MRSA: A Potential Cost of Industrial Agriculture

One of the many industrial hog farms outside Camden, Ind. Photo: Nicholas D. Kristof/The New York Times.

Our Pigs, Our Food, Our Health
By Nicholas D. Kristof / March 11, 2009

The late Tom Anderson, the family doctor in this little farm town in northwestern Indiana, at first was puzzled, then frightened.

He began seeing strange rashes on his patients, starting more than a year ago. They began as innocuous bumps — “pimples from hell,” he called them — and quickly became lesions as big as saucers, fiery red and agonizing to touch.

They could be anywhere, but were most common on the face, armpits, knees and buttocks. Dr. Anderson took cultures and sent them off to a lab, which reported that they were MRSA, or staph infections that are resistant to antibiotics.

MRSA (methicillin-resistant Staphylococcus aureus) sometimes arouses terrifying headlines as a “superbug” or “flesh-eating bacteria.” The best-known strain is found in hospitals, where it has been seen regularly since the 1990s, but more recently different strains also have been passed among high school and college athletes. The federal Centers for Disease Control and Prevention reported that by 2005, MRSA was killing more than 18,000 Americans a year, more than AIDS.

Dr. Anderson at first couldn’t figure out why he was seeing patient after patient with MRSA in a small Indiana town. And then he began to wonder about all the hog farms outside of town. Could the pigs be incubating and spreading the disease?

“Tom was very concerned with what he was seeing,” recalls his widow, Cindi Anderson. “Tom said he felt the MRSA was at phenomenal levels.”

By last fall, Dr. Anderson was ready to be a whistle-blower, and he agreed to welcome me on a reporting visit and go on the record with his suspicions. That was a bold move, for any insinuation that the hog industry harms public health was sure to outrage many neighbors.

So I made plans to come here and visit Dr. Anderson in his practice. And then, very abruptly, Dr. Anderson died at the age of 54.

There was no autopsy, but a blood test suggested a heart attack or aneurysm. Dr. Anderson had himself suffered at least three bouts of MRSA, and a Dutch journal has linked swine-carried MRSA to dangerous human heart inflammation.

The larger question is whether we as a nation have moved to a model of agriculture that produces cheap bacon but risks the health of all of us. And the evidence, while far from conclusive, is growing that the answer is yes.

A few caveats: The uncertainties are huge, partly because our surveillance system is wretched (the cases here in Camden were never reported to the health authorities). The vast majority of pork is safe, and there is no proven case of transmission of MRSA from eating pork. I’ll still offer my kids B.L.T.’s — but I’ll scrub my hands carefully after handling raw pork.

Let me also be very clear that I’m not against hog farmers. I grew up on a farm outside Yamhill, Ore., and was a state officer of the Future Farmers of America; we raised pigs for a time, including a sow named Brunhilda with such a strong personality that I remember her better than some of my high school dates.

One of the first clues that pigs could infect people with MRSA came in the Netherlands in 2004, when a young woman tested positive for a new strain of MRSA, called ST398. The family lived on a farm, so public health authorities swept in — and found that three family members, three co-workers and 8 of 10 pigs tested all carried MRSA.

Since then, that strain of MRSA has spread rapidly through the Netherlands — especially in swine-producing areas. A small Dutch study found pig farmers there were 760 times more likely than the general population to carry MRSA (without necessarily showing symptoms), and Scientific American reports that this strain of MRSA has turned up in 12 percent of Dutch retail pork samples.

Now this same strain of MRSA has also been found in the United States. A new study by Tara Smith, a University of Iowa epidemiologist, found that 45 percent of pig farmers she sampled carried MRSA, as did 49 percent of the hogs tested.

The study was small, and much more investigation is necessary. Yet it might shed light on the surge in rashes in the now vacant doctor’s office here in Camden. Linda Barnard, who was Dr. Anderson’s assistant, thinks that perhaps 50 people came in to be treated for MRSA, in a town with a population of a bit more than 500. Indeed, during my visit, Dr. Anderson’s 13-year-old daughter, Lily, showed me a MRSA rash inflaming her knee.

Dr. Tom Anderson’s daughter, Lily, and, wife, Cindi, in Camden, Indiana. Dr. Anderson treated an epidemic of MRSA infections before he died. Photo: Nicholas D. Kristof/The New York Times.

“I’ve had it many times,” she said.

So what’s going on here, and where do these antibiotic-resistant infections come from? Probably from the routine use — make that the insane overuse — of antibiotics in livestock feed. This is a system that may help breed virulent “superbugs” that pose a public health threat to us all. That’ll be the focus of my next column, on Sunday.

Source / New York Times

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Eschenbach: The Root Cause of the Economic Crisis: Selfishness Was In, Selflessness Was Out


The Death of Voodoo Economics
By Sid Eschenbach / The Rag Blog / March 12, 2009

While it’s interesting, almost unavoidable and improbably instructive to play a ‘blame game’ regarding who is responsible for our collective demise, my own view is that finding answers to more fundamental cultural questions regarding the WHAT and the WHY of how we got here is far more important to understand than the WHO.

In other words, what belief or ideology made so many people do the things that they did that led inexorably to our present situation? While in a parlor game we might ask who was the worst dictator; Mao, Hitler, Lenin, Stalin, or Pol Pot, the more interesting and by far the more illustrative question is why did they do what they did? What was the ideology that drove them and all those around them to commit the acts they committed? What was the culture they lived within that fostered their creation and facilitated their acts.

Beyond that, beyond the questions of what and why, there is a second component to our disaster, the HOW, and that too demands examination. What were the actual economic mechanisms of our downfall? How are they related to the ‘what’ and ‘why’, and are they also culpable or are they simply innocent tools that were misused by ideologically misguided people?

What and Why

When the mavens of conventional wisdom say things like; “There’s plenty of blame to go around”, what they are really saying is that the culture itself has failed in some fundamental way. They mean that there has been not an individual but rather an ideological failure within the culture, a collective mistake in the value system used to regulate society. Strangely, one of the leaders of the very ideology that lead so many to err was himself the first to clearly and publicly identify the problem: Alan Greenspan, in response to a question from Rep. Henry Waxman during his Congressional Testimony in October of 2008, said the following:

Well, remember that what an ideology is. It is a conceptual framework [that determines] the way people deal with reality. Everyone has one. You have to — to exist, you need an ideology. The question is whether it is accurate or not. And what I’m saying to you is, yes, I found a flaw. I don’t know how significant or permanent it is, but I’ve been very distressed by that fact.

Greenspan, more a sociologist than economist in that statement, speaks a fundamental truth; that he (and by logical extension all of the then current ruling political and economic class) shared an ideology that ‘had a flaw’. In that light, they are blameless as individuals but indictable as an ideological group… and how each contributed in greater or lesser part to the events that followed is of far lesser importance than our understanding the ‘flaws’ in the ideology that led them to their acts.

So what were the values of that flawed ideology? What were the beliefs shared by these many perfectly rational and responsible individuals that collectively led their society into economic chaos? Again, Greenspan, as arguably its foremost practitioner, identifies the ideological cornerstone, the belief that the free market system is the best way to allocate capital and risk in an economic system. This is the economic ideology popularized by the writings of Ayn Rand, given intellectual and academic substance by Milton Freidman, and delivered to the western mainstream of economics by Ronald Reagan. It is known by many monikers; supply-side economics, Chicago School economics, neoliberal economics, trickle-down economics, and free-market economics… but by whatever name, it is the same ideology identified by different parts of its message.

Beyond the general argument of its proponents that it is the best economic system because of it’s supposed superiority (over the state) in the allocation of capital and evaluation and distribution of risk, it is also based upon two other fundamental ideas; first, the idea that greed and self-interest are the most significant motivators in human behavior, and second, it advances the idea that ‘market efficiencies’ (such as production costs or sales prices) are the most important elements of market capitalism, and considers anything that inhibits market efficiency or self-interest as a hindrance to general prosperity and detrimental to the society as a whole.

In brief, it is an ideology born in reaction to the state controlled societies of the mid-20th century and shaped as a rejection of the socialist and communist propositions regarding the management of society. Like all grand ideologies, there is more than a kernel of truth at its core. However, and again like all other ideologies, it is ultimately less a replicable and universal system that will produce the same results in different countries and cultures than it is a reflection of the values of the individuals that practice it.

In order to demonstrate what I mean by that, an example: imagine a half-dozen different countries all have exactly the same vehicular transit policies. Identical laws, penalties, procedures and processes governing how automotive traffic is managed. Now imagine that those countries are Nigeria, Italy, Norway, Japan, Argentina and Canada, and ask yourself if you think that if one visited those countries with identical traffic laws, would you expect all the drivers of these countries to drive in the same way? If you’ve ever been to any of these countries, your answer would of course be ‘no’… and therein lies the ‘flaw’ found by the leader of the free-market ideology; the different way individual members of every culture respond to identical rules. The ‘flaw’ that Mr. Greenspan found within his ideology, the lack of individual responsibility, was in fact the result of the change in cultural values caused by the very free-market philosophy he believed in.

Mr. Greenspan was born and raised in the even then vanishing cultural values that were described by Max Weber in his classic work “The Protestant Ethic and the Spirit of Capitalism”, a culture where an individuals righteous and proper behavior, moderated and guaranteed by his church, served as the cornerstone of individual responsibility found at the heart of early American capitalism. Weber’s book describes in detail the particularly American expression of one of the key and indispensible ingredients of all successful societies; the individual responsibility of the citizen that is also understood to include a collective responsibility… the willingness to sacrifice oneself for the greater good. Indeed, if there is a single quality that predicated American greatness on the world stage in the 19th and 20th centuries, it was that combination of individual strength and collective responsibility… the ideology that ‘I must be a strong and good individual’ combined with ‘I am my brothers keeper’. From the pre-Christian Romans to the 21st century Chinese, the requirement that individual members of society subordinate their needs to the greater good while simultaneously leading honorable lives as individuals has been the narrative of all successful human civilizations… and the American is no exception.

What shocked Mr. Greenspan, then, was his discovery that this was essentially no longer true; that individuals across the social spectrum… from the financial and political leaders of the modern American society to the individual citizen consumers and workers… that they all placed their own needs above the common need, their own benefit above the common benefit. While this is certainly nothing new in human history, it was new indeed to the American popular culture. While greed and self-aggrandizement are never far below the surface of inherent and biologic human behavior, when those qualities are celebrated and emphasized, as they are in the Ayn Rand neoliberal socio-economic model, there could be no other outcome. Just as in her novel “Atlas Shrugged” when the ‘productive and creative’ people went on strike, abandoning the needs of the larger society to pursue their own personal benefit, in the real life of our own historical novel we reached a condition wherein all things selfish were deemed virtuous… and here we have finally identified the ‘flaw’ discovered by Greenspan.

Bankers, he was shocked to discover, had put their own well-being above their company’s welfare… but worse… we had all become, each in our individual parts, like the bankers. We bought what we could not afford… thinking only of ourselves, we borrowed what we couldn’t repay, never thinking of the consequences… and at the fall, we all pointed fingers at one another, never considering our responsibilities to the society as a whole… but why should we? Hadn’t our political class been preaching the virtues of selfishness and greed for nearly three decades, for over a full generation? Hadn’t anyone who tried to design and build systems that worked for the collective well-being, from community organizers to union leaders, been attacked and discredited as liberal dreamers? That kind of ‘socialist’ thinking had become, in the modern vernacular, foolish and dated. Selfishness was in, selflessness was out.

