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Showing posts with label Trump. Show all posts
Showing posts with label Trump. Show all posts

Thursday 14 March 2019

It's not just corruption. Entrance into elite US colleges is rigged in every way

An FBI sting revealed that wealthy parents are buying their children a place in top universities. But they’re not the only problem: the whole system is rigged writes Richard V Reeves in The Guardian 


 
‘Elite colleges are serving to reinforce class inequality, rather than reduce it.’ Photograph: Boston Globe/Boston Globe via Getty Images


Shock horror! Wealthy Americans are using their money to buy their children places at elite colleges. An FBI investigation, appropriately named Operation Varsity Blues, has exposed a $25m cash-for-admissions scandal. Coaches were allegedly bribed to declare candidates as athletic recruits; test administrators to change their scores, or allow someone else to take the test for them.

At the center of the cheating scheme was William “Rick” Singer, the founder of a for-profit college preparation business based in Newport Beach, California. Among the 33 parents caught in the FBI sting were Hollywood stars Lori Loughlin and Felicity Huffman. Loughlin starred in the series Full House. Huffman is famous for her role in Desperate Housewives; now she will be more famous as a desperate mom. And she’s not alone. The breathless anxiety among many affluent parents to get their kids into the very best colleges is a striking feature of upper-class American life.

Singer’s bribery scheme allegedly allowed parents to buy entrance for their offspring at some of the nation’s most prestigious colleges, including Yale, Georgetown University, Stanford University, UCLA, the University of San Diego, USC, University of Texas and Wake Forest.

FBI officers were at pains to point out that the colleges themselves are not being found liable; though nine athletic coaches were caught in the net.

“Following 10 months of investigation using sophisticated techniques, the FBI uncovered what we believe to be a rigged system,” John Bonavolonta, the FBI special agent in charge said, “robbing students all over the country of their right to a fair shot of getting into some of the most elite universities in this country”.

But here’s the thing: the whole system is “rigged” in favor of more affluent parents. It is true that the conversion of wealth into a desirable college seat was especially egregious in this case – to the extent that it was actually illegal. But there are countless ways that students are robbed of a “fair shot” if they are not lucky enough to be born to well-resourced, well-connected parents.

The difference between this illegal scheme and the legal ways in which money buys access is one of degree, not of kind. The mistake here was to do something illegal. Meanwhile, much of what goes on in college admissions many not be illegal, but it is immoral.

Take legacy preferences, for example. This boosts the admissions chances of the children of alumni; and for obvious reasons the alumni of elite colleges tend to be pretty affluent, especially if they marry each other. (They are also disproportionately white.) The acceptance rate for legacy applicants at Harvard, Yale, Princeton, Georgetown and Stanford is between two and three times higher than the general admission rate. If they don’t get in first time round, they might be asked to take a “gap year” and enter a year later instead, a loophole known as “Z-listing”. A Princeton study found that being a legacy applicant had the same effect as adding 160 SAT points – on the old scale up to 1600 – to a student’s application. Imagine if colleges gave that kind of admissions boost to lower-income kids?

As John W Anderson, the former co-director of college counseling at the Phillips Academy, an elite boarding school in Andover, Massachusetts, once admitted, of the students from his school who are Z-listed for Harvard, “a very, very, very high percent” are legacies. The Harvard Crimson estimates the proportion at around one in two.

Or how about donor preferences? Rather than bribing coaches, the wealthiest parents can just bribe – sorry, donate to – the college directly. In 2017, the Washington Post reported on the special treatment given to “VIP applicants” via an annual “watch list”. Applicants whose parents were big donors would have notes on their files reading “$500k. Must be on WL” (wait list). Even better, these donations are tax free!

As a general rule, the bigger the money the bigger the effect on admissions chances. Among elite aspirational alums, the question asked is “what’s the price?”. In other words, how much do you have to donate to get your child in?

Whatever the price is, those with the fattest wallets can obviously pay it. Peter Malkin graduated from Harvard Law School in 1958. He became a very wealthy real estate businessman, and huge donor. In 1985, the university’s indoor athletic facility was renamed the Malkin Athletic Center in his honor. All three of Malkin’s children went to Harvard. By 2009, five of his six college-age grandchildren had followed suit. (One brave boy dared to go to Stanford instead.)



How elite US schools give preference to wealthy and white 'legacy' applicants


Or how about Jared Kushner, Donald Trump’s son-in-law? Kushner was accepted into Harvard shortly after his father donated $2.5m. An official at Kushner’s high school said there was “no way anybody in the administrative office of the school thought he would, on the merits, get into Harvard. His GPA did not warrant it, his SAT scores did not warrant it.”

David E and Stacey Goel just gave $100m to Harvard. I’m going to go out on a limb here and say that their children probably have an excellent chance of Harvard admission.

Even those parents who are not in the wealthiest brackets, but are squarely in the upper middle class, can use their money to boost their kids’ chances, through tutors, SAT prep classes, athletic coaches. Students who apply early have better chances of admission, which favors more affluent families since early admission precedes financial aid decisions. Many colleges prefer students who have “shown an interest” in their college. How to show an interest? By visiting the campus – easy for those with money for flights and hotels, less so for those on modest or low incomes.

Small wonder that at elite colleges, including most of those targeted in the corruption scheme such as Yale, Duke, Stanford and Wake Forest, take more students from families in the top 1% of the income distribution than from those in the bottom 60% combined.

So hats off to FBI special agent Bonavolonta and his team for exposing the corruption admissions. But it is in fact simply the most visible sign of a much deeper problem with college admissions. Elite colleges are serving to reinforce class inequality, rather than reduce it. The opaque, complex, unfair admissions process is a big part of the problem. From an equality perspective, it is not just Singer and his clients who are at fault: it’s the system as a whole.

Tuesday 4 December 2018

Opec: why Trump has Saudi Arabia over a barrel

David Sheppard and Ed Crooks in The FT

Reneé Earls has lived her whole life in west Texas, and watched oil booms come and go, but she has never seen anything like the buzz of activity in the industry today. “We are a hopping spot,” she says. “If you’re not working here, that’s because you’re not looking for a job, or you are unemployable . . . If you have a skill and want to work, you can name your price.” 

Ms Earls is chief executive of the chamber of commerce in Odessa, in the heart of the Permian basin, the shale formation stretching from west Texas into New Mexico that is the red-hot centre of the latest US oil boom. Production in the region rose by 1m barrels a day in the year to August, contributing to a record-breaking 2.1m b/d increase in US output that has made the country the world’s largest crude producer. 

The shale boom has not only transformed once rundown towns deep in the west Texas desert; it is increasingly reshaping the landscape of international politics. The emergence of the US as a born-again energy superpower — one of the key factors in the recent fall in oil prices — has led politicians in Washington to weigh how it might reshape some of its oldest alliances, raising uncomfortable questions for the oil producers of the Middle East .  

For Saudi Arabia, the US’s chief ally in the Arab world, the past two months have delivered a stark lesson in how its relationship with Washington has been redefined by the Texas oil revolution. 

