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Corporate Culture and Global Empire: Food Crisis, Land Grabs, Poverty, Slums, Environmental Devastation and Resistance

Corporate Culture and Global Empire: Food Crisis, Land Grabs, Poverty, Slums, Environmental Devastation and Resistance

By: Andrew Gavin Marshall

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Corporate power is immense. The world’s largest corporation is Royal Dutch Shell, surpassed in wealth only by the 24 largest countries on earth. Of the 150 largest economic entities in the world, 58% are corporations. Corporations are institutionally totalitarian, the result of power’s resistance to the democratic revolution, which was begrudgingly accepted in the political sphere, but denied the economic sphere, and thus was denied a truly democratic society. They are driven by a religion called “short-term profits.” Corporate society – a state-capitalist society – flourished in the United States, and managed the transition of American society in the early 20th century, just as Fascists and Communists were managing transitions across Europe. With each World War, American society – its political and economic power – grew in global influence, and with the end of World War II, that corporate society was exported globally.

This is empire. The American military, intelligence agencies, and national security apparatus operate with the intention of serving U.S. – and now increasingly global – state and corporate interests. Wars, coups, destabilization campaigns, support for dictators, tyrants, genocides and oppression are the products of Western interaction with the rest of the world.

In the same sense that “God made man in his own image,” corporations remade society in their own interest; and with equal arrogance. Corporations and banks created or took over think tanks, foundations, educational institutions, media, public relations, advertising, and other sectors of society. Through their control of other institutions, they extend their ideologies of power – and the variances between them – to the population, to other elites, the ‘educated’ class, middle class, the poor and working class. So long as the ideas expressed support power, it’s ‘acceptable.’ It can extend critiques, but institutional analysis is not permitted. Ideas which oppose institutional power are ‘ideological’, ‘idealist’, ‘utopian’, and ultimately, unacceptable.

Corporate culture dominates our society in the West. Being inherently totalitarian institutions, the culture – and its institutions – become increasingly totalitarian. This is the response by private economic power to undo the achievements in human history which came through increased democracy in the political sphere. Corporations and banks seek to control and consume all things, to dominate without end.

The only reason corporations were and are able to be the defining cultural institution of the 20th and now 21st century, is because of their economic power. This is derived from exploitation: of resources, the environment, labour, and consumers. It is enforced with repression: the job of the state in the state-capitalist society, along with massive subsidies and protectionist measures for corporate and financial interests. As corporate power extended around the world, the rapid destruction of the environment and resources accelerated, and Western powers ‘outsourced’ the environmental devastation our consumer societies ‘require’ to the so-called Third World. We consume, and they suffer; a marriage of inconvenience that we call “civilization.” Corporations and our state keep the rest of the world in a state of poverty and repression, eternally attempting to block the inevitable global revolution to create a human society that acts… humanely. We were busy buying things. Couldn’t be bothered.

Now what our societies have done to the people on whose land we now live, or everyone else in the world, is being done internally, to us. Everything is up for sale! Corporations make record profits, hoard billions and trillions in cash reserves, NOT being invested, but likely waiting until your standard of living is significantly reduced so that your labour and resources are cheaper, and thus, ultimately more profitable. This is called ‘austerity’ and ‘structural reform,’ political euphemisms for impoverishment and exploitation.

Corporations, banks and states have in recent years caused a massive global food crisis, driving food costs to record highs almost every subsequent year from 2007 onward. With billions of people in the world living on less than $2 per day, the majority of humanity spends most of their income on food. Price increases in food, caused primarily by financial speculation (big players include Goldman Sachs, Morgan Stanley, and Barclays), push tens of millions more people into poverty and hunger. Roughly one billion – 1/7th of the world’s population – live in slums. And they are growing rapidly. Massive urban slums were developed out of the imperialism Western states and corporations imposed upon the rest of the world, pushing people off the land and into the cities, whether induced by poverty or coerced by bombs and guns. All billed to the imperial Western state sponsors of terrorism. We supported (and support) ruthless and tiny elites in the countries we dominate[d] around the world, and now we are just beginning to realize the ruthless and tiny elite which rules over our own domestic lives. Their social function is that of a parasite: to suck the life blood out of all global society.

Food price increases have helped spur a massive global land grab, with Western (as well as Gulf and Asian powers) grabbing vast tracts of land – and water – around the world, for pennies on the dollar. This grab is most extensive in Africa, where in the past several years, mostly Western investors have grabbed land which amounts to an area roughly the size of Western Europe. The land not only contains extensive resource wealth, most importantly water (the Nile is up for sale!), but it is home to hundreds of millions of people, and globally, there are 2.5 billion poor people engaged in small-scale farming. This is primarily done through communal land ownership, something which Western society – with its ‘divine right’ of private property – does not understand. Thus, in international, state, and corporate law – which we designed – we deem communally owned and used land to be legally owned by the state. Our ‘investors’ – banks, hedge funds, pension funds, corporations and states – strike deals with corrupt states across the world to give us 40-100 year contracts for vast tracts of land, paying little or sometimes no rent. Then the “empty land” – as we call it – is cleared (of it’s “emptiness”, no doubt), evicting peoples who have been there for generations and beyond, who depend upon the land and the food it produces for their very lives. These people are being driven to cities, and ultimately, slums.

This is what we call “productive” use of land. So naturally, we then destroy it, eviscerate its environment, poison and pollute, extract, exploit, plunder and profit. Or we simply hold onto the land, not using it at all, just waiting until it goes up in profit. Even major American universities like Harvard are getting involved in the massive land grabs across Africa and elsewhere. This is the largest land grab in history since the late 19th century ‘Scramble for Africa’ where Europeans colonized almost the entire continent. When we do use the land for ‘productive use’, we say it will “help the climate” and “reduce hunger.” How? Because we will produce food and biofuels. And in doing so, we will use massive amounts of chemicals, pesticides, genetically modified organisms, deforestation, biodiversity destruction, highly mechanized and heavy fuel-use farming techniques. The food we produce – which is not much, we have more interest in things like biofuels, lumber, minerals, oil, cash-crops, etc. – is then exported to our countries, and away from the poor ones where hunger and poverty are so prevalent. They lose their land, gain more poverty, with the added bonus of extensive food insecurity, hunger, starvation, slum growth, increased mortality rates, disease, and violence. Poverty is violence.

This is how Western states, banks, corporations and international organizations address the issue of “hunger”: by creating more of it. And in a deeply disturbing irony, we call this moving towards “sustainability.” Little did we know that power interests have a different definition of “sustainability” than most people: they simply combined the words sustained and profitability, and called it “sustainability.” And coincidentally, that word already has a meaning to most people, so we simply misinterpreted the meaning. But there are people who take that concept seriously, those who experience the major costs of an unsustainable society.

We are witnessing a massive global resistance to these processes, largely driven by indigenous peoples – in Africa, Latin America, Asia, and now in North America. In Canada, the ‘Idle No More‘ movement began with four indigenous women in Saskatchewan deciding to meet up and discuss their concerns about Steven Harper’s “budget bill,” which, among other things, had reduced the amount of Canada’s protected rivers, lakes, and streams from roughly 2.5 million (as of Dec. 4, 2012) to somewhere around 62 (as of Dec. 5, 2012). Now a large, expanding, and increasingly international social movement led by indigenous peoples is taking place. Less than two months ago, it began with four women having a discussion.

Canada’s Indigenous peoples are showing Canadians – and others around the world – how to stand up against power. And they’ve had practice. For over 500 years, our societies have been oppressing and often eradicating indigenous populations at ‘home’ and abroad. Indigenous peoples, like other oppressed peoples, are at the front lines of the most oppressive nature of our society: they experience and have experienced exploitation, environmental devastation, domination and decimation. With the world’s Indigenous peoples speaking – not only in Canada, but across Latin America, Africa, and elsewhere – it is time that we in the West begin to listen. It is always important to listen to those who are most oppressed; the histories of our ‘victims’ are rarely written or known, at least not to us. Victims remember. And it matters that we begin to listen.

How can we expect to change – or know what and how to change – our societies if we do not listen and learn from those who have experienced the worst of our society? Indigenous people are now giving us a lesson in democratic struggle. If we continue on our current path, Indigenous communities will be completely wiped out; the powers that rule our society will have completed a 500-year genocide.

So we have to ask ourselves the question: should we now listen to, learn from, and join with these people in common struggle for justice and the idea of a humane society, or… are we still too busy buying things?

Perhaps it is time we all should be ‘Idle No More’.

The above was a short summary of roughly three separate chapters currently being researched and written as part of The People’s Book Project. To help the Project continue, please consider spreading the word, sharing articles, or donating.

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The Great Corporate Colony: Welcome to Canada Inc., A Subsidiary of the American Empire & Co.

The Great Corporate Colony: Welcome to Canada Inc., A Subsidiary of the American Empire & Co.

By: Andrew Gavin Marshall

Canada's Foreign Minister John Baird (left), Prime Minister Stephen Harper (centre), and Chinese Premier Web Jiabo (right). Photo from the Globe and Mail.

Canada’s Foreign Minister John Baird (left), Prime Minister Stephen Harper (centre), and Chinese Premier Wen Jiabao (right). Photo from the Globe and Mail.

 

The following is a sample from the first volume of The People’s Book Project, a crowd-funded initiative to produce a series of books studying the ideas, institutions, and individuals of power and resistance. Please consider donating to help the Project come to fruition.

As one of the most resource-rich countries on earth, and the largest single trading partner with the United States, Canada is strategically positioned to influence the changing nature of global power structures. Do we support – and siphon our resources for the benefit of – the American Empire, co-operating in the wholesale plundering of the world, the oppression and impoverishment of peoples, destruction of global ecology, all for the benefit of an increasingly small class of global corporations and banks… Or, do we become independent and free? Canada’s Prime Minister Stephen Harper once said, “You won’t recognize Canada when I get through with it.” With multiple “free trade” agreements under way, expanded corporate rights, expropriation of vast amounts of natural resources, Canada is becoming one of the world’s foremost corporate colonies, unrecognizable from what Canadians once imagined our nation to be.

The Plundering Potential of Resource Wealth

Canada is the second largest country by landmass in the world, after Russia, and with roughly 10% of the population of the United States, it is also one of the most resource rich countries on the entire planet. Looking at a list of the ten most resource-rich nations on earth (determined not by the multitude, but rather the ‘market value’ of the resources they contain) is rather revealing. At number ten, and in descending order is: Venezuela, Iraq, Australia, Brazil, China, Iran, Canada, Saudi Arabia, the United States, and Russia. Canada has one of the largest oil reserves in the world after Saudi Arabia and Iran (though these are largely located in the difficult-to-extract Alberta tar sands), as well as having some of the largest mineral resource deposits in the world, with the second-largest proven reserves of uranium and the third largest amount of timber.[1] According to Statistics Canada, the nation’s natural wealth tripled in value between 1990 and 2009, then valued at $3 trillion, largely due to the increased price of oil.[2]

In June of 2012, the United Nations released a major report in which it established a new index to account for and define ‘wealth’ beyond mere reports of GDP. Termed the “Inclusive Wealth Index” (IWI), it determines national wealth based upon three types of assets: “manufactured” (machinery, buildings, infrastructure, etc.), “human capital” (the population’s education and skills), and “natural capital” (land, forests, fossil fuels, minerals, etc.). The study, Inclusive Wealth Report 2012, analyzed 20 different countries, and was intended to take into account depleting resources and sustainability for future generations when determining a nation’s real wealth. While GDP growth has taken place in China, the U.S., South Africa and Brazil, these nations have significantly reduced their natural capital. Between 1990 and 2008, the “natural capital” of the United States declined by 20%, 17% for China, 25% for Brazil, and 33% for South Africa. In fact, 19 out of the 20 countries studied showed a decline in natural capital, offset only by an increase in human capital (education and skills).[3]

Human capital is based upon the average years of schooling, wages that the country’s workers can demand, and how many years they are expected to work before they retire or die. With this measurement, human capital amounts to the largest percentage of a nation’s wealth (except for Nigeria, Russia, and Saudi Arabia), accounting for 88% of Britain’s wealth and 75% of America’s.[4] Canada is of course included among the 19 countries with rapidly declining natural capital.

Canada’s Minister of Natural Resources Joe Oliver spoke to a gathering of Canaccord Genuity Corporation (a financial services conglomerate) in Toronto in September of 2012, where he explained that Canada’s “tremendous natural wealth” included “huge capacities and reserves of energy, including the third-largest proven oil reserves in the world,” as well as “tremendous hydroelectric capacity, massive tracts of forests and an abundance of minerals and metals.” He added, however: “it’s not enough to have the resources… You have to do something with them.” Oliver listed some of the many resources which Canada has and produces in abundance: oil, natural gas, hydroelectricity, uranium (second largest producer in the world), more than 200 mines turning out more than 60 minerals, “including more potash than anyone else,” as well as aluminum, cobalt, diamonds, nickel, platinum group metals, titanium concentrate, tungsten, chromite, the second-largest exporter of primary forest products, and is the “biggest exporter of wood pulp, newsprint and softwood lumber.” The resource sector, explained Oliver, “is the cornerstone of our economy, our long-term prosperity and our quality of life.”[5]

Oliver explained that the energy, forestry, metals and minerals industries accounted for roughly 15% of Canada’s nominal GDP, the “direct contribution” to the Canadian economy, while the indirect GDP (taking into account “goods and services purchased from other sectors – construction, machinery and equipment, business and professional services”) takes the number up to roughly 20%. The key areas and industries are oil in Alberta, forestry in British Columbia, potash and uranium in Saskatchewan, mining in Ontario and hydro-power in Quebec. Oliver told the assembled crowd in the heart of Toronto’s finance industry that there was “about $650 billion invested in over 600 major resource projects currently underway in Canada or planned in the next 10 years.” He added: “Countries in the Asia-Pacific region are especially hungry for the energy and minerals and metals and forest products they need to fuel their growth and build a better quality of life for their citizens.” There were, he acknowledged, still inherent problems with the global economy which could effect this outlook, but suggested that what the Canadian government can – “and is doing – is establish a competitive business climate so the private sector can capitalize on our enormous potential.” In other words, the Canadian government will establish a highly protective and subsidized market for multinational corporations to more effectively plunder the natural resources.[6] All for altruistic intentions, of course!

Canada’s highly influential big business dominated think tanks have not been far behind in promoting resource plundering by multinational corporations. The Conference Board of Canada published a report in June of 2012 arguing that “Canada’s trade strengths are concentrated in industries that extract natural resources and process raw materials,” including agricultural and food products, minerals and metals, forest products, and electricity exports. In the report, Adding Value to Trade: Moving Beyond Being Hewers of Wood, Michael Burt wrote: “These industries rely heavily on natural resource wealth such as land, water, forests, and mineral products. The abundance of these resources gives Canada a robust comparative advantage in the industries that extract and process them.” Thus, it would be desirable to promote the “development and use of our natural resources, and industries that support the primary sector are competitive with world standards.”[7] The board of directors of the Conference Board of Canada includes executives and/or board members of the Business Development Bank of Canada, EPCOR Utilities, CGI Group, GE Canada, Canada Post Corporation, TransAlta Corporation, ICICI Bank Canada, Cisco Systems Canada, Desjardins Group, IBM Canada, Shell Canada, Xerox Canada, SaskTel, SaskPower, and John Manley, the President and CEO of the Canadian Council of Chief Executives (CCCE), the main business interest group in Canada, made up of the top 150 corporate CEOs in the country.

