Beavers are back: here’s what this might mean for the UK’s wild spaces

Beavers are back: here’s what this might mean for the UK’s wild spaces

This article originally appeared in The Conversation.

Editor’s note: “That repair should be the main goal of the environmental movement. Unlike the Neverland of the Tilters’ solutions, we have the technology for prairie and forest restoration, and we know how to use it. And the grasses will be happy to do most of the work for us.”
“To actively repair the planet requires understanding the damage. The necessary repair—the return of forests, prairies, and wetlands—could happen over a reasonable fifty to one hundred years if we were to voluntarily reduce our numbers.”
Deep Green Resistance


The Eurasian beaver, once a common sight across Europe, had disappeared almost entirely by the end of the 16th century thanks to hunting and river modification for agriculture and engineering.

But beavers are making a comeback across the UK and several other countries. They have already been released into the wild in Scotland and within enclosed river sections in England. Now expanding the wild release of beavers across England is on the cards.

Ecosystem recovery, increased biodiversity, flood protection and improved water quality are some of the upsides of having beavers around. But reintroducing wild animals to the landscape is always going to involve trial and error, and it’s vital to understand the possible consequences – both good and bad.

The beaver is a gifted environmental engineer, able to create its own ecological niche – matching itself perfectly to its environment – by building dams. These dams are made from materials the beaver can carry or float – typically wood, stones and mud, but also fence posts, crops from nearby fields, satellite dishes and old kids’ toys.

The dam creates a peaceful, watery home for beaver families to sleep, eat and avoid predators. And the effects of dam building ripple outwards, with the potential to transform entire ecosystems.

Our review of beaver impacts considers evidence from across Europe and North America, where wild beaver populations have been expanding since around the 1950s.

Our review of beaver impacts considers evidence from across Europe and North America, where wild beaver populations have been expanding since around the 1950s.

Water

There is clear evidence that beaver dams increase water storage in river landscapes through creating more ponds and wetlands, as well as raising groundwater levels. This could help rivers – and their inhabitants – handle ever more common weather extremes like floods and droughts.

If you observe beaver dams in the wild, water often comes very close to the top of their dams, suggesting they might not be much help in a flood. Nonetheless, some studies are finding that beaver dams can reduce flood peaks, likely because they divert water onto floodplains and slow downstream flow. However, we don’t know whether beaver dams reliably reduce floods of different sizes, and it would be unwise to assume they’re always capable of protecting downstream structures.

The good news is that it seems all the extra water dams store could help supplement rivers during dry periods and act as critical refuges for fish, amphibians, insects and birds during droughts.

Pollution

Beaver dams increase the time it takes for things carried by rivers to move downstream. In some cases, this can help slow the spread of pollutants like nitrates and phosphates, commonly used in fertilisers, which can harm fish and damage water quality.

Beavers’ impact on phosphates is unclear, with just as many studies finding phosphorus concentrations increasing downstream of beaver dams as those finding a decrease or no change. But beavers seem especially skilled at removing nitrate: a welcome skill, since high concentrations of nitrates in drinking water could endanger infant health.

Recovering diversity

All that water storage means beavers create a wonderful mosaic of still-, slow- and fast-moving watery habitats. In particular, they increase the biodiversity of river valleys, for example helping macro-invertebrates like worms and snails – key to healthy food chains – to thrive.

Beavers’ departure can leave anything from fens or peatlands to wet floodplain forests to drier grassland meadows developing in their wake. This gives beavers an important role in rewilding efforts.

But nuance is key here. Evidence of beaver dam impacts on fish populations and river valley vegetation, for example, is very mixed. Because they are such great agents of disturbance, beavers promote plants that germinate quickly, like woody shrubs and grasses.

While this can reduce forest cover and help some invasive plants, given time it can also help create valleys with a far richer mosaic of plant life. So although beaver presence is likely to bring benefits, more research is needed to get clearer on precisely how beavers change ecosystems.

Net zero carbon

Beavers are great at trapping carbon by storing organic matter like plant detritus in slow-flowing ponds. However, this also means beaver ponds can be sources of greenhouse gases, like CO₂ and methane, that contribute to the greenhouse effect. This led one author to wonder “whether the beaver is aware the greenhouse effect will reduce demand for fur coats”.

Can beavers still be helpful in achieving net zero carbon? The short-term answer is probably yes, since more carbon seems to be trapped than released by beaver activities.

However, long-term outcomes are less clear, since the amount of carbon that beavers keep in the ground depends on how willing they are to hang around in a river valley – and how willing we are to let them. A clearer understanding of where beavers fit within the carbon cycle of river systems is needed if we are to make best use of their carbon capture skills.

Management

Beavers are reentering landscapes under human dominance, the same thing that originally drove them from vast swathes of European river systems.

In the UK, this means they’ll lack natural predators and may be in competition with cows and sheep for food: possibly resulting in unsteady wild population trajectories.

Although good data on long-term beaver activity is available from Sweden, Norway and Switzerland, our different climate and landscapes mean it’s hard to make a straightforward comparison.

Beavers’ use in rewilding can be incredibly cost-effective, as dam construction and the biodiversity benefits that flow from it is done largely for free. But we need to be tolerant of uncertainty in where and when they choose to do their work.

Working with wild animals – who probably don’t share our priorities – is always an unpredictable process. The expansion of beavers into the wild has a bright future so long as we can manage expectations of people who own and use beaver-inhabited land.

Line 3 Resisters Light the Way in a Battle for Life on Earth

Line 3 Resisters Light the Way in a Battle for Life on Earth

This article originally appeared in Truthout.

Featured image: On September 7, 2021, Water Protectors erected multiple blockades at a major U.S.-Canadian tar sands terminal in Clearbrook, Minnesota, in direct opposition to Enbridge’s Line 3. Courtesy of the  Giniw Collective.

By Kelly HayesTruthout

Amid record hurricanes, wildfires and droughts, battles are being waged over the fate of the Earth. Many of those battles are being fought by Indigenous people, and by others whose relationship to life, land and one another compels them to push back against an extractive, death-making economy that renders people and ecosystems disposable. On the front lines of the struggle to halt construction of Enbridge’s new Line 3 pipeline — which would bring nearly a million barrels of tar sands per day from Alberta, Canada, to Superior, Wisconsin — Water Protectors have locked themselves to excavators and drills, and overturned cars and barrels of cement, while also deploying aerial blockades, including elaborate tripods and tree-sits. In scattered encampments that run along a 300-mile stretch of pipeline construction, a culture defined by mutual aid, and a spiritual and physical struggle to defend the Earth, has held strong in the face of brutality and an increasingly entrenched alliance between police and the corporate forces fueling climate catastrophe.

I recently spoke with Giniw Collective founder Tara Houska, a citizen of Couchiching First Nation, over a shaky internet connection, as she held space at the collective’s Namewag Camp in Minnesota. The camp, which is led by Indigenous women and two-spirit people, was founded by the Giniw Collective in 2018, as Minnesota’s final permit decision on Line 3 drew near. Houska says she invited Native matriarchs, including LaDonna Brave Bull Allard and Winona LaDuke, among others, to initiate the effort. “We laid out our prayers and our songs to begin this phase,” Houska told me.

Since then, the Namewag Camp, says Houska, has been “a home for many people.” Some people have spent years at the encampment, while others have held space for months, weeks or even a few days. “It really depends on the person or persons that are coming through,” says Houska. The culture of the camp emphasizes direct action, mutual aid and Native traditions. “We’ve trained well over 1000 folks in non-violent direct action, decolonization, traditional knowledge and life in balance,” says Houska. People who call the camp home are committed to stopping the pipeline, but Houska says making a home at Namewag also requires a commitment to mutual aid as a way of life. “I think we’re trying to create a balance, a place that is more reflective of balance, and deep values that are very much needed in the climate movement, and also just generally in the world,” Houska told me, adding that, “the first structure that was built in this camp was actually our sweat lodge.” The encampment also includes a “very large, beautiful garden.”

Houska was not always an activist on the front lines. “I started out as a D.C. lawyer back in 2013, after law school, and worked on a lot of different issues for tribal nations, and saw the treatment of our people on the hill, and through the law,” says Houska. She engaged with legal efforts to thwart the construction of the Keystone XL pipeline, and efforts to stop the project that would eventually be known as Line 3, but Houska ultimately felt called to fight for the Earth “in a different way.” Houska travelled to Standing Rock in 2016 and “spent six months out there learning and resisting.”

While some Water Protectors involved in the Line 3 protests carry lessons from Standing Rock, the two struggles have manifested differently. The movement in Standing Rock drew an unprecedented assemblage of Natives from over 300 federally recognized tribes, and other Indigenous and non-Indigenous co-strugglers. Thousands of people converged on a cluster of camps, the largest of which was known as Oceti Sakowin. Houska says a variety of nations and groups are also represented in the Line 3 struggle, but rather than being relatively centralized, Line 3 encampments are staggered across 334 miles of pipeline construction. “We also have been fighting this pipeline during a pandemic,” Houska noted, “which means a lot of caution and precaution around COVID-19 and making sure everyone is healthy and safe, and that we’re not putting anyone at risk.”