On Thursday and Friday ministers from Opec, the oil cartel that controls roughly a third of global production, and its allies including Russia and Kazakhstan, will meet in Vienna to decide how to respond to the 30 per cent plunge in oil prices to around $60 a barrel over the past two months. With US output surging, and Russia and Saudi Arabia also producing at close to record levels, traders are convinced the market will be awash with oil next year. 

Previously such a fall would have prompted Opec and its allies to agree to cut production. But for Saudi Arabia, which remains the world’s top oil exporter and the cartel’s de facto leader, that decision has been complicated by the murder of Jamal Khashoggi. 

The gruesome killing of the Saudi Arabian journalist and Washington Post columnist, a critic of the royal family, has revealed fissures in its prized relationship with the US. 

US president Donald Trump has maintained his backing for Riyadh and Crown Prince Mohammed bin Salman, the country’s day-to-day ruler widely known as MBS, despite reports that the CIA has concluded that he ordered the operation against Khashoggi at the kingdom’s consulate in Istanbul. But his stance comes with conditions attached, one of which lies at the heart of the kingdom’s wellbeing: the oil price. 

In statements, tweets and private communications Mr Trump has made clear his support for lower oil prices and his opposition to Riyadh moving to cut production, heaping pressure on a royal court shaken by the international backlash against the Khashoggi killing. The pressure from the White House has come despite Saudi Arabia raising production this summer to help make sure the market remained well supplied as the US reimposed sanctions on Iran. Riyadh’s position as Tehran’s chief rival in the region reflects a core part of the Trump administration’s foreign policy. 

“The priority for Saudi Arabia is shoring up MBS’s position, and the key part of that is securing Trump’s backing,” says Derek Brower, a director of RS Energy Group. “Trump has clearly linked his support for MBS with several things . . . but it’s oil that seems to be at the top of his agenda.” 

For the Trump administration, the calculation is straightforward. Lower oil prices mean cheaper petrol, providing a boost for consumers. The president has hailed the recent fall in prices as a “tax cut”, giving him some good news after a stock market wobble triggered by his confrontation with China over trade. 

For Saudi Arabia, that creates a dilemma. Khalid al-Falih, its energy minister, has pushed ahead with plans to drum up support for cutting oil production by more than 1m b/d, but observers think he will be constrained by the need to appease Mr Trump. 

Bob McNally, a consultant who has advised US administrations on oil policy, says Riyadh’s position is precarious. “If they orchestrate a high-profile Opec-plus cut that boosts Brent crude back up towards $70 they risk Trump’s wrath,” he says. “[But] if Riyadh bends entirely to Trump’s will and keeps production at record levels, an inventory glut will return and the bottom will fall out of crude prices.” 

Ellen Wald, author of a history of Saudi Arabia’s oil industry, says the “ultimate success” for Riyadh from this week’s meeting would be “to quietly let people know that a cut is happening to raise the price, without drawing attention to the activity of Opec specifically.” 

Yet history suggests that kind of mixed message risks pleasing no one — angering Mr Trump while not doing much to raise prices. 

The stakes for Saudi Arabia are higher than just a single decision on output. Its alliance with the US has long been underpinned by oil supplies, with the resultant petrodollars recycled back into the American economy through the purchase of military hardware. 

After a fall in prices in 2014, Riyadh renewed its attempts to diversify and modernise both its economy and wider society, aiming to reduce its dependence on oil revenues. But for the programme to have a chance of success, Saudi Arabia needs a higher oil price in the short term to help fund the changes. 

The shale boom is eroding the foundations of one of the pillars of the alliance. US net oil imports, which peaked at about 13m b/d in 2005, have dropped to about 2.4m b/d this year. By the end of next year, they could be running at just 330,000 b/d, according to the US Energy Information Administration. 

Saudi Arabia’s crude supplies remain crucial to the world economy, and to US consumer fuel prices. But Amy Myers Jaffe, a senior fellow at the Council on Foreign Relations, says the US economy is much less vulnerable to a spike in prices than it was even a decade ago. 

The evidence of the crude price fall four years ago and subsequent recovery is that the impact of changes on the American economy is now roughly neutral. “The US is not in the position it was in 2007-08, when we were facing a rising oil price that put strain on the current account deficit and the dollar,” she says. “That’s a big change.” 

As politicians start to grasp the implications of that shift, it is strengthening the argument that the US no longer needs to shackle itself to Riyadh. 

“The atmosphere in Washington has certainly changed following the killing of Jamal Khashoggi,” says Helima Croft, a former CIA analyst who now runs RBC Capital Markets’ natural resources analysis. “Politicians see the surge in US oil production and are wondering aloud whether the alliance is as necessary as it once was.” 

Those questions are also starting to drive activity in Congress. Last week, the Senate voted 63-37 to advance a resolution demanding that the president end US armed forces’ activity “in or affecting Yemen”, where Saudi Arabia’s war against Iran-aligned Houthi rebels has exacerbated what aid groups describe as the world’s worst humanitarian crisis. 

Legislation that would allow the US to impose criminal penalties on members of Opec and their allies for acting as a cartel has also been making progress. For Saudi Arabia, which has extensive assets in the US including the largest refinery in North America, that legislation is a genuine threat. 

Tim Kaine, the Democratic senator from Virginia who was a co-sponsor of the bipartisan legislation on Yemen, suggested the Khashoggi death had been the last straw for some. “It was really important for the Senate to send a message to Saudi Arabia: ‘you do not have a free pass’,” Mr Kaine told National Public Radio last week. “The president’s signal of complete impunity is not in accord with American values.” 

In the autumn of 2014, the Saudi government tried to reassert its authority in the oil market against the nascent threat from shale. As a global glut of crude swelled up, Riyadh declined to cut production, in the belief it could drown the Texas producers in a sea of cheap oil. 

But shale proved far more resilient than Saudi Arabia — the only country with significant spare production capacity — had hoped. Two years on Opec members returned to restricting output, with the help of Russia and other non-member producers, to lay the foundations for a recovery in prices. 

As the oil price has fallen this autumn, the memories of that episode have been resurfacing. But Jason Bordoff of Columbia University’s Center on Global Energy Policy says there is at least one crucial difference. “We now know how resilient shale can be. We saw how companies could cut costs and become more efficient to keep producing. That complicates Opec’s decision-making,” he says. “This time around, Opec knows it can’t kill shale, but maybe just wound it.” 

Ms Earls says the people of Odessa have been watching as oil prices have plunged in the past two months. Fundamentally, though, they “still feel very confident”, she adds, because of the producers’ long-term commitment. The Permian Strategic Partnership, an industry-backed group that works with communities to help develop badly-needed infrastructure including roads, houses and schools, estimates a further 60,000 jobs will be createdby 2025, a huge increase for an area that had a population of about 330,000 last year. 

The rate at which new wells are brought into production in the Permian was already expected to slow, in part because of a shortage of pipeline capacity. If the fall in prices is sustained, it could mean the industry slows further across the US, raising questions too for the White House. 

The gains to consumers from lower fuel prices will be offset by the hit to investment. The oil-dependent economies of Texas and North Dakota would bear the brunt of the hit, but it would also extend to other industries such as steelmaking, which has benefited from the boom in pipeline construction. 