However, one can only look to other successful societies to compare behaviors and see the values of Reaganism reflected in something very different: in Japan, heads of failed companies took personal responsibility and resigned in public disgrace; in America, heads of failed companies gave themselves golden parachutes and lashed out at all around them as the cause of their company’s demise. In Europe, employment, public health and financial equality held center stage, while in America all three were held up as ‘yesterdays’ thinking, and instead efficiency, free choice and the right to riches were celebrated as both the goals of policy, and became policy itself. In retrospect, what is shocking about Alan Greenspan’s comments is that after 30 years of worshiping the masters of the universe, he is shocked at their and our collectively selfish behavior… but in his defense, his own culture is another than the one being lived around him. Simply put, his mistake was to assume that his own personal values were the values of the present, and not recognizing that they were those of the past.

Under this ideologic regime, and particularly in the United States, we have seen national tax, trade and labor policies manipulated by the rich to make themselves richer at the expense of the rest of society. Since 1980 and the formal entry of neoliberal economics onto the American scene under Ronald Reagan, the top 1% of Americans today earn nearly 4 times the amount they earned in 1980, while the incomes of all others have remained essentially flat. In contrast, during the period from 1940 -1970, all incomes of all sectors of American societies doubled. While particularly true for the U.S., it is also true for the world has a whole. A recent (Oct 2008) OECD study shows that the United States is higher than only two countries out of thirty member states (Turkey and Mexico) in measurements of poverty and inequality. The same report states that the top 10% of Americans control 71% of the national wealth. In short, under the neoliberal free-trade banner, inequality has increased within nearly all countries and also between all countries… and this is not a trend that can continue with creating major intra and international problems, and can only be considered a gross failure of the policies designed by an ideology based upon greed.

How

This recent ideologically founded catastrophic failure of the entire economic framework… from manufacturing to consuming to financing… is in many ways testimony to the ‘success’ of the same… or as Bob Dylan said many years ago, ‘she knows there’s no success like failure, and that failure’s no success at all.’ The ability to produce more goods more cheaply and distribute them more broadly should be a good thing, and the past 30 years represent the first time in history that man could actually, through a combination of high tech, mass transport, low wages and high debt, satisfy virtually every need of every person to and beyond the limits of their economic abilities to consume. In order to do that, massive manufacturing, consumer and financial businesses were created that followed the same laissez faire ideological principals, principal among them being that size matters due to the following fundamental narrative; better is more efficient, bigger creates greater efficiencies, therefore bigger is better. While there is always risk in business to uncontrolled growth, the countless mergers and acquisitions in automotive, high tech, finance, biotech, agribusiness, construction and energy companies for the last part of the previous century was the rule, not the exception.

The idea that there could be existential disadvantages or threats to great size was never seriously considered in this paradigm, and any concept that a manufacturing, services, consumer or financial company could be too big simply didn’t enter into the ideological model. On the contrary, continued consolidation of all industries was looked upon as the essence of the march to efficiencies under the laissez faire flag. As a result, when the black swan entered, the event that had never happened before but, because the future has never happened before, did, the exploding of a ten-year housing bubble exploding, the results were equally as all encompassing and destructive in the same way that the successes of the earlier years had been all-encompassing… on a global scale and with massive companies… and again all due to the same reason, that being following blindly the commonly accepted dogmas of the reigning ideology.

Over a period of 30 years, a massive global manufacturing capacity was built upon one simple mantra at the heart of ‘free trade’: manufacture in the poor countries and sell in the rich countries. This, of course, requires an ideological component that will solve the political problems that have historically arisen… a way to convince the people in the rich countries not to place tariffs upon the importation of goods manufactured in the poor countries back into the rich countries. This was also achieved through liberal applications of the free-trade ideology, as selfish consumers were essentially ‘bought off’ by the cheap goods and easy credit provided by the market leaders. They bought the ultimately destructive argument that the availability of cheap goods was a legitimate and valid long term policy goal, instead of the creation and maintenance of industrial jobs and the maintenance of a diversified economic culture. Occasionally, politicians would try to challenge the mantra, most notably Ross Perot in the 1992 American presidential race… but none was able to puncture the bubble of consumer and voter credibility.

With that socio-political problem solved, internet based computer technologies solved the communication and management problems that had previously constrained growth, and there were suddenly no practical limits to the size nor the locations of the multinationals. They could manufacture virtually anywhere, ship virtually anywhere, and sell virtually anywhere, and be headquartered virtually anywhere… all managed by computers that organized, rationalized and made possible the most theoretically ‘efficient’ allocation of capital and the assessment of risk possible ever seen.

However, the laws of the business cycle cannot be repealed through ideology, and something had to give. As stated above, the modern free market trade and development paradigm requires two components; poor manufacturing countries and rich market countries. As poverty is far more abundant than capital, it is the latter which gave way first. The bursting of the real estate bubble in the United States marked the outer limits to what had been for two decades an apparently endless supply of consumer capital, the fuel that powered the machine. To make matters far worse, this end of consumer credit combined itself with a product glut (caused by the achievement of primary market saturation of nearly all goods), and a crash could not be stayed. Not only did consumers no longer have money… they really didn’t need to consume anything new because they had at least one of everything. Therefore, when the limit of no more ability to create money through debt coincided with fully penetrated markets for nearly all consumer goods, the edge of the cliff was defined.

This nearly instantaneous stop to spending in the principal market country resulted in massive manufacturing overcapacity in everything from cars to refrigerators to stereos to computers around the globe… leading to severe contractions in those economies too. It is, however, the financial sectors of the rich countries that have turned out to be the biggest casualties of the meltdown, and the reason for that has less to do with what could be described as the relatively normal contraction at the end of a business cycle than with the size and importance of the companies affected creating an actual existential threat to the countries involved. This too is the product of the ideology of free-market capitalism, because instead of regulating, overseeing and managing the ‘masters of the universe’, the countries whose leadership drank too much of the ‘bigger is better’ ‘no regulations are better than regulations’ ‘let the free market allocate capital and measure risk’ Kool-Aid are the countries that have been hit the hardest, a phenomena clearly demonstrated by comparing the relative health of the financial sectors of Canada to the United States.

Canada, long the butt of jokes for its ‘provincial conservatism’ and ‘stodgy capitalism’, now stands as virtually the only truly healthy financial system in the west. Because neither the national government regulators nor the executives of the financial institutions ever drank the ideological Kool Aid that has destroyed the rest of the financial universe… because they required borrowers to show how they could pay back the loans… because they never lost sight of either individual nor corporate responsibility… in short, because they behaved the way Alan Greenspan mistakenly assumed their brethren to the south would behave, their financial system is today the soundest in the western world… and there is no greater evidence of the culpability and the failure of the free trade, laissez faire, trickle down, Chicago School, neo-liberal, supply-side, Ayn Rand school of economics. They simply didn’t permit their banking and financial entities to participate in the orgy of irresponsible creation of money and ‘growth’ that other countries did… and those countries, from the United States to Iceland, Latvia to Ireland, are now paying the price for their intoxication with existential hang-overs.

How Now

What is the solution? What new belief system will replace the old; what ideology new or old will, as Greenspan said, be more ‘accurate’? Beyond that, how will this new cultural narrative steer the collective actions of a culture to success and stability, just as the Reaganite meme steered us to failure?

My views are that the fundamental mistake of the ‘laissez faire‘ brand of capitalism was, to return to Dylan… its very ‘success’… if indeed in the face of such widespread devastation the meaning of the term in a limited sense can be understood. The neoliberal ideology is a system that neither accepted limits to its power nor recognized other virtues than those (supposedly) valued by the market; low production costs and high market prices, low taxes, no tariffs, the nationalization of loss and the privatization of gain, no limits on growth, the destruction of organized labor, etc.

However, as we have all discovered, the following problems are part and parcel of that paradigm: low manufacturing costs lead, in their ultimate expressions, to child labor, sweat shops and a race to the bottom through union busting, country shopping and low environmental regulations; low taxes facilitate as their principal effect a marked and rapid increase in inequality, not the creation of new wealth as the Ayn Rand school advertises; high market prices demand a large wealthy middle class able to pay them… but there is no provision within the paradigm to protect these very markets; the ‘efficiencies’ of scale created by huge corporate monoliths moves us into the ‘too big to fail’ category, guaranteeing the nationalization of failure while preserving the privatization of gain. In short, we adopted an ideology that subordinates nearly all ‘human’ or ‘liberal’ values to a ruthless ‘efficiency of the market’ model… and are now harvesting the inevitable results of the mature expression of that belief.

With that in mind, the tenets of a new socio-political economic meme should be clear:

  • That no private entity be allowed to become too big to fail, whatever that means within the context of the industry and region.
  • That providers of essential public services once more return to public management as public utilities, as monopoly powers over essential services is something that is too dangerous to be left in private hands.
  • That the neoliberal god of ‘efficiency’ must be replaced by the god of ‘wellbeing’, and that society should not assume that the latter is a product of the former.
  • That the fundamental difference between the concepts of an ‘individuals responsibility for their own life’ and crass selfishness be clear, and the latter be understood to be the anti-social and destructive behavior that it is.
  • That nations reclaim their rightful control over their national economies and act in the long-term interests of their citizens wellbeing. That would include the right to protect their national markets and their national industries, among other things.
  • That while understanding that all men are not created equal and that the natural processes of any system will always be to generate both winners and losers, the goal of every nation should be to promote tax policies that trend towards equality of opportunity, equality in growth, and shared obligations to the nation… not towards greater inequality, the creation of fixed economic classes and unequal individual opportunity.

We are now paying the price for having worshiped at the feet of false gods, as the efficient market theories of neoliberalism have led us to ruin through the hubris of its practitioners. What was surprising to Alan Greenspan, that humans, especially when encouraged by the reigning ideological narrative, could be senseless, selfish and heartless, should surprise no one. Hopefully, however, out of the ruins of this disaster will arise a new ideology that encompasses some of the above social, political and economic values, and economic Randism, Friedmanism and Reaganism and will take it’s just place alongside the other ideological failures … in that place that Reagan himself called the “dustbin of history”.

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Kate Braun: Vernal Equinox Seasonal Message


Vernal Equinox Seasonal Message
By Kate Braun / The Rag Blog / March 12, 2009

Wise Mother whose love surrounds me all you make is sacred…”

Friday, March 20, 2009 is the Spring/Vernal Equinox. Lady Moon is in her 4th quarter, gently retreating as Lord Sun continues his advance. This festival is also called Ostara, for the Anglo-Saxon goddess of the spring, Eoster. Eoster is very like Freya in her attributes. Friday is Freya’s day, making this year’s celebration even more of a “special event”.

Pink, yellow, green and all pastels are appropriate colors to wear and to use in your altar and table decorations. Use living plants for a centerpiece, not artificial ones. Living plants represent Mother Earth‘s reassurance that life continues its cycle and all is well on the planet. You may incorporate artificial rabbits, animals sacred to Diana, and/or eggs into your centerpiece. A solar cross, one with 4 equal arms, is also appropriate; it represents the totality of the Zodiac as well as the solstices and equinoxes and the balance of all things.

