Group items tagged

Historians have demonstrated that the rise of Western Europe depended in large part on natural resources and labour forcibly appropriated from the global South during the colonial period, on a vast scale. Spain extracted gold and silver from the Andes, Portugal extracted sugar from Brazil, France extracted fossil fuels, minerals and agricultural products from West Africa, Belgium extracted rubber from the Congo; and Britain extracted cotton, opium, grain, timber, tea and countless other commodities from its colonies around the world – all of which entailed the exploitation of Southern labour on coercive terms, including through mass enslavement and indenture. This pattern of appropriation was central to Europe’s industrial growth, and to financing the expansion and industrialization of European settler colonies, including Canada, Australia, New Zealand and the United States, which went on to develop similarly imperialist orientations toward the South

Today, we are told, the world economy functions as a meritocracy: countries that have strong institutions, good markets, and a steadfast work ethic become rich and successful, while countries that lack these things, or which are hobbled by corruption and bad governance, remain poor. This assumption underpins dominant perspectives in the field of international development (Sachs, 2005, Collier, 2007, Rostow, 1990, Moyo, 2010, Calderisi, 2007, Acemoglu and Robinson, 2012), and is reinforced by the rhetoric, common among neoclassical economists, that free-trade globalization has created an “even playing field”.

Emmanuel and Amin argued that unequal exchange enables a “hidden transfer of value” from the global South to the global North, or from periphery to core, which takes place subtly and almost invisibly, without the overt coercion of the colonial apparatus and therefore without provoking moral outrage. Prices are naturalized on the grounds that they represent “utility”, or “value”, or the outcome of “market mechanisms” such as supply and demand, obscuring the extent to which they are determined by power imbalances in the global political economy. Price differentials in international trade therefore function as an effective method of maintaining the patterns of appropriation that once overtly defined the colonial economy, allowing blame for “underdevelopment” to be shifted onto the victims.

Historians have demonstrated that the rise of Western Europe depended in large part on natural resources and labour forcibly appropriated from the global South during the colonial period, on a vast scale. Spain extracted gold and silver from the Andes, Portugal extracted sugar from Brazil, France extracted fossil fuels, minerals and agricultural products from West Africa, Belgium extracted rubber from the Congo; and Britain extracted cotton, opium, grain, timber, tea and countless other commodities from its colonies around the world – all of which entailed the exploitation of Southern labour on coercive terms, including through mass enslavement and indenture. This pattern of appropriation was central to Europe’s industrial growth, and to financing the expansion and industrialization of European settler colonies, including Canada, Australia, New Zealand and the United States, which went on to develop similarly imperialist orientations toward the South (e.g., Naoroji, 1902, Pomeranz, 2000, Beckert, 2015, Moore, 2015, Bhambra, 2017, Patnaik, 2018, Davis, 2002).

for every unit of embodied resources and labour that the South imports from the North they have to export many more units to pay for it, enabling the North to achieve a net appropriation through trade. This dynamic was theorized by Emmanuel (1972) and Amin (1978) as a process of “unequal exchange”.Emmanuel and Amin argued that unequal exchange enables a “hidden transfer of value” from the global South to the global North, or from periphery to core, which takes place subtly and almost invisibly, without the overt coercion of the colonial apparatus and therefore without provoking moral outrage. Prices are naturalized on the grounds that they represent “utility”, or “value”, or the outcome of “market mechanisms” such as supply and demand, obscuring the extent to which they are determined by power imbalances in the global political economy. Price differentials in international trade therefore function as an effective method of maintaining the patterns of appropriation that once overtly defined the colonial economy, allowing blame for “underdevelopment” to be shifted onto the victims.

Following Dorninger et al. (2021), we use a “footprint” analysis of input–output data to quantify the physical scale of raw materials, land, energy and labour embodied in trade between the North and South, looking not only at traded goods themselves but also the upstream resources and labour that go into producing and transporting those goods, including the machines, factories, infrastructure, etc.

Grounding our analysis in the physical dimensions of unequal exchange is important for several reasons. First, these resources – raw materials, land, labour and energy – embody the productive potential that is required for meeting human needs (use-value) and for generating economic growth (exchange-value). Physical drain is therefore ultimately what drives global inequalities in terms of access to provisions, as well as in terms of GDP or income (see Hornborg, 2020). Second, this approach allows us to maintain sight of the ecological impacts of unequal exchange. We know that excess energy and material consumption in high-income nations, facilitated by appropriation from the rest of the world, is causing ecological breakdown on a global scale. Tracing flows of resources embodied in trade allows us to determine the extent to which Northern appropriation is responsible for ecological impacts in the South; i.e., ecological debt (Roberts and Parks, 2009, Warlenius et al., 2015, Hornborg and Martinez-Alier, 2016).

Due to the growing fragmentation of international commodity chains, monetary databases on bilateral gross trade flows have been criticised for not accurately depicting the monetary interdependencies between national economies (Johnson and Noguera, 2012), i.e., the amount of a countries’ value added that is induced by foreign final demand and international trade relations. Trade in Value Added (TiVA) indicators Johnson and Noguera, 2012, Timmer et al., 2014 are designed to take into account the complexity of the global economy. The TiVA concept is motivated by the fact that, in monetary terms, trade in intermediates accounts for approximately two-thirds of international trade. Imports (of intermediates) are used to produce exports and hence bilateral gross exports may include inputs (i.e., value added) from third party countries (Stehrer, 2012). TiVA reveals where (e.g., in which country or industry) and how (e.g. by capital or labour) value is added or captured in global commodity chains (Timmer et al., 2014).

TiVA, which is sometimes referred to as the “value footprint”, is the monetary counterpart of the MRIO-based environmental footprint because both indicators follow the same system boundaries, i.e., all supply chains between production and final consumption of two countries including all direct and indirect interlinkages. Moreover, in contrast to global bilateral monetary trade flows, TiVA is globally balanced, meaning that national exports and imports globally sum up to zero. This is an important feature of the TiVA indicator that facilitates more consistent and unambiguous assessments.

for every unit of embodied raw material equivalent that the South imports from the North, they have to export on average five units to “pay” for it

For land the average ratio is also 5:1, for energy it is 3:1, and for labour it is 13:1

Table 1. Resource drain from the South.ResourceNorth → South flows 2015South → North flows 2015Drain from South in 2015Cumulative drain from South 1990–2015Raw material equivalents [Gt]3.3715.3912.02254.40Embodied land [mn ha]527.421,349.01821.5932,987.23Embodied energy [EJ]21.5543.5121.06650.34Embodied labour [mn py-eq]31.11219.22188.125,956.62

in the year 2015 the North’s net appropriation from the South totalled 12 billion tons of raw materials, 822 million hectares of land, 21 exajoules of energy (equivalent to 3.4 billion barrels of oil), and 188 million person-years equivalents of labour (equivalent to 392 billion hours of work). By net appropriation we mean that these resources are not compensated in equivalent terms through trade; they are effectively transferred gratis. And this appropriation is not insignificant in scale; on the contrary, it comprises a large share (on average about a quarter) of the North’s total consumption.

significant consequences for the global South, in terms of lost use-value. This quantity of Southern raw materials, land, energy and labour could be used to provision for human needs and develop sovereign industrial capacity in the South, but instead it is mobilized around servicing consumption in the global North.

Eight hundred and twenty-two million hectares of land, which is twice the size of India, would in theory be enough to provide nutritious food for up to 6 billion people, depending on land productivity and diet composition

material use is tightly linked to environmental pressures. It accounts for more than 90% of variation in environmental damage indicators (Steinmann et al., 2017), and more than 90% of biodiversity loss and water stress (International Resource Panel, 2019). Moreover, as Van der Voet et al. (2004) demonstrate, while impacts vary by material, and vary as technologies change, there is a coupling between aggregate mass flows and ecological impact. Net flows of material resources from South to North mean that much of the impact of material consumption in the North (43% of it, net of trade) is suffered in the South. The damage is offshored.

Industrial ecologists hold that global extraction and use of materials should not exceed 50 billion tons per year (Bringezu, 2015). In 2015, the global economy was using 87 billion tons per year, overshooting the boundary by 74% and driving ecological breakdown. This overshoot is due almost entirely to excess resource consumption in global North countries. The North consumed 26.71 tons of materials per capita in 2015, which is roughly four times over the sustainable threshold (6.80 tons per capita in 2015). Our results indicate that most of the North’s excess consumption (58% of it) is sustained by net appropriation from the global South; without this appropriation, material use in high-income nations would be much closer to the sustainable level.

