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Sunday 26 June 2011

Talent. Graft. Bottle?

Musa Okwonga:  The annual Wimbledon conundrum

The Independent
It's nerve; it's grit; it's the key ingredient that makes a true champion. As Andy Murray aims to break his Grand Slam duck, our writer gets to the root of what every winner needs
Sunday, 26 June 2011
Bottle. It's an odd word to describe the spirit that all athletes need when faced with unprecedented pressure, but it somehow seems to have stuck. There are several conflicting and convoluted suggestions as to its origin: the most recurrent is that "bottle" is derived from Cockney rhyming slang, "bottle and glass". If you've got plenty of "bottle and glass", so the slang goes, then that means that you've got plenty of "arse" when you're confronted with a career-defining test.
Bottle isn't like muscle: it's not visible to the naked eye. At first glance, most of the world's leading sportsmen and sportswomen look routinely impressive: fit, focused, intimidatingly intense. It's only when they're stepping towards that penalty spot or standing at that free-throw line that we get to peer beneath the veneer – to glance at the self-doubt that threatens to engulf them. And engulf them it does, time and again. Just look at Jana Novotna in the 1993 Wimbledon singles final, when she had a game point to go up 5-1 in the final set against Steffi Graf. Until that moment, we didn't know that Novotna would fold; maybe she didn't know, either. But a few games later, she was sobbing on the shoulder of the Duchess of Kent as Graf took the title.
We don't have to look beyond our shores to find ample examples of those who've bottled it. In football, there's the familiar litany of losses to Germany; to name but one, the 1990 World Cup, where England's Stuart Pearce hit his spot-kick into the goalkeeper's midriff and Chris Waddle sliced his high over the crossbar. More recently, in golf, and the sight of Rory McIlroy's surrender at Augusta in the 2011 Masters was especially spectacular. Leading by four shots heading into the final round, holding a one-shot advantage as he moved into the back nine, he then dropped six shots in three holes, finishing 10 shots behind the leader Charl Schwartzel and recording an eight-over-par score of 80.
However, McIlroy's reaction to his meltdown said much about his character, and about the nature of bottle. "Well that wasn't the plan!" he tweeted. "But you have to lose before you can win. This day will make me stronger in the end." Once he had experienced terror, and rapidly understood that the only factor holding him back was his own trepidation; he had laid the foundation for his eventual success. It's no coincidence that in his next major tournament, the 2011 US Open, he triumphed by eight shots.
McIlroy's astonishing response to his collapse shows that we can be unnecessarily harsh when we dismiss an athlete as a "bottler", as someone who'll never hold it together when it counts. For his entire cricket career, the England batsman Graeme Hick was accused of being a "flat-track bully", someone who was proficient against domestic teams but who lacked courage at international level. Hick's batting average in all matches, including a highest score of 405 not out, was 52.23, as against a Test average of 31.32. The history books therefore record a verdict of frailty at the highest level. A more striking case still is Mark Ramprakash, regarded as one of the finest technicians ever to have played the game, but whose performances for England fell far short of those for his counties of Surrey and Middlesex. To date, Ramprakash has over 100 first-class centuries, one of only 25 men to achieve that feat: his batting average in first-class matches stands at 54.59, while his Test career ended with an average of 27.32.
