Monday, February 13, 2012
On The Edge with Max Keiser
As an experiment in unfettered communication, try discussing this interview (or anything else you want) on this Reddit thread. (BTW, Reddit has a happening subreddit: /r/collapse.)
Sunday, February 05, 2012
The Wheel of Misfortune
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| Jonas Burgert, Roulette |
Predating all of the wonderful props at
Harry Potter's Hogwarts School of Witchcraft and Wizardry (HSWW), the
original Wheel of Fortune surfaced in Monday Begins on Saturday,
a Soviet-era science fiction novella by brothers Strugatsky, where we
find it installed at a the Scientific Research Institute of Sorcery
and Magic (НИИЧAВO). It looks like the side of a moving conveyor
belt protruding out of a wall: since it never repeats its course, the
wheel must rotate slower than one RPE (revolutions per eternity)
meaning that its radius must be infinite, and its edge, projected
into our physical universe, appears as the edge of a conveyor belt
moving past us.
Unbeknownst to most of our
contemporaries, Fortune is actually a deity, like Allah or Jesus, but
unlike them she has been worshipped since most ancient times, as Tyche in Greece and as Fortuna in Rome. She continues to
be worshipped in the present times, around the world, but especially
in the US, where her temples and shrines are everywhere, from the
humble lottery machines at every corner shop, gas station and liquor
store to the casino capitalists who inhabit the glass towers of Wall
Street. Millions of mortals supplicate before Tyche daily. Virtually
unnoticed, the cult of Tyche dominates the religious landscape in the
US: just compare the sizes of the casino buildings in Las Vegas and
Atlantic City to the country's largest cathedrals and temples: except
for a few mega-churches, the former consistently dwarf the latter.
The essential act of worshipping Tyche
is by drawing lots, from which derives the term “lottery.”
Tyche's promise is that you too may win some day, and this simple
promise is powerful enough to allow her to hold much of the
population captive to her every whim, ready to gamble away their last
dollar. Tyche's spiritual solace is that, whatever happens, it is
never your fault, just your luck. Tyche also keeps the peace,
allowing us to overcome the envy and rancor we inevitably feel
against our betters: they succeed not because of their superiority,
but because of sheer dumb luck; we could all be just like them, if
only the all-powerful Tyche would favor us.
Of our two biggest religions, Islam was
far more successful of purging all the older polytheistic deities, locking up their
idols within the Kaaba at Mecca. (I would love to take a peek inside
the Kaaba to see if Tyche is imprisoned there, except that, being an
infidel, I would get beheaded for even trying.) While the Christians
have attempted to negotiate with Tyche, thinking that there is room
in the universe for both God's will and Tyche's random chance, Islam
did no such thing: Allah is eternal, omnipotent, omniscient,
omnipresent and omni-licious, so, if you please, check your
questioning mind at the gate and prostrate rhythmically in the
general direction of Mecca. Wagering is allowed, but only at camel
races, and only among the participating camel jockeys, while
“intoxicants and games of chance” are, according to the Quran
[5:90-91], “abominations of Satan's handiwork,” and so they are
haram (verboten). In a strict Moslem society the cult of Tyche
can gain no purchase.
Meanwhile, Christianity seems to have
utterly failed at resisting Tyche's charms. In the middle ages
Fortuna and her wheel were temporarily absorbed into Christian dogma,
making her a servant of divine will. But this gambit has failed, as
we recently saw when the Pope tried and failed to answer a simple
question posed by a young girl from a war-ravaged land: “Why did God
allow my friends to be killed?” Why does a just and merciful God
allow the murder of innocents? The real answer (“They were
unlucky”) cannot be spoken, because it would indicate that Tyche's
authority supercedes that of the supposed Almighty, causing cognitive
dissonance within the flock. At a less intellectual level, salvation
can be seen as an infinitely long winning streak, and the faithful
feel luckier from being sanctified in the blood of the Lamb. At the
almost completely non-intellectual level of superstition wherein many
believers dwell, Jesus is a sort of good luck charm. But what all of
this points to is that, in Christianity, nobody is really in charge
up there, so Tyche feels free to step in and fill the void,
incidentally absolving God of any responsibility for what actually
happens. He may be all-merciful and love mankind, but then He is not really
the one issuing the orders on a day-to-day basis. Bewildering, isn't
it?
More bewildering yet, Tyche's claim to
dominance is not limited to religion or gambling or finance. In
modern science, randomness (that is, chance, which is Tyche's domain)
is at the heart of all explanations of what happens at the level of
elementary particles. The functioning of the transistor—the device
at the heart of all electronics—is explained by saying that the instantaneous location of any given electron is not a point in space but a
probability distribution, with the actual location picked at random.
In spite of this, the observed behavior of transistors is quite
deterministic (except for a bit of hiss which we ignore).
As Einstein famously said, “God
doesn't play dice with the world.” And he was right: it is not God
who plays dice with the world, it's Tyche, and she is not shy about
it. The scientists are certainly keeping her busy with the so-called
Monte-Carlo models that are widely used in particle physics, which
are driven by randomness. The gigantic particle accelerators at
Fermilab and at CERN are the largest prayer wheels ever built,
praying that Tyche might show us an exotic particle or two.
Impressive though these are, perhaps the largest playground science
has given over to Tyche is in evolutionary biology: we are who we are
thanks to a sequence of random mutations. Thank you, Tyche, for the
opposable thumb, for bipedal locomotion, binocular vision, and for the
fact that we possess language! Without you, not only would we not
exist, but life itself would not have evolved out of primordial ooze
incessantly zapped by lightning.
I see all of this particularly clearly
because I am by nature highly resistant to Tyche's charms. The idea
of gambling revolts me, and I have never gambled, or purchased a
lottery ticket or a raffle ticket, or made a bet. To me, chance and
randomness are noise and garbage. I try to construct pockets of
difference and meaning within what appears to me as an indifferent and
meaningless universe. Any explanation that hinges on the work of
chance strikes me as one lacking explanatory depth. I do whatever I
can to eliminate chance from my life, and I actually detest the very
idea of luck. This puts me at quite a considerable advantage vis à
vis those who waste their energies on Tyche. This has nothing to do
with luck; it just has to do with conserving energy, because that is
precisely what Tyche is (in my opinion): a demon that haunts feeble
minds, forcing them to expend their energies in futile pursuits, in
order to keep other, even worse demons at bay.
Such futile pursuits can be quite
pleasant (not to me, but then I will concede that I am unusual) when
there is plenty of energy left to squander. But when that energy
starts to run out (along with most other resources on this
overcrowded, depleted, polluted planet), which it is currently
showing every sign of doing, then everyone's luck starts to
run out at the same time. As the situation goes from bad to worse,
people gamble away their savings and drop out of the game. The US
labor market since the financial collapse of 2008 is a case in point:
the labor pool has shrunk to the point that something like 10% have
lost their jobs, never to gain them back. There is a term for that:
it is called a decimation.
Decimation is a Roman military practice
that was used to discipline legions that did not perform well in
battle. Soldiers were organized in groups of ten and drew lots. Out
of each group of ten, one comrade drew the shortest stick, and was
promptly bludgeoned to death by the others. This, to them, made perfect sense.
In a superstitious culture, victory is a matter of luck, and so to
achieve victory, all one needs to do is to identify and purge the
unlucky ones, by the luck of the draw. Once they are gone, then by
definition all those who remain are lucky, and can go on to victory
confident in the knowledge that Tyche is on their side.
