Najam Sethi in The Friday Times
Let’s face it. Whatever some may think of Nawaz Sharif’s omissions and however much others may hate him for his commissions, the fact remains that he has demonstrated the courage of his conviction that the unaccountable Miltablishment has no business interfering in the affairs of an elected government, much less in engineering its rise or fall.
Nawaz has held firm to this conviction since 1993 when he was dismissed from office, restored by the Supreme Court and then compelled to step aside. He met the same fate in 1999 and spent seven years in forced exile. Now he is behind the bars for the same “crime” (he insisted on putting General Pervez Musharraf on trial for treason and demanding an end to the politics of non-state actors in domestic and foreign policy). He could have spent another ten years in exile in the comfort of his luxury flats in London – much like Benazir Bhutto, General Musharraf or Altaf Hussain, closer to home, and Lenin, Khomeini and many others in historical time — and looked after his ailing wife. But he chose instead to return, along with his daughter, and go straight to jail “to honour the sanctity of the ballet box”.
This is an unprecedented political act with far reaching consequences. It has driven a spike in the Punjabi heartland of the Miltablishment and irrevocably degraded the ultimate source of its power and legitimacy. The provinces of Balochistan, Sindh and KP have witnessed outbursts of anti-”Punjabi Miltablishment” sub-nationalism from time to time but this is the first time in 70 years that a sizeable chunk of Punjab is simmering not against the “subversive” parties and leaders of other provinces but against its very own “patriotic” sons of the soil. This is that process whereby the social contract of overly centralized and undemocratic states is rent asunder. In that sense, it is the Miltablishment which is on trial.
Unfortunately, the judiciary, too, is on trial. In a democratic dispensation, it is expected to fulfil three core conditions of existence. First, to provide justice to lay citizens in everyday matters. Second, to uphold the supremacy of parliament. Third, to remain above the political fray as a supremely neutral arbiter between contending parties and institutions. On each count, tragically, it seems amiss. Hundreds of thousands of civil petitioners have been awaiting “insaf” for decades. The apex courts are making laws instead of simply interpreting them. And the mainstream parties and leaders are at the receiving end of the stick while “ladla” sons and militants are getting away with impunity. At some time or the other in the past or present, controversy has dogged one or more judges. But the institution of the judiciary is in the dock of the people today because it is perceived as aiding and abetting the erosion of justice, neutrality and vote-sanctity. In 2007, the “judicial movement for independence” erupted against an arbitrary act by a dictator against a judge. In that historical movement, the PMLN was fully behind the lawyers and judges. The irony in 2018, however, is that the same lawyers and judges are standing on the side of authoritarian forces against the PMLN.
The third “pillar” of the state – Media – is no less on trial. It is expected to “freely” inform the people so that they can make fair and unbiased choices. But it is doing exactly the opposite. A couple of media houses have succumbed to severe arm-twisting and opted to gag themselves; many have meekly submitted to censorship “advice”; most are silent for or blind for material gains. The proliferation of TV channels was meant to be a bulwark against authoritarian or unaccountable forces. But a failing economy and political uncertainty has pitted the channels against one other for the crumbs, which has given a leg up to those on the “right side” of the fence. At any rate, the corporatization of the media by big capitalist interests has served to protect the powerful at the expense of the weak.
Finally, the fourth pillar of the state — Parliament — is about to be stripped of its representative credentials. The castration of the two mainstream parties and their leaders is aimed at empowering one “ladla” leader and his party, a host of militant religious groups and a clutch of opportunist “independents” to storm the citadels of the legislature.
Is all hope lost? Are we collectively fated to be victims of a creeping authoritarian and unaccountable coup by the “pillars” of the state in tandem?
No. Sooner than later, the media and judiciary will begin to crack. Neither can survive by being “pro-government” for long. Every chief justice seeks to make his own mark on history as distinct from his predecessor and no judge can shrug away the weight of popular opinion for long. The electronic and print media, too, cannot allow social media to run away with independent digital news and analysis pegged to financial sources outside Pakistan.
Meanwhile, we, the people, must get ready to suffer.
Friday, 20 July 2018
Our job as scientists is to find the truth. But we must also be storytellers
Nick Enfield in The Guardian
Scientists often struggle to communicate the findings of research. Our subject matter can be technical and not easily digested by a general audience. And our discoveries – from a new type of tessellating pentagon to the presence of gravitational waves in space – have no meaning until that meaning can be defined and agreed upon. To address this, we are often advised to use the tools of narrative.
This advice is now found everywhere from training sessions to blogs to the most prominent scientific journals. An article in Nature magazine advises scientists to relate data to the world by using “the age-old custom of telling a story.” Proceedings of the National Academy of Sciences cites the “increased comprehension, interest, and engagement” that narrative offers. And another study shows that writing in a narrative style increases uptake of scientific results.
What is a story? Here is screenwriting guru John Truby’s definition: “A speaker tells a listener what someone did to get what he wanted and why.” This is every Hollywood film. At the centre is a person with a well-defined goal. They pursue that goal, against the odds, and after various twists and turns the story comes to a satisfying end. Most importantly, as writer John Collee explains, a good story will have a meaning, a relatable moral with universal resonance for audiences.
