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Institute of International Studies

Economic Organizational
Management
A Unified Fields Theory
By, Adam Richard Tanielian

2010
Abstract

This document includes a quantitative and qualitative study of socio-politico-economic


conditions consisting of 807 international respondents on two survey questionnaires, personal
interviews, and literature review. Secondary data from the qualitative literature analysis
details several aspects of the current and historical economic and financial crises.
Quantitative and qualitative primary data showed that the 2/3rds and greater majority of the
807 participants wanted democracy at both the larger economic and organizational levels,
though secondary data indicated that such democracies, especially at the societal level, are
not effective or are non-existent. Primary data collected from international participants in
Chiang Mai, Thailand in both the English and Thai language suggested that the survey
population wanted more prosperity, lower unemployment, more economic opportunities,
better attitudes, more health care and working benefits, basic physiological needs fulfilled,
decreased poverty, decreased disproportionate wealth distribution, less corruption, more
ethical and law-abiding leadership, and generally better living conditions for themselves and
others. Well-published theories, rules, and opinions found in the secondary data were
supported by the majority of respondents in opinion polls. Dichotomies like
individual/collective, macro/micro, local/global were integrated and a general unified theory
of the organization was found.
Table of Contents
Introduction…………………………………………………………………………………....2

๑ Methodology………………………………………………………………………………..7
๒ Qualitative Literature Analysis………………………………………………………........15
I. Semantics and History……………………………………………………………..16
II. Rent and Wage…………………………………………………………………….36
III. Anglocentric Oikonomos………………………………………………………...46
IV. Corporate Social Values: Teamwork and Diversity……………………………...68
V. Ethics……………………………………………………………………………...77
VI. The Dirt on Illicit Trades…………………………………………………………99
VII. In the News: Sustainability and Renewable Energies………………………....127
VIII. The Shanghai Communist: New Models from the Supply Side……………...146
IX. A.L.I.C.E. A Legitimate International Currency Era…………………………...155
X. Self Sufficiency………………………………………………………………….171
XI. Interdisciplinary Economics: Beyond Theory A v. Theory B………………….181

๓ Results……………………………………………………………………………………197
๔ Discussion………………………………………………………………………………..203
Conclusion…………………………………………………………………………………..215
References…………………………………………………………………………………..218
Appendix 1………………………………………………………………………………….294
Appendix 2………………………………………………………………………………….295
Appendix 3………………………………………………………………………………….296
Appendix 4………………………………………………………………………………….310
Introduction

All of life’s processes on earth are in some way connected, correlated, linked to or
governed by the laws of physics. In science, a “law” is a rule which is derived from
empirical data, evidenced in 100% support of first a hypothesis, then a theory throughout the
course of analyses, testing, and retesting. A “law” shows no outliers, no potential for chance
occurrences yielding results contrary to the “law” in practice or in the paper-based theoretical
world. A “law” is absolute, unchanging, undeniable truth in our human world on earth.
Unfortunately for most of our cognitive-behavioral endeavors, we rely upon theory at best,
because a “law” is nearly impossible to discover in the realm of human cognition and
behavior. Aside from some natural sciences, we have mainly a human-centric world of
thought and perception which is dependent upon and correlated to, but not entirely bound to
the rest of the natural world, not entirely predictable, infallible and absolute like the laws of
physics. Though “theory” often needs human belief and a specific context to be validated,
sometimes “theory” is the best truth science can offer.

For many years, physicists like Einstein, Oppenheimer and Heisenberg spent parts their
professional lives in a quest for the “unified theory.” Physics is generally divided into two
mutually exclusive disciplines of “Quantum Mechanics” and “Special Relativity.”
Mathematical techniques and some of the general principles of energy and matter interaction
differ when scientists study things which are very small and things which are very big. We
have similar division between systems in widely known linguistic paradigms. Micro/macro,
collective/individual, local/federal/international, global/local, internal/external,
general/specific, urban/rural, literal/figurative, masculine/feminine, complex/simple,
domestic/foreign, personal/professional, yin/yang, good/bad, right/wrong, pragmatism/theory
and other such separations within ideologies are common throughout the world’s countries,
cultures and people.

In order to make more sense of the world around us, to provide a better standard which is
easier for novices to understand, and to find a singular reality, many people attempt to find
links and similarities between believed-to-be autonomous archetypes of knowledge.
Physicist and mathematician Brian Greene (2000) of Columbia University theorized that the
most basic building block of matter is a loop or string of energy which vibrates at different
frequencies and with different waveforms, and that those different vibrations of energy
ultimately determine the properties of physical matter. Greene’s idea that all matter at its
most basic unit is fundamentally the same is one of the base suppositions of his unified
theory. Although many physicists disregard Greene’s unified theory as a self-enclosed and
secular system of self-supporting theories, many other scientists find his language and ideas,
at very least, to be the basis of something very groundbreaking, and essential to a change in
the way people perceive the natural world.

Greene and other physicists have offered the description of the transition between the
laws of the very large and the laws of the very small as having some kind of “noise,” and this
difficulty in transitioning between Special Relativity and Quantum Mechanics without
changing format and paradigm in mathematics and perception has been what drives some
scientists to specialize in one or the other, and what divides the hard empirical science of
physics into two branches. One can imagine the difficulty of explaining to a child something
simple in the sciences, like what happens at the exact moment matter changes physical state
(liquid to solid, solid to liquid, liquid to gas, gas to liquid), or in explaining to a freshman
undergraduate student what conditions exist in between the excitation levels of electrons, and
these are for some as difficult to explain as the previously mentioned divisions of paradigms.
For example, attempting to make a person understand why we learn theory and produce
pragmatism is an incredibly difficult task, and even more overwhelming would be an attempt
to reroute pragmatism to follow theory in the practical working world. Often is the case that
people falter because of dualist and pluralist ideologies without a singular reign on the entire
situation.

The fields within economics, commerce, business administration, finance, fiscal policy,
and banking are present throughout the entire world. People need a medium of trade and
although the physical properties of that medium have changed over millennia, the basic
principle remains the same. Money, be it a limited-quantity precious metal, paper-based
currency, or binary credits on a computer screen, serves as legal tender to purchase and
procure goods and services, recently to and from any distance on earth. Similar to the field of
communication, in which the medium has been considered the message (McLuhan n.d.), the
medium of cash currencies is often the product bought and sold depending on perception and
transaction type.

As the world’s economies grow, expand over international boundaries, integrate and
continue being tracked, studied and upgraded, we will inevitably go through several paradigm
shifts and transitions. In efforts to push a longest-term paradigm shift in our economic
theory, this author proposes a transcendence of mutually exclusive dichotomous disciplines
like macroeconomics and microeconomics, and a unified theory of the organization based
upon an integration of its many parts. Vast differences between disciplines must be
overcome to find our unified theory. General and specific knowledge of various fields of
work is necessary, and at very least a sum of parts needs to be known to posit any theory
regarding the organization in general which is intended to apply to any organization in
general. In 1958, Helmer found that one of the problems in finding any unified theory of the
organization was the lack of empiricism among social scientists working with the “extremely
vague” concept of the organization. In 2010, empiricism is so abundant that a good social
scientist can rarely make a conclusion which does not have significant evidence already or
soon to be opposing it, thus causing an indecisiveness and ambiguity problem in the social
sciences due to excesses of data rather than absences thereof. In times of conflict and
unpredictability, a back to basics approach can be a powerful assistant.

The most basic unit of socio-politico-economic matter considered by this author is a


thought or emotion, or a neuro-chemical-electrical-magnetic exchange. Depending upon the
buyer and seller of any good or service, the price of anything can range from zero tangible
assets offered or requested as a medium of trade, to nearly infinite amounts of currencies,
products, services or tangible items in exchange for a good or service. People often give
without desiring any tangible compensation for their charitable donations, while the same
items which have been given freely in one place and time might cost large amounts of hard
currencies when exchanged in a different place between different people. Sometimes
intangible compensation or goodwill is the only price, perhaps well exemplified by a
priceless work of art, which could be given as a gift at any time, or which might be donated
to a museum.

The source of all our manmade products and services today originates in the human
mind, in the imagination, which is where cash, binary, and intangible currency comes from
too. Theoretically and realistically our world’s currencies, products and services are valued
based upon a faith system, whereby because one person or many people decide that some
thing is worth a certain amount, and because people believe some thing is worth a certain
amount, it becomes worth that amount. Prices are established based upon what a product or
service is thought to be worth, or what people are willing to pay for it, and prices are
maintained through faith, compromise, and leverage over production, whether the prices on
an education, a kilogram of durian, or a unit of cash currency. Without prices, and without
currencies, we would likely have little organized trade, and thus few orderly business
relations, and very few functional organizations.

With every exchange of a product or service for tangible currency or trade comes a
mutual mental exchange. Neurons inside of each party engaged in a transaction send and
receive chemicals, thoughts and/or emotions transpire, and a mental registry is made within
each party involved. Neurochemicals, which are accompanied by electrical and magnetic
frequencies and signals, are the most fundamental financial and commercial transfer,
transmission, transaction and exchange possible. The internal dynamics which assist in
motivating a sales pitch, determining a price, closing a sale, making a purchase, and feeling
good about the final transaction, thus giving moral/ethical credibility to the process, are the
basic units of our actual economic structure. The chemicals, electrical signals and magnetic
forces inside of our bodies make the external currencies valid legal tender or mediums for
trade; and the neurokinetics keep an element of security and stability in our busienss
endeavors because those internal transfers and exchanges are real, concrete, measurable and
verifiable. Neurotransmitters sent and received, which create and stimulate variations in
body language, facial affect, verbal, cerebral, emotional, implicit and explicit responses
which can be sensed, processed, measured and interpreted between two or more parties, are
what makes faith in a currency’s validity and what creates this faith in the values of our
currencies.

The brain is the center of the organization, and for as long as all people have brains, and
all organizations are operated by people, there will be common links between all
organizations everywhere. Thoughts, emotions and brain activity are what make our
economies, our businesses, and our financial markets. Thoughts, moods, and emotions drive
changes, stabilize or destabilize prices, develop or destroy nations, create everything we
humans manifest as bodies. Cognition and conscious behavior are our economy and our
work life today in every field. As we evolve psychologically, change, grow and learn, so do
our economies, our goods and our services, and our ubiquitous sustainable, self-sufficient,
adequate, developed, and perfect economy or organization is all a matter of a change of mind
for some and an integration of mental paradigm for others.

Confirmatory research was conducted in this study to test the following hypotheses:

H1: In a finite population, people in general want democracies in society relating to their
economy and in their organizations. The demands, wants, and opinions of the general
population are not being served by representative leadership. In other words, people
generally want a different situation than what they have, and do not generally want what they
have. There are opposing opinions, but the majority wants a participative, democratic
economy and organization.

H2: Using a democratic model of analysis (majority-rules), in a finite population, people


in general desire more employment opportunities, lower unemployment, more benefits for
workers, lower and not higher taxes, more human rights, less disproportionate wealth
distribution, and generally better economic working conditions for the majority of the society,
including within their companies. There are outlier populations which have opinions and
demands not following the social norm (mean average and highest frequency), but those
opinions are not supportive of human rights and are not victors in a democratic vote.

H3: People’s opinions in a survey population regarding currently publicized topics in


business, law, politics, and economics, are generally in parity with published ideology and
theory; that is, people support theories from prominent textbooks, authors, and journals in
their daily individual opinions. Again, outlier segments will exist in a bounded population,
but the most popular and most commonly occurring opinions will support theory.

H4: People think and feel similarly about macro level socio-economic issues and micro
level organizational issues in that they want better conditions, more prosperity, less
disadvantage, more economic justice, more participative economics at varying levels, and
more fairness in their lives at both the social/collective and organizational/individual level.

We are currently faced with an ongoing set of crises worldwide which have infiltrated
our homes and work lives via the media, direct or indirect financial market impact, and
larger-order economic downturns. In order to make this research a source of potential
solutions for the current and yet unseen future economic problems of varying sizes, this
researcher has asked several questions to guide the research:

What are relevant theories in the working world today? What is important to
professionals within the context of the working organization? Are theories being employed
in practice? What are the corporations saying they’re committed to these days? What are the
professors saying? How can managers be better managers?

How did things come to be this way? What historical events and trends led, at least in
part, to the present crises? What are some of the follies of the past? What are some current
events in business administration and economics which are relevant to discovering solutions
to our problems?
What are some lesser-talked-about trends in the socio-politico-economic world? How do
the issues which are largely unspoken about affect general organizational and economic
function? Are there controversial topics, and if so, what are they, and why are those topics
controversial? What are the facts about the effects of some government policies on our
organizations and economies? What’s the story with communism, socialism, and capitalism?

What kind of options do people have today? What is going on with globalization, and
how is the globalized economy affecting people worldwide? Are people working together
very well? Who has the money? What effect is the English cultural influence likely having
on the world’s people? Are the native-English speaking cultures showing they’ve provided
an adequate standard in their home countries that should be accepted in nations which have
adopted English as a Second Language programs?

How do people feel about socio-politico-economic issues like poverty, charity,


unemployment, taxes, interest rates, and ethics? What are people thinking about their work
and the economy in general? How are people’s opinions related to their own lives similar to
their opinions related to the lives of others? Are people getting what they want? Do people
want more democratic control of their work and economic lives? If so, how are democratic
institutions serving the will of the people? How effective is democracy in economics?

How can we get better and not get worse, stay better, and establish fuller control of our
lives as individuals and organizations living in a large population?
๑ Methodology
This research has been conducted with a guiding intention of discovering what can be
said about the organization in general. Perceptions regarding the definition of what an
“organization” is can vary from the sole proprietorship to society as a whole, or any group of
people working and interacting together, and thus the “organization” in general is not
constrained in size (Merriam-Webster 2010). Transcending the individual and collective
psychology to find general trends among the population in the context of work, business and
economics requires that some parity between larger order macro-level economic issues and
smaller scale micro-level economic issues be discovered and examined. A common tendency
is to consider dichotomous segregation of scope or size (i.e. macro/micro,
individual/collective, public/private, national/international, quantum mechanics/special
relativity, etc.) as being such a rigid construct that each system operates in isolation, that the
gap cannot be effectively bridged, and that one of the very few similarities, if not the only
similarity, that these dichotomous systems share in common is their mutual exclusivity and
autonomy from one another. Integration has classically been a complicated and difficult
agenda to support, though this research has been conducted with a goal of making matters
simpler by finding some common, middle ground to concentrate on in order to further unite
and organize fields and people rather than divide them into specialty groups. In times of
enormous uncertainty and change, this researcher has found it very helpful to focus on basic
facts and logic, and that is what this research has helped create and support.

The scientific method (Zikmund et al 2010) was used to formulate and test hypotheses in
this study. Case studies, news reports, and other secondary data pieces of literature led to
formation of the hypotheses which were tested with quantitative questionnaire data,
qualitative interview data, and qualitative literature review data.

Democratic values and perceptions regarding democracy were studied. The researcher
intended to discover some basic attitudes and opinions regarding the necessity of or demand
for democracy in the socio-politico-economic and organizational contexts, and whether or not
there were similar desires for democratic models in both contexts. Dependent upon the
desires to have democratic institutions, the researcher explored the function of democracy in
practice comparing the primary data with the secondary data. Whether or not people want
what they have and are have what they want was studied. The research was designed to show
whether or not the general population’s opinions reflect relevant theories and business
conditions. To a certain extent, the similarities and differences between pragmatism and
theory were tested. The researcher has conducted research with an intention of discovering
problems and offering solutions.

Popper went as far as to say that scientific theories cannot be verified, but can only be
falsified (Thornton 2009). Over-application of this logic, however, is clearly associated with
delusion rather than intelligence. Goedel found that some mathematical theorems are true but
cannot be proven (von Glabeek, n.d.). Turing’s halting problem in the early field of
computer science gave some practical proof to Goedel’s Incompleteness Theorem (BBC
2003). Tarski, another mathematician, used the same general technique as Goedel to argue
that truth is impossible to define (Smith 2008). Given these four well-known characters’
logical and empirical claims, any statement or conclusion said to be fact or true can be easily
discredited subjectively, while it might be impossible to argue a counter-point to well-crafted
criticisms which satisfies critics’ standards. The best any researcher can then provide is a
reasonably strong method with which the research has been conducted, and from the method
a specific context can be formed within which relative truth-claims can be made that might
not be provable or applicable outside of that research-specific context, but can serve as a
standard upon which the research is validated. Within this research-specific context, a
reasonably prepared researcher can defend criticisms by suggesting that the points against are
posed as truth-claims and theories which cannot be proven to be true in a similar fashion that
critics allude the potential to falsify a piece of well-designed research, and at least a stalemate
can be created between critics and researchers by using the logic that even in mathematics
certain things are accepted to be true though cannot be entirely proven to be so. Criticisms
then can be considered subjectively-defined fact or opinion, and at worst a plurality of
opinions or subjectively-defined facts can be created in which alternative theories and truth-
claims can coexist and actually support a larger-order truth-claim together rather than
engaging in conflict with each other in a fatalistic competition for the singular, ultimate truth
position beneath the pluralist level; such a singular, ultimate truth may itself be arguably
falsifiable. Harmonic pluralism can then serve as a genuine singular larger reality made of
various integrated, concentric or related semi-autonomous realities.

This research consisted of a mixed-methods approach to a set of problems that generally


confound ethnocentric views, localized subjectivity, and secular psychology. The abstract
concept of reality is considered subjective by some, objective still by others (Diamond 2010).
Both positivist and naturalist axioms were therefore relevant to the study. Phenomenological
and ethnographic approaches were used in part. Neither quantitative nor qualitative mode
assumptions of objectivity or social construction of reality and facts (UConn, n.d.) were
better for the purpose of this research; the two modes are merely different. The variables
within the research could be identified and their relationships measured, but the variables
were also complex, interwoven and some difficult to measure. Etic and emic accounts were
necessary to gain a full understanding of the research topics. The researcher attempted to
search for patterns among the participants and analyze components of responses, and to
compare primary data with secondary data to test hypotheses and draw conclusions. The
research started with pre-existing grounded theory and hypotheses which are cited in
secondary data, and the study ended with variations of existing theories, formed by using
formal instruments and the researcher as an instrument. Deductive and inductive processes
were used in an eclectic multi-model approach to the research.

Quantitative methods were used, and hence some generalizations are possible through
the research, and from the data some predictions can be made, but the enormity of the entire
population size makes a sufficient primary data set impossible to retrieve for a single
researcher, and thus qualitative methods were also used to study the limited number of cases
more in depth to describe complex phenomena and provide individual case information,
cross-case comparisons and analyses (SAU, n.d.). Intersubjective certifiability,
reproducibility (Zikmund et al 2010), triangulation, complementarity, development,
initiation, and expansion (SAU, n.d.) within the data and results were sought and achieved
between a thorough literature review, questionnaire and personal interviews.

Research Methods

1. Qualitative Literature Analysis

Hundreds of pieces of literature retrieved from Google Scholar sources, credible


internet sites, Reuters, AP and other major English-language news publications,
Infotrac-College, relevant trade journals, and IIS-RU MBA textbooks were reviewed.
Secondary data was abundant for this study. Case studies, reports, theories, ideology,
textbooks, and general literature were analyzed for important themes which aided in
formation of hypotheses (Zikmund et al 2010). The researcher used literature
featuring current topics in business, politics related to trade and commerce, social and
hard scientific reports which have present-day relevance to the world GDP and
economic function, laws and cultural changes related to economic function.
Literature points were separated into 11 categories which were developed inductively
and applied deductively (Kohlbacher 2006).

The literature review was comprehensive, but relevant to the research. Confucius said
“For one who has no objective, nothing is relevant” (Mullins and Walker 2010). The
objective of the literature review was to gain a good understanding of various aspects
of the global economy, and to collect information about trends, rules of thumb,
demands, norms, and current events from secondary sources.

2. Questionnaire Surveys

2.1 Design

Survey points were designed to collect opinion data on well-publicized social,


economic, political and work-related topics which were commonly printed throughout
the secondary data. Scale data was collected using a Likert scale to measure
preferences, opinions and propensity toward behaviors. Descriptive statistics were
compiled through analysis of nominal data.

Descriptive statistics were limited in this study to help ensure that a non-biased
interpretation of the primary data was made by the researcher, and is easier to make
for readers. Demographic information regarding field of work was not collected due
to the researcher’s desire only to discuss the working world and organization in
general, rather than to examine the different opinions among workers of in various
occupations. Only adults aged 18 and older were surveyed. Age demographics were
not recorded because the research was intended to explore socio-politico-economic
and organizational opinions among adults of common voting ages.
Surveys were translated into Thai for Thai respondents. Survey #1 contained items
related to social, macro, welfare, collective, and general larger economic conditions
(see Appendix 1). Survey #2 contained items related to organizational, micro,
individual, work-centric topics (see Appendix 2).

2.2 Sampling

Convenience samples (Kotler and Armstrong 2008) were collected in person at Pratu
Thaphae and Rajabhat University Chiang Mai. Online responses were collected using
Facebook, Myspace and IIS-RU Google-based email. English language surveys were
collected online and at the Thaphae Gate in Chiang Mai. Thai language surveys were
collected at the Rajabhat University Chiang Mai.

Over 90% of Thai respondents for survey #1 were approached by a Thai-speaking


research assistant and asked if they would please take a survey; less than 10% of Thai
respondents from survey #1 were approached by the researcher. Approximately 75%
of Thai survey #2 respondents were approached by the researcher and asked in their
native language if they would participate in the study; about 25% of Thai respondents
from survey #2 were approached by the Thai-speaking research assistant.

Over 90% of non-Thai respondents for surveys #1 were approached by the researcher
in person or via electronic communication and asked if they would please take a
survey; less than 10% of survey #1 respondents were approached by the research
assistant in English at the Pratu Thaphae in Chiang Mai. All of the respondents for
the English language survey #2 were approached by the researcher at the Thaphae
Gate and online. At the Thaphae Gate, the researcher used some basic German
language skills to help native-German speakers understand some of the first and
second surveys.

Sample Size = [Population Size / (1 + Population Size * (Confidence Level)2)]

400 > [6,600,000,000 / (1 + 6,600,000,000 * (.05)2)]

For very large population sizes (several hundred million), Yamane’s simplified
formula for sample size becomes unreliable because the sample size never reaches
400 (Israel 1992). The non-probability sample was used to prove certain phenomenon
and trends exist in general, but the sample was not intended to represent any specific
number of people outside of the sample group. According to Herek from UC Davis
Psychology (2009), while “the extent to which a convenience sample – regardless of
its size – actually represents the entire population cannot be known…a scientist can
demonstrate that a particular trait occurs in a population by documenting a single
instance.” This researcher aimed to prove or disprove the existence or non-existence
of certain traits and beliefs rather than to measure the statistical prevalence of such
traits and beliefs in the total population.
2.3 Analysis and Reporting

After retrieval of the questionnaire data, each survey was numbered and data was
entered into SPSS for analysis and reporting using various statistical techniques.
Crosstabs, means and standard deviations, Pearson correlations, alpha, and
frequencies were reported. Because this was a democracy study, the most important
SPSS reports were simple percentages of respondents who agreed or disagreed with
survey points.

2.4 Ethics

Data which was collected in person was collected during the day in plain view of
many people. The researcher and assistant informed potential participants of the
purpose of the survey and participants were informed that their personal identity
would not used in reporting or analysis. All participation was voluntary and potential
participants had the option to refuse at any time.

3. Interviews

Discussions about general and specific issues were made by the researcher with
participants in English at the time of survey retrieval at the Thaphae Gate in Chiang
Mai. Interviews were conducted based upon willingness of participants to further
discuss the issues related to the surveys. All respondents were given the opportunity
to comment on the survey topics in writing and in person. “The explicit use of
interaction” (Kitzinger 1994) was used as data. Ethnographic observation was used to
study the culture of sidewalk debates and intellectual talk among strangers. General
notes were recorded by the researcher, which were used to better understand survey
results (see Discussion and Appendix 4).

Suitability and Originality

The researcher briefly participated in a Detroit/National Public Radio news internship


program in 2004 at WDETfm 101.9 in Detroit, Michigan, lending some experience and
knowledge in interviewing and news analysis. The researcher aided SPSS data entry in a
psychological survey regarding perceptions of sexual harassment as an undergraduate student
at Michigan Technological University under Rosalie Kern, PhD. As an undergraduate
student, the researcher conducted a survey for a psychology course, interviewed people for
the Michigan Tech Lode newspaper and Daily Mining Gazette newspaper. As an MBA
student, the researcher performed all required tasks and showed sufficient knowledge in IIS-
RU’s Business Research Methods class to receive a letter grade of A. The researcher has
sufficient skills required for the project, and has prior quantitative and qualitative research
experience as both an undergraduate and graduate student. All research herein is original and
references are cited to ensure academic honesty.
Accuracy and Reliability

A non-probability sample was used in the primary data collection due to the extent to
which the original research could be considered accurate and reliable for interpretation of the
entire population’s opinions using the survey as an instrument. This sample should be more
representative of larger populations worldwide than other non-probability samples due to the
diversity of the sample population and survey topics, but the precise percentage of the larger
population which is represented by this sample is unknown. Responses on surveys within
this sample population which corroborate secondary data and other relevant literature support
conclusions that general trends are present globally in business, society, politics, and
economics, and such corroboration between primary and secondary data suggests this
research can be an accurate and reliable representation of other populations in general.

Each survey response is likely to be as accurate and reliable indication of the individual
respondent’s opinions as was possible to collect given the context, topics discussed and
attitudes measured. The collection of all questionnaires together is as accurate and reliable an
example of that group of people’s opinions of the topics as was possible to collect given the
context and limitations of the study. Some respondents had questions regarding definitions of
words on the surveys and the researcher was generally able to explain terms that were
perceived to be ambiguous, vague, or as having more than one meaning sufficiently for
respondents to complete the surveys. The extent to which the respondents’ opinions reflect
those of others who were not included in this study is uncertain, but the primary data
collected is real data and represents that group of individuals, which is a segment of the
whole population. Secondary data was collected from some of the world’s most accurate and
reliable journals, organizations, agencies, and professionals.

More than 90% of the Thai language survey respondents were college students. Some
critics have argued that students are not representative of the real world, that students are
“better educated, younger, and more liberal than the general population” (Kern 2001).
However, studies also show that “results using students as participants do not differ from
results with adult community populations” (ibid).

More than 90% of English language survey respondents were international tourists. The
largest percentage of most nations’ population will never come to Thailand. International
tourists, especially those from homelands 6,000 or more kilometers away from their
destination, like EU and North American citizens in Thailand, may have different attitudes
and opinions about intercultural, global socio-economic and political issues than their
homeland counterparts. The extent to which the international tourist population responses
can accurately and reliably reflect views and opinions of people outside of their group is
unknown.

Socially desirable reporting was a threat to the integrity of any survey. Some
respondents may have purposely or unintentionally misrepresented their internal beliefs in
efforts to appear supportive of a social norm, even on an anonymous survey. However, in
this study there were supporting pieces of secondary data which suggest that socially
desirable attitudes, opinions, ethics, and behavior are the proper standard which working
people should apply in their organizational life. Reporting of the social norm when some
other responses might be a more honest reflection of the self, in this study, therefore points to
a common conflict between theory and practice, or internal beliefs and external
communication regarding those beliefs. This was not a behavioral study, and people were not
observed in their work, nor was there any data gathered with which the researcher could
compare cognitive and behavioral traits to check if respondents reported opinions and
attitudes based upon behavior – practice – or based merely upon hypothetical or ideal
cognition – theory.

Limitations

The size and scope of the international context limits the extent to which any social
theory can be considered valid across cultures, and the extent to which any set of data can be
considered reliable for a generalization of a whole population. The research conducted in this
study is limited due to location, time, and respondents’ levels of understanding and
knowledge of their work and the economy. This research was begun with the idea that there
will always be outliers within a given population which violate the general norms, and that
there are likely to always be quantifiable conflicting opinions in any psycho-social or socio-
economic research. Facts most certainly exist in the social sciences and can be separated
from opinion, but when measuring beliefs or preferences related to culture, and when
discussing money matters, facts and the nature of truths are easily contested. Social sciences
are not natural sciences, and as such, social scientific research is limited to being more
subjective, less concrete, and far less absolute than hard scientific research.

This study was limited epistemologically. The researcher has no knowledge of what
methods the respondents employed in the creation and reporting of their opinions, which
represent their beliefs and perceived knowledge about the topics. This research gathers no
explicit knowledge of the respondents’ virtue, naturalistic, religious, moral, social, or feminist
epistemology, nor does the researcher have knowledge of the respondents’ high, low, or
mixed standards regarding the fallibility of knowledge as related to premises and conclusions.
The research is theoretically limited due to the general limits of knowledge and justification
(Steup 2005), as is all research apparently limited and possible to subject to cyclical,
nonsensical and incoherent arguments related to epistemology, which reflect Popper’s
falsification principle.

English was a second language among the majority of European respondents, and thus
variations in language semantics among native speakers of languages other than English
limited this study. Psychologists at the University of Texas discovered that people change
their personality traits to those of foreign nationals when speaking a different language
(Matthews 2005). In the cases of Europeans who responded to the surveys and interviews in
their second language, the research results may reflect those respondents’ beliefs about what
British, American or other native-English speaking people would report, rather than those
results being reflective of each individual’s opinions which possibly would have been
reported differently had the surveys been in the native languages of such Europeans.
International tourists and workers may also intentionally or unintentionally misrepresent their
home-based beliefs while in a foreign context due to their perceptions about the foreign
cultures. In this way, the research was limited due to lack of knowledge of the balance
between internal and external locus of control among respondents.
๒ Qualitative Literature Analysis
I. Semantics and History

The world has three basic economic paradigms in operation today: capitalism, socialism
and communism; credit and corporatism can function as additional systems depending on
what people are willing to accept semantically. Some authors and critics, though unpopular
in their rhetoric, posit that economics is a religion (e.g. Emmett 2003). This literature review
will focus primarily on capitalism, but it is important to understand that evidence in literature,
news and socio-politico-economic function in all nations available for study suggests that no
one economic system is entirely in control of any one market or society. In fact, it appears as
though each individual society utilizes parts of socialism, capitalism and communism
together, and the overall function emphasizes the socio-politico-economic structure which
most suits the individual sovereign nation. For example, China is predominantly communist
and socialist, but there are parts of capitalism accepted into the market economy. The USA
uses a predominantly capitalist structure, like the UK and Canada, but these three nations
have also some welfare, unemployment and socialized medicine projects in operation.
Considering that the Cold War, Guevara’s movements, the Cuban Revolution, Vietnam,
Korean, Maoist Chinese, Khmer Rouge Cambodian, Soviet and other wars of the 20th century
were directly related to economic policy, it is incredibly important for executives and general
citizens to understand some basics about the three primary economic systems, credit and
corporatism, and the implications the differences between the systems make for business
operations along with social-psychological functioning under each system, or a variation of
each system.

Origins of Communism

Communism comes from the French word communisme which comes from commun
which means ‘common’ (Oxford University Press 2009). According to Oxford, communism
is defined as “a political and social system whereby all property is owned by the community
and each person contributes and receives according to their ability and needs; a system of this
kind derived from Marxism, practiced by China and formerly in the Soviet Union” (ibid).

Merriam-Webster (2010) found communism to be “a theory advocating elimination of


private property; a system in which goods are owned in common and are available to all as
needed; a totalitarian system of government in which a single authoritarian party controls
state-owned means of production; a final stage of a society in Marxist theory in which the
state has withered away and economic goods are distributed equitably.”

The theory of communism is generally accredited to Marx and Engels (1848), whose
“Communist Manifesto” inspired Lenin and Mao among others who advocated military
revolution which was designed to eventually lead to “the dictatorship of the proletariat”
(Economist 2010). “From each according to his abilities, to each according to his needs,”
Marx and Engels decided best served the society (ibid). Communism, according to The
Economist (2010), is “the enemy of capitalism and now nearly extinct.” The general theory
in practice is the private operatorship of publicly owned property (Joyce 2002).
Origins of Socialism

Socialism is defined as “a political and economic theory of social organization which


advocates that the means of production, distribution, and exchange should be owned or
regulated by the community as a whole” (Oxford University Press 2009). Another related
system, called “state socialism” is defined as “a political system in which the state has control
of industries and services” (ibid).

Merriam-Webster (2010) defined socialism as “any of various economic and political


theories advocating collective or governmental ownership and administration of the means of
production and distribution of goods; a system of society or group living in which there is no
private property; a system or condition of society in which the means of production are
owned and controlled by the state; a stage of society in Marxist theory transitional between
capitalism and communism and distinguished by unequal distribution of goods and pay
according to work done.” State socialism is defined by Merriam-Webster (2010) as “an
economic system with limited socialist characteristics that is effected by gradual state action
and typically includes public ownership of major industries and remedial measures to benefit
the working class.” Merriam-Webster (2010) also provided a definition for “utopian
socialism” as being “socialism based on a belief that social ownership of the means of
production can be achieved by voluntary and peaceful surrender of their holdings by
propertied groups.”

The Economist (2010) defined socialism somewhat ambiguously, stating that “the exact
meaning of socialism is much debated, but in theory it includes some collective ownership of
the means of production and a strong emphasis on equality, of some sort.” Original socialist
theory is said to be the work primarily of Welsh reformer Robert Owen and French social
theorist Charles Fourier (Encyclopedia Britannica Online 2010) though there have been other
practitioners, notably military dictators who have attempted to employ socialist theory into
practice. The general theory in practice is the public operatorship of publicly owned property
(Joyce 2002).

Origins of Capitalism

Capitalism can be defined as “an economic and political system in which a country’s
trade and industry are controlled by private owners for profit, rather than by the state”
(Oxford University Press 2009). “State capitalism” is “a political system in which the state
has control of the production and use of capital” (ibid).

Merriam-Webster (2010) defined capitalism as “an economic system characterized by


private or corporate ownership of capital goods, by investments that are determined by
private decision and by prices, production, and the distribution of goods that are determined
mainly by competition in a free market.” Merriam-Webster (2010) defines state capitalism as
“an economic system in which private capitalism is modified by a varying degree of
government ownership and control.”
The Economist (2010) found that “capitalism is a free-market system built on private
ownership, in particular, the idea that owners of capital have property rights that entitle them
to earn a profit as a reward for putting their capital at risk in some form of economic activity.
The general theory in practice is the private operatorship of privately owned property (Joyce
2002).

Credit and Corporatism

Credit, in the form of loans and plastic, is used in all three primary economic systems.
Consumption of credit is generally private use of another private party’s property, but credit
lending can be perceived as public usage of private property dependent upon a private party
from the public’s financial criteria (i.e. credit score) passing certain standards qualifying
party 1 to operate party 2’s property, although this “public” (party 1) is not the government as
in the socialist and communist public which owns property, but the “public” in credit
consumption from the position of the lender side can be the same party as the public that
operates socialist property, which includes any member of a society. In the case of Citibank,
for example, and several other private bank lenders in the early 21st century, which fit the
Merriam-Webster (2010) definition of “capitalist” quite well prior to crises, economic
socialism was used to rescue the lender from bankruptcy (Enrich et al 2008). The US
Treasury became Citigroup Inc.’s largest shareholder when the New York-based company
failed (Moore et al 2010).

Under the Emergency Economic Stabilization Act, the United States Treasury became
the control shareholder in the financial and automotive sectors according to George Mason
University School of Law Assistant professor Verret (2009) yet the Treasury gave up its
voting rights within the companies, which might qualify as economic communist control if
the mostly publicly owned corporations like General Motors (PBS 2009) were still
considered privately operated (Joyce 2002). The American Troubled Asset Relief Program
(US Federal Reserve 2010) reflects a credit, banking and corporate system which does not
operate entirely within capitalism, socialism or communism, and where boundaries between
and definitions of private and public property and ownership are blurred and vague, not
absolutely applicable in the larger scheme of modern MNC and big-business models, which
are heavily reliant upon debt, borrowing, credit, and recently emergency government
bailouts.

“Socialism for bankers, savage capitalism for everyone else?” Henry (2008) queried to
readers of The Nation, though until the bailout funds were needed and allocated, those same
bankers were likely staunch capitalists, so no one system can define what the creditors have
designed over time.

Merriam-Webster’s (2010) definition of “capitalism” includes mention of corporate


ownership of capital goods, whereas the Oxford (2009) and Economist (2010) definitions do
not mention corporations. In the modern corporate structure, there is often a “separation of
ownership and management” (Starr 1988). Starr found that “public and private…have
become pervasive dualities…with the state in one direction, the individual in the
other…intermediate entities, such as corporations typically have been divided between the
two categories…among private corporations, we distinguish those that are privately held
from those that are publicly traded…the latter of those often called public corporations, by
which we actually mean public private corporations.” The distinction between management
and ownership in many corporations is not entirely dissimilar from that in communism,
where public property is operated by private parties, or in credit, where qualified private
parties operate the private property of another private owner, but does not reflect basic
capitalism where the owner and operator would be the same party.

Further ambiguity in the meanings of “private” and “public” related to corporations is


found in US Department of Defense contractor companies such as Lockheed Martin Corp.,
The Boeing Co., Raytheon Corp., General Dynamics Corp., and Northrop Grumman Corp.
(US DoD 2001), which manufacture technologies, weapons and machinery specifically for
government agencies, and thus are operated semi-privately with public money, under
government guidelines, and in close relationship with government agency personnel.
Chomsky (1996) discussed a State of Massachusetts special law which gave the defense
industry companies, Raytheon specifically, extra subsidies. Chomsky likened government
subsidized companies in the Reagan-administration US to the English military industries
under Thatcher, which apparently sold arms to Saddam Hussein, General Suharto and other
dictators under the guise of free-market policy. Chomsky also mentioned the undemocratic
style of public spending around the 1994 American Congressional election, when 60% of the
voting public wanted social spending to increase, but it sharply decreased, and Pentagon
spending increases were opposed 6:1 by the voting public, but Pentagon spending increased,
which helped the defense industry, but whether those companies are actually private or public
remains uncertain since the government has a monopsony with military products.

The qualities of private property also limit the extent to which large public corporations
can be considered entirely private. The Oregon, USA, state legislature decided that “public
corporations may not have distinct geographic boundaries in the same way that a city, county,
school district, or municipal corporation does” (Pacific States Marine Fisheries Commission
v. Department of Revenue and Multnomah County Assessor 2009). Certainly individually-
owned private property has ‘distinct geographic boundaries’. Corporations, while legally
considered “single entities…able to sue and be sued, hold property, conduct transactions, and
where jurisdictions so allow, incur criminal liability in their own name and on their own
account” (Celia Wells Cardiff Law School 2000), are actually not living bodies thus making a
writ of habeas corpus inapplicable to a corporate criminal person, and limit the extent to
which they can be compared to individuals. Larger corporations harness the power of
sometimes thousands of actual human persons under one identity in operations, so the notion
of private property owned by the legal person the corporation represents is quite a lot
different from the private property of one owner, and the corporation is quite a lot different
from the legal personhood and single entity of the other, more literal, legal person. The sale
and purchase or ‘trading’ of persons, or parts of persons, is illegal too, so the idea that a
corporation is legally a person yet bought and sold on a legal market contradicts several anti-
slavery laws at least linguistically. Corporations are often prosecuted and found guilty of
crimes under laws like Corporate Criminal Liability Acts (e.g. CAOSHA 1994), but unlike
individual human persons, corporations cannot easily be removed from society to protect
society from the criminal and to prevent the corporate legal person from committing further
crimes. Corporations are sometimes repeat criminal offenders yet allowed to operate and
function, live the life of a habitual criminal person in society rather than being imprisoned as
an individual human person would be in the event of such criminal behavior.

An Oregon Supreme Court case summary (Pacific States v. Dept. of Revenue and Co.
Assessor 2009) stated that “the board of directors of the University of Oregon was a public
corporation even though the legislature had not designated it as such”; “corporations are not
confined to ‘private’ or profit-seeking entities, and many of the early examples of
corporations were governmental agencies”; the case of US v. Perkins (1896) described the
United States as “a purely political or governmental corporation”; and McQuillin’s 1999
“The Law of Municipal Corporations” (Oregon Supreme Court 2009) found that – “Indeed,
the view has been expressed that it cannot be doubted that the state is a corporation.” The
state in the basic three economic system theories is the “public,” so there is some trouble in
defining private and public in the context of corporatism. In early Oregon, USA, “the phrase
‘public corporation’ was used as a generic term” and “a contemporaneous legal dictionary
defined a ‘corporation’ as ‘a body, consisting of one or more natural persons, established by
law, usually for some specific purpose, and continued by a succession of members’,” and a
“public corporation” (ibid) as “those [corporations] which are exclusively instruments of the
public interest.” The “public interest” is a vast assortment of occupations, enterprises and
activities.

Corporations sometimes have their own cultures along with their own identities. The
business park movement in commercial architecture shows corporations spend money
building aesthetic surroundings, providing intangible rewards for employees, and furnishing
offices with expensive art décors which are arguably inessential purchases not directly related
to the company’s product, service or work function. Best Buy, Bank One, Kroger, J.C.
Penney, Aetna, and Target gave more than 1% of their 2000 operating income, about US$210
million, in philanthropic donations in 2001 (Weinberg 2002). Ford Motor, Philip Morris,
ExxonMobil, and Wal-Mart Stores all donated over US$115 million in 2001 (ibid). Is
philanthropy truly capitalism? Some would argue not. Along with development of the
creditor and corporate mind in the past few decades especially, a new economic system or
new component have been developed which do not fit the mold of the basic three archetypes.

Classicists and Neoclassicists

The single man most commonly associated with the innovation of capitalist ideology is
Scotland’s Adam Smith. Smith’s 1776 “Inquiry into the Nature And Causes of the Wealth of
Nations” is a publication representative of a time of change, philosophical conjecture, and
linguistic theory among Western European white men like Smith. Topics ranging from
productivity of labor to wealth distribution, price, wage, value of money and goods were
written about at length in the style of the time. Adam Smith’s idea that humans could only be
satisfied in prosperous, modern, free trade commercial societies (Alvey 1998) is still very
popular though sometimes condemned as bourgeois. However, some of Smith’s ideas in
“Wealth of Nations,” especially parts about the value of labor and commodities, are
supportive of the laborers in their rights and privileges to secure basic physiological needs
through work.

In 1798, 32 year old Englishman Thomas Robert Malthus published an “Essay on the
Principle of Population” anonymously (Hodgson 2004). The Essay was published in the year
that Malthus was ordained a minister of the Church of England, and he was highly critical of
social theorists William Godwin and Marquis de Condorcet among other writers of the time,
who Malthus argued failed to understand the unequal growth ratio between population and
food production. Malthus (1798 p. iii) found that the “poor laws” had a tendency to “defeat
their own purpose,” and the basic tenets of Malthus’ arguments are still utilized by opponents
of the “nanny state” (e.g. Limbaugh 2010) and general welfare. The “Starvation Principle”
was fairly commonly employed through history and even President Clinton advocated self-
sufficiency (Thayer 1997). Marx and Engels were critical of Malthus for appearing
apologetic for the ills of the aristocracy rather than being active in pursuit of abolition of
greed and malfeasance which lead to the imperfect society according to oppositionist theory
(Hodgson 2004). Malthus was a professor of political economy at the East India College,
which educated and sent men to work at the East India Company administered Indian colony,
so between the opium wars/addiction and Church influence, Malthus was subject to a very
unique set of influences.

Malthus was friends with David Ricardo, whose first major work in 1810 was regarding
a relation between inflation and overproduction of paper bank notes in England (Federal
Reserve Bank of Dallas 2004). In 1815, Ricardo published an agricultural industry study
which led to the ‘law of diminishing returns’ related to the production possibilities on a fixed
size piece of land with variable inputs. The study was related to the British Corn Laws,
which restricted imports of foreign food into Britain, which Malthus supported and Ricardo
opposed. Ricardo’s theory of rent was founded in the Corn Law years. Ricardo, criticized by
his friend Malthus, was one of the original proponents of an international free trade agenda,
where goods are produced in countries where costs are lower. The idea of comparative
advantage came from Ricardo’s work against the Corn Laws, for international free trade, and
subsequently against some of Malthus’ ideas which were quite possibly driven by an
institutional opposition to international Indian opium trading. Smith was also against
restraints on imports (Ho 2004). Another original concept, Ricardian equivalence, states that
whether a government finances itself through taxes or debt does not matter. Ricardo, like
Smith, also believed in the labor cost theory of value, which states the value and price of
goods and services are determined by the cost of labor (Dallas Reserve 2004).

Jean-Baptiste Say (1803) wrote “A Treatise on Political Economy,” which was primarily
about supply-side economics. The time the treatise was written in did not feature computers,
electrified factories, precision engineering or work life similar to what we have today. Like
Smith’s (1776) major work in “Wealth of Nations,” Say used philosophy and linguistics to
address industrial niche issues of his time with style and length that experts of the time in
Western Europe and later in the US recognized as elite. The majority of Say’s treatise is
related to the big agriculture industry of the time, labor relations, price, value and
philosophical conjecture reminiscent of the Church-State colonial industries of the later 18th
and early 19th century. Say explained economics of negro slave labor with some fluency.
For example, Say’s treatise is the only source this researcher had encountered which showed
the average price of a negro slave – “400 dollars” (Say 1803 p86), which amounted to about a
year’s wages for ordinary free laborers (p87). Say’s treatise was the only source found in
which this researcher could learn the “annual expense of a negro in the West Indies, upon the
plantations most humanely administered…[was] but 100 dollars” (p86).

A primary problem any of the early capitalist economic philosophers would encounter
today, obviously, is their treatment of and beliefs about other races and presumably women.
Early classical capitalism was founded around the height of the slave trade, not only of
Africans, but of Chinese and South Asians too. Even after the American civil war, William
Stanley Jevons (1871), who used calculus that earlier Classicists did not use in their works,
expressed racist sentiment in his most famous work despite his acceptance of the utilitarian
theory of morals (Jevons 1871 p20). On page 70 of “Theory of Political Economy,” Jevons
wrote the following:

“A man of lower race, a negro for instance, enjoys possession less, and loathes labour
more; his exertions, therefore, soon stop. A poor savage would be content to gather the
almost gratuitous fruits of nature, if they were sufficient to give sustenance; it is only
physical want which drives him to exertion.”

In a review of Peat and Levy’s (2005) “Vanity of the Philosopher,” McCann (2008)
quoted philosopher David Hume “as a representative of the Scottish Enlightenment.” Adam
Smith’s economic philosophy was stated to presuppose homogeneity among humans, and
was associated with theoretical equality and egalitarianism. Hume, with other supporting
arguments, had this outlook on race:

“I am apt to suspect the negroes, and in general all the other species of men (for there are
four or five different kinds) to be naturally inferior to the whites.”

Race was obviously not a taboo philosophical, social or political topic of the Classical
economic period. We now know without a doubt that all humans are of the same species,
which was probably obvious in Hume’s time too given that interracial breeding had
previously yielding offspring capable of reproducing, thus proving that the two races were the
same species. Bigotry is an affliction which severely impairs fair judgment. Simply because
one is a racist does not necessarily invalidate one’s theory entirely, but it is quite clear that
the four Classicists and other notable social theorists of the 18th through 20th centuries, who
influenced and led government projects, who designed and implemented policies, controlled
enormous wealth and pioneered industry, which led to the present-day conditions, were all
Caucasian males from the colonial slave trade period through segregation, thus limiting the
scope of their theories.

Racism is sometimes thought to be rational, and medical doctors have recently used
genealogy to suggest that lack of racial bias is part of a rare genetic disorder called Williams
syndrome (Hinterhuer 2010). Jevons’ 1871 commentary on the hierarchy of races was
supported in 2007 by Nobel Prize laureate Dr. James Watson, who discovered DNA coding,
and in a 1990s book co-authored by an American political scientist Charles Murray, both of
whom argue that non-white races are genetically inferior and also less intelligent than whites
(Milmo 2007). Watson graduated from the same British Cambridge University as Alfred
Marshall, the founder of microeconomics. Macroeconomics founder John Maynard Keynes’
work was all finished prior to the end of segregation in the United States.

Of the 64 Nobel Laureates in Economic Sciences between 1969 and 2009, 63 were
males; 1 was female; 61 were from the USA, Canada, or EU; 1 was from the former USSR; 1
was from Israel; 1 was from India; 53 were from English-speaking nations; 1 from Canada; 8
were from the UK; 44 from the USA; 61 had strongly discernible Caucasian facial features; 1
was of Caribbean-African descent from the UK; 1 had strongly discernible non-Caucasian
Jewish facial features and was from the USA; 1 had strongly discernible Indian facial
features; 0 were of discernible Chinese, Hispanic, or South/Central American descent; the
youngest laureate was 51 years old (Nobel Web 2010). Of the 161 pictured CEOs from the
highest paid 200 CEOs (NY Times 2010), 5 were women, 6 had facial features and names
which were discernibly non-Caucasian. Sufficient evidence is present to support that the
highest paying and most well-known and supported positions in business, finance, and
economics are generally staffed by white men of European descent, and that the majority of
the political-economic power related to public corporations and economic theory is controlled
by white men of European descent, despite the low percentage of the world’s population
Caucasian men represent in comparison to the percentage of high-profile positions the white
male demographic holds.

Whilst a consciously-created conspiracy is perhaps not provable, it is quite apparent that


Eurocentric economic theory only has received the highest praise and acceptance in English
text. One of the few industries which has consistently criticized and discredited political-
economic function, unfortunately, is entertainment, which is easily criticized and discredited
as being childish, fictional, unscientific and unprofessional. Charles Dickens, Charles
Kingsley, Harriet Martineau and Harriet Beecher Stowe, for example, criticized the general
principles of political economy long before Hollywood films, rap music, and “Rent” (Larson
1997) on Broadway.

Levy’s 2001 “How the Dismal Science Got its Name. Classical Economics and the Ur-
text of Racial Politics,” published by the University of Michigan Press, linked the
groundwork for modern capitalism to racism from the slavery era (Groenewegen 2002).
Levy’s book featured commentary on a famous 1849 Carlyle essay entitled “Occasional
Discourse on the N--ger Question,” which featured the term “dismal science” that can be read
as the “negro science” (Levy 2001). Carlyle found that “all manner of Caribs and others pine
into annihilation in the presence of the pale faces.” Carlyle called most of the stories of
suffering among slaves “exaggerated” and told of Caribbean blacks who were better off than
whites. “If you chance to abolish slavery to men, and in return establish slavery to the devil,
what good is it?” Carlyle (1849) asked in “The N--ger Question”.
Racism was a popular hobby among Classical economists. Kingsley in 1863 wrote that
“to tell me that [the negro] is [the white’s] equal, is to outrage fact - & the negro himself
knows it” (Levy 2001). Deirdre McCloskey from the University of Illinois at Chicago and
Erasmusuniversiteit Rotterdam said “Levy’s brave book, intriguing throughout, exhibits the
disreputable, even racist, history of the case against capitalism,” suggesting that the
communal plantation lifestyle of the Classical period slave traders together with ownership
and sales of humans were actions made not only against law, human rights and civility, but
also against capitalism, presumably at the very base of private property ownership through
also colonization of the negroes’ and other indigenous populations’ land by European whites.
“Economics defends us from the fascism so often favoured by literary intellectuals,” said
AMC Waterman from the University of Manitoba of Levy’s book; fascist literary
intellectuals like Confederate States’ President Jefferson Davis no doubt.

“To a left-liberal of 1900, classical economics was a piece of party propaganda; it was
the cold, calculating and cruel sophistry of an avaricious class; it was the economics of Hard
Times’ Dr Gragrind; the economics of the Poor Law, the ‘iron law of wages’, and ruthless
competition” (Coleman 1996). “Of course the status quo distribution [of wealth] has
historically been one of substantial inequality” (Persky 2004). Early neoclassicists like
Marshall and Pigou were committed to equality and utilitarianism in the changing moral
environment of the turn of the 19th to 20th century (ibid). Equality, obviously, has not been
achieved, which is part of why Krugman noted “the [new] economy still functions in
accordance with classical economics” (Boukhari 1998). Keynes found interest rate to be a
“fatal flaw” of classical economics (Chase 1994), but racism and lack of comprehensive
social vision might just as easily be considered a general “fatal flaw” of the system which
was designed prior to desegregation in the USA, prior to the legal prohibition of slave trading
worldwide, prior to women’s suffrage rights in influential nations. “Extreme greed,” which
American Senator Carl Levin (2010) found to be “the driving force of the [early 21st century
economic] crisis,” which Levin said “will happen again unless we change the rules,” might
just as easily be the ‘fatal flaw’ of the present and 20th century system as racism, sexism,
abuse of human rights or other immoral activities.

“One of the defining characteristics of the differences between institutional economics


and neoclassicism is the treatment of the lower income classes and charitable institutions”
(Ganley 1998). If 80% of the world’s resources are consumed by 20% of the world’s
population (Arthus-Bertrand 2009), then it is likely that those 20% of the people do not wish
to allow others to consume resources at much greater rates because a shortage would result,
and thus it benefits the primary consumer segment of 20% to do what they can to keep
sufficient wealth out of the control of the majority 80% segment so that the majority of the
people do not have sufficient purchasing power to demand products and services and increase
consumption of limited resources, regardless of whether neoclassicism or New Institutional
Economics (NIE) or another model is in operation. “The hope that poverty and ignorance
may gradually be extinguished, derives indeed much support from the steady progress of the
working classes during the 19th century” (Ganley 1998) said Marshall, but the support of the
working classes, which are among the lowest-paid 80% rather than the highest paid 20%, is
generally not enough socio-politico-economic force to make great changes.

“Whether in the context of classical economics or that of more recent macroeconomics,


many of the economic ‘bads’ that are associated with business cycles and international
payments disequilibria originate in monetary disturbances” (Steele 1998). It is not likely that
19th century economists, or even pre-computer-age 20th century economists like Keynes, or
those who used physics with neoclassical economics like Fisher, Pareto and Walras (Ganley
1995), could have imagined a FOREX market, Thomson Reuters technologies (Eun and
Resnick 2007) and wire transfers similar to the banking systems of 2010. The monetary
disturbances of the 21st century are quite a lot different from those of the WWI era, and the
macroeconomy in 2010 is best exemplified by globalization, so like technology and other
social theory has become outdated, so has much of historical economics. NIE has been
utilized to draw attention to some of the institutional flaws which enable and perpetuate
economic flaws. “Several of the key contributions by Chicagoans shed the confines of the
neoclassical price theory model of perfect competition in favor of reliance on the new
institutional economics and its focus on institutional details and transaction costs” (Wright
2007). NIE has also been discredited as an ineffective solution to the vast problems people
face today (Ankarico 2002; Levin 2010) just as classical and neoclassical economics, the
historical and modern economy have not solved terminal problems of racism, inequality,
poverty, unemployment, instability, greed, hunger or any of the problems the United Nations
projects try to eradicate. The best this researcher can conclude is that the imaginary ‘ivory
tower’ economic pride and the potential of any one theory or movement without vast,
integrated social and governmental support, and now international action, is quite a façade.
To be plain, the ‘honor system’ of application of economic theory, like human rights, like
religion, like morality and ethics, has not shown to be effective though some nice ideas have
been put into print over the years.

The Free Market Concept and Perfect Competition

In “Wealth of Nations,” Adam Smith (1776 pp560-561) found that “according to the
system of natural liberty, the [government] has only three duties to attend to,” and these were
law enforcement, protection from foreign threats, and “erecting and maintaining certain
public works and public institutions”. The laws were intended to be imposed upon citizens to
promote prosperity, establish discipline, and maintain order. Smith was an advocate of free-
trade like Ricardo, who read “Wealth of Nations” in 1799 (Federal Reserve Bank of Dallas
2004), and both were opposed to market restrictions. The “natural liberty” concept is
mentioned several times through Smith’s text, probably dates back to ancient times, and
represents advocacy of the free market.

Wikipedia (2010) defined a “free market” as “a market without economic intervention


and regulation by the government except to regulate against force or fraud.”

“A free market is the most perfect known mechanism for setting priorities in an
economic system manufacturing goods or providing services…in free-market conditions
everyone will make, sell, and buy within an equilibrium established by the coincidence of
their true interests…it is also assumed that the employer will pay the true value of the
employee’s work…[but] unregulated free-market capitalism may be said to have killed itself
by greed, vanity, and excess” (Pfaff 2008). The market obviously needs to be regulated to
maintain peace and civility by making occupations like mafia hit-men illegal, to assure
product safety, implement quality standards, and apparently from time to time rebuild after
great recessions or depressions created often by some kind of ignorance among top
professionals, governments and general societies, which Alfred Marshall was perhaps overly
optimistic in believing the working classes could extinguish (Ganley 1998). The extent to
which the market is regulated is where stronger democracies, more voting rights, more
human rights, and some debates are needed.

“Our aim should not be more government, it should be smarter government” said former
American President Bush at a Manhattan Institute-hosted gathering, where Bush proposed his
economic goals and solutions could best be achieved with “free markets and free people”
(Marshall 2008). “I am an ardent believer in the free market,” said President Barack Obama
to the Business Roundtable (MSNBC 2010), so maybe the free market is not so dead (Pfaff
2008) that it cannot be resuscitated. Both The Economist (2010) and the Merriam-Webster
(2010) definitions of capitalism use the term “free market” as the context in which the price,
production and distribution of goods are determined, so American Presidents quite obviously
should support a free market. However, American Presidents do have a habit of invoking
those powers of hope and optimism from the White House or aristocracy classes while the
homeless, impoverished, imprisoned and helpless citizens of their own country tell quite a
different story of the government, of the economy and of society which, given the number of
conflicting testimonies, appear to be as multi-faced as any Buddhist statue available to view
at the Mekong River Buddha Park in Laos across from Nong Khai, Thailand. Kerry’s and
Edwards’ “two Americas” (Minnesota Public Radio 2004) are representative of the two or
more conflicting agendas within lawmakers, among government agencies, and in the general
society regarding the free market and other topics.

“Through both Republican and Democratic administration, Washington has promoted a


model of free-market global capitalism that it claimed would benefit the great majority of the
people both at home and abroad. This model has failed” (Sanders 1998). “[America’s]
‘dictatorship of the markets’ has been shown to be incapable of controlling speculators,
overpaid bankers and others who have caused the [early 21st century] worldwide crisis”
Sarkozy and Brown believe made the “lightly regulated” American model of capitalism
unsuitable for other countries (Stelzer 2008). The question many working, middle and lower
class American citizens ask is: “Is America’s market so ‘lightly regulated’ as some
millionaires and billionaires believe or is it more regulated than Wall Streeters like to
believe?”

The Drug War is a great example of how the American market is not in control of what is
available for sale and purchase, and how the American market is heavily regulated. A 2009
(Walmsley) King’s College London study found that there were 2,293,157 people in
American prisons, more than 1% of American adults (Aizenman 2008), making prisons a
US$37-$55 billion industry (Myser 2007; Aizenman 2008). Some of the inmates, like
Melissa Poche of Louisiana who spent 6 months in jail because of a clerical error (AP 2010),
and George Rodriguez who spent 17 years in prison because of human error and misconduct
(Texas House of Representatives 2004) are wrongly accused, falsely arrested, convicted, and
incarcerated. The average yearly cost to incarcerate inmates in 1997 was US$23,542 per
person in Federal prisons, US$20,261 in State prisons, and US$19,903 per inmate in local
jails (ONDCP 2000). The American prisoner population grew by over 440,000 inmates
between 1999 and the 2009, and for every inmate in prison, there are another 2-3
probationers and parolees (ONDCP 2001). About 91% of prisoners are sentenced under State
and local jurisdiction (Aizenman 2008); 19.5% of State-sentenced prisoners in 2005 and 53%
of Federal-sentenced prisoners in 2007 were drug convicts (Bewley-Taylor et al 2009); 26%
of all jail inmates in 1998 were alleged or convicted drug offenders (ONDCP 2000).

The United States Government budgeted US$43,189,600,000 on its drug control policies
between 2008 and 2010, and although the total expenditures increased each year, percent of
the total budgeted for prevention decreased each year, percent budgeted for treatment
decreased between 2008 and 2010, percent budgeted for interdiction rose each year, and
percent allocated for international programs rose between 2008 and 2010 (White House
2009). Expenditures in the Drug War severely restrict free-market activity. After nearly 40
years of large expenditures to curb the illegal drug problems under the War on Drugs
strategy, the United States alone has an annual illegal drug market valued at well over
US$100 billion according to some estimates, which is generally accepted as the largest illegal
drug market in the world using dollars as a measure of size (see section VI). Mexican police
seized 23.5 tons of cocaine in one shipment, worth US$2.7 billion according to Mexican
authorities, though the American Ambassador to Mexico valued the seizure at US$400
million (AP 2007). American Feds seized US$5 billion in illegal drugs in 2009, including
175 tons of cocaine (Trontz 2010) which could be valued at over US$20 billion itself by non-
American-government estimates. Regardless of the source of estimates of market value, the
illegal drug trade in the USA is a multibillion dollar untaxed, unrecorded annual industry.

“[The drug war] has almost nothing to do with drugs, but it has plenty to do with
criminalizing an unwanted population, and scaring everybody else” (Chomsky 1996). The
Jefferson Davis Highway, Virginia location of the Drug Enforcement Administration
(USHHS 2010) supports Chomsky's claim since the government is very selective about their
locations of properties, and a general message of racist intolerance is an obvious effect of
having any streets named after the former Confederate President, and certainly an effect of
having the anti-drug federal agency located on a street bearing Jefferson Davis' disgraced
name. In the 1980s, 5.7 million Americans were “current cocaine users” (NCJRS 1997). In
1995, 9.8 million Americans admitted being marijuana users, and 4.7 million admitted having
tried methamphetamine. In 2010, 100 million Americans admitted having used cannabis in
their lifetime, and 15 million admitted using within the last month (Seymour 2010). In 1994
alone, American state and local law enforcement agents made about 1.14 million arrests for
drugs (NCJRS 1997). About half of American drug arrests between 1997 and 2006 were of
blacks, which is disproportionate to the percent of the population and percent of the total
wealth blacks have in the USA (Bewley-Taylor et al 2009). 97% of large population nations
reported racial disparities in drug law sentencing (ibid).

If alcohol, tobacco and firearms were not legal because of the associated dangers and the
correlations of use to violent and other crimes, then there would be very little opportunity to
argue about illegal drugs using free-market theory. The American Surgeon General’s Office
found that “tobacco dependence is a chronic disease that often requires repeated intervention
and multiple attempts to quit” (OSG 2008), and the dangers of cigarette smoking are well
known though there are no legal efforts ongoing to prohibit usage under health concern
legislation. The United States Department of Justice (1998) reported that about 40% of
violent crimes involved alcohol use, and about 40% of offenders were using alcohol at the
time they committed the crime. Rates of drug use at the time of offense among federal
offenders were 22.4%, 32.6% for State offenders, and 35.6% for local offenders in the same
time period (ONDCP 2001). For violent offenders in 1997, 24.5% of federal inmates were
under the influence of illegal drugs at the time of offense, and 29.0% of state inmates were
under the influence of illegal drugs at the time of their offense. “About 62% of American
Indian victims experienced violence by an offender using alcohol compared to 42% for the
national average” (Perry 2004).

According to the World Health Organization (2004), alcohol causes 1.8 million deaths
per year. Degenhardt et al (n.d.) reported for the WHO that in 2000, the median number of
deaths attributed to illicit drugs was 194,058, less than 11% of the total attributed to alcohol.
Jernigan (2001) reported for WHO that a 1995 study estimated that 34% of all motor vehicle
crash deaths, drowning and falls, 47% of all homicides, 41% of suicides, and 44% of burns
are attributable to alcohol use. World Health Organization (2007) found that “alcohol is
estimated to cause a net harm of 3.7% of all deaths, and 4.4% of the global burden of
disease.” WHO (1998) found that illegal drug injecting males attending treatment in 9 major
cities had mortality rates of between 0.53% and 3.55%, including those whose death was due
to HIV/AIDS, which is lower than the WHO estimated net harm of alcohol. Female
intravenous drug users in the 1998 WHO study had lower mortality rates. Prescription drug
abuse sends about as many people to emergency rooms in the USA as overdoses from heroin,
cocaine and other illegal drugs according to the government (Stobbe 2010).

“Numerous investigations indicate a close link between violent behavior, homicide and
alcohol intoxication” (Palijan et al 2009). Between 2000 and 2004, the number of murders
committed in the USA under circumstances of “brawl due to the influence of narcotics” was
less than 60% the total number of murders committed under circumstances of “brawl due to
influence of alcohol” (FBI 2006). The number of all murders committed under circumstances
of “brawl due to influence of narcotics” between 2005 and 2007 was less than 61% the total
committed under circumstances of “brawl due to influence of alcohol” (Census 2010).
Between 1990 and 1998 in the USA, between 4.8% and 6.2% of homicides were “drug-
related” (ONDCP 2000). In the same period, “alcohol-positive homicides” were the most
common variety involving any drug in NYC homicides, 72.1% more common than “cocaine-
positive homicides” by 1998 (Tardiff et al 2005). “About half of all victims and perpetrators
consume alcohol before a homicide” according to the Washington State Department of
Health (2007). Illegal drugs are actually less related to crime in general, violent crime, and
murder than alcohol, yet alcohol is perfectly legal for consumption among adults in the USA.

In Australia, alcohol was said to be related to 60% of public order problems in 2000
(NSW Gov 2003). In a 2005 British Home Office study, “18- to 24-year-old binge drinkers
accounted for only 6% of the total adult sample, but they committed 30% of all crimes
reported by adults in the [12 months of study], and 24% of all violent incidents…63% of all
young adult binge drinkers admitted to [criminal and/or disorderly behavior] during or after
drinking, compared with 34% of other young regular drinkers.” Alcohol was said to be a
contributory factor in violent behavior rather than absolutely causing crime in another British
Home Office study (2004), though related to violence in the night-time economy, “most
incidents involve drinking by the offender, victim or both…at least 90% of assaults occurring
in bars involved drinking by the victim, offender or both…of assaults on the street, 63%
involved alcohol…arrest data for one English resort town during the tourist season showed
that 78% of all assault arrestees reported drinking during the four hours prior to the
offence…between 10pm and 2am, 93% of people arrested had been drinking…”

Between 2005 and 2007, in the USA there were 44,883 murders reported (Census 2010)
and 30,469 of those murders were committed with firearms. Between 2000 and 2004,
approximately 66% of the 70,140 reported murders were committed with firearms in the USA
(FBI 2006). Alcohol is a factor in more than half of US homicides (Dubovsky 2001; Parker
and Rebhun 1995). Despite the connections between alcohol, firearms and homicide, rights
to bear arms are not likely going to be revoked and neither is alcohol likely to be prohibited
again in the USA, the world’s leader in the Drug War.

President Barack Obama admitted he used cocaine and marijuana (Romano 2007), both
illegal drugs in the USA, so surely he knows the effects market regulations have had on the
American economy, and also that Washington politicians in association with the American
military have no intention of allowing a free-market to rule in the USA, regardless of its
value or popularity. Surely President Barack Obama knows that a free-market could help
foreign nations like Colombia, Bolivia, Afghanistan and Myanmar, and help to free American
people from prison like President Bush said would best help Americans achieve their
economic goals. “True Lies” (California Governor Schwarzenegger et al 1994) are certainly
difficult economic politics to pass by some Americans.

Perfect competition has been disregarded as somehow anti-capitalist, or anti-American or


as a bad idea economically. Some people, labeled ‘pirates’ despite the fact that they had not
a peg leg nor parrot, nor even boat or crew, have been prosecuted and imprisoned under
intellectual property laws, which make perfect competition and free-market economies
impossible to achieve. In perfect competition, there is no artificial differentiation of
production, like knock-off, copied, non-genuine, non-licensed, shanzai goods (Pellet 2009).
In some cases, however, monopolistic competitors like Microsoft have faced antitrust
prosecution and the market may be seen as restoring balance or ensuring fairness in pricing
by providing non-genuine, artificial differentiation of products. The big-4 music companies,
Warner Music, Universal, EMI, and Sony BMG together hold 90% of the Thai market and
82% of the global market (Asia Pulse 2006), and thus form an oligopoly or cartel, so prices
are kept within certain limits by allowing free downloads of music and sale of non-licensed
music.

Perfect competition can result in unpredictable price fluctuations which suppliers cannot
dictate due to the nature of their competition, like in the US grain boom of 1996 (Thomas and
Maurice 2008), but initiatives like the American Hatch-Waxman Act, which puts a lifespan
on a patent/copyright protection of a new invention like pharmaceuticals in the USA (Eurek
2003), can create (generic) perfect competition to assure monopolistic and oligopolistic
competition do not disrupt fair pricing for consumers. For example, if Coca-Cola, Pepsi
Cola, and other recipes, formulas, or designs of products had their exclusive production rights
suspended after a monopoly-rights period upon registering a patent/copyright, like Pfizer,
Merck, Johnson&Johnson and other prescription drug manufacturers are subject to in the
USA, or like other intellectual properties face under the WTO TRIPS agreement (Luthans
and Doh 2009), then prices for the majority of products could settle into a market-determined
range rather than allowing price fixing and cartel control of prices, quantity supplied and
other market conditions. The ideal lifespan of a patent for new inventions is within the time
period in which the product is still useful, and not after it has become entirely obsolete.
Copyrights for music, films and other entertainment media could face a 5 or 10 year limit
without severely affecting large production companies. A profit value or percentage could
also serve as a point at which a company loses its protection under IP laws to help the whole
market, including consumers.

If former American President Bill Clinton’s logic from his support of Thailand’s decision
to break patents on AIDS drugs (AP 2007) were moved into larger-scale application into the
market, patent law could survive on innovation, which would be more necessary for
companies to profit at their desired rates, and consumers would not have to suffer oligopoly
pricing or extreme IP law prosecutions (see Appendix 3). With larger application of term
patent/copyright protections, the market might actually turn to equilibrium of a polypolistic
market, otherwise known as perfect competition (Budzinski 2003). In some sectors and
fields which require highly skilled experts, like stock markets which are already as close to
perfectly competitive as we can find (Thomas and Maurice 2008), prices would not
necessarily have to fall drastically, but there would be unrestricted entry and exit to and from
the market, and price changes could happen immediately when participants in the market
determined they were too high or low. Perfect competition, while more suitable in
agriculture and certain services today, could be applied to nearly every industry with some
small adjustments in IP law, which do not necessarily have to harm any one party in the long
term, but would surely benefit the consumer-side market with prices and open up new
opportunity for employment on the supply-side.

Exceptions to General Rules

In England and Wales there are around 550,000 hectares of common land, or about 4%
of the total land area, which the Commons Act (2006) protects (DEFRA 2010). “Common
land and rights are a very ancient institution – even older than Parliament itself. They are
part of the fabric of life in England and Wales and have their origins in the manorial system,”
according to the Rutland County Council (2008). Depending on the common, ‘commoners’
might have the right to graze sheep or cattle, take peat or turf, take wood, gorse or furze, take
fish, and allow their pigs to eat acorns or beechmast (ibid). The UK is the home of capitalist
theorists like Adam Smith, Thomas Malthus, David Ricardo and Alfred Marshall, but the
Crown government does offer social medical care (UKDH 2010), welfare (UKDWP 2010),
and social housing assistance (UKCLG 2009).

Service Canada (2009) offers income assistance, education assistance, health insurance,
employment insurance, and housing assistance among other socialized programs. Health
Canada (2010) is a Federal government department which provides social medical care in the
primarily capitalist nation. The Provincial Government of British Columbia budgeted about
CA$450 million for social housing in 2007. The Australian Institute of Health and Welfare
(2010) handles socialized programs in the primarily capitalist economy. Ireland’s
Department of Social and Family Affairs (2010) handles Ireland’s unemployed, welfare-
seekers, and other socialized programs in the mainly capitalist nation. The United States,
while perhaps personified as the most outspoken advocate of capitalism through the 20th
century, has welfare programs operating through the Department of Health and Human
Services’ Administration for Children and Families (2010), Medicare and Medicaid services
(USHHS 2010), disability, unemployment and other social labor programs through the
Department of Labor (2010), social security retirement benefits (USSSA 2010), and has some
version of social medical care in the beginning stages (USHHS 2010). US Senator Bernie
Sanders is a socialist (Sanders 2009). The transition out of classical economics has helped a
growth in private interest in eliminating or limiting poverty (Ganley 1998), but the new
integrated institution is still necessary to constrain extreme poverty and keep the workforce
healthy.

