Philippa Kaur

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    Can Chinawood Win Soft Power for Beijing?

    With movie theaters closed all over the world due to the COVID-19 pandemic, Hollywood studios had little reason for celebration over the past year. In business for over a century, Universal Pictures (founded in 1912), Paramount (1912), Warner Bros. (1923), Walt Disney (1923) and Columbia Pictures (1924) now have an extra reason to be concerned. In 2020, China took over Hollywood’s crown as the world’s biggest movie market, with a revenue of $3.2 billion, 84% of which came from domestic sales.

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    Is this new status enough for China? Probably not. New blockbusters will soon rebalance these numbers, but soft power — the ability to seduce people from all over the world through culture — takes time to build up. Soft power also brings lasting income to its country of origin in terms of products and services, like tourism for example. When in 1934, Walt Disney began work on “Snow White and the Seven Dwarfs,” other film studio chiefs derided the project as “Disney’s Folly,” since adults, not children, were considered to be primary consumers. These executives forgot that children watch films over and over again and want all the related merchandise. “Snow White” went on to become the first film in history to gross $100 million, selling 400 million tickets from 1937 to 1948.

    Welcome to Chinawood

    These are just numbers. Disney’s greatest achievement was making his creations into lucrative vehicles of US culture for decades to come. That is what China wants to achieve. It has been taking similar steps ever since farmer-turned-entrepreneur Xu Wenrong began building Hengdian World Studios in the 1990s. Known as Chinawood, it became the largest outdoor film studio in the world and one of China’s biggest domestic tourist attractions, offering historic film sets, a resort hotel and live performances. Marketing itself “China’s tourism and performing arts capital,” Chinawood attracts thousands of TV shows and film productions every year.

    Embed from Getty Images

    Also, since fewer than 40 foreign films are allowed to take a bite of this massive market due to a strict quota system, Chinawood also houses foreign productions like “The Mummy: Tomb of the Dragon Emperor,” a Hollywood-Chinawood co-production (these escape quota restrictions), starring the likes of Brendan Fraser and Jet Li, grossed over $400 million worldwide in the first 21 weeks of its release.

    Is this enough to make Chinawood a new soft power? The answer is, probably not. Because Chinawood productions face a similar challenge as all the other blockbusters shot in the country, these films often lack creativity, self-criticism, audacity and freedom. Take the recent historical war drama, Guan Hu’s “The Eight Hundred,” for example. The film — at $470 million, 2020’s top-grossing production — pushed China to the number one spot in global box office revenues. However, most of this profit comes from China itself and not international markets. While European and US theaters still struggle to open because of COVID-19, even without the pandemic, it’s hard to say that such productions could help the Chinese film industry overseas.

    “The Eight Hundred” was abruptly pulled from a scheduled premiere at the Shanghai Film Festival in 2019 without an explanation. A version shorter by 11 minutes later opened in theaters, with much fewer scenes involving Chiang Kai-shek’s Kuomintang forces. Besides likely censorship, what may explain the little impact the film had internationally, as the film critic Tony Rayns suggests, is that while avoiding the “rabid China-is-top-dog quality of the Wolf Warrior movies,” its “spirit is resolutely neo-nationalist,” with “all the bombast and jingoism of the current moment.”

    Hollywood became an effective soft powerhouse not only because of million-dollar budgets and top-quality products, but also thanks to creative freedom. For instance, Oliver Stone’s “Born on the Fourth of July” (1989) and Francis Ford Coppola’s “Apocalypse Now” (1979), both masterpieces, were expressly critical of US military intervention in Vietnam. The films are also on the patriotic side, with American values overemphasized. However, by criticizing America’s own culture and politics, the films are far from being hard-power propaganda.

    Hard Power Interference

    The Communist Party of China (CPP), on the other hand, interferes directly in cultural productions. According to a report by James Tager, PEN America’s deputy director of Free Expression Research and Policy, since 2011, the CCP’s Central Committee issued a statement declaring the “urgency for China to strengthen its cultural soft power and global cultural influence.” As Louisa Lim and Julia Bergin write in The Guardian, the party is trying to “reshape the global information environment with massive infusions of money” with the aim being to “influence public opinion overseas in order to nudge foreign governments into making policies favorable toward China’s Communist Party.”

    The official People’s Daily once declared, “we cannot be soft on soft power,” calling for culture must be exported in order to strengthen China’s international stance. Chinawood is part of this effort, which includes $10 billion spent annually on public diplomacy, in contrast with $2 billion allocated by the US Department of State in 2018. Soft power works well when China opens hundreds of Confucius Institutes to spread its language and culture around the world. What doesn’t work is when the same party severely punishes Chinese ethnical minorities, like the Muslim Uighurs facing persecution in Xinjiang.

    China already has an important cultural soft power: its art, poetry, painting, sculpture and pottery, from the early imperial dynasties to the 20th century, coveted by museums and collectors around the world. It succeeds because the state hard power doesn’t interfere significantly with it. But when it comes to contemporary culture — films, games, TV shows and apps like Tik Tok — Chinese hard power seems to impose harmful control. That’s not how soft power works. It needs freedom and self-criticism to produce genuine and seductive art.

    George Orwell once said that “Journalism is printing what someone does not want printed; everything else is public relations.” The phrase also pertains to the arts and the entertainment industry. When President Xi Jinping says that “the stories of China should be well told, voices of China well spread and characteristics of China well explained,” by “well” he probably means “positive.” That is definitely not how one wins soft power for the long term.

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    The Texas Crisis: Tilting at Windmills

    Sometime last week, cold air escaped from the polar vortex, which usually stays high above the north pole. That icy air then traveled down to wreak havoc across Texas, a state geographically larger than France, bordering Mexico. Its nearly 30 million inhabitants are just starting to realize the scope of the epic infrastructural failure that has led to the entire state being declared a disaster area.

    The freezing temperatures have affected power plants, offices, hospitals and homes, killing at least 30 people so far. Major metropolitan cities such as Houston, San Antonio, Dallas/Fort Worth and Austin are literally frozen. Personally, it was indeed unusual to message colleagues in Europe and Britain to cancel meetings, reporting that three inches of snow had caused power outages in a state known for its energy production. Having spent most of my adult life in New York City and Cambridge, Massachusetts, never would I have imagined my home state of Texas crumbling before my eyes from such a minuscule amount of snow.

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    On the ground, people, including myself, have collected and melted snow to flush toilets. Some are resorting to more desperate measures. Those who do have water are being told by local officials to boil before usage. Almost everyone fears their pipes bursting and flooding their homes with freezing water, as has happened to many friends and colleagues. Like others, I have scavenged for wood to burn in our seldom-used fireplace. Fueling stations and grocery shelves have been left empty much like during the initial outbreak of the COVID-19 pandemic, and people are sheltering in place for the second time in a year.

    While some pundits have tried to frame this as a “once in a century event,” such claims begin to ring hollow after they become so frequently used. Scientists like Judah Cohen argue this is just the latest disaster from the on-going climate crisis.

    The Latest Disaster

    While snow is indeed rare in central and south Texas, in the northern, rural panhandle, snow is quite normal. Those small northern cities that are closer to Colorado than Mexico have been operating on one of the two national power grids and thus have largely been unaffected by the crisis. In the rest of energy-rich Texas, public utilities have been privatized over the decades, as state Republicans opted for the rest of Texas to operate its own power grid to avoid federal regulation.

    Former Texas governor and US secretary of energy, Rick Perry, claimed on Wednesday that “Texans would be without electricity for longer than three days to keep the federal government out of their business.” One friend of mine, who coincidently works in the oil and gas industry, had to escape his cold, waterless house at midnight with his wife, toddler, and 13-day-old baby. He would certainly disagree with that callous statement.

    Embed from Getty Images

    On Sunday night, as temperatures dropped to a 30-year record low of -18˚C (0˚F), demand for energy rose, the power grid collapsed because of a lack of weather preparedness, causing widespread outages. These outages caused local water systems to freeze not just because of the cold weather, but due to a lack of electricity to pump the water, leaving nearly half the state without supply. The state then mandated rolling outages to regulate energy — with no clear idea of which communities are being prioritized, how energy is being triaged and when this will end.

