Showing posts with label Egypt. Show all posts
Showing posts with label Egypt. Show all posts

Thursday, September 27, 2012

There are no merely local famines

In a globalised society, there are no merely local famines, or revolutions, or failed states.

Many of our most severe ecological threats converge on the stability of the global food supply. The most explosive consequences of food shortages are not population decline from starvation, but civil unrest and conflict (as well as increasing vulnerability to disease/pandemic). During the 2008 food price spikes, there were riots in sixteen countries. And the most visible political consequence of the 2010 food price spike was the Arab Spring (though again there were protests and riots in many other countries). Yes, of course there are other underlying factors in every country affected, but the spike in the price of bread was the initial spark in nearly every country that saw significant instances of civil unrest in the Middle East and North Africa (MENA). The protests that ultimately brought down governments in Tunisia, Libya, Egypt (and possibly Syria) all had the price of bread as their trigger (as did those in Bahrain and elsewhere). And why were prices so high in 2010? Again, all kinds of systematic reasons (biofuels taking an increasing share, changing diets, speculation, government hoarding in response to an initial rise), but the short term trigger was almost simultaneous crop losses from extreme weather events in Argentina, Australia, Pakistan and Russia (which famously stopped exporting wheat after its six sigma heatwave). Food price spikes are inconvenient in the west, where we spend less than 15% of our income on food, but disastrous in the many places with otherwise somewhat stable governments where large parts of the population spend more like 75%+ of their income on food.

The consequences of political unrest are not confined to the poor country. To pick one consequence: our taxes here in the UK recently went towards funding war in Libya, despite an austerity programme of slashing government services in response to the worst recession since the Great Depression. Refugee flows from all the various places involved have also increased. Major protests in the US and elsewhere this time last year questioned the direction of the present economic order. These explicitly drew both inspiration and organisational links from elements of the Arab Spring before being brutally suppressed - perhaps not as brutally as in Syria, but if you had your eyes open last autumn there was plenty of state-sponsored violence happening against protesters in free(r) countries, much of which was never acknowledged or addressed by the justice system.

This is not at all to claim that climate change "caused" the Occupy movement in any straightforward way, simply to chase one strand of causal links as an illustration of the global implications of crises in a single region.

Failed states have all kinds of knock-on effects on their neighbours and the rest of the world. Think about the extra costs to global shipping due to Somalian piracy (leading to many shipping companies eagerly awaiting the further opening up of Arctic shipping lanes to avoid the area entirely), about the seedbed of terrorism that Afghanistan has represented since the US turbo-charged the factions against Soviet invasion, about the effect on global oil prices (and hence the global economy) of war in Libya (or Iran...), about the ongoing repercussions of the Arab/Israeli conflict partially driven by the planned failure/sabotage of the Palestinian state. And so on. The global system can handle a few failed states, but since it does so by distributing the costs across the whole system (UK taxpayers paying for wars in Libya), it does so by increasing the stress on the system as a whole. Electricity grids are a good analogy here, actually - grids can handle the sudden failure of a certain number of elements in the grid, but do so at the cost of placing the entire grid at greater risk of collapse. Globalisation is a super-grid for economic and political stability: failure in one part can be accommodated by increasing stress across the board. But only to a point.

This is why Joseph Tainter says in the final chapter of his intriguing and seminal book, The Collapse of Complex Societies that there can be no local collapses in a global system. The term "catabolic collapse" is sometimes used, which refers to a collapse in one part of a system becomes self-reinforcing and ends up taking down the whole show (see here for a much more detailed and insightful discussion of this concept by John Michael Greer).

So when you read about the coming food price spike of late 2012 as the effects of the US drought kick in, don't just think about poor Indians struggling to put food on the table, but also think about the $700b-odd the US spends on its military (over $1t on "national security" as a whole), about the possible break-up of the EU (troubles in Greece are complex, but one of the causes/manifestations/worsening of their crisis is the fact that they receive per capita more refugees and undocumented immigrants fleeing struggling MENA countries than almost anywhere else in the EU and it has seen a big jump in recent years), about deforestation in Indonesia and elsewhere (which is linked, in complex ways, to food prices), and so on.

Global crises require global (as well as local, provincial, national, regional) responses. We can't simply pull up the drawbridge and hope to weather the storm.