Eggs, whether real or artificial, are an important part of the celebration. They represent the beginning of life. Serve your guests eggs and foods such as custard and quiche that use eggs as the main ingredient. Leafy green vegetables, cheeses, ham, sprouts, and a variety of nuts will also be appropriate. Hard-boiled eggs, whether dyed or not, can be given to each of your guests and the following ritual may be observed: As you crack the shell, say aloud: “Now is winter’s ice cracking”; as you peel the white away, say aloud: “Now is the snow melting”; as the golden yolk of the egg is freed, say aloud: “The Sun is free to grow in strength”. Then each guest gives a bit of the yolk and a bit of the white to the persons sitting on either side and all guests toast each other saying “Welcome Spring” or “Goodbye Winter” or some similar phrase. Eostra was fond of sweets, so ending your meal with a dessert is encouraged. Chocolate is not at all out of place.

Other rituals that can be observed to honor Eoster include: planting a real egg, cooked or raw, in the east corner of your garden (this brings fertility to the garden); making a “God’s Eye” (a solar cross with ribbons or yarn in colors appropriate to this season twined around the cross-arms), which may then be placed on your altar or hung outside; decorating hard-boiled or artificial eggs using stickers, paints, colored pens, dye, paper, cloth, ribbons, whatever you have on hand or strikes your fancy. The decorated eggs may be kept as party favors, or exchanged among your guests. Artificial eggs may be kept and used in next year’s decorations.

Reminders: April 4 & 5, 2009, is the next Metaphysical Fair at the Radisson Hotel, 6000 Middle Fiskville Rd. between Highland Mall and Lincoln Village in Austin. Saturday, April 4, hours are: 10 AM – 6 PM; Sunday, April 5, hours are: 11 AM – 6 PM. There is a $7 entry fee, good for both days If you come to the fair because you read about it here, please stop by the Tarot by Kate table and say “Hi”. If you choose to get a Tarot reading from me at this fair, mention this Seasonal Message and get 5 additional minutes free.

Wednesdays April 8, 15, & 22, 2009, I will be teaching a Beginning Tarot class at UT Austin as part of the Informal Classes program. If you are interested in taking this class you may get more information and enroll online by going to www.informalclasses.org. The course number is 9338.601; the course title is Beginning Tarot.

Saturday and Sunday, April 11 & 12, 2009. I plan to participate in a Spirit Fair in Oklahoma City, OK. For more information about this event, go to www.spiritfair.com.

Tarot by Kate 512-454-2293
www.tarotbykatebraun.com
kate_braun2000@yahoo.com

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Kisseloff: A Review of Warren Beatty’s ‘Reds’

Illustration by Hugo Gellert. Source: Wikipedia.

Remembering a Red From Reds
By Jeff Kisseloff / March 5, 2009

The other day I sat in front of my TV watching Warren Beatty’s Reds with tears in my eyes–not because I was so moved by the story of John Reed (although I was), but because I got to see my friend Hugo Gellert for the first time since the day before his death in 1985.

Hugo is pretty much forgotten now, but from 1917 through the 1950s, his illustrations appeared in nearly every progressive and radical magazine in the country, including The Nation. When I got to know him toward the end of his life, he was living in a small house in Freehold, New Jersey, with his wife Livia, who, sadly was as senile as she was bright-eyed. Still, he was always gracious and fun, except when the conversation rolled around to Max Eastman or Whittaker Chambers, two turncoats an unrepentant old leftist couldn’t abide.

I met Hugo in connection with a book I was writing, but long after the interviewing process was over, I’d drive down to Freehold once a month or so to shovel the walk or pick up groceries or do the dishes that were always piled up in the sink. It was a small to price to pay for the privilege of hearing stories from someone who was the living embodiment of the twentieth-century American left. We generally sat by a fire in the living room, which was lined with bookshelves. Livia had arranged the books by size so that they made mesmerizing waves up and down the walls. His studio was upstairs, but whenever I asked for a tour, he always gently demurred.

Hugo didn’t have a lot of heroes, but one of the few was John Reed, whom he knew well as a fellow Greenwich Village bohemian in the years around World War I. Beatty captures that brief epoch of artistic and political rebellion beautifully in Reds, in large part because of his use of “witnesses,” actual acquaintances of Reed and Louise Bryant who pop up as a kind of Greek chorus throughout the film. Hugo was one of them, along with Will Durant, Henry Miller, George Seldes, among others, all of whom are now gone. The film relives the exciting heyday of great foreign correspondents, and Reed may have been the greatest of all with his reporting on Pancho Villa, World War I, and, of course, the Russian revolution, the source of his great masterpiece, Ten Days That Shook the World. He was also an unabashed leftist who played a central role in the formation of the American Communist Party soon after some 16 million people had died for “profits,” as Reed says in the movie. Think what you want about journalistic objectivity, but Reed and others knew the system wasn’t working, and he never thought that being a reporter disqualified him from doing something about it.

Hugo had a brother who was a conscientious objector during the war. He was sent to military prison where he died of a gunshot wound. The Army said it was suicide, but they couldn’t explain how a person could kill himself with a rifle. What Hugo remembered was that soon after his brother’s death Reed returned home from Russia. They bumped into each other on the street. Hugo asked him about the revolution, but Reed only wanted to talk about Hugo’s brother. There’s a scene in Reds where Beatty berates a member of the Socialist Party who missed a meeting because his wife had taken sick. Hugo liked Beatty, but in that scene anyway, that wasn’t the John Reed he remembered.

When I knew Hugo, I think he just wanted to live long enough to take care of Livia until her death. It didn’t work out that way. I saw him one day in December 1985, and toward the end of the afternoon I found him sitting in the kitchen with his head in his hands. I asked him if he wanted to go to the doctor, but he said no. The next day I called the house to see how he was feeling. Surprisingly, Livia answered the phone. She was hysterical. She said Hugo was taken to the hospital and they had refused to tell her whether he was okay. I calmed her down and told her I would call. I did, and a nurse told me that they had spoken to Livia about a dozen times. She said they explained to her as gently as they could each time that he had died. I hung up the phone and cried like a baby.

A couple of days later I drove down to Freehold to find the house crawling with people, most of whom were strangers to Livia. Several of them were helping themselves to Hugo’s work. I managed to shoo them out of the house and then, crossing over the bloodstained carpet where Hugo had fallen and died, I climbed the stairs to see his studio for the first time. One look around, and I realized why he never let me up there. It was an utter mess. Hugo was such a dignified presence, but at 92 years old, he had lost control of the space. Socks and underwear littered the floor alongside drawings–beautiful drawings–that must have been fifty or sixty years old.

Hugo had told me a great story of his contribution to the opening show of the Museum of Modern Art in 1932. He had read an article about a journalist named Vanderbilt who had gotten a jailhouse interview with Al Capone. The Chicago gangster took note of his visitor’s last name, and with his outsized ego, decided he and the robber barons shared a common criminal bond. “Us fellas gotta stick together,” he suggested.

Hugo ran with it, painting a large canvas, depicting Capone manning a machine gun with J. D. Rockefeller, J. P. Morgan, Henry Ford and Herbert Hoover, standing by his shoulder. A young Nelson Rockefeller, who was then in charge of the new museum, took one look and ordered it moved upstairs by the bathroom.

It had never occurred to me that it would be up there in Hugo’s studio, but there the painting was, facing backward leaning against the wall. A few days later Hugo’s brother and I carried it out to the backyard to photograph it. A gust of wind promptly blew the painting against the arm of a lawn chair and punched a huge hole in it. Fortunately, a talented restorer repaired the damage, and the painting in all its restored glory can be seen at the Wolfsonian Museum in Miami Beach. The sale of the painting and the rest of Hugo’s work allowed Livia to live out the rest of her life in comfort.

Now, thanks to the glory of Blu-Ray, there Hugo was again, looking just as I remember him, telling stories in his living room. I can’t recommend the film enough, if not for seeing Beatty and Diane Keaton, but for the privilege of seeing the last remnants of the early twentieth-century left (and a few from the right), still full of piss and vinegar.

One more quick story. Those who were a bit chagrined at the way Beatty intercut some of the most moving scenes of the film–the storming of the Winter Palace to a Russian chorus singing “The Internationale”–with shots of himself and Diane Keaton making love in their flat, might appreciate this. Around the time Reds was released, I was working for Alger Hiss as his legal researcher. One day Alger went down to Soho for lunch with a friend who was a prominent entertainment lawyer. A couple of hours later, Alger returned, laughing. It seems as they were eating, Beatty entered the restaurant. Alger’s buddy waved him over and introduced them, telling Beatty, “You just made Reds, how about a movie on the Hiss-Chambers case?”

“The Hiss-Chambers case?” Beatty answered. “Where’s the love story in that?”

Despite that, I highly recommend the twenty-fifth anniversary DVD. Its terrific cinematography is a great excuse to buy a Blu-Ray player if you haven’t already, and this new version comes with a terrific documentary on the making of the film. Beatty’s comments are marvelous.

Now, here’s The Nation‘s review of Reds, and I thought you’d also enjoy a few of Hugo’s illustrations as they appeared in the magazine in June, July and August, 1936.

Source / The Nation

Thanks to Jeffrey Segal and Mariann Wizard / The Rag Blog

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Some Fundamental Changes in Decision-Making in Germany and the USA

THIS IS SATIRE on the front page of “Frankfurter Allgemeine Zeitung.” Photo by David MacBryde.

Some fundamental changes in decision-making in Germany and the USA — pointed at by the Rag Blog Berlin correspondent
By David MacBryde / The Rag Blog / March 11, 2009

News in Berlin: Germans debate and draft legislation to enable bank expropriation if necessary for the public good.

(A) Acting now in the capital market crisis, the decision about this specific legislation marks a seismic change in Germany about economic decision-making. For a comparison to the USA, Joseph Stiglitz’s article “Capitalist Fools” is helpful.

(B) Forecasting the crises, and what is “beyond” the crises: Will we get a U, I, L or E ?

BERLIN – Something new and something old: The conservative “Frankfurter Allgemeine Zeitung” (FAZ) on 19 February 2009 headlines the cabinet decision on legislation that would enable bank expropriation if that becomes necessary for the common good. The editorial expresses concern, but acknowledges the decision.

The front page picture by Helga Lade, in an attempt at humor in these times, is titled “In Times Like These” and shows a 1987 photo of the communist East German flag flying at the “Peoples’ Own Enterprise” ( “Volkseigenebetrieb”, VEB) PERFEKT – a factory, rather dilapidated, making crash helmets. THIS IS SATIRE.

What is at stake here? Who is being satirized? What changes are happening?

First, something old, and what is NOT happening: While the FAZ jokes with a flash-back to monopoly state socialism, that is not what is happening and is not the issue. Indeed the conservative FAZ satires and explicitly chastises the few residual neo-liberal extreme market fundamentalists who try to attack the current democratic government decision about expropriation by trying to paint it as some kind of a march back to monopoly socialism. The conservative FAZ editors, and most people in Germany, view such attacks by residual market fundamentalists as untenable and not helpful in the current work for solutions.

What is now happening is a lot: — A nation-wide warning strike by 700,000 public employees. Brief, Successful. — The passage of a second anti-depression stimulus package, after extensive and intense debates. – Local school districts deciding about their stimulus efforts. — The decision to change motor vehicle tax to include exhaust emissions. — Emergency European meetings acting on the capital market crisis, and working towards the international economic summit decisions scheduled for April. — Considerable anger at General Motors management, with concern about what to do with the GM subsidiary in Germany , Opel. — And more, such as the exciting Berlin Film Festival. The specially featured opening film, out of competition, was appropriately “The International”, a finance system crime thriller. The Golden Bear best film prize (the Berlin mascot is a bear) was awarded to a film from Peru — about a mother’s trauma — raped by paramilitary mercenaries — affecting her daughter.

