with that, well, that’s what riot police, prisons, and fascism are for.

This is why Greece must suffer. This is why we hear the unholy trinity economic mantra of: “austerity,” “structural reform,” and “economic growth.” The modern Greek Tragedy of ‘The Debtor’s War’ is driven by the tyrannical trio known as the ‘Troika’: the European Commission (of unelected, unaccountable supranational elite technocrats who serve the interests of global corporate and financial power), the European Central Bank (of unelected technocrats and economists who serve the interests of “financial markets” and the big banks), and the IMF (of unelected technocrats and economists who serve global financial and corporate interests). This institutional ‘Troika’ (the EC, ECB, and IMF) demanded the implementation of the ideological ‘Troika’: austerity, structural reform, and economic growth.

Together, institutionally and ideologically, they wreak havoc upon humanity.

Welcome to the most completely INSANE point in human history; the all-or-nothing. Welcome to reality.

Now please, kindly help change it.

VIDEO: Probably Possible

Probably Possible: A Simple Poem for a Big Problem

Probably Possible: A Simple Poem for a Big Problem

By: Andrew Gavin Marshall

ProblemSolution-2.12.10

I would like to weave you a tale of modern humanity,

That great and wonderful monstrous calamity,

With its global institutionalization of insanity,

Aiming for maximization of profitability,

Control over everything, and everything as property,

War on the Natural world, and all of its majesty,

Creating an endless unnatural catastrophe,

Barack O’Bombing our problems, and spreading the tragedy,

Accelerating, everywhere, the worst of depravity,

Constructing a criminal system of perpetual poverty,

Submerged in a cultural celebration of mediocrity,

Filled with empty values and never-ending hypocrisy,

And therein lies the instructional logical fallacy:

That unless we change our ways, and the Nature of Society,

Unless we do not discover the true Nature of Humanity,

Then the extinction of our species will be the grand finale.

If we choose to adhere to some sort of instinct for self-preservation,

Then we would have to imagine new ideas for social organization,

Reaching out to others to coordinate global mobilization,

Charting a new path to a humane concept of globalization,

A new era – built from the bottom-up – through creative cooperation.

However, humanity:

First, just stop all of this Madness and Insanity!

I know it’s a lot to ask, and a lot of responsibility,

But if this is Order, Civilization, and the Realm of Possibility,

Then please, give me nothing, nothing but Anarchy!

If it’s a choice between probability and possibility,

Then I choose Hope in creative capacity,

In the possibility of avoiding our current probability,

With human extinction as an inevitability.

I prefer the choice without certain tragedy,

The unknown, yet boundless possibility.

Will it work? Who knows! It’s Humanity.

But it’s probably possible,

And just possibly probable,

If You decide it to be.

Aboriginals threatened by present, not past

Aboriginals threatened by present, not past

By: Andrew Gavin Marshall

Originally published in The Province, 13 August 2013

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In a recent article published in The Province, columnist Naomi Lakritz wrote that aboriginal people need to drop “the victimization mantle” and take “individual responsibility.”

The essential idea, as Lakritz elaborated to me in an email exchange, was that aboriginal people should “move on” and stop “wallowing in the past.”

How can people “move on” from history, if history has not moved on from them? Aboriginal people point to their history so that we may learn our own. Our histories are intertwined, and have been so since the first European colonists arrived in this land.

In 1920, Duncan Campbell, Canada’s deputy Indian Affairs minister, declared: “I want to get rid of the Indian problem.” The program of “assimilation” (or “cultural genocide”) was largely undertaken through Indian “residential schools.”

Some five decades after, our government used aboriginal children as lab rats, conducting nutritional and medical experiments on them.

Aboriginal communities across the country lack access to safe drinking water at a much higher level than the rest of Canadians. They face comparably higher levels of food insecurity, unemployment, poor housing, poverty, infant mortality, substance abuse, addiction and suicide, and make up a disproportionately high percentage of the prison population.

Early this year, the Harper government announced “a huge boom in Canadian natural resource projects” over the coming decade, potentially worth $600 billion.

Most of these projects will occur “on or near” aboriginal land (as in, the land we had not previously colonized in its entirety).

Harper’s omnibus bills reduced the amount of protected lakes from 40,000 to 97 and rivers from 2.5 million to 63, paving the way for unhindered corporate extraction and environmental degradation. Whether next to a DeBeers mine in Attawapiskat, or near the tarsands in Alberta, aboriginal communities are directly exposed to the devastating environmental and health costs of our “development” projects.

It was within this context that, in late 2012, aboriginal people across Canada launched the Idle No More movement, taking responsibility not only for their own rights as indigenous people, but for the protection of the environment, linking up with indigenous groups in the United States to oppose pipelines and environmentally destructive projects, with peaceful protests, road blockades and public-awareness campaigns.

The Canadian government passes omnibus bills for the benefit of large resource-based corporations, rapidly accelerating environmental degradation, pushing not only Canada — but the human species as a whole — ever closer to the inevitable extinction faced by any self-destructive organism.

Instead of telling aboriginal people to “quit blaming the past” and take “responsibility,” perhaps the rest of Canada should stop ignoring the past and take some responsibility for the present, to ensure that we may actually have a future, not simply as a nation, but as a species. Perhaps it’s time for the rest of Canada to become Idle No More.

— Andrew Gavin Marshall is a researcher and writer based in Montreal.

© Copyright (c) The Province

An Anarchistic Understanding of the Social Order: Environmental Degradation, Indigenous Resistance, and a Place for the Sciences

An Anarchistic Understanding of the Social Order: Environmental Degradation, Indigenous Resistance, and a Place for the Sciences

By: Andrew Gavin Marshall

The following was an original essay published in the Spanda Journal (Vol. 4, No. 1, 2013: Anarchy and Non-Profit: An Emerging Affair), an open-access journal which you can download for free here.

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FOR ROUGHLY FIVE HUNDRED YEARS, INDIGENOUS peoples have been struggling against the dominant institutions of society, against imperialism, colonialism, exploitation, impoverishment, segregation, racism, and genocide. The struggle continues today under the present world social order and against the dominant institutions of ‘neoliberalism’ and globalization: the state, corporations, financial institutions and international organizations. Indigenous communities continue to struggle to preserve their cultural identities, languages, histories, and the continuing theft and exploitation of their land. Indigenous resistance against environmental degradation and resource extraction represents the most direct source of resistance against a global environmental crisis which threatens to lead the species to extinction. It is here that many in the scientific community have also taken up the cause of resistance against the destruction of the global environment. While Indigenous and scientific activism share similar objectives in relation to environmental issues, there is a serious lack of convergence between the two groups in terms of sharing knowledge, organization, and activism.

Indigenous groups are often on the front lines of the global environmental crisis – at the point of interaction (or extraction) – they resist against the immediate process of resource extraction and the environmental devastation it causes to their communities and society as a whole. The continued repression, exploitation and discrimination against Indigenous peoples have made the struggle – and the potential consequences of failure – significantly more problematic. This struggle has been ongoing for centuries, and as the species heads toward extinction – as it is along our current trajectory – Indigenous peoples will be on the front lines of that process. Many in the scientific community have been struggling for decades to address major environmental issues. Here, the focus is largely on the issue of climate change, and the approach has largely been to work through institutions in order to create enough pressure to reform. Yet, after decades of organizing through academic and environmental organizations, lobbying governments, corporations and international organizations, progress has been slow and often ineffectual, with major international conferences being hyped up but with little concrete results. Indigenous peoples continue to struggle against the dominant institutions while many in the scientific community continue to struggle within the dominant institutions, though their objectives remain similar.

A major problem and disparity becomes clear: Indigenous peoples – among the most repressed and exploited in the world – are left to struggle directly against the most powerful institutions in the world (states and transnational corporations), while many in the sciences – an area of knowledge which has and continues to hold enormous potential to advance the species – attempt to convince those powerful institutions to profit less at exactly the point in history when they have never profited more. Indigenous communities remain largely impoverished, and the scientific community remains largely dependent for funding upon the very institutions which are destroying the environment: states, corporations and international organizations. Major barriers to scientific inquiry and research can thus be established if the institutions feel threatened, if they choose to steer the sciences into areas exclusively designed to produce ‘profitable’ forms of knowledge and technology. As humanity enters a critical stage – perhaps the most critical we have ever faced as a species – it is important to begin to acknowledge, question, and change the institutional contradictions and constraints of our society.

It seems only logical that a convergence between Indigenous and scientific activism, organization, and the sharing of knowledge should be encouraged and facilitated. Indeed, the future of the species may depend upon it. This paper aims to encourage such a convergence by applying an anarchistic analysis of the social order as it relates to environmental degradation, specifically at the point of interaction with the environment (the source of extraction). In classifying this as an anarchistic analysis, I simply mean that it employs a highly critical perspective of hierarchically organized institutions. This paper does not intend to discuss in any detail the issue of climate change, since that issue is largely a symptom of the problem, which at its source is how the human social order interacts directly with the environment: extraction, pollution, degradation, exploitation and destruction at the point of interaction.

This analysis will seek to critically assess the actions and functions of states, corporations, international organizations, financial institutions, trade agreements and markets in how they affect the environment, primarily at the point of interaction. It is also at this point where Indigenous peoples are taking up the struggle against environmental degradation and human extinction. Through an anarchistic analysis of Indigenous repression and resistance at the point of interaction between the modern social order and the environment (focusing primarily on examples from Canada), this paper hopes to provide encouragement to those in the scientific community seeking to address environmental issues to increase their efforts in working with and for the direct benefit of Indigenous peoples. There exists a historical injustice which can and must be rectified: the most oppressed and exploited peoples over the past five hundred years of a Western-dominated world are on the front lines of struggling for the survival of the species as a whole. Modern science – which has done so much to advance Western ‘civilization’ – can and should make Indigenous issues a priority, not only for their sake, but for the species as a whole. Indeed, it is a matter of survival for the sciences themselves, for they will perish with the species. An anarchistic analysis of the social order hopes to encourage a convergence between Indigenous and scientific knowledge and activism as it relates to resolving the global environmental crisis we now face.

GLOBAL CORPORATE POWER

Corporations are among the most powerful institutions in the world. Of the top 150 economies in 2010, 58% were corporations, with companies like Wal-Mart, Royal Dutch Shell, ExxonMobil, and BP topping the charts[1]. According to Fortune’s Global 500 list published in 2012, the top ten corporations in the world were: Royal Dutch Shell, ExxonMobil, Wal-Mart, BP, Sinopec Group, China National Petroleum, State Grid, Chevron, ConocoPhillips, and Toyota Motor[2]. The Global 500 corporations posted record revenues for 2011 at USD 29.5 trillion, up 13.2% from the previous year. Eight of the top ten conglomerates were in the energy sector, with the oil industry alone generating USD 5 trillion in sales, approximately 17% of the total sales of the Global 500. The second largest sector represented in the Global 500 was commercial banks, followed by the auto industry[3].

A scientific study conducted by the Swiss Federal Institute of Technology in Zurich analyzed the ‘network of control’ wielded through 43,000 transnational corporations (TNCs), identifying “a relatively small group of companies, mainly banks, with disproportionate power over the global economy.” The researchers identified a ‘core’ of 1,318 companies which owned roughly 80% of the global revenues for the entire network of 43,000 TNCs. Above the core, the researchers identified a ‘super-entity’ of 147 tightly-knit corporations – primarily banks and financial institutions – collectively owning each other’s shares and 40% of the wealth in the total network. One researcher commented, “In effect, less than 1 per cent of the companies were able to control 40 percent of the entire network[4].”

Writing in the Financial Times, a former US Treasury Department official, Robert Altman, referred to financial markets as “a global supra-government,” explaining:

They oust entrenched regimes where normal political processes could not do so. They force austerity, banking bail-outs and other major policy changes. Their influence dwarfs multilateral institutions such as the International Monetary Fund. Indeed, leaving aside unusable nuclear weapons, they have become the most powerful force on earth[5].

The “global supra-government” of financial markets push countries around the world into imposing austerity measures and structural reforms, which have the result of benefiting the “super-entity” of global corporate power. The power and wealth of these institutions have rapidly accelerated in the past three decades of neoliberal ‘reforms’ promoting austerity, liberalization, deregulation, privatization and financialization. Neoliberal ideology was politically championed by Ronald Reagan in the United States and Margaret Thatcher in Great Britain, but was largely imposed upon the so-called ‘Third World’ (Latin America, Asia, and Africa) through major international organizations like the World Bank and the IMF. The results of this massive transfer of wealth and power to an increasingly connected and small fraction of the world’s population have been devastating for humanity and the world as a whole. This process guided by neoliberal dogma has been most often referred to as ‘globalization.’

As the 1980s debt crisis gripped the ‘Third World,’ the IMF and World Bank came to the ‘rescue’ with newly designed loan agreements called ‘Structural Adjustment Programs’ (SAPs). In return for a loan from these institutions, countries would have to adhere to a set of rigid conditions and reforms, including austerity measures (cutting public spending), the liberalization of trade, privatization, deregulation, and currency devaluation[6]. The United States controls the majority shares of both the World Bank and IMF, while the US Treasury Department and Federal Reserve work very closely with the IMF and its staff[7]. If countries did not adhere to IMF and World Bank ‘conditions,’ they would be cut off from international markets, since this process was facilitated by “unprecedented co-operation between banks from various countries under the aegis of the IMF[8].” The conditions essentially opened up the borrowing countries to economic imperialism by the IMF, World Bank, and transnational corporations and financial institutions, which were able to gain access and control over the resources and labour markets of poor countries. Thus, the 1980s has been known as the “lost decade of development,” as many ‘Third World’ countries became poorer between 1980 and 1990[9]. Joseph Stiglitz, a former chief economist at the World Bank, wrote that, “such conditions were seen as the intrusion by the new colonial power on the country’s own sovereignty[10].”

The structural adjustment programs imposed upon the Third World devastated the poor and middle classes of the borrowing countries, often resulting in mass protests against austerity[11]. In fact, between 1976 and 1992, there were 146 protests against IMF- sponsored austerity measures in 39 different countries, including demonstrations, strikes and riots. The governments, in response, would often violently repress protests[12]. The government elites were often more integrated with and allied to the powerful institutions of the global economy, and would often act as domestic enforcers for the demands of international banks and corporations. For many countries imposing structural adjustment programs around the world, authoritarian governments were common[13]. The IMF and World Bank structural adjustment programs also led to the massive growth of slums around the world, to the point where there are now over a billion people living in urban slums (approximately one out of every seven people on earth)[14].

Further, the nations of the Third World became increasingly indebted to the powerful financial institutions and states of the industrial world with the more loans they took. The wealthy elites within the Third World plunder the domestic wealth of their countries in cooperation with global elites, and send their money into Western banking institutions (as ‘capital flight’) as their domestic populations suffer in poverty. The IMF and World Bank programs helped facilitate capital flight through the deregulation and ‘liberalization’ of markets, as well as through the opening up of the economies to unhindered exploitation. Some researchers recently compared the amount of money in the form of aid and loans going into Africa compared to that coming leaving Africa in the form of capital flight, and found that “sub-Saharan Africa is a net creditor to the rest of the world by a substantial margin.” The external debt owed by 33 sub-Saharan African countries to the rest of the world in 2008 stood at USD 177 billion. Between 1970 and 2008, capital flight from those same 33 African countries amounted to USD 944 billion. Thus, “the rest of the world owes more to these African countries than they owe to the rest of the world[15].”

The neoliberal ideology of ‘profit before people’ – enforced by the dominant states, corporations, banks and international organizations – has led to a world of extreme inequality, previously established by centuries of empire and colonialism, and rapidly accelerated in the past three decades. As of 2004, one in every three human deaths was due to poverty-related causes. In the twenty years following the end of the Cold War, there were approximately 360 million preventable deaths caused by poverty-related issues. Billions of people go hungry, lack access to safe drinking water, adequate shelter, medicine, and electricity. Nearly half of humanity – approximately 3.1 billion people as of 2010 – live below the USD 2.50/day poverty line. It would take roughly USD 500 billion – approximately 1.13% of world income (or two-thirds of the US military budget) – to lift these 3.1 billion people out of extreme poverty. The top 1% own 40% of the world’s wealth, while the bottom 60% hold less than 2% of the world’s wealth. As Thomas Pogge wrote, “we are now at the point where the world is easily rich enough in aggregate to abolish all poverty,” but we are “choosing to prioritize other ends instead.” Roughly 18 million people die from poverty-related causes every year, half of whom are children under the age of five. Pogge places significant blame for these circumstances upon the “global institutional arrangements that foreseeably and avoidably increase the socioeconomic inequalities that cause poverty to persist [...] [policies which] are designed by the more powerful governments for the benefit of their most powerful industries, corporations, and citizens[16].”

In 2013, Oxfam reported that the fortunes made by the richest 100 people in the world over the course of 2012 (USD 240 billion) would have been enough to lift the world’s poorest people out of poverty four times over. An Oxfam executive, Barbara Stocking, noted that this type of extreme wealth – which saw the world’s richest 1% increase their income by 60% in the previous twenty years – is “economically inefficient, politically corrosive, socially divisive and environmentally destructive [...] We can no longer pretend that the creation of wealth for few will inevitably benefit the many – too often the reverse is true[17].” A study by the Tax Justice Network in 2012 found that the world’s superrich had hidden between USD 21 and 32 trillion in offshore tax havens, meaning that inequality was “much, much worse than official statistic show,” and that “for three decades extraordinary wealth has been cascading into the offshore accounts of a tiny number of superrich,” with the top 92,000 of the world’s superrich holding at least USD 10 trillion in offshore accounts[18].