How can scientists be expected to use storytelling when we are not trained in the craft? True, we are not professional screenwriters. But like everyone we are nevertheless well-practiced storytellers. When you tell someone about a frightening incident that happened on the bus to work, your narrative may be ordinary but it has the core elements of story: situation, complication, resolution, and most importantly, meaning. You are not just telling me what happened, you are telling me what it means to you, how you feel about it. And you are inviting me to feel the same. In this way, stories are one of our most important social bonding mechanisms.
So, what could be wrong with urging scientists to take advantage of our natural storytelling skills? In an article titled “Against storytelling of scientific results”, Yarden Katz explains that certain defining features of narrative – someone pursing a goal; a satisfying resolution that resolves this; a meaning that draws people in – are antithetical to key ideals and practices of scientific work.
Human beings, scientists included, have brains that are not evolved for dispassionate thinking
One objection is that, according to the scientific norm known as disinterestedness, scientists should not aim for any particular result. Our job is to find the truth. So, we should first establish the facts, and then use those facts to decide what our conclusions are. But too often, people have it the wrong way around. We start with our pre-established beliefs, and then look for evidence to support them. Another objection is that because science is a permanently unfinished line of business, there can be no satisfying endings.
Further, the scientist’s job is to inform, not persuade. Advice in Nature from authors Martin Krzywinski and Alberto Cairo seems to challenge this norm: “Maintain focus of your presentation by leaving out detail that does not advance the plot”; “inviting readers to draw their own conclusions is risky.” Most scientists would agree that this is going too far.
Katz’s concerns are well taken. But what should be done? Can we be truly dispassionate about what we are doing in science? There are reasons to think that even when we are operating in the rarefied atmosphere of scientific endeavor, we are never not wrapping our lives in stories.
Human beings, scientists included, have brains that are not evolved for dispassionate thinking. Bugs in our reasoning from the confirmation bias to the gambler’s fallacy make our natural thought processes deeply subjective and partial. And these are precisely the kinds of cognitive propensities that make storytelling stick so well. Even if an exemplary scientist has trained herself to be utterly objective, her audience will always bring their biased, story-gobbling minds.
This is why we have little choice but to apply the philosophy of judo to the problem of communicating scientific work and findings. Rather than struggle against cognitive biases, we need to work with them if we are going to keep them in check. Facts can be collected but they need to be interpreted. To interpret a fact is to give it meaning. And this is nothing other than storytelling. Only with a story can the facts be communicated, and only then can they become part of the received knowledge that drives the very possibility of scientific progress.
Scientists do not have the luxury of forgoing storytelling. We need not fear that storytelling will compromise our objectivity. If we believe that we have the right story, then we should tell it. Only then can it be evaluated. Because science is a collective enterprise, our stories will succeed when they are validated by broad agreement in our community.
It is our responsibility to become at least literate, if not masterly, in storytelling about our work. Our audiences need stories. So we must tell the right stories about our findings, if we are going to treat those findings with the respect they need.
Scientists often struggle to communicate the findings of research. Our subject matter can be technical and not easily digested by a general audience. And our discoveries – from a new type of tessellating pentagon to the presence of gravitational waves in space – have no meaning until that meaning can be defined and agreed upon. To address this, we are often advised to use the tools of narrative.
This advice is now found everywhere from training sessions to blogs to the most prominent scientific journals. An article in Nature magazine advises scientists to relate data to the world by using “the age-old custom of telling a story.” Proceedings of the National Academy of Sciences cites the “increased comprehension, interest, and engagement” that narrative offers. And another study shows that writing in a narrative style increases uptake of scientific results.
What is a story? Here is screenwriting guru John Truby’s definition: “A speaker tells a listener what someone did to get what he wanted and why.” This is every Hollywood film. At the centre is a person with a well-defined goal. They pursue that goal, against the odds, and after various twists and turns the story comes to a satisfying end. Most importantly, as writer John Collee explains, a good story will have a meaning, a relatable moral with universal resonance for audiences.
How can scientists be expected to use storytelling when we are not trained in the craft? True, we are not professional screenwriters. But like everyone we are nevertheless well-practiced storytellers. When you tell someone about a frightening incident that happened on the bus to work, your narrative may be ordinary but it has the core elements of story: situation, complication, resolution, and most importantly, meaning. You are not just telling me what happened, you are telling me what it means to you, how you feel about it. And you are inviting me to feel the same. In this way, stories are one of our most important social bonding mechanisms.
So, what could be wrong with urging scientists to take advantage of our natural storytelling skills? In an article titled “Against storytelling of scientific results”, Yarden Katz explains that certain defining features of narrative – someone pursing a goal; a satisfying resolution that resolves this; a meaning that draws people in – are antithetical to key ideals and practices of scientific work.
Human beings, scientists included, have brains that are not evolved for dispassionate thinking
One objection is that, according to the scientific norm known as disinterestedness, scientists should not aim for any particular result. Our job is to find the truth. So, we should first establish the facts, and then use those facts to decide what our conclusions are. But too often, people have it the wrong way around. We start with our pre-established beliefs, and then look for evidence to support them. Another objection is that because science is a permanently unfinished line of business, there can be no satisfying endings.
Further, the scientist’s job is to inform, not persuade. Advice in Nature from authors Martin Krzywinski and Alberto Cairo seems to challenge this norm: “Maintain focus of your presentation by leaving out detail that does not advance the plot”; “inviting readers to draw their own conclusions is risky.” Most scientists would agree that this is going too far.