The decimation in the labor market has
had a similar effect: a lot of people are gone and have faded from
view, but the ones who were dismissed as companies “trimmed the
fat” are seen as the unlucky ones. Those who remain are, by
definition, lucky, and try to make the best use of their luck by
working ridiculously long hours. That may work once, but what if the
cycle of decimation is to repeat endlessly? The only historical case
of repeated decimation (the Legion of Thebes) was an act of
martyrdom, and so is not relevant. If a single round of decimation
fails to rally the troops to victory, the next one should drive them
to mutiny.
The labor market is just one example of
this sort; the retirement debacle is another. Those people in the US
who have managed to save for retirement are gambling with it, by
investing it in stocks (whose upside is limited by the economy's
inability to grow) and bonds (whose upside is limited by runaway
public debt, currency debasement, and eventual sovereign default
and/or currency devaluation). The financial collapse of 2008 has
decimated their retirement savings, and yet they are still gambling
with them. At what point will they refuse to keep playing? When all
of their savings are gone, or at some point before then?
At what point does a society made up of
gambling addicts refuse to gamble? Once they have lost everything? Or once it has become clear to them that the game has degenerated into
“Heads you lose, tails you lose”? Tyche's charms are appealing only
when she isn't cheating. But if you are invited to play, although you
(and just about everyone you know) always loses while some
perpetually “lucky” group always wins, then that fails to satisfy
the gambling urge, and Tyche fades away, to be replaced by the far
more destructive demons of envy and rancor which she previously held
in check. It will be very interesting to see how this will (pardon
the pun) play itself out. Obviously, I am not making any bets.
Thursday, January 26, 2012
Perfectly Comfortable
I don't particularly like cars. I don't
like the way they smell, on the inside or the outside. I don't like
the feeling of being trapped in a sheet metal-and-vinyl box, my body
slowly warping to the shape of a bucket seat. I don't enjoy the
visually unexciting and inhospitable environment of highways or the
boredom of spending hours gazing at asphalt markings and highway
signs. I particularly dislike the insect-like behavior that cars
provoke in people, reducing their behavioral repertoire to that of
ants who follow each other around, their heads in close proximity to
the previous insect's rear end. Nor do I enjoy having a mechanical
dependent that I have to feed and house all the time, even though I
rarely have need of it. I do sometimes need to use a car, and then I
rent one or use one from a car-sharing service that charges by the
hour. The most enjoyable parts of that exercise is when I pick it up and when I drop it off. Cars end up costing me a few hundred dollars each year, which
is a few hundred dollars more than I would like to spend on them.
I do like bicycles. They are about the
most ingenious form of transportation humans have been able to invent
so far. I especially like mine, which I bought second-hand, from a
friend, for something like $150. That was about 20 years ago. It
still has a lot of the original parts: frame, fork, chainrings and
cranks, bottom bracket and hubs. The spokes and rims were
replaced once; the cables twice; the freewheel and chain
five or six times; the tires a dozen times or more; I've lost count
of the inner tubes, which don't last long thanks to all the broken
glass on the road from cars smashing into each other.
Over time, I've upgraded various bits. Nice titanium break levers from a used parts bin at a local bicycle school set me back $10. One of the down-tube shift lever mechanisms fell apart (it was partly made of plastic), and I replaced it with an all-metal one from a nearby bin at the same establishment. The original rear derailleur was by Suntour, which no longer exists, and so I replaced it with a Shimano part, for $60, I recall. Ruinous expense, that! (The front derailleur is still the original Suntour.)
The frame is made of very high quality chrome-molybdenum alloy of a sort rarely encountered today. Chrome and molybdenum prices have gone up by a lot since then, and steelmakers have found new ways to cut corners. It survived a ride up and down the East Coast aboard a sailboat, exposed to the elements, without a problem. It looks like a beat-up, rusty old road bike—not something bicycle thieves normally find interesting—and that's exactly how a bicycle should be made to look even when it is new.
Over time, I've upgraded various bits. Nice titanium break levers from a used parts bin at a local bicycle school set me back $10. One of the down-tube shift lever mechanisms fell apart (it was partly made of plastic), and I replaced it with an all-metal one from a nearby bin at the same establishment. The original rear derailleur was by Suntour, which no longer exists, and so I replaced it with a Shimano part, for $60, I recall. Ruinous expense, that! (The front derailleur is still the original Suntour.)
The frame is made of very high quality chrome-molybdenum alloy of a sort rarely encountered today. Chrome and molybdenum prices have gone up by a lot since then, and steelmakers have found new ways to cut corners. It survived a ride up and down the East Coast aboard a sailboat, exposed to the elements, without a problem. It looks like a beat-up, rusty old road bike—not something bicycle thieves normally find interesting—and that's exactly how a bicycle should be made to look even when it is new.
I ride something like 7 km just about
every weekday of the year. Sometimes I ride quite a bit farther,
spending half a day meandering through the countryside or along the
coast. I've ridden as much as 160 km in one day; that was a bit
tiring. I rarely take the shortest path, preferring meandering bike
paths that go through parks and along the river. I do ride through
traffic quite a bit of the time, and have developed a style for
keeping safe. I pay minimal attention to traffic signals and lights
(they wouldn't be needed if it weren't for cars) and mostly just pay
attention to the movements of cars. (Traffic lights are sometimes
useful in predicting the behavior of cars, but not reliably, and not
so much in Boston.) I also tend to take up a full lane whenever a
bicycle lane is not available (cars are not a prioritized form of
transportation, to my mind). A person who is in a hurry, here in
Boston, would get there sooner by riding a bicycle. I understand that
this annoys certain drivers quite a lot, raising their blood
pressure. Perhaps the elevated blood pressure will, in due course,
get them off the road, along with their cars, freeing up the space
for more bicycles.
In the summer, my riding attire
consists of a tank-top, shorts, and flip-flops. I've tried various
combinations of pedals with toeclips, clipless pedals and bicycle
shoes with cleats, and eventually settled on the most basic pedals
available and flip-flops. I've also experimented with padded
bicycling shorts and jerseys made of Lycra, and found them too
confining. Also, I just couldn't get over the feeling that I
shouldn't wear such outfits, no more than I should be going around in
tights and a tutu, and so I went back to wearing hiking shorts. But
it can be a fine show when Balet russe comes rolling through town.
When it rains, I put on a Gortex bicycle jacket that evaporates the
sweat while keeping the rainwater out. The hood goes under the
helmet, keeping my head dry as well.
The bicycling outfit gets more
complicated in wintertime. The Gortex jacket is still there, but
underneath it is a hoodie, under that a wool shirt and thermal
underwear (microfiber works best). The shorts are replaced with
jeans, with Gortex zip-on pants over them for messy weather. The
flip-flops are replaced with insulated, waterproof half-boots, with
two layers of wool socks. Add ski gloves and a ski mask, and the
outfit is complete.
Oddly enough, bicycling on a frosty but
dry winter day is even more enjoyable than on a balmy summer day.
Firstly, in the winter cooling is not an issue, so I can ride as fast
as I want without breaking a sweat. If I start feeling too warm, I
can unzip the jacket partway and get all the cooling I want.
Secondly, there is the realization that bicycling in wintertime is
more comfortable than walking, since I can generate as much heat as I
need to keep warm simply by going faster. The one somewhat unpleasant
part of winter riding is the wind: cold winter air is a lot denser
than warm summer air: a 20 km/h headwind is hard to pedal against in
the summer, but much harder in the winter. (I recently rode across
town in a gale, and it was not unlike a mountain climb, grinding away
in the lowest gear. The ride back was all downwind, and I was flying,
riding the brakes the entire way.)
