Portside

The poor and the working class in the United States know what it is to be Greek. They know underemployment and unemployment. They know life without a pension. They know existence on a few dollars a day. They know gas and electricity being turned off because of unpaid bills. They know the crippling weight of debt. They know being sick and unable to afford medical care. They know the state seizing their meager assets, a process known in the United States as “civil asset forfeiture,” which has permitted American police agencies to confiscate more than $3 billion in cash and property. They know the profound despair and abandonment that come when schools, libraries, neighborhood health clinics, day care services, roads, bridges, public buildings and assistance programs are neglected or closed. They know the financial elites’ hijacking of democratic institutions to impose widespread misery in the name of austerity. They, like the Greeks, know what it is to be abandoned.

The Greeks and the U.S. working poor endure the same deprivations because they are being assaulted by the same system—corporate capitalism. There are no internal constraints on corporate capitalism. And the few external constraints that existed have been removed. Corporate capitalism, manipulating the world’s most powerful financial institutions, including the Eurogroup, the World Bank, the International Monetary Fund and the Federal Reserve, does what it is designed to do: It turns everything, including human beings and the natural world, into commodities to be exploited until exhaustion or collapse. In the extraction process, labor unions are broken, regulatory agencies are gutted, laws are written by corporate lobbyists to legalize fraud and empower global monopolies, and public utilities are privatized. Secret trade agreements—which even elected officials who view the documents are not allowed to speak about—empower corporate oligarchs to amass even greater power and accrue even greater profits at the expense of workers. To swell its profits, corporate capitalism plunders, represses and drives into bankruptcy individuals, cities, states and governments. It ultimately demolishes the structures and markets that make capitalism possible. But this is of little consolation for those who endure its evil. By the time it slays itself it will have left untold human misery in its wake.

The Greek government kneels before the bankers of Europe begging for mercy because it knows that if it leaves the eurozone, the international banking system will do to Greece what it did to the socialist government of Salvador Allende in 1973 in Chile; it will, as Richard Nixon promised to do in Chile, “make the economy scream.” The bankers will destroy Greece. If this means the Greeks can no longer get medicine—Greece owes European drug makers 1 billion euros—so be it. If this means food shortages—Greece imports thousands of tons of food from Europe a year—so be it. If this means oil and gas shortages—Greece imports 99 percent of its oil and gas—so be it. The bankers will carry out economic warfare until the current Greek government is ousted and corporate political puppets are back in control.

Human life is of no concern to corporate capitalists. The suffering of the Greeks, like the suffering of ordinary Americans, is very good for the profit margins of financial institutions such as Goldman Sachs. It was, after all, Goldman Sachs—which shoved subprime mortgages down the throats of families it knew could never pay the loans back, sold the subprime mortgages as investments to pension funds and then bet against them—that orchestrated complex financial agreements with Greece, many of them secret. These agreements doubled the debt Greece owes under derivative deals and allowed the old Greek government to mask its real debt to keep borrowing. And when Greece imploded, Goldman Sachs headed out the door with suitcases full of cash.

The system of unfettered capitalism is designed to callously extract money from the most vulnerable and funnel it upward to the elites. This is seen in the mounting fines and fees used to cover shortfalls in city and state budgets. Corporate capitalism seeks to privatize all aspects of government service, from education to intelligence gathering. The U.S. Postal Service appears to be next. Parents already must pay hundreds of dollars for their public-school children to take school buses, go to music or art classes and participate in sports or other activities. Fire departments, ambulance services, the national parks system are all slated to become fodder for corporate profit. It is the death of the civil society.

Criminal justice is primarily about revenue streams for city and state governments in the United States rather than about justice or rehabilitation. The poor are arrested and fined for minor infractions in Ferguson, Mo., and elsewhere; for not mowing their lawns; for putting their feet on seats of New York City subway cars. If they cannot pay the fines, as many cannot, they go to jail. In jail they are often charged room and board. And if they can’t pay this new bill they go to jail again. It is a game of circular and never-ending extortion of the poor. Fines that are unpaid accrue interest and generate warrants for arrest. Poor people often end up owing thousands of dollars for parking or traffic violations.

Fascist and communist firing squads sometimes charged the victim’s family for the bullets used in the execution. In corporate capitalism, too, the abusers extract payment; often the money goes to private corporations that carry out probation services or prison and jail administration. The cost of being shot with a stun gun ($26) or of probation services ($35 to $100 a month) or of an electronic ankle bracelet ($11 a month) is vacuumed out of the pockets of the poor. And all this is happening in what will one day be seen as the good times. Wait until the financial house of cards collapses again—what is happening in China is not a good sign—and Wall Street runs for cover. Then America will become Greece on steroids.

“We are a nation that has turned its welfare system into a criminal system,” write Karen Dolan and Jodi L. Carr in an Institute for Policy Studies report titled “The Poor Get Prison.” “We criminalize life-sustaining activities of people too poor to afford shelter. We incarcerate more people than any other nation in the world. And we institute policies that virtually bar them for life from participating in society once they have done their time. We have allowed the resurgence of debtors’ prisons. We’ve created a second-tier public education system for poor children and black and Latino children that disproportionally criminalizes their behavior and sets them early onto the path of incarceration and lack of access to assistance and opportunity.”

The corporate dismantling of civil society is nearly complete in Greece. It is far advanced in the United States. We, like the Greeks, are undergoing a political war waged by the world’s oligarchs. No one elected them. They ignore public opinion. And, as in Greece, if a government defies the international banking community it is targeted for execution. The banks do not play by the rules of democracy. 

The destruction of Greece, like the destruction of America, by the big banks and financial firms is not, as the bankers claim, about austerity or imposing rational expenditures or balanced budgets. It is not about responsible or good government. It is a vicious form of class warfare. It is profoundly anti-democratic. It is about forming nations of impoverished, disempowered serfs and a rapacious elite of all-powerful corporate oligarchs, backed by the most sophisticated security and surveillance apparatus in human history and a militarized police that shoots unarmed citizens with reckless abandon. The laws and rules it imposes on the poor are, as Barbara Ehrenreich has written, little more than “organized sadism.”   

Corporate profit is God. It does not matter who suffers. In Greece 40 percent of children live in poverty, there is a 25 percent unemployment rate and the unemployment figure for those between the ages of 15 and 24 is nearly 50 percent. And it will only get worse.

The economic and political ideology that convinced us that organized human behavior should be determined by the dictates of the global marketplace was a con game. We were the suckers. The promised prosperity from trickle-down economics and the free market instead concentrated wealth among a few and destroyed the working and the middle classes along with all vestiges of democracy. Corrupt governments, ignoring the common good and the consent of the governed, abetted this pillage. The fossil fuel industry was licensed to ravage the ecosystem, threatening the viability of the human species, while being handed lavish government subsidies. None of this makes sense.

The mandarins that maintain this system cannot respond rationally in our time of crisis. They are trained only to make the system of exploitation work. They are blinded by their insatiable greed and neoliberal ideology, which posits that controlling inflation, privatizing public assets and removing trade barriers are the sole economic priorities. They are steering us over a cliff.

We will not return to a rational economy or restore democracy until these global speculators are stripped of power. This will happen only if the streets of major cities in Europe and the United States are convulsed with mass protests. The tyranny of these financial elites knows no limits. They will impose ever greater suffering and repression until we submit or revolt. I prefer the latter. But we don’t have much time.