What I want to focus on is one particular change in decision-making processes here. The decision was made to draft legislation specifying and enabling the decision-making process involved in bank expropriation. The particular acute problem now only involves one bank, the Hypo Real Estate Bank. Germany already has publicly owned banks in the “mixed” economy here. The issue is not having publicly owned banks. (And it should be noted that there have been some cases of disastrous mismanagement in “publicly owned” banks here, and convictions.) The issue now at hand is what happens when there is a conflict between a privately owned bank, private capital, and the public interest as represented by an elected government. Can, and with what due processes under law, a government force a takeover, expropriate, a private bank? (WARNING: it may be a disastrous mistake to actually proceed and take over a “bad bank”, depending on what is in the bank.) The issue here now is not whether to actually take over this one bank, or others, without knowing what possible disasters might be hidden in the bank. The issue is about having a legitimate process for forced expropriation, if and when that needed in the public interest. Significantly, now even the conservatives use the “e” word – expropriation. The current government here is a coalition of the two largest political parties. The news is that the conservative party, CDU, did not block, as in the past, but finally agreed with the progressive party (SPD) on creating this new decision-making process.

That is a huge, seismic, shift here going back to the refounding of Germany after WW2. Even the main conservative paper, the FAZ, acknowledges the decision and that it marks a major change from the “mixed economy” as designed at the refounding of Germany after WW2.

It marks a recognition and acceptance, even by conservatives here, that the capital market crisis is indeed a crisis of market failure, investment decision failure, and that democratically legitimate action on and intervention in “the market” including expropriation of private capital, can be needed and justified in the public interest.

For comparison to the USA, Joseph Stiglitz’s article “Capitalist Fools” is helpful:

A Dangerous Moment ahead of us”:

Behind the debate over remaking US financial policy will be a debate over who’s to blame. It’s crucial to get the history right, writes a Nobel-laureate economist, identifying … key mistakes … and one national delusion.

There will come a moment when the most urgent threats posed by the credit crisis have eased and the larger task before us will be to chart a direction for the economic steps ahead. This will be a dangerous moment. Behind the debates over future policy is a debate over history – a debate over the causes of our current situation. The battle for the past will determine the battle for the present. So it’s crucial to get the history straight.” As Stiglitz concludes about the causes of the crisis we are now in: “The truth is most of the individual mistakes boil down to just one: a belief that markets are self-adjusting and that the role of government should be minimal.” (ob cit. “Capitalist Fools”)

So let us briefly review some of the history we have just been living through:

Within the economy: The capital market and investment decision processes broke down. (As one measure: the Asian Development Bank estimates as of 9 March 2009 that some 50 Trillion US$ have been destroyed so far in the crisis, the equivalent of one year of total global gross domestic product.)

Within the US government: some sudden massive seismic shifts occurred, with three events in mid-September 2008 that I wish to remind us of:

1 – The Republican administration presented the Paulson 3 page plan. That 3 page plan aimed to transfer massive public money to “bailout” private banks AND the plan’s decision-making processes explicitly excluded legislative oversight and judicial review.

That would have established what can accurately be called executive branch economic tyranny, adding to the other extensive (and sometimes secret) executive branch powers claimed by the Bush-Cheney administration. Let us call it “Paulson´s Panicky Punt”, or the “Paulsonite Republican Bailout”.

2 – That was defeated.

3 – But the crises in the economy was continuing, and there was a basic choice:

3A – Do nothing. Many of the Republicans in Congress, in contrast to the Paulsonites in the administration, adopted the opposite position, call it the “Hooverite Ploy”, to let the crisis happen basically without government action and relying on their extreme market fundamentalism.

3B – Act by trying, although the Bush-Cheney administration still held executive power, to change away from a “bailout for the banks” towards an “investment by and for the people” — to move in the direction of developing oversight and accountability and ways to enable democratic government activity. As one first step, the Congressional Oversight Committee was created, with Elizabeth Warren as chair, to start public hearings.

The basic point is that the breakdown of the capital market and of investment decision-making, and the September 2008 events, certainly raised issues about decision-making.

But the changes in decision-making in the USA have only started — and, as Stiglitz warns, the outcomes are not clear.

There is a possible bright spot in the crises for those interested in decision-making and in self-determining people living in freedom with governance of, by and for the people, with liberty and justice for all. These “interesting times” may open potentials for better decision-making, for more democracy that includes better decision-making about and within the economy.

At least there was one bright day in Germany recently as some decisions were made. But what is the forecast — the weather forecast and the economic forecast?

On one bright day some substantial decisions have been made in Berlin. Will there be more bright days? Weather forecasts are difficult. Photo: David MacBryde.

And a forecast of what will happen in the economy is even more difficult. Indeed it is in principal not possible to make a precise forecast of what will be happening – because what happens in the future depends also on decisions that have not yet been made.

One issue is what “economic growth” will get us out of the crises, what kinds of “growth” can we have “beyond” the crises? What kinds of “growth” are damaging, and need to be reduced or stopped? What kinds of “growth” are helpful and can be worked on for a better life and future opportunities?

I am trying to grow my understanding of what is happening, and will try to write more also in this blog on some philosophical and economic questions.
Here I will formulate one question. (Remember you first saw the question formulated this way here.)

Will we experience a U, I, L or an E ?

U – an historically traditional “cyclic” downturn followed by an upturn – one question being how long the bottom of the U is. (One thing is clear: the kind of “growth” on into the future will not be the kind of growth that aims at getting four cars in every garage on the planet.)

I – a rapid decline to social disintegration, and irreversible.

L – a drop to a very low subsistence level, for many below subsistence, for a long time.

Or can we get to an E with different kinds of economic activities and growth.

– To drop down, minimizing to as near zero as possible, those kinds of “growth” that reduce or destroy opportunities in the future. (For instance, and especially, those kinds of “growth” that depend on the destruction of physical resources and thereby destroy rather than enhance the opportunities of future generations.)

– To achieve sustainable energy and physical resources use.
(For instance not depleting but sustaining and improving soil, “permaculture”, and maximizing full cycle recycling of various minerals.)

– To develop positive growth, possibly rapid, and unlimited over time.
(For instance how much music, how many songs, can there be? What other activities, over time, have no limits?)

So to get “beyond” the crises, what kinds of activities need to be reduced, what kinds need good stewardship to be sustainable, what kinds can be grown?

Doing that will involve lots and lots of decisions. So one bright spot while we get, pun intended, a crash course in the economy is the opportunity to open up, enrich, decision-making about and within the economy.

A few changes in decision-making processes are already happening.

The Rag Blog

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Music Video by Ric Sternberg : That Big Hot Texas Sun

Music video by Ric Sternberg / The Rag Blog.

Red hot music video promotes solar energy with red hot Austin musicians.

By Ric Sternberg / The Rag Blog / March 11, 2009

Why do we keep fiddling while Texas burns? We are burning our environment, burning fossil fuels. But the solution is right over our heads. This hot, Texas/New Orleans style music video makes the case for solar energy in Texas.

It was produced in response to a call from Environment Texas to submit videos on the subject. The piece centers on a song by singer-songwriter Frank Meyer, and features great Austin musicians including Phoebe Hunt on fiddle, Marvin Dykhuis on guitar, Oliver Steck on trumpet, Joe England on flute and Geno Gottschall on the big honking Sousaphone.

As a renewable energy advocate for many years, I was thrilled to answer Environment Texas’ call.

This was a labor of love, not only for me but for many of the talented folks who helped. Frank Meyer often writes songs that relate to his passions for peace and alternatives and is a brilliant green builder as well as singer-songwriter. (In fact, Frank helped tremendously and led the wall raising at our straw bale home.) So he was the logical choice to write and perform the song when I came up with the idea.

Phoebe Hunt is an Austin phenomenon — a genius fiddler (at only 24) who is also very committed to saving the planet. Oliver Steck (another genius, IMO) and his trumpet, baritone horn, accordion, etc., can be found, along with Frank and Bill Oliver and Richard Bowden, making music at just about every peace demonstration. Marvin Dykhuis is yet another brilliant musician who donated his considerable talents to this project. Marvin also generously donated his studio to record his tracks along with Frank’s vocal and Phoebe’s fiddle part. Marvin, BTW, is also a straw bale house dweller.

Geno Gottschall provided the funky bottom on his hot tuba (he marched with the Sousaphone but played the part on tuba in the studio). My fellow Minor Mishap Marching Band member Joe English provided the top with his tasty flute playing. And I filled in the rhythm, playing both the bass and snare drum parts (though I credited two other Minor Mishap members — monster bass player Rob Jewett and my old buddy Skip Gerson, who carried the instruments and faked it for the video shot). Rounding out the parade was another old friend – Mike “Sully” Sullivan, who mimed playing the baritone horn beautifully.

My friend (dating back to the early 70s in Vermont) East Side Flash did the recording of the instruments that we did not do at Marvin’s at his great facility – Flashpoint Recording Studio. Flash also did the mix and audio sweetening.

The Austin area is probably the best place in the world to do a project like this, not just because of the abundance of talented, committed musicians and facilities, but because everyone seems to be into these ideas.

Now, as my dear departed friend Susan Lee Solar sloganed when she ran against George Bush as the Green Party candidate for Governor, let’s GO SOLAR!

[Ric Sternberg is an Austin writer and filmmaker. Vist his AIM Productions website.]

The Rag Blog

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Barbara Ehrenreich & Bill Fletcher Jr. : Reimagining Socialism

Graphic from The Yellow Brick Road.

Rising to the Occasion: Reimagining Socialism

We see a tremendous opportunity in the bleak fact that millions of Americans have been rendered redundant by the capitalist economy and are free to dedicate their considerable talents to creating a more just and sustainable alternative.

By Barbara Ehrenreich and Bill Fletcher Jr.

[This article appears in the March 13, 2009, edition of The Nation. The editors of The Nation preface it as follows: “Socialism’s all the rage. ‘We Are All Socialists Now,’ Newsweek declares. As the right wing tells it, we’re already living in the U.S.S.A. But what do self-identified socialists… have to say about the global economic crisis?]

If you haven’t heard socialists doing much crowing over the fall of capitalism, it isn’t just because there aren’t enough of us to make an audible crowing sound. We, as much as anyone on Wall Street in, say, 2006, appreciate the resilience of American capitalism–its ability to regroup and find fresh avenues for growth, as it did after the depressions of 1877, 1893 and the 1930s. In fact, The Communist Manifesto can be read not only as an indictment of capitalism but as a breathless paean to its dynamism. And we all know the joke about the Marxist economist who successfully predicted eleven out of the last three recessions.

But this time the patient may not get up from the table, no matter how many times the electroshock paddles of “stimulus” are applied. We seem to have entered the death spiral where rising unemployment leads to reduced consumption and hence to greater unemployment. Any schadenfreude we might be tempted to feel as executives lose their corporate jets and the erstwhile Masters of the Universe wipe egg from their faces is quickly dashed by the ever more vivid suffering around us. Food pantries and shelters can no longer keep up with the demand; millions face old age without pensions and with their savings gutted; we personally are consumed with anxiety about the future that awaits our children and grandchildren.