    Texas Governor Greg Abbott has gone on Fox News to blame renewable energy sources — and to attack the proposed Green New Deal favored by progressives — for a crisis caused primarily by the failure of the state to follow national standards to prepare equipment for dangerous weather events. Falsely, Abbott has claimed: “Our wind and our solar got shut down, and they were collectively more than 10 percent of our power grid, and that thrust Texas into a situation where it was lacking power on a state-wide basis … It just shows that fossil fuel is necessary.”

    This was echoed by right-wing representatives like Dan Crenshaw. In truth, the crisis was mostly caused by a lack of regulations mandating equipment be prepared for extreme weather as federal guidelines suggest. It was further exacerbated by the fact that Republican lawmakers, in power for the past two decades, refused to participate in the national grid, which could have eased the strain on the state’s system — all to pad the profit margins of private energy companies.

    Of course, much colder places in the northern United States and Canada rely on renewable solar and wind energy that has been equipped for cold weather. After blowback showing that most of the failures originated with fossil fuel, gas and nuclear power plants that were not equipped for the weather, Abbott blamed the Electric Reliability Council of Texas (ERCOT), which is led by Republicans he appointed. Meanwhile, right-wing Texas state Senator Ted Cruz left his constituents to fend for themselves as he headed toward Cancun, in Mexico, using Houston police resources to help him get to the airport.

    Tim Boyd, mayor of Colorado City, has resigned after posting on Facebook that “No one owes you [or] your family anything; nor is it the local government’s responsibility to support you during trying times like this! Sink or swim it’s your choice! The City and County, along with power providers or any other service owes you NOTHING! I’m sick and tired of people looking for a damn handout.” Boyd’s argument relies on the prominent Texas myth of pulling yourself up by the bootstraps. This individualist myth assumed that white settler colonialists did precisely that and survived the wilderness alone at the edge of the American frontier, so you should too. In fact, these settlers often relied upon not just each other but also generations of communal knowledge shared with them by Native Americans.

    Ensuring Survival

    Ensuring survival during disasters requires a collective approach. This is one of the reasons we humans live in societies — we can do more together than alone. This is something that the current COVID-19 crisis should have taught us. The solution is simple, yet enormous: we must modernize all our systems —health, education and infrastructure. We need to make all utility companies — gas, electric, water, internet, cable, and phones — public. We must not prioritize customers but, rather, people.

    Texas is having a rude awakening because of decades of conservative policies that have prioritized private companies and rejected federal regulations that would have made the current crisis more manageable, if not altogether avoidable. Texas, the epitome of right-wing experimentation, has become a failed experiment overnight. Resolving this issue will be complicated because of continued climate change denial and the rejection of facts by right-wing politicians and their cult.

    In Miguel de Cervantes’ classic novel, “Don Quixote,” the fictional errant knight attacks what he perceives to be giants, despite being warned by his squire, Sancho Panza, that they are simply windmills. After Quixote’s failed attack on the windmills, Cervantes writes that “the knight was unable to move, so great was the shock with which he and [his horse] had hit the ground.” With their own attack on wind turbines, Texas Republicans have begun charging at windmills, blaming a small renewable energy sector instead of the destructive policies that created this deadly disaster.

    Hopefully, like Don Quixote, who eventually recognizes his madness, the Republican Party will acknowledge its own delusions. Imagining these windmills as socialist giants coming for individual rights will leave us “very much battered indeed,” as Cervantes describes his delusional character who, too, tilted at windmills.

    *[Fair Observer is a media partner of the Centre for Analysis of the Radical Right.]

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    The Italian Job: Can Mario Draghi Master It?

    A political crisis was the last thing Italy needed during the COVID-19 pandemic. Yet a personal conflict between the leader of Italia Viva, Matteo Renzi, and the previous prime minister, Giuseppe Conte, led to the collapse of the coalition in mid-January. President Sergio Mattarella then commissioned 73-year-old Mario Draghi, the former head of the European Central Bank (ECB), to form a technocratic government, which he will preside over as prime minister.

    According to Mattarella, it would have been risky to organize early elections during the pandemic. Indeed, new elections would have delayed the fight against the pandemic. In addition, the prospect of a right-wing populist government would also probably have had a negative impact on the financial markets — a risk that had to be avoided in an already challenging situation.

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    Draghi is inheriting a difficult situation. In Italy, the health, economic and social crises triggered by the pandemic have exacerbated the country’s enormous structural problems. Italy’s “seven deadly sins” — as Italian economist Carlo Cottarelli called them — are tax evasion, corruption, excessive bureaucracy, an inefficient judicial system, demographic problems, the north-south divide and difficulty in functioning within the eurozone. As a result of the pandemic, gross domestic product (GDP) fell by almost 9% in 2020, public debt rose to around 160% of GDP and more than 400,000 jobs were lost. The inability of the traditional parties to find solutions for the economic problems keeps support for the right-wing populist coalition (Lega, Fratelli d’Italia, Forza Italia) at almost 50%.

    Even though almost all major political forces have declared their intent to cooperate with the Draghi government, the framework of a technocratic government offers the right-wing populists a target. It is quite conceivable that they will accuse Draghi of lacking democratic legitimacy. It will also be a challenge for the new head of government to govern without his own parliamentary majority.

    Managing the Health Crisis Without Austerity

    The top priority of the new leadership will be to manage the health crisis. This includes speeding up vaccinations and supporting schools and the labor market. This means applying for — and successfully using — funds from the financial assistance plan of the European Union to mitigate the economic and social consequences of the COVID-19 pandemic. The expected €200 billion ($243 billion) or so from this fund could benefit the economic recovery as well as the planned structural reforms in public administration, taxation and the judiciary, which will give the new government more room for maneuver in economic policy.

    Unlike the last technocratic government under Mario Monti between 2011 and 2013, the fact that Draghi will not have to enact politically-costly fiscal consolidation with possible negative effects on GDP growth can also be seen as an opportunity. This is mainly due to broad market confidence in Draghi and the fact that his government is operating from the outset under the protective umbrella of the ECB, which will not allow the cost for servicing public debt to rise excessively. The eurozone’s fiscal rules have also been temporarily suspended; this makes it possible to support the economy through fiscal policy measures.

    Finally, it should not be forgotten that, despite the structural problems, the Italian economy has many strengths: Italy is one of the most industrialized countries in Europe and the second-largest exporter after Germany. If some obstacles to growth are removed and, for example, credit is released by the Italian banking sector, the pace of recovery could pick up significantly. Draghi’s experience from the finance ministry and in central banking could help him set a decisive course.

    Who Will Succeed Mario Draghi?

    Nevertheless, given the major challenges facing Draghi’s technocratic government, one should be cautious about expectations. The next general election is less than two and a half years away, and it cannot be ruled out that it will be brought forward. That is very little time to address structural problems that have existed for decades.

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    To avert a victory for the right-wing populists, the new head of government will do everything he can to prevent early parliamentary elections until the current moderate majority in parliament has elected President Mattarella’s successor. The latter’s term ends in February 2022, and it cannot be ruled out that Draghi himself will succeed Mattarella. He could use his authority and power as president to stabilize politics, as is the traditional role of the Italian president.

    In 2012, Draghi saved the eurozone as head of Europe’s most important financial institution. In the current crisis, even if supported by figures from across a broad political spectrum, he will act as head of one of Europe’s most politically-fragile governments — an incomparably less favorable starting position.

    Draghi will make the best possible use of his time as head of government. That much is certain. However, given the massive level of support for the populists, the most important question is: After Draghi, will someone take the helm who will continue his reforms or reverse them? Not only Italy’s future but also that of the entire eurozone depends on it.

    *[This article was originally published by the German Institute for International and Security Affairs (SWP), which advises the German government and Bundestag on all questions relating to foreign and security policy.]

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    Germany’s Greens Are Within Earshot of Power

    In 1983, long-haired MPs wearing knitted sweaters and carrying flowers entered Germany’s parliament, the Bundestag. These obscure and humble beginnings of the Greens as an anti-establishment party are long gone from the German political scene. From 1998 to 2005, the party formed a governing coalition with Gerhard Schröder’s Social Democrats (SPD) on a national level. Since then, the Greens have also carried responsibility in numerous state governments.