Line 3 opponents say the pipeline, once fully operational, would be the carbon pollution equivalent of 50 coal-fired power plants. As an editorial that will be published in 200 health journals worldwide this fall, ahead of the UN General Assembly and the COP26 climate summit in Glasgow, states, “The greatest threat to global public health is the continued failure of world leaders to keep the global temperature rise below 1.5°C and to restore nature.”

The pipeline would also tunnel under 20 rivers, including the Mississippi, threatening the drinking water supply of millions of people. In 2010, 1.2 million gallons of oil spilled from Enbridge’s Line 6B pipeline into the Kalamazoo River, in one of 800 oil spills the company experienced between 1999 and 2010.

While regulatory battles and legal maneuvers are crucial in any fight to stop a pipeline, Houska says that land defense, and the “building of a resistance community on the front lines” is an “under-respected, undervalued, but critical component to a healthy movement.” Houska says the work of building that communal effort, and sustaining it, has been “beautiful, hard, sad, [and] sometimes painful.” Houska explained: “Police have been getting pretty brutal in recent weeks. They’ve been shooting ‘less lethals’ at us, and using pain compliance tactics. So torturing people, really engaging in behaviors that are quite shocking, I think. Which means a lot of care, and community is really important for us on the front lines.”

Houska says sustaining the struggle also means making time to acknowledge “the hurt that we’re experiencing in real time” while also naming and uplifting “the reasons we’re engaging in struggle, [which is for] the littles, and those to come, and the four-legged and the winged, and the rivers, and the wild rice.”

Houska also notes that the violence of fossil fuel extraction embodies the longstanding violence of colonialism, with large influxes of transient workers at so-called “man camps” (temporary housing camps of mostly male pipeline construction workers) destroying the life-giving ecosystems that sustain Native communities, while also inflicting violence on Indigenous women, girls and two-spirit people. For years, Native leaders have sought to raise awareness about the measurable increase in sexual assaults, murders and disappearances of Native women in areas where “man camps” are established. To highlight this threat, Water Protectors hosted by the Giniw Collective’s camp recently staged a blockade action in front of the Line 3 “man camp,” in which an “all-BIPOC group of mostly Indigenous femmes [and] two-spirits” locked themselves to an overturned vehicle, and other equipment.

“Man camps” are the modern embodiment of colonial raiding parties that have historically seized upon Native land, looted Indigenous resources and inflicted sexual violence on Native women. Today, pipeline workers and police inflict the violence of colonialism on Indigenous people, enacting the true character of capitalism for the world to see, while relying on the public’s lack of concern for Native people and the environment as they commit atrocities in plain sight.

Houska says that land defense, and the “building of a resistance community on the front lines” is an “under-respected, undervalued, but critical component to a healthy movement.”

A war is being waged against land and water defenders in the U.S., just as a war is being waged globally against environmental activists, by corporations and world governments, in order to maintain the repetitions of capitalism: extraction, exploitation, destruction, disposal, and the consolidation of wealth and resources. Globally, violence against environmental activists has hit record highs in recent years, with Indigenous people facing disproportionately high rates of murder and brutality for their organizing. Indigenous people make up less than 5 percent of the world’s population, but steward over 80 percent of the world’s remaining biodiversity. In some parts of the world, such as Colombia and the Philippines, the assassination of Indigenous activists has become increasingly common. Here in the United States, Indigenous activists have faced escalating violence and criminalization while acting in opposition to pipeline construction and other extraction efforts.

While many people recoil from any discussion of the reality of climate change, catastrophes like Hurricane Ida, and the Dixie and Caldor fires in California, are making the subject harder to avoid. According to the Intergovernmental Panel on Climate Change 2021 climate report, environmental catastrophes will continue to accelerate over the coming decades, but human beings still have something to say about the severity of the damage. Coming to terms with the existential threat of climate collapse can easily lead to distress and despair, but with so much at stake, it is imperative that we not only absorb statistics and haunting images of destruction, but also zero in on the front lines of struggles like the fight against Line 3, where Water Protectors are modeling a relationship with the Earth that could help guide us into a new era.

The Theft of Water

The Giniw Collective has been vocal about Enbridge’s overuse of local water supplies during an ongoing drought. Enbridge was initially authorized to pump about 510 million gallons of water out of the trenches it’s digging, but in June, the company claimed it had encountered more groundwater than it had anticipated, and obtained permission to pump up nearly 5 billion gallons of water, in order to complete the project. According to Line 3 opponents, Enbridge paid a fee of $150 to adjust its permit.

Giniw Collective members say it’s unconscionable that the Minnesota Department of Natural Resources would allow Enbridge to displace so much water, particularly during a drought. “We’ve been in an extreme drought all summer long,” says Houska. “The rivers have been dry, the waterfalls are empty, and the wildfires have spread into Ontario and up on the north shore of Lake Superior.”

Activists organizing against Line 3 and members of the White Earth Nation argue that Enbridge’s voracious consumption of local groundwater threatens local wetlands, including cherished wild rice beds. “With higher than average temperatures and lower than average precipitation, displacing this amount of water will have a direct detrimental impact on the 2021 wild rice crop,” wrote Michael Fairbanks and Alan Roy, tribal chairman and secretary-treasurer of the White Earth Nation.

For refusing to embrace the death march of capitalism, and resisting the destruction of most life on Earth, two Line 3 opponents are being charged with attempted assisted suicide.

According to the UN, “By 2025, 1.8 billion people will be living in countries or regions with absolute water scarcity, and two-thirds of the world’s population could be living under water stressed conditions.” Scientific projections suggest that many regions of the U.S. may see their water supplies reduced by a third, even as they face increased demand for water due to a growing population. As world temperatures rise, and water scarcity continues to escalate, Enbridge is displacing 500 billion gallons of groundwater to build a pipeline that will transport 915,000 barrels of tar sands crude oil per day, threatening more than 200 water ecosystems — including 389 acres of wild rice, which are a source of sacred sustenance for the Anishinaabe.

The White Earth Nation has brought a “rights of nature” lawsuit against the Minnesota Department of Natural Resources, in an effort to defend wild rice, or manoomin, which means “good berry” in the Ojibwe language, against the destruction being waged by Enbridge. According to Mary Annette Pember, a citizen of the Red Cliff Ojibwe tribe, for the Ojibwe people, manoomin “is like a member of the family, a relative,” which means “legally designating manoomin as a person … aligns with the Ojibwe world view.” As Pember writes, “According to [the United Nations’ 6th Assessment on Climate Change], recognition of Indigenous rights, governance systems and laws are central to creating effective adaptation and sustainable development strategies that can save humanity from the impacts of climate change.”

The suit is only the second rights of nature case to be filed in the United States and the first to be filed in tribal court. But as Pember notes, “Several tribes, however, have incorporated rights of nature into their laws.”

According to the nonprofit organization Honor the Earth, “The proposed new oil pipelines in northern MN violate the treaty rights of the Anishinaabeg by endangering critical natural resources in the 1854, 1855, and 1867 treaty areas.” In a statement outlining the alleged treaty violations, Honor the Earth explains, “The pipelines threaten the culture, way of life, and physical survival of the Ojibwe people. Where there is wild rice, there are Anishinaabeg, and where there are Anishinaabeg, there is wild rice. It is our sacred food. Without it we will die. It’s that simple.”

Buying the Police

During the movement in Standing Rock, we saw that resistance to pipeline construction can generate significant costs for local governments. In 2018, Morton County Commissioner Cody Schulz claimed that protests that aimed to stop the Dakota Access Pipeline (DAPL) cost the county almost $40 million. But rather than serving as a deterrent to other municipalities considering pipeline permits, the cost of the NoDAPL protests have been leveraged by authorities to more blatantly merge the interests of police and oil companies.

The Minnesota Public Utilities Commission included a provision in Enbridge’s permit for the project that requires the company to establish an escrow trust that would reimburse local law enforcement for any mileage, wages, protective gear and training related to the construction of Line 3. In order to access the funds, law enforcement agencies submit requests for reimbursement to a state appointed account manager — a former deputy police chief — who approves or denies the requests. In April of 2020, The Minnesota Reformer reported that Enbridge had paid over $500,000 to local law enforcement in support of pipeline construction. That number has since ballooned to $2 million.

Protesters who have engaged in direct action to stop Line 3 say police have bragged to arrestees that they are enjoying themselves and getting paid overtime.

“The level of brutality that is experienced by Indigenous people and allies in struggle with us is extreme,” Houska told me. “About a month ago now, I was a part of a group that experienced rubber bullets and mace being fired at us at very, very close range,” said Houska. “I was hit several times, but I also witnessed young people with their heads split open, bleeding down their faces … and sheriffs have been using pain compliance on people, which is essentially torture. They dislocated someone’s jaw a couple weeks ago.”

“Living at Namewag shows us what a post-capitalist world could begin to look like.”