Snow and ice present an interesting set
of challenges to a two-wheeled vehicle. I've experimented with
studded tires, fat cyclocross tires with deep treads and regular road
tires. Road tires won. Studded tires on both front and back are a
huge performance killer, making a fast road bike into more of a
stationary exercise bike. Putting the studded tire just on the front
(which is where it is really needed the most, since the rear can
fishtail all it wants without compromising stability) helps quite a
lot. But overall, studded tires create a false sense of security; it
is better, I have found, to keep the regular road tires on and simply
learn to recognize and adjust to the conditions.
High-pressure road bicycle tires have
tiny contact patches, and apply tremendous pressure to the road
surface—enough to indent packed snow, creating side-to-side
traction. It's still not possible to bank steeply, but it is quite
possible to keep balance by slowing down. Fore-and-aft traction is
not quite as good, making rapid acceleration and braking unlikely. On
a slippery surface, the game becomes to avoid breaking friction
between the road and the tire. Tires with a deep tread seem to work
well on mud, but do not seem to help at all on snow, because the
tread becomes packed with compacted snow, causing a lot of rolling
resistance but not much traction. With regular road tires, the only
truly frictionless surfaces I have found so far are smooth ice
covered by water and oiled steel plates. When I encounter either of
these, I get off and walk, having once wiped out quite badly on an
oiled steel plate, in the middle of summer, in fine weather.
If any of this seems strange to you,
then there may be something funny going on inside your head and you
should get it checked out. Around the world, for over a century,
people everywhere have used the bicycle to get around in every kind
of climate and weather. There are year-round bicyclists in the
Sahara, as well as in Edmonton, Alberta. Bicycling year-round is very
much a solved problem everywhere. Here in Boston I know dozens of
people who commute by bicycle year-round, and I see hundreds of
people out on bicycles, every day, at all times of the year.
And yet with just about any random
group of people I encounter the idea of bicycling through winter is
regarded as very strange: somewhere between suicidal and heroic. (The
fact that driving a car is far more dangerous, and suicidal on
multiple levels, does not seem to register with most people.) What
can I say? To each his own. As for me, I am perfectly comfortable
riding a bicycle year-round.
Sunday, January 08, 2012
Dance of the Marionettes
It's election season in the US, which
means that I have the unwelcome task of wading through
well-intentioned though off-topic comments devoted to things
political: who might be the next president, and whether or not it
matters who the next president is (it doesn't). And rather than bear
it quietly, I thought I'd say something about it.
Electioneering in the US is steadily
expanding to fill more and more time and space even as it provides
worse and worse results with each election cycle. The Congress is
made of some of the least popular people on earth, who are manifestly
incapable of achieving anything useful. They do seem quite ready and
willing to pass laws that erode human rights and enhance the powers
of the police state, but this is because they are paranoid. Perhaps
their one point of consensus is that sooner or later their
constituents will want to open fire on them.
Still, the elections provide a
spectacle, the media are conditioned to lavish attention on the
candidates, and the people, being weak-willed, are once again
beguiled into thinking that it matters who gets elected. A few years
of Obama impersonating Bush should have taught them that it doesn't
matter who the Prisoner of the White House is. Likewise, watching the
sad spectacle of Congress trying to raise the debt limit or to reign
in runaway deficit spending should have taught them that this
institution is no longer functional. (The US is about to bump up
against the debt limit again; does anyone even care?) All of this
should have been enough to make it clear to just about everyone that
wondering what might be different if, say, Ron Paul got elected
president, is like wondering what might be different if the moon were
made of a different kind of cheese—your favorite kind, of course.
Leaving aside the meaningless question
of who the next Figurehead in Chief might be, let's look briefly at
what is perhaps the most corrupt institution the US has: the US
Senate. Everyone knows that senate seats are for sale: as soon as a
senator gets elected, he starts fund-raising, to finance his
reelection campaign. Since each state, whether huge or puny, gets two
seats, these are variously priced: the two seats for a large, populous
state, like California or Texas, are very expensive, while the two seats
for the puny State of Potatoho or some such, with its zero million
inhabitants, are more reasonably priced. Since the senators
themselves decide nothing and are simply mouthpieces to the moneyed
interests which buy their seats, and since this is a very divided
country, they are unable to achieve compromise, making the Senate
completely useless as a deliberative body.
Let's face it: the senators are just
marionettes controlled by giant bags of money. Their seats are
definitely for sale, all of them, all the time. But then an odd thing
happened about a month ago: the ousted Illinois Governor Rod Blagojevich
was sentenced to 14 years in prison for allegedly attempting to sell
the senate seat that was vacated when Obama was elected president. It
seems like a stiff penalty for something that is a routine, daily
occurrence, does it not? It is especially odd since other miscreants
who actually caused serious damage, like former senator Jon Corzine,
who looted investors' accounts to cover his gambling debts in the
futures market, are still at large. What set Blagojevich apart is that he
violated a taboo. Just like any normal criminal syndicate, the US
Senate has rules by which the members preserve their positions and
keep each other in check. As with a criminal syndicate, these rules
have nothing to do with serving the public interest. One of these
rules is that it is not allowed to sell a senate seat if it is
unoccupied. Essentially, senators get to sell senate seats, governors
don't. It is a tribal taboo: “Of course we can have sex with our
underage daughters—we all do it—but not when they are
menstruating! We are all good decent God-fearing Troglodytes!” Rod Blagojevich
is the exception that proves the rule: senate seats are for sale.
It stands to reason, then, that the way
to influence this political system, in its current advanced state of
degeneracy, is not through the political process, which is just a pro
forma activity that determines nothing. Armed with the understanding
that it doesn't matter who gets elected, we should ignore the
elections altogether. To get the government to respond, it is far more effective to organize
around issues, pool resources, and hire lobbyists.
As for the rest of us, who do not have
the means to hire lobbyists, there are still a few things we can do:
we can starve the system by withholding resources from it, and we can
bleed the system by extracting payments from it. If we are clever, we
can also find ways to frustrate the system by artificially generating
complexity. The system has been gamed to our disadvantage. We are not
going to win by playing along. But we all win whenever we refuse to
play the game.
If you simply can't resist the
temptation to play the game, don't play it to win. Play it strictly
for the entertainment value. Ignore the front-runners and focus on
all the amusing types that have zero probability of being elected.
Encourage them, give them airtime and attention. And if anybody
wonders why their candidacy matters, use the opportunity to explain
to them why none of these political marionettes matter at all.
Friday, January 06, 2012
Where did the money go?
[A timely guest post from Gary, with all the anti-Iranian sabre-rattling going on. Spurred on by its political parasitic twin Israel, Washington seems poised to shoot itself right in the wallet. I believe that's called a "beauty shot."]
Military Keynesianism and America’s Declining Infrastructure
The lesson that the United States desperately needs to learn is that their trillion-dollar-a-year military is nothing more than a gigantic public money sponge that provokes outrage among friends and enemies alike and puts the country in ill repute. It is useless against its enemies, because they know better than to engage it directly. It can never be used to defeat any of the major nuclear powers, because sufficient deterrence against it can be maintained for relatively little money. It can never defuse a popular insurgency, because that takes political and diplomatic finesse, not a compulsion to bomb faraway places. Political and diplomatic finesse cannot be procured, even for a trillion dollars, even in a country that believes in extreme makeovers. As Vladimir Putin put it, “If grandmother had testicles, she’d be a grandfather.”
