A recurrent theme in the reality based community is the continued assertion that infinite growth cannot happen on a finite planet. This simple statement seems to be quite self-evident to those announcing it, yet the powers that be cannot seem to be able to wrap their head around it. We live in a society awash with advertisements that seek to sell you something at some price. Capitalism commodifies everything and its ethos of mandatorily attaching some arbitrary, imagined worth to all things has permeated every aspect of our lives, our ethics, and our value system. We are a society that projects a cost/price analysis on everything, including relationships with fellow humans. According to ‘Save the Children’ charity chief executive, Justin Forsyth, half a billion children over the next 15 years will suffer long-term mental and physical harm due to stunted growth by malnutrition. Surely if we valued the future life of our grandchildren more than profit, then we would not allow such a thing to happen. If our own children’s future is not valued enough to save them from our greed and shortsightedness, then why would the environment be treated any differently, despite its importance to the survival of every living thing on the planet. The scientist James Lovelock once said that Green is the color of mold and corruption. If we cannot separate the needs of capitalism from the needs of our planet, then every last bit of resources and life-sustaining gift from the earth will be chopped up into tradable, sellable units and thrown into the gaping jaws of the free market. Philosopher Leonardo Boff notes:
The fundamental defect in the UN’s document for Rio+20 is the total absence of a new vision or new cosmology that would create the hope of the «future that we want», the motto of the great gathering. As such, it belies a promising future.
To those who drafted it, the future depends on the economy. There is little value in the adjectives they attach to it: sustainable or green. The green economy in particular constitutes a great assault on the last bastion of nature: transforming into merchandise and putting a price on everything that is common, natural, vital and indispensable to life, such water, the soil, fertility, jungles, genes, etcetera. That which pertains to life is sacred and must not be passed to the sphere of business. Instead, it becomes part of the market place, under the categorical imperative: take all you want, make business with everything, especially with nature and with her goods and services.
This is the supreme egocentrism and arrogance of the human being, or, as it is also called, anthropocentrism. Human beings see the Earth as a warehouse of resources only for them, without realizing that we are not the only ones who inhabit the Earth, nor do we own her; we do not feel that we are part of nature, but outside and above her, as her «lords and masters». We forget, however, that there exists a whole visible community of life (5% of the biosphere) and quadrillions of quadrillions of invisible microorganisms (95%) that guarantee the vitality and fecundity of the Earth. They all belong to the Earth/condominium and have the right to live and coexist with us. Without interdependent relationships with them, we could not even exist. The Rio+20 document does not take any of this into account. We can then safely say that with that document there is no salvation. It opens a path towards the abyss…
This straitjacket of capitalism will not release its grip on civilization until the needs of this ever-consuming, ever-growing, ever-alienating economic system kills its host. Gil Smart gives insight into this dead-end thinking taking us all over the cliff in his short writing called Faith of our fantasies:
…we face a coming era of constrained resources. Fiscal resources; energy; environmental resources. Continual growth, the type we have conditioned to believe as natural and inevitable, is neither.
I read Megan McArdle’s stuff in the Atlantic, where recently she opined about Europe’s changing demographics (i.e. fewer births, more oldsters) and how this makes robust growth more difficult. She got a letter in return from someone questioning the premise – saying that perpetual growth isn’t possible. This was her response:
Whether or not continuous economic growth is possible, or desirable, the fact remains that modern economies are predicated on the assumption that it will happen. Both individuals and governments have planned for a future in which incomes steadily rise, allowing people to enjoy lengthy retirements, advanced health care, independent living, and of course, repayment of the massive debts that almost everyone has accumulated over the past few decades.
If that growth doesn’t materialize, the shock will be enormous. Generational battles over things like pensions have occurred in the context of rising incomes; they will become bitter indeed if young and old are fighting over a shrinking economic pie. The most brutal shock will of course be over debt. If incomes fall, debt will become an ever larger burden. But if countries default, they will merely shift the shock to someone else — too often, to pensioners at home or abroad.
However laudable Europe’s demographic decline may be from an environmental point of view, it will be an economic disaster for many who expected a stable, prosperous future.
Get it? This is the idea on which we’ve staked our future. And if the idea’s wrong?
Well. I guess that means you’re up shite creek, then.
If we plow blindly down this path, infused with the faith that what we want is what will actually happen – we’re doomed. But not charging down this path requires a fundamental restructuring of the way we think – not bloody likely in this society. Or maybe any society.
Well, Mr. Smart, along with a restructuring of our way of thinking will also be required a restructuring of society. And the elite who sit atop our current social hierarchy of capitalism, benefiting the most from its exploitation and theft, will not let go of the power they hold until it’s ripped from their cold, dead hands, whether by an angry mob or the wrath of an abused and ravaged Mother Earth.
In my post “The Vicious Price/Demand Cycle of Peak Oil & Blackouts in Greece” I mentioned the global land grabs occurring, primarily in Third World countries, by corporations and ‘developed’ countries in order to secure the resources to feed their nation’s citizens and extract profit. These resource appropriations take place at the expense of local, indigenous people who have farmed the land in a sustainable way for centuries if not thousands of years. The bottom line of these land grabs is to get control of the water resources connected to the land. The non-profit organization called GRAIN published an excellent article today explaining this theft in great detail. I highly recommend reading it in its entirety. Also worth reading is “The Land Grabbers: The New Fight Over Who Owns the Earth” by Fred Pearce, an excerpt of which was published today at Salon.com.
Although all the countries who practice industrial monoculture farming and factory farming are unsustainable and depleting their fresh water resources faster than they are being replenished by natural rainwater/snowmelt, Saudi Arabia is the most severe example:
…perhaps the situation is nowhere more dramatic than in the Middle East. Saudi Arabia has no rain or rivers to speak of, but possesses vast ‘fossil water’ aquifers beneath the desert. During the 1980s the Saudi government invested $40 billion of its oil revenues to pump this precious water to irrigate a million hectares of wheat. Later, in the 1990s, in order feed the growing industrial dairy farms that popped up across the desert, many farmers switched to alfalfa, a crop that needs even more water. It was clear that the miracle couldn’t last; the aquifers soon collapsed and the government decided to outsource its food production to Africa and other parts of the world instead. Some 60% of the country’s fossil water under the desert was squandered in the process. Gone and lost forever.
