Category: Opinions

7 Ways to Stop Wall Street’s Con Game

Published on Wednesday, May 25, 2011 by YES! Magazine

Photo by Jun

Wikipedia defines a “confidence trick” as “an attempt to defraud a person or group by gaining their confidence. The victim is known as the mark, the trickster is called a confidence man, con man, confidence trickster, or con artist, and any accomplices are known as shills. Confidence men exploit human characteristics such as greed and dishonesty.”

Ever hear a business reporter on the evening business news say, “Today, investors drive up the price of commodities to create a hundred billion in new value,” or some such? Sounds great, almost implying we should offer thanks to these champions of the public good who are risking their fortunes to expand the pool of wealth to enrich us all. The reporter is manipulating the language to set us up as marks in the Wall Street con.

A more honest report might have said, “Today, hedge fund traders speculating with other people’s money walked away with multimillion dollar commissions for inflating the commodities bubble by a hundred billion dollars.” In a more honest world, the report would clearly distinguish between real investors creating real wealth through real investments and speculators creating phantom wealth with financial games. People who bet on the price of pieces of paper would be called “gamblers.” Those who hold the bets and distribute the winnings would be called “bookies.”

Boil it down to the basics and you see that Wall Street is in the business of operating four sophisticated, large-scale confidence games.

In a more honest world, business news would clearly distinguish between real investors creating real wealth through real investments and speculators creating phantom wealth with financial games.
  • Securities fraud: Selling shares in asset bubbles that are maintained solely by the constant inflow of new money is, in effect, a Ponzi scheme.
  • Reverse insurance fraud: Insurance fraud, by common definition, occurs when the insured deceives the insurer. In reverse insurance fraud, the insurer deceives the insured. In Wall Street practice this involves collecting premiums to cover risks the insurer lacks adequate reserves to cover and then refusing to pay legitimate claims.
  • Predatory lending: Using a combination of extortion, fraud, deceptive promises, and usury, predatory lenders lure the desperate into perpetual debt at exorbitant interest rates.

Because of Wall Street’s hold on lawmakers, these may all be perfectly legal, but phantom wealth is still phantom wealth, and these are all forms of theft. In three-card monte the dealer shuffles the cards so fast you can’t follow them, while talking even faster. Complex derivatives are a fast shuffle that makes it virtually impossible to follow the connection to any real value.

What makes the Wall Street con so much better for the dealers than a typical street con is that Wall Street dealers bet on their own game using other people’s money and then manipulate the market outcome in their own favor, rewarding themselves with huge bonuses when they win and taking billions in taxpayer bailouts when they lose.

Real financial reform would render unproductive speculation either illegal or unprofitable. Here are a few suggestions:

  1. Prohibit selling, insuring, or borrowing against an asset not actually owned by the seller, and issuing any security not backed by a real asset—all common Wall Street practices.
  2. Place strict limits on how much a financial institution can borrow in order to buy a property, and establish conservative reserve and capital requirements for institutions in the business of selling insurance of any kind.
  3. Regulate bond-rating agencies and impose strict penalties for fraudulent ratings.
  4. Impose a small financial-speculation tax of a penny on every $4 spent on the purchase and sale of financial instruments such as stocks, bonds, foreign currencies, and derivatives. This would have no consequential impact on real investors making long-term investments in real businesses and assets. But it would discourage short-term speculation and arbitraging.
  5. End the obscure tax loophole that allows hedge fund managers to report their billion-dollar compensation packages as capital gains, taxed at only 15 percent.
  6. Assess a 100 percent capital gains surcharge on profit from the sale of assets held less than an hour, 80 percent if held less than a week, and perhaps falling to 50 percent on assets held more than a week but less than six months. This would render most forms of speculation unprofitable, stabilize financial markets, and lengthen the investment horizon without penalizing real investors.
  7. Eliminate debt slavery by raising the wages of working people and the taxes of the moneylenders.