Besides, it wasn’t supposed to happen this way. There was supposed to be a revolution, remember? The socialist idea, prediction, faith or whatever was that capitalism would fall when people got tired of trying to live on the crumbs that fall from the chins of the rich and rose up in some fashion–preferably inclusively, democratically and nonviolently–and seized the wealth for themselves. Such a seizure would have looked nothing like “nationalization” as currently discussed, in which public wealth flows into the private sector with little or no change in the elites that control it or in the way the control is exercised. Our expectation as socialists was that the huge amount of organizing required for revolutionary change would create an infrastructure for governance, built out of–among other puzzle pieces–unions, community organizations, advocacy groups and new organizations of the unemployed and nouveau poor.

It was also supposed to be a simple matter for the masses to take over or “seize” the physical infrastructure of industrial capitalism–the “means of production”–and start putting it to work for the common good. But much of the means of production has fled overseas–to China, for example, that bastion of authoritarian capitalism. When we look around our increasingly shuttered landscape and survey the ruins of finance capitalism, we see bank upon bank, realty and mortgage companies, title companies, insurance companies, credit-rating agencies and call centers, but not enough enterprises making anything we could actually use, like food or pharmaceuticals. In recent years, capitalism has become increasingly and almost mystically abstract. Outside manufacturing and the service sector, fewer and fewer people could explain to their children what they did for a living. The brightest students went into finance, not physics. The biggest urban buildings housed cubicles and computer screens, not assembly lines, laboratories, studios or classrooms. Even our flagship industry, manufacturing autos, would require major retooling to make something we could use–not more cars, let alone more SUVs, but more windmills, buses and trains.

What is most galling, from a socialist perspective, is the dawning notion that capitalism may be leaving us with less than it found on this planet, about 400 years ago, when the capitalist mode of production began to take off. Marx imagined that industrial capitalism had potentially solved the age-old problem of scarcity and that there was plenty to go around if only it was equitably distributed. But industrial capitalism–with some help from industrial communism–has brought about a level of environmental destruction that threatens our species along with countless others. The climate is warming, the oil supply is peaking, the deserts are advancing and the seas are rising and contain fewer and fewer fish for us to eat. You don’t have to be a freaky doomster to see that extinction may be what’s next on the agenda.

In this situation, with both long-term biological and day-to-day economic survival in doubt, the only relevant question is: do we have a plan, people? Can we see our way out of this and into a just, democratic, sustainable (add your own favorite adjectives) future?

Let’s just put it right out on the table: we don’t. At least we don’t have some blueprint on how to organize society ready to whip out of our pockets. Lest this sound negligent on our part, we should explain that socialism was an idea about how to rearrange ownership and distribution and, to an extent, governance. It assumed that there was a lot worth owning and distributing; it did not imagine having to come up with an entirely new and environmentally sustainable way of life. Furthermore, the history of socialism has been disfigured by too many cadres who had a perfect plan, if only they could win the next debate, carry out a coup or get enough people to fall into line behind them.

But we do understand–and this is one of the things that make us “socialists”–that the absence of a plan, or at least some sort of deliberative process for figuring out what to do, is no longer an option. The great promise of capitalism, as first suggested by Adam Smith and recently enshrined in “market fundamentalism,” was that we didn’t have to figure anything out, because the market would take care of everything for us. Instead of promoting self-reliance, this version of free enterprise fostered passivity in the face of that inscrutable deity, the Market. Deregulate, let wages fall to their “natural” level, turn what remains of government into an endless source of bounty for contractors–whee! Well, that hasn’t worked, and the core idea of socialism still stands: that people can get together and figure out how to solve their problems, or at least a lot of their problems, collectively. That we–not the market or the capitalists or some elite group of über-planners–have to control our own destiny.

We admit: we don’t even have a plan for the deliberative process that we know has to replace the anarchic madness of capitalism. Yes, we have some notion of how it should work, based on our experiences with the civil rights movement, the women’s movement and the labor movement, as well as with countless cooperative enterprises. This notion centers on what we still call “participatory democracy,” in which all voices are heard and all people equally respected. But we have no precise models of participatory democracy on the scale that is currently called for, involving hundreds of millions, and potentially billions, of participants at a time.

What might this look like? There are some intriguing models to study, like the Brazilian Workers Party’s famous experiments in developing a participatory budget in Porto Alegre. Z Magazine founder Michael Albert developed a detailed approach to mass-based planning that he calls participatory economics, or “parecon,” and one of us (Fletcher, in his book Solidarity Divided, written with Fernando Gapasin) has proposed a locally based network of people’s assemblies. But all this is experimental, and we realize that any system for mass democratic planning will be messy. It will stumble; it will be wrong sometimes; and there will be a lot of running back to the drawing board.

But as socialists we know the spirit in which this great project of collective salvation must be undertaken, and that spirit is solidarity. An antique notion until very recently, it flickered into life again in the symbolism and energy of the Obama campaign. The Yes We Can! chant was the slogan of the United Farm Workers movement and went on to be adopted by various unions and community-based organizations to emphasize what large numbers of people can accomplish through collective action. Even Obama’s relatively anodyne calls for a new commitment to volunteerism and community service seem to have inspired a spirit of “giving back.” If the idea of democratic planning, of controlling our destiny, is the intellectual content of socialism, then solidarity is its emotional energy source–the moral understanding and the searing conviction that, however overwhelming the challenges, we are in this together.

Solidarity, though, is an empty sentiment without organization–ways of thinking and working together, and of connecting the social movements that are battling injustice every day. We see a tremendous opportunity in the bleak fact that millions of Americans have been rendered redundant by the capitalist economy and are free to dedicate their considerable talents to creating a more just and sustainable alternative. But if we are serious about collective survival in the face of our multiple crises, we have to build organizations, including explicitly socialist ones, that can mobilize this talent, develop leadership and advance local struggles. And we have to be serious, because the capitalist elites who have run things so far have forfeited all trust or even respect, and we–progressives of all stripes–are now the only grown-ups around.

[Barbara Ehrenreich is the author, most recently, of This Land Is Their Land: Reports From a Divided Nation. Bill Fletcher Jr. originated the call for founding “Progressives for Obama.” He is the executive editor of Black Commentator, and founder of the Center for Labor Renewal.]

Source / The Nation

Thanks to Dorinda Moreno / The Rag Blog

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Financial Meltdown : The 12 Corrupt Deals That Caused it

Graphic from The Energy Source.

$5 billion in lobbying for 12 corrupt deals caused the multi-trillion dollar financial meltdown. It got the finance industry lucrative legislative favors that paved the way for Wall Street’s devastating collapse.

By Robert Weissman / March 9, 2009

What can $5 billion buy in Washington?

Quite a lot.

Over the 1998-2008 period, the financial sector spent more than $5 billion on U.S. federal campaign contributions and lobbying expenditures.

This extraordinary investment paid off fabulously. Congress and executive agencies rolled back long-standing regulatory restraints, refused to impose new regulations on rapidly evolving and mushrooming areas of finance, and shunned calls to enforce rules still in place.

“Sold Out: How Wall Street and Washington Betrayed America,” a report released by Essential Information and the Consumer Education Foundation (and which I co-authored), details a dozen crucial deregulatory moves over the last decade — each a direct response to heavy lobbying from Wall Street and the broader financial sector, as the report details. (The report is available here.) Combined, these deregulatory moves helped pave the way for the current financial meltdown.

Here are 12 deregulatory steps to financial meltdown:

1. The repeal of Glass-Steagall

The Financial Services Modernization Act of 1999 formally repealed the Glass-Steagall Act of 1933 and related rules, which prohibited banks from offering investment, commercial banking, and insurance services. In 1998, Citibank and Travelers Group merged on the expectation that Glass-Steagall would be repealed. Then they set out, successfully, to make it so. The subsequent result was the infusion of the investment bank speculative culture into the world of commercial banking. The 1999 repeal of Glass-Steagall helped create the conditions in which banks invested monies from checking and savings accounts into creative financial instruments such as mortgage-backed securities and credit default swaps, investment gambles that led many of the banks to ruin and rocked the financial markets in 2008.

2. Off-the-books accounting for banks

Holding assets off the balance sheet generally allows companies to avoid disclosing “toxic” or money-losing assets to investors in order to make the company appear more valuable than it is. Accounting rules — lobbied for by big banks — permitted the accounting fictions that continue to obscure banks’ actual condition.

3. CFTC blocked from regulating derivatives

Financial derivatives are unregulated. By all accounts this has been a disaster, as Warren Buffett’s warning that they represent “weapons of mass financial destruction” has proven prescient — they have amplified the financial crisis far beyond the unavoidable troubles connected to the popping of the housing bubble. During the Clinton administration, the Commodity Futures Trading Commission (CFTC) sought to exert regulatory control over financial derivatives, but the agency was quashed by opposition from Robert Rubin and Fed Chair Alan Greenspan.

4. Formal financial derivative deregulation: the Commodities Futures Modernization Act

The deregulation — or non-regulation — of financial derivatives was sealed in 2000, with the Commodities Futures Modernization Act. Its passage orchestrated by the industry-friendly Senator Phil Gramm, the Act prohibits the CFTC from regulating financial derivatives.

5. SEC removes capital limits on investment banks and the voluntary regulation regime

In 1975, the Securities and Exchange Commission (SEC) promulgated a rule requiring investment banks to maintain a debt to-net capital ratio of less than 15 to 1. In simpler terms, this limited the amount of borrowed money the investment banks could use. In 2004, however, the SEC succumbed to a push from the big investment banks — led by Goldman Sachs, and its then-chair, Henry Paulson — and authorized investment banks to develop net capital requirements based on their own risk assessment models. With this new freedom, investment banks pushed ratios to as high as 40 to 1. This super-leverage not only made the investment banks more vulnerable when the housing bubble popped, it enabled the banks to create a more tangled mess of derivative investments — so that their individual failures, or the potential of failure, became systemic crises.

6. Basel II weakening of capital reserve requirements for banks

Rules adopted by global bank regulators — known as Basel II, and heavily influenced by the banks themselves — would let commercial banks rely on their own internal risk-assessment models (exactly the same approach as the SEC took for investment banks). Luckily, technical challenges and intra-industry disputes about Basel II have delayed implementation — hopefully permanently — of the regulatory scheme.

7. No predatory lending enforcement

Even in a deregulated environment, the banking regulators retained authority to crack down on predatory lending abuses. Such enforcement activity would have protected homeowners, and lessened though not prevented the current financial crisis. But the regulators sat on their hands. The Federal Reserve took three formal actions against subprime lenders from 2002 to 2007. The Office of Comptroller of the Currency, which has authority over almost 1,800 banks, took three consumer-protection enforcement actions from 2004 to 2006.

8. Federal preemption of state enforcement against predatory lending

When the states sought to fill the vacuum created by federal non-enforcement of consumer protection laws against predatory lenders, the Feds — responding to commercial bank petitions — jumped to attention to stop them. The Office of the Comptroller of the Currency and the Office of Thrift Supervision each prohibited states from enforcing consumer protection rules against nationally chartered banks.