Katz’s concerns are well taken. But what should be done? Can we be truly dispassionate about what we are doing in science? There are reasons to think that even when we are operating in the rarefied atmosphere of scientific endeavor, we are never not wrapping our lives in stories.
Human beings, scientists included, have brains that are not evolved for dispassionate thinking. Bugs in our reasoning from the confirmation bias to the gambler’s fallacy make our natural thought processes deeply subjective and partial. And these are precisely the kinds of cognitive propensities that make storytelling stick so well. Even if an exemplary scientist has trained herself to be utterly objective, her audience will always bring their biased, story-gobbling minds.
This is why we have little choice but to apply the philosophy of judo to the problem of communicating scientific work and findings. Rather than struggle against cognitive biases, we need to work with them if we are going to keep them in check. Facts can be collected but they need to be interpreted. To interpret a fact is to give it meaning. And this is nothing other than storytelling. Only with a story can the facts be communicated, and only then can they become part of the received knowledge that drives the very possibility of scientific progress.
Scientists do not have the luxury of forgoing storytelling. We need not fear that storytelling will compromise our objectivity. If we believe that we have the right story, then we should tell it. Only then can it be evaluated. Because science is a collective enterprise, our stories will succeed when they are validated by broad agreement in our community.
It is our responsibility to become at least literate, if not masterly, in storytelling about our work. Our audiences need stories. So we must tell the right stories about our findings, if we are going to treat those findings with the respect they need.
Thursday, 19 July 2018
The cashless society is a con – and big finance is behind it
Brett Scott in The Guardian
All over the western world banks are shutting down cash machinesand branches. They are trying to push you into using their digital payments and digital banking infrastructure. Just like Google wants everyone to access and navigate the broader internet via its privately controlled search portal, so financial institutions want everyone to access and navigate the broader economy through their systems.
Hundreds of cash machines close as UK turns to contactless payments
Another aim is to cut costs in order to boost profits. Branches require staff. Replacing them with standardised self-service apps allows the senior managers of financial institutions to directly control and monitor interactions with customers.
Banks, of course, tell us a different story about why they do this. I recently got a letter from my bank telling me that they are shutting down local branches because “customers are turning to digital”, and they are thus “responding to changing customer preferences”. I am one of the customers they are referring to, but I never asked them to shut down the branches.
There is a feedback loop going on here. In closing down their branches, or withdrawing their cash machines, they make it harder for me to use those services. I am much more likely to “choose” a digital option if the banks deliberately make it harder for me to choose a non-digital option.
In behavioural economics this is referred to as “nudging”. If a powerful institution wants to make people choose a certain thing, the best strategy is to make it difficult to choose the alternative.
We can illustrate this with the example of self-checkout tills at supermarkets. The underlying agenda is to replace checkout staff with self-service machines to cut costs. But supermarkets have to convince their customers. They thus initially present self-checkout as a convenient alternative. When some people then use that alternative, the supermarket can cite that as evidence of a change in customer behaviour, which they then use to justify a reduction in checkout employees. This in turn makes it more inconvenient to use the checkout staff, which in turn makes customers more likely to use the machines. They slowly wean you off staff, and “nudge” you towards self-service.
Financial institutions, likewise, are trying to nudge us towards a cashless society and digital banking. The true motive is corporate profit. Payments companies such as Visa and Mastercard want to increase the volume of digital payments services they sell, while banks want to cut costs. The nudge requires two parts. First, they must increase the inconvenience of cash, ATMs and branches. Second, they must vigorously promote the alternative. They seek to make people “learn” that they want digital, and then “choose” it.
We can learn from the Marxist philosopher Antonio Gramsci in this regard. His concept of hegemony referred to the way in which powerful parties condition the cultural and economic environment in such a way that their interests begin to be perceived as natural and inevitable by the general public. Nobody was on the streets shouting for digital payment 20 years ago, but increasingly it seems obvious and “natural” that it should take over. That belief does not come from nowhere. It is the direct result of a hegemonic project on the part of financial institutions.
We can also learn from Louis Althusser’s concept of interpellation. The basic idea is that you can get people to internalise beliefs by addressing them as if they already had those beliefs. Twenty years ago nobody believed that cash was “inconvenient”, but every time I walk into London Underground I see adverts that address me as if I was a person who finds cash inconvenient. The objective is to reverse-engineer a belief within me that it is inconvenient, and that cashlessness is in my interests. But a cashless society is not in your interest. It is in the interest of banks and payments companies. Their job is to make you believe that it is in your interest too, and they are succeeding in doing that.
Digital systems may be ‘convenient', but they often fail. Cash, on the other hand, does not crash
The recent Visa chaos, during which millions of people who have become dependent on digital payment suddenly found themselves stranded when the monopolistic payment network crashed, was a temporary setback. Digital systems may be “convenient”, but they often come with central points of failure. Cash, on the other hand, does not crash. It does not rely on external data centres, and is not subject to remote control or remote monitoring. The cash system allows for an unmonitored “off the grid” space. This is also the reason why financial institutions and financial technology companies want to get rid of it. Cash transactions are outside the net that such institutions cast to harvest fees and data.