In October of 2012, the Canadian International Council (CIC) – the Canadian counterpart to the Council on Foreign Relations in the U.S. – published a report entitled, Becoming a Resource Superpower, in which the author, Madelaine Drohan (the Canada correspondent for The Economist) argued that, “without strong leadership and collaboration we risk losing an opportunity to become a real resource superpower.” A series of recommendations were laid out, including the possibility of establishing a sovereign wealth fund (SWF) to pool and invest money made from resources, encouraging the provincial and federal governments in Canada to “stop treating” revenue from resources “as income to be spent and start treating them as capital to be saved or invested.” In other words, the money made from resources should not go back to benefit Canadians, but rather be used to exclusively benefit the investor class.[8]

Other recommendations focused on expanding the relationship between government, business, and academia (as if we don’t have enough of this already): “To do this, federal and provincial governments must concentrate their funding for research and development on collaborative projects between groups of companies and academic institutions.” Another recommendation focused on expanding “trade” networks and energy customers, specifically in the Asia-Pacific, noting: “Canada should focus on negotiations involving the largest possible number of countries, such as the Trans-Pacific Partnership, and look beyond China so we do not repeat the error of putting all our eggs in one basket.” The report then recommended the government to establish highly protectionist trade agreements for corporations, writing: “Government can help companies plug into global value chains by removing impediments and securing the right trade and investment deals.” By definition, that is the opposite of “free trade,” which is why it is important that we call it “free trade,” when in actuality, it is highly protectionist, involving state intervention designed to undermine the ‘market’ and give corporations a subsidized advantage, thus, undermining competition. The last major recommendation was for federal, provincial, and territorial governments to “collaborate on a national blueprint for resource development that identifies the gaps to be filled – including in infrastructure, environmental protection, trade diversification, education, immigration, technology, and supporting sectors – and sets out how to address them, with achievable goals and deadlines.” In other words, massive state-capitalist planning and plundering is required.[9]

The board of directors of the Canadian International Council (CIC) includes the president and CEO of the Canadian Chamber of Commerce, Chair of the Atlantic Council of Canada, Raymond Chrétien (nephew of former Prime Minister Jean Chrétien), while the chief sponsors of the CIC include: Bennett Jones, Power Corporation of Canada (owned by the Desmarais family, Canada’s Rockefellers), the Royal Bank of Canada, AGF, Barrick Gold, BMO Financial Group, Sun Life Financial, Scotiabank, and TD Bank. So naturally, it has everyone’s interests at heart, and by ‘everyone’, I mean, everyone that matters to the investor class (i.e., the investor class).

So, as Canada increases production of oil from Alberta’s tar sands, the government is seeking to expand the major pipelines to the coast in the hopes of acquiring China as a major trading partner, instead of just the United States.[10] Canada sits atop “unknown quantities” of natural gas reserves, what The Economist calls an “unconventional bonanza,” adding: “Just as the 20th century was the age of oil, the 21st could prove to be the century of gas.”[11] However, in August of 2012, Canadian Prime Minister Stephen Harper declared that Canada’s future economic hopes depend upon the natural resources of the Arctic, which has been the focus of a new global grab for resources since the Arctic ice has begun to break up more rapidly. On a visit to the region, Harper stated, “Obviously, there is a tremendous economic opportunity here. The fact that we are attracting investment not just domestically, but from around the globe speaks very highly to the future.” As revealed by documents released to the press, in late 2011, the Mining Association of Canada was lobbying the Environment Minister Peter Kent “to change regulations and allow non-metal mines, such as diamonds, oilsands and coal, to discharge potentially polluted water under federal guidelines.”[12]

In other words, now that the ice is breaking and resources are being readied for plunder, the major mining conglomerates want the government’s permission to treat the Canadian environment the way they treat the environment in the rest of the world, notably, in poor, conflict-ridden countries like Colombia and the Democratic Republic of Congo. After all, what is plundering without the added bonus of environmental devastation? It’s not just a matter of extracting and exploiting all available resources, from which to gain massive profits, but it’s also important for corporations to destroy the surrounding environment so that little, if anything, can flourish and replenish. That is plundering at its most profitable. In October of 2012, it was reported that Canada was going to claim ownership of a massive size of undersea territory in the Arctic, larger than the size of the province of Québec, and roughly equal to 20% of the country’s surface area.[13]

In 2013, Canada will begin chairing a two-year term of the Arctic Council, a grouping of eight nations working together to manage the development of the Arctic as an economically and strategically important global region.[14] With the opening of new and large opportunities for economic exploitation and resource plundering, the states with territory in the Arctic have become increasingly aggressive in their military posturing in the region, “increasingly designed for combat rather than policing,” according to a study by the Centre for Climate and Energy Solutions. The report noted: “Although the pursuit of co-operation is the stated priority, most of the Arctic states have begun to rebuild and modernize their military capabilities in the region.”[15]

Canadian Prime Minister Stephen Harper had been publicly making aggressive statements about competition in the Arctic, particularly in relation to Russia. In private, however, Harper had been making different claims. As revealed by Wikileaks, Harper expressed the message to the Secretary-General of NATO that there was no real military threat in the Arctic, instead expressing the perspective that, “Canada has a good working relationship with Russia with respect to the Arctic, and a NATO presence could backfire by exacerbating tensions.” Harper added, according to the released cables, “that there is no likelihood of Arctic states going to war, but that some non-Arctic members favoured a NATO role in the Arctic because it would afford them influence in an area where ‘they don’t belong’.” All the public statements and aggressive military stances in the region have, however, helped to sway public opinion into believing that there is a “security or sovereignty threat to the northern border,” and thus justify increased expansion into the region for exploitation. The issue is not one of security, but of securing resources (for corporations, no doubt). One released cable from 2009 relayed this point accurately, noting that Canada’s defense plan to build six Arctic Patrol ships for the navy was “an example of a requirement driven by political rather than military imperatives, since the navy did not request these patrol ships. The Conservatives have nonetheless long found domestic political capital in asserting Canada’s ‘Arctic Sovereignty’.”[16] By the summer of 2012, the aggressive rhetoric had essentially vanished, and Harper’s missions to the Arctic were entirely diplomatic and aimed at exploiting the region’s vast natural resources.[17] The Obama administration has also identified the Arctic as “an area of key strategic interest.”[18]

Canada For Sale: “Free Trade” Fanaticism

Canada has been pursuing a vast array of so-called “free trade” agreements with specific countries around the world, as part of the overall program of plundering resources and giving multinational corporations unprecedented control over society. Since the 1988 Canada-U.S. Free Trade Agreement and the 1994 North American Free Trade Agreement (NAFTA), Canada has pursued agreements with several countries, including Israel, Jordan, Chile, Costa Rica, Colombia, Honduras, Panama, Peru and is in talks with the European Union and Japan, as well as China and India.[19]

On August 15, 2011, the Canada-Colombia Free Trade Agreement – a highly protectionist corporate-driven agreement (like all “free trade” agreements) – came into effect. The agreement was reached in 2008, receiving “royal assent” in 2010, and is sure to benefit major corporations and help finance a state which is responsible for the greatest human rights violations in the Western Hemisphere. Canada’s top five exports to Colombia include wheat, newsprint and paper, machinery and equipment, dump trucks as well as beans, peas, and lentils. Colombia’s top five exports to Canada include coal, coffee, bananas, fuel oil and cut flowers (note: this list excludes illicit trade products like cocaine, of which Colombia is a major global exporter).[20]

As critics of the deal pointed to Colombia’s record on human rights abuses, Stephen Harper commented, “No good purpose is served in this country or in the United States by anybody who is standing in the way of the development of the prosperity of Colombia,” by which he means to say that human rights are irrelevant so long as multinational corporations are making large profits. And indeed, policies fit that paradigm very well. Harper added: “Colombia is a wonderful country with great possibility and great ambition. And we need to be encouraging that every step of the way. That’s why we have made this a priority to get this deal done. We can’t block the progress of a country like this for protectionist reasons.”[21] In this sense, the word “protectionist” refers to any impediments, regulations, or barriers to the unhindered exploitation and plundering of a country by multinational corporations. When agreements are protectionist in favour of corporations, securing and enforcing their unhindered monopolization of markets and exploitation of resources, this is called “free trade.”

With more than 70 Canadian corporations in Colombia, from oil and mining to finance, the agreement will open up more access for major companies. For those who mention human rights abuses, Harper had this to say: “I think there are protectionist forces in our country and in the United States that don’t care about development and prosperity in this part of the world. And that’s unfortunate.” Chris Spaulding of Talisman Energy, a Canadian corporation doing business in Colombia, commented that, “It’s very business friendly. They want foreign investment. The labor force is very good. The resources are there.”[22]

According to the Globe and Mail, Colombia has “near bullet-proof potential for rapid growth,” due to low wages, abundant resources, and with the return of “order” (a euphemism for state oppression and control), though the country still has a high murder rate, five times the rate of the United States. Colombia not only signed a free trade agreement with Canada, but also with the U.S., and has received top rates from the World Bank for fostering a good “business climate.”[23] Scotiabank, one of Canada’s big five banks, made a $1 billion purchase of a 51% stake in Colombia’s fifth largest bank, Banco Colpatria.[24] Rick Waugh, the CEO of Scotiabank, declared that, “Colombia is very important to us.”[25]

Toronto-based mining company Gran Colombia Gold Corp has been seeking to remove an entire town, a 500-year old community, to make way for an open-pit mine. When the Colombian government was preparing to displace the town, villagers in the community formed a committee to defend themselves. One of the organizers, a local priest, Father José Reinel Restrepo, publicly denounced the plan to move the town for the benefit of a foreign corporation, even giving television interviews in which he denounced “Canadian imperialism.” He explained: “If they are going to drive me out of here, I would tell them they would have to expel me by way of bullets or machetes – but they can’t oblige me to leave.” Four days later, Father Restrepo was shot dead while traveling to visit his family.[26]

Colombia has a long history with powerful business interests allying themselves with paramilitary outfits to “silence opponents and displace rural populations living atop natural resources.” Under the guise of the “war on drugs,” Colombia’s military, with billions in “aid” from the United States, has co-operated with big business interests and criminal paramilitary groups, purportedly to fight rebel groups (notably FARC), but mostly to clear rural communities to allow for corporate plundering of the resources upon which they sit. In recent decades, some four million people have been displaced by such actions, leaving the country with Latin America’s “most inequitable distribution of wealth.” On top of that, Colombia is a major narco-state, with state, paramilitary and rebel groups all participating in the massive cocaine trade. Many historians have described Colombia as “the world’s most enduringly violent country,” with over five decades of constant internal warfare. With over 20 major Canadian companies holding major investments in Colombia, it’s no wonder that the World Bank rated the country as the best investment climate in Latin America.[27]

The brand of “order” that the government of Colombia has enforced in recent years represents a continuation of the policies of several administrations before it. The human rights and humanitarian crisis in Colombia is “staggering in scale,” with millions displaced, killed, tortured, raped, kidnapped or “disappeared,” more than 280,000 people had to flee their homes in 2010 alone. State, paramilitary and rebel groups have all routinely been accused of vast human rights abuses and war crimes. While the new government of President Santos promised to prioritize human rights when he came to power in 2010, the reality, according to Amnesty International, was that “threats against and killings of leaders of displaced communities and of those seeking the return of lands misappropriated during the conflict, mainly by paramilitary groups, have increased during the Santos government.” In criminal investigations of human rights abuses, witnesses, victims, lawyers, and judges have continuously been threatened or even killed. Threats and murders have also increased for human rights activists, trade unionists, and community leaders.[28]

Canadian law demands that the government table a human rights report for Parliament on the impact of the Canada-Colombia Free Trade Agreement. Instead of submitting the report, the Canadian government decided, in May of 2012, that it would not even adhere to Canadian law, and refused to submit any such report, instead stating that it would produce a report for May of 2013. With more than 259,000 people displaced from their homes in Colombia in 2011 (on top of the 280,000 displaced in 2010), human rights abuses and war crimes will continue, with the tacit (and perhaps active) cooperation of Canadian corporations, notably mining companies. The Canadian government has effectively given the green light for such abuses to continue. While Colombia’s Constitutional Court identified 34 Indigenous nations in the country that were in “grave danger of extinction,” Canadian indifference continued. Alex Neve, the Secretary General of Amnesty International Canada declared that, “Canada must not turn its back on the human rights crisis in Colombia for yet another year… The crucial question that should not be postponed is what role is Canadian investment playing with regard to this emergency?” Neve added: “Failure to carry out a full impact assessment violates Canada’s responsibility of due diligence under international law and denies Canadian corporations working in Colombia the information they need to avoid implicating themselves in grave human rights violations.”[29]

The website for the Canadian ministry for Foreign Affairs and International Trade declared that the Canada-Colombia FTA provided “a key boost for Canadian companies in five important sectors: agriculture, information and communication technologies, mining, oil and gas, and services.” Noting that Canada’s interest in the narco-state was “growing strongly,” the ministry website added that Colombia had “undergone important economic and legal reforms, spurring democracy and global direct investment.” The business climate, it declared, was “now stable and predictable, making Colombia a secure business partner and a solid investment destination.”[30] With that in mind, Canada’s Defence Minister Peter MacKay signed an agreement with the Colombian military in November of 2012 to strengthen its “military relationship with Colombia,” which MacKay stated, “represents a natural evolution in our relationship… And we look forward to continuing to build our ties with the Colombian Armed Forces.” No doubt, as they continue to displace hundreds of thousands of innocent people in order to clear the land for foreign corporations, and of course, to help advance the profits of the international illicit drug trade.[31]

Scotiabank decided to expand its operations further in Colombia, with the purchase of a majority stake in one of Colombia’s largest pension fund companies. Scotiabank has taken on a major role in “financing Colombia’s energy and mining sectors,” with the bank’s head of global wealth management stating, “We look to continue the growth and expansion of this business.” Another executive at Scotiabank stated, “We continue to invest in Colombia because we see this as a market with great potential for growth.”[32] Interestingly, the Canadian Embassy in Colombia is located in the new Scotiabank Tower in Bogota.[33]

Canada continues to pursue further “free trade agreements” with other countries as well, notably, Japan and China. In March of 2012, Canada and Japan agreed to begin free trade talks, already steadfast trading partners. On top of “free trade,” the Japanese Prime Minister Yoshihiko Noda announced that Canada and Japan would also be advancing defence and security “co-operation.”[34] At the announcement, Harper declared that, “This is a truly historic step that will help create jobs and growth for both countries.” Jayson Myers, the president of the Canadian Manufacturers & Exporters association stated, “Japan is a strategic commercial partner… However, it is also a country with whom we’ve had a persistent trade deficit when it comes to manufacturing. These negotiations provide the appropriate forum to resolve ongoing concerns.”[35]