9. Blocking the courthouse doors: Assignee Liability Escape

Under the doctrine of “assignee liability,” anyone profiting from predatory lending practices should be held financially accountable, including Wall Street investors who bought bundles of mortgages (even if the investors had no role in abuses committed by mortgage originators). With some limited exceptions, however, assignee liability does not apply to mortgage loans, however. Representative Bob Ney — a great friend of financial interests, and who subsequently went to prison in connection with the Abramoff scandal — worked hard, and successfully, to ensure this effective immunity was maintained.

10. Fannie and Freddie enter subprime

At the peak of the housing boom, Fannie Mae and Freddie Mac were dominant purchasers in the subprime secondary market. The Government-Sponsored Enterprises were followers, not leaders, but they did end up taking on substantial subprime assets — at least $57 billion. The purchase of subprime assets was a break from prior practice, justified by theories of expanded access to homeownership for low-income families and rationalized by mathematical models allegedly able to identify and assess risk to newer levels of precision. In fact, the motivation was the for-profit nature of the institutions and their particular executive incentive schemes. Massive lobbying — including especially but not only of Democratic friends of the institutions — enabled them to divert from their traditional exclusive focus on prime loans.

Fannie and Freddie are not responsible for the financial crisis. They are responsible for their own demise, and the resultant massive taxpayer liability.

11. Merger mania

The effective abandonment of antitrust and related regulatory principles over the last two decades has enabled a remarkable concentration in the banking sector, even in advance of recent moves to combine firms as a means to preserve the functioning of the financial system. The megabanks achieved too-big-to-fail status. While this should have meant they be treated as public utilities requiring heightened regulation and risk control, other deregulatory maneuvers (including repeal of Glass-Steagall) enabled them to combine size, explicit and implicit federal guarantees, and reckless high-risk investments.

12. Credit rating agency failure

With Wall Street packaging mortgage loans into pools of securitized assets and then slicing them into tranches, the resultant financial instruments were attractive to many buyers because they promised high returns. But pension funds and other investors could only enter the game if the securities were highly rated.

The credit rating agencies enabled these investors to enter the game, by attaching high ratings to securities that actually were high risk — as subsequent events have revealed. The credit rating agencies have a bias to offering favorable ratings to new instruments because of their complex relationships with issuers, and their desire to maintain and obtain other business dealings with issuers.

This institutional failure and conflict of interest might and should have been forestalled by the SEC, but the Credit Rating Agencies Reform Act of 2006 gave the SEC insufficient oversight authority. In fact, the SEC must give an approval rating to credit ratings agencies if they are adhering to their own standards — even if the SEC knows those standards to be flawed.

From a financial regulatory standpoint, what should be done going forward? The first step is certainly to undo what Wall Street has wrought. More in future columns on an affirmative agenda to restrain the financial sector.

None of this will be easy, however. Wall Street may be disgraced, but it is not prostrate. Financial sector lobbyists continue to roam the halls of Congress, former Wall Street executives have high positions in the Obama administration, and financial sector propagandists continue to warn of the dangers of interfering with “financial innovation.”

Source / Multinational Monitor / AlterNet

Thanks to David Hamilton / The Rag Blog

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Cheap Labor: The Common Thread of the South


Southern Oligarchy and the Labor Unions
By Joseph B. Atkins / February 2009

OXFORD, Miss. — Cheap labor. Even more than race, it’s the thread that connects all of Southern history—from the ante-bellum South of John C. Calhoun and Jefferson Davis to Tennessee’s Bob Corker, Alabama’s Richard Shelby and the other anti-union Southerners in today’s U.S. Senate.

It’s at the epicenter of a sad class divide between a desperate, poorly educated workforce and a demagogic oligarchy, and it has been a demarcation line stronger than the Mason-Dixon in separating the region from the rest of the nation.

The recent spectacle of Corker, Shelby and Mitch McConnell of Kentucky leading the GOP attack on the proposed $14 billion loan to the domestic auto industry—with 11 other Southern senators marching dutifully behind—made it crystal clear. The heart of Southern conservatism is the preservation of a status quo that serves elite interests.

Expect these same senators and their colleagues in the US House to wage a similar war in the coming months against the proposed Employee Free Choice Act authorizing so-called “card check” union elections nationwide.

“Dinosaurs,” Shelby of Alabama called General Motors, Ford, and Chrysler as he maneuvered to bolster the nonunion Mercedes-Benz, Hyundai and other foreign-owned plants in his home state by sabotaging as many as three million jobs nationwide.

Corker, a multi-millionaire who won his seat in a mud-slinging, race-tinged election in 2006, was fairly transparent in his goal to expunge what he considers the real evil in the Big Three and US industry in general: unions. When the concession-weary United Auto Workers balked at GOP demands for a near-immediate reduction in worker wages and benefits, Corker urged President Bush to force-feed wage cuts to UAW workers in any White House-sponsored bailout.

If Shelby, Corker, and McConnell figured they were helping the Japanese, German and Korean-owned plants in their home states, they were seriously misguided. The failure of the domestic auto industry would inflict a deep wound on the same supplier-dealer network that the foreign plants use. The already existing woes of the foreign-owned industry were clearly demonstrated in December when Toyota announced its decision to put on indefinite hold the opening of its $1.3 billion plant near Blue Springs in northeast Mississippi.

The Southern Republicans are full of contradictions. Downright hypocrisy might be a better description. Shelby staunchly opposes universal health care—a major factor in the Big Three’s financial troubles since they operate company plans—yet the foreign automakers he defends benefit greatly from the government-run health care programs in their countries.

These same senators gave their blessing to hundreds of millions of dollars in subsidies to the foreign automakers to open plants in their states, yet they were willing to let the US auto industry fall into bankruptcy.

In their zeal to destroy unions and their hard-fought wage-and-benefits packages, the Southern senators could not care less that workers in their home states are among the lowest paid in the nation. Ever wonder why the South remains the nation’s poorest region despite generations of seniority-laden senators and representatives in Congress?

Why weren’t these same senators protesting the high salaries in the financial sector when the Congress approved the $700 billion bailout of Wall Street? Why pick on blue-collar workers at the Big Three who last year agreed to huge concessions expected to save the companies an estimated $4 billion a year by 2010? These concessions have already helped lower union wages to non-union levels at some auto plants.

The idea of working people joining together to have a united voice across the table from management scares most Southern politicians to death. After all, they go to the same country clubs as management. When Mississippi Republican Roger Wicker warned of Democratic opponent Ronnie Musgrove’s ties to the “Big Labor Bosses” in this year’s US Senate race, he was protecting the “Big Corporate Bosses” who are his benefactors.

The South today may be more racially enlightened than ever in its history. However, it is still a society in which the ruling class—the chambers of commerce that have taken over from yesterday’s plantation owners and textile barons—uses politics to maintain control over a vast, jobs-hungry workforce. After the oligarchy lost its war for slavery—the cheapest labor of all—it secured the next best thing in Jim Crow and the indentured servitude known as sharecropping and tenant farming. It still sees cheap, pliable, docile labor as the linchpin of the Southern economy.

In 1948, when the so-called “Dixiecrats” rebelled against the national Democratic Party, Strom Thurmond of South Carolina declared war on “the radicals, subversives, and the Reds” who want to upset the Southern way of life.

Seven years later, Mississippi’s political godfather, the late US Sen. James O. Eastland, told other prominent Southern pols during a meeting at the Peabody Hotel in Memphis that the South will “fight the CIO” (Congress of Industrial Organizations) and unionism with just as much vehemence and determination as it fights racial integration.

Eastland, Thurmond and their friends lost the integration battle. Their successors are still fighting the other enemy.

[Joseph B. Atkins is a veteran journalist, professor of journalism at the University of Mississippi and author of Covering for the Bosses: Labor and the Southern Press (University Press of Mississippi, 2008), a book that details the Southern labor movement and its treatment in the press. A version of this column appeared in the Hattiesburg (Miss.) American and the Jackson (Miss.) Clarion-Ledger.]

Source / The Progressive Populist

Thanks to Jeffrey Segal / The Rag Blog

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Hawai‘i : Runaway Technology Vs. the Good Food Revolution

Hawaiian taro patch. Photo by Kirk Lee Aeder / HVCB Image Library.

The Good Food Revolution

On Kaua‘i, too, there are people engaged in remembering and reconnecting. Unlike the dry west side of the island, the North Shore is a lush place of almost heartbreaking beauty with a vibrant, racially mixed local culture.

By Claire Hope Cummings / March 9, 2009

The lush landscape of Hawai‘i once offered abundant food. What can these islands teach us about food and sufficiency?

The island of Kaua‘i is one of the most beautiful and fragile places on earth. From above, it looks like a vibrant green flower, lush and pulsing with life, floating in the middle of the Pacific Ocean. The Hawaiian tourist industry calls it “The Garden Isle,” comparing it to the Garden of Eden. The image of Hawai‘i has always been sold as a “paradise.” But there is another side to life on this island, one that visitors rarely see.

The west side of this tiny island is home to the U.S. military’s Pacific Missile Range and testing grounds, part of the longstanding military occupation of the Hawaiian islands, and to the headquarters of giant agrochemical corporations Syngenta and Dupont. These corporations test and produce genetically modified crops on former sugar plantation lands here and throughout Hawai‘i, along with toxic herbicides, insecticides, and fertilizers. It is the very worst of America’s “agrochemical military industrial complex,” imposed on the ancient homelands of a rich traditional farming and fishing culture, in the midst of some of the world’s most precious biodiversity.

When I visited the west side of Kaua‘i in 2006, the local newspapers were full of reports of children from Waimea Canyon School who had been sickened by chemicals used on nearby test plots. As many as 60 people were affected, including teachers and staff. It happened again in 2007, with school children suffering nausea, headaches, and dizziness. In 2008, for the third time in three years, chemicals being tested for industrial agriculture sickened children and adults and sent them to clinics and the emergency room with tears in their eyes, holding their heads in their hands, or vomiting. The corporations responsible for the tests deny any role in the incidences. But the open air testing of chemicals and genetically modified crops is a now a persistent worry for people living in this small rural community. Local activists have suggested that the welcome sign at the Kaua‘i airport be changed to warn tourists of what is going on there: “Welcome to the Mutant Garden Island.” Instead of being a source of health and well-being for the land and people, the American system of industrial agriculture has become a source of problematic food and even fear.

The connection to the military is the key to understanding how this tragedy came about. Most of the toxic chemicals used in agriculture came from the implements of war, such as nerve poisons and defoliants developed during World War II. And our military has been repeatedly used to impose our system of industrial agriculture on other lands, depriving traditional farmers of their livelihoods and redirecting their natural resources to the use of U.S. business interests. American plantation owners used the military to force the monarchy of Hawai‘i out of power. The takeover of Hawai‘i—the imposition of plantation agriculture on Hawai‘i’s traditional system and the conversion of the Hawaiian people to a Western lifestyle—is a case history and a warning for all of us concerned about the future of food. We are facing an urgent problem: Given global warming, growing populations, and declining natural resources, how will we feed ourselves?

Before colonization, Hawaiians had a sophisticated system of land, water, and ocean resource use that fed populations equal to or even greater than those on several of the islands today (excluding the urban populations of O‘ahu). Now, residents of Hawai‘i import 85 percent of their food. The descendants of the first Hawaiians, like most native peoples who have been colonized, suffer from some of the worst poverty and diet-related health problems of anyone living in the United States.