A cashless society brings dangers. People without bank accounts will find themselves further marginalised, disenfranchised from the cash infrastructure that previously supported them. There are also poorly understood psychological implications about cash encouraging self-control while paying by card or a mobile phone can encourage spending. And a cashless society has major surveillance implications.
Despite this, we see an alignment between government and financial institutions. The Treasury recently held a public consultation on cash and digital payments in the new economy. It presented itself as attempting to strike a balance, noting that cash was still important. But years of subtle lobbying by the financial industry have clearly paid off. The call for evidencerepeatedly notes the negative elements of cash – associating it with crime and tax evasion – but barely mentions the negative implications of digital payments.
The UK government has chosen to champion the digital financial services industry. This is irresponsible and disingenuous. We need to stop accepting stories about the cashless society and hyper-digital banking being “natural progress”. We must recognise every cash machine that is shut down as another step in financial institutions’ campaign to nudge you into their digital enclosures.
All over the western world banks are shutting down cash machinesand branches. They are trying to push you into using their digital payments and digital banking infrastructure. Just like Google wants everyone to access and navigate the broader internet via its privately controlled search portal, so financial institutions want everyone to access and navigate the broader economy through their systems.
Hundreds of cash machines close as UK turns to contactless payments
Another aim is to cut costs in order to boost profits. Branches require staff. Replacing them with standardised self-service apps allows the senior managers of financial institutions to directly control and monitor interactions with customers.
Banks, of course, tell us a different story about why they do this. I recently got a letter from my bank telling me that they are shutting down local branches because “customers are turning to digital”, and they are thus “responding to changing customer preferences”. I am one of the customers they are referring to, but I never asked them to shut down the branches.
There is a feedback loop going on here. In closing down their branches, or withdrawing their cash machines, they make it harder for me to use those services. I am much more likely to “choose” a digital option if the banks deliberately make it harder for me to choose a non-digital option.
In behavioural economics this is referred to as “nudging”. If a powerful institution wants to make people choose a certain thing, the best strategy is to make it difficult to choose the alternative.
We can illustrate this with the example of self-checkout tills at supermarkets. The underlying agenda is to replace checkout staff with self-service machines to cut costs. But supermarkets have to convince their customers. They thus initially present self-checkout as a convenient alternative. When some people then use that alternative, the supermarket can cite that as evidence of a change in customer behaviour, which they then use to justify a reduction in checkout employees. This in turn makes it more inconvenient to use the checkout staff, which in turn makes customers more likely to use the machines. They slowly wean you off staff, and “nudge” you towards self-service.
Financial institutions, likewise, are trying to nudge us towards a cashless society and digital banking. The true motive is corporate profit. Payments companies such as Visa and Mastercard want to increase the volume of digital payments services they sell, while banks want to cut costs. The nudge requires two parts. First, they must increase the inconvenience of cash, ATMs and branches. Second, they must vigorously promote the alternative. They seek to make people “learn” that they want digital, and then “choose” it.
We can learn from the Marxist philosopher Antonio Gramsci in this regard. His concept of hegemony referred to the way in which powerful parties condition the cultural and economic environment in such a way that their interests begin to be perceived as natural and inevitable by the general public. Nobody was on the streets shouting for digital payment 20 years ago, but increasingly it seems obvious and “natural” that it should take over. That belief does not come from nowhere. It is the direct result of a hegemonic project on the part of financial institutions.
We can also learn from Louis Althusser’s concept of interpellation. The basic idea is that you can get people to internalise beliefs by addressing them as if they already had those beliefs. Twenty years ago nobody believed that cash was “inconvenient”, but every time I walk into London Underground I see adverts that address me as if I was a person who finds cash inconvenient. The objective is to reverse-engineer a belief within me that it is inconvenient, and that cashlessness is in my interests. But a cashless society is not in your interest. It is in the interest of banks and payments companies. Their job is to make you believe that it is in your interest too, and they are succeeding in doing that.
Digital systems may be ‘convenient', but they often fail. Cash, on the other hand, does not crash
The recent Visa chaos, during which millions of people who have become dependent on digital payment suddenly found themselves stranded when the monopolistic payment network crashed, was a temporary setback. Digital systems may be “convenient”, but they often come with central points of failure. Cash, on the other hand, does not crash. It does not rely on external data centres, and is not subject to remote control or remote monitoring. The cash system allows for an unmonitored “off the grid” space. This is also the reason why financial institutions and financial technology companies want to get rid of it. Cash transactions are outside the net that such institutions cast to harvest fees and data.
A cashless society brings dangers. People without bank accounts will find themselves further marginalised, disenfranchised from the cash infrastructure that previously supported them. There are also poorly understood psychological implications about cash encouraging self-control while paying by card or a mobile phone can encourage spending. And a cashless society has major surveillance implications.
Despite this, we see an alignment between government and financial institutions. The Treasury recently held a public consultation on cash and digital payments in the new economy. It presented itself as attempting to strike a balance, noting that cash was still important. But years of subtle lobbying by the financial industry have clearly paid off. The call for evidencerepeatedly notes the negative elements of cash – associating it with crime and tax evasion – but barely mentions the negative implications of digital payments.
The UK government has chosen to champion the digital financial services industry. This is irresponsible and disingenuous. We need to stop accepting stories about the cashless society and hyper-digital banking being “natural progress”. We must recognise every cash machine that is shut down as another step in financial institutions’ campaign to nudge you into their digital enclosures.