As Ella Fassler recently reported in Truthout, “More than 800 Water Protectors have been arrested or cited in the state since November 2020, when the Minnesota Department of Natural Resources and the Minnesota Pollution Control Agency (MPCA) approved the Line 3 permit.” The total number of arrests along Line 3, since November of 2020, has surpassed the total number of arrests during the Standing Rock protests, in which nearly 500 people were arrested. The charges Water Protectors and land defenders face are likewise escalating. According to the Pipeline Legal Action Network, 80 Water Protectors were charged with felonies during July and August of 2021, and as Mollie Wetherall, a legal support organizer with the legal action network told Fassler, “It’s clear that they really are in a moment where they want to intimidate people as the construction of this pipeline winds down.”

Direct actions similar to those that garnered misdemeanor charges two years ago have more recently led to felony charges. According to the Giniw Collective, which has bailed out hundreds of Water Protectors, individual bonds have often run between $10,000 and $25,000, making bail fundraising a crucial point of solidarity work.

Disturbingly, in late July, two Water Protectors were charged with felony assisted suicide for allegedly crawling into the pipeline as part of a lockdown action. Officials claim the pipeline was an estimated 130 degrees and lacked oxygen. The criminal complaint lodged against the two activists claims that they “did intentionally advise, encourage, or assist another who attempted but failed to take the other’s own life.” The charge of felony assisted suicide carries a 7-year prison sentence, $14,000 fine or both. If convicted, the Water Protectors could face up to 13 years behind bars.

For refusing to embrace the death march of capitalism, and resisting the destruction of most life on Earth, two Line 3 opponents are being charged with attempted assisted suicide. “These are 20, 21, 22-year-old people, who are literally chaining themselves to the machines, crawling inside of pipes, doing everything and anything they can to have a future,” says Houska. “And the charges being waged, like felony theft and felony assisted suicide for people who are trying to protect all life, [are] absolutely appalling, and a horrific reality of Water Protectors being imprisoned while the world burns around us.”

Members of Congress, including “the Squad,” signed a letter to President Biden on August 30, 2021, calling on the president to “uphold the rights guaranteed to Indigenous people under federal treaties and fulfill tribal requests for a government-to-government meeting concerning Line 3.” Among other concerns, the letter cited the troubling financial ties between Enbridge and local law enforcement, stating:

Law enforcement entities in the region have received around $2 million from Enbridge to pay for police activity against water protectors, which has included staggering levels of violence, tear gas, and rubber bullets. While Enbridge was required to pay these costs under project permits, leaders have noted they create a conflict of interest as law enforcement are incentivized to increase patrols and arrests surrounding pipeline construction.

Minnesota Congresswoman Ilhan Omar also hosted a press conference on September 3 to draw further attention to the struggle to stop Line 3, which included remarks from U.S. Representatives Cori Bush, Ayanna Pressley, Rashida Tlaib and Sen. Mary Kunesh-Podein. During the press conference, Omar declared, “The climate crisis is happening and the last thing we need to do is allow the very criminals who created this crisis to build more fossil fuel infrastructure.” Bush, Presseley, Tlaib and Kunesh-Podein also visited the Giniw Collective’s Namewag Camp to hear from Water Protectors firsthand about the struggle. Rep. Alexandria Ocasio-Cortez tweeted that she had planned to join the group as well, but her plans were derailed by the climate impacts of Hurricane Ida in her district.

Finding a Home on the Front Lines

Despite the brutality protectors have faced, people have continued to answer the call to head to the front lines. After years of engaging in solidarity actions at banks and financial institutions that are funding the construction of Line 3, one activist — who asked to be identified by the name Marla, so as not to facilitate state surveillance of her actions — left her job as a nanny in Chicago and headed to the front lines in May of 2021. “I had never seen a pipeline before,” Marla told me. “I had only done solidarity organizing up until this point. Land defense was something new entirely to me, but I knew that bank actions alone were not going to stop this pipeline.” Marla saw heading to the front lines as “a tangible way to show up as an accomplice for Indigenous sovereignty.”

While living at Namewag has meant bearing witness to police violence, deforestation and constant state surveillance, Marla says it has also meant experiencing “a microcosm of the world we all want to build.” Marla says the Giniw Collective’s camp “an incredible place to live in community and resistance.”

“Living at Namewag shows us what a post-capitalist world could begin to look like,” says Marla, “where labor is valued because it keeps our community safe, skilled up and fed from the land.” Marla says the camp is a place “to see accountability in action, to learn and unlearn, and do better.” While police and the surveillance state can be intimidating, Marla says, “We keep each other safe working overnight security shifts by night and supporting folks taking action by day.” Marla also describes the camp as a joyful place, even amid pain and struggle. “Cooking meals from the garden, living outside among the trees, washing the camp’s dishes, [providing] elder and childcare, and making space for joy — all of these things sustain us.”

“People have consistently been showing up for the struggle,” Houska told me. “And that is a beautiful thing to witness and be part of.” Houska says that almost 90 percent of Line 3 construction is now complete. “We are still resisting, in the face of that reality,” says Houska. “So, if you’re planning to show up, please show up with your heart, and your good intentions and do your best to find your way to the place that calls to you.” Houska also encourages supporters to “use whatever platform or voice and agency you have to call on the Biden administration, and also to call on other people around you” to take action to stop the pipeline.

“This fight is not just about looking upwards,” says Houska. “It’s also looking at each other. This is our world, and no one else is going to protect it, but all of us.”

Copyright © Truthout.org. Reprinted with permission.


To learn more about other powerful movement work like the struggle against Line 3 and mutual aid efforts across the country, check out our podcast “Movement Memos,” which will release its next episode on Wednesday, September 15.

Kelly Hayes

Kelly Hayes is the host of Truthout’s podcast “Movement Memos” and a contributing writer at Truthout. Kelly’s written work can also be found in Teen VogueBustleYes! MagazinePacific StandardNBC Think, her blog Transformative SpacesThe Appeal, the anthology The Solidarity Struggle: How People of Color Succeed and Fail At Showing Up For Each Other In the Fight For Freedom and Truthout’s anthology on movements against state violence, Who Do You Serve, Who Do You Protect?  Kelly is also a direct action trainer and a co-founder of the direct action collective Lifted Voices. Kelly was honored for her organizing and education work in 2014 with the Women to Celebrate award, and in 2018 with the Chicago Freedom School’s Champions of Justice Award. Kelly’s movement photography is featured in “Freedom and Resistance” exhibit of the DuSable Museum of African American History. To keep up with Kelly’s organizing work, you can follow her on Facebook and Twitter.

The Myths of Capitalism

The Myths of Capitalism

This article is from the blog buildingarevolutionarymovement.

This post lists and challenges, debunks, pulls apart the following myths of capitalism:

  • there is no alternative to capitalism
  • capitalism is the only system that provides individual and economic freedom
  • everything is better under capitalism
  • as capitalism increases the size of the economy, everyone benefits
  • free-market capitalism is the best way to run the global economy
  • capitalist economic theory is the best
  • capitalism maintains low taxes, which is good for workers and businesses
  • capitalism promotes equality, work hard and you’ll get rich
  • capitalism fits well with human nature
  • capitalism and democracy work well together
  • capitalism gradually balances differences across countries through free markets and free trade.

There is a liberal capitalist myth about progress. A determinist (set path forwards) view that things will continue to get better. I completely disagree with this perspective and it is clearly wrong if you look at history, esp the last 40 years. I will describe and challenge this myth in a future post.

I would like to start with a quote from 23 Things They Dont Tell You About Capitalism by Ha-Joon Chang:

“Most countries have introduced free-market policies over the last three decades – privatization of state-owned industrial and financial firms, deregulation of finance and industry, liberalization of international trade and investment, and reduction in income taxes and welfare payments. These policies, their advocates admitted, may temporarily create some problems, such as rising inequality, but ultimately they will make everyone better off by creating a more dynamic and wealthier society. The rising tide lifts all boats together, was the metaphor.

The result of these policies has been the polar opposite of what was promised. Forget for a moment the financial meltdown, which will scar the world for decades to come. Prior to that, and unbeknown to most people, free-market policies had resulted in slower growth, rising inequality and heightened instability in most countries. In many rich countries, these problems were masked by huge credit expansion; thus the fact that US wages had remained stagnant and working hours increased since the 1970s was conveniently fogged over by the heady brew of credit-fuelled consumer boom. The problems were bad enough in the rich countries, but they were even more serious for the developing world. Living standards in Sub-Saharan Africa have stagnated for the last three decades, while Latin America has seen its per capita growth rate fall by two-thirds during the period. There were some developing countries that grew fast (although with rapidly rising inequality) during this period, such as China and India, but these are precisely the countries that, while partially liberalizing, have refused to introduce full-blown free-market policies.