Bernadette Johnson, vice-president of market intelligence at Drillinginfo, a research group, says there are several oil producing regions, such as the Denver-Julesburg Basin of Colorado, Wyoming and Nebraska, where a fall in US crude from $60 to $50 would make a significant difference to the economics. 

“The companies think that it may just be a temporary thing, and that prices will rebound,” she says. “If the oil price stays where it is, we will see companies start to react.” 

Yet while there may be a temporary slowdown, there is a general confidence in the US industry that its growth can continue. US officials say they are not concerned about the impact of lower oil prices, arguing that the industry will be able to continue to grow thanks to technological improvements and efficiency gains. Others are more sceptical, noting that US production contracted in 2016 when prices were at their nadir. 

Will Giraud, executive vice-president of Concho Resources, one of the leading producers in the Permian Basin — where production is approaching 3.7m b/d — told investors last month: “I think there are several more years of very high growth, and it’s likely that the Permian gets into the 5m-6m or maybe even 7m b/d of production and then sustains that for a decent period.” 

In the face of rampant US shale output, Saudi Arabia looks like it may still decide that angering Mr Trump is a price worth paying for a production cut that props up the oil price, whatever the heightened risks from the Khashoggi affair. But regardless of what the Saudis decide, the flow of oil from places such as Odessa will keep quietly eroding one of the old certainties that underpinned their relationship with the US. As Mr Brower at RS Energy puts it: “The pressures that Saudi Arabia are under are already immense.”

Saturday 10 November 2018

What the Working Class Is Still Trying to Tell Us

David Brooks in The New York Times



Republican supporters waited to enter a rally in Indiana where President Trump was campaigning days before the midterm elections. Credit Leah Klafczynski for The New York Times


I was ready for massive Democratic turnout for the election on Tuesday. But I was surprised how massive the Republican turnout was in response.

The Republicans who flooded to the polls weren’t college-educated suburbanites. Those people voted for Democrats this year.

They weren’t tax-cut fanatics. Half of the Republican members of the House Ways and Means Committee either left Congress, ran for other offices or were defeated.

They weren’t even small-government Republicans. The same red states that elected conservatives to office also — in Nebraska, Idaho and Utah — approved ballot initiatives to expand Medicaid. The same red states that elected conservatives also approved initiatives — in Arkansas and Missouri — to raise the minimum wage.

These were high-school-educated, working-class Republicans.

A lot of us pundits said Donald Trump should run a positive campaign bragging about all the economic growth. But Trump ran another American carnage campaign. That’s because American life still feels like carnage to many.

This is still a country in which nearly 20 percent of prime-age American men are not working full time. This is still a country in which only 37 percent of adults expect children to be better off financially than they are. This is still a country in which millions of new jobs are through “alternative work arrangements” like contracting or consulting — meaning no steady salary, no predictable hours and no security.

Working-class voters tried to send a message in 2016, and they are still trying to send it. The crucial question is whether America’s leaders will listen and respond.

One way to start doing that is to read Oren Cass’s absolutely brilliant new book, “The Once and Future Worker.” The first part of the book is about how we in the educated class have screwed up labor markets in ways that devalued work and made it harder for people in the working class to find a satisfying job.

Part of the problem is misplaced priorities. For the last several decades, American economic policy has been pinioned on one goal: expanding G.D.P. We measure G.D.P. We talk incessantly about economic growth. Between 1975 and 2015, American G.D.P. increased threefold. But what good is that growth if it means that a thick slice of America is discarded for efficiency reasons? 

Similarly, for the last several decades American, welfare policy has focused on consumption — giving money to the poor so they can consume more. Yet we have not successfully helped poor people produce more so that they can take control of their own lives. We now spend more than $20,000 a year in means-tested government spending per person in poverty. And yet the average poverty rate for 2000 to 2015 was higher than it was for 1970 to 1985.

“What if people’s ability to produce matters more than how much they can consume?” Cass asks.

The bulk of his book is a series of ideas for how we can reform labor markets.

For example, Cass supports academic tracking. Right now, we have a one-size-fits-all education system. Everybody should go to college. The problem is that roughly one-fifth of our students fail to graduate high school in four years; roughly one-fifth take no further schooling after high school; roughly one-fifth drop out of college; roughly one-fifth get a job that doesn’t require the degree they just earned; and roughly one-fifth actually navigate the path the system is built around — from school to career.

We build a broken system and then ask people to try to fit into the system instead of tailoring a system around people’s actual needs.

Cass suggests that we instead do what nearly every other affluent nation does: Let students, starting in high school, decide whether they want to be on an apprenticeship track or an academic track. Vocational and technical schools are ubiquitous across the developed world, and yet that model is mostly rejected here.

Cass also supports worker co-ops. Today, we have an old, adversarial labor union model that is inappropriate for the gig economy and uninteresting to most private-sector workers. But co-ops, drawing on more successful models used in several European nations, could represent workers in negotiations, train and retrain workers as they moved from firm to firm and build a safety net for periods of unemployment. Shopping for a worker co-op would be more like buying a gym membership. Each co-op would be a community and service provider to address a range of each worker’s needs.

Cass has many other proposals — wage subsidies, immigration reforms. But he’s really trying to put work, and the dignity of work, at the center of our culture and concern. In the 1970s and 1980s, he points out, the Emmy Award-winning TV shows were about blue-collar families: “All in the Family,” “Taxi,” “Cheers,” “The Wonder Years.” Now the Emmy-winning shows are mostly about white-collar adults working in Los Angeles, Seattle, Boston, New York and Washington. 

We in the college-educated sliver have built a culture, an economy and a political system that are all about ourselves. It’s time to pass labor market reforms that will make life decent for everybody.

Wednesday 3 October 2018

Our cult of personality is leaving real life in the shade

George Monbiot in The Guardian

By reducing politics to a celebrity obsession – from Johnson to Trump to Corbyn – the media misdirects and confuses us 

Illustration: Ben Jennings


What kind of people would you expect the newspapers to interview most? Those with the most to say, perhaps, or maybe those with the richest and weirdest experiences. Might it be philosophers, or detectives, or doctors working in war zones, refugees, polar scientists, street children, firefighters, base jumpers, activists, writers or free divers? No. It’s actors. I haven’t conducted an empirical study, but I would guess that between a third and a half of the major interviews in the newspapers feature people who make their living by adopting someone else’s persona and speaking someone else’s words.

This is such a bizarre phenomenon that, if it hadn’t crept up on us slowly, we would surely find it astounding. But it seems to me symbolic of the way the media works. Its problem runs deeper than fake news. What it offers is news about a fake world.

I am not proposing that the papers should never interview actors, or that they have no wisdom of their own to impart. But the remarkable obsession with this trade blots out other voices. One result is that an issue is not an issue until it has been voiced by an actor. Climate breakdown, refugees, human rights, sexual assault: none of these issues, it seems, can surface until they go Hollywood.

This is not to disparage the actors who have helped bring them to mainstream attention, least of all the brave and brilliant women who exposed Harvey Weinstein and popularised the #MeToo movement. But many other brave and brilliant women stood up to say the same thing – and, because they were not actors, remained unheard. The #MeToo movement is widely assumed to have begun a year ago, with Weinstein’s accusers. But it actually started in 2006, when the motto was coined by the activist Tarana Burke. She and the millions of others who tried to speak out were, neither literally nor metaphorically, in the spotlight.