Though land ownership in English capitalist societies is generally based upon purchase
of a deed, and only owner-authorized private use of privately-owned land is generally
accepted as lawful, adverse possession laws, or “squatters rights” are still at play in much of
the English-speaking world, making occupation of land for a pre-determined period of time
without deed or permission to dwell upon the land the only qualifier for ownership of the
land. “Adverse possession means that someone takes occupation or possession of land in a
way that is inconsistent with the rights of the true owner. If this physical control over the
land lasts for an uninterrupted period of at least twelve years, with the intention to possess it
to the exclusion of all others, then the title of the original owner is extinguished” according to
the Northern Ireland Government (2010). Such squatters rights are also allowed in mainland
Britain (UKOPSI 1980) and have been the cause of several Royal Court of Justice (2008)
cases, reaching up to the Supreme Court. In the United States, a court might also grant a
“prescriptive easement” (e.g. State of California n.d.) right for a trespasser to use a piece of a
property rather than grant ownership through adverse possession, and each State defines the
laws regarding the length of time and conditions of occupation before a trespasser may be
granted ownership rights (e.g. Olexa and Cossey 2009). Though American property
purchased by a private entity under capitalist economic law is generally the property of that
private entity and not the state, “eminent domain” is a law which gives the state power to
“acquire private property for a public use” (e.g. Wisconsin Department of Commerce 1999).

A landmark bill in China (Beck and Shipeng 2007) aimed to protect private and state-
owned property equally. “The property of the state, the collective, the individual and other
obligees is protected by law, and no units or individuals may infringe upon it,” stated the bill
prior to passing in the government. While China remains committed to its socialist-
communist structure in rhetoric, it is also accepting some variations of capitalism, especially
dealing with non-land private property, which is solely the property of individuals who
purchase goods and such property rather than the property of a collective which has not paid
legal tender for the goods or property. Wang Zhaguo, a government vice chair, said the
government needed to “urgently require effective protection of [citizens’] own lawful
property accumulated through hard work” and the bill further read “The nation is in the first
stage of socialism and should stick to the basic economic system in which public ownership
predominates, coexisting with other kinds of ownership” (ibid).

In the United States probably more than anywhere else on earth, the definition of private
property and ownership of assets accumulated within the term of a marriage, in the event of a
divorce, has put some strain on capitalist ideology. The Internal Revenue Service (2009) of
the USA’s “Publication 504” provides information on tax rules specifically related to
alimony. Essentially, the entire operations of the Internal Revenue Service, like HM Revenue
& Customs and other tax collection agencies, suggest that most income and property is not
owned and operated solely by the individual, purchaser or earner, but also with the state to
varying degrees. Alimony, like other divorce settlements in the cases where one party,
generally the female, is awarded assets with a total worth greater than that which the recipient
party could have purchased and contributed to the joint estate during the term of the marriage
due to insufficient income or liquid assets, appears to suggest that the privately-earned
property of the wealthier spouse, generally the male, is not actually the private property
solely of this party at all, but is the joint property of both parties or solely the property of the
party which has not earned income and/or purchased the property. In other words, when
couples split up and the housewife is awarded assets which total far greater than her total
income through the term of the marriage or cash savings paid through the term of marriage,
the situation suggests communal ownership of the man’s property, which is not indicative of
capitalism.

Ownership and Operatorship of the Human Body

When this author was living and working Chengde, China, students at the Petroleum
College made remarks on at least one occasion regarding the general perceptions in the
Chinese socialist-communist society that the physical body of an individual’s self belongs to
society. Depending upon whether socialist or communist theoretical attributes were
employed, the operatorship of that body could be either public or private.

Human rights founded primarily in western capitalist nations might have roots in private
ownership and operatorship of the body of the self under capitalist ideology. The
International Covenant on Civil and Political Rights Article 1 states that people have the
“right of self-determination,” and with that right, they can “freely determine their political
status and freely pursue their economic, social and cultural development” (UN 1966). The
International Covenant on Economic, Social and Cultural Rights Article 6 states that people
have the “right to work” and “the opportunity to gain [one’s] living by work which [one]
freely chooses or accepts” (UN 1966). The Universal Declaration of Human Rights (UN
1948) Article 23 states that “everyone has the right to work, to free choice of employment”;
Article 3 grants everybody the “right to life, liberty and security of person”; Article 4
prohibits slavery, the slave trade and servitude though there are more than 12 million slaves
worldwide still (Goodwin 2010).

International human rights laws in general, including employment laws, prohibit the
ownership or operatorship of an individual’s body by another person or organization, and
thus support private property rights of individuals related to the person as well as other
possessions. The American Selective Service System, for example, apparently violates rights
to freely pursue economic and cultural development, free choice of occupation, right to
liberty and security of person, and does so under domestic law which supersedes
commitments in international agreements to which the United States of America is a
signatory and/or party nation (UN 2010). Chomsky (1996) pointed out that the United States
has been “in violation of international conventions, constantly condemned in human rights
forums” for prison conditions not consistent with private ownership-operatorship of the
human body by the self, that an Illinois State Senator said “some people work better under
humiliation” in defiance of human rights, civil rights and employment laws, and capitalist
ideology, and that the Chicago press pointed out that the then “harshening” conditions were
“reminiscent of slavery,” which are clearly allegations, at least, of violations of the United
Nations agreements and rights of the self to own and operate the body.

Some consider military and police actions of the United States of America especially,
among other nations, as being not only in violation of certain general principles of the United
Nations agreements, but also as public ownership and/or operatorship of the body of
individuals. In a completely functional capitalist society, neither would one encroach on the
private property rights of another, nor would the state need to enforce optional control rights
over the private bodies of individuals in legal cases. Drug convictions are a very common
example of non-commitments to the capitalist model of individual body ownership and
operatorship, because ingestion of a drug affects only the body of the individual who ingests
the drug similarly to alcohol or cigarettes or foods, and restrictions related to rights of
individuals to consume non-lethal substances suggest the government has authority over the
body, and thus ownership and operator privileges to the body. Slavery is not only a violation
of criminal and human rights laws, but is undertaken in conflict with capitalist ideology, like
the majority of crimes, in which one party attempts to gain ownership and operatorship of
another party’s property by use of force, be the property the body or inanimate objects.
Abortion and capital punishment can also be used as simple examples of violations of
theoretical capitalist models applied to the body whereby a second or third party takes control
of and kills the living body of a first party, be that party still in the second party’s womb or as
retribution ordered by the state for a prior violation of capitalist legal principles by the first
party against another party.

Not uncommonly, employers, government agents, and other people abuse the human
rights of individuals at work, and most often the abuses are simple violations of liberties and
freedoms from possession or control of the body by another. Whether or not economic
theory related to the ownership and operatorship of the body is part of the cognition and
intention of the abuser in human rights abuses is inconsequential behaviorally, and the
majority of abuses, if not all, suggest a lack of capitalist ideological commitment among the
world’s people, even in nations which have been the foremost advocates of capitalism.

The Multi-model System

Private property has been the cause of much debate through history (Duchrow 2002),
especially since the Industrial Revolution, westward expansion in the USA, the invention of
Marxism, the Cold War and modern economical warfare. Protests against capitalism, even in
primarily capitalist nations (Choen 2001), among other complaints and debates have made it
necessary for governments to implement some socialized medical, welfare, educational, and
needs-assistance programs to keep society safer, happier and healthier while other changes
continue to happen in the private sectors with civil and human rights, whose importance
indicates a big change from the classical economic period. In nations like China and Cuba, in
order to assure safety and protect against the Soviet model of collapse, it is important to
protect rights to own tangible goods as a private merchant, household or entity. Humans are
in the first stages of a new technological age, and the political-economic events of the past
100 years show a toddling global society learning to deal with larger populations, trans-global
travel, international business and now massive exchanges of information through high speed
networks. Each of the basic economic systems in autonomy is likely to support militarism as
part of its rivalry against existing competitors and thus fail as a method of control and civil
organization, so integration of models is likely necessary for advancement and survival in the
absence of violent conflict. Most likely, the next 100+ years of economic systems analysis
will evolve the 19th and 20th century enemies of capitalism, socialism and communism into
something more supportive of high-quality localized service with more globalized goods in
the context of the multinational organization, which should eventually start performing more
like a mom-and-pop shop and fit in with small businesses worldwide.
II. Rent and Wage

According to Adam Smith (1776), “The real price of everything, what everything really
costs to the man who wants to acquire it, is the toil and trouble of acquiring it.”

Jean-Baptiste Say (1803) continued on that same note, “The value that mankind attach to
objects originates in the use it can make of them,” and concluded that utility generally
remains constant when price rises because the utility of objects is indexed by price rather than
created by price and utility cannot be augmented by a forced raise in price.

In developed metropolitan areas in the 21st century, the price of one month’s rent is often
impossible to afford on government-mandated minimum wages. The costs to acquire life’s
basic necessities – food, water, clothes, shelter, and transportation – in 2010 are commonly
more toil and trouble than economic opportunities allow workers to exert. Without basic
needs, workers cannot survive, and so what the economic conditions suggest is that the value
of labour is less than the value of commodities which sustain the life of the labourer, and thus
suggest that the life of the labourer is expendable and less valuable than commodities priced
higher than the labour, and that the price of the commodities has been driven up far beyond
their value and utility.

“Labour was the first price, the original purchase-money that was paid for all things,”
Smith (1776) continued. “Labour, therefore, is the real measure of the exchangeable value of
all commodities” including rental services using the Merriam-Webster (2010) definition of
“commodity.” However, the money provided by full-time work at minimum wages and low-
scale multiples thereof is seldom enough to acquire basic commodities at their exchangeable
values measured in units of legal tender. More than 230 years after the original publication
of “An Inquiry into the Nature and Causes of the Wealth of Nations,” low wages paid to
labourers are not a product of cognitive dissonance among committed capitalists; the
conditions today are evidence of wholesale rejection of important points in original capitalist
ideology by members of wealthy aristocracies and upper classes who have supported in this
lifetime wars in the name of capitalism.

“The rent of the land,” Smith (1776) stated, “is naturally a monopoly price.” What a
shame it is to many renters that antitrust lawsuits are not allowed against landlords!

“The profit of the land, which is called rent, is paid to the proprietor, who does nothing
himself,” Jean-Baptiste Say (1803) continued in “Treatise on Political Economy,” which
suggests that the nil-labours of the landlord are more valuable than the toil and trouble of the
real labours of many renters. “Before the functions of utility of capital were known, it is
probable, that the demand of rent for it by lenders was considered an abuse and oppression –
an expedient to favour the rich and prejudice the poor,” Say (1803) went on to print. In 2010,
people find the inflated cost of rent above the value and utility of the commodity to be the
same abuse and oppression, though given that rent is a monopoly priced expenditure, there is
little tenants can do to alleviate the burden of such abuse and oppression.
The United Nations Human Settlements Programme (2009) has drafted more
contemporary and explicit literature which supports the rights of people to adequate housing.
“Adequate housing” according to the UN includes legal security of tenure; availability of
services, materials, facilities and infrastructure; affordability; habitability; accessibility;
location; and cultural adequacy.

Spiegel (2008) reported that German inflation in energy and food especially caused
overall inflation to outpace pay rises for workers. “Unlike many other countries, there is not
a statutory minimum wage in Germany” (ILO 2009), providing some room for exploitation of
workers like hairdressers in Thuringia who had been paid €3.18 per hour since the mid-1990s
(Dougherty 2007). According to the European Industrial Relations Observatory On-line
(2005), generally accepted minimum wages in Germany vary between economic sectors and
among locales, often ranging between ~€7 and ~€10 per hour. Lowest priced 1-room rentals
in Berlin (HTW 2009) were found to be between €200 and €400 per month. Using the
average student monthly cost of living provided by Deutsches Studentenwerk (2010),
workers must earn over €4.61 per hour at 40 hours per week after taxes for bare-minimum
survival.

In 2004 in London, rooms averaged £74 per week and flats £150 per week (Greater
London Authority). GLA estimated non-housing living costs for 16-19 year-olds in London
were £109/wk during the same period, higher for older working adults not in training.
National minimum wages in England from 2009 (HM Revenue & Customs) were £5.80 per
hour for workers 22 years of age and older, £4.83 per hour for workers 18-21, and £3.57 per
hour for workers aged 16 and 17. Social welfare programs could help offset the cost of
housing for qualified applicants according to the GLA (2005). Assuming a 40 hour
workweek and that overtime is not available, minimum wage workers aged 22+ are not likely
to be able to afford to live alone in a room without social assistance at a tax rate of ~15% or
higher; 16-17 year olds if untaxed cannot possibly survive without social assistance on
minimum wages; 18-21 year olds might be able to survive alone in a room without social
assistance if untaxed. At the minimum wage rate, no workers will be able to save substantial
amounts to prepare for retirement given the cost estimates made available by the British
government.

Using the University of the Arts London (2007) cost estimates, a worker must make
£5.73 per hour after tax and work 40 hours per week not missing a single day in one year to
“live in relative comfort
in London.” Due to
imbalances between
official estimates of the
costs of living and
wages available per
period under the
England national
minimums guidelines, in
2005 the Mayor of
London introduced the London Living Wage, which was increased in 2009 to £7.60 per hour.
Realizing the importance of adequate wages for life’s necessities during the current pay
period at very least, the Mayor said “A London Living Wage is not just morally right, but it
makes commercial sense as all businesses need good, willing and motivated workers to
support them through the recession and onto greater prosperity when the upturn comes.” The
GLA group pays the London Living Wage as do at least 29 other organizations in London,
though it is not a mandatory wage in the City or elsewhere given that it is not the national
minimum wage (Conservative Party 2009).

Despite the rises in national minimum wage and London Living Wage, London’s
Poverty Profile (2009) clearly indicates there are insufficient earnings available for lower-
paid labourers to acquire basic-needs goods and services in the aggressive English market.
The unavailability of sufficient income to save for retirement may help explain why more
men in London die before 65 than in any other region in England (MacInnes and Kenway
2009). Housing costs were stated to be the primary difference between London poverty rates
and those elsewhere in England.

In nations like England and elsewhere in the first-world, there is sufficient money
available to support large populations, but the distribution of income is disproportionate
among groups. London’s Poverty Profile (MacInnes and Kenway 2009) found that the
richest 20% of London residents possess nearly 60% of the total income in the City while the
lowest 50% in inner and outer London share 20% or less of the total net income. £5.80 (HM
Revenue & Customs 2009) per hour was found to be “too low to be considered a low-pay
threshold” in London’s Poverty Profile (2009). The ‘poverty threshold wage’ in 2006 was set
at £6.50, which is above the highest 2009 national minimum wage.

The minimum wage in Tokyo was found to be ¥791 per hour (JETRO 2010), which was
the highest in Japan. The lowest minimum wage was ¥629 per hour, in 4 prefectures, and the
average through all 47 prefectures was ¥713 per hour (Akahata 2009). Wage rise
recommendations were made most recently in 2009 by the Central Council on Minimum
Wage. Average student rent in Tokyo (University of Tokyo 2009) was ¥60,000 per month,
though in some districts student rent was ¥90,000 to ¥150,000 minimum for efficiency
apartments. A person working 40 hours per week on Tokyo minimum wage could not afford
an apartment near the Hongo or Komaba University of Tokyo campus. According to the
Japan Student Services Organization (2004), the average cost of living throughout the
country was over ¥130,000 per month, which even the highest minimum wage in Tokyo
would not support. A United Nations International Civil Service Commission (2006) report
corroborated the data provided by Jasso (2004). In Japan, as is the case in England and
Germany, the value of labour is not represented as enough to support a basic lifestyle
throughout the nation.

In France (Reuters 2009), the minimum wage was recently increased to €8.82 per hour or
€1,337.70 per month. According to the French Embassy in Bangladesh (2009), rent ranged
from €600 to €700 per month in Paris, and started as low as €400 per month elsewhere. The
French Embassy stated the average student monthly budget was €1,000 in Paris. Depending
on the rate of tax and non-housing expenses, the minimum wage labourer might be able to
afford basic necessities in the lowest priced rentals, but no substantial savings for retirement
is likely to be an option in France for minimum wage workers.

The European Commission (2008) reported the minimum wage in Ireland was the second
highest in Europe, at €1,462 per month. In the same year, the average rent in Dublin was
€1,300 per month but fell to €1,000 per month in 2009 (Daft 2009). In cities like Ulster, low-
rate rentals were just over €400 per month after the housing price decreases. The cost of
living in Ireland was said to be higher than elsewhere in Europe by several sources (e.g.. EU
2008), necessitating an after-tax income of more than €1,000 for the majority of cities to
procure basic needs. The minimum wage for Dublin’s city center does not appear to be
enough to afford much over basic needs if that much, and minimum wage is certainly not
enough for retirement savings.

In Belgium (Eurostat 2008), minimum wages were €1,336 per month, and average
monthly expenses more than €960 (UNICSC 2006). With high tax rates and some variable
expenses, the minimum wages in Belgium are not likely to cover basic costs of living. Thus
again, Adam Smith’s (1776) theories on the value of labour and commodities have not been
supported in practice.
According to the New York Times (2009) editor’s desk, after minimum wage rose to
US$7.25, due to inflation the American wages were worth 17% less in 2009 than in 1968.
35% of minimum wage workers were the sole income source for their entire family in the
USA, according to The Christian Century (2006). In 2007, Knight Ridder Washington
Bureau reported that the US Congress denied a proposal to index the national minimum wage
to inflation. Colorado is one of ten states which has pegged the minimum wage to inflation,
and planned to lower the wage in 2010 due to a fall in the indexed cost of living (Frosch). An
estimated 2.8 million workers were being paid less than the US$7.25 per hour prior to the
federal minimum wage change in 2009 (NY Times), including those in Kansas where the
minimum wage was just US$2.65 per hour, and in poor southern states which had no
minimum wage (Economist 2009). With unemployment at 10% (BLS 2009) and higher, the
30 million American workers who earned less than US$9.80/hr, which would lift a family of
four out of poverty (Polaski 2007), have had little hope of improvement. Unemployment
rates will likely remain unusually high for several years around these economic crises,
leaving only an option of a more active state to provide a social safety net (Foxley 2010).

In the State of Alabama, about 48% of renters could not afford a “modest two-bedroom
apartment” at a monthly cost of US$595, and the 68,000 Alabamians working at US$5.85 in
2007-08 could not afford to rent one-bedroom apartments at the average quoted Fair Market
Rent price of US$512 per month (Arise Citizens’ Policy Project 2008). The North Dakota
Housing Finance Agency (2008) used federal Housing and Urban Development (HUD) and
Fair Market Rent (FMR) values to determine that workers on median cashiers’ wages had
available each month only 76% of necessary housing costs. Accommodation and Food
Services workers in the NDHFA (2008) study were not able to afford rent for 2-bedroom
apartments. In a State of the Region report, the Southern California Association of
Governments (2007) gave income a “C, average” grade and housing a “D, potential failure”
grade for the 2002 through 2006 period.

Metropolitan areas were not the only places where minimum wage failed to provide an
adequate lifestyle. In Houghton, Michigan, a university town with less than 7,000 residents,
Michigan Technological University Graduate Assistant Jess Juntunen (2010) reported that
average monthly cost of living ranges between approximately US$650 and US$1,000.
Minimum wage after tax is not likely to afford retirement savings for low-spenders, cannot
support higher-spenders and certainly cannot support families, leaving Houghton residents
like many other small-town residents partially-dependent on credit.
According to the
American National
Low Income Housing
Coalition (2008), “the
federal minimum
wage is not nearly
sufficient to house a
family affordably at
either the national
one- or two-bedroom
FMR. Moreover,
neither planned
increases in the
minimum wage nor
the assumption of 52
hours of work per
week makes up for
the shortfall.” Renter
wage was estimated at US$13.94 per hour, 192% of the 2010 US federal minimum wage.

Renting housing is more popular now in the United States than in earlier years. Between
1978 and 2001, working families with children experienced a 9% decline in home ownership
rates (Rhode Island 2005). The NLIHC (2008) reported that in 2007, almost 1.3 million
households entered into foreclosure and as many as 3.5 million more were expected by 2010,
and that report was before some of the later subprime mortgage scandals, which were related
to more unexpected foreclosures. “To be able to afford the average rent in 2003 in Rhode
Island, a worker would have had to earn US$19.85 per hour for forty hours per week,” the
Kids Count Factbook (2005) report concluded.
“U.S. wages have stagnated for the past three decades,” said Polaski from the Carnegie
Endowment for International Peace (2007), “which the workforce has also faced an erosion
of job security, health care, and pension plans.” Polaski continued, “Creating a more
promising economic future for the U.S. workforce will require the reform of domestic labor
laws and the tax system.”

UBS’s “Price and Earnings” (2009) study found that “normal local rent” in Chicago was
US$1,670 per month; US$1,580 in Los Angeles; US$1,780 in Miami; US$3,100 in New
York City. Using the UBS estimates, a Los Angeles worker would have to make nearly
US$10 per hour cash at forty hours per week just to pay for “normal local rent.” The UBS
study indicates that minimum wage was insufficient to afford rent in any of the four
American cities listed in the worldwide report, thus suggesting once again that the value of
minimum wage labour is not as high as the price of goods and services necessary to survive
the life of minimum wage labourers. The Chicago Coalition for the Homeless (NIU 2000)
found a more optimistic estimate for the average cost of a two-bedroom rental in Chicago at
US$723 per month, which was still unaffordable to 2010 minimum wage workers who
support the entire rent payment.

Value is an ambiguous term, like WS Jevons (1871) pointed out. According to the
“Theory on Political Economy” (1871), Mill explained “Value is a relative term…the value
of a thing means the quantity of some other thing, or of things in general, which it exchanges
for,” though in the United States, the exchangeable value of housing is clearly above the
value of minimum wage labour, despite the inherent contradictions with utility defined by the
labour market. The labour market conditions clearly define the value of the labours as less
than the value of housing by measure of exchangeable legal tender paid for each commodity,
though if we are to consider some basic human rights (e.g. UN 1948) to be mandated into the
market political-economy, including rights to basic needs, then the monopoly rule over price
of housing clearly violates the market definition of value and the labourer’s basic human right
to afford physiological needs through full-time employment in an occupation of his or her
choice.
Jevons (1871) quoted Chalmers, who said “The necessities of life are far more
powerfully affected in the price of them by a variation in their quantities than are the luxuries
of life.” Perhaps we should consider the high price of rent as being evidence of a housing
shortage worldwide. Still, Jevons (1871) found that “the object of economics is to maximize
happiness by purchasing pleasure, as it were, at the lowest cost of pain,” and thus the cause of
economics is not being served in the case of housing, which cannot be purchased at the
lowest cost of pain, nor at the pains of 40 hours per week of minimum wage labour.

In Montreal, UBS (2009) estimated “normal local rent” to be approximately CA$1,500;


CA$1,450 in Toronto using UBS’s quoted exchange rate of US$.792/CA$1. A Statistics
Canada (2005) study found average minimum wage across the 10 provinces to be about
CA$6.75 per hour, which fell nearly 28% beneath the after-tax wage rate needed to afford
UBS housing. The incidence of minimum wage labour among 13,498 employees surveyed
was stated to be only 4.6% by Statistics Canada (2005), and average hourly wage among
those surveyed was about CA$17 between the 10 provinces, which does support rent and
basic costs of living. In the case of Canada, like the London Living Wage project, the
government had abstained from making sufficient minimum wage a legal requirement, and
some or many private businesses provided incomes sufficient to sustain the life of the
labourers.

Australian minimum wages, at A$544 per week (Australian Broadcasting Co. 2009),
might support cost of living in Sydney, but given the UBS (2009) “normal local rent” cost of
AU$1,589 per month using UBS’s quoted exchange rate of A$.667/US$1, unions
disappointed by the Australian Fair Pay Commission’s decision not to raise the minimums
might be arguing on the point that their basic needs should be taken care of without credit for
full-time work. According to ABC (2009), about 1.3 million Australians worked for
minimum wages. A spokesperson for the Australian Council for Social Services was for
minimum wage increases while a spokesperson from the Australian Chamber of Commerce
and Industry said the wage freeze was better than an increase for businesses. Jeff Lawrence,
ACTU secretary said of the decision not to increase wages, “Working families [were] again
the victims of the unfair wage setting system established by the previous Liberal
government.”

Developing nations like China have grown conscious of the effects of inflation on the
purchasing power of minimum wage workers, prompting officials to order raises on pace
with inflation (WFC 2008). Average wages in 2007 were approximately 2,100RMB
monthly, far beneath the UBS quoted costs of 4,110RMB for “normal local rent” in Beijing
and 5,274RMB for rent in Shanghai. Chinese labourers often live with others and share the
cost of rent. In the Communist world there is little opportunity to share the good news of
capitalist theories like that from Adam Smith (1776), even when the knowledge might help
relieve the burden from the working poor and ironically support Communist/Socialist ideals.
Ideological conflicts are sometimes disregarded for the common good, like when Wen Jiabao
(AP 2010) pledged to increase the stock of affordable housing.
According to the UN Habitat program (2010), 93% of future urban growth will occur in
cities in Asia and Africa, and to a lesser extent, Latin America and the Caribbean. UN
Habitat found that in Ghana, poverty reduction was positively correlated to improvement of
housing conditions, and found that poverty is most severe in areas where poor families sluster
together in inadequate housing. “These areas are challenged economically and
disproportionately bear the social and economic burden of unemployment, crime, deteriorated
housing, and poor health,” said the UN. “Developing the supply of subsidized housing and
quality accommodation is a priority for poverty reduction after access to employment and
social integration.”

Brazil decided to adjust minimum wage with inflation and GDP growth each year
between 2008 and 2023 (Xinhua 2006). In 2007, Brazil raised minimum wages to 380 Reals
per month. UBS’s (2009) estimate for “normal local rent” in Rio De Janeiro was 993 Reals
using UBS-quoted exchange rates of .433Reals/US$1. UBS-quoted rent is clearly not
possible to afford given the national Brazilian minimum wage.

The following figure features average gross and net hourly wages from 14 professions in
the listed cities from UBS’s 2009 “Price and Earnings” report. Each quoted wage is far
above the national and local minimum wages. If all workers earned wages like those quoted
by UBS below, fair market rent costs would be affordable for the whole population, and cost
of living would be affordable on a 40 hour per week work schedule. However, due to the
competitive nature of our market economic system, longstanding inequality in wealth
distribution like in London, and evidenced by perpetual partial-dependence on credit, workers
are not able to afford their basic needs very often while employed full-time.
If Americans, British, Western Europeans, Japanese, Australians, Canadians and others
are to call themselves capitalists and be recognized as patrons of a single economic ideology,
then these people should and must adhere to core concepts of the system which they so boldly
defend against all
competing
philosophies.
Without Adam
Smith’s, WS Jevons’
and Jean-Baptiste
Say’s works, then we
would probably have
no capitalism, and
therefore no
capitalists. If
Americans, British
and others are not
economic capitalists,
what then are they?
Government-related
committees, councils,
advisors, review
panels among NGOs,
charities, private
organizations and
individuals have
presented data time
and again suggesting
that the value of
minimum wage
labour measured by
wage is not sufficient
to purchase
commodities to
sustain the life of the
labourer. If this era
of rent and wage
statistics is not an
aberration of
capitalism, then what
is?
III. Anglocentric Oikonomos: 4 C’s Manage the English-Speaking House
Contradiction, confound, conflict and crisis are not words which when used to define a
general norm of a culture or law of a land invoke an impression of competence, credibility,
coherence and cooperation among people within such a society that could be easily suggested
to be following the rule of the first 4 C’s. If leading experts were to plan a new global
economic system, they would likely desire the latter four C’s of competence, credibility,
coherence and cooperation to be internal attributes of wealthy and powerful nations of people
rather than having the former 4 C’s be personal and professional characteristics these
planned-powerful cultures and individuals often embody, support, create, sustain and display
in their ways of life. Despite the undesirability of the less intelligent 4C’s, by using the
World Bank’s 2008 GDP rankings and several other very well-known English-language
media exploits, we can very easily associate four of the world’s top fourteen wealthiest and
therefore most powerful nations with the former 4 C’s rather than the latter four C’s.
The United States, United Kingdom, Canada and Australia exert an enormous force on
the world’s people, economies, legal policies, political strategies, social and cultural beliefs.
Evidence of English influence is everywhere many of us go. American, British, Canadian
and Australian multinational corporations have blanketed the world in a first-world price
structure cover of consumer goods, appliances, electronics, multi-media publications, planes,
trains, boats and automobiles. The power and wealth of the major six English-speaking
nations – USA, UK, Canada, Ireland, Australia, and New Zealand – is so famous that the
world’s people have started teaching English as a second language in scores of countries as a
staple part of national curriculums just to try to get a piece of the English-speaking nations’
fortunes and luck. English has recently become the accepted language of international
business, tourism and education. Aside from impoverished third world villages, it is nearly
impossible to live outside of the range of the English language today. Some big retailers and
offices in Japan started telling employees “no English, no job,” which shows the perceived
strength of bilingualism in Asia (Nakao and Shatil 2010). If in fact we do live in a world
where only the strongest or fittest survive, then we had better make sure the English-speaking
nations’ economies - oikonomos, “house management” from old Greek (American Heritage
Dictionary 2009) - are among the strongest and fittest since so many people are adopting at
least a part of the English common economic structures.
English speaking people are well known for their Christian missionaries and their pride
for their primary religion: Christianity. The New and Old Testaments of the Christian Bible,
however, are full of scriptures which the English-speaking people disobey very regularly and
with wild popularity and commercial appeal. Very commonly in English-speaker culture,
contradictions between pragmatism and theory are cited as catch-all reasons for disobedience
of the supposed Christian cultural rule from the Catholic or Protestant churches, which teach
out of the same Bibles. Be it the New King James Version, New Living Translation or
Textus Receptus, all New Testaments feature a Book of Matthew, which states very clearly in
chapter 19, verse 24 that “it is easier for a camel to go through the eye of a needle than for a
rich man to enter into the kingdom of God.” For anybody familiar with the literal English
language, this scripture essentially states that never shall rich people be privileged to live in
the company of God exclusively without the threat of banishment from God’s presence and
without any unholy company. A standard rule in the English-speaking traditional culture is
therefore that greed and even riches are unholy and prohibited among those who are to be
known as followers of God, yet we can find seemingly endless examples of conflicts between
the behavior of the English-speaking people and what appears is their cognition in their most
accepted socio-cultural rules which the Christian religion has, at least until very recently,
represented.
Charles Dickens’ “A Christmas Carol” (1843) is one of the most well-known stories in
the English-speaking culture. Who could forget the tale of Bob Cratchit’s family kept in
poverty by the notorious avarice of shyster Ebenezer Scrooge and Tiny Tim’s famous catch
ending line “God bless us, everyone”? Apparently the vast majority of personnel working in
the banking sectors, on corporate executive boards, in brokerage and capital investment
firms, the multimillionaire and billionaire sects – people whose character most resembles that
of “a Scrooge” - throughout the English-speaking nations, who have not bought into the
power of generosity. “A Christmas Carol” was made into a Hollywood film in 1938, again
under the title “Scrooge” in 1951, “Scrooged” with Bill Murray (1988) was inspired by the
original Dickens tale, and most recently Jim Carrey starred in Disney’s “A Christmas Carol”
(2009), in addition to dozens of screen and stage adaptations of the 19th century classic.
The Motley Fool released a report entitled “Wall St. is DEAD!” (2009) and it is fair to
speculate the cause of death was abnormal complications related to greed and moral-ethical
conflicts with the larger classes of American citizens who do not have the ambition or
potential to be as greedy as the Wall Streeters have been portrayed as being in Oliver Stone’s
1987 film “Wall Street” and its sequel “Wall Street 2” for which Stone offered a tagline
“greed is now legal” (AP 2009). Through the 20th century, the democratic majority of
American financiers, executives and professionals with ascending values in their financial
accounts tried to keep their contradictions with the local Church’s dogma to a minimum by
merely offering alternative subjective definitions for the word “rich,” and used rule-of-law
ideology to finagle their way out of stricter scrutiny for their less admirable habits of
hoarding huge sums of cash while presumably witnessing the tragedy of poverty on New
York City, Los Angeles, Philadelphia, Chicago and other American city streets daily, while
not donating time, money and effort to help alleviate the devastating effects of urban
homelessness, beggary, and pennilessness. Others, however, engaged in conflicts of a much
more serious nature which inspired such popular Hollywood films as “American Psycho”
(2000) and “Boiler Room” (2000).
“Crooks like Bernie Madoff” who topped the heap of modern white collar criminals, all
of whom confounded their own high-society, educated, luxurious ways with their escapades
in conflict with several well-known laws, “get all the publicity…but cowboys, charlatans and
clowns are far more common, and do most of the real damage” printed The Washington Post
(Motley Fool 2009).
“Money, it’s a crime,” Pink Floyd (1973) sang long before Madoff’s billions turned up
ill-gotten, echoing a very well-known English idiom which states that “money is the root of
all evil.” Just ten years prior to that song in the UK, The Beatles were singing the praises of
“Money (That’s what I want)” (1963), but then John, Paul, George and Ringo turned around
the next year and sang “I don’t care too much for money, money can’t buy me love” (1964),
thus exposing their own contradictions and those of the lyrical tastes of the Beatlemaniacs
who worshipped the band, or showing they had learned something.
Hollywood Confounds
Hollywood alone has inspired a culture of contradiction with wildly unrealistic, yet
extremely popular “American excess stories” like the film with that tagline, “Brewster’s
Millions” (1985) with Richard Pryor, who was much more frugal in his off-screen life with
his own money than he was with the money he made quick work of on screen. “Down and
Out in Beverly Hills” (1986) captured a likely ambition of do-gooder wealthy elite social
class members in the middle of the “greed is good” me-generation decade: take in a homeless
man. Nick Nolte, Bette Midler, Richard Dreyfuss and Little Richard made a great tutorial
film on how to take in a man whom you’ve found in your swimming pool in “Down and
Out…” While the Dow Jones Industrial Average was making gains and preparing for the
extreme growth period it encountered in the 1990s, television, big screen stage acting casts
and crews were rolling out stories of charity, altruism and social responsibility that were very
successful, very profitable, very popular in terms of ticket and VHS sales, but only evidenced
another contradiction between the English-speakers’ cognitive perceptions of their
economies - desires to help, repair and enable them to provide basic needs for all citizens -
and the everyday reality of their actions, which left still millions in the USA, Canada, the UK
and Australia homeless or dependent on social security, welfare and unemployment benefits.
Hundreds of A-list Hollywood films portrayed the criminals, big and small, as the
protagonists since The Beatles capitalized on a pop-obsession with contradiction and
changes. Comedies like the John Hughes film “Curly Sue” (1991) shed light on the moral
and ethical conflicts involved with theft of food for survival. Disney’s cartoon protagonist
“Aladdin” (1992) sang “gotta eat to live, gotta steal to eat” and thus gave an explicit
endorsement of stealing food for survival to the world’s people from an iconic, very well-
respected American corporation although such actions are in conflict with most laws. 1994
brought the world the suburban working class humor of director Kevin Smith in “Clerks”
which introduced the characters “Jay and Silent Bob” to a youth generation which responded
to the duo extremely well by capitalist standards. Jay and Silent Bob were as perfect a
reflection of the American-side 4 C’s as any of the “Beavis and Butthead” (Judge 1993)
episodes and the conflict driven 1990s MTV programming schedule of hip-hop, alternative,
grunge and “The Real World” (1992). Also released to multimillion dollar ticket sales in
1994 were Vietnam War American service veteran Oliver Stone’s “Natural Born Killers,”
featuring Woody Harrelson and Juliet Lewis as media-made hero serial killers, and “True
Lies” starring California Governor Arnold Schwarzenegger. The title of Schwarzenegger’s
big 1994 blockbuster film alone in the years leading to his ascension to the top executive
position in Hollywood’s home State certainly suggests that the American English-speaking
public offices and voter population are thick with the 4 C’s in any accent of speech. “True
Lies” is such a contradiction in such a short title that it is difficult to imagine two words in
succession which are more contradictory in meaning.
The 1990s mainstream film industry produced several stories which informed audiences
all around the world about a classic cultural faux pas: contradictions within popular moral-
elitist rhetoric which many English-speakers use to classify themselves above the ranks of
others who are not Christian and do not speak fluent English. Corporate and independent
filmmakers, protected by liberal speech and content laws related to entertainment media in
English Common Law nations, brought to the general consumer public’s attention dozens of
well-defined, longstanding confounds within the socio-political archetypes English-only
speakers have attempted to spread worldwide as practically perfect ideological systems. The
subterfuge of internalized, secretive, covert conflict was exposed and neo-classic emotional
crises were unearthed from deep within the English psyche and projected for all to view.
“The Bridges of Madison County” (1995), based on a Robert James Waller novel,
portrayed a middle aged mother and wife, played by Meryl Streep, as a sort of heroine for
having extramarital affair with Clint Eastwood’s character, which she documented in a diary
later read by her children after their parents’ deaths. The film, which romanticized
immorality and the conflict certain spouses face when they engage in such affairs, won
several awards and was heralded by many women as a masterpiece feminist film, thus
exposing the conflicts a very large population of English-speaking women inherently enjoy
related to breaking marital vows.
“The People vs. Larry Flynt” (1996) was based on the real life of Hustler Magazine
pornographer Larry Flynt, whose publication won a landmark United States Supreme Court
case in Hustler Magazine, Inc. v. Jerry Falwell (1988). The US Supreme Court heard a case
which involved a parody cartoon in Hustler featuring the reverend Falwell as an advocate of
sexual promiscuity and drunkenness, which it was decided Falwell obviously was not, thus
prompting the Supreme Court to decide in favor of Hustler’s right to free speech and
expression based upon the Constitutional First Amendment since this case did not feature a
believable, and therefore libelous, printing. In essence, the US Supreme Court upheld the
rights of a pornographer over those of a religious advocate, and evidenced some conflict in
interest, contradictions between desirable social activity and those upheld in the courts, and
in a sense confounded prostitution laws since Hustler Magazine often features sexual
intercourse, which models are photographed engaging in for exchange of cash payments (i.e.
models have sex for money like prostitutes, the only difference being that models are
photographed in the act for a commercial publication).
End of the 20th century A.D. films were full of great stories of criminal enterprise,
mischief, addiction, dishonest and ill-tempered characters in stories which could have been
taken directly from the real English societies. In many of these films depicting characters
from life’s less admirable side, it was unapparent who was supposed to be the protagonist and
likewise with who the antagonist was since all of the characters in certain stories had such
obvious flaws and would not be considered a protagonist in the larger society outside of their
niches, nor would they be considered antagonists within their subcultures. Guy Ritchie films
“Lock, Stock and Two Smoking Barrels” (1998) and “Snatch” (2000) featured dialogue-
fueled plotlines featuring a number of very strong characters, all of whom were apparently
engaged in some bracket of criminal behavior, though through story and character
development, the audience could easily associate with, understand and like the players as
protagonists in their world. Further British-origin conflicts with legal, social and cultural
norms were seen in “Trainspotting” (1996) and “Human Traffic” (1999), featuring
uneducated drug criminal characters who managed to still maintain commercial appeal
despite their antisocial drug-induced narcissistic behavior and primarily slang-related speech.
“Clueless” (1995) taught the majority of viewers that the wealthiest people in society are
often the absolute dumbest! Such confounds in popular elitist upper class rhetoric and
contradictions between theory and practice again and again are promoted as great
entertainment rather than as the sad and pathetic stories they could easily be understood as
being. “Jerry Maguire” (1996) addressed a 1980s-90s standard conflict related to greed
among professional sports agents by telling what was probably a true story of Tom Cruise’s
character being fired from his job for experiencing an epiphany and suddenly speaking
openly about the immorality of his profession, and also for trying to employ socially ethical
reasoning at work. Another apparent conflict between reality and idealism was put on display
in Matt Damon’s and Ben Affleck’s “Good Will Hunting” (1997), where the smartest man at
the Massachusetts Institute of Technology was not a professor or dean, but the janitor!
Emotional, social, ethical and moral complications, conflicts, contradictions and crises hit
Carver High in “Election” (1999), which instructed the world to not believe in the prim and
proper images a lot of those stuck-up goodie-two-shoes gals in the 12th grade try to get by on.
Comedian Joe Pesci played a lot of characters which people loved to hate, which is a
contradiction in itself – the idea that people would love to hate. “The Super” (1991) featured
Pesci as a NYC slumlord sentenced to his own rat-infested, broken down building. An
interpersonal conflict ensued everywhere Pesci’s character went, which made crowds
throughout the English-speaking world laugh at their own socially inept folly. “Casino”
(1995) and “Goodfellas” (1990) also starred Pesci and his bad-guy-protagonist conflict.
“Wag the Dog” (1997) featured Dustin Hoffman and Robert De Niro playing characters
employed in the Hollywood-to-Washington spin-doctor industry, who schemed up an
imaginary war to cover up a presidential sex scandal. This film, of course, was a
fictionalized spin-off of the Bill Clinton-Monica Lewinsky affair. “Wag the Dog” ran with a
tagline “A Hollywood producer. A Washington spin-doctor. When they get together, they
can make you believe anything.” Given that just 10 years prior to this film’s release, a
former Hollywood actor was the President of the USA, the implications of such a tagline are
chilling.
1998 brought the English-speaking world the first impeachment of a US President in
quite a long time. “Primary Colors” (1998) was the Hollywood film inspired by Joe Klein’s
novel by the same title, and they both told the public the seedy partially fictionalized details
of “what went down on the way to the top” as the tagline put it. The Clintons weren’t quite
the southern belle and gentleman couple the English world had them pegged as, and though
this book and film did not help convict the President, they changed the world’s opinion of
them as much or more than William Jefferson Clinton’s autobiography years later.
In the 1990s more than previously, Hollywood developed an image synonymous with
extravagance, excess and subtle yet intentional misrepresentation of actual truth in exchange
for hyperbole, much like the yellow journalists of English history. Washington and the
mainstream news media adopted “the spin,” a style that can be described as posing a
plausible lie as a reasonable depiction of reality as much of the time as possible - making
things appear to be something they most certainly are not without alienating the consumers or
insulting their intelligence completely. Australian-born Rupert Murdoch’s Fox News
Channel established itself as a primary competitor of CNN in the mid-1990s and this brought
into the American news culture a style of conservative spin that many loathe for its borderline
delusion-and-propaganda programming while others love for its pragmatic analysis of world
news. Murdoch’s News Corp spread political agendas under the motto of “fair and balanced”
in A/V programming and print publications throughout the world’s English-speaking
societies in a way which polarized public opinions similar to Howard Stern at CBS, whose
fame came into full view with his full length autobiography-inspired feature film “Private
Parts” (1997). By this time, the 4 C’s were in no short supply in network and cable
programming, in the news, entertainment, print and electronic media.
Spins doctors like those which inspired the 1990s alternative band named “Spin
Doctors,” and conspiracy theories like those which inspired the 1997 film “Conspiracy
Theory” had eroded the general sense of a singular reality, the concept of absolute truth, and
left a large percentage of the English-speaking general public as “Dazed and Confused” in
1993 as they ever were in 1969.
In the 1990s, filmmakers also did something quite extraordinary. For a profit,
filmmakers took on Thomas Kuhn’s post-normal scientific (1962) cause and sought to
discredit the underlying theories of nearly every socio-cultural paradigm the English-
speaking world had created aside from the physical hard sciences, from the subjective ideas
of reality, to monetary value and worth, to philosophical hierarchies based upon sometimes
unexplainable human-centric forces. Often the case is, in any society but especially in the
wealthiest nations, that people conform to ideals and norms, and manage their houses under
guidelines which they do not question or truly understand but defend their methods, the
things they were taught, and their feelings associated with complacence and conformance to a
norm with incredible intensity.
In “Cube” (1997) and “The Matrix” (1999), moviegoers were taught a lesson that has
origins in ancient Buddhist and other eastern religious beliefs about samsara, which is a cycle
of births and rebirths all entwined in infinite suffering, manifested in the day to day lifestyle
of unconsciousness or disconnected, fragmented, disorganized consciousness without a
greater purpose and understanding which would break the rigid confines of subjectivity and
samsara, which both The Matrix and Cube appeared to represent. Our human individual
contradictions between internalized and externalized senses of self, our compartmentalization
of the different aspects of self, often related to conflicts between personal and professional
life, confounds in individual philosophies through violations of religious, moral and ethical
vows, and the crises that often ensue when people integrate and separate the individual self
from the collective whole, and when people process as a part of a group the individually-
defined identity of the self or accept the collectively-defined identity for the self as
autonomous individuals, conflicts between internal and external loci of control – these
discouraging habits and socio-cultural phenomenon among people create a sort of prison
construct, which “Cube” and “The Matrix” asserted some people had broken free of and
attempted to inspire others to break free from.
The deeper, more daily cognitive, emotional and interpersonal idiosyncratic routine,
which also represent a sort of dilution into a dream world not entirely of physical reality,
were addressed in films like “Pleasantville” (1998) and “The Truman Show” (1998), in which
characters were living literally in television shows, unscripted so real in a sense, but entirely
controlled. The American fascination and obsession with audio/video media especially was
exposed as a bit of a farce, a mind-trap, and a box people should seek to exit at least in
thought. The famous William Shakespeare quote that “all the world is a stage…and all the
men and women merely players” proved useful for writers, producers and actors at
entertainment companies in their somewhat disturbing, quirky portrayals of the captive
audience structure of the English-speaking society.
“Being John Malcovic” (1999) brought out of the subconscious/unconscious English
psyche issues related to experiences written about in the Journal of Transpersonal
Psychology, which focuses on extensions of self to include larger humanity, the collective
consciousness, and alternative definitions of self not necessarily related exclusively to the
body of the self, but often branching off to include common senses between people and
spiritual connections with others and/or a divine force. Jung said of Westerners, “[they]
underrate the world of consciousness” (Docket et al 2004). Films like “Eyes Wide Shut”
(1999), “American Beauty” (1999), “Fight Club” (1999), “Chocolat” (2000), and “Vanila
Sky” (2001) urged the primarily Caucasian Western societies the English-speaking nations
represent to embrace some aspects of Eastern and Greek philosophies and evolve to a
conscious state of being. The science of psychology, just breaking one hundred years of age
around the turn of the 20th to 21st century, was making strides in consciousness theory still
through innovators Ken Wilbur and Stanislov Grof with the aid of modern technologies, and
the film industry endorsed their cause in a dimension which showed growth from the more
animalistic, id-driven 1970s when consciousness theory grew in commercial appeal but was
limited to niche markets and subcultures due to some behavioral-cognitive oddities among
consciousness practitioners, which did not appeal to outspoken conservative Christian sects
or certain psychiatric/psychological professionals.
Still another longstanding problem among the blacks and whites was exposed for the
conflict it is in the English-speaking culture in “Higher Learning” (1995), “American History
X” (1998), and “The Great Debaters” (2007) among other films. The race issues are not
simple to understand, explain or rectify in any dimension in the contradiction-riddled United
States and larger English-speaking black culture. Media from the Wayans family and Spike
Lee, like “I’m Gonna Git You Sucka” (1988), “Bamboozled” (2000), and “Jungle Fever”
(1991), depicted the ongoing racial crisis both blacks and whites face in this new era of
racism and blaxploitation, and attempted to inspire the public to get over their petty problems
through humor, satire, farce, irony, love and self-criticism along with criticism of others. By
the end of the year 2000, a large number of the mainstream entertainment media consumers
in the English-speaking world were singing “burn mother f*cka, burn American dreams”
along with Dre and Big Boi of Outkast on the first song from their “Stankonia” album,
“Gasoline Dreams” (2000), shedding much-needed light on a dark spot in English-speaking
society.
The God Conflicts
Though nearly 40% of the American public attends church regularly (Reuters 2007),
contradictions between the literal word of the Church and the habits of the American people
fill the lives of their citizens. United Artists’ film “Saved” (2004) showed a church
congregation and clergy in utter disarray, confounded by centuries of duality, conflicted by
the wave of sex crime cases involving clergymen who sparked a spiritual crisis in the news
reading and watching public. The US Roman Catholic church paid out $2 billion in
homosexual pedophilic sex abuse settlements for hundreds of cases since the 1940s, like
those which inspired the Canadian Broadcasting Company film “The Boys of St. Vincent”
(1993). Other settlements were made in Australia and elsewhere by the Roman Catholic
Church (Reuters 2009), evidencing deeply rooted, vile and criminal contradictions between
the pious moral authoritarian facade the church leaders wore and their private actions.
Though 40% is a greater total of the population than would qualify a democratic majority
in an American election or vote, given that many adults choose not to vote, a slew of
contradictions between the churchgoing conservative Christians and courts were seen in US
in recent decades. Whether it be the legality of prayer in public schools, displays of the 10
Commandments on State-owned property, abortion, or lesser-known arguments like that of
the Flat Earth Society – a group of people who believe the earth is flat rather than round –
citizens of the USA have been in constant conflict with their laws separating church and state,
one side always trying to confound the other.
President Eisenhower in 1954 was likely to have violated the Constitutional
Establishment Clause designed to separate matters of the Church from those of the State, or
designed to create official religious neutrality (McCreary Co. v. ACLU 2005) with the
addition of the words “under God” into the pledge of allegiance that students sometimes
recite daily in American public schools. Furthermore, the phrase “IN GOD WE TRUST”
stamped on the American money since at least 1908 (US Treasury 2009) also seems to be a
contradiction in ideology, between the theory of separation of matters of religion and State
and the practical application of laws. “When the government acts with the ostensible and
predominant purpose of advancing religion, it violates the central Establishment Clause”
(FindLaw, McCreary Co. v ACLU 2005), and by using the word “GOD,” the government
advances the primary religion of the white Americans – Christianity – while not advancing
other religions which would use the word “BUDDHA” or “KRISHNA” or “VISHNU” or
“ALLAH” or some other name for a deity, and certainly the government advances
monotheism by stamping the singular word “GOD” on the money, and therefore does not
maintain neutrality between monotheistic and polytheistic religions, and certainly shows
preference for religion over atheism. “IN GOD WE TRUST” also created a rather odd
conflict within the Bachelor and Master of Science in Economics and Business programs in
American universities, given that according to the Brooklyn Law Review (2008)
“explanations that cannot be based on empirical evidence are not a part of science…[and] we
formally reject non-natural explanations – divine intervention, spirit forces, or anything else
partaking of the supernatural – as standing outside of science’s ken.” Therefore, a system
based upon or including in its primary function a faith in God or allegiance to a supernatural
force cannot possibly be scientific, and thus it is easily argued that economics and business
cannot possibly be sciences due to their high dependence upon and correlations to the
systems of American money, which trust in GOD rather than science.
How ironic it is, indeed, that the most powerful currency in the world has printed on it
“IN GOD WE TRUST,” which is a testimony to faith in the God of Abraham and that of the
Bible, while the patrons of the American dollar are so often engaged in greed, pursuit of
ludicrous riches, and are therefore banned from entering into the Kingdom of the God they
believe they so trust in, as Matthew 19:24 so clearly states the reality of this situation to be.
Confounds in Song
Evidence of the ongoing popular conflicts, contradictions, crises and confounds among
native English speakers is very prevalent in the work of the commercial music industry.
These hypocritical components of English lifestyle, society and culture have been some of the
greatest inspirations for recording artists through the ages.
“For the love of money,” the O’Jays sang (1973), “people will lie, rob, they will cheat.”
“Money makes the world go around,” Liza Minnelli sang in the hit film “Cabaret”
(1968), which certainly confounded physical laws which explain what really makes the world
go around.
These messages that money is the most important thing in life are present through the
th
20 century up to present in English-language popular music, which was supported by
hundreds of millions of combined records sales, radio broadcasts and concert events.
Whether the voice behind the message was Madonna singing “Material Girl” (1985), The
Steve Miller Band playing “Take the Money and Run” (1976), Billie Holiday belting out
“God Bless the Child” (1941), Willie Nelson singing “If You’ve Got the Money, I’ve Got the
Time” (1976), Notorious B.I.G. rapping “Mo’ Money Mo’ Problems (1997), Kanye West
rapping “Gold Digger” (2005), George Clinton and the Funkadelics’ powerful play of “Funky
Dollar Bill, Free Your Mind and Your Ass Will Follow” (1970), Patsy Cline singing about a
classic woman’s conflict in “A Poor Man’s Roses (Or a Rich Man’s Money)” (1956), The
Beatles giving an ironic praise to the “Taxman” (1966), allusions to the conflicted materialist
lifestyle of the wealthy minorities sung by The Eagles in “Life in the Fast Lane” (1976),
contradictions in verses sung by Tony Bennett in “With Plenty of Money and You” (1958),
or Jackson Browne singing about the “happy idiot” in “The Pretender” (1976), the messages
are simple: contradictions and conflicts related to the morality and ethics of money are a
staple in the English-speaking music business. Some committed artists would consider the
music business itself to be a contradiction in reality, since true artists often disassociate
themselves with fame and fortune while the best selling musicians, singers, bands, rappers
and performers of our times seem to embrace their internal-external conflicts, and the public
appears to thrive on the contradictions between the artists and the arts.
“Eat the rich!” Aerosmith (1993) recorded with fabulous popularity despite the fact that
Aerosmith is a fabulously wealthy rock group, and therefore was most appropriately used as
food according to this hit song of theirs.
More than 100 years after slavery was abolished in the English-speaking world, Misty In
Roots sang “Economical Slavery” (1985), a reggae tune commenting on the popular opinion
that people are still enslaved to the oikonomos of ages past, under the rule of the white house,
and bound to laws of cultures which seek to entrap and control people by any means. The
reggae genre is full of lyrics featuring complaints about economics, racial bigotry, and the
hatred of men. Reggae is highly correlated with the Rastafari religion, perhaps inseparable,
and therefore its music is a normalized political socio-cultural address to the world from the
platform of a minority world religion, but the American money does not include trust in Ja.
“Trying to make ends meet, you’re a slave to money then you die,” The Verve (1997)
recorded in support of the conflict Misty In Roots and other musicians showed no fear in
addressing in their arts and careers.
Still, as is the case with the English-speaking society in general, the music industry like
all other industries is rife with contradictions, confounds, conflicts, and crises within its own
limits, among the classes of artists with problems featuring internal attributes as often as
external ones. The listening public is often given a two-fold message reflecting the
contradictory reality they face, and the potency of the more influential musicians is usually
minimized due to the classic conflicts between the individual and collective in the realm of
stardom. These conflicts between the art, artist and society are probably why American
settler Puritans did not care for entertainment, and critics argue that the value of the message
is often degraded by the stereotypical images of the medium, especially in cases when the
singers and performers do not write their own material.
“Can you pay my bills? Can you pay my telephone bills? Do you pay my automo’ bills?
If you did then maybe we could chill. I don’t think you do, so you and me are through,” the
multimillionaires in Destiny’s Child (1999) sang rather un-intuitively around the time when a
good credit rating became a popular prerequisite for potential boyfriends and husbands.
In “Dirty,” off of Christina Aguilera’s “Stripped” album, Redman and Christina showed
a reckless disregard for sexual morality, a common habit among their perpetual adolescents
generation of misfit offspring of the hippy baby boomers, who showed similar support for the
crises of sexual infidelity, or “unfaithfulness to a moral obligation” (Merriam Webster 2010).
Many of Aguilera’s fans of the then-newly-released “Stripped” album were under the age of
consent for sexual relations in the American States and elsewhere, and thus another type of
conflict between big business media entertainment and law surfaced.
The love of the bad-girl as a protagonist rather than a lying, cheating, excessively
promiscuous antagonist afraid of commitment has been a big business opportunity in English
pop dance music in this century. Willa Ford sang “I wanna be bad” (2001), which is maybe a
feminine response to classic rocker George Thorogood and the Destroyers’ “Bad to the
Bone” (1982) or Michael Jackson’s smash hit “Bad” (1987), but showed a disregard for the
literal meaning of the word “bad” and evidenced a lack of moral conscience. Beer-swilling
dancers gyrating at bars worldwide loved Pink’s “Don’t let me get me” (2001) featuring
lyrics “I’m a hazard to myself…I’m my own worst enemy” which appeared to have belonged
in a Catholic confessional rather than in a music shop for purchase at $18 per CD.
Adoring fans flocked to Miss Britney Spears’ “Oops! I did it again” concert tours, to
purchase CDs and got an advanced tutorial in adultery, cheating and lying, often by their 15th
birthday, thus exposing a major conflict in interest between the desires of record companies
and those of responsible parents. “Oops! I did it again. I played with your heart, got lost in
the game.” Spears confessed on record. “Oops! You think I’m in love…I’m not that
innocent,” she proudly taught English-speaking young women to belt out like it were a
Sunday church hymn.
The contradictory messages the entertainment industry publishes, records and sells to the
general public and the moral/ethical/legal conflicts associated with the lifestyles and work of
some of the world’s most famous English-speaking artists, actors, writers and corporations
have caused such outrage in nations which feature bourgeoning economies and ESL
education programs that several countries have refused to participate in intellectual property
law protections for CDs, DVDs and multimedia imports from the English speaking world.
The contradictory nature of FBI and government protection of Hollywood and big business
music productions alone is incredibly troublesome to people who desire government
regulations designed to create one way of life, a singular reality, and due to the ideological
conflicts which have gone still unresolved among the English-speaking societies, many
individual consumers have been disenfranchised with the majority of English-speaking media
enterprises from government to news to entertainment. Like the Larry Flynt case, much of
the multimedia entertainment which comes from the English societies confounds several legal
statutes and creates an on-record/off-record contradiction in reality such that to accept much
of the defensive rhetoric the English companies, artists and bureaucracies unleash is
essentially classic schizophrenia – “a splitting of the mind” or Greek “skhizein” for “to split”
+ “phren” for “mind” (Harper 2001) - or at very least acceptance of an obvious lie as a
replacement for an unfavorable or inconvenient truth.
War Crises
A staple of the Allied Military nations of the USA, UK, Canada, Australia and Ireland
over the past 100 years at very least is foreign war. World War One, World War Two, the
Korean War, Vietnam War, first Gulf War, Bosnian War, recent Afghani and Iraq Wars, the
Drug Wars, among other publicized and covert operations especially consisting of British and
American military and intelligence agents have divided those nations morally and ethically.
Those wars in this life among living people today plus the British colonial period, North
American westward expansion including several Native American, Mexican and Caucasian
wars, the Australian invasion of East Timor, Britain’s Falklands Islands campaign, the
American Revolutionary War and Civil War place the English-speaking militaries as the most
active worldwide over 400 years time period.
The American wars especially have been featured in several full length Hollywood films.
“The Patriot” (2000), “Saving Private Ryan” (1998), “Pearl Harbor” (2001), “We Were
Soldiers” (2002), “Flags of Our Fathers” (2006), “Letters from Iwo Jima” (2006), “All Quiet
on the Western Front” (1930), “The Red Badge of Courage” (1951), “Platoon” (1986), “Full
Metal Jacket” (1987), “Heaven & Earth” (1993), “Apocalypse Now” (1979), “Good
Morning, Vietnam” (1987), “Glory” (1989), “Gettysburg” (1993), “Gone with the Wind”
(1939), “Casablanca” (1942), “Schindler’s List” (1993), “The Bridge on the River Kwai”
(1957), “Black Hawk Down” (2001), “Patton” (1970), “The Deer Hunter” (1978), and
“Windtalkers” (2002) are some of the most popular allied military war films. In addition to
the big screen successes war has created, documentary films and on-site live broadcasts have
been shot by journalists, and two popular American network television series’ – “M.A.S.H.”
(1972-1983) and “China Beach” (1988-1991) – were sources of multimillion dollar revenues
for production companies.
Despite the apparent success of the allied military war agenda in foreign territory,
starting in the 1960s and perhaps only temporarily, the popular culture took a direct
opposition to the hypocrisy, contradiction, conflict, and confound of the war crises.
Protestors took to the streets in a generally organized fashion behind folk heroes like Abby
Hoffman and the Chicago 7, though their own methods sometimes proved contradictory and
ended several leaders and protestors in jail for riots that dotted Chicago, Detroit, Los
Angeles, Washington D.C. and elsewhere through the US, Europe, Australia and as far the
conscience of the time spread. Fueled by drugs, alcohol, sex, politics, ambitions of freedom,
prosperity, peace and genuine religious fire, the hippy activists set a trend of application of
theory into practice which did not last long in front of the tricky and powerful government
war hawks, but created a memory and incited a spirit of unity, potential for great changes and
desire for lasting real world peace in the minds of millions, if not billions of world’s people
who support the English counter culture of that era of political, social and cultural turmoil.
The 60s counter culture characters were not nearly as visibly morally flawed and
conflicted as the politicians of the 60s-70s. Richard Nixon stated in an interview with David
Frost in 1977 that “when the president does it…that means it is not illegal” (The Guardian
2007). That is a quote that none of the Chicago 7, Port Huron Statement counter culture icon
characters from “Steal This Movie” (2000) or “The Big Lebowski” (1998) showed potential
to utter even under pressured circumstances should they had been victorious in their cause to
oust the war hawk government and set up a more adequate democracy for the liberal moral
politics of the time to reign supreme. “The dude abides,” Jeff Bridges’ character in “The Big
Lebowski” said to a public which did not approve of his pothead antics as much as the
Vietnam War and Watergate problems of President Nixon, who said “I have impeached
myself.”
Musicians like Bob Dylan once sang folk tunes like “Blowin’ in the Wind” (1963), and
Vietnam War Veteran Country Joe sang the “I-feel-like-I’m-fixin’-to-die-rag” at the original
Woodstock (1969) Music Festival, trying to stop a war they did not believe in while John
Lennon and his Montreal Bed-In activists recorded “Give Peace a Chance” (1969), which we
must admit is a decent idea. Edwin Starr’s soul hit “War” (1970) had even Jackie Chan
singing in a Hollywood film “War! Huh! What is it good for? Ab-so-lute-ly nuthin’!”
Metallica’s “One” from their “…And Justice for All” (1988) album was released around the
same time as some hit Vietnam War related films, proving the staying power of the anti-war
message among the English-speaking media consumers. Australia’s Midnight Oil took on
the anti-war cause in that same progressive build period with “Put Down that Weapon”
(1987), just a few years after Bob Dylan’s “License to Kill” (1983) and Australian group Men
at Work’s “It’s a Mistake” (1983) took the 60s-70s crusades back to the fans again in the 80s.
Many early rock ‘n’ roll and heavy metal hits are still popular, like Black Sabbath’s “War
Pigs” (1971) which gives newer groups like the Dixie Chicks a reason to continue on with the
same political agenda in songs like “Travelin’ Soldier” (2002), and keeps activist power
groups like Ireland’s U2 making tracks like “Bullet the Blue Sky” (2007) in support of what
seems to be a favorite losing cause among artists and consumers of music.
The war crises are certainly a part of life on this planet in this species which is
historically prevalent, supported by the most intelligent, organized, wealthy and powerful
people in this world, and appears to many people to be an unstoppable institution similar to
poverty and anything associated with human nature. However, war is a criminal act, a habit
rooted only in immorality, an insane undertaking, evidence of lack of willpower, lack of
emotional intelligence and presence of the most extreme variety of contradiction between
government and civilian rules and laws we can imagine. The behaviors of war are incredibly
ironic actions for the allied nations’ people to engage in considering their domestic laws
prohibiting murder, Christian Old Testament clearly prohibits killing of human beings by
other human beings in the Fifth Commandment. The most destructive, devastating practice
among our species, one of the most costly functions of government, a profession which is
more romanticized than perhaps any other profession, an act which inspires pride,
confidence, and love – war – on the allied side can be explained very basically as an internal
conflict among government agents who contradict their own domestic and international laws,
and thus confound the underlying function, order and integrity of their beloved
establishments which they fight for to the death.
Legal Crises of War Conflicts
The general public in English-speaking nations is somewhat evenly divided regarding the
legalities of war similar to the world’s people. While some advocate its necessity and
unavoidability, others condemn the bloodshed with protests, speeches and oppositional
politics. Public opinion, while important for leaders like Margaret Thatcher, Tony Blair,
John Howard, George Bush Jr. and Sr., Ronald Reagan, Lyndon Johnson, Bill Clinton,
Barrack Obama, Bob Hawke, Kevin Rudd, and Gordon Brown, is only one part of
maintaining political power in times of small or large scale war efforts. However, in at least
a theoretical sense in the democratic nations, polls and popular opinion are supposed to be
what elected officials represent, else we might endure conditions like those in pre-
revolutionary US history when a popular saying was “no taxation without representation!”
According to a Noam Chomsky speech at Oxford University (2004), “70% of Americans
call[ed] for the UN to take the lead in security, economic reconstruction, and working with
Iraqis to establish a democratic government.” 70% satisfies even the strictest of 2/3rds
majorities needed in certain votes in the American Congress, yet the public was not served on
this issue. Instead, the image of the American people was tarnished worldwide. Chomsky
said at the III World Social Forum (2003) that a then-recent Canadian poll found that “over
1/3rd of [the Canadian] population regard[ed] the US as the greatest threat to world peace.
The US rank[ed] more than twice as high as Iraq or North Korea, and far higher than al-
Qaeda as well.” Another Time magazine poll Chomsky cited “found that over 80% of
respondents in Europe regarded the US as the greatest threat to world peace, compared with
less than 10% for Iraq or North Korea.”
While the United Nations Security Council has not determined the United States to be
such a threat, and whilst no binding action has been taken against the United States of
America for its Iraq and Afghanistan wars in this century A.D., many critics of the United
Nations’ credibility today believe the United States representatives on the Security Council
wield an unfair amount of power and block the Council from committing itself more
completely to the greater good of the majority of the world rather than appeasing first world
nations and minority segments of the world’s population.
Anybody who thinks about the issues can find legal conflicts all through the war process.
Contradictions between domestic and foreign policies are abundant, where people from the
US or Great Britain or Australia certainly do not believe it is another nation’s military right
and privilege to invade the allied nations under any circumstances due to high perceptions of
sovereignty among those nations. Legalistic confounds occur every day in the USA, less
frequently in other allied English-speaking nations, when citizens are prosecuted for murder
at home while the militaries in foreign nations commit the same or similar acts in their
slaughters of civilians. In essence, every nation is entirely sovereign under international law.
Military troops who invade sovereign nations do not follow domestic immigration guidelines,
do not generally have passports, do not pass through Customs with their weapons like any
other visitors to a sovereign nation would be required to do, and have no authority under
domestic laws to settle disputes using firearms, yet the power of local police is not recognized
by foreign militaries and trespassing servicemen are not easily arrested, detained, prosecuted
and sentenced under domestic laws.
In reality, every nation dating back many centuries through history has some form of law
prohibiting murder. Under Muslim laws, the human body is literally the property of Allah,
and to mutilate or destroy Allah’s property is “haram,” meaning prohibited or forbidden. The
Buddhist general precepts prohibit killing explicitly like the Christian and Jewish Fifth
Commandment, though nations still contradict their own ways in military and capital
punishment activities. Yet long after the United Nations General Assembly committee
backed their moratorium against the death penalty (UN News Centre 2007), designed to
eventually abolish this practice which undermines the integrity and confounds the literal
absolute nature of law, Wikipedia printed civilian casualties in Iraq, which the occupying
authority (USA et al) was stated to have the responsibility of preventing under international
law, totaled between 92,489-100,971 between the start of the war and mid 2009.
Conflicts between the behavior of representative officials and laws written and supported
by those same elected officials are rather common in the English-speaking nations. “Charlie
Wilson’s War” (2007) featured the true story of Texas Congressman Charles Wilson, who
aided the now-international terrorist group Mujahadeen by supplying arms for their war
against the invading Soviets in Afghanistan. Wilson was likely violating the American
Logan Act, Foreign Corrupt Practices Act and Trading with the Enemy Act, and popular
logical conclusions of Wilson’s foreign aid project are that Osama bin Laden and early al-
Qaeda were helped by this Congressman and his CIA sidekick.
George Bush Jr.’s grandfather, 1952 Connecticut Senator Prescott Bush, was a director
of Union Banking Corp., which was seized under the Trading with the Enemy Act in 1942 for
contractual business relations with German Nazis (AP 2003). Other common knowledge of
conflicts among politicians and their families in the USA includes Joseph Kennedy, who
likely made a large part of the family’s fortune selling illegal liquor during the American
prohibition years, around the time he was chair of the Securities and Exchange Commission
(PBS 2009). English-speaking lawyers have a reputation for contradicting their English-
language laws, lawmakers often confound their own laws the most, and financiers through the
majority of the 20th century A.D., at least, often required only that wealthy people kept their
indiscretions and crimes private rather than that they ceased such indiscretions and crimes.
The United States of America, which has the world’s highest GDP and influences world
economics and politics more than any other nation in 2010, has some serious blemishes on its
international law record which make the American style risky for other nations to imitate. In
1984’s Nicaragua v. United States of America, heard at the International Court of Justice, the
United States was found liable for damages related to a bloody incident in Nicaragua during
the Sandinista years. United Nations Charter Article 93 (1) states that “all members of the
United Nations are ipso facto parties to the Statute of the International Court of Justice” and
UN Charter Article 94 (1) states “each Member of the United Nations undertakes to comply
with the decision of the International Court of Justice in any case to which it is a party,”
though the United States of America did not comply with International Court of Justice ruling
14 in the Nicaragua v. USA case, which “decide[d] that the United States of America is under
an obligation to make reparation to the Republic of Nicaragua for all injury caused to
Nicaragua by the breaches of the Treaty of Friendship, Commerce and Navigation between
the Parties signed at Managua on 21 January 1956” (ICJ 2009).
According to the Hague Justice Portal (2009), “on 18 January 1985, the United States
announced that it intended not to participate in any further proceedings relating to [Nicaragua
v. USA]…in March 1988, the United States maintained its refusal to take part in the case…in
September 1991, Nicaragua informed the Court that it did not wish to continue the
proceedings.” The battle of attrition is a popular strategy among Americans. Other sources
state that UN Charter Article 94 (2) was blocked by the US representative on the Security
Council, and the US chose to take option to not recognize the jurisdiction of the International
Court of Justice, perhaps relying on the US Constitutional Amendment 11 to protect its own
interests of sovereignty from foreign legal suits (1795). The United States is one of only two
nations noncompliant with ICJ decisions; the other is Albania in the UK v. Albania case
related to the Corfu Channel Incident (Encyclopedia Britannica 2009). This type of
government policy may be part of why 8 in 10 Americans said “they don’t trust the federal
government and have little faith it can solve America’s ills” in a Pew Research Center study
(Sidoti 2010).
The United Nations Charter Article 1 states the purposes of the United Nations are “to
maintain international peace and security…prevention and removal of threats to
peace…suppression of acts of aggression…settlement of international disputes…develop
friendly relations among nations based on respect for the principle of equal rights…achieve
international co-operation in solving international problems of an economic, social, cultural
or humanitarian character…promoting and encouraging respect for human rights and for
fundamental freedoms for all without distinction as to race, sex, language, or religion.” UN
Charter Article 2 states that all Members shall “settle their international disputes by peaceful
means…shall refrain in their international relations from the threat or use of force against the
territorial integrity or political independence of any state…” UN Charter Article 6 states that
“a Member of the United Nations which has persistently violated the Principles contained in
the present Charter may be expelled from the Organization by the General Assembly upon
the recommendation of the Security Council.” UN Charter Article 51 states that “nothing in
the present Charter shall impair the inherent right of individual or collective self-defence if an
armed attack occurs against a Member of the United Nations.” UN Charter Article 33 (1)
states “the parties to any dispute, the continuance of which is likely to endanger the
maintenance of international peace and security, shall, first of all, seek a solution by
negotiation, enquiry, mediation, conciliation, arbitration, judicial settlement, resort to
regional agencies or arrangements, or other peaceful means of their own choice” (UN 2009).
Afghanistan and Iraq are both UN Member nations as is the USA (UN 2006). Al-Queda
does not bear allegiance to a particular nation, hence the allied military activities into
Pakistan and Iraq, amid reports of Chinese (MacCartney 2008), Thai (Bonner 2002), Yemeni
(Baker 2010) and other national al-Qaeda ties, in the midst of the war in Afghanistan. Osama
bin Laden was a Saudi who had his citizenship revoked in 1994 (PBS 2008) and lives or lived
a transient life not acknowledging international boundaries, seeking to operate an
international separatist militia. Thus, the actions of al-Qaeda, whether on September 11,
2001 or since, are not officially representative of any one nation or group of nations, be they
Iraq, Afghanistan or Pakistan. Henceforth, Afghani and Iraqi citizens do have a right under
UN Charter Article 51 to defend themselves against any armed attack, including against
American and allied occupation troops, just as the Americans, British, Australians and other
proud sovereign nation citizens would shoot to kill any foreign troops which occupied the
USA, UK, Australia, or NATO countries. These “equal rights” are established between
Member nations in UN Charter Article 1.
This author scarcely believes the United States of America, its “coalition of the willing,”
NATO or other international allied military nations sought to settle disputes peacefully with
al-Qaeda, Afghanistan, Iraq or Pakistan as the United Nations Charter Article 33 (1)
mandates they must do. The recent international wars led by the USA have also violated
commitments to UN Charter Article 2, and despite agreements among the Coalition of the
Willing and NATO allied military nations, UN Charter Article 103 states “in the event of a
conflict between the obligations of the Members of the United Nations under the present
Charter and their obligations under any other international agreement, their obligations under
the present Charter shall prevail,” therefore making NATO and other Iraq-Afghanistan war
partnerships and obligations null or secondary under the pre-existing commitments of UN
Member nations to the Charter. Furthermore, the American violation of UN Charter Articles
93-94 related to its noncompliance with 1986 ICJ order 14 in settlement of Nicaragua v. USA
suggests that the Americans face a potential expulsion from the United Nations pursuant to
Charter Article 6, for persistent violations of general Principles the United Nations
Membership stands for.
War is very profitable for some, but also very costly to many.
Drug War Confounds
Heads of State often invoke the power of religion to unify people. Tony Blair, George
Bush Jr., Barrack Obama and plenty of other politicians have spoken openly and publicly
regarding their commitments to the Christian religion. Ironically, one of the most costly wars
in their government budgets is one made and sustained in conflict with a scripture from the
first page of the Old Testament. Genesis 1:29 (NLT) states that “God said, I have given you
every seed-bearing plant throughout the earth and all the fruit trees for your food.” Anything
humans can eat for survival, which derives from plants, according to the Old Testament is
God’s gift. Later on in the Bible, Romans 7 uses riddle literary tools to teach followers that
the law of man has no power over the believers of Christ, for only God shall rule over these
disciples.
Written in the context of a 1900+ year-old dead language, given the probable general
intelligence of the time, the word “food” in Genesis 1:29 might likely have encompassed any
number of earthen substances which a human could take into the body; substances which give
the body strength, energy and fuel to survive the environment of the ancient Middle East.
The word “eat” in Aramaic might be better translated into modern English as “consume” or
“ingest” and thus through some linguistic supposition, which is the best we can do to imagine
the dead ages, a simple Biblical passage opens up a large range of contradictions among our
people today.
Though the World Health Organization has considered opioid analgesics “essential
medications” (2009), international military forces use the opium poppy farming industry in
Afghanistan as evidence against the region’s people, as if they were producing cocaine, while
still the Venezuelan and Bolivian Presidents frequently use and handle coca products (Miami
Herald 2008; EFE 2009). President Barack Obama used cocaine and marijuana (Romano
2007). The American Indian Religious Freedom Act Amendments of 1994 made the
cultivation, possession, transportation and usage of peyote in traditional ceremonies entirely
legal in the USA. Despite the fact that marijuana and the active component in peyote –
mescaline - are schedule I drugs, which makes them a greater risk than schedule II cocaine
(DEA 2009), American States have been changing the way they think and legislate regarding
medicinal usage of marijuana and mescaline cactuses. 13 American States passed laws by
2008 to make medicinal marijuana legal, and many Americans believe such efforts by the
government can help the American economy too (ABC News 2009). The Oakland,
California City Council unanimously supported legalization of marijuana (Leff and Wohlsen
2010). IIS-RU professor, psychologist and Liverpool, England magistrate, Mohammed
Pirani (2009) said he supported the legalization of all drugs during a Chiang Mai, Thailand
“Current Issues in Management” lesson. IIS-RU professor, Pedro Pellet (2009), said he
supported the legalization of marijuana in his Chiang Mai, Thailand economics class. The
American Cancer Society (2008) printed claims that “marijuana has anti-bacterial properties,
inhibits tumor growth, and enlarges the airways, which may ease the severity of asthma
attacks” and stated that “marijuana has been described in Indian and Chinese medical texts
for more than 3,000 years…to treat conditions such as beriberi, constipation, gout, malaria,
rheumatism, and absent-mindedness, as well as depression, insomnia, vomiting, tetanus, and
coughs…in the middle ages, herbalists used it externally to relieve muscle and joint pain…in
the mid-1800s, the plant was mentioned as a treatment for gonorrhea and angina, chest pains
related to heart disease…it was also used to treat intestinal pain, cholera, epilepsy, strychnine
poisoning, bronchitis, whooping cough, and asthma.” American Federal agents since the
votes decided not to pursue medicinal marijuana users (Washington Post 2009), though the
drug has not been removed from the schedule I list of (semi) banned substances. Former
British PM Tony Blair helped relax UK laws on marijuana, changing it to a Class C drug,
making possession a non-arrestable offense (CBS News 2002).
Marijuana was called the US #1 cash crop (ABC News 2006). In British Columbia, CA,
marijuana was estimated to contribute more revenues to the economy than timber, totaling
$4billion per year in Vancouver alone (Ko 2001). Canada has the most relaxed drug law
enforcement policies in North America, even allowing a program in Vancouver to provide a
safe injection site for non-medicinal heroin users with the goal of preventing HIV, hepatitis
and other diseases (NPR 2004). Conflicting opinions are very common when debating about
drugs.
American Major League Baseball and National Football League have caused a lot of
concern related to use of DEA Schedule III anabolic steroids (Mitchell 2007), which are
essentially required to compete at the levels the multimillion dollar a year professionals
compete at today. Congressional hearings in the USA and testimonies from players like Jose
Canseco suggest that as many as 85% of MLB players use anabolic steroids (e.g. CBC Sports
2008). The percent of NFL players who use Federally-and-League-banned steroids is
probably higher than that in MLB. The profitability of play and operations in violation of
Federal Laws in the USA gives players and managers the motive to overlook use of steroids
and the League representatives reason to design testing policies which are infrequent enough
to allow players to use while still appearing to be legally compliant as organizations. The
conflicts between the accountants, managers, players and general counsels are enormous
however.
The NFL’s 32 teams make total combine revenues of US$20 billion+ annually (USA
Today 2004). MLB’s 30 teams bring in roughly US$5.5 billion annually (Forbes 2008). IIS-
RU accounting professor, American CPA Nancy Scott (2009), defined bankruptcy simply as
“when a firm’s debt exceeds its cash flows,” and given the theoretical or real nature of the
MLB and NFL legal liabilities given the 85%+ rate of violation of federal schedule III drug
laws, when compared to their cash flows, which are dependent upon 85%+ rates of violations
of federal drug laws, it is safe to say that MLB and NFL could be put into reorganizational
bankruptcy by an active DEA and American Federal government at any time. Feds often
seize properties, earnings, cash holds and other assets from known federal drug law
individual violators, including those involved in selling steroids like Boston Police Officer
Edgardo Rodriguez (Murphy and Smalley 2007), and arrest those possessing steroids like
former University of Michigan football player Rondell Biggs (Ryan 2008). Why should the
professional athletes and their organizations be treated any differently? Such an oversight on
the part of the American federal government would confound its own laws.
Contradictions between government departments, conflicts resulting from different
models of analysis, control, monitoring and interpretation of society are very common in this
professional age. In 1971, when the American President declared “war on drugs,” it is highly
unlikely that any of his advisers could have made him understand that drugs are mere
inanimate objects and therefore a war against them would be stupid, but rather he should have
declared war against drug users or drug cartels. Since the beginning of the large scale
American-led drug wars worldwide, a lot has changed in clinical laboratory sciences and
recent discoveries suggest the stigma the drug wars create regarding the illegal substances
puts a wedge between people who could potentially benefit from clinically administered
usages of the illegal drugs and potential medical care givers.
Multidisciplinary Association for Psychedelic Studies (MAPS) is a Harvard and US
Government approved organization which studies the positive effects of LSD, MDMA and
psilocybin mushrooms, among other psychedelic drugs on the DEA schedules. MDMA was
recommended “as a [potential] therapeutic tool to assist psychotherapy for the treatment of
Posttraumatic Stress Disorder (PTSD) and other illnesses.” MAPS and SwissMedic, the
Swiss equivalent of an FDA, endorsed LSD as a potential end-of-life therapeutic drug which
can help reduce anxiety related to death (MAPS 2009). “There is now more psychedelic
research taking place in the world than at any time in the last 40 years,” said Rick Doblin,
executive director of MAPS (Ritter 2010). Nicky Edlich, a 67-year-old advanced-stage
ovarian cancer patient said her NYU-administered psilocybin therapy treatment greatly
helped her anxiety (ibid). The Johns Hopkins School of Medicine Psilocybin Cancer Project
sought to prove once again that “magic mushrooms” help people overcome psychological
distress and issues related to spirituality (JHSM 2009). The University of Arizona and
MAPS proposed psilocybin be used in treatment of obsessive compulsive disorder (MAPS
2009). 1950s-60s psychiatrists in Saskatchewan, Canada, published in the Journal for
Studies on Alcohol (1962), found that as little as one dose of LSD was an effective treatment
for alcoholism (Medical News Today 2006). Connecticut Mental Health Center Clinical
Neuroscience Research Unit Dr. Abraham Ribicoff (2000) released the results of a placebo-
controlled, double-blinded trial of ketamine hydrochloride which suggested that the drug
could be used to treat depression.
British Government top drug advisor Professor David Nutt of Imperial College of
London, said alcohol and cigarettes are more dangerous than illegal drugs like cannabis, LSD
and ecstasy (Guardian 2009), though he was asked to resign immediately following his claim
and he was not given option to “just say no” to this resignation request. There is no shortage
of conflicting research results on the issues regarding drugs in the English-speaking world,
but there is significant evidence supporting both sides of the argument – that the illegal drugs
are both harmful and helpful depending on several variables, especially those related to the
conditions under which the drugs were administered or ingested. The legislative bodies and
larger English-speaking political campaigns do not generally acknowledge the validity of
studies which suggest the illegal drugs have beneficial uses, though by scientific criteria,
there are sufficient corroborating medical studies to support a claim that this class of drugs
has a positive use in society. The English-speaking government agents have apparently
engaged in a classic bad-scientific claim, supporting only one side of a well-documented
argument which features data supporting both sides. This data exclusion and data selection,
which politicians, police and the general public use to support a particular political or
rhetorical agenda by finagling scientific findings with intention to convince people that only
data which supports their agenda or hypothesis exists or is valid and that contradictory data or
outliers do not exist or are insignificant/invalid, is not accurate and reliable scientific
methodology, and therefore is limited to be considered opinion rather than fact by experts.
A well known fact regarding illegal drugs and the people who use them is that some
people never get sick, never become addicted, never miss a day of work or have a problem
related to their drug use. A certain quantifiable percentage of illegal drug users live normal,
happy, healthy lives and claim their lives have been improved by their usage of illegal drugs.
Comedians like Bill Hicks, Eddie Murphy, Chevy Chase, Jack Black, Steve Martin, Robin
Williams and other well known celebrities have made millions of dollars making drug
comedy and potent drug-related stories about nice, friendly, warm-hearted, lovable people,
including themselves! Hollywood films like “Half Baked” (1998), “Bongwater” (1997),
Cheech and Chong’s “Up in Smoke” (1978), “Easy Rider” (1969), “Friday” (1995), “Garden
State” (2004), “Harold & Kumar Go to White Castle” (2004), “Harvard Man” (2001),
“Orange County” (2002), “Ray” (2004), “Super Troopers” (2001), “Tenacious D and the Pick
of Destiny” (2006), “Walk the Line” (2005), and “Woodstock” (1970) feature likable real life
and fictional characters who use drugs as part of a comical, normal, healthy, productive and
popular lifestyle. Still other films like “American Gangster” (2007), “Basic” (2003), “Gang
Related” (1997), and “Air America” (1990) evidence a very deep conflict of morals, ethics
and law among American government personnel related to drugs. Multimedia entertainment
artists have been essential in supplying these other stories which consistently prove there to
be data exclusion and selection used among officials who wish the records to state that the
illegal drugs can only produce destructive effects on individuals and society. The 4 C’s are
as plentiful in this topic as are the profits from the drug trades and their related media
entertainment arts.
American University Confounds
Of the 21 criminal executives on Enron’s board who set off a new age in corporate
scandals, 3 were educated at the University of Texas, 3 at the University of Nebraska, 2 at the
US Military Academy, 1 at Rice University, 2 at Northwestern University, 1 at the University
of Iowa, 1 at the University of Houston, 1 at the University of Maryland, and 1 at the
University of Central Florida (Enron 2000). All of those universities have major NCAA
athletic departments whose games are featured on network television. CBS and ABC
especially help the NCAA teams make millions per year in revenues.
The University of Nebraska alone makes about US$5 million per home game (AP 2009).
The NCAA main office reported operating revenues of $661 million in 2009 on their website,
US$591 million in TV and marketing revenue (USA Today 2009). Texas ranked #1 in
overall revenues at US$120.28 million; Ohio State #2 with US$117.95 million; Florida #3
with US$106.03 million (Birmingham Business Journal 2009). Although the NCAA
revenues are only a fraction of the US$191 billion and growing annual revenues made in the
American entertainment industry (US Census Bureau 2007), the NCAA lifestyle influence on
college campuses and through the multimedia technologies is incredible. The only problem
is that professional sports stars like former Miami Dolphin NG, Chuck Klingbeil (2001),
admit privately that while the rate of usage of steroids at the professional level is the highest
among all levels of organized sports, players who are drafted into professional leagues nearly
always start using at universities or in high schools, hence why player performances do not
generally improve at professional levels so much as overall league performances. Like MLB
and NFL, the NCAA is theoretically bankrupt due to its outstanding legal liabilities and
criminally-enhanced incomes.
The American Department of Education has a compelling interest to clamp down on its
Athletic Departments, especially at the televised Division I level, which is made of entire
rosters of suspected Schedule III steroids users, drugs which are banned by NCAA and
Federal law yet often used to compete at desired levels in college and increase opportunities
to get drafted into professional leagues. The NCAA generally conducts testing no more than
three times per year, giving players adequate time to use steroids in the off season without
being caught. The performance improvements over the past 40 years in the weight room and
track testing are evidence of not only better coaching and programs, but also of illegal drug
use which is standardized into the Athletic Department structure as much as any creatine,
protein shake, diet or exercise plan. US Attorney Dwight Holton’s idea of using a crack
house law against Reed College in Oregon (Ross 2010) could be utilized better with all of the
top division 1 athletic program universities in the USA, whose administrations clearly
knowingly allow the abuse of steroids and violations of league rules and federal laws.
“Winning isn’t everything, it’s the only thing,” Vince Lombardi is famous for having
said. “Winning at all costs,” said Dr. Tauer (2010), has dire implications for our society.
Indeed, this idea that winning is the only goal has permeated NCAA schools throughout the
United States of America, jeopardizing the integrity of legal, business, social scientific, and
medical academics, and the reputation of the American university system. In a world where
winning “is the only thing,” there exists not even one law, not one piece of medical advice,
not one moral or ethical code, just only winning, and that is what we can see every Saturday
in the Fall as 300 pound linemen who run sub 5.0 40-yard-dashes, bench press 225 pounds 25
times or more, and jump 28 or more inches play their game only to win, regardless of the
rules or laws, which apparently do not exist. A division 1 NCAA football team which does
not use steroids will lose every game; let up 15+ sacks every game; get beat around the end,
in the middle, on the kickoff, return, up front, deep, everywhere on the field. Anybody who
denies that today either does not know the game or is a liar.
American university students are led by faculties and administrations of people who have
probable cause to reorganize the NCAA testing guidelines and guarantee legal compliance
among all players, yet for profit, the university workers have ignored their duties to the public
and legal systems which they teach at the colleges, thus leading the students and public works
into corrupt practices and ignorance thereof. Entire generations of students have been taught
implicitly to engage in and ignore criminal business activities insomuch that entire
multibillion dollar corporations in the USA have gone bankrupt while others have been
prosecuted for criminal executive activities which supposedly nobody suspected over years of
malfeasance. The Enron, Tyco, World COM, Citibank, General Motors, K Mart, Arthur
Andersen executives and other professionals implicated in corporate fraud cases like the 405
the FBI pursued in 2005 (FBI 2005) were often educated at American universities which
feature prime time televised football and other NCAA programs, which are synonymous with
steroid use, abuse and addiction to insiders, and it is likely that the American universities
have unknowingly or consciously enabled or created the vast majority of business problems
America faces today through systemic corruption or worse, organized crime, in its Athletic
Departments.
Compelling interest is present for the Federal Department of Education in the USA to
seize control of all university properties related to the NCAA in order to restore legal, fair
and honest play. Depending on the calculations, due to the enormous yearly revenues big
universities make and the vast number of universities involved in this unique racketeering
enterprise, up to US$1 trillion could be available for the American Federal Department of
Education to soak up bad debts from student loans, offer reduced or no tuition education to
minority and impoverished groups, reorganize the collegiate scholarship programs and repair
the broken bonds of trust and professionalism between the world’s students and American
universities, which have been getting with “The Program” (1993) since long before the
Anabolic Steroids Control Act of 2004.
Sometimes the biggest show in town is just another crisis waiting to happen.
Economic Crises
The American Dollar system of world currency valuation is probably not going to pan
out like a lot of American patriots want it to. This recent economic crisis, started during the
Bush Jr. Presidency, has proven more difficult to pull out of than several past cyclical
recessions. The Dow Jones declines, unemployment, bank closures and negative global
effects are reflective of a culture of characters similar to Danny DeVito’s “Larry the
Liquidator” in “Other People’s Money” (1991), “arrogant, greedy, self-centered, and
ruthless” like the film’s tagline stated. The same types of “Dirty Rotten Scoundrels” (1988)
that Steve Martin and Lawrence Jamieson played on screen, are staple parts of the immoral,
unethical financial sector in real life, which inspired other films like “The Secret to My
Succe$s” (1987) and “Fun with Dick and Jane” (2005). These people are a problem, not a
solution, though they have been, so far, an unstoppable force and part of the English-speaking
economic system inseparable from the legitimate workers.
Due to MNC expansion and scientific breakthroughs, the Dow Jones Industrial Average
roughly quadrupled in the 1990s (CBS News, n.d.), but the American and First World
transitions to service-based economies means that such advances are not likely to frequent the
English-speaking first world nations again without some massive changes. The English folks
seem to want to consume the most and produce the least part of their consumption, which is
not nearly as wise a strategy as self-sufficiency or producing more than one consumes, like
the Chinese. The American, Australian and British current account balances, at -US$673.3B,
-US$44.96B, and -US$41.88B, represent 3 of the worst 7 in the world (CIA 2008), and those
numbers suggest a confound in the reasoning among their leaders and citizens the elected
officials represent. Cyclical recessions and depressions are likely to continue by using the
English-speaking nations’ models of economics, and ESL-speaking nations are picking up on
that fact.
Thailand’s English print newspaper, The Nation, published in 2009 Nobel laureate
Joseph Stiglitz’s thoughts that “the current crisis, which is the worst since the Great
Depression, represents a failure of American-style capitalism.”
Infosys Technologies’ chairman said that a recovery from the present global financial
crisis may be slow and weak (Nagaraju 2010). “In a realistic scenario,” said Foxley from the
Carnegie Endowment for International Peace (2010), “growth rates will be modest and below
potential” for extended periods prior to a return to normal economic function. It is of the
utmost importance that we learn from failures in order to prevent them from becoming a
norm of our culture, or a model of management for our house, or a law of our land, as it
appears such reoccurring cycles of similar failures and travesties have become for the
Anglocentric Oikonomos.
IV. Corporate Social Values: Teamwork and Diversity