In consumption-based terms, the North is responsible for 92% of carbon dioxide emissions in excess of the planetary boundary (350 ppm atmospheric concentration of CO2) (Hickel, 2020), while the consequences harm the South disproportionately, inflicting dramatic social and economic costs (Kikstra et al., 2021b, Srinivasan et al., 2008). The South suffers 82–92% of the costs of climate change, and 98–99% of the deaths associated with climate change (DARA, 2012)

Net appropriation of land means soil depletion, water depletion, and chemical runoff are offshored; net appropriation of energy means that the health impacts of particulate pollution are offshored; net appropriation of labour means that the negative social impacts of exploitation are offshored, etc (Wiedmann and Lenzen, 2018). In the case of non-renewable resources there is also a problem of depletion: resources appropriated from the South are no longer available for future generations to use (Costanza and Daly, 1992, World Bank, 2018), which is particularly problematic given that under conditions of net appropriation economic losses are not offset by investments in capital stock (cf. Hartwick, 1977). Finally, the extractivism that underpins resource appropriation generates social dislocations and conflicts at resource frontiers (Martinez-Alier, 2021).

the value of resources and labour cannot be quantified in dollars, and there is no such thing as a “correct” price.

Prices under capitalism do not reflect value or utility in any objective way. Rather, they reflect, among other things, the (im)balance of power between market agents (capital and labour, core and periphery, lead firms and their suppliers, etc); in other words, they are a political artefact

While prices by definition do not reflect value, they do allow us to compare the scale of drain to prevailing monetary representations of production and income in the world economy.

Fig. 2 shows that drain from the South in 2015 amounted to $14.1 trillion when measured in terms of raw material equivalents, $5.1 trillion when measured in terms of land, $3.6 trillion when measured in terms of energy and $20.3 trillion when measured in terms of labour.

Over the period 1990–2015, the drain sums to $242 trillion (constant 2010 USD). This represents a significant “windfall” for the North, similar to the windfall that was derived from colonial forms of appropriation; i.e., goods that did not have to be produced on the domestic landmass or with domestic labour, and did not have to be bought on the domestic market, or paid for with exports (see Pomeranz, 2000, Patnaik, 2018). While previous studies have shown that the price distortion factor increased dramatically during the structural adjustment period in the 1980’s (Hickel et al., 2021), our data confirms that since the early- to mid-1990’s it has tended to decline slightly. This means that the increase in drain during the period 1990–2007, prior to the global financial crisis, was driven primarily by an increase in the volume of international trade rather than by an increase in price distortion.

Table 3 shows that, over the 1990–2015 period, resources appropriated from the South have been worth on average roughly a quarter of Northern GDP.

the North’s reliance on appropriation from the South has generally increased over the period (despite a significant drop after the global financial crisis), whereas the South’s losses as a share of total economic activity have generally decreased, particularly since 2003, due to an increase in South-South trading and higher domestic GDP creation or capture within the South, both driven largely by China

Aid flows create the powerful impression that rich countries give benevolently to poorer countries. But the data on drain through unequal exchange raises significant questions about this narrative.

net appropriation by DAC countries through unequal exchange from 1990 to 2015 outstripped their aid disbursements over the same period by a factor of almost 80

for every dollar of aid that donors give, they appropriate resources worth 80 dollars through unequal exchange. From the perspective of aid recipients, for every dollar they receive in aid they lose resources worth 30 dollars through drain

The dominant narrative of international development holds that poor countries are poor because of their own internal failings and are therefore in need of assistance. But the empirical evidence on unequal exchange demonstrates that poor countries are poor in large part because they are exploited within the global economy and are therefore in need of justice. These results indicate that combating the deleterious effects of unequal exchange by making the global economy fairer and more equitable would be much more effective, in terms of development, than charity.

In an equitable world, the resource trade deficit that the North sustains in relation to the South would be financed with a parallel monetary trade deficit. But in reality, the monetary trade deficit is very small, equivalent to only about 1% of global trade revenues, and fluctuates between North and South. In effect, this means that the North achieves its large net appropriation of resources and labour from the South gratis.

The question of sectoral disparities has been moot since the 1980s, however, as industrial production has shifted overwhelmingly to the South. The majority of Southern exports (70%) consist of manufactured goods (data from UNCTAD; see Smith, 2016). Of all the manufactured goods that the USA imports, 60% are produced in developing countries. For Japan it is 70%. We can see this pattern reflected also in the industrial workforce. As of 2010, at least 79% of the world’s industrial workers live in the South (data from the ILO; see Smith, 2016). This shift is due in large part to the rise of global commodity chains, which now constitute 70% of international trade. Between 1995 and 2013, there has been an increase of 157 million jobs related to global commodity chains, and an estimated 116 million of them are concentrated in the South, predominantly in the export manufacturing sector (ILO, 2015). In other words, during the period we analyse in this paper (1990–2015), the South has contributed the majority of the world’s industrial production, including high-technology production such as computers and cars. And yet price inequalities remain entrenched.

if Northern states or firms leverage monopoly power within global commodity chains to depress the prices of imports and increase the prices of final products, their labour “productivity” appears to improve, and that of their counterparts declines, even if the underlying production process remains unchanged. Indeed, empirical evidence indicates that real productivity differences between workers are minimal, and cannot explain wage inequalities (Hunter et al., 1990).

wage inequalities exist not because Southern workers are less productive but because they are more intensively exploited, and often subject to rigid systems of labour control and discipline designed to maximize extraction (Suwandi et al., 2019). Indeed, this is a major reason why Northern firms offshore production to the South in the first place: because labour is cheaper per unit of physical output (Goldman, 2012).

the terminology of “value-added” is a misnomer. In international trade, TiVA does not tell us who adds more value but rather who has more power to command prices. And in the case of global commodity chains, TiVA does not indicate where value is produced but rather where it is captured (Smith, 2016).

our analysis reveals that value in global commodity chains is disproportionately produced by the South, but disproportionately captured by the North (as GDP). Value captured in this manner is misleadingly attributed to Northern economic activities

rich countries are able to maintain price inequalities simply by virtue of being rich. This finding supports longstanding claims by political economists that, all else being equal, price inequalities are an artefact of power. Just as in a national economy wage rates are an artefact of the relative bargaining power of labour vis-à-vis capital, so too in international trade prices are an artefact of the relative bargaining power of national economies and corporate actors vis-à-vis their trading partners and suppliers. Countries that grew rich during the colonial period are now able to leverage their economic dominance to depress the costs of labour and resources extracted from the South. In other words, the North “finances” net appropriation from the South not with money, but rather by maintaining the prices of Southern resources and labour below the global average level.

Patents play a key role here: 97% of all patents are held by corporations in high-income countries (Chang, 2008:141)

In some cases, patents involve forcing people in the South to pay for access to resources they might otherwise have obtained much more affordably, or even for free (Shiva, 2001, Shiva, 2016).

In the World Bank and the IMF, Northern states hold a majority of votes (and the US holds a veto), thus giving them control over key economic policy decisions. In the World Trade Organization (which controls tariffs, subsidies, and patents), bargaining power is determined by market size, enabling high-income nations to set trade rules in their own interests.

ubsidized agricultural exports from the North undermine subsistence economies in the South and contribute to dispossession and unemployment, placing downward pressure on wages. Militarized borders preclude easy migration from South to North, thus preventing wage convergence. Moreover, structural adjustment programs (SAPs) imposed by the World Bank and IMF since the 1980s have cut public sector salaries and employment, rolled back labour rights, curtailed unions, and gutted environmental regulations (Khor, 1995, Petras and Veltmeyer, 2002).

SAPs, bilateral free trade agreements, and the World Trade Organization have forced global South governments to remove tariffs, subsidies and other protections for infant industries. This prevents governments from attempting import substitution, which would improve their export prices and drive Northern prices down. Tax evasion and illicit financial flows out of the South (which total more than $1 trillion per year) drain resources that might otherwise be reinvested domestically, or which governments might otherwise use to build national industries. This problem is compounded by external debt service obligations, which drain government revenue and require obeisance to economic policies dictated by creditors (Hickel, 2017). In addition, structural dependence on foreign investors and access to Northern markets forces Southern governments and firms to compete with one another by cutting wages and resource prices in a race to the bottom.

structural power imbalances in the world economy ensure that labour and resources in the South remain cheap and accessible to international capital, while Northern exports enjoy comparatively higher prices

Cheap labour and raw materials in the global South are not “naturally” cheap, as if their cheapness was written in the stars. They are actively cheapened

the analysis obscures class and geographic inequalities within countries and regions, which are significant when it comes to labour prices as well as resource consumption. The high levels of resource consumption that characterize Northern economies are driven disproportionately by rich individuals and affluent areas, as well as by corporations that control supply chains, and enabled by internal patterns of exploitation and unequal exchange in addition to drain through trade (Harvey, 2005). For example, there are marginalized regions of the United States that serve as an “internal periphery” (Wishart, 2014). It would also be useful to explore the gender dynamics of unequal exchange within countries. These questions cannot be answered with our data, however.

