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How bad would it have to get? August 12, 2014

Posted by WorldbyStorm in Economy, Irish Politics, The Left.
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Many thanks to the person who forwarded to me “Where are the Pots and Pans? Collective Responses in Ireland to Neoliberalization in a Time of Crisis: Learning from Latin America”, written by Barry Cannon and Mary P. Murphy of NUIM and available free for download here…

Its central question is why have the much more aggressive responses seen elsewhere during the socio-economic crisis of the last half decade and more not been replicated in Ireland. The abstract gives a real sense of the thrust of the piece:

ABSTRACT Since 2008, Ireland has experienced a profound multi-faceted crisis, stemming from the collapse of the financial and property sectors. Despite enduring six years of neoliberal austerity measures in response to this situation, popular protest has been muted. Using Silva’s [(2009) Challenging Neoliberalism in Latin America (Cambridge and New York: Cambridge University Press)] framework of analysis of popular responses in Latin America to that region’s debt crisis of the 1980s and 1990s, this article seeks to investigate why this has been the case. We assess how the crisis is being framed among popular and civil society groups, and whether increased associational and collective power is developing. In doing so, we look at processes of intra-group cooperation, cross-group cooperation and framing and brokerage mechanisms. We then ask, where such processes exist, if they can lead to a comprehensive challenge to the neoliberal policies currently being implemented, as happened in much of Latin America. We conclude that the crisis has not yet reached sufficient depth or longevity to foster a more robust popular response, but propose that analysis of similar processes in Latin America can help us understand better why this is the case, not just in Ireland, but in other countries of Europe experiencing similar situations.

It is an effective overview of the period and the framework used is quite persuasive. And there’s a lot of thought provoking points, not least the following:

Furthermore, as noted above, neoliberalism and free market ideology have largely been internalized by Irish people. Although faith in neoliberal institutions has been badly shaken (Edelman, 2014) progressive groups have had difficulty popularizing ideas about alternatives to austerity, not helped by a largely neoliberalized mainstream media (Mercille, 2014) using narrow, pro-market and divisive framing mechanisms (Cawley, 2011).

And:

Despite unresolved high levels of individual and collective indebtedness, increased deprivation as a growing feature in the middle class2 and extensive political and socio-economic exclusion created by economic volatility, we argue, relative to Latin America, the crisis simply has not been grave enough to cause a ‘double movement’ with sufficient force to provoke a change of course. Meanwhile, the power of indigenous Irish proneoliberal forces augmented by their international allies, particularly in the ‘troika’ of the EC, ECB and IMF, has remained far stronger than that of contending forces.

And as to the left or the TU’s? Cannon and Murphy point too the co-optation of the latter for the most part and

Lack of capacity can be explained by the nature of Irish social power and how it is organized, in particular the state and market structures which constrain and shape such agency and their position in the wider global structure. It can also be accounted for due to more local fragmentary and sectarian tendencies within the Irish Left and the reactive and conservative natures of Irish NGOs.

It also notes some of the most reactionary aspects of the state/government/orthodoxy response to the crisis – for example, massively prioritising cuts over tax increases or the dismantling of the ability of the state itself to properly track the impacts of its own policies on citizens.

If people can read it it would be well worth the effort. It’s not very long and yet it manages to succinctly outline many (perhaps most) of the elements within the socio-political context and their interactions.

If their arguments are correct it raises a further question. How bad would things have to get before we would see the level of dislocation with the political system we have seen elsewhere? Any thoughts?

Comments»

1. sonofstan - August 12, 2014

available free for download here…

Doesn’t appear to be?

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WorldbyStorm - August 12, 2014

Ach, you’re right, think they’ve changed settings over the weekend, it may be available elsewhere…

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2. Tomboktu - August 12, 2014

Slides based on the paper continue to be available here:

Click to access BarryCannonMaryMurphy.pdf

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3. Gewerkschaftler - August 12, 2014

It’s a major shame about the Paywal – publicly funded academic work must turn a profit for Routledge, apparently.