Reinventing Collapse, 2nd ed., p. 41
Military Keynesianism and America’s Declining Infrastructure
In
August 2007, the nation was stunned by the collapse of a major
Minneapolis bridge, killing thirteen. The bridge had been rated
structurally deficient by the U.S. government as far back as 1990, and
it was only one of 72,868 bridges (12.1%) across the country with that
rating. They also rated 89.024 bridges (14.8%) as functionally
obsolete. Here closer to my home the eighty year old Champlain Bridge,
also known as the Crown Point Bridge, was closed in October 2009 due to
extensive corrosion of two structural piers. At least it was condemned
before it fell down. Two years later a replacement bridge has been
completed, but not without substantial inconvenience and economic loss
to business and workers on both sides of the bridge. People were forced
to take a ferry during reconstruction. The DOT states the average
design life of US bridges is 50 years with an average current age of 43.
The American Society of Civil Engineers estimates that it would take
nearly $930 billion to fix the country's failing bridges and roads over the next five years. With estimated spending of $380.5 billion, they predict a shortfall of $549.5 billion.
Where did all the money go? The recently deceased Chalmers Johnson called it "Military Keynesianism". For those who don't follow arcane economics lingo, Keynes was a British economist who said that in a period of slow or declining economic growth (recession or depression), that government spending was needed to "prime the pump" of the economy. The US recovery from the Great Depression with help from WWII military spending gave credence to this analysis. Except now we have permanent Military Keynesianism.
Johnson cites an incredible statistic from the late Seymour Melman, the Columbia University advocate of military conversion, and the "peace dividend". "By 1990, the value of the weapons, equipment, and factories devoted to the military was 83% of the value of all plants and equipment in American Manufacturing. From 1947-1990 the combined US military budget amounted to $8.7 trillion...Military industries crowd out the civilian economy (ed-and other government spending like bridges) and lead to severe economic weakness.” Consider that the US military is now spending over $1 trillion per year including all black and related expenses, which is more than the entire rest of the world combined. The next biggest spender is China at $91.5 billion according to Chinese figures. Johnson summarizes, “Devotion to military Keynesianism is, in fact, a form of slow economic suicide."
But isn't war good for the economy as former President George W. Bush told Argentine President Kirchner in Oliver Stone's recent movie "South of the Border?" Johnson quotes historian Thomas Woods, "According to the US DOD, during the four decades from 1947 through 1987 it used (in 1982 dollars) $7.62 trillion in capital resources. In 1985 the Dept of Commerce estimated the value of the nation's plant and equipment and infrastructure at just over $7.29 trillion. In other words, the amount spent over that period could have doubled the American capital stock or modernized and replaced its existing stock."
Johnson cites a study by economist Dean Baker of CEPR in 2007 that concludes, "In fact most economic models show that military spending diverts resources from productive uses, such as consumption and investment, and ultimately slows economic growth and reduces employment." Why would this be? Think about nuclear weapons. The best possible use for them is not to use them at all. At the peak the US had 32,500 nuclear weapons. Think about the massive cost of something that then (thankfully) sits on the shelf and provides no use to anyone.
Finally Johnson quotes Harvard economics professor Benjamin Friedman, "Again and again it has always been the world's leading lending country that has been the premier country in terms of political influence, diplomatic influence, and cultural influence...we are now the world's biggest debtor country, and we are continuing to wield influence on the basis of military prowess alone." Think about that when you pay your family's $10,000 per year contribution to the Iraq and Afghanistan wars.
Back in the 1980’s Gorbachev cut Soviet military spending, and predicted that the US would continue to spend itself into oblivion. Who will stop the madness of military Keynesianism? Obomber or Romney? LOL. Johnson concludes, "Our short tenure as the world's "lone superpower" has come to an end." All that's left is for the fat lady to sing, when the US goes broke. It won't be long now.
All quotes from Dismantling the Empire, by Chalmers Johnson, Metropolitan Books/Henry Holt and Co. 2010
Where did all the money go? The recently deceased Chalmers Johnson called it "Military Keynesianism". For those who don't follow arcane economics lingo, Keynes was a British economist who said that in a period of slow or declining economic growth (recession or depression), that government spending was needed to "prime the pump" of the economy. The US recovery from the Great Depression with help from WWII military spending gave credence to this analysis. Except now we have permanent Military Keynesianism.
Johnson cites an incredible statistic from the late Seymour Melman, the Columbia University advocate of military conversion, and the "peace dividend". "By 1990, the value of the weapons, equipment, and factories devoted to the military was 83% of the value of all plants and equipment in American Manufacturing. From 1947-1990 the combined US military budget amounted to $8.7 trillion...Military industries crowd out the civilian economy (ed-and other government spending like bridges) and lead to severe economic weakness.” Consider that the US military is now spending over $1 trillion per year including all black and related expenses, which is more than the entire rest of the world combined. The next biggest spender is China at $91.5 billion according to Chinese figures. Johnson summarizes, “Devotion to military Keynesianism is, in fact, a form of slow economic suicide."
But isn't war good for the economy as former President George W. Bush told Argentine President Kirchner in Oliver Stone's recent movie "South of the Border?" Johnson quotes historian Thomas Woods, "According to the US DOD, during the four decades from 1947 through 1987 it used (in 1982 dollars) $7.62 trillion in capital resources. In 1985 the Dept of Commerce estimated the value of the nation's plant and equipment and infrastructure at just over $7.29 trillion. In other words, the amount spent over that period could have doubled the American capital stock or modernized and replaced its existing stock."
Johnson cites a study by economist Dean Baker of CEPR in 2007 that concludes, "In fact most economic models show that military spending diverts resources from productive uses, such as consumption and investment, and ultimately slows economic growth and reduces employment." Why would this be? Think about nuclear weapons. The best possible use for them is not to use them at all. At the peak the US had 32,500 nuclear weapons. Think about the massive cost of something that then (thankfully) sits on the shelf and provides no use to anyone.
Finally Johnson quotes Harvard economics professor Benjamin Friedman, "Again and again it has always been the world's leading lending country that has been the premier country in terms of political influence, diplomatic influence, and cultural influence...we are now the world's biggest debtor country, and we are continuing to wield influence on the basis of military prowess alone." Think about that when you pay your family's $10,000 per year contribution to the Iraq and Afghanistan wars.
Back in the 1980’s Gorbachev cut Soviet military spending, and predicted that the US would continue to spend itself into oblivion. Who will stop the madness of military Keynesianism? Obomber or Romney? LOL. Johnson concludes, "Our short tenure as the world's "lone superpower" has come to an end." All that's left is for the fat lady to sing, when the US goes broke. It won't be long now.
All quotes from Dismantling the Empire, by Chalmers Johnson, Metropolitan Books/Henry Holt and Co. 2010
Wednesday, January 04, 2012
The Rise of Tricycle Pushcarts
[Guest post by Albert. I spent some time as Albert's guest on the little island of which he writes. It is one of my favorite places in the world.] "Even in backward mining communities, as late as the sixteenth century more than half the recorded days were holidays; while for Europe as a whole, the total number of holidays, including Sunday, came to 189, a number even greater than those enjoyed by Imperial Rome. Nothing more clearly indicates a surplus of food and human energy, if not material goods. Modern labor-saving devices have as yet done no better.
Lewis Mumford, Myth of the Machine : Technics and Human Development, 1967.
In rural México, the number of holidays competes with the number of workdays to see which will find more space on the calendar. Not that the people don’t work, mind you, just that they like to keep hours at any given task as brief as possible, to maintain perspective. As in most agricultural regions of the world, diversity and entrepreneurship is ingrained. When times are especially tight, this instinct goes into overdrive.
I have been wintering in a small Mayan fishing village that is part of a natural reserve and like most villages in México it is laid out on a New England-style town grid. There were no ancient Roman master planners or 1950’s city engineers that surveyed these grids. Nearly all were spontaneous extensions from a single spine road that sent off perpendicular ribs at regular intervals, and those sent off cross-lanes at approximately the same intervals—usually 6 or 8 homes on a side—that created the matrix. Grids like these, as the Egyptians, Greeks, Chinese and Romans understood, enhance the interactions amongst people and encourage a free flow of products, services and information.
