THE OBSCENITY OF CAPITALISM

The columnist Richard Morrison in an article mocking the ridiculous prices paid for modern art, refers to Don Thompson's book The $12 Million Stuffed Shark and brings to notice the obscene wealth enjoyed by a handful of billionaires. Remember we are dealing with the social system of capitalism where millions exist on a $1 a day. "He looks at the buyers for "trophy" art; billionaires such as the American asset manager Steve Cohen, who bought the shark with what, for him, was loose change (it would have taken him five days, Thompson estimates, to have earned the $12 million price tag). (Times, 16 January)
Overlooking the term "earned", we are talking about someone whose income is over 2 million times that of another. Doesn't capitalism make you sick? RD

GOD AND THE HIGHWAY CODE

The dreadful censorship of the so-called communist party in China and the mind-numbing restrictions of Moslem leaders in the Middle East are often attacked in the Western media but what is not so generally known is the censorship enacted by Christian churches in the so-called free West. "Slovakia's broadcasting regulator Tuesday slapped a two-million-koruna (60,000 euros, 88,400 dollars) fine on a private TV company for mocking the Vatican, a report said. The broadcasting council said a programme screened by commercial station Joj's last year, which mocked Vatican instructions on applying the concept of Christian love to driving, abused viewers' religious sensibilities and was not objective, the CTK agency reported. Priests were "not the best experts" to give guidance on driving since the Vatican possessed "only two kilometres of highway and the last traffic accident was more than half a year ago," the programme mocked." (Yahoo News, 8 January) RD

EVERYTHING HAS A PRICE

One of the craziest aspects of capitalism is its "everything has a price" mentality. Thus an industrial court decides how much the loss of a limb or of an eye is worth in pounds and shillings. Even the loss of a partner in a divorce case is evaluated in money. This news item shows that in Kenya there is even a price put on a murder.
"The price for burning down a home: 500 shillings, or about $8. Double that to have someone hacked to death. The price list comes from a leading Kenyan human rights group that says some of the worst violence in the country's deadly disputed presidential election is the work of militias paid and directed by politicians. The government of President Mwai Kibaki and the opposition have traded blame for the killing and arson that followed Kibaki's victory in the Dec. 27 election that international observers say was followed by a rigged count. Some of the attacks took on an ugly ethnic twist, with other tribes turning on Kibaki's Kikuyu people. But the respected and independent Kenyan Human Rights Commission says there is more to it, and that it appears to involve politicians from both sides." (Yahoo News, 12 January) RD

THE MADNESS OF CAPITALISM

The vast amounts of wealth spent on weapons is staggering as this recent news item illustrates.
"The United States has agreed in principle to provide Israel with better "smart bombs" than those it plans to sell Saudi Arabia under a regional defence package, senior Israeli security sources said on Sunday. Keen to bolster Middle East allies against an ascendant Iran, the Bush administration last year proposed supplying Gulf Arab states with some $20 billion in new weapons, including Joint Direct Attack Munition (JDAM) bomb kits for the Saudis. The plan has angered Israel's backers in Washington, who say the JDAMs, which give satellite guidance for bombs, may one day be used against the Jewish state or at least blunt its power to deter potential foes. Israel has had JDAMs since 1990 and has used them extensively in a 2006 offensive in Lebanon. Israeli Prime Minister Ehud Olmert's government dropped its objections to the proposed Saudi deal in July after securing U.S. military aid grants worth $30 billion over the next decade." (Yahoo News, 13 January)
The bombs may indeed be "smart" but those supporting such a system are very foolish indeed! RD

SWEET FOR WHOM?