The food being imported into Hawai‘i is produced, processed, packaged, and transported using enormous amounts of fossil fuels. By one measure, the current U.S. food system uses 10 times more energy than it produces in the form of food calories. Even if you like industrial agriculture, its built-in obsolescence is a problem. When oil production peaks, and prices rise again, as they inevitably must, food in Hawai‘i will become unaffordable. What will happen when the gas pumps and grocery store shelves are empty? This is a question all of us will face, sooner or later, since we are all on what David Brower called “Earth Island,” a small planet floating in a sea of space.

A Storied Land

Mythologists like Joseph Campbell tell us that many creation myths are stories about how a food plant or animal came to people, usually as a gift from their creator. But invariably, these gifts came with instructions about maintaining respect for and reciprocity with the sources of one’s food, to assure its continuing productivity. These stories are central to the formation of a culture’s core values. And they affect us now, not just in how we feed ourselves, but in how we relate to the natural world and each other.

A Hopi creation story, as told by Frank Waters in The Book of the Hopi, is a good example, illustrating the values inherent in the choices we make. As Waters explains, the continuity of the Hopi people comes from these values and the way corn forms the sacred center of their lives, kept alive in ritual and practices to this day.

Since the beginning of their existence, the Hopi have emerged through several worlds. Whenever they were overwhelmed by wickedness or corruption, their world would be destroyed. Later, they would emerge into the next world. At each emergence, the Creator would give them corn for sustenance. When the people entered the Fourth World, the one we are living in now, the Creator decided to find out how much greed and ignorance there still was among these humans. Many ears of corn were laid out of all different shapes, sizes, and colors. The people had divided into many races, and each was told to choose, according to its wisdom, the corn they would take with them into the Fourth World. They rushed forward and took different corn ears—long ears, fat ears, and ears of different colors. The Hopi held back and waited. All that was left for them was the smallest ear. But, they said, it was like “the original humble ear given them on the First World.” They recognized that this corn would be the best one to help them survive the harsh desert climate where they now lived.

Traditional people worldwide have developed long-standing symbiotic relationships among themselves, their homelands, and their foods. And their farming practices are intimately adapted to the places they inhabit. All over the Americas, people developed corn varieties that were finely tuned to local conditions. According to Boone Hallberg, a botanist and one of the world’s experts on corn, some of these varieties were drought-resistant; some withstood wind, crowding, local pests, and different soils; and some even fixed their own nitrogen. These plants are evidence of an incredible genius at work in the reciprocal relationships among people, plants, and place. New Mexican activist Miguel Santistevan describes how, in the Pueblos, each type of corn “drank” from its own river, producing seed that was specific to its own watershed.

One of the world’s most influential creation stories comes from the Book of Genesis in the Bible. It is often told incorrectly, without the warnings and prohibitions that are in the story—as if the children of Adam and Eve were entitled to control creation. Whether you read this story literally or metaphorically, it has had a powerful impact on Western thought. Many scholars believe that our current environmental conditions came about because our society interpreted this story as a license to dominate nature. When told this way, the development of our military-industrial system of agriculture makes sense. We can see the long arc of history, the search-and-destroy missions throughout the ages, including manifest destiny and the conquest of native peoples, their lands, and their well-developed integrated food systems.

And the good, no, the really wonderful news, is that all over the world, people are engaged in relearning traditional ways, weaving them into new life-enhancing technologies, and making essential ecological and economic reconnections.

We can see the gradual and painful dismembering of North America. Europeans brought with them a fragmented system of agriculture, breaking the sod, fencing, and buying and selling parcels of land. Piece by piece, they went about destroying the natural systems that gave this land its enormous fertility. Their ancestors had deforested many European countries, and they continued seeking sustenance by taking more than was returned, depleting the resources they used, and then moving on. After using up the larger landscapes, they now have turned to smaller frontiers—genes and molecules.

Genetic engineering in agriculture was developed as a way to squeeze more from corn, wheat, and rice, turning these plants into little machines. We demanded that these plants put out more and more for us, and pumped them full of chemicals and hormones. Now, almost 80 percent of corn grown in the United States is genetically modified. The rest is contaminated with GMOs, and the parent seed lines of corn are privately owned by the agrochemical companies. If we cared to learn, corn would have been able to teach us about generosity, adaptability, and resiliency. But rather than learn from nature, we still believe that our limited human imagination is sufficient and that we can solve systemic problems in mechanistic ways.

This approach is fundamentally flawed. Production-based solutions to hunger have failed miserably. And yet the urge to control nature seems unbounded. Farmers at the beginning of the 20th century could make a decent living. They saved and exchanged seeds, and bred their own crop varieties.

Then, in the 1920s and 1930s, a growing private seed industry used the new medium of radio advertising to heavily promote commercial hybrid seeds as the way to increase production. Hybrids can be bred to increase vigor, but they do not produce seed that is “true,” meaning that each year new hybrid seeds have to be purchased and planted. On-farm seed saving and plant breeding began to go out of fashion. Not content with just a good share of the seed market, seed companies began pushing for changes to the law, and by the end of the 20th century, farm-based seed saving and plant breeding ended. Now, sexually reproducing, living plants can be patented—a moral, biological, and legal outrage.

American commodity agriculture has become a bloated industrial machine dependent on chemical inputs and government subsidies to survive. Commodity farming is not about food for people. It’s an extractive industry, often compared to mining. It mines the soil and pollutes the water and creates mountains and rivers of waste. Soil regenerates on a slow natural timescale, about one inch of topsoil in every 500 years. The United States is losing topsoil 13 times faster than it can be replaced, costing the nation an estimated $37.6 billion in productivity losses each year. According to a recent U.S. Geological Survey, the one billion pounds of pesticides that American farmers use every year have contaminated almost all of the nation’s streams and rivers, as well as the fish living in them, with toxic cancer-causing chemicals. Fertilizers pour off farms into the Mississippi watershed, stimulating algae blooms in the Gulf of Mexico and creating a “dead zone” where nothing lives.

If science had remained publicly funded and in the hands of land grant universities committed to conducting research in the public interest, production-based innovations might have added another useful tool to farm technology. Instead, private commercial interests hijacked the research agenda and privatized its technologies. Corporations and a few foundations took over the social mechanisms for problem solving, leaving us with only for-profit solutions in the form of products. Government not only deregulated many toxic technologies; it abdicated its responsibility to protect our health and safety.

There are no brakes on this runaway technology train. The continual expansion of corporate power poses even greater looming dangers. Biotechnology, especially as used in agriculture, has been harmful enough, but nanotechnology and synthetic biology, now being developed for biofuels, promise to do far more harm than good.

Industrial agriculture contributes almost 17 percent of all greenhouse gases, along with accelerating deforestation, desertification, and profligate water use. A study released in January this year in the journal Science predicts that half of the world’s population will face food shortages by the end of this century as rising temperatures, drought, and loss of soil moisture depress crop production. Who, indeed, will be feeding us then? Monsanto, with its patented “climate-ready” crops, or the organic farmer who sells at your local farmers market?

As a Native American friend of mine used to say, “Here’s a little bit of native wisdom: If we don’t change direction pretty soon, we’ll end up right where we’ve been headed!”

Severing and Remembering

Another way to look at this rather dismal story is this: At every step of the way, we have disconnected and dismembered the intricate relationships that form the web of life. Recombinant DNA technology, for instance, cuts a genome, inserts foreign material, and severs the original evolutionary lineage of that organism.

The solution to all this severing and disconnection is re-membering, meaning “to put back together.” This is the fundamental lesson traditional peoples keep trying to teach us. They often say that they are minding the rituals that hold the world together. They say that if we want to save the places, peoples, and plants we love, we have to remember their stories. They know that the answers we seek are already available, once we begin reweaving the social and biological webs that sustain us.

Independent science supports this interconnected approach to solving problems. The biotechnology industry asked several major international institutions like the U.N. and the World Bank to study how best to feed the world. After a four-year global study, 400 experts prepared a peer-reviewed report, adopted by 60 countries, known as The International Assessment of Agricultural Knowledge, Science and Technology for Development. Ironically, the report said biotechnology cannot feed the world. There is now a consensus in government and the scientific community that small-scale farming, traditional knowledge, and a focus on local economic vitality and adaptable agro-ecological methods are the optimal way forward.

And the good, no, the really wonderful news, is that all over the world, people are engaged in relearning traditional ways, weaving them into new life-enhancing technologies, and making essential ecological and economic reconnections. Young farmers, urban activists, cooks and chefs, teachers and students, community organizers, and faith groups are bringing local organic food, seed saving, and sustainable work projects into the mix. The values of the natural world—diversity, integrity, adaptability, and resiliency—are reemerging and re-entering the cultural exchange, just when we need them the most.

On Kaua‘i, too, there are people engaged in remembering and reconnecting. Unlike the dry west side of the island, the North Shore is a lush place of almost heartbreaking beauty with a vibrant, racially mixed local culture. There, the Waipa Foundation hosts a weekly farmers market selling organic local food to support its work reviving traditional foodways. Like many Native Hawaiian organizations, they have a Hawaiian-language immersion school that integrates traditional food, farming, and fishing into their curriculum. They connect local farmers with schools, which are getting young people out of the classroom and into the mud of the taro patch. Activists on the island and throughout Hawai‘i are working toward food security. They achieved a ban on genetically modified coffee and are bringing back the original “gift economy” of exchanging traditional varieties of taro.

Just up the road from the Waipa farmers market, Limahuli Garden is restoring the traditional Hawaiian land-use system called an ahupua‘a. Kawika Winter, an engaging young ethnobotanist, Native Hawaiian, and the garden’s director, says the name lima huli means “turned hand.” It refers to a Hawaiian proverb which, roughly translated, says, “If your hand is turned up, you will be hungry; if your hand is turned down, toward the soil, your belly will be full.” The up-turned hand, Winter says, is not a positive symbol for Hawaiians. It is a sign of supplication. The down-turned hand, however, represents the hard work of cultivating the land.

Winter explains that the work they are doing there is all about remembering that the land is our ancestor. “We know that the way to get through difficult times is to use what was left to us—our land and our traditional knowledge. That will carry us into the future,” he says. “This is also our gift to the world.”

[Claire Hope Cummings wrote this article as part of Food for Everyone, the Spring 2009 issue of YES! Magazine. Claire is an environmental lawyer, journalist, and the author of Uncertain Peril: Genetic Engineering and the Future of Seeds (Beacon Press, 2008).]

Source / Yes! Magazine

The Rag Blog

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Tom Hayden : Congressional Hearings on Afghanistan and Pakistan a Must


Proposed Focus of Congressional Hearings on Afghanistan and Pakistan

As Obama inherits Bush’s wars, this is an important moment for Congress to assert a new role in critical oversight and not repeat the dysfunctional deadlocks between the executive and legislative branches which led to so much secrecy, false accounting and mismanagement in Iraq.

By Tom Hayden / March 9, 2009

President Obama is about to complete his Afghanistan review, and already has proposed $144 billion for Iraq/Afghanistan in FY2009, $130 in FY2010, and $50 billion as a place marker for FY2011 and beyond. These figures are optimistic and not yet broken down between Iraq and Afghanistan/Pakistan. But Afghanistan funding from 2001 into 2009 has been $173 billion overall, according to the Congressional Research Service, and is certain to rise.
Two facts loom: if Obama sinks into a quagmire in Afghanistan/Pakistan, at the current rate of spending these wars will cost over one trillion in taxpayer dollars -direct and indirect- at the end of his first term. If American casualties continue increasing, they could be approaching a death toll of one thousand at the end of that term as well.

