November 25, 2009 7:03 PM

How Capitalism Failed Us

By
CBSNews
(CBS)  Rebecca Solnit is the author of A Paradise Built in Hell: The Extraordinary Communities that Arise in Disaster and co-author with her brother David of The Battle of the Story of the Battle of Seattle. This piece originally appeared on TomDispatch.

Next month, at the climate change summit in Copenhagen, the wealthy nations that produce most of the excess carbon in our atmosphere will almost certainly fail to embrace measures adequate to ward off the devastation of our planet by heat and chaotic weather. Their leaders will probably promise us teaspoons with which to put out the firestorm and insist that springing for fire hoses would be far too onerous a burden for business to bear. They have already backed off from any binding deals at this global summit. There will be a lot of wrangling about who should cut what when, and how, with a lot of nations claiming that they would act if others would act first. Activists -- farmers, environmentalists, island-dwellers -- around the world will try to write a different future, a bolder one, and if anniversaries are an omen, then they have history on their side.

A decade ago, and a decade before that, popular power turned the tide of history. November 30, 1999, was the day that activists shut down a World Trade Organization (WTO) meeting in Seattle and started to chart another course for the planet than the one that corporations and their servant nation-states had presumed they'd execute without impediment. Since then, events have strayed increasingly far from the WTO's road map for global domination and the financial scenarios that captains of industry once liked to entertain.

Until that day when tens of thousands of protestors poured into the streets of Seattle (as well as other cities from Winnipeg to Athens, Limerick to Seoul), the might of the corporations made their agenda seem nothing short of inevitable -- and then, suddenly, it wasn't. Disrupted by demonstrators outside its door and, on the inside, by dissent from poor nations galvanized by the ruckus, the meeting collapsed in confusion. Today, the WTO is puny compared to its ambitions only a decade ago.

The mass civil disobedience in the streets was, in a way, an answer to another landmark day a decade earlier: November 9, 1989, when the Berlin Wall fell and tens of thousands of Germans swarmed across the forbidden zone splitting their once and future capital city to celebrate, and eventually to reunite their nation. The fall of the Wall is now often remembered as if the gracious acquiescence of officialdom brought it about. It was not so.

"I announced the wall would open, but it was only the pressure by the people that made it possible," said Gunter Schabowski, then-East German Communist Party central committee spokesperson, earlier this year. Had those East Germans not shown up and overwhelmed the guards at the Wall, nothing would have changed that night. In fact, popular will toppled several regimes that season. Thanks to creative civil-society organizing, steadfastness, astonishing courage, and imagination, Poland, Czechoslovakia, and Hungary also slipped out of the Soviet bloc and so out of a version of communism tantamount to totalitarianism as well.

There was a lot of triumphalism in the West thereafter. From the White House to business magazines and newspapers came a drumbeat of pronouncements that communism had failed and capitalism had triumphed. As it happened, those weren't the binaries at stake in the astonishing uprisings that season in Eastern Europe, or in the failed uprising in Tiananmen Square in the Chinese capital Beijing that spring. People certainly wanted freedom, but it wasn't the freedom to trade mysterious debt instruments and buy Double Whoppers, exactly. Nor was it capitalism, but civil society, very nearly its antithesis, that had risen up and brought down the Wall. The real binary then was: civil society versus top-down authoritarianism -- and framed that way, our situation didn't look quite as good as Washington and the media then made out.

Nevertheless, for a decade afterward, it wasn't that easy to argue with the logic of capitalism's triumph, since even China was making a beeline for a market economy and, in the process, doing an especially good job of proving that capitalism and democracy were separate phenomena. It was also the decade of the North American Free Trade Agreement (NAFTA), the first of a series of broad international treaties meant to secure the terms of corporate power for a long time to come. Its implementation on January 1, 1994, prompted the Zapatistas, the indigenous peasants of southern Mexico's jungle, to rise up against the treaty, which promised -- and has now delivered -- a grim new chapter in the deprivation and dispossession of Mexico's majority. Like the fall of the Berlin Wall, the rise of the Zapatistas came as a great shock.

The Sucking Sound and the Turning Tide

Few remember how dissent against NAFTA was dismissed and even mocked in the era when the treaty was debated, signed, and ratified. In his debate with Bill Clinton and the elder George Bush during the 1992 presidential campaign, Ross Perot was ignored when he said, "We have got to stop sending jobs overseas." He was ridiculed for describing the "giant sucking sound" of those jobs heading south. Which, of course, they did -- and then on to China in a financial race to the bottom; while cheap corn raised by Midwestern agribusiness also went south where it bankrupted Mexico's small farmers.