"Near what remains of the first sugar factory in Brazil, built in 1877 with a sign in Latin over the entrance that translates as “Sweet is the Reward of Work,” Danuza Gomes da Silva swings a glinting knife as she makes her way down the length of a field cutting cane. She bends to slice the sticks of young cane dropped by other workers from the top of a truck. Again and again she straightens. A band of 12 labourers like her plants about 10 acres a day. Sugar cane buds easily from the ploughed furrows, and it grows fast. But the work associated with it is hard. Danuza, round-faced and soft-eyed, makes between $8 and $13 a day depending on her productivity. At 35, she has four young children. Only 20 percent of the 7.5 million acres planted with sugar cane in Brazil is mechanized. The rest depends on manual labour like hers. ....Machines that plant and harvest are slowly spreading across the expanse of Brazilian cane fields. But Danuza’s harsh existence is a reminder that behind the global buzz over Brazil’s cane-based ethanol production — the 21st century’s environment-friendly bio fuel par excellence — lurk enduring social problems. Ethanol, renewable and relatively clean, is lovely. The life of the migrant Brazilian rural worker, finite and hot, is not." (New York Times, 10 January)
Every advance that capitalism makes it does so out of the exploitation of workers like Danuza. RD

CAPITALISM KILLS

6,000 illegal immigrants from Africa to the Canary Isles died or went missing attempting to get work in Europe. Many European governments decry this illegal operation but they are partly to blame for this trade.
"Ale Nodye, the son and grandson of fishermen in this northern Senegalese village, said that for the past six years he netted barely enough fish to buy fuel for his boat. So he jumped at the chance for a new beginning. He volunteered to captain a wooden canoe full of 87 Africans to the Canary Islands in the hopes of making their way illegally to Europe. The 2006 voyage ended badly. He and his passengers were arrested and deported. His cousin died on a similar mission not long afterward. Nonetheless, Mr. Nodye, 27, said he intended to try again. “I could be a fisherman there,” he said. “Life is better there. There are no fish in the sea here anymore.” Many scientists agree. A vast flotilla of industrial trawlers from the European Union, China, Russia and elsewhere, together with an abundance of local boats, have so thoroughly scoured northwest Africa’s ocean floor that major fish populations are collapsing. That has crippled coastal economies and added to the surge of illegal migrants who brave the high seas in wooden pirogues hoping to reach Europe. While reasons for immigration are as varied as fish species, Europe’s lure has clearly intensified as northwest Africa’s fish population has dwindled." (New York Times, 14 January) RD

The Gap Widens ( 4 )

And From the BBC

The rapidly rising incomes of the richest 10% of the population are the major factor contributing to growing inequality in Britain.
According to the Institute for Fiscal Studies (IFS), an independent think tank, the incomes of the top 10% have risen faster than those of the population as a whole since Labour came to power in 1997. And that increase has been particularly concentrated at the very top of the income distribution - among the half million individuals in the top 1% of the income scale.

Between the 1996-97 tax year and 2004-05, the income of the richest 1% grew at an annual rate of 3.1%, compared to 2.3% for the population as a whole, and the income of the top 0.1% grew by 4.4%. The stock market boom has boosted the income of the rich
The growth was particularly strong in the Labour's first term, where the income of the super-rich grew by 8% per year. The IFS suggests that the rising stock market between 2005 and 2007 may have further boosted the income of the rich - a view confirmed by the 20% increase in the wealth of those in the Sunday Times rich list in 2007.

In contrast, those at the bottom of the income distribution - and especially the poorest 15% of households - saw their income go up at below-average rates, and in some cases even fell.

"It seems there are two interesting phenomena, at either end of the income scale, that are driving trends in overall income inequality" said IFS's Mike Brewer

Overall, the gap between the bottom 10% and the top 10% has widened. The top 10% of individuals in the UK now receive 40% of all personal income, while the bottom 90% receive 60%. The top 0.1% get 4.3% of all income - the highest figure in the UK since the 1930s, and three times as much as they received as a share of income in 1979.

The report says that "income inequality is at its highest level since the late 1940s".

The average income of the top tenth, of £49,950, was double the average income of all taxpayers (£24,769) and triple that of all households (£15,000), one-third of whom pay no tax.
To get into the top 1%, an individual needed an income of £100,000, and to get into the top 0.1%, £350,000. The average income of £155,000, while the top 0.1% of taxpayers had an average income of £780,000.

