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818  17 September 2003   

Cancun “Collapse”

The brutal termination of the WTO “Doha Round” talks was not a defeat.  It was a victory.  A victory for new perceptions of the primacy of public power, of democratic politics.   The poor of the world are refusing to be railroaded by the rich, and are asserting their democratic rights to cock-a-snook at US and European trading corporations. Western media have tended to be dismissive, and to warn of threats to “the global economy”.   

True, just 22 nations led the walk-out, out of 146 participating states.  But just look who the rebels were! 

China India Pakistan - Brazil
Mexico Nigeria Philippines - South Africa
 

This grouping brings together all the major “Third World” players.  And in the face of a corporate-sector inspired “free trade” onslaught, they are refusing to abandon their democratic rights to manage their own economies.  They are not prepared to allow the mega-corporations of the western world free rein, in those territories where their writs run.  They are practising a form of market denial

  • Whether you think they are in the right or in the wrong, they are too big to be ignored. 

The last few weeks have helped to crystallise the issues outstanding between the WTO contenders.  They are very “big” issues indeed, touching on the great balances of public and private power.   I suspect we have witnessed, at Cancun, an important set-back for the particular form of “globalisation” propounded by the corporate sector. 

Let’s try and get this into perspective.  I am unashamedly a free-trader.  While I favour public service trading, by free-standing public service corporations, they should not be arms of “government”.  I have no faith in “governmental institutions” to deliver the flexibility and commercial initiative necessary for trading success.  I have no doubt that the sensible course for all societies is to maximise the scope for specialisation and mutual trading, in an ever-growing self-regulating network of trade.  The Adam Smith of 1776 convinces me – “the wealth of nations lies in trade”.  But I am no cock-eyed optimist about the private corporate sector.   

I believe that the institutions of western capitalism (in particular its multitudinous forms of “limited liability company”) are weak and ineffective, permitting the emergence of high concentrations of power, without countervailing challenge.  Those corporate systems are out of control: with diminishing competition, huge corporate dinosaurs have emerged which are both fragile and destructive, and beyond effective political control.  They are literally monsters, operated by individuals who use them for power enhancement and personal enrichment.  Public agencies are reluctant to confront them, for fear of losing "their" goodwill.   National competition and anti-trust legislation is losing its teeth, as a huge global market paralyses the logic of legal reasoning.  Throughout the the global network of artificial personality, legal enterprises shade imperceptibly into the criminal, as "laundering" and tax evasion proliferate.  In the USA, the corporations have generated a corrupt, morally impoverished, suborned, state.  In Britain they have come to intimidate the only Labour Government of the last quarter-century.  In Italy, they have won through to the Premiership itself.  In Russia, they are the puppet-masters, the Oligarchs.  In Brazil, there is a Faustian tussle proceeding right now, over the soul of the Brazilian peoples, as the new socialist government fights off corporate sector pressures.  

The G22 countries have served notice on the rest of us.  We will not be allowed to trade freely in the third world until we have remedied the deep-running faultlines in our trading models of society.  We must bring our corporations under more effective control: see Tame the Corporations.  We must reform our property laws, to minimise profiteering.  We must reassert the primacy of public power, of sovereign democratic legitimacy, and confirm the rights of all peoples to keep their traders under reasonable rein. 

  • Once we have done that, the wheels of the
    Doha Round may start turning again.

Where do you stand, on these issues?  Drop me a line

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819  17 September  2003  

Outrageous Intimidation

The Recording Industry Association of America is guilty of the most awful intimidation.  Is there no limit to the brutal bullying of the American business sector?  The RIAA brought a legal action against 12 year-old Brianna LaHara, who had used shareware to download, free of charge, several hundred popular songs from the Internet.  And they threatened her with a damages claim of $150,000 per tune!  Her terrified mother agreed to pay $2,000 – which the family could ill-afford – in full and final settlement.  And RIAA has actions running against 260 other ordinary people, in a “first wave” of legal enforcement.

  • That intimidation was a wrong.  The RIAA should be prosecuted for obtaining money by menaces.

Just consider the proposition.  The American music industry, like the film industry, uses its legal muscle to extract massive profits from a small of number of mediocre “artists” whom its members have under contract.  As an industry, it is already as rich as Croesus, exploiting its copyrights and other forms of intellectual property on a global scale and seeking to dumb down the entire aural globe.  Manhattan schoolgirl 12-year-old Brianna was undoubtedly acting in breach of copyright – but what could the “damages” for her breach possibly have been?  The idea that the industry would suffer $150,000 damages per tune from Brianna’s individual breach (which is the only possible subject of such a legal claim) is ludicrous.   Yet that is what the Statement of Claim said.  So ludicrous is the claim that it must itself be considered a form of obtaining money by extortion.  To threaten a poor family with ruin, quite wrongfully – and to force them to pay up $2,000 in cash “to settle the matter” must be a crime.  A crime by the RIAA.   For the only effect of Brianna’s action was to shave off a few hundred dollars from the industry’s obscene riches, and the outrageous personal fortunes of the “artists” and their fellow-perpetrators.  The entire business is a global network of mediocrity, maintained by legalised thuggery. 

Music piracy is one of the few civilising influences in a world increasingly enmeshed by the aggressive enforcement of private property rights.  The challenge to socialists is to find a more balance solution to the problem of cultural strangulation by copyright.  My socialist solution?  To slash all copyright rights to a maximum exploitation period of ten years.  Current periods vary from country to country, often the lifetime of the author/composer plus 25 years.  These periods should be slashed to ten, from the date of first publication.  That would force the industry to keep working, encouraging new talent, generating greater diversity. 

And it would, at a stroke, eliminate a large slice of the outrageous profits of the pop music and entertainment sector. 

  • Think justice!  Think socialist!

What do you think?  Drop me a line

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