Neoliberal Authoritarianism: JP Morgan and the Problem of Anti-Fascism in Southern Europe

In previous posts I have written about the technocratic tendencies of neoliberalism in which procedural democracy is subordinated to the rule of economic ‘experts’ in order to ensure the ‘proper’ functioning of the market economy. This may seem controversial to some, as prominent neoliberal thinkers like F. A. Hayek tended to associate the rule of ‘experts’ with socialism and ‘progressive’ liberalism. According to Hayek, the unrealistic expectations promoted by ‘unlimited democracy’ can only be realised by ‘taking the powers of decision out of the hands of democratic assemblies and entrusting them to the established coalitions of organized interests and their hired experts.’ In other words, ‘unlimited democracy’ results in the creation of unwieldy bureaucratic structures that expand executive (and discretionary) power at the expense of the legislature. Neoliberals often extolled the decentralizing tendencies of the market against the state. The claim was that the distribution of property in a market economy guaranteed a dispersion of political power. They argued for the ‘rule of law’, which tended to take the form of constitutionalism plus some guarantee for individual rights.

All of this is very nice in theory, but in practice, neoliberalism tends to assume a rather different and more authoritarian form. Back in the heyday of Thatcher, Andrew Gamble characterized her ‘neoliberal’ politics as a mix of the ‘free market and the strong state’. More recently, David Harvey has argued that neoliberals ‘tend to favour governance by experts and elites’, display a preference for ‘government by executive order and by judicial decision rather than democratic and parliamentary decision-making’, and seek to ‘insulate key institutions, such as the central bank, from democratic pressures.’ This characterization of the neoliberal reality is far from the supposed neoliberal ideal. It comes as little surprise then, that one of the proposed neoliberal solutions to the Eurozone crisis more closely resembles Gamble’s and Harvey’s depiction of ‘neoliberal authoritarianism’ than Hayek’s ‘constitution of liberty’. In May this year, a series of reforms for the Southern European periphery were promoted by JP Morgan. A glance at the provisions gives us a glimpse into the realities of neoliberal authoritarianism.

Here is the second paragraph in the section titled ‘The Journey of National Political Reform’:

The political systems in the periphery were established in the aftermath of dictatorship, and were defined by that experience. Constitutions tend to show a strong socialist influence, reflecting the political strength that left wing parties gained after the defeat of fascism. Political systems around the periphery typically display several of the following features: weak executives; weak central states relative to regions; constitutional protection of labor rights; consensus building systems which foster political clientalism; and the right to protest if unwelcome changes are made to the political status quo. The shortcomings of this political legacy have been revealed by the crisis. Countries around the periphery have only been partially successful in producing fiscal and economic reform agendas, with governments constrained by constitutions (Portugal), powerful regions (Spain), and the rise of populist parties (Italy and Greece).

The obstacles to effective ‘crisis management’ (neoliberal-speak for the successful implementation of austerity) are: weak executives; weak centralized states; constitutional protection of labour rights; consensus building systems; and the right to protest. So, while in theory, neoliberals extol the power of legislatures in decentralized ‘liberal’ states, in practice they seek to strengthen executive (including bureaucratic and police) power against legislatures and citizens. While they praise decentralization, they propose centralization in order to rein in the regions and consolidate central control. While they tout the rule of law and constitutionalism, they want to expunge the defense of labour rights from the constitution and clamp down on the democratic right of peaceful protest.

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One thought on “Neoliberal Authoritarianism: JP Morgan and the Problem of Anti-Fascism in Southern Europe

