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Our analysis confirms that unequal exchange is a significant driver of global inequality, uneven development, and ecological breakdown.

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

indicative either of lax security procedures or an especially dangerous environment close to a sensitive U.S. facility — or both

rampant and increasing insecurity, including rapes, assaults, and robberies. They expressed disbelief that American technology could not provide more safety and said the U.S. was doing little to help those living just beyond the base’s borders.

Few in Agadez understand the purpose of the drone base or what Americans do there. They know only what they see, smell, and hear: the towers, walls, and fences; clouds of dust from speeding military vehicles; smoke from the burn pit; and the buzz of drones above their heads. The rest is a mystery.

“The Americans have drones, they have planes, they have sophisticated equipment,” Liman Ahar Fidjaji, the president of an Agadez-based religious center for the prevention of conflict in Niger, told The Intercept. “But it’s not helping.”

A day after the attack, local law enforcement arrested the man who shot the video, Ibrahim said. “I have no idea who told them, but they knew who he was and they said they were arresting him because he posted the footage on social media,”

while the road to “Base Americaine” was well lit, Tadress lacked electricity. “It’s really dark, so you can’t see and can be robbed or even shot. Trucks loaded with migrants to Libya drive very fast through the neighborhood. They can’t see and they hit children,”

wild rumors, including long-running speculation that Americans are surreptitiously mining gold at the base

Following the end of the Cold War, the U.S. military embraced a governmentwide trend toward privatization, including an increasing reliance on contractors. Since 2001, Pentagon spending has totaled more than $14 trillion, one-third to one-half of which went to defense contractors, according to a 2021 report by Hartung and Brown University’s Costs of War project. More contractors than U.S. service members, according to a separate Costs of War report, have died in post-9/11 military operations.

“We can’t know exactly who is getting paid and who is profiting because we don’t know where the money is going. It comes down to subcontracting that is not transparent and having very little oversight,” said Heidi Peltier, a senior researcher at Brown University’s Watson Institute for International and Public Affairs and the director of programs at the Costs of War project. Government reports, lawsuits, and investigations by inspectors general have found that 30 to 40 percent of contract spending through the Defense Department is generally wasted or lost to fraud, corruption, or other abuses, Peltier noted.

an investigation by the Pentagon’s inspector general found that the “Air Force did not construct Air Base 201 infrastructure to meet safety, security, and other technical requirements established in DoD, Air Force, and USAFRICOM directives.”

“If the bandits had an RPG and aimed it at the base, then I’m sure the Americans would have seen it and reacted,” he explained, using the shorthand for a rocket-propelled grenade. “The Americans have sophisticated tools. Drones are flying overhead every day and every night. But there are guys circulating in the streets around here with weapons. Why is that?”

“We do need to have these trade agreements,” Mr. Bown said, “but we do need to be cognizant that there are going to be losers and we need to have policies to address them.”

technological disruption and economic upheaval are now at work in an era of scarcity

The worst financial crisis since the Great Depression has left banks from Europe to the United States reluctant to lend. Real estate bonanzas from Spain to Southern California gave way to a disastrous wave of foreclosures, eliminating construction jobs. China’s slowdown has diminished its appetite for raw materials, sowing unemployment from the iron ore mines of Brazil to the coal pits of Indonesia.

Trade did not cause the breakdown in economic growth. Indeed, trade has helped generate what growth remains. But the pervasive stagnation has left little cover for those set back by globalization.

China’s entry into the World Trade Organization in 2001 unleashed a far larger shock, but a construction boom absorbed many laid-off workers.

Much of the global economy is operating free of artificial enhancements. Lower-skilled workers confront bleak opportunities and intense competition, especially in the United States. Even as recent data shows middle-class Americans are finally starting to share in the gains from the recovery, incomes for many remain below where they were a decade ago

Corporations that used China to cut costs raised their value, enriching executives and ordinary investors. Today’s Headlines Wake up each morning to the day’s top news, analysis and opinion delivered to your inbox. Please verify you're not a robot by clicking the box. Invalid email address. Please re-enter. Sign Up Receive occasional updates and special offers for The New York Times's products and services. Thank you for subscribing. An error has occurred. Please try again later. You are already subscribed to this email. View all New York Times newsletters. See Sample Manage Email Preferences Not you? Privacy Policy The casualties of China’s exports are far fewer, but they are concentrated. The rugged country of western North Carolina suffered mass unemployment as Chinese-made wooden furniture put local plants out of business. So did glassmakers in Toledo, Ohio, and auto parts manufacturers across the Midwest.

