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http://www.michaelparenti.org/Imperialism101.html

Imperialism 101
Chapter 1 of Against Empire by Michael Parenti


Imperialism has been the most powerful force in world
history over the last four or five centuries, carving
up whole continents while oppressing indigenous
peoples and obliterating entire civilizations. Yet, it
is seldom accorded any serious attention by our
academics, media commentators, and political leaders.
When not ignored outright, the subject of imperialism
has been sanitized, so that empires become
"commonwealths," and colonies become "territories" or
"dominions" (or, as in the case of Puerto Rico,
"commonwealths" too). Imperialist military
interventions become matters of "national defense,"
"national security," and maintaining "stability" in
one or another region. In this book I want to look at
imperialism for what it really is.

Across the Entire Globe
By "imperialism" I mean the process whereby the
dominant politico-economic interests of one nation
expropriate for their own enrichment the land, labor,
raw materials, and markets of another people.
The earliest victims of Western European imperialism
were other Europeans. Some 800 years ago, Ireland
became the first colony of what later became known as
the British empire. A part of Ireland still remains
under British occupation. Other early Caucasian
victims included the Eastern Europeans. The people
Charlemagne worked to death in his mines in the early
part of the ninth century were Slavs. So frequent and
prolonged was the enslavement of Eastern Europeans
that "Slav" became synonymous with servitude. Indeed,
the word "slave" derives from "Slav." Eastern Europe
was an early source of capital accumulation, having
become wholly dependent upon Western manufactures by
the seventeenth century.

A particularly pernicious example of intra-European
imperialism was the Nazi aggression during World War
II, which gave the German business cartels and the
Nazi state an opportunity to plunder the resources and
exploit the labor of occupied Europe, including the
slave labor of concentration camps.

The preponderant thrust of the European, North
American, and Japanese imperial powers has been
directed against Africa, Asia, and Latin America. By
the nineteenth century, they saw the Third World as
not only a source of raw materials and slaves but a
market for manufactured goods. By the twentieth
century, the industrial nations were exporting not
only goods but capital, in the form of machinery,
technology, investments, and loans. To say that we
have entered the stage of capital export and
investment is not to imply that the plunder of natural
resources has ceased. If anything, the despoliation
has accelerated.

Of the various notions about imperialism circulating
today in the United States, the dominant view is that
it does not exist. Imperialism is not recognized as a
legitimate concept, certainly not in regard to the
United States. One may speak of "Soviet imperialism"
or "nineteenth-century British imperialism" but not of
U.S. imperialism. A graduate student in political
science at most universities in this country would not
be granted the opportunity to research U.S.
imperialism, on the grounds that such an undertaking
would not be scholarly. While many people throughout
the world charge the United States with being an
imperialist power, in this country persons who talk of
U.S. imperialism are usually judged to be mouthing
ideological blather.

The Dynamic of Capital Expansion
Imperialism is older than capitalism. The Persian,
Macedonian, Roman, and Mongol empires all existed
centuries before the Rothschilds and Rockefellers.
Emperors and conquistadors were interested mostly in
plunder and tribute, gold and glory. Capitalist
imperialism differs from these earlier forms in the
way it systematically accumulates capital through the
organized exploitation of labor and the penetration of
overseas markets. Capitalist imperialism invests in
other countries, transforming and dominating their
economies, cultures, and political life, integrating
their financial and productive structures into an
international system of capital accumulation.
A central imperative of capitalism is expansion.
Investors will not put their money into business
ventures unless they can extract more than they
invest. Increased earnings come only with a growth in
the enterprise. The capitalist ceaselessly searches
for ways of making more money in order to make still
more money. One must always invest to realize profits,
gathering as much strength as possible in the face of
competing forces and unpredictable markets.

Given its expansionist nature, capitalism has little
inclination to stay home. Almost 150 years ago, Marx
and Engels described a bourgeoisie that "chases over
the whole surface of the globe. It must nestle
everywhere, settle everywhere, establish connections
everywhere. . . . It creates a world after its own
image." The expansionists destroy whole societies.
Self-sufficient peoples are forcibly transformed into
disfranchised wage workers. Indigenous communities and
folk cultures are replaced by mass-market, mass-media,
consumer societies. Cooperative lands are supplanted
by agribusiness factory farms, villages by desolate
shanty towns, autonomous regions by centralized
autocracies.