THE ENVIRONMENTAL IMPACT OF INEQUALITY

The human social order – dominated by states, corporations, banks and international organizations – has facilitated and maintained enormous inequality and poverty around the world, allowing so few to control so much, while the many are left with little. This global social and economic crisis is exacerbated by the global environmental crisis, in which the same institutions that dominate the global social order are simultaneously devastating the global environment to the point where the future of the species hangs in the balance.

Just as the dominant institutions put ‘profit before people,’ so too do they put profit before the environment, predicating human social interaction with the environment on the ideology of ‘markets’: that what is good for corporations will ultimately be good for the environment. Thus, the pursuit of ‘economic growth’ can continue unhindered – and in fact, should be accelerated – even though it results in massive environmental degradation through the processes of resource extraction, transportation, production and consumption[19].

Trading arrangements between the powerful rich nations and the ‘periphery’ poor nations allow for the dominant institutions to exploit their economic and political influence over weaker states, taking much more than they give[20]. These trading relationships effectively allow the rich countries to offshore (or export) their environmental degradation to poor countries, treating them as exploitable resource extraction sources. As the resources of poor nations are extracted and exported to the rich nations, the countries are kept in poverty (with the exception of their elites who collude with the powerful countries and corporations), and the environmental costs associated with the high consumption societies of the industrial world are ultimately off-shored to the poor countries, at the point of interaction[21]. Thus, international trade separates the societies of consumption from the effects of extraction and production, while the poor nations are dependent upon exports and exploiting their cheap labour forces[22]. This process has been termed ecological unequal exchange[23].

Between the mid-1970s and mid-1990s, the majority of the world’s non-renewable resources were transferred from poor to rich nations, accelerating in volume over time (due to technological advancements), while decreasing in costs (to the powerful nations). Thus, between 1980 and 2002, the costs of resource extraction declined by 25% while the volume of resource extraction increased by more than 30%. Environmentally destructive processes of resource extraction in mining and energy sectors have rapidly accelerated over the past few decades, resulting in increased contamination of soils, watersheds and the atmosphere. Negative health effects for local populations accelerate, primarily affecting Indigenous, poor and/or migrant populations, who are subjected to excessive pollutants and industrial waste at nearly every part of the process of extraction, production and transportation of resources and goods[24].

In an examination of 65 countries between 1960 and 2003, researchers found that the rich countries “externalized” the environmentally destructive consequences of resource over-use to poor, periphery nations and populations, thus “assimilating” the environments of the less-developed nations into the economies of the powerful states, disempowering local populations from having a say in how their resources and environments are treated[25]. Rich societies consume more than can be sustained from their own internal resource wealth, and thus, they must “appropriate” resource wealth from abroad by ‘withdrawing’ the resources in environmentally destructive (and thus, more economically ‘efficient’) ways. Apart from ecologically destructive ‘withdrawals,’ the rich nations also facilitate ecologically destructive ‘additions,’ in the form of pollution and waste which cause environmental and health hazards for the poor societies. This is facilitated through various trading arrangements (such as the development of Export Processing Zones), consisting of minimal to no environmental regulations, cheap labour and minimal restrictions on corporate activities[26].

While Japan and Western Europe were able to reduce the amount of pollutants and ‘environmental additions’ they made within their own societies between 1976 and 1994, they accelerated their ‘additions’ in waste and pollutants to the poor countries with which they traded, “suggesting a progressive off-shoring over the period onto those peripheral countries” not only of labour exploitation, but of environmental degradation[27]. Foreign Direct Investment (FDI) by transnational corporations has been linked to extensive environmental hazards within the countries in which they are ‘investing,’ including growth in water pollution, infant mortality, pesticide use, and the use of chemicals which are often banned in the rich nations due to high toxicity levels and dangers to health and the environment, and greater levels of carbon dioxide emissions. Indeed, between 1980 and 2000, the total anthropogenic CO2 emissions from the rich countries increased by 21%, while over the same period of time in the poor countries it more than doubled. While forested areas in the rich nations increased by less than 1% between 1990 and 2005, they declined by 6% over the same period of time in poor countries, contributing to soil erosion, desertification, climate change and the destruction of local and regional ecosystems[28].

According to an analysis of 268 case studies of tropical forest change between 1970 and 2000, researchers found that deforestation had shifted from being directed by states to being directed and implemented by corporations and ‘economic’ interests across much of Latin America, Africa, and Asia. This was largely facilitated by the IMF and World Bank agreements which forced countries to reduce their public spending, and allowed for private economic interests to obtain unprecedented access to resources and markets. The rate of deforestation continued, it simply shifted from being state-led to “enterprise driven[29].”

Using a sample of some sixty nations, researchers found that IMF and World Bank Structural Adjustment Programs (SAPs) were associated with higher levels of deforestation than in countries which did not sign the SAP agreements, as they allowed rich nations and corporations to “externalize their forest loss” to poor nations. Further, “economic growth” as defined by the World Bank and IMF was related to increased levels of deforestation, leading the researchers to acknowledge that, “economic growth adversely impacts the natural environment[30].” World Bank development loans to countries (as separate from structural adjustment loans) have also been linked to increased rates of deforestation in poor nations, notably higher rates than those which exist in countries not receiving World Bank loans[31].

Military institutions and armed warfare also have significant environmental impacts, not simply by engaging in wars, but simply by the energy and resources required for the maintenance of large military structures. As one US military official stated in the early 1990s, “We are in the business of protecting the nation, not the environment[32].” While the United States is the largest consumer of energy among nations in the world, the Pentagon is “the world’s largest [institutional] consumer of energy[33].” The combination of US tanks, planes and ships consume roughly 340,000 barrels of oil per day (as of 2007)[34]. Most of the oil is consumed by the Air Force, as jet fuel accounted for roughly 71% of the entire military’s oil consumption[35].

Nations with large militaries also use their violent capabilities “to gain disproportionate access to natural resources[36].” Thus, while the US military may be the largest single purchaser and consumer of energy in the world, one of its primary functions is to secure access to and control over energy resources. In an interview with two McKinsey & Company consultants, the Pentagon’s first-ever assistant secretary of defense for operational energy and programs, Sharon E. Burke, stated bluntly that, “My role is to promote the energy security of our military operations,” including by increasing the “security of supply[37].”

In a study of natural resource extraction and armed violence, researchers found that, “armed violence is associated with the extraction of many critical and noncritical natural resources, suggesting quite strongly that the natural resource base upon which industrial societies stand is constructed in large part through the use and threatened use of armed violence.” Further, when such armed violence is used in relation to gaining access to and control over natural resources, “it is often employed in response to popular protest or rebellion against these activities.” Most of this violence is carried out by the governments of poor nations, or by mercenaries or rebels, which allows for distancing between the rich nations and corporations which profit from the plundering of resources from the violent means of gaining access to them. After all, the researcher noted, “other key drivers of natural resource exploitation, such as the IMF, World Bank, WTO, and global marketplace, cannot, on their own, guarantee core nation access to and control over vital natural resources[38].” Perhaps unsurprisingly, then, the United States – and other powerful nations – and the major arms companies within them are the largest arms dealers in the world[39].

It is clear that for scientists – and anyone else – interested in addressing major environmental issues, the source of the problem lies in the very structure and function of our dominant modern institutions, at the point of interaction. In short: through states, armed violence, banks and corporations, international organizations, trade agreements and global ‘markets,’ the environment has become a primary target of exploitation and destruction. Resources fuel the wealth and power of the very institutions that dominate the world, and to maintain that power, they engage in incredibly destructive activities with negative consequences for the environment and the human species as a whole. The global environmental crisis is intimately related to the global social and economic crises of wealth inequality and poverty, labour exploitation, and ‘economic growth.’ To address the environmental crisis in a meaningful way, this reality must first be acknowledged. This is how an anarchistic understanding of the environmental crisis facing the world and humanity can contribute to advancing how we deal with these profound issues. For the sciences, the implications are grave: their sources of funding and direction for research are dependent upon the very institutions which are destroying the environment and leading humanity to inevitable extinction (if we do not change course). Advancing an anarchistic approach to understanding issues related to Indigenous repression and resistance to environmental degradation can help provide a framework through which those in the scientific community – and elsewhere – can find new avenues for achieving similar goals: the preservation of the environment and the species.

INDIGENOUS REPRESSION AND RESISTANCE

Indigenous peoples in the Americas have been struggling against colonialism, exploitation, segregation, repression and even genocide for over 500 years. While the age of formal colonial empires has passed, the struggle has not. Today, Indigenous peoples struggle against far more powerful states than ever before existed, transnational corporations and financial institutions, international organizations, so-called “free trade” agreements and the global ‘marketplace.’ In an increasingly interconnected and globalized world, the struggle for Indigenous peoples to maintain their identity and indeed, even their existence itself, has been increasingly globalizing, but has also been driven by localized actions and movements.

Focusing upon Indigenous peoples in Canada, I hope to briefly analyze how Indigenous groups are repressed, segregated and exploited by the dominant institutions of an incredibly wealthy, developed, resource-rich and ‘democratic’ nation with a comparably ‘good’ international reputation. Further, by examining Indigenous resistance within Canada to the destruction of the natural environment, I hope to encourage scientists and other activists and segments of society who are interested in environmental protection to reach out to Indigenous communities, to share knowledge, organizing, activism, and objectives.

A LEGACY OF COLONIALISM

Historically, the Canadian government pursued a policy of ‘assimilation’ of Indigenous peoples for over a century through ‘Indian residential schools,’ in what ultimately amounted to an effective policy of “cultural genocide.” In 1920, Canada’s Deputy Minister of Indian Affairs Duncan Campbell Scott bluntly explained: “I want to get rid of the Indian problem [...] Our object is to continue until there is not a single Indian in Canada that has not been absorbed into the body politics and there is no Indian question, and no Indian Department[40].”

The segregation, repression and exploitation of Indigenous communities within Canada is not a mere historical reality, it continues to present day. Part of the institutional repression of Indigenous peoples is the prevalence of what could be described as ‘Third World’ conditions within a ‘First World’ nation. Indigenous communities within Canada lack access to safe drinking water at a much higher rate than the general population[41]. Indigenous people and communities in Canada also face much higher levels of food insecurity, poverty, unemployment, poor housing and infant mortality than the rest of the population[42]. Accounting for roughly 4% of the population of Canada (approximately 1.2 million people as of 2006), Indigenous peoples also face higher rates of substance abuse, addiction, and suicide[43].

Indigenous people – and especially women – make up a disproportionate percentage of the prison population[44]. Further, as Amnesty International noted, “Indigenous women [in Canada] are five to seven times more likely than other women to die as a result of violence[45].” The Native Women’s Association of Canada has documented roughly 600 cases of missing or murdered indigenous women in Canada, more than half of which have occurred since 2000, while Human Rights Watch reported that the Royal Canadian Mounted Police (RCMP) in northern British Columbia had “failed to properly investigate the disappearance and apparent murders of [indigenous] women and girls in their jurisdiction[46].”

RESOURCE EXTRACTION, ENVIRONMENTAL DEGRADATION, AND INDIGENOUS PEOPLES

Industries seeking to develop land and extract resources are increasingly turning to Indigenous territories to develop and seek profits on the land and environment upon which such communities are so often dependent for survival. At the point of interaction with the environment, Indigenous peoples are left to struggle with the damaging environmental and health consequences caused by state and corporate interests extracting resources and wealth from the land and environment.

The Alberta tar sands (or oil sands) is a primary example of this process. Many environmental, indigenous and human rights organizations consider the tar sands development as perhaps “the most destructive industrial project on earth.” The United Nations Environmental Programme identified the project as “one of the world’s top 100 hotspots of environmental degradation.” The dense oil in the tar sands (diluted bitumen) has to be extracted through strip mining, and requires enormous amounts of resources and energy simply to extract the reserves. It has been documented that for every one barrel of oil processed, three barrels of water are used, resulting in the creation of small lakes (called ‘tailing ponds’), where “over 480 million gallons of contaminated toxic waste water are dumped daily.” These lakes collectively “cover more than 50 square kilometres (12,000 acres) and are so extensive that they can be seen from space.” The processing of the oil sands creates 37% more greenhouse gas emissions than the extraction and processing of conventional oil[47].

While the United States consumes more oil than anywhere else on earth, Canada is the main supplier of foreign oil to the United States, exporting roughly 1.5 million barrels per day to the US (in 2005), approximately 7% of the daily consumption of oil in the US. The crude bitumen contained in the tar sands has been estimated at 1.7 trillion barrels, lying underneath an area within Alberta which is larger than the entire state of Florida and contains over 140,000 square km of boreal forest. In 2003, the United States Department of Energy officially acknowledged the reserves of crude bitumen in the Alberta tar sands, and elevated Canada’s standing in world oil markets from the 21st most oil-rich nation on earth to the 2nd, with only Saudi Arabia surpassing[48].

Alberta’s tar sands have attracted the largest oil companies on earth, including Royal Dutch Shell, ExxonMobil, BP, and Total S.A. Local indigenous communities thus not only have to struggle against the devastating environmental, health and social consequences caused by the tar sands development, but they also have to struggle against the federal and provincial governments, and the largest corporations on earth. The Athabasca River (located near the tar sands development) has been depleted and polluted to significant degrees, transforming the region “from a pristine environment rich in cultural and biological diversity to a landscape resembling a war zone marked with 200-foot-deep pits and thousands of acres of destroyed boreal forests.” Indigenous peoples have been raising concerns over this project for years[49].

Disproportionate levels of cancers and other deadly diseases have been discovered among a local Indigenous band, the Fort Chipewyan in Athabasca. These high levels of cancers and diseases are largely the result of the enormous amounts of land, air, and water pollution caused by the tar sands mining[50]. One Indigenous leader in Fort Chipewyan has referred to the tar sands development as a “slow industrial genocide[51].” As pipelines are planned to be expanded across Canada and the United States to carry tar sands oil, this will have devastating impacts for “indigenous communities not only in Canada, but across the continent[52].”

Between 2002 and 2010, the pipeline network through Alberta experienced a rate of oil spills roughly sixteen times higher than in the United States, likely the result of transporting diluted bitumen (DilBit), which has not been commonly transported through the pipelines until recent years. In spite of the greater risks associated with transporting DilBit, the US agency responsible for overseeing the country’s pipelines decided – in October of 2009 – to relax safety regulations regarding the strength of pipelines. In July of 2010, a ruptured Enbridge pipeline in Michigan spilled 800,000 gallons of DilBit, devastating the local communities in what the government referred to as the “worst oil spill in Midwestern history.” In July of 2011, an Exxon pipeline spilled 42,000 gallons of DilBit into the Yellowstone River in Montana[53].

IDLE NO MORE: THE RISE OF INDIGENOUS RESISTANCE

In 2009, the Canadian Ministry of Indian Affairs and Northern Development announced the Federal Framework for Aboriginal Economic Development which sought to “improve the participation” of Indigenous people “in the Canadian economy,” primarily by seeking “to unlock the full economic potential of Aboriginal Canadians, their communities, and their businesses[54].” An updated report on the Framework in 2012 reaffirmed the intent “to modernize the lands and resource management regimes on reserve land in order to increase and unlock the value of Aboriginal assets[55].” As John Ibbitson wrote in the Globe and Mail, “businesses that want to unlock the potential of reserves, from real estate development to forestry and mining, need the legal certainty that a property regime makes possible[56].”

In late 2012, Canadian Prime Minister Stephen Harper’s Conservative Party introduced an omnibus Budget Bill (C-45) which amended several aspects of the Indian Act (without proper consultations with Indigenous groups). Bill C-45 also moved forward to “unlock” barriers to resource extraction, environmental degradation, and corporate profits with an amendment to the Navigable Waters Act, which dramatically reduced the number of protected lakes and rivers in Canada from 40,000 to 97 lakes, and from 2.5 million to 63 rivers[57].

Following the introduction of Bill C-45 to the Canadian Parliament, a group of four Indigenous women in the province of Saskatchewan held a “teach-in” to help increase awareness about the Bill, quickly followed by a series of rallies, protests and flash mobs where Indigenous activists and supporters engaged in ‘round dances’ in shopping malls, organized through social media networks like Twitter and Facebook. This sparked what became known as the ‘Idle No More’ movement, and on December 10, 2012, a National Day of Action took place, holding multiple rallies across the country. The immediate objectives of the Idle No More movement were to have the government “repeal all legislation that violates treaties [with Indigenous peoples], including those that affect environmental regulations,” such as Bill C-45 and the previous omnibus Bill C-38. The longer-term objectives of the movement were to “educate and revitalize aboriginal peoples, empower them and regain sovereignty and independence[58].”

Pamela Palmater, a spokesperson for Idle No More and a Ryerson University professor noted that Indigenous people in Canada were opposing Bill C-45 “not just because it impacts their rights, but also because we know that it impacts the future generations of both treaty partners,” referring to both Indigenous and non-Indigenous Canadians. “The question,” she added, “really should be whether Canadians will rise to protect their children’s futures alongside First Nations[59].”