The statistics suggest that, in the cases of Hick and Ramprakash, their bottle was irreparably broken. Both can rightly point to the promise that they showed at Test level, having excelled on foreign soil: Hick can refer to his innings of 178 against India's spinners in Bombay, and Ramprakash can hold up his 154 against West Indian quicks in Barbados. But ultimately, the words of Mike Atherton, written in 2008 in The Times about Ramprakash, ring true for both of them. "Sport is neither just nor unjust," he opined; "it simply reflects time and again an absolute truth. Ramprakash was tried and tested many times in international cricket and more often than not he was found wanting."
Sian Beilock, an associate professor of psychology at the University of Chicago, in Choke: The Secret to Performing under Pressure says: "The more people practise under pressure, the less likely they will be to react negatively when the stress is on. This certainly seems to be true for professional golfers like Tiger Woods. To help Woods learn to block out distractions during critical times on the course, his father, Earl Woods, would drop golf bags, roll balls across Tiger's line of sight, and jingle change in his pocket. Getting Woods used to performing under stress helped him learn to focus and excel on the green."
This excellent practice served Woods well on his way to 14 major championships. But, as Beilock notes, there is no amount of rehearsal that can prepare you for pressure of unforeseen magnitude, such as Woods experienced after multiple revelations about his troubled private life.
If we know that bottle is so hard to have, then why are we so hard on those who don't have it? It's not as if we teach bottle in UK schools. You won't find classes in self-confidence in our curriculum or, as pop star Cher Lloyd has more recently dubbed it, "Swagger Jagger". No, we're too busy teaching humility to our athletes. As a nation, we are superb silver medallists. We smile politely on the podium and shake the winner's hand, when we should be snarling and tearing it off. And while bottle is not the same as arrogance, the two are closely related, both relying on a dogged belief in one's own ability, often in the face of reason.
Most British athletes who are regarded as bottlers are nothing of the sort. Instead, they are people who have risen far above their sporting station, who have gone beyond all reasonable expectation of their talent. Take Tim Henman, who went to six Grand Slam semi-finals, and who was at times a firm test for the all-time greatness of Pete Sampras. Take Andy Murray, who has finished as the runner-up in three Grand Slam finals, and who has the misfortune to be playing in the same era as the all-time greatness of Roger Federer and Rafael Nadal. Neither of these men are failures. They're very, very, very good at tennis, and their only crime is to have fallen short of the milestone of sporting immortality.
If you're a world-class athlete, it's best not to care too much what the public thinks. If you're too dominant, the public can't relate to you and find you boring. If you come second too often, it despairs of you. Your victories must be conspicuously hard-won. There must be graft alongside the grace, bottle alongside the brilliance. We want you to sweat every bit as much as you Swagger Jagger.
If you can master all of that, then we'll truly take you to our hearts. And it can't look too pretty. Tiger Woods's most memorable major victory was not winning the 1997 Masters aged only 21, but the 2008 US Open, with only one good leg. Dame Kelly Holmes is loved not so much because she was a double Olympic gold medallist at 800m and 1500m, but because we saw her strive for years, and, in those final races, for every last inch of her success.
When athletes crumple to defeat in such public spheres, they may lose titles, but they win our affection. That's why, when Rory McIlroy stepped off the 18th green at Congressional, he was not just the 2011 US Open Champion. He was something vastly more: he was our champion.
Musa Okwonga is author of 'A Cultured Left Foot' and 'Will You Manage?'

