The Shock Doctrine: The Rise of
Disaster Capitalism by Naomi Klein
A Economic History Of The Modern World With Prophetic Implications
Naomi Kleins The Shock Doctrine advances a truly unnerving argument:
historically, while people were reeling from natural disa sters, wars and
economic upheavals, savvy politicians and industry leaders nefariously
implemented policies that would never have passed during less muddled
times. As Klein demonstrates, this reprehensible game of bait-and-switch
isnt just some relic from the bad old days. Its alive and well in
contemporary society, and coming soon to a disaster area near you. At
the most chaotic juncture in Iraq civil war, a new law is unveiled that will
allow Shell and BP to claim the countrys vast oil reserves… Immediately
following September 11, the Bush Administration quietly outsources the
running of the War on Terror to Halliburton and Blackwater… After a
tsunami wipes out the coasts of Southeast Asia, the pristine beaches are
auctioned off to tourist resorts… New Orleans residents, scattered from
Hurricane Katrina, discover that their public housing, hospitals and schools
will never be re-opened. Klein not only kicks butt, she names names,
notably economist Milton Friedman and his radical Chicago School of the
1950s and 60s which she notes produced many of the leading neo-
conservative and neo-liberal thinkers whose influence is still profound in
Washington today. Stand up and take a bow, Donald Rumsfeld. Theres
little doubt Kleins book--which arrived to enormous attention and fanfare
thanks to her previous missive, the best-selling No Logo, will stir the ire of
the right and corporate America. Its also true that Kleins assertions are
coherent, comprehensively researched and footnoted, and she makes a
very credible case. Even if the world isnt going to hell in a hand-basket just
yet, its nice to know a sharp customer like Klein is bearing witness to the
backroom machinations of government and industry in times of turmoil. --
Kim Hughes
Features:
Klein gives us her take on what she has termed Disaster Capitalism. Its
epicentre is the Chicago Business School & the main Apostle, Prof. Milton
Friedman. Friedmans primary philosophy was that pure capitalism,
unfettered by any government intervention should determine the market.
The best way to precipitate the environment to enact pure capitalism was
to shock a nations populace through crises. The changes would be made
while the nation, disoriented & in pain, is too pre-occupied to notice. The
core principal of Disaster Capitalism is to profit from crises, chaos &
destruction.
You are given a history lesson in Latin American economics or more
accurately, US economic policy in Latin America beginning in the 1950s.
The context for Disaster Capitalism is well defined as Klein decribes its
evolution through the exploition and generation of crises in nations like
Chile, Argentina & Bolivia.
We see Americas role in the installation of the cruel dictator, Augusto
Pinochet & the true motivation behind the abuse, torture & disappearing of
many of Chiles citenzenry: to make wholesale changes to the nations
economic structure by privatizing its industries & dismantling its unions &
most importantly, selling the nation off to Western interests.
These experiments are repeated around Latin America & the World, and
have specific characteristics: violence, removal of civil liberties,
dictatorship & the presence of Friedmans disciples known as The Chicago
Boys. The evolving Shock Doctrine spreads to the Far East & Eastern
Europe &, along the way, is supported by the creation & operation of the
World Bank & the IMF. The IMF, after reporting erroneous figures that
erode confidence in target nations economies resulting in withdrawal of
investments, then offers much needed financial aid - but upon the
condition that essential industries are privatized usually by interests from
the nations upon which the World Bank & IMF are founded.
Along with the concept of Disaster Capitalism Klein also introduces a few
other ideas, among them Economic Apartheid: the segregation of society
into rich & poor, citizens & corporations exemplified by pre & post Katrina
New Orleans & Post-Tsunami Sri Lanka. She efficiently illustrates the
aggressive marginalization of poorer local communities in f avour of large,
usually multi-national corporations & the social, economic &
physical/geographical dislocation that results.
The historic background may be familiar to some, but Kleins master stroke
is to draw a line from the 1950s to present day Iraq & the Bush
administration. It is implied that the Shock Doctrine & Disaster Capitalism
find ultimate incarnation through the massive privatization of the US
government & unbashed profiteering courtesy of the Iraq War & American
taxpayers. An empty government that is run by private corporations &
contractors is revealed, as is the exodus of public servants to the private
sector & indeed to the very same corporations reaping the benefits of
public money (the most profitable industries being oil, construction &
security). Fingers are unapologetically pointed & names boldly named.
Klein has a wealth of resources, & the information, though dense, is still
exceptionally engaging. She paints a most dark picture of the US influence
over the Worlds economy far & wide citing examples in the Caribbean,
South Korea, Indonesia, Sri Lankas post Tsunami coast line & of course
Iraq. The fact that this book was written before the current World recession
& the collapse of so many industries/institutions, makes it eerily prophetic.
Indeed, the current financial climate has made it an even more relevant
read & one is left to wonder if the collapse of the worlds economy is part of
the purposeful execution of the Shock Doctrine.
Though it may sound like conspiracy theory, Kleins wealth of information,
gravitas & credibility are more than convincing. Whether or not you find her
arguments cogent, Klein helps you to understand how global ecomonies
interact & makes you a more informed citizen. She builds a solid case &
effectively puts the Worlds superpowers on trial. You have to judge for
yourself - but it is unquestionably worth hearing this evidence.
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