Even among those who support trade, doubts are growing about its ability to deliver on crucial promises. A 2014 Pew Research Center survey of people in 44 countries found that only 45 percent of respondents believed trade raises wages. Only 26 percent believed that trade lowers prices.

Workers employed in major export industries earn higher wages than those in domestically focused sectors.Americans saw their choice of products expand by one-third in recent decades, the Federal Reserve Bank of Dallas found. Trade is how raspberries appear on store shelves in the dead of winter.

In the fallout, the United States maintained limits on unemployment benefits, leaving American workers vulnerable to plummeting fortunes. Social welfare systems have limited the toll in Europe, but economic growth has been weak, so jobs are scarce.

automation has grown in sophistication and reach. Between 2000 and 2010, the United States lost some 5.6 million manufacturing jobs, by the government’s calculation. Only 13 percent of those job losses can be explained by trade, according to an analysis by the Center for Business and Economic Research at Ball State University in Indiana. The rest were casualties of automation or the result of tweaks to factory operations that enabled more production with less labor.

The anti-trade backlash, building for years, has become explosive because the global economy has arrived at a sobering period of reckoning. Years of investment manias and financial machinations that juiced the job market have lost potency, exposing longstanding downsides of trade that had previously been masked by illusive prosperity.

China’s relentless development was turning farmland into factories, accelerated by a landmark in the history of trade: the country’s inclusion in the World Trade Organization.The W.T.O. was born out of the General Agreement on Tariffs and Trade, a compact forged in 1947 that lowered barriers to international commerce in an effort to prevent a repeat of global hostilities.In the first four decades, tariffs on manufactured wares plunged from about 35 percent to nearly 6 percent, according to the Federal Reserve Bank of Chicago. By 2000, the volume of trade among members had swelled to 25 times that of a half-century earlier.

Mexico — home to about 123 million people — was not big enough to refashion the terms of trade. When China joined the W.T.O. in 2001, that added a country of 1.3 billion people to the global trading system

if robots are a more significant threat to paychecks, they are also harder to blame than hordes of low-wage workers in overseas factories.“We have a public policy toward trade,” said Douglas A. Irwin, an economist at Dartmouth College. “We don’t have a public policy on automation.”

Chinese imports eliminated nearly one million American manufacturing jobs between 1999 and 2011. Add in suppliers and other related industries, and the total job losses reach 2.4 million.

Mr. Trump vows to slap punitive tariffs on Chinese goods. But that would very likely just shift production to other low-wage countries like Vietnam and Mexico. It would not turn the lights on at shuttered textile plants in the Carolinas. (Even if it did, robots would probably capture most of the jobs.)

Trade Adjustment Assistance, a government program started in 1962 and expanded significantly a dozen years later, is supposed to support workers whose jobs are casualties of overseas competition. The program pays for job training.But Mr. Simmons rolls his eyes at mention of the program. Training has almost become a joke. Skills often do not translate from old jobs to new. Many workers just draw a check while they attend training and then remain jobless.

European workers have fared better. In wealthier countries like Germany, the Netherlands, Sweden and Denmark, unemployment benefits, housing subsidies and government-provided health care are far more generous than in the United States.In the five years after a job loss, an American family of four that is eligible for housing assistance receives average benefits equal to 25 percent of the unemployed person’s previous wages, according to data from the Organization for Economic Cooperation and Development. For a similar family in the Netherlands, benefits reach 70 percent.

Yet in Europe, too, the impacts of trade have been uneven, in part because of the quirks of the European Union. Trade deals are cut by Brussels, setting the terms for the 28 member nations. Social programs are left to national governments.

In China, farmers whose land has been turned into factories are making more steel than the world needs. Advertisement Continue reading the main story In America, idled steel workers are contemplating how to live off the land.

a provision that would enable multinational companies to sue governments for compensation when regulations dent their profits.Esso, a subsidiary of Exxon Mobil, the American petroleum company, has operations in the Netherlands. Suppose the government went ahead with plans to limit drilling to protect the environment?“They could sue the Dutch state,” he fumed. “We are not so sure in the Netherlands whether we want to give the multinationals so much power. We are a trading country, but it’s not always that trade should prevail against quality of life.”

the longshoremen fret about robots

Now, many longshoremen sit in glass-fronted offices set back from the docks, controlling robotic arms via computer terminals.