Opponents will claim that such regulation and taxes will stifle financial innovation. Good. That is the intention. Wall Street’s financial innovations are mostly ever more sophisticated and deceptive forms of theft. They should be discouraged. Keep the casinos in Vegas. The need to rebuild financial institutions that meet our needs for basic financial services will be the subject of next week’s blog.

This work is licensed under a Creative Commons License
David Korten

David Korten (livingeconomiesforum.org) is the author of Agenda for a New EconomyTheGreat Turning: From Empire to Earth Community, and the international best seller When Corporations Rule the World. He is board chair of YES! Magazine and a founding board member of theBusiness Alliance for Local Living Economies.

The views expressed in this article represent those of David Korten and do not necessarily represent those of the Occupy Edinburgh General Assembly.

11 simple ways to support the occupy movement without sleeping in a park

by Lauren Leonardi 

Taken from iamlaurenleonardi.wordpress.com

 

 

Since Occupy Wall Street began, a lot of people I know have expressed interest in my involvement.  I’ve been making suggestions about how people can get involved on their own terms, and I thought it seemed time for a public overview.

This list includes actions large and small that just about anyone, anywhere, can do to support the movement.

1. Understand the Movement

Chances are, you’ll find yourself in a conversation about Occupy-something sometime soon.  One of the most important things you can do, short of sleeping in a park, is be able to intelligently defend and support the movement in conversation.

To begin, make some time to do a bit of preliminary reading.  Here are some articles and videos I recommend in the short term to get yourself hip to the overal messages.  Bookmark it, if you like.  I’ll be adding to the list over time.

Don’t parrot the mainstream media’s take on Occupy Wall Street.  They mostly get it wrong.

2. Don’t Be Afraid to Say You Support Occupy Wall Street

I know people who absolutely support the ideology of OWS, but who remain silent as church mice on the topic. I also know people who kinda like the idea, but aren’t really sure they want to align themselves just yet.

Here’s a little tough love for you: If you’re not helping, you’re hindering. That’s the truth of it. We all have our lives, our work, the pressing needs of our unique realities to deal with. But out there are hundreds of people taking a break from their own demanding realities to sleep on the ground, in the rain, making themselves vulnerable to police aggression and whatever other intrusions come with sleeping night after night in a public place under scrutiny.

If you like the idea of OWS, and feel excited about the sorts of changes we might begin to see in our society, say so. Out loud. To friends, family and partners. On the internet. In line at the grocery store. Talk to people. Talk about the movement. Apathy’s not cool any more.

3. Follow the Movement on Social Media

This is a short for-starters list.  Start liking and following these folks and you’ll probably be inspired (by posts and retweets) to follow others.  Don’t forget to retweet and repost messages that move you.

Groups / Pages to follow on Facebook
  • Occupy Edinburgh
  • Occupy Together
  • Occupy Glasgow
People / Groups to Follow on Twitter
  • @OccupyTogether
  • @OccupyEdinburgh
  • @OccupyLSX
  • @OccupyBritian

4. Move Your Money

One of the central concerns of the Occupy movement is the banking system.  Even if you never repost a single OWS article, or visit a single encampment, moving your money is an action you can take that will align you with the principles of the movement.  It’s something you can do privately, and quietly, on your own.

Read my related posts: 

From the Move Your Money site:

“The Move Your Money project is a nonprofit campaign that encourages individuals and institutions to divest from the nation’s largest Wall Street banks and move to local financial institutions. Little has changed to prevent another financial crisis or to end ‘Too Big To Fail,’ and with Congress unwilling to act, we are encouraging individuals to take power into their own hands by voting with their dollars and no longer contributing to a financial system that has led our country astray. We are a campaign that gives people real, concrete actions they can take to create a more sane, stable and localized banking system.”

Find a local bank or credit union.  The effects are already being noticed.

5. Send Some Grub

Find out where your local occupiers are and do a google search for nearby restaurants who deliver.  Send pizza, chinese food, snacks and baked goods.  Ask your local diner to send burgers and fries.  Liberato’s Pizza in downtown Manhattan even has an OccuPie Pizza special for demonstrators.  Pay a visit to Restaurant Depot or another wholesaler and bring boxes of fruit, extra large loaves of bread, jars of peanut butter, bins of veggies.  Whatever you can afford is great.  It’s true that one pizza won’t feed everyone, but let the demonstrators sort that out.  One pizza can go a long way in a democratic resistance movement that opposes greed.