At least actors serve everyone. But the next most-interviewed category, according to my unscientific survey, could be filed as “those who serve the wealthy”: restaurateurs, haute couturists, interior designers and the like, lionised and thrust into our faces as if we were their prospective clients. This is a world of make-believe, in which we are induced to imagine we are participants rather than mere gawpers.

The spotlight effect is bad enough on the culture pages. It’s worse when the same framing is applied to politics. Particularly during party conference season, but at other times of the year as well, public issues are cast as private dramas. Brexit, which is likely to alter the lives of everyone in Britain, is reduced to a story about whether or not Theresa May will keep her job. Who cares? Perhaps, by now, not even Theresa May.

Neither May nor Jeremy Corbyn can carry the weight of the personality cults that the media seeks to build around them. They are diffident and awkward in public, and appear to writhe in the spotlight. Both parties grapple with massive issues, and draw on the work of hundreds in formulating policy, tactics and presentation. Yet these huge and complex matters are reduced to the drama of one person’s struggle. Everyone, in the media’s viewfinder, becomes an actor. Reality is replaced by representation.

Even when political reporting is not reduced to personality, political photography is. An article might offer depth and complexity, but is illustrated with a photo of one of the 10 politicians whose picture must be attached to every news story. Where is the public clamour to see yet another image of May – let alone Boris Johnson? The pictures, like the actors, blot out our view of other people, and induce us to forget that these articles discuss the lives of millions, not the life of one.

The media’s failure of imagination and perspective is not just tiresome: it’s dangerous. There is a particular species of politics that is built entirely around personalities. It is a politics in which substance, evidence and analysis are replaced by symbols, slogans and sensation. It is called fascism. If you construct political narratives around the psychodramas of politicians, even when they don’t invite it, you open the way for those who can play this game more effectively.

Already this reporting style has led to the rise of people who, though they are not fascists, have demagogic tendencies. Johnson, Nigel Farage and Jacob Rees-Mogg are all, like Donald Trump, reality TV stars. The reality TV on which they feature is not The Apprentice, but Question Time and other news and current affairs programmes. In the media circus, the clowns have the starring roles. And clowns in politics are dangerous.

The spotlight effect allows the favoured few to set the agenda. Almost all the most critical issues remain in the darkness beyond the circle of light. Every day, thousands of pages are published and thousands of hours broadcast by the media. But scarcely any of this space and time is made available for the matters that really count: environmental breakdown, inequality, exclusion, the subversion of democracy by money. In a world of impersonation, we obsess about trivia. A story carried by BBC News last week was headlined “Meghan closes a car door”

The BBC has just announced that two of its programmes will start covering climate change once a week. Given the indifference and sometimes outright hostility with which it has treated people trying to raise this issue over the past 20 years, this is progress. But business news, though less important than environmental collapse, is broadcast every minute, partly because it is treated as central by the people who run the media and partly because it is of pressing interest to those within the spotlight. We see what they want us to see. The rest remains in darkness.

The task of all journalists is to turn off the spotlight, roll up the blinds and see what’s lurking at the back of the room. There are some magnificent examples of how this can be done, such as the Windrush scandal reporting, by the Guardian’s Amelia Gentleman and others. This told the story of people who live far from where the spotlight falls. The articles were accompanied by pictures of victims rather than of the politicians who had treated them so badly: their tragedies were not supplanted by someone else’s drama. Yet these stories were told with such power that they forced even those within the spotlight to respond.

The task of all citizens is to understand what we are seeing. The world as portrayed is not the world as it is. The personification of complex issues confuses and misdirects us, ensuring that we struggle to comprehend and respond to our predicaments. This, it seems, is often the point.


Thursday 27 September 2018

Trump has a point about globalisation

Larry Elliott in The Guardian


The president’s belief that the nation state can cure economic ills is not without merit


  
‘The stupendous growth posted by China over the past four decades has been the result of doing the opposite of what the globalisation textbooks recommend.’ Photograph: AFP/Getty Images


Once every three years the International Monetary Fund and the World Bank hold their annual meetings out of town. Instead of schlepping over to Washington, the gathering of finance ministers and central bank governors is hosted by a member state. Ever since the 2000 meeting in Prague was besieged by anti-globalisation rioters, the away fixtures have tended to be held in places that are hard to get to or where the regime tends to take a dim view of protest: Singapore, Turkey, Peru.

This year’s meeting will take place in a couple of weeks on the Indonesian island of Bali, where the IMF and the World Bank can be reasonably confident that the meetings will not be disrupted. At least not from the outside. The real threat no longer comes from balaclava-wearing anarchists throwing Molotov cocktails but from within. Donald Trump is now the one throwing the petrol bombs and for multilateral organisations like the IMF and World Bank, that poses a much bigger threat.

The US president put it this way in his speech to the United Nations on Tuesday: “We reject the ideology of globalism and we embrace the doctrine of patriotism.” For decades, the message from the IMF has been that breaking down the barriers to trade, allowing capital to move unhindered across borders and constraining the ability of governments to regulate multinational corporations was the way to prosperity. Now the most powerful man on the planet is saying something different: that the only way to remedy the economic and social ills caused by globalisation is through the nation state. Trump’s speech was mocked by fellow world leaders, but the truth is that he’s not a lone voice.

The world’s other big economic superpower – China – has never given up on the nation state. Xi Jinping likes to use the language of globalisation to make a contrast with Trump’s protectionism, but the stupendous growth posted by China over the past four decades has been the result of doing the opposite of what the globalisation textbooks recommend. The measures traditionally frowned upon by the IMF – state-run industries, subsidies, capital controls – have been central to Beijing’s managed capitalism. China has certainly not closed itself off from the global economy but has engaged on its own terms. When the communist regime wanted to move people out of the fields and into factories it did so through the mechanism of an undervalued currency, which made Chinese exports highly competitive. When the party decided that it wanted to move into more sophisticated, higher-tech manufacturing, it insisted that foreign companies wishing to invest in China share their intellectual property.

This sort of approach isn’t new. It was the way most western countries operated in the decades after the second world war, when capital controls, managed immigration and a cautious approach to removing trade barriers were seen as necessary if governments were to meet public demands for full employment and rising living standards. The US and the EU now say that China is not playing fair because it has been prospering with an economic strategy that is supposed not to work. There is some irony in this.

The idea that the nation state would wither away was based on three separate arguments. The first was that the barriers to the global free movement of goods, services, people and money were economically inefficient and that removing them would lead to higher levels of growth. This has not been the case. Growth has been weaker and less evenly shared.

The second was that governments couldn’t resist globalisation even if they wanted to. This was broadly the view once adopted by Bill Clinton and Tony Blair, and now kept alive by Emmanuel Macron. The message to displaced workers was that the power of the market was – rather like a hurricane or a blizzard – an irresistible force of nature. This has always been a dubious argument because there is no such thing as a pure free market. Globalisation has been shaped by political decisions, which for the past four decades have favoured the interests of capital over labour.
Finally, it was argued that the trans-national nature of modern capitalism made the nation state obsolete. Put simply, if economics was increasingly global then politics had to go global, too. There is clearly something in this because financial markets impose constraints on individual governments and it would be preferable for there to be a form of global governance pushing for stability and prosperity for all. The problem is that to the extent such an institutional mechanism exists, it has been captured by the globalists. That is as true of the EU as it is of the IMF.