Despite the fact that corporations pay out billions of US dollars annually in criminal law
suits for antitrust, environmental, civil, employment, discrimination, and other settlements,
the corporations have consistently exerted a very positive influence on communities. A wide
variety of educated, energetic professionals make up the office staff of multinational
corporations. Intelligent, aggressive personnel at big companies create a culture that is often
demanding, dynamic and continually changing with the times. Although individual
employees come and go through corporate facilities, the company image often represents
longer-term personality traits, goals, values and ideals. People within the corporation may
only embrace certain characteristics of their company, but across divisions, between fields of
work, and through the workforce the organization as a whole becomes a microcosm,
reflecting many attitudes, perceptions, visions, missions and goals present throughout the
larger society. Diversity and teamwork, though still discredited along with many psycho-
social models and theories, are values which large corporations say they represent today,
which is also representative of trends in society.

Teamwork

Management Today (2000) mentioned the “cadre concept of leadership,” where


teamwork is employed in making a vision for the company. “One individual cannot possibly
know everything,” said Professor Andrew Kakabadse of the Cranfield School of
Management. “What you need is a visioning culture,” Kakabadse said though in his studies
he found that 60% of major international corporations inhibited and closed off dialogue rather
than embraced an open team model of operation. “So many executives simply haven’t
developed these necessary skills,” said Professor Kakabadse.

Thomson Healthcare (2004) printed an article about St. Helena Hospital in Deer Park,
California, where teamwork produced a reduction in the institution’s denial rate. Through
group celebrations for meeting shared goals, the hospital staff managed to avoid pointing
fingers at each other for problems and gossiping. “The celebrations are important,” said a
hospital director, “because they reinforce the teamwork concept.”

Money Marketing (2006) stated that teams which embrace diversity or individual
differences most often function the best. “Organizations which treat everyone the same are
on a road to nowhere.” Belbin, Myers-Briggs, Kolb and other psychometric tests are aids to
organizations which know how to allow people be themselves while still being on a team, or
“stand in while standing out” (Lindley 2001). “Play to people’s strengths and you will have a
happier team,” said Money Marketing, “who enjoy what they are doing and who can be
managed on how they have increased their strengths, rather than how they have not improved
their weaknesses.”

According to the Assumptions of Appreciative Inquiry and Appreciative Coaching


Inquiry (Orem et al 2007), “what people focus on becomes their reality,” so it should be
possible to develop better teamwork skills by simply focusing on the importance of teamwork
and its role in the organization. Although sports teams are quite a lot different from teams of
professionals in an office, some psychologists attempt to learn lessons about teams in general
from studies like one conducted in cooperation with the Sri Lankan cricket team, recorded by
the Australian Psychological Society (2008). One researcher found that “most players did not
speak up when opportunities arose at meetings, and younger players didn’t appear to either
want to or know how to say what they felt,” which was considered poor teamwork, which
“effectively shut down possibilities for innovative ideas.” The researcher found among the
team’s problems in Sri Lanka “intimidation, negative and pessimistic communication to
junior players by senior players generally,” which created “lower morale among junior
players who emotionally switched off and suppressed ideas and thoughts of voicing
contributions.” Appreciative Inquiry, which consists of detailing root causes of success
rather than root causes of failure, was found to be helpful in finding reasons to voice
innovative ideas rather than focusing on why players had suppressed ideas prior to the study
with the Sri Lankan cricketers. By simply accepting that it is best to allow open
communication within an organization, new opportunities can be focused on rather than
dwelling on the negative elements of the past. Orem et al (2007) found that “people are more
confident and comfortable in their journey to the future when they carry forward parts of the
past,” but “if people carry parts of the past forward, those parts should be what is best about
the past.” Hence, it might be difficult for some organizations to move forward and open up a
team model, but it is still best to do so according to several experts, while inhibiting and
closing off dialogue like corporations in the Kakabadse (2000) study is not in the best interest
of the team.

Team function, group identity, cooperation and health have been important to companies
like Melton Truck Lines, Inc. in Tulsa, OK, USA (Archer 2007) and IDD Inc. of Blacksburg,
VA, USA (Manese-Lee 2008), which implemented employee workout programs. CCA
Strategies LLC from Chicago (Klein 2006) designed fitness programs for companies which
included nutritional counseling and health assessments. Employees can utilize the CCA and
Melton programs on the road. Employees from Marbodal AB in Sweden who exercised
regularly together or on their own weekly had fewer sick leave days and fewer instances of
back pain than non-exercising employees (Kellett et al 1991). Improvement of employee
function at work and general health are benefits of exercise programs.

“Today’s young engineers simply don’t want to work on teams,” said Thilmany (2009)
which corroborates findings by Kakabadse (2000) and Orem et al (2007) related to general
commitments to teamwork, despite “this lack of team spirit [being] the bane of managers who
hire recent engineering graduates.” Northwestern University Engineering Professor Paul
Leonardi initiated a study involving 130 engineering students because of longstanding
management complaints about engineers having poor teamwork skills. “Industrial advisory
boards are always saying engineers come to the workplace with good technical skills but they
don’t work well on team projects,” said Leonardi. Engineering students believed they could
not become expert engineers if they could not do a project by themselves, so they avoided
teamwork in the Leonardi study. Stereotypes the engineering students had about professional
engineers caused them to “introduce more difficulty into the tasks.” Students threw away
documents which detailed exactly how to build something in order to make the job more
difficult on themselves, to prove their problem-solving ability. “It was a mark of distinction
not to follow the task,” said Leonardi. The Leonardi study also found that students delayed
initiation, or procrastinated, so they could prove they could figure out a problem in a short
period of time, a “skill [the students] saw as particular to successful engineers.” Leonardi
found “all these practices were very counterproductive to working on a team.” Though
Leonardi and his colleagues at Northwestern value teamwork skills, they found it difficult to
break students away from the stereotypes of professional engineers that students embraced,
which made it difficult to create better teamwork skills.

Several big corporations have initiated team skills building and focus on teamwork in
operations:

• The Ajinomoto Group (2010) statee teamwork is part of its “value people”
philosophy. “Respect the humanity of all people involved in the Ajinomoto Group’s
businesses, and be an organization in which they can grow and display their abilities
to the fullest extent.”

• The Bechtel Corporation (2010) statee “a history of teamwork” which started between
Stephen Bechtel Sr. and Saudi Arabia’s King Ibn Saud in 1943, helped Bechtel grow
to be the name in industrial construction it is today. Through close cooperation with
the Saudi royal family, Bechtel’s team has developed the Jubail Industrial City, more
than 10 times the area of the Panama Canal.

• “We work hard every day towards our goal and the sense of teamwork makes the job
fun” said Juan from General Mills, Inc. (2010) manufacturing in Vineland, New
Jersey.

• Kimberly-Clark Asia-Pacific (2009) said “working together in a spirit of cooperative


teamwork and trust, K-C operations aim to be an employer of choice.”

• Nestlé (2010) printed that “believing in the potential of [Nestlé’s] people – and in the
power of teamwork, passion and a total alignment with [Nestlé’s] overall vision” are
signs of “real progress” to Nestlé.

• Reckitt Benckiser (2010) offered job candidates places on “teams” rather than at the
company as a whole. “Whichever team [the applicant] joins, [Reckitt Benckiser] is
going to ask a lot of [the applicant],” and RB expects employees to ask a lot of the
company too, which suggests commitment to an innovative and open team
management style.

• Caterpillar (2010) said “[Caterpillar is] a team…[Cat’s employees] help each other
succeed…the diverse thinking and decision making of [Caterpillar’s] people
strengthens [Cat’s] team…[Caterpillar] knows that by working together, [Cat] can
produce better results than any [employees] can achieve alone.” Caterpillar’s
teamwork is put into action through anti-harassment/intimidation/discrimination
policies, inclusive environmental culture, and consistent globalized standards.
• Google’s Jobs website (2010) featured the word “team” three times in six sentences;
Topeka, Kansas felt so strongly about the Google team concept and social influence
that Mayor Bunten proposed the city change its name to “Google, Kansas” for a
month (Sutter 2010).

• The Walt Disney Company (2010) addressed a letter regarding “standards of business
conduct” to all “Fellow Disney Team Members.” In the letter, “standards of
integrity…honesty…trust…respect…fair play…and teamwork” were said to be
important parts of Disney’s “quality, creativity, innovation and integrity.”

• American Honda Motor Co., Inc. (2010) teaches 13,000 at-risk youths “invaluable life
lessons such as teamwork and self-discipline” through its “Living Classrooms”
program in the Washington D.C. area.

• Teamwork at Merrill Lynch (2010) is associated with communication, sharing


information candidly and openly, cooperation and collaboration, valuing differences
in style and perspective, sharing successes and failures, taking on responsibility for
helping others, participating in setting and communicating goals, forging relationships
with colleagues based on trust and respect regardless of level. “[Merrill Lynch] strives
for seamless integration of services. In the client’s eyes, there is only one Merrill
Lynch.”

• “The work in [Volvo’s] production facilities is characterized by team-work and


quality runs like a thread in all that [Volvo does].” A Volvo (2010) Construction and
Distribution Managing Center worker from France said “The success relies on the
teams.”

• Sam Walton, founder of Wal-Mart (2010) said “together as a team, [people] have
done extraordinary things.” Walton “believed it’s [the company’s] teamwork that
makes [Wal-Mart] special.”

• McDonald’s (2006) shows its commitment to developing teamwork skills by


promising employees will “learn teamwork, leadership skills, communication and
customer service skills, responsibility and time management.”

Diversity

Ofori-dankwa and Tierman (2002) reported on the necessity to incorporate similarities


and differences among ethnic, cultural, racial and religious groups. “Differences in work-
place treatment of minorities regarding racism and discrimination are real and prevalent”
(Shropshire 1996). Through adherence to a norm in a work situation, Ofori-dankwa and
Tierman (2002) found that differences can be minimized through similar work-related efforts,
though it is important to acknowledge the individuality of members in a group.

Diversity and management thereof has come to be important in large organizations in


recent decades. “Because diversity management explicitly focuses on identity groups such as
race and gender, it is often a sensitive and controversial issue in organizational settings,”
stated Mollica (2003). Fairness is often a goal when managing diversity, though certain
circumstances like layoffs and job instability have been cited by researchers as producing
varying perceptions related to fairness and quality of diversity of management. “Layoffs
have affected race and gender groups disproportionately” (Mollica 2003). Depending on the
diversity program an organization utilizes, white men, women or other racial minorities may
be affected disproportionately during times of instability. Mollica (2003) found that white
men perceived disproportionate layoffs of other white men to be unfair to their group in an
active-diversity context, and these perceptions were represented in higher amounts than
among other race groups. White men therefore found reverse-discrimination to be a problem
more than other groups, though racial minorities, even in an active-diversity context, also
found layoffs to be unfair.

Bond and Pyle (1998) found that “employees may perceive their organization’s interest
in diversity as simply a superficial gesture that will not result in any fundamental change in
the organizational culture,” which is representative of widespread popular American opinion
regarding Affirmative Action programs, despite the language of the legal cause. The US
Dept. of State (2005) cited the American Civil Rights Act of 1964, Executive Order 11246,
Adarand Constructors Inc. v. Pena, Fullilove v. Klutznick, City of Richmond v. J.A. Croson
Co., and other American Affirmative Action programs designed to restore balance to fields
affected by longstanding discrimination against women and minorities. Quotas have been
contested and proven impossible to establish in the larger scope of private business. Some
concessions for minorities have been made by universities, but diversity remains a matter of
culture and preference rather than an issue relevant to criminal penal code.

The reasons for keeping discrimination claims out of the courts are many. For example,
a U.S. District Court heard a discrimination claim by female workers at Wal-Mart, a
company staffed by over 70% women (e.g. Kotler and Armstrong 2008), which makes it
appear as if men are being discriminated against because of unequal employment despite the
suit being on behalf of female workers who claimed discrimination in management hiring.
Discrimination, like harassment, is very often a subjective perception, and results often
enough in intangible gains or losses for victims and perpetrators rather than physical and
tangible rewards or punishments.

Many experts and corporate professionals are dropping the bigotry and discrimination of
the past due to of commitments to their customers in order to make the working atmosphere
friendlier, and to show support for the growing consensus among educators, lawyers, judges
and lawmakers who oppose the anti-diversity ideology of the past. “By taking advantage of
diversity,” said Katterjohn (2008), “we enrich ourselves and our work.” Katterjohn reported
on the American Institute for Managing Diversity’s Roosevelt Thomas, who recently wrote a
book telling people “diversity is something to be embraced not feared…the people and
companies who best manage diversity are the ones that will succeed in the long run.”

Still, despite the popular rhetoric and public relations campaigns, corporations have not
been employing their own philosophies much in management, and Bond and Pyle’s (1998)
criticism of diversity programs is showing credibility by the numbers. In the United States,
for example, Hispanics, blacks and American Indians make up 30% of the population, though
those minority groups are represented in senior management positions at American
corporations and nonprofit organizations at only 3% (Gilgoff 2009). Gilgoff reported in US
News and World Report (2009) that blacks and Hispanics, while making up 5-10% of big law
firms’ associates, account for only 2% of firms’ partners. Women were said to hold only
16% of corporate officer positions and make up only 6% of top earner positions at Fortune
500 companies. Gilgoff (2009) reported on waste of up to US$64 billion annually by
American companies which have to replace employees who quit “solely due to failed
diversity management.” All but four nations – Iceland, Finland, Norway, and Sweden –
scored below .80 on the World Economic Forum’s Global Gender Gap 2009 index
(Hausmann et al 2009). The United States showed that females received .67 times the wage
rates of males for similar work according to the same study, suggesting that diversity
management has been more talk than action outside of education, where females worldwide
are consistently more often enrolled in tertiary education than males.

Theory/pragmatism conflicts are represented thoroughly in matters of diversity, like


some experts found with teamwork. Nonetheless, these are good ideas and corporations have
been posting web content stating their policies are representative of current socio-political
and legal efforts to develop a better balance among groups in big companies. Below are
some of the linguistic philosophies posted on public websites.

• “Diversity and inclusion is a key business imperative for Kodak as [Kodak] builds
relationships in markets around the world,” said CEO and Chairman Antonio M.
Perez. “As a global brand, diversity is a key element of who [Kodak is], and who
[Kodak] must be. Diversity and inclusion is woven into the tapestry of [Kodak’s]
global company,” Perez continued on Kodak’s (2010) site.

• United Auto Workers (2009) boasted it’s “voice for all,” and stated “the UAW has
been a leader in the struggle to secure economic and social justice for all people.
The UAW has been actively involved in every civil rights legislative battle since the
1950s, including the campaigns to pass the Civil Rights Act in 1964, the Voting
Rights Act of 1965, the Fair Housing Act, the Civil Rights Restoration Act of 1988
and legislation to prohibit discrimination against women, the elderly and people with
disabilities.”

• Coca-Cola (2009) said “diversity…is an integral part of who [Coca-Cola


employees] are, how [Coca-Cola employees] operate and how [Coca-Cola
employees] see [Coca-Cola’s] future…[diversity] is critical to [Coca-Cola’s]
sustainability…each day [Coca-Cola employees] bring [leadership, passion,
integrity, collaboration, innovation, quality and accountability] to life through
[Coca-Cola’s] diversity workplace strategy.”

• “At Philips, the term diversity symbolizes [Philips’] recognition that [the Philips]
workplaces, marketplaces and communities are made up of individuals: men and
women from different nations, cultures, ethnic groups, generations, backgrounds,
skills, abilities and all the other unique characteristics that make [people] who [they]
are. [Philips] can better understand [Philips’] customers and better identify
[customers’] needs when [Philips employees] have a diverse workforce that mirrors
[Philips’] worldwide customer base.”

• “[Apple employees] are committed to diversity. Apple is an Equal Employment


Opportunity and Affirmative Action Employer,” stated the Apple (2010) webpage.

• General Electric (2010) provided links to an African American Forum, Asian


Pacific American Forum, Gay, Lesbian, Bisexual, Transgender & Ally Alliance,
Hispanic Forum, Veterans Forum, and Women’s Network on their “Supporting
Workplace Diversity” website.

• Harley-Davidson (2010) said “On the road of life, we all ride together,” and posted
personal testimonies about diversity from employees to show commitment to the
cause of diversity in the workplace.

• Starbucks (2010) found that “embracing [peoples’] differences” helped Starbucks’


success. “Diversity is integral to everything [Starbucks employees] do.” Starbucks
took note from recent psychological studies mentioned in this review by defining
diversity as “all the ways [people] differ and are the same.”

• At UPS (2009), “diversity is encouraged by recognizing the value of people’s


different experiences, backgrounds, and perspectives. Diversity is a valuable, core
component of UPS because it brings a wider range of resources, skills, and ideas to
the business.”

• At Gap Inc. (2010), “diversity and inclusion supports [Gap’s] business priorities. It
helps fuel [Gap’s] creativity, and drives the innovation [Gap managers] require to
create the amazing products [Gap’s] customers love…[Gap employees] celebrate
it…[Gap Inc’s employees] value diversity and inclusion.”

• Merck (2009) found that “diversity is the power of differences. [Merck employees]
believe that having a diverse, inclusive workforce and organization makes [Merck] a
more innovative and agile company, attuned to the needs of [Merck’s]
customers…every day [Merck employees] strive to create an inclusive workplace,
where diverse perspectives are respected and all opinions matter.”

• IBM’s (2010) “Diversity 3.0” program made a goal of “leveraging [people’s]


differences for innovation, collaboration and client success.” IBM boasts that the
company “has consistently taken the lead on Diversity policies long before it was
required by law.”

• Sony Global (2010) “actively utilizes and nurtures the diverse characteristics and
ideas of [Sony’s] employees in each region.” A Diversity Development Department
at the Sony Corporate Headquarters had been dedicated to inclusion and diversity at
Sony, which had an average 23.36% of females in management across its five posted
regions.

• Toyota’s diversity policy consists of a “commitment to diversity [which] is built


into every area of [Toyota’s] business. Everything [Toyota’s employees] do is
rooted into two fundamental principles: respect for people and continuous
improvement. [Toyota’s] appreciation of the value of diversity is a natural result of
respect for [Toyota’s] varied team members, business partners and stakeholders.”

• “Diversity makes [Tim Hortons employees] who [Tim Hortons employees] are…as
a company of team players, one of [Tim Hortons’] greatest strengths is the diversity
of the people on each team…[Tim Hortons] employees represent a variety of
backgrounds, experiences, and personalities…and these diverse experiences make
the Tim Hortons team what [Tim Hortons employees] are: positive and inclusive,”
said the Tim Hortons (2010) website.

• Johns Hopkins Medical News (1995) featured an article entitled “Up From
Bigotry,” with personal stories of medical professionals who have been helped by
and who helped the cause of diversity and inclusion in the medical field. Hopkins’
first black medical student came in 1963 and a lot of changes have been noticed
since then, but race is still perceived as a professional barrier. “Absolutely and
unequivocally,” said cardiac surgeon Dr. Levi Watkins when asked if race had ever
been a barrier to his achievements in medicine. Well, it’s obvious that those barriers
can be overcome through programs like Johns Hopkins’, where Dr. Watkins was an
associate dean and professor in 1995. “Anything is Possible,” the 1995 article
stated.

Conclusions

Depending on the source, the real positive effects of diversity and teamwork programs
could range from nil to great success. The language-based ideological framework for a sound
corporate philosophy in line with social, legal, and cultural ideals is certainly in place today.
Difficulty generally arises when confronting characters who do not adopt a theory in practice,
especially when these characters are higher-ups in a company’s structure. However, through
citation of the general credos, philosophies companies post on their websites, laws, scientific
research and professional rhetoric, and by advancements of these same studies, the practical
end of diversity and teamwork programs should be able to make a positive impact in a
relatively short time frame. Predictions of future statistics related to female and minority
management personnel are impossible to forecast at present in the opinion of to this author.
The success of diversity and teamwork programs all depends on the integrity, work ethic,
honesty and competition among the workforce. Having the enlightened ideals around to
source, cite and use is a nice option, even if it’s not always working out for everybody in
every case.
V. Ethics

The early 21st century A.D. global financial crisis is not the first such recession or
depression to impact communities worldwide and is not likely to be the last. Varying
opinions have been given on the ultimate source of the most-recent economic downturns.
Experts obviously blame the subprime mortgage lending and slew of white collar crimes
from Enron, Tyco, WorldCom to Madoff, and the bad habit of chain selling loans and debt
among finance workers. Citibank and large corporate bankruptcies like General Motors are
notable causes of extremely harsh economic conditions. Several reports blamed excess levels
of testosterone for the economic problems of the Bush Jr. American presidency period
(Harvard 2009).

The US Department of Justice has been threatening Wall Street firms with prosecution
on fraud charges for quite a while (Gordon 2010). President Barack Obama has been an
advocate of Wall Street reforms (US Mission at Geneva 2010). According to US Assistant
Attorney General Breuer, the FBI received more than 70,000 “suspicious activity reports” on
possible mortgage fraud cases in 2009 and opened roughly 2,800 investigations on those in
the US in 2010. Many lapses in judgment by American Federal officials during the second
term of the Bush war presidency were stated to have exacerbated the extreme nature of the
crisis, which could have been limited to a lesser impact if authorities had been handling
domestic cases properly rather than spending nearly everything on their wars on terrorism,
Gordon wrote. US Attorney General Eric Holder told a panel studying the financial crisis
that investigating and handling white collar crime is a “real priority” for the American
government, even if that means taking money from the war expenditures to tend to the
domestic issues (Wagner and Raum 2010). According to the AP, mortgage fraud cases under
investigation with the FBI were up 400% in 2010 from five years prior and “resources are
relatively limited.” Apparently a top FBI official warned the American Federal government
about “an epidemic of mortgage fraud coursing across [the USA]” on September 4, 2004,
four years prior to the collapse of some large banks in the USA.

Philip Delves Broughton, a Harvard Business School graduate, said MBA stood for “Me
Before Anyone.” HBS mentioned Broughton’s acronym “as an example of unavoidable
public perception” (Fortune 2009). Business schools throughout the USA, like those at
Dartmouth, the New England College of Business and Finance, and NYU have added
programs and mandatory courses on ethics, policy and compliance. Fraud is not an ethical
issue, still; fraud is an issue of law, and compliance with law has been an acknowledged
requirement at universities since laws were put in place. People do not go to medical college
to learn how to assist in suicide anymore than people go to business school to learn how to be
white collar criminals, but sure, the problem is still ethics.

John Guy reviewed a Marianne M. Jennings book about lessons of ethical collapses in
the Indianapolis Business Journal (2009). Readers were told to pay attention to seven signs
to “spot moral meltdowns in companies before it’s too late.” “Pressure to maintain those
numbers, fear and silence, young ‘uns and a bigger-than-life CEO, weak board, conflicts,
innovation like no other, and goodness in some areas atones for evil in others” were said to be
warning signs to whistleblowers.

“Ethics is a branch of philosophy,” stated Julian Friedland in The Chronicle of Higher


Education (2009). “Business students aren’t so much in school to learn about truth and
wisdom,” Friedland continued, “[and] a corporate culture of gamesmanship encourages
businesspeople to find loopholes large enough to do it anyway – whether it’s to inflate stock
value, deny medical claims, or dump pollution.” Friedland posited that ethics is not
perceived as practical or empirical, but more akin to law and philosophy, or a matter of
subjective opinion.

“Criminal offenses for individuals typically require intent,” stated Pollack in American
Criminal Law Review (2009), and “courts in [the USA] have a long and uninterrupted history
of following this basic tenet of criminal law.” Pollack stated his opinion that “a corporation
should not be subject to criminal liability if it lacks criminal intent,” but if it is status quo to
“find loopholes large enough to [do away with the law]” as Friedland (2009) stated, and the
corporate culture is preoccupied with bypassing legal constraints by any means, then the
definition of “criminal intent” should be adjusted to ensure fairness toward those subject to
laws, and to not allow the wealthy to reap benefits of legalistic finagling while punishing
individuals and small companies which do not have sufficient knowledge or wealth to bypass
laws by similar means. At a certain point, inaction and lack of leadership in one area – ethics
– becomes the “evil” (Guy 2009), while innovation like no other in other areas becomes an
inferior “good” supplied to society.

More complex elements of organizational corruption ending in fraud, discrimination


violations of the 1964 American Civil Rights Act Title VII or State laws like Massachusetts
General Law Ch. 15l B, Section 4; 804 CMR 3.01, Whistleblower retaliation or violations of
OSHA-enforced laws in the USA are likely to be preventable long before news breaks, banks
close and corporations are fined. Whilst this author will not deny that ethics are often defined
subjectively, are difficult to enforce, and also that individual-level micro errors occur most
generally as a part of cultural pushes and pulls among a larger society or working status quo
at macro and intermediate levels which reflect, create, influence and manifest unethical
behavior and cover-ups of immoral, unethical and illegal behavior with passive aggressive
rhetoric and lies, relevant literature on these subjects depicts quite a different consensus than
pessimistic and cynical pragmatists often propagate as academic speculators. In this century
A.D., passive aggression (PA) in the workplace plays accomplice to crime, disorder, abuse
and tyranny so much that whether or not the term “passive” actually applies since the
perceived level of subtlety, internal, or overt aggression which has been considered “passive
aggression” by experts can vary among individuals who are affected by the classic unseen
enemy of the upstanding professional culture. This author considers many characters who are
labeled “passive aggressive” to be quite obvious, overt and directly aggressive rather than
having a hidden agenda which is somehow devious and destructive yet unnoticeable to the
general captive audience.
The American Psychiatric Association (1994) Diagnostic and Statistical Manual of
Mental Disorders 4th Edition defines PA (negativistic) personality disorder as consisting of
four or more of the following seven criteria beginning in “early adulthood and in a variety of
contexts” (Johnson and Klee 2007):

1. Passively resists fulfilling routine social and occupational tasks

2. Complains of being misunderstood and unappreciated by others

3. Is sullen and argumentative

4. Unreasonably criticizes and scorns authority

5. Expresses envy and resentment toward those apparently more fortunate

6. Voices exaggerated and persistent complaints of personal misfortune

7. Alternates between hostile defiance and contrition

Millon and Davis (1996) concluded that four types of negativists made up the PA
disorder profile: vacillating (borderline PA), discontented (depressive PA), abrasive (sadistic
PA) and circuitous (passive-dependent PA). Costa and Widiger (1994) used McDougall’s
(1932) five-factors model to describe components of PA as extraversion or surgency,
agreeableness, conscientiousness, emotional stability or neuroticism, and openness to
experience or intellect. Consequently, passive-aggressive people often appeal to the
traditional business culture. However, Johnson and Klee (2007) found that classically
reverent exteriors sometimes mask an internal habit of “convey[ing] aggressive feelings
through passive means.”

“Verbal indirectness, verbal passivity, indirect and physically passive behaviors, action
avoidance, blame avoidance, change avoidance, resistance, passing the buck, playing dumb,
over-conforming, depersonalizing, smoothing and stretching, stalling, playing safe, justifying,
scapegoating, misrepresenting, escalating commitment, resisting change, protecting turf
(Ashforth and Lee 1990), obstructionism, passive deceit (Wetzler and Morey 1999) and
negativism” are behaviors which are easily considered subjectively defined, vague,
ambiguous and general when observed in isolation. When combined in clusters over
significant periods of time, these PA signs often show variations and repetitions related to
efforts to continue passive aggressive behavior after complaints or actions have been made to
oust practitioners of this style of organizational control and competition by coworkers,
friends and relatives, subordinates and superiors at work, suggesting there is evidence of
pathological sickness which can decrease productivity, lower employee morale, endanger
contractual relations or deadlines, and contribute to miscommunications or communication
breakdowns.

Johnson and Klee (2007) found that organizational stressors and bureaucratic forces like
“threats” and “powerlessness” were correlated to employee PA behavior. When a person
“doesn’t have the power,” or is “working in a state of confusion” or “under pressure,” they
are most likely to invoke PA behaviors like “over-conformance, playing dumb, stalling and
resisting change.” Resistance to larger organizational (societal) change received a lot of
media attention in recent years because of political activists, and “Change” was a platform
component to US President Barack Obama’s election campaign. Passive aggressive behavior
is likely to be a vice in the general population which stalls needed changes. “Loss of
control,” whether in private or public life, as the combination of several personal internal and
professional external factors, was stated to be “an exogenous cause of PA behavior” by
Johnson and Klee (2007).

“Lack of harmony”; “culture of negativity”; “frustration, tension”; “dysfunction”;


“doubt, fear, anxiety”; “change”; “lay-offs and firings”; and “feeling attacked” were costs of
PA behavior in the Johnson and Klee study. The effects of PA behavior were found to create
stress, which cyclically created more negative effects and PA behavior, and thus more
“omnipresent” stress, eliciting more PA behavior. Johnson and Klee supported Baron and
Neuman (1998), who found that workplace aggression “does not involve direct, physical
assaults” but “typically encompasses relatively subtle (i.e. covert) forms of harm-doing
behavior.” Hence this author’s opinion that PA behavior is often understated to be “passive,”
when it is instead active but often only mentally so, because it is often intentional “harm-
doing” activity within an organization, and regardless of what bounded indirect action one
party undertakes to do harm directly to another party, often through a third party in
management or through collectively socially ostracizing target parties, the intention and
outcome are virtually the same or worse as if a “passive aggressor” were to take direct action
personally against a target. Johnson and Klee concluded that leadership styles, especially
autocratic, encouraged PA behavior.

Management Today (2003) printed that “compliment[ing] someone with an insult,


agree[ing] to do something then not do[ing] it” were components of passive aggressive
behavior. The term itself, Management Today stated, “came in after the second world war to
describe soldiers who weren’t openly insubordinate but shirked duty through procrastination
and willful incompetence.” Inaction becomes an action of laziness, and one rooted in anger.
Ignorance is not bliss, but appears to experts to be evidence of a very meticulous and
brooding hostility. Management Today (2003) suggested teaching passive aggressors to
show their anger, though offered no post-liberation solutions to overt anger.

“Passive-aggression is a very sneaky behavior that people can hide and deny,” said
psychologist and author Tim Murphy (Psychology Today 2006). PT described passive
aggressors as people who “express anger indirectly, typically by resisting perfectly
reasonable requests” like to not commit accounting fraud, or to prosecute known white collar
felons when and where they are known to be such. “They desire approval and cultivate a
dependence on others, but then chafe at being locked into such a relationship. They act out
their frustration by procrastinating, forgetting and intentionally acting inefficiently”
Psychology Today (2006) printed. Whether “escape artists” or “sulkers,” therapist Beverly
Engel in Psychology Today stated only “about half of passive-aggressors are fully aware of
what they are doing,” and “in either case, a true passive-aggressor is not always easy to spot.”
Murphy found that PA behavior can “spread like a disease” and that intolerance of honest
feedback, which is sometimes accompanied by overt anger, provokes passive-aggressive
behavior in colleagues or family members who could and normally do express themselves in
healthier ways.

Whether the passive-aggressive behavior is neglecting binding commitments to law in


cases of mortgage fraud, creating non-binding agreements which elicit stalling on major
political economic issues or other issues related to climate change, or failing to take action on
FBI reports in 2004 regarding mortgage fraud in the USA, or avoiding blame for product
defects as a CEO or for low quality as an engineer, misinforming the youth about the dangers
of drinking and smoking, misrepresenting statistically significant outliers in a scientific data
set, playing safe by declining to comment to media personnel during investigations, failing to
change as laws change and scientific breakthroughs contradict historically popular and once-
credible models, scapegoating the poor or minorities as a response to poverty and crime,
playing dumb and smoothing and stretching by avoiding action needed to solve quality
problems with a product as engineering managers or murder and drug problems as public
officials, or protecting turf and obstructing justice by prohibiting protests or certain media
content in the wake of administration-related corruption reports, or through engaging high-
priced defensive-measure lawsuits which opposition parties cannot afford to win, passive
aggression is a very popular style among VIPs and a trickle-down effect through imitation of
the VIP way spreads PA behavior through the classes and ranks. In many cases, passive
aggressive behavior is not consisting of violations of laws, so controls and correction are
difficult to make if organizations, corporate and professional cultures simply want to play
dumb and act like life is one big match of “Survivor Heroes & Villains” (CBS 2010) in
secret, or as if nay-sayers and activists are simply mentally ill or worse yet jealous.

Professionals are well known for having great, elaborate theories made of empirical data.
Organizations like multinational corporations have great legal teams, high-tech equipment,
and enormous databases of organizational behavioral studies, tests, models and tools. Similar
to governments, big companies and now small businesses through the internet have access to
the latest information, political agendas, knowledge and wisdom on issues like corruption.
Socially responsible organizations today define goals for creating transparency, employ staff
to ensure reliability and accuracy in reporting, and make public announcements regarding
their escalated commitments to fighting corruption, to honesty, fairness and compliance.
However, a lot of times the speech and writing published and communicated from VIPs are a
lot of hot air with insufficient action to follow up the highfalutin propaganda. For example,
Kuwait is a member of the UN agreement to fight corruption (Zahreddine 2009), yet the
nation scored “a zero percent in the category of implementing effective, direct policies that
contribute toward fighting corruption,” which suggests that Kuwait has not agreed to fight
corruption in practice. Like many nations, Kuwait is said to “need to implement more laws to
eliminate corruption” in the Kuwait Times (2009) article by Zahreddine.

The 21st century A.D. legal, social and organizational efforts to minimize effects and
presence of corruption has grown in popularity throughout the world with help from
government accountability offices, anti-corruption committees, Transparency International,
independent journalists and investigators, active investors and consumer advocacy groups.
While the first world has the most economic activity in volume of monetary units exchanged
and suffers also higher costs of corruption and unethical activity than the developing and
third world, the less active economies have not been without costly breaches of ethics in
recent reports. Likewise with infrastructure, the developing and third worlds have the least
organized missions and agencies within governments, lack controls to regulate industry and
therefore passively enable corruption and unethical behavior in business and government, but
the first world has not been without major breaches through the entire corporate, social and
government population suggesting first-rate regulations and infrastructure today are in
insufficient supply to eliminate or diminish corrupt activities to a reasonable level.

What some people or cultures consider ‘unethical’ but outside of the scope of law, others
consider ‘illegal,’ and to some extent, ethics and law function as one. The American Foreign
Corrupt Practices Act has helped direct multinational and overseas business operations, but
still many individuals and organizations are allowed to violate their homeland domestic
ethical or legal codes while operating abroad under foreign laws and ethical guidelines. The
extent to which international ethical and legal control can exist outside of the centralized
structure of multinational organizations is limited, but through development of individuals
committed to general human rights, compliance with common laws and common ethical
standards, bribery for example, can be severely reduced and hopefully eliminated. Through
prevention planning and more ethical behavior, cases like that of Gerald and Patricia Green,
Los Angeles film executives sentenced under the Foreign Corrupt Practices Act for bribing a
Thai Tourism Authority official US$1.8 million in exchange for contracts (FBI and DOJ
2009), could be avoided. However, when working with large amounts of money and power
in this new global trade structure, senses of freedom and “culture” can divert activities into
unethical and ultimately illegal behavior.

Christian Science Monitor writer David Montero (2009) reported on Arafat Rahman, son
of Bangladeshi former PM Khaleda Zia, who was charged with laundering almost US$2
million including US$180,000 in kickbacks from Siemens Corporation. Montero reported
that the World Bank estimated foreign companies pay an annual US$1trillion in bribes or
kickbacks to corrupt government officials. The New York Times (Finney 2005) and World
Bank Institute (2004) corroborated the US$1 trillion annual bribe figure. CSM printed that
Siemens admitted to US authorities that it paid US$805million in bribes worldwide.

Frankfurt, Germany financial crime law enforcement head, Wolfgang Schaupensteiner,


said his backlog of bribery, fraud and white collar crimes cases had totaled hundreds of cases
since Germany became one of the world’s largest exporters (Dougherty 2007).
DaimlerChrysler, BMW and Volkswagen were all raided in recent years, yielding a jailing of
a BMW employee for accepting bribes from an auto parts supplier. The American SEC
charged Daimler with making US$56 million in bribes to foreign officials over a decade, and
made at least US$91.4 million in illegal profits from more than 200 transactions tainted by
bribes (Pelofsky 2010). Germany ranked 16th on a 2006 Transparency International
corruption index, meaning people perceive it more corrupt than Austria, Sweden or Britain
according to Dougherty’s New York Times article (2007), which also made mention of the
slush funds for bribes to secure commercial contracts that the German SEC and USDOJ
suspected employees of Siemens created. The definition of “transparency” imagined by
Germans surveyed by TI appears highly subjective and defensive in light of the high dollar
amount of corruption present and consistent among their largest corporations.

Amid outstanding reports suggesting Siemens employees were engaged in worldwide


corrupt practices, the World Bank debarred Siemens LLC, a Russian subsidiary of Siemens
AG, for corrupt practices related to a World Bank financed project (Xinhua 2009). OOO
Siemens was debarred for 4 years for violations prior to 2007 in the Moscow Urban
Transport Project. Siemens agreed to pay US$100million to support anti-corruption work
over 15 years as part of its deal.

More than 800 senior officials from Russia’s federal and regional governments were
charged with corruption in the first nine months of 2009 said Russian Prosecutor General
Yuri Chaika (Xinhua). As part of the structure of development Russian President Dmitry
Medvedev has implemented, new anti-corruption laws have helped authorities police the
police more since 2008.

Asia Pulse News (2009) reported on former South Korean PM Han’s indictment on graft
charges. Han Myeong-sook was charged with taking a US$50,000 bribe from Korea Express
CEO Kwak Young-wook. Former South Korean PMs Kim and Lee were previously indicted
for receiving illicit political funds. Politicians have access to all of the top companies, the
richest people, and clearly have more potential to earn extra money by taking bribes. Part of
the popular appeal of high-ranking government work is the fame and fortune, ethical or not.

France’s former President Jacques Chirac was sued for embezzlement and breach of trust
for corruption during his term as Paris mayor between 1977 and 1995 (Xinhua 2009). The
Xinhua article made the case appear as if Chirac and his staff budgeted for over 40 official
advisers who did not exist. An April 2009 poll showed support for Chirac was 74%, the
highest of 50 politicians in the poll, thus warranting some suspicion about the definition of
“transparency” accepted by the French.

Brazilian governor Jose Roberto Arruda quit his Democrat Party rather than face
expulsion due to a corruption scandal in 2009 (Xinhua). A Brazilian Federal Police
investigation code-named “Pandora’s Box” showed video footage taken by the Governor’s
former secretary, Durval Barbosa, of Arruda paying bribes to legislators and allies. Three
orders of impeachment were presented to the Brazilian Federal District Legislative Chamber
because the governor did not wish to resign, and a protest calling resignation was organized
at the local government headquarters.

“Petrogate” in Peru, which involved the administration of President Alan Garcia,


suggested that corruption “[was] entrenched to the highest levels of power,” according to
NotiSur (Jana 2009). The entire Cabinet resigned after the scandal broke, which featured
audiotapes made public revealing board members of the state licensing agencies agreeing to
illegally award concessions to a Norwegian petroleum company. 16 people were indicted on
oil contract related charges in one batch, and another 8 employees of a private security
company were charged in a second batch, including retired naval officers. Details of the
scandal are intricate and provocative, involving espionage, money and several emotional
parties.

In Chile, 601 suspicious operations were reported by the third quarter of 2009, 269 of
which were by the banking sector (Xinhua 2009). Due to threats of corruption during a
period in which Chile was moving into the Organization of Economic Cooperation and
Development, the Chilean Unit of Financial Analysis announced it would work with 34
sectors of the Chilean economy to detect money laundry crimes in 2010.

Transparency International ranked Iran 9th from last on its Corruption Perceptions Index
according to a Newsweek article (Dehghanpisheh 2009). According to Asia Pulse News, Sri
Lanka dropped 5 spots to 97th of 180 on the annual corruption perceptions index from 2009,
which suggested lower perceived corruption in Sri Lanka than in Bangladesh, Pakistan, Nepal
and Maldives, but higher perceived corruption in Sri Lanka than in India or Bhutan. Ecuador
rejected the Transparency International corruption index report in 2009, according to Xinhua
News. TI ranked Ecuador 146th worst of 180 countries, which suggested far more perceived
corruption in Ecuador than in Puerto Rico or Costa Rica, which ranked 35th and 43rd, and
more than Chile and Uruguay, which were the least corrupt countries from the Latin
American region listed in the TI report, which Carlos Polit, Ecuador’s comptroller general
said was “subjective,” which perceptions very often are.

Croatian deputy Prime Minister quit amid a corruption scandal in 2009 according to
Xinhua News. Damir Polancec was implicated in an illegal takeover of the Podravka food
company, which yielded several company officials’ arrests. Xinhua printed that the European
Union had been pressuring Croatia to take action to reduce corruption as a condition for EU
membership.

Deputy Public Health Minister of Thailand, Manit Nopamornbodee, quit his position
after being implicated in a corruption scandal according to FWN Select (2010). The
resignation was related to a US$2.57billion healthcare corruption scheme, though
Nopamornbodee stated that “[he was] never involved in this so-called corruption case…[that
he resigned] to reduce political pressure on [his] Bhumjai Thai party” as the coalition
government was said to have been facing a no-confidence motion in parliament.

In 2007 the United States Federal Bureau of Investigation reported on some federal cases
of public corruption. Former Speaker of the Massachusetts House of Representatives,
Thomas M. Finneran, pled guilty to obstructing justice by making false and misleading
statements under oath. Deputy US Marshal John Thomas Ambrose was charged with
revealing information on a Chicago mafia member. Former Congressman Robert W. Nevy
was sentenced on multiple charges including fraud and making false statements to the US
House of Representatives. Four Hollywood, Florida police officers were indicted on
extortion and narcotics charges. Former Alaska State representative and Speaker of the
House, Peter Kott was found guilty of bribery, extortion, and conspiracy for casting votes to
benefit a major oil company. New Jersey State Senator Wayne R. Bryant was indicted for
unlawfully using his power and influence to lobby state agencies, high level officials and
others. Whitehall, Ohio police officer James L. Cook pled guilty to bank fraud charges.
Former Texas City, Texas police officer Stephen Paul Presley was sentenced for conspiracy
to commit bank robbery. Former Rhode Island House Majority Leader Gerard Martineau
was charged with honest services mail fraud for steering legislation for an interested
pharmacy company. Former employee of the FBI and CIA Nada Prouty pled guilty to
conspiracy to defraud the US with USMC Captain Samar Spinelli. Louisiana Chief of Police
Claude Williams was indicted on federal charges of possession of illegal firearms and
malfeasance in office. Former New York County District Court Judge David Gross was
sentenced for conspiring to launder money obtained through the sale of stolen diamonds and
watches. Retired Rear Admiral Jose Luis Betancourt pled guilty to prohibited representation
of private party by former government employee before employing agency. Former
Congressional Chief of Staff William J. Heaton was sentenced for conspiracy to commit
honest services fraud. US Army Major John Cockerham and two family members were
indicted on bribery, money laundering, obstruction charges and conspiracy to defraud the US
government arising out of the major’s service as an army contracting officer in Kuwait. US
Army Captain Austin Key was arrested and charged with accepting a US$50,000 bribe to
steer military contracts in Iraq.

2008 brought similar news of public corruption from the FBI. Former US Congressman
Mark Deli Siljander was charged with money laundering. Gregg William Bergersen, a DOD
weapons systems policy analyst at the Defense Security Cooperation Agency was arrested in
an espionage case for passing classified documents to the People’s Republic of China.
Former New Jersey Assemblyman and Orange Mayor Mims Hackett, Jr. pled guilty to
accepting a bribe in exchange for using his official influence as mayor. John C. Albaugh,
former Chief of Staff to the US House of Representatives, pled guilty to conspiracy to
commit honest services wire fraud. Retired Army Col. Levonda J. Selph pled guilty to her
role in a DOD contract awarding scheme in Iraq. Alaska State Senator John Cowdery was
indicted on bribery and conspiracy charges. Union Mayor E. Bruce Morgan and Union
Building and Zoning Director Jeffery Lawson were indicted for conspiring to extort bribes
from contractors seeking business in the Columbia city. US District Judge Samuel B. Kent
was charged with the attempted aggravated sexual assault and abusive sexual contact of a
Deputy Clerk assigned to his courtroom. Former CIA executive director Kyle Foggo pled
guilty to using his position to cause the CIA to hire companies in which he had personal
interest. Sheridan, Arkansas Police Chief David Hooks was charged with embezzling city
funds. ICE Assistant Chief Counsel Constantine Peter Kallas and his wife, Maria Kallas,
were charged in a 75-count indictment for their scheme to take bribes from immigrants
seeking citizenship. Birmingham, Alabama Mayor Larry P. Langford was indicted for a
long-term bribery scheme with lobbyist and banker accomplices. Illinois Governor Rod
Blagojevich and Chief of Staff John Harris were arrested on federal corruption charges
including conspiring to sell the Illinois’ Senate seat vacated by President-elect Barack
Obama.

2009 was more of the same at the FBI. Four Pennsylvania police officers were indicted
on hate crime, obstruction of justice, conspiracy, official misconduct, and extortion charges.
Former US Army Reserves Col. Curtis Whiteford was sentenced for a bribery conspiracy in
Iraq. New York State Senate majority leader Joseph L. Bruno was convicted on two felony
counts of honest services mail fraud. A Pennsylvania Judge was charged with honest wire
services fraud and subscribing to a materially false federal income tax return. Former Alaska
State Rep Beverly Masek was sentenced to six months in prison for conspiring in a bribery
scam related to the VECO Corporation. Federal corruption charges were filed against a
Florida County Commissioner, School Board Member, and City Commissioner for their part
in honest services mail and wire fraud, extortion under color of official right, bribery, and
money laundering conspiracy. Kansas Highway Patrol motorist assistant technician Timothy
L. Wyrick was charged with making threatening phone calls to a Kansas Highway trooper.
Pennsylvania judges Michael Conahan and Mark Ciavarella, Jr. were indicted on 48 counts
for racketeering and charges related to juvenile detention facility corruption. Former Jersey
City Health and Human Services Assistant Director Maher Z. Khalil pled guilty to conspiring
to commit extortion, admitting he accepted more than US$72,000 in bribes from a
government cooperative witness in return for attempting to obtain real estate development
approvals, and for facilitating bribe payments to other municipal officials. Hakeen Blaize
from the D.C. Public Schools was sentenced for interstate transportation of stolen computers
from the schools. Former NYPD police officer, Christian Torres, pled guilty to armed bank
robbery, bank larceny, and conspiracy to defraud a bank. Former New York State Supreme
Court Justice Thomas J. Spargo was convicted of attempted extortion and soliciting a bribe.
Missouri State Senator Jeff Smith and his campaign Treasurer Nicholas Adams, and State
Representative Mark Brown pled guilty to federal obstruction charges involving their
conspiracy and attempt to obstruct a Federal Election Commission proceeding. Former
Department of Defense Contractor Lee Williams Dubois was sentenced to three years in
prison for participation in a scheme to steal US$39.6 million worth of fuel from the US Army
in Iraq. Former Navy Master Chief Petty Officer Robert Jeffrey was convicted in his role of
the fuel theft. Two contractors pled guilty to bribing a Space and Naval Warfare Systems
Command official. Nine then-current and former USPS, Metro Transit Authority, and City of
New York Department of Sanitation workers were arrested and charged with operating an
illegal gambling business out of several workplaces including government facilities. US
Army Captain Bryant Williams was indicted for taking bribes for steering US Army contracts
in Iraq. Former Congressman William Jefferson was found guilty on 11 counts including
solicitation of bribes, honest services wire fraud, money laundering, racketeering and
conspiracy. Former sergeant at Polk County Jail in Georgia pled guilty to civil rights
violations including use of excessive force against an inmate in his custody. Mayors of
Hoboken, Seraucus and Ridgefield, the Jersey City deputy mayor and council president, two
state assemblymen, numerous other public officials and political figures were among 44
individuals charged in a public corruption and a high-volume, international money laundering
conspiracy. Former Wyoming Highway Patrol trooper Franklin Joseph Ryle, Jr. pled guilty
to depriving a man of his constitutional right to be free from unreasonable seizures by
kidnapping him, and pled guilty to one count of using his firearm in relation to the crime.
Former Rockwell and Boeing engineer Dongfan Chung was convicted of economic
espionage and for acting as an agent of the PRC. Former Detroit City Council President Pro
Tempore Monica Conyers conspired with Samuel L. Riddle Jr., who was indicted for
conspiracy, extortion, bribery, and making false statements to the FBI. Civilian Navy
employees and contractors were charged with fraud and bribery. Duke University Associate
Director of the Center for Health Policy Frank Lombard was charged with attempting to
persuade a Metro Police officer to have sex with Lombard’s 5-year-old adopted child.
Virginia former police officer, Paul Ewing, pled guilty to possession of child pornography.
Memphis Police officer Arthur Sease was sentenced for civil rights, narcotics, robbery and
firearms offenses. Two Maine men pled guilty to bribing military and government officials.
Philadelphia police detective, Rickie Durham, was charged with obstruction of justice, giving
advanced notice of a search, and making false statements to a federal law enforcement
officer. Defense Department official James Fondren, Jr. was indicted on espionage charges.
Cleveland, Ohio employee Faisal Alatrash was indicted on extortion, fraud, bribery, and false
statements charges. Former Massachusetts Speaker of the House of Representatives
Salvatore DiMasi was indicted on wire and mail fraud charges. Former US Army Lt. Col.
Debra Harrison was sentenced for honest services wire fraud related to a scheme to defraud
the US government, Republic of Iraq, and Coalition Provisional Authority. Harrison’s
husband, William Driver, pled guilty to laundering portions of the more than US$300,000
stolen from the Coalition Provisional Authority in Iraq, brought back to the US by his wife.
Former NYPD commissioner Bernard Kerik was indicted on charges of making false
statements to the White House. Defense contractor Diana Bakir Demilta pled guilty to wire
fraud and admitted to engaging in other bribery-related conduct in connection with contracts
in Iraq. US Army Captain Elbert George III and US Army sergeant first class Roy Greene,
Jr. pled guilty to stealing US government equipment and selling it to a local Iraqi
businessman. Former Ft. Campbell soldier Steven Green was convicted of premeditated
murder, aggravated sexual abuse, felony murder, conspiracy to commit murder, conspiracy to
commit sexual abuse, use of firearms during the commission of violent crimes and
obstruction of justice for the rape of a 14-year-old Iraqi girl and the murder of the girl and her
family. US Army major Eddie Pressley and his wife, and a civilian contractor were indicted
on bribery and wire fraud counts. Former Army and Air Force Exchange Services official
Henry Holloway pled guilty to bribery charges involving a multimillion dollar
telecommunications contract, and for not reporting the bribes on his tax returns. Fugitive US
Marine Corps Cpl. Cesar Laurean was extradited from Mexico to the USA as a suspect of the
homicide of USMC Lance Cpl. Maria Lauterbach, who was 8 months pregnant at the time of
her death. Two Defense Department contractors were charged in bribery conspiracy related
to contracts in Afghanistan. Former US Navy member Hassan Abu-Jihaad was sentenced for
disclosing classified information after being indicted on terrorism and espionage charges.
Former Illinois governor Blagojevich, his brother, two and former top aides were indicted for
racketeering conspiracy, wire fraud, extortion conspiracy, attempted extortion and making
false statements to federal agents. CBP officer Raul Montano was indicted for bribery, drug
trafficking and alien smuggling. FBI agent Joe Gordwin pled guilty to honest services wire
fraud and compromised at least two criminal investigations. Ex-FBI agent Vo Duong Tran
was convicted on a home invasion robbery scheme at a suspected drug house. Two D.C.
employees were charged in a bribery and money laundering scheme. Assistant Director of
US Immigration Roy Bailey was sentenced for bribery and conspiracy to defraud the US
government. Congressional staffer Ann Copland pled guilty to conspiracy to commit honest
services fraud. West Point graduate Captain Michael Nguyen was indicted for theft of
government property, money laundering and structuring financial transactions while stealing
more than US$690,000 from the Commander’s Emergency Response Program in Iraq.
Customs and Border Protection inspector Guadalupe Garza was sentenced for alien
smuggling and bribery. Bossier, Louisiana School Board employee, Winfred Johnston, Jr.
pled guilty to defrauding the school board. Ohio police officer Adrian Mitchell pled guilty to
fraudulently filing a life insurance claim form and defrauding a widow out of about
US$188,000 in life insurance proceeds. Former Mashpee Wampanoag Tribal chairman
Glenn Marshall pled guilty to violating campaign finance laws, embezzlement from the tribe
and other criminal charges. Katrina Phelps of Western Kentucky University pled guilty to
intentionally misapplying federal funds. Oklahoma City Corrections officers Gavin
Littlejohn and Justin Isch were indicted on federal civil rights violations in the fatal assault of
Christopher Beckman. Former CIA spy Harold Nicholson and his son, Nathaniel Nicholson,
were charged with acting as Russian agents and money laundering. CBP officer Henry
Gauani and his wife, Flora Gauani, were charged with accepting bribes to smuggle drugs into
the US. Texas County Sheriff William Keating was charged with sexual assault against a
suspect in his custody. Illinois police officer William Cozzi pled guilty to beating a victim
who was handcuffed and shackled in a wheelchair. New York police sergeant Haytham
Khalil pled guilty to accessing the FBI’s terrorist watch list without authorization and
disseminating the information. Missouri police officer Marla Arinze was indicted on fraud
charges. Army private first class Christina Swenson was arrested and charged for bribery of
a public official. Former SC Hwy Patrol trooper John Sawyer pled guilty to using excessive
force during an arrest. Retired Army major Christopher Murray pled guilty to bribery and
false statements charges for crimes committed while he was in Kuwait. Army arsenal
employee Ben-Ami Kadish pled guilty to conspiracy to act as an unregistered agent of Israel.