6. Make a Collection & Donate

Put a flyer up in your building asking other tenants to donate any of the items on the list below.  If you live in a private home, consider posting a flyer on the community message board at your local library, coffee shop or grocery.  Ask people to leave donations on your porch, or in front of your house, and put a bin or box out to collect the donations.  Coordinate with your PTA or another community group to support your local occupiers through donations.

When you’ve amassed some items, bring the donations to your local occupiers.  Just pull up and unload.  Ask any occupier where your stuff should go, and someone will help.

If you live in NY, I’ll personally volunteer to come collect whatever you’re able to gather to deliver to Liberty Square (leave a note in the comments and we’ll set up the pickup).  NYC is well stocked, and they’ve been sending surplus to other encampments around the country, so don’t worry about overdoing it.

Appropriate Donations

  • basic medical supplies: bandaids, gauze, over the counter medicines, antibacterial ointment, etc
  • rain gear, umbrellas, tarps, tent covers
  • clothing: men’s, women’s, especially warmer clothing and socks
  • books
  • food: perishable and non-perishable
  • toiletries
  • added per reader CurlyHairGirl’s suggestion: blankets, subzero sleeping bags and other warm bedding

Have a look at my pictures to see how I’m handling the request in my building.

ows donations flyer, close up

 

 

 

 

 

7. Donate Money

Visit your local Occupy hub and find yourself a donation box.  If you’re not close enough or don’t want to go, you can donate online.

8. Visit a Local Occupy Encampment & Say Thanks

I am not sleeping in any parks.  No, sir.  Not yet, anyway.  To quote a friend, “I’m too old for this shit.”  But I still consider myself an occupier!  If there’s an encampment near you, head down before or after work one day.  Go over on your lunch break.  Bring your kids with you, if you’re visiting on a weekend.

Talk to people.  Ask why they’re there.  Thank them for their commitment to the movement, and let them know that OWS wouldn’t be much without them.

I can just about guarantee taking action on number 6 will inspire you with numbers 1, 2 and 3.

If you have time, stick around for General Assembly (GA), which occurs nightly, usually around 6p.  There, the group discusses all sorts of issues like what the following day’s schedule will be, how to spend donations, pressing needs and upcoming actions.

Be sure to take photos while you’re there and post them to Facebook and Twitter to let your friends and family know you support the movement.  Just be sure, when you’re visiting, not to be just a voyeur.  Be a participant.  Make a sign and bring it along.  If you’re not into that, make a point to learn something while you’re there.

9. Show Up When You’re Needed

Sometimes, what’s really needed, are people.  Lots and lots of people.  Without the support of armchair occupiers who got up out of their armchairs at 4am, the flagship hub of our movement could have been ousted on October 14th for a bogus “cleaning”.  Thousands of people showed up at Liberty Square to stand in solidarity, and our base persevered.  So keep tabs on when the movement needs you most, and be there.

10. Taking a Roadtrip?  Transport Supplies or Demonstrators.

If you’re going from one city to another anyway, offer to bring supplies.  Better yet, offer someone a ride.  Lots of protesters demonstrate on the weekends, or on their off days from work or school, but need to head home now and again.  Helping demonstrators get back and forth is doing something huge for the movement.

If you’re leaving New York City (in a car) to head to another city with an Occupy presence, head down to your city’s Occupy center and find the information desk.  Tell them where you’re headed, and what you’re offering, and they can help hook you up with the right people.  Likewise, if you’re headed to New York, try to find people in your community who’d like to make the trip.  You can also post to the occupy website forum or chat. (coming soon)

11. Allow People to Shower and/or Do Laundry in Your Home

Sleeping on the street is dirty business.  In many cities, the 24/7 demonstrators only have fast food restaurant bathrooms to use for washing up.  If you’re comfortable with the idea, and live near an encampment, offer your shower or laundering facilities.  You can set your own limits.  For example, you can say you’re open to inviting women only, two or three at a time, on a certain day during a certain time.  Your requests will be respected.