Wednesday, 18 July 2018
Dark money lurks at the heart of our political crisis
George Monbiot in The Guardian
Democracy is threatened by organisations such the Institute of Economic Affairs that refuse to reveal who funds them
The problem is exemplified, in my view, by the Institute of Economic Affairs (IEA). In the latest reshuffle, two ministers with close links to the institute, Dominic Raab and Matthew Hancock, have been promoted to the frontbench, responsible for issues that obsess the IEA: Brexit and the NHS. Raab credits the IEA with supporting him “in waging the war of ideas”. Hancock, in his former role as cabinet office minister, notoriously ruled that charities receiving public funds should not be allowed to lobby the government. His department credited the IEA with the research that prompted the policy. This rule, in effect, granted a monopoly on lobbying to groups such as the IEA, which receive their money only from private sources. Hancock has received a total of £32,000 in political donations from the IEA’s chairman, Neil Record.
The IEA has lobbied consistently for a hard Brexit. A report it published on Monday as an alternative to Theresa May’s white paper calls for Brexit to be used to tear down the rules protecting agency workers, to deregulate finance, annul the rules on hazardous chemicals and weaken food labelling laws. Darren Grimes, who was fined by the Electoral Commission on Tuesday for spending offences during the leave campaign, now works as the IEA’s digital manager.
So what is this organisation, and on whose behalf does it speak? If only we knew. It is rated by the accountability group Transparify as “highly opaque”. All that distinguishes organisations such as the IEA from public relations companies such as Burson-Marsteller is that we don’t know who it is working for. The only hard information we have is that, for many years, it has been funded by British American Tobacco (BAT), Japan Tobacco International, Imperial Tobacco and Philip Morris International. When this funding was exposed, the IEA claimed that its campaigns against tobacco regulation were unrelated to the money it had received. Recently, it has been repeatedly dissing the NHS, which it wants to privatise; campaigning against controls on junk food; attacking trade unions; and defending zero-hour contracts, unpaid internships and tax havens. Its staff appear on the BBC promoting these positions, often several times a week. But never do interviewers ask the basic democratic questions: who funds you, and do they have a financial interest in these topics?
The BBC’s editorial guidelines seem clear: “We should make checks to establish the credentials of our contributors and to avoid being ‘hoaxed’.” In my view, the entire IEA is a hoax. As the documentary filmmaker Adam Curtis has revealed (ironically, on the BBC’s website), when the institute was created, in 1955, one of its founders, Maj Oliver Smedley, wrote to the other, Antony Fisher, urging that it was “imperative that we should give no indication in our literature that we are working to educate the public along certain lines which might be interpreted as having a political bias. … That is why the first draft [of the institute’s aims] is written in rather cagey terms”.
Democracy is threatened by organisations such the Institute of Economic Affairs that refuse to reveal who funds them
Illustration: Sébastien Thibault
A mere two millennia after Roman politicians paid mobs to riot on their behalf, we are beginning to understand the role of dark money in politics, and its perennial threat to democracy. Dark money is cash whose source is not made public, and which is spent to change political outcomes. The Facebook/Cambridge Analytica scandal,unearthed by Carole Cadwalladr, and the mysterious funds channelled through Northern Ireland’s Democratic Unionist party to the leave campaign in England and Scotland have helped to bring the concept to public attention. But these examples hint at a much wider problem. Dark money can be seen as the underlying corruption from which our immediate crises emerge: the collapse of public trust in politics, the rise of a demagogic anti-politics, and assaults on the living world, public health and civic society. Democracy is meaningless without transparency.
The techniques now being used to throw elections and referendums were developed by the tobacco industry, and refined by biotechnology, fossil fueland junk food companies. Some of us have spent years exposing the fake grassroots campaigns they established, the false identities and bogus scientific controversies they created, and the way in which media outlets have been played by them. Our warnings went unheeded, while the ultra-rich learned how to buy the political system.
A mere two millennia after Roman politicians paid mobs to riot on their behalf, we are beginning to understand the role of dark money in politics, and its perennial threat to democracy. Dark money is cash whose source is not made public, and which is spent to change political outcomes. The Facebook/Cambridge Analytica scandal,unearthed by Carole Cadwalladr, and the mysterious funds channelled through Northern Ireland’s Democratic Unionist party to the leave campaign in England and Scotland have helped to bring the concept to public attention. But these examples hint at a much wider problem. Dark money can be seen as the underlying corruption from which our immediate crises emerge: the collapse of public trust in politics, the rise of a demagogic anti-politics, and assaults on the living world, public health and civic society. Democracy is meaningless without transparency.
The techniques now being used to throw elections and referendums were developed by the tobacco industry, and refined by biotechnology, fossil fueland junk food companies. Some of us have spent years exposing the fake grassroots campaigns they established, the false identities and bogus scientific controversies they created, and the way in which media outlets have been played by them. Our warnings went unheeded, while the ultra-rich learned how to buy the political system.