Living on one such street, all of them unpaved here, I have noticed a discernible uptick in the number and variety of pushcarts. Here they are called tricyclos. In other places—Denmark or Holland, for instance—modern pushcarts are “cargo cycles.” They can take different forms but the most common is what is known in the bike world as tadpole or front-load trike—2 wheels in front and 1 wheel in the back. These are ideal for food vendors or pedicabs which require frequent interactions with the scene on the street.
A world leader in trike evolution is Christiania, the 800-member urban ecovillage in Copenhagen. Their company, Christianabikes began in 1976 as a small cottage industry to support the alternative community. Today Christianabikes is transnational in reach and constantly improving its designs. For long-hauls, it has low-slung cargo bikes. For vendors like those in Mexico, it has a simple tadpole design that can be customized to meet virtually any use. What we see in Mexico are mostly Chinese-made clones of Christiania’s original design, or Mexican fabrications of the Chinese fabrications tacked together in local welding shops. Creations like these, which date back a century or more, should be acknowledged to be ‘open source’ by now.
What struck me is that I cannot recall a time in the past decade that I have been observing these vendors when there were more of them. Call it a sign of the times, but every few hours another passes by the front of my house, shouting out what he or she is selling. In the morning its newspapers and fresh, hand-made tortillas. Around lunchtime is it fresh garden vegetables, epizote, bread and other kinds of unprepared food. There might be a tricycle for fruits and juices, another for tomatoes, onions and peppers, another for potatoes, beans and rice. By late afternoons they may pass by with fresh sweetbreads, steaming hot tamales, or corn on the cob.
A man with his tricycle grinding stone offers to sharpen machetes, knives, scissors, shovels, or any other sharp objects. A man with a blender (12V but it could as easily be pedal-powered) makes cups of shaved ice with sweet corn or coconut.
You can buy a tricycle brand-new, assembled, already painted in taxi colors of orange and white, and be ready to take a fare straight from hardware store to wherever they are going. The price of a new Chinese-built trike is 3200 pesos, about US$229.32 at today’s rates. The board that goes across the bars for a seat was salvaged from the trash at no cost, but perhaps some cushioned fabric is sewn over to help you through the potholes. Typically a fare pays 20 pesos ($1.43) for up to a 10-block ride.
I asked a tortilla vendor who plies a regular daily afternoon route how much he sells in an average day. “100 kilos” is what he said. His corn tortillas sell for a 3-peso mark-up over the tortilla factory (and there are three of them within a 5-block radius). So if he sells 100 kg, he makes 300 pesos per day, enough to pay for the tricycle in just under 11 days. Perhaps his wife has a masa roller and automated oven at home and he makes his own tortillas and the margin is even better.
Stopping by the largest of the tortilla factories in town — a one-room addition to a family home, which now employs three women from outside the family to turn corn meal masa into machine-stamped tortillas — I inquired how many tortillas they make in a typical day. “Ocho o nueve,” she said, meaning eight or nine metric tons — 8000 to 9000 kilos — and remember, this is just one of three within a short distance, and many people prefer to make their own at home. The entrepreneurial drive explores for available niches and fills them. Many of these factories supply restaurants and grocery stores. Retail home sales pass through bulk buyers at the tortilleria, like my local trike man, who do just fine with the small margin people are willing to pay for the convenience of not walking around the corner.
I noticed that my man sometimes gets lucky and lands a really big sale, however. Maybe someone is throwing a big party (and this happens often) and needs 20 kg. Or a tendajón finds itself short on a holiday weekend and buys 50 kg. His route is pretty small, just a few blocks, but if his son could run his trike in the mornings, or a second trike in the afternoon when he is making his rounds, perhaps he could extend his family’s range and double their earnings. Then again, as I’ve seen, he’s not interested in that, preferring to live quite adequately on 300 pesos per day ($21.50) in a town where the average unskilled worker makes even less than that. Or perhaps he has another job already and is just enlarging the family’s income by putting in a few extra hours while schmoozing with his neighbors.
For me, I’d rather save 3 pesos and ride my bike a couple blocks to the tortilleria, but that’s mainly because, being a writer, I need excuses to force myself out of my chair. As times have become tougher for average people, I’ve also noticed more homes along my bike route opening their front rooms to make tendejóns or comidas economicas. A comida economica provides a home-cooked meal with table service, giving the buyer a plate of whatever the family is making that day. A tendejón is an informal home store. It might have home-grown pigs, chickens or eggs for sale, or garden produce. It shares the same root word, tener (to have), as the more formal store or mini-mart (tienda), but whether for legal reasons or just wanting to keep it more neighborly, a tendejón is an unpredictable collection of wares in someone’s living room, next to their Christmas tree and fluorescent blinking statute of the Virgin of Guadelupe.
Between the tendejón and the tienda lie the more formal abarrotes, or package stores, which usually sell cold beer, insect repellent and junk food. These are usually under a residence or in an adjoining building to the family’s principal dwelling. There are one or more abarrotes, tendejóns and tiendas on nearly every block.
Tricyclos are a common sight in much of Yucatán Peninsula, as they are in Asia, Africa, South America and other parts of the two-thirds world. In the United States you mention a tricycle and people think of Monty Python or Laugh-In. In the global south they are multifunctional and ubiquitous. You see them as fishermen’s friends, beach-roving gear-buckets for surfers, portable crepe parlors, bellhop cabin service, and the poor man’s moving van.
Low-tech Magazine, an on-line compendium, describes many novel uses for pedal power, from archival scans of Sears Catalog pages circa 1892 to a modern recumbent cargo quads. Corn grinding, water pumping and sewer-system cleaning are all potentially portable, pedal-powered services. These are niches that will likely be explored in the South far sooner than when people in North finally decide to come down off of their high horses and get a third wheel.
Monday, January 02, 2012
A Dismal Public Affair
This morning I was honored to participate in a panel discussion [transcript] on what
the near future holds with an illustrious panel: Richard Heinberg,
Nicole Foss, James Howard Kunstler and Noam Chomsky. And it turned out
really dismal, if you ask me! The overall message seems to have been
that it doesn't matter what any of us say, because so few people are able to take in such bad news without becoming despondent, so we might as well just let Chomsky ramble on like
he always does, as a sort of case in point. And of course the moderator just had get up Kunstler's
nose with the usual "so this is all doom and gloom, isn't it?" sort of
comment. The one funny bit is around 51:26 where Chomsky calls Daniel Yergin "a very
serious analyst" right after Kunstler calls him "the oil industry's chief public relations prostitute." Perhaps this will make Yergin an even better prostitute. And Chomsky is a very serious linguist. Think positive!
Do you want some good news? Here it is: Russia's GLONASS satellite navigation system is fully operational, finally, so we no longer have to rely solely on the Pentagon's GPS to tell us exactly where we are. In fact, the two systems work and play well together. 100% redundancy for 99% of us!
Do you want some good news? Here it is: Russia's GLONASS satellite navigation system is fully operational, finally, so we no longer have to rely solely on the Pentagon's GPS to tell us exactly where we are. In fact, the two systems work and play well together. 100% redundancy for 99% of us!
Thursday, December 15, 2011
A Conversation About Europe
I came upon Dmitry Orlov's writings—as with most good things on the Internet—by letting chance and curiosity guide me from link to link. It was one of those moments of clarity when a large number of confusing questions find their answer along with their correct formulation. For example, the existence of fundamental similarities between the Soviet Union and the United States was for me a vague intuition, but I was unable to draw up a detailed list as Dmitry has done. One must have lived in two crumbling empires in order to be able to do that.