    The Green Party hasn’t been part of a national government for 16 years now, but it is eager to pick up the reins again. Increased public approval is fueling its craving for power. For about two years now, the Greens’ poll numbers have been hovering around the 20% mark. Compared to the party’s best federal election result yet, 10,7% in 2009, approval has almost doubled. At the pinnacle, in June 2019, some polling agencies projected 27% support for the Greens, pushing the party to the top spot, 3% ahead of Chancellor Angela Merkel’s ruling Christian Democrats (CDU/CSU).

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    With the emergence of the COVID-19 pandemic in March 2020, these approval ratings dipped temporarily as the ruling parties attracted most public attention while applying rigorous measures to combat the virus. Nonetheless, during the last couple of months, the Greens have recovered. The party is a force to be reckoned with during the upcoming September general election. What has prompted these skyrocketing poll numbers?

    Rising Stars

    In January 2018, two fresh faces entered the national political arena. Annalena Baerbock and Robert Habeck became joint party leaders for the Greens and have since become rising stars.

    Robert Habeck holds a doctorate in philosophy and is the former deputy head of state and environment minister for the northern state of Schleswig-Holstein. With his trademark hairdo, three-day stubble and casual clothing, Habeck knows how to stage a good photo opportunity. One of the images that has gone viral on social media is of him ironing his shirt on the wooden floor shortly before attending a party conference. Despite facing ridicule by many, Habeck is apt at setting himself apart from politicians regarded as old school and out of step with young voters.

    Embed from Getty Images

    Annalena Baerbock, who is a member of the Bundestag, is also no stranger to self-promotion. Her lively personality and vigor contribute to the Greens’ modern public image. However, she distinguishes herself from Habeck by more in-depth policy knowledge. While the more charismatic Habeck tends to indulge in outlining the philosophical and ideological framework of Green politics, Baerbock likes to delve into the policy nitty-gritty, like Germany’s coal phase-out. This makes her a more popular figure within the party, while Habeck enjoys higher approval ratings among voters.

    It would be superficial to reduce the Greens’ soaring approval ratings to their party leaders’ public image. Both Baerbock and Habeck have pressed ahead with establishing the party as a socioecological alternative for centrist voters, veering away from a common perception that it could not reach beyond its traditional following. This mainly included educated, middle-aged voters with high incomes living in metropolitan environments.

    In an interview, Robert Habeck stated the party’s intent to detach itself from this misconception: “Our goal is not only to be a milieu party. We are now starting a new phase.” The Greens have benefited from climate protection, gradually receiving more public attention due to external events and activism by various groups, like the 2011 Fukushima nuclear disaster and the Fridays for Future climate movement. With awareness of the issue of global warming increasing, the Greens are succeeding in reaching out to the “middle of society.”

    A Green Chancellor?

    As their traditional coalition partner, the SPD, is losing popularity, the Greens have been bustling to find new, more conservative political allies. After the 2017 general election, the Greens negotiated with the center-right CDU/CSU and the Liberal Democrats (FDP) to form a government. That was the continuation of the party’s strategic opening to all ends of the political spectrum, as the Greens had already formed coalitions with both parties in several state governments. In 2011, the party had already reached a significant milestone: Winfried Kretschmann won the state election of Baden-Wuerttemberg by appealing to conservative voters and became the first Green minister president, with the mighty CDU/CSU as their junior coalition partner.

    But the strategy of electability and reaching out to centrist voters does not come without its repercussions. Luisa Neubauer, the spokeswoman for Fridays for Future, a movement popularized by Swedish climate activist Greta Thunberg, has criticized the Greens for abandoning their ecological core values and for delaying the steps required to combat climate change. Going head to head with the Greens, she asked: “If even the Greens can’t come up with a policy that has the capacity to take on the climate crisis — where else can you start?” The movement has also reprimanded the Greens for supporting the construction of a highway through a forest in the federal state of Hesse.

    Another accusation the party leadership faces is its failure to commit to the ambitious target of limiting global warming to 1.5˚C. Many leading party figures believe Fridays for Future’s radical demands are a hindrance to communicating the cause of climate protection to large parts of the population. Conversely, the movement, which regards itself to be “greener than the Greens,” disdains the party’s soft approach. Nevertheless, the Greens remain imperturbable in their quest to appeal to a broad majority of Germans. Due to consistently high polling numbers, the party intends to select its first-ever candidate for the chancellorship. Thus far, Baerbock and Habeck have resisted media pressure to decide who will challenge the CDU/CSU’s candidate.

    To the public eye, this delayed decision makes the Green leadership appear tentative and insecure. Indeed, the party seems unsettled by the consequences of its electoral strategy. Barring the far-right Alternative for Germany (AfD), all parties in the German Bundestag are courting the Greens. After the election of Armin Laschet as the CDU/CSU’s party leader, an alliance between the Christian Democrats and the Greens as the junior coalition partner remains the most likely path to power. This constellation would facilitate the Greens taking up the federal Ministry of Finance and delivering a budget that sets the course for ecological modernization.

    Within Earshot

    Preferred coalitions with the SPD and Die Linke (The Left) appear unlikely. Yet as voting behavior becomes increasingly volatile, the Greens must take all possible outcomes into account. That includes coalitions with the SPD and The Left, and the responsibility of holding the chancellorship as the larger party.

    The Greens are within earshot of historic electoral success. As Svenja Flaßpöhler, the editor-in-chief chief Philosophie Magazin, says: “Actually I would like to see the Greens enter government participation with courage … There is nothing to lose. The worst that can happen is that we are voted out of office again after four years. I miss this attitude a bit at the moment.”

    As shown, the odds are pointing toward success. Climate change has entered mainstream politics and is at the tip of most people’s tongues. Poll numbers are soaring, and the party leaders’ personalities reflect the current zeitgeist. The Greens should not shy away from the challenge of government responsibility. Part of this challenge will undoubtedly be the juggling act of maintaining their credibility as an environmental party while serving the electorate as a whole.

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    What Happened to the Emerging Democratic Majority?

    In November of last year, Donald Trump lost the presidential election with the highest number of votes for a Republican candidate ever and the second-highest for a presidential candidate. Only Joe Biden did better. Trump also managed to garner the second-highest share of the non-white vote, 26%. Only George W. Bush outdid him, winning 28% in 2004, as a number of commentaries, seeking to diminish Trump’s feat, have pointed out. What they fail to acknowledge, however, is the fact that the two candidates were very different. Bush had many flaws, but race-baiting was not among them.

    Against that, by the time of the 2020 election, there was a wealth of evidence that “racial revanchism” was central to President Trump’s political agenda. This, however, did not prevent a significant number of minority voters from casting their ballots for him. Whether or not this made a difference is an interesting question. In some cases, it might have, most notably in Texas.

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    To be sure, Biden won the vast majority of the Hispanic vote in the big cities like Dallas, San Antonio and Austin. Trump, however, did surprisingly well in the heavily Latino counties in southern Texas along the Rio Grande border with Mexico. In Starr county, for instance, which is almost completely Hispanic, Trump gained more than 55% of the vote compared to 2016. These results, as neutral observers have charged, “ended up helping to dash any hopes Democrats had of taking Texas.”

    High Hopes

    Ahead of the election, Democrats had high hopes that this time, the emerging Democratic majority was finally going to materialize. The notion goes back to the title of a book from 2002, written by John Judis and Ruy Teixeira. In it, the authors argued that the future belonged to the Democrats, for a number of reasons. There was the transformation of America’s demography, there were secular ideological changes going in a progressive direction, and there was, last but not least, the growing socioeconomic and sociocultural dominance of large metropolitan areas, rooted in the growth of a postindustrial economy — what Teixeira called “ideopolises,” organized around ideas and services.  

    The idea was that the Democrats were in a better position than the Republicans to appeal to the diverse constituencies emerging from these developments: on the one hand, the growing ranks of professionals in the high-tech, finance, education, law and medical sectors, a growing number of them women; on the other, ancillary services, such as sales clerks, waiters, janitors, security personnel and teachers’ aides, a large number of them Hispanics and African Americans. Together, Teixeira suggested, they “formed powerful coalitions that now dominate the politics of many ideopolises united in their support of a politics of “tolerance and openness.”