Consider one of a thousand such instances. A few years
ago the Los Angeles Times carried a special report on
the rainforests of Borneo in the South Pacific. By
their own testimony, the people there lived contented
lives. They hunted, fished, and raised food in their
jungle orchards and groves. But their entire way of
life was ruthlessly wiped out by a few giant companies
that destroyed the rainforest in order to harvest the
hardwood for quick profits. Their lands were turned
into ecological disaster areas and they themselves
were transformed into disfranchised shantytown
dwellers, forced to work for subsistence wages--when
fortunate enough to find employment.

North American and European corporations have acquired
control of more than three-fourths of the known
mineral resources of Asia, Africa, and Latin America.
But the pursuit of natural resources is not the only
reason for capitalist overseas expansion. There is the
additional need to cut production costs and maximize
profits by investing in countries with cheaper labor
markets. U.S. corporate foreign investment grew 84
percent from 1985 to 1990, the most dramatic increase
being in cheap-labor countries like South Korea,
Taiwan, Spain, and Singapore.

Because of low wages, low taxes, nonexistent work
benefits, weak labor unions, and nonexistent
occupational and environmental protections, U.S.
corporate profit rates in the Third World are 50
percent greater than in developed countries. Citibank,
one of the largest U.S. firms, earns about 75 percent
of its profits from overseas operations. While profit
margins at home sometimes have had a sluggish growth,
earnings abroad have continued to rise dramatically,
fostering the development of what has become known as
the multinational or transnational corporation. Today
some four hundred transnational companies control
about 80 percent of the capital assets of the global
free market and are extending their grasp into the
ex-communist countries of Eastern Europe.

Transnationals have developed a global production
line. General Motors has factories that produce cars,
trucks and a wide range of auto components in Canada,
Brazil, Venezuela, Spain, Belgium, Yugoslavia,
Nigeria, Singapore, Philippines, South Africa, South
Korea and a dozen other countries. Such "multiple
sourcing" enables GM to ride out strikes in one
country by stepping up production in another, playing
workers of various nations against each other in order
to discourage wage and benefit demands and undermine
labor union strategies.

Not Necessary, Just Compelling
Some writers question whether imperialism is a
necessary condition for capitalism, pointing out that
most Western capital is invested in Western nations,
not in the Third World. If corporations lost all their
Third World investments, they argue, many of them
could still survive on their European and North
American markets. In response, one should note that
capitalism might be able to survive without
imperialism--but it shows no inclination to do so. It
manifests no desire to discard its enormously
profitable Third World enterprises. Imperialism may
not be a necessary condition for investor survival but
it seems to be an inherent tendency and a natural
outgrowth of advanced capitalism. Imperial relations
may not be the only way to pursue profits, but they
are the most lucrative way.
Whether imperialism is necessary for capitalism is
really not the question. Many things that are not
absolutely necessary are still highly desirable,
therefore strongly preferred and vigorously pursued.
Overseas investors find the Third World's cheap labor,
vital natural resources, and various other highly
profitable conditions to be compellingly attractive.
Superprofits may not be necessary for capitalism's
survival but survival is not all that capitalists are
interested in. Superprofits are strongly preferred to
more modest earnings. That there may be no necessity
between capitalism and imperialism does not mean there
is no compelling linkage.

The same is true of other social dynamics. For
instance, wealth does not necessarily have to lead to
luxurious living. A higher portion of an owning
class's riches could be used for investment rather
personal consumption. The very wealthy could survive
on more modest sums but that is not how most of them
prefer to live. Throughout history, wealthy classes
generally have shown a preference for getting the best
of everything. After all, the whole purpose of getting
rich off other people's labor is to live well,
avoiding all forms of thankless toil and drudgery,
enjoying superior opportunities for lavish
life-styles, medical care, education, travel,
recreation, security, leisure, and opportunities for
power and prestige. While none of these things are
really "necessary," they are fervently clung to by
those who possess them--as witnessed by the violent
measures endorsed by advantaged classes whenever they
feel the threat of an equalizing or leveling
democratic force.