So while the nation state is far from perfect, it is where an alternative to the current failed model will inevitably begin. Increasingly, voters are looking to the one form of government where they do have a say to provide economic security. And if the mainstream parties are not prepared to offer what these voters want – a decently paid job, properly funded public services and controls on immigration – then they will look elsewhere for parties or movements that will. This has proved to be a particular problem for the parties of the centre left – the Democrats in the US, New Labour in Britain, the SDP in Germany – that signed up to the idea that globalisation was an unstoppable force.

Jeremy Corbyn certainly does not accept the idea that the state is obsolete as an economic actor. The plan is to build a different sort of economy from the bottom up – locally and nationally. That’s not going to be easy but beats the current, failed, top-down approach.

Sunday 15 July 2018

The Death of Truth - How Trump and Modi came to power

Michiko Kakutani in The Guardian

Two of the most monstrous regimes in human history came to power in the 20th century, and both were predicated on the violation and despoiling of truth, on the knowledge that cynicism and weariness and fear can make people susceptible to the lies and false promises of leaders bent on unconditional power. As Hannah Arendt wrote in her 1951 book The Origins of Totalitarianism, “The ideal subject of totalitarian rule is not the convinced Nazi or the convinced communist, but people for whom the distinction between fact and fiction (ie the reality of experience) and the distinction between true and false (ie the standards of thought) no longer exist.”

Arendt’s words increasingly sound less like a dispatch from another century than a chilling description of the political and cultural landscape we inhabit today – a world in which fake news and lies are pumped out in industrial volume by Russian troll factories, emitted in an endless stream from the mouth and Twitter feed of the president of the United States, and sent flying across the world through social media accounts at lightning speed. Nationalism, tribalism, dislocation, fear of social change and the hatred of outsiders are on the rise again as people, locked in their partisan silos and filter bubbles, are losing a sense of shared reality and the ability to communicate across social and sectarian lines.

This is not to draw a direct analogy between today’s circumstances and the overwhelming horrors of the second world war era, but to look at some of the conditions and attitudes – what Margaret Atwood has called the “danger flags” in George Orwell’s Nineteen Eighty-Four and Animal Farm – that make a people susceptible to demagoguery and political manipulation, and nations easy prey for would-be autocrats. To examine how a disregard for facts, the displacement of reason by emotion, and the corrosion of language are diminishing the value of truth, and what that means for the world.


Trump made 2,140 false or misleading claims during his first year in office – an average of 5.9 a day


The term “truth decay” has joined the post-truth lexicon that includes such now familiar phrases as “fake news” and “alternative facts”. And it’s not just fake news either: it’s also fake science (manufactured by climate change deniers and anti-vaxxers, who oppose vaccination), fake history (promoted by Holocaust revisionists and white supremacists), fake Americans on Facebook (created by Russian trolls), and fake followers and “likes” on social media (generated by bots).

Donald Trump, the 45th president of the US, lies so prolifically and with such velocity that the Washington Post calculated he’d made 2,140 false or misleading claims during his first year in office – an average of 5.9 a day. His lies – about everything from the investigations into Russian interference in the election, to his popularity and achievements, to how much TV he watches – are only the brightest blinking red light among many warnings of his assault on democratic institutions and norms. He routinely assails the press, the justice system, the intelligence agencies, the electoral system and the civil servants who make the US government tick.

Nor is the assault on truth confined to America. Around the world, waves of populism and fundamentalism are elevating appeals to fear and anger over reasoned debate, eroding democratic institutions, and replacing expertise with the wisdom of the crowd. False claims about the UK’s financial relationship with the EU helped swing the vote in favour of Brexit, and Russia ramped up its sowing of dezinformatsiya in the runup to elections in France, Germany, the Netherlands and other countries in concerted propaganda efforts to discredit and destabilise democracies.

How did this happen? How did truth and reason become such endangered species, and what does the threat to them portend for our public discourse and the future of our politics and governance? 

It’s easy enough to see Trump as having ascended to office because of a unique, unrepeatable set of factors: a frustrated electorate still hurting from the backwash of the 2008 financial crash; Russian interference in the election and a deluge of pro-Trump fake news stories on social media; a highly polarising opponent who came to symbolise the Washington elite that populists decried; and an estimated $5bn‑worth of free campaign coverage from media outlets obsessed with the views and clicks that the former reality TV star generated.

If a novelist had concocted a villain like Trump – a larger-than-life, over-the-top avatar of narcissism, mendacity, ignorance, prejudice, boorishness, demagoguery and tyrannical impulses (not to mention someone who consumes as many as a dozen Diet Cokes a day) – she or he would likely be accused of extreme contrivance and implausibility. In fact, the president of the US often seems less like a persuasive character than some manic cartoon artist’s mashup of Ubu Roi, Triumph the Insult Comic Dog, and a character discarded by Molière. But the more clownish aspects of Trump the personality should not blind us to the monumentally serious consequences of his assault on truth and the rule of law, and the vulnerabilities he has exposed in our institutions and digital communications. It is unlikely that a candidate who had already been exposed during the campaign for his history of lying and deceptive business practices would have gained such popular support were portions of the public not blase about truth-telling and were there not systemic problems with how people get their information and how they’ve come to think in increasingly partisan terms.


For decades, objectivity – or even the aim of ascertaining the best available truth – has been falling out of favour


With Trump, the personal is political, and in many respects he is less a comic-book anomaly than an extreme, bizarro-world apotheosis of many of the broader, intertwined attitudes undermining truth today, from the merging of news and politics with entertainment, to the toxic polarisation that’s overtaken American politics, to the growing populist contempt for expertise.

For decades now, objectivity – or even the idea that people can aspire toward ascertaining the best available truth – has been falling out of favour. Daniel Patrick Moynihan’s well-known observation that “Everyone is entitled to his own opinion, but not to his own facts” is more timely than ever: polarisation has grown so extreme that voters have a hard time even agreeing on the same facts. This has been exponentially accelerated by social media, which connects users with like-minded members and supplies them with customised news feeds that reinforce their preconceptions, allowing them to live in ever narrower silos.

For that matter, relativism has been ascendant since the culture wars began in the 1960s. Back then, it was embraced by the New Left, who were eager to expose the biases of western, bourgeois, male-dominated thinking; and by academics promoting the gospel of postmodernism, which argued that there are no universal truths, only smaller personal truths – perceptions shaped by the cultural and social forces of one’s day. Since then, relativistic arguments have been hijacked by the populist right.

Relativism, of course, synced perfectly with the narcissism and subjectivity that had been on the rise, from Tom Wolfe’s “Me Decade” 1970s, on through the selfie age of self-esteem. No surprise then that the “Rashomon effect” – the point of view that everything depends on your point of view – has permeated our culture, from popular novels such as Lauren Groff’s Fates and Furies to television series like The Affair, which hinge on the idea of competing realities.