A public interest group that investigates and prosecutes government corruption, Judicial
Watch, issued a “Ten Most Wanted Corrupt Politicians” in America list for 2009 (Internet
Wire). Topping the list was Senator Christopher Dodd from Connecticut, who was head of
the Senate Banking Committee, “for his corrupt relationship with Fannie Mae and Freddie
Mac”. Senator John Ensign from Nevada allegedly abused power in illicit affairs and cover-
ups with payments and favors. Representative Barney Frank from Massachusetts received
US$42,350 from Fannie Mae and Freddie Mac between 1989 and 2008, and also engaged in
a relationship with a Fannie Mae executive while serving on the House Banking Committee,
which had jurisdiction over those two Government Sponsored Enterprises which Frank
protected despite obvious accounting fraud. Secretary of the Treasury Timothy Geithner
admitted he failed to pay US$34,000 in Social Security and Medicare taxes between 2001
and 2004 related to his high salary at the IMF; Geither was stated to run the IRS, and as head
of the New York Federal Reserve, aided AIG corruption while he also employed illegal
immigrants in his home. Attorney General Eric Holder, Representative Jesse Jackson and
Senator Roland Burris from Illinois, President Barack Obama, Representative Nancy Pelosi
from California, Representative John Murtha of Pennsylvania, and Representative Charles
Rangel from New York also made the Judicial Watch list of corrupt American politicians for
2009.
The National Law Journal (Ingram 2009) reported on a USDOJ investigation and
prosecution of lobbyist Jack Abramoff, who pleaded guilty to charges of defrauding clients of
millions and bribing public officials. Abramoff cooperated with investigators, who were able
to prosecute to conviction Representative Bob Nevy of Ohio, top Capitol Hill aides, and
former Chief of Staff at the US General Services Administration, David Safavian. The US
Justice Department was also stated to have won a guilty plea from Representative Randy
Cunningham of California, who admitted to taking bribes from defense companies, and
Alaska’s Senator Ted Stevens was also found guilty of corruption by jury. Many private
lawyers have been indicted, charged and sentenced for corrupt practices in recent years,
suggesting there has been a counter culture operating illicitly from within the Bar
Associations, probably distorting general facts and truths through the legal field.

Cocaine trafficking is usually a component of corruption related to Latin American


countries, but the United States of America has had several cases of drug-related corruption
on record in recent years. UPI News Track (2009) reported on a former US anti-drug
enforcement chief, Richard Padilla Cramer, who was arrested and charged for allegedly
working for Mexican drug lords. Cramer, an Immigration and Customs Enforcement worker,
was born in Mexico and spent 30 years in border law enforcement as a US-Mexican dual
citizen. Cramer was charged with investing US$40,000 for a shipment of cocaine from
Panama and communicating with gangsters from his Arizona cell phone.

The trickle-down corrupt economic effect is likely to be a cause of the larger-order


problems, which lead to or came from the individual problems, which sum together to create
more macro-level and micro-level problems in the cycle of corruption, unethical activity,
passive aggression, rise and fall. The US government fails to adhere to any organizational
standards that its personnel require other organizations to adhere to, and no organizational
punishment is given to the US government as opposed to private organizations or
corporations, which consistently face organizational liabilities for individual employees’
violations the laws. Bribery, extortion, fraud and general malfeasance are so commonly
reported in recent years, involving so many top and highly volatile and mobile officials, that
it’s likely the entire organizational culture of the government is tainted. Any other
organization with a criminal track record like the US government would have likely been
banned from continuing its operations due to the likelihood of future criminal offenses, or put
into bankruptcy. The governments need a “x days without an indictment of an employee”
sign in every office building, station house, military barrack, law court, jail house and other
facility. The Malcolm Baldrige National Quality Award and Six Sigma quality status in
operations will not be awarded to the United States government any time soon to say the
least.

Private American firms investigated in recent years for fraud, malfeasance and violations
of GAAP Sarbanes-Oxley requirements might have been following the lead of the American
federal government in general ethics, budgeting and accounting procedures. In a report by
the Joint Economic Committee entitled “WAR AT ANY PRICE?” Senator Charles E.
Schumer and Representative Carolyn B. Maloney (2008) stated that “hidden costs” and
“undisclosed costs” helped push the total economic costs of the Afghani and Iraqi wars over
twice the amounts the Bush Administration directly requested. IIS-RU professor Dr. Harold
Little (2010), also of Western Kentucky University, stated that these “undisclosed costs”
were not included in the budget and were unavailable for taxpayer view. If American eligible
voters wish to consider themselves equal shareholders in their country by considering the
state a corporation using details of the previously cited Oregon Supreme Court case summary
(2009), and consider the nation organized like a modern public corporation with each eligible
voter having one vote in election of board members (public officials), then using this model
of interpretation of government operations, the GAAP and Sarbanes-Oxley laws should apply
to all accounting practices related to expenditures, incomes, write-offs, assets and liabilities,
and the “undisclosed costs” from the recent wars are likely to not only be violations of major
laws, but also illicit leads for corrupt private citizens to follow.

American government special interest lobbyists are expected to break their record of
US$3.3billion in annual donations in 2010 (New York Times 2010). The question among
many voters and political experts is “how much money will be paid out to which lawmakers
and for what?” This area of ethics and law is central to graft legislation and investigation,
kickback money paid overseas, corrupt practices and professional codes of conduct, yet is
rather unregulated by the modest standards of the American middle and lower economic
classes, and suggests extreme corruption within the federal government.

American regulators seized New York’s Park Avenue Bank and arrested former
President Charles Antonucci, who was accused of attempting to steal US$11.2 million in US
government Troubled Asset Relief Program bailout funds from the financial crisis (McCool
et al 2010). “Antonucci is the first person to ever be charged with attempting to defraud the
TARP and we expect he will not be the last,” said Manhattan US Attorney Preet Bharara.

Wachovia Bank paid US$160 million in a drug money laundering probe involving
Colombian and Mexican drug traffickers’ money (Fletcher 2010). This, the largest penalty
ever imposed for a violation of the US Bank Secrecy Act, was for Wachovia’s failure to
effectively maintain anti-money laundering controls related to more than US$400 billion in
unmonitored funds through accounts between 2004 and 2007 from wire transfer exchanges in
Mexico. US Attorney Sloman said the laundered money helped Mexican and Colombian
cartels purchase airplanes in the US for their drug trafficking operations. “Wachovia’s
blatant disregard for our banking laws gave international cocaine cartels a virtual carte
blanche to finance their operations by laundering at least $110 million in drug proceeds,” said
Sloman.

The Economist (2009) printed an article about “The Bankers,” a book about Irish banking
scandals and regulatory failures. According to The Economist, since property and credit-
related troubles hit Ireland, the economy shrunk by 10% and unemployment tripled.
Elsewhere in the larger EU, corrupt practices and unpredictability are the most common
reasons investors stay out of the Western Balkans, according to Europe-East (2009). Another
exposé book entitled “The Shame of Romania,” by pseudonym Jonathan Harper, depicted
Traian Basescu, who rose from the rank of a sea captain under the Communist system to
mayor of Bucharest, transport minister and national president while displaying “an almost
contemptuous disregard for the rule of law and an ongoing propensity for abuse of power”.
Communist dictator Nicolae Ceausescu was thought to be linked to the fictional Basescu
character (US Newswire 2009).

Australian Business Intelligence (2007) printed that “in China, corruption is regarded as
a natural part of doing business…people expect to pay for promotion in jobs.” ABI author
Rowan Callick said that if China really wants to go global, it needs to at least manage its
corruption. Other reports stated that Chinese authorities believe it is not in the best interest of
society to allow the general population to be informed of certain corruption investigations
and allegations (CNN 2010). In 2009, at least 15 ministerial or provincial level officials were
investigated for corruption, 9 of which were sent to prosecutors, including Supreme People’s
Court Vice President Huang Songyou (Xinhua 2010). Xinhua printed China’s rank of 72nd in
the Transparency International 2009 study. President Hu Jintao said the corruption problem
was “persistent, complicated and arduous.” Former bank chairman Zhang Enzhao was
arrested in 2005 for allegedly taking bribes. At the China Construction Bank, more than 100
cases of theft and embezzlement were reported between 2002 and 2004. The China Banking
Regulatory Commission Beijing office admitted that “when [Chinese] banks disclose
information, they don’t always do so in a totally honest manner” (Luthans and Doh 2009).

In Taiwan, former leader Chen Shui-bian and his wife were sentenced to life in prison for
graft, embezzlement, money laundering and other abuses of power which occurred between
2000 and 2008 (Xinhua 2010). Chen Chen-hui, former treasurer, also pleaded guilty for
involvement in the ex-leader’s corruption case.

Real estate indices dropped by 2.48% in Dubai and 4.17% in Abu Dhabi, United Arab
Emirates after Abdul Salam Al Merri, CEO of the Lagoons, a project by government-owned
Sama Dubai, was alleged to have engaged in corrupt practices related to Sama Dubai’s
US$38.15billion projects. Other senior officials of leading Dubai companies Tamweel and
Nakheel have been under investigation for corruption, which the Dubai Public Prosecutor
stated the government has a zero-tolerance policy on (Xinhua 2008). Also in the Middle
East, a Bahrain government official was detained for a money laundering charge (Oteify
2010).

South African president Jacob Zuma authorized a special investigation unit to probe local
government corruption in the nation’s history (Xinhua 2010). “Widespread financial
irregularities” in all 24 municipalities in the North West province between 2005 and 2009,
violations of labor laws, illicit appointments and promotions led to these investigations. The
SIU recommended “systemic changes” to avoid future abuses in South Africa.

The Economist (2009) found corruption to be the “biggest vice to be eradicated” in


Sierra Leone. “Bribery and fraud remained normal” in Sierra Leone after a Truth and
Reconciliation Commission report made public knowledge of the corruption problems.
Sierra Leone’s Anti-Corruption Commission was so ineffective that in 2007 Britain ended
direct budget support for the government, which depended on foreign aid for 60% of its
budget. 27 public officials were indicted for corruption between 2008 and 2009, including
judges, postal workers, a minister of health, and national broadcasting service workers. After
the 1990s civil wars ended, which inspired the popular Leonardo DiCaprio film “Blood
Diamond,” the Truth and Reconciliation Commission said corruption in Sierra Leone “that
had infested every level of government in the preceding decades” (The Economist 2009) was
one of the main causes of the bloodshed.

Premier Richard Naamo Irosaea said “poverty is the main source of corruption in
Solomon Islands” and urged leaders to fight poverty and corruption together (AsiaPulse
2009). “[Solomon Islanders] act and think like [they] still live in the 16th or 17th century,
which has created a society where corruption has flourished,” Premier Irosaea said at a two-
day Anti-Corruption Conference in Auki. “Solomon Islanders are too quiet and must now be
whistleblowers against corruption,” which is a “cancer in society,” said Irosaea.

All over the world public officials and uppermost class segment private leaders have
been getting caught, charged, tried and convicted for corruption scandals. With increased
opportunity for legal income as economies grow, there comes increased opportunity for
illegal income through corrupt practices. Some groups have called for more laws, which is a
good idea, but people did not obey the pre-existing laws which prohibited several variations
of corruption, and thus people are not likely to obey new laws. New business groups want to
increase transparency, but the public demand for increased transparency was always implied
as general honesty, morality and ethical practice are in constant high demand among true
conservatives through ages. Increased law enforcement is needed, but so too is general
commitment to textbook ethical activity in the private sector, which might always be out of
view and earshot of police, who have been cited for breach of privacy ethics for intrusive
surveillance techniques.

Some innocent citizens wish to maintain their privacy using honorable interpretation of
customs, laws and tradition, while others obviously abuse privacy protections for personal
gain (i.e., Rowe v. Wade ruling based upon US Constitutional privacy rights). Without
internal controls in all sectors, including government, and a proactive standard in law driven
by consumers and suppliers who are knowledgeable, aware of existing laws and trends,
willing and able to prevent corruption in its earliest phases or before it starts through more
keen senses and common powers at work, at play, when purchasing or in general daily life,
there are virtually no guarantees the larger problem can be alleviated. Many people will
consider ethics and morality to be religious matters, subjective causes or purely theoretical
while relying on a much more kill-or-be-killed type of standard in pragmatic everyday life,
which leaves this author wondering which paradigm is real and which is not. If pragmatism
and theory are polar opposites as they are often claimed to be, then one must be fact while the
other fiction, unless we are to simply consider one to be criminal or unethical while the other
legally compliant or ethical. Regardless of which system works better, which is more
morally and ethically upstanding, that of theory or of pragmatism, many world leaders and
organizations made solid commitments to furthering the cause of ethics, checks, transparency
and enforcement recently.
The Pakistan SEC implemented new criteria for stock and commodity exchanges to
improve transparency and integrity in Pakistani capital markets (AsiaPulse 2009). Philippine
Office of the Ombudsman and members of the Federation of Philippine Industries signed a
Memorandum of Agreement to take out corruption and promote economic growth (AsiaPulse
2009). Indonesian businessmen signed an anti-bribery pact at the Chamber of Commerce and
Industry to help create a transparent and ethical business environment (Xinhua 2009).
Cambodia passed an anti-corruption draft law (Xinhua 2009).

“We want our money back,” said President Barack Obama to banks after the bailout
from the corruption-caused financial crisis. A new tax was aimed at generating US$90billion
over one decade from banks which Obama said had “obscene” bonus structures (AP 2010).

Social, environmental and ethical issues were on the agenda for a Canadian Business
Ethics Research Network workshop in Vancouver, Canada (Marketwire Canada 2009).
Rotary International awards Ethics in Business leadership prizes to reliable upstanding
citizens like CFO of Newport Beach real estate firm WLA Investments, Kristi Kindred of San
Clemente, California (Orange County Register 2009). Memphis, Tennessee Mayor AC
Wharton signed an executive order for more ethical government including requirements for
financial transparency among high-level city employees, making acceptance of gifts from
contract-seeking organization illegal, banning the government equivalent of insider trading,
and creating an ethics review board (Commercial Appeal 2009).

W. Michael Hoffman from Bentley University, Debbie Troklus from the University of
Louisville, Jeff Kaplan from Kaplan & Walker LLP, John Steer of Allenbaugh Samini
Ghosheh LLP, the FBI office of integrity and compliance, and Hamline University School of
Law received Society of Corporate Compliance and Ethics awards at the 5th annual ceremony
in Minneapolis, Minnesota (US Newswire 2009). US Secretary of State Hillary Clinton
opened PricewaterhouseCoopers International anti-corruption day on December 9th, 2009 (PR
Newswire).

“You know curbing corruption is a serious global challenge, and so it will take
partnerships to meet it,” said Clinton, who continued “we’re eager to work with governments,
multilateral institutions, businesses, civil society leaders, NGOs – everyone with a stake in a
level playing field and the rule of law.” PwC found that 2/3rds of global companies have
encountered corruption and 45% of global companies have avoided specific opportunities
because of corruption risks.

“Income inequalities, public health, labour unrest, climate change, poverty, ethics,
values, and the role of business” were on corporate social responsibility checklists at the
World Economic Forum India Summit (The Economic Times 2009). “As a nation, [Indians]
need to develop a new style of development rather than imitating models from the West.
What [Indians] want to achieve could be the same, but the path that [Indians] take has to be
very different from the western countries,” said Direct of the Center for Environment
Education Kartikey Sarabhai at an Indian Institute of Management-Ahmedabad meeting
(Times of India 2009).
Western Australian Premier, Colin Barnett, said he would fight corruption and greed,
aware that his state had a “cowboy” image, and not satisfied with that, asked the WA
business leaders to raise ethical standards (Australian Business Intelligence 2009).

“We need to recapture the principle that you do well, but in the process of doing well,
you give back,” said Arianna Huffinton of the Huffinton Post (Strategic Finance 2009).
Harvard Business School Centennial Business Summit “explor[ed] the underpinnings of the
legitimacy of capitalism in light of the financial crisis,” said Verschoor in Strategic Finance.

The Maltese Foundation has been set up as a volunteer organization to provide a vehicle
for Corporate Social Responsibility, which the World Business Council for Sustainable
Development defined as “the continuing commitment by business to behave ethically and
contribute to economic development while improving the quality of life of the workforce and
their families as well as the local community and society at large” (Mondaq 2009). Greek
Prime Minister George Papandreou vowed to “restore the credibility of [the Greek]
democracy’s functions, fighting corruption, lawlessness, injustice which represent a large part
of [the Greek] economic woes” (Xinhua 2009). Britain’s Department for International
Development gave Zambia’s Anti-Corruption Commission US$9.5million for its efforts in
stopping abuse of public funds (Xinhua 2009). Lastly in reviewed ethics news and journal
articles, 300 Brazilian companies signed an anti-corruption pact under the slogan “either
Brazil ends corruption, or corruption will end Brazil” (Penteado 2007). The Brazilian group
estimated that corruption costs Brazil US$180billion annually.

Ethics enforcement, white collar crime enforcement, morality and corruption laws and
standards are as difficult to enforce as any other law. Murder rates consistently plague the
USA, which is considered the richest nation on earth by most standards. Corruption and
white collar crime might seem less harmful to society than murder, but when looking into the
numbers, we can easily determine that the corrupt executives are a greater threat to the
financial stability and wealth of citizens than any carjacker or pickpocket in the nation. Aside
from the big cases and obvious abuses, however, ethics are very difficult to manage because
of the subjective and only-psychologically-active component of smaller scale ethical
breaches. What is considered ethical or unethical is largely a matter of opinion, whereas
murder, extortion, bribery, and activities banned by very explicit laws governing behavior are
more obvious in their dangers and less defendable once they have been committed than
sexual harassment, slander, libel, and other non-behavioral ethics.

Passive aggressors are like an awkward mirror of social and macro-organizational action.
If the term became popular after world war two among people criticizing former soldiers’
work performances and attitudes, it is likely that PA behavior was originally in psychological
defense to a tyrannical rule of international war criminals and founded in a deeply complex,
interconnected and conflicted internal-external maze-work of self, conscience, perceived
essence of deity, and other people. Of course individuals who display passive aggressive
behavior outside of military situations are a burden and make work difficult, but the ultimate
source of the organizational trouble is then communication and general people skills, inability
to directly provoke argument and a long-term intellectual rather than emotional conversation
regarding serious work-related issues among co-workers, subordinates and superiors, thus
making “the game” rather than “the players” the cause of frustration in many cases at least.

If private citizens rely upon rule of law standards only, there will be mistakes
considering the elaborate, foolish and absurd amounts of corruption and crime that
lawmakers, police, lawyers, judges and government executives are consistently guilty of.
What is unethical is not always illegal, and what is illegal is sometimes perfectly legal. The
totalitarian strong arm of the law is often irrational in the private world where we encourage
each other through scientific ethical codes not to exclude contradictory arguments or select
data in efforts to support only our individual or organizational political agendas. We are
supposed to encourage debate and methodical, comprehensive conclusions based upon all
available evidence rather than choose one side over the other and attempt only to discredit
and deny the side which we do not choose to support. Medical, social scientific,
psychological, religious and legal doctrines, studies and credible reports contradict many of
the existing laws’ necessity and validity. Even civil rights leader Martin Luther King Jr. had
an FBI file from a period during his fight to end racial discrimination and segregation, in
which he was labeled the “most dangerous and effective Negro leader in [the USA]” by the
federal task force assigned to his case (Al-Khatib 2010). If everybody were to use the
standards the American governments employ, we would be passive aggressors, paranoid,
wrong, afraid of and opposed to externally-led change or commitments to any lasting codes
in any dimension while demanding others change and stay the same for us, conflicted at
home and abroad, unable to rationalize and secure peace in life in general. In other words, if
we allowed the American government to lead, we would fail, maybe in everything we do.

Everybody makes mistakes, unfortunately for all of us. Teachers see mistakes every day,
and students do not always understand they are wrong, why and how so. After corrected,
people often make the same mistakes twice or more times. People do treat mistakes like
some sort of religious violation of morality, even in cases of honest unintentional mistakes - a
method of coping with mistakes which is a mistake itself. A good teacher, kind and
compassionate guide, tolerant and understanding of consistent wrong answers, botched
assignments, slips of the tongue, and mistakes is not something that many people show the
greatest ability or will to be. People are impatient and aggressive, whether psychologically or
physically, directly or indirectly. Humans are animals bound to have certain competitive
traits.

The American Psychological Association, regardless of all of its flaws, agency problems,
history of patient abuse with electric-shock-therapy, asylum treatments which were violations
of human rights, perjury and other corrupt activities, has a working code of ethics which is a
good guide for any professional individual or organization to follow. The APA Ethical
Principles of Psychologists and Code of Conduct (2002) will help bring clarity to this obtuse
and vague idea of ethics in practice.

Principle A states that professionals should “strive to benefit those with whom they work
and take care to do no harm” under the rules of beneficence and non-malfeasance.
Principle B states that professionals should “establish relationships of trust with those
with whom they work” under the rules of fidelity and responsibility.

Principle C states the professionals should “seek to promote accuracy, honesty, and
truthfulness in the science, teaching and practice” of their profession. Professionals should
not “steal, cheat, or engage in fraud, subterfuge, or intentional misrepresentation of fact”
under the rule of integrity.

Principle D states that professionals should “recognize that fairness and justice entitle all
persons to access to and benefit from the contributions of [their profession] and to equality in
the processes, procedures, and services being conducted by [professionals]. [Professionals]
exercise reasonable judgment and take precautions to ensure that their potential biases, the
boundaries of their competence, and the limitations of their expertise do not lead to or
condone unjust practices” under the rule of justice.

Principle E states that professionals should “respect the dignity and worth of all people,
and the rights of individuals to privacy, confidentiality, and self-determination” under the rule
of respect for people’s rights and dignity.

Ethical standards among professionals shall guide them to “take reasonable steps to
correct or minimize the misuse or misrepresentation of their work if they learn of misuse or
misrepresentation thereof,” which means no passing the buck, no stalling, no inaction when
matters of ethical breaches are brought to the attention of the professional. Ethics point 1.02
(APA 2002) states that if a professional’s “ethical responsibilities conflict with law,
regulations or other governing legal authority, [professionals] make known their commitment
to the Ethics Code and take steps to resolve the conflict. If the conflict is unresolvable via
such means, [professionals] may adhere to the requirements of law, regulations, or other
governing authority,” which suggests professionals should take direct action on their own
terms first and have a secondary option to involve legal authorities if direct personal actions
among professionals aside from third party law enforcement are not sufficient to resolve the
conflict.

When conflicts exist between the commitments to the Ethics Code and organizational
demands, according to point 1.03 (ibid), professionals “clarify the nature of the conflict,
make known their commitment to the Ethics Code, and to the extent feasible, resolve the
conflict in a way that permits adherence to the Ethics Code.” When a professional believes
there has been an ethical violation made by another professional, “they attempt to resolve the
issue by bringing it to the attention of that individual” rather than choose indirect action or
inaction as a course. Under rule 1.05, reporting ethical violations is an option when “an
apparent ethical violation has substantially harmed or is likely to substantially harm a person
or organization.” Professionals should note that the word “harm” takes on many definitions,
and should not be limited to physical harm or injury only, though also should not be
absolutely applied to matters of image or reputation because of the complex subjective and
opinion-related nature of character injury claims. For committed professionals, it is also
extremely important to understand that action to correct one person should not harm another,
and the person reported or corrected should not be harmed, but rather rehabilitated because
harm even of violators would be a violation of the ethical code, and thus would be an ironic
solution to an ethics problem by solving one ethical abuse with another controlled ethical
abuse.

In all cases, before, after and during investigations, it is important to remember that
others are watching and learning from the style of investigators and disciplinary agents.
Professionals should be advised that it is counterproductive to inadvertently commit an act
within the disciplinary agency which the disciplinary agency wishes to eliminate or reduce
presence of in the general society or organization. Given that equality is a fundamental right
in processes, procedures and services for all people (Principle D), including equality between
the case handler and violator, proper handling of claims through a rehabilitation or correction
procedure is a sensitive and complex set of tasks requiring technical expertise and great care
rather than raw emotions of anger and rejection of defenses made by the presumed violator
which might include claims against the disciplinary or investigation organization.

If people wish to create and sustain a harmonic, legally, ethically and morally compliant
society or organization of any size and scope, or individual life, then these people must be
conscious and well-thought-out, prepared, sympathetic and empathetic to others yet not easily
bullied or pushed over by victims or those presenting themselves as having been done wrong.
Professionals must, at times, simply accept that no intangible rewards will be granted for their
service, and their salary as being the only reward they will receive from work and continue
working at the best of their ability for only the tangible rewards they agreed to receive for
services and works tendered. While argument and conflict are expected, it is important that
professionals foster a sense of fairness and attempt to understand the underlying reasons for
why people think, speak and behave inappropriately or wrongly. Through fuller
understanding and acceptance of these meta-forces, a comprehensive effort to disrupt the
cause-and-effect nature of the problem sequence can be made rather than simply waiting for
problems to happen, or worse, ignoring the potential for problems and overreacting when
they present themselves.

With the facts in mind, professionals, experts, laypeople and outsiders can surely co-exist
and come to adequate resolutions which are mutually satisfactory and not reliant upon the
idea that we must take from one to give to another, or harm one for the benefit of all, engage
in frankpledge, deodand or hypocritical activities.
VI. The Dirt on Illicit Trades

Arms, drugs, prostitution, and human trafficking might not seem like issues relevant to
the generally law abiding business community. The evening news and other media
publications feature stories about seizures, confiscations, arrests, indictments, and
investigations related to criminal practices in these four largest illegal trades, and most
working adults know something about the basics but common conversation culture has shown
that most people never develop a full understanding of these trades and do not develop some
sense of connectedness within the larger economy which features significant segments solely
made of illegal trades. Corporate executives, wage laborers, middle managers, engineers,
advertising agents and others are likely to know that these trades exist and know they are
illegal. If they think about it, most professionals can make correlations between crimes and
find some reason for the existence of laws prohibiting weapons, sex, certain drugs and human
trafficking trades.

Human rights groups, NGOs, the United Nations in cooperation with local, regional, and
national governments have sought to abolish these ancient trades with surprisingly little
success despite the high numbers of arrests, forfeiture of assets, seizures and reports on
individual criminals. Over time, social scientists have consistently tried to keep in mind the
fundamental causes of crime and in some cases in the drug and prostitution trades, have
found outliers to supposed rules. Several laws regarding prostitution and illegal drug trades
have been considered outdated, less than comprehensive ideologically, and founded in logical
fallacy which suggests that correlation to other crimes and social costs is absolute causation.
Certain sympathizers stressed for answers might consider human trafficking an unavoidable
activity living in a larger society where many people are very poor, where families sell their
own children, and where at best a human being bought and sold in an illegal market might
stand a chance to live with some reasonable access to basic needs rather than suffer
elsewhere. Marxists, for example, might easily argue that the life of a slave is better than that
of the homeless person or lowest class in a capitalist society with surprising conviction.
Militant assessment of the illegal weapons trade might likely include revolutionary flair
consistent with Maoist, Guevaraist or Marxist-Leninist ideology, seeking to invoke the spirit
of freedom founded through war. Others can and have argued that legal weapons trading is
no different in principle than illegal weapons trading and that international and national laws
are not supportive of people’s rights to sell and purchase whatever they so desire in a free
market economy, and that this double standard in capitalist endeavors is the real crime.

Real debates have filled academic halls, student dormitories, private homes, law offices,
police stations, jails, prisons, journalist agencies and the general public, and compelling
arguments have been made in favor of nonviolent criminals in many cases regardless of the
apparent atrocity of their abuses of law and of the human psyche. In the course of argument,
a phenomenon sometimes arises where by depriving one so-called human right, another
supposed human right is supported, or when by creating rights to one kind of freedom, people
lose rights to another variety of mental, physical or spiritual freedom. The complexity of
lawmaking, litigating, soliciting, lobbying and debating to resolve make these illegal trades a
taboo in many mainstream consumer culture environments, though the presence of illicitly-
earned money in circulation, and part-timers in the illegal trades who also work at legal jobs
make these trades something that nearly everybody is affected by, be it directly, indirectly,
consciously or unknowingly.

Organizational cultures at MNCs are influenced by laws and current events since many
white collar professionals take up social, cultural and political interests. Hiring, firing,
promoting and profiling are affected by personality types often associated with criminals,
sociopaths, psychiatric illnesses, deviants, sexual predators, aggressivians and human rights
abusers. Because the illegal drugs, weapons, sex and human trades are very profitable, this
segment of the larger economy impacts the general market environments, especially in the
developing world where MNCs try to expand and grow their market share in pursuit of
economies of scale. Consumers and suppliers alike see and read news reports related to these
illegal trades and the memories, thoughts, feelings and associated beliefs related to money,
trade and interpersonal interaction affect consumer behavior, supply-side intra-company
policies, and assist in making micro and macro market changes over time. These are aspects
of life in general that all professionals should take initiative to understand so they can be
mindful of their own beliefs, cultural pushes and pulls, changing legal conditions and market
fluctuations that are related to the more repressed internalized elements of market
psychology. The trade-related moral topics people never or rarely talk about, which are
aspects of market function that create some of the most emotionally disruptive impacts on
individuals, groups of varying sizes and society, are likely to be powerful forces in the longer
term, more comprehensive and less absolutely destructive elements of the economy at large
than some sources suggest, which businesses of all sizes, scope and sectors should take into
consideration.

Illegal Drugs

UNESCO (1999) estimated the international drug trade was worth US$400 billion
annually. 200 million people worldwide were estimated to be the end line consumers of
those drugs. The Independent (1999) printed that the illegal drugs trade was the third largest
economy in the world, and quoted a lowball G7 Financial Action Task Force estimate that
said at least US$120 billion was laundered through the world’s financial systems yearly,
which totaled the same amount of legal emerging market investments. The Independent
(1999) made an estimate of the world’s illegal drug trade at between US$1.5 trillion and
US$5 trillion annually, which is the more common estimate across other various sources than
the UNESCO figure. Forbes (1996) dared to report that Holland’s liberal policies on drugs
actually boosted the national economy and tourism rather than harm the national economic
agenda.

Marijuana is the drug most commonly debated for legalization and for good reason too.
Caputo and Ostrom reported in 1994 that the American government in 1991 could have
collected between US$2.05 billion and US$9.09 billion in tax revenue if it had regulated and
taxed the marijuana market. Caputo and Ostrom reported revenues from the 1991 American
marijuana industry were estimated at US$5.09 billion to US$9.09 billion, all untaxed. The
L.A. Times (2006) reported the annual American national marijuana production value at over
US$35 billion, which was larger than the combined value of corn and wheat crops in the
USA in 2006. ABC (2006) cited Jeffrey Miron at Harvard who estimated that the US would
save US$7.7 billion on law enforcement and collect US$6.2 billion annually if marijuana
were taxed like alcohol and tobacco. If voters in November 2010 approve the proposed
Regulate, Control and Tax Cannabis Act and legalize marijuana for recreational use among
adults (Leff et al 2010), California will finally be able to test Miron’s numbers among others.
2006 marijuana seizures in 34 counties in the State of California alone were worth US$6.7
billion (Appeal-Democrat 2006).

Although smoking has been linked to cancer and other studies detail potentially harmful
side effects of marijuana use, abuse and addiction in some patients, several studies have
detailed the medicinal benefits of marijuana use in recent years, which prompted 14
American states to legalize medicinal marijuana programs after general democratic votes
(NORML 2010). A study published in the Journal of Clinical Investigation (2005) showed
that cannabinoids promote new neuron growth without neuronal loss or death following
chronic injections of a cannabinoid in rats. Results of the HU210 cannabinoid study also
suggested that marijuana, hashish and kief can produce anti-anxiety and antidepressant
effects. Cannabinoid researchers from the University of Alcala in Madrid, Spain published in
the British Journal of Cancer found that marijuana can help stop prostate cancer from
growing (Reuters 2009). Forbes (2009) reported that THC was found by Spanish researchers
to “prompt the death of brain cancer cells.” The active ingredient in marijuana, hashish and
kief – THC - was also found to prevent Alzheimer’s plaques from forming in the brain
(Reuters 2006), and thus was found to help prevent Alzheimer’s disease.

Medical reports such as those which contradict popular political campaigns against
illegal drugs present undeniable compelling interest to investigate claims of bad science,
misrepresentation of fact, data finagling, and exclusion of outliers more sufficiently in private
and public research in order to ensure integrity. Studies like that in the American Journal of
Clinical Investigation (2005), which not only discredit the popular myth that marijuana kills
healthy non-cancerous brain cells, but also contradict the popular myth that the brain does not
grow new cells, deserve recognition and attention. Certainly all of these medical studies
discredit the infamous American government initiatives to classify marijuana as a Schedule I
drug. In fact, marijuana and other cannabinoids like hashish and kief have clearly been
proven, at least in recent years, to have very significant medicinal effects where other drugs
have not proven successful.

The prices paid for illegal drugs, especially by habitual drug users, are likely to cause
conflicts within families, between spouses and lovers, and have been a reason to encourage
prohibition and non-use of drugs as much or more than reasons strictly related to health.
However, society has not set guidelines to limit intoxication in general or use, abuse and
addiction to drugs in general on the basis of health problems. People know the dangers of
alcohol and cigarettes, which have been considered more dangerous than illegal drugs, yet no
prohibition laws exist today nor are considered appropriate future measures outside of some
parts of the Muslim world where khmar, that which is often abused and dangerous, is
sometimes considered haram, that which is forbidden.
Methamphetamine use in the US alone cost users between US$16.2 billion and US$48.3
billion in 2005 (Biotech Weekly 2009). The RAND Corporation study mentioned in Biotech
Weekly stated the best estimate for 2005 American methamphetamine market activity was
US$23.4 billion. In 2002, Xinhua News Agency printed a quote from Thai Army Chief-of-
Staff Naris Srinetr that approximately 1 billion methamphetamine pills were expected to flow
into Thailand from Myanmar in 2003, which would have had a street value of approximately
US$1 billion in Thailand. Time (2001) released a report about an American FDA-sanctioned
study of methylenedioxymethamphetamine, better known as ecstasy, as a possible treatment
for post-traumatic stress disorder (PTSD), which Time reported “suggests the FDA doesn’t
think taking ecstasy is too risky.” Dr. Julie Holland, a psychiatrist and author was quoted as
saying “let’s look at the science and not the politics,” since there was “strong anecdotal
evidence that ecstasy, more than any legal drug, can help stress-disorder sufferers confront
the traumatic event that led to the condition.”

A 2009 Townsend Letter article regarding an application to make MDMA a prescription


medicine, with American FDA cooperation, reported results from a 2008 phase-2,
randomized, double-blind, placebo-controlled clinical trial conducted by South Carolina
psychiatrist Michael Mithoefer. 92% of MDMA group participants in the Mithoefer study
showed decreased levels of PTSD scale scores of 30% or more, compared to 25% of placebo
group participants who showed similar reduction in PTSD scores. Townsend Letter (2009)
stated that no adverse effects were observed in any participants in the Mithoefer study, and
that September 2002 reports that MDMA causes dopamine toxicity and possibly Parkinson’s
had since been proven invalid. Townsend Letter (2009) printed that MDMA therapy studies
have been ongoing recently in Israel and Switzerland. Multidisciplinary Association for
Psychedelic Studies (MAPS) also conducts clinical trials with ecstasy and other
hallucinogens. MAPS’ director of operations and clinical research associate said “MDMA
works in therapy because it decreases defensiveness, enhances emotional closeness and
empathy, reduces fear associated with emotionally-upsetting thoughts, [and] often contains a
strong spiritual component,” according to Townsend Letter (2009). ยาบ้ า in clinical
psychiatric trials has been proven to actually aid in reduction of “crazy” syndrome(s), rather
than induce “craze” under clinical therapeutic conditions like the most commonly used Thai-
language name for methylenedioxymethamphetamine (“yaa-baa”) suggests the drug might
induce exclusively without any medicinal or outlier effects.

Psilocybin, found in “magic mushrooms” was found to be an effective treatment of


Obsessive Compulsive Disorder by Dr. Francisco A. Moreno from the Department of
Psychiatry at the University of Arizona (Clinical Psychiatry News 2007). A 2006 Johns
Hopkins Medical study found that psilocybin mushrooms produced positive psychological
effects, with more than 60% of trial subjects reporting a “full mystical experience,” one-third
of the test group claiming the psilocybin ingestion “experience was the single most spiritually
significant of their lifetimes,” more than two-thirds rating the experience “among their five
most meaningful and spiritually significant of their lifetimes,” and 79% of subjects reporting
moderately or greatly increased well-being or life satisfaction compared with the placebo
group two months after the trial. The majority of test group participants in the Johns Hopkins
study said “their mood, attitudes and behaviors had changed for the better” after ingesting
psilocybin.

Somehow the psychiatrists and clinical laboratory scientists have been placed lower on
the totem poles than police, misinformed parents, politicians and medical-scientific
laypeople. This author has chosen to adhere to the advice of Dr. Julie Holland (Time 2001)
rather than jump on the bandwagon of paranoid drug police and active soldiers in this
ongoing international war on drugs. Pursuit of accurate, fair, and comprehensive reporting of
good science, including statistically significant outliers like the medical studies presented in
this report, rather than propagation of war-time grandiose absolutist opinion, has proven to be
the overwhelming compelling interest to this author in this advanced age of science and
communication. Sufficient evidence contradictory to popular rhetoric regarding illegal drugs
has been presented by professionals of the utmost credibility, whose work has been approved
by the American and other governments, and this author has taken a conscientious objector
position in this long, drawn out and now more than ever misguided War on Drugs.

Afghanistan, the world’s poorest nation, exported US$80 billion worth of heroin in 1999
(The Middle East 2002). According to The Middle East in 1999, a United Nations Drug
Control Programme estimated that 75% of all opium then in circulation on earth, about 6,000
metric tons, was produced in Afghanistan. British Prime Minister Tony Blair was quoted in
another Middle East (2002) article as saying that 90% of the heroin which came into the UK
prior to the American-led invasion of Afghanistan was financing the Taliban. The UNDCP
was quoted as estimating that 90% of all heroin in Europe was coming from Afghanistan
(The Middle East 2002). By 2010, according to the Associated Press and USMC 2nd Lt.
Doug Toulotte in Afghanistan, the Marines had “gotten pretty good at telling the [poppy]
farmers, ‘Don’t worry, [the USMC is] not going to burn your opium crop’.” The farmers
were making US$300 per kilogram of raw opium in 2002 according to The Middle East,
which was ten times the revenue of wheat, and the trade still serves as part of a very low-
income sufficiency lifestyle rather than the extravagant ones that some traffickers live.
Australasian Business Intelligence (2003) estimated the opium-related trades made up about
half of the Afghan GDP, giving little reason for locals to discourage growing and selling
drugs. According to the UN, Afghan opiate use doubled between 2005 and 2010 (Vogt
2010).

The Economist (2004) stated that an unnamed Laotian development specialist, a


Vientiane-based Ambassador and western embassies had recently advocated a less active
drug war in Laos in order to help the Hmong, Akha and other hill tribe people who make up
40% of the national population and depend on the non-licensed cultivation and trafficking of
the World Health Organization “essential medication” for their basic survival in the changing
economy. Laotians argued that international drug policies are unfair to natives of their region
since farmers in India and Turkey, for example, benefit from opium cultivation without being
hassled by international authorities.

IPR Strategic Business Information Database (2000) printed that Turkish Minister of
Agriculture and Rural Affairs Husnu Yusuf Gokalp said “Turkey does not have any problems
with its poppy production. [The farmers] are producing 31,000 tons each year” and were
paid well in Turkish Lira for their production of opium for pain relief drugs.

Farmers Weekly (2001) reported on farmers from Hampshire, Britain who were issued
licenses by the national government to produce 740 acres of opium poppies. Farmers Weekly
printed that global legal opiate production exceeded 235 tons in 1999-2000, when more than
half of the world’s legal morphine was produced in Tasmania, Australia. Men’s Health
(2005) reported on Australian scientists who discovered a variety of poppy plant without
addictive chemicals thebaine and oripavine, thus making the new poppies produce the
painkilling benefits of opium with none of the classic opium addictive qualities. The British
Medical Journal (1992) printed a study conducted by Dr. Attard et al which concluded that
“the early administration of opiate analgesia is both safe and effective in patients presenting
with significant abdominal pain.” Geriatrics (1996) confirmed the results of previous studies
and stated that “an opioid analgesic is a safe, effective treatment” of arthritis. Several
abdominal and arthritis pain relief drugs are available over the counter without prescription.
These controlled laboratory studies, government licensing programs and research related to
the opiate drugs suggest that politics rather than science is the only driving factor behind
current laws and the opioid drug wars, which have cost thousands of lives in careless
handling of politically-motivated violence against unarmed, non-combatant citizens among
cartel members and assorted gangsters.

Trocki (2002) in the Journal of Southeast Asian Studies posited that Chinese opium
farming in the 19th century A.D. served as the basis for the first capitalism in the Southeast
Asian region, which did not exist before the colonial period in SE Asia. 12,000 troops from
the defeated and exiled Kuomintang fled from China into Burma after 1949, where they
started trafficking drugs, smuggling jade, antiques and consumer goods (Geographical 2009).
Another 4,000 KMT soldiers migrated to northern Thailand by the 1960s where they were
kept in secret by Thai authorities and helped fight off the guerrilla communist raids. In Mae
Salong, Thailand, tea now grows where opium poppies once grew, and remaining ‘Lost
Army’ soldiers like General Lue Yu Tian now welcome tourists to Westernized resorts. Up
north, the communists have the fastest growing economy in the world in the PRC, which is
expected by many experts to be the most powerful economy in the world before mid century.

Ken Dermota recalled a 1993 letter that Pablo Escobar sent to him in which Escobar said
“If there are no consumers, there are no traffickers” (World Policy Journal 1999). Dermota
entitled the article “Snow Business: Drugs and the Spirit of Capitalism” and closed it with “a
coherent drug policy must begin with the premise that trade in drugs is still trade.” Certainly
any free-market capitalist financier, stock broker, banker, analyst or other white collar
executive can understand the concept of a profit margin and opportunity to make money.
Jealousy for easily-made cash and spite for the greater opportunity in an unskilled trade than
in most sects of professional practices can swiftly move a person from advocacy of capitalism
to militarism if Dr. Holland’s (Time 2001) advice is not heeded and politics are paid more
attention to than sciences.
“The drug trade is, in brief and hopefully not too oversimplified terms, an aspect of
capitalist enterprise,” said Brant in Monthly Review (1990). George Soros, Newsweek (1997)
printed, is a billionaire refugee of communism and Nazism who has given millions to
decriminalization efforts and drug studies. “You need education, and better relations between
parents and children,” said Soros, “but you can express all the social opprobrium you need
without criminalization. There is a totalitarian mentality [in the US] with regard to drugs.
[Soros has] engaged against that mentality in other countries, and [Soros has] decided to
engage it [in the USA].” Soros and many other philanthropists, scientists, social activists and
free-market capitalists have taken up the cause of ending the drug war, arguing that the
primarily American and British led actions “[are] refusing to recognize the fact that the policy
is doing more harm than the drugs themselves” (ibid).

Despite the reports from credible and very wealthy sources condemning the drug wars
and linking the drug trades to capitalism, the Americans especially have consistently found
the drug war as cold war and post cold war tool to fight communism. Whether in Peru (US
News & World Report 1989), the golden triangle (Contemporary Southeast Asia 2009),
Nepal (Xinhua 2007), Colombia (EFE World News Service 2004) or elsewhere, the United
States military and intelligence has consistently threatened communism and the drug trade
together under the War on Drugs strategy. The American anti-drug and anti-communism
missions have proven unsuccessful in many aspects though. Recently Ecuadorian President
Correa, with overt support from Hugo Chavez of Venezuela and covert support from the
FARC in Colombia, has started a war against capitalism (National Review 2009). American-
made contradictions in ideology, conflicts between theory and pragmatism, foreign corrupt
practices gone unchecked at companies like Chevron and Texaco, greed, private and public
tyrannies (Chomsky 1997) have created real problems abroad with legitimate argument to
back up opposition to the American models of justice, capitalism, and especially of
international law. One has to wonder if threatening people’s livelihood from drug trade
incomes is benefitting neighbourhoods, children, families and overall quality of life after such
long-term and consistent anti-American, anti-capitalist anti drug-war actions have been taken
up by individuals and groups like Mexico’s Revolutionary Popular Army, which had also
declared a “prolonged war against capitalism” (EFE 2001). At a certain point, many
American military policymakers have to realize that the impression felt in the foreign world
is that American capitalism and justice means only that poor people in Mexico and elsewhere
are not allowed to make money.

The behavioral truth in the ongoing philosophical battle over drugs is simple: people like
drugs and need money. With the drug trade, impoverished communities get both things
which bring them pleasure, and the present-day pains which gun battles bring are often
thought to be a product of the criminalization of the drugs – pains that would be relieved or at
least minimized with legislative changes like those billionaire currency trader and hedge
financier George Soros has spent millions advocating. The sad truth of this matter is that if
politics is a science as so many university degrees suggest, it is very often a faux science or a
very bad science given the large quantities of evidence against the drug wars and for the
decriminalization and regulation of the drug trades, and the fact that politicians are not
following the ethical lead of the general scientific community but instead seeking to discredit
their own people time and again, thus self-destructing like one of their bombs they’ve spent
so much money on. There is virtually nothing that links drug trafficking or cultivation and
processing exclusively to communism just like there is insufficient evidence that imperialists,
capitalists, American or not actually oppose communism given the trade deficits to the
People’s Republic of China, a nation led by a communist party funded in large part by
American money.

The Washington Post is considered one of America’s politically liberal news


publications, with an office in the nation’s capital of Washington D.C., and published a report
in 2007 entitled “The Lost War: We’ve Spent 36 Years and Billions of Dollars Fighting It,
but the Drug Trade Keeps Growing,” suggesting that popular opinion even in the American
capital is that the mission is a failure, too costly and inconsistent with real life needs, wants,
and conservative economics. Misha Glenny in the Washington Post article (2007) compared
the problems with coca to the problem started when Westerners gave alcohol to indigent
people during colonialization “as a form of social control.” Glenny, a former BBC reporter
continued, “In the UK, the UN registered in 2002 that 70% of crimes were committed by
drug users in pursuit of money to buy their illegal substances. The great bulk of this casual
crime would simply disappear overnight with legalization. However, it would be absolutely
critical to make everyone aware that anybody caught using narcotics in anti-social fashion,
i.e. driving under the influence or provoking violence, would be locked away for a long time.
There will certainly be enough prison places because most jails will be emptied if narcotics
were legal.” Home Office statistics from the UK in the same period as the UN registered
statistics which Glenny cited suggested that the UN 70% statistic was inaccurate.

Speeches like that Glenny gave, which are published in credible journals in the English-
speaking world, give merit to the cause of legalization of drugs and are protected by free
speech laws, though also create a longstanding social conflict due to the effects on the psyche
these reports and ideas represent. Without action by Congresses and a general acceptance by
publics of these professional and science-based messages, the people of the Western world
can inadvertently give credit to suppression initiatives and anti-free-speech laws in places like
Communist China, which are contested by human rights advocates and Western
governments. In these extremely difficult and complex political matters, which may have
been started in delusional periods of judicial rule like that of American Supreme Court Justice
William Rehnquist through the first ten years of the Nixon-initiated War on Drugs
(Washington Post 2007), it might easily appear as though the “truth” is as much of a problem
as the “lies,” and thus in order to alleviate the effects of a very volatile theory-pragmatism
conflict, it is likely to seem appropriate to some or many to simply repress feelings that again
change is best, suppress information contrary to the spoken governmental status quo, and stay
the course which has been the law for the past 40 years or however long it has been. Without
action to actually bring behavior and beliefs, comprehensive facts regarding the issues to a
resolve, and make the internal and external fundamentally similar, make law and practice
reflect academia and scientific theory, the system loses credibility due to a split personality of
sorts, and that flawed government logic known among the lowest classes in the general
population only escalates the troubles between the private and public sectors when they might
easily be taken care of should the Congresses, police, judges and others simply enact a
singular rule among themselves, in the schools, in the media, among the doctors and use
consistent, stable methods of social control, business regulation, litigation, adjudication,
rehabilitation, etc.

Canadian Dimension (1992) reported on a book entitled “Cocaine Politics: Drugs,


Armies, and the CIA in Central America,” written by Canadian English Professor Peter Dale
Scott and journalist Jonathan Marshall, published by the University of California Press, in
which the American Central Intelligence Agency was charged with “facilitating the flow of
cocaine and marijuana into the United States.” Scott and Marshall argued that “wherever the
US conducts major cover operations in areas where drugs are grown, the US becomes
involved with the authorities who are involved with the authorities who are involved with the
drug traffickers.” Popular Mel Gibson Hollywood film “Air America” (1990) depicted
American CIA and military personnel smuggling opium in SE Asia, prompting the CIA to
make an official denial of such claims on their website (CIA 2008). Yet still independent
reporters, authors, scholars, former government personnel, Hollywood filmmakers, attorneys
and others have presented several reports which consistently implicate the CIA and other
American military units in the drug trades in France, Indochina, South and Central America,
Afghanistan and wherever drugs are bought and sold, grown and on the black market.

In 1996 former Los Angeles Police Department narcotics officer Michael C. Ruppert at a
South Central Los Angeles town hall meeting disclosed to the public on camera that the
Central Intelligence Agency had, in fact “dealt drugs in [the USA] for a long time.” Ruppert
referred to three specific CIA agency operations known as “Amadeus, Pegasus, and
Watchtower,” in front of the town hall and CIA Director John Deutch. Numerous YouTube,
independent internet sites and award-winning documentary “American Drug War: The Last
White Hope” (Booth 2007) feature footage and transcripts from the disclosure, which left
Deutch startled, yet not surprised. Booth’s 2007 documentary also features attorneys,
activists, police, Orange County Superior Court Judge James Gray, New Mexico Governor
Gary Johnson, Congressman Dennis Kucinich, and private citizens testifying to their beliefs
that drugs should be legalized, addicts should be treated, and the Drug War has failed in
several dimensions. Ruppert also exposed the Central Intelligence Agency in “CIA and Drug
Running” (1997) which is available on Google Videos along with several other
documentaries featuring public officials and credible sources.

American police and other government personnel have been a major part of the supply
chain in smuggling and distributing illegal drugs in the United States. Among many other
cases involving government agents over the past 39 years of the Drug War, an Indianapolis
Indiana reserve police officer was arrested on suspicion of conspiring to distribute more than
200lbs of marijuana over four months (The Indy Channel 2007); Cpl. Jamie Buford of the
South Bend Indiana Police Department faced drug charges as part of a federal indictment
(Stowe 2007); Henderson Kentucky officer James Morgan was federally indicted on 27
felony counts of obtaining a controlled substance (Smith 2008); St. Louis Missouri veteran
police officer Reginald Williams was indicted on federal charges of crack cocaine trafficking
(Shinkle 2004); Jacksonville Florida Police Athletic League officer Daniel Rochford was
indicted by a federal grand jury for conspiring to distribute cocaine (Schoettler and Sweeney
2000); Memphis Tennessee police officer Lowell Duke was indicted on federal drug charges
in connection with a “significant” drug organization (Lewis 2009); four other Memphis
Tennessee police officers were indicted in a drug investigation (Dudding 2009); LSU police
sergeant Jeremy Strickland was indicted on state drug charges for possession with intent to
distribute methamphetamine and cocaine, and being a principal to the distribution of between
200 and 400 grams of the date rape drug GHB (KPLC 2004); Loredo police officer Orlando
Hale was arrested by federal authorities on drug trafficking charges (Pro 8 News 2010);
Niagara Falls New York police officer Ryan Warme was federally indicted on ten counts
including drug trafficking (Holmes 2009); a former Durham North Carolina police officer
was indicted on federal drug charges (Hartness 2010); Customs and Border Protection
inspector Sergio Lopez Hernandez was convicted of drug trafficking (FBI/DOJ 2009); New
York City police officer Darren Moonan was charged with conspiracy to distribute narcotics
and conspiracy to commit robberies of drugs from narcotics traffickers (FBI 2007); United
States Probation Officer Armando Mora was arrested and charged with drug trafficking and
receiving bribes from a drug trafficking organization (FBI 2009). An America soldier was
“beaten within an inch of his life” after telling authorities about illicit drug use among US
soldiers and about the deaths of 3 civilians in South Afghanistan, American officials said
under condition of anonymity (AFP 2010), which suggests that maybe not much has changed
with American military habits when at war in opium-producing regions since the Vietnam
War prompted the start of the Drug War. Even without convictions, the number of cases of
law enforcement agents involved in drug trafficking and suspected to be involved in drug
trafficking by their peers, colleagues and coworkers suggests a breakdown in the system of
the fraternal orders of the agencies, and depicts a system full of double standards, threats,
crime, ignorance and cover-ups. The high drug-related arrest rates in the USA are thus no
doubt partially due to police departmental and interdepartmental attempts to reduce the
salience of their part in the drug trade among citizens, and the elevated levels of
commitments to the Drug War by police departments are thus no doubt of partially
dishonorable intention and made in attempts to deter public attention from internal
government criminal behavior.

The United Nations Office on Drugs and Crime released a World Drug Report in 2005
which stated the total amount of cocaine available for consumption in 2003, after a 44%
seizure rate, was 377 metric tons worth over US$29 billion using American retail price per
gram as a standard. The United Nations offered very low estimates of cocaine annual market
value when compared to private publications, as was the case with the global combined
illegal drug market estimates. Time (2009) stated US cocaine consumption alone to be a
US$70 billion annual industry, composed of 6 million users who consume between 259-447
tons of cocaine each year. Time (2009) reported a growth in cocaine consumption in the
USA since a RAND (1994) report, which said the annual consumption was worth US$38
billion, and according to the UNODC (2005) report, the prices per gram had decreased
significantly during the period. U.S. News & World Report (1984) printed that the American
cocaine habit then was valued at US$50 billion annually. With trade volumes like these over
long time frames, it should be noted that the United States has likely helped develop capitalist
market structures in Central and South America with the cocaine trade like the Chinese once
did in South East Asia with their opium trading.

Washington D.C. Mayor Marion Barry, who was filmed by the FBI smoking crack (The
Economist 1992), was a notable customer in the early 1990s cocaine market. One-time
General Motors Presidential hopeful John Z. Delorean was arrested in Los Angeles with a
suitcase full of “good as gold” cocaine in 1982, though he was acquitted of charges using an
entrapment defense, which worked for him despite the video tape he was caught on
attempting to sell US$24 million worth of good-as-money cocaine (AP 2005) to finance a
new auto venture. The Journal of Toxicology (2000) printed that George Washington used
cocaine for his tooth pain; 8,000 physicians, 16 Heads of State and 3 Popes endorsed coca
leaves in wine; Parke Davis sold at least 15 products containing cocaine.

US Army Lt. Col. David P. Brostrom (1997) wrote in a paper for the U.S. Army War
College that “the United States international drug policies have not been able to produce
evidence of success. American taxpayers have spent [as of 1997] about US$30 billion a year
on domestic and international drug control,” Brostrom continued, yet “in 1993 Americans
spent US$31 billion on cocaine.” Brostrom’s quoted US$30 billion amount is approximately
twice the amount reported by the White House in 2009. Brostrom (1997) continued, “In
1972, total annual U.S. cocaine consumption was less than 50 metric tons as compared to
1992, when U.S. annual consumption increased to approximately 300 metric tons,”
suggesting that increased budgets and activities in the War on Drugs had not accomplished a
reduction in cocaine available. US Drug Czar Gil Kerlikowske said “[the drug war] has not
been successful” (Mendoza 2010), but still worked out US$15.5 billion for the 2010 drug war
budget which many are obviously likely to consider a waste of public funds at this point.
Founder of the International Center for Science in Drug Policy, Evan Wood (Oleksyn 2010),
echoed that very point in saying “the current approach to drug policy is ineffective because it
neglects proven and evidence-based interventions, while pouring a massive amount of public
funds and human resources into expensive and futile enforcement measures.” Wood
concluded of the US$1trillion, 40 year-old drug war, “It’s time to accept the war on drugs has
failed and create drug policies that can meaningfully protect community health and safety
using evidence, not ideology.”

Other credible sources like University of Massachusetts researcher Yuegang Zuo


indicated that approximate U.S. consumption of cocaine in 2009 still totaled over 440 tons
(O’Callaghan, Time 2009) despite lower estimates from the UNODC, and this consumption
is after a little less than half of the payload is seized. “Our current strategy,” Brostrom
continued in 1997, “is costly and inefficient.” Brostrom stated that a then-recent study found
that treatment and prevention programs, which had total costs at about 5% of interdiction and
source country policies, could have been implemented to achieve the same reductions in
cocaine consumption as were being achieved with the “inefficient” military/DEA strategies.
Harvard International Review (2003) stated “treatment of heavy users is three to twenty
times more cost effective than all over antidrug strategies.” While the Mexican Army is
generally assumed to be involved in drug trafficking (Atlantic 2009), the CIA and American
military personnel portrayed in films and in literature, accused by former narcotics agents as
also being involved in drug trafficking, and the American Army War College releasing
reports stating that the Drug War is failing, it certainly is difficult to justify support of the
American budget expenditures in the War on Drugs.

The priorities of nations like Bolivia and Venezuela are clearly tradition, harmony with
the common laborers, proletariat, and farmers including coca growers rather than with
international executives, financiers and industrialists of the modern ages, and hence the low
total economic outputs when compared to the US and EU. Bolivian President Morales urged
the UN Commission on Narcotic Drugs in Vienna to reverse the 1961 decision that
categorized the coca leaf as a narcotic, reportedly also chewing coca leaves at the conference
to applause (EFE World News Service 2009). Bolivian and Peruvian laws were stated to
permit cultivation of nearly 30,000 acres of coca bushes for traditional uses, similar to peyote
allowances made to American Indians. According to the Miami Herald (2008), Venezuelan
President Chavez said “[Hugo Chavez] chew[s] coca every day in the morning.” Chevez
reportedly snubbed alcohol and said Bolivian President Morales “sends [Chavez] coca
paste…[Chevez] recommend[s] it.” Sovereignty should dictate that these men and their
nations have the right to create and enact their own laws outside of the jurisdiction of the
United States, EU, NATO, United Nations, or any foreign body, which means they should
not be punished for not cooperating with the UN or US since the UN and US clearly do not
cooperate with Venezuela or Bolivia. “Equal rights and self-determination of peoples” are
purposes of the United Nations stated in Charter Article 1 (UN 1945).

Evidence of the positive benefits of cocaine use is primarily anecdotal, and the
destructive, negative effects are widely publicized as are the negative effects of other drugs,
including legal drugs. One study available on Infotrac-College stated that club, rave dance
festival, electronic music disco, concert and bar-goers use illegal drugs with alcohol or
among alcohol users to varying degrees depending on the location and type of event. “These
drugs are perceived as positive contributions to the experience by some club attendees,”
Miller et al (2009) published in the Journal of Studies on Alcohol and Drugs. Several high-
profile celebrities arrested for possession of cocaine or crack, like Lindsay Lohan (MTV
2009), Boy George (BBC 2005), Coolio (MTV 2009), Kim Mathers (MTV 2003), Steven
Page (BBC 2009), Bob Probert (SI 1989), Lil Wayne (Reuters 2008), DMX (AP 2008),
Daniel Baldwin (AP 2007), Robert Downey Jr. (L.A. Times 2000), Tatum O’Neal (AP 2008),
MacKenzie Phillips (Reuters 2009), George Michael (MTV 2008), Sly Stone and George
Clinton (Rolling Stone 2006), Cameron Douglas (Reuters 2009), Jodie Foster (NY Times
1983) and Tim Allen (Reader’s Digest 2001) among many others who have been admitted
cocaine users or addicts like Kirstie Alley (e.g. Kaufman 1987), suggest that cocaine use is
highly correlated to pop-culture, socialite lifestyles, wealth, creativity and its users have
enormous crowd appeal.

As evidenced by the size of and large discrepancies between estimates in total cocaine
market value, like with all illegal drugs, the untraced income from drug trafficking is a very
large and difficult to estimate figure. Unrecorded income poses several social threats that
individual overdoses, small-scale militant skirmishes, suicide and general immorality do not.
Large untaxed incomes and unreported incomes in cash-only markets like those in the both
the developed and developing world can lead to threats of hyperinflation, stagflation,
economic chaos if not collapse and currency instability in regions which rely solely or
primarily on drug trades, and these threats can be due to abnormal secrecy regarding cash
stores, savings and income. Bankers offer money laundering services at rates of 30% or more
(Harvard 2003), and according to Thomas Fowler in the 1996 Journal of Policy Modeling, it
“is not realistically achievable” that enough laundered money could be seized to put
trafficking organizations out of business. The US Justice Department estimated that only
.16% of the total money smuggled between Mexico and the US is seized, and legal loopholes
like those regarding transfer and travel of anonymously-loaded prepaid stored-value cards as
opposed to cash allow global money laundering to operate 2-5% of the world’s GDP
according to the International Monetary Fund (Debusmann 2010), which means that illegal
trades make up twice or more that amount given that launderers do not handle legal incomes
and since not all criminals launder their incomes. The perpetrators of laundering crimes take
on many appearances, too, from the Wachovia bankers to seemingly harmless Angel Toy
Corp. executives (Watkins 2010). The total percentage of the world economy that illegal
trade and laundering represents makes the cause of eliminating that market activity entirely
very difficult to rationalize.

Harvard International Review (2003) remarked that “most of the social costs associated
with drug use are due to morbidity and mortality, not crime,” and thus the money lost to other
businesses, money spent out of families and communities, the price-value of the cocaine and
other illegal drugs becomes a more realistic cause of the fierce hatred of drugs and their users
than other mentioned correlative crimes. Harvard’s conclusion appears to contradict the UN
estimate cited by Glenny at the Washington Post (2007). The AP reported in 2009 that
Mexican President Felipe Calderon declared poverty was his top priority rather than drugs.
Calderon said “[the government’s] objective from here on is to greatly reduce poverty…the
cannon fodder comes from the poorest sectors of society, and so [the administration] think[s]
it is very important to focus on [poverty].” The AP also reported in 2009 that authorities
related to the US Treasury only seize 25 cents of every US$100 in the US-Mexico drug trade,
missing about US$25 billion annually, which is close to the .16% Debusmann (2010) seizure
figure. That smuggled money, “in their shoes, tape[d] to their torsos, stash[ed] under
dashboards – or just wire[d] electronically to Mexico,” (AP 2009) has to be protected and
spent in impoverished communities much differently than legally-earned money, and so the
economic conditions piddle around in a bit of a dream with the drug lords, gangs and runners
who create the false image of joblessness and extreme poverty among themselves to avoid
attention. The amount of money which is estimated to be the income of drug lords, kingpins
and full-time drug dealers is very significant and substantial. Billions of dollars in the
accounts, pockets, safes and hands of uneducated criminals is certain to distort the general
culture of wealth, the perceptions of elite classes, and the status quo among people with large
holdings. These untraceable incomes affect pricing and inflation in the communities and
national currency stability.
If the United States Central Intelligence Agency and/or military has been involved in
trading illegal drugs, it would not be the first time they were knowingly and willingly
distributing now-illegal Schedule I drugs. In the 1950s, the CIA embarked on a mission to
control the American public mind (Discovery 2010). “The combination of hypnosis, shock
therapy and drugs like LSD and Ketamine made this seem a possibility, and were
investigated in a mind control research program called MK-ULTRA,” The Science Channel
(2010) printed. The project, headed by Sidney Gottlieb, was terminated since the drugs did
not induce predictable enough states in patients, and in 1973 most of the files were destroyed.
The Science Channel stated that in January 2007, a class action law suit was filed by former
psychiatric patient guinea pigs against the Canadian government, which also conducted MK-
ULTRA research.

MK-ULTRA was a very secretive program as evidenced by one CIA reviewer’s notes –
“Precautions must be taken not only to protect operations from exposure to enemy forces, but
also to conceal these activities from the American public in general. The knowledge that the
agency is engaging in unethical and illicit activities would have serious repercussions in
political and diplomatic circles” (Discovery 2010).

The New York Times (2010) online provided a .PDF file copy of a United States Senate
Committee on Human Resources Joint Hearing before the Select Committee on Intelligence
and the Subcommittee on Health and Scientific Research from 1977. Senator Kennedy (p2-
3) stated that “the Deputy Director of the CIA revealed that over 30 universities and
institutions were involved in an ‘extensive testing and experimentation’ program which
included covert drug tests on unwitting citizens ‘at all social levels, high and low, native
Americans and foreign.’ Several of these tests involved the administration of LSD to
‘unwitting subjects in social situations.’ At least one death, that of Dr. Olsen resulted from
these activities. The Agency itself acknowledged that these tests made little scientific sense.
The agents doing the monitoring were not qualified scientific observers. Other experiments
were equally offensive. For example, heroin addicts were enticed into participating in LSD
experiments in order to get a reward – heroin. Perhaps the most disturbing of all was the fact
that the extent of experimentation on human subjects was unknown. The records of all these
activities were destroyed in January 1973, at the instruction of then CIA Director Richard
Helms. In spite of persistent inquiries by both the Health Subcommittee and the Intelligence
Committee, no additional records or information were forthcoming. And no one – no single
individual – could be found who remembered the details, not the Director of the CIA, who
ordered the documents destroyed, not the official responsible for the program, nor any of his
associates.” New records were then discovered and submitted to the Senate. “Eighty-six
universities or institutions were involved. New instances of unethical behavior were
revealed. The intelligence community of this Nation,” Senator Kennedy continued, “which
requires a shroud of secrecy in order to operate, has a very sacred trust from the American
people. The CIA’s program of human experimentation of the fifties and sixties violated that
trust.”

A Youtube.com video entitled “Space Cadet” featured British soldiers undergoing LSD
testing. The men appeared to have been having a good time.
GP (2006) was one of several agencies and journals which reported on a 1960s
Saskatchewan, Canada trial which showed that LSD is an “effective cure for alcoholism.”
University of Alberta, Canada researchers reportedly followed up on participants of the LSD
trial, who said “LSD made them view their alcoholic behaviors differently,” and that the
“treatment helped them quit drinking.” That is proof enough for this researcher that there are
certainly two sides to this very tangled, complex (Yolles 2009), yet bounded story.

Conclusions on Illegal Drugs

While we should advocate legally compliant behavior only, we must also be mindful of
the flawed nature of our laws, and that the judicial laws do not reflect the general archetype
of scientific laws in that there are nearly always outliers, exceptions, and exclusions in the
legislated laws. Employees and customers alike have personal lives and deserve privacy as
they so desire it, just as the population has a basic human right to know about and understand
the latest medical scientific breakthroughs, and could potentially argue rights to access to
banned substances which double as psychiatric drugs under the International Covenant on
Economic, Social and Cultural Rights Article 12 (UN 1966). Police, prosecutors, parents,
outspoken religious figures, administrators, bosses, judges and politicians have for the past 40
years or more made the drug issues appear very simple, very one-sided and very absolute.
The real truth is quite a lot different than what has been taught at public schools and televised
on national networks. As professionals, adults and intelligent people, we should take the
entire truth into account and go about our daily lives at work, at home and elsewhere with the
facts, which consist of conflicting opinions, in mind.

Human Trades

“The oldest profession in the world,” as prostitution is sometimes called whether or not it
actually is the oldest profession, has been essentially unstoppable worldwide despite law
enforcement, moral and ethical political campaigns, and religious fervor. It is safe to say that
every big city on earth has a quantifiable presence of full-time prostitutes. The other criminal
elements to the trade, aside from a few outlier prostitutes who commit non-sex-related crimes
themselves, are mainly correlated to rather than caused by prostitution. Criminals of all sorts
are a part of the general profile of johns in many red light districts, while in other brothels,
bars, black books and districts the customers are members of wealthy elite classes. Failures
of legal restrictions related to prostitution and some compelling economic interests on behalf
of the females and racial minority impoverished classes of people who work in this trade
have opened up room for debate about this ancient profession. While traditional moral,
public health, psychological wellbeing, and religious concerns are better satisfied with
prohibition of legalized, regulated or decriminalized prostitution, pragmatists can easily argue
the opposition, leaving very little consensus on this matter.

Former New York State Governor Eliot Spitzer and Britain’s Duke of Westminster were
ousted as the organizers of a prostitution ring called the “Emperors Club VIP” (Huffington
Post 2008). Following the Federal investigation into Spitzer’s involvement, the New York
Republican State Party called for the governor to step down (NY Times 2008). Spitzer was
well-known for his pursuit of Wall Street “wrongdoing” prior to the prostitution incidents,
according to the NY Times.

Generally, American politicians and agents are encouraged to refrain from involvement
in the prostitution trades since the activities are largely illegal nationwide and worldwide.
Some violations of the general codes of conduct have been consistent among the personnel of
the American governments. Indianapolis Indiana Metro Police officer Jeremy Lee was
charged in a prostitution ring scandal with a former Marion County Indiana Sheriff’s
Department employee Jerry McCory (The Indy Channel 2008). Grant Park Illinois police
chief Scott Fitts was indicted by a federal grand jury on charges of running an online
prostitution scam (Meitrodt 2008). US Dept of Agriculture risk management agency
statistician Laurie McConnell was indicted on conspiracy to commit money laundering and
prostitution. McConnell reportedly ran an online prostitution business from her computer at
the USDA, suggesting she was not a very good statistician or risk manager (FBI 2009). Four
Memphis Tennessee police officers were indicted in a prostitution investigation (Dudding
2009). Former Austin Texas police officer Scott Lando was indicted on prostitution charges
(News 8 2008). Minneapolis Minnesota undercover police officer David Pleoger was found
to be guilty in a prostitution scandal that went before a three judge panel (Olson 2009).
Retired Louisville Kentucky police officer Roy Derry was indicted on federal child
pornography charges (Schnyder 2007). 17 senior staffers at the Securities and Exchange
Commission, who earned salaries up to US$222,418 per year, were found to have been
spending hours surfing pornographic websites on government-issued computers while they
were being paid to police the financial system, a violation of government-wide ethics rules
according to the SEC’s inspector general (Wagner 2010). A senior attorney at the SEC’s
Washington headquarters who resigned after the investigation spent up to 8 hours a day
looking at and downloading pornography, which he burned on CDs and DVDs and kept in
boxes around his office. An accountant who was suspended was blocked more than 16,000
times in a month from visiting pornographic websites, and still managed to bypass the SEC’s
internal filter and collected “very graphic” material on his work hard drive.