As revealed by secret documents obtained by the media, the Canadian government had been lobbying the United States to join the Trans-Pacific Partnership agreement for the main reason of gaining more access to Japan, with one document noting that the TPP without Japan “does not excite us.”[36] In November of 2012, it was reported that Japan was likely to follow Canada’s entrance into the TPP, the largest and most secretive trade agreement in history, involving 11 Pacific rim countries, and negotiated in cooperation with over 600 corporations. The TPP is highly controversial within Japan, since it could potentially – and likely would – lead to reduced protections and subsidies for the Japanese agriculture sector, an area long considered untouchable. A spokesperson for the Canadian department of Foreign Affairs and International Trade stated, “We welcome Japan’s interest in joining the TPP. Japan’s participation in the TPP would further strengthen Canada and Japan’s strong trade and investment relationship. We are already working closely with Japan towards a bilateral free trade agreement that will bring new jobs and increased prosperity to Canadians and we would welcome the opportunity to also work together in the TPP.”[37]

(For more information on the TPP, please see my three-part series here: The Trans-Pacific Partnership)

Canada has also begun talks with India and hoped to sign a free trade deal with the country by the end of 2013, with Stephen Harper stating, upon a visit to India, “I think I am very clear that we need to go farther and faster.” Stephen Harper lamented against the fact that India has democratic institutions, and thus, undemocratic policies are harder to implement. He stated: “What we do have to realize when we deal with India, as opposed to some other countries that we’re dealing with in the developing world – this country is a democracy… And that means that governments cannot simply dictate a whole set of policy changes to happen the next day. That means governments must develop consensus behind policy changes. And that, in this country is not easy. We understand that.”[38] Luckily for Harper, he doesn’t have to face any such problems at home, with a majority government, tearing the country to pieces day-by-day. Stephen Harper once boasted many years ago, that if he was given the chance to become Prime Minister, “You won’t recognize Canada when I get through with it.”[39] Indeed, that turns out to be quite true. Indeed, back in 1997, Harper wrote an article in which he referred to Canada as “a benign dictatorship,” though there seems to be little ‘benign’ about his majority-government rule.[40]

In September of 2012, Stephen Harper signed an investment treaty with China (as a precursor to a potential free trade agreement), called the Foreign Investment Promotion and Protection Agreement (FIPA). The details of the agreement were kept secret until the deal was tabled in the Canadian Parliament in late September, but the agreement is not to be debated in Parliament because treaty making “is a royal prerogative,” and can thus become law through the initiative of the Prime Minister’s cabinet alone, so long as the treaty is ‘tabled’ in Parliament. Canada already had roughly 24 FIPAs in operation, with roughly a dozen more in the works. FIPAs are not “free trade agreements,” but are designed to simply “protect and promote” foreign investment in legally-binding agreements.[41] In essence, they are quicker and smaller versions of “free trade” agreements, and designed with a similar purpose: to advance corporate rights and the expense of democratic rights.

China’s ambassador to Canada stated that the two countries should move quickly toward a free-trade agreement within a decade, adding, “It’s time to open each other’s markets.” The comments came as a major Chinese state-owned corporation was seeking to take over a Canadian energy company, which would be the first direct foreign takeover of a major actor in Canada’s energy sector, a major concern for Canadians who fear Canada’s resource wealth will not benefit Canadians. On this issue, the Chinese ambassador noted, “Business is business. It should not be politicized… If we politicize all this, then we can’t do business.” The ambassador told a Canadian journalist, “We are not coming to control your resources.”[42] No, of course not, they’re just coming to take the resources. Within a couple months, Prime Minister Harper approved of the Chinese takeover of the Canadian energy company Nexen, as well as another takeover by a Malaysian company in the Canadian energy sector. However, Harper then stated that there would be restrictions on foreign governments buying some of Canada’s largest energy conglomerates (just not these ones in particular). At a press conference, Harper stated, “When we say that Canada is open for business, we do not mean that Canada is for sale to foreign governments.” Except, of course, for all the exceptions to that rule.[43]

Critics of the Canada-China FIPA warned that it would reduce Canada to little more than a “resource colony,” which would bind Canada to new investment rights with China for 30 years.[44] Not only does it allow China to gain an increased foothold in Canada’s economy, and specifically, in purchasing Canadian resources, but it also acts “to protect Canadian capitalists when they go into China.”[45] What more could someone ask for? The Council of Canadians, a public interest organization, referred to the Canada-China FIPA as a “corporate rights pact” that would have serious repercussions on Canadian environmental, energy, and financial policies. This is because the deal would allow for lawsuits against the Canadian federal and provincial governments for having “barriers” to investments, which could then be overturned.[46]

Canada is also in the final stages of negotiating a trade agreement with the European Union, called the Comprehensive Economic Trade Agreement (CETA), designed to reduce tariffs and open up “new markets,” having major impacts upon agriculture, intellectual property rights (copyright and patent laws), with drug prices likely to increase “significantly,” as well as allowing for more “labour mobility,” a euphemism for increased labour exploitation.[47] The agreement, which has been in negotiations for years, would “deal another blow to Canada’s already battered manufacturing sector,” with roughly 28,000 jobs under threat, deemed to be the “best-case scenario” by the Canadian Centre for Policy Alternatives. The “worst-case” scenario could see up to 152,000 jobs being “vaporized.”[48]

As is typical, the negotiations are “behind closed doors” and barely deal with actual “trade.” CETA is, much like the TPP, termed a “next generation” free trade agreement, negotiated since May of 2009, and would further deregulate and privatize the Canadian economy, and of course, therefore, increase corporate power, and thus at the expense of democratic accountability. The agreement could restrict how local and provincial governments could spend money, even banning “buy local” policies, increase the cost of drugs by $3 billion, increase Canada’s trade deficit with the EU, allow for European corporations to attack environmental and health protections within Canada as “barriers to investment,” potentially even apply pressure to privatize water, transit, and energy, and even prevent farmers from saving their seeds, as a major gift to GMO manufacturers.[49] Where corporate rights are advanced, democratic rights are dismantled.

A leaked document from the European Commission dated November 6, 2012, revealed that the practice of Canadian municipalities “buying locally” would disappear with the Canada-EU CETA, and that “provincial development programs could go with them.” Canadian municipalities were offering better terms for European access to municipal contracts that those which Canadian provinces give each other. The document, prepared for the European Commission’s Trade Policy Committee noted that the agreement is “the most ambitious and comprehensive offer Canada and its provinces have made to any partner, including the U.S.” EU negotiations will, however, continue to press for more access to energy sectors. Maude Barlow of the Council of Canadians noted: “The amount of room our provinces, municipalities and local communities have to support local farmers and otherwise create the jobs of tomorrow is threatened again by a Canada-European Union free trade deal that will forever prohibit these kinds of economic strategies.” The province of Ontario could alone lose between 13,000 and 70,000 jobs as a result of the agreement, according to the Canadian Centre for Policy Alternatives.[50]

Openly acknowledged by European politicians was that Canada would be getting the short end of the stick in the CETA deal, as a Danish member of the European Parliament stated, “At the moment Europe will be able to export more than what Canada will be exporting.” Another European official closely linked to the negotiations stated, “We will gain a bit more.” Canadian Trade Minister Ed Fast said, “[t]he potential benefits to Canadians under a free trade agreement with the European Union are immense,” though he forgot to acknowledge that the ‘Canadians’ he was referring to are largely corporations, and the elite class that owns them. Michael Hart, a trade expert at Carleton University noted, “[t]rade agreements do not create jobs. Never have. Never will. But ministers have never accepted that economic insight.”[51] And understandably so, after all, it’s rather challenging to sell a trade deal to the public if one openly declares it is for the singular purpose of advancing corporate rights, domination, and plundering. So instead, politicians must always mutter the magical word of “jobs,” which in political language, translates accurately into “profits,” as Noam Chomsky has suggested in the past. Thus, when politicians say that trade agreements will “create jobs,” which they never do, what they are actually saying is that such agreements will “create profits,” and exclusively for major multinational corporations, which they always do.

Canada’s trade agenda is of course driven by big business, whose interests will be served by such “free trade” agreements. In regards to CETA, the Canada Europe Roundtable for Business (CERT) was established in 1999 to contribute “recommendations on trade and investment to government officials and hosting thematic, high-level meeting focused on developing strategic relationships between company executives and with government officials,” according to the website for CERT. A declaration of support in 2008 for a Canada-EU trade agreement was signed by over 100 executives in Europe and Canada, urging Canadian and EU leaders to “design a new type of forward-looking, wide-ranging and binding bilateral trade and investment agreement.” Such an agreement, the document stated, “will provide European companies with a gateway into the vast North American free trade area, while increasing Canadian opportunities in the European Common Market,” serving as “a strategic and important step towards the eventual creation of a comprehensive transatlantic trade and investment area.” Among the signatories to the statement were top executives at the following companies: Anglo American plc, AstraZeneca, Barrick Gold Corporation, BASF, Bayer, Bertelsmann, BNP-Paribas, Bombardier, British Airways, Canadian Chamber of Commerce, Canadian Manufacturers & Exporters, CN, Commerzbank, Deutsche Bank, E.ON AG, Gaz de France, GlaxoSmithKline, Lafarge, Manulife Financial, Merck, Monsanto Canada, Munich Re, Pfizer Canada, Power Financial Corporation, Rio Tinto plc, Royal Dutch Shell, Siemens, SNC-Lavalin, Société Générale, SUEZ, Suncor, ThyssenKrupp, TOTAL SA., TSX Group, Ubisoft Entertainment, and Volkswagen, among many others.[52]

In late October 2012, a number of European and Canadian big business lobbying groups, including BusinessEurope, the Canadian Chamber of Commerce, and the Canada Europe Roundtable for Business (CERT), sent a letter to the Canadian and European trade negotiators, Ed Fast and Karel de Gucht, respectively, urging them to push through on the CETA. The signatories called for Canada and the EU to reach “an ambitious and successful conclusion to the Comprehensive Economic and Trade Agreement (CETA) negotiations by the end of 2012.” The letter said it was “imperative” to “maintain a high level of ambition” in key areas which would benefit Canadian and European corporate interests. Among the many areas for which the letter suggested “a high level of ambition” were in recommending the “full and rapid dismantling of tariffs for all industrial goods,” and “[a]ccess to raw materials and energy products,” the removal of barriers and “discriminations” in service sectors, “full access” to the agricultural sector, including “a satisfactory path forward on the bio-tech issues that have caused trade impediments,” by which is meant to advance the interests of GMO manufacturers. Further recommendations included “access to government procurement” which removes all barriers and allows for increased privatization, and of course, “[r]obust protection and enforcement of intellectual property (IP) rights in both markets,” which would include “the targeting, seizing and destroying of counterfeit imports and exports,” so as to undermine competition and protect monopoly and oligopoly corporations. Finally, the letter stated that the Canada-EU agreement “must also ensure improved labour mobility,” which would allow for increased labour exploitation, enhancing competition between the labour forces of Europe and Canada, which always results in lost jobs, lower wages, and reduced protections and benefits.[53] These are, of course, all very good things for multinational corporations. Since they are terrible things for the populations, they have to be coded in political and economic language, so instead of saying, “we want easily exploitable and cheap labour,” they suggest, “improved labour mobility,” which is also at times referred to as “labour flexibility” (i.e., making labour “flexible” to the interests of multinational corporations).

The Great Canadian Corporate Colony

Such letters from corporate leaders are necessary in order to remind political leaders whose interests they are in office to serve. The Canadian government ensured that it would serve big business interests through trade policy by appointing, in May of 2012, a new ‘advisory panel’ which would “help guide Canada’s ambitious, pro-trade plan in large, dynamic and fast-growing priority markets.” Speaking at the Canadian Chamber of Commerce, International Trade Minister Ed Fast stated: “Our government’s top priority is the economy – creating jobs, growth and long-term prosperity for Canadian workers, businesses and families… We understand the importance of trade to our economy… That is why we are deepening Canada’s trading relationships in priority markets around the world.”[54]

Ed Fast announced the formation of the new advisory panel at the Canadian Chamber of Commerce. The members of the panel include: Murad Al-Katib, president and CEO of Alliance Grain Traders Inc.; Paul Reynolds, president and CEO of Canaccord Financial; Kathleen Sullivan, executive director of the Canadian Agri-Food Trade Alliance (CAFTA), representing 80% of Canada’s agri-food sector; Perrin Beatty, president and CEO of the Canadian Chamber of Commerce, former president and CEO of the Canadian Manufacturers & Exporters, former president and CEO of the Canadian Broadcasting Corporations (CBC), and former government minister; John Manley, former Deputy Prime Minister of Canada, former Foreign Affairs and Finance Minister, and currently president and CEO of the Canadian Council of Chief Executives (CCCE), a corporate interest group made up of Canada’s top 150 CEOs; Catherine Swift, president and CEO of the Canadian Federation of Independent Businesses; Jayson Myers, president and CEO of Canadian Manufacturers & Exporters; Brian Ferguson, president and CEO of Cenovus Energy Inc, a major Canadian oil company; Serge Godin, founder and executive chairman of the board of CGI Group Inc, one of the largest information technology businesses in the world; and Indira Samarasekera, president of the University of Alberta. Upon the announcement of this panel, Ed Fast stated: “I look forward to receiving advice from these knowledgeable Canadian leaders.”[55]

So we return to the statement once made by Prime Minister Stephen Harper: “You won’t recognize Canada when I get through with it.” Sadly, this is quite true as Harper Inc. advance Canada to the status of one of the world’s premier corporate colonies, where plundering for profits, environmental degradation, mass privatization, deregulation, and democratic devastation are the rules of the day. A Canada once thought of as democratic, free, and peaceful, is ever-advancing toward a fully privatized outpost of global corporate tyranny: Canada Inc., a subsidiary of the American Empire & Co.

 

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 and has a weekly podcast show with BoilingFrogsPost.

Notes

[1]       “The World’s Most Resource-Rich Countries,” 24/7 Wall St., 18 April 2012:

http://247wallst.com/2012/04/18/the-worlds-most-resource-rich-countries/

[2]       Kim Covert, “Canada’s natural wealth tripled between 1990 and 2009,” Financial Post, 28 June 2011:

http://business.financialpost.com/2011/06/28/canada%E2%80%99s-natural-wealth-tripled-between-1990-and-2009/

[3]       UNEP, “A New Balance Sheet for Nations: Launch of Sustainability Index that Looks Beyond GDP,” UNEP News Centre, 17 June 2012:

http://www.unep.org/newscentre/default.aspx?ArticleID=9174&DocumentID=2688

[4]       Free Exchange, “The real wealth of nations,” The Economist, 30 June 2012:

http://www.economist.com/node/21557732

[5]       Joe Oliver, “Natural Resources: Canada’s Advantage, Canada’s Opportunity,” Natural Resources Canada, 4 September 2012:

http://www.nrcan.gc.ca/media-room/speeches/2012/6475

[6]       Ibid.