As Saudi Arabia uses its oil wealth to procure resources abroad, so is China doing the same with the wealth generated from its success as an exporter and the huge trade surplus it has built up:
More than 40% of the Earth’s land is used for human needs, including cities and farms; and with the population set to grow by a further two billion by 2050, that figure could soon exceed 50%. Rising demand for resource-expensive foods such as beef could mean it happens by 2025, Prof Barnofsky’s modelling suggests. “It really will be a new world, biologically, at that point,” he said. “I think that if we want to avoid the most unpleasant surprises, we want to stay away from the 50% mark.
Reading about these land grabs by resource hungry wealthy countries who practice industrialized farming makes me think of the following quote and how little time we have left before mass starvation on a global scale occurs:
I’ve written before about what exactly it means to have an unsustainable agricultural system: If our current system doesn’t change, then one day it will collapse, and millions — if not billions — will starve. This collapse won’t have been unprecedented; it may, in fact, be an almost inevitable part of a cycle of growth and devastation that humanity has been experiencing since the agricultural revolution, as described in a new book, Empires of Food, by the academic Evan D. G. Fraser and the journalist Andrew Rimas.
The book analyzes the agricultural system in places and time periods from Mesopotamia to Rome to the Middle Ages and beyond. It chronicles a disturbingly reliable pattern of agricultural innovation, expansion, and trade that accompanies periods of favorable weather (just as we’ve experienced for the past half-century) and then the horrific implosion of the food system (and the civilization that built it) that always follows because of soil erosion, overpopulation, and climate change. Economic troubles caused by unsound banking practices also usually figure prominently in the demise. Does any of this sound eerily familiar?
Concerning the real reason for the land grabs: Water
“The tensions in south western Ethiopia illustrate the central importance of access to water in the global land rush. Hidden behind the current scramble for land is a world-wide struggle for control over water. Those who have been buying up vast stretches of farmland in recent years, whether they are based in Addis Ababa, Dubai or London, understand that the access to water they gain, often included for free and without restriction, may well be worth more over the long-term, than the land deals themselves.
In recent years, Saudi Arabian companies have been acquiring millions of hectares of lands overseas to produce food to ship back home. Saudi Arabia does not lack land for food production. What’s missing in the Kingdom is water, and its companies are seeking it in countries like Ethiopia.
Indian companies like Bangalore-based Karuturi Global are doing the same. Aquifers across the sub-continent have been depleted by decades of unsustainable irrigation. The only way to feed India’s growing population, the claim is made, is by sourcing food production overseas, where water is more available.
And companies like Chayton Capital think that Africa is the best place to find that water. The message repeated at farmland investor conferences around the globe is that water is abundant in Africa. It is said that Africa’s water resources are vastly under utilised, and ready to be harnessed for export oriented agriculture projects.
The reality is that a third of Africans already live in water-scarce environments and climate change is likely to increase these numbers significantly. Massive land deals could rob millions of people of their access to water and risk the depletion of the continent’s most precious fresh water sources.
All of the land deals in Africa involve large-scale, industrial agriculture operations that will consume massive amounts of water. Nearly all of them are located in major river basins with access to irrigation. They occupy fertile and fragile wetlands, or are located in more arid areas that can draw water from major rivers. In some cases the farms directly access ground water by pumping it up. These water resources are lifelines for local farmers, pastoralists and other rural communities. Many already lack sufficient access to water for their livelihoods. If there is anything to be learnt from the past, it is that such mega-irrigation schemes can not only put the livelihoods of millions of rural communities at risk, they can threaten the freshwater sources of entire regions. (See Water mining, the wrong type of farmingandDeath of the Aral Sea)”
In the not-so-distant future, water will become “the single most important physical-commodity based asset class, dwarfing oil, copper, agricultural commodities and precious metals,” says Citigroup’s chief economist, Willem Buiter.
Hydro-colonialism?
The Nile and the Niger basins are only two of the examples of the massive give away of land and water rights. The areas where land grabbing is concentrated in Africa coincide closely with the continent’s largest river and lake systems, and in most of these areas irrigation is a prerequisite of commercial production.
The Ethiopian government is constructing a dam in the Omo river, to generate electricity and irrigate a huge sugarcane plantation; a project that threatens hundreds of thousands of indigenous people that depend on the river further downstream. It also threatens to empty the world biggest desert lake, Lake Turkana, fed by the Omo river. In Mozambique the government had signed off on a 30,000 hectares plantation along the Limpopo river which would have directly affected farmers and pastoralists now depending on the water. The project was revoked because the investor didn’t deliver, but the government is looking for others to take over. In Kenya, a tremendous controversy has arisen from the government’s plans to hand out huge areas of land in the delta of the Tana River with disastrous implications for the local communities depending on the delta’s water. The already degraded Senegal river basin and its delta have been subject to hundreds of thousands of hectares in land deals, putting foreign agribusiness in direct competition for the water with local farmers. The list goes on, and is growing by the day. This table shows a selection of the most important cases.
Peter Brabeck-Letmathe, the Chairman of Nestle, says that these deals are more about water than land: “With the land comes the right to withdraw the water linked to it, in most countries essentially a freebie that increasingly could be the most valuable part of the deal.”[8] Nestle is a leading marketer of bottled water under brand names including Pure Life, Perrier, S.Pellegrino and a dozen others. It has been charged with illegal and destructive groundwater extraction, and of making billions of dollars in profits on cheap water while dumping environmental and social costs onto communities. [9]
Asked at an agricultural investment conference whether it is possible to make money from water, Judson Hill of one of the private equity funds involved, was unequivocal: “Buckets, buckets of money,” he told a meeting of bankers and investors in Geneva. “There are many ways to make a very attractive return in the water sector if you know where to go.”