The American military men, too, have been consistent supporters of the prostitutes
worldwide for quite a long time. Army Sergeant Sterling Hospedales was charged with sex
trafficking of a child and attempted sex trafficking of a child (FBI 2009). Staff Sgt. Bryan
Damone Cunningham of the United States Marine Corps was arrested by California police on
charges of felony pimping and kidnapping of a 14-year-old girl to entice potential USMC
recruits (Huffington Post 2009). Cunningham was sentenced later that year (KTLA 2009).
In Utah, a Marine recruiter was accused of having sex with a 15-year-old girl based upon
digital images retrieved from a memory card by the girl’s father, which was the fourth such
case in the 13 months prior to Staff Sgt. Trevor Hooper’s arraignment in Salt Lake City
(Lamothe 2009). A retired Marine Corps captain was convicted by an American federal
court for drugging, bounding, beating and raping Cambodian girls aged 9 and 12 (ICE 2008).
A US Navy doctor was convicted of using a hidden camera to videotape Naval Academy
midshipmen engaging in sex acts (AP 2007). A US Navy chaplain was convicted of rape for
soliciting young female sailors for sex (AP 2009). Between 1989 and 1991 in South
America, West Africa and the Mediterranean, Dr. Malone et al from the US National Naval
Medical Center conducted a survey study which found that 42% of military respondents had
sexual contact with a prostitute during a six-month deployment (PubMed.gov 1993). The
United States’ first legal gigolo, “Markus,” was a United States Marine (AP 2010). Naval
recruiter Shane Allan Childers pleaded guilty to sex trafficking of a child (FBI 2009).
Criminal charges and sentences for sex crimes against US military personnel are neither a
new trend nor uncommon in reports, suggesting an organizational profile rife with sexual
immorality and crime.

In South Korea, a group of former prostitutes accused former government leaders and the
United States military of operating the sex trade between the 1960s and 1980s, when they
worked together to make sure the US troops had disease-free prostitutes near bases (NY
Times 2009). “Our government was one big pimp for the U.S. military,” said Kim Ae-ran.
The New York Times reported that both American and South Korean documents provided
some support for the women’s claims. According to Xinhua and the Korea Herald (2008),
more than 46,000 brothels disguised as bars, karaoke clubs, massage parlors, barber shops
and other businesses in Korea employed an estimated 269,000 prostitutes and made revenues
of US$13 billion, unrecorded in cash, in 2007.

The Rotary Club of Pattaya, Thailand (2007) printed that “the US Military based in
Thailand began to use Pattaya for rest and recreation (R&R)” during the Vietnam war, “and
bigger hotels and entertainment places and venues, including the oldest profession of them all
were built to cater for them.” The Kinsey Institute (Francoeur et al 2004) reported a
Limanonda (1993) study which explained that “the [Thai] sex industry proliferated during the
Vietnam War in the 1960s and 1970s. As military bases of the United States of America
were built up in Thailand, many women were induced into the entertainment and sex
businesses for American servicemen. When the war ended in 1976, tourism began to grow
and has become the largest source of foreign income. Meanwhile, commercial sex became an
inevitable part of the tourist attraction.” This study suggests that the sex trade in Thailand
today exists in large part due to American military occupation and activities within the SE
Asian region. In 2009, Davidson reported that the United Nations estimated as many as 70%
of the male tourists flying into Bangkok, Thailand intended on patronizing the sex trade.
“Sex tourism was a problem” in 2009 according to the US Embassy in Bangkok (2010).
Virtually every tourist industry worker in Thailand has sex-tourists as customers today.
However, police and other government officials have consistently found ways of actively or
passively supporting the continuation of the illegal trade. Boonchalaksi and Guest (1994)
quoted a senior police official who said “the rate of rapes and other sex-related crimes might
sky-rocket if [johns] find no place to satisfy their sexual desires” arguing against a ban of
illegal brothels. Boonchalaksi and Guest (1994) cited Skrobanek (1986) who found that Thai
prostitutes were highly valued in Europe because they were willing to work for lower fees
and because they were less emancipated than women of other nationalities. Japan and
Germany were renowned in the 1980s-90s as countries which had a “sex tour” package to
Thailand.
Marine Capt. Jamison Yi, in Stars and Stripes (2001), said “The sex industry is an evil
that pops up wherever U.S. forces deploy.” According the Stars and Stripes (2007), 17 year
military serviceman, 8th Security Forces Squadron Tech Sgt. Christopher Bowman, who
“posted a detailed guide to hiring prostitutes in the Philippines on a Yahoo chat group,”
pleaded guilty in a court-martial, was given a six-month jail sentence and a reduction in rank.
“The guide [on the Yahoo group] contained instructions for obtaining sex through bar fines,
or fees paid to bars for the right to take a woman outside,” said Stars and Stripes. Dozens of
other reports regarding “juicy bars” and prostitution related to US military occupation and
bases in foreign countries are available on the webpage of Stars and Stripes – “The
Independent News Source for the U.S. Military Community.”

The United Nations Economic and Social Council (2002) reported that “extensive
patronization of brothels by military personnel has contributed to the demand for
prostitution.” After re-addressing the Vietnam War era US military involvement in the
development of the international sex tourism industry, the 58th session of the UN
Commission on Human Rights (2002) reported that “even today, red light districts catering to
servicemen are located near almost every US military base in the United States, Germany and
Okinawa. On some occasions, military personnel have reportedly contributed directly to the
trafficking problem. Some US veterans stayed in the Philippines after their base closed to
work as procurers of young women for the sex tourism and military prostitution industries.
Identical incidents in Thailand indicate that some of the investors and managers of Thailand’s
brothels were Thai military officers.” This report brings suspicion to the annual “Cobra
Gold” Thai-American military exercises held in Thailand.

The American military involvement in the sex trade does not end in East Asia, however.
According to the Huffington Post (2008), a US military contractor from DynCorp died when
a “manager used an employee’s armored car to transport prostitutes…from Kuwait to
Baghdad.” The Huffington Post (2008) article continued, “two former employees of
DynCorp, the government contracting powerhouse, have won legal victories after charging
that the US$2 billion-a-year firm fired them when they complained that co-workers were
involved in a Bosnia sex-slave trade…”

The Washington Post (2004) reported on “U.N. peacekeepers [who] threatened U.N.
investigators investigating [150+] allegations of sexual misconduct in Congo and sought to
bribe witnesses to change incriminating testimony.” A U.N. report accused U.N.
peacekeepers of seeking to obstruct U.N. efforts to investigate 68 cases of alleged rape,
prostitution and pedophilia by the U.N. peacekeepers from Morocco, Pakistan, Uruguay,
South Africa, Tunisia and Nepal.

From Central and Eastern Europe to Kosovo (UN Chronicle 2001), to and from major
sources and destinations like Pakistan, China, Cambodia, Thailand and India, the United
Nations Population Fund (2006) reported that trafficking of prostitutes nets about US$42
billion annually (Times of India 2006). Times of India (2006) reported that South East and
South Asia had the largest functioning trafficking markets. An earlier International
Organization on Migration (IOM) report, however, made a much lower estimate of total
human trafficking market worth, at US$7 billion to US$10 billion annually, which was said
to be “the second largest generator of illegal funds” (EFE 2002).

In a book entitled “The Industrial Vagina: The Political Economy of the Global Sex
Trade,” Jeffreys (2009) found that in 2004, Filipino female ‘sex workers’ in Japan sent to
their families in the Philippines US$258 million. UPI (2006) found that 2% of French
university students have been involved in prostitution. ABI (2004) stated that Australians
spend about A$1.7 billion annually on sex toys, adult movies, magazines and prostitutes. In
Western Australia, the price of rent has been a primary cause of many young people’s
entrance into prostitution (ABI 2007). Brigham and Ehrhardt (2005) reported on The Daily
Planet Ltd., the world’s first publicly traded brothel, which opened in Australia in 2003. The
Daily Planet Ltd. offered 7.5 million shares of stock at A$0.50 and saw a first-day return of
118%. In the UK, 392 House of Commons legislators were told to repay funds from
excessive or bogus expense claims, some of which the MPs recorded trying to charge the
public for pornographic movies (Shanghai Daily 2010).

CNBC (2008) reported that high-end prostitutes make as much as US$25,000 for two
days of sex work, and can make annual incomes of more than US$500,000 from customers
who sometimes spend more than US$100,000 annually on sex. A stereotypical unethical
career maneuver for women is to engage in a sexual relationship with a male boss in order to
get a promotion, which Nicole Williams (CNN 2009) said is “essentially prostitution.” These
high incomes, advancements and benefits make morality and a diligent work ethic, pursuit of
higher education and legitimate professionalism appear to be of little value if we consider
one’s income representative of their comparative social worth. Some prostitutes make more
money than surgeons, cancer researchers, teachers, bankers, lawyers, engineers, and skilled
laborers who are essential to a functional society.

“Nearly a million people a year are trafficked across borders,” said John Prendergast
(2005). In 2001, the FBI estimated 700,000 women and children were trafficked globally
(PBS 2006), yet UNICEF reportedly estimated 1.75 million and IOM estimated 400,000. In
2000, the United Nations changed its trafficked women and children estimate from 4 million
to 1 million according to PBS (2006), which stated that the numbers are both in high demand
and very disputed, much like the situation with the global illegal drugs trade. The PBS
Frontline article stated that the US State Department in 2005 estimated that 600,000 to
800,000 people were trafficked across international borders annually.

According to Business Week, the European Commission estimated that in 2002 there
were 200,000 prostitutes (75% foreign-born) working in Germany, 80,000 (50% foreign-
born) in Britain, 50,000 (90% foreign-born) in Italy, 30,000 (60% foreign-born) in France,
and 25,000 (66% foreign-born) in the Netherlands. The Business Week (2002) article stated
that only EU citizens or immigrants with work permits could work legally in Dutch and
German brothels. oPrague Posto reported that a 2003 proposed law in the Czech Republic
would have had prostitutes and brothels pay fees for annual licenses which permit them to
operate legally, but not near government buildings, churches and schools (IPR 2003). In
Switzerland, Article 27 of the national Constitution states “Economic freedom is guaranteed”
and prostitutes defend their rights to be sex workers under Constitutionally-guaranteed
“freedom to choose one’s profession, and to enjoy free access to and free exercise of private
economic activity,” which male drug dealers are apparently not allowed to defend their rights
with. Swiss News (2007) reported that 14,000 women worked as prostitutes in Switzerland
serving about 550,000 males per year, adding revenue to the national economy of about SFr
5.5 billion. Prostitution has been legal and taxed since 1942 in Switzerland.

In Britain, an HM Revenue and Customs spokesman said “[Prostitutes in Britain] make


money. They should pay tax,” (Economist 2005) and with 5,000 women through 500
decriminalized or legal brothels, the tax collectors pick up a large sum of money for their
government.

The Miami Herald (2006) reported on a tax evasion prostitution raid at the Centro
Espanol club in Miami, Florida, USA. Police previously found US$1.4 million cash in a safe
at the brothel. Owners were charged with 51 counts of filing fraudulent State returns, living
off the proceeds of prostitution, money laundering, racketeering and other crimes. Elsewhere
in the United States of America, a Virginia woman admitted to underreporting her 2004
income by US$114,949 related to a prostitution business (Richmond Times-Dispatch 2008),
and faced tax evasion among other charges.

In Poland (Krakow Post 2010), the Office of Fiscal Control fined a female prostitute
about US$820,000 for tax evasion. The Polish prostitute spent more about US$4.37 million
in five years while claiming unemployment like several other prostitutes who have been
investigated recently.

Levitt, a University of Chicago professor, and Venkatesh, a Columbia University


sociologist conducted a study in Chicago, Illinois in 2008 which found that most prostitutes
make less than US$20,000 per year, which is near the poverty line in the USA (UPI 2008).
Prostitutes with pimps were found to make slightly more than prostitutes without pimps in the
study, though pimps took an average of 25% of the prostitutes’ earnings. The Chicago study
found that prostitutes spent about 3% of their work time servicing police officers to avoid
arrests. Despite the low mode average incomes of prostitutes, US Senator Charles Grassley
of Iowa sought the help of the Internal Revenue Service Criminal Investigation unit to
prosecute pimps and prostitutes who did not file W-2 forms (UPI 2006). The US Senate
Finance Committee Republican chairman from 2006 said “prosecuting these tax code
violations can get these guys off the street and yank from their grasp the girls and women
they exploit.” Prior tax-code legislation limited the scope of the IRS prosecutions to only
those cases in which they could prove a specific income, and thus prove a dollar amount of
taxes evaded.

The financial aspects of legalizing the sex trade are rather compelling to people who
consider morals subjective or a thing of the past. On the other hand, the disease risk
associated with prostitution is such that legalization and decriminalization pose a threat to the
public health. A Swiss Aids Federation (Swiss News 2007) spokesperson said that one in six
male prostitutes in Switzerland had HIV. The Coalition Against Trafficking of Women
(1999) published a Minneapolis/St. Paul American study which found that 85% of prostitutes
in their conservative region had contracted chlamydia, syphilis, gonorrhea, or herpes during
their work life in the sex trade. Violence, rape, pregnancies, fertility problems, and high rates
of psychiatric illnesses like depression, anxiety, eating disorders and post-traumatic stress
disorder were commonly reported among prostitutes (Brown et al 2006).

The Convention on the Elimination of All Forms of Discrimination against Women


(CEDAW 1979) Article 6 declares that “States Parties shall take all appropriate measures,
including legislation, to suppress all forms of traffic in women and exploitation of
prostitution of women.” Still many prostitution legalization advocates consider the CEDAW-
UN Article 11(c) “right to free choice of profession and employment” to be carte blanche
freedom in private work endeavors given to women similar to the Swiss Constitutional
Article 27. So compelling has the interest been in favor of prostitutes’ rights advocates that
the “CEDAW Committee has called for the decriminalization of prostitution in specific
countries such as China, where prostitution and trafficking in women and children are
rampant, [but] not for all countries in general” according to Amnesty International (2005).

Scores of articles not reported in this review are available on credible public internet
sites. Some studies and statistics depict prostitutes as having lives inextricably tied to
criminals and other crimes like murder. Charlize Theron’s portrayal of Aileen Wurnos in
“Monster” (2003), for example, evidenced the very intense sociopathic and psychopathic
personality disorders of some prostitutes. Reports showed prostitution organizations were
charged with tax evasion and other crimes like fraud, theft, and racketeering. Hence, this
issue is not without ideological conflict among international governing bodies, professionals,
experts, doctors, lawyers and skilled academic professionals.

UNICEF (2009) declared that trafficking children is a “violation of fundamental rights,”


and official policies worldwide support the rights of children to be protected from sexual
predators, traffickers and human rights abusers. UNICEF surveys indicated that 30% to 35%
of sex workers in the Mekong region of SE Asia qualified as children; 16,000 child
prostitutes were working in Mexico, especially in tourist destinations; and in Lithuania, 20%
to 50% of prostitutes were believed to be minors. A generally accepted age of consent or
legal working age for prostitutes was said to be 18. For nations, cities, districts and locales
considering decriminalization or legalization of prostitution, protection of under-aged males
and females is a very important issue and it is in the best interest of the community in general
to support anti-prostitution political agendas even in the presence of legalized prostitution.

Conclusions on Human Trades

The limited power of a researcher contributing to a journal or academic review makes


assertions, speculation, conjecture and rhetoric easy to produce in the theoretical and virtually
consequence-free environment of the paper-based social scientific study. This researcher
finds all illegal trades to be difficult subjects within which to form and hold a decisive
opinion. Personal, professional, moral, ethical, legal and social obligations of this researcher
conflict one another in matters of the sex trade given the highly emotional nature of sex and
its ties with romantic love. In the experience of this author, interpersonal commitments
related to monogamy, marriage, romantic commitments, and avoidance of sexual promiscuity
have proven to be, at least with theoretical and anecdotal evidence, of higher connection with
social psychological wellbeing than economic freedoms gained by violations of sexual
morals, ethics and laws have proven to be connected to such wellbeing. However, a
legitimate concern for the lives of inner city residents, young impoverished people,
immigrants, and citizens in developing and third world regions has been presented by
credible journals and organizations in favor of less restrictions and more regulations on the
prostitution industry in order to help people further develop their own lives, families and
communities with higher incomes where no other sources of such incomes are present.

On the matter of human trafficking, this author has found the habit and profession
absurd, disturbing and an outright abuse of human rights and laws. Several sources cited and
unmentioned in this review presented compelling argument suggesting that if the prostitution
trade were decriminalized, legalized, taxed and/or regulated, the human trafficking problem
would diminish considerably. Adequate models of regulation, advertising, recruitment and
ongoing legalized sex trades are present in nations like Holland, Singapore, Australia, the
United States of America, Switzerland, Germany and elsewhere in the industrialized world
which can be used as a guide to conduct regulations of operations elsewhere. This researcher
found insufficient evidence available for retrieval linking legalized prostitution with
increased levels of other crimes or prostitution itself. “The oldest profession in the world,”
however old it may be in reality, professional or not, is apparently here to stay whether legal
or not. Through more conscious controls of this trade, women can be more honest about their
incomes, men can live more transparent personal and professional lives, and the secrecy of
what goes on behind closed doors may fade enough to establish more trust among people at
work and elsewhere. Moral obligations are generally personal matters, and people should at
very least admit there are two sides, and an edge, to this very old coin.

Illegal Arms Trading

A popular bumper sticker in the USA reads “If we outlaw guns, only outlaws will have
guns.” The political tailgate message reveals a world in which criminals can purchase guns
outside of the scope of legal trade. Small arms were the “weapon of choice in forty-six of
forty-nine conflicts fought during the 1990s, causing more than 1,000 deaths a day,” and
while most shop owners who have guns at their work probably obtain their arms legally, the
United Nations estimated that illegal trafficking of guns amounts to US$1 billion annually or
more (The Humanist 2001). The threats to small business owners associated with illegal
arms dealing and untraceable weapons distribution throughout communities make the gun
trade a relevant topic to consider for the majority of business professionals during war or
peace time.

Robbers and revolutionaries pose significant threats to the micro and macroeconomic
environments by constraining trust given to strangers, restricting the free movement of goods,
services and people, disrupting the culture of wealth, and causing widespread fear such that
people are not as willing to spend money when they believe there might be catastrophic
economic conditions in the future, and thus feel compelled to save as much as possible while
also sometimes misrepresenting their total worth to friends, family and business partners.
Some of the threats are posed by government-related personnel such as France’s former
Interior Minister Charles Pasqua and French former President Francois Mitterrand’s son
Jean-Christophe Mitterrand, who were indicted along with 40 other people for trafficking
US$790 million in arms to Angola (Xinhua 2007), 79% of the year’s total market worth if the
UN estimate from The Humanist (2001) was correct, though UN estimates of total illegal
market volumes have been low in this study. A former executive for an Argentine state-
owned weapons factory claimed former US Ambassador to Argentina, James Cheek, helped a
Fine Air cargo plane get landing permits during an arms trafficking scheme in the early 1990s
(Miami Daily Business Review 2001). Cheek was implicated in the arms trafficking
operation case in which former Argentine President Carlos Saul Menem was charged with
organizing 6,500 tons of illegal weapons sales to Ecuador and Croatia (Xinhua 2008).
Former Bangladesh state minister for home affairs, Lutfozzaman Babar, was sentenced to 17
years in jail for keeping illegal arms among other charges including graft (Xinhua 2007),
shedding some light on the company the former American Ambassador to Argentina found
himself in.

Military personnel obviously have more access to arms dealers and knowledge of the
culture and technical details of weapons, making integrity very important among military
personnel in order to prevent lapses in judgment that lead to illegal trafficking. However, as
of yet, the world’s people have not been provided with moral, ethical or legally compliant
military personnel in general, which only enables private-sector traffickers. In 2007, three
Macedonian army officers and a businessman were sentenced to 13 years in prison over an
illegal shipment of 300 MG-3 machine guns and other weapons to neighboring Bulgaria
(Xinhua). A Japanese court sentenced US Marine L. Cpl. Preston Earl to three years in
prison for smuggling a handgun from the Philippines into Japan, where possessing a gun is
generally illegal (Xinhua 2002). Six policemen, a soldier and retired army chief from
Colombia were arrested for arms trafficking and allowing illegal groups to bear arms (Xinhua
2008). Brazilian authorities accused Paraguayan, Uruguayan, Surinamese and Argentine
military officers of trafficking rocket launchers, heavy weapons, and landmines to groups like
the Red Command and First Capital Command drug cartels (EFE 2006), though Paraguay’s
military chief denied the charges in the report. The United Nations and Somalia government
officials accused the Eritrean government of supplying weapons to the al-Shabab militia in
Somalia (VOA 2009), and though Eritrea denied the claim, the accusations warrant some
suspicion. Also in the news easy to find on Infotrac-College by Thomson/Cengage textbook
publishers, among the many other less credible reports and rumors of officials involved in
illegal arms trafficking, was a report on the trial of “former Peruvian spymaster Vladimiro
Montesinos…on charges he directed a scheme to parachute-drop 10,000 rifles into the hands
of Colombian guerrillas…[and] dozens of [other] charges ranging from corruption to drug
trafficking and authorizing murder…through the 1990s” (NotiSur 2004).
While the stereotypical image of arms dealers in people’s minds might be Russians, dirty
cartel Central Americans, or Middle Easterners wearing turbans, the smugglers of most of the
world’s illegal arms might be actually white Americans. Five of the twelve biggest light
arms manufacturers in the world are American (BBC 2007). The United States is by far the
world’s top seller of firearms worldwide, in 2005 selling 45.8% of the total major arms sales
to developing world militaries, many engaged in conflict (Boston Globe 2006). According to
The Boston Globe, the Russians in 2005 sold only 15% of the world’s arms, and Britain
ranked third at 13%. The American government has compromised bilateral relations with
China over a US$6.4 billion sale of heavy arms and war machinery to Taiwan (NY Times
2010), and has consistently provided arms to foreign nations and rebel factions, like the
mujahedeen in Afghanistan (Business Week 2010), which has endangered American interests
domestically and in the foreign world. In 2008, American arms manufacturers accounted for
over 68% of all global registered guns trading, with US$37.8 billion in sales (Leopold 2009),
at least partially prompting the United Nations disarmament committee to draft an Arms
Trade Treaty, which the US voted in favor of creating.

In the lead sales spot for Mexican illegal guns are the Americans, accounting for more
than 90% of weapons used in Mexico’s drug cartels (ABC 2008). “The gun laws in the
United States allow the sale of multiple military-style rifles to American citizens without
reporting the sales to the government,” printed the New York Times (2009), making an “arms
bazaar for Mexican cartels” out of the USA. People like Jean-Bernard Lasnaud, wanted by
Argentina and Interpol for the aforementioned sales of weapons to Croatia and Ecuador
between 1992 and 1995, which was in violation of UN and international embargoes for which
Argentina sought extradition, formerly accused of fraud and arms smuggling in Europe, have
been allowed to live in places like South Florida by American authorities, who apparently
perceived Lasnaud’s Caribbean Group of companies’ US$1-$2.5 million in annual arms sales
adjudication enough for the world outside of the States (PBS 2002). The American
government, however, has not been entirely lax on arms traders despite the appearance of
some cases. Daniel Alvirez, former president of an arms manufacturer in Bull Shoals,
Arkansas, 1 of 22 executives including a former senior salesman at Smith & Wesson who
were charged in the largest ever prosecution under the Foreign Corrupt Practices Act, pleaded
guilty to charges of bribing Georgian officials to secure arms contracts (Margolies 2010).

Arms dealer Sarkis Soghanalian got his start purchasing and selling American weapons
in 1973 during a Lebanese crisis (PBS 2002). According to a PBS interview, Soghanalian
said all of his Cold War era, Nicaragua, Peru, Colombia, Ecuador, Argentina, Iraqi and other
arms sales, including those for which he was convicted in the US, were conducted in close
cooperation with the American government. The larger suppliers of weapons seized in busts
before the guns reach their destinations in Mexico, like that which the US Customs and
Border Protection agents made in March 2009 (US Dept. of Homeland Security), or guns
seized in busts in Mexico like that made by the Mexican army in Miguel Aleman in
Tamaulipas (Bloomberg 2008), are likely wealthy and sometimes respected members of the
American community, which supports the most liberal gun laws in the world based upon
trade volume and variety alone.
Arrests for arms smuggling are rather common in global news, though the trade survives
year after year under poorly regulated international Customs, trade, manufacturing, banking
and communication activities. An international arms trafficking organization was broken up
in North America when Canadian police arrested two people and seized more than 1,700
Garand rifles, 21,000 M1 Garand receivers, 100 M1 Garand barrels, and 39 M1 Garand high
capacity magazines in Toronto and Montreal, in cooperation with US authorities who arrested
one person in Reno, Nevada with three machine-guns (UPI 2000). Time International (2001)
reported on police in Nairobi seizing AK-47s, submachine guns, pistols and other light arms,
which came from Somalia or Sudan, some en route to Kenya. Russian Supreme Court
military section chairman, Nikolai Petukhov said 26,113 people were convicted of illicit arms
trafficking in 2001 alone (ITAR/TASS 2002). According to Xinhua, Kenyan officials
destroyed 8,008 illegal small arms seized between 2006 and 2007, which was only a fraction
of the 100,000 estimated illegal weapons blamed for gang violence and militia uprisings in
the nation. Ethiopian police arrested 26 people and seized Kalashnikovs, rifles and
ammunitions thought to be intended for “terrorist” activities (Xinhua 2005). 1,000 guns were
collected in Uganda between 2004 and 2005 according to Xinhua, which reported on a
government ceremonial smelting of the seized small arms and light weapons. In the Indian
Surat district, more than 250 people were arrested for illegal weapons between 2001 and
2006 (Times of India 2007). Thai police arrested Victor Bout, former Russian Lieutenant
turned arms dealer to the Taliban, US government, African warlords, Iraq and the UN, in
Bangkok (Guardian 2008). Tons of Iranian arms, including rockets and anti-tank weapons,
for Hezbollah in Lebanon were seized from the Francop ship near Cyprus (Moubayed 2009).
35 tons of war weapons, thought to be from a trafficking organization funding North Korea’s
nuclear program (Bloomberg 2009), were seized at Bangkok, Thailand’s Don Muang airport
where one Belarusian and four Kazakhstani crewmembers stopped to refuel and were arrested
(AP 2009).

American police have again been a part of the supply chain of illegal weapons like they
have been with drugs and prostitution, thus complicating investigations and trials, and
tarnishing the credibility and character of the government as an organization. Parma Ohio
police officer Mark McCombs was indicted on federal and state weapons charges (Yachanin
2009) after serving one year of a two year sentence related to rape, sexual battery,
kidnapping, gross sexual imposition, tampering with evidence and dereliction of duty
charges. Palm Valley Texas police officer Ramon Martinez and Rio Hondo Texas police
officer Armando Duenez were indicted on federal charges of dealing firearms without a
license (Perez-Trevino 2008). Nashville Tennessee metro police officer Edwing Morales was
indicted for smuggling guns into Guatemala with members of the Lorenzana and Mendoza
Drug Cartels (Sky 5 News 2009). Loredo Texas policeman Orlando Hale was indicted on
weapons charges (Pro 8 News 2010). Los Angeles California police officer Johnny Baltazar
was indicted on federal charges for illegally exporting guns to Belize (Contra Costa Times
2009). 17 Detroit Michigan police officers were indicted on federal charges of looting
money from drug dealers and prostitutes and possession of stolen firearms, violating
constitutional rights of various people, planting drugs, guns or money, making illegal arrests,
intimidation, threats of violence, breaking into homes, conducting illegal searches, and
illegally detaining people (Ashenfelter et al 2003).

Chief Honwana of the United Nations Department for Disarmament Affairs (UN 2003)
said “the issues of tracing, brokering, import and export controls, and law enforcement were
central to the illicit small arms trade debate.” According to a UN News Centre 2003 report,
Director Lewis of the UN Institute for Disarmament Research suggested weapons collection
in exchange for development assistance in nations most affected by the illegal arms trade –
the third and developing world. For nations in the Economic Community of West African
States, which was called “one of the most unstable [regions] on the [African] continent” due
to the 8 million illegal arms in circulation, the arms-for-aid plan can help a lot (Xinhua 2004).

The UN placed an arms embargo on Liberia in 1992 which was regularly violated,
prompting the 2001 UN Security Council to investigate claims, which produced in 2003 a
hearing of rumours about a Belgrade arms broker who was preparing shipments of weapons
for the Liberian government (BBC 2003). The UN had tried to prosecute sanction violators
elsewhere previously without success, which suggests the benefits of the illegal weapons
trades often amount to more capital than civil organization of society does, and that the guns-
for-development initiative has not provided enough money to satisfy warlords, governments
and gun smugglers. Still, in nations like Sri Lanka, where there are over 1.3 million
estimated illegal weapons in use, leading to crime and instability, arms-for-food or
development assistance projects appear quite necessary (Xinhua 2007). The six Arab Gulf
Co-operation Council state members agreed to focus on stopping arms trafficking in the
region coming from Iran and Russian CIS, mainly through the UAE, headed for Africa and
Europe (APS 2009), which could help the undeveloped nations in that region prosper more
civilly if combined with the international agenda primarily from the UN.

The United Nations Programme of Action to Prevent, Combat and Eradicate the Illicit
Trade in Small Arms and Light Weapons in All Its Aspects is operated with “increased
awareness of the disastrous human consequences of the use of illicit small arms in
combination with sophisticated advances in the field of information and transport
technologies…to chart a course to provide a better, safer, more peaceful and less tragic world
for generations to come” (UN 2003). Amnesty International (2010) stated that “the
international transfer of arms or the training of foreign security forces can provide repressive
governments and abusive armed groups with the means to carry out or intensify gross human
rights violations.” The obviousness of the problem makes it easy to accept that a remedy is
necessary, though the complexity of the problem makes a real solution elusive. “No State
alone can prevent, combat and eradicate the illicit trade in small arms and light weapons,”
stated the UN in 2003. Only through cooperation within and between nations can the threat
of the illegal arms trade be diminished.

Conclusions on Illegal Arms Trading

Impacts of civil and international war, gang violence, separatism and increased crime on
general economic conditions are vast in scope and large in scale. It is no coincidence that the
United States of America has suffered two recessions in times of war in the Middle East over
the past 20 years. In times of panic, people spend less and save more out of survival
instincts. Investments in property, expansion and building development are not perceived to
be safe in times of threats of war when large groups of people, even at work, are hostile.
Whilst the average small business owners of this world are maybe not likely to know
anybody involved in illegal trades like arms, the presence of laundered money, untaxed illicit
incomes and illegal arms is seen on the evening news nearly every day. A person with a
deviant mind without a weapon is not much of a threat, but given a gun, this person becomes
a threat to property and personnel. Though the answers many people seek may have to come
from within the self, through information and understanding of the current events, some
catalyst effect can be created and a long process of minimizing personal and professional
threats can be initiated.
Save the coal for the Christmas stockings.
VII. In the News: Sustainability and Renewable Energies

Modern international business markets are expanding, sure. Companies can reduce costs
by outsourcing labor and investing in foreign territories directly to achieve economies of
scale, yes. Will the growth and opportunity be as abundant in 50 years as it is now? Experts
say that’s not likely. The limited, non-renewable natural resources manufacturers depend on
can only be harvested within certain time and quantity limits. A well known fact in the
corporate executive world is that today’s leaders in growth, consumption and production are
largely unsustainable in their operations. What goes up must come down, so to speak.

Kotler and Armstrong (2008) stated that “corporate ethics and social responsibility have
become hot topics for almost every business.” The 20th century American model of popular
expansionary corporate ideology is synonymous with short-sightedness and the future
weather forecasts give emerging market consumers in the third and developing world reason
to harbor grudges against large multinational corporations and Westernized capitalist
professionals. Achbar et al (2003) interviewed CEOs, environmentalists and political
activists in “The Corporation” and people from varied fields, backgrounds and classes agreed
that a major change is needed in order to survive as businesses and potentially as a species if
Nobel Prize winner Al Gore’s (2006) “An Inconvenient Truth” proves accurate in its
forecasts for the North Atlantic Drift.

Kotler and Armstrong (2008) stated the purposes of government regulation are to protect
companies from each other, to protect consumers from unfair business practices, and to
protect the interests of society against unrestrained business behavior. Legislation has been
passed in favor of businesses, consumers and society around the world, and laws like the
American Sherman Antitrust Act (1890), Federal Food and Drug Act (1906), Clayton Act
(1914), Robinson-Patman Act (1936), Child Protection Act (1966), Federal Cigarette
Labeling and Advertising Act (1967), Consumer Product Safety Act (1972), Children’s
Television Act (1990), Nutrition Labeling and Education Act (1990), Telephone Consumer
Protection Act (1991), and Americans with Disabilities Act (1991) among others protect
American freedoms, rights, safety, privacy and financial interests against predators operating
businesses too aggressively. Due to the enormity of the sustainability problem people are
currently threatened by, businesses, consumers and society must change their individual
behaviors, thoughts, feelings and moods related to production and consumption habits. Still,
the probable level of voluntary changes among non-government consumers and producers is
not likely to create the scale transition necessary to protect our individual and collective
safety over the next two or more generations, so aggressive legislative actions of increasing
scope and hands-on enforcement of business laws are likely to be the ultimate solution to the
sustainability dilemma, if we are to decide that the change is possible and beneficial at all.

Corporate Sustainability

Perhaps the most important sustainability initiative consumers and manufacturers face is
that related to the consumption of fossil fuels, especially gasoline. The market is scarcely
ready to accept hybrid, EV or alternative fuel vehicles, and one can only imagine the changes
a true fuel shortage would bring about in the global logistics and transportation sectors. BP’s
Statistical Review of World Energy found that the world has enough ‘proven’ reserves to
provide about 40 more years of consumption at the 2007 rate (Howden), but the demand is
growing and London-based Oil Depletion Analysis Centre scientists estimated oil production
should peak before 2011 (ibid), thus starting the beginning of a period of decline and
unsettling economic consequences. CEO of Petrobras, Gabrielli, reportedly presented data in
December 2009 which predicted world oil capacity, peaking in 2010 (Höök 2010). Gabrielli
said “we need to replace one Saudi Arabia per three years” just to keep global production flat
(Coy 2009), which is not likely to be possible and global production needs to grow to meet
demands. Australian powerhouse investment bank Macquarie Group Limited forecasted oil
production capacity to peak in 2010 at 89.6Mb/d and fall to 87.3Mb/d by 2015, when the
demand is forecasted to be 90.9Mb/d from 84.2Mb/d in 2010 (Branson et al 2010). Both the
International Energy Agency and Association for the Study of Peak Oil estimated high peak
capacity production between 90Mb/d and 100Mb/d, both unsustainable outputs, with demand
expected to be between 105Mb/d and 115Mb/d by 2030 according to IEA and the Cambridge
Energy Research Associates (ibid).

More than one analysis of the situation is available to read. The US DOE (Wood et al
2004), for example, calculated a peak in 2037 given 2% annual growth per year until peak,
though this optimistic group of scientists still forecasted a severe shortage as soon as 2050
and as late the end of the 21st century regardless of demand growth and unexpected new
sources. The UK Energy Research Centre (Branson et al 2009) forecasted oil production to
peak between 2009 and 2031. “Although this range appears wide in the light of forecasts of
an imminent peak, it may be a relatively narrow window in terms of the lead time to develop
substitute fuels,” the UKERC stated (ibid).

“The next five years will see us face another crunch – the oil crunch. This time, we do
have the chance to prepare. The challenge is to use that time well,” said Sir Richard Branson
(Macalister 2010). In “The Oil Crunch,” a report to the UK Industry Taskforce on Peak Oil
& Energy Security (Branson et al 2010), peak oil production is forecasted by the authoring
group to be met around 2014-2015, followed by the start of decreased production without
decreased demand, resulting in a price spike and economic turmoil. Sir Branson’s data
supports the more popular private analyses, which are not quite as hopeful as the American
Department of Energy reports (Wood et al 2004). With any luck and planning, the
decreasing oil production accompanied by increasing demand and thus price will drive
development of larger scale alternative fuels in order to sustain the transportation industry
and global infrastructure at some fraction of its peak function. However, any such change
requires swift planning and a lot of research and development along with a push market on
alternative fuel vehicles for private consumers.

Boeing (2009) uses lightweight composite materials, high efficiency systems


applications and new engines on its 787 Dreamliner and 747-8 jets to improve fuel use by
20% and 16% respectively. Boeing is also researching alternative biofuels made from
soybeans, salicornia, camelina, jatropha, euphorbia and algae in efforts to reduce CO2
consumption. The US Air Force is stated on the Boeing website to have plans to use a 50-50
blend of biofuel and jet fuel by 2013. Though the prospects for solar powered jumbo jets and
passenger airliners are not looking great to many power engineers, solar cells are also being
developed by Boeing in efforts to be a leader in aerospace engineering sustainability. The
costs of biofuel production and distribution are higher than those for fossil fuels (Harmer
2009), so the consumer is likely to see a rise in fuel prices and airline tickets regardless of the
variety of fuel consumed.

“[A solar-powered commercial passenger airliner] sounds like a nice thought, but not all
the practical with the current efficiency of solar cells,” said power systems engineer Jeanne
Avendt (2010) of United Services Group Great River Energy.

Boeing, Etihad Airways, Honeywell and Masdar Institute agreed to establish the first
integrated sustainable bioenergy research project for aviation (van Leeuwen 2010).
“Together with the Abu Dhabi government, Etihad Airways and other industry leaders,
[Boeing is] forging [aerospace] energy future by developing a renewable fuel supply now, not
when fossil fuels are depleted,” said Albaugh, president and CEO of Boeing Commercial
Airplanes.

The New York Times (2009) printed that “major corporations, including General Electric,
the Ford Motor Company and PepsiCo, have teamed up with environmental groups to set up
the United States Climate Action Partnership, a wide-ranging coalition trying to find ways to
cut emissions throughout the economy.” Alcoa, BP America, Caterpillar, Duke Energy,
DuPont, Florida Power & Light, GE, Lehman Brothers, PG&E, PNM, Ford and Chrysler
joined with Environmental Defense, National Wildlife Federation, Natural Resources
Defense Council, The Nature Conservancy, Pew Center on Global Climate Change and
World Resources Institute in USCAP to lobby the American Federal government for a cap-
and-trade mechanism to cut greenhouse gas emissions by 60-80% from the 2007 levels by
2050 with targets at 5, 10 and 15 years (Paul 2008).

Mouawad from the NY Times (2009) continued, “Wal-Mart, the nation’s top retailer has
outlined strict goals to reduce energy consumption at its stores and has instructed hundreds of
thousands of suppliers to report their energy usage and carbon dioxide emissions.”

Whole Foods Markets (2009) printed on their website their corporate commitment to
seafood sustainability by engaging in projects that support responsible fishing, environmental
activism, managing their own seafood facilities, educating customers and promoting/selling
products of well-managed fisheries.

Unilever (2009) employs a panel of external experts in their company Sustainable


Development group. The Unilever Group advises the company on responsible sourcing,
palm oil, sustainable tea, water, packaging, climate change, other environmental, social and
economic issues in developed and developing countries. Because agricultural crops represent
two-thirds of Unilever’s raw materials, and recent standards have put pressure on companies
to plan for responsible development, Unilever now uses an agricultural supply chain which
emphasizes long-term goals designed to improve the income and life of the farmers, soil
fertility, water availability and quality, and biodiversity. Unilever’s CEO web page states
that “at the heart of [Unilever’s] corporate purpose is the drive to grow sustainability and in
this way create long-term value for all those with a stake in the business.”

Procter & Gamble (2009) designed 5 strategies in their sustainability plan. At least $50
billion in Sustainable Innovation Products are planned to be developed and marketed under
strategy 1. Strategy 2 outlines operations goals of 20% reduction in CO2 emissions, energy
consumption, water consumption and disposed waste per unit production, and at least 50%
total waste reduction in one decade. Social responsibility is the third strategy, and P&G plans
to help 300 million children to Live, Learn and Thrive, while preventing 160 million days of
disease and saving 20,000 lives with 4 billion liters of clean water in their Children’s Safe
Drinking Water program. Strategy 4 consists of training employees to think and behave
sustainably. Strategy 5 engages stakeholders through transparent reporting of sustainable
innovation.

Gaithersburg, Maryland USA solutions provider Sodexo, Inc. initiated its “Better
Tomorrow Plan” (PR Newswire 2009) aimed at protecting/restoring the environment,
supporting local community development, and promoting health and wellness in North
America. Sodexo, Inc. serves 60 million customers worldwide in corporations, health care,
schools, government and other fields. Since 1999, the Sodexo Group has funded the Sodexo
Foundation, an independent charity that has given $11 million to feed starving Americans.

Shaklee natural nutrition corporation was given several awards after it became the
world’s first Climate Neutral certified company (PR Newswire 2009). Through the US EPA
Climate Leaders program, using 100% green power and by planting 1 million trees in 3 years,
Shaklee was able to offset its greenhouse gas emissions 100%, leaving a net-zero carbon
impact from operations. California Governor Arnold Schwarzenegger and 2004 Nobel Peace
Prize Laureate Dr. Wangari Maathai took part in a ceremony with Shaklee CEO Roger
Barnett at the company world headquarters in Pleasanton, CA on Earth Day 2009 to
commemorate the auspicious occasion of completing the “Million Trees, Million Dreams”
project. Shaklee also partnered with Millennium Promise to provide sustainable solar energy
to villages in Malawi, Africa in efforts to implement the UN Millennium Development Goals.

Walt Disney Studios encourages employees to commute by carpooling, walking, using


mass transit while the company eliminates 300,000 tons of waste it sends to landfills annually
through recycling and composting (Bond 2009). Bond’s Hollywood Reporter article also
featured news about Disney’s Corporate Responsibility initiatives like encouraging kids to
eat healthy food and not to smoke. The company promised to use water more efficiently and
CEO Robert Iger promised that “goodwill engendered by [the initiative’s] lofty goals will add
to shareholder value.”

Dell held the top spot overall in Technology Business Research’s corporate sustainability
index (Internet Wire 2009). With a score of 317.9, Dell beat British Telecom at 265.2, IBM
at 258.5 and Hewlett-Packard at 255.1. Dell scored very well in renewable energy usage,
recycling and embedded sustainability strategy.
Another aspect of the push for corporate social responsibility has been the ousting of
political competitors, exposing charlatans who practice faux science by misleading the public
on climate change. In 2006, a senior manager of the Royal Society group of British scientists
authored a letter to ExxonMobil’s President accusing the company of falsifying studies by
providing more than US$2.9 million to 39 organizations who were contracted to select and
exclude data in efforts to produce desired results and misrepresent the whole truth about the
changing environment (Paul 2008).

Paul (2008) conducted exploratory research into


the published website content of 97 of the Global
100 Most Sustainable Corporations according to
Innovest Strategic Value Advisors, Inc. consulting
firm. 95 of the 97 companies featured sections
which used ethics-related terminology. 84 of 97
used terms related to sustainability and/or CSR. Documentation of CSR/sustainability
practices is status quo among companies like Nike.

Reynolds American Inc. was awarded membership in the Dow Jones Sustainability
North America Index for the second consecutive year (PR Newswire 2009), making RAI the
only US tobacco company and one of only 146 North American companies on the index.
RAI enters the DJSINA a bit more ironically than some other companies have, given that the
cigarette products RAI manufactures are guaranteed carbon-emitters and there is basically no
chance of reducing the carbon impact of cigarette smoking per unit. RAI was selected on the
basis of corporate governance, risk management, human resources development, supply chain
standards, energy consumption and climate change strategies. Sustainable agricultural
development and farming are strengths and opportunities at RAI.

Amcor was one of only two packaging sector companies selected to be in the Dow Jones
Sustainable World Index (AsiaPulse News 2008) based upon its social, environmental and
economic performances. “Amcor strives to meet the highest standards of ethical and
environmentally sustainable business practices,” said CEO Ken MacKenzie.

“AMB has a long-standing commitment to environmental responsibility, financial


transparency, employee development and community involvement,” said Hamid R.
Moghadam, CEO of the leading global owner, operator and developer of industrial real estate
(PR Newswire 2009). AMB Property Corporation opened a corporate sustainability website
to inform the public on its goals of “ultimately reducing environmental impacts while
increasing efficiencies” according to Steven Campbell, AMB director of Global
Environmental & Development Services.

Jotun Thailand set out to lead the industry with environmentally-friendly exterior paints
under the Jotashield Extreme label (Bangkok Post 2009). Thailand’s Green Building Institute
promotes and encourages green building similar to the US Green Building Council, and
although Thailand does not require Jotun to implement green production, Jotun has found
offering non-hazardous products to be a customer-approved strategy. According to the
Bangkok Post and AC Nielsen SEA, environmental sustainability is the second most
important factor in consumer purchase decision-making next to durability of paint, and Jotun
Paints has responded by developing environmental standards in new paint manufacturing.
Jotashield Extreme reflects twice as much heat as other paint brands, which helps cut down
air conditioning power consumption. Jotashield Extreme does not use heavy metals like lead,
mercury or chromium, which makes it one of the lowest Volatile Organic Compounds of any
exterior paint. For its strength in manufacturing technology and capitalization on eco-
friendly demands, Jotun was awarded Singapore’s Green Label High Standard.

Sustainability is gathering support worldwide in developing countries like Thailand,


where 17 firms appeared on the CSR Asia’s Asian Sustainability Rating list (The Nation
2009). Siam Cement ranked 14th out of 200 firms on the list. PTT Exploration and
Production was the next ranked Thai company. The Stock Exchange of Thailand reported
that although some firms showed commitment to this fundamental cause of the 21st century,
they still need a lot more transparency on environmental, social and governance issues from
companies.

His Majesty’s self-sufficiency programme in Thailand is benefitting up to 80,000 rural


farming communities with training and funding from the Sufficiency Economy Office’s 20
billion Baht account. The King’s long-term project is “designed to free [farmers] from debt
slavery by corrupt corporations and banks” (The Nation 2009). Since farming contributes to
14% of the world GHG emissions, and solutions in impoverished rural regions are elusive
(Bangkok Post 2009), the Thai model of self-sufficiency, sustainability and independent
community development could prove to be a guiding global standard in the coming years if
some alternative energy projects, new technologies, education initiatives and other training
are combined with stepped-up versions of 20th century A.D.-origin ongoing programmes.

Phnom Penh, Cambodia played host to a labor and industry conference in which leaders
from the World Bank, Ministry of Labour and Vocational Training, trade unions and civil
society gathered together to pursue the common goals of survival and development through
means of integrated socio-cultural-economic growth and arbitrated problem-solving (Xinhua
2009). Sok Lor, director of the Arbitration Council Foundation, said “achieving [mutually
beneficial growth and development for all parties] will require joint action, especially among
the employers, unions and government.” These joint activities point toward a growing
interest in CSR and social scientific reasoning in Cambodia.

Sustainable fishing, seafood, aquaculture are of increasing importance in Vietnam, which


has one of the largest and most rapidly growing aquaculture industries in the world, exporting
billions of dollars worth of pangasius and shrimp each year (Thai Press 2009). The ILDEX
Vietnam Aquaculture Conference 2010 was designed to focus on three main issues:
sustainability and certification, innovations in culture technology, feed management and
development.

Meanwhile in Thailand, property developers were notified that government scrutiny will
become stricter in the coming years as the Office of National Environment Policy gets
legislative reforms to regulate the industry (Bangkok Post 2009). The development situation
in Thailand is reflective of a norm across many nations and cultures in that there is a
perceived need for more government controls, better and more laws to protect the
environment, but there is some lag time in between the release of scientific reports,
adjustments in the scientific and academic community, and government sponsorship of
binding legal action, which is representative of the procrastinating general consumer public.

Delegates from the Asia Pacific region agreed there is a need to integrate environmental
sustainability into development policy at the ESCAP Green Growth “Bazaar of Ideas” (Thai
Press 2009). Real world examples of long-term sustainable development that are
environmentally responsible were presented at the UN in Bangkok for government officials
to review. Among regional ideas presented at the Green Growth meeting was an Eco-Village
from Thailand, where all resources – solid, liquid and gas – are recycled and reused,
including production of algae biomass used for energy and fertilizer.

UN Secretary General Ban Ki-moon requested the private sector, multinational


corporations to small businesses, families and communities, to help with the “urgent task” of
building more sustainable markets (Xinhua 2009). “We face market breakdowns,
environmental degradation, hunger, climate change and many other crises,” Ban said in hopes
he could help “project a vision of the kind of corporate leadership we need to defeat poverty,
protect the planet and achieve other vital goals.” Cooperation within nations and recognition
of international laws, principles and general scientific facts are essential for Ban Ki-moon’s
plans to succeed.

BASF took up the sustainable green initiatives in Thailand by promoting biodegradable


bags together with the National Innovation Agency, Deutsche Gesellschaft fur Technische
Zusammenarbeit, and Thai Bioplastics Industry Association (Bangkok Post 2009). Dr.
Chotiphanich of the Ministry of Science and Technology said the government and companies
are implementing measures at the community level in Kradangngar, Samut Songkram
Province. The pilot program is expected to raise community awareness of environmental
issues and encourage the use of eco-friendly products as being a new accepted norm in
Thailand. The biodegradable bags can be made of cassava starch and calcium carbonate
compounded with BASF Ecoflex compostable polyester.

The Pacific Asia Travel Association fully supported the “Live the Deal” climate change
initiative and promised to play their part in the Copenhagen 2050 stabilization plan through
carbon reduction programmes (Thai Press 2009). The initiative comes as part of a larger
program to support climate targets and actions through reporting and tracking travel/tourism
sector activities, identifying investment and innovation opportunities which can help reduce
carbon impact, and promotion of policy management in the sustainability transition.

Tom Kelly, founding director of the American University of New Hampshire’s Office of
Sustainability since 1997 says sustainability has to do with “all the things that need to come
together to sustain a good life, a life that we can value, a life that’s consonant with our values
and enables future generations to do the same” (Feingold 2009). At UNH they look at
climate and energy, biodiversity and ecosystems, food, agriculture, nutrition and cultural
systems like health care, education and institutional infrastructure as parts of what makes
sustainable societies. UNH’s “C.O.R.E.” – curriculum, operations, research, and engagement
– are all designed to ensure sustainability at their institution and to teach students how to
operate responsible organizations. UNH uses methane from a nearby landfill to generate
85% of the power their campus needs. Through creativity, hard science, and integrated
municipal systems, government integration with private business starting at the university
level, States like New Hampshire can provide a good lead through the crucial next 20 years in
sustainable development.

The 1919 Michigan, USA Supreme Court decision in Dodge v. Ford Motor Co. now
poses “a formidable obstacle to corporations wishing to become more sustainable” (Sneirson
2009). However, according to Sneirson in the Iowa Law Review (2009) newer statutory laws
in Delaware and those under the Model Business Corporation Act do not require corporations
to maximize shareholder wealth. Thirty-three American States have adopted provisions since
the 1980s corporate reforms which allow corporations to take into consideration social
demands, community impact of operations, environmental issues and “other constituencies”
under the relevant statutes. If Henry Ford were to attempt again today to withhold special
dividends in order to build up Detroit for the indirect benefit of his business through social
development of his community, then the Dodge brothers might likely lose the special
dividend issuance case in light of newer CSR, corporate governance, charity and
environmental concerns.

Today such cases as the historic 1919 Dodge v. Ford Motor Co. decision could be
reversed by use of tactful semantics in interpretation of the Delaware court’s decision in Katz
v. Oak Industries, Inc., in which the Chancery Court wrote “It is the obligation of directors to
attempt, within the law, to maximize the long-run interests of the corporation’s stockholders.”
The “long-run interests” of shareholders today include survival, sustainability, corporate
social responsibility and other relevant contextual factors. If Henry Ford were allowed to
withhold the special dividend from stockholders in 1919 by claiming his social development
projects, which he proposed he use the dividend money to fund, were designed to “maximize
the long-run interests of the corporation’s stockholders,” through protecting the City of
Detroit against becoming a metropolis of urban slums riddled with bullets, car thieves, gangs
and poverty, which severely affect the auto market, then it is likely that not only would Ford
Motor Co. have won the decision, but Dodge Motor Co. may have went bankrupt and out of
business shortly following Ford’s victory and rise to incredible popularity, meaning Daimler
would not likely have penetrated the Big 3 through purchase of Chrysler, and metropolitan
Detroit today could be the model American city it was in the 1940s.

Judd F. Sneirson concluded in the Iowa Law Review (2009):


The shareholder-wealth-maximization principle thus does not
limit and should not discourage corporations from undertaking
sustainability efforts, even when those efforts appear to
detract in the short term from what would otherwise become
shareholder profits. A number of businesses have elected to
take this permission to the next level by incorporating an
affirmative commitment to sustainable business practices into
their corporate identities. In the process, these firms have
forged a new paradigm for sustainability and corporate
governance: a corporation that is green to its very core.

El Paso Corporation, which owns North America’s largest interstate natural gas pipeline
system, continues to provide natural gas and energy products while conducting CSR and
sustainability initiatives including environmental, safety, governance and stakeholder
engagement (Internet Wire 2009). In 2009, El Paso Corp. continued to develop a $3 billion
Ruby Pipeline, became founding reporters of The Climate Registry greenhouse gas emissions
reporting organization, and became the first natural gas company to gain approval for GHG
emissions from the California Climate Action Registry.

Exelon Corporation supplies power to 5.2 million people in Illinois and Pennsylvania,
USA, and gas to 500,000 customers in the city of Philadelphia, yet despite their profit-
oriented, government-regulated operations, Exelon still makes commitments to the
environment (Stone 2008). Exelon donated over $1 million to environmental causes in 2007,
which it planned to double since, and recorded the lowest greenhouse gas emissions of the 10
largest American utilities. “[Exelon’s people] know [Exelon has] to contribute to the
solution,” said VP of environment, health and safety, Helen Howes. The Exelon Foundation
provides grants to environmental, educational and diversity projects in the USA like the
Chicago Burnham Plan Centennial, the Chicago Field Museum and Peruvian rain forest fund.

American Electric Power endorsed the Low Carbon Economy Act of 2007 and works
with carbon-capture technologies at coal power plants, building new plants with low
emissions designs, and improves efficiency of its coal power grid (PR Newswire 2008). AEP
stated in a Corporate Sustainability Report (2008) that it shall invest in domestic GHG offsets
like methane capture from livestock and landfills, increased investments in forestry offsets,
and programs to offset emissions from its 11,000 vehicle fleet and aircraft. In 2007, AEP
was the first utility to join the US EPA/Dept. of Commerce’s Green Suppliers Network. AEP
met with more than 100 stakeholders between 2007-2008 to gather input about business
practices and expectations. 2008 AEP chairman, president and CEO, Michael Morris said
“Sustainability is a process of continuous improvement, and [AEP has] committed to be
candid and transparent about [AEP’s] business.”

Sustainability and corporate responsibility are related to the long-term life expectancy of
corporations. Engaging in CSR and sustainability projects are marketable points to
consumers and shareholders, and these are activities society, employees and governments
expect corporations to engage in. Through extensive reductions of carbon emissions and
through increasing efficiencies, companies can make more profits by reducing costs and
increasing sales by attracting more customers to the more socially desirable image of the
socially responsible company. 90 years after Dodge v. Ford Motor Co. fiduciary duties
include raising efficiencies, reducing consumption and creating corporate images which
reflect the demands of an increasingly informed public, which means disregarding some
short-term monetary goals to secure long-term success.
Meredith Corporation, a leading American media and marketing company, knows
corporate sustainability is part of doing business. Meredith joined the US EPA’s Climate
Leaders program (PR Newswire 2009). Meredith committed to inventorying greenhouse gas
emissions, making reduction goals and annually reporting carbon-emissions to the EPA.
CEO and President Steve Lacy said, “[Meredith’s] participation demonstrates that companies
can be responsible environmental stewards while simultaneously increasing business
efficiency.”

Still a very large and important portion of the world’s business owners, operators and
stakeholders have not shown sufficient support of environmental, sustainability and socially
responsible practices to meet and exceed the UNEP and Ban Ki-moon’s goals. The
mainstream culture of this world has experienced many fads, hoaxes and passing trends in
this lifetime. Skepticism, suspicion, doubt and disbelief are abundant on executive boards, in
factory labor unions and bank loan offices.

For many locales, sectors, subcultures and nations, further legislation is needed to
guarantee some effort is put forth by business owners to create and maintain efficient,
sustainable operations. Issues related to military, national security, politics, family and
religion make environmentalism seem like a petty or unimportant cause in places like the
Middle East, parts of Africa and elsewhere in the third and developing world, including
American emerging ghetto markets. When survival and safety from murder, invaders and
terrorists are the top priority, and where quality of life is reduced to day-to-day living,
working for basic needs sustenance, sustainability is not unlikely to appear to be a white-
collar, soft political and public relations campaign rather than a longest term survival-related
topic.

Liad Ortar, CEO of Israeli environmental consultancy Beyond Business, said “As long as
there is no enforcing legislation accompanied by significant incentives, the chances of
anything happening are very small” (Xinhua 2009). Long after Dodge v. Ford Motor Co. is
no longer a roadblock on the collective path to success, plenty of other legislative, legal,
judicial, executive, national, sub-national, regional, local, inter and intrapersonal blockades
are to be expected before experts claim the world is developing, consuming and producing
within a sustainable model.

Renewable Energies

“Australians overwhelmingly want the federal government to focus on developing


renewable energy over nuclear power” according to a Clean Energy Council-sponsored
survey (AsiaPulse News 2009). The Australian Solar Institute has given grants to research
and development projects focusing on photovoltaic cells and other solar thermal technologies
as part of the Australian government’s lead in meeting the renewable energy target of 20% by
2020 (Xinhua 2009). AGL Energy, Ltd. became the renewable energy supplier for South
Australia’s 100 gigalitre per annum desalination plant, powered entirely by renewable energy
sources like wind generation (AsiaPulse News 2009). With renewable energy desalination
and pump house powering, transcontinental and transnational pipelines can carry water to
regions affected by drought, desertification, and provide water for cattle farming, agriculture
and human consumption.

“To meet the climate challenge, the international community must strengthen confidence,
build consensus, make vigorous effort and enhance cooperation,” said Chinese Premier Wen
Jiabao in Copenhagen (Xinhua 2009). Members of the World Wildlife Fund, Oxfam
International, and Greenpeace International complimented the Chinese representative’s
speech by saying, “China will make great contributions to global efforts to combat climate
change.” In Copenhagen, Wen Jiabao reported that China’s rate of adoption of new and
renewable energy is the fastest in the world, generating the world’s highest hydro-power
capacity, nuclear power capacity under construction, solar water heating panels and
photovoltaic power capacity. Wen Jiabao stated also that China recorded the largest area of
man-made forests, 54 million hectares in total (Xinhua 2009). According to the Chinese
Premier, 30.5 million rural households gained access to bio-gas between 2005 and 2008,
during which time the total Chinese growth in utilization of renewable energy was 51%.
Between 2005 and 2008, China’s growth of renewable energy sources offset 49 million tons
of carbon dioxide emissions, and in 2009 the Chinese renewable energy use reached 250
million tons of standard coal. With carbon accounting, much of the CO2 and GHGs
exporting nations, especially those with a positive current account balance, create would be
recorded on the carbon balance sheet of a nation which purchases the products of nations like
China, and China’s net carbon impact would be reduced compared to nations which consume
China’s products like the USA and those in the EU because factories and power plants which
are the source of a large percentage of China’s emissions produce a large volume of goods
though the domestic population of high-export/current-account-surplus nations like China
consumes only a fraction of the products the nation makes, and thus the responsible party for
the carbon is the end-line consumer, often foreign.

As of 2009, China used coal for 76% of its energy (O’Neil 2009). The world’s most
populous nation has set a goal of 15% energy supplied by renewable sources by 2020, and
presses the US and other develop countries to be more ambitious about their emissions
targets. The USA and China together account for 40% of the world’s man-made emissions.

Climate change is an opportunity for high-tech companies to develop sustainable


renewable energy products (Xinhua 2009). Timken Co. in Canton, Ohio USA says China is
becoming the world’s largest market for wind-energy development, soon to outpace the USA
due to the number of consumers electricity must be provided to (Crain’s Cleveland Business
2009). Three Ohio, USA companies, Timken Co., Ferro Corp., and Lincoln Electric have
developed global operations to include the Chinese market, where they provide parts for
renewable energies in solar and wind power generators.

A group of banks set up a renewable energy fund while in Copenhagen (M2 Presswire
2009). The African Development Bank, Asian Development Bank, European Bank for
Reconstruction and Development, Inter-American Development Bank, International Finance
Corporation, and World Bank partnered the Climate Investment Fund targeting 1.5 billion
people who live without electricity and other basic energy services in low income countries.
Since 2008, the CIF has managed over US$6 billion in pledges from donor countries.

The World Bank Group announced that its financing of renewable energy and energy
efficiency projects in developing countries rose 24% between 2008 and 2009, totaling
US$3.3 billion. Renewable energy and energy efficiency project lending accounted for more
than 40% of the total loans the World Bank Group offered in the 2008-09 fiscal year. Two-
thirds of World Bank Group/International Finance Corporation energy projects financed were
in the renewable energy or energy efficiency subsector (AsiaPulse News 2009). In five years,
the World Bank Group funded 366 renewable energy and energy efficiency projects in 90
countries.

Wind and solar power are opportunities in Vietnam’s developing economy, delegates
said at a sustainability forum in Ho Chi Minh City (AsiaPulse 2009). “A perfect model for
sustainable development is economic growth accompanied by preservation of nature and
limited pollution thanks to public awareness and supportive policies from the government,”
Asia Pulse News printed. However, Vietnam has yet to implement an ideal solution to its
ongoing pollution problems. Associate Professor Dr. Le Quang Minh, VP of the Vietnam
National University talked about 10 of Vietnam’s 16 river systems, which have been
damaged due to unscrupulous development in industry, aiding the spread of pollution-related
diseases which doubled between 2006 and 2009.

Electricity demand in Vietnam is expected to rise by more than 10% annually through
2030 (Deutsche Press 2009), which gives German renewable energy engineering companies
like Fuhrlaender AG new opportunities if the Vietnamese can move their sustainable
development plans past the imagination stage. Fuhrlaender AG has joint venture wind energy
farms operating in Binh Thuan and Binh Dinh provinces presently and hopes to do more in
the central city of Dalat and southern islands of Con Dao in the near future. “[The
Vietnamese] have to do [their] part if [the Vietnamese] expect others to do theirs,” said
Vietnamese National Assembly deputy Nguyen Minh Thuyet. With the aid of World Bank
projects, CIF and private investment, hopefully the developing nations like Vietnam will be
able to do their part.

Foreign direct investment is a strength and opportunity for the developing economy and
helps bring new technologies from high-tech savvy places like Japan and Hong Kong to
emerging markets like Thailand. Hong Kong’s China Light & Power, Egco Group and
Mitsubishi recognize the opportunity for their businesses too, and have planned to invest in
the world’s largest photovoltaic solar cell farm in Lop Buri, Thailand, which will begin
operation in 2011. The plant will produce a capacity of 73 megawatts. The three partnering
companies are equal shareholders in a new venture called Natural Energy Development Co.
(Bangkok Post 2009), which will focus on clean energy development and carbon emission
reduction. NED is expected to develop solar power cells in India, geothermal energy
facilities in Australia and wind farms in Hong Kong.
Bangladeshi Commerce Minister Faruk Khan requested German investment in the
renewable energy sector (AsiaPulse News 2009). The World Bank Group’s Clean
Technology Fund put forth US$500 million in South Africa’s renewable energy sector,
providing solar water heaters for 500,000 households (M2 Presswire 2009). South Africa
plans to generate 4% of its electricity from renewable sources by 2013 and improve energy
efficiency by 12% by 2015 with the help of grants and loans. Reliance Industries in India has
planned pilot projects in biofuels, solar and fuels cells in its growth in the renewable energy
sector (AsiaPulse News 2009). While using solar photovoltaic cells to generate power is
considered costly in India, compared to cheaper thermal or wind power, the Solar Group of
Reliance Industries has developed an electricity program in Maharashtra already. Meanwhile
the Department of Energy in the Philippines has been awarding contracts to renewable energy
suppliers. In October 2008, the Philippines DOE awarded 87 contracts to 18 companies for
the development of solar, hydropower, biomass, geothermal, ocean and wind energy power
(AsiaPulse News 2009). More RE contracts are mandated under the Philippines Renewable
Energy Act, or the Republic Act 9513. British Ambassador to the Philippines, Stephen Lillie,
said the UK was focusing on supporting Filipino initiatives in promoting renewable energy
industries because these projects help mitigate the effects of climate change (Manila Times
2009). “[Britons] have the technology, [and Filipinos] have the law in place,” said Lillie,
adding that “the Philippines is the Saudi Arabia of biomass energy.”

Recent breakthroughs in technology coupled with the expansive internet which reduces
information asymmetry by making volumes of information available to the general public has
made renewable energies a feasible long-term plan for developing nations all over the world.
Nations like Morocco are covering rising demand for electricity with renewable energy
projects. The Morocco Office National de l’Electricite aims to make 20% of the nation’s
electricity from renewable sources by 2012, and the utility said it would invest US$5 billion
over 5 years into projects (MEED 2009).

Iceland’s Foreign Minister Ossur Skarphedinsson said Icelandic expertise is an asset to


the world (Xinhua 2009). All of Iceland’s heating and electricity are taken care of by 100%
renewable energy. Skarphedinsson stated that there are “vastly underestimated possibilities
in geothermal.”

Iceland’s Reykjavik Geothermal won a US$42.3 million contract to drill a pilot


geothermal project at Masdar City, UAE. UK’s BP Alternative Energy and Australia’s Rio
Tinto joined together in Hydrogen Energy, which proposes to build a 500MW hydrogen
power generation and desalination plant in Masdar; the US$2.2 billion plant will be a carbon-
capture facility. Abu Dhabi Future Energy Company has taken up the goal of making the
UAE capital a carbon-neutral city with over US$22 billion invested into several ends of the
project, which is competing with China’s Dongtan City for large-scale success in carbon-
neutral city planning (MEED 2009).

Turkey’s Saran Holding and Spain’s Fersa joined together in a US$1 billion investment
in Turkey for renewable energy resources including hydroelectric power plants (AsiaPulse
News 2009). Turkmenistan Ambassador Arsim Zekolli stated that “Turkmenistan has a very
high potential for developing renewable energy resources, especially solar and wind” at a
2009 Foreign Ministry-related seminar on technology, development, management and
renewable energies (AsiaPulse News 2009). The European Commission in Kyrgyzstan sent
Sven Sommer and Knud Christensen from the Danish University to help develop micro-
hydropower and biogas technologies from over 50 small rivers and cattle dung (AsiaPulse
2009). People in all of these regions would benefit from expansion of clean energy,
renewable power and high-tech sustainable development projects.

Darby Overseas Investments, Ltd. of Franklin Templeton Investments from California,


USA, which has invested in a hydro and biomass thermal power plant in Brazil, a South
Korean wind farm, and rapeseed crushing plant in Poland that supplies oil to the bio-diesel
industry, put €15.3 million into Energy 21, a Czech Republic solar power plant operator and
developer (Internet Wire 2009). Ormat Industries Ltd., a geothermal plant sales/construction
and geothermal electricity provider company, grew revenues by 26% between 2008 and 2009
up to US$128.9 million primarily from Ormat Technologies Inc. Blue Mountain, Nevada
USA, Centennial New Zealand, and Las Pailas Costa Rica geothermal projects (Globes
2009). The European Chamber of Commerce Taipei, which represents 370 multinational
companies and 650 individual members from more than 30 countries, said Taiwan’s
renewable energy act will likely create European investment and reduction of greenhouse gas
emissions by 18% or more (AsiaPulse News 2009).

Joint ventures are abundant in renewable energy news, but still more are needed, and
more government cooperation, mandates and new binding legislation are parts of the only
real solutions to the climate change problem, several experts featured in reports suggested.
“We just don’t have another option” said Christiana Figueres of the UN Framework
Convention on Climate Change (Schmitt-Roschmann 2010). Many small, developing and
island nation leaders are making news with new laws, promises and attention to the
environmental issues which could easily be handled more effectively with full installations of
modern technology, but still without a global consensus, especially involving heavyweight
consumers and producers in the USA, India, Brazil, Japan, the EU and China, progress is
slow in the larger scheme. Though supply chain manufacturers and assemblers of wind
turbines, geothermal drills, hydro-electric turbines, and solar panels are ecstatic about the
business opportunities presenting themselves, the total numbers of changeovers, contracts,
sales, production and usage of renewable energies today are not large when the ratios of
renewable to total energy use and production are taken into consideration. Over a long period
of time, even if 50% of energy were coming from renewable sources, with increased growth
in consumption and production the desired constant, especially as the world’s population tops
9 billion as expected in this century, total carbon emissions will eventually grow despite
increased renewable energy use without stricter, more technical long term planning. If the
world’s legislators, council members, proletariat premiers and bourgeois executives allow the
general consumer population to decide the fate of the world’s industry rather than the
scientists and engineers from top organizations, humans are likely to fail at sustainability and
survival like environmentalist groups and government delegations from developing countries
criticized the 2009 Copenhagen Accord as being a “historic failure” (Kyodo 2009), whereas
if former Sony CEO Akio Morita’s famous mission to lead the public with a push market
since “the public does not know what is possible” (Mullins and Walker 2010), is utilized in
energy production and consumption, there is considerably more hope for the future.

Oxfam International said the 2009 Copenhagen nonbinding political agreement


“provides no confidence that the catastrophic climate change will be averted or that poor
countries will be given the money they need to adapt as temperatures rise” (Kyodo 2009).
US President Obama conceded that the Copenhagen “last minute climate deal” is not legally
binding, but said it was a “meaningful and unprecedented” step in the right direction
(Johnston and Efstathiou 2009). Nations like the Pacific island of Palau face real dangers as
sea levels rise and weather becomes more unstable, which is why President Johnson
Toribiong called for Micronesian nations to transition to alternative or renewable energies at
the Micronesian Presidents Summit in Majuro (AsiaPulse 2009). But the real future of such
nations is not under the control of the Micronesian autonomous leadership, because air
pollutants which cause climate change are a global problem and the disastrous effects of one
nation’s irresponsible practices are not limited in range to within the geographical boundaries
of the polluter nation, but instead the whole world can suffer from the reckless, collectively-
suicidal activities of a handful of big nations together. In essence there is no global justice in
matters of the environment and there is very little incentive to break away from the heavy-
polluter pack and be carbon neutral, negative or sustainable countries. Still, researchers
continue to push nations to adopt renewable energy policies, like in Malaysia, where the
geographical location offers abundant renewable energy resources for solar, wind, biomass,
and hydro power according to a recent study by the Solar Energy Research Institute (Xinhua
2009).