Thus, what we were told by the free-marketeers – or, as they are often called, neo-liberal economists – was at best only partially true and at worst plain wrong…the ‘truths’ peddled by free-market ideologues are based on lazy assumptions and blinkered visions, if not necessarily self-serving notions.”[1]

Myth – there is no alternative to capitalism

The argument goes that there is no viable alternative economic system. Centrally controlled governments have been tried and failed. Capitalism isn’t perfect but it’s all we’ve got. [2]

Simplistically this is an argument against planned economies which I will deal with in the free market capitalism section below. The main two examples of communist planned economies are the Soviet Union and the People’s Republic of China. There are many different forms of communism and these are authoritarian examples. They only came to exist and survive in the violent 20th century because they had strong leadership and then used military force to defend themselves against capitalist nations that attempted to destroy them. There is of course more to their survival than this but that is for another post. I’m not in the slightest defending the horrific violence they directed to their citizens. Critics of these experiments do not acknowledge all the positive things that we can learn from the Soviet Union – self-management, collectivisation, new housing processes, increases in literacy. [3]

What I want to focus on here is that if capitalism is genuinely the only naturally existing economic system, then why do capitalists have to constantly crush any alternatives. Because, capitalists see these embryonic alternatives as a threat to their wealth, dominance and control. This is done either through extreme media manipulation and propaganda or with violence and killings. This post gives three examples of capitalists crushing alternatives: the Copenhagen squatting movement, New Age Travellers in the UK, and the US-backed 1973 military coup of the socialist government of Salvador Allende in Chile. Other examples are the tens of thousands killed after the defeat of the Paris Commune in 1871 [4], German Revolution 1918-19, the EU drastic threats against the Syriza Greek government in 2015, and the demonisation of Jeremy Corbyn.

Myth – capitalism is the only system that provides individual and economic freedom

The moral argument for capitalism is based on individual freedom being a natural right that pre-exists society. Capitalist society is valued and justified because it benefits humans and enhances economic freedom, instead of limiting it.

This individual and economic freedom is a limited form of freedom. In the #ACFM episode – Trip 10 How It Feels to Be Free, several forms of freedom are discussed. These include comparing the liberal, conservative, radical and authoritarian traditions and their relationship to freedom [5]. They also discussed Isaiah Berlin’s Two Concepts of Liberty – positive and negative [6]. The negative concept is freedom from constraint to do what you want. This is described as the ‘Jeremy Clarkson concept of freedom’ or the ‘anti-woke concept of freedom [7] The positive idea is a freedom to do something and for many, this means that the material conditions have to be created, which resulted in the post-war welfare state. [8]

Myth – everything is better under capitalism

The arguement goes that capitalism has resulted in improved basic standards of living, reduction in poverty and increased life expectancy. There is also the argument that Western capitalist countries have the happiest populations because they can consume whatever products and services they like.

The truth behind this myth is that capitalism results in economic growth, which has come at huge costs – see the economic growth myths below. The myth is that capitalism intentionally results in better living standards for workers and the general population. This relates to the liberal myth about liberal progress (see a future post on this). Any reform or improvement in the living standards of workers and the general population has to be fought for by people and groups (trade unions, social movements or in parliament) who want these improvements. Historically movements challenged capitalism for higher wages which resulted in longer life expectancy and a decline in infectious diseases. The capitalists certainly don’t want these reforms if it means improved rights for workers and limits their ability to increase their profits. The capitalists are of course more than happy to use these reforms as examples of how good capitalism is, when in fact they resisted them and work to undo them. Some capitalists practice a form of Victoria philanthropy but still want to exploit their workers. In recent years life expectancy in Britain and the US has started to decline due to austerity and other reasons. [9]

And to quote Ha-Joon Chang:

“The average US citizen does have greater command over goods and services than his counterpart in any other country in the world except Luxemburg. However, given the country’s high inequality, this average is less accurate in representing how people live than the averages for other countries with a more equal income distribution. Higher inequality is also behind the poorer health indicators and worse crime statistics of the US. Moreover, the same dollar buys more things in the US than in most other rich countries mainly because it has cheaper services than in other comparable countries, thanks to higher immigration and poorer employment conditions. Furthermore, Americans work considerably longer than Europeans. Per hour worked, their command over goods and services is smaller than that of several European countries. While we can debate which is a better lifestyle – more material goods with less leisure time (as in the US) or fewer material goods with more leisure time (as in Europe) – this suggests that the US does not have an unambiguously higher living standard than comparable countries.” [10]

In terms of happiness, people are not stupid. They understand that they don’t have any influence on the direction of society, that things are going to be worse for future generations but there isn’t anything they can do about it. Buying more stuff and going on more holidays is a consolation prize that stops people looking for real change. Also, the number of antidepressant prescriptions doubled between 2008 and 2018, not a sign that people are happy.

Myth – as capitalism increases the size of the economy, everyone benefits

Capitalism results in exponential economic growth, so the arguement goes that this allows companies and individuals to benefit. This relates to the idea of, ‘A rising tide lifts all boats’ and ‘trickle-down economics‘ , where if the rich get richer, then this will benefit everyone.

And to quote Ha-Joon Chang:

“The above idea, known as ‘trickle-down economics’, stumbles on its first hurdle. Despite the usual dichotomy of ‘growth-enhancing pro-rich policy’ and ‘growth-reducing pro- poor policy’, pro-rich policies have failed to accelerate growth in the last three decades. So the first step in this argument – that is, the view that giving a bigger slice of pie to the rich will make the pie bigger – does not hold. The second part of the argument – the view that greater wealth created at the top will eventually trickle down to the poor – does not work either. Trickle down does happen, but usually its impact is meagre if we leave it to the market.” [11]

Myth – free-market capitalism is the best way to run the global economy

Capitalism produces a wide range of goods and services based on what is wanted or can solve a problem. It is argued that capitalism is economically efficient because it creates incentives to provide goods and services efficiently. The competitive market forces companies to improve how they are organised and use resources efficiently. [12]

This needs to be broken down into several arguments: the instability of capitalism, free-market vs state planning, free-market economics has only been applied in non-Western countries, corporations need to be regulated, where technology innovation happens, the impact of unlimited economic growth on the environment/planet.

Instability

Since the 1970s government have focused on ensuring price stability by managing inflation. This has not resulted in the stability of the world economy as the 2008 financial crisis shows. [13] Instability and crisis are part of the capitalist economic system. It is a cycle that starts when the memory of past economic crises fade and financial institutions figure out ways to circumvent the regulations that were put in place to stop them happening again. Rising asset prices reduce the cost of borrowing, resulting in market euphoria and risks being underestimated. Lots of money is being made and everyone wants their share of the growing economic boom (Richard Wolff Financial Panics, then and now in Capitalism Hits the Fan). Capitalism also needs crises so that businesses and wealth are destroyed, which lays the foundations for the next cycle of economic growth to start. This is known as ‘creative destruction‘.

There is also the argument that financial markets need to become more efficient so they can respond to changing opportunities and grow faster. Basically that there should not be any state restrictions on financial markets.

And to quote Ha-Joon Chang in 23 Things They Don’t Tell You About Capitalism:

“The problem with financial markets today is that they are too efficient. With recent financial ‘innovations’ that have produced so many new financial instruments, the financial sector has become more efficient in generating profits for itself in the short run. However, as seen in the 2008 global crisis, these new financial assets have made the overall economy, as well as the financial system itself, much more unstable. Moreover, given the liquidity of their assets, the holders of financial assets are too quick to respond to change, which makes it difficult for real-sector companies to secure the ‘patient capital’ that they need for long-term development. The speed gap between the financial sector and the real sector needs to be reduced, which means that the financial market needs to be deliberately made less efficient.” [14]

free-market vs state planning

This myth is best dealt with by Ha-Joon Chang. He explains that there is no such thing as a free market. First, he describes the capitalist free market argument:

“Markets need to be free. When the government interferes to dictate what market participants can or cannot do, resources cannot flow to their most efficient use. If people cannot do the things that they find most profitable, they lose the incentive to invest and innovate. Thus, if the government puts a cap on house rents, landlords lose the incentive to maintain their properties or build new ones. Or, if the government restricts the kinds of financial products that can be sold, two contracting parties that may both have benefited from innovative transactions that fulfil their idiosyncratic needs cannot reap the potential gains of free contract. People must be left ‘free to choose’, as the title of free-market visionary Milton Friedman’s famous book goes.”

His response is:

“The free market doesn’t exist. Every market has some rules and boundaries that restrict freedom of choice. A market looks free only because we so unconditionally accept its underlying restrictions that we fail to see them. How ‘free’ a market is cannot be objectively defined. It is a political definition. The usual claim by free-market economists that they are trying to defend the market from politically motivated interference by the government is false. Government is always involved and those free-marketeers are as politically motivated as anyone. Overcoming the myth that there is such a thing as an objectively defined ‘free market’ is the first step towards understanding capitalism.” [15]

Robert Reich in Saving Capitalism: For The Many, Not The Few explains how the free market idea has poisoned peoples minds so that they think the negative impacts of the free market are simply unfortunate but impersonal outcomes of market forces. When in fact these outcomes benefit governing class and wealthy interests. [16]

Another challenge to the free market myth is that: “in order to secure profits, and to maintain their position of privilege against potential rivals, capitalists (both individuals and institutions) will frequently work to secure monopoly control of particular economic sectors, limiting invention and production within those sectors.” [17]

Capitalists argue against market regulation and claim that governments can’t pick winners. States construct markets, they enforce contracts, provide basic services and support the monetary system that is required for economic activity to take place. Importantly, they do this in a way that favours certain interests over others. [18]

The 2008 and 2020 economic crises have shown how capitalists advocate the free market as the only way to run the economy until a crisis comes along. At that point, they want state support and bailouts. This is known as “socialism for the rich and capitalism for the poor”, “Socialize Costs, Privatize Profits” and ‘lemon socialism‘. This is a good video of Richard Wolff on how American capitalism is just socialism for the rich.