I must say that my enthusiasm was not shared
by those around me, with whom I have shared my translations. It's
only natural: who wants to hear how our world of material comfort,
opportunity and unstoppable individual progress is about to collapse
under the weight of its own expansion? Certainly not the post-war
generation weaned on the exuberant growth of the postwar boom (1945-1973),
well established in their lives of average consumers since the 1980s,
and willing to enjoy a hedonistic age while remaining convinced that
despite the economic tragedies ravaging society around them, their
grandchildren will benefit from more or less the same well-padded,
industrialized lifestyle. The generation of their children is more
receptive to the notion of economic decline—though to varying
degrees, depending on the decrease of their purchasing power and how lethally bored they feel at work (if they can find any)
.
It would be wrong to shoot the messenger who brings bad news. If you read Dmitry carefully, scrupulously separating the factual bad news, which are beyond his control, from his views on what can be done to survive and live in a post-industrial world, you will find evidence of strong optimism. I hope that in this he is right.
Whatever our views on peak oil and its consequences—or our distate for scary prophecies—we can find in Dmitry Orlov fresh ideas on how to conduct our lives in a degraded economic and political environment, reasons to seek fruitful relations with people you might not normally cherry-pick, or the most effective approach to the frustrating political and media chatter and the honeyed whisper of commercial propaganda (shrug, turn around and go on with your life).
It would be wrong to shoot the messenger who brings bad news. If you read Dmitry carefully, scrupulously separating the factual bad news, which are beyond his control, from his views on what can be done to survive and live in a post-industrial world, you will find evidence of strong optimism. I hope that in this he is right.
Whatever our views on peak oil and its consequences—or our distate for scary prophecies—we can find in Dmitry Orlov fresh ideas on how to conduct our lives in a degraded economic and political environment, reasons to seek fruitful relations with people you might not normally cherry-pick, or the most effective approach to the frustrating political and media chatter and the honeyed whisper of commercial propaganda (shrug, turn around and go on with your life).
Tancrède Bastié
TB: What difference do you see
between American and European close future?
DO: European countries are historical
entities that still hold vestiges of allegiances beyond the
monetized, corporate realm, while the United States was started as a
corporate entity, based on a revolution that was essentially a tax
revolt and thus has no fall-back. The European population is less
transient than in America, with a stronger sense of regional
belonging and are more likely to be acquainted with their neighbors
and to be able to find a common language and to find solutions to
common problems.
Probably the largest difference, and
the one most promising for fruitful discussion, is in the area of
local politics. European political life may be damaged by money
politics and free market liberalism, but unlike in the United States,
it does not seem completely brain-dead. At least I hope that it isn't
completely dead; the warm air coming out of Brussels is often
indistinguishable from the vapor vented by Washington, but better
things might happen on the local level. In Europe there is something
of a political spectrum left, dissent is not entirely futile, and
revolt is not entirely suicidal. In all, the European political
landscape may offer many more possibilities for relocalization, for
demonetization of human relationships, for devolution to more local
institutions and support systems, than the United States.
TB: Will American collapse delay
European collapse or accelerate it?
DO: There are many uncertainties to how
events might unfold, but Europe is at least twice as able to weather
the next, predicted oil shock as the United States. Once petroleum
demand in the US collapses following a hard crash, Europe will for a
time, perhaps for as long as a decade, have the petroleum resources
it needs, before resource depletion catches up with demand.
The relative proximity to Eurasia's
large natural gas reserves should also prove to be a major safeguard
against disruption, in spite of toxic pipeline politics. The
predicted sudden demise of the US dollar will no doubt be
economically disruptive, but in the slightly longer term the collapse
of the dollar system will stop the hemorrhaging of the world's
savings into American risky debt and unaffordable consumption. This
should boost the fortunes of Eurozone countries and also give some
breathing space to the world's poorer countries.
TB: How does Europe compare to the
United States and the former Soviet Union, collapse-wise?
DO: Europe is ahead of the United
States in all the key Collapse Gap categories, such as housing,
transportation, food, medicine, education and security. In all these
areas, there is at least some system of public support and some
elements of local resilience. How the subjective experience of
collapse will compare to what happened in the Soviet Union is
something we will all have to think about after the fact. One major
difference is that the collapse of the USSR was followed by a wave of
corrupt and even criminal privatization and economic liberalization,
which was like having an earthquake followed by arson, whereas I do
not see any horrible new economic system on the horizon that is ready
to be imposed on Europe the moment it stumbles. On the other hand,
the remnants of socialism that were so helpful after the Soviet
collapse are far more eroded in Europe thanks to the recent wave of
failed experiments of market liberalization.
TB: How does peak oil interact with
peak gas and peak coal? Should we care about other peaks?
DO: The various fossil fuels are not
interchangeable. Oil provides the vast majority of transport fuels,
without which commerce in developed economies comes to a standstill.
Coal is important for providing for the base electric load in many
countries (not France, which relies on nuclear). Natural gas
(methane) provides ammonia fertilizer for industrial agriculture, and
also provides thermal energy for domestic heating, cooking and
numerous manufacturing processes.
All of these supplies are past their
peaks in most countries, and are either past or approaching their
peaks globally.
About a quarter of all the oil is still
being produced from a handful of super-giant oil fields which were
discovered several decades ago. The productive lives of these fields
have been extended by techniques such as in-fill drilling and water
injection. These techniques allow the resource to be depleted more
fully and more quickly, resulting in a much steeper decline: the oil
turns to water, slowly at first, then all at once. The super-giant
Cantarell field in the Gulf of Mexico is a good example of such rapid
depletion, and Mexico does not have many years left as an oil
exporter. Saudi Arabia, the world's second-largest oil producer after
Russia, is very secretive about its fields, but it is telltale that
they have curtailed oil field development and are investing in solar
technology.
Although there is currently an attempt
to represent as a break-through the new (in reality, not so new) hydraulic fracturing
and horizontal drilling techniques for producing natural gas from
geological formations, such as shale, that were previously considered
insufficiently porous, this is, in reality, a financial play. The
effort is too expensive in terms of both technical requirements and
environmental damage to pay for itself, unless the price of natural
gas rises to the point where it starts to cause economic damage,
which suppresses demand.
Coal was previously thought to be very
abundant, with hundreds of years of supply left at current levels.
However, these estimates have been reassessed in recent years, and it
would appear that the world's largest coal producer, China, is quite
close to its peak. Since it is coal that has directly fueled the
recent bout of Chinese economic growth, this implies that Chinese
economic growth is at an end, with severe economic, social and
political dislocations to follow. The US relies on coal for close to
half of its electricity generation, and is likewise unable to
increase the use of this resource. Most of the energy-dense
anthracite has been depleted in the US, and what is being produced
now, through environmentally destructive techniques such as
mountaintop removal, is much lower grades of coal. The coal is slowly
turning to dirt. At a certain point in time coal will cease to
provide an energy gain: digging it up, crushing it and transporting
it to a power plant will become a net waste of energy.
It is essential to appreciate the fact
that it is oil, and the transport fuels produced from it, that
enables all other types of economic activity. Without diesel for
locomotives, coal cannot be transported to power plants, the electric
grid goes down, and all economic activity stops. It is also essential
to understand that even minor shortfalls in the availability of
transport fuels have severe economic knock-on effects. These effects
are exacerbated by the fact that it is economic growth, not economic
décroissance [Fr., "de-growth"] (which seems inevitable, given the factors described
above) that forms the basis of all economic and industrial planning.