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    In the meantime, much ink has been spilled over the crucial socioeconomic and sociocultural importance of metropolitan areas, largely confirming Teixeira’s assessment. Today’s “global cities” such as New York, London, Paris and Tokyo generate a significant part of their respective nation’s wealth. At the same time, however, they also represent quasi self-contained entities increasingly disconnected from the rest of the country.

    This is a problem, for in the process, the hinterland, which at one time played a crucial role as a supplier of myriads of inputs from small and medium-sized companies, has largely become structurally irrelevant to the metropolitan economy. With it went the middle-class labor force that was the backbone of what once was known as America’s heartland but is today disparaged as flyover country, its inhabitants dismissed as deplorable and repellent racist, sexist, homophobic ignoramuses. Proof: Why else would they have voted for somebody like Trump?

    After roughly two decades since the book was published, the emerging Democratic majority has still not fully materialized. Instead, what we have got are two antagonistic political tribes whose seemingly irreconcilable differences have polarized American politics along a wide range of fault lines: views on immigration, reproductive choice, gender, Black Lives Matter, gun control, affordable health care, social security — the list goes on. This divide’s grand signifier in today’s politics is Donald Trump. As unbelievable as it might sound — given he lost the election, given he was impeached twice, given he left the office scorned and disgraced — his legacy continues to haunt post-Trump politics and is likely to do so for the foreseeable future.

    Not Fade Away

    According to a recent representative survey, around 80% of Republicans continue to have a favorable view of Donald Trump; more than 70% believe that the charge that the former president incited the assault on the US Capitol on January 6 is untrue; and almost two-thirds believe there was widespread fraud in the 2020 election. It fits that according to the most recent Quinnipiac poll, conducted after Trump’s acquittal in the Senate, three-quarters of Republican respondents said they wished Trump would continue to play a “big role” in the GOP. So much for those who think Trump will somehow fade away into oblivion.

    Trump won in 2016 because he quite skillfully managed to articulate, appeal and respond to a range of diffuse popular grievances, accorded them legitimacy and, in the process, gave the impression that he listened and not only understood, but empathized with them — reminiscent of Bill Clinton’s well-known “I feel your pain” from 1992.  Even if Trump should miraculously disappear from the American political scene, Trumpism, as The Washington Post’s conservative commentator Gary Abernathy has recently maintained, “Trumpism is the GOP’s future.” If this indeed should be the case, it means that the chances for the emergence of a Democratic majority are likely to be as bleak as they have been over the past two decades.

    The notion of an emerging Democratic majority is premised on the idea that certain groups in society, most notably the highly educated, visible minorities, women and sexual minorities, qua their subordinate socioeconomic and sociocultural position have a “natural” affinity for a certain type of politics. Any deviation is either seen as a result of “false consciousness,” a failure “to get with the program” or, worse, simple betrayal of the cause, as the singer Madonna charged in 2016. A case in point was Barak Obama’s attack on Hispanics who voted for the incumbent in 2020, accusing them of ignoring Trump’s track record of race-baiting.  

    America Is No Longer One Nation

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    The same applies to all the white women who voted for Trump, despite his record of routinely disparaging and denigrating women. As Sarah Jaffe has put it in an article for the New Labor Forum, no single fact about the 2016 election was “more confounding than the fact that Trump’s margin of victory included a slim majority of white women voters.” Things were even worse in 2020. While Trump lost some support among white men, his support among white women remained virtually unchanged.

    Political parties, particularly in two-party systems such as the United States, have to assemble a coalition of disparate groups. A case in point was the Democratic Party, which for a long time managed to hold together two factions, one from the South and the other from the Northeast, that were fundamentally at loggerheads over major issues such as civil rights. Behind the idea of the emerging Democratic majority is the expectation that it is possible to put together a coalition on the basis of shared values and shared aspirations, derived from shared experiences of a lack of recognition, if not outright discrimination.

    Radical Nostalgia

    Twenty years ago, this was a reasonable expectation, given the direction of social, and particularly demographic, change. The populist surge that has swept over the United States during the past decade or so, however, has fundamentally altered the logic of electoral choice. Populist mobilization derives its logic not from shared values and aspirations, but from disparate grievances and the perceived unresponsiveness of the political establishment to these grievances.

    Successful populist protagonists are not successful because they come up with elaborate blueprints for profound socioeconomic change, but because they absorb and reflect myriads of disparate grievances and give them a voice. More often than not, populist politics are not about the future but a glorified past, reflecting the surge of nostalgia that has become a hallmark of the current age, further enhanced and intensified by COVID-19.

    There is nothing wrong with nostalgia. In fact, new studies show that nostalgia can be a beneficial mechanism helpful to coping with a difficult situation. It becomes dangerous, however, when it provokes an aggressive response. This, it seems, is what has happened in recent years among parts of the American public — or, at least, that is what the recent survey mentioned earlier suggests. In response to the statement that “the traditional American way of life is disappearing so fast that we may have to use force to save it,” more than a third of respondents agreed either completely (11%) or somewhat (25%).

    Embed from Getty Images

    In light of the events of January 6, this is quite alarming. But it jibes with the findings of a recent study of MAGA supporters, who to a significant extent consist of white Christian males beyond retirement age. Full of resentment toward assertive women no longer willing to take shit from men, African Americans seen as not trying hard enough and immigrants accused of changing American culture for the worse, they epitomize this kind of radical political nostalgia.

    Nostalgia in terms of a yearning for the status quo ante might to a certain extent explain why a majority of white women voted for Trump. More often than not, grievances stem from changes that individuals perceive as having been imposed on them. A classic case is the construction of nuclear power plants, which in the past gave rise to massive popular resistance and contributed to the rise of Green parties. In the current situation in the United States, grievances stem to a significant extent from both demographic change and the increased visibility of minorities who refuse to remain silent.

    When white women voted for Donald Trump, it was because what has been happening over the past years is a fundamental challenge to the existing racial hierarchy that had been taken for granted. A vote for Trump was a vote for maintaining a tenuous status quo, where white women might be second-class with respect to gender but first-class with respect to race. The same logic certainly does not apply to black voters supporting Trump, a majority of whom were black men. It also does not apply to Hispanics, whose diverse background (Mexican, Cuban, Central American, etc.) makes it even more difficult to come up with a common denominator. Religious considerations, particularly with respect to reproductive choice and gender issues, certainly played a significant role, as did the perception that neither party cares about their concerns.

    What has been emerging over the past decades is a new constellation of political contest, pitting substance-based politics grounded in reasoned deliberation and values, however flawed, against grievance-based politics fueled by anger and resentment. This is hardly confined to the United States. Western Europe has been struggling with this phenomenon and its fallout for decades. Yet given its peculiar system, the United States is in a unique position to serve as a laboratory to see how these dynamics play themselves out. One might wish that the vision behind the notion of the emerging Democratic majority will ultimately carry the day.

    Nietzschean skepticism informed by the notion of “human, all too human” calls for caution. Trump might be finished politically. His spirit, however, is alive and well, capable of causing mischief to no end. Trump’s recent full-front attack on Mitch McConnell is a foretaste of things to come. It portends an attempt to completely transform the GOP into a radical right-wing populist party, devoid of any kind of real substance — in other words, a replica writ large of the Great Leader.

    *[Fair Observer is a media partner of the Centre for Analysis of the Radical Right.]

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    Fault Lines in Biden’s Approach to China

    So far, the White House has undertaken a flurry of activity designated to back up President Joe Biden’s pledge to be tough-minded on China. He has warned that Beijing will face “extreme competition” from the United States. Taiwan’s top representative was invited to the presidential inauguration on January 20 and the Biden team has promised to continue US arms sales to Taipei.

    Is China the New Champion of Globalization?