The slides and the above are suggestive however.

Where they suggest as a starting point:

Develop reformist agendas framed in clearer anti neoliberal terms
but bringing together popular and middle class demands;

… I’d favour a European-wide campaign for debt audits and debt deligitimation.

60% of Irish public debt is illegitimate and should not be serviced or repaid – it was either used to pay private gambling debts in the banking sector, to fund tax cuts for the wealthy, or was part of some PPP public pays, private profits rip off.

Can’t pay, shouldn’t pay, won’t pay!

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4. sonofstan - August 12, 2014

All of this is framed as ‘anti-neoliberal’ – and yet I don’t really see how anything that has happened here or in the wider EU in the last 6 years can be described as ‘neo-liberal’; if anything the opposite – massive state and supra-state interference in the anything- but- free market, and a ballooning money supply.

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CMK - August 12, 2014

Reading Philip Mirowski’s ‘Never Let a Good Crisis Go to Waste: How Neo-Liberalism Survived the Financial Meltdown’ and he clinically dissects how the Mont Pelerin Society, and its intellectual big names Hayek and Friedman, were explicit that their revolution would involve appropriating the state, permanently, to assert the dominance of markets over all and every aspect of social and economic life. All that stuff about ‘freedom’, ‘big government’, ‘choice’ etc is just cheap sloganeering to win popular support for neo-liberal change; but the neo-liberals knew and know they can’t get beyond first base without commandeering the State to their ends. Neo-liberalism is, for true neo-liberals is not about shrinking the State, but using it and controlling it to their ends. Hayek, for instance, being clear that there is a conflict between the market and democracy and that the former should, in all cases, triumph over any manifestation of popular will. Their view being that the ‘market’ is the most sophisticated processor of information to have evolved ever and under all circumstances and can’t be second guessed. Mirowski is well worth reading, in my view.

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sonofstan - August 12, 2014

I get that, but I don’t think all the Friedman stuff about controlling the money supply was ‘cheap sloganeering’ and yet supposed ‘neo-liberals’ are blowing up the banks with QE in order to ‘fix’ markets that remain stubbornly broken. I think ‘true neo-liberals’ if they exist at all, have as much in common with what real existing capitalism is doing as ‘true communists’ did with real existing socialism. ‘Neo-liberalism’ is just becoming a phrase for ‘stuff we don’t like’. What’s actually going on is much more complex and chaotic than the pressing home of ideological advantage by the right (although that’s happening too – just not with the intended outcomes)

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RosencrantzisDead - August 12, 2014

+1 sonofstan

A personal bug-bear of mine.

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CMK - August 12, 2014

Within the complexity and chaos those who do regard themselves as ‘true neo-liberals’, and there are those who do, are most definitely interested in pressing home their ideological advantage via capture of the State. Of course, the consequences of that don’t seem to bother them, both in terms of the contradictions for their own theoretical perspective and the human consequences, which bother them not a bit.

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WorldbyStorm - August 12, 2014

Thats true re the primary aspects of the context but Wouldn’t the consequent attacks on state provision and thd public sector and yet further pushes towards privatisation come under that term?

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5. workers republicu - August 12, 2014

There’s truth in what both CMK and Sonofstan say. Most capitalists are not intellectual, haven’t read Freidman or even Adam’s Wealth of Nations. Their mental focus is on making profit. If they need complex formulae to to make profit from say,derivatives they’ll hire techies to calculate them. This lack of ideology is actually a strength for the Capitalists, they don’t have ‘splits’ and bitter sectarian rivalry as happens with Socialists,all two often. Of course, there are rivalries, but they’re not based on
ideology,but personlaity i.e. OBrien / ORielly and power i.e. Ryanair towards
Air Lingus .Most economists are Right wing,but don’t see themselves as such, they just rationalize the status quo.

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