The robots will win in the end, because robots never strike. Robots improve with time.

Trade deals, immigrant labor, automation: As Mr. Arkenbout sees it, these are all just instruments wielded in pursuit of the same goal — paying him less so corporations can keep more.“When they don’t need me anymore,” he said, “I’m nothing.”

This idea that the internet is driving globalisation has enabled business leaders and politicians to get away with decisions made for their own self-interest, because people have been too ready to accept that things have to be like this.

some farmers in West Africa have turned to child labour to compensate for the manpower shortage

, chocolate will go back to being what it used to be – a rarefied treat

A spokesman from Cadburys doesn't deny the shortage of cheaper cocoa, but suggests scarcity might be averted through Fair Trade initiatives. "Together with other manufacturers and the wider cocoa industry, we have been working on a number of agricultural initiatives to both increase and improve yields," he says. "Our move into Fair Trade was a separate step, to both pay a better price to farmers, and to encourage the next generation of cocoa farmers to stay within the industry."

Divine Chocolate, a Ghanaian manufacturer that is 45 per cent owned by a cooperative of 45,000 cocoa farmers. "The Fair Trade system helps ensure that the value of farming is delivered directly to the farmers and their communities," says its managing director Sophi Tranchell.

Digby's superb commentary on this point yesterday: My personal feeling is that any allegedly democratic government that is so hubristic that it will lie blatantly to the entire world in order to invade a country it has long wanted to invade probably needs a self-correcting mechanism. There are times when it's necessary that the powerful be shown that there are checks on its behavior, particularly when the systems normally designed to do that are breaking down. Now is one of those times. . . . .As for the substance of the revelations, I don't know what the results will be. But in the world of diplomacy, embarrassment is meaningful and I'm not sure that it's a bad thing for all these people to be embarrassed right now.  Puncturing a certain kind of self-importance --- especially national self-importance --- may be the most worthwhile thing they do. A little humility is long overdue.

The actually-existing structure and strategy of the American empire remains a near-total mystery to those who foot the bill and whose children fight its wars. And that is the way the elite of America's unelected permanent state, perhaps the most powerful class of people on Earth, like it. As Scott Shane, the New York Times' national security reporter, puts it: "American taxpayers, American citizens pay for all these diplomatic operations overseas and you know, it is not a bad thing when Americans actually have a better understanding of those negotiations".  Mr Shane goes on to suggest that "Perhaps if we had had more information on these secret internal deliberations of governments prior to the invasion of Iraq in 2003, we would have had a better understanding of the quality of the evidence that Saddam Hussein had weapons of mass destruction."

I'm glad to see that the quality of discussion over possible US efforts to stymie Iran's nuclear ambitions has already become more sophisticated and, well, better-informed due to the information provided by WikiLeaks.

If secrecy is necessary for national security and effective diplomacy, it is also inevitable that the prerogative of secrecy will be used to hide the misdeeds of the permanent state and its privileged agents. I suspect that there is no scheme of government oversight that will not eventually come under the indirect control of the generals, spies, and foreign-service officers it is meant to oversee. Organisations such as WikiLeaks, which are philosophically opposed to state secrecy and which operate as much as is possible outside the global nation-state system, may be the best we can hope for in the way of promoting the climate of transparency and accountability necessary for authentically liberal democracy.

FAIR documents how severely and blatantly the New York Times reporting distorted some of these documents in order (as always) to demonize Iran and the "threat" it poses.

Bradley’s gonna become a “spy” whose “espionage” consisted of making the activities of a democratic government visible to its voting population. With the New York Times publishing the fruits of his misdeeds. Some set of American prosecutorial lawyers is confronting this crooked legal hairpin right now. I feel sorry for them.

the one-man global McDonald’s of leaks

While others stare in awe at Assange’s many otherworldly aspects — his hairstyle, his neatness, too-precise speech, his post-national life out of a laptop bag — I can recognize him as pure triple-A outsider geek. Man, I know a thousand modern weirdos like that, and every single one of them seems to be on my Twitter stream screaming support for Assange because they can recognize him as a brother and a class ally. They are in holy awe of him because, for the first time, their mostly-imaginary and lastingly resentful underclass has landed a serious blow in a public arena. Julian Assange has hacked a superpower.

