Crack up capitalism, p.29

  Crack-Up Capitalism, p.29

Crack-Up Capitalism
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    94.  One academic called this a program “more akin to Taiwan-on-Trent; an activist, entrepreneurial state that supports technology-intensive industries and relies on exporting services to compete in the global economy.” Adrian Pabst, “Power Without Purpose,” New Statesman, February 14–20, 2020, https://www.newstatesman.com/magazine/power-without-purpose. In this interpretation, Brexit might be most relevant for escaping the EU’s doctrinaire prohibitions on state subsidies. “Opening the Taps,” Economist (September 19, 2020): 26.

    95.  Charmaine Chua, “Sunny Island Set in the Sea,” in Digital Lives in the Global City: Contesting Infrastructures, ed. Deborah Cowen et al. (Vancouver: University of British Columbia Press, 2020), 238–47.

    96.  Paul R. Krugman, “The Myth of Asia’s Miracle,” Foreign Affairs (November–December 1994): 71.

    97.  Goh, “Migrant Worker Exclusion,” 360.

    98.  Goh, 358.

    99.  Ahead of the vote, 93 percent of those who planned to vote Leave were worried about high immigration rates. Harold D. Clarke, Matthew Goodwin, and Paul Whitely, Brexit: Why Britain Voted to Leave the European Union (New York: Cambridge University Press, 2017), 12.

  100.  Dominic Cummings, “How the Brexit Referendum Was Won,” Spectator, January 8, 2017, https://www.spectator.co.uk/article/dominic-cummings-how-the-brexit-referendum-was-won.

  101.  Youyenn Teo, This Is What Inequality Looks Like (Singapore: Ethos, 2018).

  CHAPTER 4: LIBERTARIAN BANTUSTAN

      1.  Martín Arboleda, Planetary Mine: Territories of Extraction Under Late Capitalism (Brooklyn: Verso, 2020), 61.

      2.  Patrick Cox, “Spotlight: South African Individualist,” Reason, December 1, 1980, 61.

      3.  Milton Friedman, “The Fragility of Freedom,” in Friedman in South Africa, ed. Meyer Feldberg, Kate Jowell, and Stephen Mulholland (Cape Town: Graduate School of Business, 1976), 8.

      4.  Kogila Moodley, “The Legitimation Crisis of the South African State,” Journal of Modern African Studies 24, no. 2 (1986): 187–201.

      5.  Laura Phillips, “History of South Africa’s Bantustans,” in Oxford Research Encyclopedia of African History (2017), n.p.

      6.  Henry Kamm, “Transkei, a South African Black Area, Is Independent,” New York Times, October 26, 1976, https://www.nytimes.com/1976/10/26/archives/transkei-a-south-african-black-area-is-independent-transkei-becomes.html.

      7.  For details see Jamie Miller, An African Volk: The Apartheid Regime and Its Search for Survival (New York: Oxford University Press, 2016).

      8.  Laura Evans, “Contextualising Apartheid at the End of Empire: Repression, ‘Development’ and the Bantustans,” Journal of Imperial and Commonwealth History 47, no. 2 (2019): 373.

      9.  Miller, An African Volk, 22.

    10.  “Say No to Ciskei Independence,” South African History Online, https://www.sahistory.org.za/archive/say-no-ciskei-independence.

    11.  Quoted in Ferguson, Global Shadows: Africa in the Neoliberal World Order, 59.

    12.  Les Switzer, Power and Resistance in an African Society: The Ciskei Xhosa and the Making of South Africa (Madison: University of Wisconsin Press, 1993), 334.

    13.  Herbert Grubel, “Discussion,” in Freedom, Democracy and Economic Welfare, ed. Michael Walker (Vancouver, BC: Fraser Institute, 1988), 240.

    14.  Anthony Robinson, “The Supply-Siders of Ciskei,” Financial Times, November 19, 1986, Financial Times Historical Archive, Gale; and n.a., “The Sunday Times Reports That Ciskei, the Small Self-Governing Territory Within South Africa, Is Enjoying an Economic Boom,” Sunday Times (London), June 2, 1985, Sunday Times Historical Archive, Gale.

    15.  Andre Jordaan, “Ciskei’s Tax Reform Benefits Explained,” Daily Dispatch (East London, South Africa), March 23, 1985, https://archive.org/stream/DTIC_ADA337700/DTIC_ADA337700_djvu.txt.