In the not-so-distant future, water will become “the single most important physical-commodity based asset class, dwarfing oil, copper, agricultural commodities and precious metals,” says Citigroup’s chief economist, Willem Buiter.[10] No surprise, then, that so many corporations are rushing to sign land deals that give them wide-ranging control over African water. Especially when African governments are essentially giving it away. Corporations understand what’s at stake. There are “buckets of money” to be made on water, if only it can be controlled and turned it into a commodity. (SeeVirtual water and Grabbing carbon credits?)
The secrecy that shrouds land deals makes it hard to know exactly what’s being handed over to foreign companies. But from those contracts that have been leaked or made public, it is apparent that the contracts tend not to contain any specific mention of water rights at all, leaving the companies free to build dams and irrigation canals at their discretion, sometimes with a vague reference to ‘respecting water laws and regulations’.[11] This is the case in the agreements signed between the Ethiopian government and both Karuturi and Saudi Star in Gambela, for example. In some contracts, a minor user fee is agreed upon for the water, but without any limitation on the amount of water that can be withdrawn. Only in rare cases are even minimal restrictions imposed during the dry season, when access to water is so critical for local communities. But even in instances where governments may have the political will and capacity to negotiate conditions to protect local communities and the environment, this is made increasingly difficult due to existing international trade and investment treaties that give foreign investors strong rights in this respect.[12]”
Stop the water grab
If this land and water grab is not put to an end, millions of Africans will lose access to the water sources they rely on for their livelihoods and their lives. They may be moved out of areas where land and water deals are made or their access to traditional water sources may simply be blocked by newly built fences, canals and dikes. This is already happening in Ethiopia’s Gambela, where the government is forcibly moving thousands of indigenous people out of their traditional territories to make way for export agriculture. By 2013, the government wants to remove 1.5 million people from their territories across Ethiopia.[13] As the bulldozers move into the newly acquired lands, this will become an increasingly common feature in Africa’s rural areas, generating more tensions and conflicts over scarce water resources.
But the impacts will run far beyond the immediately affected communities. The recent wave of land grabbing is nothing short of an environmental disaster in the making. There is simply not enough water in Africa’s rivers and water tables to irrigate all the newly acquired land. If and when they are put under production, these 21st century industrial plantations will rapidly destroy, deplete and pollute water sources across the continent. Such models of agricultural production have generated enormous problems of soil degradation, salinisation and waterlogging wherever they have been applied. India and China, two shining examples that Africa is being pushed to emulate, are now in a water crisis as a result of their Green Revolution practices. Over 200 million people in India and 100 million in China depend on foods produced by the over-pumping of water.[14] Fearing depleted water supplies or perhaps depleted profits, companies from both countries are looking now to Africa for future food production.
Africa is in no shape for such an imposition. More than one in three Africans live with water scarcity, and the continent’s food supplies are set to suffer more than any other’s from climate change. Building Africa’s highly sophisticated and sustainable indigenous water management systems could help resolve this growing crisis, but these are the very systems being destroyed by land grabs.
Advocates of the land deals and mega irrigation schemes argue that these big investments should be welcomed as an opportunity to combat hunger and poverty in the continent. But bringing in the bulldozers to plant water-intensive export crops is not and cannot be a solution to hunger and poverty. If the goal is to increase food production, then there is ample evidence that this can be most effectively done by building on the traditional water management and soil conservation systems of local communities. [15] Their collective and customary rights over land and water sources should be strengthened not trampled.
But this is not about combating hunger and poverty. This is theft on a grand scale of the very resources – land and water – which the people and communities of Africa must themselves be able to manage and control in order to face the immense challenges they face this century.
Going Further
Fred Pearce, The Landgrabbers: The new fight over who owns the Earth,
Eden Project, 2012.
Fred Pearce, When the rivers run dry: What happens when our water runs out? Eden Project, 2006
Farmlandgrab.org News and information on large-scale land grabs. Updated daily. Maintained by GRAIN as a research-sharing and monitoring project open to your contributions and participation.
The above montage of clips from the satirical movie ‘The Distinguished Gentleman‘, in which Freshman Congressman (and con man) Thomas Jefferson Johnson (Eddie Murphy) is schooled in the ways of Washington by legendary lobbyist Terry Corrigan (Kevin McCarthy), is as true today as it was back when that movie was made more than twenty years ago, so says Marty Kaplan. The following excerpts from the transcript of Bill Moyer’s latest report – Big Money, Big Media, Big Trouble – tells the sorry and sordid tale of our political economy/society. This Moyer’s interview with Kaplan, a true insider to our political and media complex, is quite extraordinary. He affirms what the general populace is unable to comprehend… that we live in a society in which the news media and government institutions are entirely owned by the corporate oligarchs. The government regulators are owned by the very companies they are charged with over-seeing by way of Wall Street’s army of lobbyists and the revolving door that exists between government and private sector positions. Actual news to inform the public on the state of affairs and issues affecting them is virtually nonexistent on the media airwaves.
…what’s really driving it, if you think of this as a symptom and not a cause, I think what’s really driving it is the absolute demonization of any kind of idea of public interest as embodied by government. And at the same time, a kind of corporate triumphalism, in which the corporations, the oligarchs, the plutocrats, running this country want to hold onto absolute power absolutely. And it’s an irritant to them to have the accountability that news once used to play.
…the notion of spectator democracy has, I think, extended to include the need to divert the country from the master narrative, which is the influence and importance and imperviousness to accountability of large corporations and the increasing impotence of the public through its agency, the government, to do anything about it. So the more diversion and the more entertainment, the less news, the less you focus on that story, the better off it is.
And the self-serving triviality of corporate-run ‘news’ media has become a self-reinforcing mechanism whereby stats are being kept of what is the most popular story which then gets kicked up to the top and influences what that corporate news channel reports on in the future. It’s all driven by ratings and profit rather than educating and informing people on facts and real issues. So Neil Postman was right… We are being entertained to death, literally. This nihilism plays right into the hands of those controlling the levers of power who would not benefit from a well-informed, well-eduated public. The vast majority of public discourse has been reduced to an echo chamber of the crap (divisive ‘wedge issues’, celebrity gossip, sensationalist stories, corporate propaganda, consumerist materialism, valorization of the predatory skills of the modern competitive capitalist, etc.) that fills the corporate-controlled airwaves.