Cheap food, cheap labor, cheap products turned out to be very, very expensive for the majority of us. It's a sign of how much things have changed that Hillary Clinton felt compelled to lie in last year's presidential campaign, claiming she had long been against NAFTA. In that, she was just a weathervane for changing times.
After all, in the decade since Seattle, most of South America liberated itself not just from a legacy of American-supported dictators and death squads, but from the economic programs those instruments existed to enforce.

Venezuela lent Argentina enough money to pay off its debts to the International Monetary Fund (IMF), that earlier instrument for imposing free-market ideology and corporate profit. Various other countries did the same, and the continent largely freed itself from the imposition of neoliberal policies that mainly benefited Washington and international corporations. The IMF was so impoverished by Latin American divestment -- which went from 80% of its loans to about 1% -- that it's been reduced to selling off its gold reserves. The World Bank is doing well only by comparison. By 2005, the tide had clearly turned, and the power of these institutions and of the so-called Washington Consensus that went with them was on the wane.

That tide had just begun to turn 10 years ago, when New York Times columnist Thomas Friedman referred to the people in the streets of Seattle as "a Noah's ark of flat-earth advocates, protectionist trade unions and yuppies looking for their 1960's fix." He charged, "What's crazy is that protesters want the W.T.O. to become precisely what they accuse it of already being -- a global government. They want it to set more rules -- their rules, which would impose our labor and environmental standards on everyone else."

Nice though our labor and environmental standards might have been elsewhere too, most of us didn't want the WTO to do anything or to have any power. As the Direct Action Network organizing leaflet from August 1999 put it, the WTO's "overall goal is to eliminate `trade barriers,' frequently including labor laws, public health regulations, and environmental protection measures."

That day in Seattle a crane dangled a pair of gigantic banners shaped like arrows: the first, inscribed "Democracy," pointed one way; the second, labeled "WTO," pointed the other. The leaflet and banners were pieces of a carefully organized resistance, and it's important to remember that events like the Velvet Revolution in Czechoslovakia 20 years ago or the shutdown of the WTO weren't just spontaneous uprisings; they were the fruit of long toil. While the right and too many American media outlets like to remember a fictitious Seattle that was nothing but a cauldron of activist violence (while ignoring serious police violence), too many on the left wanted to think of it as a miraculous convergence rather than the result of careful coalition-building, strategizing, outreach, and all the usual labors.

Straying Far from the Blueprint for Our Era

In the twenty-first century, free-trade agreements came down with their own version of swine flu, a disease likely generated on a gigantic Smithfield Farms hog-raising operation in Veracruz, Mexico, and nicknamed the NAFTA flu. NAFTA itself has been widely reviled. Presidential candidate Manuel Lopez Obrador campaigned in Mexico's 2006 election on promises to renegotiate it; Hillary disowned it. The plan for a hemisphere-wide Free Trade Area of the Americas (FTAA) was met with massive opposition in Miami in 2003. It crashed and burned in Argentina in 2005 and has since been abandoned.

Latin America went its own way while the Bush Administration locked its attention on the Middle East. Indigenous peoples in Ecuador and Bolivia had a particularly rousing set of victories, while the people of Cochabamba, Bolivia, astonishingly, defeated U.S.-based Bechtel Corporation's privatization of their water, and Ecuadorans are suing Chevron for environmental devastation in what could be the biggest corporate settlement in history -- $27 billion.

Meanwhile, the WTO lurched from one meeting to another, safe in the Doha round from pesky protesters, if not from the dissent of developing nations. It was again besieged by activists in 2003 in Mexico -- in scale and impact another Seattle -- and then further battered in 2005 in Hong Kong. The next ministerial conference of the WTO actually convenes in Geneva on November 30th, a decade to the day since the Seattle shutdown, still attempting to resolve issues that arose in Doha. Of course, in the meantime, sneakier bilateral trade agreements have taken the place of big multilateral ones, but this has hardly been the triumphant era predicted a decade earlier. Even Iraq hardly proved the hog trough the big oil and contracting corporations had anticipated.

In fact, for the corporations nothing much has turned out as planned. Capitalism itself failed a little more than a year ago. Or rather the bizarrely rigged corporate-run market economies that determine at least some portion of nearly everyone's life on Earth imploded in a frenzy of deregulated fecklessness and weirdly disassociative procedures. Then, they were propped up by governments in a way that made the phrase "socialism for the rich" truer than ever. For a while, the same business newspapers that had celebrated capitalism's triumph in 1999 were proclaiming "the end of American capitalism as we knew it" and the "collapse of finance."