Ideals go overboard when it comes to choosing a school

Janet Street-Porter
Sunday, 26 June 2011
Don't you love the way alleged socialists and the community-minded middle classes justify their biggest act of hypocrisy – claiming that they want better education for all, while paying through the nose to send their offspring to private schools? Marcus Brigstocke, a pleasant enough comedian, has been doing a bit of hand wringing, telling this paper last week, "I have ethical problems with it [my choice] but... I think this is the best environment for them". Rich people always use the feeblest excuses to justify paying to segregate their children from the rest.
George Osborne, the Chancellor, has decided to send his kids, Luke and Liberty, to swanky Norland Place in west London, and says "we made a decision we feel is best for them". Since when did "best" mean "fee- paying"? Even lefty musicians undergo a radical change of heart when they start to breed. New Statesman columnist Alex James, whose band Blur trashed public schools in their song "Charmless Man", is opting for private, protesting "you want your kids to have the best education". The MP Diane Abbott shunned local schools in Hackney and spent thousands sending her son James to a top school, claiming she did not want him to "get in with the wrong crowd". A great message to send to constituents who have no other choice. She claimed that other West Indian mums sympathised with her – shameless.
Private schools account for only 7 per cent of students, but 45 per cent of the Oxbridge intake – and that's the reason middle-class parents, even in a recession, will remortgage their homes, give up holidays, and beg grandparents for cash to meet the fees. As parents struggle to pay this self-imposed tithe, independent schools are getting into debt – they're owed £120,000 on average – and many are raising fees. Surely the time is right for parents to come to their senses, save their lolly and give state education a chance?
I never thought I'd feel sympathy for Michael Gove, the Secretary of State for Education, but I do. Tasked with trying to drag all state schools up to a decent level of achievement, he's besieged on all fronts. He's highly committed, but what about his fellow politicians? Not only does his own party prefer private education for their children, the Prime Minister says he's "terrified"of finding a good state secondary school for his family. The left is no better – many choose faith schools and selective secondaries in the belief that it will give their kids a better start in life. David Miliband is an atheist, yet sends his eldest son to a faith school over a mile away, when there is a secular primary close by. In short, few people in power or in the public eye are willing to endorse state schools.
It's as if Michael Gove is trying to sell us cars that no one in government, the professions or the City would be seen dead driving. He's got plenty of other problems on his plate – Ofqual, the body that monitors exam standards, recently failed to spot that 10 GCSE and A-level papers contained mistakes, affecting up to 250,000 students. They can hold an investigation and castigate exam boards, but surely the buck stops with them. Of course no one will get the sack or resign, and many young people will be denied the university of their choice.
This week, 300,000 teachers plan to strike over changes to their pension arrangements, and Gove has said schools have a "moral duty" to stay open. On top of all that, a review into testing primary school leavers wants to change the creative writing paper and replace it with "right" or "wrong" tick boxes. Doesn't sound very challenging to me. Teachers have moaned and moaned about these test, but the number of kids leaving primary school who are illiterate is shocking.
Gove needs more money for teachers to reduce class sizes – the only way that standards will improve. He needs to introduce quality vocational training for less academic kids at 14, so they will be ready to take up lucrative jobs as plumbers, engineers, and builders. Labour introduced worthless diplomas instead of A-levels, which have left hundreds of thousands of teenagers unemployed and unskilled. I am the product of a state education – and it couldn't have been better. Gove needs cash and moral support from his colleagues and prominent citizens. Sadly it looks as if neither will be forthcoming.

Friday 24 June 2011

India: Growth in the 2000s—Key Facts


by Arvind Subramanian, Peterson Institute for International Economics

Op-ed in the Business Standard, New Delhi
June 22, 2011

© Business Standard


India's policy turnaround enters its third decade this month, but the remarkable Indian growth turnaround is now in its fourth decade. The first two decades of higher growth—the 1980s and 1990s—have been well explored. Only now, with data becoming available, can we begin studying Indian growth patterns in the third decade, the 2000s.

My ongoing research with Utsav Kumar of the Asian Development Bank throws up four key findings about growth within India in the 2000s compared to the 1990s.

1. The good news: Average growth has doubled. Figure 1 [pdf] illustrates this fact. It plots the per capita growth rate for the 21 largest states for two time periods: between 1993 and 2001 (horizontal axis) and between 2001 and 2009 (vertical axis). The figure shows that with the exception of Himachal Pradesh and Rajasthan, all states are above the 45 degree line, indicating that growth in the 2000s was substantially greater than in the 1990s. Indeed, average per capita growth across the 21 states increased from 2.8 percent in the 1990s to 5.8 percent in the 2000s. The largest improvements were posted by Uttarakhand (7.1 percentage points), Maharashtra (5.8) and Chhattisgarh (5) with Gujarat and Bihar not far behind. The figure provides a clue both to the long-standing success of the Communist party in West Bengal and its overthrow in the recent elections: West Bengal was one of the strongest performers in the 1990s but was one of the few states that stagnated in the 2000s while others surged.