…
BILL MOYERS: You wrote The Distinguished Gentleman 20 years ago. Could you write it today?
MARTY KAPLAN: Oh God, it still is the same. All you have to do is add a couple of zeros to the amount of money. And the same laws still apply. It is fabulous and miserable at the same time.
BILL MOYERS: Was Washington then, and is it now, the biggest con game going?
MARTY KAPLAN: It is the biggest con game going. And the stakes are enormous. And the effort to regulate them is hopeless, because the very people who are in charge of regulating them are the same people who are wholly-owned subsidiaries of the lobbies that run them.
BILL MOYERS: I have it on very good authority that a prominent Washington senator recently told a group of lobbyists in Washington, a room full of lobbyists, that they are the lifeblood of the city. And I thought, “Kaplan has to do a vampire movie now.” Right?
MARTY KAPLAN: Exactly. The connection between the legislators and the lobbyists is so intimate that it’s not even embarrassing for a senator to say that in front of a room. The culture is so hermetically sealed from the rest of the country that it doesn’t occur to them that there is something deeply outrageous and offensive and corrosive of democracy to admit that the money side of politics and the elected side of politics belong to each other.
BILL MOYERS: You wrestle with this, you and your colleagues at the Norman Lear Center, and all the time, on how, on what the system is doing to us. So let me ask you, “How did this happen in America? How did our political system become the problem instead of the answer?”
MARTY KAPLAN: Part of it is the nexus of media, money, and special interest politics. The citizens have given the airwaves to the station. We own the electromagnetic spectrum and for free we give out licenses to television stations. Those stations, in turn, use that spectrum to get enormous amounts of money from special interests and from members of Congress in order to send these ads back to us to influence us. So we lose it in both ways. The other day, the president of CBS, Les Moonves, was reported by “Bloomberg” to have said “Super PACs may be bad for America, but they’re … good for CBS.” I mean, there it is. This is a windfall every election season, which seems not to even stop ever, for the broadcast industry. So not only are they raking it in, they’re also creating a toxic environment for civic discourse. People don’t hear about issues. They hear these negative charges, which only turn them off more. The more negative stuff you hear, the less interested you are in going out to vote. And so they’re being turned off, the stations are raking it in, and the people who are chortling all the way to Washington and the bank are the ones who get to keep their hands on the levers of power. So one of the big reasons that things are at the pass they are is that the founders never could have anticipated that a small group of people, a financial enterprise and the technology could create this environment in which facts, truth, accountability, that stuff just isn’t entertaining. So because it’s not entertaining, because the stations think it’s ratings poison, they don’t cover it on the news.
BILL MOYERS: They don’t cover the news.
MARTY KAPLAN: They don’t cover politics and government in the sense of issues. They’re happy, occasionally to cover horse race and scandal and personality and crime and that aspect of politics. But if you look at a typical half hour of news, local news, because local news is one of the most important sources of news for Americans about campaigns. A lot—
BILL MOYERS: You and your colleagues have done a lot of research on local news.
MARTY KAPLAN: Yes, we’ve been studying it now since 1998. And each year it gets more depressing and it’s hard to believe. We, not long ago, did a study of the Los Angeles media market. We looked at every station airing news and every news broadcast they aired round the clock. And we put together a composite half hour of news. And if you ask, “How much in that half hour was about transportation, education law enforcement, ordinances, tax policy?” everything involving locals, from city to county. The answer is, in a half hour, 22 seconds.
BILL MOYERS: Twenty-two seconds devoted to what one would think are the serious issues of democracy, right?
MARTY KAPLAN: Yes. Whereas, in fact, there are three minutes about crime, and two and a half minutes about the ugliest dog contest, and two minutes about entertainment. There’s plenty of room for stuff that the stations believe will keep people from changing the dial.
BILL MOYERS: What is the irony to me is that these very same stations that are giving 22 seconds out of a half hour to serious news, are raking— and not covering politics, are raking in money from the ads that the politicians and their contributors are spending on those same papers.
MARTY KAPLAN: Yes, they’re earning hundreds of thousands and millions of dollars from the ads that they are being paid to run. And not even risking running a minute of news, which might actually check on the accuracy of an ad. Truth watches, they’re almost invisible now.
BILL MOYERS: So they will tell you, however, that they’re in the entertainment business. That they’re in the business to amuse the public, to entertain the public. And if they do these serious stories about the schools or about the highways or about this or that, the public tunes out. That the clicks begin to register as—
MARTY KAPLAN: It’s one of the great lies about broadcasting now. There are consultants who go all around the country and they tell the general managers and the news directors, “It is only at your peril that you cover this stuff.” But one of the things that we do is, the Lear Center gives out the Walter Cronkite award for excellence in television political journalism every two years. And we get amazing entries from all over the country of stations large and small of reporters under these horrendous odds doing brilliant pieces and series of pieces, which prove that you can not only do these pieces on a limited budget, but you can still be the market leader.
…
MARTY KAPLAN: Well, what’s really driving it, if you think of this as a symptom and not a cause, I think what’s really driving it is the absolute demonization of any kind of idea of public interest as embodied by government. And at the same time, a kind of corporate triumphalism, in which the corporations, the oligarchs, the plutocrats, running this country want to hold onto absolute power absolutely. And it’s an irritant to them to have the accountability that news once used to play.
BILL MOYERS: What do you mean by that? News challenges their assumptions, challenges their power?
MARTY KAPLAN: It used to be that the news programs that aired, believe it or not, had news on them. They had investigative stories.
But then somewhere in the 1980s, when 60 Minutes started making a profit, CBS put the news division inside the entertainment division. And then everyone followed suit. So ever since then, news has been a branch of entertainment and, infotainment, at best.
But there was a time in which the press, the print press, news on television and radio were speaking truth to power, people paid attention, and it made a difference. The— I don’t think the Watergate trials would have happened, the Senate hearings, had there not been the kind of commitment from the news to cover the news rather than cutting away to Aruba and a kidnapping.
BILL MOYERS: What is the basic consequence of taking the news out of the journalism box and putting it over into the entertainment box?