We are told that we are not smart enough to leave things to the market. Ha-Joon Chang summarises this argument:

“We should leave markets alone, because, essentially, market participants know what they are doing – that is, they are rational. Since individuals (and firms as collections of individuals who share the same interests) have their own best interests in mind and since they know their own circumstances best, attempts by outsiders, especially the government, to restrict the freedom of their actions can only produce inferior results. It is presumptuous of any government to prevent market agents from doing things they find profitable or to force them to do things they do not want to do, when it possesses inferior information.”

His response to this myth:

“People do not necessarily know what they are doing, because our ability to comprehend even matters that concern us directly is limited – or, in the jargon, we have ‘bounded rationality’. The world is very complex and our ability to deal with it is severely limited. Therefore, we need to, and usually do, deliberately restrict our freedom of choice in order to reduce the complexity of problems we have to face. Often, government regulation works, especially in complex areas like the modern financial market, not because the government has superior knowledge but because it restricts choices and thus the complexity of the problems at hand, thereby reducing the possibility that things may go wrong.” [19]

Leigh Phillips and Michal Rozworski state that: “perhaps the strongest argument ever mounted against the left by the right is that the calculation and coordination involved in running a complex economy to satisfy disparate human needs and desires simply could not be consciously carried out. Only decentralised price signals operating through the market, miraculously aggregating an infinitude of disparate information, could guide an economy without dramatic failures, misallocations, and ultimately, authoritarian disasters.” They describe how the Second World War saw governments solve complex coordination problems. [20] In their book, People’s Republic of Walmart: How the World’s Biggest Corporations are Laying the Foundation for Socialism, they explain how most Western economies are centrally planned.

Ha-Joon Chang explains that despite the fall of communism, we are still living in planned economies. The capitalist argument goes:

“The limits of economic planning have been resoundingly demonstrated by the fall of communism. In complex modern economies, planning is neither possible nor desirable. Only decentralized decisions through the market mechanism, based on individuals and firms being always on the lookout for a profitable opportunity, are capable of sustaining a complex modern economy. We should do away with the delusion that we can plan anything in this complex and ever- changing world. The less planning there is, the better.”

Ha-Joon Chang response is:

“Capitalist economies are in large part planned. Governments in capitalist economies practise planning too, albeit on a more limited basis than under communist central planning. All of them finance a significant share of investment in R&D and infrastructure. Most of them plan a significant chunk of the economy through the planning of the activities of state-owned enterprises. Many capitalist governments plan the future shape of individual industrial sectors through sectoral industrial policy or even that of the national economy through indicative planning. More importantly, modern capitalist economies are made up of large, hierarchical corporations that plan their activities in great detail, even across national borders. Therefore, the question is not whether you plan or not. It is about planning the right things at the right levels.” [21]

Free market economics has only been applied in non-Western countries

Noam Chomsky explains that pure free-market economics (he calls it Laissez-faire principles) has only been applied to non-Western countries. Attempts by Western governments to try it have gone badly and been reversed.

Corporations need to be regulated

We are told that a strong economy needs corporations to do well. Ha-Joon Chang explains the argument:

“At the heart of the capitalist system is the corporate sector. This is where things are produced, jobs created and new technologies invented. Without a vibrant corporate sector, there is no economic dynamism. What is good for business, therefore, is good for the national economy. Especially given the increasing international competition in a globalizing world, countries that make opening and running businesses difficult or make firms do unwanted things will lose investment and jobs, eventually falling behind. Government needs to give the maximum degree of freedom to business.”

His response:

“Despite the importance of the corporate sector, allowing firms the maximum degree of freedom may not even be good for the firms themselves, let alone the national economy. In fact, not all regulations are bad for business. Sometimes, it is in the long-run interest of the business sector to restrict the freedom of individual firms so that they do not destroy the common pool of resources that all of them need, such as natural resources or the labour force. Regulations can also help businesses by making them do things that may be costly to them individually in the short run but raise their collective productivity in the long run – such as the provision of worker training. In the end, what matters is not the quantity but the quality of business regulation.” [22]

There is also the myth about the need to maximise shareholder value over the performance of the company. This results in managers focusing on increasing the share value instead of business performance. They are of course related but this approach results in managers making decisions that have negative effects on the company performance. [23]

Innovation

The capitalist argument is made by conservative MP Chris (failing) Grayling:

If you believe in capitalism and free enterprise, then you believe that by allowing people to pursue success for themselves you create a culture of innovation and competition which benefits the whole of society. Free enterprise, business innovating in products and services, benefits the whole of our society.”

Although technological dynamism has been a strong argument for capitalism, investing in research and development it is too risky and takes too long for most capitalists to fund. The majority is publicly funded. [24]

Jeremy Gilbert argues that the creativity that leads to artistic, scientific or utilitarian inventions is not created by capitalism but instead from human interaction on the edges of capital. Then capital feeds on this creativity and transforms it into products to sell. This is why capital must locate itself near great centres of collective exchange and creativity such as London and Paris in the 19th century, New York and California in the 20th century. [25]

the impact of unlimited economic growth on the environment

It’s not possible to have infinite economic growth on a finite planet. [26] Capitalism requires that the economy grows each year. This requires that this year more things need to be made, more energy needs to be used and more people need to be born than last year. Then next year, more of all this is needed than this year.

Myth – capitalist economic theory is the best

Richard Wolff and Stephen Resnick summarise neoclassical theory’s contribution as:

“The originality of neoclassical theory lies in its notion that innate human nature determines economic outcomes. According to this notion, human beings naturally possess the inherent rational and productive abilities to produce the maximum wealth possible in a society. What they need and have historically sought is a kind of optimal social organization—a set of particular social institutions—that will free and enable this inner human essence to realize its potential, namely the greatest possible well-being of the greatest number. Neoclassical economic theory defines each individual’s well-being in terms of his or her consumption of goods and services: maximum consumption equals maximum well-being.

Capitalism is thought to be that optimum society. Its defining institutions (individual freedom, private property, a market system of exchange, etc.) are believed to yield an economy that achieves the maximum, technically feasible output and level of consumption. Capitalist society is also harmonious: its members’ different desires—for maximum enterprise profits and for maximum individual consumption—are brought into equilibrium or balance with one another.” [27]

Economics as a subject is based only on the theories of those who support it. University courses in economics are only taught by those that support capitalism. They do not teach the significant problems with capitalism or the viable alternatives. [28]

Ha-Joon Chang in 23 Things They Don’t Tell You About Capitalism explains that good economic policy does not require good economists. That the most successful economic bureaucrats are not normally economists, giving examples of Japan, Korea, China and Taiwan. [29]

The author of Capitalism 4.0: The Birth of a New Economy, Anatole Kaletsky recommends Beyond Mechanical Markets: Asset Price Swings, Risk, and the Role of the State by Roman Frydman and Michael D. Goldberg, which unpacks the economic assumptions mainstream economics is based on. Markets are not predictably rational or irrational. They argue instead that price swings are driven by individuals’ ever-imperfect interpretations of the significance of economic fundamentals for future prices and risk. [30]

Myth – capitalism maintains low taxes, which is good for workers and businesses

The arguement goes that low business taxes encourage companies to stay in a country and provide more jobs by reinvesting the money they would pay in tax into the company. Some also argue that low business tax generates more tax for the government. [31]

Some capitalists would prefer to pay no taxes at all. But the capitalists need the things that taxes pay for: police, schools, healthcare, transport systems. These public goods support capitalist society so there are workers to employ (exploit). [32] They also need the welfare state and public services to ensure capitalism’s survival and people do not become so desperate that they rise up and revolt.

The argument goes that low business tax (corporation tax) result in more business starting up so more jobs. Also, the advocates of low corporation tax state that low tax means businesses will reinvest to make it more competitive, [33] instead of giving shareholders a dividend. For this reinvestment argument to add up then the UK would not have the lowest worker productivity rates in the last 250 years or compared to other countries in Europe. The first article puts the drop in productivity down to: the lasting effect of the 2008 crisis for the financial system; weaker gains from computer technologies in recent years after a boom in the late 1990s and early 2000s; and intense uncertainty over post-Brexit trading relationships sapping business investment. The second article explains the decline is due to: less investment in equipment and infrastructure within the business; less spent on research and development; poor national infrastructure (roads and rail networks); and a lack of trade skills, basic literacy and numeracy skills, and lack of managerial competence.

These companies should be reinvesting in there business with more equipment, infrastructure and training. Add to this that the other issues listed in these articles can be resolved by the government but they choose not to because capitalists do not want highly skilled and well-paid workers, only working four days a week because that would give people time to start thinking and organising for how to make society better. [34] This article argues that reducing the corporate tax rate does not increase worker wages or business reinvestment.