2. Less good news: Divergence continues. The strong performance of the hitherto laggards—Bihar, Orissa and Chhattisgarh—has been one of the remarkable stories of the 2000s. But this should not obscure the more general pattern that across the Indian states, we still do not see a trend towards greater equality—that is, we do not see the phenomenon of convergence within India, whereby the poorer states, by virtue of growing faster than the richer states, start catching up with the latter's level of income. In fact, figure 2 [pdf] portrays a picture of divergence. It plots the growth rate of the states for the period 2001–09 against their starting level of per capita GDP (in 2001). If convergence holds, the relationship should be downward sloping because the poorer the initial standard of living, the faster the subsequent growth ought to be. But, as the figure shows, richer states on average grew faster so that inequality across states increased.

What is surprising is that the 2000s, far from reversing the unequalizing pattern of growth in the 1990s, continues it. In fact, if Bihar is excluded from the sample, the tendency towards divergence and inequality is even stronger in the 2000s.

3. Globalized but vulnerable states? India's rapid globalization is one of the clichés of our time. The crisis of 2008–10 highlighted the vulnerability that is the flip side of the dynamism that globalization has engendered: growth declined in, and capital fled from, India, as in most other countries, albeit to a lesser extent. But the question remained as to which states were more dependent on foreign markets and hence more susceptible to a downturn as conditions abroad faltered.

Our analysis shows, unsurprisingly, that Karnataka, with Bangalore as the globalized IT-hub of India, fared the worst with a dramatic growth drop of about 4.4 percentage points during the crisis. Andhra Pradesh and Maharashtra also saw a decline in growth of about two to three percentage points. Gujarat and Tamil Nadu experienced a smaller decline. On average, it seems those states that grew faster before the crisis experienced a greater decline in growth during the crisis. While the multiplicity of factors at work precludes drawing clear conclusions, the evidence is consistent with globalization conferring benefits and at the same time increasing downside risks.

4. Whither demographic dividend? Hope in India's future growth is founded on the demographic dividend: a rapidly expanding young population will save more and inject entrepreneurial vigor that will lift the country to a faster growth trajectory. And corroborative evidence was provided in an excellent recent paper by Shekhar Aiyar and Ashoka Mody of the International Monetary Fund. But the pattern of growth in the 2000s appears to muddy the waters. Our preliminary analysis, based on the 2001 Census projections rather than actual data from the 2011 Census, suggests that key demographic factors such as changes in the share of working-age population are not correlated—they may indeed be negatively correlated—with growth performance. This may not be surprising given that many of the demographically aging states such as Kerala, Tamil Nadu, and, to a lesser extent, Maharashtra and Gujarat have done remarkably well while demographically dynamic states such as Uttar Pradesh, Rajasthan and Madhya Pradesh have not fared as well. The preliminary nature of these results must be stressed, but succumbing to a demography-based complacency must be resisted.

A final intriguing factoid relates to Kerala. The conventional wisdom is of a state that is Scandinavian in its social achievements but sclerotic in its growth performance because of investment-chilling labor laws and militant trade unions, and reflected in a labor force that has voted with its feet by emigrating to West Asia. The abiding caricature is of the lazy, argumentative Malayali, discussing Foucault and Gramsci over endless cups of chai while living parasitically off the remittances sent by the relatives-in-exile. Well, the data suggest that the conventional wisdom and the caricature are dead wrong. Kerala posted amongst the highest rates of growth in the 1990s (4 percent per capita), continued its stellar performance in the go-go 2000s (7.5 percent), and exhibited great resilience during the crisis, experiencing virtually no decline in growth.

India, evidently, is capacious enough to allow both Bania, reforming Gujarat and Marxist, reform-resistant Kerala to flourish. Or, to put it more honestly, the Indian growth miracle continues to confound.

Wednesday 22 June 2011

It isn't just the euro. Europe's democracy itself is at stake


Greece illustrates the danger of allowing rating agencies, despite their abysmal record, to lord it over the political terrain

Amartya Sen

Europe has led the world in the practice of democracy. It is therefore worrying that the dangers to democratic governance today, coming through the back door of financial priority, are not receiving the attention they should. There are profound issues to be faced about how Europe's democratic governance could be undermined by the hugely heightened role of financial institutions and rating agencies, which now lord it freely over parts of Europe's political terrain.

