capitalism attained such a popular legitimacy that people would be willing to undertake nonviolent action to defend it.
On the surface, social defence may not seem to be a challenge to capitalism. As noted in chapter 2, few nonviolence theorists have even mentioned capitalism: their main focus has been systems of overt repression, such as dictatorship. Yet because capitalism relies on violence at its foundations, social defence is a deep-seated challenge: it gives people the tools to confront and replace unjust social systems of any sort. Grassroots campaigns for social defence provide the greatest challenge, since they maximise participation, build ends into means and are more resistant to cooption.
11. Global issues
The increasing power of multinational corporations and the increasing pervasiveness of the capitalist system around the world is commonly called “globalisation.” Properly speaking, this should be called capitalist globalisation, since there can be other types of globalisation, such as of science and nonviolence.
Capitalist globalisation includes increasing trade, rapid movement of investment capital, freely adjustable exchange rates, movement of production to low wage regions of the world, agreements on tariffs and other trade issues, global communication systems, increasing size of multinational corporations, and greater homogeneity in markets. Globalisation involves a shift in power from local communities and small-country governments to multinational corporations and the governments of the most powerful economies.
Global marketing means that local products and tastes are challenged by products and tastes from multinational corporations, such as Coca-Cola, Hollywood movies, synthetic pesticides, Toyota vehicles and professional golf. Along with products comes the attraction of a consumer lifestyle.
Critics of globalisation have argued that it largely benefits the rich while impoverishing the poor within both developing and developed countries, undermines local traditions and reduces cultural diversity, fosters wants that cannot all be satisfied, imposes unsustainable burdens on the environment and reduces public accountability. In short, globalisation intensifies and spreads some of the worst aspects of capitalism without doing much to foster the social infrastructure and habits that mitigate capitalism’s excesses. There is globalisation of corporate power but relatively little globalisation of philanthropy, civil liberties, occupational health and safety or humanisation of work.
Opposition to capitalism thus entails opposition to capitalist globalisation. However, stopping, slowing or transforming globalisation is only part of the struggle. It is not much use opposing the power of multinational corporations if the alternative is supporting exploitative local corporations or a repressive government.
Globalisation is especially damaging for poor people in developing countries.[1] Indeed, it can be seen as the latest manifestation of centuries of exploitation, beginning with imperialism and colonialism — in which political subjugation was the foundation for economic exploitation — and followed, after colonies gained independence, by neocolonialism, in which economic exploitation continued via investment, loans, trade and corruption. The notorious “structural adjustment programs” imposed by the World Bank on debtor countries have forced them to adhere to a neoliberal economic model, subordinating local economies to the markets of rich countries. Loans, unproductive development projects and massive high-level corruption have perpetuated economic subordination. Globalisation is a continuation and more efficient form of this pattern of exploitation. These problems are well documented.[2] The question is what to do about them.
Although globalisation is presented as a rational process, it contains many contradictions. For example, the ideology of the market is that there should be free movement of all factors involved in production, but labour is not allowed the same country-to-country mobility as capital. Another myth of market economies is that economic failure is punished by bankruptcy, but in numerous cases large corporations in rich countries are propped up by governments rather than allowed to collapse. When governments of small countries cannot pay their debts, they are not allowed to go bankrupt — which would mean that foreign banks and governments would lose their money. Instead, structural adjustment programmes are imposed so that the people of the country are forced to pay the debt.
Nonviolent action against globalisation can occur in all sorts of ways, from protests against McDonald’s in India to setting up of local money systems. To illustrate the potential of global-local campaigning, three issues are examined here: the Multilateral Agreement on Investment, genetically modified organisms and free software.
The Multilateral Agreement on Investment (MAI)[3]
The MAI sought to codify a set of investment “rights” for corporations. The idea was that when multinational corporations deemed that regulations in a foreign country interfered with their “freedom” to compete in the marketplace, they could use the MAI to challenge them. Government authority to regulate with regard to environmental, employment, consumer and other issues would be curtailed. In an attempt to remove all barriers to free flow of capital, the agreement would have forced signatory countries to treat foreign competitors and investors as the equals of national companies and investors. This had implications for social welfare, the arts, research, non- profit organisations and much more.
As an exercise in working towards equalising the investment conditions faced by multinational corporations across the globe, the MAI probably would have brought about a “lowest common denominator” in the area of environmental, consumer and labour laws, overriding more protective legislation. While the proposal spelt out more certainty for investors, it meant further uncertainty for marginalised workers and the poor who, in many countries, are reliant on subsidised food, also under threat from the MAI.
In 1995, a draft MAI was prepared by the Organisation for Economic Cooperation and Development (OECD), representing the 29 wealthiest countries. Most of this work was done in secret.
A wide cross-section of groups opposed the MAI for a variety of reasons.[4] The opposition included unions, environmental groups and green parties, some other small political parties, church groups, consumer and aid organisations. While there was certainly some right-wing opposition, for instance the One Nation political party in Australia and racist groups in the Netherlands, the bulk of the activism came from left-wing and socially progressive groups who generally saw the MAI as an attack on human rights and state sovereignty. They anticipated that it would further erode environmental and worker protection and indigenous people’s rights, as well as restricting the means for defending them.
Defending state sovereignty against corporate domination has its down side: governments, after all, frequently act against the interests of citizens and the environment, including when supporting local capitalist interests. Most social justice activists involved in the anti-MAI campaign opposed both national and global oppression, but felt amply justified in targeting the MAI because it would have undermined socially beneficial national legislation while doing little to reduce state-level oppression.
In 1997, a photocopy of the MAI draft was leaked to Global Tradewatch, a citizens’ organisation based in the USA. Using electronic mail and the World Wide Web, Global Tradewatch disseminated the information to numerous organisations, commencing a chain reaction that involved more than 600 groups worldwide.
There were public meetings, campaign meetings, ringing up radio stations, writing to newspapers, fundraising, placing newspaper advertisements, rallies and much more. Thus global networking through the Internet worked synergistically with local actions. Eventually action was significant enough to generate attention in the mainstream media and alert a wider public to the issues. The result was that the MAI was stopped, though versions of it are still on the global corporate agenda.