Theresa Spence, an Indigenous chief from a northern Ontario community (Attawapiskat) went on a hunger strike for 44 days to support Idle No More and raise awareness about a serious housing crisis in her community. Spence only ended her hunger strike upon being hospitalized and placed on an IV drip[60]. Her community of Attawapiskat had been experiencing a major housing crisis for a number of years, and in 2011, a state of emergency was declared in response to the fact that for over two years, many of the community’s 1,800 residents were “living in makeshift tents and shacks without heat, electricity or indoor plumbing.” James Anaya, a United Nations human rights expert expressed his “deep concern about the dire social and economic condition” of the Attawapiskat community to the Canadian government, which reflected a situation “akin to third world conditions[61].” The Conservative government of Stephen Harper (which came to power in 2006) blamed the crisis on the internal handling of funds within Attawapiskat, claiming that the government provided CAD 90 million in funding for the community since 2006. However, analysis of the funds revealed that only CAD 5.8 million in funding had gone toward housing over the course of five years. Meanwhile, estimates put the necessary funds to resolve the housing crisis alone at CAD 84 million[62]. The former Minister for Aboriginal Affairs acknowledged that the government had known about the housing crisis for years, saying that it “has been a slow-moving train wreck for a long time[63].”

In 2005, the community of Attawapiskat had signed a contract with the international mining conglomerate De Beers to develop a diamond mine 90 km near their community. The mine officially opened in 2008, projecting a 12-year contribution to the Ontario economy of CAD 6.7 billion[64]. In 2005, De Beers dumped its sewage sludge into the Attawapiskat community’s lift station, causing a sewage backup which flooded many homes and exacerbated an already-developing housing crisis, followed by another sewage backup potentially caused by De Beers in 2008[65]. Afterward, the company donated trailers to the community to serve as “short-term emergency shelters,” yet they remained in place even four years later[66].

As the Idle No More movement took off in late 2012 and early 2013, members of the Attawapiskat community undertook road blockades leading to the De Beers mine. The company sought a legal injunction against the protesters, and the blockade was ended just as a large number of police were headed to the community to “remove the barricades.” After successfully blocking the mine from properly functioning for nearly twenty days, the company announced that it was considering taking legal action against the protesters[67].

The Idle No More mission statement called “on all people to join in a revolution which honors and fulfills Indigenous sovereignty which protects the land and water [...] Colonization continues through attacks to Indigenous rights and damage to the land and water. We must repair these violations, live the spirit and intent of the treaty relationship, work towards justice in action, and protect Mother Earth.” The movement’s manifesto further declared that, “the state of Canada has become one of the wealthiest countries in the world by using the land and resources. Canadian mining, logging, oil and fishing companies are the most powerful in the world due to land and resources. Some of the poorest First Nations communities (such as Attawapiskat) have mines or other developments on their land but do not get a share of the profit[68].” As Pamela Palmater noted, Idle No More was unique, “because it is purposefully distances from political and corporate influence. There is no elected leader, no paid Executive Director, and no bureaucracy or hierarchy which determines what any person or First Nation can and can’t do [...] This movement is inclusive of all our peoples[69].”

The Athabasca Chipewyan Indigenous band which had been struggling for years against the tar sands development were further mobilized with the eruption of Idle No More onto the national scene, including by establishing a blockade on Highway 63 leading to the tar sands development[70]. As Chipewyan chief Allan Adam noted, “The way I look at it, the First Nations people are going to cripple this country if things don’t turn out [...] Industry is going to be the target.” He also added: “We know for a fact that industry was the one that lobbied government to make this regulatory reform[71].” Indeed, this was no hyperbole.

THE STATE IN SERVICE TO CORPORATIONS

Greenpeace obtained – through access to information laws – a letter sent to the Canadian government’s Environment minister and Natural Resources minister dated December of 2011, written by a group called the Energy Framework Initiative (EFI), representing the Canadian Association of Petroleum Producers, the Canadian Energy Pipeline Association, the Canadian Fuels Association, and the Canadian Gas Association. The letter sought “to address regulatory reform for major energy industries in Canada” in order to advance “both economic growth and environmental performance.” It specifically referenced six laws that it wanted amended, including the National Energy Board Act, the Canadian Environmental Assessment Act, the Fisheries Act, the Species at Risk Act, Migratory Birds Convention Act, and the Navigable Waters Protection Act. Referring to many of these laws as “outdated,” the letter criticized environmental legislation as “almost entirely focused on preventing bad things from happening rather than enabling responsible outcomes[72].”

Less than a month after receiving the letter, the Canadian Natural Resources Minister Joe Oliver lashed out at activists opposing the construction of Enbridge’s Northern Gateway pipeline shipping oil from Alberta’s tar sands to the B.C. coast for shipment to Asia, stating, “Unfortunately, there are environmental and other radical groups that would seek to block this opportunity to diversify our trade… Their goal is to stop any major project no matter what the cost to Canadian families in lost jobs and economic growth. No forestry. No mining. No oil. No gas. No more hydro-electric dams.” Oliver went on, saying that such “radical groups” were threatening “to hijack our regulatory system to achieve their radical ideological agenda,” and accused them of using funding from “foreign special interest groups[73].”

Documents from the energy industry revealed that big corporations advised the Harper government not to amend the many environmentally related acts separately, but to employ “a more strategic omnibus legislative approach,” which resulted in the two omnibus bills over 2012, Bills C-38 and C-45, which included “hundreds of pages of changes to environmental protection laws [...] weakening rules that protect water and species at risk, introducing new tools to authorize water pollution, as well as restricting public participation in environmental hearings and eliminating thousands of reviews to examine and mitigate environmental impacts of industrial projects[74].” The energy industry got virtually everything it asked for in the two omnibus bills, including – as their letter to the Harper government suggested – reforming “issues associated with Aboriginal consultation[75].”

Documents from Environment Canada showed how the minister informed a group of energy industry representatives that the development of pipelines were “top-of-mind” as the government pursued “the modernization of our regulatory system.” When the new legislation passed, the Canadian Environmental Assessment Agency announced that it has cancelled roughly 3,000 environmental assessments, including 250 reviews related to pipeline projects[76]. Other documents showed that at the same time the minister was informing energy corporations that he was serving their interests, he was to inform Indigenous leaders that any “changes to the government’s environmental assessment or project approvals regime” were “speculative at this point” and that they would “respect our duties toward Aboriginal peoples[77].”

As the Harper government became the primary lobbyist for the Alberta tar sands, documents showed how the government compiled a list of “allies” and “adversaries” in its public relations campaign, referring to energy companies, Environment Canada and the National Energy Board as “allies,” and the media, environmental and Indigenous groups as “adversaries[78].” The Canadian government even ran an “outreach program” where diplomats would attempt to secure support among American journalists for the Keystone XL pipeline project – taking oil from the Alberta tar sands to the Gulf Coast in the United States[79].

As the Canadian government revised its anti-terrorism strategy in early 2012, it listed “eco-extremists” alongside white supremacists as a threat to national security[80]. A review of Canadian security documents from the national police force (RCMP) and the Canadian intelligence agency (CSIS) revealed that the government saw environmental activism such as blockades of roads or buildings as “forms of attack” and “national security threats.” Greenpeace was identified as “potentially violent,” as it had become “the new normal now for Canada’s security agencies to watch the activities of environmental organizations,” noted one analyst[81].

IDLE NO MORE AND OIL PIPELINES

The government of Canada acknowledged in early 2013 that it expected – over the following decade – that there would be “a huge boom in Canadian natural resource projects,” potentially worth CAD 600 billion, which is foreseen to be taking place “on or near” Indigenous lands. One Indigenous chief in Manitoba warned that the Idle No More movement “can stop Prime Minister Harper’s resource development plan and his billion-dollar plan to develop resources on our ancestral territory. We have the warriors that are standing up now, that are willing to go that far[82].”

In an official meeting between the Harper government and the Assembly of First Nations in January of 2013, Indigenous ‘leaders’ presented a list of demands which included ensuring there was a school in every indigenous community, a public inquiry into the missing and murdered Indigenous women, as well as several other very ‘moderate’ reforms. For the government, the objectives were much more specific, as internal documents revealed, written in preparation for Harper’s meeting with Indigenous leaders. As one briefing memo stated, the government was working towards “removing obstacles to major economic development opportunities[83].”

For the Idle No More movement, which does not consider itself to be ‘represented’ by the Assembly of First Nations leaders, the objective is largely “to put more obstacles up,” as Martin Lukacs wrote in the Guardian. Indigenous peoples, he noted, “are the best and last defense against this fossil fuel scramble,” specifically in mobilizing opposition to “the three-fold expansion of one of the world’s most carbon-intensive projects, the Alberta tar sands[84].”

In March of 2013, an alliance of Indigenous leaders from across Canada and the United States announced that they were “preparing to fight proposed new pipelines in the courts and through unspecified direct action,” specifically referring to the Northern Gateway, Keystone XL and Kinder Morgan pipeline projects. One Indigenous leader at the formation of the alliance warned, “We’re going to stop these pipelines one way or another.” Another Indigenous leader commented: “We, as a nation, have to wake up [...] We have to wake up to the crazy decision that this government’s making to change the world in a negative way[85].”

The territories of the ten allied Indigenous groups “are either in the crude-rich tar sands or on the proposed pipeline routes.” One Indigenous leader from northern British Columbia referred to the Canadian government, stating, “They’ve been stealing from us for the last 200 years [...] now they’re going to destroy our land? We’re not going to let that happen [...] If we have to go to court, if we have to stand in front of any of their machines that are going to take the oil through, we are going to do that. We’re up against a wall here. We have nowhere else to go[86].”

Roughly one week after the Indigenous alliance was formed, an ExxonMobil pipeline carrying Alberta tar sands oil through the United States ruptured in the town of Mayflower, Arkansas, spilling thousands of barrels of oil into residential neighbourhoods and the surrounding environment. Exxon quickly moved in with roughly 600 workers to manage the cleanup and sign checks “to try to win over the townsfolk and seek to limit the fallout[87].” The United States Federal Aviation Administration (FAA) put in place a “no fly zone” over Mayflower, Arkansas, within days following the oil spill. The ‘no fly zone’ was being overseen by ExxonMobil itself, thus, as Steven Horn commented, “any media or independent observers who want to witness the tar sands spill disaster have to ask Exxon’s permission[88].”

Between March 11 and April 9 of 2013 (in a span of roughly thirty days), there were 13 reported oil spills on three separate continents, with more than a million gallons of oil and other toxic chemicals spilled in North and South America alone. The oil spills included an Enbridge pipeline leak in the Northwest Territories in Canada (March 19), a tar sands ‘tailing pond’ belonging to Suncor leaking into the Athabasca River in Alberta (March 25), a Canadian Pacific Railway train derailment spilling tar sands oil in Minnesota (March 27), the Exxon spill in Mayflower (March 29), oil-based hydraulic fluid spilling into the Grand River from a power plant in Michigan (March 31), a CN Rail train derailment in Ontario (April 3), a drilling leak in Newfoundland (April 3), the Shell pipeline leak in Texas (April 3), a condensate spill at an Exxon refinery in Louisiana (April 4), and a pump station ‘error’ in Alaska (April 9)[89]. Another spill took place in June on Kinder Morgan’s Trans Mountain pipeline in British Columbia, one of the pipeline extensions being opposed by Indigenous groups[90].

Meanwhile, Stephen Harper was in New York in May, speaking to the highly influential US think tank, the Council on Foreign Relations, where he explained that the proposed Keystone XL pipeline “absolutely needs to go ahead,” adding that it was “an enormous benefit to the US in terms of long-term energy security[91].” TransCanada, the company aiming to build the Keystone XL pipeline, along with the government of Alberta, hired a team of lobbyists with connections to the Obama administration and Secretary of State John Kerry in particular to pressure the US government to approve the pipeline[92]. In late April, the president of the American Petroleum Institute confidently declared, “When it’s all said and done, the president will approve the pipeline[93].” In late May, the CEO of TransCanada said, “I remain extremely confident that we’ll get the green light to build this pipeline[94].”

Leaders from 11 different Indigenous bands in the United States “stormed out” of a meeting in May being held with federal government officials in South Dakota in protest against the Keystone XL pipeline. The leaders criticized both the project and the Obama administration, with one leader commenting, “We find ourselves victims of another form of genocide, and it’s environmental genocide, and it’s caused by extractive industries.” Another Indigenous leader who walked out of the meeting warned, “What the State Department, what President Obama needs to hear from us, is that we are going to be taking direct action[95].” TransCanada has even been supplying US police agencies with information about environmental activists and recommendations to pursue charges of “terrorism” against them, noting that the company feared such “potential security concerns” as protests, blockades, court challenges, and even “public meetings[96].”

While Indigenous communities in Canada and elsewhere are among the most repressed and exploited within our society, they are also on the front lines of resistance against environmentally destructive practices undertaken by the most powerful institutions in the world. As such, Indigenous groups are not only standing up for environmental issues, but for the future of the species as a whole. With the rapidly accelerating ‘development’ of the tar sands, and the increasing environmental danger of huge new pipelines projects, resistance to how our modern society treats the environment is reaching new heights. Indigenous organizing – much of which is done along anarchistic ideas (such as with the Idle No More movement) – is presenting an unprecedented challenge to institutional power structures. Thus, there is an increased need for environmentalists, scientists, and others who are interested in joining forces with Indigenous groups in the struggle against environmental degradation and the potential extinction of the species. In Canada, there is an even greater impetus for scientists to join forces with Indigenous communities, for there is a state-sponsored assault upon environmental sciences that threaten to devastate the scientific community in the very near term.

THE CANADIAN GOVERNMENT’S ATTACK ON ENVIRONMENTAL SCIENCE

Since Stephen Harper’s Conservative government came to power in 2006, there has been a steady attack upon the sciences, particularly those related to environmental issues, as the government cut funding for major programs and implemented layoffs. One major facet of this attack has been the ‘muzzling’ of Canadian scientists at international conferences, discussions with the media, and the publication of research. At one conference hosted in Canada, scientists working for Environment Canada were forced to direct all media inquiries through the public relations department in an effort “to intimidate government scientists[97].” Under new government guidelines, scientists working for the Department of Fisheries and Oceans (DFO) cannot publish material until it is reviewed by the department “for any concerns/impacts to DFO policy.” The Canadian Association of University Teachers (CAUT) expressed in a letter to Stephen Harper their “deep dismay and anger at your government’s attack on the independence, integrity and academic freedom of scientific researchers[98].” Hundreds of Canadian scientists marched on Parliament Hill in July of 2012 in what they called a “funeral procession” against the government’s “systematic attack on science[99].”

One of the world’s leading science journals, Nature, published an editorial in March of 2012 calling on the Canadian government to stop muzzling and “set its scientists free[100].” Journalists requesting interviews with Canadian government scientists on issues related to the Arctic or climate change have had to go through public relations officials, provide questions in advance, adhere to “boundaries for what subjects the interview could touch upon,” and have a PR staffer “listen in on the interviews[101].”

Dozens of government agencies and programs related to environmental sciences have had their budgets slashed, scientists fired, or were discontinued altogether[102]. The Environmental Law Centre at the University of Victoria lodged a formal complaint with Canada’s Federal Information Commissioner about the muzzling of scientists, outlining multiple examples “of taxpayer-funded science being suppressed or limited to prepackaged media lines across six different government departments and agencies.” Natural Resources Canada now requires “pre-approval” from the government before any scientists give interviews on topics such as “climate change” or the “oilsands[103].”

The attack upon the sciences is part of the Harper government’s 2007 strategy, Mobilizing Science and Technology to Canada’s Advantage, which directed “a major shift away from scientific goals to economic and labour-market priorities,” aiming to focus on science and research which would be directly useful to industry and for commercial purposes. The Natural Sciences and Engineering Research Council of Canada (NSERC) has been steered by the government “toward industry-related research and away from environmental science.” The government’s minister of state for science and technology noted that the focus for research was to be on “getting those ideas out to our factory floors, if you will, making the product or process or somehow putting that into the marketplace and creating jobs[104].” Further, the National Research Council (NRC) was “to focus more on practical, commercial science and less on fundamental science” which wouldn’t be as beneficial to corporate interests. The minister of state for science and technology, Gary Goodyear, announced it as “an exciting, new journey – a re-direction that will strengthen Canada’s research and innovation ecosystem for many years to come.” The president of the NRC noted that, “We have shifted the primary focus of our work at NRC from the traditional emphasis of basic research and discovery science in favour of a more targeted approach to research and development[105].”

As Stephen Harper said, “Science powers commerce,” but apparently to Harper, that is all it should do, even though many scientists and academics disagree[106]. The implications should be obvious: just as society’s interaction with the environment is unsustainable, so too is the dependency of the sciences upon those institutions which are destroying the environment.