It was as though the world economy had been a car driven by a drunk. Even if we have now let that drunk back behind the wheel, at least his credibility and the logic of what he claimed to be doing have been irreparably harmed. On the twentieth anniversary of the fall of the Berlin Wall, Time Magazine's cover story was: Why Main Street Hates Wall Street and it told readers in its opening passage that they should be furious. The fall of Wall Street, you could call it, if you want to hear the echo from Berlin.

Oil-price hikes, the misadventures in turning food into biofuels, and economic meltdowns have had other consequences. Michael Pollan wrote in the New York Times more than a year ago:

"In the past several months more than 30 nations have experienced food riots, and so far one government has fallen. Should high grain prices persist and shortages develop, you can expect to see the pendulum shift decisively away from free trade, at least in food. Nations that opened their markets to the global flood of cheap grain (under pressure from previous administrations as well as the World Bank and the I.M.F.) lost so many farmers that they now find their ability to feed their own populations hinges on decisions made in Washington... and on Wall Street. They will now rush to rebuild their own agricultural sectors and then seek to protect them by erecting trade barriers. Not only the Doha round, but the whole cause of free trade in agriculture is probably dead..."

Another death knell for the sunny corporate vision of globalization had nothing to do with ideology; it was about oil, since the more it cost to ship things around the world the less financial sense it made to do so. As the New York Times put it this August:

"Cheap oil, the lubricant of quick, inexpensive transportation links across the world, may not return anytime soon, upsetting the logic of diffuse global supply chains that treat geography as a footnote in the pursuit of lower wages. Rising concern about global warming, the reaction against lost jobs in rich countries, worries about food safety and security, and the collapse of world trade talks in Geneva last week also signal that political and environmental concerns may make the calculus of globalization far more complex."

The passages cited above came from the New York Times, not the Nation or Mother Jones. Which is to say that if communism failed 20 years ago, then capitalism staggered 10 years ago in Seattle, and fell to its knees a year ago. The crises of petroleum and food costs only augment this reality. But the crisis of climate change matters more than all the rest.

Futures that Work

There are endless questions and conundrums about the largely unforeseen situation in which we now find ourselves, all six billion of us. One of them is: if capitalism and communism both failed, what's the alternative? The big tent of subversions and traditions called the left hasn't, in recent times, done a very good job of providing pictures of the possibilities available to us. Still, perhaps the answer to what the political and social alternatives might be will prove very close to what a sustainable world in the face of climate change might look like: small, local, smart, flexible economies and technologies, democracy as direct as possible, an elimination of excess wealth as part of a leveling that might also eliminate dire poverty.

Some of our hope for the future has to be that, one day, the ecological and the economic can be aligned so that, among other things, petroleum and coal become increasingly expensive, as well as increasingly offensive, ways to run our machines. Will we be creative enough to embrace change before crashing systems and wild weather force change on us in the form of an unbearable crisis? Decisions about the nature of that change to come must be made by the citizenry, which seems to be fairly willing to face change when it gets its facts straight, rather than by wealthier nation-states and their leaders who seem, at this juncture, more interested in protecting business than life on Earth.

To survive the coming era, we need to re-imagine what constitutes wealth and well-being and what constitutes poverty. This doesn't mean telling the destitute not to hope for decent housing, adequate food, and some chance at education, as well as some pleasures and power. It means paring back on the mad consumption machine that has been the engine of the global economy, even though what it produces is often enough entirely distinct from what's actually needed. American life as it is now lived is poor in security, confidence, connectedness, agency, contemplation, calm, leisure, and other things that you aren't going to buy at Wal-Mart, or at Neiman Marcus for that matter. If we can see what's poor about the way we are, we can see what would be enriching rather than impoverishing about change.

Anniversaries of a whole host of revolutions seem to fall in years ending in nine -- from 1789 in France to 1959 in Cuba and 1979 in Nicaragua. And then, in our calendar of nines, there was the fall of the Wall and the Battle of Seattle. The "revolution" that got us into this era of climate change, however, can't be dated that way. It was the industrial revolution, a gradual shift to an era of mechanization made possible by, and paralleled by, the rise of fossil-fuel consumption. We can't, and shouldn't, undo this revolution, but we need to reject some of its premises and recognize some of its costs, including alienation, degradation, and commodification.

We need a postindustrial revolution of appropriate technologies, both in the developed world and in the developing one, so that, for example, kerosene lanterns and wood-burning stoves will be replaced not by conventional appliances but by elegant solar technologies.

