Naomi Klein’s book The Shock Doctrine warned of the rise of “disaster capitalism” under which governments and corporations use disasters as a chance to push through free-market policies unachievable in times of stability. Where most see a crisis, neoliberal actors spy new market opportunities. And with poor countries desperate for any kind of aid, they are often forced to carry out extensive privatisation, deregulation and wage cuts in return.
Following the devastation inflicted on Haiti by Tuesday’s earthquake, it’s clear that the country has become a target for such economic “shock therapy”. Over at Left Foot Forward, Adam Ramsay notes that some right-wing institutions have explicitly declared their intention to use the disaster to further a corporate agenda.
In the introduction to a paper on Haiti, originally titled “Amidst the Suffering, Crisis in Haiti Offers Opportunities to the U.S.”, the conservative think-tank the Heritage Foundation declared: “In addition to providing immediate humanitarian assistance, the U.S. response to the tragic earthquake in Haiti earthquake offers opportunities to re-shape Haiti’s long-dysfunctional government and economy as well as to improve the public image of the United States in the region.”
After just two hours the foundation removed the offending passage and changed the title to the rather gentler “Things to Remember While Helping Haiti” but the damage was done.
Meanwhile, according to the Nation’s Richard Kim the IMF has agreed a new US$100 million loan to Haiti but has insisted on stringent conditions including raising electricity prices, keeping inflation low and freezing the wages of all state employees except those on the minimum wage.
As Klein argues in the video below, it is up to campaigners to insist that Haiti receives grants not loans. With existing debts of $891m the people of Haiti cannot afford for economic dogma to trump human need.
Naomi Klein Issues Haiti Disaster Capitalism Alert :Stop Them Before They Shock Again