Two distinct issues need to be separated. The first concerns the place of democratic priorities, including what Walter Bagehot and John Stuart Mill saw as the need for "governance by discussion". Suppose we accept that the powerful financial bosses have a realistic understanding of what needs to be done. This would strengthen the case for paying attention to their voices in a democratic dialogue. But that is not the same thing as allowing the international financial institutions and rating agencies the unilateral power to command democratically elected governments.

Second, it is quite hard to see that the sacrifices that the financial commanders have been demanding from precarious countries would deliver the ultimate viability of these countries and guarantee the continuation of the euro within an unreformed pattern of financial amalgamation and an unchanged membership of the euro club. The diagnosis of economic problems by rating agencies is not the voice of verity that they pretend. It is worth remembering that the record of rating agencies in certifying financial and business institutions preceding the 2008 economic crisis was so abysmal that the US Congress seriously debated whether they should be prosecuted.

Since much of Europe is now engaged in achieving quick reduction of public deficits through drastic reduction of public expenditure, it is crucial to scrutinise realistically what the likely impact of the chosen policies may be, both on people and the generating of public revenue through economic growth. The high morals of "sacrifice" do, of course, have an intoxicating effect. This is the philosophy of the "right" corset: "If madam is at all comfortable in it, then madam certainly needs a smaller size." However, if the demands of financial appropriateness are linked too mechanically to immediate cuts, the result could be the killing of the goose that lays the golden egg of economic growth.

This concern applies to a number of countries, from Britain to Greece. The commonality of the "blood, sweat and tears" strategy of deficit reduction gives some apparent plausibility to what is being imposed on more precarious countries like Greece or Portugal. It also makes it harder to have a united political voice in Europe that can stand up to the panic generated in the financial markets.

In addition to a bigger political vision, there is a need for clearer economic thinking. The tendency to ignore the importance of economic growth in generating public revenue should be a major item for scrutiny. The strong connection between growth and public revenue has been observed in many countries, from China and India to the US and Brazil.

There are lessons from history here, too. The big public debts of many countries when the second world war ended caused huge anxieties, but the burden diminished rapidly thanks to fast economic growth. Similarly, the huge deficits that President Clinton faced when he came to office in 1992 melted away during his presidency, greatly aided by speedy economic growth.

The fear of a threat to democracy does not, of course, apply to Britain, since these policies have been chosen by a government empowered by democratic elections. Even though the unfolding of a strategy that was not revealed at the time of election can be a reason for some pause, this is the kind of freedom that a democratic system does allow the electorally victorious. But that does not eliminate the need for more public discussion, even in Britain. There is also a need to recognise how the self-chosen restrictive policies in Britain seem to give plausibility to the even more drastic policies being imposed on Greece.

How did some of the euro countries get into this mess? The oddity of going for a united currency without more political and economic integration has certainly played a part, even after taking note of financial transgressions that have undoubtedly been committed in the past by countries such as Greece or Portugal (and even after noting Mario Monti's important point that a culture of "excessive deference" in the EU has allowed these transgressions to go unchecked). It is to the huge credit of the Greek government – George Papandreou, the prime minister, in particular – that it is doing what it can despite political resistance, but the pained willingness of Athens to comply does not eliminate the European need to examine the wisdom of the requirements – and the timing – being imposed on Greece.

It is no consolation for me to recollect that I was firmly opposed to the euro, despite being very strongly in favour of European unity. My worry about the euro was partly connected with each country giving up the freedom of monetary policy and of exchange rate adjustments, which have greatly helped countries in difficulty in the past, and prevented the necessity of massive destabilisation of human lives in frantic efforts to stabilise the financial markets. That monetary freedom could be given up when there is also political and fiscal integration (as the states in the US have), but the halfway house of the eurozone has been a recipe for disaster. The wonderful political idea of a united democratic Europe has been made to incorporate a precarious programme of incoherent financial amalgamation.