The one grand certainty about the consumers of Cablegate is that diplomats are gonna be reading those stolen cables. Not hackers: diplomats. Hackers bore easily, and they won’t be able to stand the discourse of intelligent trained professionals discussing real-life foreign affairs. American diplomats are gonna read those stolen cables, though, because they were supposed to read them anyway, even though they didn’t. Now, they’ve got to read them, with great care, because they might get blindsided otherwise by some wisecrack that they typed up years ago. And, of course, every intelligence agency and every diplomat from every non-American agency on Earth is gonna fire up computers and pore over those things. To see what American diplomacy really thought about them, or to see if they were ignored (which is worse), and to see how the grownups ran what was basically a foreign-service news agency that the rest of us were always forbidden to see. This stark fact makes them all into hackers. Yes, just like Julian. They’re all indebted to Julian for this grim thing that he did, and as they sit there hunched over their keyboards, drooling over their stolen goodies, they’re all, without exception, implicated in his doings. Assange is never gonna become a diplomat, but he’s arranged it so that diplomats henceforth are gonna be a whole lot more like Assange. They’ll behave just like him. They receive the goods just like he did, semi-surreptitiously. They may be wearing an ascot and striped pants, but they’ve got that hacker hunch in their necks and they’re staring into the glowing screen.

He’s a different, modern type of serious troublemaker. He’s certainly not a “terrorist,” because nobody is scared and no one got injured. He’s not a “spy,” because nobody spies by revealing the doings of a government to its own civil population. He is orthogonal. He’s asymmetrical. He panics people in power and he makes them look stupid. And I feel sorry for them. But sorrier for the rest of us. Julian Assange’s extremely weird version of dissident “living in truth” doesn’t bear much relationship to the way that public life has ever been arranged. It does, however, align very closely to what we’ve done to ourselves by inventing and spreading the Internet. If the Internet was walking around in public, it would look and act a lot like Julian Assange. The Internet is about his age, and it doesn’t have any more care for the delicacies of profit, propriety and hierarchy than he does.

It’s not just about him and the burning urge to punish him; it’s about the public risks to the reputation of the USA. They superpower hypocrisy here is gonna be hard to bear. The USA loves to read other people’s diplomatic cables. They dote on doing it. If Assange had happened to out the cable-library of some outlaw pariah state, say, Paraguay or North Korea, the US State Department would be heaping lilies at his feet. They’d be a little upset about his violation of the strict proprieties, but they’d also take keen satisfaction in the hilarious comeuppance of minor powers that shouldn’t be messing with computers, unlike the grandiose, high-tech USA. Unfortunately for the US State Department, they clearly shouldn’t have been messing with computers, either. In setting up their SIPRnet, they were trying to grab the advantages of rapid, silo-free, networked communication while preserving the hierarchical proprieties of official confidentiality. That’s the real issue, that’s the big modern problem; national governments and global computer networks don’t mix any more. It’s like trying to eat a very private birthday cake while also distributing it. That scheme is just not working. And that failure has a face now, and that’s Julian Assange.

Diplomats are people who speak from nation to nation. They personify nations, and nations are brutal, savage, feral entities. Diplomats used to have something in the way of an international community, until the Americans decided to unilaterally abandon that in pursuit of Bradley Manning’s oil war. Now nations are so badly off that they can’t even get it together to coherently tackle heroin, hydrogen bombs, global warming and financial collapse. Not to mention the Internet.

the American diplomatic corps, and all it thinks it represents, is just collateral damage between Assange and his goal. He aspires to his transparent crypto-utopia in the way George Bush aspired to imaginary weapons of mass destruction. And the American diplomatic corps are so many Iraqis in that crusade. They’re the civilian casualties.

It’s the damage to the institutions that is spooky and disheartening; after the Lewinsky eruption, every American politician lives in permanent terror of a sex-outing. That’s “transparency,” too; it’s the kind of ghastly sex-transparency that Julian himself is stuck crotch-deep in. The politics of personal destruction hasn’t made the Americans into a frank and erotically cheerful people. On the contrary, the US today is like some creepy house of incest divided against itself in a civil cold war. “Transparency” can have nasty aspects; obvious, yet denied; spoken, but spoken in whispers. Very Edgar Allen Poe.

This knotty situation is not gonna “blow over,” because it’s been building since 1993 and maybe even 1947. “Transparency” and “discretion” are virtues, but they are virtues that clash. The international order and the global Internet are not best pals.