The Chilean National Energy Commission set up a renewable energy center (Latin
American Power Watch 2009). “As a country, [Chile has] privileged conditions and there is
a broad consensus to develop renewable energy,” said Energy Minister Marcelo Tokman.
Chile passed a law which requires 5% of electricity sold in the nation must come from
renewable sources like wind, geothermal, solar and mini-hydro plants by 2014, which must
rise to 10% by 2024. Critics argue this is too slow and not enough, obviously, and the
Iceland standard is being treated like fiction rather than fact. The Clinton Global Initiative
partnership with Colombian GPC Group in development of renewable energies (PR
Newswire 2009) is likewise more speech and pride than solid scientific efforts on par with
Iceland. While the CGI/GPC and other similar projects open up the political/social
atmosphere to debate on the topic, offer local farmers like those of inedible cassava income,
and help little by little, the image of such partnerships has been exaggerated and some
consumers have been misled about the actual impact of present-day renewable energy
development, which is insufficient to react to even 1990s’ carbon impact on climate change,
much less the 2090s’ impact. In Argentina, 1% of locally-generated power comes from green
sources, but the government wants to raise that number to 8% from renewable energies by
2016 (FWN Select 2009). Given that consumption of power by 2016 in Argentina is likely to
grow by 8% or more, equal growths in renewable energies are necessary and activists are
thankful for every megawatt that comes from renewable energy, but still more scientific and
less political changes are needed, which might prove difficult considering the education
lawyers, judges, politicians, orators, bankers and lobbyists receive is generally not anything
from the laboratory or natural sciences where the changes must come from. For today, jobs
are being created and other socio-economic concerns are being handled with renewable
energy projects like Brazil Development Bank’s 10 new wind farms in the south of their
country, which creates 150 jobs and 222 megawatts (Xinhua 2009).

EDP, a Portuguese energy group, in partnership with the United Nations High
Commission for Refugees, announced a pilot project for the Kakuma refugee camp in Kenya
at the 5th annual Clinton Global Initiative (PR Newswire 2009). Sustainable development for
the Kakuma refugee camp by installing photovoltaic solar panels, wind turbines, energy
saving lamps, redesigning diesel generators, installing water pumps, solar ovens and water
purifiers for 50,000 refugees is in line with the Millennium Goals of the UN General
Assembly from 2000 and impacts 100% of the residents of the camp, which is the desirable
level of effect of any renewable energy project. Kenya attempted to strengthen the UNEP at
Copenhagen through a US$2.2 billion per year investment over 20 years, forestry increases
from 2% to 10% within that time frame, renewable energy technological advancement, and
called for industrialized countries to support developing countries as essential components in
a guarantee for the future of the earth (Xinhua 2009). Also from the African continent, the
UNDP commended Zambian government officials’ commitment toward attaining the
Millennium Development Goals (Xinhua 2009).

Eric Beaume, Charge d’Affairs at the Zambia European Union Office said the European
Development Fund has planned to invest €200 million into sustainable energy sources in
rural and peri-urban areas of African, Caribbean and Pacific Countries (Xinhua 2009). "This
will be done by promoting the use of renewable energy sources and energy efficiency
measures. All ACP countries, including Zambia, are eligible for the support under this new
facility as well as ACP public and private bodies, nongovernmental organizations made up of
ACP countries," Beaume was quoted as saying by the newspaper.

The Oxford Sustainable Group’s renewable energy fund is taking up opportunities to


develop renewable energies in Finland, Romania and Estonia. Oxford Sustainable Group
CEO Hadley Barrett mirrored the majority of experts in saying “The demand for renewable
energy today vastly outstrips the supply” and OSG is positioned to take advantage of parts of
that unmet demand (Investment Adviser 2009). Finland’s renewable electricity production
grew by 15% in 2008 to 36% of the total 87.2TWh (Xinhua 2009), whereas coal production
of electricity diminished by 37% and peat by 30%. Finland plans to provide 60% of its
energy with renewable energy by 2050, a more reasonable goal than most nations, and due to
water conditions in the Nordic regions, can do so with hydropower, which grew 21% in 2008,
making up 60% of total present-day renewable energy supplied.

Feeling the competitive pinch, California Governor Arnold Schwarzenegger signed a


memorandum of understanding (MOU) with US Secretary of the Interior Ken Salazar to
expedite renewable energy development to 33% of California’s total by 2020 (Xinhua 2009).
Los Angeles, California Mayor Antonio Villaraigosa signed an MOU with a technology park
in Berlin, Germany to share information on best practices in establishing clean-development
and agreed to “work together to enhance clean technology research and production facilities
and promote economic growth in both cities” (Xinhua 2009). Neighboring American State of
Nevada law requires 15% of all electricity generated there to be from renewable energy
sources by the end of 2012 (Globes 2009).

The Alaska Village Electrical Cooperative has used 21 wind turbines to power 53
villages since 2003, and Kodiak Electric Association in the American State of Alaska said
their 3 new 1.5 megawatt wind turbines will power 330 homes and save 800,000 gallons of
diesel each year (Anchorage Daily News 2009). American State of Ohio lawmakers
currently require 12.5% of Ohio’s electricity to come from renewable energies, to be raised to
22% by 2025, while neighboring State of Michigan requires 10% of all electrical retail sales
to be from renewable sources. Across the Great Lakes from those Midwestern States, in
Ontario, Canada, green energy act O. Reg. 359/09 is being implemented to accelerate the rate
of renewable energy development projects (Mondaq 2009). Other renewable energy projects
are ongoing and being developed throughout the North American nations, though experts and
critics agree that the Icelandic standard is not being matched or exceeded by what many
consider the most innovative and advanced continent on earth. Though geothermal energy
accounts for only .5% of the American energy production (Barnard 2010), with half coming
from coal (Discovery 2010), in communities like Klamath Falls, Oregon, geothermal wells
heat sidewalks, downtown buildings, brewhouse kettles, and greenhouses, and power lights
on the local college campus (Barnard 2010). A problem in the USA that experts are mulling
over is the aging power grid, which produces just-in-time power and wastes 55.1% of
electricity produced (Discovery 2010).

Russia has the largest known natural gas reserves (32% of proven reserves) of any nation
on earth, the second largest coal reserves (14% of estimated reserves), eighth largest oil
reserves (12% of proven reserves), and 8% of the proven uranium reserves (M2 Presswire
2009). Russia is likely to be a great resource in the next phase of renewable energy
development. In Bangkok in 2009, the Russian Federation agreed to cooperate with the
UNESCAP to promote sustainable development (Thai Press 2009). Russia has a comparative
and competitive advantage in resource availability, technical expertise and hands-on
experience with natural resource management next to most nations from Asia and the Pacific
regions. The Trans-Asian Railway Network in NE and Central Asia are likely to provide
Russia with new partnerships in natural resource management, sustainable energy
development and movement of goods and people associated with this growing trade.

Implementation and Binding Agreements are Crucial

The Prince of Wales said “business can only succeed in a sustainable environment.
Illiterate, poorly trained, poorly housed, resentful communities, deprived of a sense of
belonging or of roots, provide a poor workforce and an uncertain market” (Luthans and Doh
2009).
Scientists, engineers, university professors and leading business people can only take this
cause to the public and wait for their approval, which is measured in actions rather than
words, until legislatures pass more laws and police, prosecutors and courts can enforce those
laws. The generally accepted pragmatic truth over the past 5 year among many experts like
Dr. Huntoon from Michigan Technological University is that sustainability is an “impossible
goal to achieve” (Huntoon 2007) due primarily to unregulated expansion of private
businesses, growing human species populations, unrealistic cultural, social and consumer
behavior models and a generally uninterested mainstream. Sure, more confidence, strength
and will to fight to succeed is needed among experts, but more acceptance of truth and
corresponding changes are needed among laypeople too. Unfortunately for this earth’s
people, the consequences of disbelief in the same sciences that gave us all of this great
technology could result in extinction and without changes will most likely result in extremely
unfavorable living conditions, and policy makers need to work with such frightening
possibilities in mind rather than shirk off responsibilities which are unpopular, unappealing or
significant only to the 5% level.
VIII. The Shanghai Communist: New Models from the Supply Side

According to Marx and Engels (1848), the bourgeoisie “has drowned the most heavenly
ecstasies of religious fervor, of chivalrous enthusiasm, of philistine sentimentalism, in the icy
water of egotistical calculation.” In the “Manifesto of the Communist Party,” Marx and
Engels made a clear attempt, albeit a historical one out of the Industrial Revolution, to assess
what few economists and officials had previously tried for the benefit of common laborers:
socioeconomic class. Struggles for supremacy between the communist proletariats and
bourgeoisie classes have been the cause of civil wars, revolutions and assorted social
conflicts through the ages. What Marx and Engels did that set them aside from other
philosophers was make a value judgment against the bourgeoisie and in favor of the entire
working and poor classes. In the name of the entire body of the proletarian movement, which
was said to be “the self-conscious, independent movement of the immense majority, in the
interest of the immense majority,” Marx and Engels apparently sought to unify society for the
betterment of the whole rather than the unequal advances of extreme minority sects upon the
labors of the vast majority. In the absence of military and violent conflict, the position of the
“Manifesto of the Communist Party” can easily be considered as being pro-democracy with
the aim of abolishing the “everlasting uncertainty and agitation [that] distinguish the
bourgeois epoch from all earlier ones.” As with all social, economic, political and cultural
issues however, the communist ideology of the mid 19th century grew complicated as military
and war were included in the philosophical disputes.

Marx and Engels, whether knowingly or not, did not represent the uppermost classes –
the bourgeoisie – as being without merit. “The bourgeoisie,” Marx and Engels wrote, “by the
rapid improvement of all instruments of production, by the immensely facilitated means of
communication, draws all, even the most barbarian, nations into civilization…and has thus
rescued a considerable part of the population from the idiocy of rural life.” Hence, the real
problem the communist proletariats had with the bourgeoisie was ostensibly an internal
duality; pluralistic conflicts from the uppermost classes projected onto and spread amongst
the lower classes, and the differences between practical life and prominent theories of the
time. Despite all of the fear, anxiety and controversy regarding the practical application of
communism, or more so militant communism, the ideology that Marx and Engels wrote is
quite literate and intelligent. The two authors suggested there were several longstanding
problems with the way the factories and societies were operated, and decided to take the
position of the better majority of the people who had a minority share of the money rather
than support a minority segment of the people population who held a vast majority of the
money. The Communist Manifesto was and still is a shocking and revolutionary document
due to Marx’s and Engels’ decision to create a system using people as power rather than
monetary capital.

Two decades after the end of the Cold War, after the breakup of the Soviet Union which
inspired the Maoist revolution in China, the attitudes and opinions regarding the real meaning
of communism are still changing. “There is no ideology in China anymore,” said Renmin
University of Beijing political science professor Zhang Ming (NY Times 2009). “The
government has no ideology,” Zhang continued, “The people have no ideology.” Mao’s
Little Red Books are still sold at Tiananmen Square and relations between the remaining
communist superpower China and the classic bourgeois United States are stressed, but
commitments to strict historical communist ideology in China, like theoretical democracy and
free-market capitalism in the USA, have shown to be weaker than they once were.

China has 130 billionaires (NPR 2009). Forbes called China “an incubator for female
billionaires” (Alberts 2010). The average income has been between US$2,940 per year
(World Bank 2008) and US$6,000 per capita annually (Time 2009), meaning the Chinese
society has stark class differences. Thus, Mao’s “Correct Handling of Contradictions Among
the People” (Little Red Book 1957) and Marx & Engels’ (1848) national “struggle of the
proletariat with the bourgeoisie” have not been resolved in practice as the theorists had so
envisioned. “China is now the United States’ largest creditor nation and has no desire to be
an enemy of the United States” according to Beijing Private Equity Association director
Victor Zhikai Gao (CNN 2009). The United States shows no signs of returning to an anti-
communist nation soon either, owing nearly US$900 billion in Treasury securities to China
(US Treasury 2010) and posting an annual trade deficit with China of more than US$226
billion (US Census 2010). While red is a color associated with Communism, it is nations like
the US which are in the red financially, while China is well within the black. The Chinese
government is operated by the Communist Party still, and it is befitting that the world’s
largest exporter (BBC 2010) is a nation controlled by the interests of the proletariat working
classes. With only 12% of the American workforce in manufacturing (Polaski 2007), nations
like the PRC are in no danger of losing their control over the import-friendly US market.

“China is expected to surpass the United States by mid-century to become the world’s
top economic powerhouse” if it continues growing near the current rate (Weekly Reader
2007). World GDP measurements in American dollars, without adjustments for purchasing
power parity or price index variations between nations in domestic currencies, creates an
inaccurate indication of overall wealth and production power for a nation like China. For
example, if an American company sells a product in the USA for x-dollars, but that same
product is sold at a lower rate in the manufacturing nation of China, then both nations have
sold the same product, but by the American dollar standard, the US has a higher balance. If
the formula for calculating GDP is merely the total number of products manufactured and
sold multiplied by the price per product, then simply raising the price will raise the GDP, and
thus lower-priced nations in the developing world would not be represented accurately.
Alternatively, if GDP is calculated by (C + I + G + (Ex - Im)), and all values are in American
dollars, then nations which keep prices lower than the USA are likely to have a lower GDP,
and nations in the Euro and British Pound zones are likely to have a higher GDP due solely to
their higher currency value, though their actual output and economic activity might not
actually be lower or higher than the base USA. In a nation with a price index at half that of
the USA, to maintain an equal GDP to the USA, that nation would have to increase actual
economic activity to twice that of the USA.

Even as China becomes more wealthy than the western nations by American dollar
standards, its leaders plan to “never adopt a multiparty political system, separation of powers,
a bicameral legislature or an independent judiciary,” not emulate the West and therefore to
break new trail in the political economy (NY Times 2009). Chinese growth has been at
above an 8% per annum pace (NY Times 2009), and if Premier Wen Jiabao’s goals of raising
domestic consumption far above the 30% mark (China Herald 2008) succeeds, then China
should be able to pull off the full “economic miracle” (CBC 2006) experts have been talking
about in recent years. Whether spectators wish to call the system “Leninist Corporatism” or a
“socialist market economy” (NY Times 2007), few can argue the numbers and China’s
ascension to a global superpower economically is continuing without rigid contests of Cold
War capitalist nations like the USA, which appears to have lost interest in economic ideology
as much as the communists were said to have lost their ideologues.

The New York Times (2001) revealed a practical fact about young people in China –
many “dump communist ideals, embrace individualism and capitalism.” Beijing 9th grader
Zuo Yilu (2001) said “In our eyes, we don’t think capitalism is bad. With capitalism, [we]
are more prosperous.” Other young Chinese in the New York Times (2001) article joked that
the only thing that was equal in Mao’s era was that people were “equally poor.”

Teachers still dole out rhetoric from the Long March, the color red is still symbolic of
revolution, capitalist roaders are still ostracized, and private land ownership is still prohibited,
but business is booming here and there and the goods bought and sold, in apartments and
privately owned and leased buildings are not the property of the nation, and thus private
property is not entirely forbidden, only ownership of the land which can be leased. In early
2010, with the “super-capitalist dragon” (New York Times 1992) Hong Kong’s Special
Administrative Region seeking democracy (LA Times 2010) after years of reading and
hearing about China’s “secret agenda of capitalism” (New York Times 1992), one has to ask
if communism in a city like Shanghai is even possible.

To some extent, the modern large public corporation is a style of constrained


communism where several investors own a piece of property which is operated by a smaller
body of professionals. If Shanghai, Beijing or any of the bigger cities in China were to claim
part of each business’s profits for the collective communist party and operate each district,
locale, sector like a larger corporation where profits were shared among the collective
society, this would qualify as a large-community communism. Still, many experts agree that
New Zealand and other self-sufficient, small farming communes are the only functional
models of pure theoretical communism. In large numbers, across several fields of work,
communism is hard to rationalize and control, and like its critics say, laziness is a hurdle as
difficult to overcome with communism as it is with the impoverished classes in capitalism.

“Still, there are 2 or 3 million temporary laborers in Shanghai,” said a German expatriate
who lived and worked in China (Elegant 2004), “most on construction work, getting
starvation wages – if they’re lucky.” In a communist large society like a in capitalist society,
there is competition for jobs and that pushes down the price of labor while revenues continue
to grow high enough to support billionaires in a bourgeois class. The collapse of the Soviet
Union no doubt loosened up the strictest commitments to communism among the Chinese
aristocracy class out of simple needs to survive and avoid another famine in a world nearly
phobic of political-economic ideology. The goals of the “socialist model community” cities
like Shanghai today are similar to the highest caliber public interest goals in any American or
Western European city – reduce or eliminate poverty, stabilize employment, provide basic
needs for citizens through a market or State-market economic system, diminish crime and
live cozy lives. The obstacles to progress and success are similar in China to what they are
anywhere else, regardless of literary model.

Chinese President Hu Jintao committed to a “socialist market-oriented economy”


(Xinhua 2005) and to “pursue economic and social development by the scientific concept of
development to fulfill the increasing needs of the Chinese people and push forward the all-
round development of economic, political, cultural and harmonious society building.” 20
years after Tiananmen and the fall of the Berlin Wall, the Chinese had learned to adapt in a
proactive fashion as opposed to clinging to the “ossified party-state with a dogmatic ideology,
entrenched elites, dormant party organizations and a stagnant economy that was a certain
recipe for collapse” of the Soviet and East German systems (Economist 2009). If the ultimate
goal of a communist/socialist system, however, is to avoid exploitation and abuses of laborer
rights, provide physiological needs for all citizens, and to grant a voice to the uneducated and
impoverished classes in order to achieve some sense of freedom and judicial equality (e.g.
Monthly Review 2004), then certainly it is easy to argue these outcomes can be achieved
through any economic system, but only through a certain system of moral and ethical
reasoning.

Country % of wealth owned by top 10% in society


Given that the modern world has not
experienced a developed nation which claims
Switzerland 71.3%
communism or socialism, and the facts about
United States 69.8%
wealth distribution in Westernized capitalist
Denmark 65.0%
nations provided by professor Domhoff from
France 61.0% the University of California Santa Cruz
Sweden 58.6% Sociology Department (2010), the potential of
UK 56.0% the state proletariat is provocative. The table to
Canada 53.0% the left shows the flaw of classical laissez-faire
capitalism in the context of a democratic
Norway 50.5%
society. The majority of the population with
Germany 44.4%
regards to economics, finance and wealth is not
Finland 42.3%
served. Only a very small minority segment of
the population has control of the majority of the wealth in 8 of 10 industrialized Western
nations.

The pie graphs below show the distribution of wealth in the United States of America
alone. Although the USA has the highest GDP in the world and could sustain a much more
widespread distribution of wealth without decreasing the economic functioning, the
American laissez-faire capitalist system has created an extremely disproportionate
distribution of the money like no other nation on earth. When the bottom 80% of the
population have only 7% of the financial wealth, the spending habits of the top 20% (60
million people) control the rises and falls of the stock markets and economic conditions. If
the wealthiest 5% of the population (15 million people) decrease spending and investments
while increasing savings, the United States and parts of the outside world encounter a
recession.

Since the USA and other nations listed on the above table are already developed and set
in their ways, there is little opportunity for a change in this structure of wealth distribution.
In nations like China, as the economy develops, the distribution of wealth can be regulated
and controlled more in the interests of the majority; the failures of the American and
European capitalist systems can be used as a guide detailing what not to allow in the future
fully-developed China. If the top 20% of the US population were limited to 50% or less
control of the total money supply, the lower classes would have sufficient disposable income
to sustain consumption through economic downturns among the uppermost classes, and the
Americans could avoid recessions and depressions, though this type of stability obviously
does not appeal to Americans, who consistently defend their inequality as a defining
characteristic of what makes their nation very great; such is part of the duality of the
bourgeoisie. The 2007 concentration of wealth at the top of the US society had not been seen
since the 1920s according to Polaski of the Carnegie Endowment for International Peace
(2007).

“Beijing today is entrepreneurial, bustling, building, more gaudily commercial anything


this side of Times Square,” said Kunkel (2002) in an article entitled “A Chinese Century.”
When this author lived and worked in China between 2006 and 2007, he found the same
“interactive dynamics between rural and urban, conservative and radical, anarchist and
Marxist elements which went into the making of the early Chinese Communist movement”
(Prazniak 1998) still well represented in the Hebei Province, through Beijing, in Xian and
Guangzhou, but also a strong urge to break out of the Cultural Revolution period culture,
which students at the Chengde Petroleum College called “a big mistake.” Beech (2006) said
in Time International, “China’s global emergence ranks as the greatest renaissance of our
times.” Though many authors have postulated that capitalism and/or economic progress are
not supported by traditional ethnic Chinese cultural values, believing instead that capitalism
is a product of the West, Nuyen (1999) argued that economic progress is strongly supported
by classic Chinese philosophy. The “economy drives [the] agenda in China’s congress” (NY
Times 2009) in this most recent phase of changes, thus suggesting that economics is as much
at the core of the Chinese life as anywhere else economics is valued highly.

Aside from economic policy makers’ offices in sovereign nations, away from the
markets where tangible goods are bought and sold between private vendors on State or
private lands, there exists a dimension of politics, internal beliefs reminiscent of the qi gong
or psychoanalytical psychology, which divide people over communism, capitalism and
socialism. The concept of ownership and of property - be it physical, geographical or
intellectual, animate or inanimate - is debated and contested among proponents of each
political-economic system. What is right or wrong morally has not always been the leading
interest in political economic beliefs so much as defeating the competitors, who have
generally been as blindly engaged in fighting as any other side in global battles like the Cold
War.

The United States of America throughout the 20th century engaged in warfare over
economic systems more than any other nation. Long after these wars have ended, however,
the debates between the American capitalists and others remain. General Secretary of the
Communist Party of Vietnam Central Committee Le Kha Phieu said Vietnam “is determined
to advance along the way of socialism and no force can stop it from doing so” (Xinhua 2000).
Given that it is Vietnam’s right under international law, like all nations, to develop and
control its own economic policy (e.g. Eun and Resnick 2007), no foreign political or military
force should try to stop Vietnam from achieving its socialist goals. “We have changed our
way of thinking,” said Vietnamese Communist Party stalwart Chu Quoc Bao, 25 years after
Vietnam was reunified (Time 2000). “We believe that capitalism has many good points and
we’re trying to extract them,” Bao continued. In the course of Vietnamese development since
the 1970s war period, Amer et al (2001) gave credit to members of the ethnic Chinese
community for their part in the transformation of economic life in Ho Chi Minh City.

Chinese Communist influence is an asset in Western capitalist political relations among


the minority of communist/socialist nations on earth. Chinese Communist Party officials
have been involved in disarmament talks with neighbouring North Korea (AFP 2010), though
North Korea poses a far greater threat to Western capitalist nations like the USA than it does
to communist nations like China. North Korea has vowed its commitment to remaining a
socialist country, and utilizes its “Songun” – “military-first” - politics to defend its political-
economic ambitions against Western encroachment on North Korean domestic sovereignty
(AsiaPulse 2007). North Korea is slowly moving forward with similar market economic
concessions to those implemented by China’s Deng Xiaoping. In “emergency capitalism”
special economic zones near the South Korean border, Van Houtryve (2009) found workers
making products for the American K-Swiss brand. “In North Korea, the people’s spontaneity
is seen as one of the country’s greatest strengths,” The New York Times (2003) printed.
Perhaps South Korean “sunshine policy” (Conforti 1999) will soon aid a spontaneous
reunification of the Korean peninsula, which former German President Jahannes Rau
supported (Xinhua 2000). The “China Model” (e.g. Conforti 1999) is certainly working for
the majority of communist/socialist country citizens’ and helps a unified or separate Korea.
In a world where populations are very high, wages are low and credit is dangerous or
unobtainable, private land ownership is not a real possibility for the majority of the citizens
where laws do not prohibit such ownerships, so the causes of socialism and communism
often turn into a symbolic one in pursuit of monetary virtue. Greed and excess are deplored
while commitments and responsibilities to community are embraced, overlooking no one
person or class due to material wealth, with the ultimate goal of becoming a part of a truly
great society. These missions and visions are theoretically no less prevalent in North
America or Western Europe than they are in communist nations given the number of
charities, religious organizations and NGOs in the capitalist nations, but there is less option to
take refuge and avoid responsibilities by invoking protectionist private property legal rights
in the communist/socialist nations. Only in the future shall we find out which developed
model actually functions in the better interest of individuals, groups of varying sizes and
society as a whole.

Cuban government officials have taken up the cause of more democracy in efforts to
resurrect the nation’s “frustrated, alienated and despairing” communist citizens (EFE 2008).
Ex-state officials drafted a plea for democratization, posted on the internet, which said that
state socialism’s “attempt to administer and direct the economy has been a grave error.”
Previously, the Cuban government launched a study to find out what flaw in their system
might have caused people to steal (Miami Herald 2006), since fraud at state businesses was
so widespread. Still, since the beginning of this century, the National Assembly voted
unanimously that the socialist system is “irrevocable” and vowed to never return to
capitalism (NY Times 2002). The people’s “economy of loaves and fishes” (Gordon 1997)
could probably learn a lot from the Chinese melting pot economic structure.

Overwhelming evidence of presence of extreme class distinction in the communist and


socialist nations significantly discredits the assertion that such systems adhere to a utilitarian
– greatest good for the greatest number of people – model of capital disbursement. Whether
in China, Cuba, Vietnam or North Korea, and through all of the world’s 68 (AsiaPulse 2007)
or more communist and workers’ parties, there are the haves and the have-nots. Adam
Smith’s capitalist theory regarding the value of money and labor is no more or less relevant
or important today in the United States or Scotland than is Marx and Engels’ classless society
model ideology in the emerging communist-socialist world markets in practice. Theory and
pragmatism, in part at least, exist in dichotomy in this area of social science while what
people prosper from and admire most is often the product of the physical sciences, which are
based upon quite a different basic set of axioms and paradigm. Our technologies, medicines
and other scientific breakthroughs are made using theoretical knowledge in practice, and the
two are essentially one. Such is not the case with matters of conscience, emotion,
internalized morality, monetary ethics, caste and social class. No more is the Shanghai
Communist the picture of theoretical Marxism than is the life of the South Bronx rap music
capitalist an ideal representative of English capitalism.

These very same conundrums and epiphanies of greater reality while adhering to a large
scale social cause are what caused Deng Xiaoping to develop a Chinese-style market
economy, and what made Richard Nixon open up trade with Communist China while waging
war against Communism in Vietnam. The fundamental difference now between the
American 20th century and the Chinese 21st century is potential to set precedent for the future.
The majority will simply have to wait and see what happens since there is generally no
opportunity to control policies from outside of these perpetually rigid constructs of class,
caste, rank and position, whether in capitalism, socialism or communism. Until such a time
that economic experts can all agree on matters of their soft-science similar to physicists and
chemists gaining consensus on issues related to their hard-sciences, the best people can do is
learn and talk about what complex realities are in existence at the present moment and work
toward a goal of some kind of improvement, be it individual, organizational or collective.
Until there are zero known homeless or starving people in Shanghai or Beijing or other
Chinese cities, then the obvious truth remains that the megalopolis communist is a bit of a
puffer, no more engaged in development of an absolutely competitive model of theory in
practice than were any of Samuel Colt’s infantrymen in the westward expansion Indian War
era of the 19th century United States of America. Whether or not pure communism is
possible to achieve in a large population is an argument that might be best considered a waste
of time, like many Wall Streeters might likely believe reading the entire collective works of
the classicists is.

.
Imagine one world.
IX. A.L.I.C.E. A Legitimate International Currency Era

International unions help create regional stability by solidifying commitments between


sovereign nations. Although handshakes, smiles, words on paper and signatures are not the
absolute guarantee against war and conflict many skeptics say is impossible to have in the
human species, such legally binding agreements are certainly strengths and opportunities
which help to create more transparency related to official intentions among sovereign nations.
In our new age of technologically-aided communication, international trade, travel,
partnerships, security issues, etc., a new need for greater development of regional
international and global economic and monetary unions has emerged. Now is a perfect time
to make pre-emptive diplomatic and economic strikes against the potential threats and
weaknesses of perceived absolute autonomy in this age of interdependence among nations.
Such strikes for the common good include forming new unions and re-committing nations to
past attempts at union and treaties. Cooperation among nations on daily issues which all
people are influenced by, such as trade economics and currency fluctuations, are pragmatic
solutions which reduce foreign exchange risk, reduce tariff and quota costs among private
businesspeople, reduce risks of hyperinflation, economic collapse, currency instability, and
create lasting bonds between citizens of different nations thus reducing political and military
risks, which makes a healthier domestic and international economic environment.

European Union

The European Monetary Union, set into action by the Treaty of Maastricht (1992), made
the Europeans global innovators in usage of a modern-day single international currency.
Greek Finance Minister Nikos Christodoulakis explained that the “strength of a single
currency has contributed to containing price increases, nurturing internal demand and
purchasing power” (Europe Information Service 2003). A Stability Pact agreement helps the
EU members regulate the volatility of their single currency by keeping national deficits
below a prescribed level of GDP, though some nation-members of the informal Eurogroup
have occasionally taken option to not honor this pact.

Cross-national currencies in Europe had been attempted previously, like the 1861 Latin
Monetary Union including France, Italy, Belgium, Switzerland and Greece, which lasted
through the 1920s before experiencing the hyperinflation-related collapses prior to World
War II (Nichols 2002). Currencies recognized as legal tender with which people exchanged
goods and services over vast geographical distances are not a new idea. Be it the classic
precious metal and gems standard throughout history, the Franks’ experiment in the eighth
and ninth century Holy Roman Empire under Charlemagne, the German Zollvereign
currency-unification project in the 19th century or the first paper money experiments in East
Asia more than 1,000 years ago under the Mongol warlord Kubla Kahn, the art of making
currencies transferrable over national boundaries is not something Robert Kalina – a designer
of Euros – had imagined all on his own (ibid).

Under the Maastricht Treaty, the European Central Bank is organized very similarly to
other financial organizations. The Governing Council sets guidelines and designs the single
monetary policies mostly by way of democratic majority among its Executive Board and
governors of the national central banks of Euro area nations. Each member of the Council
has one vote except in votes which affect the national central bank positions as shareholders
of the European System of Central Banks, which are conducted by giving a weight of zero to
Executive Board representatives and each national central bank’s Council member’s vote
carries a weight according to the share of the national central banks’ European Central
Bank’s capital (Issing 1999). Nations like the United Kingdom, which have not adopted the
Euro, are allowed to discuss monetary policy and exchange rate issues, but do not participate
in single monetary policy decisions. Credit institutions were required to hold a minimum
amount of reserves with accounts at the national central banks.

Article 2 of the ESCB Statute states “the primary objective of the ESCB shall be to
maintain price stability” (Issing 1999), which is central to the European Community
objectives of sustainable output growth, a high level of employment creation and better living
standards, listed in the Maastricht Treaty. Less than 2% year-to-year inflation within the
Euro area was the goal. The Governing Council announced that a 4 ½% rate of monetary
expansion allowed for sustainable pace growth in output while contributing to price stability.

European Union laws related to finance, transparency, generally accepted accounting


practices, adequate keeping of records, etc. are kept up to date through the international
governing body and the EU functions largely as one nation financially. The economic weight
of the single market roughly matches that of the United States (Issing 1999) and the Euro
trades at around 1.5 times the price of the US dollar. Sound national fiscal policies and
discipline are given a framework by the Stability and Growth Pact, under which all EU
nations committed to maintaining budget surpluses or near-equilibrium positions. A good
balance between EU-level controls and policy making, and appropriate national responses to
individual country economic problems are necessary since the single currency is not a
panacea for all that ails the national economies. The single market structure can make only a
limited contribution on lowering unemployment rates locally, but has set as a goal
employment growth through the Euro community.

Clearly a new level of monetary and economic policy has emerged with the formation of
the EMU – that of the region or national economy under an expanded macroeconomic scope.
This intermediate step between the microeconomic level and new EMU macro level has a
crucial role in integrating once unthought-of international union policies and concerns with
micro-level organizational and intermediary level national economic activities. A new style
of cooperative competition must succeed in order to ensure EU stability in the wake of intra-
EMU national shocks, which means the American style of current account and fiscal deficit
spending is not a valid model within the EMU. Nations in the EU which do not use the Euro
have more independence in creating individual monetary policies and can choose whether or
not to cooperate with EMU national goals related to welfare, wage and unemployment. The
complex interplay between the Eurozone nations and non-Euro currency using nations in the
EU creates a unique drive to create monetary and fiscal strategies for stability and
equilibrium under many changing variable conditions (Neck 2005).
For emerging economies in the
EU like Croatia, the upcoming
adoption of the Euro will not be a
change in behavior so much as
thinking. Croatia, like many
transition economies has operated
with a very high level of currency
substitution – roughly 80% of
Croatia’s bank deposits have been in
foreign currencies, and approximately
80% of those in Euros. The less institutionalized initiative to protect against domestic
currency instability with foreign currency has proven effective and prepared several nations
for a potential future changeover to a legitimate international currency like the Euro as the
domestic currency (Vujcic 2004).

In essence, each individual nation is a subsidiary of the larger European Union, which
theoretically keeps decisions close to the level of the citizen. The idea was not to impinge on
liberties, freedoms and sovereignty of individual nations under a larger cooperative system,
but to secure those autonomous national traits by developing greater stability among
neighbors and trade partners. There have been plenty of critics and skeptics of the
Eurosystem, especially in high power nations like Great Britain, but common opinion has the
era of complete autonomy as a thing of the past. “Game, set and match” was the popular
phrase of the Maastricht years signaling an end to a very old mind game in European
economics (Garel-Jones 2007). The consensus view among economic ministers is that the
EMU’s benefits in macro-economic stability against external forces like the global credit
crises, oil crises and war-induced crises far outweigh its costs to certain developed-nation
manufacturing and labor markets (Almunia 2006).

Under the social protocol annexed by the Treaty on European Union, promotion of
employment, improvement of living and working conditions, adequate social protection,
social dialogue, the development of human resources to ensure a high and sustainable level of
employment, and integration of persons excluded from the labor market were guaranteed
(Europa 2007). The signatory nations also adopted a European citizenship over and above
national citizenship wherein all Europeans Union member nation citizens have the right to
circulate and reside freely in the EU, have the right to protection by the diplomatic or
consular authorities of a member state other than the citizen’s member state of origin on the
territory of a third country in which the state of origin is not represented, and the right to
petition the European Parliament and to submit a complaint to the ombudsman. Thus the
ratification of the Maastricht Treaty not only set up the framework for an implementation of
the Euro in 1999, but also led to a greater legal, diplomatic and political organization among
member nations.

Through post-Maastricht Treaties, the EU has grown from fifteen original member states
in 1994 to 27 in 2005, including former communist bloc nations in Eastern Europe. Treaties
of Amsterdam (1997) and Nice (2001) helped enhance cooperation among member states and
created an employment policy among the European Community.

Originally the European Coal and Steel Community began to unite European countries
starting in 1950 in efforts to end the frequent wars in feudal Europe (Europa, n.d.), making
the early European Union member nations – Belgium, France, Germany, Italy, Luxembourg,
and the Netherlands - innovators in modern international government unions. The ‘common
market’ created by the European Economic Community at the Treaty of Rome (1957) aided
intergovernmental cooperation and international trade, which led to the EU countries
dropping customs duties on international trades in the 1960s. Denmark, Ireland and the UK
became early adopters of the first stage in the European Union development in 1973 in that
decade of electoral process changes and the end of fascist dictatorships in Western Europe.
The Single European Act (1987) laid some of the final groundwork toward the ‘single
market’ structure of free trade in the Euro zone; the early EU member nations grew to 12
during the 1980s, and the reunification of Germany signaled a coming together of the
European nations as the Cold War ended.
The single market structure of the Euro zone, officially created in 1993 at the Treaty of
European Union Maastrict, was designed on the principle of ‘four freedoms’: movement of
goods, services, people and money. With the addition of Austria, Finland and Sweden, the
young EU gained power in addressing common concerns related to the environment, security,
defense and agreements in Luxembourg made allowances for people to travel across national
borders without having their passports checked by customs.

Gulf Cooperation Council

Founded May 26, 1981, the GCC is part of the early majority of international unions.
Consisting of the Dinar nations of Saudi Arabia, Kuwait, Bahrain, Qatar, the United Arab
Emirates, and the Sultanate of Oman, the GCC is a collective designed to “promote
coordination between member states in all fields in order to achieve unity” (His Highness
Sheikh Mohammed 2009).

In December 2005 the GCC made official plans to become an early adopter of the
international monetary union system (MEED 2005). This monetary union, originally planned
to be put in place in 2010, is very similar to the EMU euro-zone structure. Budget deficits
were agreed to be capped at 3% of GDP, public debt no greater than 60% of GDP, inflation
within 2% of GCC average, interest rates within 2% of the three lowest rates, and foreign
exchange reserves of four to six months of imports. The similar model of the monetary union
to the EMU helped make a free trade agreement with the EU a reasonable goal in the
development of this historic project.

Since 2001 because of oil price instability and Kuwait’s end of their peg on the dollar
amid decreasing American currency value, the GCC monetary union provided a plan for
greater currency stability and reduced foreign exchange risk (O’Sullivan 2007). Inflation had
been above 10% in some GCC nations, in what could be the #6 performing economy on earth
during the next phase of Asian continental development. Much pressure has been placed on
GCC leaders recently to stabilize prices and protect against the highly-volatile depreciating
American dollar, but Oman and the UAE decided to pull out of the monetary union for the
time being, so the original plan has been reworked.

Due to setbacks, the unified currency has been delayed by another two to three years,
now bringing together Kuwait, Qatar, Saudi Arabia and Bahrain. The King of Bahrain
ordered the Shura Council to fast track the monetary union bill and all that was left there was
for the His Majesty King Hamad to ratify the legislation. Bahrain’s Shura Council member
Khalid Al Maskati stated his belief that “in the end, the unified currency will ensure stability
and anything paid in that regard would be nothing compared to the benefits [the GCC will]
reap” (Al A’Ali 2009).

African Union

Political and economic unity were the cause of a 1963 peace accord creating the
Organization for African Unity, making Africans early adopters of a modern international
cooperation union. In 2001 the OAU’s 53 member nations transformed into the African
Union and redefined their goals to include specific challenges associated with the growing
globalized economy. In August of 2003, the Association of African Central Bank Governors
gained early majority status in adoption of a plan for a single currency and international
central bank by 2021 (Mason & Pattillo 2004).
“We have set up a task force, a committee that comprises key stakeholders like the
regional economic communities that are working out modalities toward a common currency,”
said Maxwell Mkwezalamba, the AU’s Commissioner for Economic Affairs (Xinhua 2004).

The new AU is modeled on the European Union international political body, aiming to
combine economic, military and cultural governance in pursuit of a monetary union and
African Customs Union in coming years. Financial, legal and monetary cooperation were
enhanced by the formation of the Pan-African parliament and of the Peace and Security
Council in 2004 (Xinhua).

Unlike other world monetary union plans, the AU seeks to combine projects already in
existence from three pre-existing monetary unions, which use one nation’s currency rather
than having created a separate single currency in five regional economic communities. For
many years, several African nations have relied on the Franc as an international currency and
have received support from France’s national central bank, which has helped stabilize the
currency of the CFA Franc nations from the Economic and Monetary Community for Central
Africa (CAEMC) and West African Economic and Monetary Union (WAEMU). Shillings
are used in Africa as are American dollars. Other nations within the Common Monetary Area
have used the South African Rand as a common currency. Altogether, member nations of the
Arab Monetary Union (AMU), Common Market for Eastern and Southern African
(COMESA), Economic Community of Central African States (ECCAS), Economic
Community of West African States (ECOWAS), and Southern African Development
Community (SADC) will serve as the primary components to the AU single currency system
(IMF 2004).

The biggest hurdle in Africa is organizing the many national structures involved. For
some individual nations, the AU common currency is expected to provide a negative impact
if strategic action in development of responsive fiscal and economic strategies is not made.
Like in the Euro-zone, the single currency is protected against devaluation or instability in the
wake of individual national economic shocks, and goals of growth, stabilization of inflation
and currency valuation, and job creation are fundamental to any project the AU undertakes
from the continental organizational perspective. This being geographically the largest
potential monetary union available for study, a unique set of dangers and concerns is
involved in the planning and implementation phases.

Unifying the 40 national currencies in Africa (Muchie 2002) is an option that not only
helps alleviate the monetary and economic turmoil the continent consistently endures, but it is
a project which will likely help to unify the different cultures, ethnicities and religions of
people in Africa. However, the AU plan relies upon adoption of the single currency by the
pre-existing monetary unions, like the WAEMU which has financed ballots in countries like
Guinea-Bissau (Xinhua 2004). Gaining acceptance among existing unions means creative
policy making to ensure drawbacks to individual nations like South Africa and Nigeria, and
those potentially harmful effects of a continental monetary union to the five primary
economic partnership regions are minimized or balanced out with responses designed to aid
service sectors, redistribute labor populations, adjust wages and supplement domestic welfare
losses with innovative modeling of the new union.

“The current situation in Africa is proof of the failure of the logic of loans and aid,” said
President Wade of Senegal (Muchie 2002). The average African in that year owed twice as
much to external creditors than the per capita income in the population. The New Partnership
for Africa’s Development (NEPAD) is a parallel organization to the monetary union in the
AU, and goals are to develop the currency to “protect and finance education, health, housing
and infrastructure and foster inter-African linkages” while moving away from the dependence
on international financial institutions, which have “enslaved” Africans into “the unholy trinity
of loans, aid and debt” (Muchie 2002).

Given the timetable for this new project, the merger should not be impossible, but some
special considerations will need to be addressed. Human and illegal arms trafficking,
movement of separatist militias and prostitution are practices that would be helped by a free
trade and travel zone in Africa if the Customs agency adopts the European style of border
crossings without passport checks. The rate of HIV transmission and range outside of the
primarily affected sub-Saharan region could increase if prostitution is not regulated.
Amsterdam, parts of Germany, Las Vegas, Singapore and other locales which have legalized
sex-trades and require prostitutes to renew licenses monthly or quarterly which are granted on
condition of testing negative for sexually transmitted diseases offer a good model for
regulation.

With enough cooperation, support and work, the transition to a single African Union in
politics, military, economics and culture should prove easy enough to accomplish, be
beneficial to the society in general and serve as a great stride for Africans to unite with the
world’s evolving and advancing sciences, technologies, medicines, philosophies and
institutional operations. If the leaders simply commit themselves fully to their cause and not
give up due to criticisms, skepticism and pessimism, then they should be able to create their
future under their own terms and provide more stability, opportunity and security for their
continent.

Association of South East Asian Nations

In 1967 in Bangkok, Indonesia, Malaysia, Philippines, Singapore and Thailand became


early adopters of present-day international peace treaties including focuses on economic
growth, social progress, prosperity, cultural development and partnership. Through the
thirty-two years following the initial agreement, Brunei, Vietnam, Laos, Myanmar and
Cambodia joined ASEAN. In 1974-75 Australia and New Zealand became partners with
ASEAN. In 1997 ASEAN+3 began including partnerships with China, Japan and South
Korea on issues relevant to the SE Asian region and East Asia as a whole. The free trade
agreement between China and ASEAN starting in 2010 was an economic lifesaver in a very
turbulent and difficult to navigate sea of economic ups and downs. India, the Russian
Federation, Canada, United States of America, Pakistan and the UNDP have all partnered
with ASEAN nations in efforts to create and sustain security, trade growth, and greater
cooperation between nations (ASEAN Secretariat 2009).

The Euro implementation sparked curiosity in Malaysia in 1999 when the State Bank of
Malaysia requested the International Monetary Fund to conduct a study on the “strengths,
weaknesses, pre-conditions and implications of adopting an ASEAN currency” (Xinhua
1999). Problems that were uncovered included different exchange rates in the region –
Malaysia applied a fixed exchange rate system while others applied a free floating rate
system - and currency stability differences between nations (AsiaPulse News 2000).
Finance Ministry Secretary General Noor Fuad said in 2000 that due to differences in system
structures among ASEAN member nations, a single currency was then virtually impossible,
and that the finance ministers had not discussed the matter seriously in their Brunei meeting.
Noor Fuad added, however, that a regional currency as a legitimate legal tender in other
countries would help strengthen local currencies (ibid). Brunei and Singapore introduced an
international currency in 1967 (Monetary Authority of Singapore 1998), making them
innovators (or laggards behind Kubla Kahn and the Zollvereign project depending on who is
making the judgments).

Australasian Business Intelligence (2002) stated that “the adoption of a unified currency
is a possible step for members of ASEAN. An improvement in the flexibility of the capital
market as well as the labor market would be needed for such a common currency policy to be
initiated.” ABI added that the EMU style of deficit limitations is a good idea for ASEAN
should they decide to cooperate more within their partnership.

The issue of flexibility within the labor market in SE Asia brings about a taboo topic to
consider - the illicit sex trades common to the region. If more open borders were an option
the ASEAN nations desired to pursue, and free movement of people were made possible
through a partnership similar to the EU, then regulation of the prostitution industry using
maybe the Singapore standard would be essential to limit the influx of transient and migrant
prostitutes into one nation or another, and also to help reduce the risk of increased infection
of the HIV/AIDS virus in one of the most affected regions in the world.

Along with the fast-moving Chinese and mainland East Asian economic growth has
come some expedition of political movement through the first decade of this 21st century. By
2006 the co-chairman of the ASEAN Business Advisory Council, Syed Amin Al-Jeffri,
promoted the usage of a common currency among the member nations in efforts to boost
intra-ASEAN trade. Amin stated that the volatility of the American dollar had endangered
the stability of the regional national currencies and that adoption of a common currency could
protect the region from the conditions which led to the 1997 financial crisis in SE Asia (Asia
Pulse News 2006).

Despite the criticisms and skepticism that the international currency projects endure
worldwide amidst economic fears, apprehensions, superstitions and irrational beliefs, national
pride and other problems, the Indonesian Acting Coordinating Minister of the
Economy/Finance Minister Sri Mulyani Indrawati and Bank of Indonesia Governor Boediono
stated their belief that a new international currency is needed for international transactions to
reduce the risk of dependence on the US dollar in the unsafe financial sector (Asia Pulse
News 2009). China had previously proposed an international currency to replace the
American dollar according to Asia Pulse News.
The Times of India (2009) printed that China saw the ASEAN meeting as an opportunity
to sell the RMB as an international currency with which to settle international transactions.
Japan and China offered to contribute nearly $40billion each to ASEAN member nations to
help reduce their dependence on the IMF. Laos and Vietnam agreed to use the RMB in
bilateral trade settlements. For the rest of the ASEAN nations, the RMB is likely to serve as
the currency with which they will trade with China, but might be limited to a substitute or
complement reserve currency for the American dollar rather than a legitimate exclusive
single international currency used in ASEAN. This unprecedented plan of action for the
RMB, even if only to settle trades in CAFTA, is a testament to the growing Asian power of
the PRC and its desire to limit the American influence to activities more reliant upon
diplomacy and talks rather than for military and economic support, and a strong movement
out of the 20th century for the region.
According to ITAR/TASS New Agency (2009), the Russian Federation and Kazakhstan
may also be invited to join the new Asian trade and customs union, which is a regional effort
to counteract the rigid and strengthening American and European influence in world trade.
The recent lack of classic Asian balance between the East and West has caused a growing
concern among Asian nations about the positions of the EU and US worldwide.

The recent border conflicts between Cambodia and Thailand and issues related to non-
extradition of fugitive former Thai Prime Minister Thaksin from Cambodia indicate that
neighborly relations among ASEAN members have not reached the levels the partnerships
were designed to create. Bunyaratavej and Hahn from the Institute of Southeast Asian
Studies (2003) noticed that “in practical terms, ASEAN has not reached any significant level
of regional integration.” Though with the 570 million person population, combined GDP of
$1trillion (Australian Dept. of Foreign Affairs and Trade 2009), the ISAS 2003 article stated
that a single currency would both increase trading volume and bargaining power.

The typical issues for each nation in adoption of a single currency - stabilization of
domestic economic shocks and adapting to a mobile international labor force - present in the
EMU and central focuses of the emerging monetary unions in the Middle East and Africa, so
if ASEAN members chose to implement a plan, they could participate in academic
discussions with ministers from other regions in order to minimize their failures and
difficulties in the transition to more transparent and interactive financial, economic and
political policies.

ASEAN has a special concern that the AU, GCC and EU do not have to handle on a
similar scale though, and it is likely that the 20th century drug wars, drug policies and
conflicts related to the cultivation, manufacturing and trafficking of illicit drugs are problems
that are both difficult to solve and to speak openly about.

A Full Recovery from Tall Poppy Syndrome

The World Health Organization (2009) in a briefing note for its Access to Controlled
Medications Programme issued statements featuring a very special group of “essential
medicines” – opioid analgesics like morphine, opium and diacetylmorphine (heroin). WHO
estimated that “5 billion people live in countries with low or no access to controlled
medicines” including 1 million end-stage HIV/AIDS patients, 5.5 million terminal cancer
patients, .8 million patients suffering injuries and other patients in pain.
WHO reported “moderate to severe pain can be easily controlled with opioid analgesics
such as morphine…because of their status as essential medicines, their availability for
medical treatment is a human right, as defined in the International Covenant on Economic,
Social and Cultural Rights (article 12, the Right to Health)…there is a need for greater
awareness among policy makers, healthcare professionals and the general public to dispel the
myth that opioid analgesics will do harm to patients and cause dependence…the fear of
dependence upon pain treatment is largely unfounded, as almost all patients are able to stop
their opioid medication at the end of their treatment with no long-lasting effects…the ACMP
will address all aspects that act as barriers to obtaining controlled medicines for medical
treatment including: legislative and administrative procedures, as well as knowledge among
policy makers, healthcare workers, patients and families.”

The ACMP brochure on medicinal opioids stated the ACMP directly benefits regulatory
authorities, national healthcare administrators, healthcare professionals and law enforcement
officials in developing countries where access to pain medication is severely limited.

A pamphlet authored by a group of public service organizations in collaboration with the


WHO entitled “Guidelines for the Storage of Essential Medicines and Other Health
Commodities” (2003) was accessible on a Thai government website for download and view.
Page 22 of this 114 page guide featured a section on “special storage conditions” and
included a reference to “national essential medicines lists” and detailed storage protocols for
narcotics such as morphine, opium preparations, pethidine, diamorphine (heroin),
papaveretum, hydrocodone and oxycodone, dipipanon, and tramadol, which suggests that the
Thai government does not entirely oppose sale, use, distribution and handling of heroin
despite the high-profile anti-drug campaigns in the north.

Although the World Health Organization has stated in several reports that opioids are in
short supply in world hospitals and pharmacies, narcotics officials involved in drug war
operations have consistently destroyed opium poppy fields, pure diacetylmorphine and pure
opium seized from busts and created an atmosphere of paranoia and a delusional component
to reality regarding the truth about these drugs, which a surprising lot of people do not know
are considered “essential medicines” that all people have the right to gain access to for
medicinal purposes as prescribed by doctors for pain. The former Golden Triangle nations of
Laos, Myanmar and Thailand along with Cambodia and Vietnam have a right under
international law to produce licit pharmaceutical opium and heroin to supply the demand in
the global market, which is 5/6 unmet according to the World Health Organization, the
reigning expert on this subject.

Through better communication, transparency, organizational behavior, inventory


management, security and operations management in businesses, the five or more SE Asian
classic opium and heroin producing nations can re-establish a nearly extinct component of
their cultures which was almost destroyed by a nearly-genocidal drug war against essential
medicines and the tribal ethnicities which made them. ASEAN can grow economic output
and serve the global healthcare professionals in creation and sustainment of intelligent
policies in support of basic human rights to health. Regardless of the non-prescription related
use and cartel presence related to the opioids trade in the 20th century in SE Asia, and
regardless of the opinions of Americans or Europeans, who purchase their controlled opioids
mainly from Turkey and India while advocating eradication of narcotics and therefore some
essential medicines, these ASEAN nations, societies and cultures can make a full recovery.
Regardless of popular opinion, Article 12 from the International Covenant on Economic,
Social and Cultural Rights gives people the right to have access to these medicines, and
therefore others the right to produce and sell these medicines under licit, organized and
regulated guidelines.

East Asian Union

Al Jazeera reported, “the groundwork [of the 15th ASEAN summit was] for a European
Union style bloc that will cover half the world’s population [in connection to] setting up a
single Southeast Asian free trade zone by 2015, creating a bloc with a total GDP of more than
1trillion USD” (The Times of India 2009). A rice tariff issue between Thailand and the
Philippines and then-ongoing border issues with Cambodia during the Thai-hosted summit,
amid anti-government protests in Thailand created tensions within ASEAN and suggested
that international relations were not at their peak 42 years after the initial ASEAN agreement.
India’s representative showed interest in developing better relations with ASEAN, stating
“the level of [India’s] engagement is still much less than that of other powers.”

Growing economies and developing social, cultural, military, legal and political
organizations in China and India are providing a new standard of security and stability in
Asia, and as bilateral alliances continue to be made with the US and Asian nations, the US is
likely to reduce its military role in East Asia (Francis 2006). New international groups like
the 16 nation East Asian Summit offer a fresh outlook on the possibilities among sovereign
nations on the west side of the Pacific Ocean. With greater political, economic and legal
organizational commitment among EAS, ASEAN and other smaller international groups, the
region’s nations can protect themselves against controversial and feared American and
European expansion, exploitation and corruption spread through the continent.

Talk of an East Asian Union free from the oversight of western powers has been
discussed.

“It is difficult to see how Washington could be an integral part of an ASEAN or greater
East Asian Union any more than it is part of the European Union” stated a Bangkok Post
newspaper editorial from 2009, though as many as 1 in 4 regional diplomats at the summit
said the US must be involved in an East Asian Union (Times of India 2009). Luckily for
conservative and protectionist Asians, 25% support of Washington involvement among
representatives at ASEAN & EAS does not qualify as a democratic majority.

Neil Francis, the former Australian Ambassador to Croatia, in the Harvard International
Review (2006) supported the evolution of ASEAN and the EAS into an East Asian Union,
which would house more than 60% of the world’s population, help settle longstanding
disputes between the China and Japan (two dragons on a mountain), prevent domination in
the region by any major power and aid in psychological recoveries from the 20th century
Japanese, Chinese and SE Asian wars. Francis stated, however, that nations which have
“institutionally weak, authoritarian governments, such as Cambodia, Laos, Myanmar and
Vietnam, are wary of placing their domestic policies under greater international scrutiny and
favor the status quo.” Between the low Japanese murder rates and great economic successes
in Japan, Singapore, South Korea, Hong Kong SAR, the emerging PRC and Taiwan, by 2020
this EAU should be able to provide a status quo worth believing in and a model of social,
cultural, legal, diplomatic and economic development worthy of respect.
Other than the RMB, insufficient information was available regarding a single currency
for the proposed East Asian Union, which would fall into the late majority or laggard group
depending upon its start date.

South Asian Union

At the 3rd Indo-Pak Chamber of Commerce meeting in 2003, India’s External Affairs
Minister Yashwant Sinha said “[the nations of the region] should start thinking of a South
Asian Union” (Asia Pulse News 2003). India’s commitment to the SAU puts the union in the
late majority group of adopters of such international unions, behind the innovator EU, early
adopters AU and ASEAN, early majority NAFTA and GCC, and later majority partnerships
like ASEAN+3 and the East Asian Summit. The early majority South Asian Association for
Regional Cooperation (SAARC), which signed the Agreement on South Asian Free Trade
Area (SAFTA) in 2004 (SAARC Secretariat 2009), became part of the earlier majority of
international groups enforcing free trade areas, behind the EU, NAFTA and ASEAN.

The proposed South Asian Economic Union mentioned at the 12th SAARC summit in
Pakistan features plans for a more elaborate design than ASEAN or NAFTA, including a free
trade area, customs union, monetary union and common market similar to the EU and
proposed union in Africa (Xinhua 2005). Bhutanese, Sri Lankan and Bangladeshi officials
were quoted as being in support of such a large-scale union as long as adequate preparations
were made. Heads of state from all SAARC nations made the environment, terrorism and
increased prosperity for the 1.5 billion people in the South Asian Region priorities at the 13th
SAARC summit in 2005, where Indian PM Singh stated there was urgent need “to remove
the barriers to the free flow of goods, of peoples and ideas within [the SAARC] region” (Asia
Pulse News 2005). Singh expressed regret that SAARC had not created the regional
integration and advancement that the original blueprint had set out to make.

Among the many modern questions of what the future holds many citizens were left
hopeless, confused and afraid, and the regional leaders pressed for actions offered some self-
criticism. “The honest answer is that regional economic cooperation in South Asia has fallen
far short of our expectations. It remains far behind the more successful examples in both
Asia and other regions of the world,” PM Singh said.

Though international terrorism has presented itself as a “major stumbling block in the
road to development in the South Asian countries,” former Indian Defence Minister KC Pant
said his nation should lead in the formation of the South Asian Economic Union, modeled on
the basic principles and structure of the EU (Asia Pulse News 2007). Pant was intent on
improving India’s relationship with Afghanistan, continuing bilateral talks with Pakistan in
efforts to rid the northern Indian and Indi-Paki trade region of terrorism, and settlement of the
longstanding disputes in Pakistan-occupied Kashmir.

Clearly a comprehensive union similar to the EU is the perfect solution for many of the
troubles South Asian nations face. A free trade zone featuring an earlier majority of nations
adopting a single currency, within the structure of an international customs union, featuring
an integrated, computerized, networked, transparent model of reporting for accuracy and
reliability the status of each individual nation, checked and balanced with adequate controls,
regulations, standardized protocol procedures and options to ensure survival, stability and
union among the whole of organized individual nations is a great adventure for South Asian
leaders.
Given the presence of licensed opioid farming in India with the expanses of trafficking
organizations and black market heroin labs in Pakistan, plus the methamphetamine trades in
Bangladesh, Punjabi, and Tiger rebels in Sri Lanka, there are some unique facets to this
partnership which require creative thinking to handle effectively, like the prostitution, arms
and human trafficking, HIV-transmission threats that would come with open borders.

This single currency and greater union of nations represents an economic kundalini, or
awakening from deep within the self and collective, which has the potential to eliminate the
avidya, or ignorance of the truer self relative to ancient South Asian beliefs of
interconnectedness, the collective spirit, and non-attachment to individual body in pursuit of
connection with a higher social order of the mass consciousness. The cyclical recessions,
wars, attacks, depressions and economic crises, maybe part of classic karma and
reincarnation of spirits, can be brought to an end as a practical state of mukti for Yogis and
Sikhs is achieved with a larger union, breaking free of the bonds which samsara has held
South Asians within for many long decades at least.

Central Asian Union

Kazakhstan, Kyrgyzstan, Tajikistan and Uzbekistan approved a measure to create a


single economic union within their geographical region (IPR 2000). In 2005, Kazakh
President Nursultan Nazarbayev proposed a “treaty of eternal friendship” within the Central
Asian Union, which Turkmenistan also had option to join. Economic, cultural, language,
religious, environmental and military interests prevailed as common themes in each of the
five nations (PR Newswire 2005).

“Further regional integration will lead to stability, regional progress and economic,
military and political independence,” said the President. “This is the only way for our region
to earn respect in the world. This is the only way to achieve security, and to fight effectively
against terrorism and extremism.”

Insufficient information is available regarding the possibilities of a single currency


within the Central Asian Union, though member nations Kazakhstan, Kyrgyzstan, Tajikistan
and Uzbekistan are members of the Shanghai Cooperation Organization with Russia and
China. Another regional organization known as the Collective Security Treaty Organization
is composed of Kazakhstan, Kyrgyzstan, Tajikistan, Armenia, Belarus and Russia. With
some additions into the Central Asian Union from former Soviet Union states like Armenia,
possibly through stronger ties with neighboring Iran, which called for Tajikistan to join the
Union of Asian Central Banks (IPR 2005), and integration with some of the Caucasus states
which are not satisfied with certain encroachments made by the EU, a larger economic and
monetary union could be a good possibility for late majority or laggard Central Asia.

Kyrgyzstan recently joined the Central Asian Customs Union, made of Russia, Belarus
and Kazakhstan (Asia Pulse News 2009), which is one of the steps in creation of larger
economic and monetary unions along with free trade agreements, which again insufficient
information is available to comment on related to the Central Asian Union.

North American Union


In 1993, US President Bill Clinton signed into law the North American Free Trade
Agreement between Canada, Mexico and the USA, which lifted virtually all trade restrictions
and tariffs between the three nations. NAFTA, which started in 1994, is the world’s largest
free trade zone (A&E Television Networks 2009), and made the US, Canada and Mexico
early adopters of the modern day FTA system.

Like other partnerships and changes in international law, NAFTA has its critics.
Massachusetts Institute of Technology Linguistics professor Noam Chomsky touted that
“trade agreements override the rights of workers, consumers, and the future generations who
cannot vote in the market on environmental issues” (The Nation 1993) and given the
manufacturing practices of American-headquartered multinational corporations outside of the
USA, Chomsky still has a great point since American MNCs often violate American
environmental and labor laws while operating in foreign nations under more lax
environmental and labor policies. “Globalization revealed and exacerbated, rather than
created, the basic problems with the U.S. system,” according to the Carnegie Endowment for
International Peace (Polaski 2007). However, the idea that NAFTA and other trade unions
“help keep the public in its place,” as Chomsky stated in 1993, is more subjective opinion
rather than fact. In fact, according to Mara Eleina Conway (1998) “NAFTA contains a
provision called the North American Agreement on Labor Cooperation, which gives workers
in Canada, the US and Mexico the right to seek redress for claims of labor rights violations in
any governmental body anywhere in North America…plaintiffs can ‘forum shop’ to find the
jurisdiction where they are most likely to achieve their desired outcomes.”

Leading up to the 2008 Presidential election in the USA, another partnership called the
North American Union was a sideline issue, like NAFTA was leading up to the 1992
election. The NAU idea has been talked about for several years since NAFTA, and notable
leaders like ex-Mexican President Vicente Fox frequently urged a larger scale union more
like the EU for North America. In 2001, along with other credible professional publications
the Wall Street Journal supported Fox’s vision for a more unified NAFTA region (McManus
2007).

Although American citizens and representative leaders criticize the NAU as being a
threat to American sovereignty, according to The New American (2006) the heads of state
from the USA, Canada and Mexico met in Waco, Texas in 2005 to create what could turn
into the beginning phases of the NAU. The Security and Prosperity Partnership for North
America, founded in Waco on that day, stated a goal of “a safer, more prosperous North
America.” Due to political uncertainty and unruly cult-like conservative sects of voters in
the USA, much of the NAU talk has been kept among the media and ambitious business
professionals rather than among representative leaders in public. Former President Bush Jr.
alluded to such a larger union as being safe by poking fun at conspiracy theorists common in
the USA.

The New York Times ran a long article entitled “The Amero Conspiracy” (Bennett 2007),
in which it is stated that “government officials say a continental union is out of the question,
and economists and political analysts overwhelmingly agree that there will not be a North
American Union in our lifetimes.” Despite the official denial of such a plan, many
conspiracy enthusiasts have enjoyed discussing and ridiculing the nearly fictional NAU. The
US could kill two birds with one stone, so to speak, by implementing an international
common currency – handle the “IN GOD WE TRUST” Constitutional establishment clause
violation without alienating Christian Americans through a lengthy court process of removal
of the phrase, and also join other regional nations economically and politically, thus
solidifying partnerships and commitments to the common currency zone.

Given the volatility of the US dollar and its minor-league instabilities which prompted
The Motley Fool to claim “The Dollar is Dead!” (2009), the rise of the Canadian dollar to
match and exceed the value of the American dollar, issues related to job losses to Mexico
from the once-strong manufacturing based US economy, the American current account deficit
which is by far the highest in the world, the US interests in the Mexican drug war, Mexican
interests in stopping Americans from smuggling small arms into Mexico, and generally allied
political ambitions within the NAFTA nations, a monetary union would be functional and
would likely satisfy many segments of each population, help to unify the region, and such an
NAU could likely gain acceptance and bind together with a larger majority of Central
American and Caribbean nations like Jamaica, Puerto Rico, Haiti and the Dominican
Republic, Costa Rica, El Salvador, Honduras, Belize, maybe eventually unifying the entire
continent from Panama north, thus solidifying a pact to legal and political transparency, more
standardized customs procedures, military cooperation and monetary stability, more regulated
economic trade, and socio-cultural parity. The Free Trade Agreement of the Americas
(FTAA-ALCA 2003) and Central American Free Trade Agreement (USDA 2009) could help
a unified American currency and economic vision, but those agreements are slow-going and
difficult to manage. The opposition voters within the United States citizenry would have to
accept such a union despite all of their paranoid fervor regarding foreign nations, which is
unlikely in this day. The benefits of such a NAU from Panama north, perhaps one day
including Cuba, would far outweigh the tangible costs, but the implicit costs to American and
other national and patriotic pride might be too great for the public to rationalize. Such is the
case with all of these unions: the psychological costs are of the greatest magnitude, but
beyond that, there are really only benefits.

The NAU nations are likely to be among the last adopters of any international legal,
socio-cultural, political and economic/monetary unions on earth, and thus expose themselves
as laggards where they perhaps wish to be considered innovators of all such civil partnerships
designed to overcome the boundaries of race, language, color, religion, sex and creed.

South America

Among the batch of 1990s early majority adopters of international unions was the South
American Customs Union and Common Market of the Southern Cone, consisting of
Argentina, Brazil, Paraguay and Uruguay. The nations set common external tariffs – 15% in
the first four years when auto manufacturers began to integrate production between Argentina
and Brazil, and Chile, and Bolivia moved to join the Mercosur union. However, without a
single currency, national economic crises put stress on the trade pact and external tariffs had
to be raised in Argentina. In 2001, despite negotiations between Mercosur and the Free
Trade Area of the Americas, many economists had already started to doubt this “marriage”
(Bussey 2001).

By 2005, Brazilian plans to build bridges, transcontinental roads, and expanded energy
distribution networks served as a foundation for a South American Community of Nations,
which includes all 12 nations, totaling 360 million people and 1trillion USD in combine
GDP. In Cusco, the leaders from Mercosur FTA, from the Andean Community and beyond
dreamed of a continental agreement similar to the EU, which would “give flesh, bone, soul,
heart and life to the dream of Bolivar” (The Economist 2004). Venezuelan President Hugo
Chavez proposed “a strategic integration plan…a project of incorporation without ideological
patina” under four guidelines: “the political as the engine, the social as the flag and priority,
the economic as a wagon, and the culture as fuel” (Xinhua 2004). Their high-altitude 2004
dream has yet to become a reality. The Americans, indeed, are lagging behind in actions.

Conclusions

Without a dropping of barriers by


implementing international monetary
and economic unions such as those in
the EU and soon to be in the GCC,
planned for the SAU, AU, potentially
for the EAU, ASEAN, and hopefully for
the CAU, NAU and SACN, the royal
hedge maze, so to speak, is incredibly
difficult to navigate for holders of
individual national currencies A through L.

On November 26, 2009 our short version global money matrix looked like this:

By 2025 with minimal effort by today’s standards, up to 90% of our global money matrix
could look like this:

For developing nations which have adopted American and European headquartered
multinational corporations into their economies, single international currencies can help
protect against price increases for domestically-made-and-supplied goods and services, like
coffee drinks, restaurant food services, sporting goods, retail clothing, tattoos, and other
businesses which compete with international brands, in the context of the expanding
American and European pricing model. In this way, international monetary unions can help
to stabilize purchasing power parity within domestic-only markets instead of changing the
entire pricing structures of developing nations to meet the MNC standards which some
domestic consumers pay for at franchises like McDonald’s, KFC, Starbucks, Tesco, Sizzler,
Adidas, DQ and others.

In nations like Thailand in these few coming decades, a single currency can help protect
against the effects of monetary changes associated with the passing of heads of state, royals,
important geo-political and economic figures, and protect against monetary effects of
political turmoil. In African, South American, Middle Eastern and Central Asian nations,
monetary unions and single currencies can help stabilize prices and currency values in the
event of war, minimize threats of war, and can serve as a common-good platform for nations
which subscribe to the various socio-economic political strategies (i.e. socialism, capitalism,
communism, other).

To many current and former workers at the FOREX markets, the advantages of the
unions are rather self explanatory given the money matrix data, the disadvantages likely
limited to mere opinion.
X. Self Sufficiency

The World Bank (2004) estimated that 2.7 billion people in that year lived on less than
US$2 per day. The fact that about 40% of the world’s people are so deeply impoverished
suggests that there is a very large percentage of the world’s population which does not desire
to develop their communities, lands, nations and economies using the American or modern
globalized model. While the number of people unwillingly impoverished is high enough that
the UN and World Bank support the Millennium Development Goals to “eradicate extreme
poverty and hunger,” the “Global Partnership for Development” plan must be diverse to suit
the needs and wants of locales throughout the world. Many cultures, subcultures,
demographic sects, tribes, ethnicities, religious people, and adamant conservationists will
choose self-sufficiency instead of large-scale commercialization under the American, British,
French, Japanese, Australian, Korean, Chinese or other world superpower system.

People in nations like those found in Africa, South America, Oceania and elsewhere in
the developing and third worlds show support for American, European and first-world
freedoms in diversified domestic market activities, but segments often choose not to
participate in the Westernized or Japanese-Korean style hyper-consumption. A sense of
losing one’s own cultural identity has been a commonly noted result of recent efforts in
globalized commercialism among other environmental, social, economic and cultural
negative effects. Economic development is known to be a source of conflict similar to
religion. Multinational corporations, individuals and non-profit organizations alike need to
learn to help further the general goals of benefitting communities, but also respect rights to
sovereignty, self-preservation and exclusion of foreign methods and models when they are
reasonably determined to be harmful to the health and wellbeing of a society or segment.
Places like New York City, Los Angeles, Washington D.C., London, Paris, Berlin, Tokyo,
and elsewhere in the uppermost class of global economic achievement are full of problems,
as are the Hamptons, Chateau Villas in France, Orange County, Naples, and the less urban
upscale communities; plenty of people do not want to live that way or give undue credit to
the people who do. Such is part of living in a pluralistic society – we must live and let live.

Thailand has a unique sufficiency program in operation which many developing nations,
especially Kingdoms, could learn from. Although Thailand’s King lives at the apex of
prosperity as the world’s richest monarch (Forbes 2009), His Majesty’s Royal Initiative in the
Sufficiency Economy has been influential in the politique-economique of Thailand, if not the
region.

“So long as we have enough to live on and to live for…we shall already be considered as
the top in comparison with other countries in the present world,” said His Majesty in 1974.
Of course, anybody who has been to Bangkok or the tourist cities in Thailand can deduce that
expansive development has been an active function of the national economy, and it is
apparent that self-sufficiency is not a program for the whole population. On the matter of
development, His Majesty said earlier in 1974, “…development of the nation must be carried
out in stages, starting with the laying of the foundation by ensuring the majority of the people
have their basic necessities through the use of economical means and equipment in
accordance with theoretical principles. Once a reasonably firm foundation has been laid and
[is] in effect, higher levels of economic growth and development should be promoted…”
(Office of the Royal Development Projects Board 2004)

According to the Thai Royal Office (2004), being prudent and academically correct,
incorporating moderation, caring and giving, mutual assistance, collaboration, creating
sufficient protection from internal and external shocks, and adhering to morals in life are
elements of the sufficiency economy, which was long ago an innovator in sustainable
development prior to the most recent media push for such models. The Thai Embassy in
Manila (2010) listed four primary functions of the 24 billion Baht sufficiency economy
project:

1. Projects that involve minorities and unemployed people in the community to develop
sufficient living, consumption, and spending.
2. Projects that support and promote cost reduction and efficiency in sectors like
agriculture, to enhance employment’s potential, raise income, reduce expenditures,
create job opportunities, and improve development capacity.
3. Projects that support and promote energy conservation or alternative fuels.
4. Projects that support and promote the conservation of natural resources; benefit
environmentalism, arts, cultures and tourism.

Thailand’s Tokyo Embassy (2010) printed that “more than 3,000 royal-initiated projects
have been set up since 1952,” which are designed to create self-reliant Thai people. Climate,
rainfall and soil fertility make Thailand, among dozens of other tropical nations, ideal
geographical locations for basic-needs self-sufficiency economic policies and projects. His
Majesty’s “New Theory” is a plan for independent rural communities to grow surpluses of
rice, fish, fruits, garden vegetables, livestock, mushrooms or other agricultural products
enough to market and sell. Further expansion in the third phase of the New Theory entails
commercial production, requiring loans from banks or private companies. Crowded
dependent urban sectors like Bangkok, in which there is virtually no ground for gardening,
obviously cannot benefit much at all from the New Theory in agriculture sufficiency.