    16.  n.a., “The Sunday Times Reports That Ciskei.” For details see John Blundell, “Ciskei’s Independent Way,” Reason, April 1, 1985, https://reason.com/1985/04/01/ciskeis-independent-way/.

    17.  George Stigler to Max Thurn, April 7, 1978. Hoover Institution Archives, Mont Pelerin Society Papers, Box 20, Folder 5.

    18.  Claire Badenhorst, “Meet Leon Louw of the FMF; Marxist Turned Free Marketeer: The Alec Hogg Show,” Biz News, September 23, 2020, https://www.biznews.com/thought-leaders/2020/09/23/leon-louw-free-market.

    19.  “Introducing the South African Free Market Foundation,” Die Individualist—The Individualist, no. 1 (December 1975): 1.

    20.  Walter E. Williams, “After Apartheid: An Interview with Leon Louw and Frances Kendall,” Reason, July 1, 1988, https://reason.com/1988/07/01/after-apartheid1; and Deborah Posel, “The Apartheid Project, 1948–1970,” in The Cambridge History of South Africa, ed. Robert Ross, Anne Kelk Mager, and Bill Nasson (Cambridge: Cambridge University Press, 2011), 330–31.

    21.  Cox, “Spotlight: South African Individualist,” 61; and Dan O’Meara, Volkskapitalisme: Class, Capital and Ideology in the Development of Afrikaner Nationalism, 1934–1948 (Cambridge: Cambridge University Press, 1983). On the broader debate over economic policy between economic liberals and conservatives in which other Mont Pelerin Society neoliberals were involved see Antina von Schnitzler, “Disciplining Freedom: Apartheid, Counterinsurgency, and the Political Histories of Neoliberalism,” in Market Civilizations: Neoliberals East and South, ed. Quinn Slobodian and Dieter Plehwe (New York: Zone Books, 2022), 163–88.

    22.  Republic of Ciskei, Report of the Commission of Inquiry into the Economic Development of the Republic of Ciskei (Bisho: Government of the Republic of Ciskei, 1983), 14. The recuperation of an indigenous African property tradition was part of a revised—and sometimes even reversed—civilizational discourse in the 1980s and 1990s in some libertarian circles whereby tribal mentalities were redefined as truly free-market—comparable to those of the “Germanic tribes” of the Visigoths who are claimed to have preserved a property-rights-respecting tradition destroyed by the Roman law tradition, which they saw as originating in Persia. In this narrative, the Enlightenment rationalization model becomes itself an invasion from the East against the decentralized medieval model that was coded as the “true” Western tradition. In this new narrative, the Black population did not need to be educated into the market—they simply needed to have their inherent market natures liberated. As leading neoliberal voice and Mont Pelerin Society member Michael O’Dowd put it in a Free Market Foundation publication in 1992, “The rights-protecting Germanic tribes that survived into the Middle Ages and the African tribes that have survived into the present time have a great deal in common.” Introduction to Leonard Liggio, The Importance of Political Traditions (Johannesburg: Free Market Foundation, 1992), 4.

    23.  Republic of Ciskei, Report of the Commission of Inquiry, 13.

    24.  On the history of Foreign Trade Zones see Dara Orenstein, Out of Stock: The Warehouse in the History of Capitalism (Chicago: University of Chicago Press, 2019).

    25.  Cameron and Palan, The Imagined Economies of Globalization.

    26.  Statement of Noel Beasley, chairperson, Indiana Save-Our-Jobs Campaign, Business agent, Indiana/Kentucky Joint Board, Amalgamated Clothing & Textile Workers Union, AFL-CIO, CLC. 97th Congress, second session, March 22, 1982, 51–52. For work by the authoritative scholar on EPZs see Patrick Neveling, “Export Processing Zones, Special Economic Zones and the Long March of Capitalist Development Policies During the Cold War,” in Decolonization and the Cold War: Negotiating Independence, ed. Leslie James and Elisabeth Leake (London: Bloomsbury, 2015), 63–84.

    27.  Allister Sparks, “Foreign Companies Profit from Apartheid in S. Africa,” Washington Post, April 10, 1987, Gale OneFile: Business.

    28.  Colin Nickerson, “Asian Companies Find Bonanza in S. African Marketplace,” Boston Globe (May 22, 1988), ProQuest Historical Newspapers; Askold Krushelnycky, “Intelligence File,” Sunday Times (London), August 2, 1987, The Sunday Times Historical Archive, Gale.

    29.  Roger Thurow, “Ciskei Makes Offer Firms ‘Can’t Refuse,’” Wall Street Journal, March 5, 1987, ProQuest Historical Newspapers.