WHO ARE THE VERY RICH?
Male: 90%
Middle-aged: 80%
Live in London/SE: 70%
Work in finance, property, accountancy, law: 60%
Average income: £785,000
Source: IFS, top 0.1% of GB taxpayers, 2004/5

yet again another bunch of bankers

Just how does all those bank losses bear on the rich rewards that bankers are accustomed to ? Well , for the minions of Merrill Lynch , the investment bank , not very much , at all .

This according to The Independent

Despite plunging $8.6 billion into the red , and writing off a further $14.1bn of its investments in mortgage-backed debts, taking the total write-downs to $22bn and making it Wall Street's biggest loser since the mortgage market collapsed in the summer Merrill Lynch could still pay its executives an average pay of $353,089 per employee and an average bonus of $211,849, just down only very modestly from the previous year when the figures were $364,940 and $218,957, respectively despite the sub-prime mortgage meltdown .

Stan O'Neal , the ex - chief executive of Merrill Lynch received a retirement package estimated at $160 million .

THE GAP WIDENS (3)

The inequalities of capitalism are worldwide, as this recent example from Peru shows.
"Kicking a football around a dusty lot, Judin Quicano looks like any other boy of four. But stand him against a standard growth chart and he is almost a head shorter than he should be at his age. ...Health officials say he is among nearly 30% of Peruvian children in his age group who suffer from chronic malnutrition. The figure rises to 90% in such places as Lliupapuquio, a village in Apurimac department in Peru's heavily Indian southern Andes where Judin lives. The picture is similar in neighbouring Bolivia and Ecuador. What makes the stunting of children's lives and bodies more shocking in Peru's case is that the country is enjoying a boom. The GDP expanded by 8.3% last year alone, and is some 45% bigger today than it was in 2001 ... Although governments have increased spending on social programmes, they have done little to improve their effectiveness. In Apurimac, majors complain of duplication, corruption and lack of local control. But the bigghest problem is that economic growth is not reaching many parts of the Andes. Official figures put poverty in Apurimac at 74.8 in 2006, having increased slightly since 2004." (Economist, 10 January) RD

THE GAP WIDENS (2)

An example of how the gap between rich and poor is growing in China can be seen from the wealth enjoyed by the capitalist class in that country.
"In early December, Beijing's in-crowd converged on the central business district for the opening of the Kunlun gallery. Sipping Veuve Clicquot and Mumm champagne, the real estate tycoons, stock market warriors, and Prada-clad celebrities gawked at Ming Dynasty Buddhist statuary and 15th century scroll paintings. Four Tibetan art works eventually fetched $3.4 million and, at a follow-up auction eight days later, 87 pieces of Buddhist art netted $10.4 million." (Yahoo News, 11 January) RD

THE GAP WIDENS

The gap between rich and poor widens as capitalism develops, so it should come as no surprise that China is experiencing just such a gap. "Beijing wants to give the impression of a "harmonious society", yet the gap between rich and poor is growing. With food-price inflation nudging 20 per cent, some fear protests. The heavy, grey pollution that squats like a toad over the capital has caused the president of the International Olympic Committee, Jacques Rogge, to talk of delaying the marathon. The government's confidence seems brittle. The dissident writer Hu Jia was arrested for "subverting state authority" in late December. Hu Jia sees the problems of the poor, those affected by environmental problems and people with Aids as indivisible, and this government cannot abide anyone who joins the dots. A new decree banning all but state-owned video-sharing sites will hit those showing any anti-government footage."
(New Statesman, 10 January) RD

CHINESE BOOMING DEATH RATE

"Accidents in China's notoriously dangerous coal mines killed nearly 3,800 people last year, state media reported Saturday — a toll that is a marked improvement from previous years, but still leaves China's mines the world's deadliest. A total of 3,786 were killed in mining accidents in 2007 — 20 percent lower than the 2006 toll, indicating the effectiveness of a safety campaign to shut small, illegal mining operations and reduce gas explosions, the Xinhua News Agency quoted the head of China's government safety watchdog as saying. Coal is the lifeblood of China's booming, energy-hungry economy. The mining industry's safety, which has never been good, has often suffered as mine owners push to dig up more coal to take advantage of higher prices." (Yahoo News, 12 January)The development of capitalism in China has led to more deaths amongst the working class. Surprise, surprise? RD