Rearranging the eurozone now would have many problems, but difficult issues have to be intelligently discussed, rather than allowing Europe to drift in financial winds fed by narrow-minded thinking with a terrible track record. The process has to begin with some immediate restraining of the unopposed power of rating agencies to issue unilateral commands. These agencies are hard to discipline despite their abysmal record, but a well-reflected voice of legitimate governments can make a big difference to financial confidence while solutions are worked out, especially if the international financial institutions lend their support. Stopping the marginalisation of the democratic tradition of Europe has an urgency that is hard to exaggerate. European democracy is important for Europe – and for the world.

Interesting Stories of the Day

After the UK MPs were caught with their hands in the till, watch out for Euro MPs expenses scandal:

The UK Government has made it appear that all those who receive public sector pensions are the richest folks in the land:

After bombing Libya for so many days now the Arab League chief admits that the plan has not worked and may even be dysfunctional

George Osborne refuses to tell UK citizens how much the Libyan bombings will cost in an age of austerity.

The coalition hopes that the public sector strikes can be used to blame them for preventing the non existent economic recovery

Large yoga class takes place in Times Square, New York, USA.

Half of Britons have German blood
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Tuesday 21 June 2011

The Super Rich Sabotage The Arab Revolutions

By Shamus Cooke

20 June, 2011
Countercurrents.org

With revolutions sweeping the Arab world and bubbling-up across Europe, aging tyrants or discredited governments are doing their best to cling to power. It's hard to over-exaggerate the importance of these events: the global political and economic status-quo is in deep crisis. If pro-democracy or anti-austerity movements emerge victorious, they'll have an immediate problem to solve -- how to pay for their vision of a better world. The experiences thus far in Egypt and Greece are proof enough that money matters. The wealthy nations holding the purse strings are still able to influence the unfolding of events from afar, subjecting humiliating conditions on those countries undergoing profound social change.

This strategy is being ruthlessly deployed in the Arab world. Take for example Egypt, where the U.S. and Europe are quietly supporting the military dictatorship that replaced the dictatorship of Hosni Mubarak. Now Mubarak's generals rule the country. The people of Egypt, however, still want real change, not a mere shuffling at the top; a strike wave and mass demonstrations are testing the power of the new military dictatorship.

A strike wave implies that Egyptians want better wages and working conditions; and economic opportunity was one of the central demands of the revolutionaries who toppled Mubarak. But revolutions tend to have a temporarily negative effect on a nation's economy. This is mainly because those who dominate the economy, the rich, do their best to sabotage any social change.

One defining feature of revolutions is the exodus of the rich, who correctly assume their wealth will be targeted for redistribution. This is often referred to as "capital flight.” Also, rich foreign investors stop investing money in the revolutionary country, not knowing if the company they're investing in will remain privately owned, or if the government they're investing in will strategically default and choose not to pay back foreign investors. Lastly, workers demand higher wages in revolutions, and many owners would rather shut down -- if they don't flee -- than operate for small profits. All of this hurts the economy overall.

The New York Times reports:

"The 18-day [Egyptian] revolt stopped new foreign investment and decimated the pivotal tourist industry... The revolution has inspired new demands for more jobs and higher wages that are fast colliding with the economy's diminished capacity...Strikes by workers demanding their share of the revolution's spoils continue to snarl industry... The main sources of capital in this country have either been arrested, escaped or are too afraid to engage in any business..." (June 10, 2011).

Understanding this dynamic, the rich G8 nations are doing their best to exploit it. Knowing that any governments that emerge from the Arab revolutions will be instantly cash-starved, the G8 is dangling $20 billion with strings attached. The strings in this case are demands that the Arab countries pursue only "open market" policies, i.e., business-friendly reforms, such as privatizations, elimination of food and gas subsidies, and allowing foreign banks and corporations better access to the economy. A separate New York Times article addressed the subject with the misleading title, Aid Pledge by Group of 8 Seeks to Bolster Arab Democracy:

"Democracy, the [G8] leaders said, could be rooted only in economic reforms that created open markets ...The [$20 billion] pledge, an aide to President Obama said, was “not a blank check” but “an envelope that could be achieved in the context of suitable [economic] reform efforts.” (May 28, 2011).