Myths of Underdevelopment
The impoverished lands of Asia, Africa, and Latin
America are known to us as the "Third World," to
distinguish them from the "First World" of
industrialized Europe and North America and the now
largely defunct "Second World" of communist states.
Third World poverty, called "underdevelopment," is
treated by most Western observers as an original
historic condition. We are asked to believe that it
always existed, that poor countries are poor because
their lands have always been infertile or their people
unproductive.
In fact, the lands of Asia, Africa, and Latin America
have long produced great treasures of foods, minerals
and other natural resources. That is why the Europeans
went through all the trouble to steal and plunder
them. One does not go to poor places for
self-enrichment. The Third World is rich. Only its
people are poor--and it is because of the pillage they
have endured.

The process of expropriating the natural resources of
the Third World began centuries ago and continues to
this day. First, the colonizers extracted gold,
silver, furs, silks, and spices, then flax, hemp,
timber, molasses, sugar, rum, rubber, tobacco, calico,
cocoa, coffee, cotton, copper, coal, palm oil, tin,
iron, ivory, ebony, and later on, oil, zinc,
manganese, mercury, platinum, cobalt, bauxite,
aluminum, and uranium. Not to be overlooked is that
most hellish of all expropriations: the abduction of
millions of human beings into slave labor.

Through the centuries of colonization, many
self-serving imperialist theories have been spun. I
was taught in school that people in tropical lands are
slothful and do not work as hard as we denizens of the
temperate zone. In fact, the inhabitants of warm
climates have performed remarkably productive feats,
building magnificent civilizations well before Europe
emerged from the Dark Ages. And today they often work
long, hard hours for meager sums. Yet the early
stereotype of the "lazy native" is still with us. In
every capitalist society, the poor--both domestic and
overseas--regularly are blamed for their own
condition.

We hear that Third World peoples are culturally
retarded in their attitudes, customs, and technical
abilities. It is a convenient notion embraced by those
who want to depict Western investments as a rescue
operation designed to help backward peoples help
themselves. This myth of "cultural backwardness" goes
back to ancient times, when conquerors used it to
justify enslaving indigenous peoples. It was used by
European colonizers over the last five centuries for
the same purpose.

What cultural supremacy could by claimed by the
Europeans of yore? From the fifteenth to nineteenth
centuries Europe was "ahead" in a variety of things,
such as the number of hangings, murders, and other
violent crimes; instances of venereal disease,
smallpox, typhoid, tuberculosis, plagues, and other
bodily afflictions; social inequality and poverty
(both urban and rural); mistreatment of women and
children; and frequency of famines, slavery,
prostitution, piracy, religious massacres, and
inquisitional torture. Those who claim the West has
been the most advanced civilization should keep such
"achievements" in mind.

More seriously, we might note that Europe enjoyed a
telling advantage in navigation and armaments. Muskets
and cannon, Gatling guns and gunboats, and today
missiles, helicopter gunships, and fighter bombers
have been the deciding factors when West meets East
and North meets South. Superior firepower, not
superior culture, has brought the Europeans and
Euro-North Americans to positions of supremacy that
today are still maintained by force, though not by
force alone.

It was said that colonized peoples were biologically
backward and less evolved than their colonizers. Their
"savagery" and "lower" level of cultural evolution
were emblematic of their inferior genetic evolution.
But were they culturally inferior? In many parts of
what is now considered the Third World, people
developed impressive skills in architecture,
horticulture, crafts, hunting, fishing, midwifery,
medicine, and other such things. Their social customs
were often far more gracious and humane and less
autocratic and repressive than anything found in
Europe at that time. Of course we must not romanticize
these indigenous societies, some of which had a number
of cruel and unusual practices of their own. But
generally, their peoples enjoyed healthier, happier
lives, with more leisure time, than did most of
Europe's inhabitants.

Other theories enjoy wide currency. We hear that Third
World poverty is due to overpopulation, too many
people having too many children to feed. Actually,
over the last several centuries, many Third World
lands have been less densely populated than certain
parts of Europe. India has fewer people per acre--but
more poverty--than Holland, Wales, England, Japan,
Italy, and a few other industrial countries.
Furthermore, it is the industrialized nations of the
First World, not the poor ones of the Third, that
devour some 80 percent of the world's resources and
pose the greatest threat to the planet's ecology.