MOVING FORWARD

Regardless of one’s position in society – as a member of an Indigenous group, an activist group, or within the scientific community – all of human society is facing the threat of extinction, accelerated by our destruction of the environment sourced at the point of interaction (the location of extraction) between the dominant institutions of our world and the natural world itself. Roughly half the world’s population lives in extreme poverty, with billions living in hunger, with poor access to safe drinking water, medicine and shelter, monumental disparities in wealth and inequality, the production and maintenance of unprecedented weapons of death and destruction, we are witnessing an exponentially accelerating plundering of resources and destruction of the environment upon which all life on Earth depends. If there has ever been a time in human history to begin asking big questions about the nature of our society and the legitimacy of the institutions and ideologies which dominate it, this is it.

An anarchistic understanding of the institutions and ideologies which control the world order reveals a society blinded by apathy as it nears extinction. The institutions which dictate the political, economic and social direction of our world are the very same ones destroying the environment to such an extent that the fate of the species is put at extreme risk. To not only continue – but to accelerate – down this path is no longer an acceptable course of action for humanity. It is time that socially segregated populations begin reaching out and working together, to share knowledge, organizational capacity, and engage in mutual action for shared objectives. With that in mind, it would appear to be beneficial not only for those involved – but for humanity as a whole – if Indigenous peoples and segments of the scientific community pursued the objective of protecting the environment together. Acknowledging this is easy enough, the hard part is figuring out the means and methods of turning that acknowledgement into action.

This is again where anarchist principles can become useful, emphasizing the creative capacity of many to contribute new ideas and undertake new initiatives working together as free individuals in collective organizations to achieve shared objectives. This is not an easy task, but it is a necessary one. The very future of humanity may depend upon it.

For notes and sources, download the paper here.

Andrew Gavin Marshall is a 26-year old researcher and writer based in Montreal, Canada. He is Project Manager of The People’s Book Project, chair of the Geopolitics Division of The Hampton Institute, research director for Occupy.com‘s Global Power Pro-ject, and hosts a weekly podcast show with BoilingFrogsPost.

Global Power Project, Part 2: Identifying the Institutions of Control

Global Power Project, Part 2: Identifying the Institutions of Control

By: Andrew Gavin Marshall

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The following is Part 2 of my exclusive research series for Occupy.com

Part 1: Exposing the Transnational Capitalist Class

The Global Power Project, an investigative series produced by Occupy.com, aims to identify and connect the worldwide institutions and individuals who comprise today’s global power oligarchy. In Part 1, which appeared last week, I provided an overview examining who and what constitute the global ruling elite – often referred to as the Transnational Capitalist Class (TCC). In this second part, I will attempt to identify some of the key, dominant institutions that have facilitated and have in turn been supported by the development of this oligarchic class. This is not a study of wealth, but a study of power.

In an article for the journal International Sociology, William K. Carroll and Jean Philippe Sapinski examined the relationship between the corporate elite and the emergence of a “transnational policy-planning network,” beginning with its formation in the decades following World War II and speeding up in the 1970s with the creation of “global policy groups” and think tanks such as the World Economic Forum, in 1971, and the Trilateral Commission, in 1973, among many others.

The function of such institutions was to help mobilize and integrate the corporate elite beyond national borders, constructing a politically “organized minority.” These policy-planning organizations came to exist as “venues for discussion, strategic planning, discourse production and consensus formation on specific issues,” as well as “places where responses to crises of legitimacy are crafted,” such as managing economic, political, or environmental crises where elite interests might be threatened. These groups also often acted as “advocates for specific projects of integration, often on a regional basis.” Perhaps most importantly, the organizations “provide bridges connecting business elites to political actors (heads of states, politicians, high-ranking public servants) and elites and organic intellectuals in other fields (international organizations, military, media, academia).”

One important industry association, according to researchers Carroll and Carson in the journal Global Networks (Vol. 3, No. 1, 2003), is the International Chamber of Commerce. Launched by investment bankers in 1919, immediately following WWI, the Paris-based Chamber groups roughly 7,000 member corporations together across 130 countries, adhering to largely conservative, “free market” ideology. The “primary function” of the ICC, write Carroll and Carson, “is to institutionalize an international business perspective by providing a forum where capitalists and related professionals… can assemble and forge a common international policy framework.”

Another policy group with outsized global influence is the Bilderberg group, founded between 1952 and 1954, which provided “a context for more comprehensive international capitalist coordination and planning.” Bringing together roughly 130 elites from Western Europe and North America at annual closed meetings, “Bilderberg conferences have furnished a confidential platform for corporate, political, intellectual, military and even trade-union elites from the North Atlantic heartland to reach mutual understanding.”

As Valerie Aubourg examined in an article for the journal Intelligence and National Security (Vol. 18, No. 2, 2003), the Bilderberg meetings were organized largely at the initiative of a handful of European elites, with heavy financial backing from select American institutions including the Rockefeller Foundation, the Ford Foundation and the CIA. The meetings incorporate leadership from the most prominent national think tanks, such as the Council on Foreign Relations, Brookings Institution, Carnegie Endowment and others from across the North Atlantic ‘community.’

Hugh Wilford, writing in the journal Diplomacy & Statecraft (Vol. 14, No. 3, 2003), identified major philanthropic foundations such as the Rockefeller, Ford, and Carnegie foundations as not only major sources of funding but also providers for much of the leadership of the Bilderberg meetings, which saw the participation of major industrial and financial firms in line with those foundations (David Rockefeller of Chase Manhattan is a good example). Bilderberg was a major force in helping to create the political, economic and strategic consensus behind constructing a common European market.

With the support of these major foundations and their leadership, the Bilderberg meetings became a powerful global tool of the elites, not only in creating the European Union but in designing the process of globalization itself. Will Hutton, a former Bilderberg member, once referred to the group as “the high priests of globalization,” and a former Bilderberg steering committee member, Denis Healey,once noted: “To say we were striving for a one-world government is exaggerated, but not wholly unfair…we felt that a single community throughout the world would be a good thing.”

The large industrial foundations have played a truly profound – and largely overlooked – role in the shaping of modern society. The ‘Robber Baron’ industrial fortunes of the late 19th century – those of Morgan, Rockefeller, Carnegie, Harriman, Vanderbilt, etc. – sought to shape a new order in which they would maintain a dominant influence throughout society. They founded major American universities (often named after themselves) such as Vanderbilt, or the University of Chicago which was founded by John D. Rockefeller.

It was through their institutions that they sought to produce new elites to manage a new society, atop of which they sat. These universities became the harbingers of modern social sciences, seeking to “reform” society to fit the needs of those who dominated it; to engage in social engineering with the purpose of social control. It was in this context that the Carnegie Corporation, the Rockefeller Foundation, and later the Ford Foundation and others were founded: as engines of social engineering. One of their principal aims was to shape the development of the social sciences – and their exportation around the world to other industrial and imperial powers like Great Britain, and beyond. The social sciences were to facilitate the “scientific management” of society, and the foundations were the patrons of “social control.”

The Rockefeller, Carnegie and Ford foundations were instrumental in providing funding, organization and personnel for the development of major American and international think tanks such as the Council on Foreign Relations, which became essential to the emergence of a dominant and entrenched U.S. business class linking academia, political, strategic, corporate and financial elites. The Rockefeller and Ford foundations in particular constructed the field of modern political science and “Area Studies” with a view to educating a class of people who would be prepared to help manage a global empire.

They were also prominent in developing the educational system for black Americans designed to keep them relegated to labor and “vocational” training. They helped found many prominent universities in Africa, Asia and Latin America to train indigenous elites with a “Western” education in the social sciences, to ensure continuity between a domestic and international elite, between core and periphery, empire and protectorate.

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Another major policy planning group is the Trilateral Commission, created out of the Bilderberg meetings as a separate transnational think tank and founded by Chase Manhattan CEO (and Chairman of the Council on Foreign Relations) David Rockefeller along with academic-turned-policymaker Zbigniew Brzezinski in 1973. The Trilateral Commission linked the elites from Western Europe, North America and Japan (hence “trilateral”), and it now also includes members from China, India and a range of other Pacific-East Asian countries.

Consisting of a membership of roughly 350 individuals from finance, corporations, media, think tanks, foundations, academia and political circles, the Trilateral Commission (TC) has been immensely influential as a forum facilitating the development and integration of a “transnational elite.” The aim of the TC was “to foster closer cooperation among these core industrialized areas of the world with shared leadership responsibilities in the wider international system.”

The most famous report issued by the Trilateral Commission in the mid-1970s suggested that due to the popular activism of the 1960s, there was a “crisis of democracy” that it defined as an “excess of democracy,” which needed to be reduced in order for “democracy to function effectively.” According to the Trilateral Commission, what was needed was increased “apathy and noninvolvement on the part of some individuals and groups” to counter the “crisis” being caused by “a highly educated, mobilized, and participant society.”

Moving elsewhere, the World Economic Forum, founded in 1971, convenes annually in Davos, Switzerland and was originally designed “to secure the patronage of the Commission of European Communities, as well as the encouragement of Europe’s industry associations” and “to discuss European strategy in an international marketplace.” The WEF has since expanded its membership and mandate, as Carroll and Carson noted, “organized around a highly elite core of transnational capitalists (the ‘Foundation Membership’) – which it currently limits to ’1000 of the foremost global enterprises’.” The meetings include prominent individuals from the scientific community, academics, the media, NGOs and many other policy groups.

Another major policy planning group emerged in the mid-1990s with an increased focus on environmental issues, called the World Business Council for Sustainable Development (WBCSD), which “instantly became the pre-eminent business voice on the environment” with a 1997 membership of 123 top corporate executives, tasked with bringing the “voice” of big business to the process of international efforts to address environmental concerns (and thus, to secure their own interests).

Among other prominent think tanks and policy-planning boards helping to facilitate and integrate a transnational network of elites are many nation-based organizations, particularly in the United States, such as with the Council on Foreign Relations, the Brookings Institution and the Center for Strategic and International Studies (CSIS), among many others. The advisory boards to these organizations provide an important forum through which transnational elites may help to influence the policies of many separate nations, and most importantly, the world’s most powerful nation: the United States.

The Council on Foreign Relations, founded in 1921, refers to itself as “an independent, nonpartisan membership organization, think tank, and publisher,” with roughly 4,700 members. It is largely based in New York with affiliate offices in Washington D.C. and elsewhere. The CFR is, and has been, at the heart of the American foreign policy establishment, bringing together elites from academia, government, the media, intelligence, military, financial and corporate institutions.

The CFR worked in close cooperation with the U.S. government during World War II to design the post-War world over which America would reign supreme. The Council was active in establishing the “Grand Areas” of the American Empire, and in maintaining extensive influence over the foreign policy of the United States.

As Carroll and Carson noted, there is a prominent relationship between those individuals who sit on multiple corporate boards and those who sit on the boards of prominent national and transnational policy-planning groups, “suggesting a highly centralized corporate-policy network.”

Studying 622 corporate directors and 302 organizations (five of which were the major policy-planning groups: ICC, Bilderberg, Trilateral Commission, World Economic Forum and World Business Council for Sustainable Development), Carroll and Carson assessed this network of transnational elites with data leading up to 1996, and concluded: “The international network is primarily a configuration of national corporate networks, integrated for the most part through the affiliations of a few dozen individuals who either hold transnational corporate directorships or serve on two or more policy boards.”

Out of the sample of 622 individuals, they found roughly 105 individuals (94 “transnational corporate linkers” and 11 others “whose corporate affiliations are not transnational but who sit on multiple global policy boards”) making up “the most immediate structural contributions to transnational class formation.” At the “core” of this network were 17 corporate directors, primarily European and North American, largely linked by the transnational policy groups, with the Trilateral Commission as “the most centrally positioned.” This network, they noted, “is highly centralized in terms of the individuals and organizations that participate in it.”

In undertaking a follow-up study of data between 1996 and 2006, published in the journal International Sociology (Vol. 25, No. 4, 2010), Carroll and Sapinski expanded the number of policy-planning groups from five to 11, including the original five (ICC, Bilderberg, TC, WEF, and WBCSD), but adding to them the Council on Foreign Relations (through its International Advisory Board), the UN Global Compact (through its advisory board), the European Round Table of Industrialists (ERT), founded in 1983, the EU-Japan Business Round Table, the Transatlantic Business Dialogue, and the North American Competitiveness Council.

The results of their research found that among the corporate directors, “policy-board membership has shifted towards the transnationalists, who come to comprise a larger segment of the global corporate elite,” and that there was a growing group of elites “made up of individuals with one or more transnational policy-board affiliations.” As Carroll and Sapinski concluded:

“The corporate-policy network is highly centralized, at both the level of individuals and that of organizations. Its inner circle is a tightly interwoven ensemble of politically active business leaders; its organizational core includes the Trilateral Commission, the Bilderberg Conference, the European Round Table of Industrialists and the World Business Council for Sustainable Development, surrounded by other policy boards and by the directorates of leading industrial corporations and financial institutions based in capitalism’s core regions.”

Organizations like the European Round Table of Industrialists (ERT) are not think tanks, but rather, industry organizations (exclusively representing the interests and individuals of major corporations), wielding significant influence over political and social elites. As Bastiaan van Apeldoorn wrote in the journal New Political Economy (Vol. 5, No. 2, 2000), the ERT “developed into an elite platform for an emergent European transnational capitalist class from which it can formulate a common strategy and – on the basis of that strategy – seek to shape European socioeconomic governance through its privileged access to the European institutions.”

In 1983, the ERT was formed as an organization of 17 major European industrialists (which has since expanded to several dozen members), with the proclaimed objective being “to revitalize European industry and make it competitive again, and to speed up the process of unification of the European common market.” Wisse Dekker, former Chairman of the ERT, once stated: “I would consider the Round Table to be more than a lobby group as it helps to shape policies. The Round Table’s relationship with Brussels [the EU] is one of strong co-operation. It is a dialogue which often begins at a very early stage in the development of policies and directives.”

The ERT was a central institution in the re-launching of European integration from the 1980s onward, and as former European Commissioner (and former ERT member) Peter Sutherland stated, “one can argue that the whole completion of the internal market project was initiated not by governments but by the Round Table, and by members of it… And I think it played a fairly consistent role subsequently in dialoguing with the Commission on practical steps to implement market liberalization.” Sutherland also explained that the ERT and its members “have to be at the highest levels of companies and virtually all of them have unimpeded access to government leaders because of the position of their companies… So, by definition, each member of the ERT has access at the highest level to government.”

Other notable industry associations include the Canadian Council of Chief Executives (CCCE), formerly called the Business Council on National Issues (BCNI), a group comprised of Canada’s top 150 CEOs who were a major force for the promotion and implementation of the North American Free Trade Agreement (NAFTA). The CCCE remains one of the most influential “interest groups” in Canada.

In the United States there are prominent industry associations like the Business Council, the Business Roundtable, and the Financial Services Forum. The Business Council describes itself as “a voluntary association of business leaders whose members meet several times a year for the free exchange of ideas both among themselves and with thought leaders from many sectors.”

Likewise, the Business Roundtable describes itself as “an association of chief executive officers of leading U.S. companies with more than $7.3 trillion in annual revenues,” which believes that “businesses should play an active and effective role in the formation of public policy.”

Finally, the Financial Services Forum proclaims itself to be “a non-partisan financial and economic policy organization” which aims “to pursue policies that encourage savings and investment, promote an open and competitive global marketplace, and ensure the opportunity of people everywhere to participate fully and productively in the 21st-century global economy.”

These are among some of the many institutions which will be researched and examined in greater detail throughout the Global Power Project. In the next installment, I will be examining not only the societal and economic results of these dominant institutions of power, but the specific individuals — and in some cases family dynasties — that wield significant influence nationally and globally.

Andrew Gavin Marshall is an independent researcher and writer based in Montreal, Canada. He is Project Manager of The People’s Book Project, head of the Geopolitics Division of the Hampton Institute, Research Director for Occupy.com’s Global Power Project and host of a weekly podcast show at BoilingFrogsPost.

Global Power Project, Part 1: Exposing the Transnational Capitalist Class

Global Power Project, Part 1: Exposing the Transnational Capitalist Class

By: Andrew Gavin Marshall

An exclusive series for Occupy.com

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The Global Power Project, an investigative series produced by Occupy.com, aims to identify and connect the worldwide institutions and individuals who comprise today’s global power oligarchy. By studying the relationships and varying levels of leadership that govern our planet’s most influential institutions — from banks, corporations and financial institutions to think tanks, foundations and universities — this project seeks to expose the complex, highly integrated network of influence wielded by relatively few individuals on a national and transnational basis. This is not a study of wealth, but a study of power.

Many now know the rhetoric of the 1% very well: the imagery of a small elite owning most of the wealth while the 99% take the table scraps. This rhetoric and imagery was made popular by the growth of the Occupy movement, so it seems appropriate that a project of Occupy.com should expand on this understanding and bring the activities of the global elite further to light.

In 2006, a UN report revealed that the world’s richest 1% own 40% of the world’s wealth, with those in the financial and internet sectors comprising the “super rich.” More than a third of the world’s super-rich live in the U.S., with roughly 27% in Japan, 6% in the U.K., and 5% in France. The world’s richest 10% accounted for roughly 85% of the planet’s total assets, while the bottom half of the population – more than 3 billion people – owned less than 1% of the world’s wealth.

Looking specifically at the United States, the top 1% own more than 36% of the national wealth and more than the combined wealth of the bottom 95%. Almost all of the wealth gains over the previous decade went to the top 1%. In the mid-1970s, the top 1% earned 8% of all national income; this number rose to 21% by 2010. At the highest sliver at the top, the 400 wealthiest individuals in America have more wealth than the bottom 150 million.