*** Updated on 10.29.11 to add #s 12 ***

12. Mail Credit Card Offers Back!

Watch this 5 minute video for a terrific, easy, free, nonviolent way to not only piss off major creditors, but to make an impact on the way they inappropriately target consumers to buy into the credit/debt system.

Use the pre-paid business mailer envelopes, but don’t send back what they’re expecting (which would be a credit card application)!

Instead:

  • send it empty
  • put other junk mail into the envelope, and send it back full
  • print a note with a clear, rational message like: “hello bank clerk, join a union” or “occupy wall street!” so the banks know your junk-filled envelope wasn’t an accident, but a dialog.
  • add something heavy like a wood shim (with a message on it) to add weight and cost
Edit Notes: As this article was written specifically about the Occupy Wall Street group for those living in New York State we have edited some of the links etc. to be more helpful to the Occupy Edinburgh group and Occupy Britain in general.
Lauren Leonardi is a writer, native New Yorker, creative person and committed supporter of the peaceful protest called #OccupyWallSt.
The views expressed in this article are of Lauren Leonardi and are not necessarily supported by the Occupy Edinburgh General Assembly

Occupy Demands: Let’s radicalize our analysis of empire, economics, ecology – Robert Jensen

by Robert Jensen in Energy Bulletin 

[This is an expanded version of remarks at an Occupy Austin teach-in, October 30, 2011.]

There’s one question that pundits and politicians keep posing to the Occupy gatherings around the country: What are your demands?

I have a suggestion for a response: We demand that you stop demanding a list of demands.

The demand for demands is an attempt to shoehorn the Occupy gatherings into conventional politics, to force the energy of these gatherings into a form that people in power recognize, so that they can roll out strategies to divert, co-opt, buy off, or — if those tactics fail — squash any challenge to business as usual.

Rather than listing demands, we critics of concentrated wealth and power in the United States can dig in and deepen our analysis of the systems that produce that unjust distribution of wealth and power. This is a time for action, but there also is a need for analysis. Rallying around a common concern about economic injustice is a beginning; understanding the structures and institutions of illegitimate authority is the next step. We need to recognize that the crises we face are not the result simply of greedy corporate executives or corrupt politicians, but rather of failed systems. The problem is not the specific people who control most of the wealth of the country, or those in government who serve them, but the systems that create those roles. If we could get rid of the current gang of thieves and thugs but left the systems in place, we will find that the new boss is going to be the same as the old boss.

My contribution to this process of sharpening analysis comes in lists of three, with lots of alliteration. Whether you find my analysis of the key questions compelling, at least it will be easy to remember: empire, economics, ecology.

Empire: Immoral, Illegal, Ineffective

The United States is the current (though fading) imperial power in the world, and empires are bad things. We have to let go of self-indulgent notions of American exceptionalism — the idea that the United States is a unique engine of freedom and democracy in the world and therefore a responsible and benevolent empire. Empires throughout history have used coercion and violence to acquire a disproportionate share of the world’s resources, and the U.S. empire is no different.

Although the invasions of Afghanistan and Iraq are particularly grotesque examples of U.S. imperial destruction, none of this is new; the United States was founded by men with imperial visions who conquered the continent and then turned to the world. Most chart the beginning of the external U.S. empire-building phase with the 1898 Spanish-American War and the conquest of the Philippines that continued for some years after. That project went forward in the early 20th century, most notably in Central America, where regular U.S. military incursions made countries safe for investment.

The empire emerged in full force after World War II, as the United States assumed the role of the dominant power in the world and intensified the project of subordinating the developing world to the U.S. system. Those efforts went forward under the banner of “anti-communism” until the early 1990s, but continued after the demise of the Soviet Union under various other guises, most notably the so-called “war on terrorism.” Whether it was Latin America, southern Africa, the Middle East, or Southeast Asia, the central goal of U.S. foreign policy has been consistent: to make sure that an independent course of development did not succeed anywhere. The “virus” of independent development could not be allowed to take root in any country out of a fear that it might infect the rest of the developing world.