Modern industrial economies, at the financial, political and
technological level, are not designed for shrinkage, or even for
steady state. Thus, a minor oil crisis (such as the recent steady
increase in the price of oil punctuated by severe price spikes)
results in a sociopolitical calamity.
Lastly, it bears mentioning that fossil
fuels are really only useful in the context of an industrial economy
that can make use of them. An industrial economy that is in an
advanced state of decay and collapse can neither produce nor make use
of the vast quantities of fossil fuels that are currently burned up
daily. There is no known method of scaling industry down to boutique
size, to serve just the needs of the elite, or to provide life
support to social, financial and political institutions that
co-evolved with industry in absence of industry. It also bears
pointing out that fossil fuel use was very tightly correlated with
human population size on the way up, and is likely to remain so on
the way down. Thus, it may not be necessary to look too far past the
peak in global oil production to see major disruption of global
industry, which will make other fossil fuels irrelevant.
TB: How is post-collapse Russia
doing ? Ready for its second peak ?
DO: Russia remains the world's largest
oil producer. Although it has been unable to grow its conventional
oil production, it has recently claimed that it can double its oil
endowment by drilling offshore in the melting Arctic. Russia is and
remains Europe's second largest energy asset. In spite of toxic
pipeline politics (which have recently been remedied somewhat by the
construction of the Nordstream gas pipeline across the Baltic) it has
historically been the single most reliable European energy supplier,
and shows every intention of remaining so into the future.
TB: Is there hope for a safe,
harmless European decline, or is any industrial society just bound to
collapse at once when fuel runs out?
DO: The severity of collapse will
depend on how quickly societies can scale down their energy use,
curtail their reliance on industry, grow their own food, go back to
manual methods of production for fulfilling their immediate needs,
and so forth. It is to be expected that large cities and industrial
centers will depopulate the fastest. On the other hand, remote,
land-locked, rural areas will not have the local resources to reboot
into a post-industrial mode. But there is hope for small-to-middling
towns that are surrounded by arable land and have access to a
waterway. To see what will be survivable, one needs to look at
ancient and medieval settlement patterns, ignoring places that became
overdeveloped during the industrial era. Those are the places to move
to, to ride out the coming events.
TB: I remember my grandmother
telling me about the German occupation, when urban and suburban
dwellers flocked into country towns every Sunday with empty cases,
eager too find some food to buy from the local farmers, hopping back
in a train the same day. Is there any advantage in living in a city,
in a post-collapse era, rather than in the countryside?
DO: Surviving in the countryside
requires a different mindset, and different set of skills than
surviving in a town or a city. Certainly, most of our contemporaries,
who spend their days manipulating symbols, and expect to be fed for
doing so, would not survive when left to their own devices in the
countryside. On the other hand, even those living in the countryside
are currently missing much of the know-how they once had for
surviving without industrial supplies, and lack the resources to
reconstitute it in a crisis. There could be some fruitful
collaboration between them, given sufficient focus and preparation.
TB: Can we grow sufficient food with
low technology, low energy methods, out of highly exhausted, highly
polluted farmland ? It seems we might end up in a worse farming
situation than our ancestors just two or three generations ago.
DO: That is certainly true. Add global
warming, which is already causing severe soil erosion due to
torrential rains and floods, droughts and heat waves in other areas.
It is likely that agriculture as it has existed for the past ten
thousand years will become ineffective in many areas. However, there
are other techniques for growing food, which involve setting up
stable ecosystems consisting of many species of plants and animals,
including humans, living together synergistically. What will of
necessity be left behind is the current system, where fertilizers and
pesticides are spread out on tilled dirt (rather than living soil) to
kill everything but one organism (a cash crop) which is then
mechanically harvested, processed, ingested, excreted, and flushed
into the ocean. This system is already encountering a hard limit in
the availability of phosphate fertilizer. But it is possible to
create closed cycle systems, where nutrients stay on the land and are
allowed to build up over time. The key to post-industrial human
survival, it turns out, is in making proper use of human excrement
and urine.
TB: If cities or big towns survive
collapse, what will be their core activities? What do we need cities
for?
DO: The size of towns and cities is
proportional to the surplus that the countryside is able to produce.
This surplus has become gigantic during the period of industrial
development, where one or two percent of the population is able to
feed the rest. In a post-industrial world, where two-thirds of the
population is directly involved in growing or gathering food, there
will be many fewer people who will be able to live on agricultural
surplus. The activities that are typically centralized are those that
have to do with long-range transportation (sail ports) and
manufacturing (mills and manufactures powered by waterwheels). Some
centers of learning may also remain, although much of contemporary
higher education, which involves training young people for
occupations which will no longer exist, is sure to fall by the
wayside.
TB: Some Americans view peak oil and
collapse as another investment opportunity. You already wrote on the
fallacies of the faith in money. That leaves a more useful question:
what can people do with their savings during or preferably before
collapse? What can you buy that is truly useful? I assume the answer
vary greatly according to how much money you still have.
DO: This is a very important question.
While there is still time, money should be converted to commodity
items that will remain useful even after the industrial base
disappears. These commodities can be stockpiled in containers and are
sure to lose their value more slowly than any paper asset. One
example is hand implements for performing manual labor, to provide
essential services that are currently performed by mechanized labor.
Another is materials that will be needed to bring back essential
post-industrial services such as sail-based transportation: materials
such as synthetic fibre rope and sail cloth need to be stockpiled
beforehand to ease the transition.
TB: You don't mention arable land or
housing. Do you think some kind of real property may turn out a
valuable post-collapse asset, assuming you can afford them without
drowning into debt, or is it too much financial and fiscal liability
in our pre-collapse era to be of any use?
DO: The laws and customs that govern
real property are not helpful or conducive to the right kind of
change. As the age of mechanized agriculture comes to an end, we
should expect there to be large tracts of fallow land. It won't
matter too much who owns them, on paper, since the owner is unlikely
to be able to make productive use of large fields without mechanized
labor. Other patterns of occupying the landscape will have to emerge,
of necessity, such as small plots tended by families, for
subsistence. Absentee landlords (those who hold title to land without
actually physically residing on it but using it as a financial asset)
are likely to be simply run off once the financial and mechanical
amplifiers of their feeble physical energies are no longer available
to them. I expect several decades more of fruitless efforts to grow
cash crops on increasingly depleted land using increasingly
unaffordable and unreliable mechanical and chemical farming
techniques. These efforts will increasingly lead to failure due to
climate disruption, causing food prices to spike and robbing the
population of their savings in a downward spiral. The new patterns of
subsisting off the land will take time to emerge, but this process
can be accelerated by people who pool resources, buy up, lease, or
simply occupy small tracts of land, and practice permaculture
techniques. Community gardens, guerilla gardening efforts, planting
wild edibles using seed balls, seasonal camps for growing and
gathering food, and other humble and low-key arrangements can pave
the way towards something bigger, allowing some groups of people to
avoid the most dismal scenario.
TB: How can people make preparations
for collapse or decline without losing connections with their current
social environment, friends, relatives, jobs or customers, and
everything around them that still function as usual. That is a
question about sanity as much as practicality.
DO: This is perhaps the most difficult
question. The level of alienation in developed industrial societies,
in Europe, North America and elsewhere, is quite staggering. People
are only able to form lasting friendships in school, and are unable
to become close with people thereafter with the possible exception of
romantic involvements, which are often fleeting. By a certain age
people become set in their ways, develop manners specific to their
class, and their interactions with others become scripted and limited
to socially sanctioned, commercial modes. A far-reaching,
fundamental transition, such as the one we are discussing, is
impossible without the ability to improvise, to be flexible—in
effect, to be able to abandon who you have been and to change who you
are in favor of what the moment demands. Paradoxically, it is usually
the young and the old, who have nothing to lose, who do the best, and
it is the successful, productive people between 30 and 60 who do the
worst. It takes a certain detachment from all that is abstract and
impersonal, and a personal approach to everyone around you, to
navigate the new landscape.
