Economy

Terrorism and the Economy — How the War on Terror is Bankrupting the World By Loretta Napoleoni Seven Stories Press, 176 pages Review by Thomas Kollmann With no end in sight to operations in Afghanistan, an incisive review of how the much-hyped international events of the last nine years have led us there is very welcome. Economist Loretta Napoleoni is renowned for throwing light on the murky world of the financing of terrorist groups.
The Council of Single Mothers and their Children (CSMC) has taken a stand, in solidarity with Indigenous single mothers in the Northern Territory, against the income management and Basics Card scheme. These policies were part of the NT intervention, rolled out across Aboriginal communities in 2007. Legislation passed in the Senate on June 21 amended the Social Security Act to allow income management to also be applied to non-Aboriginal people, across the NT and then eventually across Australia.
On June 19, six executives — the entire board of Australian mining corporation Sundance Resources — were killed in a plane crash in the Republic of the Congo. Australian politicians and the corporate media emphasised the tragedy of their untimely deaths, showering praise on the deceased.
Unions NSW has endorsed and is sponsoring the "stop the privatisation" forum organised by the New South Wales Teachers Federation (NSWTF). The NSWTF has invited speakers from a range of public sector unions, including the Public Sector Association, Nurses Association and Fire Brigade Employees Union. Speakers will show how the NSW government's privatisation agenda has damaged service delivery and caused job cuts and the erosion of wages and working conditions.
Poverty and inequality are at record levels according to a new report. The redistribution of wealth from poor to rich overseen by former prime minister Margaret Thatcher, and continued under Labour, will be accelerated by the huge public spending cuts proposed by the Conservative-Liberal Democrat coalition — unless they are stopped. The Institute of Fiscal Studies’ annual Poverty and Inequality in the UK report released in May makes for bleak reading. Incomes for most households had stagnated for the last seven years under Labour.
Environmentalists are calling for the state government to cancel a mining lease on North Stradbroke Island, off the coast of Brisbane. Huge quantities of sand on the island has been illegally mined and sold to landscape and building industries. On July 3, the Queensland Court of Appeal dismissed an appeal by mining company Unimin against a Supreme Court ruling in December 2009 that it had carried out illegal mining and sale of the sand.
Last week was another ugly political week in Australia. There was much to be disgusted about, but one line disgusted me particularly. It was from an apologist for the Julia Gillard Labor government who dared to offer this whispered excuse for the PM's shameless embrace of racist scapegoating of desperate asylum seekers: “Julia Gillard is pretending to be conservative so that [Coalition leader Tony] Abbott can't use this issue to win the elections. Once Labor wins, they will implement a different policy. “It's clever politics.”
About 250 people attended the Students of Sustainability (SoS) conference at Flinders University in Adelaide over July 4-8. A highlight of the conference was the attendance of the Indigenous Solidarity Rides bus full of passengers on their way from Newcastle to the convergence at Alice Springs. They presented workshops on the NT intervention, its effects on Aboriginal communities and the struggle to repeal the racist laws.
A huge police crackdown on protesters at the June 26-27 G20 Summit in Toronto last week ended in the arrests of hundreds of primarily peaceful activists. Canadian group Socialist Project issued this statement on June 30 in solidarity with the protesters targeted by police. It is reprinted from The Bullet. * * * The massive police presence in Toronto over this week has been officially justified on the basis of protecting the leaders of the G8 and G20 countries meeting in Huntsville and Toronto.
From the standpoint of conventional political analysis, Julia Gillard has had a spectacular start to her reign as prime minister. She wrested the position from Kevin Rudd with minimal bloodshed, announced she was going to neutralise the mining tax controversy by negotiating with the mining billionaires and was rewarded with a dramatic turnaround in the opinion polls.

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