    30.  Nickerson, “Asian Companies Find Bonanza in S. African Marketplace.”

    31.  Alan Hirsch, “Industrialising the Ciskey: A Costly Experiment,” Indicator South Africa 3, no. 4 (1986): 16.

    32.  Melanie Yap and Dianne Leong Man, Colour, Confusion and Concessions: The History of the Chinese in South Africa (Hong Kong: Hong Kong University Press, 1996), 422.

    33.  n.a., “The Sunday Times Reports”; and Brian Stuart, “Financial Aid for Black States Detailed,” Citizen (Johannesburg), April 11, 1985, https://archive.org/stream/DTIC_ADA337700/DTIC_ADA337700_djvu.txt. Companies would only receive the tax-free status if they forsook incentives from the government—but they would still receive “concessions relating to transport, rebates, housing and electricity supplies” and would be allowed to write off all previous benefits received. The generous incentives of the South African developmentalist state continued for the first few years after the tax cuts. Jordaan, “Ciskei’s tax reform.”

    34.  Gillian Hart, Disabling Globalization: Places of Power in Post-apartheid South Africa (Berkeley: University of California Press, 2002), 144.

    35.  Thurow, “Ciskei Makes Offer.”

    36.  Hirsch, “Industrialising the Ciskey,” 17.

    37.  n.a., “The Sunday Times Reports”; and Thurow, “Ciskei Makes Offer.”

    38.  Truth and Reconciliation Commission, June 13, 1997, Name: Priscilla Maxongo, Case: Mdantsane, https://www.justice.gov.za/trc/hrvtrans/hrvel2/maxongo.htm.

    39.  “Commuters Shot Dead in Ciskei,” Times (London), August 5, 1983, Times Digital Archive, Gale.

    40.  Michael Hornsby, “Black Union Chief Challenges Ciskei Self-Rule,” Times (London), December 17, 1981, The Times Digital Archive, Gale.

    41.  Michael Hornsby, “South Africa Releases Black Union Leader,” Times (London), March 5, 1982, The Times Digital Archive, Gale; and “Unionist ‘Was Tortured,’” Times (London), March 24, 1983, The Times Digital Archive, Gale.

    42.  Paul Vallely, “Amnesty Reports Priest Whipped in Church Raid,” Times (London), June 30, 1986, The Times Digital Archive, Gale; and Robert W. Poole Jr. et al., “Havens of Prosperity and Peace in South Africa’s Back Yard,” Reason, January 1, 1986, https://reason.com/1986/01/01/trends-203/.

    43.  Hermann Giliomee, “True Confessions, End Papers and the Dakar Conference: A Review of the Political Arguments,” Tydskrif vir Letterkunde 46, no. 2 (2009): 37.

    44.  Ray Kennedy, “Lawyers Seek Retrial for ‘Death-Squad Hitman,’” Times (London), November 20, 1989, The Times Digital Archive, Gale.

    45.  John Blundell was a Mont Pelerin Society member, head of the Institute for Humane Studies, and later head of the Atlas Economic Research Foundation and the Charles Koch Foundation. John Blundell, “Africa: Ciskei: A Trojan Horse to Topple Apartheid?,” Wall Street Journal, March 18, 1985, ProQuest; Blundell, “Ciskei’s Independent Way.”

    46.  Brian Kantor, comment in P. T. Bauer, “Black Africa: Free or Oppressed?,” in Freedom, Democracy and Economic Welfare, ed. Michael Walker (Vancouver, BC: Fraser Institute, 1988), 239.

    47.  Gordon Tullock, comment in Bauer, “Black Africa: Free or Oppressed?,” 239.

    48.  Walter Block, comment in Bauer, “Black Africa: Free or Oppressed?,” 239.

    49.  Leon Louw and Frances Kendall, South Africa: The Solution (Bisho: Amagi, 1986), xii.

    50.  Michael Johns, “Swiss Family Buthelezi,” Policy Review (Spring 1988): 84.

    51.  Louw and Kendall, South Africa, 126.

    52.  Williams, “After Apartheid: An Interview with Leon Louw and Frances Kendall.”

    53.  Leon Louw, “A Non-Left Anti-Apartheid Program,” December 5, 1986, Stanford University, Hoover Institution Archives, Heartland Institute Papers, Box 87.