This is not to deny that overpopulation is a real
problem for the planet's ecosphere. Limiting
population growth in all nations would help the global
environment but it would not solve the problems of the
poor--because overpopulation in itself is not the
cause of poverty but one of its effects. The poor tend
to have large families because children are a source
of family labor and income and a support during old
age.

Frances Moore Lappe and Rachel Schurman found that of
seventy Third World countries, there were six--China,
Sri Lanka, Colombia, Chile, Burma, and Cuba--and the
state of Kerala in India that had managed to lower
their birth rates by one third. They enjoyed neither
dramatic industrial expansion nor high per capita
incomes nor extensive family planning programs. The
factors they had in common were public education and
health care, a reduction of economic inequality,
improvements in women's rights, food subsidies, and in
some cases land reform. In other words, fertility
rates were lowered not by capitalist investments and
economic growth as such but by socio-economic
betterment, even of a modest scale, accompanied by the
emergence of women's rights.

Artificially Converted to Poverty
What is called "underdevelopment" is a set of social
relations that has been forcefully imposed on
countries. With the advent of the Western colonizers,
the peoples of the Third World were actually set back
in their development sometimes for centuries. British
imperialism in India provides an instructive example.
In 1810, India was exporting more textiles to England
than England was exporting to India. By 1830, the
trade flow was reversed. The British had put up
prohibitive tariff barriers to shut out Indian
finished goods and were dumping their commodities in
India, a practice backed by British gunboats and
military force. Within a matter of years, the great
textile centers of Dacca and Madras were turned into
ghost towns. The Indians were sent back to the land to
raise the cotton used in British textile factories. In
effect, India was reduced to being a cow milked by
British financiers.
By 1850, India's debt had grown to 53 million pounds.
>From 1850 to 1900, its per capita income dropped by
almost two-thirds. The value of the raw materials and
commodities the Indians were obliged to send to
Britain during most of the nineteenth century amounted
yearly to more than the total income of the sixty
million Indian agricultural and industrial workers.
The massive poverty we associate with India was not
that country's original historical condition. British
imperialism did two things: first, it ended India's
development, then it forcibly underdeveloped that
country.

Similar bleeding processes occurred throughout the
Third World. The enormous wealth extracted should
remind us that there originally were few really poor
nations. Countries like Brazil, Indonesia, Chile,
Bolivia, Zaire, Mexico, Malaysia, and the Philippines
were and sometimes still are rich in resources. Some
lands have been so thoroughly plundered as to be
desolate in all respects. However, most of the Third
World is not "underdeveloped" but overexploited.
Western colonization and investments have created a
lower rather than a higher living standard.

Referring to what the English colonizers did to the
Irish, Frederick Engels wrote in 1856: "How often have
the Irish started out to achieve something, and every
time they have been crushed politically and
industrially. By consistent oppression they have been
artificially converted into an utterly impoverished
nation." So with most of the Third World. The Mayan
Indians in Guatemala had a more nutritious and varied
diet and better conditions of health in the early 16th
century before the Europeans arrived than they have
today. They had more craftspeople, architects,
artisans, and horticulturists than today. What is
called underdevelopment is not an original historical
condition but a product of imperialism's
superexploitation. Underdevelopment is itself a
development.

Imperialism has created what I have termed
"maldevelopment": modern office buildings and luxury
hotels in the capital city instead of housing for the
poor, cosmetic surgery clinics for the affluent
instead of hospitals for workers, cash export crops
for agribusiness instead of food for local markets,
highways that go from the mines and latifundios to the
refineries and ports instead of roads in the back
country for those who might hope to see a doctor or a
teacher.

Wealth is transferred from Third World peoples to the
economic elites of Europe and North America (and more
recently Japan) by direct plunder, by the
expropriation of natural resources, the imposition of
ruinous taxes and land rents, the payment of poverty
wages, and the forced importation of finished goods at
highly inflated prices. The colonized country is
denied the freedom of trade and the opportunity to
develop its own natural resources, markets, and
industrial capacity. Self-sustenance and
self-employment gives way to wage labor. From 1970 to
1980, the number of wage workers in the Third World
grew from 72 million to 120 million, and the rate is
accelerating.

