 
 Portrait, Noam Chomsky, 06/15/09. (photo: Sam Lahoz)
By Noam Chomsky, Al Jazeera English
30 September 11
 ff  the coast of China, that is; it has yet to be proposed that the US  should eliminate military forces that deny the Caribbean to Chinese  warships. China's lack of understanding of rules of international  civility is illustrated further by its objections to plans for the  advanced nuclear-powered aircraft carrier George Washington to join  naval exercises a few miles off China's coast, with alleged capacity to  strike Beijing.
ff  the coast of China, that is; it has yet to be proposed that the US  should eliminate military forces that deny the Caribbean to Chinese  warships. China's lack of understanding of rules of international  civility is illustrated further by its objections to plans for the  advanced nuclear-powered aircraft carrier George Washington to join  naval exercises a few miles off China's coast, with alleged capacity to  strike Beijing.In contrast, the West understands that such US  operations are all undertaken to defend stability and its own security.  The liberal New Republic expresses its concern that "China sent ten  warships through international waters just off the Japanese island of  Okinawa." That is indeed a provocation - unlike the fact, unmentioned,  that Washington has converted the island into a major military base in  defiance of vehement protests by the people of Okinawa. That is not a  provocation, on the standard principle that we own the world.
Deep-seated imperial doctrine aside, there is good  reason for China's neighbours to be concerned about its growing military  and commercial power. And though Arab opinion supports an Iranian  nuclear weapons programme, we certainly should not do so. The foreign  policy literature is full of proposals as to how to counter the threat.  One obvious way is rarely discussed: work to establish a  nuclear-weapons-free zone (NWFZ) in the region. The issue arose (again)  at the Non-Proliferation Treaty (NPT) conference at United Nations  headquarters last May. Egypt, as chair of the 118 nations of the  Non-Aligned Movement, called for negotiations on a Middle East NWFZ, as  had been agreed by the West, including the US, at the 1995 review  conference on the NPT.
International support is so overwhelming that Obama  formally agreed. It is a fine idea, Washington informed the conference,  but not now. Furthermore, the US made clear that Israel must be  exempted: no proposal can call for Israel's nuclear programme to be  placed under the auspices of the International Atomic Energy Agency or  for the release of information about "Israeli nuclear facilities and  activities." So much for this method of dealing with the Iranian nuclear  threat.
Privatising the planet
While Grand Area doctrine still prevails, the capacity  to implement it has declined. The peak of US power was after World War  II, when it had literally half the world's wealth. But that naturally  declined, as other industrial economies recovered from the devastation  of the war and decolonisation took its agonising course. By the early  1970s, the US share of global wealth had declined to about 25 per cent,  and the industrial world had become tripolar: North America, Europe, and  East Asia (then Japan-based).
There was also a sharp change in the US economy in the  1970s, towards financialisation and export of production. A variety of  factors converged to create a vicious cycle of radical concentration of  wealth, primarily in the top fraction of 1 per cent of the population -  mostly CEOs, hedge-fund managers, and the like. That leads to the  concentration of political power, hence state policies to increase  economic concentration: fiscal policies, rules of corporate governance,  deregulation, and much more. Meanwhile the costs of electoral campaigns  skyrocketed, driving the parties into the pockets of concentrated  capital, increasingly financial: the Republicans reflexively, the  Democrats - by now what used to be moderate Republicans - not far  behind.
Elections have become a charade, run by the public  relations industry. After his 2008 victory, Obama won an award from the  industry for the best marketing campaign of the year. Executives were  euphoric. In the business press they explained that they had been  marketing candidates like other commodities since Ronald Reagan, but  2008 was their greatest achievement and would change the style in  corporate boardrooms. The 2012 election is expected to cost $2bn, mostly  in corporate funding. Small wonder that Obama is selecting business  leaders for top positions. The public is angry and frustrated, but as  long as the Muasher principle prevails, that doesn't matter.
While wealth and power have narrowly concentrated, for  most of the population real incomes have stagnated and people have been  getting by with increased work hours, debt, and asset inflation,  regularly destroyed by the financial crises that began as the regulatory  apparatus was dismantled starting in the 1980s.
None of this is problematic for the very wealthy, who  benefit from a government insurance policy called "too big to fail." The  banks and investment firms can make risky transactions, with rich  rewards, and when the system inevitably crashes, they can run to the  nanny state for a taxpayer bailout, clutching their copies of Friedrich  Hayek and Milton Friedman.
That has been the regular process since the Reagan  years, each crisis more extreme than the last - for the public  population, that is. Right now, real unemployment is at Depression  levels for much of the population, while Goldman Sachs, one of the main  architects of the current crisis, is richer than ever. It has just  quietly announced $17.5bn in compensation for last year, with CEO Lloyd  Blankfein receiving a $12.6m bonus while his base salary more than  triples.
It wouldn't do to focus attention on such facts as  these. Accordingly, propaganda must seek to blame others, in the past  few months, public sector workers, their fat salaries, exorbitant  pensions, and so on: all fantasy, on the model of Reaganite imagery of  black mothers being driven in their limousines to pick up welfare checks  - and other models that need not be mentioned. We all must tighten our  belts; almost all, that is.
Teachers are a particularly good target, as part of  the deliberate effort to destroy the public education system from  kindergarten through the universities by privatisation - again, good for  the wealthy, but a disaster for the population, as well as the  long-term health of the economy, but that is one of the externalities  that is put to the side insofar as market principles prevail.