The problem is exemplified, in my view, by the Institute of Economic Affairs (IEA). In the latest reshuffle, two ministers with close links to the institute, Dominic Raab and Matthew Hancock, have been promoted to the frontbench, responsible for issues that obsess the IEA: Brexit and the NHS. Raab credits the IEA with supporting him “in waging the war of ideas”. Hancock, in his former role as cabinet office minister, notoriously ruled that charities receiving public funds should not be allowed to lobby the government. His department credited the IEA with the research that prompted the policy. This rule, in effect, granted a monopoly on lobbying to groups such as the IEA, which receive their money only from private sources. Hancock has received a total of £32,000 in political donations from the IEA’s chairman, Neil Record.
The IEA has lobbied consistently for a hard Brexit. A report it published on Monday as an alternative to Theresa May’s white paper calls for Brexit to be used to tear down the rules protecting agency workers, to deregulate finance, annul the rules on hazardous chemicals and weaken food labelling laws. Darren Grimes, who was fined by the Electoral Commission on Tuesday for spending offences during the leave campaign, now works as the IEA’s digital manager.
So what is this organisation, and on whose behalf does it speak? If only we knew. It is rated by the accountability group Transparify as “highly opaque”. All that distinguishes organisations such as the IEA from public relations companies such as Burson-Marsteller is that we don’t know who it is working for. The only hard information we have is that, for many years, it has been funded by British American Tobacco (BAT), Japan Tobacco International, Imperial Tobacco and Philip Morris International. When this funding was exposed, the IEA claimed that its campaigns against tobacco regulation were unrelated to the money it had received. Recently, it has been repeatedly dissing the NHS, which it wants to privatise; campaigning against controls on junk food; attacking trade unions; and defending zero-hour contracts, unpaid internships and tax havens. Its staff appear on the BBC promoting these positions, often several times a week. But never do interviewers ask the basic democratic questions: who funds you, and do they have a financial interest in these topics?
The BBC’s editorial guidelines seem clear: “We should make checks to establish the credentials of our contributors and to avoid being ‘hoaxed’.” In my view, the entire IEA is a hoax. As the documentary filmmaker Adam Curtis has revealed (ironically, on the BBC’s website), when the institute was created, in 1955, one of its founders, Maj Oliver Smedley, wrote to the other, Antony Fisher, urging that it was “imperative that we should give no indication in our literature that we are working to educate the public along certain lines which might be interpreted as having a political bias. … That is why the first draft [of the institute’s aims] is written in rather cagey terms”.
The two men were clear about its purpose: to become a public relations agency that would change society along the lines advocated by the founder of neoliberalism, Friedrich Hayek. It should not, Hayek urged them, do any actual thinking, but become a “second-hand dealer in ideas”. The IEA became the template for other neoliberal institutes. It was financed initially from the fortune Fisher made by importing broiler chicken farming into the UK. Curtis credits him with founding 150 such lobby groups around the world.
While dark money has been used to influence elections, the role of groups such as the IEA is to reach much deeper into political life. As its current director, Mark Littlewood, explains, “We want to totally reframe the debate about the proper role of the state and civil society in our country … Our true mission is to change the climate of opinion.”
Astonishingly, the IEA is registered as an educational charity, with the official purpose of helping “the general public/mankind”. As a result it is exempted from the kind of taxes about which it complains so bitterly. Charity Commission rules state that “an organisation will not be charitable if its purposes are political”. How much more political can you get? In what sense is ripping down public protections and attacking the rights of workers charitable? Surely no organisation should be registered as a charity unless any funds it receives above a certain threshold (say £1,000) are declared.
The Charity Commission announced last week that it has decided to examine the role of the IEA, to see whether it has broken its rules. I don’t hold out much hope. In response to a complaint by Andrew Purkis, a former member of the Charity Commission’s board, its head of regulatory compliance, Anthony Blake, claimed that the IEA provides a “relatively uncontroversial perspective accepted by informed opinion”. If he sees hard Brexit, privatising the NHS and defending tax havens as uncontroversial, it makes you wonder what circles he moves in.
I see such organisations as insidious and corrupting. I see them as the means by which money comes to dominate public life without having to declare its hand. I see them as representing everything that has gone wrong with our politics.
While dark money has been used to influence elections, the role of groups such as the IEA is to reach much deeper into political life. As its current director, Mark Littlewood, explains, “We want to totally reframe the debate about the proper role of the state and civil society in our country … Our true mission is to change the climate of opinion.”
Astonishingly, the IEA is registered as an educational charity, with the official purpose of helping “the general public/mankind”. As a result it is exempted from the kind of taxes about which it complains so bitterly. Charity Commission rules state that “an organisation will not be charitable if its purposes are political”. How much more political can you get? In what sense is ripping down public protections and attacking the rights of workers charitable? Surely no organisation should be registered as a charity unless any funds it receives above a certain threshold (say £1,000) are declared.
The Charity Commission announced last week that it has decided to examine the role of the IEA, to see whether it has broken its rules. I don’t hold out much hope. In response to a complaint by Andrew Purkis, a former member of the Charity Commission’s board, its head of regulatory compliance, Anthony Blake, claimed that the IEA provides a “relatively uncontroversial perspective accepted by informed opinion”. If he sees hard Brexit, privatising the NHS and defending tax havens as uncontroversial, it makes you wonder what circles he moves in.
I see such organisations as insidious and corrupting. I see them as the means by which money comes to dominate public life without having to declare its hand. I see them as representing everything that has gone wrong with our politics.