 History is reimagined in Oliver Stone’s 1991 film JFK. Photograph: Allstar/Cinetext/Warner Bros

I’ve been reading and writing about many of these issues for nearly four decades, going back to the rise of deconstruction and battles over the literary canon on college campuses; debates over the fictionalised retelling of history in movies such as Oliver Stone’s JFK and Kathryn Bigelow’s Zero Dark Thirty; efforts made by both the Clinton and Bush administrations to avoid transparency and define reality on their own terms; Trump’s war on language and efforts to normalise the abnormal; and the impact that technology has had on how we process and share information.

In his 2007 book, The Cult of the Amateur, the Silicon Valley entrepreneur Andrew Keen warned that the internet not only had democratised information beyond people’s wildest imaginings but also was replacing genuine knowledge with “the wisdom of the crowd”, dangerously blurring the lines between fact and opinion, informed argument and blustering speculation. A decade later, the scholar Tom Nichols wrote in The Death of Expertise that a wilful hostility towards established knowledge had emerged on both the right and the left, with people aggressively arguing that “every opinion on any matter is as good as every other”. Ignorance was now fashionable.

The postmodernist argument that all truths are partial (and a function of one’s perspective) led to the related argument that there are many legitimate ways to understand or represent an event. This both encouraged a more egalitarian discourse and made it possible for the voices of the previously disfranchised to be heard. But it has also been exploited by those who want to make the case for offensive or debunked theories, or who want to equate things that cannot be equated. Creationists, for instance, called for teaching “intelligent design” alongside evolution in schools. “Teach both,” some argued. Others said, “Teach the controversy.”


Doubt is our product, since it is the best means of competing with the ‘body of fact’ that exists in the minds of the publicTobacco industry executive memo, 1969


A variation on this “both sides” argument was employed by Trump when he tried to equate people demonstrating against white supremacy with the neo-Nazis who had converged in Charlottesville, Virginia, to protest the removal of Confederate statues. There were “some very fine people on both sides”, Trump declared. He also said, “We condemn in the strongest possible terms this egregious display of hatred, bigotry and violence on many sides, on many sides.”

Climate deniers, anti-vaxxers and other groups who don’t have science on their side bandy about phrases that wouldn’t be out of place in a college class on deconstruction – phrases such as “many sides,” “different perspectives”, “uncertainties”, “multiple ways of knowing.” As Naomi Oreskes and Erik M Conway demonstrated in their 2010 book Merchants of Doubt, rightwing thinktanks, the fossil fuel industry, and other corporate interests that are intent on discrediting science have employed a strategy first used by the tobacco industry to try to confuse the public about the dangers of smoking. “Doubt is our product,” read an infamous memo written by a tobacco industry executive in 1969, “since it is the best means of competing with the ‘body of fact’ that exists in the minds of the general public.”

The strategy, essentially, was this: dig up a handful of so-called professionals to refute established science or argue that more research is needed; turn these false arguments into talking points and repeat them over and over; and assail the reputations of the genuine scientists on the other side. If this sounds familiar, that’s because it’s a tactic that’s been used by Trump and his Republican allies to defend policies (on matters ranging from gun control to building a border wall) that run counter to both expert evaluation and national polls.


In January 2018, protests were held in 50 states urging US senators to support scientific evidence against Trump’s climate change policies. Photograph: Pacific Press/LightRocket via Getty Images

What Oreskes and Conway call the “tobacco strategy” was helped, they argued, by elements in the mainstream media that tended “to give minority views more credence than they deserve”. This false equivalence was the result of journalists confusing balance with truth-telling, wilful neutrality with accuracy; caving in to pressure from rightwing interest groups to present “both sides”; and the format of television news shows that feature debates between opposing viewpoints – even when one side represents an overwhelming consensus and the other is an almost complete outlier in the scientific community. For instance, a 2011 BBC Trust report found that the broadcaster’s science coverage paid “undue attention to marginal opinion” on the subject of manmade climate change. Or, as a headline in the Telegraph put it, “BBC staff told to stop inviting cranks on to science programmes”.

In a speech on press freedom, CNN’s chief international correspondent Christiane Amanpour addressed this issue in the context of media coverage of the 2016 presidential race, saying: “It appeared much of the media got itself into knots trying to differentiate between balance, objectivity, neutrality, and crucially, truth … I learned long ago, covering the ethnic cleansing and genocide in Bosnia, never to equate victim with aggressor, never to create a false moral or factual equivalence, because then you are an accomplice to the most unspeakable crimes and consequences. I believe in being truthful, not neutral. And I believe we must stop banalising the truth.”

As the west lurched through the cultural upheavals of the 1960s and 1970s and their aftermath, artists struggled with how to depict this fragmenting reality. Some writers like John Barth, Donald Barthelme and William Gass created self-conscious, postmodernist fictions that put more emphasis on form and language than on conventional storytelling. Others adopted a minimalistic approach, writing pared-down, narrowly focused stories emulating the fierce concision of Raymond Carver. And as the pursuit of broader truths became more and more unfashionable in academia, and as daily life came to feel increasingly unmoored, some writers chose to focus on the smallest, most personal truths: they wrote about themselves.

American reality had become so confounding, Philip Roth wrote in a 1961 essay, that it felt like “a kind of embarrassment to one’s own meager imagination”. This had resulted, he wrote, in the “voluntary withdrawal of interest by the writer of fiction from some of the grander social and political phenomena of our times”, and the retreat, in his own case, to the more knowable world of the self.


Real estate and realism … Bruce Willis in the 1990 film version of The Bonfire of the Vanities. Photograph: Allstar/WARNER BROS.

In a controversial 1989 essay, Tom Wolfe lamented these developments, mourning what he saw as the demise of old-fashioned realism in American fiction, and he urged novelists to “head out into this wild, bizarre, unpredictable, hog-stomping Baroque country of ours and reclaim it as literary property”. He tried this himself in novels such as The Bonfire of the Vanities and A Man in Full, using his skills as a reporter to help flesh out a spectrum of subcultures with Balzacian detail. But while Wolfe had been an influential advocate in the 1970s of the New Journalism (which put an emphasis on the voice and point of view of the reporter), his new manifesto didn’t win many converts in the literary world. Instead, writers as disparate as Louise Erdrich, David Mitchell, Don DeLillo, Julian Barnes, Chuck Palahniuk, Gillian Flynn and Groff would play with devices (such as multiple points of view, unreliable narrators and intertwining storylines) pioneered decades ago by innovators such as William Faulkner, Virginia Woolf, Ford Madox Ford and Vladimir Nabokov to try to capture the new Rashomon-like reality in which subjectivity rules and, in the infamous words of former president Bill Clinton, truth “depends on what the meaning of the word ‘is’ is”.

But what Roth called “the sheer fact of self, the vision of self as inviolable, powerful, and nervy, self as the only real thing in an unreal environment” would remain more comfortable territory for many writers. In fact, it would lead, at the turn of the millennium, to a remarkable flowering of memoir writing, including such classics as Mary Karr’s The Liars’ Club and Dave Eggers’s A Heartbreaking Work of Staggering Genius – books that established their authors as among the foremost voices of their generation. The memoir boom and the popularity of blogging would eventually culminate in Karl Ove Knausgaard’s six-volume autobiographical novel, My Struggle – filled with minutely detailed descriptions, drawn from the author’s own daily life.