The victims of this policy — the vast majority of them non-white — can be counted in the millions. In the Western Hemisphere, U.S. policy was carried out mostly through proxy armies, such as the Contras in Nicaragua in the 1980s, or support for dictatorships and military regimes that brutally repressed their own people, such as El Salvador. The result throughout the region was hundreds of thousands of dead — millions across Latin America over the course of the 20th century — and whole countries ruined.

Direct U.S. military intervention was another tool of U.S. policymakers, with the most grotesque example being the attack on Southeast Asia. After supporting the failed French effort to recolonize Vietnam after World War II, the United States invaded South Vietnam and also intervened in Laos and Cambodia, at a cost of 3-4 million Southeast Asians dead and a region destabilized. To prevent the spread of the “virus” there, we dropped 6.5 million tons of bombs and 400,000 tons of napalm on the people of Southeast Asia. Saturation bombing of civilian areas, counterterrorism programs and political assassination, routine killings of civilians, and 11.2 million gallons of Agent Orange to destroy crops and ground cover — all were part of the U.S. terror war.

On 9/11, the vague terrorism justification became tangible for everyone. With the U.S. economy no longer the source of dominance, policymakers used the terrorist attacks to justify an expansion of military operations in Central Asia and the Middle East. Though non-military approaches to terrorism were more viable, the rationale for ever-larger defense spending was set.

A decade later, the failures of this imperial policy are clearer than ever. U.S. foreign and military policy has always been immoral, based not on principle but on power. That policy routinely has been illegal, violating the basic tenets of international law and the constitutional system. Now, more than ever, we can see that this approach to world affairs is ineffective, no matter what criteria for effectiveness we use. An immoral and criminal policy has lost even its craven justification: It will not guarantee American dominance.

That failure is the light at the end of the tunnel. As the elite bipartisan commitment to U.S. dominance fails, we the people have a chance to demand that the United States shift to policies designed not to allow us to run the world but to help us become part of the world.

Economics: Inhuman, Anti-Democratic, Unsustainable

The economic system underlying empire-building today has a name: capitalism. Or, more precisely, a predatory corporate capitalism that is inconsistent with basic human values. This description sounds odd in the United States, where so many assume that capitalism is not simply the best among competing economic systems but the only sane and rational way to organize an economy in the contemporary world. Although the financial crisis that began in 2008 has scared many people, it has not always led to questioning the nature of the system.

That means the first task is to define capitalism: that economic system in which (1) property, including capital assets, is owned and controlled by private persons; (2) most people must rent their labor power for money wages to survive, and (3) the prices of most goods and services are allocated by markets. “Industrial capitalism,” made possible by sweeping technological changes and imperial concentrations of capital, was marked by the development of the factory system and greater labor specialization. The term “finance capitalism” is often used to mark a shift to a system in which the accumulation of profits in a financial system becomes dominant over the production processes. Today in the United States, most people understand capitalism in the context of mass consumption — access to unprecedented levels of goods and services. In such a world, everything and everyone is a commodity in the market.

In the dominant ideology of market fundamentalism, it’s assumed that the most extensive use of markets possible, along with privatization of many publicly owned assets and the shrinking of public services, will unleash maximal competition and result in the greatest good — and all this is inherently just, no matter what the results. If such a system creates a world in which most people live in poverty, that is taken not as evidence of a problem with market fundamentalism but evidence that fundamentalist principles have not been imposed with sufficient vigor; it is an article of faith that the “invisible hand” of the market always provides the preferred result, no matter how awful the consequences may be for real people.

How to critique capitalism in such a society? We can start by pointing out that capitalism is fundamentally inhuman, anti-democratic, and unsustainable.