The G8 policy towards the Arab world is thus the same policy the International Monetary Fund (IMF) and World Bank have pursued against weaker nations that have run into economic problems. The cure is always worse than the disease, since "open market" reforms always lead to the national wealth being siphoned into the hands of fewer and fewer people as public entities are privatized, making the rich even richer, while social services are eliminated, making the poor even poorer. Also, the open door to foreign investors evolves into a speculative bubble that inevitably bursts; the investors flee an economically devastated country. It is no accident that many former IMF "beneficiary" countries have paid off their debts and denounced their benefactors, swearing never to return.

Nations that refuse the conditions imposed by the G8 or IMF are thus cut off from the capital that any country would need to maintain itself and expand amid a time of social change. The rich nations proclaim victory in both instances: either the poorer nation asks for help and becomes economically penetrated by western corporations, or the poor country is economically and politically isolated, punished and used as an example of what becomes of those countries that attempt a non-capitalist route to development.

Many Arab countries are especially appetizing to foreign corporations hungry for new investments, since large state-run industries remain in place to help the working-class populations, a tradition begun under the socialist-inspired Egyptian President, Gamal Abdel Nasser that spread across the Arab world. If Egypt falls victim to an Iraq-like privatization frenzy, Egypt's working people and poor will pay higher prices for food, gas, and other basic necessities. This is one reason, other than oil, that many U.S. corporations would also like to invade Iran.

The social turmoil in the Arab world and Europe have fully exposed the domination that wealthy investors and corporations have over the politics of nations. All over Europe "bailouts" are being discussed for poorer nations facing economic crises. The terms of these bailout loans are ruthless and are dictated by nothing more than the desire to maximize profits. In Greece, for example, the profit-motive of the lenders is obvious to everyone, helping to create a social movement that might reach Arab proportions. The New York Times reports:

"The new [Greece bailout] loans, however, will only be forthcoming if more austerity measures are introduced...Along with faster progress on privatization, Europe and the [IMF] fund have been demanding that Greece finally begin cutting public sector jobs and closing down unprofitable entities." (June 1, 2011).

This same phenomenon is happening all over Europe, from England to Spain, as working people are told that social programs must be slashed, public jobs eliminated, and state industries privatized. The U.S. is also deeply affected, with daily media threats about the "vigilante bond holders" [rich investors] who will stop buying U.S. debt if Social Security, Medicare, and other social services are not eliminated.

Never before has the global market economy been so damningly exposed as biased and dominated by the super-wealthy. These consciousness-raising experiences cannot be easily siphoned into politicians promising "democracy,” since democracy is precisely the problem: a tiny minority of super-rich individuals have dictatorial power due to their enormous wealth, which they use to threaten governments who don't cater to their every whim. Money is thus given to subservient governments and taken away from independent ones, while the western media never questions these often sudden shifts in policy, which can instantly transform a longtime U.S. ally into a "dictator" or vice-versa.

The toppling of dictators in the Arab world has immediately raised the question of, "What next"? The economic demands of working people cannot be satisfied while giant corporations dominate the economy, since higher wages mean lower corporate profits, while better social services require that the rich pay higher taxes. These fundamental conflicts lay just beneath the social upheavals all over the world, which came into maturity with the global recession and will continue to dominate social life for years to come. The outcome of this prolonged struggle will determine what type of society emerges from the political tumult, and will meet either the demands of working people or serve the needs of rich investors and giant corporations.

Shamus Cooke is a social service worker, trade unionist, and writer for Workers Action ( www.workerscompass.org ) He can be reached at shamuscooke@gmail.com

Monday 20 June 2011

What's it costing British taxpayers to bomb Libya?