As Obama inherits Bush’s wars, this is an important moment for Congress to assert a new role in critical oversight and not repeat the dysfunctional deadlocks between the executive and legislative branches which led to so much secrecy, false accounting and mismanagement in Iraq. If the current Congress actively pursues oversight and insists on transparency and accountability, the media, interested public and peace movement will have the information necessary to play their critical functions in wartime.

Already there are some signs of a greater openness in the Obama era with the Justice Department’s disclosure of the Bush-era memos on presidential powers, permission for photo coverage of returning military coffins, and the promise to include war costs in the regular budgetary process. These are important steps away from the past. But make no mistake, the administration is expanding our military commitments in both Afghanistan and Pakistan without President Obama having completed his policy review. While few in Congress are ready to oppose the president over Afghanistan and Pakistan, now is the time for an independent review before the escalation deepens any further.

Congressional hearings are urgently needed on at least the following:

[1] EXIT STRATEGY AND TIMELINES. What goals will the administration set for Afghanistan and Pakistan, what measurements of progress will the administration employ, and who will monitor that progress? In the case of Afghanistan, the administration appears to be setting diplomatic/political goals, using military means; in Pakistan, the administration is setting certain military goals, especially the defeat of al-Qaeda, as well as diplomatic/political ones. Under the Bush presidency, Congress demanded exit strategies, timelines, and regular progress reports [benchmark assessment reports]. This Congress should require this administration to accurately measure progress towards its goals and be held accountable for that progress. Over time, the Congress will be divided between those who oppose and those who support the wars, but they should be united in expecting open debate, full disclosure, and standards of accountability from the new administration. Respected anti-war experts like Chalmers Johnson, William Polk, Juan Cole, Andrew Bacevich and Robert Fisk should be among those invited to testify.

[2] TRANSPARENT BUDGETING. The true costs of these wars should be readily available to Congress and the public, not hidden and minimized as during the Bush years. Experts like Joseph Stiglitz and Linda Bilmes should be asked to prepare testimony suggesting the best methodologies for estimating the direct and indirect costs of these wars over time, and the administration and Congress should adhere to those models in preparing and disclosing their budgets.

[3] DISCLOSURE OF CASUALTIES. The Bush administration was successful in blurring, hiding and downplaying estimates of civilian and military casualties, even American ones. As a result, there was never an agreed consensus on real casualty figures, and public outrage was hobbled. For these wars, rational guidelines for establishing casualty numbers should be agreed in the new Congress. John Tirman at MIT, the authors of the 2006 Johns Hopkins reports and the British Lancet surveys should be called to testify as to comprehensive and honest reporting methodologies for casualties – killed and wounded – among all civilians as well as military forces.

[4] CORRUPTION IN CONTRACTING. For Iraq, Congress finally created a special unit, the Special Inspector General for Iraq Reconstruction [SIGIR], to monitor and report on billions of tax dollars lost on criminal waste, fraud and abuse. Will Congress extend the Special Inspector General’s mandate to Afghanistan and Pakistan, and provide greater oversight powers as needed? It should.

[5] HUMAN RIGHTS AND TORTURE. The prison at Bagram Airbase already is suspected of being another Abu Ghraib in the making. The administration should describe how its recent executive order on torture at Guantanamo applies to Afghanistan/Pakistan, how human rights standards will be enforced and funded, whether human rights lawyers and media will be allowed independent contact with detainees, and what limits if any will be placed on policies such as “preventive incarceration” and extra-judicial targeted assassinations which have been employed in Iraq. Critics of the Bush policies from the Center for Constitutional Rights, Human Rights Watch, ACLU, and reporters like Jane Mayer and Mark Danner should testify on transparency and accountability on human rights issues.

These are some examples of process reforms, as distinct from questions of whether these wars are in our interest and should be funded in the first place. Both tracks should be pursued at the same time. But since it is doubtful that the Democratic Congress, except for a prophetic few, will oppose the wars and cut funding anytime in the near future, the questions of greater disclosure, transparency and accountability become all the more important in the immediate furture. One can only hope that truth will not be the first casualty in the Obama wars. The peace movement, which was a major constituency in the 2006 and 2008 elections, has a right to expect a more open, evidence-based, legal and accountable set of policies in the coming wars than in the disgracefully-manipulated Iraq war. If the truth is fully disclosed, the American people will be better able to decide on whether to support these wars in the days ahead

Source / TPM Cafe

Thanks to Carl Davidson / The Rag Blog

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David P. Hamilton : Sea Change


Sea Change.

Future debates will be over how fast and how far to push change, primarily involving the conversion of private to public, not whether change is desirable. Maintaining the status quo is almost an irrelevant position.

By David P. Hamilton / The Rag Blog / March 9, 2009

We now live in a new era. Since the stock market peaked in October, 2007, the world has fundamentally changed. During this period, the hegemony of unfettered capitalism has collapsed, especially in its heartland, the United States. Its demise was triggered by the maturation of capitalism’s fundamental contradictions combined with shockingly inept and corrupt leadership in Washington and on Wall Street.

Over the past 18 months, the world’s collective stock markets have lost over half their value. Tens of trillions of dollars in paper assets have vanished into thin air. Most major U.S. banks are technically insolvent, many in Europe as well. The U.S. gross national product (GDP) declined 6.2% in the last quarter of 2008, the steepest drop in decades. Tens of millions of Americans are losing their homes to foreclosure and tens of millions more are paying more for their houses than their current market value, which continues to drop rapidly. During this same period, roughly five million U.S. jobs have disappeared, with 50 million estimated worldwide. The official unemployment rate just hit 8.1%, a 25 year high, while the real rate is closer to 18% and rising at a rate of 20,000 jobs a day.

President Obama just hosted a conference to reform the U.S. health care system because the private for-profit one has failed, not covering nearly 50 million Americans, inadequately covering another 50 million and costing Americans 50% more per capita than citizens of any other nation. These events are unprecedented since the Great Depression. The New Deal and WWII bailed out capitalism then, but employing the same Keynesian measures today will be the economic equivalent of the classic military mistake of fighting the last war over again.

So far, Obama has resisted obvious and cheaper socialist solutions to the economic crisis. The government has poured $180 billion into AIG while its stock value has descended to les than a dollar a share with a total market value of less than one billion dollars. General Motors executives beg for twenty billion in loans while the corporation’s total stock value is less than five billion. Obama struggles to patch a broken, for-profit health care system that won’t really be fixed without a government run single payer system, while, by any objective measure, Americans receive care that is inferior to the socialist systems of Canada or most of Europe.

The evolution of the political consciousness of the American citizenry continues to run well ahead of its politicians, limited as the latter are by corporate patronage. Polls now show a growing majority of Americans favor nationalization of the banks and single payer health insurance. Unimaginable a decade ago, this leftward shift of American public opinion is itself evidence of a profound transformation. It was primarily the deepening economic crisis that propelled the public’s consciousness change that put an African American liberal in the White House with a mandate.

Capitalism will not disappear due to this crisis. Any desirable economic system features a mix of healthy public and private sectors. But, what Europeans have long called “the American model” of capitalist development has conspicuously failed and will never again dominate the economic landscape. It is no longer a credible option. This American model, ironically known by the French term, laissez faire (roughly translated,”let it happen”), featured minimal regulation and taxation of capital together with political rule by the upper echelons of the capitalist class greedily pursuing their own narrow interests.

These practices were sanctified by “supply side/trickle down” economists to justify greed as a public good. It also featured the exaltation of individualism and unbridled consumerism, the subjective component of which is the promotion of personal fulfillment through infinite consumption. This model depended on continuously expanding consumption and, in the absence of higher wages, ever greater debt. Unregulated capitalism must either grow or perish and some of the natural limits to its growth have been reached.

The resuscitation of the “American model” is impossible. Such a recovery is precluded by the inability of human society to survive on this planet given unrestrained capitalism’s continued onslaught on its resources. The hyper-leveraged financial sector, the auto industry and car-centric culture, the housing industry with its atomized sprawl, the exploitation of health care as a commodity, even the lifestyle of the ruling class itself have all fallen into widespread disrepute. The failure of these major private sector institutions will dictate that these sectors give up much of their role to the public sector.

The alternatives to the government taking over a bankrupt GM and running it in the public interest are becoming increasingly untenable. Neither idle factories with millions more unemployed nor perpetually pouring public money into essentially defunct operations is an outcome the Obama government can long allow.

Pumping ever more public money into corporate corpses like GM, Citibank and AIG will increasingly appear unreasonable. The U.S. government is now the 40 percent owner of Citibank whose stock is trading for less than $2 a share, yet so far it rejects exercising the control that the public rightfully owns. Public controlling ownership would cost significantly less than perpetual cash transfusions of taxpayers money to maintain the malefactors most personally responsible for the current debacle and their shareholders wishing to socialize their private loses.

Someday, parts of these institutions may return to private hands as the public-private equation is adjusted. But never again will we see the deification of the market as the solution for all economic issues taken seriously.

In the short term, the “American Model” will be replaced in the US by its principal alternative, the “European Model.” This model features partial government ownership of essential industries, more strict controls of capital and the more equitable distribution of wealth — social democracy, the concept that true democracy has both economic and political components. This model focuses relatively more resources on the development of the commons. It incorporates the concept of solidarity, i.e., that we are all mutually responsible for the group as a whole. The European Model has also been associated with pan-national integration and an aversion to militarism. These, too, are likely components of America’s future simply because the principal problems are global in scope and unilateral military measures typically don’t produce the desired political objectives. The cost of maintaining an empire has become unsustainable.

This conversion to the European model of development will, however, likely be insufficient to meet the very fundamental economic, climatic and ultimately lifestyle challenges facing us. Given the global magnitude of the issues, solutions will also have to be global and multi-national, leading to the possibility of an era of potential conflict between emerging international institutions and recalcitrant nations not acting in the general interest. Nationalism is henceforth increasingly obsolete and dysfunctional.

Merely changing from the American to the European model of development will also very likely be insufficient to address climate change. Climatic factors trump the perpetual growth required by unregulated market capitalism. The future must emphasize sustainability and conservation, if not austerity, but not growth. These requirements are only consistent with a more equitable distribution of wealth, the enhancement of public facilities and a return to greater simplicity in life style. Few Western politicians will as yet mention this likelihood.

One aspect of this sea change will be the demise of the Republican Party. Its ideology of racism, anti-feminism, homophobia, small government, unregulated capitalism and fealty to the very rich has been seriously eroded by the economic crisis and an African-American president with superstar political talent. In last November’s presidential election, they lost 2 to 1 among voters under 30. They face perpetual regional minority party status. The emergence of Rush Limbaugh as their de facto party leader is stark evidence of their diminution. The only way they could win national election again would be as a result of a split in the Democratic Party. But a possible left split from a Democratic administration that remained militaristic and excessively beholden to private sector interests is conceivable.

Future debates will be over how fast and how far to push change, primarily involving the conversion of private to public, not whether change is desirable. Maintaining the status quo is almost an irrelevant position. Change will continue to be propelled by the unfolding economic and climatic crisis. The challenges we face require global solidarity, collective and international solutions. Easily apparent realities will make ideologies that glorify individualism, private gain and the waste of resources increasingly be seen as selfish, unreasonable and outmoded

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