    54.  Louw and Kendall, South Africa, 136.

    55.  Louw and Kendall, 103.

    56.  Bruce W. Nelan, “306 Solutions to a Baffling Problem,” Time, March 23, 1987, Academic Search Premier.

    57.  On the right of expulsion see Louw and Kendall, South Africa, 138.

    58.  Louw and Kendall, 215.

    59.  Louw and Kendall, 221.The model here was likely Sol Kerzner’s casinos and resorts, some of which were built in Bantustans. Alan Cowell, “Sol Kerzner, South African Casino Tycoon, Is Dead at 84,” New York Times, March 27, 2020, https://www.nytimes.com/2020/03/27/business/sol-kerzner-dead.html.

    60.  Louw and Kendall, South Africa, 217.

    61.  James Kirchik, “In Whitest Africa: The Afrikaner Homeland of Orania,” Virginia Quarterly Review 84, no. 3 (2008): 78.

    62.  Stanley Uys, “Is Partition the Answer?,” Africa Report (September–October 1981): 45.

    63.  Louw particularly praised their Klein Vrystaat (Little Free State) at the northeast corner of the Transvaal, which existed with a population of under three hundred for five years in the 1880s as what Louw called a “constitutional anarchy,” in which the vote was restricted to property owners and the government had only one rule: they were forbidden to make any additional laws. Leon Louw, “The Solution 1 of 6,” [1985?], https://www.youtube.com/watch?v=46E-rdMDxY4.

    64.  Frances Kendall and Leon Louw, Let the People Govern (Bisho: Amagi Publications, 1989), 210.

    65.  Leon Louw, “Why People Do Not Want Orania to Secede,” Libertarian Seminar, Orania, 2015, https://www.youtube.com/watch?v=iBVgyeON53o.

    66.  Andrew Kenny, “Welkom in Orania,” politicsweb, October 29, 2015, https://www.politicsweb.co.za/news-and-analysis/welkom-in-orania.

    67.  Erwin Schweitzer, The Making of Griqua, Inc.: Indigenous Struggles for Land and Autonomy in South Africa (Münster: Lit Verlag, 2015), 37.

    68.  Ivo Vegter, “The Elusive Libertarian Enclave,” Daily Maverick, December 11 2012, https://www.dailymaverick.co.za/opinionista/2012-12-11-the-elusive-libertarian-enclave/.

    69.  Trevor Watkins, “The Future in South Africa,” LibertarianSA Google Group (March 17, 2016), https://groups.google.com/forum/print/msg/libsa/edXGhAbGG-w/OSqaFaUAEgAJ?ctz=4404831_72_76_104100_72_446760.

    70.  Michael McGowan, “Australian White Nationalists Reveal Plans to Recruit ‘Disgruntled, White Male Population,’” Guardian (UK Edition), November 11, 2019, https://www.theguardian.com/australia-news/2019/nov/12/australian-white-nationalists-reveal-plans-to-recruit-disgruntled-white-male-population.

    71.  “The New South Africa,” American Renaissance (January 2003); and “Keep Hope Alive?,” American Renaissance (February 2001).

    72.  To offer one piece of evidence of many: Fred Macaskill, the founder and director of the Free Market Foundation who was invited to join the MPS by Hayek and attended their meeting in Hong Kong, wrote in 1979, “In a free society entirely racialistic communities could develop … the individual has the right to practice any form of discrimination he chooses with regard to his own property.” Frederick Macaskill, In Search of Liberty: Incorporating a Solution to the South African Problem (New York: Books in Focus, 1979), 91. Jan Lombard, another attendee at the MPS meeting in Hong Kong in 1978, wrote in the same year that the key mechanism of his schema was that “People can even vote ‘with their feet,’ in the sense that under systems of multiple jurisdictions they will have the choice of a large variety of mini-political systems throughout the country,” adding that “the principle of voluntary exclusiveness is also a vital element of this approach … If a purely white homeland is organized by a particular group of people somewhere in South Africa, this should not be regarded as contrary to the spirit of the laws of liberty.” J. A. Lombard, On Economic Liberalism in South Africa, BEPA Economic Papers, (Pretoria: Bureau for Economic Policy and Analysis, 1979), 23.

    73.  On this, see Lombard: “In this new order, people will for the foreseeable future continue to live in separate urban areas determined by the homogeneity of their life styles and their collective demand preferences. In so far as the colour of a man’s skin and his language together represent a reasonable indicator of his life style, the question arises whether the physical appearance of the urban scene in South Africa will differ very much from that which has been developing under restrictions of the Group Areas Act.” Lombard, On Economic Liberalism in South Africa, 24.

 
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