Socialist Progressives
Related: About this forumThe TPP Will Finish What Chile’s Dictatorship Started
Salvador Allende warned against neoliberalisms disastrous effects just before he was overthrown. He was right to be worried.
But Allende offered a pretty good definition back in 1972, in a speech to the United Nations given less than a year before his overthrow and death. He said: We are faced by a direct confrontation between the large transnational corporations and the states. The corporations are interfering in the fundamental political, economic and military decisions of the states. The corporations are global organizations that do not depend on any state and whose activities are not controlled by, nor are they accountable to any parliament or any other institution representative of the collective interest. In short, all the world political structure is being undermined.
Like rust, neoliberalism never sleeps. The global rentier class that enriches itself off the neoliberal property-rights regime had, a decade ago, hoped to lock down Latin America under the hemisphere-wide Free Trade Agreement of the Americas (FTAA). In its original version, the FTAA was meant to be a special carve-out for Washington and Wall Street, as global free trade advanced under the umbrella of the Doha round of the WTO. Kind of an economic Monroe Doctrine, whereby the United States could maintain its regional hegemony over Latin America while still promoting, when it suited, globalization. But that scheme fell apart with the return of Latin Americas postWashington consensus left, led at the time by Brazil, Venezuela, and Argentina. And the Doha round stalled.
So Washington came back with the Trans-Pacific Partnership, a 12-country treatyincluding Chile, Peru, and Mexicovigorously promoted by the Obama administration. Its been described nicely by Lori Wallach as NAFTA on steroids. As others have pointed out, the TPP isnt really about trade. Rather, its a supra-national regulatory straitjacket that institutionalizes Allendes 1972 warning. Among other things, the TPP has the effect of hiving off Brazil and Argentina from Latin Americas Pacific Rim countries. South Americas governing left is weakened and defensive, and the vitality with which Lula, Chávez, and Kirchner pushed back on any number of US initiativeswar on Iraq, trade, intellectual property, and so onis dissipated. In Brazil, Dilma has recently capitulated on a number of issues she had long resisted, including surveillance and the adoption of Patriot Actlike anti-terror legislation (not to mention her recent visit to NYC to genuflect before Henry Kissinger). The divide-and-rule TPP would, by creating a divergent set of economic interests among neighboring countries, further limit the possibility of political solidarity against economic and security policies pushed by Washington (as this pro-TPP op-ed implies).
The TPP includes one provision that will, if activated, complete the 1973 coup against Allende: its Investor-State Dispute Settlement mechanism. ISDS allows corporations and investors to sue governments directly before tribunals of three private sector lawyers operating under World Bank and UN rules to demand taxpayer compensation for any domestic law that investors believe will diminish their expected future profits.
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enough
(13,449 posts)useful I've read in a long time.
fasttense
(17,301 posts)They don't allow unions, conservation groups, citizen organizations or political groups to sue them. Why are corporations treated so special?
Just like those extra secret courts the people are never told about, now the uber rich have their own private little court system to extract more fees and penalties with. And all at the expense of taxpayers.
What a scam
Hydra
(14,459 posts)Ironically, as usual, the RW has it entirely backwards. They fear a strong UN- they should be fearing a strong coalition of Megacorps taking over the world instead.
A world without borders and laws, a world of profits and exploitation.
Person 2713
(3,263 posts)And sine the xl pipeline never went through some Canadian company is suing the U.S. I think also
MisterP
(23,730 posts)the bankers flew off with Chile's money, too (Venezuela's, too)