He may be a character from history’s funhouse, sent to remind us that contingency’s reign is great, but his origins are to be found in the conjoined histories of the West and the rest. More recently, Gaddafi’s border police and coast guard, trained and assisted by the EU, have been greatly valued by the ‘good Europeans’ for helping keep out the Africans. Liberal war’s last service is to locate the source of violence in the natives, on the backward peoples of the non-European world, not on the Westerners who exploit, invade, occupy and bomb. If we go by official rhetoric, the problem in Iraq and Afghanistan apparently has to do with religious and ethnic prejudice among the peoples there, who irrationally keep killing one another as well as Western soldiers kindly sent to modernise them. The great cost of liberal war is clarity.

War is not a morality tale, but a violent mutual embrace. Serious thinking begins with acceptance that we in the West are now combatants, and ethical responsibility requires seeing beyond the seductions of liberalism.

China's trade with SCO member countries shot up from US$12.1 billion to around $90 billion during the past 10 years, but if the $60 billion Sino-Russian trade volume is kept out, what emerges is that the track record on trade and economic cooperation has been far below its potential. The SCO plans to have a free-trade area by 2020.

detailed discussions have been held behind the curtain between Karzai and the SCO leaders on the big questions of the post-2014 scenario in Afghanistan. Kazakh President Nurusultan Nazarbayev gave a valuable clue to SCO thought processes when he openly anticipated, "It is possible that the SCO will assume responsibility for many issues in Afghanistan after the withdrawal of coalition forces in 2014.

The implications are serious for the US's "containment strategy" toward China and Russia. Clearly, Russia and China are convinced that the US game plan is to deploy components of the missile defense system in Afghanistan. The Astana summit has reiterated its basic ideology that the countries of the region possess the genius and resources to solve their problems of development and security and outside intervention is unwarranted. Historically, though, the summit may have signified China's entry into the Eurasian landmass. As happened over Central Asia, China will take the utmost care to coordinate with Russia.

Ambassador M K Bhadrakumar was a career diplomat in the Indian Foreign Service. His assignments included the Soviet Union, South Korea, Sri Lanka, Germany, Afghanistan, Pakistan, Uzbekistan, Kuwait and Turkey.

The people best able to exploit the opportunities of globalization are those who already have money, education, and connections that reach beyond their countries' borders. They live by the mantra "buy low locally, sell high globally." Compatriots who work in their mines, sweatshops, and call centers may be slightly better off, but the newly globalized super-rich are off the charts.

All over the world, the Gilded Age has returned. As we know now, the Gilded Age was not necessarily the most productive period for the United States. Calculations by economists Louis Johnston and Samuel Williamson suggest that the cumulative annual growth rate of real gross domestic product per capita was about 1.8 percent between 1870 and 1910, compared with 2.2 percent in the postwar boom from 1947 to 2007. That difference of 0.4 percent may not seem like much, but over a span of decades it really adds up. Eventually, we found that competition and meritocracy worked better than robber barons and trusts.

inequality -- particularly the inequality of wealth -- disrupts the efficient allocation of opportunities in an economy. When a stupid rich kid gets a job that a smart poor kid could have done better, the economic pie shrinks for all of us.

The drop in inequality between countries won't do much at all to mitigate the situation. After all, the fact that a poor Burundian is now closer in income to a poor Bulgarian won't help his chances of winning a seat in parliament or a place at the national university if the incomes of rich Burundians have risen exponentially

Once thought to be about 50 percent and 40 percent urban respectively, the new research argues Asia and Africa are closer to 90 percent and 80 percent, or roughly double previous estimates

The reason for the past errors is simple, Dijkstra said, because countries self-report their demographic statistics to the U.N. and they use widely different standards.

Most countries use a population density threshold, but those figures can vary widely. The United States, for example, starts classifying settlements as urban when they exceed a population threshold of 2,500. For Egypt, the number is 100,000, according to Dijkstra.

"If you leave it to every country to define its own administrative boundary of what is urban and what is rural, then you have no benchmark for comparability," said Sameh Wahba, head of the World Bank's urban programme.

"A city represents a concentration of people but it also represents a concentration of capital, represented partly in the fixed stock of buildings,"

Anjali Mahendra, cities research director at the World Resources Institute, a Washington-based think tank, cautioned satellite imagery that captures the population density of human settlements might not tell the whole story. "A lot of these satellite-image based definitions of urban miss informal settlements,"

it does not encourage forward-thinking, diverse and inclusive applicants, but those rooted in colonial era notions of overseas postings

In a booklet published last year, Black Skin, Whitehall, FCO historian James Southern identified a lack of diversity within the FCO and the resulting issues that this raised.