[7]       CNW, “Canada’s trade strengths come from natural resources and related industries,” Canada Newswire, 19 June 2012:

http://www.newswire.ca/en/story/995619/canada-s-trade-strengths-come-from-natural-resources-and-related-industries

[8]       Jameson Berkow, “Canada could become a global resource superpower in just nine easy steps,” The Financial Post, 9 October 2012:

http://business.financialpost.com/2012/10/09/canada-could-become-a-global-resource-superpower-in-just-nine-easy-steps/

[9]       Jameson Berkow, “Canada could become a global resource superpower in just nine easy steps,” The Financial Post, 9 October 2012:

http://business.financialpost.com/2012/10/09/canada-could-become-a-global-resource-superpower-in-just-nine-easy-steps/

[10]     Energy in Canada, “The great pipeline battle,” The Economist, 26 May 2012:

http://www.economist.com/node/21555928

[11]     “An unconventional bonanza,” The Economist, 14 July 2012:

http://www.economist.com/node/21558432

[12]     Jordan Press, “Future lies in Arctic resource development, Harper says,” Postmedia News, 21 August 2012:

http://www.canada.com/business/Future+lies+Arctic+resource+development+Harper+says/7122937/story.html

[13]     Randy Boswell, “Canada poised for massive undersea land grab off Arctic, Atlantic coasts,” The Ottawa Citizen, 4 October 2012:

http://www.canada.com/Canada+poised+massive+undersea+land+grab+Arctic+Atlantic+coasts/7345687/story.html#ixzz2BZr0yMiK

[14]     Randy Boswell, “Canada to take helm of Arctic Council as region heats up,” Postmedia News, 25 September 2012:

http://www.canada.com/Canada+take+helm+Arctic+Council+region+heats/7298225/story.html

[15]     Terry Macalister, “Arctic military rivalry could herald a 21st-century cold war,” The Guardian, 5 June 2012:

http://www.guardian.co.uk/world/2012/jun/05/arctic-military-rivalry-cold-war

[16]     Campbell Clark, “Harper’s tough talk on the Arctic less stern in private,” The Globe and Mail, 12 May 2011:

http://www.theglobeandmail.com/news/politics/harpers-tough-talk-on-the-arctic-less-stern-in-private/article579749/

[17]     Campbell Clark, “Harper’s Arctic trips are now diplomatic ventures,” The Globe and Mail, 22 August 2012:

http://www.theglobeandmail.com/news/world/harpers-arctic-trips-are-now-diplomatic-ventures/article4494231/

[18]     Jacquelyn Ryan, “As Arctic melts, U.S. ill-positioned to tap resources,” The Washington Post, 9 January 2011:

http://www.washingtonpost.com/wp-dyn/content/article/2011/01/09/AR2011010903400.html

[19]     “Free trade with Canada has become a global aspiration,” The Vancouver Sun, 2 November 2012: http://www.vancouversun.com/business/Free+trade+with+Canada+become+global+aspiration/7488138/story.html#ixzz2BfUjOQxc

[20]     “Canada-Colombia trade deal takes effect,” CBC, 15 August 2011:

http://www.cbc.ca/news/business/story/2011/08/15/f-colombia-canada-trade.html

[21]     Mark Kennedy, “Harper defends trade agreement with Colombia,” 10 August 2011:

http://news.nationalpost.com/2011/08/10/harper-in-colombia-to-mark-launch-of-free-trade-agreement/

[22]     Ibid.

[23]     Martin Hutchinson, “Colombia’s turnaround: from bullets into drill bits,” The Globe and Mail, 19 January 2012:

http://www.theglobeandmail.com/report-on-business/rob-commentary/rob-insight/colombias-turnaround-from-bullets-into-drill-bits/article1359576/

[24]     Caroline Van Hasselt and Dan Molinski, “Scotiabank Buys Stake in Colombian Bank,” The Wall Street Journal, 21 October 2011:

http://online.wsj.com/article/SB10001424052970204485304576643353880991840.html

[25]     Paul Christopher Webster, “Colombia is Canada’s new best friend,” The Globe and Mail, 26 April 2012:

http://www.theglobeandmail.com/report-on-business/rob-magazine/colombia-is-canadas-new-best-friend/article4102946/?page=all

[26]     Ibid.

[27]     Ibid.

[28]     Alex Neve, “Canada’s tainted trade partner,” The Toronto Star, 21 September 2011:

http://www.thestar.com/opinion/editorialopinion/article/1057525–canada-s-tainted-trade-partner

[29]     News Release, “Canada-Colombia trade deal: Empty human rights impact report yet another failure by government,” Amnesty International, 16 May 2012:

http://www.amnesty.ca/news/news-item/canada-colombia-trade-deal-empty-human-rights-impact-report-yet-another-failure-by-go

[30]     FAITC, “Colombia FTA gives Canadian firms a big boost,” Foreign Affairs and International Trade Canada, 7 December 2012:

http://www.international.gc.ca/canadexport/articles/111012b.aspx?view=d

[31]     Jessica Hume, “Canada, Colombia strengthen defence relationship,” The Toronto Sun, 17 November 2012:

http://www.torontosun.com/2012/11/17/canada-colombia-strengthen-defence-relationship

[32]     Grant Robertson, “Scotiabank bulks up in Colombia,” The Globe and Mail, 14 August 2012:

http://www.theglobeandmail.com/report-on-business/international-business/latin-american-business/scotiabank-bulks-up-in-colombia/article4479935/

[33]     Paul Christopher Webster, “Colombia is Canada’s new best friend,” The Globe and Mail, 26 April 2012:

http://www.theglobeandmail.com/report-on-business/rob-magazine/colombia-is-canadas-new-best-friend/article4102946/?page=all

[34]     “Canada, Japan agree to free-trade talks,” CBC, 25 March 2012:

http://www.cbc.ca/news/world/story/2012/03/25/harper-japan-trade.html

[35]     Shawn McCarthy, “Canada, Japan launch free-trade talks,” The Globe and Mail, 25 March 2012:

http://www.theglobeandmail.com/news/politics/canada-japan-launch-free-trade-talks/article534401/

[36]     Jason Fekete, “Secret documents show how hard Conservative government lobbied to get into TPP talks,” Reuters, 12 June 2012:

http://o.canada.com/2012/06/19/secret-documents-show-how-hard-conservative-government-lobbied-to-get-into-tpp-talks/

[37]     Andy Hoffman, “Japanese PM looks to join Trans-Pacific Partnership trade deal,” The Globe and Mail, 11 November 2012:

http://www.theglobeandmail.com/report-on-business/international-business/japanese-pm-looks-to-join-trans-pacific-partnership-trade-deal/article5186241/

[38]     Mark Kennedy, “Stephen Harper says Canada-India trade links must come faster,” The Montreal Gazette, 8 November 2012:

http://www.montrealgazette.com/business/Stephen+Harper+says+Canada+India+trade+links+must+come+faster/7518117/story.html

[39]     Frances Russell, “True colours of Mulroney, Harper revealed,” Winnipeg Free Press, 20 May 2009:

http://www.winnipegfreepress.com/opinion/westview/true-colours-of-mulroney-harper-revealed-45462077.html

[40]     Terry Milewski, “Ending Canada’s ‘benign dictatorship’,” CBC, 30 March 2011:

http://www.cbc.ca/news/politics/canadavotes2011/story/2011/03/30/cv-milewski-harper-coalition.html

[41]     “5 things to know about the Canada-China investment treaty,” CBC, 27 October 2012:

http://www.cbc.ca/news/politics/story/2012/10/27/pol-the-house-fippa-with-china.html

[42]     Campbell Clark, “China calls for free-trade deal with Canada within a decade,” The Globe and Mail, 22 September 2012:

http://www.theglobeandmail.com/news/politics/china-calls-for-free-trade-deal-with-canada-within-a-decade/article4561149/

[43]     Shawn McCarthy and Steven Chase, “Ottawa approves Nexen, Progress foreign takeovers,” The Globe and Mail, 7 December 2012:

http://www.theglobeandmail.com/globe-investor/ottawa-approves-nexen-progress-foreign-takeovers/article6107548/

[44]     Heather Scoffield, “China deals would leave Canada a resource colony: opponents,” The Financial Post, 31 October 2012:

http://business.financialpost.com/2012/10/31/china-deals-would-leave-canada-a-resource-colony-opponents/

[45]     Don Butler, “Understanding FIPA in under 1,000 words,” Ottawa Citizen, 31 October 2012:

http://www.ottawacitizen.com/business/Understanding+FIPA+under+words/7472421/story.html

[46]     Daniel Tencer, “Canada-China Foreign Investment Promotion And Protection Agreement ‘A Corporate Rights Pact,’ Council Of Canadians Says,” The Huffington Post, 1 October 2012:

http://www.huffingtonpost.ca/2012/10/01/canada-china-investment-fipa_n_1929663.html

[47]     Janyce McGregor, “5 key issues in the Canada-EU trade deal,” CBC, 22 November 2012:

http://www.cbc.ca/news/politics/story/2012/11/21/pol-ceta-canada-europe-trade-list.html

[48]     Greg Keenan, “Free-trade deal with EU could cost thousands of Canadian factory jobs,” The Globe and Mail, 27 October 2010:

http://www.theglobeandmail.com/report-on-business/economy/free-trade-deal-with-eu-could-cost-thousands-of-canadian-factory-jobs/article1215960/

[49]     Campaigns, “Canada-European Comprehensive Economic and Trade Agreement (CETA),” The Council of Canadians:

http://canadians.org/trade/issues/EU/index.html

[50]     Daniel Tencer, “Canada-EU Free Trade: Leaked EU Document Sheds Light On Negotiations,” The Huffington Post, 26 November 2012:

http://www.huffingtonpost.ca/2012/11/26/canada-eu-free-trade-leaked-document_n_2192949.html

[51]     Althia Raj, “Canada Trade Deal With European Union: CETA May Benefit EU Over Canada, Officials Say,” The Huffington Post, 17 October 2012:

http://www.huffingtonpost.ca/2011/10/17/canada-may-get-short-end-of-stick-in-economic-and-trade-agreement-with-eu_n_1014707.html

[52]     CERT, “Declaration in support of a Canada-EU trade and investment agreement,” The Canada Europe Roundtable for Business.

[53]     “The Canadian and EU business communities’ call for a successful conclusion to the Comprehensive Economic and Trade Agreement (CETA),” BUSINESSEUROPE, 29 October 2012.

[54]     Press Release, “Harper Government Launches Next Phase of Canada’s Pro-Trade Plan for Jobs, Growth and Long-Term Prosperity,” Foreign Affairs and International Trade Canada, 29 May 2012:

http://www.international.gc.ca/media_commerce/comm/news-communiques/2012/05/26a.aspx?lang=eng&view=d

[55]     Ibid.

The Trans-Pacific Partnership: What “Free Trade” Actually Means

The Trans-Pacific Partnership: What “Free Trade” Actually Means

By: Andrew Gavin Marshall

The following is part 3 of a three-part exclusive series on the Trans-Pacific Partnership for Occupy.com

Part 1: The Trans-Pacific Partnership: This is What Corporate Governance Looks Like

Part 2: Why So Secretive? The Trans-Pacific Partnership as Global Corporate Coup

To discuss “free trade agreements” or the “free market,” we must first identify the theoretical versus the functional definitions of these terms – because theoretical definitions look at what those terms should mean, whereas functional definitions look at what the terms mean actually.

The theoretical definition of a “free market” is one in which every individual actor in the realm of exchange exists in a state of equality of opportunity; where all compete with one another to produce the best products at the cheapest prices for consumers, thus the most innovative and efficient producers succeed while others fail, unregulated – and unhelped – by the state. Within “free markets,” what we call “free trade agreements” are meant to reduce barriers such as tariffs, subsidies and regulations so that market “competitors” can freely move products and goods across borders and compete in an ever-expanding global “free market.”

The functional, or technical, definition of a “free market” is one in which the state regulates the market – the realm of economic exchange and activity – for the benefit of large transnational corporations and banks.

Barriers to profits, such as environmental, labor, safety and financial regulations, are dismantled. Meanwhile, subsidies and legal rights and protections are granted to major corporations, undermining competition and supporting monopolization. So while the rhetoric of “free markets” tends to be all about reducing state interference in the economy, in actuality state interference increases – but only for the benefit of large corporations and banks.

At the same time, state “interference” decreases in sectors that benefit the actual population, such as welfare, social services, pensions, healthcare, education, labor protections and so on. In the actual “free market,” these protections are dismantled, subjecting populations to “market discipline” quite unlike the large corporations and banks that receive direct protection against “market discipline.” The most obvious example of this is the post-2008 bank bailouts.

In a theoretical “free market,” all the banks that gambled badly would have failed and collapsed. But with the functional “free market” we have today, the banks went to the state and got bailed out with trillions of dollars of taxpayer money.

The same dichotomy exists for the term “free trade agreement,” which in theory is the opposite of “protectionism,” where states intervene in the market by establishing tariffs, regulations, subsidies and protections for various imports and exports, thus undermining the “free market.”

The technical definition, however, is one in which protectionism is rampant, with enormous subsidies and protective barriers, and very often includes thousands of pages of regulations and provisions. But because all of this is done to protect corporate and financial interests, it is called “free trade.” It is “protectionism” if the barriers, regulations and protections benefit the nation or population and prevent transnational corporations and banks from having unhindered access to the “market”?

Likewise, is it “free trade” if the barriers, regulations, and protections benefit corporations and banks at the expense of the nation and population? In actuality, so-called “free trade” is a drain on the economy, creates enormous national debts, undermines labor, creates poverty and exploitation, wastes natural resources and devastates the environment. However, it is very profitable for banks and corporations, so is endlessly repeated as something “good” and “necessary.”

In theory, “free trade” would enhance competition because it would allow all parties to compete on an even playing field internationally, thus companies would have to find ways to lower their costs of production while increasing their product standards, ultimately decreasing the final price to consumers. In this theoretical form of “free trade,” the best and cheapest product, the company that made it, and the consumer and society as a whole would all benefit.

The reality is the exact opposite: the production cycle is broken up (this is commonly called “offshoring”), which increases the use of transportation, resources and the overall cost of production, making the final product more expensive to consumers. Case in point is the North American Free Trade Agreement (NAFTA), where competition between corporations is undermined while access to resources and markets is enhanced, subsidized and protected.

Corporate cooperation with each other and the state is enhanced while the poor, working and middle classes of Canada, the United States and Mexico are put in direct competition with each other. Corporations in Canada and the U.S. close their factories and move them to Mexico where labor is cheaper, increasing unemployment and poverty, destroying unions and labor protections, and forcing down wages while costs and corporate profits increase.

The role of the state is to regulate these markets and agreements for the benefit of the corporations and banks, and to force the populations to compete with each other in a race to the bottom: market monopolization for the elite, and market discipline for the population.

The break-up of the production cycle, especially from the late 1980s onward, has redefined what “trade” actually is. Typically, we think of trade as a system where countries export and import products or goods. With the era of “free trade,” the production cycle was no longer confined within national borders, and was broken up between several countries.