POOR AND DESPERATE

Men and women because of poverty are forced to work for wages. Inside Europe and North America they have to do as they are told by their masters, to turn up on time to be respectful and if asked to do so cringe, but it is even worse for our African comrades.
"Last year roughly 31,000 Africans tried to reach the Canary Islands, a prime transit point to Europe, in more than 900 boats. About 6,000 died or disappeared, according to one estimate cited by the United Nations." (New York Times, 14 January)
Men and women of the working class are dying to be exploited. Let us get rid of this mad society. 6.000 died last year, how many this year? RD

PROGRESSING BACKWARDS

In a sane society technological advances would be looked upon as a step forward for humanity, but we don't live in a sane society we live in capitalism. Simon Caulkin the Management Editor of the Observer reveals some alarming outcomes of such technical progress.
"More than half of all UK employees - 52 per cent - are now subject to computer surveillance at work, according to research from the Economic and Social Research Council's "Future of Work" programme. That's a remarkable figure, and it has lead to a sharp increase in strain among those being monitored - particularly white-collar administrative staff. ... Substantial pay rises for most managers contrast with static or even declining wages for low-end computer-monitored workers, who are working harder, and longer hours, into the bargain." (Observer, 13 January) RD

PROPHETS AND PROFITS

The future of global warming is a complex subject, but many experts believe the growth of carbon emissions could lead to disaster. One of the supporters of that notion is the World Bank with its various schemes to halt or lessen these emissions, but their difficulty is that they also support the profit system so they are left in a contradictory position.
"The World Bank has emerged as one of the key backers behind an explosion of cattle ranching in the Amazon, which new research has identified as the greatest threat to the survival of the rainforest. Ranching has grown by half in the last three years, driven by new industrial slaughterhouses which are being constructed in the Amazon basin with the help of the World Bank. The revelation flies in the face of claims from the bank that it is funding efforts to halt deforestation and reduce the massive greenhouse gas emissions it causes. Roberto Smeraldi, head of Friends of the Earth Brazil and lead author of the new report, obtained exclusively by The Independent on Sunday, said the bank's contradictory policy on forests was now clear: "On the one hand you try and save the forest; on the other you give incentives for its conversion." (Independent on Sunday, 13 January) RD

CAPITALISM BRINGS DESTRUCTION

The history of capitalism is one of death and destruction. Thus the English enclosure acts decimated the agricultural population, the Highland Clearances replaced generations of clans with sheep, the indigenous population of the USA were robbed and murdered, the aborigines of Australia were killed like vermin and now in South America the same pattern emerges."These are the Yanomami; a group of just under 30,000 indigenous people who live in one of the most remote and mysterious regions of the Amazon, a Portugal-sized area of almost pristine jungle, straddling the border between Brazil and Venezuela. For thousands of years the Yanomami have inhabited the region living in an almost identical way, hunters and gatherers, bound by age-old traditions and isolated from the modern world, deep in the world's largest tropical rainforest. But for how long? In the 1980s, some 40,000 illegal wildcat miners poured into the Yanomami's ancestral lands in search of gold. ... According to some sources, before the government expelled the miners in 1992, up to 20% of the Yanomami people died in just seven years. Now the Indians fear history may be about to repeat itself. At the end of last year, the indigenous rights NGO Survival International reported that hundreds of illegal miners - known in Brazil as garimpeiros - were again flocking into Yanomami lands. Activists fear that the miners are likely to unleash a new wave of destruction in the region; bringing violence, alcoholism, disease and prostitution to the region's virtually untouched indigenous villages." Sunday Herald, 13 January) RD

School exam cheats

Soicialist Courier has previously drawn attention to the inequities of the education system that provided for the more privileged sections rather than the poorer students . We now discover that built into the school examination system was a system of appeals procedure against low grades that favoured those who attended larger independents and comprehensives in wealthy suburbs, as opposed to those in deprived or sparsely populated areas.

