If you think we’re done with neoliberalism, think again | George Monbiot | The Guardian

by George Monbiot

“How they must bleed for us. In 2012, the world’s 100 richest people became $241 billion richer. They are now worth $1.9 trillion: just a little less than the entire output of the United Kingdom. This is not the result of chance. The rise in the fortunes of the super-rich is the direct result of policies. Here are a few: the reduction of tax rates and tax enforcement; governments’ refusal to recoup a decent share of revenues from minerals and land; the privatisation of public assets and the creation of a toll-booth economy; wage liberalisation and the destruction of collective bargaining. The policies that made the global monarchs so rich are the policies squeezing everyone else. This is not what the theory predicted. Friedrich Hayek, Milton Friedman and their disciples – in a thousand business schools, the IMF, the World Bank, the OECD and just about every modern government – have argued that the less governments tax the rich, defend workers and redistribute wealth, the more prosperous everyone will be. Any attempt to reduce inequality would damage the efficiency of the market, impeding the rising tide that lifts all boats. The apostles have conducted a 30-year global experiment, and the results are now in. Total failure. Before I go on, I should point out that I don’t believe perpetual economic growth is either sustainable or desirable. But if growth is your aim – an aim to which every government claims to subscribe – you couldn’t make a bigger mess of it than by releasing the super-rich from the constraints of democracy. Last year’s annual report by the UN Conference on Trade and Development should have been an obituary for the neoliberal model developed by Hayek and Friedman and their disciples. It shows unequivocally that their policies have created the opposite outcomes to those they predicted. As neoliberal policies (cutting taxes for the rich, privatising state assets, deregulating labour, reducing social security) began to bite from the 1980s onwards, growth rates started to fall and unemployment to rise. The remarkable growth in the rich nations during the 50s, 60s and 70s was made possible by the destruction of the wealth and power of the elite, as a result of the 1930s depression and the second world war. Their embarrassment gave the other 99% an unprecedented chance to demand redistribution, state spending and social security, all of which stimulated demand. Neoliberalism was an attempt to turn back these reforms. Lavishly funded by millionaires, its advocates were amazingly successful – politically. Economically they flopped. Advertisement Throughout the OECD countries taxation has become more regressive: the rich pay less, the poor pay more. The result, the neoliberals claimed, would be that economic efficiency and investment would rise, enriching everyone. The opposite occurred. As taxes on the rich and on business diminished, the spending power of both the state and poorer people fell, and demand contracted. The result was that investment rates declined, in step with companies’ expectations of growth…..”

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Source: If you think we’re done with neoliberalism, think again | George Monbiot | Opinion | The Guardian

Why we fight for the living world: it’s about love, and it’s time we said so | George Monbiot | Comment is free | The Guardian

Who wants to see the living world destroyed? Who wants an end to birdsong, bees and coral reefs, the falcon’s stoop, the salmon’s leap? Who wants to see the soil stripped from the land, the sea rimed with rubbish? No one. And yet it happens. Seven billion of us allow fossil fuel companies to push shut the narrow atmospheric door through which humanity stepped. We permit industrial farming to tear away the soil, banish trees from the hills, engineer another silent spring. We let the owners of grouse moors, 1% of the 1%, shoot and poison hen harriers, peregrines and eagles. We watch mutely as a small fleet of monster fishing ships trashes the oceans. Why are the defenders of the living world so ineffective? It is partly, of course, that everyone is complicit; we have all been swept off our feet by the tide of hyperconsumption, our natural greed excited, corporate propaganda chiming with a will to believe that there is no cost. But perhaps environmentalism is also afflicted by a deeper failure: arising possibly from embarrassment or fear, a failure of emotional honesty.

Source: Why we fight for the living world: it’s about love, and it’s time we said so | George Monbiot | Comment is free | The Guardian

Applauding Themselves to Death | George Monbiot

“Scientific assessments of the carbon contained in existing fossil fuel reserves suggest that full exploitation of these reserves is incompatible with the agreed target of no more than 2°C of global warming. The unrestricted extraction of these reserves undermines attempts to limit greenhouse gas emissions. We will start negotiating a global budget for the extraction of fossil fuels from existing reserves, as well as a date for a moratorium on the exploration and development of new reserves. In line with the quantification of the fossil carbon that can be extracted without a high chance of exceeding 2°C of global warming, we will develop a timetable for annual reductions towards that budget. We will develop mechanisms for allocating production within this budget and for enforcement and monitoring.”

via Applauding Themselves to Death | George Monbiot.