The result was that a large percentage of what we call “trade” is actually one corporation moving parts or goods to a subsidiary or another corporation in a different country, to continue the production cycle until it returns to the home country as a finished product for consumption.

This is referred to as “intra-industry trade” (transporting parts or goods between corporations) or “intra-firm trade” (transporting parts or goods between a corporation and its subsidiaries). When the parts move across borders, often several times before the final product is created, customs agents at borders register the cumulative value of those products as a “traded” good, and these numbers are then used to determine the “actual contribution” of that good to the economy.

For example, a product which has parts manufactured in Canada, assembled in Mexico, and sold in the United States, would have to cross borders several times before it becomes a final product. Each time the parts cross a border, the total value of those parts at that time of transport gets registered as an import/export, instead of differentiating between the value added at each part of the production cycle. Thus, the statistics of exports and imports become heavily skewed and inflated since they do not account for “value-added.” While the production cycle is broken up over several countries, the determination of “value” is not broken up to fit the actual trading system as it exists.

For a hypothetical comparison to reveal how absurd this process is, imagine a country that attempts to measure the total education of its population by including in its statistics the degrees and credentials of all the tourists who entered the country for short periods of time. The recorded education level of the country’s population would be enormously inflated, since the educated tourists entering the nation would not be staying and contributing their education to the benefit of the society. Something similar happens when parts move across borders several times before they become a finished product, yet have their total value registered each time they cross a border.

According to a report from a Canadian think tank, the Conference Board of Canada, if countries were to apply a “value-added” measurement of trade instead of using inflated numbers applied to the cumulative value of a good, the actual contribution of trade to a country would rapidly diminish. In conventional measurements, trade accounts for 35% of Canada’s economy, but with the value-added measurement, it drops to 24%. These manipulations are important because they serve as a basis for claiming that countries like Canada are “trade dependent” nations, which justify implementing more “free trade” agreements.

When a country imports more than it exports, it builds up a large amount of debt called a trade deficit. When a country exports more than it imports, it establishes a trade surplus. However, because the process of determining the value of imports and exports is enormously inflated and misleading, countries are saddled with inflated and inaccurate debts. They are then pressured into reducing those debts through austerity measures, which punish those countries’ populations into poverty.

Apple is a great example of this process, often hailed as one of the great corporate success stories, being enormously profitable and therefore “good for the economy.” As the Asian Development Bank Institute in Tokyo reported in 2010, while Apple is a U.S.-based company, the iPhone is itself considered to be a Chinese export to the U.S. The iPhone is produced in many different pieces and parts through several Asian and European countries, which are then transported to China where they are assembled and shipped to the United States and elsewhere.

The estimated value of the Chinese laborers in assembling the iPhone was 3.6% (or $6.50) of the total value of the finished product, estimated at $178.96 in 2009. Yet, the wholesale cost of the shipped iPhone is credited to China as an export. China was merely the last stop in the production cycle, but China records the total value of the finished product as an export, while the United States records it as an import. Thus, the researchers at the Asian Development Bank Institute concluded that “even high-tech products invented by U.S. companies will not increase U.S. exports.”

Pascal Lamy, director-general of the World Trade Organization (WTO), commented, “What we call ‘Made in China’ is indeed assembled in China, but what makes up the commercial value of the product comes from the numerous countries… The concept of country of origin for manufactured goods has gradually become obsolete.”

If trade statistics were adjusted to reflect the actual value contributed to a given product by a country, the U.S. trade deficit with China (which in 2010 stood at $226.88 billion) would likely be cut in half. In 2009, the iPhone left the United States with a $1.9 billion trade deficit with China, but if the value-added approach to determining trade statistics were applied, the United States would have a $48 million trade surplus with China (in relation to the iPhone alone).

With the production cycle broken up and scattered around the globe, this adds enormous costs to transportation of equipment, machinery, goods and products between these nations, which in turn requires enormous quantities of oil and fuel to facilitate this transport system, and thus produces unnecessary amounts of pollution. Because of the high costs of transportation, fuel, and assembly, the value of the end product goes up, making it far more costly than if it were simply produced in one or two countries.

With countries determining their exports and imports based on inflated and inaccurate statistics, populations are saddled with enormous debts and thus the financial cost of breaking up the production cycle lands on the shoulders of the population, who were already subjected to increased competition between labor forces, reduced environmental and social protections, dismantled subsidies and regulations, increased personal debt and poverty.

So if “free trade agreements” are bad for people, bad for labor – at home and abroad – and bad for the environment and the nation as a whole, why are they pursued?

The answer is simple: they create enormous profits for banks and corporations, whose losses are subsidized by the state. In an actual “free market,” breaking up the production cycle would be far too costly to be a rational choice for a corporation, but because the state takes on the cost of doing so (largely through its trade deficit), the process continues.

When it comes to agreements like the Trans-Pacific Partnership, it is not difficult to see what the results will be: increased subsidies, protections and regulations for the benefit of large corporations and banks (notably the 600 corporations involved in secretly drafting the agreement over recent years) and decreased protections, subsidies and regulations that benefit the population, environment and society as a whole.

The TPP advances corporate monopolistic protections through intellectual property rights; undermines labor protections, putting the working class of 11 different nations in direct competition with one another; dismantles environmental protections and financial regulations; and expands corporate rights and privileges to allow undemocratic corporate institutions to challenge national laws through an unaccountable international tribunal of corporate lawyers who are given powers to overturn national laws or demand immense compensation from any nations that hinder those corporations’ “potential profits,” thus further increasing the heavy cost of “free trade.”

The Occupy movement and other activists have a strong mandate to oppose the TPP and all related “free trade agreements.” Popular opinion is swinging against “free trade” as people seem instinctively to recognize – even without all the details – that such agreements undermine labor, increase debt and benefit only the rich.

But while public opinion may oppose the TPP in principle, the bigger problem is that “the public” does not know the TPP even exists. This is a challenge that the Occupy movement can step up to: promoting an educational campaign that crosses borders, organizing international protests and actions against the TPP, and establishing a “free market” of resistance based upon the “free trade” of information.

As corporate rights expand and democratic rights decrease, so must people demand an end to the TPP. Organized resistance, information and action have stopped “free trade agreements” in the past, and they can – and must – do so in the future. The coming corporate tyranny of the Trans-Pacific Partnership can only be defeated through a democratic movement of Transnational People Power.

Our already frail and dying democratic institutions lack the capacity to take up the challenge, so the challenge now rests with the people alone.

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 and has a weekly podcast show with BoilingFrogsPost.

Why So Secretive? The Trans-Pacific Partnership as Global Corporate Coup

Why So Secretive? The Trans-Pacific Partnership as Global Corporate Coup

By: Andrew Gavin Marshall

The following is the second installment of a three-part exclusive on the TPP for Occupy.com.

Part 1: The Trans-Pacific Partnership: This is What Corporate Governance Looks Like

Part 3: The Trans-Pacific Partnership: What “Free Trade” Actually Means

The Trans-Pacific Partnership is the most secretive and “least transparent” trade negotiations in history.

Luckily for the populations and societies that will be affected by the agreement, there are public research organizations and alternative media outlets campaigning against it – and they’ve even released several leaks of draft agreement chapters. From these leaks, which are not covered by mainstream corporate-controlled news outlets, we are able to get a better understanding of what the Trans-Pacific Partnership actually encompasses.

For example, public interest groups have been warning that the TPP could result in millions of lost jobs. As a letter from Congress to United States Trade Representative Ron Kirk stated, the TPP “will create binding policies on future Congresses in numerous areas,” including “those related to labor, patent and copyright, land use, food, agriculture and product standards, natural resources, the environment, professional licensing, state-owned enterprises and government procurement policies, as well as financial, healthcare, energy, telecommunications and other service sector regulations.”

In other words, as promised, the TPP goes far beyond “trade.”

Dubbed by many as “NAFTA on steroids” and a “corporate coup,” only two of the TPP’s 26 chapters actually have anything to do with trade. Most of it grants far-reaching new rights and privileges to corporations, specifically related to intellectual property rights (copyright and patent laws), as well as constraints on government regulations.

The leaked documents revealed that the Obama administration “intends to bestow radical new political powers upon multinational corporations,” as Obama and Kirk have emerged as strong advocates “for policies that environmental activists, financial reform advocates and labor unions have long rejected for eroding key protections currently in domestic laws.”

In other words, the already ineffective and mostly toothless environmental, financial, and labor regulations that exist are unacceptable to the Obama administration and the 600 corporations aligned with the TPP who are giving him his orders.

The agreement stipulates that foreign corporations operating in the United States would no longer be subject to domestic U.S. laws regarding protections for the environment, finance or labor rights, and could appeal to an “international tribunal” which would be given the power to overrule American law and impose sanctions on the U.S. for violating the new “rights” of corporations.

The “international tribunal” that would dictate the laws of the countries would be staffed by corporate lawyers acting as “judges,” thus ensuring that cases taken before them have a “fair and balanced” hearing – fairly balanced in favor of corporate rights above anything else.

A public interest coalition known as Citizens Trade Campaign published a draft of the TPP chapter on “investment” revealing information about the “international tribunal” which would allow corporations to directly sue governments that have barriers to “potential profits.”

Arthur Stamoulis, the executive director of Citizens Trade Campaign, explained that the draft texts “clearly contain proposals designed to give transnational corporations special rights that go far beyond those possessed by domestic businesses and American citizens… A proposal that could have such broad effects on environmental, consumer safety and other public interest regulations deserves public scrutiny and debate. It shouldn’t be crafted behind closed doors.”

Public Citizen’s Global Trade Watch, a public interest organization, undertook an analysis of the leaked document on investment and explained that the international corporate tribunal would allow corporations to overturn national laws and regulations or demand enormous sums in compensation, with the tribunal “empowered to order payment of unlimited government Treasury funds to foreign investors over TPP claims.”

Even under NAFTA, over $350 million has been paid by NAFTA-aligned governments to corporations for “barriers” to investment “rights,” including toxic waste dumps, logging rules, as well as bans on various toxic chemicals.

Because let’s be clear: for corporations, such regulations and concerns over health, safety and environmental issues are perceived solely as “barriers” to investment and profit. Thus their “government” would sue the foreign government on behalf of the corporation, on the premise that such regulations led to potential lost profits, for which the corporation should be compensated.

The TPP allows the corporations to directly sue the government in question. All of the TPP member countries, except for Australia, have agreed to adhere to the jurisdiction of this international tribunal, an unelected, anti-democratic and corporate-staffed kangaroo-court with legal authority over at least ten nations and their populations.

Further, TPP countries have not agreed on a set of obligations for corporations to meet in relation to health, labor or environmental standards, and thus a door is opened for corporations to obtain even more rights and privileges to plunder and exploit. Where corporate rights are extended, human and democratic rights are dismantled.

One of the most important areas in which the TPP has a profound effect is in relation to intellectual property rights, or copyright and patent laws. Corporations have been strong advocates of expanding intellectual property rights, namely, their intellectual property rights.

Pharmaceutical corporations are major proponents of these rights and are likely to be among the major beneficiaries of the intellectual property chapter of the TPP. The pharmaceutical industry ensured that strong patent rules were included in the 1995 World Trade Organization agreement, but ultimately felt that those rules did not go far enough.

Dean Baker, writing in the Guardian, explained that stronger patent rules establish “a government-granted monopoly, often as long as 14 years, that prohibits generic competitors from entering a market based on another company’s test results that show a drug to be safe and effective.” Baker noted that such laws are actually “the opposite of free trade” since they “involve increased government intervention in the market” and “restrict competition and lead to higher prices for consumers.”

Essentially, what this means is that in poor countries where more people need access to life-saving drugs, and at cheaper cost, it would be impossible for companies or governments to manufacture and sell cheaper generic brands of successful drugs held by multinational corporate patents. Such an agreement would hand over a monopoly of price-controls to these corporations, allowing them to set the prices as they deem fit, thus making the drugs incredibly expensive and often inaccessible to the people who need them most.

As U.S. Congressman Henry Waxman correctly noted, “In many parts of the world, access to generic drugs means the difference between life and death.”

The TPP is expected to increase such corporate patent rights more than any other agreement in history. Generic drug manufacturers in countries like Vietnam and Malaysia would suffer. So would sales of larger generics manufacturers in the U.S., Canada, and Australia, which supply low-cost drugs to much of the world.

While the United States has given up the right to negotiate drug prices with pharmaceutical corporations (hence the exorbitant price for drugs purchased in the U.S.), countries like New Zealand and even Canada to a lesser extent negotiate drug prices in order to keep the costs down for consumers. The TPP will grant new negotiating privileges to corporations, allowing them to appeal decisions by governments to challenge the high cost of drugs or to go with cheap alternatives. Referring to these changes, the U.S. manager of Doctors Without Borders’ Access to Medicines Campaign stated, “Bush was better than Obama on this.”

But that’s not all the TPP threatens: Internet freedom is also a major target.

The Council of Canadians and OpenMedia, major campaigners for Internet freedom, have warned that the TPP would “criminalize some everyday uses of the Internet,” including music downloads as well as the combining of different media works. OpenMedia warned that the TPP would “force service providers to collect and hand over your private data without privacy safeguards, and give media conglomerates more power to send you fines in the mail, remove online content – including entire websites – and even terminate your access to the Internet.”

Also advanced under the TPP chapter on intellectual property rights, new laws would have to be put in place by governments to regulate Internet usage. OpenMedia further warned that, from the leaked documents on intellectual property rights, “there can be heavy fines for average citizens online,” adding: “you could be fined for clicking on a link, people could be knocked off the Internet and web sites could be locked off.”

The TPP, warned OpenMedia founder Steve Anderson, “will limit innovation and free expression.” Under the TPP, there is no distinction between commercial and non-commercial copyright infringement. Thus, users who download music for personal use would face the same penalties as those who sell pirated music for profit.

Information that is created or shared on social networking sites could have Internet users fined, have their computers seized, their Internet usage terminated, or even get them a jail sentence. The TPP imposes a “three strikes” system for copyright infringement, where three violations would result in the termination of a household’s Internet access.

So, why all the secrecy? Corporate and political decision-makers study public opinion very closely; they know how to manipulate the public based upon what the majority think and believe. When it comes to “free trade” agreements, public opinion has forced negotiators into the darkness of back-room deals and unaccountable secrecy precisely because populations are so overwhelmingly against such agreements.

An opinion poll from 2011 revealed that the American public has – just over the previous few years – moved from “broad opposition” to “overwhelming opposition” toward NAFTA-style trade deals.

A major NBC News-Wall Street Journal poll from September of 2010 revealed that “the impact of trade and outsourcing is one of the only issues on which Americans of different classes, occupations and political persuasions agree,” with 86% saying that outsourcing jobs by U.S. companies to poor countries was “a top cause of our economic woes,” with 69% thinking that “free trade agreements between the United States and other countries cost the U.S. jobs.” Only 17% of Americans in 2010 felt that “free trade agreements” benefit the U.S., compared to 28% in 2007.