MARTY KAPLAN: People are left on their own to fend for themselves. And the problem is that there’s not that much information out there, if you’re an ordinary citizen, that comes to you. You can ferret it out. But it oughtn’t be like that in a democracy. Education and journalism were supposed to, according to our founders, inform our public and to make democracy work.
You can’t do it unless we’re smart. And so the consequence is that we’re not smart. And you can see it in one study after another. Some Americans think that climate change is a hoax cooked up by scientists, that there’s no consensus about it. This kind of view could not survive in a news environment, which said, “This is true and that’s false.” Instead we have an environment in which you have special interest groups manipulating their way onto shows and playing the system, gaming the notion that he said she said is basically the way in which politics is now covered.
It’s all about combat. If every political issue is the combat between two polarized sides, then you get great television because people are throwing food at each other. And you have an audience that hasn’t a clue, at the end of the story, which is why you’ll hear, “Well, we’ll have to leave it there.” Well, thank you very much. Leave it there.
BILL MOYERS: You have talked and written about “the straightjacket of objectivity.” Right? What is that?
MARTY KAPLAN: Well, the problem with telling the truth is that in this postmodern world, there’s not supposed to be something as truth anymore. So all you can do if you are a journalist is to say, “Some people say.” Maybe you can report a poll. Maybe you can quote somebody. But objectivity is only this phony notion of balance, rather than fact-checking.
There are some gallant and valiant efforts, like PolitiFact and Flackcheck.org that are trying to hold ads and news reports accountable. But by and large, that’s not what you’re getting. Instead the real straightjacket is entertainment. That’s what all these sources are being forced to be. Walter Lippmann in the 1920s had a concept called “spectator democracy” in which he said that the public was a herd that needed steering by the elites. Now he thought that people just didn’t have the capacity to understand all these complicated issues and had to delegate it to experts of various kinds.
But since then, the notion of spectator democracy has, I think, extended to include the need to divert the country from the master narrative, which is the influence and importance and imperviousness to accountability of large corporations and the increasing impotence of the public through its agency, the government, to do anything about it. So the more diversion and the more entertainment, the less news, the less you focus on that story, the better off it is.
BILL MOYERS: Are you saying that the people who run this political media business, the people who fund it, want to divert the public’s attention from their economic power? Is that what you’re saying?
MARTY KAPLAN: Yes.
Let us fight about you know, whether this circus or that circus is better than each other, but please don’t focus on the big change which has happened in this country, which is the absolute triumph of these large, unaccountable corporations.
This is about as dismal and effective a conspiracy, out in plain sight, as there possibly could be. So I don’t say that this is going to be solved or taken care of. What I do say is the first step toward it is at least acknowledging how toxic the situation has become.
…
BILL MOYERS: What you’re saying is that the political square is now a commercial enterprise, owned and operated for the benefit of the brand, CNN, Fox, all of those, right?
MARTY KAPLAN: That’s correct.
BILL MOYERS: How did it happen? How did we sell what belonged to everyone?
MARTY KAPLAN: By believing that what is, is what always has been and what should be. The notion that what goes on is actually made by people, changes through time, represents the deployment of political power. That notion has gone away. We think it’s always been this way. People now watching these CNN and Fox. They think this is how it works. They don’t have a sense of history. The amnesia, which has been cultivated by journalism, by entertainment in this country, helps prevent people from saying, “Wait a minute, that’s the wrong path to be on.”
BILL MOYERS: Amnesia, forgetfulness? You say that they’re cultivating forgetfulness?
MARTY KAPLAN: Absolutely.
…
BILL MOYERS: You made a very important speech not long ago at a media conference in Barcelona. And you tried and did draw the distinction between— you said the battle of the future is between big data and big democracy. In layman’s language, what is that?
MARTY KAPLAN: Big data, the age of big data that we’re supposed to be in, refers to the way in which, as we go on the internet, as we do all these media activities, watching television, which are at the center of our lives, we’re leaving a trail behind. We’re giving bits of ourselves up. And that set of bits is being collected and mined relentlessly.
So every time we buy a product or send an e-mail or vote how many stars to a restaurant, all this stuff creates a profile that companies buy and sell to each other. And that stuff is being used currently not only to market to us, to target ads toward us, but it’s also being used to profile us. There’s something called “web lining.” Which is similar to what used to be called “red lining.” The— that phenomenon, which is now illegal, in which people who were discriminated against because of the neighborhoods they live in. Right now—
BILL MOYERS: Banks drew a red line around impoverished neighborhoods that they would not then serve.
MARTY KAPLAN: Exactly. And so today imagine if you were to permit a private detective to follow you as you went to your drug store and bought a medication to help you with depression or as you made a phone call to a bankruptcy lawyer, because you needed one. Imagine if that kind of information could be put together and used against you to decide that you’re a bad credit risk or that maybe your insurance company should turn you down, because you suffer from this problem.
That kind of information, that kind of digital profiling is something which is emerging as a huge industry. And unless there are controls on it and constraints, as they have to some degree in Europe but not nearly enough even there, we are about to kiss goodbye our ownership of our privacy and also even the ownership financially of our information. We are the people who make Facebook and Twitter worth the billions of dollars that they’re worth, because we are giving up our information to them, which they are then selling and raising capital around.
BILL MOYERS: But in a libertarian era, what are the restraints and constraints against that? Where are they going to come from?
MARTY KAPLAN: Well, right now, the constraints in this country are voluntary. The Obama White House not long ago issued a digital code of conduct, which included privacy. In which they asked companies and companies did step up to it to say, “We’re not going to track people if they don’t want to be tracked.” And other such efforts to get people in control.
But what we do know, the record of just the past couple of months, is that company after company was doing stuff to us that’s astonishing, that we didn’t know about. The ways in which the apps that you use on your smartphones were vacuuming up information about you, your address book and all your pictures.
Stuff that you had no idea you had consented to, which in fact usually you had not, suddenly was all owned by other people, as well. You have not given permission, but that essential part of you is now not yours. That’s the name of the game now. This is baked into the business model of data mining, which is at the heart of so much of the digital economy.
BILL MOYERS: But that’s big data. You talked about big democracy.