Another fine target, always, is immigrants. That has  been true throughout US history, even more so at times of economic  crisis, exacerbated now by a sense that our country is being taken away  from us: the white population will soon become a minority. One can  understand the anger of aggrieved individuals, but the cruelty of the  policy is shocking.
Targeting immigrants
Who are the immigrants targeted? In Eastern  Massachusetts, where I live, many are Mayans fleeing genocide in the  Guatemalan highlands carried out by Reagan's favourite killers. Others  are Mexican victims of Clinton's NAFTA, one of those rare government  agreements that managed to harm working people in all three of the  participating countries. As NAFTA was rammed through Congress over  popular objection in 1994, Clinton also initiated the militarisation of  the US-Mexican border, previously fairly open. It was understood that  Mexican campesinos cannot compete with highly subsidised US  agribusiness, and that Mexican businesses would not survive competition  with US multinationals, which must be granted "national treatment" under  the mislabeled free trade agreements, a privilege granted only to  corporate persons, not those of flesh and blood. Not surprisingly, these  measures led to a flood of desperate refugees, and to rising  anti-immigrant hysteria by the victims of state-corporate policies at  home.
Much the same appears to be happening in Europe, where  racism is probably more rampant than in the US One can only watch with  wonder as Italy complains about the flow of refugees from Libya, the  scene of the first post-World War I genocide, in the now-liberated East,  at the hands of Italy's Fascist government. Or when France, still today  the main protector of the brutal dictatorships in its former colonies,  manages to overlook its hideous atrocities in Africa, while French  President Nicolas Sarkozy warns grimly of the "flood of immigrants" and  Marine Le Pen objects that he is doing nothing to prevent it. I need not  mention Belgium, which may win the prize for what Adam Smith called  "the savage injustice of the Europeans."
The rise of neo-fascist parties in much of Europe  would be a frightening phenomenon even if we were not to recall what  happened on the continent in the recent past. Just imagine the reaction  if Jews were being expelled from France to misery and oppression, and  then witness the non-reaction when that is happening to Roma, also  victims of the Holocaust and Europe's most brutalised population.
In Hungary, the neo-fascist party Jobbik gained 17 per  cent of the vote in national elections, perhaps unsurprising when  three-quarters of the population feels that they are worse off than  under Communist rule. We might be relieved that in Austria the  ultra-right Jörg Haider won only 10 per cent of the vote in 2008 - were  it not for the fact that the new Freedom Party, outflanking him from the  far right, won more than 17 per cent. It is chilling to recall that, in  1928, the Nazis won less than 3 per cent of the vote in Germany.
In England the British National Party and the English  Defence League, on the ultra-racist right, are major forces. (What is  happening in Holland you know all too well.) In Germany, Thilo  Sarrazin's lament that immigrants are destroying the country was a  runaway best-seller, while Chancellor Angela Merkel, though condemning  the book, declared that multiculturalism had "utterly failed": the Turks  imported to do the dirty work in Germany are failing to become blond  and blue-eyed, true Aryans.
Those with a sense of irony may recall that Benjamin  Franklin, one of the leading figures of the Enlightenment, warned that  the newly liberated colonies should be wary of allowing Germans to  immigrate, because they were too swarthy; Swedes as well. Into the  twentieth century, ludicrous myths of Anglo-Saxon purity were common in  the US, including among presidents and other leading figures. Racism in  the literary culture has been a rank obscenity; far worse in practice,  needless to say. It is much easier to eradicate polio than this  horrifying plague, which regularly becomes more virulent in times of  economic distress.
I do not want to end without mentioning another  externality that is dismissed in market systems: the fate of the  species. Systemic risk in the financial system can be remedied by the  taxpayer, but no one will come to the rescue if the environment is  destroyed. That it must be destroyed is close to an institutional  imperative. Business leaders who are conducting propaganda campaigns to  convince the population that anthropogenic global warming is a liberal  hoax understand full well how grave is the threat, but they must  maximize short-term profit and market share. If they don't, someone else  will.
This vicious cycle could well turn out to be lethal.  To see how grave the danger is, simply have a look at the new Congress  in the US, propelled into power by business funding and propaganda.  Almost all are climate deniers. They have already begun to cut funding  for measures that might mitigate environmental catastrophe. Worse, some  are true believers; for example, the new head of a subcommittee on the  environment who explained that global warming cannot be a problem  because God promised Noah that there will not be another flood.
If such things were happening in some small and remote  country, we might laugh. Not when they are happening in the richest and  most powerful country in the world. And before we laugh, we might also  bear in mind that the current economic crisis is traceable in no small  measure to the fanatic faith in such dogmas as the efficient market  hypothesis, and in general to what Nobel laureate Joseph Stiglitz, 15  years ago, called the "religion" that markets know best - which  prevented the central bank and the economics profession from taking  notice of an $8tn housing bubble that had no basis at all in economic  fundamentals, and that devastated the economy when it burst.
All of this, and much more, can proceed as long as the  Muashar doctrine prevails. As long as the general population is  passive, apathetic, diverted to consumerism or hatred of the vulnerable,  then the powerful can do as they please, and those who survive will be  left to contemplate the outcome.
A version of this piece was originally published on TomDispatch.com.