  1. ARE LORD JACOB ROTHSCHILD AND SIR EVELYN DE ROTHSCHILD INVOLVED IN THE ARGENTINIAN CRISIS ?

    ” How Citibank and JP MORGAN Crafted Argentina’s Shock Therapy Program, January 2006
    Link in Spanish http://lavaca.org/seccion/actualidad/1/1268.shtml
    In this interview with the Lavaca Collective, historian Alejandro Olmos Gaona reveals that the banks JP MORGAN and Citibank wrote Argentina’s shock therapy program. Accoreding to Gaona, the economic plan mandated, “ the privatization of utilities, the labor law reform, the privatization of the pension system. It is all laid out with great attention to detail…. one believes that the economic plan pursued since 1992 was Domingo Cavallo’s creation, but that’s not the way it is.”
    ” Interview with Domingo Cavallo, January 2002
    Link http://www.pbs.org/wgbh/commandingheights/shared/minitextlo/int_domingocavallo.html
    Argentina’s former Economy Minister discusses the impact of Argentina’s shock therapy measures, stating that 700,000 workers were fired during this period. ”
    http://www.naomiklein.org/shock-doctrine/resources/part3/chapter8
    ” JPMORGAN Chase has an International Council which provides advice to the bank’s leadership on economic, political and social trends across various regions and around the world. The International Council is chaired by TONY BLAIR, former Prime Minister of the UK, who also sits as an adviser to Zurich Financial. ” http://www.occupy.com/article/global-power-project-part-4-banking-influence-jpmorgan-chase
    THE BLAIR’S FAMILY HAS FRIENDSHIPS WITH THE FAMILY OF LORD JACOB ROTHSCHILD. https://en.wikipedia.org/wiki/Jacob_Rothschild,_4th_Baron_Rothschild
    http://www.telegraph.co.uk/news/celebritynews/6672904/Roman-Polanski-will-be-too-late-to-complete-his-film.html
    “Tony Blair. Illegitimate Son Of Jacob Rothschild….Evidence”
    http://the-tap.blogspot.com/2012/06/can-you-spot-it.html
    TONY BLAIR IS ALSO A FRIEND OF SIR EVELYN DE ROTHSCHILD AND OF HIS WIFE . https://en.wikipedia.org/wiki/Evelyn_Robert_de_Rothschild
    http://www.dailymail.co.uk/news/article-1138789/Now-Tony-Blairs-finally-got-private-jet-hes-wanted-rented.html
    NOW WE MUST NOTICE A STRANGE COINCIDENCE:” TONY BLAIR A GREAT FRIEND OF LORD JACOB ROTHSCHILD AND ALSO GREAT FRIEND OF SIR EVELYN DE ROTHSCHILD AND “CASUALLY” HE FOUND A GOOD PLACE IN THE BANK JP MORGAN”. http://waronyou.com/forums/index.php?topic=25529.0
    http://www.rawstory.com/rs/2012/05/28/heckler-brands-tony-blair-a-war-criminal-over-jpmorgan-payments/
    http://landdestroyer.blogspot.de/2012/05/protester-calls-tony-blair-war-criminal.html
    http://www.thisismoney.co.uk/money/celebritymoney/article-2167655/Former-PM-Tony-Blair-alleged-earned-80million-2007.html
    http://www.thisismoney.co.uk/news/article-2167038/Tony-Blair-earned-20m-just-year-advising-business-bosses-foreign-governments.html
    ” New York’s Second Circuit Court of Appeals ruled on Aug. 23 that Argentina must pay $1.33 billion to the two predatory vulture funds—NML Capital and Aurelius—that bought up that nation’s debt prior to its 2001 default, at pennies on the dollar, and then demanded payment of the full face value of those bonds after default.
    The Circuit Court’s ruling was a scandalous assertion of the vulture funds’ “rights” to loot Argentina, paying scant attention to the legal merits of the case, but rather fulminating against Argentina as a “uniquely recalcitrant debtor” which hadn’t shown proper respect for the killer vultures. ”
    ” Speaking for the three-judge panel, Circuit Judge Barrington Parker, nominated to the court by G.W. BUSH, rejected Argentina’s predictions of economic disaster, in the event of a ruling against it. “What the consequences predicted by Argentina have in common is that they are speculative, hyperbolic and almost entirely of the republic’s own making.” http://larouchepac.com/node/27873
    BUSH IS ALSO LINKED WITH BLAIR AND CONSEQUENTLY WITH LORD JACOB ROTHSCHILD AND SIR EVELYN DE ROTHSCHILD.
    “David Mills was subsequently charged with money laundering and tax crimes (indicted July 2006) as a cohort of former Italian Prime Minister Silvio Berlusconi, an ally of the Cheney-Blair-Bush war axis.”
    http://educationforum.ipbhost.com/index.php?s=84166c82fef5a2fbae7d42a3466e0190&showtopic=9094&page=3

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