Hundreds of millions of Third World peoples now live
in destitution in remote villages and congested urban
slums, suffering hunger, disease, and illiteracy,
often because the land they once tilled is now
controlled by agribusiness firms who use it for mining
or for commercial export crops such as coffee, sugar,
and beef, instead of growing beans, rice, and corn for
home consumption. A study of twenty of the poorest
countries, compiled from official statistics, found
that the number of people living in what is called
"absolute poverty" or rockbottom destitution, the
poorest of the poor, is rising 70,000 a day and should
reach 1.5 billion by the year 2000 (San Francisco
Examiner, June 8, 1994).

Imperialism forces millions of children around the
world to live nightmarish lives, their mental and
physical health severely damaged by endless
exploitation. A documentary film on the Discovery
Channel (April 24, 1994) reported that in countries
like Russia, Thailand, and the Philippines, large
numbers of minors are sold into prostitution to help
their desperate families survive. In countries like
Mexico, India, Colombia, and Egypt, children are
dragooned into health-shattering, dawn-to-dusk labor
on farms and in factories and mines for pennies an
hour, with no opportunity for play, schooling, or
medical care.

In India, 55 million children are pressed into the
work force. Tens of thousands labor in glass factories
in temperatures as high as 100 degrees. In one plant,
four-year-olds toil from 5 o'clock in the morning
until the dead of night, inhaling fumes and
contracting emphysema, tuberculosis, and other
respiratory diseases. In the Philippines and Malaysia
corporations have lobbied to drop age restrictions for
labor recruitment. The pursuit of profit becomes a
pursuit of evil.

Development Theory
When we say a country is "underdeveloped," we are
implying that it is backward and retarded in some way,
that its people have shown little capacity to achieve
and evolve. The negative connotations of
"underdeveloped" has caused the United Nations, the
Wall Street Journal, and parties of various political
persuasion to refer to Third World countries as
"developing" nations, a term somewhat less insulting
than "underdeveloped" but equally misleading. I prefer
to use "Third World" because "developing" seems to be
just a euphemistic way of saying "underdeveloped but
belatedly starting to do something about it." It still
implies that poverty was an original historic
condition and not something imposed by the
imperialists. It also falsely suggests that these
countries are developing when actually their economic
conditions are usually worsening.
The dominant theory of the last half century,
enunciated repeatedly by writers like Barbara Ward and
W. W. Rostow and afforded wide currency in the United
States and other parts of the Western world, maintains
that it is up to the rich nations of the North to help
uplift the "backward" nations of the South, bringing
them technology and teaching them proper work habits.
This is an updated version of "the White man's
burden," a favorite imperialist fantasy.

According to the development scenario, with the
introduction of Western investments, the backward
economic sectors of the poor nations will release
their workers, who then will find more productive
employment in the modern sector at higher wages. As
capital accumulates, business will reinvest its
profits, thus creating still more products, jobs,
buying power, and markets. Eventually a more
prosperous economy evolves.

This "development theory" or "modernization theory,"
as it is sometimes called, bears little relation to
reality. What has emerged in the Third World is an
intensely exploitive form of dependent capitalism.
Economic conditions have worsened drastically with the
growth of transnational corporate investment. The
problem is not poor lands or unproductive populations
but foreign exploitation and class inequality.
Investors go into a country not to uplift it but to
enrich themselves.

People in these countries do not need to be taught how
to farm. They need the land and the implements to
farm. They do not need to be taught how to fish. They
need the boats and the nets and access to shore
frontage, bays, and oceans. They need industrial
plants to cease dumping toxic effusions into the
waters. They do not need to be convinced that they
should use hygienic standards. They do not need a
Peace Corps Volunteer to tell them to boil their
water, especially when they cannot afford fuel or have
no access to firewood. They need the conditions that
will allow them to have clean drinking water and clean
clothes and homes. They do not need advice about
balanced diets from North Americans. They usually know
what foods best serve their nutritional requirements.
They need to be given back their land and labor so
that they might work for themselves and grow food for
their own consumption.

The legacy of imperial domination is not only misery
and strife, but an economic structure dominated by a
network of international corporations which themselves
are beholden to parent companies based in North
America, Europe and Japan. If there is any
harmonization or integration, it occurs among the
global investor classes, not among the indigenous
economies of these countries. Third World economies
remain fragmented and unintegrated both between each
other and within themselves, both in the flow of
capital and goods and in technology and organization.
In sum, what we have is a world economy that has
little to do with the economic needs of the world's
people.

