Posts Tagged ‘Crony capitalism’

Our dying American democracy

March 23, 2015

Is the United States still a democracy?  Tom Engelhardt pointed out how the USA is evolving into something different.

1.  1% ElectionsPresidential election campaigns no longer begin with the Iowa caucuses and the New Hampshire primaries.   They begin with presidential candidates being screened by wealthy donors who determine which of them will have the wherewithal to run.

2.  The Privatization of the State (or the U.S. as a Prospective Third World Country).   “Crony capitalism” was a word that we Americans coined to describe the system in poor countries in Asia, Africa and Latin America.  But now our own country public services are being handed over to well-connected individuals to be operated for private profit.

3.  The De-Legitimization of Congress and the PresidencyThe democratic branches of government are held in low esteem, and with reason.   Recent Presidents and congressional leaders have abdicated their Constitutional responsibilities.

4.  The Rise of the National Security State as the Fourth Branch of Government.  Secret branches of government decide national policy and expand their own powers without authorization of law.  People who reveal what they’re doing are subject to prosecution.

5.  The Demobilization of the American People.   Most Americans recognize that their government doesn’t really represent them.  But unlike in earlier eras, this discontent has not produced any mass movement to do something about it—at least not yet.

LINK

The New American Order: the 1% Elections, the Privatization of the State, a Fourth Branch of Government and the Demobilization of “We the People” by Tom Engelhardt for TomDispatch (via the Unz Review).   A powerful and accurate indictment.   My summary doesn’t do it justice.  I recommend you read the whole thing.

 

The shock doctrine in Wisconsin

March 2, 2011

Naomi Klein in her 2007 book The Shock Doctrine described how right-wing ideologues in control of lending institutions and governments took advantage of crises to enact policies that people never would accept in normal times – wage cuts, curtailment of public services, curtailment of worker and consumer protection and the sale of public assets.

This fits what Gov. Scott Walker is attempting in Wisconsin and other Republican governors are trying in their own states.  Here is a quote from Walker’s budget bill, the same bill that curtails the rights of public employee unions.

“Notwithstanding ss. 13.48 (14) (am) and 16.705 (1), the department may sell any state-owned heating, cooling, and power plant or may contract with a private entity for the operation of any such plant, with or without solicitation of bids, for any amount that the department determines to be in the best interest of the state. Notwithstanding ss. 196.49 and 196.80, no approval or certification of the public service commission is necessary for a public utility to purchase, or contract for the operation of, such a plant, and any such purchase is considered to be in the public interest and to comply with the criteria for certification of a project under s. 196.49 (3) (b).”

As I read it, the language of the bill gives Walker the power to sell off Wisconsin public assets at bargain prices to cronies or campaign contributors at next to nothing.  This is not conservatism, libertarianism nor laissez-faire capitalism in the historic meanings of those words. As Naomi Klein says, the proper name for this is corporatism.

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