There needs to be another revolution in addition to these, one that finishes decolonizing the world so that Europe and the United States are no longer using the lion's share of resources and emitting the lion's share of carbon per capita. The WTO, the IMF, and other instruments of neoliberalism existed to keep that world-as-it-was going; the revolt in Seattle was against their ideology as well as their impact, and the decade-old graffiti that said, "We are winning," had a point.

The "we" that could win and needs to win in the climate change wars isn't the United States itself. As Bill McKibben recently wrote of President Obama, "The announcement yesterday from the APEC meeting in Singapore that next month's Copenhagen climate talks will be nothing more than a glorified talking session makes it clear that he has, at least for now, punted on the hard questions around climate. The world won't be able to get started on solving our climate problem, and the obstacle is -- as it has been for the last two decades -- the United States." The citizens of the U.S. need to revolt, again, against their nation's failure of vision and responsibility, in solidarity with the rest of the people of the world, and the animals, and the plants, and the coral reefs, and the coastlines, and the rivers, the glaciers, the ice caps, and the weather as we now know it, or once knew it. That's why November 30th is going to be a global day of action.

Everything is going to change either as runaway climate change takes hold, with its concomitant destruction and suffering, or because a set of programs will be embraced that forestall the worst and return our planet to an atmospheric carbon level of 350 parts per million, now considered the necessary standard to avoid environmental catastrophe. We're already at 390 parts per million. Unfortunately, a lot of the nations in the key Copenhagen negotiations have fixed on an outdated notion that the world as we know it can survive at 450 parts per million, which would conveniently mean that relatively moderate adjustments are needed.

Remembering how dramatically -- and unexpectedly -- things have changed in the recent past is part of the toolbox for making a deeper, far more necessary change possible. Surely, the extraordinary power of ordinary people in Berlin and Seattle provides us with the kinds of history lessons, the riches we need, to start learning to count.





By Rebecca Solnit:
Reprinted with permission from TomDispatch.

Copyright 2009 CBS. All rights reserved.
Add a Comment See all 39 Comments
by YoureSoWrong15 December 13, 2009 8:45 PM EST
Well, that's just more agit-prop the idiots will love.
Reply to this comment
by joelwisch November 30, 2009 1:18 AM EST
We need a postindustrial revolution of appropriate technologies, both in the developed world and in the developing one, so that, for example, kerosene lanterns and wood-burning stoves will be replaced not by conventional appliances but by elegant solar technologies.
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This would be particularly helpful when you are fixing a couple of eggs at Midnight so that you may go to work on the late shift.. anywhere.

There needs to be another revolution in addition to these, one that finishes decolonizing the world so that Europe and the United States are no longer using the lion's share of resources and emitting the lion's share of carbon per capita. The WTO, the IMF, and other instruments of neoliberalism existed to keep that world-as-it-was going; the revolt in Seattle was against their ideology as well as their impact, and the decade-old graffiti that said, "We are winning," had a point.
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If we look at GNP and then use that as a base to examine our carbon production, per widget produced, this country does well. As clearly though, if this country shucked the coal fired plants and moved to nuclear power, we would be in excellent shape in the ratings. And we need to do that inspite of possessing the most coal in the world.

Whoops... they are going to remove the pollutants from the Coal and make it clean burning. That was a hot idea in the 60's, the 70's, the 80's, the 90's, the 2000 election feature George Bush telling us that would be online if he was elected. Poo! It will take us 15 years to get the nuclear power we need and now is the best of all times to go for it.

I would like to point out that electricity is critical to all sectors of our society and as critical as clean water, sewers that deal with human waste, and the whole of our infrastructure.
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Excellent article. But don't impose solutions on us that are pie in the sky, or horrifyingly expensive, (but we have to do it anyway). And don't we all know the coal fired plants are STILL running because it employs those miners in West Virginia and all other major coal stops?
Reply to this comment
by lakota2012 November 29, 2009 2:39 PM EST
Ross Perot was ignored when he said, "We have got to stop sending jobs overseas." He was ridiculed for describing the "giant sucking sound" of those jobs heading south. Which, of course, they did -- and then on to China in a financial race to the bottom; while cheap corn raised by Midwestern agribusiness also went south where it bankrupted Mexico's small farmers.
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How come all the republiCONS completely forget that it was "ronnie the rat" raygun and poppy bush that started the huge offshoring of jobs for corporate America's bottom line, and those "cheap labor" conservatives that needed those illegal aliens for BIG BIZ, so raygun signed our only AMNESTY BILL in 1986, which forced hospitals to treat everyone including illegal aliens!