Personal testimony also became fashionable on college campuses, as the concept of objective truth fell out of favour and empirical evidence gathered by traditional research came to be regarded with suspicion. Academic writers began prefacing scholarly papers with disquisitions on their own “positioning” – their race, religion, gender, background, personal experiences that might inform or skew or ratify their analysis.


Social networks give people news that is popular and trending rather than accurate or important

In a 2016 documentary titled HyperNormalisation, the filmmaker Adam Curtis created an expressionistic, montage-driven meditation on life in the post-truth era; the title was taken from a term coined by the anthropologist Alexei Yurchak to describe life in the final years of the Soviet Union, when people both understood the absurdity of the propaganda the government had been selling them for decades and had difficulty envisioning any alternative. In HyperNormalisation, which was released shortly before the 2016 US election, Curtis says in voiceover narration that people in the west had also stopped believing the stories politicians had been telling them for years, and Trump realised that “in the face of that, you could play with reality” and in the process “further undermine and weaken the old forms of power”.

Some Trump allies on the far right also seek to redefine reality on their own terms. Invoking the iconography of the movie The Matrix – in which the hero is given a choice between two pills, a red one (representing knowledge and the harsh truths of reality) and a blue one (representing soporific illusion and denial) – members of the “alt-right” and some aggrieved men’s rights groups talk about “red-pilling the normies”, which means converting people to their cause. In other words, selling their inside-out alternative reality, in which white people are suffering from persecution, multiculturalism poses a grave threat and men have been oppressed by women.

Alice Marwick and Rebecca Lewis, the authors of a study on online disinformation, argue that “once groups have been red-pilled on one issue, they’re likely to be open to other extremist ideas. Online cultures that used to be relatively nonpolitical are beginning to seethe with racially charged anger. Some sci-fi, fandom, and gaming communities – having accepted run-of-the-mill antifeminism – are beginning to espouse white-nationalist ideas. ‘Ironic’ Nazi iconography and hateful epithets are becoming serious expressions of antisemitism.”


Some Trump allies on the far right invoke The Matrix to sell their inside‑out alternative reality

One of the tactics used by the alt-right to spread its ideas online, Marwick and Lewis argue, is to initially dilute more extreme views as gateway ideas to court a wider audience; among some groups of young men, they write, “it’s a surprisingly short leap from rejecting political correctness to blaming women, immigrants, or Muslims for their problems.”

Many misogynist and white supremacist memes, in addition to a lot of fake news, originate or gain initial momentum on sites such as 4chan and Reddit – before accumulating enough buzz to make the leap to Facebook and Twitter, where they can attract more mainstream attention. Renee DiResta, who studies conspiracy theories on the web, argues that Reddit can be a useful testing ground for bad actors – including foreign governments such as Russia’s – to try out memes or fake stories to see how much traction they get. DiResta warned in the spring of 2016 that the algorithms of social networks – which give people news that is popular and trending, rather than accurate or important – are helping to promote conspiracy theories.


There is an 'asymmetry of passion' on social media: most people won’t devote hours reinforcing the obvious. Extremists are committed to ‘wake up the sheeple’

This sort of fringe content can both affect how people think and seep into public policy debates on matters such as vaccines, zoning laws and water fluoridation. Part of the problem is an “asymmetry of passion” on social media: while most people won’t devote hours to writing posts that reinforce the obvious, DiResta says, “passionate truthers and extremists produce copious amounts of content in their commitment to ‘wake up the sheeple’”.

Recommendation engines, she adds, help connect conspiracy theorists with one another to the point that “we are long past merely partisan filter bubbles and well into the realm of siloed communities that experience their own reality and operate with their own facts”. At this point, she concludes, “the internet doesn’t just reflect reality any more; it shapes it”.

Language is to humans, the writer James Carroll once observed, what water is to fish: “We swim in language. We think in language. We live in language.” This is why Orwell wrote that “political chaos is connected with the decay of language”, divorcing words from meaning and opening up a chasm between a leader’s real and declared aims. This is why the US and the world feel so disoriented by the stream of lies issued by the Trump White House and the president’s use of language to disseminate distrust and discord. And this is why authoritarian regimes throughout history have co‑opted everyday language in an effort to control how people communicate – exactly the way the Ministry of Truth in Nineteen Eighty-Four aims to deny the existence of external reality and safeguard Big Brother’s infallibility.

Orwell’s “Newspeak” is a fictional language, but it often mirrors and satirises the “wooden language” imposed by communist authorities in the Soviet Union and eastern Europe. Among the characteristics of “wooden language” that the French scholar Françoise Thom identified in a 1987 thesis were abstraction and the avoidance of the concrete; tautologies (“the theories of Marx are true because they are correct”); bad metaphors (“the fascist octopus has sung its swan song”); and Manichaeism that divides the world into things good and things evil (and nothing in between).


‘Trump has performed the disturbing Orwellian trick of using words to mean the exact opposite of what they really mean.’ ... John Hurt in the film adaptation of Nineteen Eighty-Four. Photograph: Allstar/MGM

Trump has performed the disturbing Orwellian trick (“WAR IS PEACE”, “FREEDOM IS SLAVERY”, “IGNORANCE IS STRENGTH”) of using words to mean the exact opposite of what they really mean. It’s not just his taking the term “fake news”, turning it inside out, and using it to try to discredit journalism that he finds threatening or unflattering. He has also called the investigation into Russian election interference “the single greatest witch-hunt in American political history”, when he is the one who has repeatedly attacked the press, the justice department, the FBI, the intelligence services and any institution he regards as hostile.

In fact, Trump has the perverse habit of accusing opponents of the very sins he is guilty of himself: “Lyin’ Ted”, “Crooked Hillary”, “Crazy Bernie”. He accused Clinton of being “a bigot who sees people of colour only as votes, not as human beings worthy of a better future”, and he has asserted that “there was tremendous collusion on behalf of the Russians and the Democrats”.

In Orwell’s language of Newspeak, a word such as “blackwhite” has “two mutually contradictory meanings”: “Applied to an opponent, it means the habit of impudently claiming that black is white, in contradiction of the plain facts. Applied to a Party member, it means a loyal willingness to say that black is white when Party discipline demands this.”




Trump's inauguration crowd: Sean Spicer's claims versus the evidence


This, too, has an unnerving echo in the behaviour of Trump White House officials and Republican members of Congress who lie on the president’s behalf and routinely make pronouncements that flout the evidence in front of people’s eyes. The administration, in fact, debuted with the White House press secretary, Sean Spicer, insisting that Trump’s inaugural crowds were the “largest audience” ever – an assertion that defied photographic evidence and was rated by the fact-checking blog PolitiFact a “Pants on Fire” lie. These sorts of lies, the journalist Masha Gessen has pointed out, are told for the same reason that Vladimir Putin lies: “to assert power over truth itself”.

Trump has continued his personal assault on the English language. His incoherence (his twisted syntax, his reversals, his insincerity, his bad faith and his inflammatory bombast) is emblematic of the chaos he creates and thrives on, as well as an essential instrument in his liar’s toolkit. His interviews, off‑teleprompter speeches and tweets are a startling jumble of insults, exclamations, boasts, digressions, non sequiturs, qualifications, exhortations and innuendos – a bully’s efforts to intimidate, gaslight, polarise and scapegoat.