Because public opinion is strongly – and increasingly – against “free trade agreements,” secrecy is required in order to prevent the public from even knowing about, let alone actively opposing, agreements like the Trans-Pacific Partnership. And this, as U.S. Trade Representative Kirk explained, is a very “practical” reason for all the secrecy.

Part III of Marshall’s investigative series on the Trans-Pacific Partnership will appear Monday.

Andrew Gavin Marshall is an independent researcher and writer based in Montreal, Canada, writing on a number of social, political, economic, and historical issues. He is also Project Manager of The People’s Book Project. He also hosts a weekly podcast show, “Empire, Power, and People,” on BoilingFrogsPost.com.

The Trans-Pacific Partnership: This is What Corporate Governance Looks Like

The Trans-Pacific Partnership: This is What Corporate Governance Looks Like

By: Andrew Gavin Marshall

The following is the first installment of a three-part exclusive for Occupy.com on the Trans-Pacific Partnership.

Originally published at Occupy.com

Part 2: The Trans-Pacific Partnership: This is What Corporate Governance Looks Like

Part 3: The Trans-Pacific Partnership: What “Free Trade” Actually Means

In 2008, the United States Trade Representative Susan Schwab announced the U.S. entry into the Trans-Pacific Partnership talks as “a pathway to broader Asia-Pacific regional economic integration.” Originating in 2005 as a “Strategic Economic Partnership” between a few select Pacific countries, the TPP has, as of October 2012, expanded to include 11 nations in total: the United States, Canada, Mexico, Peru, Chile, New Zealand, Australia, Brunei, Singapore, Vietnam and Malaysia, with the possibility of several more joining in the future.

What makes the TPP unique is not simply the fact that it may be the largest “free trade agreement” ever negotiated, nor even the fact that only two of its roughly 26 articles actually deal with “trade,” but that it is also the most secretive trade negotiations in history, with no public oversight, input, or consultations.

Since the Obama administration came to power in January of 2009, the Trans-Pacific Partnership has become a quiet priority for the U.S., which overtook the leadership role in the “trade agreement” talks. In 2010, when Malaysia joined the TPP, the Wall Street Journal suggested that the “free-trade pact” could “serve as a counterweight to China’s economic influence,” with Japan and the Philippines both expressing interest in joining the talks.

In the meantime, the Obama administration and other participating nations have been consulting and negotiating not only with each other, but with roughly 600 corporations involved. The TPP is accelerating the most dangerous free market policies of previous U.S. administrations, bestowing unprecedented powers and privileges upon Trans-National Corporations (TNCs) while dismantling regulations and laws without any democratic oversight or input.

This three-part investigative series examines the Trans-Pacific Partnership, a legally binding trade agreement for advancing transnational corporate tyranny and dismantling domestic democratic accountability.

I. Trade Representatives: The Global Corporate Lobby

Who negotiates trade agreements? The answer is simple: trade representatives. The term “trade representative” is essentially another way of saying “corporate lobbyist.”

To prove this point, it would be useful to quickly glance over the biographies of the important U.S. Trade Representatives (USTR) since the George H.W. Bush administration, when USTR Carla A. Hills was lead negotiator for NAFTA and the WTO.

Embedded within the U.S. foreign policy establishment, Hills had a long career in government and was the USTR from 1989 to 1993, after which she established and became CEO of Hills & Company, an international consulting firm with a focus on global trade and investment for clients such as the Coca-Cola Company, Procter & Gamble, American International Group (AIG), Novartis, Bechtel, Boeing, Rolls-Royce, Inter-American Development Bank, Pfizer and Chevron.

A few accolades: Hills is a member of the board of the Council on Foreign Relations, Gilead Sciences, and is on international advisory boards for Rolls Royce, the Coca-Cola Company and JPMorgan Chase. She is also a member of the Trilateral Commission, the Peterson Institute for International Economics and the Center for Strategic and International Studies (CSIS).

Following Hill, from 1993 to 1997, the U.S. Trade Representative was Michael Kantor, who now advises corporate clients as a partner in the law firm Mayer-Brown. A member of the board of CBRE (a real estate services company), Kantor also serves on the advisory boards of ING USA and Fleishman-Hillard, a public relations firm.

Next in line, from 1997 to 2001 the USTR was Charlene Barshefsky, who is now on the boards of American Express, the Estée Lauder Company and Intel; like Hill, she is a member of both the Trilateral Commission and the Council on Foreign Relations.

The USTR from 2001 to 2005 was Robert Zoellick, who afterwards served as Deputy Secretary of State, Vice Chairman of Goldman Sachs from 2006 to 2007, and President of the World Bank from 2007 to 2012. Following Zoellick, from 2005 to 2006, the USTR was Rob Portman, a U.S. Senator who was a possible running mate for Mitt Romney’s presidential campaign.

And only after him did Susan Schwab, the USTR from 2006 to 2009, commit the U.S. to joining the Trans-Pacific Partnership. Schwab has since joined the boards of FedEx, Caterpillar and Boeing. Based on the evidence of her and her predecessors’ tenures, it is safe to say there has been a significant interchange between “trade representatives” and “corporate representatives” — to the point where it is almost impossible to distinguish them apart.

Now let’s get even more caught up to speed on appointed “government officials” so we can know exactly what we’re talking about.

In 2008, as Obama was campaigning for president, he stated, “I have done more to take on lobbyists than any other candidate in this race. I don’t take a dime of their money, and when I am president, they won’t find a job in my White House.”

Within a week of becoming president, Obama changed his mind and his “transition team” (responsible for selecting the Obama cabinet) became co-chaired by John Podesta, co-founder with his brother Tony Podesta of the Podesta Group, a major Washington lobbying firm.

Podesta was Bill Clinton’s former chief of staff and, as co-chair of Obama’s transition team, he declared his team was implementing “rules that are the strictest, the most far-reaching ethics rules of any transition team in history.” A top lobbyist whose firm has represented clients ranging from Wal-Mart, BP and Lockheed Martin to the Egyptian military dictatorship, Podesta appeared the ideal figure to implement Obama’s “strict” rules against hiring corporate lobbyists, right?

A little further background: the Podesta Group counts among its recent lobbying successes the stalling of a Senate bill which was calling on Egypt “to curtail human rights abuses.” The Group’s website also boasts that it “challenged” Wall Street reform after “one of the world’s largest banking firms came to the Podesta Group seeking help with their opposition” to proposed regulations for banks.

Thus, it should come as little surprise that part of the “strictest” and most “far-reaching ethics rules” announced by John Podesta in relation to lobbying was that no official could be appointed to the Obama administration if s/he had been an active lobbyist within the previous two years. Luckily for Ron Kirk, Obama’s U.S. Trade Representative, these “strict” rules only applied to the Washington D.C. area; and since Kirk was a corporate lobbyist in Austin, Texas, for the investment bank Merrill Lynch (before it was taken over by Bank of America in 2008), the “far-reaching ethics” promised by Podesta didn’t reach Kirk.

Kirk’s main priority since becoming USTR has been the Trans-Pacific Partnership, worked on in secret for nearly four years with several other countries and 600 corporations. President Obama has called it “a next-generation trade agreement” and a “model” for future agreements.

But not everyone agrees.

In May of 2012, more than 30 legal scholars from nations that will be affected by the TPP signed a letter addressed to USTR Kirk expressing their “profound concern and disappointment at the lack of public participation, transparency and open government processes in the negotiation” of the TPP.

In late June of 2012, more than 130 members of Congress followed this up with a letter that they signed and sent to Kirk urging transparency in TPP negotiations, and an inclusion of Congressional consultations, stating: “We are troubled that important policy decisions are being made without full input from Congress.”

In his not-to-worry response, Kirk reassured the public: “I believe … that we have very faithfully operated within the spirit of the Obama administration to have the most engaged and transparent process as we possibly could.”

Meanwhile, the TPP has received strong endorsements from large transnational corporations and their official lobbies, such as Thomas Donohue, the CEO of the U.S. Chamber of Commerce, who told the Financial Times that, “[t]his must be an agreement with high standards. These standards will set the bar on regulatory coherence, investment and intellectual property.”

Part of these “high standards,” according to a meeting of the Asia-Pacific Economic Co-operation group (APEC), are “deep commitments that go beyond tariff reduction and pass existing World Trade Organization standards.” In other words, it goes far beyond “trade.” This was confirmed by Iwan Azis, the head of the Asian Development Bank’s regional integration office, who stated that the TPP was intended to deal with “behind the border” issues, typically decided by domestic policy, and “which go beyond the normal scope of trade agreements” including issues of labor, environmental and intellectual property standards.

Azis commented: “As a concept, this is definitely something big… This is so comprehensive, it is like a Grade A agreement.” The TPP is designed “to be a structure on to which other nations, including possibly South Korea, and eventually even China, could be bolted.”

At the 2011 APEC summit, Chinese president Hu Jintao stated: “China supports the goal of the regional integration of the Asia-Pacific economy, using the East Asian free trade zone, full economic partnerships in Asia and the Trans-Pacific Partnership as foundations.”

The aim of the TPP appears to be in establishing a core “trade bloc” in order “to create a gravitational force that would bring others in,” according to Karan Bhatia, the Vice-President for international law at General Electric and a former deputy U.S. trade representative. Ultimately, this objective includes bringing both Japan and China into the fold.

In May of 2012, Kirk stated that he “would love nothing more” than to have China join the TPP, following the more immediate additions of Mexico, Canada, and Japan. And in November of 2011, President Obama spoke to the Australian parliament, explaining: “I have directed my national security team to make our presence and missions in the Asia Pacific a top priority… The United States is a Pacific power and we are here to stay.”

One observer and critic has noted that the TPP has the potential to become a new “global trade agreement.” Charlene Barshefsky, the USTR from 1997 to 2001, wrote an article for the Wall Street Journal in October of 2012 in which she strongly endorsed the TPP as a “crucial opportunity” to overcome “barriers to innovation.” Referring to the TPP as the “most important trade negotiation of the past decade,” Barshefsky wrote that it “will set the terms of trade for many years in the world’s most economically dynamic region.”

Gary Horlick, who is rated one of the world’s top international trade lawyers with a long career representing major U.S. and global multinational corporations, and more than 20 countries in international trade negotiations and disputes – and who was the first Chairman of the World Trade Organization’s Permanent Group of Experts on subsidies – commented on the TPP: “This is the least transparent trade negotiation I have ever seen.” As part of this “transparency,” participants in the negotiations had to sign a memorandum of understanding which forbids them from releasing any “negotiating documents until four years after a deal is done or abandoned.”

What Horlick referred to as the “least transparent trade negotiations” he had ever seen, Kirk referred to as “the most engaged and transparent process” possible. Perhaps this can be explained by the fact that Kirk has access to the draft document and observes and participates in the negotiations, unlike the representative bodies of governments or their populations.

So let’s call this what it is: a transnational corporate coup over the democratic process and public accountability.

Kirk explained that “there’s a practical reason” for all the secrecy in the negotiations over the TPP: “for our ability both to preserve negotiating strength and to encourage our partners to be willing to put issues on the table they may not otherwise, that we have to preserve some measure of discretion and confidentiality.”

Indeed, this is “practical.” After all, as he explained, if the talks were not done in secret, the public would be aware of what was being discussed, and if the public knew what was being planned, they would oppose it.

So secrecy is necessary in order to make the agreement as undemocratic and unaccountable as possible, to ensure that corporations get what they want while the public remains in the dark. Deceptive and saturated with disdain for democracy, certainly, but “practical” nevertheless.

Part II of Marshall’s investigative series on the Trans-Pacific Partnership will appear Wednesday.

Andrew Gavin Marshall is an independent researcher and writer based in Montreal, Canada, writing on a number of social, political, economic, and historical issues. He is also Project Manager of The People’s Book Project. He also hosts a weekly podcast show, “Empire, Power, and People,” on BoilingFrogsPost.com.

Organize, Imagine, and Act: How a Student Movement Can Become a Revolution

Organize, Imagine, and Act: How a Student Movement Can Become a Revolution

By: Andrew Gavin Marshall

From the London student protests, 2010

And so it seems that the student strike in Quebec is slowing down and nearing an end, as the college – CEGEPs – in Quebec have voted to return to class, with roughly 10,000 students having voted to continue the strike, a far reduction from the 175,000 students that were on strike in late April and early May. The strike began in February of 2012 in opposition to a planned 75% increase in the cost of tuition. The students mobilized massive numbers, held mass protests, undertook picket lines at schools, expanded the issue into a wider social movement, and were consistently met with state violence in the form of riot police, pepper spray, tear gas, beatings with batons, being shot with rubber bullets, even being trampled by horses and driven into by police cars. The government enacted Bill 78, assaulting the rights to freely assemble and speak, and put a ‘pause’ on the school semester to end picket actions. Now that the school semester is starting back up again, and an election looms in the coming weeks, the students are being led away from the streets and into voting booths. The ‘Maple Spring’ has become the ‘Fall Election’.

Meanwhile, in Chile, where a student movement that began in May and June of 2011, mobilized against a highly privatized education system, is continuing with renewed energy. There had been ups and downs of actions and mobilizations within Chile over the past 15 months, but in mid-August of 2012, the resurgence was seen as students began occupying high schools, blocking streets, and undertaking mass protests. Students who took part in the occupations were threatened with having their scholarships removed. In over a year of protesting, the students have not seen any meaningful changes to their educational system, or even inclinations that those in power were listening to their demands with anything other than disdain and contempt. The students have long been met with state violence, from the oppressive apparatus of a former military dictatorship, fighting an educational system which was established near the end of the military dictatorship. Riot police would meet students with tear gas, water cannons, batons, mass arrests, and other forms of assault. Police have subsequently stormed the high schools and arrested over a hundred students participating in the occupations. This caused the university students to get more involved, and they occupied the Universidad de Chile, which had not been occupied since the beginning of the movement the previous year (often known as the Chilean Winter).

In Chile, as in Quebec, protests and marches and even the right to demonstrate are frequently declared to be illegal. In both Chile and Quebec, when protests erupted into violence (which is more often than not incited by the police themselves), these are called “riots,” and they are used in the media and public discourse to portray the movements as violent, extremist, trouble-makers, vandals, and criminals. This is designed to reduce public support for the protests (which was far more successful in Quebec than Chile), and to subsequently dismiss the demands of the students. There are, in fact, a wider variety of similarities and interesting comparisons between the Chilean Winter and the Maple Spring. Chilean students and academics have even expressed solidarity with the Quebec student movement.

We face an issue here. The student movements don’t seem to be getting anywhere substantial in terms of establishing some sort of meaningful change. This is not to say they have not achieved anything; quite the opposite, in fact. The student movements have been successful at mobilization large numbers of people, organizing protests and indeed, in politicizing a generation, which is their most sincere and important success to date. Students have suffered under propaganda campaigns, violent repression, legal intimidation, and, most of all, the determination of an elite who view any and every minor concession as the ultimate unthinkable sacrifice which would ruin all of society. In short, elites are more stubborn than students could ever seem to be, and they have the means to hold their position and tire the students out if they can’t simply scare them away or crush them down. So, while symbolic actions and political radicalization are necessary achievements, the will to continue taking actions and the hope to manifest radical ideas becomes worn down, demoralized, and sapped of its strength. This is incredibly challenging to revive if the circumstances and courses of action do not change.