Thursday, December 08, 2011
Party of Swindlers and Thieves
[Update two days later: Medvedev announces an inquiry into election results.]
[Update a day later: The demonstrations in Moscow and around Russia were well-attended and largely peaceful. Best slogan so far: I didn't vote for these bastards. I voted for the other bastards. Sums it all up adequately. Very few people seem to think that Zyuganov (Communists) or Zhirinovsky (Lib Dems) is a viable alternative to Putin. (The rest of the opposition is comprised of midgets.) This is all about the process of sending a message and making sure it is received and, most importantly, processed adequately. It's this last bit that bears watching (sorry about the bear pun).]
[Update a day later: The demonstrations in Moscow and around Russia were well-attended and largely peaceful. Best slogan so far: I didn't vote for these bastards. I voted for the other bastards. Sums it all up adequately. Very few people seem to think that Zyuganov (Communists) or Zhirinovsky (Lib Dems) is a viable alternative to Putin. (The rest of the opposition is comprised of midgets.) This is all about the process of sending a message and making sure it is received and, most importantly, processed adequately. It's this last bit that bears watching (sorry about the bear pun).]
Russia has recently held parliamentary elections, which were, by most accounts, riddled with fraud. In the aftermath of the election, protests have erupted in Moscow, St. Petersburg and other parts of Russia. In the run-up to the elections, Putin's United Russia party was characterized as "Party of Swindlers and Thieves," known for phenomenal levels of corruption and for enshrining a new, untouchable bureaucratic aristocracy, bloated on siphoned-off oil and gas revenues, who refer to the commonplace bribes as "gratitude." In polling prior to the election, United Russia was garnering only some 15% of the vote, behind both the Communists and the Liberal Democrats. But thanks to rampant ballot stuffing, vote miscounting and other types of forgery, often carried out quite openly, it came in with a majority. The number of votes for United Russia was roughly doubled. Now it seems that the fraudulent tallies will be disputed in the courts. The word "revolution" is being bandied about only half-jokingly.
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| United Russia |
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| The Communists |
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| Liberal Democrats |
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| The Future is Ours! |
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| The Future is... Oops! |
Friday, December 02, 2011
Occupy the Million Dollar View
Now that the current phase of the Occupation movement—one that involved camping out in public places—is drawing to a close, thoughts turn to other, even more effective venues and exploits. Occupying the front lawns of mansions owned by the 1% would certainly send a message, although a very brief one, since trespassing happens to be illegal.
And then it hit me: it just so happens that the 1% own, roughly speaking, 99% of the really desirable beachfront properties, while the 99% have to make do with the 1% or so of the coastline that is reserved for public use. The 1%ers really like that “million-dollar view,” and the seaside mansion is one of their ultimate status symbols. Try to approach them from land, and you will quickly get spotted by vigilant local police and private security and won't make it very far—well shy of making any sort of statement, or even getting on the 1%er's radar.
But it just so happens that, according to US Federal law, they can only own property down to the low water line. In absence of specific regulations (marine sanctuary, public beach, municipal harbor, shipping lane, military reservation and so on) everything below the low water line is considered public anchorage. (It is everything below the high water line in Canada, which means that you can even occupy the beach at low tide and still not be trespassing.) Any vessel can anchor within a few meters of the 1%ers property, entirely spoiling their precious view with gigantic protest signs hanging from the mast, but if the boat is manned and is legal, then there is not a thing that they can do about it. On a calm evening, you can sail up, anchor, raft up, put up a big sail to use as a screen, and project a movie onto it. Eat the Rich, anyone? Then film their reaction, and project that next, with subtitles.
You might think that getting a sailboat flotilla together takes a lot of money. The boats that 1%ers such as Senator John Kerry prefer certainly are super-pricy, but then there are also many boats that can be had for free or for $1 (provided you agree to sail it away), or for a very small sum. For most people, sailboats are luxury items, and in these hard times many owners can't afford to keep them. They would like to get what they think their boats are worth, but since they can't, and since the boats are costing them money they don't have just sitting there, they are often willing to part with them for very little money. The trick is to make a ridiculously low offer sound non-insulting.
If a sailboat is engineless or has an outboard engine of 9.9 horsepower or less (which doesn't count as a real engine) then it is automatically grandfathered in and doesn't even need to be registered: just paint a name and a port of call on the transom, and it is legal. If it has an inboard diesel that runs, pull it out and sell it, and use the proceeds to finance the purchase of the boat itself, sometimes with money left to spare.
Would you like a more permanent occupation? Rotate vessels through the anchorage, going on an overnight cruise to nowhere every fortnight or so, keep all of the boats occupied at all times, and you are still legal. To establish a permanent base of operations that doesn't move, buy a mooring (a stationary mushroom anchor with a buoy chained to it) and use it to park a habitable but non-seaworthy vessel such as a houseboat.
If a sailboat is engineless or has an outboard engine of 9.9 horsepower or less (which doesn't count as a real engine) then it is automatically grandfathered in and doesn't even need to be registered: just paint a name and a port of call on the transom, and it is legal. If it has an inboard diesel that runs, pull it out and sell it, and use the proceeds to finance the purchase of the boat itself, sometimes with money left to spare.
Would you like a more permanent occupation? Rotate vessels through the anchorage, going on an overnight cruise to nowhere every fortnight or so, keep all of the boats occupied at all times, and you are still legal. To establish a permanent base of operations that doesn't move, buy a mooring (a stationary mushroom anchor with a buoy chained to it) and use it to park a habitable but non-seaworthy vessel such as a houseboat.
There are some safety requirements, but they are minimal: life jackets and life preservers, sanitation (a composting toilet works well), functioning navigation lights, fire extinguishers and flares (unexpired ones), and an anchor. Land cops can't touch you. It helps to have a marine VHF radio. When hailed, you have to know radio protocol and marine terminology, and use it. If boarded, you have to cooperate. Some things are stricter than on land: get caught with any drugs, and the vessel gets arrested (as well as you). Neglect boat maintenance in a serious way, and it will be declared “manifestly unsafe” and scuttled, and you will be set ashore. But the water is generally free of riffraff as well as police brutality. Everyone tends to be polite, safety-conscious and just does their job.
You might have some issues with private security, who might not be particularly interested in following the law. But then sailors in pirate-infested waters have found a neat trick that really works: shooting skeet. It's quite challenging to hit a clay pigeon from a boat, so you will need to bring plenty of shotgun shells. It is good sport, and also a peaceful yet effective show of force that works on pirates, and will certainly make the private Mickey Mouse cops think twice about challenging you further.
For something more to do, why not join a yacht race? Yacht races are organized for and by some of the wealthiest 1%ers, who like to show off before each other. Join them just for the downwind leg (their fancy racing sloops are all about tacking upwind and actually don't do that well downwind) and unfurl a gigantic square sail with a protest sign painted on it. You might even win (that leg).
And so I hope that come next summer there will be Occupy flotillas floating up to crash swank exclusive seaside gatherings by planting themselves directly in the middle of the million dollar view and doing what Occupy already does very well: trolling the 1%ers really, really hard, 100% legally, and giving the 99%ers a chance to start thinking about getting out of that tired old pantomime sheep costume and into something a bit more fashionable.