Saturday, April 09, 2011

Inequality and the promise of growth

Economic growth promotes social stability by keeping the lid on revolution through the promise of wealth: one day, if only you keep working hard, you too can be rich.

Growth as the price of stability has enabled the pressing question of justice and equity to be deferred, since even if the rich are getting obscenely rich, at least all have the promise of betterment in a rising economy. But take away the expectation of growth, and the disparities of wealth become more pressingly obvious.

The same effect is realised when growth is confined to the rich. When Hosni Mubarak become Egyptian president in 1981, about twenty percent of the population lived on less than US$2 per day. After three decades during which Egypt experienced annual economic growth rates of seven per cent or more, at the time of the revolution, about forty percent lived on less than US$2 per day. There had been extraordinary growth, but the benefits went to the elite without "trickling down".

During those same three decades, the income of the bottom 90% of US workers has remained flat while that of the top 10% has skyrocketed. At the same time, the rich have successfully shifted the tax burden onto the rest. Again, the benefits of growth have not been a larger pie to be shared amongst all, but have increasingly lined the pockets of the most powerful, multiplying their power.

But not everywhere has the same story. China's boom has seen hundreds of millions move out of absolute poverty. Indeed, never before have so many escaped the burdens of grinding need in such a short space of time. Nonetheless, it has again been the richest who have benefitted the most and inequality in China is higher than anytime since the revolution. And political stability may well require this growth to continue.

If the prospect of growth becomes dim (as I think it is over the next few decades), then the question of justice must come to the fore. Whether this occurs through violent and unpredictable revolution or through reform is largely the choice of each society. Few seem to be choosing the latter, however. Indeed, globally, the rich are getting richer and only seem more intent than ever to remain in control of the reins of power. That is the path of violence, not that I am advocating or condoning it.

Of course, the absolutely poor deserve the right to develop their basic economy to a level required for the possibility of living a humane life. This is nowhere near present levels of western consumption, and nations that are well above this level have a moral duty to pursue justice through planned de-growth, or rather, pursuing things that are better than growth. It is quite possible to live a more human life while (indeed often through) embracing less. A simpler lifestyle is a gift to oneself as well as one's global neighbour.

Finally, it bears repetition: the pursuit of endless growth is increasingly terrible for ecology, which after all, owns the global economy. Growth as we currently know it likely cannot continue for more than a few more decades (at best) without so severely undermining the ecological health of the planet that the economic costs of ecological degradation overwhelm any further growth. If we want to live in a stable society, let us throw off the love of money, that poisonous stimulant slowly killing us all.

Tuesday, February 01, 2011

Tunisia, Egypt and the food in your shopping trolley

Popular uprisings as seen recently in Tunisia and currently underway in Egypt usually have a complex network of contributing and enabling causes. One of the triggers in both cases may well have been a spike in food prices. Both Tunisia and Egypt import much of their food and have large segments of the population for whom food purchases comprise a hefty chunk of the weekly budget. A similar price spike in 2008 likely contributed to protests, rioting and unrest in at least sixteen countries.

Why the spike in food prices? That too is complex, but significant elements in the present mix include speculation, high oil prices and a string of weather-related disasters affecting crop production around the globe. Why speculation? Partially because of the cheap money being poured into major economies (or rather, into the financial system) and the unattractiveness of some alternatives in a downturn, that is, such speculation is one manifestation of the ongoing debt crisis that first publicly reared its head in 2008. Why high oil prices? Again, partially due to financial speculation, but this coming on top of long-term supply issues related to the peaking of conventional oil. Why crop failures? Many reasons here too, but among them are a string of destructive weather events consistent with predictions of climate change.

Yes, there are many other causes: repressive governments, rising economies shifting the balance of economic and political power, trends in global consumption patterns, biofuel and agricultural policies, local population growth and migration patterns, corporate interests, and of course the particular contours of various national histories and the actions and beliefs of certain influential individuals. But the triple converging crises of debt, depletion and degradation (also known as economy, energy and ecology) are likely to continue to contribute to these kinds of headlines.

So if you've noticed that some of the food in your shopping trolley has jumped in price recently, don't neglect to join the dots. What is a mild frustration to me in my wealth can mean the straw that breaks the camel's back for a nation closer to the edge. What can you do about it? All kinds of things, because it doesn't have to be this way.