MARTY KAPLAN: So at the same time as our data is being mined, there is this movement to protect people using technology to give them the power to say, “I’m not going to opt into this stuff.” We’re still at the beginning of this industry. And there has to be rules of the road. And part of those rules include my attention rights. My rights to control my identity, my privacy, and my ownership of information.”
BILL MOYERS: In your speech in Barcelona, you pointed to two simultaneous covers of TIME Magazine appearing the same week. One for the editions in Europe, Asia, and South Pacific, and it was about the crisis in Europe. The other, which appeared in the American edition, featured a cover about animal friendships. You use these two covers to illustrate the difference between what you call “push journalism” and “pull journalism.” What’s the difference?
MARTY KAPLAN: Push journalism is the old days, which seem no longer to apply in the era of the internet, in which an editor, a gatekeeper, says, “Here’s the package which you need to know.” All of that is ancient history now.
Instead, now, it’s all driven by what the consumer is pulling. And if the consumer says, “I want ice cream all the time.” And whether that ice cream is Lindsay Lohan, or the latest crime story, that’s what’s delivered. And as long as it’s being pulled, that’s what is being provided. So it’s quite possible that in the U.S., the calculation was made that the crisis in Europe and the head of Italy would not be a cover that one could use. But that pet friendships would be the sort of thing that would fly off the newsstand.
BILL MOYERS: So the reader is determining what we get from the publication?
MARTY KAPLAN: On a minute by minute basis, stories that the reader’s interested in immediately go to the top of the home page. There are actually pieces of software that give editorial prominence to stuff that people by voting with their clickers have said is of interest to them. No one is there to intervene and say, “Wait a minute, that story is just too trivial to occupy more than this small spot below the fold.” Instead, the audience’s demand is what drives the placement and the importance of journalistic content.
BILL MOYERS: So George Orwell anticipated a state as big brother, hovering over us, watching us, keeping us under surveillance, taking care of our needs as long as we repaid them with utter loyalty. Aldous Huxley anticipated a Brave New World in which we were amusing ourselves to death. Who’s proving the most successful prophet? Huxley or Orwell?
MARTY KAPLAN: Well, I think Huxley is probably right, as Neil Postman said in—
BILL MOYERS: The sociologist, yes.
MARTY KAPLAN: —in Amusing Ourselves to Death. That there’s no business but show business. And we are all equally guilty, because it’s such fun to be entertained. So you don’t need big brother, because we already have big entertainment.
BILL MOYERS: And the consequences of that?
MARTY KAPLAN: That we are as in Brave New World, always in some kind of stupor. We have continual partial attention to everything and tight critical attention on nothing.
…
According to stats from 2010 for TV viewing by adult Americans, we’re glued to the boob tube in our waking hours. This explains why having an intelligent conversation with most Americans is an impossible task. All they can do is regurgitate what has been constantly programmed into their heads.
• The average American watches 35:34 (hours/minutes) of TV per week
• Kids aged 2-11 watch 25:48 (hours/minutes) of TV per week (Q1 2010)
• Adults over 65 watch 48:54 (hours/minutes) of TV per week (Q1 2010)
And according to the latest Nielsen study, TV viewing is on the increase, notwithstanding a tiny drop in the number of households who own a TV:
…despite all the competition from cable TV, videogames, and the Internet, the average household watched 59 hours, 28 minutes of broadcast TV per week during the 2010-2011 season, setting a new record. Lanzano drew particular attention to the competition — or lack of it — from Facebook, noting that while the average person spends about 13 minutes a day on Facebook, they spend 297 minutes watching TV. “No wonder our friends at [General Motors] are making some changes,” he said. [Last month GM announced that it will stop placing ads on Facebook, after determining that they had little impact.]
It’s important to keep in mind that at the root of industrial civilization’s problems is an economic system called capitalism which requires infinite growth at the expense of our global life support system, the earth. The end game is a spent and destroyed environment in which a small global elite control the overwhelming percentage of the planet’s extracted wealth while the vast majority of the world’s population exist in squalor and debt peonage. The social hierarchy of our system can be visualized as a large pyramid with the wealthiest of society represented as the eye of a thin needle sitting atop the massive base that represents the rest of humanity. It seems the only impediment to capitalism is its own unstoppable path to self-destruction. For the power that accumulated capital wields has taken over all aspects of societal behavior – cultural, spiritual, political, legal, and analytical – to the detriment of us all.
“…About two years ago, WWF, the international organization involved in the area of ecology, said in its Living Planet report: A second planet will be required by 2030 to meet our needs as over-use of Earth’s natural resources and carbon pollution have become critical. If all human being in this world used resources at the same per capita rate as the US or the UAE, four and a half planets would be needed. More than 70 countries were exhausting their freshwater sources at an alarming, unsustainable rate. About two-thirds of these countries experience water scarcity ranging from moderate to severe. In 2007, the world’s 6.8 billion humans were living 50% beyond the planet’s threshold of sustainability. The report highlighted the rich-poor ecological gap. In 1970-2007, an index of biodiversity showed a world decline of almost 30%. In the tropics, it was alarming: 60%.
No brain with logic will claim that the acts are isolated from the world economic system: capitalism. “From the outset,” Joe Bageant, author of the book about working class in America Deer Hunting with Jesus: Dispatches from America’s Class War , writes, “capitalism was always about the theft of the people’s sustenance. It was bound to lead to the ultimate theft – the final looting of the source of their sustenance – nature.” (“Our Plunder of Nature will End up Killing Capitalism and Our Obscene Lifestyles”, Countercurrents , July 13, 2010 )
“The main feature of capitalism is the seductive assertion that you can get something for nothing in this world.” (ibid.) Owners of this system, the capitalists, Joe continues, “hate any sort of cost.” They, he describes, “remain unimpressed by global warming, or melting polar ice caps, or Southwestern desert armadillos showing up in Canada , or hurricanes getting bigger and more numerous every year.”
These are the elites in control of the world environment in continents and countries. “Just before the economy blew out,” according to Joe, “these elites held slightly less than $80 trillion. After the blowout/bailout, their combined investment wealth was estimated at a little over $83 trillion. To give some idea, this is four years of the gross output of all the human beings on earth.”
