neoliberals

This is an incredibly good section in the introduction to Profit over People.  I've added bold text to the parts that especially caught my attention, although in reality everything should be bold.

I was amazed by the quote by Friedman below.   It is true when Noam Chomsky writes that people vote against their own interests because of distractions such as religion or gun rights or some other distraction, when in reality democracy is being perverted by these neoliberals.  In my opinion, Adam Smith, Keynes, Orwell, and even Madison would not approve of these neoliberals.

Earlier in the twentieth century some critics called fascism "capitalism with the gloves off," meaning that fascism was pure capitalism without democratic rights and organizations. In fact, we know that fascism is vastly more complex than that. Neoliberalism, on the other hand, is indeed "capitalism with the gloves off." It represents an era in which business forces are stronger and more aggressive, and face less organized opposition than ever before. In this political climate they attempt to codify their political power and enact their vision on every possible front. As a result, business is increasingly difficult to challenge, and civil society (nonmarket, noncommercial, and democratic forces) barely exists at all.

It is precisely in its oppression of nonmarket forces that we see how neoliberalism operates - not only as an economic system, but as a political and cultural system as well. Here the differences with fascism, with its contempt for formal democracy and highly mobilized social movements based upon racism and nationalism, are striking. Neoliberalism works best when there is formal electoral democracy, but when the population is diverted from the information, access, and public forums necessary for meaningful participation in decision-making. As neoliberal guru Milton Friedman put it in Capitalism and Freedom, because profitmaking is the essence of democracy, any government that pursues antimarket policies is being antidemocratic, no matter how much informed popular support they might enjoy. Therefore it is best to restrict governments to the job of protecting private property and enforcing contracts, and to limit political debate to minor issues. (The real matters of resource production and distribution and social organization should be determined by market forces.)

Equipped with this perverse understanding of democracy, neoliberals like Friedman had no qualms over the military overthrow of Chile's democratically elected Allende government in 1973, because Allende was interfering with business control of Chilean society. After fifteen years of often brutal and savage dictatorship - all in the name of the democratic free market - formal democracy was restored in 1989 with a constitution that made it vastly more difficult (if not impossible) for the citizenry to challenge the business-military domination of Chilean society. That is neoliberal democracy in a nutshell: trivial debate over minor issues by parties that basically pursue the same pro-business policies regardless of formal differences and campaign debate. Democracy is permissible as long as the control of business is off-limits to popular deliberation or change; i.e., so long as it isn't democracy.

Neoliberal democracy therefore has an important and necessary byproduct - a depoliticized citizenry marked by apathy and cynicism. If electoral democracy affects little of social life, it is irrational to devote much attention to it; in the United States, the spawning ground of neoliberal democracy, voter turnout in the 1998 congressional elections was a record low, with just one-third of eligible voters going to the polls. Although occasionally generating concern from those established parties like the U.S. Democratic Party that tend to attract the votes of the dispossessed, low voter turnout tends to be accepted and encouraged by the powers that be as a very good thing since nonvoters are, not surprisingly, disproportionately found among the poor and working class. Policies that quickly could increase voter interest and participation rates are stymied before ever getting into the public arena. In the United States, for example, the two main business-dominated parties, with the support of the corporate community, have refused to reform laws - some of which they put on the boos - making it virtually impossible to create new political parties (that might appeal to non-business interests) and let them be effective. Although there is marked and frequently observed dissatisfaction with the Republicans and Democrats, electoral politics is one area where notions of competition and free choice have little meaning. In some respects, the caliber of debate and choice in neoliberal elections tends to be closer to that of the one-party communist state than that of a genuine democracy.

But this barely indicates neoliberalism's pernicious implications for a civic-centered political culture. On one hand, the social inequality generated by neoliberal policies undermines any effort to realize the legal equality necessary to make democracy credible. Large corporations have resources to influence media and overwhelm the political process, and do so accordingly. In U.S. electoral politics, for just one example, the richest one-quarter of one percent of Americans make 80 percent of all individual political contributions and corporations outspend labor by a margin of ten to one. Under neoliberalism this all makes sense; elections then reflect market principles, with contributions being equated with investments. As a result, it reinforces the irrelevance of electoral politics to most people and assures the maintenance of unquestioned corporate rule.

On the other hand, to be effective, democracy requires that people feel a connection to their fellow citizens, and that this connection manifests itself though a variety of nonmarket organizations and institutions. A vibrant political culture needs community groups, libraries, public schools, neighborhood organizations, cooperatives, public meeting places, voluntary associations, and trade unions to provide ways for citizens to meet, communicate, and interact with their fellow citizens. Neoliberal democracy, with its notion of the market uber alles, takes dead aim at this sector. Instead of citizens, it produces consumers. Instead of communities, it produces shopping malls. The net result is an atomized society of disengaged individuals who feel demoralized and socially powerless.

In sum, neoliberalism is the immediate and foremost enemy of genuine participatory democracy, not just in the United States but across the planet, and will be for the foreseeable future. It is fitting that Noam Chomsky is the leading intellectual figure in the world today in the battle for democracy and against neoliberalism. In the 1960s, Chomsky was a prominent U.S. critic of the Vietnam war and, more broadly, became perhaps the most trenchant analyst of the ways U.S. foreign policy undermines democracy, quashes human rights, and promotes the interests of the wealthy few. In the 1970s, Chomsky (along with his co-author Edward S. Herman) began researching the ways the U.S. news media serve elite interests and undermine the capacity of the citizenry to actually rule their lives in a democratic fashion. Their 1988 book, Manufacturing Consent, remains the starting point for any serious inquiry into news media performance.