"Clearly, there are aspects of the problem of racism in recruitment that are buried too deeply for surface-level enthusiasm for ‘equal opportunities’ or ‘meritocracy’ to penetrate – admirable though such enthusiasm might be."In order fully to understand the FCO’s relationship with race, we must excavate and investigate the often subconscious forms of racism that affect the experiences of non-white diplomats."

there was not enough evidence to conclude that there had been any intercepts. “There is little evidence to prove that the Patriot hit more than a few Scud missiles launched by Iraq during the Gulf War,” a summary of the investigations concluded dryly, “and there are some doubts about even these engagements.” This report — which called on the Pentagon to declassify more information about the performance of the Patriot and request an independent evaluation of the program — never saw the light of day. A fierce lobbying campaign by the Army and Raytheon spiked it, save for a summary.

There is enormous pressure on the Saudi government to show that it is taking steps to defend its citizens. By asserting successful intercepts — assertions that are uncritically spread in headlines — the Saudi government is able to present itself as fulfilling its obligations to protect its population. And, like in 1991, the perception that a defense is working helps keep a lid on regional tensions

The danger here is that leaders in Saudi Arabia and the United States will come to believe their own nonsense. Consider this: Despite that the fact that anonymous U.S. officials have confirmed that there was no successful intercept in November 2017, President Donald Trump had a very different impression: “Our system knocked the missile out of the air,” Trump told reporters the following day. “That’s how good we are. Nobody makes what we make, and now we’re selling it all over the world.” This is a theme Trump has returned to again and again. When asked about the threat from North Korea’s nuclear-armed missiles, Trump said, “We have missiles that can knock out a missile in the air 97 percent of the time, and if you send two of them, it’s going to get knocked down.” Trump has repeatedly given every indication that he believes missile defenses will protect the United States.

Missile defense systems do not represent a solution to the challenge posed by growing missile capabilities or an escape from vulnerability in the nuclear age. There is no magic wand that can “knock down” all the missiles aimed at the United States or its allies. The only solution is to persuade countries not to build these weapons in the first place. If we fail, defenses won’t save us.

Although Foundation drew its direct inspiration from Edward Gibbon’s The Decline and Fall of the Roman Empire, history is replete with examples of seemingly powerful empires run by weak, divided elites and picked apart by outside powers

Trump’s administration is openly bought by foreign governments via his international network of hotels and resorts, including the one located directly between the White House and the U.S. Capitol, where a Saudi-funded lobbyist rented 500 rooms in the month after the 2016 election. His political party, which still controls the Senate and increasingly dominates the judiciary, has no interest in holding him accountable for any of this. And of course there’s the small matter of Russian interference in the 2016 election; as the limited information known so far from special counsel Robert Mueller’s report confirms, Trump and the Republicans were at the very least the passive and willing beneficiaries of efforts by a foreign power to influence the election outcome.

the influence of outside money in Washington has become routine over the past generation. From the pervasive influence of the United Arab Emirates and other Gulf monarchies over think tanks and media organizations to virtually the entire U.S. government kowtowing before the American Israel Public Affairs Committee to China’s warm relationship with the Chamber of Commerce and with the heads of some of the most powerful U.S. companies to the funneling of foreign money through the real estate industries of the country’s largest and wealthiest cities—the U.S. government is for sale.

The complete deregulation of campaign finance and the subsequent legalization of corruption in Washington, on a scale unheard of in other developed countries, have resulted in a capital where the distinction between foreign and domestic monied interests is harder and harder to parse. The U.S. government, in other words, does not exist to serve the interests of Americans through either its foreign or its domestic policies; rather, it exists to perpetuate the interests of the globalized oligarchy.

While Rhodes and Obama also faced pressure from within the Washington establishment, they found their agenda for the Middle East repeatedly hijacked by foreign allies—the same governments that also lobbied, with varying success, for U.S. military operations from Syria to Yemen. American power, however mighty, means nothing if it’s being used for the ends of the highest bidders

what we’re seeing is neither a considered, responsible withdrawal from empire in order to invest in urgent needs at home nor a revolt against empire by the world’s wretched. Rather, it’s a drawn-out, decadent collapse recognizable to any student of Rome or Constantinople. America is the sick man of the 21st century, and anyone who has watched its president bumble through a gathering of bemused, pitying world leaders knows it.