Monday, 16 July 2018
Buzzwords and crazes for clinical trials won't fix a broken aid system
Fifteen leading economists, including three Nobel winners, argue in The Guardian that the many billions of dollars spent on aid can do little to alleviate poverty while we fail to tackle its root causes
Economist Esther Duflo at MIT’s Poverty Action Lab recently argued in Le Monde that France should adopt clinical trials as a guiding principle for its aid budget, which has grown significantly under the Macron administration.
But truly random sampling with blinded subjects is almost impossible in human communities without creating scenarios so abstract as to tell us little about the real world. And trials are expensive to carry out, and fraught with ethical challenges – especially when it comes to health-related interventions. (Who gets the treatment and who doesn’t?)
But the real problem with the “aid effectiveness” craze is that it narrows our focus down to micro-interventions at a local level that yield results that can be observed in the short term. At first glance this approach might seem reasonable and even beguiling. But it tends to ignore the broader macroeconomic, political and institutional drivers of impoverishment and underdevelopment. Aid projects might yield satisfying micro-results, but they generally do little to change the systems that produce the problems in the first place. What we need instead is to tackle the real root causes of poverty, inequality and climate change.
Two classes share one classroom, in the Mpati area of North Kivu province, DRC. Photograph: Christian Jepsen/NRC
Handing out performance bonuses to teachers, for example, is an inadequate response to education budgets that have been slashed in order to pay down onerous external debts. As the UN special rapporteur on extreme poverty and human rights argued in his recent report, social protections need to be ringfenced against fiscal adjustment. The most fragile members of the population need more than classes in financial literacy. They need robust, universal services and access to public education and healthcare.
Water purification tablets are too little in the face of droughts induced by climate change; what is at stake is an ecological emergency that demands coordinated public policy strategies. In agriculture, real progress requires putting an end to the excessive subsidies paid by rich nations to large producers, regulating food commodity derivatives markets, and ending the land grabs that dispossess the small-scale farmers who play vital roles in feeding the world.
We need to ensure that the governments of global south nations are able to claim a fair share of taxes owed to them by the multinational companies operating within their borders. This means, in line with the Organisation for Economic Co-operation and Development’s recommendations, putting an end to the trade mis-invoicing and transfer mispricing practices that large firms employ, and regulating the tax havens and secrecy jurisdictions that are controlled by a few nations in western Europe and North America.
Much more than microcredit services are needed to improve the incomes of poor workers. We need to introduce and enforce real labour legislation, which has proved to be instrumental in helping millions of people to escape poverty. On top of this, we need to explore ways to consolidate regulations across borders in order to mitigate globalisation’s race to the bottom for exploitable labour.
Makeshift houses along a breakwater in polluted Manila Bay, the Philippines. Photograph: Ezra Acayan/Barcroft Images
In all these areas, there is still an enormous amount to be done. If we are concerned about effectiveness, then instead of assessing the short-term impacts of micro-projects, we should evaluate whole public policies. In this respect, there is a wealth of underused data provided by decades of household surveys by national statistical offices. Combined with satellite data, recently made public, they can now be used for detailed analysis, capable of providing clear information on the public policies that have been most successful. In the face of the sheer scale of the overlapping crises we face, we need systems-level thinking.
People of the south deserve better. The sustainable development goals we agreed in 2015 hold both for northern and southern countries; they acknowledge that our crisis is a collective one: that fighting against poverty, inequality, biodiversity loss and climate change requires changing the rules of the international economic system to make it more ecological and fairer for the world’s majority. It’s time that we devise interventions – and accountability tools – appropriate to this new frontier.
Palestinian children in a poor neighbourhood in Gaza City. More than 4 billion people worldwide live on less than £4 a day. Photograph: Mahmud Hams/AFP/Getty Images
Development efforts over the past few decades have not been as effective as promised.
Global poverty remains intractable: more than 4 billion people live on less than the equivalent of $5 (£3.80) a day, and the number of people going hungry has been rising. Important gains have been made in some areas, but many of the objectives set by the millennium development goals – to be reached by 2015 – remain unfulfilled. And this despite hundreds of billions of dollars of aid.
Donors increasingly want to see more impact for their money, practitioners are searching for ways to make their projects more effective, and politicians want more financial accountability behind aid budgets. One popular option has been to audit projects for results. The argument is that assessing “aid effectiveness” – a buzzword now ubiquitous in the UK’s Department for International Development – will help decide what to focus on.
Some go so far as to insist that development interventions should be subjected to the same kind of randomised control trials used in medicine, with “treatment” groups assessed against control groups. Such trials are being rolled out to evaluate the impact of a wide variety of projects – everything from water purification tablets to microcredit schemes, financial literacy classes to teachers’ performance bonuses.
Development efforts over the past few decades have not been as effective as promised.
Global poverty remains intractable: more than 4 billion people live on less than the equivalent of $5 (£3.80) a day, and the number of people going hungry has been rising. Important gains have been made in some areas, but many of the objectives set by the millennium development goals – to be reached by 2015 – remain unfulfilled. And this despite hundreds of billions of dollars of aid.
Donors increasingly want to see more impact for their money, practitioners are searching for ways to make their projects more effective, and politicians want more financial accountability behind aid budgets. One popular option has been to audit projects for results. The argument is that assessing “aid effectiveness” – a buzzword now ubiquitous in the UK’s Department for International Development – will help decide what to focus on.