This massive money power takes hold of political power. Owning this unimaginably monstrous money-political power system they put their footprint on ecology that is changing the planet’s environment irreversibly.
This system, the masters of the system in the center, in the periphery, in between the center and the periphery, try their best to maximize profit by minimizing cost, by appropriating labor, robbing nature, grabbing everything within their reach, putting costs on public. Pollution, destruction of ecology and ruination of nature thus creep into public domain – a human concern.
Acts of the masters are turning into crime, crime against the planet, against posterity, against humanity.
The World Future Council leaders said: “These are crimes against the future … These are crimes that will not only injure future generations, but destroy any future at all for millions of people.”
The Council has called for appointing “ombudspersons for future generations”, “guardians appointed at global, national and local levels whose job would be to help safeguard environmental and social conditions by speaking up authoritatively for future generations in all areas of policy-making. This could take the shape of a parliamentary commissioner, a guardian, a trustee or an auditor, depending on how it best fits into a nation’s governance structure.”
But questions are there: How far the ombudspersons can act where power structure, economy and political power is of, by and for polluters, grabbers, eco-murderers? If they can act, then, why do environment law/court/ministry/inspectors, depending on arrangement in countries, can’t act? What will happen if polluters grab that proposed holy post as have happened in countries by different lobbies/interests/gangs? What’s the guarantee that the proposed holy persons’ observations/edicts/verdicts will be implemented? Are not there instances of trampling/violation of all basic, fundamental, moral, ethical, human, natural, principled rights/practices/conventions/laws/rules around the world, in countries?
Out of their sense of urgency the WFC leaders’ suggestion sounds nice, but not functional. It’s detached from reality, the socio-economic-environmental -political reality.
What’s the reality?
An answer is provided by Fred Magdoff and John Bellamy Foster in their seminal analysis What Every Environmentalist Needs to Know about Capitalism: A Citizen’s Guide to Capitalism and the Environment (2011): Capitalism is a system that must continually expand, a system that, by its very nature, will eventually come up against the reality of finite natural resources, a system geared to expansionist growth in the search for profits that will inevitably transgress planetary boundaries.
By its very nature the system stands against ecology and environment as its only concern is profit, nothing else. Standing for environment will lead to questioning the ever hungry system.
Pushing 1 billion persons down to extreme poverty, and enriching a few, whose consumption is threatening the planet is one of the major “contributions” of the system. Other than the hungry and starved, there are energy poor, electricity poor, water poor, information poor, basic rights poor, safety poor, they are the poor masses deprived of honor and dignity, and there are the food rich, energy rich, electricity rich, water rich, information rich, luxury rich, power and privilege rich, resource rich, consumption rich, the rich few controlling everything.
Imbalance and inequity at this level can’t sustain environment and ecology. The first one, imbalance and inequity, is linear, ever expanding while the later one, environment and ecology, demands diversity, tolerance, consideration, accommodation. Observance related to environment turns hollow and chattering if this aspect of political economy is ignored…
“…A major point of contention is the claim that a “severe reduction in revenue growth” – linked to the growing numbers of users accessing the website on mobile phones rather than computers – was concealed.
Facebook, which is being sued as a company along with Mr Zuckerberg, other leading executives at the company and its lead underwriters – Morgan Stanley and Goldman Sachs – has denied the claims. Another lawsuit filed in California claims Facebook and its banks actively misled investors. The banks deny any wrongdoing.
However, the claim that Mr Zuckerberg was able to profit by selling his shares in the knowledge that the share value would likely decline, while others bought in without the benefit of the facts, has heightened the controversy.
It has even led to the term “Zucked” being coined to describe what happened to the investors who lost money.
The US Senate Banking Committee has announced it is to investigate the affair, after which its chairman, Senator Tim Johnson, will decide if public hearings should be held.”
What’s also not new is that Main Street continues to pour money into the stock market, only to see it funneled up to the well-connected wealthy investors and banks. As George Carlin always said, “It’s a big club, and you ain’t in it.” Wall Street is just one enormous and slippery greased palm:
Giving well-connected firms an inside track has been one of the ways that big Wall Street firms attract and keep big clients. These clients are powerful profit drivers, and banks tend to give their best customers the best deals.
“These people give them more money in fees and commissions than others,” said Ernest Badway, a former U.S. Securities and Exchange Commission enforcement attorney who is now a white-collar defense lawyer in New York and New Jersey.
“Because of that — they’re part of a great revenue stream — they’re going to try to give every single advantage that they can to those particular people,” he said.
Large institutions and wealthy investors have a symbiotic relationship with Wall Street bankers. “The retail guy is at the end of the queue,” Geisst said. “He can’t do anybody any favors.”
With that in mind, we have the largest tech IPO ever to debut on Wall Street:
Main Street investors reportedly made up 25% of Facebook’s 421 million shares in the initial public offering. That gives the average Joe a loss of more than $500 million, based on Facebook’s closing price of $33.03 a share Thursday. As of closing Friday (5-25-12), the stock price is now at $31.34 per share. Here’s Facebook’s performance compared to other big IPO’s over the last decade:
Once again, information was divulged to well-connected investors that the unwashed masses were not privy to or made aware of:
Regulators and congressional investigators have begun probes into what went wrong, looking into questions over information distributed ahead of the IPO. Morgan Stanley and other underwriters warned privileged clients that their analysts had grown sour on Facebook’s revenue growth potential. They failed to telegraph the same information to retail clients and the general public. Information affords a crucial trading edge on Wall Street.
What exactly was that information? It was that Facebook’s business model is severely flawed. Here is the fine print of its amended S-1 statement to the Securities and Exchange Commission before the IPO launched and which is at the heart of a massive lawsuit as reported here:
“We do not currently directly generate any meaningful revenue from the use of Facebook mobile products, and our ability to do so successfully is unproven. We believe this increased usage of Facebook on mobile devices has contributed to the recent trend of our daily active users (DAUs) increasing more rapidly than the increase in the number of ads delivered. If users increasingly access Facebook mobile products as a substitute for access through personal computers, and if we are unable to successfully implement monetization strategies for our mobile users, or if we incur excessive expenses in this effort, our financial performance and ability to grow revenue would be negatively affected.”