Neoimperialism: Skimming the Cream
Sometimes imperial domination is explained as arising
from an innate desire for domination and expansion, a
"territorial imperative." In fact, territorial
imperialism is no longer the prevailing mode. Compared
to the nineteenth and early twentieth centuries, when
the European powers carved up the world among
themselves, today there is almost no colonial dominion
left. Colonel Blimp is dead and buried, replaced by
men in business suits. Rather than being directly
colonized by the imperial power, the weaker countries
have been granted the trappings of sovereignty--while
Western finance capital retains control of the lion's
share of their profitable resources. This relationship
has gone under various names: "informal empire,"
"colonialism without colonies," "neocolonialism," and
"neoimperialism."
U.S. political and business leaders were among the
earliest practitioners of this new kind of empire,
most notably in Cuba at the beginning of the twentieth
century. Having forcibly wrested the island from Spain
in the war of 1898, they eventually gave Cuba its
formal independence. The Cubans now had their own
government, constitution, flag, currency, and security
force. But major foreign policy decisions remained in
U.S. hands as did the island's wealth, including its
sugar, tobacco, and tourist industries, and major
imports and exports.

Historically U.S. capitalist interests have been less
interested in acquiring more colonies than in
acquiring more wealth, preferring to make off with the
treasure of other nations without bothering to own and
administer the nations themselves. Under
neoimperialism, the flag stays home, while the dollar
goes everywhere--frequently assisted by the sword.

After World War II, European powers like Britain and
France adopted a strategy of neoimperialism. Left
financially depleted by years of warfare, and facing
intensified popular resistance from within the Third
World itself, they reluctantly decided that indirect
economic hegemony was less costly and politically more
expedient than outright colonial rule. They discovered
that the removal of a conspicuously intrusive colonial
rule made it more difficult for nationalist elements
within the previously colonized countries to mobilize
anti-imperialist sentiments.

Though the newly established government might be far
from completely independent, it usually enjoyed more
legitimacy in the eyes of its populace than a colonial
administration controlled by the imperial power.
Furthermore, under neoimperialism the native
government takes up the costs of administering the
country while the imperialist interests are free to
concentrate on accumulating capital--which is all they
really want to do.

After years of colonialism, the Third World country
finds it extremely difficult to extricate itself from
the unequal relationship with its former colonizer and
impossible to depart from the global capitalist
sphere. Those countries that try to make a break are
subjected to punishing economic and military treatment
by one or another major power, nowadays usually the
United States.

The leaders of the new nations may voice revolutionary
slogans, yet they find themselves locked into the
global capitalist orbit, cooperating perforce with the
First World nations for investment, trade, and aid. So
we witnessed the curious phenomenon of leaders of
newly independent Third World nations denouncing
imperialism as the source of their countries' ills,
while dissidents in these countries denounced these
same leaders as collaborators of imperialism.

In many instances a comprador class emerged or was
installed as a first condition for independence. A
comprador class is one that cooperates in turning its
own country into a client state for foreign interests.
A client state is one that is open to investments on
terms that are decidedly favorable to the foreign
investors. In a client state, corporate investors
enjoy direct subsidies and land grants, access to raw
materials and cheap labor, light or nonexistent taxes,
few effective labor unions, no minimum wage or child
labor or occupational safety laws, and no consumer or
environmental protections to speak of. The protective
laws that do exist go largely unenforced.

In all, the Third World is something of a capitalist
paradise, offering life as it was in Europe and the
United States during the nineteenth century, with a
rate of profit vastly higher than what might be earned
today in a country with strong economic regulations.
The comprador class is well recompensed for its
cooperation. Its leaders enjoy opportunities to line
their pockets with the foreign aid sent by the U.S.
government. Stability is assured with the
establishment of security forces, armed and trained by
the United States in the latest technologies of terror
and repression. Still, neoimperialism carries risks.
The achievement of de jure independence eventually
fosters expectations of de facto independence. The
forms of self rule incite a desire for the fruits of
self rule. Sometimes a national leader emerges who is
a patriot and reformer rather than a comprador
collaborator. Therefore, the changeover from
colonialism to neocolonialism is not without risks for
the imperialists and represents a net gain for popular
forces in the world.




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