Many nations on earth have set up official policies, plans and projects supporting self-
sufficiency economic measures. As part of the global sustainable development goals,
autonomous economic systems are a staple part of the current and next phases of
collaboration among nations in pursuit of stable, functional, and sufficient market
communities. Below are some current events in sufficiency economics around the world.

• In 2007 (Asia Pulse), Vietnam expected to fully meet domestic cement production –
60 million tones - by 2010. Vietnamese officials in 2007 (Asia Pulse) also reported
that the nation’s 1 million sugar cane growers were expected to meet domestic
demands soon through the 2010 to 2020 development plans.

• In early 2008 (Asia Pulse), the Indonesian House of Representatives decided food and
other strategic commodities self-sufficiency needed to be reached. “Oligopolistic
businessmen controlling soybean prices” especially prompted government leaders to
outline a plan to keep the farmers from facing the global market. On New Year’s Day
2009 (Asia Pulse), Indonesia reported it had achieved self-sufficiency in rice
production after 50 years of declining rice cultivation. The success in rice in 2009
was attributed to agricultural technologies. By the end of 2009 (Asia Pulse),
Indonesia announced it needed to invest US$328.6 million to reach sugar self-
sufficiency by 2014.

• The Philippines expected to reach coffee self-sufficiency by 2015 according to FWN


Financial News (2008). Investments of US$3.1 million to raise coffee production
twofold, up to 75,000 tons by 2015, were said to be needed. Filipinos were the
world’s largest importers of rice according to Xinhua (2008), and due to rising prices
in rice President Arroyo said it was “imperative for the Filipinos to control their own
destiny” and vowed to achieve rice self-sufficiency by 2013. Previous goals to reach
rice self-sufficiency by 2011 have been since considered unrealistic.

• Malaysia announced it should achieve 80% self-sufficiency in rice by 2010 (Asia


Pulse). A government official said a US$1.3 billion project between 2008 and 2010
improved irrigation and efficiency on paddies, raising the production per hectare up to
10 tonnes.

• As of 2004 (Xinhua), the Myanmar government has been encouraging increased


growing of palm oil for edible oil self-sufficiency, though no date was announced as a
goal for such self-sufficiency.

• From 3.2% rice self-sufficiency in 2009 (Xinhua), Brunei set ambitious goals to reach
20% by 2010 and 60% by 2015 using 4,906 hectares of land in two of the nation’s
four provinces.

• The Australian New South Wales government announced an A$30 million investment
initiative to attract companies to find and provide gas for their state, hoping to reach
self-sufficiency in energies (ABI 2004). Cattle, hunting, mechanical skills and classic
knowledge of frontier living are still at the heart of Australian outback self-
sufficiency, said the Dallas Morning News (2004).

• In 2007 (Asia Pulse), Taiwan’s LCD equipment self-sufficiency reached 30% in


pursuit of national goals of 80% self-sufficiency for equipment and assemblies, and
60% for manufacturing equipment. There are very few nations which can boast self-
sufficiency goals in those high tech products.

• Developing China is adjusting its self-sufficiency plans for food (Asia Pulse 2007).
By 2020 from 2000 numbers, a Chinese government official announced rice
production will increase from 103.8% to 104.5%, wheat production will decrease
from 93.9% to 85.1%, maize production will decrease from 97.4% to 72%, and
soybean production will decrease from 46.1% to 20.6%. Also in 2007 (Asia Pulse),
China announced it planned to increase oilseed self-sufficiency. In 2008 (Asia Pulse),
a Chinese securities firm reported domestic self-sufficiency in wood pulp would
increase to 14% by 2010. In 2008 (Asia Pulse), the Chinese National Bureau of
Statistics reported that Chinese energy self-sufficiency was at 90% for its previous
period, with 8.2% of total energy production coming from renewable sources.

• South Korea aimed to achieve 50% self-sufficiency in semiconductor manufacturing


machines by 2015 (Asia Pulse 2007). Korea is the world’s third-largest producer in
semiconductors. In 2008 (Asia Pulse), South Korea initiated a US$885.7 million
project to gain 18.1% of self-sufficiency on gas and oil in 2012. US$16.3 billion were
allocated from government and corporate bonds to increase self-sufficiency in
minerals to 38% by 2012 (ibid). South Korea’s grain self-sufficiency ranked third to
last among OECD nations at 25.3% in 2008 (ibid), which is a side-effect of massive
industrialization within small geographical locations like South Korea.

• Japan Times (2007) used calories supplied for a measure of food self-sufficiency,
which was at 39% in 2006, as opposed to 84% in Germany, 128% in the United
States, and 237% in Australia. The Japanese government made a goal of increasing
self-sufficiency in food to 45% by 2015. The 45% goal was originally set in 2000 for
to be achieved by 2010 (Japan Times 2008), but was pushed back. Better prices and
taste were said to be reasons Japanese people preferred importing food. The Japanese
government set a value-based self-sufficiency goal of 76% by 2015 from the 2005
rate of 70% (Xinhua). Subsidies and incentives were initiated to entice farmers to
grow more.

• FWN Financial News (2007) reported on Russia’s plan to become self-sufficient in


white sugar through beet production by 2012, costing about US$1 billion.

• The Canadian government has made treaties with aboriginal nations to lift the
restrictions of the Indian Act and give the five Maa-nulth nations power to organize
self-sufficient development systems on reservations (Narine 2008).

• Like many present-day initiatives in the United States of America, self-sufficiency is


often developed by private residents and NGOs. For example, Planned Parenthood’s
Teen Success Program helps young parents achieve financial self-sufficiency
(Appeal-Democrat 2008), which helps cut government support spending of tax
revenues which could be spent in other programs. Individuals often give advice about
shopping, cooking, self-sufficiency farming, land ownership, energy conservation,
efficient transportation, second-hand shopping, at-home healthcare options, thrifty
education and entertainment, volunteering and other activities that support general
economic efficiency and self-sufficiency in the private sector (Idlebrook 2007). The
United Way, in part of its individual self-sufficiency research, reported that a single
parent of two children needs to make US$31.71 per hour to afford housing, food,
child care, and transportation to live in Orange County, California, yet the State’s
minimum wage was US$8 per hour (OC Register 2008). In places like Santa Fe, New
Mexico, local press reports stated that “self-sufficiency [has been] an elusive goal”
(SFNM 2007).
Since privatization has only worked in part for a limited number of sectors,
communities, demographic segments and individuals, public support of self-
sufficiency projects has been implemented in the USA. “Poverty is not just about not
enough income,” said a Texas county official who helped organize a Summit on
Poverty (Fort Worth Star-Telegram 2007); poverty is about not having opportunities,
access to credit and necessities of the modern age. The Chattanooga, Tennessee
Housing Authority helps people become homeowners through a family self-
sufficiency program (Times/Free Press 2007). Some city municipal programs, like
the Parks & Recreation Department and Mayo Civic Center in Rochester, Minnesota
(Post-Bulletin 2009) have undertaken goals of reducing budgetary expenditures and
becoming self-sufficient. The United States government has partnered with foreign
nations like Palau to aid self-sufficiency abroad too (General Accounting Office
Reports & Testimony 2008).

• An Israeli Agriculture Minister suggested Mexico implement a similar dairy-farming


subsidy as what is used in Israel to help Mexico achieve milk self-sufficiency (SABI
2002). 2003 reports announced Mexico’s plan to achieve self-sufficiency in natural
gas (Internet Securities) and gasoline (EFE) within a five to ten year plan. Mexican
officials also set short-term goals to create food self-sufficiency after a National
Autonomous University Mexico study supported food self-sufficiency (Internet
Securities 2003), with a sideline aim of eliminating malnutrition by 2015 in part of
their new agricultural programs (Lewis 2006).

• The Union of South American Nations supported ongoing programs to help South
American nations become financially self-sufficient (Xinhua 2008). If South America
can operate without international loans and aid, “like the European Union,” according
to Ecuador’s President, Unasur can stop “kneel[ing] down to get a small loan here and
there.”

• Oil producing nations like Colombia have started planning for an end to their self-
sufficiency in petrol. Colombia pushed its oil self-sufficiency ending date back to
2019 from 2017 after improving oil technology and techniques (LatAm Energy 2009).

• In Venezuela, President Hugo Chavez announced in 2007 (Xinhua) that their nation
would soon become food self-sufficient.

• In 2006 (EFE), Brazil declared self-sufficiency in oil 53 years after the state-owned
Petrobras company made its initial commitment to the national goal. Petrobras
executives said Brazil will be self-sufficient in diesel by 2014 (Xinhua 2007).
Brazil’s Agriculture Minister announced an ambitious goal that Brazil will become
self-sufficient in fertilizer production by 2019 (Xinhua 2009) from the 27% 2009 rate.

• Namibia has made efforts toward self-sufficiency with its Kudu gas-power project
(Ford 2005).
• Angola asked the Vietnamese government for help with acquisition of farm tools for
Angola’s food self-sufficiency programs (Xinhua 2003).

• “Small and medium scale enterprises are an integral part of [Zimbabwe’s] industrial
development,” said Robert Mugabe, who had been looking to promote sustainable
development with self-sufficiency in mind for Zimbabwe (Xinhua 2004).

• Madagascar has made strides toward self-sufficiency with help from the International
Fund for Agricultural Development (Magada 2007). Irrigation systems, improved
rice production, fairer deals for vegetable, manioc, corn, spice and vanilla farmers
have been helped by international financial efforts.

• In response to the food crisis, the Egyptian foreign Minister proposed food self-
sufficiency to the Executive Council of the African Union (IPR 2008). In 2006 (IPR),
Egypt reached 90% self-sufficiency in pharmaceuticals. Egypt reached 70% meat and
80% sugar self-sufficiency in 2009 (IPR), and made a goal of 80% food crop self-
sufficiency from the 2009 60% mark (IPR).

• Nigeria targeted 2012 for self-sufficiency in rice (Xinhua 2006). “For too long
Nigeria has been running a consumer economy without emphasis on
production…[now] Nigeria [wants to] produce enough to consume and export,” said
the Nigerian Rice Farmers Association President.

• Amid high Tunisian, Algerian and Moroccan demands for soft wheat imports, and
North African cereal imports, North African nations started planning for food self-
sufficiency in 2009 (Xinhua).

• Morocco reached 85% self-sufficiency in pharmaceuticals in 2006 (IPR).

• European Union beef and veal consumption exceeded production for the first time in
25 years between 2003 and 2004 (Agra Europe). Poultry demand exceeded supply in
Europe in 2005 (Agra Europe). The poultry industry had been functioning at about a
nil over/under supply per demand.

• UK self-sufficiency in food and agriculture declined 10% between 1994 and 2004, to
just over 63%, leaving the Brits dependent on imports from the Netherlands and
France (Agra Europe 2005). A 2005 survey of apples in an average southwest
London supermarket showed that only 2 of 9 sold were British; the same survey found
Israeli potatoes, Spanish cabbage and Ethiopian dwarf beans (Farmers Weekly 2005);
a Tory spokesperson said the decline in self-sufficiency damaged British farm
incomes. “The UK will become a new landing point for gas in Europe,” according to
British experts as the “UK’s days of gas self-sufficiency are coming to an end,” said
Gas Connections (2005).
• Wind turbines, pumps that extract heat from cows’ milk to heat homes, burning wheat
and straw, and solar power help the Danish island of Samso become energy self-
sufficient (Tagliabue 2009).

• Poland planned to undertake an aggressive domestic gas production expansion project


in 2004 (Gas Connections), aiming for greater self-sufficiency from the 35% 2003
rate.

• Food self-sufficiency has been proposed in the Middle East at a cost of US$40 billion
(IPR 2003). An Arab Economic Unity Council general secretary said self-sufficiency
in food is possible by 2010, though in 2003, US$25 billion annually was spent on
food imports.

• Syria reached 85% self-sufficiency in pharmaceuticals in 2006 (IPR). In 2009, Syrian


officials gave top priority to development of agriculture to help Syria achieve self-
sufficiency in food as soon as possible (IPR).

• Lebanon estimated pharmaceutical self-sufficiency to be only 12% in 2006 (IPR).

• Jordanian leaders planned to become energy self-sufficient by building 5 nuclear


power reactors over 30 years, the first in 2018 or 2019 (MEED 2009).

• “From everyday operations to mission-specific operations as well as performing civil-


military operations,” the United States military had been training Iraqis to be self-
sufficient militarily (M2 Presswire 2009).

• Saudi Arabian self-sufficiency in pharmaceuticals was estimated at 20% in 2006


(IPR). Wheat, barley, fruit and vegetables make up the Kingdom of Saudi Arabia’s
agriculture sector products, which have driven self-sufficiency in food for many years
(MEED 2007).

• Yemen’s self-sufficiency in pharmaceuticals was estimated at 40% in 2006 (IPR).

• The United Arab Emirates reached 20% self-sufficiency in pharmaceuticals in 2006


(IPR). The UAE achieved full self-sufficiency in food despite the desert climate
(AsiaPulse 2006). UAE leaders also aimed to alleviate poverty and hunger through
support to poor countries.

• Iran achieved self-sufficiency in producing centrifugal pumps in 2006 (IPR). Also in


2006 (IPR), Iran announced it should achieve agricultural crop self-sufficiency by
2010. Iran’s Minister of Industries and Mines said his country was very close to self-
sufficiency in steel in mid-2009 (Asia Pulse). Iran’s Deputy Oil Minister announced
Iran should become self-sufficient in gasoline by 2012 (Asia Pulse 2009). Also in
2009, Iran’s Minister for Housing and Urban Planning announced Iran was self-
sufficient in producing construction materials (Asia Pulse 2009).
• American military forces had been training Afghanis to be self-sufficient in military
as was the story in Iraq (Chattanooga Times/Free Press 2009). True self-sufficiency
in military for Afghanistan, like Iraq, might likely prove counter-productive to the
American mission there, however.

• Pakistan had achieved self-sufficiency in cotton, sugar cane, wheat and rice, and the
Food and Agriculture Minister in 2003 announced overall self-sufficiency in
agriculture should be sustainable (Xinhua). Pakistan achieved self-sufficiency in urea
production in 2004 (Asia Pulse).

• Weekly Petroleum Argus (2006) stated India aimed for self-sufficiency in petrol and
natural gas energies. Talks about strategies and developments are ongoing in efforts
to bring India’s power sector self-sufficient (Asia Pulse 2008). India is self-sufficient
in butter (Asia Pulse 2007) and wheat (Asia Pulse 2005) according to recent reports.
Government officials in the Jamali region committed to self-sufficiency goals for
agriculture in efforts to help sustain the poor population (Asia Pulse 2009).

• Bangladesh is sustaining self-sufficiency in rice (Asia Pulse 2009).

• Sri Lanka is attempting to redevelop communities hit by the 2004 tsunami with self-
sufficient models (Porteous 2008).

Conclusion

Globalization works great for various segments of a very diverse global society, though
without oil for fuel, the globalized economy might fail, so dependence on international
shipping is not prudent in the long-term. Advancements in communication, technology,
breakthroughs in science and healthcare, financial discipline and greater trade volume have
benefitted many multinational corporations and small business owners through the past 50
years and more. Despite the 1990s Dow Jones Industrial Average growths, wired
communities, undersea fiber optics, offshore drilling platforms, aerospace advancements,
shipping, tracking and logistics changes, 2.7 billion people are still unable to access enough
money to afford simple items at modern grocery stores. The post-WWII Allied model of
development has not been accepted by remote villages all through Africa, South and Central
America, and Asia. 40% or more of the world’s people have rejected the 20th century big
business, corporate and expensive industrial models of development using behavior as a
measure. Self-sufficiency is a step up in class for up to 2.7 billion people who cannot afford
to live any other way.

When a bottle of Coca-Cola is half a day’s wage, nothing about the New York, London,
Tokyo, Shanghai, Hong Kong, Singapore, Chicago, Kuala Lumpur, Dubai, Moscow, Berlin,
Paris, Philadelphia, or Sydney way of life is economically reasonable. Now that expansive
economies of scale, globalized markets, international shipping routes and other big business
infrastructures have been created for the richest people, which represent only the tip of the
iceberg, so to speak, it is important to take into consideration what mass lies beneath the
surface which is not visible from the stock exchanges, the fashion runway affairs, gallery
mixers, million dollar homes and executive clubs. Market opportunities of varying sizes are
available for people who are willing to engage in “disruptive innovation for social change”
(Christensen et al 2006). In the end, it is important to understand that while some three-
piece-suit-wearing big shot executive might think it’s funny that people can live on less than
US$2 per day, a great number of the people who do live on those meager salaries think it’s
ridiculous that the posh suburbanites and uppermost classes of people can’t make their own
clothes, go a day without a shower, get their hands dirty, or live without their personal digital
assistants. Whether for individual, local, provincial, or national application, with a self-
sufficiency option in development, both of these parties in the trade arguments can have their
way.
Mathematical
Sciences Medical Sciences

Laws Arts &


Culture

Social
Sciences Religions
XI. Interdisciplinary Economics: Beyond Theory A v. Theory B

Behavior, whether consumer or supplier, like opinion, emotion or attitude related to


general market economic activities is not merely a function of a Marshall Cross or normal
curve or Pareto diagram. Human life is driven by still unexplainable forces. Some of what
scientists have discovered and explained using math or psychological measures is not entirely
accurate and reliable. Upon reading several articles on a single subject in a social science
like economics is said to be, a researcher is likely to find conflicting data, and studies with
opposite or near-opposite conclusions on a single theory or hypothesis. Absolute causality
(Zikmund et al 2010) is often impossible to prove, and what we often rely on is contributory
or conditional causality to understand effects like market fluctuations. Life is nearly
infinitely complex on this planet and scientists have only begun to study cause and effect at
small scales taking into consideration several known and still unknown influences in the
moving environment.

“[When considering] decisions affecting the future…whether personal or political or


economic,” said John Maynard Keynes (Ackert et al, Federal Reserve Bank of Atlanta 2003),
“[we] cannot depend on strict mathematical expectation [to explain why] the wheels go
round.” According to Ackert et al, “a vast psychological literature shows that emotional state
can significantly affect decision making,” including economic decisions related to financial
markets. From the work linking psychological analysis to economic decision making, we
now have the field of behavioral finance, though this discipline emphasizes cognition more
than emotion. Emotion is subjective, difficult to define, monitor and quantify, and thus
scientists have only just started to understand the internal aspects of emotion of an individual,
much less outward projection of emotions and the effects of individuals’ emotions in decision
making, and the combine effect of many individuals’ emotions on the external environment at
work. We can conclude that emotions affect behavior, lead to suboptimal decisions (Ackert
et al 2003), and are relevant to study through interdisciplinary efforts, but to what extent the
integrated fields can help explain causes and define parameters of emotion is still uncertain.

Due to breakthroughs in social sciences apart from economics, which managers,


employees from human resources, sales and R&D can utilize to maximize consumer appeal,
some classic paradigms and theories have shown to have fatal or irreparable flaws. The very
idea that a theory or paradigm could or should be criticized, questioned for its underlying
validity and intersubjective certifiability (Zikmund et al 2010), is somewhat controversial and
new in the sciences. In 1962, Thomas Samuel Kuhn released “The Structure of Scientific
Revolutions” which indirectly supported longstanding socio-cultural efforts by laypeople and
heretics to undermine the integrity and mission of sciences and/or of scientists, though
Kuhn’s “post-normal science” was structured into the model of the linguistic science of
philosophy (Bird 2004) and actually upheld the larger model of scientific thought by
exposing internal conflicts, confounds and contradictions across fields. Kuhn’s work was
designed to unify science rather than divide it into autonomous, mutually exclusive, discrete
parts, which was and still is a controversial endeavor.
Economics is a field that has come only from interdisciplinary activities, starting with
philosophy (Pellet 2009), combine with politics in works by Say (1803) and Jevons (1871),
and more recently with empirical social sciences. If social science is ever to succeed in
uniting people or changing norms to help the majority or afflicted minorities, then general
apprehensions related to conjecture, hypothesis and theory must be minimized if not
eliminated. Austin and Wilcox (2007) cited Romer, who in 2003 found that “there may be a
great deal to be learned if we do not presume that ideology is just a mask for individuals’
well-informed pursuit of their self-interest, but instead consider the possibility that it often
reflects individuals’ beliefs, and that these beliefs often influence their actions.” In other
words, we must learn to understand ideology in isolation aside from the author or advocate of
a specific ideology. Though Austin and Wilcox (2007) found that a quantifiable presence of
skepticism toward economic theories inhibited non-economists from believing in economic
theories, Austin and Wilcox found that ideology was important to North American students
and that by presenting unambiguous empirical data, like those collected via interdisciplinary
studies, some nonbelievers can be persuaded to accept the validity of economic theory.
Research producing opposing results has shown similar prevalence, however. Wilson and
Kwilecki (2000) cited a survey by Klamer and Colander in which two-thirds of graduate
economics students rated knowledge about actual world economies as being “unimportant.”
Indeed, there are many opinionated practitioners of economics who influence media and
theory which makes its way into the workplace, and some of what economists and their
apprentices spew out as theory, and more still law, seems to be the antithesis of empiricism.

Bourdreaux and Crampton (2003) discussed the influence of false consciousness on


economics, especially false consciousness related to emotionally provocative events and
ideology in the context of Marxism. “False consciousness exists whenever the degree of
misunderstanding is so great that people mistake social arrangements that really harm them as
being social arrangements that benefit them,” Bourdreaux and Crampton (2003) found. “At
the core of the economics of information,” stated Bourdreaux and Crampton (2003), “we find
the concept of rational ignorance,” or ignorance of ideology in efforts to save the costs of
acquiring ideological knowledge while
living within the constraints of a certain
socio-economic sect. The figure on the
left is an example of a psychological
technique in economics which has
influenced the separation and classification
of personality types depending upon
distinct traits. Presence of political
influence is also shown in upper right and
lower left quadrants. Political and public
choices were found to be more easily
distorted and influenced by false
consciousness than private and
nonpolitical choices according to
Bourdreaux and Crampton (2003).
In 1996, Livingstone discussed the “dislocation between world economic and political
structures,” especially the “contradictory and clashing models of political relations – free
market and democratic – in the new international economy.” As the political-economy
continues to grow and take new form from out of the industrial revolution era, people like
Livingstone (1996) have noticed that this hybrid model has an internal flaw in many nations –
“the organizing principles of the free market and democracy are bound to be in conflict.”
(*see Results and Discussion sections) The notion that guerilla capitalism - the entrenchment
of classes jockeying for monopoly and oligopoly positions in an open competitive market
with few if any restraints on disproportionate distribution of wealth – would be in conflict
with the interests of the democratic majority is not a new idea. Marx and Engels (1848)
discussed the very same conflict between democratic and capitalist interests in their
philosophy relating to how the bourgeoisie exploited the working classes, while the
proletariats were said to compose the majority segment of the potential voting population.
Livingstone (1996) postulated that the EU Treaty of Maastricht “constitutes a sustained
attempt to destroy any possibility of a democratic model of integration in favour of the free-
market one,” but considering the longstanding conflicts that gained power through Marxist-
Leninist communism in Eastern Europe, National Socialism and fascism all over Europe
during WWII, we can deduce that such destruction of a democratic model is not absolutely
caused by the Maastricht Treaty but rather existing prior to the Treaty. Livingstone’s
adamantly American ideology is not without extreme opposition parties, though
Livingstone’s ideas and others like his are intriguing to consider in analysis of the global
political-economy.

Since the internet became a household installation and the UNEP started releasing more
data on climate change, economics in all of its shapes and sizes has been partnered with hard-
scientific environmental engineering, chemical, physical and biological discoveries to help
create a sustainable future (e.g. Moylan 2008). In 2005 in the US alone, Lifestyles of Health
and Sustainability (LOHAS) consumers made up about 30% of the adults and contributed
US$226.8 billion to the American economy. LOHAS consumers are some of the best
examples of how cutting edge science pushes the market economy and how the market reacts
and pulls new scientific innovation. In 1990 (Holden), the first meeting of the International
Society for Ecological Economics was held at the World Bank in Washington D.C., which
aimed to “supply a bridge between the natural sciences and economics” and helped further
the cause of sustainability through the difficult 1990s. Intelligent consumption and
production are by nature a unified interdisciplinary ethos.

The political-economy is neither a new nor simple philosophy. As the global economic
paradigm continues to shift, professionals and academics are finding links between
economics and other fields like genetics, biology, game theory, law, anthropology, public
choice, sociology, and history (Rosen 1998). Kimakova (2008) reviewed a study which
found that 67% of interdisciplinary citations of political science went to economics. York
University in Canada, where Kimokova worked as an instructor of a law-economics
interdisciplinary course, cross-listed classes in political science and economics.
“Incorporating economics into an interdisciplinary course can assist students in
recognizing the importance of the discipline and help them to understand how it relates to
other fields,” said Caviglia-Harris (2003). Manufacturing managers and workers should be
able to easily understand the value of integrated economic theory given the number of diverse
workers it takes to bring a product from raw materials acquisition to sale and after-sale
service. General Motors, for example, must integrate a vast and diverse supply line for the
manufacture, sales and service of each automobile, and top-level executives need to know
how the disciplines relate to each other, interact, and complement each other in operations. If
corporate managers in the manufacturing sectors specialize and ignore interdisciplinary
management, they are limited in their career opportunities and bring weaknesses to the
organization.

With the integration of psychology, psychiatry, anthropology, sociology and more


comprehensive market study in business research, the concept of “social capital” has grown
some popularity. Some classically cynical economists strongly disagree with the social
capital theory due to its conflict with “the basic assumption of orthodox economic theory:
that humans are essentially self-interested animals” (Economist 2003). According to Bowles
and Gintis (Economist 2003), “if social capital is taken into account, economists have to put
aside the idea that people are simple, self-interested economic machines.” There is no
shortage of empirical data in charity, disaster-relief, NGO and religious behavior which
suggests that people are very often not only self-interested, though sometimes economists are
as difficult to convince of the validity of such ideology as are the very people whom
economists try to convince to varying degrees of success and failure.

Social capital theory posits that “the more people trust each other, the better off their
society [is]” (Economist 2003). Helping other people can actually benefit the self by creating
a sense of pride, safety in a community, and tax write-offs for charitable donations among
other benefits. The Association for Transpersonal Psychology (2009) found the nature of self
is composed of a “personal uniqueness as well as a transpersonal dimension, something
which is beyond our individual egos, and yet is still a part of us,” and according to ATP,
transpersonal psychology has gained some popularity for its potential applications in business
among other social sciences. Henceforth, economists who desire to remain firm in their
adherence to orthodox self-interest of humans theories can do so while also accepting that it
is beneficial and rational to engage in charity, altruism or trust of others. Belief in social
capital is obviously not a new or extremist philosophy, though it has not often been as
accepted a measure of wealth as financial, property or material capital.

“Persuasion is a fundamental part of social activity, yet it is rarely studied by


economists” according to Harvard’s Shleifer and Mullainathan (2005). Whether consumers
and suppliers are to be persuaded to create a sustainable economic paradigm or continue
onward with the presently unsustainable activities will likely be studied by psychologists,
sociologists, marketers, journalists, environmentalists and lawyers rather than by economists
if Harvard’s team is correct. If Shleifer’s and Mullainathan’s conclusion applies to all
aspects of persuasion, including what persuades people to consume in a certain way, then it
appears that economists are excluding meta-analysis. Psychologists, police, lawyers and
judges too, sometimes ignore meta-cognition and underlying causes related to cognition and
behavior. The classic western low-context culture component, though limited in scope and
applicability, and the western reactive system of justice may influence this lack of perceived
significance of contextual forces which absolutely or partially cause events among all world’s
people in the global economy. Reasons why people do things are not always perceived to be
as important as the impact of the actions unchangeably committed. Through some simple
interpretation and analysis of causal and correlated factors in a time-series leading up to an
event, however, and by understanding meta-forces, negative events might be easier to
decrease in frequency and positive events might be easier to start into action and increase in
frequency.

In economics, which is increasingly showing interdependence among other disciplines,


as in religion, paradigm changes, even if designed to benefit the vast majority of a democratic
or communal population, are not easy to pitch to economic law lords. Paradigm shifts are so
difficult to spur among powerful figures in communities of all sizes that extremist action is
more commonly taken in the form of warfare, coup d’etat, and assassinations than are
legislated peaceful initiatives undertaken to attempt to change paradigms. Consider the
incidents that led up to the Maoist revolution in China or Vietnamese civil war in the 20th
century, which could have both resulted quite differently given a slight change in several key
variables in the causal path. If American President John F. Kennedy were not assassinated,
for another example, the United States of American might never had sent troops to Vietnam
or opened trade with China under the Nixon administration, the American War on Drugs
might have never been declared in 1971, and surely the world would be a different place
economically today given a few key changes to primary actors in the theater of political-
economic warfare of the 1940s-80s. Very often causal factors and theories of causation are
assembled after events transpire, and planning economics thoroughly has not yet been honed
as a social institution due to complexities related to private industry, human rights, military,
politics and individual will to conform or combat norms. Thus humans are often compelled
to proudly admit their beliefs that all of life’s events are under the domain of a super or sub-
human deity, absolutely outside of the power of human control, and people defend their
ignorance of co-creatorship or conscious control of the self within a collective, however vain
and foolish, with incredible intensity.

Business Week (2004) printed that world-renowned “Economist Milton Friedman once
speculated that free markets and American-style religious pluralism have gone hand in hand,
stimulating both economic growth and religion.” The Holy Bible does clearly address
economic matters related to usury, tax, poverty, charity and unemployment in several books.
Max Weber posited that Protestant work ethic first “existed only as an expression of the
[believer’s] striving for other-worldly salvation” (Society for Scriptural Reasoning 2005).
Koshul (2005) quoted several verses from the Holy Qur’an and found “there is an irreducible
presence of the economic in religion.” Parvin (1993) reviewed interdisciplinary economic
issues related to property ownership, freedom of enterprise, human rights and law in Islamic
societies. Parvin (1993) cited Bani Sadr (1979) and Rodinson (1978), who both concluded
that “Islamic economics concerning dogma, private property, and income distribution has
become a flourishing field.” Consumers’ religious beliefs are always important to understand
for marketing and operations within cultural segments which perceive traditional religious
values as being of high importance (e.g. Kotler and Armstrong 2008). Further evidence that
religion makes a significant influence on microeconomics is shown in the display of religious
items in private businesses, such as Buddha statues, crucifixes, orthodox prayers, and
religious art; the halal and kosher food markets are another prime example of religion in
microeconomics.

Economics is not without scientific merit despite obvious and well-recorded religious
controls, though due no doubt partially to religion-science conflicts, the influence of science
in economics is limited, as is the influence of religion. WS Jevons (1871) wrote, “It is clear
that Economics, if it is to be a science at all, must be a mathematical science. The science of
Economics, however, is in some degree peculiar, owing to the fact, pointed out by J.S. Mill
and Cairnes, that its ultimate laws are known to us immediately by intuition.” Jevons lived in
a time when “inherent defects of the grammar and dictionary for expressing complicated
relations” made linguistic philosophy inconclusive, and the imperfect science of economics
was limited due to then-popular belief that “we cannot weigh, nor gauge, nor test the feelings
of the mind.” In Jevons’ pre-psychology era of economics, which is just as incomplete today
as any pre-mathematical economics, he wrote in “Theory of Political Economy” that “[he]
hesitate[d] to say that men will ever have the means of measuring directly the feelings of the
human heart.” Today we know the “heart” in Jevons’ work was actually referring to the
mind, and due to measures like the Likert scale, and MRI, fMRI, CT and PET scan
technologies, scientists can quite effectively measure human feeling.

Due to outstanding reports disassociating economics with science, and linking economics
to religion at very least via historical contexts of origin prior to the scientific method, many
hard scientists and skeptics of economics have become frustrated with the apparent lack of
potential for absolute laws, for true consensus and for absolute intersubjective certifiability as
is witnessed in other sciences. In an article from the Brooklyn Law Review (2008) entitled
“Science, Intersubjective Validity, and Judicial Legitimacy,” Richard B. Katskee presented
undeniably compelling argument in favor of hard sciences and against any pseudo-scientific
or religious claim as being acceptable for use within the courts.

“Science as a discipline imposes strict limitations on what can count as a scientific truth-
claim,” Katskee explains. “Doing science means committing oneself to the search for natural
explanations for natural phenomena.” Katskee then quotes the National Academy of
Sciences:

“In science, explanations are restricted to those that can be inferred from the confirmable
data – the results obtained through observations and experiments that can be
substantiated by other scientists. Anything that can be observed or measured is amenable
to scientific investigation. Explanations that cannot be based on empirical evidence are
not part of science.”
Katskee (2008) concludes of religion:

“In making the choice to seek causal explanations that allow for prediction, we formally
reject nonnatural explanations – divine intervention, spirit forces, or anything else
partaking of the supernatural – as standing outside of science’s ken. We do so not
because those explanations are necessarily wrong, but because, by definition,
supernatural actors or forces exist and function outside of the laws of nature, doing
whatever they please, whenever they wish, and however they choose. So the willingness
to entertain the idea of nonnatural causation as part of one’s scientific research program
would mean throwing in the towel on the possibility of doing science at all.”

Still the American dollar has printed on it “IN GOD WE TRUST,” which signifies a
rejection of firm science within the Department of the Treasury but reliance instead on
nonnatural causatives in decision making. Partial credit-dependency in the USA, housing
costs, disproportionate distribution of wealth, interest rate fluctuations, scandal, fraud and
corruption among other seemingly supernatural economic activities, are clearly not
phenomenas bound to the laws of nature, and the general trends in economics are most often
not representative of a majority opinion among the democratic public. Thus Americans have
neither democracy nor science as a rule in matters related to their money, which does, as
Katskee said, ‘whatever it pleases, whenever it wishes, and however it chooses’. The entirety
of business operations related to handling and exchange of legal tender is therefore directed
away from adherence to a valid scientific method through a clear message printed on the
American money, and the God in which people are said to trust is very often not fair or
possible to understand using science, which is supportable in courts according to Katskee
(2008) while religion and God are not.

“The ideal perspective [of good science] is that of objectivity,” said Steele (2004), and
people can scarcely support that the wealthiest and most powerful executives, financiers,
economists and entrepreneurs are objective in the larger, much poorer population. Joan
Robinson observed that "economics itself has always been partly a vehicle for the ruling
ideology of each period as well as partly a method of scientific investigation" (U of Utah
2000), though by being a proxy for politics or other ideologies, economics is put in an ethical
conflict as a science or patron of sciences at all.

Recent and ongoing reports of high-dollar white collar crime support a claim that the
culture of business has functioned away from science and adherence to scientific ideology,
including the scientific aspects of business administration (i.e. TQM, OM, JIT) with people
like Milton Friedman leading the cause of defiance. Furthermore, the lack of adherence to a
singular ideology in practice among North American professionals indicates that perceptions
of the high importance of ideology among students (Austin and Wilcox 2007) does not
transfer into the working world, and thus ideology may have never been highly important
among students if ideology is so easily discarded for a pragmatism/theory conflict model of
management, cognition and behavior. Only with sciences can experts begin to sort out the
complex conflicts among the pseudo-scientific and religious standards within economics,
which is work life. Furthermore, continuing endangerment of self by perpetuating an utterly
flawed system, which has as of today resulted in at least one major attack on an American
financial hub, among believers in the wretched system of pre and post 20th century American
economics suggests that economists are not so highly self-interested because self-protection
is a primary self-interest, which requires removal of threats, criminal and physiological.

Harvard behavioral economist and Macarthur Foundation “genius” Sendhil Mullainathan


is one of few experts integrating psychology with economics (Linden 2005). According to
the Linden article in Forbes (2005), Mullainathan learned from Thaler at Cornell who was
one of the earlier academics to use psychological models to gather empirical data about
consumer behavior. Causal paths from a microbiological level toward behavior are now
being studied in the field of neuroeconomics, which is a blend of psychology, neuroscience
and economics (Glimcher and Rustichini 2004). Jevons’ (1871) top-down intuitive methods
of behavioral analysis and definitions of laws are being replaced and complemented by
bottom-up methodology through a combination of fields (Science 2004). The basic concept
of neuroeconomics is relatively easy to envision – sensate information is processed from
external sources into the brain, which creates neurochemical reactions that can now be
measured to some degree, and the neurobiological exchanges corresponding to cognitions
lead to motivation toward a variety of external consumer behaviors. The whole process can
be studied empirically with an interdisciplinary team.

Economics and business administration can often be studied with science, but also
cannot be created with good science which does not exclude, select or manipulate data to
support hypotheses. Psychology and economics are connected naturally so much that Dr.
Andrew Steptoe of University College London was able to support that greater levels of
chronic stress in poorer people altered their bodies’ responses to stress (Nagourney 2003).
With the results of a study of 200 adults from the British Civil Service, Dr. Steptoe theorized
that risks for heart disease and stroke were correlated to income. Despite the ongoing
professional efforts to bring economics to a truly scientific status, there are still complications
with objectivity and intersubjective certifiability regarding behaviors and opinions of the
wealthiest and most economically inclined people. Due to the primary component of
economics - human psychology - which is not always a similar construct to the classic
physical or laboratory sciences, it is probable that economics would have to be a soft science
if it is to be a science.

“While mathematical formulations would be potentially comprehensible to alien life


forms,” Steele (2004) posited in attempts to convey to readers the illogical nature of social
activity including parts of economics, “the communication of social aspects of life on Earth
would be more problematic.” The potential of mathematics as an interstellar language might
likely be a child’s fantasy too. Alfred Marshall recommended economists “burn the
mathematics” (Steele 2004) because “excessive reliance on this instrument might lead
[economists] astray in pursuit of intellectual toys, imaginary problems not conforming to the
conditions of real life; and further, might distort [economists’] sense of proportion by causing
[economists] to neglect factors that could not easily be worked up in the mathematical
machine” (Pigou 1925; Steele 2004). Aside from modern technologies like those Thomson-
Reuters supplies to financial markets, what drives commerce, exchange, market changes and
the global economy is the human mind – where, how, when, how much, how often, with
whom, on what and why people spend, save and invest their money – psychology, which is a
science born from philosophy at the turn into the 20th century. “Mathematical formulations
can prove useful clarifying ambiguities and in revealing inconsistencies that may be hidden
by linguistic imprecision,” said Steele (2004), but without psychological and psychiatric
measures related to thought, feeling, behavior, emotion, mood, attitude, persuasion and
reasoning, economics is utterly incomplete in its capacity to explain and forecast any market
activity.

Today, through integration of neurobiology, cognitive psychology and consumer


research, firms can determine future demands for products (Wathieu 2004) and perceptions
related to utility. Using fMRI technologies today, “scientists read your mind better than you
can” (Fox 2010). The consumer population is very large, however, and there are certainly
quantifiable sects of consumers who do not desire to purchase products at the present prices,
yet have no substitute choice other than non-consumption, which does not appeal to all. Thus
consumer habituation, consumer behavior and other interdisciplinary scientific models
designed to understand and forecast consumer preferences are subject to a non-scientific
paradigm within the society, and that paradigm is not always likely representative of the
democratic will of the majority which desires nearly constantly to pay less for more or less
for the same. If considered a science, business has operated as a normal science and post-
normal scientific ideology has been discarded for its lack of ignorance of inequalities and
comprehensive consumer opinion, though still with ignorance of facts, the democratic
majority in the political-economy consistently desires lower prices, and hence the popularity
of everyday low price superstores. If the politicians represented the democratic majority of
voters, they would declare war on prices rather than on other nations or drugs.

For the purpose of understanding and creating the free market in the context of
democracy, interdisciplinary ideology between law and economics “contends that the only
purpose for law is to help the free market along” (Purdy 1998). Purdy (1998) continued “A
perfectly free market makes available every possible deal and so advances everyone’s interest
in the greatest measure possible.” Considering that extremely disproportionate wealth
distribution is an absolute, contributory or conditional cause of poverty, which is a
contributory or conditional cause of crime, which absolutely harms the market, proponents of
legislation to redistribute wealth are in favor of protecting both the market and individual
consumer, and advocate proactive steps to bring society to a more lawful state. Post-normal
scientific overhauls of the current socio-political-economic model, in the US for example,
could very easily protect the economy against future recessions while simultaneously
diminishing poverty-related crimes, though people such as Reagan-appointed federal judge
Richard Posner oppose such paradigm shifts (Purdy 1998) regardless of the benefits of
making changes and the costs of not changing. The question for interdisciplinary researchers
between law and economics then becomes which makes which? Does law have domain over
the economy or does the economy have control of the law?

In each interdisciplinary study so far we have found opinion, incomprehensive rhetoric


or data partially invalidated by an underlying flawed theory which inherently prohibits
consumers from obtaining larger-order choices and economic freedoms. Economics in action
is a combination of many millions and billions of pieces, private and public companies which
enact different strategies, and organizations which employ different and sometimes opposing
models of operation. Politics and law are highly correlated to business and economics as are
religious issues (e.g. Kushul 2005; Levin 2010) like those related to greed, hoarding,
deception, dishonesty, sin and at worst war. False consciousness is quantifiably prevalent
(Bourdreaux and Crampton 2003), and the majority of workers in the general population are
not highly educated, which means uninformed or misinformed decisions are made very often.
Orthodox economists believe people make rational decisions while psychoeconomists believe
people make foolish choices (Linden 2005). There is conflict and confound as abundant
within the scope of economics and related social sciences in general as there are varying
opinions among laypeople and political-economic activists. Ideological rhetoric and data
available for retrieval and analysis suggests there is no singular consensus within economics
on a variety of topics and very little, if any, potential for consensus or intersubjective validity
and certifiability on topics including a paradigm shift, though there is little attention drawn to
such extreme polarity and opposition among economists and social scientists through many
pieces of literature. Meanwhile, it seems one of the few absolute rules we have in fields
related to money, finance, economics, business management and associated philosophies is
that there are nearly always two or more competing theories for people to choose from.

Apparently, most individual writers claim allegiance to a specific cause for the purpose
of each mutually exclusive article, and rarely do the researchers and professionals explain
fully the merit and validity of opposition points of view, which makes much of economics
function like a bad science or religion; common are data finagling, data selection, exclusion
of outliers and potentially unrecorded discarding of data sets which contradict the pre-desired
outcome of politically-motivated research. The worst part of the unreliability among
individual sources is the apparent inability or lack of will among professionals to
communicate fully, transparently, candidly and at length about the status of the troubled,
often unethical “sciences” of economics and business administration, interdisciplinary or not.
Though studies mentioned and others not cited herein were conducted using empirical
methodology, and those data are not being drawn into question for merit of reliability or
accuracy in this review, some conclusions, motives and intentions regarding how studies have
been presented to the readers appear to be bias and incomplete, be the shortcomings of these
neo-interdisciplinary studies consciously, subconsciously or unconsciously produced and left
uncorrected. This researcher does accept, however, the complexity of the interdisciplinary
model of economics applied in academia and business operations, and cannot invalidate
results published in relevant trade journals or Infotrac-College because of size and scope
limitations of profitable media, but the incompleteness of the mutually exclusive literature
data are noted.

So troublesome have the conflicting economic and business administration theories and
data been that in 2000, a group of French students formed a group and started campaigning
for Post-Autistic Economics (PAE 2008). In 2001, 27 PhD candidates from Cambridge
University in the UK signed the “Opening Up Economics” petition which referenced the
Parisian students’ claims. In 2005, Harvard students issued their own Post-Autistic
Economics petition. In 2008, students at Notre Dame University in the United States re-
issued an open petition to change the economic education paradigm. The original petitioner
Parisian students’ main complaint was that “out of all the approaches to economic questions
that exist, generally only one is presented to [students].” Under the slogan “sanity, humanity
and science,” PAE petitioners attempt to open economics to free scientific thinking, and
PAE’s supporters try to illuminate the many facets of socio-political-economics through
application of many complementary theories rather than dogmatic patronization of one while
suppressing all others.

The Post-Autistic Economics movement calls for “a pluralism of approaches, adapted to


the complexity of the objects and to the uncertainty surrounding most of the big questions in
economics (unemployment, inequalities, the place of financial markets, the advantages and
disadvantages of free-trade, globalization, economic development, etc.); a broader concept of
human behavior; recognition of culture; consideration of history; a new theory of knowledge;
empirical grounding; expanded methods; and interdisciplinary dialogue.” The students’
demands appear to be reasonable, but many professors of neoclassical economics apparently
thwart their efforts in the classroom, where “too often the lectures leave no place for
reflection.” According to PAE (2008), “neoclassical [or mainstream] economists have
increasingly managed to block the employment of non-neoclassical economists in university
economics departments and to deny them opportunities to publish in professional journals.”
The corresponding lack of ability or will among the neoclassical economists, who “block the
employment” of alternative theorists, to communicate effectively until a time in which a
mutually satisfactory resolve is made or to engage in arbitration regarding these professional
practice issues is apparently where the reference to autism comes into this dilemma.

This same phenomenon of a ruling party blocking alternative parties, including blockage
of parties which do not necessarily seek to exclude the ruling party, is present also in politics,
law and other bad scientific ethics. Al Gore (2006) said “[Gore’s] seen scientists who were
persecuted, ridiculed, deprived of jobs [and] income, simply because the facts they
discovered led them to an inconvenient truth that they insisted on telling.” Gore (2006)
followed with a quote from Upton Sinclair – “It is difficult to get a man to understand
something when his salary depends upon his not understanding it,” and the crowd laughed
rather than booed. False consciousness might influence ruling parties to exclude opposition
or alternative party knowledge. When a group does insist on telling the truth, albeit a
complex and sometimes unpleasant, segmented or inconvenient truth, however, like the PAE
and climate-change scientists seem to be doing in spite of personal and professional threats,
the professionals who are representative of Sinclair’s analysis, who oppose simply being
honest about inconvenient truths or complicated facts, are ethically obligated to allow people
to pursue multi-model or more comprehensive, proactive or socially responsible practices.
Neoclassicists who have snubbed attempts from Post-Autistic Economists, like scientists,
politicians and business people who have attempted to silence the message of experts whose
data is not representative of the popular norms, are in clear violation of general scientific and
professional ethical codes (e.g. NSPE 2007).
Psychologists are not likely to provide a unanimous opinion on the autism in economics
issue given that some autistics, such as the savant variety, “have extraordinary skills not
exhibited by most persons” (Edelson 2008). Dr. Edelson continued, “The most common
forms [of autism savant abilities] involve mathematical calculations, memory feats, artistic
abilities and musical abilities.” While calculus and the rigors of PhD education are generally
far above the ability levels of autistic savants, depending upon several other personality
components especially relating to interpersonal and communication skills, there is not a nil
chance of some autism being present among neoclassical economists and other professional
degree holders, especially older ones.

Princeton University (2010) defined autism broadly as “an abnormal absorption with the
self; marked by communication disorders and short attention span and inability to treat others
as people.” The State of Kentucky Cabinet for Health and Family Services (2009) stated that
autism “can range from high functioning to severe in nature. Symptoms are a marked lack of
awareness of the feelings of others and little or no social interaction or communications with
others.” The American National Institute of Mental Health (2005) said “some people with
autism have few problems with learning and speech, and are able to function well in
society…autism makes some people seem closed off and shut down; others seem locked into
repetitive behaviors and rigid patterns of thinking.” Considering the debatable ambiguity of
generalized definitions of the autism disorder, which are likely to elicit highly subjective
interpretation, and the lack of mental health expertise within a group of economics students, it
is likely that the PAE students used the word “autism” for rhetorical purposes rather than as
an irrevocable accusation or attempted diagnosis of literal autism among faculty members,
but also likely is the potential for verification of the PAE assertion from members of the
American Psychological Association depending upon the level of “inability to treat others as
people” and “lack of awareness of the feelings of others” and “rigid patterns of thinking”
present in the neoclassical economists in question.

Professionals are commonly criticized for their conceited egocentrism; for their self-
absorbed and reclusive arrogance; for their façade of human rights advocacy while abusing
others intellectually and emotionally from behind an affront of dignity and well-mannered
civility; for closed-mindedness; for their cowardice displayed by making stern condemnatory
arguments against a foe followed by swift retreat to private property and invocation of
privacy rights in order to avoid being defeated by opposition in debate; due to their harsh and
opinionated political views; for their indirect aggression against foes through the
institutionalized third party of police and military; and because of their general lack of
tolerance for and acceptance of information which contradicts their opinion. An aggressive
psychiatrist or psychologist might easily classify intra-clique socialization, habitual
communication exclusively within an isolated department or field accompanied by a lack of
communication with outsiders, or limitations of communication abilities to a specific set of
highly technical topics accompanied by a lack of ability to communicate effectively about
topics not included in the savant’s special skills set, to be an advanced variety of an autism
savant’s communication disorder. Professors and professionals who cannot interact or
communicate effectively without losing attention or disregarding the feelings of others
among the majority population outside of their highly specialized and wealthy fields might
easily be considered anti-social or argued to have a social disorder within the relatively new
and changing field of psychiatrics.

To consider one’s professors to be autistic is nonetheless risky, though with support from
students at Harvard, Notre Dame and Cambridge since the year 2000, the claim has been
validated at the highest levels of academia and the risk thus mitigated in part for the brave
students and professionals who join the PAE cause. Manicas from the University of Hawaii
quoted Paul Samuelson in the Post-Autistic Economic Review (2007) - “I believe that the
Chicago writers [including Posner] are simply wrong in denying that these important
empirical deviations exist,” said Samuelson in support of a multi-model economic approach.
As interdisciplinary economic and business administration studies and models take a bigger
share of the fields, more models are available with which students, professors and others can
posit claims for or against past, present and future economic and business administration
ideology in attempts to shape their own economic destinies and the primarily manmade fate
of the whole.

The neoclassicism of the 1960s through the mid 1990s if not early 21st century is pre-
neurological economics, which is no more complete than pre-mathematical economics in
Adam Smith’s period or pre-psychological economics of the late 19th century. Neurological
and psychiatric interdisciplinary studies make it possible for real hard science to finally
influence economics and business administration outside of factories and financial markets,
which are still subject to the dollar standard’s “IN GOD WE TRUST” science-religion-law
conflict despite the great technologies used to make exchanges of data, information, property
and currency. Pre-neurological economics is still reliant upon philosophy, conjecture,
bipartisan politics, and abstractions of the mind measured and analyzed through the medium
of language, which is highly subjective and often ambiguous or dualistic. “Micro” in the
high-tech new age means something which the human eye cannot see without the aid of
technology rather than one piece of an imagined mental model of a larger macroeconomic
system. With the influence of real microbiology, the definitions of words economists use to
explain what they want people to know are likely to take on new significance or
insignificance.

Cooperation among professionals in a high-tech environment does not mean a


discontinuance of classical morality and philosophical ethics. On the contrary, the same old
socio-cultural standards from ancient history are still quite relevant in the era of high-speed
international trade. Galindo and Cuevas (2008) cited Galbraith, who pointed out that profit
maximization and focus on money rather than consideration of other motivators, “has been
one of the biggest mistakes in economics.” Both the welfare State which Galindo and Cuevas
(2008) stated Galbraith supported and the charitable NGOs which Drucker was stated to
prefer as a remedy to inequality and poverty are moral-ethical components to a functional
economy and society. “Ethics is a branch of philosophy, concerned with uncovering truth
about a transcendent aspect of reality, namely, the Good,” stated Friedland (2009), a business
ethics professor. Given that “business” encompasses every place of work on the planet, all
other disciplines are somehow represented in the most comprehensive business-economics
models and business-economics makes an impact on all other disciplines through the
organizations at which people work. Conflicts in opinion, breakthroughs, successes and
failures within individual disciplines, and collaboration between disciplines affect business
and economics, thus the planned and structured interdisciplinary studies of this newest age
are evidence of the professionals of the world coming into fuller consciousness of their own
individual lives within organizations, sectors, fields and the collective economies.

Galindo and Cuevas (2008) found that in the increasingly globalized world, regarding the
unification of general public interests and individual interests, “economics has failed on an
ethical level.” Some changes have been shown to be near-constants in economics, from the
classicists of Smith’s time to Marshall’s period in microeconomics, through the neoclassical
marginal revolution and Keynes’ macroeconomic model which Purdy (1998) found to have
failed and Tarascio (1993) said economists were moving away from, and of course Marxism
from war to superstore. A variety of integrated mathematics and more recently
nanotechnology have been combined with the many aspects of the superstructure of the
general economic discipline, which might just simply be philosophy without help from other
sciences and disciplines. There’s certainly not much money in philosophy either.

“Interdisciplinary knowledge in the form of global social theory achieves congruency of


scope with ideology,” stated Bowles et al (1999). Between logistics, manufacturing,
marketing, management, finance, communication and human resources, interdisciplinary
knowledge is perhaps the most important asset multinational corporations have aside from
cash and credit. The “unified theory of the firm” (Tarascio 1993) in reality has proven to be
as elusive as a unified social theory or true solution to all, most, some or any of the world’s
problems. Both the firm and larger economy are subject to similar forces and psychological
phenomenon within the bounded scope of behavior, cognition, mood and emotion in the
human species. One might easily argue that without a largest-scale solution or unified theory,
there cannot be a smaller-scale unification or solution, and general theories of “equilibrium”
have been difficult to support across cultures, socio-economic paradigms, through time and
between researchers within the autonomous field of economics (Romer 1994; Manicas 2007).

Payap University in Chiang Mai, Thailand separates it’s “Faculty of Science” and
“Faculty of Economics” department offices, which suggests a fundamental disconnect
between the two fields rather than the idea that economics is a science. By strict scientific
standards, the driver of all economic and business conditions – money – and its value is as
manmade and unscientific as any Piltdown Man hoax has ever been. We have a faith-based
monetary system, as evidenced partly by the instability of certain currencies and strength of
others. Hyperinflation is a condition that exists solely because of the imaginary component
of valuation of currency. For example, during the American Civil War, the Confederacy
printed enormous volumes of money and experienced hyperinflation as a result (Doyle 2001).
Apparently “GOD” was not very kind to the southern rebels, or the Confederates did not put
their “TRUST” in a “GOD” which accepted that man’s relentless pursuit of wealth by
exploiting and abusing others was justifiable.
Katskee (2008) might agree that it is only through religious or nonnatural, superstitious
or supernatural means that money is valued, and therefore many Treasury “theories” are not
actually scientific theories and laws nor are they admissible into law courts. Natural science
cannot verify that the value of one unit is decreased with an increase in total supply of
currency because science will include a bottom-up explanation of any top-down phenomenon
related to money, and there are always outliers in the 2.7 billion people who live below the
US$2/day mark. There is no control-experiment group structure to claims regarding theories
of inflation, hyperinflation, currency valuation or devaluation. People should know too well
by now that money like old Pesos, Ringits, Rupees, Baht or wampum are sometimes taken
out of circulation, when the value goes from face to nil in an instant based only upon the
whims of the human mind, and antiques sit in museums valued at ‘priceless’ amounts which
means neither very expensive nor worthless. The rules of monetary-valuation economics are
of some sort of religious-philosophical interdisciplinary logical fallacy, validated in courts
and among government leaders by way of trust in a god and in mythological arts which the
Brooklyn Law Review (2008) printed are inadmissible in courts and government, or at very
best through lack of sufficient controls and regulations on the market, which is a product of
an ineffective law. That is not to say that our current systems do not benefit huge numbers of
people, nor to say that the theories and rules are not intelligent, nor to say that the systems
will undergo a paradigm change, but some inconvenient truths and unpopular core facts need
to be stated and known to understand the base system, which is entirely created by people.
Social scientists study isolated phenomenon which are representative of some of the foulest
habituations of the human species related to the supposed laws of economics, but given that
economics is perhaps the discipline most dependent upon other disciplines, we can accept for
now that the rules of economics are absolute and unchanging within that closed system…at
least until the next big change. Ideally, the economic change will be forecasted, planned and
scientifically executed via an elaborate interdisciplinary effort, and thus God shall not have
rule over any institutional activities, at least not the God of American money, but very
intelligent people shall. The economy, however, is as big as any society, including many
classes, personalities and individual bodies.

Conclusion

In order to understand the socio-political-economic conditions within the framework of a


real science, so as to be prepared for changes insomuch that changes not instituted by a
governing body can be forecasted, data must be collected from the vast populations and
interpreted by interdisciplinary professionals. Any planned, organized and institutional
changes, such as those which must be implemented to provide a sustainable future, must be
clearly and effectively communicated to the public. Not all segments of the public will
interpret messages sent to them as the messages were intended to be interpreted. The public
must also be entertained sufficiently so that segments, groups, organizations and individuals
do not become bored with any instructions or messages which are necessary for a transition
such as globalization or sustainability. Interdisciplinary activities between entertainment and
economics are nearly non-existent, though people are more likely to remember and pay
attention if they are entertained with visually and audibly appealing communications. In
Europe, electronic participation has been somewhat successful, especially at the local and
national level (EC ICT 2009).

Whatever the course of action may be for planners and executors, communication
abilities and concern for the feelings of others are necessary. Autistic people, including
savants, are simply not qualified to be leaders in professional fields. Psychology, psychiatry
and law are likely to be the most important fields with which an economic paradigm change
would be made, but psychologists, psychiatrists and lawyers must act ethically and law
enforcement agents must not exhibit signs of mental illness such as criminal psychosis.
Given the contradictions within fields regarding relativism, subjectivity, and opinions of soft
sciences, all arguments must be taken into consideration and reviewed carefully before any
solution or action from an individual, firm, MNC, provincial, district, regional, national or
international governing body is made, and a true solution in economics provides satisfaction
for all parties (e.g. Steele 2004). The Thai King’s call for unity within society and between
parties in opposition, and to move on with the common good in mind (Chitradon 2009) is a
solid piece of advice. The future is certainly difficult to predict and create, but no more
difficult than a Philips CT scanner machine was to make.
๒ Results
Descriptives

Participants were diverse in age, nationality, and field of work. English language
respondents reported ages between 18 and 72. European respondents for survey #1 and #2
who reported nationality were primarily from France, UK, Belgium, Germany, Italy, Ireland,
and Holland, with a smaller percentage reporting citizenship from Scandinavian and Eastern
European nations. Respondents from the Americas on surveys #1 and #2 were all from the
USA and Canada with the exception of two Brazilian participants on survey #1. Canadians
were less frequently respondents than citizens of the USA. English survey respondents
reported careers in medicine, law, government sectors, education, business services, unskilled
labor, NGOs, housing, hospitality and tourism, banking, energy, engineering, retail, and other
professions.

Roughly 90% of Asian survey #1 and #2 respondents were Thai, reporting in the Thai
language. Other Asian respondents were EU, Canadian, Australian, and American citizens
working in Asia who were surveyed in English; Maldives, Pakistani, Russian, Indian, and
Middle Eastern tourists who were surveyed in English; and 20 Chinese email respondents in
survey #1 who were surveyed in English and Chinese translated on Google. Asian
respondents were generally younger due to the sample taken at the Rajabhat Chiang Mai
University, and reported jobs in law, business services, medicine, physical therapy and
training, retail, information technology, and education.

407 people participated in survey #1. 207 were males, 167 were females, and 33 were
participants who chose not to report biological sex. 62 males and 48 females were from the
Americas. 85 males and 65 females were from the European region. 44 males, 44 females,
and 29 who chose not to report sex were from the Asian region. 16 males, 10 females, and 1
who chose not to report sex were from the Australia and New Zealand region. 3 participants
chose not to report sex or region of origin in survey #1.

400 people participated in survey #2. 197 were males, 194 were females, and 9 were
participants who chose not to report biological sex. 45 males, 33 females, and 1 who chose
not to report sex were from the Americas. 71 males, 74 females, and 4 who chose not to
report sex were from the European region. 59 males, 77 females, and 2 who chose not to
report were from the Asian region. 22 males, 10 females, and 2 who chose not to report sex
were from Australia and New Zealand.

Response Rates

40 participants from survey #1 responded online; 17 were from the USA; 23 were from
Asia. 11 participants from survey #2 responded online; 10 were from the USA; 1 was from
Asia. Response rates at the Thaphae Gate in Chiang Mai were roughly 60% for surveys #1
and #2. Response rates at Rajabhat University Chiang Mai were roughly 75% for survey #1
and #2. Response rates online were less than 10% for surveys #1 and #2.
Hypothesis 1

In survey #1, 66.8% of respondents reported opinions of a positive valence regarding


point 15. 22.4% of respondents reported neutral opinions regarding whether or not they want
a democratic economy. 4.9% reported opinions of a negative valence on survey item 15.
5.9% of participants did not respond to survey #1 point 15. Among all participants, the mean
for #15 on survey #1 was 3.9948 with a standard deviation of .97455. Using a democratic
model of analysis, responses of a positive valence represent ‘yays’ or ‘fors’, neutral responses
represent ‘abstain’ votes, and responses of a negative valence represent ‘against’ or ‘nay’
votes. Votes for a democratic economy are the victor.

In survey #2, 74.3% of respondents reported opinions of a positive valence regarding


point 15. 18.8% of respondents reported neutral opinions regarding whether or not they
wanted their companies to operate by the democratic rule of the employees whenever
possible. 7.0% reported opinions of a negative valence on survey item 15. Among all
participants, the mean for topic 15 of survey #2 was 4.1175 and standard deviation of
1.01057. Votes for democratic organizations are the victor.

Hypothesis 1 was supported with further primary data checked against secondary data
from news reports, which showed that democracies are not serving the people on the survey
issues.

For more data from SPSS and interviews, see Appendix 4.

Hypothesis 2

Survey 1 “Yay” “Nay” “Abstain” Survey 2 “Yay” “Nay” “Abstain”

1 74.7% 7.2% 18.2% 1 72.6% 8.3% 19.3%

2 66.1% 11.5% 22.4% 2 61.3% 7.8% 31.0%

3 94.3% 1.5% 4.2% 3 43.8% 24.3% 32.0%

4 71.5% 7.3% 21.1% 4 44.3% 15.8% 40.0%

5 66.6% 7.9% 25.6% 5 43.8% 24.3% 32.0%

6 72.7% 7.8% 19.4% 6 81.0% 7.6% 11.5%

7 85.3% 5.9% 8.8% 7 88.0% 4.6% 7.5%

8 83.3% 2.9% 13.8% 8 46.5% 19.3% 34.3%

9 77.1% 11.1% 11.8% 9 67.8% 8.8% 23.5%

10 78.1% 8.2% 13.8% 10 71.5% 8.8% 19.8%

11 4.9% 68.0% 27.0% 11 46.1% 10.8% 43.3%


12 13.0% 76.1% 10.8% 12 55.1% 15.8% 29.3%

13 6.9% 83.1% 10.1% 13 91.3% 2.6% 6.3%

14 5.7% 91.2% 3.2% 14 90.0% 2.5% 7.5%

Respondents wanted more money as individuals and for their companies. They wanted
basic needs satisfied for all people, work available for those in need. People did not want
higher unemployment rates. Respondents believed that ethics were important at work, that
doing good things produce long-lasting good rewards, that charity should not be reduced and
poverty should not increase, that happy workforces are productive, and that benefits like
health insurance should be available to all workers. Respondents disliked CEO pay
differences when compared to hourly workers, and did not want the rich to get richer while
the poor got poorer. They wanted lower taxes for lower paid people, and did not desire to
pay more taxes, which could also mean ever at all, as in not desiring to pay one unit of tax
again at any future time.

Hypothesis 2 was supported.

For more data from SPSS and interviews, see Appendix 4.

Hypothesis 3

Hypothesis 3 was supported as shown by consistent opinion support of secondary data


from textbooks, journal articiles, theories and ideology in literature on all survey points.

For more data from SPSS and interviews, please see Appendix 4.

Hypothesis 4

Parity between the primary and secondary data was found on all points, as was parity
between the two surveys. Dichotomy was bridged.

Hypothesis 4 was supported.

For more data from SPSS and interviews, please see Appendix 4.

Reliability
Survey #1 Survey #2

Cronbach's Cronbach's
Alpha N of Items Alpha N of Items
.423 15 .731 15

The reliability of survey #1 was no doubt severely negatively affected by outlier


responses in the surveys, especially those associated with topics related to human rights
(survey points 3, 7, and 15), and high-morality (survey points 1, 12, 13, and 14). Alpha for
survey #2 was very good.
Interviews

A wide range of supplementary opinions were voiced by participants from the survey
study. Very few interviewees supported their opinions with any type of data or references.
Some interviewees were very rigid in their beliefs though had no empirical data to support
claims. The majority of interviewees commented in favor of charitable causes, NGOs,
human rights, ethics, sustainability, and social endowment programs. Interviewees most
commonly critized the American government and American people if and when they had a
criticism of a nation or government to voice. Money matters or the economy appeared to be
more taboo than religious issues with interviewees.

Several dozen participants were visibly intoxicated and/or smelled of alcohol. Several
interviewees who had reported the opposite of the norm, mean, median, and mode on the
surveys contested issues like human rights, rights to work, the necessity or value of charity,
the ambitions of the poor, the rights of government to constrain growth, and the rights of
governments to legislate wealth distribution. These anomalous respondents supported their
viewpoints with Classical economic ideology, though generally had no backing other than
cultured opinion to back their claims, and generally refused to accept case studies, theories
and empirical data points offered by the researcher in conversation.

General common beliefs or concerns voiced among several interview participants were
regarding the failing state of welfare programs in the Western world; corruption among
bankers; bonus culture among bankers and executives; human rights abuses; sex tourism;
drug policies; environmental issues; unsustainable business practices; immorality of modern
day capitalism, socialism, and communism.

A female interviewee from the EU region commented on “skullies” in the UK, who
soaked up government welfare checks, having too many children, being lazy though able to
work.

Two female interviewees from the EU region commented on welfare in Ireland


supporting laziness, and not being strict enough.

“Capitalism has morphed into something destructive,” said a male interviewee from the
Americas region who complained about the overproduction of plastic waste and short-term
thinking.

“Exploitation of children and women” and “lack of protection of human rights” a female
interviewee from the Americas region complained of.

“The Thai ladies in the brothels in New Zealand do a hell of a job…it’s very well done,”
said a male from the Australia/NZ region. Prostitution issues seemed important to several
single male interviewees though the issue was difficult to speak openly about for the vast
majority of these interviewees.
A male interviewee from the EU region said that “ethics are important in speech, but not
so much in practice” though several dozen other male and female interviewees commented
that ethics were very important in their places of work.

Moans and groans about existing tax rates were common among respondents, and
interviewees very often said things like “who would want more taxes?” or “that’s an obvious
one, isn’t it?” to show their displeasure with the tax system among countries from the
Americas and EU regions.

“Is this socialism [or communism]” several respondents and interviewees from the
European, Australian/NZ and Americas regions asked about utilitarianism.

“I don’t believe in peak oil” said a male respondent from the AUS/NZ region who said
that the NZ Prime Minister’s finance background from the Americas has helped encourage
New Zealand businesses to expand unto their own collapse.

“The West will have all of its power needs satisfied by fusion by 2050…oil prices will be
US$200 within 10 years…within 20 years, electric cars will drive faster and farther than
gasoline cars” said a male energy worker from the EU region.

“Legalize drugs and tax the hell out of them,” said a female interviewee from the
Americas region as a possible solution for the State of California bankruptcy. A dozen or
more interviewees from all three English speaking regions reported similar beliefs about the
illegal drug trades, that they are very profitable and should be taxed rather than criminalized.

Interviewees from the European, Australian, and Americas regions brought up news
reports regarding child prostitution, drug cartels, money launderers, sex tourism, corruption,
mafia, sweat shop labor conditions, and red shirt political problems when discussing the local
Thai issues.

Interviewees from Belgium, the UK, Holland, and Australia commented on the health
care programs and high taxes in their nations. “That’s one thing we have Hitler to thank,”
said a male interviewee from Belgium, regarding the socialized medicine program. A general
message of discontent regarding the US health care problem was delivered by interviewees
from nations which have socialized or national health care.

Like the surveys, the interviews produced commentary generally supportive of secondary
data in business publications, UN programs, government initiatives, and were most
commonly positive in nature, though did also show some extreme outliers among the
interviewee population.

For further data from interviews, please see Appendix 4.


๔ Discussion
The scope of this project requires that we first understand the present conditions before
we can discuss with any relevancy the changes necessary and possible to make. How socio-
politico-economic conditions have come to be as they are – the past - is often secondary to
the present and future at this juncture. Why socio-politico-economic conditions are as they
are today is not necessarily relevant to an understanding of the facts about the present
situation, and though a thorough understanding of root causes and reasoning for the present
situation is essential for some corrections, a comprehensive logical and meta, time-series
understanding of the factors contributing to the present situation is not necessarily required to
initiate and carry out several solutions to current problems. Who, what, and where the
general and specific problems are today are likely the most important for the current period.

There is a global economic crisis ongoing. Several nations are in recession. The Dow
Jones Industrial Average has struggled to stay above 10,000. Some American water utility
companies have raised their rates due to reduced water consumption, which the utilities
attributed to the general economy (Canfield 2010). American unemployment rates have been
around 10%. In the USA, nearly 25 million people this year have been nationally recognized
as unemployed or underemployed (Pfeffer 2010). Blacks and Hispanics face higher
unemployment rates than whites (AFP 2010). Though as many as 1 in 3 black Americans are
unemployed, President Obama has refused to specifically target rising black unemployment,
which has put the President at odds with the Congressional Black Caucus (Washington 2010).
“As the US economy emerges from recession,” said Pfeffer (2010), “Americans continue to
suffer through the worst labor market in a generation. Companies now routinely cut workers
even when profits are rising,” though studies have shown that layoffs do not increase
company productivity and do not increase profits, nor do they reliably cut costs, but layoffs
do reduce employee morale and increase fear of the workplace (ibid). “Many of the nearly 8
million jobs lost during the recession may be gone for good, with high unemployment likely
to persist for several years,” said Newman of US News & World Report (2010). The
American middle class is shrinking (Wolffe 2007; US Newswire 2008; Newman 2010), and
inflation has outpaced wages (Crutsinger 2010).

“We need to cut taxes so that our families can keep more of what they earn and produce,
and our mom-and-pops, then, our small businesses, can reinvest according to our own
priorities, and hire more people and let the private sector grow and thrive and prosper,” said
former American Vice Presidential Republican nominee Sarah Palin (Johnson 2010).

Responses to #11 of survey 1 and #10 of survey 2 in this study showed that people
generally desire to pay lower taxes among lower income groups, and do not desire to pay
higher or more taxes. Interviewee comments from cases in which responses indicated a
desire to pay higher tax or a neutral position on the issue were potentially supportive of new
taxes depending upon what that tax revenue was allocated toward in the budget. US House
Democratic leader Steny Hoyer said the House was expected to extend tax cuts for the middle
class by the end of 2010 (Dixon and Smith 2010). Continued tax-cut legislation helps
support the majority survey population position on the tax issues, though the vast majority of
respondents and interviewees favored lower still and in some cases no taxes.

US President Obama proposed a “high road” contracting policy that gave companies
bidding on government jobs an advantage if those companies paid workers “living wages”
and offered generous benefits to employees (Hananel 2010). Obama’s proposal supported a
study by the American Worker Project at the Center for American Progress which found that
better-paid workers are more efficient and productive, and evidence from local governments
which showed that raising standards increased competition (ibid). The US Senate approved a
US$15 billion jobs bill that gave tax breaks to companies for hiring new employees, and the
House of Representatives passed a health insurance antitrust bill (Pershing and Bacon 2010).
High unemployment, housing, and public debt make recovery difficult for the USA, said the
IMF (Anzuoni and Lawder 2010).

Adjacent to minor advances made by the


government, however, has been rising debt and
deficit spending. The already unprecedented high
American budget deficit (Reuters 2010) is expected
to grow larger than US$13.6 trillion in 2010 and to
US$19.6 trillion by 2015 according to the US
Treasury Department (Reuters 2010), which The
Economist (2009) said “may require radical
solutions”. Meanwhile the G20 leaders pledged to
cut government deficits (VOA 2010). All over the
world, including in the G20, budget deficits are
growing still (EurActiv and Reuters 2010; CBC
News 2010; BBC 2010). Japan has had the world’s
highest public debt in 2010 (Evans-Pritchard).