There is also the myth/argument that if you increase taxes then the rich and businesses will relocate abroad. This article shows that the rich do not leave if you increase taxes. Also if businesses are going to relocate this will be to reduce the worker wages costs or where environmental regulations are less strict.

This telegraph article [35] from 2015 explains that corporation tax received by the government was up by 12% compared to 2014, even though the corporation tax percentage had dropped. The article does explain that company profits were up, partly because there was little wage growth. Corporation tax is based on the amount of profits a company takes. So while workers are struggling on low wages, UK company shareholders are taking more profits. It also explains that the UK has a lot more start-up companies that in the past. This is just what capitalists want, loads of small business owners who are more conservative, risk-averse and want the status quo to be maintained. This article does drone on about how unfair it is to say that companies don’t pay their fair share. Most people know that most companies pay their taxes. That complaint is directed at Amazon, Apple and the other tax-dodging big players. This article makes the case that cutting corporation tax costs the government billions.

Ha-Joon Chang challenges the capitalist myth that big government is bad for the economy. He explains that “A well-designed welfare state can actually encourage people to take chances with their jobs and be more, not less, open to changes.” [36]

Myth – capitalism promotes equality, work hard and you’ll get rich

This is the ‘American Dream’ idea that you may start poor but if you work hard, you can be successful and rich. This is also known as meritocracy. [37]

The equality that this refers to is the equality of opportunity. Ha-Joon Chang describes the capitalist argument:

“Many people get upset by inequality. However, there is equality and there is equality. When you reward people the same way regardless of their efforts and achievements, the more talented and the harder-working lose the incentive to perform. This is equality of outcome. It’s a bad idea, as proven by the fall of communism. The equality we seek should be the equality of opportunity. For example, it was not only unjust but also inefficient for a black student in apartheid South Africa not to be able to go to better, ‘white’, universities, even if he was a better student. People should be given equal opportunities. However, it is equally unjust and inefficient to introduce affirmative action and begin to admit students of lower quality simply because they are black or from a deprived background. In trying to equalize outcomes, we not only misallocate talents but also penalize those who have the best talent and make the greatest efforts.”

His response:

“Equality of opportunity is the starting point for a fair society.

But it’s not enough. Of course, individuals should be rewarded for better performance, but the question is whether they are actually competing under the same conditions as their competitors. If a child does not perform well in school because he is hungry and cannot concentrate in class, it cannot be said that the child does not do well because he is inherently less capable. Fair competition can be achieved only when the child is given enough food – at home through family income support and at school through a free school meals programme. Unless there is some equality of outcome (i.e., the incomes of all the parents are above a certain minimum threshold, allowing their children not to go hungry), equal opportunities (i.e., free schooling) are not truly meaningful.” [38]

Economic equality is really what we need to be concerned about. Danny Dorling describes how “The gap between the very rich and the rest is wider in Britain than in any other large country in Europe, and society is the most unequal it has been since shortly after the First World War.” [39]

The benefits for this myth for the capitalists is that it gives workers some hope that things can be better if they work that bit harder to chase the material benefits. It rewards some to keep the dream alive. It is also a cover for the business owners, managers and shareholders to justify their wealthy position. They can say they earned their money through hard work. Of course many inherited their wealth. [40]

There is also the capitalist myth that low worker wages mean lower prices for consumers. This has some truth in it but it is mainly a justification for low worker wages and high business managers wages. By this logic, higher manager wages result in higher consumer prices but there is generally lower investment in production costs (equipment and infrastructure). This results in low worker wages and fewer jobs [41]

Ha-Joon Chang in 23 Things They Don’t Tell You About Capitalism describes how US managers are over-priced:

“US managers are over-priced in more than one sense. First, they are over-priced compared to their predecessors. In relative terms (that is, as a proportion of average worker compensation), American CEOs today are paid around ten times more than their predecessors of the 1960s, despite the fact that the latter ran companies that were much more successful, in relative terms, than today’s American companies. US managers are also over-priced compared to their counterparts in other rich countries. In absolute terms, they are paid, depending on the measure we use and the country we compare with, up to twenty times more than their competitors running similarly large and successful companies. American managers are not only over-priced but also overly protected in the sense that they do not get punished for poor performance. And all this is not, unlike what many people argue, purely dictated by market forces. The managerial class in the US has gained such economic, political and ideological power that it has been able to manipulate the forces that determine its pay.” [42]

Myth – capitalism fits well with human nature

The arguments goes that humans are naturally selfish, greedy and competitive. People that work hard are successful and outcompete their competitors, and are therefore rewarded financially. Capitalism also allows for other aspects of human nature such as altruism, patience and kindness. This is done through the creation of welfare systems and charities. [43]

Robert Jensen’s response to this is:

“There is a theory behind contemporary capitalism. We’re told that because we are greedy, self-interested animals, an economic system must reward greedy, self-interested behavior if we are to thrive economically. Are we greedy and self-interested? Of course. At least I am, sometimes. But we also just as obviously are capable of compassion and selflessness. We certainly can act competitively and aggressively, but we also have the capacity for solidarity and cooperation. In short, human nature is wide-ranging. Our actions are certainly rooted in our nature, but all we really know about that nature is that it is widely variable. In situations where compassion and solidarity are the norm, we tend to act that way. In situations where competitiveness and aggression are rewarded, most people tend toward such behavior. Why is it that we must choose an economic system that undermines the most decent aspects of our nature and strengthens the most inhuman? Because, we’re told, that’s just the way people are. What evidence is there of that? Look around, we’re told, at how people behave. Everywhere we look, we see greed and the pursuit of self-interest. So, the proof that these greedy, self-interested aspects of our nature are dominant is that, when forced into a system that rewards greed and self-interested behavior, people often act that way. Doesn’t that seem just a bit circular?”

And Ha-Joon Chang response to capitalism’s human nature arguement is:

“Self-interest is a most powerful trait in most human beings. However, it’s not our only drive. It is very often not even our primary motivation. Indeed, if the world were full of the self- seeking individuals found in economics textbooks, it would grind to a halt because we would be spending most of our time cheating, trying to catch the cheaters, and punishing the caught. The world works as it does only because people are not the totally self-seeking agents that free-market economics believes them to be. We need to design an economic system that, while acknowledging that people are often selfish, exploits other human motives to the full and gets the best out of people. The likelihood is that, if we assume the worst about people, we will get the worst out of them.” [44]

Myth – capitalism and democracy work well together

The argument goes that capitalism is built on democracy. Everyone gets one vote so they have equal political power, which is not affected by their race, gender or views. Capitalism also encourages people to get involved in all aspects of society to get what they want. This includes getting involved with both governance and the government, from voting in elections to standing in local or national elections. [45]

Robert Jensen explains how capitalism is anti-democratic:

“This one is easy. Capitalism is a wealth-concentrating system. If you concentrate wealth in a society, you concentrate power. Is there any historical example to the contrary? For all the trappings of formal democracy in the contemporary United States, everyone understands that the wealthy dictates the basic outlines of the public policies that are acceptable to the vast majority of elected officials. People can and do resist, and an occasional politician joins the fight, but such resistance takes extraordinary effort. Those who resist win victories, some of them inspiring, but to date concentrated wealth continues to dominate. Is this any way to run a democracy? If we understand democracy as a system that gives ordinary people a meaningful way to participate in the formation of public policy, rather than just a role in ratifying decisions made by the powerful, then it’s clear that capitalism and democracy are mutually exclusive. Let’s make this concrete. In our system, we believe that regular elections with the one-person/one-vote rule, along with protections for freedom of speech and association, guarantee political equality. When I go to the polls, I have one vote. When Bill Gates goes the polls, he has one vote. Bill and I both can speak freely and associate with others for political purposes. Therefore, as equal citizens in our fine democracy, Bill and I have equal opportunities for political power. Right?”

Not everyone does get to vote, some such as criminals no longer have that right. Many don’t bother to vote as the options between several capitalist political parties feel very limited. Government can’t go against global capitalism as the Greek Syriza government found out when it tried to reject austerity in 2015. There is also the problems and unfairness of the First Past the Post voting system, which benefits rightwing, extreme pro-capitalist parties. Also, these parties do better in elections when voter turnout is lower. [46]

Richard Wolff makes the point that we spend half of our time in undemocratic companies. A small group of people (boards of directors and shareholders) make decisions in businesses that affect the workers such as if the business shuts down and moves overseas, who loses their job and who gets the profits. But the workers do not have any say in these decisions. Outside the workplace, people get to vote in our local communities and national government. [47]

Ha-Joon Chang explains that companies should not be run in the interest of their owners:

“Shareholders may be the owners of corporations but, as the most mobile of the ‘stakeholders’, they often care the least about the long-term future of the company (unless they are so big that they cannot really sell their shares without seriously disrupting the business). Consequently, shareholders, especially but not exclusively the smaller ones, prefer corporate strategies that maximize short-term profits, usually at the cost of long-term investments, and maximize the dividends from those profits, which even further weakens the long-term prospects of the company by reducing the amount of retained profit that can be used for re-investment. Running the company for the shareholders often reduces its long-term growth potential.” [48]

Myth – Capitalism gradually balances differences across countries through free markets and free trade.