Inhuman: The theory behind contemporary capitalism explains that because we are greedy, self-interested animals, a viable economic system must reward greedy, self-interested behavior. That’s certainly part of human nature, but we also just as obviously are capable of compassion and selflessness. We can act competitively and aggressively, but we also have the capacity to act out of solidarity and cooperation. In short, human nature is wide-ranging. 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 accept an economic system that undermines the most decent aspects of our nature and strengthens the cruelest? 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? A bit perverse?

Anti-democratic: In the real world — not in the textbooks or fantasies of economics professors — capitalism has always been, and will always be, a wealth-concentrating system. If you concentrate wealth in a society, you concentrate power. I know of no historical example to the contrary.

For all the trappings of formal democracy in the contemporary United States, everyone understands that for the most part, the wealthy dictate the basic outlines of the public policies that are put into practice by elected o fficials. This is cogently explained by political scientist Thomas Ferguson’s “investment theory of political parties,” which identifies powerful investors rather than unorganized voters as the dominant force in campaigns and elections. Ferguson describes political parties in the United States as “blocs of major investors who coalesce to advance candidates representing their interests” and that “political parties dominated by large investors try to assemble the votes they need by making very limited appeals to particular segments of the potential electorate.” There can be competition between these blocs, but “on all issues affecting the vital interests that major investors have in common, no party competition will take place.” Whatever we might call such a system, it’s not democracy in any meaningful sense of the term.

People can and do resist the system’s attempt to sideline them, and an occasional politician joins the fight, but such resistance takes extraordinary effort. Those who resist sometimes win victories, some of them inspiring, but to date concentrated wealth continues to dominate. If we define 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.

Unsustainable: Capitalism is a system based on an assumption of continuing, unlimited growth — on a finite planet. There are only two ways out of this problem. We can hold out hope that we might hop to a new planet soon, or we can embrace technological fundamentalism and believe that evermore complex technologies will allow us to transcend those physical limits here. Both those positions are equally delusional. Delusions may bring temporary comfort, but they don’t solve problems; in fact, they tend to cause more problems, and in this world those problems keep piling up.

Critics now compare capitalism to cancer. The inhuman and antidemocratic features of capitalism mean that, like a cancer, the death system will eventually destroy the living host. Both the human communities and non-human living world that play host to capitalism eventually will be destroyed by capitalism. Capitalism is not, of course, the only unsustainable system that humans have devised, but it is the most obviously unsustainable system, and it’s the one in which we are stuck. It’s the one that we are told is inevitable and natural, like the air we breathe. But the air that we are breathing is choking the most vulnerable in the world, choking us, choking the planet.

Ecology: Out of Gas, Derailed, Over the Waterfall

In addition to inequality within the human family, we face even greater threats in the human assault on the living world that come with industrial society. High-energy/high-technology societies pose a serious threat to the ability of the ecosphere to sustain human life as we know it. Grasping that reality is a challenge, and coping with the implications is an even greater challenge. We likely have a chance to stave off the most catastrophic consequences if we act dramatically and quickly. If we continue to drag our feet, it’s “game over.”

While public awareness of the depth of the ecological crisis is growing, our knowledge of the basics of the problem is hardly new. Here is a “World Scientists’ Warning to Humanity” issued by 1,700 of the planet’s leading scientists:

“Human beings and the natural world are on a collision course. Human activities inflict harsh and often irreversible damage on the environment and on critical resources. If not checked, many of our current practices put at serious risk the future that we wish for human society and the plant and animal kingdoms, and may so alter the living world that it will be unable to sustain life in the manner that we know. Fundamental changes are urgent if we are to avoid the collision our present course will bring about.”

http://deoxy.org/sciwarn.htm

That statement was issued in 1992, and since then we have fallen further behind in the struggle for sustainability. Look at any crucial measure of the health of the ecosphere in which we live — groundwater depletion, topsoil loss, chemical contamination, increased toxicity in our own bodies, the number and size of “dead zones” in the oceans, accelerating extinction of species and reduction of bio-diversity — and the news is bad. Remember also that we live in an oil-based world that is fast running out of easily accessible oil, which means we face a huge reconfiguration of the infrastructure that undergirds our lives. And, of course, there is the undeniable trajectory of climate disruption.