Some go so far as to insist that development interventions should be subjected to the same kind of randomised control trials used in medicine, with “treatment” groups assessed against control groups. Such trials are being rolled out to evaluate the impact of a wide variety of projects – everything from water purification tablets to microcredit schemes, financial literacy classes to teachers’ performance bonuses.
Economist Esther Duflo at MIT’s Poverty Action Lab recently argued in Le Monde that France should adopt clinical trials as a guiding principle for its aid budget, which has grown significantly under the Macron administration.
But truly random sampling with blinded subjects is almost impossible in human communities without creating scenarios so abstract as to tell us little about the real world. And trials are expensive to carry out, and fraught with ethical challenges – especially when it comes to health-related interventions. (Who gets the treatment and who doesn’t?)
But the real problem with the “aid effectiveness” craze is that it narrows our focus down to micro-interventions at a local level that yield results that can be observed in the short term. At first glance this approach might seem reasonable and even beguiling. But it tends to ignore the broader macroeconomic, political and institutional drivers of impoverishment and underdevelopment. Aid projects might yield satisfying micro-results, but they generally do little to change the systems that produce the problems in the first place. What we need instead is to tackle the real root causes of poverty, inequality and climate change.
Two classes share one classroom, in the Mpati area of North Kivu province, DRC. Photograph: Christian Jepsen/NRC
Handing out performance bonuses to teachers, for example, is an inadequate response to education budgets that have been slashed in order to pay down onerous external debts. As the UN special rapporteur on extreme poverty and human rights argued in his recent report, social protections need to be ringfenced against fiscal adjustment. The most fragile members of the population need more than classes in financial literacy. They need robust, universal services and access to public education and healthcare.
Water purification tablets are too little in the face of droughts induced by climate change; what is at stake is an ecological emergency that demands coordinated public policy strategies. In agriculture, real progress requires putting an end to the excessive subsidies paid by rich nations to large producers, regulating food commodity derivatives markets, and ending the land grabs that dispossess the small-scale farmers who play vital roles in feeding the world.
We need to ensure that the governments of global south nations are able to claim a fair share of taxes owed to them by the multinational companies operating within their borders. This means, in line with the Organisation for Economic Co-operation and Development’s recommendations, putting an end to the trade mis-invoicing and transfer mispricing practices that large firms employ, and regulating the tax havens and secrecy jurisdictions that are controlled by a few nations in western Europe and North America.
Much more than microcredit services are needed to improve the incomes of poor workers. We need to introduce and enforce real labour legislation, which has proved to be instrumental in helping millions of people to escape poverty. On top of this, we need to explore ways to consolidate regulations across borders in order to mitigate globalisation’s race to the bottom for exploitable labour.
Makeshift houses along a breakwater in polluted Manila Bay, the Philippines. Photograph: Ezra Acayan/Barcroft Images
In all these areas, there is still an enormous amount to be done. If we are concerned about effectiveness, then instead of assessing the short-term impacts of micro-projects, we should evaluate whole public policies. In this respect, there is a wealth of underused data provided by decades of household surveys by national statistical offices. Combined with satellite data, recently made public, they can now be used for detailed analysis, capable of providing clear information on the public policies that have been most successful. In the face of the sheer scale of the overlapping crises we face, we need systems-level thinking.
People of the south deserve better. The sustainable development goals we agreed in 2015 hold both for northern and southern countries; they acknowledge that our crisis is a collective one: that fighting against poverty, inequality, biodiversity loss and climate change requires changing the rules of the international economic system to make it more ecological and fairer for the world’s majority. It’s time that we devise interventions – and accountability tools – appropriate to this new frontier.
The ECONOMISTS
Sabina Alkire Oxford Poverty and Human Development Initiative
Florent Bédécarrats French Development Agency
Angus Deaton Princeton University, Nobel prize in economics
Gaël Giraud chief economist, French Development Agency
Isabelle Guérin French National Research Institute for Sustainable Development
Barbara Harriss-White Oxford University
James Heckman University of Chicago, Nobel prize in economics
Jason Hickel Goldsmiths, University of London
Naila Kabeer London School of Economics and Political Science
Solène Morvant-Roux University of Geneva
Judea Pearl Columbia University
Cécile Renouard Codev-Essec Business School
François Roubaud French National Research Institute for Sustainable Development
Jean-Michel Servet Graduate Institute
Joseph Stiglitz Columbia University, Nobel prize in economics
Sabina Alkire Oxford Poverty and Human Development Initiative
Florent Bédécarrats French Development Agency
Angus Deaton Princeton University, Nobel prize in economics
Gaël Giraud chief economist, French Development Agency
Isabelle Guérin French National Research Institute for Sustainable Development
Barbara Harriss-White Oxford University
James Heckman University of Chicago, Nobel prize in economics
Jason Hickel Goldsmiths, University of London
Naila Kabeer London School of Economics and Political Science
Solène Morvant-Roux University of Geneva
Judea Pearl Columbia University
Cécile Renouard Codev-Essec Business School
François Roubaud French National Research Institute for Sustainable Development
Jean-Michel Servet Graduate Institute
Joseph Stiglitz Columbia University, Nobel prize in economics
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