The arguement goes that countries can use their competitive advantage to benefit themselves and also access goods and services from the rest of the world. [49]

Ha-Joon Chang describes how free-market policies rarely make poor countries rich. The capitalist argument is:

“After their independence from colonial rule, developing countries tried to develop their economies through state intervention, sometimes even explicitly adopting socialism. They tried to develop industries such as steel and automobiles, which were beyond their capabilities, artificially by using measures such as trade protectionism, a ban on foreign direct investment, industrial subsidies, and even state ownership of banks and industrial enterprises. At an emotional level this was understandable, given that their former colonial masters were all capitalist countries pursuing free-market policies. However, this strategy produced at best stagnation and at worst disaster. Growth was anaemic (if not negative) and the protected industries failed to ‘grow up’. Thankfully, most of these countries have come to their senses since the 1980s and come to adopt free-market policies. When you think about it, this was the right thing to do from the beginning. All of today’s rich countries, with the exception of Japan (and possibly Korea, although there is debate on that), have become rich through free-market policies, especially through free trade with the rest of the world. And developing countries that have more fully embraced such policies have done better in the recent period.

His response:

“Contrary to what is commonly believed, the performance of developing countries in the period of state-led development was superior to what they have achieved during the subsequent period of market-oriented reform. There were some spectacular failures of state intervention, but most of these countries grew much faster, with more equitable income distribution and far fewer financial crises, during the ‘bad old days’ than they have done in the period of market- oriented reforms. Moreover, it is also not true that almost all rich countries have become rich through free-market policies. The truth is more or less the opposite. With only a few exceptions, all of today’s rich countries, including Britain and the US – the supposed homes of free trade and free market – have become rich through the combinations of protectionism, subsidies and other policies that today they advise the developing countries not to adopt. Free-market policies have made few countries rich so far and will make few rich in the future.” [50]

Endnotes

  1. 23 Things They Don’t Tell You About Capitalism, Ha-Joon Chang, 2011, introduction
  2. https://buildingarevolutionarymovement.org/2020/07/31/why-do-people-support-capitalism/
  3. Jody Dean 11m https://www.youtube.com/watch?v=ZhUvNkJve-w
  4. https://en.wikipedia.org/wiki/Paris_Commune#Casualties; Massacre: The Life and Death of the Paris Commune of 1871, John M. Merriman, 2016; https://libcom.org/history/1871-the-paris-commune)
  5. #ACFM episode – Trip 10 How It Feels to Be Free, from 11m https://novaramedia.com/2020/05/10/trip-10-how-it-feels-to-be-free/
  6. #ACFM episode – Trip 10 How It Feels to Be Free, from 13m https://novaramedia.com/2020/05/10/trip-10-how-it-feels-to-be-free/
  7. #ACFM episode – Trip 10 How It Feels to Be Free, from 36 mins https://novaramedia.com/2020/05/10/trip-10-how-it-feels-to-be-free/
  8. #ACFM episode – Trip 10 How It Feels to Be Free, from 14m https://novaramedia.com/2020/05/10/trip-10-how-it-feels-to-be-free/
  9. https://www.theguardian.com/society/2019/jun/23/why-is-life-expectancy-fallinghttps://www.nakedcapitalism.com/2011/11/peak-life-expectancy.htmlhttps://www.workers.org/2018/12/40054/
  10. 23 Things They Don’t Tell You About Capitalism, Ha-Joon Chang, 2011, thing 10)
  11. 23 Things They Don’t Tell You About Capitalism, thing 13
  12. https://buildingarevolutionarymovement.org/2020/07/31/why-do-people-support-capitalism/
  13. 23 Things They Don’t Tell You About Capitalism, thing 6
  14. 23 Things They Don’t Tell You About Capitalism, thing 22
  15. 23 Things They Don’t Tell You About Capitalism, thing 1
  16. https://www.alternet.org/2015/09/robert-reich-capitalism-can-be-reformed-americas-wealthy-class-will-fight-it/
  17. Anticapitalism and Culture: Radical Theory and Popular Politics, Jeremy Gilbert, 2008, page 108, also see Capitalism 4.0: The Birth of a New Economy, Anatole Kaletsky, 2011, <ahref=”https://www.alternet.org/2015/09/robert-reich-capitalism-can-be-reformed-americas-wealthy-class-will-fight-it/” target=”_blank” rel=”noopener”>https://www.alternet.org/2015/09/robert-reich-capitalism-can-be-reformed-americas-wealthy-class-will-fight-it/
  18. Tribune Magazine, Spring 2020 The Era of State-Monopoly Capitalism, Grace Blakely page 29, https://tribunemag.co.uk/2020/06/the-era-of-state-monopoly-capitalism
  19. 23 Things They Don’t Tell You About Capitalism, thing 16
  20. Tribune Magazine, Spring 2020, Planning the Future page 69, https://tribunemag.co.uk/2020/07/planning-the-future
  21. 23 Things They Don’t Tell You About Capitalism, thing 19
  22. 23 Things They Don’t Tell You About Capitalism, thing 18
  23. https://www.theguardian.com/sustainable-business/blog/maximising-shareholder-value-irony
  24. https://www.jacobinmag.com/2015/03/socialism-innovation-capitalism-smith/
  25. Anticapitalism and Culture, page 109
  26. https://www.youtube.com/watch?v=LXxVj9MHaCw, Overshoot: The Ecological Basis of Revolutionary Change, William R. Catton Jr, 1982, https://www.counterpunch.org/2007/04/30/anti-capitalism-in-five-minutes/
  27. Contending Economic Theories: Neoclassical, Keynesian, Marxian, Richard Wolff and Stephen Resnick, 2012, page 52
  28. Richard Wolff 44m https://www.youtube.com/watch?v=UMbw0d-ebo0&t=289s)
  29. 23 Things They Don’t Tell You About Capitalism, thing 23
  30. https://fivebooks.com/best-books/new-capitalism-anatole-kaletsky/ and https://www.amazon.co.uk/gp/product/B004P1JEZW/ref=dbs_a_def_rwt_bibl_vppi_i0
  31. https://buildingarevolutionarymovement.org/2020/07/31/why-do-people-support-capitalism/
  32. Richard D. Wolff Lecture on Worker Coops: Theory and Practice of 21st Century Socialism https://www.youtube.com/watch?v=a1WUKahMm1s 46m
  33. https://blogs.lse.ac.uk/politicsandpolicy/corporation-tax-cut/
  34. see Capitalist class project section from https://buildingarevolutionarymovement.org/2020/04/29/what-is-neoliberalism/
  35. https://www.telegraph.co.uk/finance/economics/11498135/Why-lower-corporation-tax-means-more-for-Treasury.html – download word doc of article Why lower corporation tax means more for Treasury
  36. 23 Things They Don’t Tell You About Capitalism, thing 21

  37. https://buildingarevolutionarymovement.org/2020/07/31/why-do-people-support-capitalism/

  38. 23 Things They Don’t Tell You About Capitalism, thing 20

  39. https://www.newstatesman.com/politics/uk/2018/07/peak-inequality

  40. (Capitalism say ‘we earned it’ Richard Wolff Marxism 101 27m and justification why employer paid so much RW Understanding Marxism 117m

  41. Capitalism Hits the Fan, Richard Wolff, 2010, Real Costs of Exec Money Grabs

  42. 23 Things They Don’t Tell You About Capitalism, thing 14

  43. https://buildingarevolutionarymovement.org/2020/07/31/why-do-people-support-capitalism/

  44. 23 Things They Don’t Tell You About Capitalism, thing 5

  45. https://buildingarevolutionarymovement.org/2020/07/31/why-do-people-support-capitalism/

  46. https://behindthenumbers.ca/2011/04/14/who-benefits-from-low-voter-turnout/

  47. Richard Wolff 21m https://www.youtube.com/watch?v=ynbgMKclWWc

  48. 23 Things They Don’t Tell You About Capitalism, thing 2

  49. https://buildingarevolutionarymovement.org/2020/07/31/why-do-people-support-capitalism/

  50. 23 Things They Don’t Tell You About Capitalism, thing 7

Report Reveals Indigenous Resistance Disrupts Quarter of US and Canadian Emissions

Report Reveals Indigenous Resistance Disrupts Quarter of US and Canadian Emissions

Editor’s note: In these terrifying, apocalyptic times it becomes more obvious that we are all on the same boat, whether we belong to indigenous cultures or the culture of empire. It is stunning as well as sad and embarrassing that those who have suffered the most from colonialism and genocide are those who are still trying to save us all. The only chance for us to survive is to de-colonize our hearts and minds and join the fight against the culture of empire.

This article originally appeared in Common Dreams.

By Jessica Corbett

“The numbers don’t lie. Indigenous peoples have long led the fight to protect Mother Earth and the only way forward is to center Indigenous knowledge and keep fossil fuels in the ground.”

Indigenous resistance to fossil fuel projects in the United States and Canada over a recent decade has stopped or delayed nearly a quarter of the nations’ annual planet-heating pollution, according to a report released Wednesday.