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A 2005 report from Citigroup coined the term “plutonomy” to describe countries “where economic growth is powered by and largely consumed by the wealthy few.” The report specifically identified the U.K., Canada, Australia and the United States as four plutonomies. Published three years before the onset of the financial crisis in 2008, the Citigroup report stated: “Asset booms, a rising profit share and favorable treatment by market-friendly governments have allowed the rich to prosper and become a greater share of the economy in the plutonomy countries.”

“The rich,” said the report, “are in great shape, financially.”

In early 2013, Oxfam reported that the fortunes made by the world’s 100 richest people over the course of 2012 – roughly $240 billion – would be enough to lift the world’s poorest people out of poverty four times over. In the Oxfam report, “The Cost of Inequality: How Wealth and Income Extremes Hurt Us All,” the international charity noted that in the past 20 years, the richest 1% had increased their incomes by 60%. Barbara Stocking, an Oxfam executive, noted that this type of extreme wealth is “economically inefficient, politically corrosive, socially divisive and environmentally destructive…We can no longer pretend that the creation of wealth for a few will inevitably benefit the many – too often the reverse is true.”

The report added: “In the UK, inequality is rapidly returning to levels not seen since the time of Charles Dickens. In China the top 10% now take home nearly 60% of the income. Chinese inequality levels are now similar to those in South Africa, which is now the most unequal country on Earth and significantly more unequal than at the end of apartheid.” In the United States, the share of national income going to the top 1% has doubled from 10 to 20% since 1980, and for the top 0.01% in the United States, “the share of national income is above levels last seen in the 1920s.”

Previously, in July of 2012, James Henry, a former chief economist at McKinsey, a major global consultancy, published a major report on tax havens for the Tax Justice Network which compiled data from the Bank for International Settlements (BIS), the IMF and other private sector entities to reveal that the world’s super-rich have hidden between $21 and $32 trillion offshore to avoid taxation.

Henry stated: “This offshore economy is large enough to have a major impact on estimates of inequality of wealth and income; on estimates of national income and debt ratios; and – most importantly – to have very significant negative impacts on the domestic tax bases of ‘source’ countries.” John Christensen of the Tax Justice Network further commented that “Inequality is much, much worse than official statistics show, but politicians are still relying on trickle-down to transfer wealth to poorer people… This new data shows the exact opposite has happened: for three decades extraordinary wealth has been cascading into the offshore accounts of a tiny number of super-rich.”

With roughly half of the world’s offshore wealth, or some $10 trillion, belonging to 92,000 of the planet’s richest individuals —representing not the top 1% but the top 0.001% — we see a far more extreme global disparity taking shape than the one invoked by the Occupy movement. Henry commented: “The very existence of the global offshore industry, and the tax-free status of the enormous sums invested by their wealthy clients, is predicated on secrecy.”

In his 2008 book, “Superclass: The Global Power Elite and the World They Are Making,” David Rothkopf, a man firmly entrenched within the institutions of global power and the elites which run them, compiled a census of roughly 6,000 individuals whom he referred to as the “superclass.” They were defined not simply by their wealth, he said, but by the influence they exercised within the realms of business, finance, politics, military, culture, the arts and beyond.

Rothkopf noted: “Each member is set apart by his ability to regularly influence the lives of millions of people in multiple countries worldwide. Each actively exercises this power and often amplifies it through the development of relationships with other superclass members.”

The global elite are of course not defined by their wealth alone, but through the institutional, ideological and individual connections and networks in which they wield their influence. The most obvious example of these types of institutions are the multinational banks and corporations which dominate the global economy. In the first scientific study of its kind, Swiss researchers analyzed the relationship between 43,000 transnational corporations and “identified a relatively small group of companies, mainly banks, with disproportionate power over the global economy.”

In their report, “The Network of Global Corporate Control, researchers noted that this network – which they defined as “ownership” by a person or firm over another firm, whether partially or entirely – “is much more unequally distributed than wealth” and that “the top ranked actors hold a control ten times bigger than what could be expected based on their wealth.” The “core” of this network – which consists of the world’s top 737 corporations – control 80% of all transnational corporations (TNCs).

Even more extreme, the top 147 transnational corporations control roughly 40% of the entire economic value of the world’s TNCs, forming their own network known as the “super-entity.” The super-entity conglomerates all control each other, and thus control a significant portion of the rest of the world’s corporations with the “core” of the global corporate network consisting primarily of financial corporations and intermediaries.

In December of 2011, the former deputy secretary of the Treasury in the Clinton administration, Roger Altman, wrote an article for the Financial Times in which he described financial markets as “a global supra-government” which can “oust entrenched regimes… force austerity, banking bail-outs and other major policy changes.” Altman said bluntly that the influence of this entity “dwarfs multilateral institutions such as the International Monetary Fund” as “they have become the most powerful force on earth.”

With the formation of this “super-entity” – a veritable global supra-government – made up of the world’s largest banks and corporations exerting immense influence over all other corporations, a new global class structure has evolved. It is this rarefied group of individuals and firms, and the relations they hold with one another, that we wish to further understand.

According to the 2012 report, “Corporate Clout Distributed: The Influence of the World’s Largest 100 Economic Entities,” of the world’s 100 largest economic entities in 2010, 42% were corporations while the rest were governments. Among the largest 150 economic entities, 58% were corporations. Wal-Mart was the largest corporation in 2010 and the 25th largest economic entity on earth, with greater revenue than the GDPs of no less than 171 countries.

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According to the Fortune Global 500 list of corporations for 2011, Royal Dutch Shell next became the largest conglomerate on earth, followed by Exxon, Wal-Mart, and BP. The Global 500 made record revenue in 2011 totaling some $29.5 trillion — more than a 13% increase from 2010.

With such massive wealth and power held by these institutions and “networks” of corporations, those individuals who sit on the boards, executive committees and advisory groups to the largest corporations and banks wield significant influence on their own. But their influence does not stand in isolation from other elites, nor do the institutions of banks and corporations function in isolation from other entities such as state, educational, cultural or media institutions.

Largely facilitated by the cross-membership that exists between boards of corporations, think tanks, foundations, educational institutions and advisory groups — not to mention the continual “revolving door” between the state and corporate sectors — these elites become a highly integrated, organized and evolved social group. This is as true for the formation of national elites as it is for transnational, or global, elites.

The rise of corporations and banks to a truly global scale – what is popularly referred to as the process of “globalization” – was facilitated by the growth of other transnational networks and institutions such as think tanks and foundations, which sought to facilitate these ideological and institutional structures of globalization. A wealth of research and analysis has been undertaken in academic literature over the past couple of decades to understand the development of this phenomenon, examining the emergence of what is often referred to as the “Transnational Capitalist Class” (TCC). In various political science and sociology journals, researchers and academics reject a conspiratorial thesis and instead advance a social analysis of what is viewed as a powerful social system and group.

As Val Burris and Clifford L. Staples argued in an article for the International Journal of Comparative Sociology (Vol. 53, No. 4, 2012), “as transnational corporations become increasingly global in their operations, the elites who own and control those corporations will also cease to be organized or divided along national lines.” They added: “We are witnessing the formation of a ‘transnational capitalist class’ (TCC) whose social networks, affiliations, and identities will no longer be embedded primarily in the roles they occupy as citizens of specific nations.” To properly understand this TCC, it is necessary to study what the authors call “interlocking directorates,” defined as “the structure of interpersonal or interorganizational relations that is created whenever a director of one corporation sits on the governing board of another corporation.”

The growth of “interlocking directorates” is primarily confined to European and North American conglomerates, whereas those in Asia, Latin America and the Middle East largely remain “isolated from the global interlock network.” Thus, the “transnationalization” of corporate directorates and, ultimately, of global class structures “is more a manifestation of the process of European integration – or, perhaps, of the emergence of a North Atlantic ruling class.”

The conclusion of these researchers was that the ruling class is not “global” as such, but rather “a supra-national capitalist class that has gone a considerable way toward transcending national divisions,” notably in the industrialized countries of Western Europe and North America; in their words, “the regional locus of transnational class formation is more accurately described as the North Atlantic region.” However, with the rise of the “East” – notably the economic might of Japan, China, India, and other East Asian nations – the interlocks and interconnections among elites are likely to expand as various other networks of institutions seek to integrate these regions.

The influence wielded by banks and corporations is not simply through their direct wealth or operations, but through the affiliations, interactions and integration by those who run the institutions with political and social elites, both nationally and globally. While we can identify a global elite as a wealth percentage (the top 1% or, more accurately, the top 0.001%), this does not account for the more indirect and institutionalized influence that corporate and financial leaders exert over politics and society as a whole.

To further understand this, we must identify and explore the dominant institutions which facilitate the integration of these elites from an array of corporations, banks, academia, the media, military, intelligence, political and cultural spheres. This will be the subject of the second installment in the series, appearing next week.

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Andrew Gavin Marshall is an independent researcher and writer based in Montreal, Canada. He is Project Manager of The People’s Book Project, head of the Geopolitics Division of the Hampton Institute, Research Director for Occupy.com’s Global Power Project and hosts a weekly podcast show at BoilingFrogsPost.

“Human Beings Have No Right to Water” and other Words of Wisdom from Your Friendly Neighborhood Global Oligarch

“Human Beings Have No Right to Water” and other Words of Wisdom from Your Friendly Neighborhood Global Oligarch

By: Andrew Gavin Marshall

Peter Brabeck, Chairman of Nestlé

Peter Brabeck, Chairman of Nestlé

In the 2005 documentary, We Feed the World, then-CEO of Nestlé, the world’s largest foodstuff corporation, Peter Brabeck-Letmathe, shared some of his own views and ‘wisdom’ about the world and humanity. Brabeck believes that nature is not “good,” that there is nothing to worry about with GMO foods, that profits matter above all else, that people should work more, and that human beings do not have a right to water.

Today, he explained, “people believe that everything that comes from Nature is good,” marking a large change in perception, as previously, “we always learnt that Nature could be pitiless.” Humanity, Brabeck stated, “is now in the position of being able to provide some balance to Nature, but in spite of this we have something approaching a shibboleth that everything that comes from Nature is good.” He then referenced the “organic movement” as an example of this thinking, premising that “organic is best.” But rest assured, he corrected, “organic is not best.” In 15 years of GMO food consumption in the United States, “not one single case of illness has occurred.” In spite of this, he noted, “we’re all so uneasy about it in Europe, that something might happen to us.” This view, according to Brabeck, is “hypocrisy more than anything else.”

Water, Brabeck correctly pointed out, “is of course the most important raw material we have today in the world,” but added: “It’s a question of whether we should privatize the normal water supply for the population. And there are two different opinions on the matter. The one opinion, which I think is extreme, is represented by the NGOs, who bang on about declaring water a public right.” Brabeck elaborated on this “extreme” view: “That means that as a human being you should have a right to water. That’s an extreme solution.” The other view, and thus, the “less extreme” view, he explained, “says that water is a foodstuff like any other, and like any other foodstuff it should have a market value. Personally I believe it’s better to give a foodstuff a value so that we’re all aware that it has its price, and then that one should take specific measures for the part of the population that has no access to this water, and there are many different possibilities there.” The biggest social responsibility of any CEO, Brabeck explained:

is to maintain and ensure the successful and profitable future of his enterprise. For only if we can ensure our continued, long term existence will we be in the position to actively participate in the solution of the problems that exist in the world. We’re in the position of being able to create jobs… If you want to create work, you have to work yourself, not as it was in the past where existing work was distributed. If you remember the main argument for the 35-hour week was that there was a certain amount of work and it would be better if we worked less and distributed the work amongst more people. That has proved quite clearly to be wrong. If you want to create more work you have to work more yourself. And with that we’ve got to create a positive image of the world for people, and I see absolutely no reason why we shouldn’t be positive about the future. We’ve never had it so good, we’ve never had so much money, we’ve never been so healthy, we’ve never lived as long as we do today. We have everything we want and we still go around as if we were in mourning for something.

While watching a promotional video of a Nestlé factory in Japan, Brabeck commented, “You can see how modern these factories are; highly robotized, almost no people.” And of course, for someone claiming to be interested in creating jobs, there appears to be no glaring hypocrisy in praising factories with “almost no people.”

 

 

It’s important to note that this is not simply the personal view of some random corporate executive, but rather, that it reflects an institutional reality of corporations: the primary objective of a corporation – above all else – is to maximize short-term profits for shareholders. By definition, then, workers should work more and be paid less, the environment is only a concern so much as corporations have unhindered access to control and exploit the resources of the environment, and ultimately, it’s ‘good’ to replace workers with automation and robotics so that you don’t have to pay fewer or any workers, and thus, maximize profits. With this institutional – and ideological – structure (which was legally constructed by the state), concern for the environment, for water, for the world and for humanity can only be promoted if it can be used to advance corporate profits, or if it can be used for public relations purposes. Ultimately, it has to be hypocritical. A corporate executive cannot take an earnest concern in promoting the general welfare of the world, the environment, or humanity, because that it not the institutional function of a corporation, and no CEO that did such would be allowed to remain as CEO.

This is why it matters what Peter Brabeck thinks: he represents the type of individual – and the type of thinking – that is a product of and a requirement for running a successful multinational corporation, of the corporate culture itself. To the average person viewing his interview, it might come across as some sort of absurd tirade you’d expect from a Nightline interview with some infamous serial killer, if that killer had been put in charge of a multinational corporation:

People have a ‘right’ to water? What an absurd notion! Next thing you’ll say is that child labour is bad, polluting the environment is bad, or that people have some sort of ‘right’ to… life! Imagine the audacity! All that matters is ‘profits,’ and what a wonderful thing it would be to have less people and more profits! Water isn’t a right, it’s only a necessity, so naturally, it makes sense to privatize it so that large multinational corporations like Nestlé can own the world’s water and ensure that only those who can pay can drink. Problem solved!

Sadly, though intentionally satirical, this is the essential view of Brabeck and others like him. And disturbingly, Brabeck’s influence is not confined to the board of Nestlé. Brabeck became the CEO of Nestlé in 1997, a position he served until 2008, at which time he resigned as CEO but remained as chairman of the board of directors of Nestlé. Apart from Nestlé, Brabeck serves as vice chairman of the board of directors of L’Oréal, the world’s largest cosmetics and ‘beauty’ company; vice chairman of the board of Credit Suisse Group, one of the world’s largest banks; and is a member of the board of directors of Exxon Mobil, one of the world’s largest oil and energy conglomerates.

He was also a former board member of one of the world’s largest pharmaceutical conglomerates, Roche. Brabeck also serves as a member of the Foundation Board for the World Economic Forum (WEF), “the guardian of [the WEF’s] mission, values and brand… responsible for inspiring business and public confidence through an exemplary standard of governance.” Brabeck is also a member of the European Round Table of Industrialists (ERT), a group of European corporate CEOs which directly advise and help steer policy for the European Union and its member countries. He has also attended meetings of the Bilderberg group, an annual forum of 130 corporate, banking, media, political and military elites from Western Europe and North America.

Thus, through his multiple board memberships on some of the largest corporations on earth, as well as his leadership and participation in some of the leading international think tanks, forums and business associations, Brabeck has unhindered access to political and other elites around the world. When he speaks, powerful people listen.

Brabeck’s Brain

Brabeck has become an influential voice on issues of food and water, and not surprisingly so, considering he is chairman of the largest food service corporation on earth. Brabeck’s career goes back to when he was working for Nestlé in Chile in the early 1970s, when the left-leaning democratically-elected president Salvador Allende was “threatening to nationalize milk production, and Nestlé’s Chilean operations along with it.” A 1973 Chilean military coup – with the support of the CIA – put an end to that “threat” by bringing in the military dictatorship of Augusto Pinochet, who murdered thousands of Chileans and established a ‘national security state’, imposing harsh economic measures to promote the interests of elite corporate and financial interests (what later became known as ‘neoliberalism’).

In a 2009 article for Foreign Policy magazine, Brabeck declared: “Water is the new gold, and a few savvy countries and companies are already banking on it.” In a 2010 article for the Guardian, Brabeck wrote that, “[w]hile our collective attention has been focused on depleting supplies of fossil fuels, we have been largely ignoring the simple fact that, unless radical changes are made, we will run out of water first, and soon.” What the world needs, according to Brabeck, is “to set a price that more accurately values our most precious commodity,” and that, [t]he era of water at throwaway prices is coming to an end.” In other words, water should become increasingly expensive, according to Brabeck. Countries, he wrote, should recognize “that not all water use should be regarded as equal.”

In a discussion with the Wall Street Journal in 2011, Brabeck spoke against the use of biofuels – converting food into fuel – and suggested that this was the primary cause of increased food prices (though in reality, food price increases are primarily the result of speculation by major banks like Goldman Sachs and JPMorgan Chase). Brabeck noted the relationship between his business – food – and major geopolitical issues, stating: “What we call today the Arab Spring… really started as a protest against ever-increasing food prices.” One “solution,” he suggested, was to provide a “market” for water as “the best guidance that you can have.” If water was a ‘market’ product, it wouldn’t be wasted on growing food for fuel, but focus on food for consumption – and preferably (in his view), genetically modified foods. After all, he said, “if the market forces are there the investments are going to be made.” Brabeck suggested that the world could “feed nine billion people,” providing them with water and fuel, but only on the condition that “we let the market do its thing.”