This research confirms that the “advanced economies” of the global North rely on a large net appropriation of resources and labour from the global South, extracted through induced price differentials in international trade. By combining insights from the classical literature on unequal exchange with contemporary insights about global commodity chains and new methods for quantifying the physical scale of embodied resource transfers, we are able to develop a novel approach to estimating the scale and value of resource drain from the global South. Our results show that, when measured in Northern prices, the drain amounted to $10.8 trillion in 2015, and $242 trillion over the period from 1990 to 2015 – a significant windfall for the North, equivalent to a quarter of Northern GDP. Meanwhile, the South’s losses through unequal exchange outstrip their total aid receipts over the period by a factor of 30.

support contemporary demands for reparations for ecological debt, as articulated by environmental justice movements and by the G77

True repair requires permanently ending the unequal distribution of environmental goods and burdens between the global North and global South, restoring damaged ecosystems, and shifting to a regenerative economic system.

It is clear that official development assistance is not a meaningful solution to global poverty and inequality; nor is the claim that global South countries need more economic liberalisation and export-oriented market integration. The core problem is that low- and middle-income countries are integrated into the global economy on fundamentally unequal terms. Rectifying this problem is critical to ensuring that global South countries have the financial, physical and human resources they need to improve social outcomes.

democratize the institutions of global economic governance, such as the World Bank, IMF and WTO, so that global South countries have more control over trade and finance policy.

end the North’s use of unfair subsidies for agricultural exports, and remove structural adjustment conditions on international finance, which would help mitigate downward pressure on wages and resource prices in the South while at the same time enabling Southern countries to build sovereign industrial capacity

a global living wage system, and a global system of environmental regulations, would effectively put a floor on labour and resource prices

Reducing North-South price differentials would in turn reduce the scale of the North’s net resource appropriation from the South (in other words, it would reduce ecologically unequal exchange), thus reducing excess consumption in the North and the ecological impacts that it inflicts on the South.

Structural transformation will only be achieved through political struggle from below, including by the anti-colonial and environmental justice movements that continue to fight against imperialism today

In chapter 7 of Imperialism, the Highest Stage of Capitalism, Lenin defined the five “basic features” of imperialism: (1) the concentration of production and capital developed to such a high stage that it created monopolies which play a decisive role in economic life; (2) the merging of banking capital with industrial capital, and the creation, on the basis of this “finance capital,” of a financial oligarchy; (3) the export of capital as distinguished from the export of commodities acquires exceptional importance; (4) the formation of international monopolist capitalist associations which share the world among themselves, and (5) the territorial division of the whole world among the biggest capitalist powers is completed.8

Marxist theories of imperialism (or concepts of imperialism inspired by the Marxist tradition) that evolved after the mid–twentieth century typically defined imperialism as a relationship of economic exploitation leading to unequal distribution of wealth and power on a global scale.9

In chapter 8 of Imperialism, Lenin further argued that export of capital was “one of the most essential bases of imperialism” because it allowed the imperialist countries to “live by exploiting the labour of several overseas countries and colonies.” The superprofits exploited from the colonies in turn could be used to buy off the “upper stratum” of the working class who would become the social base of opportunism in the working-class movement: “Imperialism means the partition of the world, and the exploitation of other countries besides China, which means high monopoly profits for a handful of very rich countries, creating the economic possibility of corrupting the upper strata of the proletariat.”14

imperialism must be a system where a small minority of the world population exploits the great majority. It cannot possibly be a system in which the majority exploits the minority.

From 2004 to 2018, China’s total foreign assets increased from $929 billion to $7.32 trillion. During the same period, China’s total foreign liabilities (that is, total foreign investment in China) increased from $693 billion to $5.19 trillion.16 This means China had a net investment position of $2.13 trillion at the end of 2018. That is, China has not only accumulated trillions of dollars of overseas assets but also become a large net creditor in the global capital market. This seems to support the argument that China is now exporting massive amounts of capital and therefore qualifies as an imperialist country.

Rather than “exploiting” the developed capitalist countries, such capital flight in fact transfers resources from China to the core of the capitalist world system.

while foreign investment in China is dominated by direct investment, an investment form consistent with the foreign capitalist attempt to exploit China’s cheap labor and natural resources, reserve assets account for the largest component of China’s overseas assets.

the United States and other developed capitalist countries simply do not have the production capacity to produce within a reasonable period of time the extra goods and services that may correspond to the more than three trillion dollars of foreign exchange reserves held by China

From the U.S. point of view, China’s accumulation of foreign exchange reserves (mostly in dollar-denominated assets) has essentially allowed it to “purchase” trillions of dollars’ worth of Chinese goods largely by printing money without providing any material goods in return. China’s reserve assets, rather than being a part of China’s imperialist wealth, essentially constitute China’s informal tribute to U.S. imperialism by paying for the latter’s “seigniorage privilege.”

An average rate of return of about 3 percent on China’s overseas investment obviously does not constitute “superprofits.” Moreover, foreign capitalists in China are able to make about twice as much profit as Chinese capital can make in the rest of the world on a given amount of investment.

China’s total stock of direct investment abroad in 2017 was $1.81 trillion, including $1.14 trillion invested in Asia (63 percent), $43 billion invested in Africa (2.4 percent), $111 billion invested in Europe (6.1 percent), $387 billion invested in Latin America and the Caribbean (21 percent), $87 billion invested in North America (4.8 percent), and $42 billion invested in Australia and New Zealand (2.3 percent).

China’s massive investments in Hong Kong, Macao, Singapore, Cayman Islands, and British Virgin Islands (altogether $1.41 trillion or 78 percent of China’s direct investment abroad) are obviously not intended to exploit abundant natural resources or labor in these cities or islands.

Much of the Chinese investment in these places may simply have to do with money laundering and capital flight

the structure of China’s overseas assets is very different from the structure of foreign assets in China. Out of China’s total overseas assets in 2018, 43 percent consists of reserve assets, 26 percent is direct investment abroad, 7 percent is portfolio investment abroad, and 24 percent is other investment (currency and deposits, loans, trade credits, and so on). By comparison, out of total foreign investment in China in 2018, 53 percent is foreign direct investment, 21 percent is foreign portfolio investment, and 26 percent is other investment.

about $158 billion (8.7 percent of China’s total stock of direct investment abroad or 2.2 percent of China’s total overseas assets) invested in Africa, Latin America, and the rest of Asia. This part of Chinese investment no doubt exploits the peoples in Asia, Africa, and Latin America of their labor and natural resources. But it is a small fraction of China’s total overseas investment and an almost negligible part of the enormous total wealth that Chinese capitalists have accumulated

Marxist theorists of imperialism already realized that, in the postcolonial era, imperial exploitation of underdeveloped countries mainly took the form of unequal exchange. That is, underdeveloped countries (peripheral capitalist countries) typically export commodities that embody comparatively more labor than the labor embodied in commodities exported by developed capitalist countries (imperialist countries). In the twenty-first century, global outsourcing by transnational corporations based on the massive wage differentials between workers in imperialist and peripheral countries may be seen as a special form of unequal exchange.22

if a country receives substantially more surplus value from the rest of the world than it transfers, then the country clearly qualifies as an imperialist country in the sense of being an exploiter country in the capitalist world system. On the other hand, if a country transfers substantially more surplus value to the imperialist countries than it receives from the transfer of the rest of the world, the country would be either a peripheral or a semi-peripheral member of the capitalist world system (depending on further study of the country’s position relative to other peripheral and semi-peripheral countries).

even if in the unlikely event that China turns out to be extremely successful in its effort to promote electric cars, it would at best replace no more than one-tenth of China’s current oil consumption.

Being a leading imperialist country, the United States benefits from its “seigniorage privilege.” Because of the other countries’ need to hold massive amounts of foreign exchange reserves in the form of dollar-denominated assets, the United States can “purchase” trillions of dollars of goods simply by printing money without providing material goods in return. The labor embodied in the U.S. “trade deficits” therefore should be treated essentially as unilateral transfers from the rest of the world and included in the unequal exchange.

Sources: “World Development Indicators,” World Bank, accessed May 31, 2021. Net labor transfer is defined as the difference between the total labor embodied in a country’s imported goods and services and the total labor embodied in the country’s exported goods and services. If the difference is positive, it constitutes a net labor gain; if negative, it constitutes a net labor loss.

in the neoliberal era, Chinese capitalism has functioned as a crucial pillar for the global capitalist economy by transferring surplus value produced by tens of millions of workers to the imperialist countries. At its peak, China’s net labor loss equaled 48 percent of China’s industrial labor force in 2007

Had there not been unequal exchange, the massive amounts of material goods currently supplied to the United States by the rest of the world would have to be produced through domestic production to maintain existing levels of U.S. material consumption. About sixty million workers (38 percent of the total U.S. labor force) would have to be withdrawn from service sectors and transferred to material production sectors. This would result in a massive reduction of services output (by about two-fifths of U.S. GDP) without raising levels of material consumption.