So perhaps it is time for a new tactic. Instead of having radicalization follow mobilization, students could begin to have radicalization guide mobilization. For any social movement to advance, grow, and become something not simply demanding reforms, or demanding something from power, it needs to provide something to the students, to the communities, and the public at large; it needs to create. This is the difference between a reformist movement and a revolutionary movement. In this context, the word ‘revolutionary’ is not used to imply a usurping of state power and violent overthrow of authority, but rather  to transform on a radical scale our conception and participation in specific or all sectors of society. Thus, it is essential to provide new ideas for action, rather than discussing and debating the new terms of capitulation. It can make all the difference between a question of how little students will get from their demands, to a question of how much we can get from a new educational structure itself. A discussion of new ideas must replace – or coincide with – the articulation of ignored demands.

How is this possible? What might this look like?

For students, the fundamental issue is education. For the student movements, growth came from expanding the issue into a wider social one, and linking up with other organizations and causes. This expands the scope, and thus, the base of support for a student movement. However, established unions played a large role in guiding (or attempting to guide), fund, and organize in cooperation with student movements. While the cause of workers is an issue that must be engaged with, the established unions that have survived to this point, roughly thirty years into the global neoliberal era, have survived only because they function on a basis of cooperating with the established powers of society, the state and corporations. They are corporatist institutions.

Over one hundred years ago, unions were extremely radical, organized, massive, and revolutionary. The actions and ideas of radically organized labour were the impetus for 8-hour work days, weekends, pensions, job security, benefits, an end to child labour, and much more. Unions subsequently faced roughly a century of battering, violence, co-optation, and destruction. Those which remain are not radical, but only slightly reformist. I say ‘slightly’ because they do not mobilize to fight for new ideas or issues, but only to protect and preserve the reforms previously implemented as a result of radical labour agitation. Thus, union representative serve as a buffer for the blunt force of the state and organized capital and corporate interests which consistently seek to undermine and exploit labour. The major unions typically serve to soften the blow against workers as the elite bring down the hammer. Under this system, all rights, benefits, security and protections are slowly and inevitably worn down and thrown away. When the established unions provide funds and direction for the student movements, they tend to steer them away from radical or revolutionary paths, and promote a highly reformist direction, and which can only be undertaken through negotiation with and capitulation to the state and corporate interests. This gets us to where we are.

When it comes to engagement and interaction, solidarity, and cooperation with labour, it should, in fact, be the more radical – and radically organized – students who lead the unions back to a more radical direction, to take them back to their origins when they achieved successes instead of softened failures. If they refuse to follow a radical direction, then students should encourage and attempt to find means of supporting the organization of new labour organizations: provide assistance, direction, ideas and physical and moral support. Students could be mobilized into the streets for workers’ rights as well as educational rights.

The main point here is that for a movement to radicalize and become revolutionary, it must cooperate with, support, and be supported by other radical and revolutionary organizations and movements. If the more dominant force is reformist, established, and corporatist (by which I mean its functioning ideology is accepting of the state and corporate dominated society), then these organizations will attempt to co-opt, direct, and steer your movement into an area ‘safe’ for the elites, if not altogether undermined and eliminated. It is not necessarily done out of an insidious desire to destroy your student movements, but rather the result of an insidious ideology embedded within the very functions of their organizations. Thus, integration, mutual support, dependency and interaction with other social movements must take place at a radical and revolutionary level if you are to sustain that potential and desire within your own movement. It’s unfortunate, because it’s more difficult; but it’s true, all the same.

Therefore, what is required are radical ideas of organization: for the student associations and other associations they interact with to be more accountable, directly, to their constituents. Instead of elected delegates or representatives making all the decisions (which is how our governments function), the decisions must be made by the constituents, and the representatives merely carry them out and organize accordingly. The student associations in Quebec and elsewhere function more along these radical lines, while labour and other groups typically do not. If student associations do not function in this manner, that is the first issue which must be addressed: either demand the associations to change, or create new ones and thereby make the unrepresentative ones obsolete. Thus, for a student movement to become revolutionary, the first step is the radicalization of organization.

Now onto something more interesting: how to radicalize ideas and actions in education itself. This next step is about the radicalization of action. While the first step, in many instances – the radicalization of organization – had been achieved in several of the student movements, the actions themselves lacked radicalization. The actions were largely confined to mass demonstrations, picket lines, school occupations, and youth rebellion against state violence and repression. These are all important actions on their own: establishing solidarity, power in numbers, a public presence, a demonstration of will and power, the development of ‘self-esteem’ for a social movement. These are necessary, but if the actions do not evolve, the movement itself cannot evolve. Thus, what is required at this point is a discussion of new ideas of action. Typically, as is the case at the moment in Quebec, students are being told to stay out of the streets and go to the voting booth, where “real” change can be made. This is illusory and useless. Unless there is a radical party, the best that can be hoped for is to delay the inevitable assault on education, or perhaps achieve a minor concession, which would likely be more of an insult than incentive.

New ideas of action must come from the students themselves, and there are a number of initiatives that could be discussed and undertaken. Fundamentally, instead of demanding from power, create something new. If education is what you want, begin to do it yourselves. In the case of a school occupations, why should the students not simply begin to have discussions on issues, share knowledge, invite professors, academics, and others who are supportive of the movement to come talk and share their knowledge?

This does not need to only take place in occupied schools, though that would be quite symbolic, but could essentially take place in any public space. It would function as a type of grassroots educational system, designed to share and expand knowledge, not to prepare you for the workforce. Job opportunities are already vanishing everywhere for youth, and they will continue to do so as the economic crisis gets worse. These types of educational forums could potentially be designed to educate and share knowledge on issues of relevance to the student movements themselves: the history of education, protest and social movement history, political power, repression, the economic system – Capitalism, neoliberalism, etc. This could – and should – expand into much larger issues and areas of knowledge, including arts, the sciences, philosophy, etc. There are already people within society who have gained their knowledge through educational institutions, and thus, there are already people from whom to draw this knowledge from in a new forum, and in a new way.

To give an example, imagine a ‘class’ (or forum) on the history of social struggles. First, a physical space is required, so to set up in a park, public venue, rent a space, or occupy a space (such as a school lecture hall). The students should have previously discussed – likely through social media networks – which intellectuals and individuals they would like to invite to come speak to them about the issue. The invited speakers would share their knowledge on the history of social struggles, promote discussion, debate one another, and engage directly with the students. For every invited outside speaker, a student should be invited to speak also, to share their own knowledge and engage on an equal basis. The notion that students are there only to learn and not teach is an incorrect one, and it’s a misnomer that should be addressed and acted upon.

The public at large should also be accepted into these educational forums. The point should be to expand knowledge and discussion among the general population, not merely the students. But the students are the ones capable of providing this forum for the population at large. To add to this: such forums should be broadcast through social media, filmed and recorded, watched online both live and archived. Students could organize ‘subject collectives’, perhaps having a group of students organized along the lines of the larger student associations (through direct democracy), who would oversee the organization of each subject or issue: history of social movements, political economy, media studies, etc. Each ‘collective’ could establish its own website, where the wider community would be encouraged to engage, support, recommend speakers and issues and venues, watch archived or live-feed forums, debate in online forums, be notified of events and speakers, and be provided with educational material, reading sources, etc. The students could write papers which would then be posted publicly on such sites, to promote discussion and to actually use the knowledge instead of writing papers for a grade, which is a rather absurd notion. These sites could have news sections, providing relevant news and developments from around the world related to their issue. The collective itself – both within the community and online – then becomes a forum for the development and extension of knowledge to a much larger sector of society, locally and globally.

This is where the actions become even more important. For a social movement to survive and expand into a revolutionary movement, it must not isolate itself, and must engage and interact directly with the wider population. The best way to do this, and one which has the added necessary effect of increasing the movement’s support among the population, is to provide a service or need. In the case of a student movement: that need is education. Merely ‘opening up’ forums to the public may not be enough. Students or ‘subject collectives’ could individually organize smaller meetings and discussions, in neighbourhoods and venues all over the city, region, or country, where students themselves speak with and to the public on issues in which they have been getting their education.

In Quebec, where students have been consistently framed by the media and elites as “entitled brats,” this tactic would be a means to share our so-called ‘entitlements’ with the wider population, and at no cost to them. Thus, as students gain knowledge, they share knowledge with others. For example, a couple history students could hold a small forum at a cafe or in a small public location which they had promoted within the neighbourhood and on social media for people to freely come to listen and engage in a discussion about a particular history topic. Of course, knowledge in such circumstances should not simply be abstract or obtuse, but relevant to those who are engaging with it. So if the discussion is on a ‘history of social movements,’ students should share knowledge on this, but make it relevant to the current social movement, to the social conditions of the wider population, and ask questions and engage with others in the venue: to promote discussion and debate. Thus, instead of the public viewing students as ‘entitled’, they may come to view students as ’empowering.’

This type of tactic would especially have to be employed within poor communities, and oppressed communities, where students would have to be willing to listen and learn more than they would be inclined to speak and teach. This is because many student movements, simply by their position as being students, generally come from a more privileged sector of society than the really poor, minority, immigrant, or otherwise oppressed communities. These sectors largely remain in the sidelines of the student movements themselves. This must change, and for a very fundamental reason: there is a great deal to learn from these communities. Oppressed peoples have experienced and known for a much longer period of time what the majority of students are only just starting to learn and experience: the true nature and interest of power, the violent and oppressive state apparatus, the underbelly of the economic system, the reality of social existence for a great many people. In short, it would be a means through which to educate the students on deeper issues of social strife, by listening and speaking directly to and with those who exist within oppressed social spheres.

But there cannot be any taking without giving. So while oppressed communities may perhaps be willing to share their own knowledge with students and engage in discussion and debate, the students must provide something back to these communities. There is a very simple way to get this started: ask them what they need most in their communities. For example, if one community cited the cost and quality of food as a central issue, students could then leave the first meeting with the community with the intent to organize and plan around this issue. The students could hold their own discussions, meetings, debates, and share ideas on how to help resolve this specific issue within that specific community, and then propose various ideas to those community leaders. The ideas would be subject to critique, dismissal, support, etc, to go back to the drawing board with new suggestions or to get to work, putting action to the ideas.

So with the issue of food, for example, students could perhaps organize around the idea of establishing a community food garden, proposing it to the community, and, if approved and critiqued, they could find an area of land, get the support and materials they need, and work with members of that community to plant and establish such a garden, to help move toward some form of food sustainability, provided either free or cheap to those within that area. Potentially, there could be a student educational association which specialized in sharing knowledge about nutrition, horticulture, etc., and they could be brought in to share their knowledge, help in the endeavour, or even make it a staple feature of their functioning: to go to different communities to help establish food sustainability.

These are, of course, just ideas of actions, there is no reason to follow this specific outline. This is meant to merely promote the discussion of this concept: the actions, organizations, and objectives which would result from a radicalization of action are likely to be far more varied, interesting, and effective than these mere suggestions. However, I used these examples of actions and ideas to show how a student movement protesting against something (such as a tuition increase), can become a revolutionary movement for something.

These actions are revolutionary because they force people to question and reconsider their conceptions of education, its manifestation, its purpose, its institutionalization, philosophy, etc. The actions themselves engage directly with people, drawing from and providing to the population as a whole. This increases support among the population, but also greatly strengthens the ideas and actions of the students themselves. At such a conceivable point, it could not be called a ‘student movement,’ but could only be identified as a much wider social movement, which would help radicalize the wider society itself, which would in turn provide new ideas and actions to the students; solidarity in both words and actions.

These actions are revolutionary because they attempt to maneuver around power structures instead of expending all of their energy on directly battling the power structure itself. By going around the power structure – around the state, the schools, the corporations, etc. – the students would create a parallel educational structure within society, making the existing one increasingly obsolete. As this is done, the bargaining power of the state and other structures is reduced, because the students no longer rely exclusively upon them for an education. The state would most certainly attempt to repress such a movement, or perhaps even to offer much larger incentives, concessions, or even meet the previous demands of students in order to get them back in the schools and within an educational system that power controls. The state is well-established to deal with direct confrontations: that’s what police, armies, guns, badges and lawyers are for. It doesn’t matter who you are, what you’re demanding, or where you are demanding it, the state can simply tear gas you, scare you, disperse you, and wait you out. But to move around the power structure, and to create and establish something new, not under the control or direction of established institutions of power, the power structures become very nervous and insecure.

It would be foolish to think that the power structures would not respond with more state violence than they have up until present, they most certainly would. The primary difference, however, would be that the public support for the movement would have conceivably exploded, and in the case of increased violence, it would explode in anger and opposition to the state. In short, while the state would be likely to increase its tactics of intimidation and violence, the public response would likely be far more powerful than anything we have seen thus far. We saw an example of this in Quebec, when the government passed the repressive Bill 78 and a much larger segment of the population was mobilized in opposition to the government. However, this has now largely faded, and again, it’s about the difference between mobilizing against something and mobilizing for something. It’s the difference between opposition and proposition, demand and action.

The fundamental idea which I am arguing is that for a student movement to become a revolutionary movement, it must transform its demands of education into actions for education. If the issue is education, the answer is education. The inability of the student movements to have their demands met reveals a deeply-ingrained flaw in our society: that an institution does not reflect or respond to the demands of its supposed constituents. This fact makes that institution illegitimate. This flaw further manifests itself across the entire society. If the government itself, which is supposedly ‘representative’ of the people, does not reflect the intentions and interests of the population, then it is illegitimate. Most institutions do not even have a means for their constituents to have a say in who runs the institutions themselves. Some, such as governments or unions, may have elections in which people can choose candidates, but then all the other decisions are taken out of their hands. Other institutions, such as schools, corporations, banks, media, etc., do not even have a means for constituents to select leadership, let alone direction and action. University boards are populated with bankers, former government officials, corporate executives, foundation officials, and other established elites. Therefore, universities are geared toward meeting elite interests under their direction. This is flawed and wrong. Though, because most institutions function in this way across wider society, it tends to go unnoticed and is simply accepted as “the way it is.”

Students must now ask: Does it have to be this way? What other way could it be? What should change? How could that change? What is the intent of education? These questions lead to other, larger questions about the society as a whole, and, as a result, they make necessary the wider radicalization, organization, and revolution of society itself. It is a rather large idea, but I think it is also a logical one. As the economic and social circumstances for most people continue to deteriorate in the near future – and perhaps rapidly so as the global economic crisis accelerates – such ideas and actions will become all the more necessary and will generate much more support.

