Naomi Klein

I'd heard about her but have not read her book, The Shock Doctrine. Reading an article about her in The New Yorker right now. Interesting.

The central thesis of the book is that capitalism and democracy, free markets and free people, do not, as we’ve been told, go hand in hand. On the contrary, capitalism—at least fundamentalist capitalism, of the type promoted by the late economist Milton Friedman and his “Chicago School” acolytes—is so unpopular, and so obviously harmful to everyone except the richest of the rich, that its establishment requires, at best, trickery and, at worst, terror and torture. Friedman believed that markets perform best when freed from government interference, so he advocated getting rid of tariffs, subsidies, minimum-wage laws, public housing, Social Security, financial regulation, and licensing requirements, including those for doctors—indeed, virtually every measure devised to protect people from the market’s harsh logic. Klein argues that the only circumstance in which a population would accept Friedman-style reforms is when it is in a state of shock, following a crisis of some sort—a natural disaster, a terrorist attack, a war. A person in shock regresses to a childlike state in which he longs for a parental figure to take control; similarly, a population in a state of shock will hand exceptional powers to its leaders, permitting them to destroy the regulatory functions of government. . . .

“It’s worth thinking about what the right has been doing for the past thirty-five years as a counter-revolution that has been waged against our victories.” The New Deal is usually told as a history of F.D.R., she said, but we don’t talk enough about the pressure from below. Neighborhoods organized, and when their evicted neighbors’ furniture was put on the streets they moved it back into their homes. It was that kind of direct action that won victories like rent control, public housing, and the creation of Fannie Mae. The other thing that’s important to remember, she said, is that the organizers were a threat—of socialist revolution—and it was that which allowed F.D.R. to say to Wall Street, “We have to compromise, or else we’ve got a revolution on our hands.” Now, these market shocks are opportunities for the same reason that the crash was in the thirties, because we are seeing the failures of laissez-faire before our eyes. “It’s time to say, ‘Your model failed,’ ” she said. “This is a progressive moment: it’s ours to lose.” . . .