By 2015–17, while it would still take about five units of Chinese labor to exchange for one unit of U.S. labor and four units of Chinese labor to exchange for one unit of labor from other high-income countries, China had clearly established exploitative positions in South Asia and sub-Saharan Africa. One unit of Chinese labor can now be exchanged for about two units of labor from sub-Saharan Africa or four units of labor from South Asia. One unit of Chinese labor is roughly on a par with one unit of labor from the low- and middle-income countries of Latin America, Caribbean, Middle East, North Africa, Eastern Europe, and Central Asia. In addition, China has also established a significant advantage relative to other East Asian low- and middle-income countries.

The core countries specialize in quasi-monopolistic, high-profit production processes, and the peripheral countries specialize in highly competitive, low-profit production processes. Surplus value is transferred from the peripheral producers to the core producers, resulting in unequal exchange and concentration of world wealth in the core. By comparison, semi-peripheral countries have “a relatively even mix” of core-like and periphery-like production processes.23

From 1870 to 1970, the share of the world population that lived in countries with per capita GDP greater than 75 percent of the imperial standard varied between 10 percent (in 1950) and 17 percent (in 1913). This is a range consistent with the population share of “a handful of exceptionally rich and powerful states” suggested by Lenin.

reasonable to use 75 percent of the imperial standard as the approximate threshold between the core of the capitalist world system and the semi-periphery. It is important to note that this is only an approximate threshold and other important characteristics (such as state strength, degree of political and economic independence, technological sophistication, and so on) also need to be considered when deciding whether a country is a member of the core or simply has a core-like income level. For example, in 1970, among the wealthiest countries were rich oil exporters such as Qatar, Kuwait, United Arab Emirates, and Venezuela that clearly do not qualify as core countries.

From 1870 to 1970, the share of the world population that lived in countries with per capita GDP less than 25 percent of the imperial standard increased from 57 percent to 66 percent, suggesting widening global inequalities. I use 25 percent of the imperial standard as the approximate threshold between the periphery and the semi-periphery.

by 2017, as China’s per capita GDP advanced to 31 percent of the imperial standard, the structure of world income distribution was radically transformed. The share of the population that lived in countries with per capita GDP less than 25 percent of the imperial standard fell to 50 percent (the lowest since 1870). The share of the population that lived in countries with per capita GDP higher than 75 percent of the imperial standard narrowed to 12 percent. At the same time, the share of the population that lived in countries with per capita GDP between 25 and 75 percent of the imperial standard expanded to 38 percent (almost double the historical semi-peripheral share of the world population).

Neither capitalism nor imperialism is compatible with an arrangement where the majority of the world population exploits the minority, or even with a situation where a large minority exploits the rest of the world. Given the size of the Chinese population (almost one-fifth of the world population), if China were to advance into the core, the total core population would have to rise to about one-third of the world population. Can the rest of the world afford to provide sufficient surplus value (in the form of labor embodied in commodities) as well as energy resources to support such a top-heavy capitalist world system?

South Asia has recently overtaken China to become the largest source of net labor transfer in the global capitalist economy. In 2017, South Asia suffered a net labor loss of 65 million worker-years. All the low- and middle-income countries combined provided a total net labor transfer of 184 million worker-years in 2017

Assuming that China’s average labor terms of trade rises from the current level of about 0.5 (one unit of Chinese labor exchanges for about half of a unit of foreign labor) to about 2 (one unit of Chinese labor exchanges for about two units of foreign labor, similar to the current average labor terms of trade of the non-U.S. high-income countries), then the total labor embodied in China’s imported goods and services would have to rise to about 180 million worker-years. Rather than providing a net labor transfer of nearly 50 million worker-years, China will have to extract 90 million worker-years from the rest of the world. The total shift of 140 million worker-years represents about three-quarters of the total surplus value currently received by the core and the upper-level semi-periphery from the rest of the world and is roughly comparable to the total net labor transfer currently provided by all the low- and middle-income countries (excluding China).

to replace China’s current annual car production by electric vehicles would require the consumption of 120,000 metric tons of lithium annually. World total lithium production in 2018 was only 62,000 metric tons. Therefore, even if China uses up the entire world’s lithium production, it would only be sufficient to replace about one-half of China’s conventional car production.27

China was a typical peripheral country in the 1990s. In the early 1990s, China’s labor terms of trade was about 0.05. That is, one unit of foreign labor could be exchanged for about twenty units of Chinese labor. Since then, China’s labor terms of trade has improved dramatically. By 2016–17, China’s labor terms of trade rose to about 0.5. That is, two units of Chinese labor could be exchanged for about one unit of foreign labor. On balance, China remains an economy exploited by the imperialist countries in the capitalist world system, although the degree of exploitation has declined rapidly in recent years.

The world population in 2018 was 7.59 billion. Using the more generous 1.4 trillion metric tons as the global emissions budget for the rest of the twenty-first century, an average person in the future is entitled to an average annual emissions budget of about 2.3 metric tons per person per year (1.4 trillion metric tons / 80 years / 7.6 billion people). By comparison, China’s per capita carbon dioxide emissions in 2018 were 6.77 metric tons and the U.S. per capita carbon dioxide emissions were 15.73 metric tons.

From 1990 to 2013, China’s per capita carbon dioxide emissions surged from 2.05 metric tons to 6.81 metric tons. If this trend were to continue, China’s per capita carbon dioxide emissions would rise to 12.85 metric tons when China’s per capita GDP rises to $37,734 (75 percent of the imperial standard). If every person in the world were to generate this level of emissions every year between now and the end of the century, global cumulative emissions over the last eight decades of this century would amount to 7.8 trillion metric tons, leading to 5.5 degrees Celsius of additional warming (using the approximate calculation that every one trillion tons of carbon dioxide emissions would bring about 0.7 degrees Celsius of additional warming).

China’s current per capita carbon dioxide emissions are substantially above what would be predicted by the cross-country regression given China’s current income level. Using the cross-country regression, if China’s per capita GDP were to rise to $37,734, China’s per capita carbon dioxide emissions should be 8.67 metric tons. If every person in the world were to generate emissions of 8.67 tons every year between now and the end of the century, global cumulative emissions over the last eight decades of this century would amount to 5.3 trillion metric tons, leading to 3.7 degrees Celsius of additional warming. As the global average temperature is already about one degree Celsius higher than the preindustrial level, global warming by the end of the century would be 4.7 degrees Celsius. This will lead to inevitable runaway global warming and reduce the areas suitable for human inhabitation to a small fraction of the earth’s land surface.

In other words, climate stabilization and global ecological sustainability can be accomplished if every country either accepts a massive reduction of per capita income to peripheral levels or stays with the peripheral levels.

The currently available evidence does not support the argument that China has become an imperialist country in the sense that China belongs to the privileged small minority that exploits the great majority of the world population. On the whole, China continues to have an exploited position in the global capitalist division of labor and transfers more surplus value to the core (historical imperialist countries) than it receives from the periphery. However, China’s per capita GDP has risen to levels substantially above the peripheral income levels and, in term of international labor transfer flows, China has established exploitative relations with nearly half of the world population (including Africa, South Asia, and parts of East Asia). Therefore, China is best considered a semi-peripheral country in the capitalist world system.

Given its enormous population, there is no way for China to become a core country without dramatically expanding the population share of the wealthy top layer of the world system. The implied labor extraction (or transfer of surplus value) demanded from the rest of the world would be so large that it is unlikely to be met by the remaining periphery reduced in population size. Moreover, the required energy resources (especially oil) associated with China’s expected core status cannot be realistically satisfied from either future growth of world oil production or conceivable technical change. In the unlikely event that China does advance into the core, the associated greenhouse gas emissions will contribute to rapid exhaustion of the world’s remaining emissions budget, making global warming by less than two degrees Celsius all but impossible.

The end result of norms of dehumanization and domination was a that a tiny elite of genuinely terrible people came to oppress even the people who’d been yesterday’s oppressors

the very norms of domination and dehumanization that had once been used to oppress blacks and natives and dirt poor whites, then, had come to be used as weapons of self-destruction even against the very people who they’d once existed to serve — middle class and even rich whites

It became perfectly OK, for example, to raid pensions, to work people 80 hours a week, to never pay them more, to prey on white women, too, to abuse and hurt people, to treat even that once relatively affluent white person like just another disposable commodity in the machine — not as a human being. It’s true that minorities always suffered most, of course — but it’s truer to say that such norms made it impossible for a society to really mature or develop at all, because now they were being used by a tiny elite to oppress more or less everyone else.