Add all that up, and ask a simple question: Where we are heading? Pick a metaphor. Are we a car running out of gas? A train about to derail? A raft going over the waterfall? Whatever the choice, it’s not a pretty picture. It’s crucial we realize that there are no technological fixes that will rescue us. We have to acknowledge that human attempts to dominate the non-human world have failed. We are destroying the planet and in the process destroying ourselves.

Facing a Harsh Future with a Stubborn Hope

The people who run this world are eager to contain the Occupy energy not because they believe the critics of concentrated wealth and power are wrong, but because somewhere deep down in their souls (or what is left of a soul), the powerful know we are right. People in power are insulated by wealth and privilege, but they can see the systems falling apart. The United States’ military power can no longer guarantee world domination. The financial corporations can no longer pretend to provide order in the economy. The industrial system is incompatible with life.

We face new threats today, but we are not the first humans to live in dangerous times. In 1957 the Nobel writer Albert Camus described the world in ways that resonate:

“Tomorrow the world may burst into fragments. In that threat hanging over our heads there is a lesson of truth. As we face such a future, hierarchies, titles, honors are reduced to what they are in reality: a passing puff of smoke. And the only certainty left to us is that of naked suffering, common to all, intermingling its roots with those of a stubborn hope.”

A stubborn hope is more necessary than ever. As political, economic, and ecological systems spiral down, it’s likely we will see levels of human suffering that dwarf even the horrors of the 20th century. Even more challenging is the harsh realization that we don’t have at hand simple solutions — and maybe no solutions at all — to some of the most vexing problems. We may be past the point of no return in ecological damage, and the question is not how to prevent crises but how to mitigate the worst effects. No one can predict the rate of collapse if we stay on this trajectory, and we don’t know if we can change the trajectory in time.

There is much we don’t know, but everything I see suggests that the world in which we will pursue political goals will change dramatically in the next decade or two, almost certainly for the worse. Organizing has to adapt not only to changes in societies but to these fundamental changes in the ecosphere. In short: We are organizing in a period of contraction, not expansion. We have to acknowledge that human attempts to dominate the non-human world have failed. We are destroying the planet and in the process destroying ourselves. Here, just as in human relationships, we either abandon the dominance/subordination dynamic or we don’t survive.

In 1948, Camus urged people to “give up empty quarrels” and “pay attention to what unites rather that to what separates us” in the struggle to recover from the horrors of Europe’s barbarism. I take from Camus a sense of how to live the tension between facing honestly the horror and yet remaining engaged. In that same talk, he spoke of “the forces of terror” (forces which exist on “our” side as much as on “theirs”) and the “forces of dialogue” (which also exist everywhere in the world). Where do we place our hopes?

“Between the forces of terror and the forces of dialogue, a great unequal battle has begun,” he wrote. “I have nothing but reasonable illusions as to the outcome of that battle. But I believe it must be fought.”

The Occupy gatherings do not yet constitute a coherent movement with demands, but they are wellsprings of reasonable illusions. Rejecting the political babble around us in election campaigns and on mass media, these gatherings are an experiment in a different kind of public dialogue about our common life, one that can reject the forces of terror deployed by concentrated wealth and power.

With that understanding, the central task is to keep the experiment going, to remember the latent power in people who do not accept the legitimacy of a system. Singer/songwriter John Gorka, writing about what appears to be impossible, offers the perfect reminder:

“They think they can tame you, name you and frame you,
aim you where you don’t belong.
They know where you’ve been but not where you’re going,
that is the source of the songs.”

————————

This article contains the views of Robert Jensen and was taken from the site energybulletin.net and does not necessarily represent the views of the Occupy Edinburgh General Assembly.

Robert Jensen is a journalism professor at the University of Texas at Austin and board member of the Third Coast Activist Resource Center in Austin, one of the partners in the community center “5604 Manor,” http://5604manor.org/.

Opinions: The New Economics Foundation

The views represented here are of the New Economics Foundation and do not necessarily represent the views of the Occupy Edinburgh General Assembly.