In other words, they don’t have a fucking business model to compete with Google or Apple on the Mobile market! Additionally, the prospects of Facebook’s future revenue stream is highly unlikely(a snowball’s chance in hell) to have justified its initial asking price:
For Facebook to actually be worth $125-$150 billion or more today, it would have to be worth $300-$400 billion in a few years’ time, otherwise it’s not worth buying. Facebook would have to earn $20 billion of profit to justify a $300-$400 billion valuation, 20 times the amount Facebook earned last year. Which means it’s going to have to find new revenue models. And we haven’t seen any evidence of that.
Espen Robak, the president of Pluris Valuation Advisors, has told The Atlantic it doesn’t make any sense. “Nobody knows what Facebook’s revenue and profit model is going to be. If their revenue and profit model stays the same, this valuation doesn’t make any sense. There’s no way they can just squeeze enough plain old ad revenue to justify these numbers. They must change. We don’t know what this is going to look like.”
“The move by GM, one of the largest advertisers in the U.S., puts a spotlight on an issue that many marketers have been raising: whether ads on Facebook help them sell more products. On Friday, Facebook is expected to sell shares in an initial public offering that could put a market value on the company of as much as $104 billion … The move by GM, one of the largest advertisers in the U.S., puts a spotlight on an issue that many marketers have been raising: whether ads on Facebook help them sell more products.
If one were to simply look at polls (half of America thinks that Facebook is just a passing fad while 57 per cent never bother clicking any ads), then you would have to come to the conclusion that the Facebook IPO was just another opportunity for those at the top to siphon off money from gullible ‘investors’. The debacle of the Facebook IPO is a perfect metaphor to sum up America: a nation that has been hollowed out and defrauded by a system that rewards and protects the monied interests of a small elite over the well-being of the rest of the nation.
“Most people [Americans] have been reduced to a market demographic. They’re consumers, they’re not citizens. No matter how active they are within the system [employment, religion, government, etc.] the system is the problem.” – Joe Bageant
The ideology we have today permeating every aspect of life in America is neoliberal capitalism which takes its ultimate expression in the form of megacorporations or multi-national corporations whose tentacles of power and influence reach deep into government and other nations as well, considering that their wealth and budgets are larger than that of many small countries. Indeed in America the government and the corporate world are one, merely separated by a revolving door.
As long as you conform to what they have programmed you to be, an obedient consumer, then behavior which is in line with that mindset is deemed permissible or legal. Similar behavior which questions the consumer culture and the power structure behind it is deemed illegal and is either squashed or otherwise corralled through State violence and coercion. In an article in the early 1980s in which he referred to the American people as ‘consumer-depositors’ in thrall to the financial elite, Gore Vidal saw into this aspect of the system decades ago.
Consumerism as Hegemony:
By hegemony, Gramsci meant the permeation throughout society of an entire system of values, attitudes, beliefs and morality that has the effect of supporting the status quo in power relations. Hegemony in this sense might be defined as an “organizing principle” that is diffused by the process of socialization into every area of daily life. To the extent that this prevailing consciousness is internalized by the population it becomes part of what is generally called “common sense” so that the philosophy, culture and morality of the ruling elite comes to appear as the natural order of things.
It was Wall Street banks and hedge funds, not home buyers, who created the enormous demand for high-risk mortgages to pool, to securitize, and to turn into Ponzi-like gambling structures with names like CDOs, CDO squared and synthetic CDOs. It was the money-grubbing rating agencies that blessed these pieces of garbage with AAA ratings. As a result, trillions of dollars of worthless toxic assets polluted our financial system. When the bubble they induced burst, our system crashed, causing 8 million working people to lose their jobs in a matter of months due to no fault of their own. Anyone who still blames low-income home buyers, or regulations or Greece — or anyone other than Wall Street — should be checked for dementia.
This deregulation of capitalism into a more predatory and destructive form has occurred at the same time as our government has slowly militarized this nation’s domestic police force and turned our country into a Security and Surveillance State. We are paying for our own enslavement. The rapacious corporate forces that were behind the meltdown of our economy in 2008 are now backed in power by this strengthened Authoritarian State. The inverted totalitarianism that Sheldon Wolin talked about has come to fruition. The great irony is that this totalitarianism is not coming from some socialist revolution as feared by the far right, but from Neoliberal Capitalism, the very system that Fox news and the corporate mainstream media trumpet.
With the dawning of an age of depletion and peak resources, Consumerism and the antisocial behavior of neoliberal capitalism can no longer survive and are simply being propped up and enforced by the iron fist of the Corporate State. Peak oil had a hand in bursting Wall Street’s housing bubble. This scenario of an ever-growing oppresive State in the face of an energy-starved future bodes ill for the rest of us who are not so privileged to be sitting in ivory towers, oblivious to the coming storm. Author Brian Davey describes this disconnection with reality that the elite suffer from, ensconced as they are in their own world of narcissism and luxury:
…There is nothing new in the phenomena of power arrogance and hubris. Since the earliest civilisations, rulers have made decisions and overreached their power in the confident belief that they had God on their side. In more modern times our rulers have believed that nature rewards the fittest, in other words, them.
Irrespective of what point in history they emerge, the starting point of most elites is the comfortable assumption that, as things have typically gone right for them in the past, they will continue to go right in the future. This belief is compounded by the fact that for a long time it has been the “little people” who bear the costs while those higher up the food chain reap the benefits. Power means that they are effectively cocooned from the negative kick-back from their actions. Long before the rulers themselves are successfully challenged and fall — and this typically happens only in the final stages — millions of others have already lost out badly and immense damage has been done.
What we term hubris is the cruel arrogance that arises from a failure of bottom-up feedback in systems where vast social and geographical distances exist between the powerful and the powerless. The punishment of Nemesis, the Greek goddess who was supposed to re-impose limits on those who overstepped their power, typically befalls entire societies before it befalls the rulers. Today the vast distance that separates the global elite from ordinary people is magnified further by the high-power technologies of communications, transport, production and weaponry. Nemesis, when she comes, will be global….