Norms of domination and dehumanization had created a society which was one great arena in which everyone competed to slaughter everyone else — a mechanism for sorting and winnowing the most domineering and inhuman. Over time, those people became even more savage, shameless, and selfish. Until, at last, America was led by the champions of such norms: people like Trump, Miller, and the rest. Everyday obscenity triumphed.

So here America is. Dehumanization and domination are the things it has invested in, cherished, cultivated, tended, and prized most. That is how a society ends up with crowdfunded healthcare, school shootings, a head of state who uses slurs, neo Nazis in office — and nobody, seemingly, with the power to do much, if anything, about it.

Economic power, location, and access to resources determine how communities can respond to climate impacts. But these factors are shaped by existing global injustices: the history of slavery, colonialism, and imperialism that enriched some countries at the expense of others. Global warming has exacerbated these inequalities, and the climate crisis will lead to new divisions between those who can mitigate its impact and those who cannot.

The climate crisis is the result of the relentless pursuit of private interests by both multinational corporations and powerful countries: Fossil fuel companies seek profit, governments seek energy security, and private investors seek financial security. These pursuits have contributed to the campaigns of climate denialism that have slowed the international response to climate crisis, and that continue to fuel resource and land grabbing in many parts of Africa, Latin America, and Asia.

when short-term shareholder value faces off against the public good—and it often does—the former tends to win out. This mismatch of incentives is itself a fundamental cause of the climate crisis

When refugee flows from non-European countries increased in the second half of the 20th century, many Western powers shifted policy. While some refugees were accepted and resettled, many others were warehoused, detained, or subject to refoulement—forcible return—in violation of the U.N. Convention and Protocol Relating to the Status of Refugees.

In the context of the climate crisis, the West is responsible for more than secondary harms experienced within the international refugee regime. A reparatory approach seeks to understand which harms were committed and how through structural change, those harms can be addressed. A historically informed response to climate migration would force Western states to grapple with their role in creating the climate crisis and rendering parts of the world uninhabitable.

The United Nations High Commission for Refugees (UNHCR) has so far refused to grant refugee status—and the protection that comes with it—to the 21.5 million people fleeing their homes as a result of sudden onset weather hazards every year, instead designating them as “environmental migrants.”

climate reparations are better understood as a systemic approach to redistributing resources and changing policies and institutions that have perpetuated harm—rather than a discrete exchange of money or of apologies for past wrongdoing

two distinct but interconnected issues: climate change mitigation, which would aim to minimize displacement; and just climate migration policy, which would respond to the displacement that governments have failed to prevent

to mitigate climate change effectively and fairly, the international community needs to broadly redistribute funds across states to respond to inequalities in resilience capacity and the unjust system underpinning them

A reparatory approach to the climate crisis would require an overhaul of the existing international refugee regime. With this approach, the international community would reject the framing of refugee policy as rescue and rethink the framework that allows states to confine refugees in camps with international approval

The continuation of this status quo will make climate colonialism a near certainty, especially considering recent responses to migration in Europe, Australia, and the United States. Rich Western countries have already responded punitively to migration, holding thousands of migrants in detention centers under horrific conditions and responding with indifference or violence to attempted suicides and protests by the incarcerated for better treatment. Since 2015, European countries have reacted aggressively to the plight of asylum seekers; there is no indication that their response to climate refugees would be any more humane.

A failure to admit more refugees will accelerate the worst political effects of the climate crisis: fueling the transition of eco-fascism from fringe extremism to ruling ideology. The recognition of rights to movement and resettlement, and a steady liberalization of rich-country border policies fit under a reparatory framework, especially when paired with more sensible mitigation policies. However extreme this renegotiation of state sovereignty and citizenship may seem, it’s nowhere near as extreme as the logical conclusion of the status quo’s violent alternative: mass famine, region-scale armed conflict, and widespread displacement.

a wide array of initiatives have emerged as a direct response to China’s Belt and Road to undermine and dilute China’s infrastructural prowess: the U.S. International Finance and Development Corporation, the EU’s “Asia Connectivity Initiative,” the EU-Japan “Partnership on Sustainable Connectivity and Quality Infrastructure,” the U.S.-Japan-Australia “Blue Dot Network,” the India-Japan “connectivity corridors” and myriad other coalitions. None of these existed even three years ago. Roads have always been the pathways of conquest; now they are the battlefield of competitive connectivity. 

in dozens of visits to Beijing, I have found my interlocutors unable to grasp this basic psychological fact. While many societies admire China’s success and are grateful for China’s role in their development, none want to be like China, nor be subservient to it. It’s an argument that’s fallen on deaf ears in Washington, too. And as with America’s experience of benevolent nation-building, China’s policy of intimidating neighbors into feebly muting their own interests has predictably backfired

Bogging down the adversary while moving stealthily towards one’s objective has been an axiom of Chinese diplomacy for generations. But there is little stealth anymore in China’s land grabs, island-building and wolf-warrior diplomacy

With China’s suppression of information about the coronavirus painting it into a corner, Beijing no longer feels it has anything to lose and is going for broke: moving on Taiwan, Hong Kong, the Senkaku Islands, India’s borders and other disputes while the rest of the world is off-kilter, girding itself for a new Cold War with America. China’s leadership has convinced itself that West-leaning powers seek to encircle it militarily, splinter it internally and destabilize the Communist Party. This is the classical psychological spiral at the heart of any security dilemma in which each action taken by one side elevates the perceived insecurity of the other. 

A repeat of the Cold War would surely not play out as favorably for the U.S. as the last one. America is politically polarized and is the world’s largest debtor nation. Its most recent major wars have been disasters and its military needs time to rebuild and adjust to new adversaries and tactics. And many of its erstwhile allies from Europe to Asia are far more vested in China than America is and don’t trust it to lead a consensus-based global coalition.

What the U.S. and Europe do have in their favor is that they are territorially secure while China is not. China has 14 neighbors, all of which harbor deep suspicions of its motives even as many (especially Russia) cooperate with it.

American strategists have been far more fixated on China’s presence in Africa and South America rather than developing a comprehensive strategy for reassuring China’s neighbors and supporting their own efforts to stand up to it.

Despite the immense economic leverage China has accrued vis-a-vis the many states along its perimeter, it is the complexity of having so many neighbors that constrains China more than its increasingly sophisticated military arsenal suggests. Maintaining global influence is much harder when you are fighting a 14-front war in your own neighborhood. 

From Malabar to Pearl Harbor, the U.S., Japan, Australia, India and numerous other countries have been deepening their coordination in the Indo-Pacific maritime domain. The “quad” coalition features joint strategic patrols and hardware support for the navies of Vietnam, the Philippines and Indonesia in the South China Sea. This summer, ASEAN foreign ministers finally graduated from their usually limp communiques watered down by Chinese pressure and reaffirmed that the U.N. Convention on the Law of the Sea must be the basis for arbitrating maritime disputes. 

Boundary agreements are rarely perceived as fair by both sides, yet such settlements have the virtue of enabling counties to mature towards functional cooperation.  

Precisely because the U.S. and EU have imposed such stiff restrictions on Chinese investment, China has redirected its outbound capital portfolio ever more towards its more proximate Asian domain. And in the wake of the COVID-19 crisis, once fast-growing countries face capital outflows and weak global demand amid ruptured supply chains. The West may be squeezing China out of some markets, but China’s balloon is inflating across Asia as it lowers tariffs on all its Belt and Road trading partners

Laos and Cambodia, two of Asia’s poorest countries, have become all but wholly owned subsidiaries of China, even as China’s Mekong River dams have ravaged their agriculture through volatile water flows and chemical pesticides. With stronger technical and diplomatic assistance, these countries could demand that Chinese investments reinforce their sustainability and local businesses. 

It was always going to be an uphill battle for China to be perceived as a benevolent superpower. Unlike America or the European Union, China is wholly unconvincing as a multiethnic empire. It systematically squelches diverse identities rather than elevating them. Furthermore, though China is an ancient and rich civilization, it coexists with other Asian civilizations with equally respectable glory. None will ever bow to the others, as Japan learned the hard way in the 20th century. Every time China gains an inch of territory, it loses a yard of credibility. The essence of geopolitical stability is equilibrium, and the pathway to it follows the logic of reciprocity. 

China’s assertiveness signals neither an inevitable new Cold War nor a new unipolar hegemony. Rather, it is one phase in Asia’s collective story and the global shift towards multipolarity.