Since the beginning of the global economic crisis in 2007 and 2008, the world has seen a rapid acceleration of resistance movements, protests, and revolutionary struggles. The world is rumbling awake from a long lost slumber of consumption and consent as the situation of crisis reveals deep flaws in the structures, ideology, and actions of power. We are witnessing the rapid proliferation of global resistance movements, but it requires much more for them to become global revolutionary movements. It has only begun, but it requires new ideas and actions to move forward. It would potentially be very challenging to begin such actions now, but in the very least, student movements should begin to advance the discussion, to debate the direction, and to incite new ideas. These are, after all, the skills that an education is supposed to provide us with.

Perhaps it is time to put our education to use.

Andrew Gavin Marshall is an independent researcher and writer living in Montreal, Canada. His website (www.andrewgavinmarshall.com) features a number of articles and essays focusing on an analysis of power and resistance in the political, social, and economic realms. He is Project Manager of The People’s Book Project, and is currently writing a book on the global economic crisis and resistance movements emerging around the world. To help this book come to completion, please consider donating through the website or on Indiegogo.

Stand Strong and Do Not Despair: Some Thoughts on the Fading Student Movement in Quebec

Stand Strong and Do Not Despair: Some Thoughts on the Fading Student Movement in Quebec

By: Andrew Gavin Marshall

As eight of the fourteen CEGEP preparatory schools have voted to return to class, and thereby end the strike which began in February, Quebec is beginning to witness the fading away of the first phase of the student movement, mobilized by the planned tuition increases, and which expanded into a broader social movement known as the ‘Maple Spring.’ As some students have returned to class, they were met with a heavy police presence, no doubt to ensure ‘order’ during such a “dangerous” situation in which students enter school property. After all, Bill 78, which was passed by Jean Charest’s government back in May (now known as Law 12), made student protests on (or within 50 metres of school property) an illegal act.

Bill 78 was, quite accurately, described as “a declaration of war on the student movement,” and included an excessive amount of violations of basic rights and freedoms. Regardless of the specific details of the illegalities of the Law, we – the people – do not need even our Charter of Rights and Freedoms to tell us what is right and wrong, just or unjust. The legal system itself, after all, has very little to do with ‘justice’, and far more to do with legalizing injustice. Not only was the Law a violation of legally guaranteed rights and freedoms, such as freedoms of assembly and expression, but it was an affront to a very basic sense of decency, an insult to a very common sense of democracy, and an attack on a very basic conception of freedom.

This Law remains in effect. The tuition is set to increase. And as students vote to end the strike, some are mourning the seemingly vanishing potential of the student movement to effect a real, true, and lasting change. But all was not for nothing, all is not lost, and resistance is not futile. We have witnessed but the starting actions, initiative, determination, and voice of a generation which, around the world, from Egypt, to Greece, Spain, Chile and Mexico, are standing up, taking to the streets, innovating new actions and forms of collective resistance and even revolution. Our generation is beginning – and only just beginning – to awaken our wider societies to resist and challenge a system which, in the wake of this new great global depression, which in the wake of new wars of aggression, has revealed its true nature: all for the powerful, and nothing for the people. It is a system which benefits the few at the expense of the many.

The most prominent symptom of this system is what we call ‘neoliberalism.’ I emphasize that this is a symptom, and not the cause, because neoliberalism was born of the very ideas, individuals, and institutions that have comprised and continue to comprise our system and structure of national and global power. Neoliberalism is but the malignant phase of a wider social sickness. Neoliberalism manifests itself by promoting the wholesale privatization of state and public assets, of resources, of industries, of services, of infrastructure, of roads, ports, electricity, railways, water, and yes, of education itself. It is the handing over of what is public – and thereby what is yours – to private hands: to corporations and banks. Neoliberalism is further represented by the deregulation of anything and everything that would benefit private corporate and financial interests. This means that everything from regulatory oversight of the institutions that plunged the world into economic devastation, however slight it may exist at present, will be completely dismantled. This means that any protections granted to workers, in the form of wages, collective bargaining rights, union rights, pensions and benefits… will be no more.

When economic crisis hits, there is a common scenario of reaction and response: the State moves in to bailout the banks and corporations that caused the crisis (in cooperation with the state itself, of course). As a result of the bailouts, the State buys the bad debts of banks and corporations and hands you, the people, the bill. The next phase is called “austerity.” Austerity is an economic and political euphemism for impoverishment. Austerity means that all social spending is reduced or cut entirely; so, no more public funding for social services, welfare, pensions, healthcare, education, public sector workers are fired, social housing is dismantled, and taxes are raised. The effect is obvious, more unemployment, lower incomes, higher costs for services, higher taxes, and a rapid acceleration of poverty.

The next phase, then, is what is called “structural adjustment” or “structural reform.” This means the privatization of everything, which also includes mass firings, deregulation, and an attack on labour, unions, and workers’ rights. The specific assault upon workers, by reducing their wages, eliminating pensions and benefits, and denying them the right to organize in unions, is called “labour flexibility,” meaning that the labour force becomes “flexible” to the demands of the powerful: it becomes a cheap source of easily exploitable labour for the corporations that now own everything they didn’t own already. Thus, when these corporations begin to open factories and employ the newly-impoverished population at sweatshop wages, this is called “investment.”

The result of “austerity” and “adjustment” is a massive program of social genocide. If you want to see the effects of austerity and adjustment, look to Africa, Asia, and Latin America, where the Western nations, banks, corporations, and international financial institutions – like the World Bank and IMF – have imposed neoliberalism, austerity, and adjustment over the past 40 years. You witness the dismantling of healthcare, education, social services and protections, you see the exploitation of workers, the spread of disease and hunger, and widespread dehumanization. If you think this cannot happen in the Western industrialized world itself, look to Greece, where this system is currently manifesting itself at its most extreme, and where all the same effects that took place in the so-called ‘Third World’ are now coming to the ‘First.’ What our nations and dominant institutions of power have done abroad, they are now doing at home. And just as it spread abroad through a manufactured debt crisis, so too is that how it is now manifesting at home. In June, 146 Greek academics signed a letter of solidarity with the student and social movement in Quebec, writing: “We, Greek academics, declare our solidarity to your wonderful struggle, which is our struggle!” We must begin to recognize that their struggle is ours, as well.

The population of Greece is being punished into poverty, their healthcare system is in total collapse to the point where hospitals report shortages of aspirin, gloves, syringes, toilet paper, and band-aids; families abandon children on the streets because they can no longer care for them; people go hungry and children faint in school because their family had not eaten in several days; their taxes increase, they rely upon food banks and charity for the basics of survival; homelessness explodes, social housing is dismantled, pensions for the elderly vanish, and suicide rates rapidly accelerate. Why does this take place? Because the IMF and the European Union force Greece to impose ‘austerity’ and ‘adjustment’ in return for massive bailouts which only go toward paying the interest on debts owed to German, French, Dutch, and British banks. Each bailout becomes added debt with higher interest, and thus, Greece, just like the ‘Third World’, becomes enslaved to the global institutions of domination and exploitation.

The tuition increases in Quebec are but the first signs of austerity emerging in this province and country. At the national level, Stephen Harper has begun his campaign for austerity with his budget bill, cutting public sector workers, reducing spending on social services, and increasing subsidies to corporations. His government already bailed out Canada’s big banks back in 2008 and 2009 to the tune of $114 billion, approximately $3,400 for every man, woman, and child in Canada. That is almost the same amount that Quebec students will be forced to pay under the increases in tuition. Meanwhile, the banks announce record profits, and the government then cuts their taxes. Across Canada, student debt amounts to roughly $20 billion, yet Canada’s Prime Minister is planning to spend roughly $25 billion purchasing fighter jets from an American arms manufacturer so that Canada could jump at the opportunity to help the Empire bomb poor people in foreign countries so that our corporations and banks can freely plunder their resources. Our governments, through so-called “aid” programs, fund and train the militaries and police of oppressive foreign governments, so that they may establish ‘order’ over their populations while our corporations steal their wealth and future. The same tax dollars that help foreign governments crush their own populations pay the wages of the riot police that have beaten, tear gassed, pepper sprayed, attacked and arrested the students in Quebec. Again, what we do abroad is now being done at home.

In Canada, and in Quebec, we have seen but the start of austerity, but the vague rumblings of the captains of capital, the plunderers of people, and the exploiters of everything, who are now telling our corrupted parasitic political elites that the time has come: they now want it all, everything, and to leave us with nothing. The time has come for ‘austerity’ and ‘adjustment,’ the time has come, therefore, for impoverishment and exploitation. And mark my words, as they impose this system at home, they will blame us, the people, the entire way; they will blame us for amassing large personal debts, for buying mortgages we could not afford, for taking student loans we could not pay back, for spending credit on consumption, for living above and beyond our means. They will tell us, as Christine Lagarde, the managing director of the IMF, has told the Greek people, “it’s payback time.”

Payback time for what, you ask? It’s payback time for our naivete in believing our political leaders, for engaging in a culture constructed by corporations, for doing what we were told was the right thing to do, for doing what was expected of us, what was designed for us, for being passive, obedient consumers. Simply put: the elite feel quite strongly that the population is too stupid, too malleable, to ignorant and irrelevant to decide for itself the direction society should take, or the purpose their own lives should have. Thus, it’s payback time for the slight concessions, for the minor benefits, and for the mirage of democratic trappings that they have begrudgingly granted our populations over the past century: it’s payback time for the once-radical workers movements that challenged industry and government and won rights for workers; it’s payback time for social movements that demanded revolutionary change and got minor reforms; it’s payback time for all of our ‘demands’ as purportedly free and independent beings.

Our elites, much like Marie Antoinette, looked upon the massive unrest and anger of the population and declared, “Let them eat cake”: let them have elections, let them buy televisions, iPods, and game systems; let them choose between Coca-Cola and Pepsi, Democrat and Republican, Liberal and Conservative; let them buy a house and have a car, let them go to school and get a job, let them think and feel as if they are free and in charge… but do not let them take freedom or take charge. So now, it’s payback time for all the small concessions they have granted us, each one in their eyes, an unjust and undeserving sacrifice, always proclaimed to have catastrophic consequences to the economy and society and “free industry” and “enterprise.” So now, it is “all for them, and none for us.”

Now, we don’t even get our cake.

Greeks now know this story well. But here in Canada, and here in Quebec, we are only seeing the starting shots of a race to repression and poverty. The students have seen the reaction from elites, from police, and from the media, that even such a relatively small issue (as compared to the situation in Greece or Egypt or elsewhere) such as struggling against a tuition increase, can result in so much violence, demonization, condemnation, misrepresentation, propaganda, and repression. Our political elites have begun to show us their true colours, something which First Nations and other internally colonized peoples (such as the black population in the United States) have known for a great deal of time. We’re now starting to catch up, to see our elites for who and what they truly are.

Jean Charest is not the problem. Jean Charest is but the vile mucus and malingering bile coughed up from a sick and struggling society. Charest is nothing but a symptom of a deeply suffering society, of a society whose priorities are all wrong, of a society that is so bizarre and incoherent that it is capable of producing and supporting political leaders as obscene, arrogant, and repulsive as Jean Charest himself. But again, he is not the problem. Altering the symptoms is pointless if you do not address the sickness, itself.

The media is now telling Quebec students that the “answers” to our struggle lie in the ballot box, not the streets. That our solutions can come through voting for politicians, not taking collective action. It’s a funny thing, growing up in the West, where we were always told how our societies were so free and democratic, and that our youth went to go fight wars abroad so that youth at home would have the right to go out into the streets and protest, to struggle for rights and freedoms, that these were the very actions and definitions of our democracy. We were told that this was the expression of our freedom… unless of course, we decide to take that course of action ourselves. Then, we become criminals, vandals, even terrorists. It’s an ideal of democracy unless we decide to actually act upon it: then we are portrayed as violators of democracy. Our elites complain that they already gave us our damned cake, why do we feel that we are so “entitled” as to ask for more, like Oliver Twist asking for a mere extra bowl of non-nutritional work-house sludge. Poor Oliver was met with the aghast and shocked, “MOOOORE?! You want MOOORE?!” How dare you. How dare you step out into the streets and demand more equality, more freedom, more accessibility, more opportunity, more POWER. How dare you demand that the elites should follow the direction of the people. What the hell kind of society do you think you live in, a democracy?! Well, that’s what riot police are for: to put you in your place. That’s what Bill 78 was for. That’s what Jean Charest was and is for.

So, while we have witnessed but the starting putrefaction of our society in the form of austerity, we have also only witnessed but that starting signs of hope, of struggle, of resistance, and of action in an age of rage, and a coming world revolution. We have been fortunate enough to witness and partake in the beginning of what will be a long struggle, of what will be the defining feature of the world in which our generation is entering into as young adults. We have witnessed but the start at home of what has already been starting elsewhere in the world, in Egypt, in Tunisia, in Greece, Spain, Italy, in Chile and Mexico; the start of our generation – both locally and globally – standing up to our rapacious elites, of rejecting their insane ideologies, and of opposing with both our bodies and our minds, their physical and psychological oppression.

They may look down upon us in disgust and with confused mental constipation, ask, “MORE?!”

But then we will look upon them, in larger numbers, in massive and ever-expanding varieties, in solidarity with our brothers and sisters around this small little planet, and look at these morally vapid, small little people, who place themselves at the top of our world, who support themselves with hallow values and empty ideas, and we will say, “No more.

So, to my fellow students, to my brothers and sisters in Quebec and beyond, I can only say, do not mourn the fading strike, do not regret your struggles in the streets, and do not despair: we are only in the beginning of our lives, and in the beginning of our struggle. And look, simply, upon the mass mobilization, the manifestation, the hope, and yes, the energized frustration that we had accomplished thus far. The strike was but the start of a much wider, much larger and longer social struggle, which we can only see the vague, misty hints of, which we can only hear like a distant train, but fast approaching.

We have shown to those who rule over us, that if this was the reaction to the issue of tuition, just imagine how terrified they are about what we can accomplish, about what we can represent and implement, when they decide to undertake expanded austerity and adjustment. The people have given the powerful reason to fear our mass awakening. Make no mistake, that is an accomplishment, even if you cannot see or hear it, it is there, and you can feel it.

Do not despair. Our generation is but rumbling and grumbling awake from centuries of injustice, groggy and confused, unaware entirely of our surroundings, not knowing yet which direction to go, but we know this: where we are, and where we are being led, is not where we want to be or go, and we have stood up and said so. We are finding our freedom the only way any people have ever found it: by taking it and acting on it, not asking for it. You do not demand cures from cancers. You must find and create them yourselves.

The strike might end, but the streets won’t be empty for long. So stand strong, students and supporters. Your energy, ambition, and inspiration will be needed for some time to come. The whole world is waiting for it, even if they don’t know it yet.

The future is ours, but only if we recognize that it can be, and only if we decide that it will be. And only if we act as if it already is.

I’ll see you in the streets.

Andrew Gavin Marshall is an independent researcher and writer living in Montreal, Canada. His website (www.andrewgavinmarshall.com) features a number of articles and essays focusing on an analysis of power and resistance in the political, social, and economic realms. He is Project Manager of The People’s Book Project, and is currently writing a book on the global economic crisis and resistance movements emerging around the world. To help this book come to completion, please consider donating through the website or on Indiegogo.