The UK government has shrouded the financial cost of bombing Gaddafi in secrecy and obfuscation

Ian Katz

guardian.co.uk, Sunday 19 June 2011 22.00 BST



This weekend provided sobering reminders of the human and financial cost of the three-month bombing campaign against Muammar Gaddafi's regime: in Tripoli several civilians appeared to have been killed by a Nato strike; while in London the Treasury chief secretary, Danny Alexander, admitted that the bill for Britain's contribution could run to "hundreds of millions of pounds".

Until now the UK government has shrouded the issue of how much taxpayers are spending on bombing Libya in the sort of secrecy and obfuscation you'd expect if you asked the current location of all its Trident submarines.

By contrast, here are a few things I can tell you about how much the US's contribution to the preposterously named Operation Unified Protector is costing: as of 3 June, Washington had spent $715.9m on its military operation and associated humanitarian assistance, $398.3m on bombs and missiles alone. The Pentagon sent 120,000 halal meals ready to eat (MREs) to Benghazi at a cost of $1.3m. And by 30 September it reckons its Libya bill will have risen to $1.1bn. I know all this because it was laid out in a document produced by the Obama administration for Congress last week.

On Friday I tried to find out some equivalent figures for Britain's involvement. I called the Ministry of Defence, where a spokeswoman told me the Treasury was "doing an assessment", but no "actual figures" were available yet. She mentioned a month-old estimate "sort of within the region of £100m", but conceded that since the deployment of Apache helicopters the figure was probably significantly higher.

She thought the Treasury might be able to provide more detail, which did not amuse the Treasury spokesman I reached: "It is currently not possible to pull together real-time figures. Apparently the MoD are working on a breakdown but that's not ready to be released."

Perhaps the Foreign Office could help? Not likely: "The foreign secretary has made clear that we will present accurate costings to parliament in due course. We will not be providing a running commentary."

This from the government that trumpets its commitment on the Downing Street website to being "the most open and transparent in the world".

Fortunately, we do know a little more about the likely bill for Britain's part in the conflict from other sources. This month Nick Harvey, the armed forces minister, said in answer to a parliamentary question that Britain was targeting Libya with £6m worth of munitions a week. A Guardian report in May quoted defence experts who suggested the total bill by autumn is likely to be £400m-£1bn.

Public spending comparisons can be glib, but in times of slashed budgets and brutal choices it is hard – perhaps even irresponsible – to avoid making them. So here are a few striking ones: taking the most conservative estimate, the cost to the UK taxpayer of bombing Gaddafi for six months is four times the cut to the arts budget; three times the sum saved by Ken Clark's controversial sentencing reforms; more than the proposed cuts to the legal aid budget; about the same as the savings from ending the education maintenance allowance (EMA); or three times the amount saved by scrapping the disability living allowance.

Are these reasons to conclude Britain should stop bombing Gaddafi? Of course not: any decision to go to war is a complex equation of morality, risk and national interest, in which financial cost is just one, frequently trumped, consideration. But are they relevant to forming an intelligent view on whether Britain should be involved? Surely.

Yet when it comes to military action there is a curious reluctance to apply the same scrutiny to the bottom line as we do to every other area of public spending. As the New Yorker's Amy Davidson puts it: "There is something almost pathological about the way we don't talk about budgets when we talk about war … as if brave men don't think about things like money."

Anyone who has the temerity to ask how much Britain's Libya campaign is costing is reassured that it is all being paid for from Treasury reserves, so we needn't worry our pretty little heads. But anyone who has lost their EMA or disability living allowance could quite justifiably wonder why cash can be found for bombs but not for them.

At the very least, a democracy ought to ventilate the choices it is making. Ed Miliband has been reluctant to rock the boat over Libya, perhaps because the Labour leader can see no better option. But it's time his party started asking difficult questions about our third war in a decade. And if David Cameron is serious about transparency, he needs to show he can be as open about inconvenient facts as he has been about inconsequential ones.