Never has Eurasia been ruled by a single hegemon. The Mongols came closest 700 years ago, but the 14th-century Black Death fractured its disparate khanates, and the Silk Road fell idle. Today again, a pandemic has emerged from China, but rather than shut down the Silk Road, we should build many more of them among dozens of Eurasian nations rather than in and out of China alone. All roads need not lead to Beijing.

The Osage Nation itself owns 3.5% of the historic reservation.

policies by the US government, which owed a fiduciary duty to the Osage people, frequently undercut that promise. Congress capped how much of their own money Osages could access, courts appointed White men to oversee Osage financial affairs, and US politicians undermined Osage leadership. Over generations, this shifted power — and money — from the Osage Nation to White settlers.

Tens of thousands of Africans also went to Russia during Soviet times, most to study at universities. Thousands have stayed, including some more recent arrivals. Most stay because they fear for their safety in their home country, for instance if there is a war, while others stay for economic reasons

The cruel irony in the Ethiopians' plight is that hundreds of thousands of Kyrgyz people forced to travel to Russia in search of work themselves face frequent verbal and physical abuse at the hands of racists.

Companies aren't hiring because there's no demand. There's no demand because companies aren't hiring. So much for the magic of the marketplace. Corporations are hoarding so much cash - cash that could drive recovery if it were invested in expanded and new lines of business - that even banks don't want it anymore. Bank of New York Mellon Corp. took the extraordinary step of charging a fee on deposits of amounts over $50m. "Since the beginning of the year, US bank holdings of cash are up 83 per cent, or $890bn, to $1.98tn," reports The Wall Street Journal. Banks have more money than they know what to do with. "Consumer loans, by contrast, have grown 0.2 per cent, or $1.7bn."

material values are only for the rich. The poor should get religion, etc. Marx understood the issue

Surprised it is from a City firm, especially one that encouraged its employees to leave the UK to avoid the 50% tax on bankers bonuses in 2009/2010. Now they are calling for more public investment

Blimey! What a terrible shock. Looting the result of consumerism, excessive advertising and a me-me-me society! I wouldn't have been able to work that out for myself. Two and a half cheers for Thatcher's 'There is no such thing as society. There are individuals and there are families.' So, we are now reaping the benefits of the legacy of the Thatcher/Reagan years. But how do we reverse a whole generation's worth of incredible greed, selfishness and vaingloriousness?

The full note isn't about the riots, it's more some ideas for reforming the UK economy. Ideas like investment to create assets rather than creating asset price inflation are valid, the same for the need for widespread public investment in infrastructure and housing.It's all useful for discussion, reflection and analysis but I expect the messenger to get shot to pieces in the comments below.

it has often struck me as ironic that on a planet of presently limited usable resources the measure of individual success is the one who can afford to consume the most. if a group of people were shut in a room with a finite supply of food and a choice of who stayed in the room i imagine that the individuals who were able to consume the least would be the preferred choice of companions.

The overall pattern has been that an over-consuming West has borrowed and spent the surpluses of the increasingly productive and under-consuming East.Increasingly productive East because Western CEO's have shifted production there to take advantage of cheap labour for short term profit.The West took centuries to build its wealth but this wealth has been given away in only a couple of decades by the process of globalisation. So far, the CEO's of big organisations have got away without being blamed for the disastrous globalisation process but I hope if we're going to examine causes of social malaise, that sooner rather than later, we turn the spotlight on their incredibly short term personal 'cashing in' at the expense of us all.

One of the most worrying aspects of new trade deals is the likely inclusion of an investor-state dispute settlement (ISDS) system, or similar provisions, that allow corporations to sue countries for alleged ‘discriminatory’ practices that hamper their activities or profits.

“A free trade area between Britain, a largely developed country and Africa, a poor continent, was always going to exacerbate inequalities, trade deficits, and the dependency of the latter on the former. ‘Free trade’ is really just the name given to the ideology that justifies this power imbalance,” wrote Africa Kiiza of the Southern and Eastern African Trade Information and Negotiations Institute (SEATINI) last year.

“These mechanisms under free trade agreements will give more implications not only for the state policies in our countries, but also the sovereignty of the people themselves,” said Hertani. “The people cannot sue the investors. If there are human rights violations, there have been are several cases where the people lost. We never win against the multinational corporations.”

Countries like Indonesia, and many others in the global south, are rich in natural resources. Multinational companies have been plundering them to the detriment of people and the environment for generations and new trade deals could make it even easier for them to do this.

Inequality is getting worse, as highlighted in the recent United Nations Conference on Trade and Development Trade and Development report. They point at debt – which is more than three times the size of global output – as symbolic of this.

“This mantra of free trade has been really central to the whole British empire, to the British imperial project, for a very long time now. It’s a very bloody history and I’m worried that the kind of Brexit envisaged by the likes of Boris Johnson, and indeed Liam Fox and Jacob Rees-Mogg, is precisely to replicate those kinds of relations which we’ve never completely got away from, but which could be made even worse after Brexit.”

Nature would serve as the canvas, the prize, and the victim of colonialist dreams

Nature narrates the colonial story, through its vast mines, its desecrated rivers, and emaciated territories

Colonies were arranged to maximize and facilitate extraction. Profit was the compass. French colonial planners divided ‘useful Africa’ from ‘useless Africa’ (8). Lands were surveyed, zoned, parcelled, and mapped. All these endeavours relied on a narrative of emptiness, of nothingness.

vacant fields, lands of nobody, terra nullius

The fiction of negation, and discovery, was used to justify the clearance of native habitats and inhabitants

In 1905, communities living in the German-controlled Tanganyika (now part of Tanzania) revolted against policy forcing them to grow cotton for export. In response, as historian John Reader recalls: ‘three columns advanced through the region, pursuing a scorched earth policy – creating famine. People were forced from their homes, villages were burned to the ground; food crops that could not be taken way or given to loyal groups were destroyed’ (11). Around 300,000 people would perish.

Communal water management techniques were replaced with enormous works of engineering and state regulation

Traditional pastoralist practices were framed as outdated, damaging and ineffective. French July Monarchy propagandists used Arab desertification of Algerian land as a justification for conquest: once in control, France would restore ecological order and change the climate

Perhaps the most destructive agrarian practice involved sugar

In the Americas, millions of hectares were stripped of forest life and burned to allow for massive cane plantations, accelerating soil erosion. In the West Indies and Guyana, rainforests were demolished to make way for sugarcane cultivation. Haiti, whose name means ‘green island’ in Arawak, was stripped of trees

The logic of sugar’s monoculture was applied to a variety of commodities. The peripheries of the Amazon were cleared for coffee plantations. Using forced labour, Southeast Asia, southern Colombia and the Congo were deforested and converted into rubber plantations. Burma and Thailand saw their forests turned to mass ricefields, while Indian ecosystems were felled to make way cotton plantations.

soils were exhausted and made sterile, degraded by deforestation and monoculture

As historian Corey Ross recalls: ‘One of the recurring themes in the history of plantations is the perennial cycle of boom and bust. Whether the crop is sugar, tobacco, or cotton, the basic pattern is often the same: an initial frenzy of clearing and planting is followed by either a precipitous collapse of production or a gradual process of creeping decline before eventually ending in soil exhaustion, abandonment, and relocation elsewhere’

Since there was always more land to conquer and acquire, sustainability was irrelevant. The model was simple: exhaust the land, abandon it and clear new land

From territory to territory, life was swept away. Entire animal species were decimated through overhunting. The demand from European elites for fine furs drove hunters and trappers into Siberia and the Americas, carving open new frontiers. John Astor, founder of the American Fur Company, became the first multimillionaire in US history (21). Fishing fleets scoured the seas, slaughtering shoals. In less than 30 years, sea cows were harpooned into oblivion across the Bering Strait (22). Quaggas, thylacines, great auks, passenger pigeons, warrahs and hundreds of other species disappeared within decades. Industrial whaling, driven by demand for blubber, culled whales to the edge of extinction, removing all bowhead whales from the Beaufort Sea

The eradication and exploitation of nature was conjoined with the eradication and exploitation of peoples

In the colonial realm, nature and those deemed inferior enough to be part of it, had to be removed or put to work

The complex and its buildings vaguely recall a Southwest landmark frequently mistaken for the city of the future: Arcosanti, the architect Paolo Soleri’s 1970 “urban laboratory” nestled in the mountains north of Phoenix. It’s oddly fitting: Soleri imagined a sustainable desert utopia, as well as speculative space “arcologies”—self-sustaining architectural ecologies, delicately rendered as hypothetical asteroid-belt cities or prototype ships

The only spacecraft we see on the tour is a model of Virgin Galactic’s SpaceShipTwo, glimpsed from a distance in an otherwise empty hangar. Even the spacecraft isn’t real.

the name Spaceport America suggests theatrics. There are several commercial spaceports throughout the United States, some of which sport more activity and tenants. Most of Virgin Galactic’s testing has happened at the Mojave Air and Space Port; Virginia’s Mid-Atlantic Regional Spaceport recently signed on the SpaceX competitor Vector as a customer.Others, like Oklahoma’s Air and Space Port, seem to be even more like ghost towns than this one. But New Mexico’s gambit suggests we are at the spaceport of the nation. It doesn’t feel like the frontier of private space travel so much as a movie set.

