Extreme economics

'The Shock Doctrine' gives behind the scenes insight into some of capitalism's dirty deeds

By: Andrew Kase

Posted: 11/28/07

Everyone has heard the horror stories about greed and corruption of corporations in America.

But some believe them to be truly evil - in an economic sense.

Journalist Naomi Klein explores this subject in her new book, "The Shock Doctrine: The Rise of Disaster Capitalism."

Klein uses several examples to present a scathing indictment of Nobel Prize laureate Milton Friedman's economic theories and policies. She writes intelligently about the blowback effects of globalization and the drawback of having a free market economy.

Land developers, she says, capitalized on their own private business ventures after the tsunami that hit parts of Asia in December 2004. Later, she discusses how public schools were privatized in New Orleans after Hurricane Katrina.

Klein's main point is that man-made and natural disasters have allowed corporations, or people in general, to capitalize immediately after such events, hence the coining of the term "disaster capitalism."

She argues vehemently against Friedman's perspective: how democratic and liberal policies have been positive and effective for businesses. Klein attempts to refute this by naming countries such as China, Russia and Iran, in which elitists have learned that they can profit immensely from disastrous situations.

The elitists, she claims, can implement their own policies to take advantage of such situations, whether it's "shock therapy" or "shock and awe."

The book is well-researched, but some parts may come across as conspiracy theory-laden rants. However, one cannot dismiss the immense suspicion around some of her claims and her theories, like those behind Sept. 11.

Many groups have claimed that Sept. 11 was a planned event by the federal government as collateral to argue for wars in Iraq and Afghanistan, and Klein focuses on how many people have profited from President Bush's war on terror.

Klein reiterates how people have made gargantuan sums of money off those disasters and how Bush is an enabler who lines investor's pockets with these exorbitant amounts of money.

She introduces the term "new new economy" and discusses how disaster capitalism has transformed into this new term, surfacing not only throughout America, but the world.

Neo-liberal economists have brought forth a new wave of freedom, according to Klein, and with it come this notion of people trying to bring down those who stand in the way of takeovers of the public sector.

Klein's insightful information about this topic is shocking in itself - and very troubling. The book is written with a dark tone that translates as a warning to Americans about what is really going on in some economies.

The book is well-researched, but readers should not receive the book as a type of propaganda for the upcoming election or for something else entirely. Some of Klein's theories are shocking, especially when she mentions Sept. 11 and how many people have profited from the horrific event.

Klein presents her case with such striking evidence that it's no wonder she is a journalist, and one who is determined to bring the facts about this type of capitalism to the public's eyes and ears. It is a must-read for anyone who wants to know what's going on behind closed doors.