Why do republiCONS have such a need to re-write history?




Answer: Because Americans have such a short memory.
Reply to this comment
by YerSooWrong November 28, 2009 4:24 PM EST
Some people just make a good point.
Reply to this comment
by YerJustWrong November 28, 2009 4:10 PM EST
Perhaps if the CBS New censor didn't have such a small p*n*s...

But he does, and therefore the minimum wage job and the anger.

Below me, chum.
Reply to this comment
by lakota2012 November 28, 2009 1:40 PM EST
by YrAlwaysWrong:
There is much in common between radical environmentalism and radical Islam
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Nah.....radical Islam is much more like radical evangelical christianity, and terrorists of both stripes exist today, planning their next attack on other human beings and our environment.

On the other hand, environmentalism is the stewardship of protecting our planet and all its natural resources for those yet unborn.
Reply to this comment
by lakota2012 November 28, 2009 10:52 AM EST
"The world won't be able to get started on solving our climate problem, and the obstacle is -- as it has been for the last two decades -- the United States."
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Yep...the CULT of DENIALISM is alive and well in the United States, void of any vision for our future and trying to make this all about economics instead of our environment, despite our rabid consumption of 25% of the daily worldwide oil production while only having 3% of the world's oil reserves.
Reply to this comment
by lakota2012 November 28, 2009 9:52 AM EST
if communism failed 20 years ago, then capitalism staggered 10 years ago in Seattle, and fell to its knees a year ago. The crises of petroleum and food costs only augment this reality. But the crisis of climate change matters more than all the rest.

Some of our hope for the future has to be that, one day, the ecological and the economic can be aligned so that, among other things, petroleum and coal become increasingly expensive, as well as increasingly offensive, ways to run our machines. Will we be creative enough to embrace change before crashing systems and wild weather force change on us in the form of an unbearable crisis?
==================================================









Unfortunately, the powers that be, took us away from renewable energy after the oil embargoes of the 1970's, and caused our oil addiction to increase the past 30 years. This certainly should not be a debate over ideology, but preparation for the future and a much more hostile environment -- wars over food and water instead of fossil fuels.

That which fueled the global economy, cheap energy and unchecked emissions, will certainly lead to its downfall, and we will eventually return to smaller local economies of the past.
Reply to this comment
by rpodraza November 27, 2009 5:43 PM EST
From 1998 to 2005 the 50 biggest green movements in the USA attracted revenue of 22.5 billion. Agreeing with anthroporophic global warming is a lucrative business, and climategate appears to confirm some of the biggest players have succumbed to the temptation to get easy funding.
Reply to this comment
by RedistributeThisLiberals November 27, 2009 4:05 PM EST
In less than a year the house and the senate will be drastically changed by the 2010 election. This will cripple all the lefty plans for the remainder the term essentially ending the madness. In 2012 we will have a new president who will reduce big government and undo much of this mess we are getting into. Until then we must keep the pressure on these misguided global warming extremists (some are well intentioned and some are very dangerous) by using truth. The whole global warming thing is just another scam to scare people just like the ice age scare they tried 25 years ago. I think most libs would secretly admit they don?t believe in global warming either but they somehow feel justified in twisting the truth for a greater cause (this is why they are dangerous). I don?t argue with them anymore, it?s not worth the time. We just need to use our free Capitalistic system to vote them out and move on. Thanks to the lunacy of the extreme left we are seeing in our government, there is a stirring of the American people that the left always seems to forget about. See you on election day!!!
Reply to this comment
by birdyspice November 28, 2009 8:27 AM EST
you think the science proving global warming is just a "scam" by the left? you people (the right), don't believe in something measurable like global warming but totally believe in an invisible man in the sky? yeah.. too hilarious.
by ianlou November 29, 2009 10:46 AM EST
RedistributeThisLiberals
...We just need to use our free Capitalistic system to vote them out and move on.
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Use our free Capitalistic system to vote them out??????????
Capitalism resides on the economic spectrum (Capitalism verses Communism)
The words you may be looking for is "Use our free Democratic System to vote them out" which reside on the political spectrum (Democracy verses Totalitarianism) unless you are looking forward to the 2012 election being $bought$.
More likely, you don't know the difference between the political and economic spectrums, after all, These ideas aren't taught until college.

If you never went to college, you are not alone, your heros: Rush Limbaugh, Sean Hannity, and Glenn Beck never went either.
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