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    Secretary of State Antony Blinken has said he agrees, conceptually at least, that former President Donald Trump “was right in taking a tougher approach to China” and that he supports the prior administration’s finding that Beijing’s treatment of Uighur minorities in Xinjiang constitutes “genocide.” In early February, the new administration conducted naval maneuvers to contest Chinese dominance in the South China Sea and reaffirmed the US security commitment to defending the Senkaku Islands in the East China Sea, which are controlled by Tokyo but claimed by Beijing.

    Veterans of the Obama Administration

    Yet all of this cannot conceal the two major fault lines threatening to undermine President Biden’s promise. The first centers on the heavy presence of Obama-era veterans on his national security team, particularly those associated with that administration’s “strategic pivot” toward the region. Two of President Biden’s top staffers were key architects of the much-touted initiative: Kurt M. Campbell, who was in charge of East Asian affairs in the State Department under President Barack Obama and is now the White House’s Asia policy czar, and Jake Sullivan, who was deputy chief of staff to Secretary of State Hillary Clinton and is now Biden’s national security adviser.

    Embed from Getty Images

    The rhetoric of Obama’s pivot to Asia simultaneously antagonized Beijing while its actual track record largely failed to impress other Asian governments. According to one assessment, the pivot’s hype caused a marked increase in Chinese military spending at the same time that sharp cuts in the Pentagon budget were hampering US military operations in Asia. During a visit to Japan in 2013, the chairman of the Joint Chiefs of Staff admitted that “We are going to have to think about how to remain a global power with fewer resources. I think we are going to have to find ways to accomplish almost the same things but with smaller force structures.” In early 2014, the Pentagon’s acquisitions chief publicly stated that budget constraints were forcing a reconsideration of the initiative.

    As Obama’s coordinator for North Korea policy has acknowledged, the effort “was ill conceived and bungled in its implementation.” In late 2013, the Asahi Shimbun, one of Japan’s largest newspapers, noted an “increasingly widely shared view in Japan and the region that the Obama administration may not have enough political capital or the financial assets to implement” the pivot. It added that some have even come to see it as no more than a “bumper sticker.” Similarly, a leading Australian analyst observed, “There is a growing perception in Asia that the Obama administration’s much-ballyhooed ‘pivot to Asia’ has run out of puff.” By late 2014, a foreign affairs columnist for The New York Times argued that most of Asia had concluded the pivot was nothing more than hot air.

    Memories of this track record persist. A commentator focused on Asian affairs observed last year that “Officials in Tokyo, Taipei, New Delhi, Singapore and other capitals have grown relatively comfortable with Trump and his tough approach on China. The prospect of a Biden presidency, by contrast, brings back uncomfortable memories of an Obama era that many Asian movers and shakers recall as unfocused and soft toward Beijing.”

    Just before the 2020 election, The Washington Post noted that current and former officials of the Taiwanese government and ruling party had “privately expressed concern that a return of Obama-era foreign policy advisers in a potential Biden administration could mean a U.S. approach that is more conciliatory toward China compared with the Trump administration’s — and less supportive of Taiwan.” The Financial Times also reported along similar lines.

    The personnel problem extends to Biden himself, as he is a late convert to the tough-on-China crowd. Prior to his becoming the Democratic Party’s presidential nominee, he had regularly dismissed the notion that China mounted much of a geopolitical challenge. His campaign staffers were reportedly troubled by his naivete, and one adviser later admitted that for the rest of the campaign, Biden had to be “deprogrammed” on China. While this was going on, Robert M. Gates, Obama’s first defense secretary, reaffirmed to CBS News his earlier judgment that Biden has “been wrong on nearly every major foreign policy and national security issue over the past four decades.” 

    Standing Strong vs. Climate Change

    The second fault line running through Biden’s approach to China is the irreconcilability between maintaining a hard line and his administration’s insistence on the pressing urgency of securing Beijing’s cooperation on climate change. Biden officials claim they can somehow manage this tension and will not have to make significant concessions in other policy areas in order to fulfill its global climate ambitions.

    John Kerry, President Obama’s secretary of state when the 2015 Paris climate agreement was signed, is now Biden’s special climate envoy with a spot on the National Security Council. He insists, for example, that climate is a critical stand-alone issue that can be compartmentalized on the US–China bilateral agenda. Administration officials believe that collaboration is so self-evidently in Beijing’s interest that it will naturally sign on to Washington’s new push for significant climate action.

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    The Chinese government so far is not much impressed with this logic, with its foreign ministry stating that climate could not be separated from other issues “unlike flowers that can bloom in a greenhouse despite winter chill.” A Chinese government Twitter account also declared that “China is willing to work with the US on climate change. But such cooperation cannot stand unaffected by the overall China–US relations. It is impossible to ask for China’s support in global affairs while interfering in its domestic affairs and undermining its interests.” 

    Given the White House’s fervor on the issue, one suspects the Biden administration will be making the concessions in the end. During the presidential campaign, Biden asserted that climate change is an “existential threat” and the “number one issue facing humanity.” Now that he is in the Oval Office, Biden believes “we can’t wait any longer.” He signed a directive making the issue the “center of our national security and foreign policy” and ordered government agencies to factor “climate considerations” into their assessment of international priorities. Kerry uses similar language, declaring that “the stakes on climate change just simply couldn’t be any higher than they are right now. It is existential.” He added that Biden “is deeply committed — totally seized by this issue.”

    In shutting down construction of the Keystone XL oil pipeline, as well as freezing new oil and natural gas leases on federal lands and waters, the administration has also shown it is willing to subordinate important domestic goals, such as energy security and employment stability in the middle of a job-killing pandemic, to climate priorities. It has written off large job losses as inevitable and is accepting of a backlash from important labor unions that aided its electoral victory just a few months ago.

    Susan Rice Returns

    It is also telling that Susan Rice, the national security adviser during Obama’s second term, has returned to the White House as President Biden’s top domestic affairs coordinator. Bilahari Kausikan, the former senior Singaporean diplomat widely regarded in East Asia, recently exclaimed that Rice “was among those who thought that the US should deemphasise competition to get China’s cooperation on climate change, which is a fundamental misunderstanding of the nature of international relations.” Another observer has made the same point, noting that “Obama and Rice wanted to work with China on issues such as climate change, but they did so at the cost of treating Beijing with kid gloves.” 

    Influential members of the Democratic foreign policy establishment have advocated the same thing. Anne-Marie Slaughter, the head of an influential think tank in Washington and a former director of policy planning in the Obama-era State Department, recently argued that “Biden should prioritize global issues over geopolitical competition” and that the president’s focus on climate “should guide his foreign policy as well.”

    Rank-and-file party members also share this view. In a recent public opinion survey, Democrats by a wide margin believe climate change to be a more critical threat than the rise of China as a peer competitor to the US. Indeed, according to Democratic respondents, China did not even rank among the top seven challenges facing the country.

    Something will have to give in the new administration’s approach toward China. There is already an early indication of how things will play out. Notwithstanding the protestations about Beijing’s egregious human rights abuses, the Biden team continues to support holding the 2022 Winter Olympics in that city.

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    Why Are India’s Farmers Protesting?

    Indian farmers have lately made international headlines. Popstar Rihanna, actor Susan Sarandon and activist Greta Thunberg have taken up their cause. Ozy, a glitzy Silicon Valley publication posed a provocative question: “Will the World Step In?”

    The story playing out in international media appears to be a simple one. Indian farmers are the noble David standing up to an evil Goliath-like government beholden to greedy billionaires. In an era of increasing inequality and decreasing social mobility, this narrative resonates. The fact that elite journalists in New Delhi or New York see the ruling Bharatiya Janata Party (BJP) as a Hindu fascist party adds to its appeal.

    Publications such as Ozy convey that Indian Prime Minister Narendra Modi has brought in agricultural reforms solely to benefit large corporations. As per this narrative, the government is in thrall to big business and against poor farmers. Is this narrative true, or is there something more complicated going on?

    The Burden of History

    Ever since the British Raj, Indian farmers have led tough lives. The colonial power imposed extortionate taxes on farmers, taking away at least 45% of harvests, often confiscating the whole yield. British imperialists took Niccolo Machiavelli’s advice to heart and patronized a new feudal class of landlords to act as their middlemen. They did the dirty work of squeezing farmers, enabling them to escape much of the blame. The British also created an extractive colonial bureaucracy to suck wealth out from India. Few realize that the primary job of the now-glamorous district collector — an elite civil servant who does the job elected mayors do in western democracies — was to collect taxes from poor Indian farmers.