“The only way forward is to center Indigenous knowledge and keep fossil fuels in the ground.”
—Dallas Goldtooth, IEN

The greenhouse gas pollution for Turtle Island, the land now known to settler nation-states as North America, totaled 6.56 billion metric tons of carbon dioxide equivalent in 2019—5.83 billion metric tons CO2e for the U.S. and 727.43 million metric tons CO2e for Canada.

Indigenous Environmental Network (IEN) and Oil Change International (OCI) examined the climate effects of several contentious projects and the impact of Indigenous protests.

As the new report—entitled Indigenous Resistance Against Carbon (pdf)—explains:

Total Indigenous resistance against these projects on Turtle Island—including ongoing struggles, victories against projects never completed, and infrastructure unfortunately in current operation—adds up to 1.8 billion metric tons CO2e, or roughly 28% the size of 2019 U.S. and Canadian pollution. Victories in infrastructure fights alone represent the carbon equivalent of 12% of annual U.S. and Canadian pollution, or 779 million metric tons CO2e. Ongoing struggles equal 12% of these nations’ annual pollution, or 808 million metric tons CO2e. If these struggles prove successful, this would mean Indigenous resistance will have stopped greenhouse gas pollution equivalent to nearly one-quarter (24%) of annual total U.S. and Canadian emissions.

“That 24%, equaling 1.587 billion metric tons CO2e,” the report notes, “is the equivalent pollution of approximately 400 new coal-fired power plants—more than are still operating in the United States and Canada—or roughly 345 million passenger vehicles—more than all vehicles on the road in these countries.”

The groups not only highlight how Indigenous resistance to polluters’ projects has limited greenhouse gas emissions but also explain and emphasize the importance of tribal and Indigenous sovereignty, self-determination, and free, prior, and informed consent (FPIC).

As IEN Keep It in the Ground organizer Dallas Goldtooth put it: “The numbers don’t lie.”

“Indigenous peoples have long led the fight to protect Mother Earth,” he said Wednesday, “and the only way forward is to center Indigenous knowledge and keep fossil fuels in the ground.”

The new report says at the outset that it “seeks to uplift the work of countless tribal nations, Indigenous water protectors, land defenders, pipeline fighters, and many other grassroots formations who have dedicated their lives to defending the sacredness of Mother Earth and protecting their inherent rights of Indigenous sovereignty and self-determination.”

The report also draws attention to the criminalization of Indigenous land and water defenders, stating that “the fight against the Dakota Access Pipeline is a notable example of these threats—what happened in Standing Rock should not be seen as an anomalous incident, but rather a disturbing commonality across Indigenous resistance efforts worldwide.”

DAPL, as the oil pipeline is known, is among several projects included in the report. Other fights include fossil fuel development in the Arctic National Wildlife Refuge, fracked gas pipelines like Coastal GasLink and Mountain Valley, and tar sands projects like Trans Mountain and Line 3—which opponents are calling on President Joe Biden to block like he did the Keystone XL Pipeline shortly after taking office in January.

“Respecting and honoring the wisdom and sovereignty of Indigenous peoples is a key solution to the climate crisis.”
—Collin Rees, OCI

“This report is predicated on a simple fact: The world is delving deeper into climate chaos, and we must change course,” according to IEN and OCI. “In parallel to the severe threats Mother Earth is facing from climate change, the rights, well-being, and survival of Indigenous peoples throughout the world are at grave risk due to the same extractive industries driving the climate crisis.”

“The United States and Canada must recognize their duty to consult and obtain consent from Indigenous peoples for all projects proposed on Indigenous lands,” the report says. “In parallel, these settler nation-state governments must recognize that the fossil fuel era is rapidly coming to a close.”

Echoing scientists’ and energy industry experts’ increasingly urgent warnings, the report recognizes the “monumental challenge” of phasing out existing fossil fuel infrastructure and declares that “our climate cannot afford new oil, gas, or coal projects of any kind.”

OCI U.S. campaign manager Collin Rees said Wednesday that “Indigenous communities resisting oil, gas, and coal projects across their territory are demonstrating true climate leadership.”

“Brave resistance efforts by Indigenous land and water defenders have kept billions of tons of carbon in the ground,” he added, “showing that respecting and honoring the wisdom and sovereignty of Indigenous peoples is a key solution to the climate crisis.”

Global Extraction Film Festival 9-12 September 2021

Global Extraction Film Festival 9-12 September 2021

Global Extraction Film Festival
9-12 September 2021

The Global Extraction Film Festival (GEFF), launched last year by Esther Figueroa (Vagabond Media) and Emiel Martens (Caribbean Creativity), has announced the selection of over 150 films for GEFF2021. The festival, which will be available online for free from September 9-12, aims to bring attention to the destructive impacts of extractive industries and to highlight communities across the world who are bravely defending against annihilation while creating livable futures.

GEFF2021 will feature 4 programs with over 150 documentaries and urgent shorts from over 40 countries, with a wide range of compelling topics that everyone needs to think about. Where, how and by whom is the food we eat, water we drink, clothes we wear, materials in our technology, the energy that powers our lives produced and transported? What are we to do with the billions of tons of waste we create daily? What is our relationship to other species and all life on the planet? Extraction has caused the anthropocene; the climate crisis is real and cannot be wished away or solved by magical technologies based on extraction.

PROGRAM ONE: GLOBAL PERSPECTIVES
Our General Selection film program, Global Perspectives, offers 26 feature documentaries and urgent shorts that focus on interrelated issues affecting the world, such as the climate <crisis, water, food, energy, mining, overtourism, colonial legacies. Selected films include Bright Green Lies, which exposes the extraction dependent and ecologically destructive reality of “green” technological solutions; Grit, which tells the story of Dian, who at 6 years old, along with 60,000 displaced people, suffered from an industrial accident in Indonesia, and later becomes a political activist fighting for justice; Gather and Final Straw, Food, Earth, Happiness, which present ancient alternatives to industrial agriculture; Sustenance and The Superfood Chain,which explore the food we eat, where it comes from and the consequences of global food chains; and Eating up Easter and Crowded Out: The Story of Overtourism, which demonstrate that tourism is a highly extractive industry.

PROGRAM TWO: FOCUS ON THE AMERICAS
This special Focus on the Americas is our most extensive and prominent GEFF2021 film program offering over 100 feature documentaries and urgent shorts from 30 countries in the Americas, from Argentina in the South to Canada in the North and across the Caribbean islands. The Americas are central to the creation of the modern world. This is because the ecocidal and genocidal pillaging and settlement of the Americas by European Imperial powers led to the wealth of Europe (and later North America), and to the extraction intensive industrial revolution that accelerated the anthropocene and caused the climate emergency in which we are now living. Understanding extraction in the Americas is requisite for understanding the global political economy. Understanding the Americas is also essential to realizing there are Indigenous alternatives to planetary destruction, that communities throughout the Americas have been resisting erasure for centuries, and continue to protect and defend that which is necessary to all life.

PROGRAM THREE: HUMAN-ANIMAL STUDIES
over 10 feature documentaries and urgent shorts about the relationship between humans and animals, and the impact of the extractive industries on animals. Humans are animals who dominate the planet and decide which other animals have value, are our food, our friends, our enemies, are pests, can be sacrificed, made extinct. For example, selected feature Artifishal – The Fight to Save Wild Salmon, shows the devastating impact of dams and farmed salmon on wild salmon populations., while The Last Male on Earth tells a tale of extinction.

PROGRAM FOUR: PRESENTED BY PATAGONIA
This special selection offers 8 feature documentaries and urgent shorts produced by Patagonia Films about people fighting for environmental and food justice, to protect last wild places and species, to find community based solutions. For example, DamNation – The Problem with Hydropower chronicles the United States of America’s nationally promoted narrative of man’s domination of nature, then decades later, the realization that humans are completely dependent on nature, that large-scale dams are one of our very worst inventions and should be removed. Two other selected Patagonia films, Public Trust – The Fight for America’s Public Lands and Lawqa – Que el Parque Vuelva a Ser Parque show how public lands and national parks in the USA and Chile have been handed over to extractive industries, removing the people, plants and animals who used to be there, and polluting and degrading the environment.

GEFF2021 EVENTS
Along with these four Film Programs, there will be panel discussions about extractive industries and their impacts on specific places and peoples, as well as Q&A with filmmakers. These events are hosted by GEFF’s partners including Deep Green Resistance, London Mining Network, Asia-Pacific Ecological Network, Red Thread, Freedom Imaginaries.

Contact:

Emiel Martens: emiel@caribbeancreativity.nl

Esther Figueroa: vagabondmedia1@mac.com

PRESS KIT: https://bit.ly/GEFF2021-Google-Drive


Note: DGR is organizing two events for GEFF2021.  The first is a discussion on Bright Green Lies with Director Julia Barnes at 4 PM (Pacific Time) September 11. You can find the Facebook page here. The second is a discussion with director on how films can be used for resistance at 5 AM (Pacific Time) September 11. You can contact DGR Asia Pacific to join the event.