Brabeck co-authored a 2011 article for the Wall Street Journal in which he stated that in order to provide “universal access to clean water, there is simply no other choice but to price water at a reasonable rate,” and that roughly 1.8 billion people on earth lack access to clean drinking water “because of poor water management and governance practices, and the lack of political will.” Brabeck’s job then, as chairman of Nestlé, is to help create the “political will” to make water into a modern “market” product.

Now before praising Brabeck for his ‘enlightened’ activism on the issue of water scarcity and providing the world’s poor with access to clean drinking water (which are very real and urgent issues needing attention), Brabeck himself has stressed that his interest in the issue of water has nothing to do with actually addressing these issues in a meaningful way, or for the benefit of the earth and humanity. No, his motivation is much more simple than this.

In a 2010 interview for BigThink, Brabeck noted: “If Nestlé and myself have become very vocal in the area of water, it was not because of any philanthropic idea, it was very simple: by analyzing… what is the single most important factor for the sustainability of Nestlé, water came as [the] number one subject.” This is what led Brabeck and Nestlé into the issue of water “sustainability,” he explained. “I think this is part of a company’s responsibility,” and added: “Now, if I was in a different industry, I would have a different subject, certainly, that I would be focusing on.”

Brabeck was asked if industries should “have a role in finding solutions to environmental issues that affect their business,” to which he replied: “Yes, because it is in the interest of our shareholders… If I want to convince my shareholders that this industry is a long-term sustainable industry, I have to ensure that all aspects that are vital for this company are sustainable… When I see, like in our case, that one of the aspects – which is water, which is needed in order to produce the raw materials for our company – if this is not sustainable, then my enterprise is not sustainable. So therefore I have to do something about it. So shareholder interest and societal interest are common.”

Thus, when Brabeck and Nestlé promote “water sustainability,” what they are really promoting is the sustainability of Nestlé’s access to and control over water resources. How is that best achieved? Well, since Nestlé is a large multinational corporation, the natural solution is to promote ‘market’ control of water, which means privatization and monopolization of the world’s water supply into a few corporate hands.

In a 2011 conversation with the editor of Time Magazine at the Council on Foreign Relations, Brabeck referred to a recent World Economic Forum meeting where the issue of “corporate social responsibility” was the main subject of discussion, when corporate executives “started to talk about [how] we have to give back to society,” Brabeck spoke up and stated: “I don’t feel that we have to give back to society, because we have not been stealing from society.” Brabeck explained to the Council on Foreign Relations that he felt such a concept was the purview of philanthropy, and “this was a problem for the CEO of any public company, because I personally believe that no CEO of a public company should be allowed to make philanthropy… I think anybody who does philanthropy should do it with his own money and not the money of the shareholders.” Engaging in corporate social responsibility, Brabeck explained, “was an additional cost.”

At the 2008 World Economic Forum, a consortium of corporations and international organizations formed the 2030 Water Resources Group, chaired by Peter Brabeck. It was established in order to “shape the agenda” for the discussion of water resources, and to create “new models for collaboration” between public and private enterprises. The governing council of the 2030 WRG is chaired by Brabeck and includes the executive vice president and CEO of the International Finance Corporation (IFC), the investment arm of the World Bank, the administrator of the United Nations Development Programme (UNDP), the chief business officer and managing director of the World Economic Forum, the president of the African Development Bank, the chairman and CEO of The Coca-Cola Company, the president of the Asian Development Bank, the director-general of the World Wildlife Fund (WWF), the president of the Inter-American Development Bank, and the chairman and CEO of PepsiCo, among others.

At the World Water Forum in 2012 – an event largely attended by the global proponents of water privatization, Nestlé among their most enthusiastic supporters – Brabeck suggested that the 2030 Water Resources Group represents a “global public-private initiative” which could help in “providing tools and information on best practice” as well as “guidance and new policy ideas on water resource scarcity.”

Brabeck and Nestlé had been in talks with the Canadian provincial government of Alberta in planning for a potential “water exchange,” to – in the words of Maclean’s magazine – “turn water into money.” In 2012, the University of Alberta bestowed an honorary degree upon Peter Brabeck “for his work as a responsible steward for water around the world.” Protests were organized at the university to oppose the ‘honor,’ with a representative from the public interest group, the Council of Canadians, noting: “I’m afraid that the university is positioning themselves on the side of the commodifiers, the people who want to say that water is not a human right that everyone has the right to, but is just a product that can be bought and sold.” A professor at the university stated: “I’m ashamed at this point, about what the university is doing and I’m also very concerned about the way the president of the university has been demonizing people who oppose this.” As another U of A professor stated: “What Nestlé does is take what clean water there is in which poor people are relying on, bottle it and then sell it to wealthier people at an exorbitant profit.”

The Global Water Privatization Agenda

Water privatization is an extremely vicious operation, where the quality of – and access to – water resources diminishes or even vanishes, while the costs explode. When it comes to the privatization of water, there is no such thing as “competition” in how the word is generally interpreted: there are only a handful of global corporations that undertake massive water privatizations. The two most prominent are the French-based Suez Environment and Veolia Environment, but also include Thames Water, Nestlé, PepsiCo and Coca-Cola, among others. For a world in which food has already been turned into a “market commodity” and has been “financialized,” leading to massive food price increases, hunger riots, and immense profits for a few corporations and banks, the prospect of water privatization is even more disturbing.

The agenda of water privatization is organized at the international level, largely promoted through the World Water Forum and the World Water Council. The World Water Council (WWC) was established in 1996 as a French-based non-profit organization with over 400 members from intergovernmental organizations, government agencies, corporations, corporate-dominated NGOs and environmental organizations, water companies, international organizations and academic institutions.

Every three years, the WWC hosts a World Water Forum, the first of which took place in 1997, and the 6th conference in 2012 was attended by thousands of participants from countries and institutions all over the world get together to decide the future of water, and of course, promote the privatization of this essential resource to human life. The 6th World Water Forum, hosted in Marseilles, France, was primarily sponsored by the French government and the World Water Council, but included a number of other contributors, including: the African Development Bank, African Union Commission, Arab Water Council, Asian Development Bank, the Council of Europe, the European Commission, the European Investment Bank, the European Parliament, the European Water Association, the Food and Agricultural Organization, the Global Environment Facility, Inter-American Development Bank, Nature Conservancy, Organisation for Economic Co-operation and Development (OECD), Organization of American States (OAS), Oxfam, the World Bank, the World Business Council for Sustainable Development, the World Health Organization, the World Wildlife Fund; and a number of corporate sponsors, including: RioTinto Alcan, EDF, Suez Environment, Veolia, and HSBC. Clearly, they have human and environmental interests at heart.

The World Bank is a major promoter of water privatization, as much of its aid to ‘developing’ countries was earmarked for water privatization schemes which inevitably benefit major corporations, in co-operation with the International Monetary Fund (IMF), and the U.S. Treasury. One of the first major water privatization schemed funded by the World Bank was in Argentina, for which the Bank “advised” the government of Argentina in 1991 on the bidding and contracting of the water concession, setting a model for what would be promoted around the world. The World Bank’s investment arm, the International Finance Corporation (IFC), loaned roughly $1 billion to the Argentine government for three water and sewage projects in the country, and even bought a 5% stake in the concession, thus becoming a part owner. When the concession for Buenos Aires was opened up, the French sent representatives from Veolia and Suez, which formed the consortium Aguas Argentinas, and of course, the costs for water services went up. Between 1993, when the contract with the French companies was signed, and 1997, the Aguas Argentinas consortium gained more influence with Argentine President Carlos Menem and his Economy Minister Domingo Cavallo, who would hold meetings with the president of Suez as well as the President of France, Jacques Chirac. By 2002, the water rates (cost of water) in Buenos Aires had increased by 177% since the beginning of the concession.

In the 1990s, the amount of World Bank water privatization projects increased ten-fold, with 31% of World Bank water supply and sanitation projects between 1990 and 2001 including conditions of private-sector involvement, despite the fact that the projects consistently failed in terms of providing cheaper and better water to larger areas. But of course, they were highly profitable for large corporations, so naturally, they continued to be promoted and supported (and subsidized).

One of the most notable examples of water privatization schemes was in Bolivia, the poorest country in South America. In 1998, an IMF loan to Bolivia demanded conditions of “structural reform,” the selling off of “all remaining public enterprises,” including water. In 1999, the World Bank told the Bolivian government to end its subsidies for water services, and that same year, the government leased the Cochabamba Water System to a consortium of multinational corporations, Aguas del Tunari, which included the American corporation Bechtel. After granting the consortium a 40-year lease, the government passed a law which would make residents pay the full cost of water services. In January of 2000, protests in Cochabamba shut down the city for four days, striking and establishing roadblocks, mobilizing against the water price increases which doubled or tripled their water bills. Protests continued in February, met with riot police and tear gas, injuring 175 people.

By April, the protests began to spread to other Bolivian cities and rural communities, and during a “state of siege” (essentially martial law) declared by Bolivian president Hugo Banzer, a 17-year old boy, Victor Hugo Daza, was shot and killed by a Bolivian Army captain, who was trained as the U.S. military academy, the School of the Americas. As riot police continued to meet protesters with tear gas and live ammunition, more people were killed, and dozens more injured. On April 10, the government conceded to the people, ending the contract with the corporate consortium and granting the people to control their water system through a grassroots coalition led by the protest organizers.

Two days later, World Bank President James Wolfensohn stated that the people of Bolivia should pay for their water services. On August 6, 2001, the president of Bolivia resigned, and the Vice President Jorge Quiroga, a former IBM executive, was sworn in as the new president to serve the remainder of the term until August of 2002. Meanwhile, the water consortium, deeply offended at the prospect of people taking control of their own resources, attempted to take legal action against the government of Bolivia for violating the contract. Bechtel was seeking $25 million in compensation for its “losses,” while recording a yearly profit of $14 billion, whereas the national budget of Bolivia was a mere $2.7 billion. The situation ultimately led to a type of social revolution which brought to power the first indigenous Bolivian leader in the country’s history, Evo Morales.

This, of course, has not stopped the World Bank and IMF – and the imperial governments which finance them – from promoting water privatization around the world for the exclusive benefit of a handful of multinational corporations. The World Bank promotes water privatization across Africa in order to “ease the continent’s water crisis,” by making water more expensive and less accessible.

As the communications director of the World Bank in 2003, Paul Mitchell, explained, “Water is crucial to life – we have to get water to poor people,” adding: “There are a lot of myths about privatization.” I would agree. Though the myth that it ‘works’ is what I would propose, but Mitchell instead suggested that, “[p]rivate sector participation is simply to manage the asset to make it function for the people in the country.” Except that it doesn’t. But don’t worry, decreasing water standards, dismantling water distribution, and rapidly increasing the costs of water to the poorest regions on earth is good, according to Mitchell and the World Bank. He told the BBC that what the World Bank is most interested in is the “best way to get water to poor people.” Perhaps he misspoke and meant to say, “the best way to take water from poor people,” because that’s what actually happens.

In 2003, the World Bank funded a water privatization scheme in the country of Tanzania, supported by the British government, and granting the concession to a consortium called City Water, owned by the British company Biwater, which worked with a German engineering firm, Gauff, to provide water to the city of Dar es Salaam and the surrounding region. It was one of the most ambitious water privatization schemes in Africa, with $140 million in World Bank funding, and, wrote John Vidal in the Guardian, it “was intended to be a model for how the world’s poorest communities could be lifted out of poverty.”

The agreement included conditions for the consortium to install new pipelines for water distribution. The British government’s Department for International Development gave a 440,000-pound contract to the British neoliberal think tank, Adam Smith International, “to do public-relations work for the project.” Tanzania’s best-known gospel singer was hired to perform a pop song about the benefits of privatization, mentioning electricity, telephones, the ports, railways, and of course, water. Both the IMF and World Bank made the water scheme a condition for “aid” they gave to the country. Less than one year into the ten-year contract, the private consortium, City Water, stopped paying its monthly fee for leasing the government’s pipes and infrastructure provided by the public water company, Dawasa, while simultaneously insisting that its own fees be raised. An unpublished World Bank report even noted: “The primary assumption on the part of almost all involved, particularly on the donor side, was that it would be very hard, if not impossible, for the private operator [City Water] to perform worse than Dawasa. But that is what happened.” The World Bank as a whole, however, endorsed the program as “highly satisfactory,” and rightly so, because it was doing what it was intended to do: provide profits for private corporations at the expense of poor people.

By 2005, the company had not built any new pipes, it had not spent the meager investments it promised, and the water quality declined. As British government “aid” money was poured into privatization propaganda, a video was produced which included the phrase: “Our old industries are dry like crops and privatization brings the rain.” Actually, privatization attaches a price-tag to rain. Thus, in 2005, the government of Tanzania ended the contract with City Water, and arrested the three company executives, deporting them back to Britain. As is typical, the British company, Biwater, then began to file a lawsuit against the Tanzanian government for breach of contract, wanting to collect $20-25 million. A press release from Biwater at the time wrote: “We have been left with no choice… If a signal goes out that governments are free to expropriate foreign investments with impunity,” investors would flee, and this would, of course, “deal a massive blow to the development goals of Tanzania and other countries in Africa.”

The sixth World Water Forum in Marseilles in 2012 brought together some 19,000 participants, where the French Development Minister Henri de Raincourt proposed a “global water and environment management scheme,” adding: “The French government is not alone in its conviction that a global environment agency is needed more than ever.” A parallel conference was held – the Alternative World Water Forum – which featured critics of water privatization. Gustave Massiah, a representative of the anti-globalization group Attac, stated, “Should a global water fund be in control, giving concessions to multinational companies, then that’s not a solution for us. On the contrary, that would only add to the problems of the current system.”

Another member of Attac, Jacques Cambon, used to be the head of SAFEGE’s Africa branch, a subsidiary of the water conglomerate Suez. Cambon was critical of the idea of a global water fund, warning against centralization, and further explained that the World Bank “has almost always financed large-scale projects that were not in tune with local conditions.” Maria Theresa Lauron, a Philippine activist, shared the story of water privatization in the Philippines, saying, “Since 1997, prices went up by 450 to 800 percent… At the same time, the water quality has gone down. Many people get ill because of bad water; a year ago some 600 people died as a result of bacteria in the water because the private company didn’t do proper water checks.” But then, why would the company do such a thing? It’s not like it’s particularly profitable to be concerned with human welfare.

In Europe, the European Commission had been pushing water privatization as a condition for development funds between 2002 and 2010, specifically in several central and eastern European countries which were dependent upon EU grants. Since the European debt crisis, the European Commission had made water privatization a condition for Greece, Portugal, and Italy. Greece is privatizing its water companies, Portugal is being pressured to sell its national water company, Aguas do Portugal, and in Italy, the European Central Bank (ECB) and the Commission were pushing water privatization, even though a national referendum in July of 2011 saw the people of Italy reject such a scheme by 95%.

In this context, among the global institutions and corporations of power and influence, it is perhaps less surprising to imagine the chairman of Nestlé suggesting that human beings having a “right” to water is rather “extreme.” And for a very simple reason: that’s not profitable for Nestlé, even though it might be good for humanity and the earth. It’s about priorities, and in our world, priorities are set by multinational corporations, banks, and global oligarchs. As Nestlé would have us think, corporate and social interests are not opposed, as corporations – through their ‘enlightened’ self-interest and profit-seeking motives – will almost accidentally make the world a better place. Now, while neoliberal orthodoxy functions on the basis of people simply accepting this premise without investigation (like any religious belief), perhaps it would be worth looking at Nestlé as an example for corporate benefaction for the world and humanity.

Nestlé’s Corporate Social Responsibility: Making the World Safe for Nestlé… and Incidentally Destroying the World

As a major multinational corporation, Nestlé has a proven track record of exploiting labour, destroying the environment, engaging in human rights violations, but of course – and most importantly – it makes big profits. In 2012, Nestlé was taking in major profits from ‘emerging markets’ in Asia, Africa, and Latin America. However, some emerging market profits began to slow down in 2013. This was partly the result of a horsemeat scandal which required companies like Nestlé to intensify the screening of their food products.

Less than a year prior, Nestlé was complaining that “over-regulation” of the food industry was “undermining individual responsibility,” which is another way of saying that responsibility for products and their safety should be passed from the producer to the consumer. In other words, if you’re stupid enough to buy Nestlé products, it’s your fault if you get diabetes or eat horsemeat, and therefore, it’s your responsibility, not the responsibility of Nestlé. Fair enough! We’re stupid enough to accept corporations ruling over us, therefore, what right do we have to complain about all the horrendous crimes and destruction they cause? A cynic could perhaps argue such a point.