    Writing in The World Financial Review last year, Kalim Siddiqui explained in some detail why famine stalked British India. Great Britain industrialized and became a great power partly through ruthless exploitation of farmers in what are now India, Pakistan and Bangladesh, which then comprised British India. As a result, millions died of starvation, and those who survived the famines suffered constant malnourishment.

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    The first priority for independent India was feeding its people. Indian farmers were dirt poor with no access to credit, reliable irrigation or modern agricultural tools and farming methods. They were often in the clutches of predatory moneylenders. Yet farmers had experience of mass movements. Mahatma Gandhi led his first satyagraha in Champaran against exploitation by British landlords, mobilizing thousands of poor farmers. In India’s new democracy, farmers might have been poor but, for the first time in centuries, they wielded real political power.

    That power has carried over to today. Even as India has urbanized, farmers disproportionately decide elections. A staggering 83.5% of seats in the Lok Sabha, India’s lower house of Parliament, still primarily comprise rural areas. The political power of farmers has given them many benefits. Since 1947, governments have formulated multiple economic policies to overcome India’s colonial-era rural poverty. India abolished zamindari, an indigenous form of landlordship, immediately after independence. It overturned centuries of tradition by abolishing income tax for farmers. A key purpose of the 1969 bank nationalization was to provide cash-starved farmers access to credit.

    The Green Revolution

    In the 1960s, India launched its famous Green Revolution, which subsidized farmers in India’s northwest region, comprising the states of Punjab, Haryana and western Uttar Pradesh. This part of the country is a flat fertile plain irrigated by Himalayan snow-fed perennial rivers and with relatively large landholdings. Inspired by the American agronomist Norman Borlaug, India’s government encouraged farmers in this region to grow high-yield varieties of wheat, rice and cotton. It also gave farmers massive subsidies for fertilizers, seeds and equipment, investing large sums of capital to build dams and a network of canals and giving farmers access to easy credit. As a result, the farmers of landholding communities in northwest India became the most prosperous in the country.

    The Green Revolution ended India’s ship-to-mouth existence. India’s population had exploded after independence in 1947. In a poor country, agriculture was inefficient and rain-fed. A bad monsoon meant poor harvests. Demand would outstrip supply and the specter of famine was never far off. Until production took off in India, the US supplied grains to Indian masses under the Agricultural Trade Development and Assistance Act of 1954, commonly known as PL–480 or Food for Peace. Lyndon B. Johnson limited even critical famine aid to India, demanding the country implement agricultural reforms and temper criticism of US intervention in Vietnam. The Green Revolution provided India with food security after two centuries of rapacious British rule.

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    Yet like any policy, the Green Revolution had unintended consequences. In 2009, Daniel Zwerdling chronicled how this fabled revolution was “heading for collapse.” With an emphasis on high-yield varieties, the traditional mix of crops grown in the region for centuries has been abandoned. Yields increased dramatically but only through an insatiable thirst for water. Groundwater levels have fallen by 75%-85% over the decade. In Punjab and Haryana, farmers are boring deeper and deeper for water. In 2018, 61% of wells were dug deeper than 10 meters. In a land crisscrossed by rivers fed by Himalayan snow, such water levels mark historic lows. India might have achieved food security at the cost of water security.

    Parts of India are not just running out of water. The soil itself is turning toxic. Intense use of fertilizers and pesticides over decades has pumped harmful chemicals into the soil. More than 10 years ago, astute journalists like Daniel Pepper were reporting on villagers who spoke about rising cases of cancer, renal failure, stillborn babies and birth defects. These health problems have increased since. Researchers attribute these conditions to the “overuse and misuse of pesticides and herbicides.” As Pepper reported in 2008, Punjab comprised 1.5% of India’s area but accounted for nearly 20% of the country’s pesticide consumption. Haryana and western Uttar Pradesh suffer similarly high soil pollution and consequent health problems.

    Another consequence of the Green Revolution has been the overproduction of cereals. So much wheat and rice are produced that a storage crisis has ensued. India now lacks the capacity to store grains, with millions of tons are stockpiled in poor conditions. In particular, India lacks cold storage facilities for fruits and vegetables because of restrictions on farmers, the stranglehold of Agricultural Produce Market Committees (APMCs) and a lack of incentives for the private sector to invest in the rural economy.

    A Soviet Procurement System

    After independence, India opted for the Soviet economic model. Five-year plans set out ambitious targets for a command-and-control economy. The so-called quota-permit-license raj emerged, with bureaucrats dictating “which company would produce what, but also the amount of production, as well as the price of commodities.” Agriculture was no different. In a top-down, command-and-control system, the government set targets that farmers had to meet.

    In an indigenous twist to the Soviet system, India created the institution of the Agricultural Produce Market Committee. Thousands of APMCs were to run local agricultural markets, known as mandis. Farmers could only sell to APMC-controlled mandis and only at fixed prices. Unlike their American or European counterparts, Indian farmers could not sell wheat or rice on the open market. This prohibition had two reasons. First, APMCs allowed the government to control both production and price in its planned economy model. Second, APMCs were meant to protect farmers from the vagaries of the free market and save them from exploitation.

    Over time, APMCs become the new oppressors. Local politicians and special interest groups came to control APMCs. Since they were the only buyers by law, APMC mandis began to set ceilings on what farmers received for their produce, offering precipitously low prices. Commission agents started taking greater cuts. APMCs delayed payments to farmers, forcing them to borrow from “[commission agents], local money lenders and savings for their daily expenses.” In addition, APMCs rarely gave receipts to farmers. This meant that they were denied the option of applying to banks for much cheaper credit. Instead, they were pushed into India’s infamous informal economy and became prey to exploitative lending. Tragically, inevitable and unbearable debt burdens have led to thousands of farmer suicides.

    Apart from the APMCs, the government instituted a minimum price support mechanism as part of its planned economy model. New Delhi wanted high and stable production of key crops. Farmers wanted, and still want, stable income. In a pure market system, too much production leads to falling prices. This is not ideal for farmers. Therefore, they are careful to avoid overproduction. So, India’s economic planners instituted a system that provided a floor below which prices would not fall, encouraging farmers to grow crops deemed essential for food security and economic interests.

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    Over time, powerful lobbies in northwestern India, the heartland of the Green Revolution, pressured the government to put the minimum support price well above the price the market would have otherwise set. What began as limited support to ensure price and production stability eventually morphed into a substantial taxpayer-funded direct subsidy.

    Support prices differed widely from one state to another. At the same time, restrictive laws compelled farmers to sell to designated APMCs within their districts. Crossing state and even district boundaries to get a better price for their produce was illegal and could land farmers in jail. For instance, Punjab’s support prices have been higher than those in Bihar. Therefore, Bihari farmers have been illegally selling paddy to markets in Punjab at a price lower than the minimum support price but higher than what they would get back home. A flourishing black market and widespread corruption emerged as a result.

    New Agricultural Reforms

    In December 2019, the parliamentary standing committee on agriculture published a major report. It concluded that APMC markets were not working in the interest of farmers. Instead, they were reducing competition, causing cartelization of traders and unduly deducting money due to farmers through market fees and commission charges. Corruption and malpractices in APMCs were rife. The committee observed that “there [was] urgent need for radical reform” and asked the government to inform parliament “about steps taken in this direction within three months.” It is noteworthy that the opposition and farmers’ unions agreed with the committee’s observations.

    Last year, the government finally instituted long overdue agricultural reforms. Several economists and policy wonks welcomed them, arguing that these reforms would “unshackle farmers from the restrictive marketing regime that has managed the marketing of agriculture produce for decades.” In their view, these reforms promised “to bring the entire world of farming technology, post-harvest management and marketing channels at the doorstep of the farmer.”

    The reforms have three key aspects. First, farmers will be able to sell their produce to anyone, including agricultural businesses, supermarket chains, online grocers or, as before, APMC mandis. The key difference from the status quo is that farmers are no longer required to sell only to APMC mandis. A Bihari farmer would now have the legal right to sell in Punjab and vice versa without fear of arrest.

