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Marxmail subscriber Andrew Stewart continues in a fact-free mode:

Presidents Putin and Xi, despite their shortcomings, have positioned themselves as opponents of the 1% through their fiscal policies while Obama has consolidated their stranglehold of the international economy. It bears mentioning also that, given the history of Soviet outreach to the postcolonial world, the notion of Russian “imperialism” in its sphere of influence being somehow akin to American gunboat diplomacy is a laughable claim. No, the Syrian government invited the Russians to maintain a naval base in that country just as the Cubans did during the Cold War.

full: http://www.counterpunch.org/2016/09/16/86748/

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By the late 1990s, the business community that the Asads had created in their own image had transformed Syria from a semi-socialist state into a crony capitalist state par excellence. The economic liberalization that started in 1991 had redounded heavily to the benefit of tycoons who had ties to the state or those who partnered with state officials. The private sector outgrew the public sector, but the most affluent members of the private sector were state officials, politicians and their relatives. The economic growth registered in the mid-1990s was mostly a short-lived bump in consumption, as evidenced by the slump at the end of the century. Growth rates that had been 5-7 percent fell to 1-2 percent from 1997 to 2000 and beyond.

After Bashar al-Asad succeeded his father in 2000, the architects of Syria’s economic policy sought to reverse the downturn by liberalizing the economy further, for instance by reducing state subsidies. Private banks were permitted for the first time in nearly 40 years and a stock market was on the drawing board. After 2005, the state-business bonds were strengthened by the announcement of the Social Market Economy, a mixture of state and market approaches that ultimately privileged the market, but a market without robust institutions or accountability. Again, the regime had consolidated its alliance with big business at the expense of smaller businesses as well as the Syrian majority who depended on the state for services, subsidies and welfare. It had perpetuated cronyism, but dressed it in new garb. Families associated with the regime in one way or another came to dominate the private sector, in addition to exercising considerable control over public economic assets. These clans include the Asads and Makhloufs, but also the Shalish, al-Hassan, Najib, Hamsho, Hambouba, Shawkat and al-As‘ad families, to name a few. The reconstituted business community, which now included regime officials, close supporters and a thick sliver of the traditional bourgeoisie, effected a deeper (and, for the regime, more dangerous) polarization of Syrian society along lines of income and region.

Successive years of scant rainfall and drought after 2003 produced massive rural in-migration to the cities -- more than 1 million people had moved by 2009 -- widening the social and regional gaps still further. Major cities, such as Damascus and Aleppo, absorbed that migration more easily than smaller ones, which were increasingly starved of infrastructural investment. Provincial cities like Dir‘a, Idlib, Homs and Hama, along with their hinterlands, are now the main battlegrounds of the rebellion. Those living in rural areas have seen their livelihoods gutted by reduction of subsidies, disinvestment and the effects of urbanization, as well as decades of corrupt authoritarian rule. The Tunisian and Egyptian uprisings motivated them to express their discontent openly and together.

full: http://www.merip.org/mer/mer262/syrian-regimes-business-backbone
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