Thousands of pupils from leading state and independent schools across Scotland were apparently given artificially inflated exam qualifications through a controversial computerised appeal system. Under the scheme, which was scrapped last year, Standard Grade and Higher exam results at certain schools were automatically upgraded without being separately checked by officials at the Scottish Qualifications Authority. New SQA figures reveal that in 2007, when these exam appeals were manually checked for the first time in 15 years, a large proportion were rejected demonstrating that a sizeable number of previous upgrades were questionable. Schools with small class sizes or those where only a handful of pupils were predicted A passes were not eligible. Therefore, bright pupils who just fail to meet their predicted grades from these schools would not be automatically uplifted. Five out of the 10 schools with the most derived grades were private, with George Watson's College in Edinburgh topping the list and Hutchesons' Grammar in Glasgow coming second. Two comprehensive schools from East Renfrewshire, Williamwood High School in Clarkston and St Ninian's in Giffnock, also had a high number of derived grades.

Christina McKelvie, SNP MSP and a member of the Scottish Parliament's education committee, said: "This change in the appeal rate shows the SNP was right to demand the end of the derived grades system which was seen to clearly favour pupils in better-off areas or in private education..."

John Milligan, a science teacher from Sutherland who was responsible for starting a campaign to end derived grades, said the figures vindicated his position. "It was was already hard enough for pupils from poorer areas to overcome hurdles in their path and this system supported that..."

CRISIS, WHAT CRISIS?

The newspapers are full of foreboding about a possible economic slump and cite mortgage re-possessions and credit card debt, but this only applies to members of the working class. As usual the owning class are still rolling in it.
"If the economy is about to hit a rough patch, there was scant evidence of it at the opening day of the Collins Stewart London Boat Show at the Excel exhibition centre in Docklands. Sunseeker, a company based in Poole, Dorset, has the most expensive boat on sale, an £11.5m super yacht (anything over 24 metres is a super yacht) moored outside the hall. The Sunseeker 37 has three decks and four guest berths. It has a professional galley, room for a dozen people to sit around a walnut dining table, two lounge areas and a huge sundeck. Robert Braithwaite, who runs the company, said the firm has sold 10 and that anyone wanting to buy one would now have to wait until 2011." (Guardian, 12 January) RD

Northern on the Rocks

Northern Rock , the bank that is in crisis , has been paying a number of its senior managers secret bonuses according to a report in the Independent .

The bank has sanctioned millions of pounds in confidential "retention bonuses" to managers and management board directors deemed "essential to its continuing excellent operational performance". Some 173 staff out of a workforce of more than 6,000 have been paid the bonuses. An outlay of more than £2 million a month on bonuses to this select band of employees.

As the saying goes "The Devil protects his own"

CASH TODAY, HEAVEN TOMORROW

"The love of money," the New Testament teaches in Timothy 1.6:10, "is the root of all evil." But what about some televangelists' fondness for major bling — such as multiple, multimillion dollar estates, luxury cars, vacation homes, exotic trips and private jets? Does that make them, in the words of one author, "pimps in the pulpit?" Many outside the evangelical movement are puzzled by the apparent lack of outrage following reports of high-living, tax-exempt religious broadcasters. Sen. Chuck Grassley, R-Iowa, has been looking into six mega church pastors and broadcast ministries, requesting financial records. Richard Roberts has stepped down as president of Oral Roberts University following charges that he used the school's resources for family perks, such as a trip to the Bahamas for his daughter. These charges come as no surprise to those within the evangelical world. Such tales of excess and profligacy have been an open secret for years." (Yahoo News, 7 January)
There is an old bible notion that it will be easier for a camel to pass through the eye of a needle, than for a rich man to enter the kingdom of heaven. We imagine some of these holy-rollers will be kicking the camels out of the way come judgement day! RD