Many promises for technologies of future urbanism start as desert prototypes

New Mexico examples tend to include slightly more dystopian rehearsals: Much of the state’s existing science and defense industries emerged from bringing Manhattan Project scientists to what, at the time, was the middle of nowhere to test nuclear weapons—essentially, to practice ending the world.

most of my fellow tourists take the premise of ubiquitous space travel to colonies on Mars as a fait accompli. I’m not sure why people in a desert would fantasize about going somewhere even harder to inhabit

Humanity dreams of going to space for many of the same reasons some people went to the desert: because it is there, because they hope to get rich extracting natural resources they find there, and because they suspect mysterious, new terrains can’t be any worse than the irredeemable wreckage of the landscape they’re leaving behind

believing in the inevitability of Mars colonies is maybe no less idealistic than believing in the Southwest itself

The romance and promise of the American West was built, in part, on federal land grants to private corporations that promised to bring boomtowns to places previously otherwise deemed uninhabitable wastelands. Cities rose and fell with the rerouting of railroads

To manifest destiny’s proponents, to doubt the inevitability of technological and social progress via the railroad was tantamount to doubting the will of God. Today, questioning the value of (mostly) privately funded space development likewise feels like doubting human progress

I wonder if the future always feels like rehearsal until it arrives, or if it is always rehearsal, only seeming like it has arrived when the run-through loses its novelty. Maybe all of the impatient skeptics will be proven wrong this year, and the future will finally arrive at Spaceport America. Here in the desert, a better future always seems to be right around the corner

starting at least around the time of Christ, the Bandas acted as a vital entrepot for trade in bird of paradise plumes and other luxuries from Papua to China and ports in between. The Bandanese were master navigators, whose knowledge of the paths to, and ties with locals in, the nodes at the ends of this network made them wealthy. By the time the Europeans arrived, they lived in autonomous villages, each run by by Orang Kaya, a Malay word meaning “rich men,” which competed with each other, often in federations, for trade power.

they quickly became the key port for the nutmeg trade, frequented by Chinese, Malay, Javanese, and (by the 15th century) Arabo-Persian merchants, whose accounts inspired European dreams of the spice islands

Bandanese-European conflict finally boiled over in 1621, after the Dutch forced the English to functionally abandoned their claims in the islands. Jan Pieterszoon Coen, the man in charge of Dutch East India Company operations in the region, decided to test out his theory that the nutmeg trade would be easier to control if the Dutch could clear out the Bandanese and replace them with Company-linked settlers. He found a pretext to attack Banda Besar, the largest island and a hotbed of resistance, with 1,600 Dutch troops, 80 Japanese mercenaries, and some regional slaves, the largest force (to our historical sources’ knowledge) ever seen in the region. Despite fierce resistance, they swarmed the island, cut deals with local defenders-turned-defectors, and took it within days. In response to subsequent guerilla strikes, Coen’s Japanese mercenaries beheaded and quartered 48 Orang Kaya who came to his stronghold to surrender, and displayed their body parts on bamboo sticks. His troops then scourged the islands, burning villages and enslaving almost 800 people, who were mostly sent to Batavia, a trade center on Java. Many Bandanese reportedly jumped off cliffs rather than surrender.

By the end of this Banda Besar campaign, Dutch records indicate that—out of a pre-conflict population of about 15,000 in the year 1500—only 1,000 to 2,000 Bandanese remained across all 11 islands.

Even after the Dutch took total control in the region, Bandanese trade networks remained vital to their local economies well into the 20th century. To this day, some people who claim Bandanese descent are still reportedly accorded a high social status in the region thanks to their historical role as high-powered, economically vital traders.

On Kei Besar, though, the biggest island in the Kei chain, just under 5,000 people in two villages, Elat and Eli, some of the best ports in the region, still speak the Bandanese Turwandan language, practice Bandanese Islam, make Bandanese pottery (a unique, valued trade good until well into the 1990s), trade along Bandanese networks, sing Bandanese songs, and sail regularly to the Bandas to affirm their heritage and perform rites. “When the Bandanese speak of colonial events” today, says Kaartinen, “they refuse to be cast as victims or refugees.”

Research by the Australian anthropologist Phillip Winn shows that most of the more than 18,000 people in the Bandas today acknowledge that they come from many different lands, but still believe that they are legitimately Bandanese. They perform rituals that they believe have roots in ancient Bandanese practices to affirm that identity, and speak of pre-colonial Bandanese history as their own.

In 1982, locals in the Bandas also took over the state-owned nutmeg growing enterprise, which still made up a major part of the local economy. They split the groves equally among local families, building collectives that buy from harvesters, then sell nutmeg on to external interests. This, speculates American anthropologist Amy Jordan, seems like a return to pre-colonial cultivation. If so, it is a compelling coda to an incredible history of ingenuity and resistance.

The great Victorian novelists, who were very much engaged with these developments, sensed that something was not quite right in the story. They noticed that capitalism was producing not just abundance and stability, but inequality, alienation and misery. Yet in criticizing the new system, they tended to accept and even buttress the separation of categories of experience insisted upon by social scientists. Thomas Carlyle’s famous condemnation of the “cash-payment” as “the sole nexus” of capitalism, for example, posited an economic realm as one in which ethical and religious values hold no sway.

in order for capitalism to work harmoniously in London, something of the religious sphere had to be added to the sauce. Dickens casts a woman, Lucie, as the person who takes the stink away from all the selfish business conducted by the men — a Victorian “angel in the house,” an emblem of all the non-utilitarian values that homo economicus supposedly had no use for. Lucie, like many other female characters in Victorian novels, is supremely compassionate and sacrifices for the greater good: she is homo communis

Dickens makes this female homo communis the servant of homo economicus, keeping his house and guiding his better nature. Like Mary’s role in the Catholic Church, she makes the official story of capitalism more palatable and helps conceal its failures

ideas of sacrifice and sacred values also come to play in theories of labor. Adam Smith described labor as “the most sacred and inviolable” form of property a person owned, positing it as a sacred source of the nation’s wealth, the pious foundation of the economic system itself: “We sacrifice ourselves in our labor in order to have the gift of ourselves in return,” he wrote in The Wealth of Nations. Labor is sacrificed, sacralized, and regenerated. British political economist David Ricardo, Mill, and Jevons followed him in describing a circular, gift-sacrifice economy embedded within the labor theory of value.

Late 19th century economist Alfred Marshall went so far as to invoke the concept of medieval chivalry to explain how modern economic systems should function. In “The Social Possibilities of Economic Chivalry,” he criticized contemporary accounts of the free market and described a middle path between government non-interference and a systemic welfare state, calling on a “spirit of chivalry” which could drive people to combine self-interest with self-sacrifice. This model would function to uphold the paternalistic administration required for the British Empire.

Market and non-market values always operate right alongside one another.

Clearly, the official story and what happens on the ground don’t match: Lots of people work hard but get little benefit, while plenty who do not work at all get rich.

if you can show the ethical ideas and the sacred, communal values baked into capitalism’s own paradigms and premises, you can begin to hold it accountable for those ideals in the globalized world economy

The slogan “We are the 99%” was a respite from the oppressive “I” — the painful anomie of individualism that the official story insists upon.

the financial crisis of 2007-8 was not just a failure of markets, but a failure of morality — for what else can you honestly call it when predatory banks escape justice as ordinary people suffer? We can question who is doing the sacrificing, and for whose good the system is working.

In Silicon Valley, executives instill eastern values like mindfulness and meditation into workplaces in a way that covers up the exploitation of employees and consumers that many companies are built around. A firm may spy on people to turn a profit, but the espousal of sacred values (recall Google’s former “Don’t be evil” motto) helps hide the exploitative mission.

he thinks the current predicament says more about the continuities with colonial history than it does about some ruptured future. For some people in the world, the catastrophe has already happened. 

"I come from a part of the world where we didn't have very rosy expectations of the world or the future," says Ghosh. "We knew there would be a lot of upheavals, and we witnessed these upheavals at first hand, so in that sense I think Westerners had a belief in stability and the promise of the future that I didn't share."

a massive-scale economic adaptation to a new distribution of resources, is too scary to consider: The end of capitalism would be as bad as the end of the world.  "The people who saw the climate crisis first are at the absolute other end: farmers, fishermen, Inuit, indigenous peoples, forest peoples in India, and they've already had to adapt, mainly by moving, finding new livelihoods," says Ghosh. "And indigenous peoples have already lived through the end of the world and found ways to survive."