“Among the wealthiest nations, unemployment is rising fastest in Europe” (Olson 2010).
The EU 27 has suffered unemployment rates of near 10% in 2010. Belgium and Finland
have been between 8% and 9% this year. Portugal has had over 10% unemployment; Ireland
has been over 13%; and Spain over 19% (USBLS 2010). Germany turned in June 2010
unemployment numbers of 7.7%, still very high for a country like Germany even after 12
straight months of decline (Buergin and Vits 2010). In the UK a similar problem is
continuing with first quarter unemployment at 7.9% (Office for National Statistics 2010).

Responses to #4, #7, and #12 on survey 1, #1 and #14 on survey 2 from this research
showed respondents’ varying opinions regarding unemployment. Different interviewees
showed a stark contrast in ideology regarding this topic. Some employed interviewees
displayed a distrust of social initiatives such as programs designed to reduce unemployment.
Some interviewees saw layoffs of others as personal opportunities and had no reservations in
making statements in support of higher unemployment, more layoffs, and non-achievement
of rights-to-work goals set by NGOs and the United Nations programmes, though the same
respondents most often agreed that working for a good wage gives them pleasure. Cynicism
and pessimism regarding macroeconomic topics like unemployment and the plight of the
unemployed were prevalent among respondents and interviewees, and those attitudes often
appeared contrived or disingenuous, as though respondents and interviewees who reported
beliefs that only the lazy and incompetent were unemployed or underemployed were hiding
their truer beliefs about the flaws in the system and their truer desires to help people who are
willing to work. Still, the means and frequencies tell another story, that people want more
jobs and less unemployment, which other interviewees talked about. Stability is important to
people today, but it’s difficult to create and more difficult to sustain.

Interviewees who reported such beliefs that there were vast and more than sufficient
employment opportunities, and that the poor and unemployed are somehow most often the
only parties to blame for their own conditions, gave the impression to this researcher that the
interviewees’ powerlessness over the current situation, and lack of stability or hope for
stability, led to those responses rather than elaborate understanding of the situation; “if you
can’t beat them, join them” might have been a motto in suppressing internal desires to
empathize with the disadvantaged, and instead adopt the rhetoric of the reactionary wealthy
minority sect. Malthus was writing about surplus populations and the necessity of poverty,
unemployment, and harsh living conditions for some in the late 18th and early 19th centuries,
when there was hardly a population surplus by 2010 standards. Whether 500 million, 1
billion, 6.6 billion, or 9 billion people, economics experts claim unemployment is necessary
while common people complain about not having enough opportunities. Organizations
should maybe start taking notice of this constant trend through the centuries and start
accepting that while some experts believe the poor must be left to suffer a miserable fate,
there is demand also that the ‘surplus population’ be utilized and employed.

Worldwide, the rich are getting richer and the poor are getting poorer (Xinhua 2005;
Futurist 2007; Akron Beacon Journal 2008; Jordan Times 2008; Pittsburgh Post-Gazette
2009). The world’s wealthiest people increased their wealth by 19% during the 2009
recession (Giannone 2010), while millions of lower class workers were fired and laid off. In
Britain, the richest 10% are 100 times wealthier than the poorest 10% (Gentleman and
Mulholland 2010), which represents a larger gap in 2010 than existed in the 1970s according
to a National Equality Panel study (Ambrogi 2010). Canada’s rich are getting richer while
the poor are getting poorer according to a Statistics Canada study (The Canadian Press 2008),
and new investment rules mean that trend will continue according to Pellerin from the Ottawa
Business Journal (2010). An Oregon Employment Department wage study in the US showed
Oregon’s richest getting richer while other classes stagnate and fall behind (Manning 2010).
The United Nations found that Latin America has the highest gap between rich and poor in
the world and that the gap “has not ceased to increase in the last decades” (MercoPress 2010).
In Germany, the story is the same, with the rich and poor extremes growing and the middle
class shrinking (The Local 2010). In China, the gap between rich and poor widens too, which
has prompted calls to “alter income distribution” (Shinan 2010). Chinese inflation has been
an occasional problem and a consistent worry (Bloomberg 2010) which puts pressure on
different classes, even in the “Communist” society. In Thailand, former Prime Minister
Thaksin’s loyalists declared a “class war” on the nation (The Nation 2010) which has endured
several changeovers of government in recent years related to wealth inequality and class
struggles. African nations ranked among the worst on the UNDP Human and Income
Poverty report (UNDP 2009).

Though varied responses were given by individuals on #14 of survey 1 in this study, the
mean average and frequency for this point shows that the trend of a shrinking middle class,
with the rich getting richer and the poor getting poorer, is generally unpopular in the survey
population. The definition of the word “greedy” on #6 of survey 1 was debated by several
respondents and interviewees who gave the full range of opinions on the topic. Outdated
Classicist-era terms about “pains” and “pleasures” might have increased perceived ambiguity
due to respondents’ present-day internal beliefs about the physical, mental, or emotional
nature of “pain” and “pleasure”. Commonly publicized right-wing reactionary, conservative,
moderate, liberal, and left-wing responses were given in the survey and represented in the
interviews. Conservatives and reactionaries most often reported masculine individualist
values, classical economic hierarchies, beliefs that the rich are not to blame for the trouble
among the poor, and that anybody can achieve the highest of economic goals if they work
hard enough, regardless of statistics offered by the interviewer which were contrary to the
ideology of these less popular respondents. Liberals and left-wing respondents favored
feminine collectivist values, socialist initiatives to redistribute wealth via high taxes for the
wealthiest, favored unemployment benefits, and sympathized or empathized with the
impoverished classes by blaming a corrupt and inadequate system of government and
corporate rule for the majority of inequality. The mean average and frequency of respondents
to #2 of survey 1 wanted more money, though some appeared as though they believed it were
immoral to respond with the affirmative to the statement, thus suggesting that respondents
who chose the negative end of the scale had little desire to accumulate and control money to
help others.

Interest rates have been fluctuating, high and low depending upon the region and nation.
In Thailand, central bank officials have considered interest rate rises after the risks from April
2010 simmer down (Bloomberg 2010). South Korea saw high interest rates in the 4th quarter
of 2009 (Xinhua) mainly due to CD interest rates, and raised key interest rates in mid-2010
(AP 2010). In India, salaries rose faster than interest rates, but a return to a “high interest rate
regime” had been considered (Economic Times 2007), and may have led to an unscheduled
interest rate raise amid fears of inflation (Bloomberg 2010). American interest rates have
been kept down with unemployment high (Aversa 2010), but interest has risen with
employment levels in that volatile situation (Bernard and Paradis 2010), where mortgage
rates have decreased to the lowest levels in nearly 40 years (AP 2010). Canadian interest
rates have been at record lows, likely to rise by the end of 2010 according to the Bank of
Montreal (Bloomberg 2010). The Reserve Bank of Australia said it intended to refrain from
interest rate increases through the third quarter of 2010 (Bloomberg 2010), like the European
Central Bank forecasted rate rises (Irish Times 2010), and Bank of England rate rises
(Wardell 2010).

“When people’s incomes rise or fall, when interest rates rise or fall, when fiscal policy of
government results in increased or decreased government spending, entire sectors of
economies are influenced deeply, and sometimes suddenly” (Mullins and Walker 2010).
“When decline occurs suddenly, protective reactions are a likely first response” (Cameron
and Zammuto 1983). “Change” was a slogan of US President Obama’s 2008 election
campaign, and he has been having trouble achieving some of the changes he has desired, and
protective reactions to any changes proposed to help recover and rebuild in this current period
are likely to be very influential. The GOP has been protective over proposed legislative
changes.

A range of opinions related to interest rates on #4 of survey 2 of this research was shown
though respondents wanted lower rates on loans in general, also showing a high instance of
neutrality on that issue. Some interviewees commented that the interest rates they paid on
loans, which includes credit, “doesn’t matter” for their business, which contradicts the basic
message of the Mullins and Walker (2010) quote in the preceding paragraph. In general,
interviewees were protective over their opinions, which supports Cameron and Zammuto’s
(1983) rule about sudden decline, which the WTC bombings and several aspects of the recent
recessions and crises can be adequately described as being. Mixed responses on #3, #5, and
#12 of survey 2 also showed either inadequate understanding of the interconnectivity of the
larger economy among some respondents, or anomalies which contradict the Mullins and
Walker statement, though frequencies and means showed another general trend which
suggested knowledge of interconnectivity in the survey population in total.

In the past few years, the average CEO in the USA has earned between 262 times and
344 times the pay of the typical American worker (Mishel 2006; ABC 2009; McGrath 2009).
Some European and Asian countries have public healthcare, but in the United States there are
roughly 45 million uninsured people. Hawaii was one of the first states to require companies
to provide insurance for employees working more than 20 hours per week, but that type of
policy making never caught on in most states (Stevens 2005). Some companies like Wal-
Mart, McDonald’s, Burger King, Wendy’s, Friendly’s Ice Cream, and CVS have offered
healthcare benefits to employees (Boston Globe 2006), but the number of uninsured workers
and their family members, like the 8.6 million uninsured children in the USA (Anderson
2009), have been consistently high especially for the world’s wealthiest nation.

Individual respondents to #10 of survey 2 in this research generally disliked large gaps
between CEO and hourly worker pay, though the opposing argument was represented by
other individual respondents. Respondents strongly favored benefits like health insurance for
all workers, be that program the responsibility of the government or company.

Extreme poverty rates have fallen over the past 10 years (World Bank 2010). In Latin
American and the Caribbean, however, lending has risen and aid in Sub-Saharan Africa has
fallen short of needs (World Bank 2010). Nations have failed to report Development
Indicators consistently enough since 2005 to gather information about changes in poverty and
income inequality statistics at the World Bank. According to the United Nation housing
agency, worldwide the number of people living in slums has passed 827 million and
continues to rise at a rate of 6 million per year, expected to hit 889 million by 2020 despite
the fact that 227 million have moved out of slums in this millennium (Reuters 2010). The
recent and ongoing economic crises, credit crunch, subprime mortgage lending scandals, and
financial crises have been frequently associated with difficulties among lower class people
and between classes.

Responses to #13 and #14 on survey 1 show a range of opinions regarding charity and
poverty, though frequencies favor helping people live better. Some interviewees pointed out
that #13 was a double-barreled statement, but those interviewees also failed to realize that a
reduction in charity at this point in time means more poverty. As were all topics relating to
basic needs and human rights highly emotional, interviewees’ comments regarding charity
and poverty showed a duality among the survey population. Some people defended their
more Classical beliefs about the necessity of poverty and the folly of charity quite
passionately, while to others a more altruistic and humanistic model of social organization
was an obviously better choice. Overall results show adherence to UN goals still.

Demosthenous et al (2002) found a link between socioeconomic status and


aggressiveness in a study of Brisbane, Australian school students. Poverty and
socioeconomic disadvantage has been linked to delayed cognitive and social development,
academic incompetence, and aggression. Recessions and economic downturns exacerbate the
problems among the lower classes, and “conflict increases within organizations that face
decline” (Cameron and Zammuto 1983), including social niches, and periods of decline are
generally always managed very badly. “Conflict increases within organizations that face
decline…confusion over what is the best path toward organizational survival contributes to
increased levels of conflict…managerial relationships with subordinates are generally chaotic
and disorderly…the credibility and competence of the managers (leaders) themselves are
often called into question when decline occurs…resistance to change is an initial reaction”
(ibid). We’ve witnessed these conflicts and tendencies in organizations of all sizes and
scopes.

“Crises are the norm, not the exception,” said Roubini and Mihm (Freeland 2010).
Freeland commented that “people didn’t drown the markets; a bad system did.” Thus, a
reasonable reply to some system pundits’ claims that “this is the way the world works” would
be “no, this is the way the world breaks down.”

Through analysis and interpretation of the primary and secondary data, the research has
established that there are desires among the population that are not being served by the
economic and organizational function, and that there are several flaws in the democratic
system at various levels concerning economics and business administration. Admitting and
accepting that there is a problem is a reliable first step in solving the problem. We then need
to know what we want and what is possible. With the primary and secondary data, we have a
solid base of demands, and we can rely on the rule that humans are masters of their own
economic destiny, meaning people have the ability to recover, grow and prosper as an entire
society rather than meaning that people have the will to do so. The basic gist seems to be that
if only the governments and other leaders would be more representative and allow more
participative rule, nearly all of the problems could be easily solved. In another study, more
than 50% of respondents in Japan, Singapore, Greece, Hong Kong, Indonesia, Belgium,
Australia, Switzerland, and the United States believed that what happens to them is their own
doing (Luthans and Doh 2009), so it is reasonable to say that people believe they control their
economies and organizations rather than that a deity controls the economies and
organizations.

“Experimentation, since the adaptations that will work under conditions of collapse are
unknown,” is expected to manage periods of decline (Cameron and Zammuto 1983).
Creativity helps the process of brainstorming for some potential components of an ultimate
solution set to the current crisis, trend of recurring crises, and likely future crises. Some
possible solutions (see Appendix 3) might appear to be impossible, impractical, childish or
just plain dumb to a certain group of professionals who have been working with a certain
style, under certain oversight, and with a certain goal or strategy in mind for many years.
Still, we should accept some alternative lifestyles, accept the mutual validity of competing
theories, be open to employing diverse methods; plan, react, motivate, lead, direct, and
control with positive attitudes and be open to new and exciting opinions in a diverse
organization and economy which embraces different personalities and fields of work. A case
study of mining engineers (Luthans and Doh 2009) showed that sometimes it is best to keep
formality to a minimum. We should loosen up rigid definitions of words when it helps and
develop an artistic psychological sense to even the boring mathematical disciplines (see
Appendix 3). Interviewees sometimes used profanity and spoke plainly about topics without
appearing self-critical, and it appeared as though their perceived rights to speak however they
pleased helped them form their opinions and communicate them in a manner which was
understandable.

“Thinking inside of the box” is very popular among certain people, and those people
might like to criticize others, but might not be likely to engage in self-criticism or accept the
criticisms of others. Stubbornness is a vice in the process of creating solutions. “Creativity
comes from self-criticism and examination,” said Ron Shaich, President and CEO of Au Bon
Pain (Field 1986).

Nine of ten organizational models in a Quinn and Cameron study (Cameron and
Zammuto 1983) ignored organizational decline or “assumed an unending pattern of growth
for organizations,” which sustainability experts know very well is impossible to have. “We
ignore the kinds of decline that result from mismanagement or mistakes in organizations, and
instead consider only the kinds of decline that are induced environmentally” (ibid) which
helps explain why we continue experiencing recurring organizational and macroeconomic
crises. Organizations might experience a declining resource base, a reduction in the size of a
niche or a modification of its configuration, or changes in preferences in the environment,
which “can be thought of as being composed of an assemblage of niches” (ibid).
Sociological and demographic changes in the growing world population and changing
fashion (Harrigan 1980) in the communication age of intercontinental travel are likely to be
causes of the current decline among other causes supported by financial data.

Johnson and Kwak argued that “breaking up America’s big banks is essential to avoiding
another cycle of heady boom followed by devastating bust” (Huffington 2010). “We need to
overhaul our financial system to make sure that system isn’t rigged to destroy the lives of
millions of middle class Americans who worked hard, played by the rules, and ended up
holding the short end of the stick when the big banks drove our economy over the edge of the
cliff,” said Huffington in a separate article (2010). American House of Representatives
Speaker Nancy Pelosi declared that “the party is over” upon passing a bank reform bill, and
chastised reckless financiers (Kuhnhenn 2010).

“When decline threatens the very existence of a niche…managers are usually inclined
toward proactivity rather than reactivity” (Cameron and Zammuto 1983). Proactive systems
are often more functional and popular in some cultures than in others. The tendency toward
proactive leadership might relate to a preference for utilitarian over nonutilitarian judgments
regarding morality and society. Such judgments involve competing subsystems of the brain,
said neuroscientists in a recent study (Kahane et al 2008). Those competing subsystems in
the brain resemble also competing subsystems in society or in an organization which are
involved in making complex moral decisions relating to society or an organization.

Regarding the utilitarian topic from #5 of survey 1, respondents showed varied opinions
as was the case with all survey points, but overall favored what is most beneficial to society
and the self in general. Some interviewees believed #5 was a reference to communism or
socialism, which some of those interviewees believed was a good thing while others believed
was a bad thing. Interviewees who reported their perception that the “greatest good for the
greatest number of people” was referring to communism or socialism were told by the
researcher that early capitalist theorists often supported utilitarian ideology, and that the
notion that capitalism supports only an “every man for himself” greed and conflict strategy is
a diversion from the original principles of the economic model. This appeared to be a
somewhat unimaginable surprise to some participants who had not read any earlier capitalist
works.

The definition of the word “good” was debated and questioned due to perceived
subjectivity among several native-English speaking respondents and interviewees. “Good” is
one of the simplest adjectives in the English language - the opposite of “bad” and “evil” –
and the researcher commented that we must be living in very troubled times that native
English speakers could no longer understand the literal meaning of such a simple word as
“good.” Perceived ambiguity regarding the definition of the word “good” among respondents
and interviewees showed a movement away from traditional Judeo-Christian-centric
lifestyles and beliefs among native English speakers, which might reflect an ongoing
questioning of the character and competence of leaders during our periods of decline among
the masses.

When executives in an organization have vast stores of wealth, top-notch contacts among
other executives, access to the best doctors, and can escape troubles to luxury environments –
when their basic needs are very secure – these executives may have a hard time refocusing on
the needs of others who have not yet risen to the top of Maslow’s Hierarchy of Needs (Jones
2004). Executives who focus on their own self-actualization needs might indeed find it
trivial, trite, and undignified to regress and consider the needs of their subordinates and
individual organizations, thus leading to potential collapse due to lack of effective leadership.
A similar pattern of disinclination toward proactive leadership can be noticed in both
executives from recently-failed and declining multinational corporations, and legal officials
in the United States of America, where the reactive system is the standard. For example, a
primary root cause of crime in general is very often said to be poverty, yet poverty is not
eradicated nor are sufficient proactive programs in place to eradicate poverty. Sustainability,
living wages, benefits, customer relationship management, corporate social responsibility,
and ethics are very often said to be saviors of the business, but still those programs are more
theoretical than pragmatic in various instances. Theory is so often the solution, which is why
people spend so much time and effort coming up with theories.

“This is the way it has always been and the way it will always be” is a popular English-
language catch-all defense for any shortcomings of leadership, system, model, method or
function despite the obvious falsehood of that statement. Systems and approaches change
quite often in reality, as changes in mode of living, technology, communication, and
environment are constant through history. Changes are certainly happening in Europe, which
are being resisted like previous authors found were indicative of periods of decline and threat,
though the change that should be resisted or is the greatest threat is the decline itself rather
than these potential solutions, ironic as that seems. The European Economic and Social
Committee “urges a paradigm shift” (Working Party for Proactive Law 2009). “The time has
come to give up the centuries-old reactive approach to law and to adopt a proactive
approach…preventing causes of problems is vital, along with serving the needs and
facilitating the productive interaction of citizens and businesses,” said the EESC.

Competing subsystems at the social level have attributes of in-groups and out-groups,
economic classes, races, nationalities, education levels, etc. When wage income or financial
assets are the primary or only deciding factor in election of a leader or obedience to a model
of organizational management, or when out-groups, lower classes, minority races, foreigners,
and less-educated individuals and groups are ignored, disallowed to participate, or forced to
conform to a norm which is not of their liking, then the potential for disaster results quite
often. Literature and statistics have shown consistently throughout every nation available for
study that the wealthiest segment of society is a very small percentage, and that the
democratic majority is of the working class or poorer 80% of the total population. If we are
to have democracy, and advocate democratic ideals, and say democracy is important, then we
must accept the general rule of the majority, which means the highest paid and wealthiest
people are perhaps at a disadvantage.

“Placing groups in competition no doubt heightens anxiety and negative affect toward
the out-group,” said Singh et al (2008). “Cooperation between groups,” rather than
competition, Singh et al continued, “often involves members’ facing common problems or
goals and a common fate.” For social order, for harmony, for prosperity, for peace, and for
satisfaction, we must learn to cooperate with a vast assortment of individuals and groups.

American President Obama has made remarks in support of cooperation rather than strict
competition, for the common good, and for more widespread prosperity. “I do not believe
that one country’s success must come at the expense of another,” said Obama in a speech
about partnerships with the PRC (White House 2009).

“We are living in an age that prizes competition and demeans cooperation,” said Barber
(2007). “In exalting competition, Americans often forget that cooperation and collective
effort are the foundation of freedom,” Barber continued. As professionals, we seem to love
our separations of collectivism or individualism; femininity or masculinity; macro or micro;
white collar or blue collar; localized or globalized; public or private; win or lose; rise or fall;
high or low power distance; high or low uncertainty avoidance; short or long term orientation
(Geert-Hofstede 2009). The evidence of our tendency to create competing groups rather than
to find an integrated philosophy is present in nearly every business textbook. Due to
competition between democratic values and market economic forces, many public
administration professionals have argued a similar case as Box et al (2001), who found that
“democracy as we know it is a shadow of the ideal, and modeling the public sector after the
private may aggravate this problem.” An enduring truth still is that we must all live, work,
and function together in order to achieve happiness, satisfaction and health.

Individual respondents to surveys and interviewees in this research supported the conflict
between cooperation and competition. Disagreement and neutrality with human rights
questions #3, #7, #12, #13, and #14 on survey 1, and some interviewees’ rhetoric which
supported their disagreements with guaranteeing basic human rights to all people, evidenced
that cooperation has been demeaned. Competition, however, was not commonly enjoyed by
interviewees who responded negatively regarding the human rights issues when such
interviewees were on the receiving end of criticisms or competitive arguments, or when they
were losers, which they were in the votes. The researcher’s references to UN human rights
agreements were not sufficient to create any noticeable change in interviewees who had
decided that people should not be afforded work-related human rights, even when those
interviewees were from signatory and party nations to such human rights agreements.

The King of Thailand (NY Times 2010) told his people they “should set an example by
doing [their] job with honesty and faithfulness.” This recommendation is a signal that ethics
and morality are important in the workplace. We could then possibly orient our behaviors
and intentions toward excelling in everything that we do, but not necessarily at the expense of
others (Brady 2006), understanding that “our relationship going forward will not be without
disagreement or difficulty…but because of our cooperation, both [parties will be] more
prosperous” (White House 2009). We can change the way we compete and our notions about
what style of competition is best, and have the general wellbeing of all people in mind while
we “play the game” rather than “play the players”.

Responses to #13 of survey 2 in this research showed consistent support of ethics in the
workplace. Happiness was also considered important, beneficial, and somehow contagious
by a majority of respondents on #6 of survey 2 and #10 of survey 1.

Dr. Tomasello found in “Why We Cooperate” that humans are born with an innate urge
to help other people (Wade 2009). “Most social norms are about being nice to other people,”
said Dr. Tomasello, which leads even young children to be helpful due to our “shared
intentionality” in the group of humans. “Help you, help me, help us” is what Dr. Tomasello
found humans have adapted to do together. “We’re preprogrammed to reach out,” said Dr.
Frans de Waal (ibid). “Empathy is an automated response over which we have limited
control,” so there is probably not much sense in fighting the better instinct and nature of the
species, even in capitalist market economies. Harvard biologists Hauser et al found that
humans intuitively “foresee the virtues of norm following” (ibid). According to the vast
majority of literature available on topics related to ethics and human rights, the norm is to be
advocates and practitioners of socially responsible behavior and cognition, and survey
respondents generally followed that norm in reporting opinions. The only problem involved
in becoming better people-people is likely the “moral dilemmas” which result from our
biological predisposition to be “both selfish and altruistic at the same time” (ibid), which
guidance, better leadership, policy-making, and management can help people overcome.

Various data points, frequencies, and means from the primary data collected in this
research suggest that people have a strong desire to help others, that social norms include
being nice to other people, that empathy is a normal response, that people see the value of
norm following, and that people are both selfish and altruistic at the same time, which results
often in moral dilemmas. One interviewee reported on an experience he had then-recently
had in his studies at a local Chiang Mai Buddhist temple which taught him that “right
intention” is a fundamental goal of the Buddhist religion. “Right intention” most likely
reflects the “shared intentionality” from Dr. Tomasello’s study. Responses on altruism for
#1, #5, #8, #9, and #13 of survey 1 showed traits of selfishness and desires to help others
were both prevalent in the survey population, though altruism prevailed over selfishness in
the survey. Moral dilemmas were common among interviewees who desired more favorable
economic and financial conditions for themselves, but had some difficulties in projecting
their own self-satisfying wants as being desirable for the whole group. Layoffs and firings
were considered a bad thing when happening to the self, but not necessarily when happening
to others among non-norm reporting participants. Rights to work and opportunities to
succeed were considered important for the self, but not necessarily for others among the less
popular opinionators. Interviewees often showed an overt desire that they would be thought
of as a morally good and likeable person by the interviewer, but sometimes the same
respondents ranted about how laziness causes poverty, about how there are already enough
opportunities for work, about how they desired the rich to get richer and the poor to get
poorer, and generally contradicted relevant literature, theory, and ethical norms in several
instances.

Hodgetts (Luthans and Doh 2009) discussed old myths and new truths about quality,
which need to be applied to services now more than ever. “Quality is everyone’s job,” rather
than being “the responsibility of the people in a specific department”; “training does not cost,
it saves”; “the best quality programs do not have upfront costs” and “as quality goes up, costs
come down”; “perfection is a standard that should be vigorously pursued” rather than
adhering to a philosophy that “it is human to make mistakes”; “no defects are acceptable,
regardless of whether they are major or minor”; “in improving quality, both small and large
improvements are necessary” rather than the old belief that “quality improvements are made
in small, continuous steps” (Rome wasn’t built in a day, but we’re not building Rome);
“quality does not take time, it saves time”; Haste does not make waste, but rather “thoughtful
speed improves quality”; “quality is important in all areas, including administrative and
service” rather than the old myth that “quality programs are best oriented toward areas such
as products and manufacturing”; “customers are able to see all improvements, including those
in price, delivery, and performance” rather than the idea that “after a number of quality
improvements, customers are no longer able to see additional improvements”; rather than
believing that “good ideas can be found throughout the organization,” it’s better to adapt to a
more expansive definition of the organization and accept that “good ideas can be found
everywhere, including in the operations of competitors and organizations providing similar
goods and services”; “suppliers need to be quality competitive” rather than “price
competitive.”

People do have different needs, wants, and resources, so the entire population of society
is seldom a viable market for one product or service (Mullins and Walker 2010). The
primary data from this research corroborates that there are varying needs and wants among
the population. Cameron and Zammuto’s (1983) “assemblage of niches” model of
organizing a vast array of segments is helpful to keep the whole together without interfering
with autonomous identities, secular demands, or differences among the group. Consistent
demands among the group included a more expansive participative democracy, human rights,
and a better economy in general, but the entire group including outliers makes up the
population which would need to be represented in a democracy.

We can begin to build up the larger society, the conglomerate of sectors, industries,
small, medium, and large businesses, and create the harmony, peace, and prosperity we desire
by using “human rights as a regulative principle” (Demenchonok 2009). The biggest
problem is that those moral dilemmas between our desires to be altruistic and selfish
ultimately have to be settled within the self. We have to live and let live, and live and let die.
We have to uphold responsible social ideals while also allowing sufficient independence and
freedoms. The use of force to spread human rights, democracy, freedom, or prosperity, more
often than not violates laws, and thus is an ironic attempt to create good by doing bad.
Harvard Business Review’s “Management Tip of the Day: Remove the mental barriers to
success” (Reuters 2010) is one of the best pieces of advice available for every day on the job.

As professionals who have accepted the globalized economy as a staple and beneficial
route toward individual and collective successes, it is necessary that the educated elite be
knowledgeable of their nations’ international agreements, especially with the United Nations,
since the United Nations Charter and other agreements most often take precedent over other
international agreements (UN 1945). People have the basic human right to work in a
profession of their choice (UN 1948). People have the right to access the best quality
medical care available, and today that means globally (UN 1966). People have the right to
form and express their opinions, to develop their personalities, to their own culture, and to not
be arbitrarily arrested or have their communications interfered with (UN 1948). People have
rights to move freely, to be treated as equals regardless of race, sex, nationality, religion or
other demographic attributes. People have the right to take part in their government, which
includes economic policies, budgetary expenditures, laws and plans (ibid). Everybody has
the right to education and to their basic physiological needs regardless of opinions to the
contrary. Basically, every human being has the right to live at the highest standards
available, nobody has the right to take that right away, and the nations which are made of the
individuals have the duty and responsibility to make sure people can live within their human
rights. “Right” and “wrong,” “good” and “bad” are really not difficult to understand in their
basic meaning, and it’s not unreasonable that people should live good lives full of rights.

The primary data collected in this research supports the secondary data sufficiently to say
that the democratic majority of the survey population desires more opportunities, more jobs,
better economic conditions, more human rights, more social controls, better living standards,
higher wages, more control of their own economic destiny, more prosperity for the masses,
less poverty, less socioeconomic conflict, and a life in accordance to present-day social
norms, which are quite a lot different from norms of centuries past or some people’s opinions
of what the norm is still today. This researcher feels it is safe to say that people in general, at
work, at home, on vacation, and at school want life to get better, want more practical
application of grounded theories cited in the literature, and want better leadership in practice.
People have the right to do what is best for the whole population, regardless of the opinions
of an über-wealthy or cynical and pessimistic sect of human rights abusers. There is not only
no time like the present to make changes and create the great organization that people have
set out to make, but there is no other time to work at anything but in the present tense.

Conclusion

Results from the surveys and interviews suggest that further research should be
conducted in efforts to find the extent to which the responses from this study can be applied
to larger populations. If the results from this study are representative of the majority, or even
of significant segments of democratic societies, a general implication is that the general
citizenship is not being represented by democratically-elected leaders with regards to
economics, trade, business and money matters.

In this study, the story was basically the same in the international media, in journals, in
textbooks, and in reports as it was in the general public: there’s a problem in society, in the
system, in economics, in the organization, and people want that problem to be solved.
Democracy is dysfunctional and capitalism has gone awry. Upon a closer look, the general
singular problem can be separated into several different smaller problems, and those smaller
problems can be divided into smaller, more secular problems, and the culmination of the
smallest-order solutions put together is what the highest-order singular solution will
represent. In the end, there is no good reason not to try to make changes which result in a
generally more orderly, more peaceful, more prosperous, harmonic and integrated life. There
is no good reason to deny the minority ethnic or socioeconomic classes, and in democracies,
there is no real right to deny the will of the majority voter population, even when the majority
of the population holds a very small minority share of the wealth.
When people want or need something very much, they will go to great lengths and
extremes to obtain this thing which they so desire. Such is how the wealthiest segment of
society has come to own, occupy, and control so much. Certainly the wealthiest and most
powerful people in this world can easily understand the drive to be wealthy and powerful, and
that being wealthy and powerful is important, good, and satisfying. The higher-ups in the
organization of any size and scope most certainly do not generally enjoy being impeded in
their progress, blocked in their ambitions, aggressed upon, opposed, or oppressed; the top
executives most certainly do not love losing, and have little intention of making a habit of not
winning. Then there is no reason the people at the top cannot understand that others are
humans too, fundamentally similar to themselves in biological and psychological makeup,
and that others have very similar basic needs, fundamental motivating factors, abilities and
wills to acquire and retain large quantities of wealth.

The general unified theory of the organization is that we are all humans, motivated by
similar factors, and while there are generally always outliers in data sets and exceptions to
rules, our fields are aligned in a common purpose of success, both financial and social. Each
business has forces acting upon it, and those forces elicit varied responses, but there are
general environmental conditions which are similar within and among all organizations. All
of the business is made in the human mind first, and it is the outward projection of internal
processes which creates interpersonal interaction. The socio-economic-political systems of
all sizes are made by people and reflect the strengths and weaknesses of the people who
make, support, and protect them. As a species, humans exhibit a wide assortment of traits,
tendencies, cognitions and behaviors; those among some subgroups directly and indirectly
oppose those among other subgroups and cause general conflict, disorder, and instability
among the whole. The interaction between the parts of each individual at a neuro-level, like
the interactions between members of a group, like the interactions of groups within a nation,
like the interactions of nations within a region, like the interactions of regions within the
global community are complex, technical and still largely unknown in several dimensions to
experts. Still the commonsensical evidence that there is an order and a commonality among
all people is virtually everywhere. Laws have been written to establish and maintain judicial
equality among peoples. There is a well-publicized unified social, psychological, scientific,
medical, political, economic, and artistic goal of embracing, welcoming, and tolerating
diversity in its many forms. That goal is based upon a general theory that humans are
fundamentally equal in their abilities, and when they are not, they should not be separated
from the group or discriminated against. Just as the American government requires American
corporations to abide by American laws or be subject to prosecution under the Foreign
Corrupt Practices Act, business, economic, social, psychological, political, and other rules or
theories have been written which transcend minor differences among people. So then we can
take our knowledge from organization to organization and use it rather than having to learn
different rules, theories, and sets of knowledge for different organizations.

There might always be a richest, but the number of rich can certainly grow, and there
might always be class inequality, but by allowing and helping all to have plenty, we can
assure our own consistent mutual satisfaction, including in times when some desire not to
spend. We can embrace diversity of personality, which will not likely decrease with
decreased poverty or increased earnings and savings among the lower 80%. We can find
differences between people and compete psychologically, academically, intellectually,
philosophically, and give up the illusory act about wealth being directly proportional to
intelligence and merit of character, such that we would see beyond lifeless material value and
into the truer value of the individual person. In other words, we can live more honestly and
faithfully, work more diligently and with more integrity, but whether or not we will is a
choice. Upon that decision rests the fate of virtually the entire world. If we choose wisely as
individuals, collectives, and organizations, then the future successes are unlimited, and what
dreams may come are ours to be written.

Managers of any organization need to keep in mind the various aspects of the business,
balance inter-field conflicts of needs and wants, and find a way to integrate the larger
consumer mass within society into the organizational vision. Management personnel in the
service sectors especially have to take into consideration the value of language-based explicit
communication, of social scientific research, and management has the task of creating and
sustaining socially acceptable images for the organization, which is a combination of many
diverse personalities among the staff. When sales are dependent upon the quality of services
rather than hard, tangible products, satisfying the customer means being a better listener, a
more accommodating host, a creative problem solver, a quick thinker, employing diversity
and inclusion, and understanding that words are often the only tools of the trade. With
enough of the right words, skilled managers can be successful in any organization knowing
that all businesses have a similar basic outline.

For futher recommendations, see Appendix 3.


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Appendix 1: Survey 1

Male Female EU Americas Asia Australia

1 = Strongly Disagree 2 = Disagree 3 = Neutral 4 = Agree 5 = Strongly Agree

1. It pains me to see homeless people begging. 1 2 3 4 5


2. If it was my choice, I would have more money. 1 2 3 4 5
3. I want all people in society to have enough food, water, clothes, shelter to 1 2 3 4 5
survive.
4. Working for a good wage gives me pleasure. 1 2 3 4 5
5. I believe the best way is designed to give the greatest good to the greatest 1 2 3 4 5
number of people.
6. Greedy people are a pain. 1 2 3 4 5
7. If it was my choice, everybody who wants to work could find a job. 1 2 3 4 5
8. Doing good things for people brings good feelings to me for a long time. 1 2 3 4 5
9. Doing good things for people does not make me feel bad. 1 2 3 4 5
10. Kindness and happiness are contagious. 1 2 3 4 5
11. I want to pay more taxes. 1 2 3 4 5
12. I want higher unemployment rates. 1 2 3 4 5
13. I want less charity and more poverty. 1 2 3 4 5
14. I want the rich to get richer and the poor to get poorer. 1 2 3 4 5
15. I want a democratic economy. 1 2 3 4 5

ผู้ชาย ผู้หญิง

1 ไม่เห็นด้ วยมาก 2 ไม่เห็นด้ วย 3 วางตัวเป็ นกลาง 4 เห็นด้ วย 5 เห็นด้ วยมาก


Appendix 2: Survey 2 Male Female EU Americas Asia Australia
๑ เมื<อไหร่ที<ฉนั เห็นคนจนขอทานไม่ที<อยูอ่ าศัย ฉันรู้สกึ เจ็บปวด 1 2 3 4 5
๒ ถ้ าฉันมีทางเลือก ฉันอยากมีเงินมากขึ Jน 1 2 3 4 5
๓ ฉันต้ องการให้ ทกุ คนในสังคมมีความเป็ นอยู่ อาหาร นํ Jาดื<ม เสื Jอผ้ า ที<พกั อาศัยเพียงพอ 1 2 3 4 5
ต่อการดํารงชีวิต
๔ การทํางานมีเงินเดือนรายได้ ที<เหมาะสมทําให้ ฉนั รู้สกึ พอใจ 1 2 3 4 5
๕ ฉันเชื<อว่ากลยุทธ์ที<ดีที<สดุ ทําให้ สว่ นที<ดีทวั< ถึงผู้คนมากที<สดุ 1 2 3 4 5
๖ คนโลภมากทําให้ ฉนั รู้สกึ เจ็บปวด 1 2 3 4 5
๗ ถ้ าฉันเลือกได้ ทุกคนที<ต้องการทํางานสามารถมีงานทําในการประกอบอาชีพ 1 2 3 4 5
๘ การทําสิง< ดีๆต่อผู้คนทําให้ ฉนั รู้สกึ ดีกบั เวลาที<ยาวนาน 1 2 3 4 5
๙ การทําสิง< ดีๆต่อผู้คนไม่ได้ ทําให้ ฉนั รู้สกึ ไม่ดี 1 2 3 4 5
๑๐ ความเมตตาและความสุขสามารถกระจายต่อๆกันไปได้ 1 2 3 4 5
๑๑ ฉันต้ องการเสียภาษี มากขึ Jน 1 2 3 4 5
๑๒ ฉันต้ องการให้ คนไม่มีงานทํามากขึ Jน 1 2 3 4 5
๑๓ ฉันต้ องการคนทําบุญน้ อยและคนขาดแคลนมากกว่า 1 2 3 4 5
๑๔ ฉันต้ องการคนรวยให้ รวยมากขึ Jนและคนจน ยากจนลงกว่าเดิม 1 2 3 4 5
๑๕ ฉันอยากให้ เศรษฐกิจมีความเสมอภาคตังอยู J ใ่ นระบอบประชาธิปไตย 1 2 3 4 5
1 = Strongly Disagree 2 = Disagree 3 = Neutral 4 = Agree 5 = Strongly Agree

1. I dislike layoffs and firings in my field of work. 1 2 3 4 5


2. I want my company to have more operating cash. 1 2 3 4 5
3. My business performance is linked to the larger economy. 1 2 3 4 5
4. I want my business to pay lower interest on loans. 1 2 3 4 5
5. When the wealthiest people save money rather than spend and invest, my 1 2 3 4 5
company’s income and performance suffer.
6. A happy workforce is a productive workforce. 1 2 3 4 5
7. I think all employees should receive benefits like health insurance. 1 2 3 4 5
8. If my company had more control of my government’s budgetary expenditures, 1 2 3 4 5
my company would perform better.
9. I dislike large gaps between executive and hourly worker pay. (i.e. 100x) 1 2 3 4 5
10. I want lower taxes for lower-paid people and organizations. 1 2 3 4 5
11. I want my business to pay lower purchase prices. 1 2 3 4 5
12. If the poorer people in society had more disposable income, my business would 1 2 3 4 5
be more stable and/or perform better.
13. Ethics are important to me at work. 1 2 3 4 5
14. I want more opportunities for people willing to work. 1 2 3 4 5
15. I want my company to operate by the democratic rule of its employees 1 2 3 4 5
whenever possible.

1. ฉันไม่ชอบการลอยแพ(เลิกจ้ าง)และการใส่ไฟ(ใส่ร้ายป้ายสี)กันในสถานที<ทํางานของ 1 2 3 4 5
ฉัน
2. ฉันต้องการให้บริ ษทั ของฉันมีเงินสดในการปฏิบตั ิการมากกว่านี= 1 2 3 4 5
3. การทําธุรกิจของฉันเชืCอมโยงกับเศรษฐกิจขนาดใหญ่ 1 2 3 4 5
4. ฉันต้องการให้ธุรกิจของฉันจ่ายดอกเบี=ยเงินกูล้ ดลง 1 2 3 4 5
5. เมืCอคนทีCมงัC คังC ทีCสุด ประหยัดเงินมากกว่าการใช้จ่ายและการลงทุนรายได้และการ 1 2 3 4 5
ทํางานของบริ ษทั ของฉันก็ฝืดเคือง
6. ความสุขของลูกจ้ างแรงงานเป็ นผลมาจากลูกจ้ างแรงงานเอง 1 2 3 4 5
7. ฉันคิดว่าพนักงานทุกคนควรได้รับสิ ทธิ ประโยชน์ เช่น ประกันสุ ขภาพ 1 2 3 4 5
8. หากบริ ษทั ของฉันมีการควบคุมการใช้จ่ายงบประมาณของรัฐบาลมากกว่านี=บริ ษทั ของ 1 2 3 4 5
ฉันบริ ษทั จะทํางานได้ดีข= ึน
9. ฉันไม่ชอบช่องว่างขนาดใหญ่ของการจ่ายระหว่างผูบ้ ริ หารกับคนงานรายชัวC โมง (เช่น 1 2 3 4 5
100 เท่า )
10. ฉันต้องการลดภาษีสาํ หรับคนทีCจ่ายน้อยและองค์กร 1 2 3 4 5
11. ฉันต้องการให้ธุรกิจของฉันจ่ายเงินซื= อในราคาทีCตCาํ กว่า 1 2 3 4 5
12. หากผูด้ อ้ ยในสังคมมีรายได้เสริ มมากขึ=น ธุรกิจของฉันจะมังC คงมากขึ=นหรื อ มีการ 1 2 3 4 5
ทํางานทีCดีข= ึน
13. จริ ยธรรมมีความสําคัญต่อฉันในทีC ทํางาน 1 2 3 4 5
14. ฉันต้องการโอกาสมากกว่านี=สาํ หรับคนทีCมีความตั=งใจในการทํางาน 1 2 3 4 5
15. ฉันต้องการให้บริ ษทั ของดําเนินการตามกฎทีCมาจากเสี ยงส่ วนใหญ่ของพนักงาน 1 2 3 4 5
เท่าทีCจะสามารถเป็ นไปได้
ผู้ชาย ผู้หญิง
Appendix 3: Fresh Ideas from Old Knowledge

1. Diagrams modeled after Leontief’s I/O matrix using psychedelic crop circle art:

Automotive manufacturing industry input diagram:


2. A possible model for perfect competition in an environment less protective of patents
and copyrights using a variation of sine x and –sine x:

Utility or
demand for
new products
from A & B

Variations (B)
Design (A)

Variations (A)
Development and design (B)
New product to market (A)
(new theory to B)
Design
period (A)
New theory or production technique inspires:
new technology (A); new product to market (B)
Changes in quality, size, variations (A)
Demand Company A
New product to market (A)
New theory (B) Demand Company B

Company A is an innovator. Company B would be considered a pirate or IP violator based


upon strict protection of long-term patents. With shorter patent terms, Company A is driven
to innovate to keep its market share and profits high. When Company A brings a new
product to market, Company B adapts to the new technology and starts developing a
production line. During Company B’s preparation to bring the same product as Company A
to market, Company A has high volume sales (slope) due to lack of competition. When
Company B brings its product to market, Company A has forecasted this event and has a new
theory or production technique which inspires a second generation product. During the
period following Company B’s product to market, Company B has a growth in sales (slope),
while Company A has a reduction in growth. Company A makes variations in size, function,
asthetic features, ergonomics to its product during the phase after Company B brings its
product to market. Company A always stays ahead of Company B. The cycle repeats itself,
and the two companies alternate between making variations of their most recent product, and
developing/designing new products. Satisfaction and demand for each product declines as
new products are brought to market to replace the previous generations of products.
3. Why only bulls and bears? The Animal Farm Chinese Buffet Placemat System:
Toad – An amphibian which needs to be covered in liquid at all times.
When the liquid dries up, the toad goes looking for more and if it’s not
available within a limited timeframe, the toad dies. Example: High
tech, cutting edge R&D, risky new inventions

Camel – Camels can carry men or walk alone over vast distances and live
for a long time without consuming any liquids. Camels store the liquids
internally and usually get to a new source before death. They live long
lives in their famine and drought ridden environments. Example: Old
money, private aristocracy

Shark – Sharks live in the liquid so it’s an easy


resource to draw on, but sharks often die shortly
after they stop moving. Example: Investment
bankers, FOREX traders, aggressive brokerage
firms, high fashion models, top 40 musicians,
professional athletes

Sheep – Sheep are flock animals which survive best with the constant
care and supervision of a shepherd. Shepherds keep the flock
together, provide the necessary inputs and protection when they’re not
naturally available for the sheep, and sheer the sheep annually to keep
themselves warm and economically stable. Example: Lots of small
businesses (IRS & government is the shepherd, sheering is
taxing)

Pigeon – Pigeons can be found in nearly every park or fairgrounds in


the economic world. Some people – old men and women, young
children, homeless people – love pigeons. Others loathe them.
Pigeons rely on rubbish pickings and handouts very often. They can
also be found on the streets and sidewalks, much to the displeasure of
some street-sweepers and motorists. Example: roadside restaurant carts, trailer fair
eateries, souveneir sellers, all mobile business operations

Common Domesticated Dog – Dogs are lovable family members,


but can be trained to attack, often go astray, introduce waste to an
otherwise sanitary environment and can become a large burden on
the owner or city. When they’re trained, they’re great. When
they’re not trained, they’re a hassle. Example: Auto suppliers (tier
II and III especially), plastics manufacturers, chemical producers,
military contractors

Crab – Crabs live in the liquid like few others can and do. They’re
protected by a hard exterior and they can hide in small holes, recessions
and depressions, very easily. Crabs mostly live on what waste the other
liquid dwellers leave along with some small bottom organisms. Example: Small e-trading
firms, small brokers and banks, collection agencies

Whale – Whales are by far the largest of the animals. Whales


are most like the animals that live outside of the liquid, but
they excel in aquatics and cannot survive outside of it.
Occasionally, a whale will get beached and it’s a big tragedy.
Different kinds of whales eat all sorts of things. They live
very long lives, communicate using a unique long-range set
of sounds, and can brave cold waters, though they need help when frozen liquids obstruct
the surface. Example: Large banks and financial firms, credit card companies, huge
multinational corporations

Dolphin – Dolphins are like whales and non-aquatic


species too. They are fast, smart and strong. Dolphins
are excellent non-verbal communicators. They’ve been
known to help innocent people in trouble and have won
fights against sharks despite the fact that dolphins are
not predators. Example: Financial planners, select traders, tech-savvy bankers,
arbitrageurs

Husky – Huskies are well known for their teamwork skills, spirit
and ability to survive in climates where all liquid is frozen on the
surface. They’re competitive and best kept in small teams.
Huskies have great endurance and are often heralded as the hero of
the frozen tundra and arctic landscape. Example: Professional
consulting, small consolidators, ethics investigators, civil rights
attorneys, environmentalists

Ox – Oxen are great for hauling long range with lots of load.
They’re also a staple for plowing on the farm. They’re
strong, big animals that are easy to train, rarely go astray and
require minimal upkeep. Example: Logistics trucking
companies, freight, warehouse club retailers, transportation
engineering companies

Tiger – Tigers are the largest non-aquatic predator. They


carry as much weight as possible and remain fast, strong and
agile. Tigers can consume large quantities of substrate
quickly and can be quite fierce with other tigers and with
their prey. They have no known predators except for the
Man. Example: Natural resource trade, government
contractors, emerging market corporations
Deer – Deer can be found alone or in large herds. They can survive all
seasons and have adapted to different climates. Deer are fast, lean and
rarely overpopulate a zone. Deer have a problem with bright lights in the
dark. Some lose their lives because of this bravery or stupidity with regards
to the moving lights. Example: Fisheries, eco-tourism sectors, specialty
retail

Cow – Most businesspeople have heard of the “cash cow.”


Here’s why. Cows have a very unique ability to turn local
vegetation into powerful muscular protein. They are great
sources of nourishment and can be used as a shelter or for
clothing in colder times. Cows spend most of their time
digesting the local vegetation in one of their many stomachs,
sometimes expelling gases and sounds which some consider foul. When many cows
populate an area, the stench is often complained about. Example: Factories, production
facilities, some industrial agriculture

Pig – Pigs are notoriously dirty but often accepted as a loveable,


honorable member of the community. Pigs eat, sleep, and make
waste in the same place, often bathing in and eating their own
waste. They get fat whenever they can, which makes them slow
and easy to catch. They’re most commonly docile, but they’ll
eat anything that’s fed to them and some folks are religiously
opposed to consuming the pig. Examples: Organized crime, white collar crime
syndicates, racketeers, gangsta rappers, dirty movie makers, sex traders, illicit drug
traders, intellectual property pirates, small time crooks

Tree – Long-term, necessary, easy to grow, easy to cut back. It can keep
you warm, give you privacy, and increase oxygen supplies. Some people
think trees are boring and don’t like having too many around. Other
people go to incredible lengths to protect trees. Example: Agriculture,
textiles, commodities

Man – Man exhibits the widest range of traits among all other types of
economies and organizations. The Man is by far the fiercest competitors
and most dangerous predators, though all of the other categories can prey on the man too.
Man controls the environment the most. The Man pollutes the most, consumes the most,
over-populates like no other animal or plant can or will. Man seems to have lost its
instincts completely sometimes. Man sometimes has parent companies, and the families
are sometimes sluggish, corrupt, too aggressive, and exhibit little care for other animals or
plants. Man loves money and sometimes Man will do anything to get it. The Man also
makes up for its mistakes from time to time, and has done a lot of good in the process.
Example: just look around

4. 37 Potential Steps Toward Sustainability & Stability


• Localize manufacturing
- cut down on shipping costs, fuel consumption, increase local labor
• Make a salary cap for all professions
- use tax or skimming; redistribute overages into welfare programs, education funds,
community endowment subsidies
• Make a scientific legal system
- eliminate contradictory clauses, Bills, Amendments, nationalize laws so people
aren’t confused and angry, so people can travel from Ann Arbor, Michigan to
Louisville, Kentucky to Beijing, China and be treated the same under one law
• Government oversight on pricing
- cut down overpricing, rapid inflation; push deflation; realize that economics is a
soft- or pseudo-science based upon human emotion rather than the will of nature or
some uncontrollable phenomenon
• Vote on wars and Bills
- institute online voting to increase voter turnout, eliminate or cut down divisions of
interest, ideology
• Require full work weeks for musicians, actors, wealthy affluent; redirect the culture
away from the six most common short-term career endeavors - military, modeling,
acting, investment banking, dancing, and sports (MSNBC 2010)
- make a realistic work model for young fans, cut down dreaming of easy cash and
celebrity status without work
• Online government- and private-sector-overseen database of jobs
- match people with ideal professions, lessen risks of illegal/unethical hires/fires
- bring in the NFL-style draft for semi-annual college graduation recruiting
• Focus on homeland first
- redirect foreign aid expenses toward national programs, concentrate on providing all
who desire to work with jobs
• Subsidize more farming
- instead of one farmer for 400 acres, make more collective work efforts possible
with work-for-food-and-shelter programs
- make basic needs possible to acquire through government purchases, leases and
lending of lands for self-sufficient farming communities similar to Amish; offer to
most poor first in efforts to stabilize urban ghettos
• Make a real effort to govern overpopulating families
- we cannot afford 6 children per family or another doubling of population over the
next 50 years as we have seen over the last 50; some legal action may be required; try
adoption programs, criminal law
• Reduce populations of big cities (dependant on small farm communities) with
government purchases of rural land units; make cities safer
- move people into independent farming communities based on need/want (see above)
- bring in the corporate ghetto community
• Provide more adult education
- get people familiar with theory as a real concept; provide alternatives for college
dropouts, late bloomers, or people who are intimidated by the institution
• Harsher penalties for alcoholics, habitual abusers
- get people thinking straight
• Consider mandatory life sentences for murderers; revise other sentencing
- take the threat from the community forever; open up prison space and draw attention
from preoccupation with petty criminals as being something more than just petty
- make self-sufficient prison villages where inmates live real lives in a self-contained
rehabilitation community. Prisoners can learn leadership roles and live within certain
proximities.
• Federal Communication Control Board for responsible television, internet and radio,
movie transmissions
- stop promoting, endorsing and commercializing socially corrupt elements; return to
educated, family values programming; eventually reduce admiration of stupidity and
crime, drop-out-ism
- let the real artists finally have a say
• Provide much more expansive and adequate public transit systems
- reduce and eliminate need for private transportation in big cities; celebrities will
endorse, professionals will lead, others will follow
- electric rails to suburbs, national auto-manufacturer contracts for electric/hybrid
buses; eventually it will catch on; make gas more expensive to draw business as oil
production peaks and diminishes; it only has to be as quick and efficient as the
average commute
• Provide incentives for B.S. students over B.A. students, and greater job market for
professional degree-holders, especially in Philosophy, Social Sciences
- this means larger, leaner government, less personality-led decisions and more
scientific ideas
- sink in with social organization and job-matching
• Greater communication in national police network, community action programs
- create an air supportive of smaller-town civility with larger-city acceptance of other
races and cultures; exploit the vast tracts of land available for medium-sized
communities; go electronic and home-based work for some; again, localize
manufacturing on micro levels; pursue localized self-sufficiency and use
communication more to advocate social responsibility
• Decriminalize religions entirely (except Satanism)
- many people will choose independently to live less excessive lifestyles if they are
allowed to practice their religions entirely (see Native American shamanism and
Church)
- Draw attention to real Church, temple, and Mosque leaders’ messages of non-
violence and condemnation of actual physical violence, especially homicidal violence
• Separate sexual orientation and law
- this does not mean we support alternative lifestyles, it only means there are more
important things to deal with and we need as many people on board as possible; we
can’t waste precious time and energy quibbling over petty issues that have been
around since anybody can remember
- be adults about it and work together; bigotry has no place in law; such excesses
further corrupt our systems and divide us socially
• Find some way to institute life-long influence for elected officials whose term limits
have been met
- the bigger the team, the better
- the idea that an entire nation changes every 8 years or so is not realistic; it creates
collective pseudo memory loss like we seem to be having about the 1960s-70s
- learn from history finally
• Make mandatory psychological analysis of all government positions and keep
checking
- don’t let another lying, delusional sociopath or psychopath wreck 30 years of
international/national work; it’s amazing how much one person can influence the
whole with ideology
• Issue rubber bullet guns at police stations
- show the public the police do not intend to kill; citizens will come around
- reduce the criminals’ perceived need for firepower
• Seriously consider hemp
- it is not a drug ever at all
• Institute money/food for guns programs
- get guns out of the neighborhood little by little
• Do something about truants!
• Make criminal records less accessible by employers
- if rehabilitation is the goal of the criminal justice system, then let it be known that
the law is the rule rather than subjective perceptions of employers
• Institute proactive thinking
- move some willing people away from seashores and regions that will likely be
affected by climate change; reduce psychotic effect of future disasters and lessen risks
of wars, riots with preventative steps
• Stop hoarders of all kinds!
- Eliminate Cro-Magnon ideology in all its places! Eventually evolve out of the
genealogy of the caveman hoarder
• Mandate automakers to put speed governors on cars (why make a product that is
designed to break the law and confuse poor old DMX?) and transition to a majority
hybrid models before oil makes it necessary; clear up the traffic court dockets
• Authorize and support extensive renewable energy programs
- exploit wind, solar, geothermal power options to no ends
• Accept the immense youth population and use it as a powerful labor/creative tool
- make qualifications, aptitude and intelligence rather than age, pre-existing wealth,
connections and experience main factors in employment, or at least combine efforts
- give the young people a sense of hope rather than a reason to become homicidal
maniacs; don’t let the youth learn to make the same mistakes as elders thinking it’s
right
• Stay current
- Outdated thinking is a real thing rather than just an insult…many of our leaders,
bosses, etc. are not staying current and the results of such historical styles of thinking
are disastrous!
• Localize, nationalize, regionalize, then globalize
- we can not get to step 4 without succeeding with step 1
• Police international corporations for homeland-based environmental law breeches
- No special privileges!
• Institute aggressive, creative environmental engineering projects to reduce immediate
industrial impact, reverse effects over long-term
• Rely on solar desalination/plant ideas for projected water shortages

5. Alternative Definition Glossary of Terms

Currency – a particular brand or variety of psychological energies; a style; a way of thinking;


generally associated with a sovereign nation’s people

Return On Capital – if a person invests time, thought, belief, work (money) in another
person, will their efforts be repaid? The mental returns on invested energies

P/E Ratio – Reality to perceived reality ratio – linked to puffing

Net Present Value – total intellectual worth of a person now

Discounted Cash Flow – Present value of free mental currency flows; positive or negative
balance of all ongoing mental emotional exchanges, thoughts, transmissions concerning or
involving other people

Earnings Before Interest, Tax and Amortization – real, honest publicly known self-image
before slander and judgments by others

Income Tax – public opinion, external charges forced out from the individual to the
collective; can be used to benefit society

Tax Bracket – group, stereotype or profile you’re likened to

Sales – thoughts, opinions, ideas people believe or “buy”

Value of Money – perceived importance, relevance, worth of genuine thoughts and emotions
in society

FOREX – trading currencies between sovereign units; this for that; exchanging stories,
thoughts, emotions from different classes and cultures; the internet offers a domain for
trading
Break Even Point – point after which you’re not considered a criminal or mentally ill person;
point after which you’re not longer seen as a drain on society or dependent upon others

Discount Rate – “oh that’s not such a big deal”; “my pleasure”; “it was nothing”; humility

Hostile Takeover – arrest, institutionalization, scolding or disciplinary action by a supervisor


necessitating and creating change in the individual being taken over

Net Operating Profit After Taxes – confidence, thought surplus, emotional stores, self-
esteem, feelings of accomplishment, mental currency available after the public takes what
they think is theirs; mental work continues, especially innovative work, with these resources

Management – organization, assessment, control, planning, leading mental faculties

Interest – the idea that knowledge, wisdom, data, information, thoughts, feelings, mental
activity given or received today will be worth more at a later date at which time it is
necessary to repay or return the same or different currency to the provider

Accounting – calculation and tracking of sources, destinations and holds of currency

Human Resources – outgoing, friendly, extroverted, polite face of the individual

Treasury – ultimate source of capital – 1 part deity, 1 part collective consciousness, 1 part
seamless earthen matter, 1 part agency

Inflation – an imaginary concept whereby a person believes their puffing, hyperbole and
exaggerations today cause an increased worth tomorrow (i.e. lies)

Asset Disclosure – alerting others of your real worth and what you have in reality

Transportation – requires lots of energy to get the message across, through from shipping to
receiving, from one location to another

Revenue – positive thought, feeling paid to or received from others

Cost and expenses – that paid out + charitable contributions (paid out without required
repayment of service, good or foreign currency)

Repairs, Depreciation – redefining mental/social paradigms with education and evolution of


social culture, laws like civil rights, human rights and outdating, getting rid of, discontinuing
use of, making obsolete dated, faulty, abusive and counter-productive thoughts, moods,
emotions and behaviors

Cash Operating Taxes – poor public opinions, negative reviews, jealousy, anger for being
active with personal currency – people tax you because you’re thinking individually and
credibly

Marketing and Advertising – informing people of your strengths; making jokes; making
yourself known and memorable; actions which create a higher sense of perceived worth or
value
Equity – thoughts, emotions, beliefs put into popular campaigns (i.e. the religions,
philosophy, arts, visions, environmental activism, social betterment planning) which are
assets that can be used to leverage power in the market

Job/Career – a purpose; a place in society; something you can put your mind to and be
rewarded for; a real strategy; a lifeline; an identity; a pathos

Information Technology – communication mediums, research; department of mental faculties


ensuring parity, speeding up transfer rates, providing servicing for the equipment; mental
health; ability to stay active, intelligent; division responsible for ridding the mind of the
“viruses” explained in Don Miguel Ruiz’s “Four Agreements” book

Manufacturing – thought, emotion engineering; molding, developing, cutting, assembling


logics and thoughts of all values; quality control screens defective thoughts, sets tolerance for
variations; waste raw material is made and can be sold from production

Fixed Costs – unavoidable thoughts and feelings

Revenue – new knowledge, acquired learning skills

Marginal Utility – the satisfaction of the nth single thought or feeling in a series of n thoughts
or feelings

Total Utility – the value of all thoughts or feelings

Marginal Revenue – the relative value of new knowledge, thoughts or feelings as they are
picked up in comparison to the value of pre-existing knowledge, thoughts or feelings

Total Variable Costs – total amount of thoughts and feelings, mental energies, that can vary
dependent upon context, total output, and other conditions in the environment

Total Production – total mental energy expended within a period

Optimum Production – the level of mental production which is neither too high nor too low,
but just right; burnout and boredom are averted completely and satisfaction is ensured

Profit Maximization – the highest level of psychological benefit an individual can achieve in
operations with the lowest possible level of psychological costs

Breakeven Point – the point at which mental outputs no longer exceed inputs, or when a
neutral satisfaction level is achieved

Supply and Demand – the balance between social needs and wants, and individuals’
production of action, of energies, of thought, and feeling

Market Competition – general competition between people in an environment which supports


such competition

Perfect Competition – a phenomenon most often seen in an in-group, on a team, or within


partnerships of varying sizes, where all individuals offer the same energies, the same
thoughts, same feelings, and a balance is achieved wherein the individuals no longer compete
directly with each other, but all serve the social demand with the same offering

Price – compensation for a psychological product, mental energy, thought or feeling

Elasticity of Demand – the extent to which demand for an energy changes as expected
compensation for such energies change

Monopoly – when an expert in a field emerges, when innovation occurs, when new ideas and
social trends are made, individuals or companies might be lucky enough to have a monopoly
position; monopolies are created illegally through oppression and information asymmetry

Oligopoly – when a small group of individuals or companies controls the majority of the
social thought; this can be a dangerous condition wherein thought and mental energy not
consistent with the oligopoly (cartel) way is sought by the cartel to be eliminated or silenced

Monopsony/Oligopsony – when an individual or small group of individuals or companies are


the only consumers of certain energies

Free Market – a social environment in which there are no or few barriers to entry, little
regulation or limitations placed upon what allowed to enter into the environment; free
markets are supportive of free speech, expression, debate, and strong rights of individuals to
defy the psychological norm

Free Trade – a social condition in which there are no additional psychological costs for
trading with foreign nationals than there are in the domestic environment; intercultural noise
is eliminated

Tariffs/Quotas – cultural/intercultural noise, added costs associated with trading


psychological energies between nations and nationals

International Currency – international culture; psychological energies which transcend


individual national identities and focus on the human being

Exchange Rate – the value of one national’s psychological energies when compared to
another national’s energies; this can be affected by language and encoding

6. More potential components to a larger solution:

• Public partnerships in IT; internet-based software; plug in the hardware to the wall
socket and internet line and the system does the rest

• Eliminate more than 99% of credit card, ATM and debit card thieves by changing to a
fingerprint ID system at the superstore, by Diebold at the bank

• Integrate religions with charitable economics more; Catholics, Protestants, Buddhists,


Muslims, Jews, and others can print money or maintain a credit/debit database online;
give credits or money to people for good deeds, redeemable at Church, Temple, and
Mosque functions; a religious market exchange can serve as a forum for people to
invest in happiness, peace, friendship, altruism, love, laughter, and bet on trends in the
zeitgeist, relevance of text passages in world evens, like the world’s stock exchanges;
the currencies of various religions can be converted directly into goodwill, goods or
services donated to the organizations on the interfaith network

• Integrate the system of education from kindergarten through the highest levels of
universities so the entire institution can function as one; lower school teachers and
administrators can earn bonuses, goods and services for their schools by ensuring
better performing students for the next level in the system; increase college
enrollments and take out the doctor shortage; get some of the private grant money
down to the feeder schools and raise the standards and ambitions of teachers and
students both

• The casino market – bet on the best house in town

• From a Treasury perspective, people need to learn to treat the “liquid” like the water
companies have been; irrigate the fields; fix that old broken down wooden water main
and hokey pump; get the liquid flowing to where it’s driest and don’t be afraid to
wreck a wetland or two in the process

• Start believing a lot more in Ricardian Equivalence

• Realize that we live in a faith-based system where belief among people alone limits
potential advances in the overall function of the larger system; think about it!

Appendix 4: Data Reports

Survey 1
Americas, EU, Asia, Aus, non-reporting
Prefers not
Americas EU Asia Australia & NZ to report Total
Male, Female, Male 62 85 44 16 0 207
non-reporting Female 48 65 44 10 0 167
Prefers not to
0 0 29 1 3 33
report
Total 110 150 117 27 3 407

Means:
Correlations:
Histograms with normal curves:
Seeing homeless is a pain
I want more money

200

150

150
Frequency

100

Frequency
100

50 50

Mean = 3.9607
Std. Dev. = 0.91696 Mean = 3.8796
0 N = 407 Std. Dev. = 1.08176
0.00 1.00 2.00 3.00 4.00 5.00 6.00 0 N = 407
Seeing homeless is a pain 0.00 1.00 2.00 3.00 4.00 5.00 6.00
I want more money

Everybody's basic needs should be met


Good wage is pleasure

300 200

250

150

200
Frequency
Frequency

100
150

100
50

50
Mean = 3.9189
Std. Dev. = 0.92359
Mean = 4.6143 N = 407
0
Std. Dev. = 0.66295
N = 407 0.00 1.00 2.00 3.00 4.00 5.00 6.00
0
0.00 1.00 2.00 3.00 4.00 5.00 6.00
Good wage is pleasure
Everybody's basic needs should be met

Utilitarian is best

Greedy are pains


200

150

150
Frequency

100
Frequency

100

50
50

Mean = 3.8305
Mean = 3.9926
Std. Dev. = 1.01586
Std. Dev. = 0.95115
N = 407 0 N = 407
0
0.00 1.00 2.00 3.00 4.00 5.00 6.00 0.00 1.00 2.00 3.00 4.00 5.00 6.00
Greedy are pains Utilitarian is best
Doing good brings long-term good feelings
All willing should be employed
200

250

200 150

Frequency
Frequency

150

100

100

50
50

Mean = 4.2752
Std. Dev. = 0.8977 Mean = 4.2015
0 N = 407 Std. Dev. = 0.82968
0.00 1.00 2.00 3.00 4.00 5.00 6.00 0 N = 407

All willing should be employed 0.00 1.00 2.00 3.00 4.00 5.00 6.00
Doing good brings long-term good feelings

Doing good does not cause bad feelings Kindness and happiness are contagious

200 200

150 150
Frequency
Frequency

100 100

50 50

Mean = 4.0123 Mean = 4.0958


Std. Dev. = 1.0929 Std. Dev. = 0.99909
0 N = 407 0 N = 407
0.00 1.00 2.00 3.00 4.00 5.00 6.00 0.00 1.00 2.00 3.00 4.00 5.00 6.00
Doing good does not cause bad feelings Kindness and happiness are contagious

I want to pay more taxes I want higher unemployment rates

200 250

200
150
Frequency

Frequency

150

100

100

50

50

Mean = 2.0172
Std. Dev. = 0.95319 Mean = 1.8231
0 N = 407 Std. Dev. = 1.16946
0.00 1.00 2.00 3.00 4.00 5.00 6.00 0 N = 407

I want to pay more taxes 0.00 1.00 2.00 3.00 4.00 5.00 6.00
I want higher unemployment rates
Histogram I want the rich richer and poor poorer

300 400

250

300

200
Frequency

Frequency
150 200

100

100

50

Mean = 1.5848 Mean = 1.3882


Std. Dev. = 1.02533 Std. Dev. = 0.94512
0 N = 407 0 N = 407
0.00 1.00 2.00 3.00 4.00 5.00 6.00 0.00 1.00 2.00 3.00 4.00 5.00 6.00
I want less charity and more poverty I want the rich richer and poor poorer

I want a democratic economy

150

100
Frequency

50

Mean = 3.9948
Std. Dev. = 0.97882
0 N = 383
0.00 1.00 2.00 3.00 4.00 5.00 6.00
I want a democratic economy
Survey 2

Region
Americas EU Asia Australia & NZ Total
Male/Female Male 45 71 59 22 197
Female 33 74 77 10 194
Prefers not to
1 4 2 2 9
report
Total 79 149 138 34 400
Means:
Correlations:
Histograms with normal curves:
Layoffs & firings Cash position

200 200

150 150
Frequency

Frequency
100 100

50 50

Mean = 4.1125 Mean = 3.7975


Std. Dev. = 1.05718 Std. Dev. = 0.98941
0 N = 400 N = 400
0
0.00 1.00 2.00 3.00 4.00 5.00 6.00 0.00 1.00 2.00 3.00 4.00 5.00 6.00
Layoffs & firings Cash position

link to economy
loan interest

140
200

120

150
100
Frequency

Frequency

80

100

60

40 50

20
Mean = 3.4575
Mean = 3.2775 Std. Dev. = 1.14738
Std. Dev. = 1.23666 0 N = 400
0 N = 400
0.00 1.00 2.00 3.00 4.00 5.00 6.00
0.00 1.00 2.00 3.00 4.00 5.00 6.00 loan interest
link to economy

wealthiest saving happy workers

300
140

120 250

100
200
Frequency
Frequency

80
150

60

100
40

50
20
Mean = 3.2575 Mean = 4.3375
Std. Dev. = 1.22881 Std. Dev. = 1.03502
0 N = 400 0 N = 400
0.00 1.00 2.00 3.00 4.00 5.00 6.00 0.00 1.00 2.00 3.00 4.00 5.00 6.00
wealthiest saving happy workers
benefits
control of gov't budget

300
150

250
120

200
Frequency

Frequency
90

150

60
100

30
50

Mean = 4.4825 Mean = 3.455


Std. Dev. = 0.89817 Std. Dev. = 1.1341
0 N = 400 0 N = 400
0.00 1.00 2.00 3.00 4.00 5.00 6.00 0.00 1.00 2.00 3.00 4.00 5.00 6.00
benefits control of gov't budget

executive pay
lower taxes

150
150

100
Frequency

100
Frequency

50 50

Mean = 3.9875
Mean = 3.945 Std. Dev. = 1.04406
Std. Dev. = 1.04389 N = 400
0
0 N = 400
0.00 1.00 2.00 3.00 4.00 5.00 6.00
0.00 1.00 2.00 3.00 4.00 5.00 6.00 lower taxes
executive pay

lower costs
poorer income

200
150

150 120
Frequency

Frequency

90

100

60

50
30

Mean = 3.51 Mean = 3.5525


Std. Dev. = 1.1092
Std. Dev. = 0.96552
0 N = 400
0 N = 400
0.00 1.00 2.00 3.00 4.00 5.00 6.00
0.00 1.00 2.00 3.00 4.00 5.00 6.00
poorer income
lower costs
work opportunities
ethics

250
300

250 200

200

Frequency
150
Frequency

150

100

100

50
50

Mean = 4.575 Mean = 4.49


Std. Dev. = 0.77192 Std. Dev. = 0.78194
N = 400 0 N = 400
0
0.00 1.00 2.00 3.00 4.00 5.00 6.00 0.00 1.00 2.00 3.00 4.00 5.00 6.00
ethics work opportunities

democracy

200

150
Frequency

100

50

Mean = 4.1175
Std. Dev. = 1.01057
0 N = 400
0.00 1.00 2.00 3.00 4.00 5.00 6.00
democracy
Interviews

For Against

More, better employment Sympathy and empathy for the unemployed

Lower taxes, less taxes, fairer taxes More taxes

More prosperity, more money, more cash Greed

Representative democracy Tyranny of class

Sustainable development Environmental irresponsibility

Stable employment with benefits Layoffs and firings, instability

Judicial equality, human rights Extremely high CEO pay, disproporationate


wealth distribution

Positive attitudes, hope, kindness Negativism, pessimism, cynicism

Participative government Fascist dictatorship

Opportunities for workers Unemployment

Education and advancement Stagnation and complacence

Paradigm shift, integration of markets and Recession and cyclical downturns


democracies

Globalization Neocolonialism

Peace War

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