Precise words, like facts, mean little to Trump, as interpreters, who struggle to translate his grammatical anarchy, can attest. Chuck Todd, the anchor of NBC’s Meet the Press, observed that after several of his appearances as a candidate Trump would lean back in his chair and ask the control booth to replay his segment on a monitor – without sound: “He wants to see what it all looked like. He will watch the whole thing on mute.”
Protesters react to white nationalist Richard Spencer as he speaks at a college campus in Florida in 2017. Spencer participated in the Charlottesville Unite the Right rally earlier that year. Photograph: Joe Raedle/Getty Images

Philip Roth said he could never have imagined that “the 21st-century catastrophe to befall the USA, the most debasing of disasters”, would appear in “the ominously ridiculous commedia dell’arte figure of the boastful buffoon”. Trump’s ridiculousness, his narcissistic ability to make everything about himself, the outrageousness of his lies, and the profundity of his ignorance can easily distract attention from the more lasting implications of his story: how easily Republicans in Congress enabled him, undermining the whole concept of checks and balances set in place by the founders; how a third of the country passively accepted his assaults on the constitution; how easily Russian disinformation took root in a culture where the teaching of history and civics had seriously atrophied.

The US’s founding generation spoke frequently of the “common good”. George Washington reminded citizens of their “common concerns” and “common interests” and the “common cause” they had all fought for in the revolution. And Thomas Jefferson spoke in his inaugural address of the young country uniting “in common efforts for the common good”. A common purpose and a shared sense of reality mattered because they bound the disparate states and regions together, and they remain essential for conducting a national conversation. Especially today in a country where Trump and Russian and hard-right trolls are working to incite the very factionalism Washington warned us about, trying to inflame divisions between people along racial, ethnic and religious lines.

There are no easy remedies, but it’s essential that citizens defy the cynicism and resignation that autocrats and power-hungry politicians depend on to subvert resistance. Without commonly agreed-on facts – not Republican facts and Democratic facts; not the alternative facts of today’s silo-world – there can be no rational debate over policies, no substantive means of evaluating candidates for political office, and no way to hold elected officials accountable to the people. Without truth, democracy is hobbled

Wednesday 13 June 2018

Trump as defender of democracy

George Monbiot in The Guardian






He gets almost everything wrong. But last weekend Donald Trump got something right. To the horror of the other leaders of the rich world, he defended democracy against its detractors. Perhaps predictably, he has been universally condemned for it. 

His crime was to insist that the North American Free Trade Agreement (Nafta) should have a sunset clause. In other words, it should not remain valid indefinitely, but expire after five years, allowing its members either to renegotiate it or to walk away. To howls of execration from the world’s media, his insistence has torpedoed efforts to update the treaty.

In Rights of Man, published in 1791, Thomas Paine argued that: “Every age and generation must be as free to act for itself, in all cases, as the ages and generations which preceded it. The vanity and presumption of governing beyond the grave is the most ridiculous and insolent of all tyrannies.” This is widely accepted – in theory if not in practice – as a basic democratic principle.

Even if the people of the US, Canada and Mexico had explicitly consented to Nafta in 1994, the idea that a decision made then should bind everyone in North America for all time is repulsive. So is the notion, championed by the Canadian and Mexican governments, that any slightly modified version of the deal agreed now should bind all future governments.

But the people of North America did not explicitly consent to Nafta. They were never asked to vote on the deal, and its bipartisan support ensured that there was little scope for dissent. The huge grassroots resistance in all three nations was ignored or maligned. The deal was fixed between political and commercial elites, and granted immortality.

In seeking to update the treaty, governments in the three countries have candidly sought to thwart the will of the people. Their stated intention was to finish the job before Mexico’s presidential election in July. The leading candidate, Andrés Lopez Obrador, has expressed hostility to Nafta, so it had to be done before the people cast their vote. They might wonder why so many have lost faith in democracy.
Nafta provides a perfect illustration of why all trade treaties should contain a sunset clause. Provisions that made sense to the negotiators in the early 1990s make no sense to anyone today, except fossil fuel companies and greedy lawyers. The most obvious example is the way its rules for investor-state dispute settlement have been interpreted. These clauses (chapter 11 of the treaty) were supposed to prevent states from unfairly expropriating the assets of foreign companies. But they have spawned a new industry, in which aggressive lawyers discover ever more lucrative means of overriding democracy.

The rules grant opaque panels of corporate lawyers, meeting behind closed doors, supreme authority over the courts and parliaments of its member states. A BuzzFeed investigation revealed they had been used to halt criminal cases, overturn penalties incurred by convicted fraudsters, allow companies to get away with trashing rainforests and poisoning villages, and, by placing foreign businesses above the law, intimidate governments into abandoning public protections.

Under Nafta, these provisions have become, metaphorically and literally, toxic. When Canada tried to ban a fuel additive called MMT as a potentially dangerous neurotoxin, the US manufacturer used Nafta rules to sue the government. Canada was forced to lift the ban, and award the company $13m (£10m) in compensation. After Mexican authorities refused a US corporation permission to build a hazardous waste facility, the company sued before a Nafta panel, and extracted $16.7m in compensation. Another US firm, Lone Pine Resources, is suing Canada for $119m because the government of Quebec has banned fracking under the St Lawrence River.

As the US justice department woke up to the implications of these rules in the 1990s, it began to panic: one official wrote that it “could severely undermine our system of justice” and grant foreign companies “more rights than Americans have”. Another noted: “No one thought about this when Nafta implementing law passed.”

Nor did they think about climate breakdown. Nafta obliges Canada not only to export most of its oil and half its natural gas to the US, but also to ensure that the proportion of these fuels produced from tar sands and fracking does not change. As a result, the Canadian government cannot adhere to both its commitments under the Paris agreement on climate change and its commitments under Nafta. While the Paris commitments are voluntary, Nafta’s are compulsory.

Were such disasters foreseen by the negotiators? If so, the trade agreement was a plot against the people. If not – as the evidence strongly suggests – its unanticipated outcomes are a powerful argument for a sunset clause. The update the US wanted was also a formula for calamity, that future governments might wish to reverse. But this is likely to be difficult, even impossible, without the threat of walking out.

Those who defend the immortality of trade agreements argue that it provides certainty for business. It’s true that there is a conflict between business confidence and democratic freedom. This conflict is repeatedly resolved in favour of business. That the only defender of popular sovereignty in this case is an odious demagogue illustrates the corruption of 21st-century liberal democracy.

There was much rejoicing this week over the photo of Trump being harangued by the other G7 leaders. But when I saw it, I thought: “The stitch-ups engineered by people like you produce people like him.” The machinations of remote elites in forums such as the G7, the IMF and the European Central Bank, and the opaque negotiation of unpopular treaties, destroy both trust and democratic agency, fuelling the frustration that demagogues exploit.

Trump was right to spike the Trans-Pacific Partnership. He is right to demand a sunset clause for Nafta. When this devious, hollow, self-interested man offers a better approximation of the people’s champion than any other leader, you know democracy is in trouble.