Ghosh thinks it's no coincidence that the constraints of the bourgeois novel began to form at the same time as the West began to use fossil fuels to project its power around the world.

"Climate change is absolutely an aspect of empire," he says. "The British Empire was essentially built on fossil fuels: It was the British mastery of coal that gave it a huge military advantage over the rest of the world."

"If renewables really were adopted at scale, it would completely shake up the global political order." He argues that oil and gas have to flow through maritime chokepoints controlled by the US, Australia, Britain and Canada, giving them a complete geopolitical advantage.

in the Eastern hemisphere, the issue of historical injustice is central to the issue of climate change. "If you go to any Indonesian, or Indian, or Chinese, even people who are perfectly well aware of the climate threat, and say to them: 'why don't you immediately cut all your emissions?' What will you hear? The answer is always profoundly political, it's: 'The West made this problem, let them give everything up first. This is the terrible dilemma in which we're caught."

"We're always told that rich countries will adapt better: I don't think that's actually true. I think countries with very complex systems, like the United States and in Europe, are in many ways much more fragile. Just consider food distribution."

after the Pick-Sloan plan dammed the Upper Missouri River with a series of five earthen-rolled dams in the mid-twentieth century for hydroelectricity and irrigation, 75 percent of wildlife and native plants on the area’s reservations disappeared, and hundreds of thousands of acres of Indigenous farms were destroyed

What was once a subsistence economy based on wild harvesting and small-scale agriculture was transformed almost overnight into dependency on USDA commodities. White flour, milk, white sugar, and canned foods replaced formerly protein- and nutrient-rich diets. Diabetes rates skyrocketed, and its spread can be contact-traced to a single public works project.

The government has once again made clear that the lives of the poor—especially the Black and Indigenous poor—are less sacred than private property

The Navajo Nation, whose lands helped make the United States the world’s largest oil producer, now faces some of the worst rates of infection and death—not only compared to other states, but to entire countries. About 30 percent of its reservation population lives without running water, and about 10 percent without electricity, while coal from its lands fuels power plants, and the water from its rivers soaks golf courses in Phoenix. The United States created the first nuclear bomb on a sacred Tewa mesa with uranium mined from Navajo lands, poisoning generations. For the Navajo people, the real pandemic is—and has always been—resource colonization.

On May 20, five tribal organizations signed a letter to David Bernhardt, the secretary of the interior (and a former oil lobbyist), calling for the resignation of assistant secretary of Indian affairs Tara Sweeney, an Inupiaq Alaskan Native (also a former oil lobbyist) for what she had set into motion during the pandemic. In late February, as coronavirus swept through the country, a federal court denied the Mashpee Wampanoag the right to restore their homeland in Massachusetts, a process set into motion by Sweeney in 2018 that was overturned by a federal judge in June. Her office also failed to protect the Tohono O’odham Nation’s burial and sacred sites from being destroyed with explosives to build Trump’s border wall, the construction of which continued unabated as large sectors of the economy were shut down. Meanwhile, the Interior Department allowed for-profit Alaskan Native corporations, many of which have investments in the oil and gas industry, to seek payouts from the Covid-19 relief money reserved for tribal governments.

American Indian men are incarcerated at four times the rate of white men, and American Indian women are incarcerated at six times the rate of white women

On April 28, three weeks after giving birth while in custody, Andrea Circle Bear, a thirty-year-old citizen of the Cheyenne River Sioux Tribe, became the first woman to die of coronavirus in federal prison. She was five months pregnant when sentenced to twenty-six months for a minor drug charge

Last month was the three-year anniversary of the killing of Zachary Bearheels, a twenty-nine-year-old citizen of the Rosebud Sioux Tribe. After suffering a mental breakdown and being kicked off a bus in Omaha while on his way back to Oklahoma City, police were filmed tasing Bearheels twelve times and punching him thirteen times in the head. “I can’t fucking breathe,” he told officers as he sat in the back of the cruiser. A coroner later found his cause of death to be “excited delirium,” a condition that supposedly leads to aggressiveness, incoherence, and “superhuman strength,” often after taking cocaine or methamphetamines. (Bearheels, however, had no drugs or alcohol in his system at the time of his death.) This diagnosis is controversial; it is frequently cited when people die in police custody. Three of the officers involved in Bearheels’s death were reinstated in April.

The United States has a long history of sacrificing or killing off groups of people—through war or disease or both—in the name of its self-proclaimed destiny. This belief in the country’s violent superiority was already evident among the early Puritans, who attributed the mass die-off of Indigenous peoples to divine intervention.

To blind themselves to the destruction they wrought, colonizers wove cultural fictions about the “vastness” of a continent devoid of human civilization—terra nullius—and thus open for white European settlement. (This was an early ideological ancestor of the Zionist phrase, “a land without a people for a people without a land,” that has come to justify the expulsion and colonization of Palestinians.)

Most historians have failed to draw what are obvious connections between heightened rates of infection and conditions of war, invasion, and colonialism. We need only look at the cholera outbreak in Yemen to see the relationship of disease to U.S. foreign policy. No one is disputing the fact that the infection of millions and the deaths of thousands there at the hands of this preventable disease are the result of a U.S.-backed, Saudi-led war, which has destroyed Yemen’s health care infrastructure. It shouldn’t surprise us to learn that one in four surgical amputations conducted at Red Cross centers in Iraq, Syria, and Yemen are the result of diabetes. These three countries have been the staging ground for U.S.-backed military interventions and invasions that have disrupted critical food and medical supply chains.

Economic sanctions, frequently hailed by politicians of all stripes as a “humane” alternative to war, are simply war by another means. U.S. sanctions currently hit hard in thirty-nine countries—one-third of humanity—causing currency inflation and devaluation and upsetting the distribution of medicine, food, power, water treatment, and other human needs

the United States only knows violence. It convinces through force. It is numb to suffering and indifferent to the welfare of people

Trump has elevated U.S. belligerence to the cosmos.

Yet a new world is coming into existence, even as fires burn in the Amazon or on the streets of Minneapolis. It has always been here. It was present at Standing Rock, in the chants of “water is life”; it could be heard among the Wet’suwet’en calls to “heal the people, heal the land”; and it resounded once again as hundreds of thousands took to the street to demand that “Black lives matter.”

colonialism is not only a contest over territory, but over the meaning of life itself.

The largest states in the world have the scale of empires but, Roberts suggests, they are a new breed. They are ‘superstates’, distinct from their neighbours ‘by expanse of territory, number and diversity of people, and social and economic complexity’. They aren’t quite empires and they aren’t all superpowers. Instead they represent a more recent development in a linear history: ‘The age of empires gave way to the age of states and next to the age of superstates.’

The main problem with the four superstate model is what to do about Russia. Roberts excludes what is territorially the biggest state in the world from his quadrumvirate because its population has collapsed and its economy is much smaller than that of the US, China or the EU. But India’s economy, too, is dwarfed by the others.

The EU has the dual distinction of being the only polity that is regularly referred to as a superstate and the only one that arguably shouldn’t be considered a state at all. Its economic power in the global system is undeniable, but in every other sense its power is much less certain. The EU’s formal structure, which seems to embody both postmodern technocratic management and premodern oligarchy, evades comparison

om Nairn argued that the EU suffers from a condition that also characterised the pre-First World War multinational empires: uneven development generates subtle forms of nationalist resistance which frustrate supranational designs. The EU has a fearsome border control agency, Frontex, but no central security apparatus. Can you have a superstate without an army, or rather an army of one’s own? The only centralised pan-European army is that of the United States, which has around a hundred thousand military personnel deployed across Europe.

The geographical division of the country remains an operative reality for alchemical electioneers, but talk of geographical divisions also serves as a convenient distraction from class divisions. Both Republican and Democratic administrations have talked of small government while increasing federal spending and the number of federal employees. But since the late 1970s they have succeeded in transferring trillions of dollars from the poor to the rich. One problem with calling the continental US a superstate is that it deliberately erases US overseas possessions – Guam, Puerto Rico etc. Another is that it distracts from the fact that so much of the energy of the US state apparatus is involved in its global posture.

Roberts stresses that empires need to justify themselves with a noble creed, both to propagandise to conquered peoples and to bolster the self-delusion of elite cadres. It’s easier to assert yourself if you’re convinced you’re bringing either civilisation or salvation.

All today’s superstates exhibit a resurgence of something like nationalism. China has Xi Jinping thought, India has Hindutva, US presidents will make America great again and the EU, according to Josep Borrell, is a garden surrounded by perilous jungle

Superstates or no, the five largest economies in the world are all either currently involved in a war, rearming, or making preparations.