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    Second, the reforms have created a framework for agricultural commercial agreements. When farmers engage directly with processors, agri-business firms and large retailers, their counterparties will have to guarantee a price and make timely payments. Third, regulations on farm produce have been simplified and eased. The command-and-control system that determined the crops or quantities farmers would grow is being dismantled. Only in extraordinary circumstances such as war, famine, a natural calamity or an extraordinary price rise will the government have the right to direct production of cereals, pulses, oilseeds, edible oils, onions, potatoes or any other crops.

    In 2020, agricultural reforms became inevitable because of the COVID-19 pandemic. A nationwide lockdown caused a massive migration of urban workers back to their villages. This increased pressure on already scarce land — something needed to be done. Restrictive laws on sale, pricing and storage of produce had to go. Therefore, after two decades of endless discussion, reforms finally transpired. They seek to increase investment in agriculture, boost farmer incomes and create a national agricultural market to emerge for the first time since India’s independence.

    Who Is Protesting and Why?

    From the outset, the reforms have proved controversial. In September, the BBC wondered whether they were a “death warrant” for farmers. Some farmers worry whether the reforms might lead to the end of wholesale markets and guaranteed prices. Currently, the government offers a minimum support price that acts as a safety net for farmers. Even though the government has promised to retain such a price, farmers fear its withdrawal over time.

    There is an added fear that big private players will offer good money to farmers in the beginning, kill off their competition and then pay little for agricultural produce. Farmers might go from the local monopsonies of the APMCs to the national oligopoly of Amazon-like behemoths. It is important to remember that the government offers price support only for the staple crops of the Green Revolution. Other crops do not qualify, nor do fruits and vegetables.

    Unsurprisingly, the overwhelming number of protesters are farmers from India’s northwest, the region that has benefited most from the old system. In particular, they belong to Punjab, Haryana and western Uttar Pradesh, the birthplace of the Green Revolution. In 2018-19, APMCs procured 73% and 80% of the total wheat production in Punjab and Haryana respectively at a minimum support price. This was higher than the market price, but a hefty chunk of the support price ends up in the hands of middlemen through various fees and charges. Unknown to most, price support does not necessarily mean income support in the current system.

    Farmers in the Himalayas, the Nilgiris or most other parts of India never benefited from the status quo. As a result, farmers in 25 of India’s 28 states and all eight union territories have not taken to the streets. The Shetkari Sanghatana, a Maharashtra-based farmers’ union founded by the economist-turned-farmer leader Sharad Joshi, and other unions support the government’s agricultural reforms.

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    The late Joshi was convinced that “the root cause of farmers’ problems lay in their limited access to the market.” As per this farmer leader, open and competitive markets, instead of a top-down command-and-control agricultural economy, served farmer interests better. Joshi opposed the APMCs, and his organization naturally supports recent reforms. In fact, it wants to go much further. It wants the government to remove the ban on the export of onions and threatened to pelt BJP MPs with onion bulbs if the government fails to do so.

    Journalists unfamiliar with rural India, including those working for the market-friendly Financial Times, have failed to capture this nuance. Not all farmers are protesting. Protests are largely confined to Punjab, Haryana and Jat strongholds in western Uttar Pradesh. This northwest region around Delhi comprises less than 8% of the Indian population. It elects 38 out of 543 MPs in the Lok Sabha, but its proximity to the capital gives it disproportionate power. Home to the Green Revolution, it has benefited from massive government spending for decades.

    As per the managing editor of the Financial Express, farming households in Punjab get an average of $2,385 per year in fertilizer and electricity subsidies alone. Irrigation subsidies account for another $190 per year. Households in Punjab, Haryana and western Uttar Pradesh benefit from other subsidies as well. To put these figures into context, in 2019, GDP per capita in India was less than $2,100, with most farmers earning a much lower figure.

    Many of those protesting are large farmers from northwestern India. Some of their family members are part of the Indian diaspora in Australia, Canada, the UK, the US and elsewhere. Some of them continue to be absentee landlords. They have petitioned their representatives to raise the issue with the Indian government, organized demonstrations and raised the matter with the press. As a result, a narrative has emerged in the English-speaking press that is not entirely unbiased.

    On January 26, India’s Republic Day, protesting farmers marched through New Delhi. Some attacked the police, destroyed public property and flew flags on the Mughal-built Red Fort from where prime ministers address the nation. This caused outrage and weakened the movement. However, Rakesh Tikait, a farmer leader, rallied his protesters with an emotive appeal. He broke down in tears and threatened to hang himself if the BJP government did not repeal its reforms. Tikait is the son of the late farmer leader Mahendra Singh Tikait who took over the nation’s capital with nearly 500,000 farmers in 1988. Per the Indian press, Rakesh Tikait is a former policeman with assets worth 80 crore rupees ($11 million), a significant sum for a farmer in India.

    It is clear that the likes of Tikait are not poor, helpless farmers crushed by debt, contemplating suicide. They form part of the almost feudal elite that has dominated the APMCs and the rural economy for decades. Many media outlets fail to realize that such farmers have enjoyed price support, subsidies on agricultural inputs, free electricity, waived water charges, cheap credit from the state-led banking sector and no tax on farm income. They are the winners of the old system and are desperate not to lose what they have.

    Small farmers in northwestern India have joined large farmers too. They fear the unknown. Since British rule, agrarian distress has been persistent in India. Well-meaning measures like APMCs have backfired. The Indian countryside faces the unique challenge of extreme overpopulation. Low productivity, fragmented landholdings, lack of storage infrastructure, high indebtedness, strangulating red tape and entrenched corruption have held rural India back and caused simmering discontent. Leaders like Tikait are tapping into this discontent much like Donald Trump harnessed the rage of those left behind.

    What Lies Ahead?

    The government has clearly been shaken by the duration and intensity of the protests. Sustained negative media coverage in the West has rattled New Delhi. For decades, the West in general and the US in particular criticized India’s agricultural subsidies. At the World Trade Organization (WTO), the US consistently argued that Indian subsidies distort trade. The WTO has been a hostile place for India. Over the last three years, Canada raised 65 questions against India’s farm policies. Australia has complained against India’s sugar subsidies. Yet reform has led to brickbats, not plaudits, in Western capitals.

    In fact, contrary to many press reports, the government has behaved with remarkable restraint. It did not act against protesters even when they blocked highways and hindered railway traffic. Swarajya, a center-right publication, called for the government to “demonstrate it [meant] business when it comes to law and order.” Yet it did nothing. When British coal miners challenged Prime Minister Margaret Thatcher’s authority, she used mounted police to crack down on them.

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    In contrast, the Modi government has been rather conciliatory, engaging in 11 rounds of talks with protesters. The government offered key concessions and proposed amendments to its reforms. In the final round, the government even offered to suspend the implementation of its reforms for 18 months. Protest leaders rejected this offer and demanded nothing less than a complete repeal of all reforms. No government was likely to accept such an intemperate demand, especially one that was reelected with a thumping majority in 2019.

    The Economist, a longtime critic of Modi and the BJP, takes the view that “agronomists and economists are in nearly uniform agreement” with India’s agricultural reforms. It attributes protests to the “trust deficit” of the BJP government. The publication sees large-scale cold storage as the most obvious benefit of the reforms. Such storage would involve removing limits on stockpiling commodities for future sale. Farmers fear that this could give large companies too much power and undue advantage. They could buy large quantities of produce from farmers within a few days of harvest, hoard this produce and sell it when the price was high.

    Such fears of change are only natural. No entrenched system changes without upheaval even when the status quo is untenable. The Indian agricultural system no longer works, economically, environmentally or ethically. Agriculture needs investment. Neither the government nor the farmers have the ability to provide this investment. In the post-1991 world, India’s private sector has been a success. It is the only player in the Indian economy with the ability to invest in the villages. Hence, Modi has called for a greater role for the private sector in an unexpectedly candid parliamentary speech.

    Despite the current sound and fury, India’s farmer protests will simmer down. Like the Green Revolution, India’s agricultural reforms will have intended and unintended consequences, both positive and negative. 