Four things the New Economics Foundation think the government should do instead of austerity.

1.       Create new money to create new jobs and new wealth. Use quantitative easing directly to fund the renewal of our infrastructure, to build the new green economy, eradicate fuel poverty, reskill the unemployed and tackle the climate crisis at the same time.

2.       A massive relief of debt. The UK’s problem is not really the public deficit that so obsesses the chancellor, but private household debt and the daunting treadmill that awaits a generation of young people burdened by student fees, relentless rents and a housing market that is still in the realms of fantasy.

3.       Break up the banks as the first step to creating an effective local lending infrastructure. This is not pie in the sky. This is what the German banking system looks like. Its local public savings banks have supported small businesses and ordinary people throughout the recession, where big banks run away at the first sign of trouble. No annual pantomime of Project Merlin is required for our industrial competitors.

4.       Put steps in place to ensure money trickles down. We can start by setting up local barter currencies in every city that help new enterprises use wasted land, buildings, resources and people. Ultimately we need more dispersed ownership and control of the nation’s natural, human and financial capital. We need to restore large sections of the financial industry to the mutual ownership that served this nation so well until the scandalous smash-and-grab raids of demutualisation in the 1990s. ”

The New Economics Foundation is an independent think-and-do tank that inspires and demonstrates real economic well-being

Opinions: Ian Fraser

” I met Duncan at the Positive Money event in Edinburgh last night and he asked me to put something I said to him onto your site. First, here is 6 proposals for stopping the rot:

• Stop corporations from subverting democracy by ‘buying’ influence over government and regulators. This could include reforming party
funding and banning retiring politicians from taking lucrative City roles.

• Stop the colonisation of Whitehall departments, via secondments, by investment bankers and ‘Big 4′ accountants.

• Government should stop taking advice on how to reform the finance sector from bankers (http://bit.ly/pKUyiV)

• Remove the $340 billion annual subsidy provided by taxpayers to UK banks. Ensure banks exist in the real economy – i.e. if they fail,
they fail

• Introduce proper competition into banking.

• Force pension funds (biggest investors in shares) to reconsider their fiduciary duties and to remember whose interests they represent - so they drop their obsession with short-term returns, and think longer term (http://bit.ly/dYh8Vp)

Here are four articles I have written about the Occupy protests around the world:- http://bit.ly/pfrJvy … http://bit.ly/ookFwL …
http://bit.ly/ogpZzT … http://bit.ly/or1hGo ….  (these were mainly written before the UK occupy movement got underway on October 15 but the problems that need to tackled are very similar on both sides of the Atlantic).

One could sum it up as follows:

• the financial system is out-of-control and parasytical on the real economy, perhaps a giant skimming machine (yet its main players
continue to wield huge political power and have been able to neutralize post-crisis attempts at reform)

• markets are rigged in favour of the rich and powerful

• the implicit state guarantee of the banking sector, worth an estimate $340 billion a year to UK banks, enables them to privatize
their gains but socialize their losses.

• banking remains an oligopoly – high barriers to entry make it difficult for new players to gain a credible presence in the market

• inequalities have been worsening because corporates have since the 1970s-1980s blindly focused on ‘shareholder value’ rather than giving any thought to the other stakeholder groups including their employees (a legacy of the Chicago School of economics and Milton Friedman)

• government and the media appear to have been “bought”, to the extent that democracy has been superseded by ‘corporatocracy’ (particularly in the US, but also to an extent in the UK). We saw this today with Deloitte winning £7m contracts from the government since May 2010 after handing £700,000 in donations to the Tories since David Cameron became leader http://bit.ly/syAbjN

These are and issues must be addressed, including the money creation issues outlined by Positive Money’s Ben Dyson last night. ”

 

Ian Fraser is a journalist, blogger and broadcaster. He writes about business, finance, politics and economics for publishers including Financial Times, BBC News, The Sunday Times, The Herald/Sunday Herald, Thomson Reuters and Dow Jones.

The views represented here are of Ian Fraser and do not necessarily represent the views of the Occupy Edinburgh General Assembly.