One of Nestlé’s most famous PR problems was that of marketing artificial baby milk, which sprung to headlines in the 1970s following the publication of “The Baby Killer,” accusing the company of getting Third World mothers hooked on formula. As research was proving that breastfeeding was healthier, Nestlé marketed its baby formula as a way for women to ‘Westernize’ and join the modern world, handing out pamphlets and promotional samples, with companies hiring “sales girls in nurses’ uniforms (sometimes qualified, sometimes not)” in order to drop by homes and sell formula. Women tried to save money on the formula by diluting it, often times with contaminated water. As the London-based organization War on Want noted: “The results can be seen in the clinics and hospitals, the slums and graveyards of the Third World… Children whose bodies have wasted away until all that is left is a big head on top of the shriveled body of an old man.” An official with the United States Agency for International Development (USAID) blamed baby formula for “a million infant deaths every year through malnutrition and diarrheal diseases.”

Mike Muller, the author of “The Baby Killer” back in 1974, wrote an article for the Guardian in 2013 in which he mentioned that he gave Peter Brabeck a “present” at the World Economic Forum, a signed copy of the report. The report had sparked a global boycott of Nestlé and the company responded with lawsuits.

Nestlé has also been implicated for its support of palm-oil plantations, which have led to increased deforestation and the destruction of orangutan habitats in Indonesia. A Greenpeace publication noted that, “at least 1500 orangutans died in 2006 as a result of deliberate attacks by plantation workers and loss of habitat due to the expansion of oil palm plantations.” A social media campaign was launched against Nestlé for its role in supporting palm oil plantations, deforestation, and the destruction of orangutan habitats and lives. The campaign pressured Nestlé to decrease its “deforestation footprint.”

As Nestlé has been expanding its presence in Africa, it has also aroused more controversy in its operations on the continent. Nestlé purchases one-tenth of the world’s cocoa, most of which comes from the Ivory Coast, where the company has been implicated in the use of child labour. In 2001, U.S. legislation required companies to engage in “self-regulation” which called for “slave free” labeling on all cocoa products. This “self regulation,” however, “failed to deliver” – imagine that! – as one study carried out by Tulane University with funding from the U.S. government revealed that roughly 2 million children were working on cocoa-related activities in both Ghana and the Ivory Coast. Even an internal audit carried out by the company found that Nestlé was guilty of “numerous” violations of child labour laws. Nestlé’s head of operations stated, “The use of child labor in our cocoa supply goes against everything we stand for.” So naturally, they will continue to use child labour.

Peter Brabeck stated that it’s “nearly impossible” to end the practice, and he compared the practice to that of farming in Switzerland: “You go to Switzerland… still today, in the month of September, schools have one week holiday so students can help in the wine harvesting… In those developing countries, this also happens,” he told the Council on Foreign Relations. While acknowledging that this “is basically child labor and slave labor in some African markets,” it is “a challenge which is not very easy to tackle,” noting that there is “a very fine edge” of what is acceptable regarding “child labor in [the] agricultural environment.” He added: “It’s almost natural.” Thus, Brabeck explained, “you have to look at it differently,” and that it was not the job of Nestlé to tell parents that their children can’t work on cocoa plantations/farms, “which is ridiculous,” he suggested: “But what we are saying is we will help you that your child has access for schooling.” So clearly there is no problem with using child slavery, just so long as the children get some schooling… presumably, in their ‘off-hours’ from slavery. Problem solved!

While Brabeck and Nestlé have made a big issue of water scarcity, which again, is an incredibly important issue, their solutions revolve around “pricing” water at a market value, and thus encouraging privatization. Indeed, a global water grab has been a defining feature of the past several years (coupled with a great global land grab), in which investors, countries, banks and corporations have been buying up vast tracts of land (primarily in sub-Saharan Africa) for virtually nothing, pushing off the populations which live off the land, taking all the resources, water, and clearing the land of towns and villages, to convert them into industrial agricultural plantations to develop food and other crops for export, while domestic populations are pushed deeper into poverty, hunger, and are deprived of access to water. Peter Brabeck has referred to the land grabs as really being about water: “For with the land comes the right to withdraw the water linked to it, in most countries essentially a freebie that increasingly could be seen as the most valuable part of the deal.” This, noted Brabeck, is “the great water grab.”

And of course, Nestlé would know something about water grabs, as it has become very good at implementing them. In past years, the company has been increasingly buying land where it is taking the fresh water resources, bottling them in plastic bottles and selling them to the public at exorbitant prices. In 2008, as Nestlé was planning to build a bottling water plant in McCloud, California, the Attorney General opposed the plan, noting: “It takes massive quantities of oil to produce plastic water bottles and to ship them in diesel trucks across the United States… Nestlé will face swift legal challenge if it does not fully evaluate the environmental impact of diverting millions of gallons of spring water from the McCloud River into billions of plastic water bottles.” Nestlé already operated roughly 50 springs across the country, and was acquiring more, such as a plan to draw roughly 65 million gallons of water from a spring in Colorado, despite fierce opposition to the deal.

Years of opposition to the plans of Nestlé in McCloud finally resulted in the company giving up on its efforts there. However, the company quickly moved on to finding new locations to take water and make a profit while destroying the environment (just an added bonus, of course). The corporation controls one-third of the U.S. market in bottled water, selling it as 70 different brand names, including Perrier, Arrowhead, Deer Park and Poland Spring. The two other large bottled water companies are Coca-Cola and PepsiCo, though Nestlé had earned a reputation “in targeting rural communities for spring water, a move that has earned it fierce opposition across the U.S. from towns worried about losing their precious water resources.” And water grabs by Nestlé as well as opposition continue to engulf towns and states and cities across the country, with one more recent case in Oregon.

Nestlé has aroused controversy for its relations with labour, exploiting farmers, pollution, and human rights violations, among many other things. Nestlé has been implicated in the kidnapping and murder of a union activist and employee of the company’s subsidiary in Colombia, with a judge demanding the prosecutor to “investigate leading managers of Nestle-Cicolac to clarify their likely involvement and/or planning of the murder of union leader Luciano Enrique Romero Molina.” In 2012, a Colombian trade union and a human rights group filed charges against Nestlé for negligence over the murder of their former employee Romero.

More recently, Nestlé has been found liable over spying on NGOs, with the company hiring a private security company to infiltrate an anti-globalization group, and while a judge ordered the company to pay compensation, a Nestlé spokesperson stated that, “incitement to infiltration is against Nestlé’s corporate business principles.” Just like child slavery, presumably. But not to worry, the spokesman said, “we will take appropriate action.”

Peter Brabeck, who it should be noted, also sits on the boards of Exxon, L’Oréal, and the banking giant Credit Suisse, warned in 2009 that the global economic crisis would be “very deep” and that, “this crisis will go on for a long period.” On top of that, the food crisis would be “getting worse” over time, hitting poor people the hardest. However, propping up the financial sector through massive bailouts was, in his view, “absolutely essential.” But not to worry, as banks are bailed out by governments, who hand the bill to the population, which pays for the crisis through reduced standards of living and exploitation (which we call “austerity” and “structural reform” measures), Nestlé has been able to adapt to a new market of impoverished people, selling cheaper products to more people who now have less money. And better yet, it’s been making massive profits. And remember, according to Brabeck, isn’t that all that really matters?

This is the world according to corporations. Unfortunately, while it creates enormous wealth, it is also leading to the inevitable extinction of our species, and possibly all life on earth. But that’s not a concern of corporations, so it doesn’t concern those who run corporations, who make the important decisions, and pressure and purchase our politicians.

I wonder… what would the world be like if people were able to make decisions?

There’s only one way to know.

Andrew Gavin Marshall is an independent researcher and writer based in Montreal, Canada, with a focus on studying the ideas, institutions, and individuals of power and resistance across a wide spectrum of social, political, economic, and historical spheres. He has been published in AlterNet, CounterPunch, Occupy.com, Truth-Out, RoarMag, and a number of other alternative media groups, and regularly does radio, Internet, and television interviews with both alternative and mainstream news outlets. He is Project Manager of The People’s Book Project, Research Director of Occupy.com’s Global Power Project, and has a weekly podcast show with BoilingFrogsPost.

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The Propaganda System That Has Helped Create a Permanent Overclass Is Over a Century in the Making

The Propaganda System That Has Helped Create a Permanent Overclass Is Over a Century in the Making

Pulling back the curtain on how intent the wealthiest Americans have been on establishing a propaganda tool to subvert democracy.

By: Andrew Gavin Marshall

Originally posted at AlterNet

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Where there is the possibility of democracy, there is the inevitability of elite insecurity. All through its history, democracy has been under a sustained attack by elite interests, political, economic, and cultural. There is a simple reason for this: democracy – as in true democracy – places power with people. In such circumstances, the few who hold power become threatened. With technological changes in modern history, with literacy and education, mass communication, organization and activism, elites have had to react to the changing nature of society – locally and globally.

From the late 19th century on, the “threats” to elite interests from the possibility of true democracy mobilized institutions, ideologies, and individuals in support of power. What began was a massive social engineering project with one objective: control. Through educational institutions, the social sciences, philanthropic foundations, public relations and advertising agencies, corporations, banks, and states, powerful interests sought to reform and protect their power from the potential of popular democracy.

Yet for all the efforts, organization, indoctrination and reformation of power interests, the threat of democracy has remained a constant, seemingly embedded in the human consciousness, persistent and pervasive.

In his highly influential work, The Crowd: A Study of the Popular Mind, French social psychologist Gustav Le Bon suggested that middle class politics were transforming into popular democracy, where “the opinion of the masses” was the most important opinion in society. He wrote: “The destinies of nations are elaborated at present in the heart of the masses, and no longer in the councils of princes.” This was, of course, a deplorable change for elites, suggesting that, “[t]he divine right of the masses is about to replace the divine right of kings.” Le Bon suggested, however, that the “crowd” was not rational, but rather was driven by emotion and passion.

An associate and friend of Le Bon’s, Gabriel Tarde, expanded upon this concept, and articulated the idea that “the crowd” was a social group of the past, and that “the public” was “the social group of the future.” The public, argued Tarde, was a “spiritual collectivity, a dispersion of individuals who are physically separated and whose cohesion is entirely mental.” Thus, Tarde identified in the growth of the printing press and mass communications a powerful medium through which “the public” was shaped, and that, if managed appropriately, could bring a sense of order to a situation increasingly chaotic. The newspaper, Tarde explained, facilitated “the fusion of personal opinions into local opinions, and this into national and world opinion, the grandiose unification of the public mind.”

The development of psychology, psychoanalysis, and other disciplines increasingly portrayed the “public” and the population as irrational beings incapable of making their own decisions. The premise was simple: if the population was driven by dangerous, irrational emotions, they needed to be kept out of power and ruled over by those who were driven by reason and rationality, naturally, those who were already in power.

The Princeton Radio Project, which began in the 1930s with Rockefeller Foundation funding, brought together many psychologists, social scientists, and “experts” armed with an interest in social control, mass communication, and propaganda. The Princeton Radio Project had a profound influence upon the development of a modern “democratic propaganda” in the United States and elsewhere in the industrialized world. It helped in establishing and nurturing the ideas, institutions, and individuals who would come to shape America’s “democratic propaganda” throughout the Cold War, a program fostered between the private corporations which own the media, advertising, marketing, and public relations industries, and the state itself.

‘A Genuinely Democratic Propaganda’

World War I popularized the term “propaganda” and gave it negative connotations, as all major nations involved in the war effort employed new techniques of modern propaganda to mobilize their populations for war. In the United States, the effort was led by President Woodrow Wilson in the establishment of the Committee on Public Information (CPI) as a “vast propaganda ministry.” The central theme of the CPI was to promote U.S. entry into the war on the basis of seeking “to make a world that is safe for democracy.” This point was specifically developed by the leading intellectual of the era, Walter Lippmann, who by the age of 25 was referred to by President Theodore Roosevelt as “the most brilliant man of his age.” Lippmann was concerned primarily with the maintenance of the state-capitalist system in the face of increased unrest, resistance, and ideological opposition, feeling that the “discipline of science” would need to be applied to democracy, where social engineers and social scientists “would provide the modern state with a foundation upon which a new stability might be realized.” For this, Lippmann suggested the necessity of “intelligence and information control” in what he termed the “manufacture of consent.”

Important intellectuals of the era then became principally concerned with the issue of propaganda during peacetime, having witnessed its success in times of war. Propaganda, wrote Lippmann, “has a legitimate and desirable part to play in our democratic system.” A leading political scientist of the era, Harold Lasswell, noted: “Propaganda is surely here to stay.” In his 1925 book, The Phantom Public, Lippmann wrote that the public was a “bewildered herd” of “ignorant and meddlesome outsiders” who should be maintained as “interested spectators of action,” and distinct from the actors themselves, the powerful. Edward Bernays, the ‘father of public relations’ and nephew of Sigmund Freud got his start with Wilson’s CPI during World War I, and had since become a leading voice in the fields of propaganda and public relations. In his 1928 book, Propaganda, Bernays wrote: “The conscious and intelligent manipulation of the organized habits and opinions of the masses is an important element in democratic society. Those who manipulate this unseen mechanism of society constitute an invisible government which is the true ruling power of our country.” Modern society was dominated by a “relatively small number of persons… who understand the mental processes and social patterns of the masses,” and this was, in Bernays’ thinking, “a logical result of the way in which our democratic society is organized.” Bernays referred to this – “borrowing” from Walter Lippmann – as the “engineering of consent.”

For the leading intellectuals and social engineers of the era, “propaganda” was presented as distinctly “democratic” and as a necessity to the proper functioning of society. John Marshall of the Rockefeller Foundation focused on what he called the “problem of propaganda” and sought to create, as he wrote in 1938, a “genuinely democratic propaganda.” Marshall pursued this objective through the Rockefeller Foundation, and specifically with the Princeton Radio Project in the late 1930s under the direction of Hadley Cantril and Frank Stanton, though including other intellectuals such as Paul Lazarsfeld and Harold Lasswell.

In 1936, Marshall wrote that the best way to expand the use of radio and film was for the Rockefeller Foundation to give “a few younger men with talent for these mediums an opportunity for relatively free experimentation… men interested primarily in education, literature, criticism, or in disseminating the findings of the social or natural sciences.”

In 1939, with the war in Europe under way, the Rockefeller Foundation had organized several conferences and published several papers on the issue of mass communication, directed by what was called the Communications Group, headed by Marshall and other Foundation officials, and with the participation of Lasswell, Lazarzfeld, Cantril, and several others. Early on, the Communications Group noted that with “an increasing degree of [government] control… in regard to all phases of communication, such as in the schools, the radio, the films, the press, and even eventually in all public discussion,” it was necessary to arrive at a consensus – among the “experts” – as to what role they should play as the state expands its authority over communication. Sociologist Robert Lynd took a page from Lippmann and wrote that a “goal” of experts in communication should “be that of persuading the people that there are many issues too complicated for them to decide, which should be left to experts.” One other participant commented on Lynd’s suggestion: “Mr. Lynd feels we need a restructuring of democratic action in terms of the capacity of different groups of the population and an abandonment of the American idea of the responsibility and capacity of the man on the street.” In 1940, John Marshall wrote:

In a period of emergency such as I believe we now face, the manipulation of public opinion to meet emergency needs has to be taken for granted. In such a period, those in control must shape public opinion to support courses of action which the emergency necessitates… No one, I think, can blame them for that impulse.

In a 1940 memo for the Communications Group, Marshall wrote that, “We believe… that for leadership to secure that consent will require unprecedented knowledge of the public mind and of the means by which leadership can secure consent… We believe… that we gave available today methods of research which can reliably inform us about the public mind and how it is being, or can be, influenced in relation to public affairs.” The memo concerned some officials at the Rockefeller Foundation, noting that it could be misinterpreted and that such research should be careful about becoming a mere tool of the state, with one official noting: “Public opinion and vested interests are… violently opposed to such a development which would be labeled as fascist or authoritarian.” Another official suggested that the memo “looks to me like something that [Nazi propaganda chief] Herr Goebbels could put out with complete sincerity.” While one Foundation official referred to the memo as resembling “the methods by which democracy has been destroyed,” he added that, “finding out regularly and completely what the mass of the people feel and believe and think about things and policies is a necessary part of the modern democratic process.” Marshall and the Communications Group refined their approach from a more overt authoritarianism of “one-way” communication between the state and the population, to a more Lippmann-centered concept of “manufacturing consent” and what has been referred to as “democratic elitism.” In the final report of the Communications Group in 1940, it was noted that two-way communication between the government and population was essential, as without it, “democracy is endangered,” and that it was required for the population to give “consent.”

Frank Stanton, along with Hadley Cantril, was one of the co-directors of the Princeton Project since its inception. As Michael J. Socolow wrote in the Journal of Broadcasting & Electronic Media, Frank Stanton had “devoted much of his life to understanding the cultural, social, and psychological effects of the mass media.” Stanton was the president of CBS from 1946 until 1973, during which he “proved to be an effective corporate strategist” and “a skillful political operator,” not least of all because he “collaborated closely with the U.S. government, performing propaganda tasks during the Second World War and the ensuing Cold War.”

Stanton’s first job was in the advertising industry, beginning in 1929 and cut short by the market crash, though Stanton maintained that advertising “was the greatest thing since sliced bread.” In school, Stanton studied business administration and psychology, being particularly influenced by John B. Watson, the developer of behaviorism, who himself went to go work for an advertising agency. Throughout his own life and career, Stanton viewed himself as “a behaviorist, a social scientist valuing the application of psychological technique across a variety of human endeavors.”