    Finally, it may be prudent to think about agriculture in the global context. Most countries subsidize agriculture in one way or another for reasons ranging from food security to cultural preservation. The country of Jean Jacques Rousseau has championed the Common Agricultural Policy. Even the free-market US is generous with its farm subsidies. If either France or the United States were to implement agricultural reforms, demonstrations would ensue, legislators would face pressure from electors and sections of the media would accuse them of one sin or another. India is doing something that both the EU and the US may need — but have not yet dared — to do.

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    in World Politics

    Will Britain Become Scot-Free?

    Among the consequences of Boris Johnson’s greatest accomplishment, Brexit, the question looms of the possible imminent fracturing of the union of nations known as the United Kingdom. The act of shattering one union — the EU — may have launched a trend. 

    As the second most important political entity of the British union, Scotland sees its quest for independence as symmetrical with Britain’s withdrawal from Europe. The Scots have long felt as oppressed by the English as the Brexiters felt oppressed by Brussels. Moreover, Scotland has traditionally felt a strong kinship with Europe. It once took the form of the Auld Alliance, established in 1295 by France’s Philippe IV, as both nations opposed England. The idea of the alliance resurfaced in the troubled period after James II, the last of the Stuart kings of England, was forced to flee to France following the 1688 Glorious Revolution.

    More recently, following the hesitating but finally successful integration of Great Britain into the EU in 1975, Scotland reveled in its European status. In June 2016, the Brexit referendum that then-Prime Minister David Cameron agreed to hold shocked the world by producing a victory for the “leave” camp. Scotland, however, unambiguously favored remaining in the European Union by a score of 62% to 38%. Nicola Sturgeon, Scotland’s first minister, immediately saw a reason to hold a second referendum for Scottish secession from the UK, an initiative that had been attempted but failed in 2014. Today, the polls indicate a clear majority of Scots will vote for independence. This time around it will be justified by the UK’s effective withdrawal from Europe. Scotland feels a deeper loyalty and kinship to Europe than to England.

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    The Scots are nevertheless divided. Breaking with England would revert to a situation that hasn’t existed since 1707, the year the Treaty of Union was signed. Creating a border between Scotland and England in the 21st century will likely be more of a challenge than the knotty quandary still facing Northern Ireland concerning the unsettled question of a border that may need to be enforced with the Republic of Ireland, which is still part of the EU. The Roman Emperor Hadrian may have presciently anticipated the question of Scottish independence when he ordered the construction of his famous wall in 122 AD.

    As disappointment with Brexit increases and polling shows the Scots as likely to show the same alacrity to exit their union as the Brexiters did with regard to the European one, the minority of Scottish “remainers,” known as unionists, are beginning to worry. To understand the nature of their panic,Al Jazeera quotes one unionist, Sheena Francovich, a retiree from Argyllshire on Scotland’s west coast: “As far as I’m concerned, we had a vote [in 2014] and we voted to stay part of the UK and that’s end of story. Nobody has ever convinced me that [independence] would make any economic sense. If there was another vote and people did vote [Yes] it would be a sad, sad day.”

    Today’s Daily Devil’s Dictionary definition:

    Economic sense:

    The idea that better economic conditions will result from a choice the person speaking has already made, despite having no access to the full range of factors that determine economic success or failure.

    Contextual Note

    Brexit has been officially in place for a month and a half. One commentator highlighted the gap that has become evident between the promises Prime Minister Boris Johnson made five years ago and the reality of what is turning into a new winter of discontent: “During the 2016 Brexit campaign, proponents promised businesses that leaving Europe would mean liberation from suffocating regulations and infernal bureaucracy that supposedly prevailed across the Channel. It was all a lie. Post-Brexit, British companies that trade with the EU now deal with expensive disruptions to their businesses, and watch as their export profits plunge.”

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    Boris Johnson and his cohorts cannot complain that it’s all because they haven’t had enough time to prepare. The Europeans were ready to allow the UK more time, but it wasBoris who insisted that it was crucial to “get Brexit done.” The long-term consequences of Brexit, including the eventual dismantling of the United Kingdom, are unknown. But the short-term consequences have given an idea of the scope of the material and economic damage. It will take longer to assess the psychological and cultural damage. 

    This will, of course, be compounded by the incalculable effects of the COVID-19 pandemic, not just on the economy, but on the entire youth of the nation. This is occurring at a curious moment of history, marked in recent decades by the vaunted interdependence associated with the idea of globalization. The edifice has begun to shatter, with nothing stable in view to replace it. Sheena Francovich may be right to say that any nation’s independence makes no “economic sense” — but neither does dependence.

    On Sunday, for the first time, pro-independence parties have won a majority in Catalonia’s regional parliament, putting pressure on Spain to take into account a powerful centrifugal force that has been building for some time. The Catalans are already watching closely the drama unfolding in Scotland, hoping the much clearer case for Scottish independence prevails. Fragmentation as a reaction to decades of forced globalization may become a dominant trend of the 21st century.

    It doesn’t even stop there. The world has entered into a new era of uncertainty concerning the way people imagine their future. This has always been the biggest intangible factor of stability for any society. Political and cultural disarray has become the norm throughout the West and across much of the globe, including another “united” nation, the USA. The events of January 6 in Washington, DC, may portend the disunifying of the entity celebrated as “one nation, indivisible,” a scenario difficult to imagine. There are nevertheless telltale signs of serious cracks in the national narrative that, unlike the Liberty Bell in Philadelphia, famous for its crack, offer no reassurance about a tranquil future.

    Historical Note

    The UK became united only slowly and in a largely haphazard way. When Elizabeth I, the Virgin Queen, died in 1603 leaving no successor to perpetuate the Tudor line, the rules of monarchy required seeking a new king among her cousins, the Stuarts. The nearest of kin was the reigning king of Scotland, James VI, son of Mary Stuart, Mary Queen of Scots, who was martyred by her cousin Elizabeth for remaining loyal to the Catholic faith. Elizabeth’s father, Henry VIII, to seal his divorce from Catherine of Aragon, had assumed the equivalent of papal authority over the newly created Anglican Church. 

    The accession of the king of Scotland, who now became James I of England, established the Stuart family as future heirs to the throne. All did not go well. James’s son, Charles I, was dethroned and decapitated by Oliver Cromwell after a civil war in which the Roundheads (the anti-Anglican Puritans) defeated the Cavaliers (the royal army).

    When, following the restoration of the monarchy, James II, son of Charles II and grandson of James, declared his Catholic faith and, to add insult to injury, had a son with his Catholic wife, the defenders of Protestant England were upset enough to stage a coup. A bloodless revolution took place. The Protestant establishment celebrated it as the Glorious Revolution. Luckily for the revolutionaries, James II’s first daughter, Mary, had had the good sense to marry a Dutch Protestant, William of Orange, and the couple were called back from the continent to reign over England.

    Mary’s sister Anne became queen in 1702. Under her reign, the Acts of Union were ratified by the English and Scottish parliaments respectively, creating the United Kingdom of Great Britain. The 18th century witnessed the rapid expansion of the British empire. Scotland tagged along with the triumph, though sometimes grudgingly. The last attempt at securing Scotland’s independence was led by the Stuart pretender, Bonnie Prince Charlie, who had returned to Scotland from France via Ireland. The Scots and their allies were defeated ingloriously at the 40-minute battle of Culloden in 1746 by the equally inglorious duke of Cumberland, known to this day as “Stinking Billy.”

    Though the Scots quickly gave up on the hope of a Stuart restoration, they have never really forgotten the humiliation of Culloden. Brexit, for many Scots, is another Culloden.

    *[In the age of Oscar Wilde and Mark Twain, another American wit, the journalist Ambrose Bierce, produced a series of satirical definitions of commonly used terms, throwing light on their hidden meanings in real discourse. Bierce eventually collected and published them as a book, The Devil’s Dictionary, in 1911. We have shamelessly appropriated his title in the interest of continuing his wholesome pedagogical effort to enlighten generations of readers of the news. Read more of The Daily Devil’s Dictionary on Fair Observer.]

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More