Behaviorism was a brand of psychology which emerged in response to the development of the field by social scientists seeking to make “scientific” what was previously the realm of philosophy and spirituality, drawing in political scientists, economists, sociologists, and others. The field of psychology had become more prominent following World War I, after having proved its worth to power interests in mobilizing, manipulating, and studying populations and their perceptions. In 1929, the president of Yale, James Agnell, announced the creation of the Yale Institute of Human Relations (IHR), with a generous grant from the Rockefeller Foundation. Agnell explained that the IHR was “directly concerned with the problems of man’s individual and group conduct,” out of which the purpose was “to correlate knowledge and coordinate technique in related fields that greater progress may be made in the understanding of human life.”

The IHR helped facilitate the rise of behaviorism in psychology, as in the 1920s and 30s, social unrest was a growing problem, and so psychologists attempted to promote themselves and their field as a possible solution to these problems, as a “scientific psychology” – or “social psychology” – could “be instrumental for attaining democratic social order and control.” Such a theory was based upon the view that the individual was not well “adjusted” to a rapidly changing environment, and therefore, with the help of psychology, the individual could be “adjusted” successfully. Of course, the notion that there is something inherently problematic with society and the social order (and the hierarchy upon which it was built) went unquestioned. In other words, it was not society which needed to “adjust” to individuals and the population, but rather the opposite. Psychologists and Yale’s Institute of Human Relations would promote themselves as the solution to this complex problem. Behaviorism was thus concerned with environmental and behavior control in human relations. This influenced not only Frank Stanton, but other key officials who were involved in the Princeton Radio Project, including Paul Lazarsfeld.

Frank Stanton eventually got a job at CBS following some research he had done on radio audiences and had sent to CBS headquarters. In 1935, Stanton was the third employee hired by CBS for the research division, concerned largely with the ability of advertisers to sell to radio listeners. As Stanton explained in 1936, the contribution of psychology to radio research “should be largely one of technique,” adding: “It isn’t enough to know what programs are heard and preferred. We want to know why they are listened to and liked, and furthermore, we want to quantify influence.” Weeks later, Stanton – with the suggestion of Hadley Cantril – wrote a draft memo of a research proposal for the Rockefeller Foundation, out of which would come to Office of Radio Research at Princeton.

The Princeton Radio Project, established with Rockefeller funding and directed by Paul Lazarsfeld, Cantril, and Stanton, focused on studying the uses and effects of radio communications upon the population, and almost exclusively led to the field of mass communications research. Theodor Adorno, a critical theorist whom Lazarsfeld invited to join the Princeton Radio Project ran into several problems during his research with his associates. Lazarsfeld brought Adorno into the project hoping that he could bridge the gap between American and European approaches to research. Adorno, however, sought to understand not simply the effects of radio in mass communications, but the role played by the “researcher” – or “expert” – in the social order itself. This put him in direct conflict with the project and its philosophy. For Adorno, wrote Slack and Allor, “not only the processes of communication but the practice of communication research itself had to be viewed critically.” Reflecting upon his experience some decades later, Adorno wrote that, “there appeared to be little room for such social research in the framework of the Princeton Project.” He noted: “Its charter, which came from the Rockefeller Foundation, expressly stipulated that the investigations must be performed within the limits of the commercial radio system prevailing in the United States.” Thus, “the system itself, its cultural and sociological consequences and its social and economic presuppositions were not to be analyzed… I was disturbed.”

Shortly after World War II and into the 1950s, the U.S. State Department became increasingly interested in the subject of propaganda, or what was termed “information management” and “public diplomacy.” Television was of particular interest in promoting American state interests, specifically those defined by the Cold War. Francis Russell, the director of the State Department’s Public Affairs (PA) division from 1945 to 1953, noted that “propaganda abroad is indispensable” in the Cold War, but that the State Department had “diligently cultivated the concept of PA as a service to the American people, a place where the public can come to obtain information.” He explained his worry that, “if the American people ever get the idea that the same high-powered propaganda machine” used abroad was “also at work on them, the result will be disaster fir both the domestic and overseas programs.” The role of the PA was not in a censorship bureau, but as a dispenser of “information,” to which the media – largely privately owned – would use as a consistent source for reporting, re-printing press releases, and seeking official sources for comment. Edward Barrett, another top official in the PA division, later noted: “We really tried to stick to the truth and tell nothing but the truth, but we didn’t always tell the whole truth.”

Nancy Bernhard, writing in the journal Diplomatic History, explained this contradiction aptly: “While Americans defended commercial broadcasting because it was free from Communistic government control, commercial broadcasters voluntarily collaborated with the government information services in the name of anticommunism. “Free” broadcasters volunteered as a virtually official information agency.” It was no surprise, then, that government “information programs” used the specific talents of corporate tycoons in the media world, bringing in talent from networks, advertising agencies, public relations agencies, and marketing bureaus. The State Department established a number of “advisory boards” to monitor its “public affairs” operations, largely made up of industry and corporate officials. Among the influential board members was Frank Stanton.

When Eisenhower came to power, a new agency was created to handle information and cultural programs previously undertaken by the State Department, the US Information Agency (USIA), established in 1953. In attempting to create a terminology to describe the activities of the USIA and its relationship to foreign policy goals – without using the obvious term “propaganda” – the term “public diplomacy” was commonly used. Frank Stanton, who left CBS in 1973, subsequently chaired a research report by the prominent American think tank, the Center for Strategic and International Studies (CSIS) in 1975, entitled, International Information Education and Cultural Relations – Recommendations for the Future. The report recommended “that the international information and cultural programs [of the U.S. government] deserve all possible support in the years ahead, that they have demonstrated their success and are therefore an exceptional investment of government energy and the taxpayer’s dollar.”

While head of CBS, Stanton developed relationships with American presidents, whose Cold War strategies he would help promote through his network. When Kennedy became president, he offered Frank Stanton the job as head of the United States Information Agency (USIA), which Stanton declined (though recommended the appointment of Edward R. Murrow, a prominent journalist with CBS, whom Stanton had no lack of problems with). In fact, in 1958, Edward R. Murrow delivered a speech before the Radio-Television News Directors Association in which he “implicitly indicted Stanton” for the way in which he managed CBS, stating: “The top management of the networks… has been trained in advertising, research, or show business… by the nature of the corporate structure, [these managers] also make the final and crucial decisions having to do with news and public affairs. Frequently they have neither the time nor the competence to do this.”

Stanton developed a reputation as a trustworthy propagandist for the Cold War, but was not unwilling to flex his own power when confronted with state power, such as when President Lyndon Johnson, angry at specific coverage of Vietnam on CBS, called up Stanton and stated, “Frank, are you trying to fuck your country?” Stanton refused to budge on his coverage under pressure from the president. Yet still, he remained a propagandist, and even participated in the CIA’s program to infiltrate the domestic media, with general knowledge of the Agency’s program with CBS, though according to one CIA agent involved in the matter, he didn’t “want to know the fine points.”

Stanton, however, was ultimately a corporation man. Not only did he help in the development of the government’s official propaganda systems, but he was a key figure in the promotion of the “corporatization” of news and information. Thus, for Stanton, “information management” was not simply to be done in the interests of the state, but also – and arguably primarily – in the interests of corporations. In Stanton’s own words, “since we are advertiser supported we must take into account the general objectives and desires of advertisers as a whole.” Stanton was not the only executive to voice such views, as one executive at NBC as early as 1940, declared, “we should make money on our news.”

The ‘Social Control’ Society: A Background to ‘Democratic Propaganda’

One of the primary institutions of social control is the educational system. For primary and secondary educational institutions, the original objective was to foster a strong sense of national identity, bringing a cohesive world view to the development of a national citizenry, and thus, to establish a system of social control. For university education, the original and evolving intend had been to develop an elite capable of managing society, and thus, to produce the controllers and technicians of society, itself. As the modern university underwent a major transformation in late 19th century America, it sought to apply the potential of the “sciences” to the social world, and thus, in a society undergoing rapid industrialization, urbanization, poverty, immigration, labour unrest, and new forms of communication, the “social sciences” were developed with an objective of producing social engineers and technicians for a new society of “social control.”

The major industrial and financial elites had a direct role to play in the transformation of this educational system, and a substantial interest in the ideologies which would emerge from them. As Andrew Carnegie wrote in 1889, at the top of the list of “charitable deeds” to undertake was “the founding of a university by men enormously rich, such men as must necessarily be few in any country.” It was in this context, of robber barons seeking to remake education, that we see the founding of several of America’s top universities, many of which were named after their robber baron founders, such as Stanford (after Leland Stanford), Cornell (after Ezra Cornell), and Johns Hopkins, who owned the Baltimore & Ohio Railroad.

This new class of industrialists, who emerged out of the Civil War in America, “challenged the position of the old propertied, pre-industrial elite. This struggle crystallized in particular around the reform of the educational system that had legitimated the old elite’s domination.” The modern university was born out of this struggle between elites, with the old educational system based upon religious and moral values, “and the making of gentlemen,” while the “new education” focused on “the importance of management or administration” as well as “public service, [and] the advancement of knowledge through original investigation.”

John D. Rockefeller founded the University of Chicago in 1891, and the President of the University, “initiated a new disciplinary system, which was enormously influential.” Ultimately, it “led to the formation of the department structure of the American university, which was internationally unique,” and was later exported around the world “with the help of American foundations.” This disciplinary system consisted of separating politics from economics (rejecting the notion of “political economy” and its “ideologies”), as ideology was “deemed unscientific and inappropriate in social sciences and political scientists have increasingly seen their function as service to the powerful, rather than providing leadership to populist or socialist movements.”

Nicolas Guilhot wrote in the journal Critical Sociology that since “social reform was inevitable,” these industrialists “chose to invest in the definition and scientific treatment of the ‘social questions’ of their time,” and subsequently, they “promoted reformist solutions that did not threaten the capitalistic nature of the social order,” and instead constructed a “private alternative to socialism.” Social control was not simply seen as the means through which a society – as it exists – could be maintained, but more often sought to preserve elements of that society (such as its hierarchical structure, the position of the elites) through periods of profound social change. In this sense, the question was “whether the processes of social control are able to maintain the social order [hierarchy] while transformation and social change take place.”

The United States was viewed “as the laboratory for the study of transitional society in the framework of a rapidly changing social structure,” and therefore, at a time when sociology was being established as an intellectual and academic discipline, “the United States could be viewed as a microcosm of social change and disorder.” The sociologist Edward A. Ross was the first to popularize the concept of social control in the American Journal of Sociology in 1896 and 1898, and later in his 1901 book, Social Control. Ross “viewed individuals as objects of society’s domination,” and suggested that society had to establish order “by channeling the behavior of its members into orderly relations.” Ross, largely influenced by Gabriel Tarde, did not believe that individuals were rational, but rather, that they would need to be “controlled” in one fashion or another. As some sociologists lamented in the 1920s, “all social problems turn out finally to be problems of social control,” and “the study of society was the study of social control.”

Sociology largely emerged from the University of Chicago (founded by John D. Rockefeller), with the world’s first department of sociology founded in 1892. The sociologists who rose within and out of the University of Chicago made up what was known as the “Chicago School of Sociology.” The school developed the most influential sociologists in the nation, including George Herbert Mead and W.I. Thomas, two scholars who had profound influence on the development of the concept of “social control,” and sociologists became “reform-oriented liberals, not radical revolutionaries or conservative cynics.”

The American Journal of Sociology was founded out of the University of Chicago by Albion Small, who was the head professor of the department of sociology, and became the editor of the journal for thirty years from 1895-1925. Between 1915 and 1940, the University of Chicago was the dominant force in sociology in the United States, and “the dominance of the Sociology Department was representative of the social sciences at Chicago during that period.” The school was largely made the center of not only sociology, but many areas of the social sciences, due to funding from outside sources, namely the major philanthropic foundations created by the Robber Baron industrialists in the early 20th century. The foundations became, in effect, engines of social engineering and perhaps the most effective institutions in the application of social control in modern society.

The Foundations of Social Control

The new industrial elite accumulated millions and even hundreds of millions by the end of the 19th century: Andrew Carnegie was worth roughly $300 million after he sold Carnegie Steel to J.P. Morgan in 1901, and by 1913, John D. Rockefeller was estimated to have a personal worth of $900 million. In the late 1880s, Rockefeller met Frederick T. Gates, a minister, educator, and administrator in the Baptist Church when they were negotiating the founding of a new university, which resulted with a pledge of $600,000 from Rockefeller to found the University of Chicago in 1889. At this time, Rockefeller hired Gates as his associate in charge of Rockefeller’s philanthropic ventures. Gates became central in inculcating the notion of “scientific benevolence” within Rockefeller’s philanthropies. As Gates wrote in his autobiography, “I gradually developed and introduced in all his charities the principle of scientific giving.” Gates advised Rockefeller to form a series of “self-perpetuating” philanthropies.

The circumstances in which the Rockefeller Foundation emerged are notable. In 1913, a coal strike began at a Colorado mine owned by the Rockefellers in the small mining town of Ludlow, where roughly 11,000 workers (mostly Greek, Italian, and Serbian immigrants) went on strike against the “feudal domination of their lives in towns completely controlled by the mining companies.” Repression quickly followed, culminating in what became known as the Ludlow Massacre in 1914, with the Rockefellers hiring the National Guard to attack the strikers and destroy their tent city, machine gunning the crowd and setting fire to tents, one of which was discovered to have housed eleven children and two women, all of whom were killed by the fire.

The Congressional Walsh Commission was founded to investigate the activities which led to violent labour repression at the Colorado Fuel & Iron Company in Ludlow, though the scope of the Commission was expanded to study philanthropic foundations themselves. The Commission’s founder, Frank P. Walsh, explained:

…the creation of the Rockefeller and other foundations was the beginning of an effort to perpetuate the present position of predatory wealth through the corruption of sources of public information… [and] that if not checked by legislation, these foundations will be used as instruments to change to form of government of the U.S. at a future date, and there is even a hint that there is a fear of a monarchy.

In 1916, the Walsh Commission produced its final report, the Manly Report (after the research director, Basil M. Manly), which concluded that the foundations were so “grave a menace” to society, that “it would be desirable to recommend their abolition.” Frank Walsh referred to foundations as “a menace to the welfare of society.”

As the Walsh Commission began their work, the Rockefeller Foundation sought to join forces with other major corporate leaders to advance their formation of ideology, and attended a conference “held between representatives of some of the largest financial interests” in the United States. This conference resulted in two approaches being pushed forward in terms of seeking to “educate the citizenry in procapitalistic ideology and thus relieve unrest.” One view was the interpretation that the public was provided with “poor quality of facts and interpretation available on social and economic issues.” Thus, they felt there was a need for a “publicity bureau” to provide a “constant stream of correct information” targeted at the lower and middle classes. The Rockefeller Foundation agreed that a publicity bureau was a good strategy, but added that what was also needed was “a permanent research organization to manufacture knowledge on these subjects.” A publicity bureau would “correct popular misinformation,” while a research organization would study the “causes of social and economic evils,” though of course avoiding problematic considerations of institutional analysis or radical critiques. They were instead to focus on “disinterested” and “detached” studies of social problems, portraying themselves as scientists and technicians for society, focused on reform and social control.

Rockefeller interests quickly undertook both strategies. While the Foundation was engaged in the manufacture of ideology (which specifically states that it is “non-ideological,” meaning that it supports power), the corporate arm of the Rockefeller empire hired the first public relations man, Ivy Lee, a Progressive era journalist. The Foundation hired the Canadian labour expert, William Lyon Mackenzie King (who would later become Canada’s longest-serving Prime Minister) to manage “labour relations,” promoting “company unions” over “autonomous unions,” thus undermining the freedom of labour to organize and oppose the social order as a whole, bringing them firmly within the corporate-state ideology and institutions.

Ivy Lee, for his part, attempted to undertake “damage control” for the Rockefellers, who were widely despised at the time, acting as a PR man, disseminating communiqués to media and educators attempting “to cultivate middle-class allies.” His efforts at stemming animosity toward the Rockefellers following Ludlow failed, but for years he continued to present “the human side of the Rockefellers,” earning him the rather unfavourable nickname “Poison Ivy.”

While Lee’s specific efforts were unsuccessful, the ideas behind them continued to grow and evolve. Two major social engineering projects were underway: one, the manufacture of ideology, largely the initiative of philanthropic foundations (and the social sciences), and the other, public relations as a modern form of propaganda. Both of these social engineering projects were designed to ensure social control through social engineering, and both were to have a profound impact upon both the definition and function of modern “democracies.”

Through the educational system, the social sciences, philanthropic foundations, public relations, advertising, marketing, and the media, America and the industrialized states of the world developed a unique and complex system of social control and propaganda for the 20th century and into the 21st. It is imperative to recognize and understand this complex system if we are to challenge and change it.

Andrew Gavin Marshall is an independent researcher and writer based in Montreal, Canada, with a focus on studying the ideas, institutions, and individuals of power and resistance across a wide spectrum of social, political, economic, and historical spheres. He has been published in AlterNet, CounterPunch, Occupy.com, Truth-Out, RoarMag, and a number of other alternative media groups, and regularly does radio, Internet, and television interviews with both alternative and mainstream news outlets. He is Project Manager of The People’s Book Project, Research Director of Occupy.com’s Global Power Project, and has a weekly podcast show with BoilingFrogsPost.

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