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The Shock Doctrine: The Rise of Disaster Capitalism

The Shock Doctrine: The Rise of Disaster Capitalism
Author: Naomi Klein
Publisher: Picador
Category: Book

List Price: $16.00
Buy New: $10.88
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Rating: 4.0 out of 5 stars 340 reviews
Sales Rank: 223

Media: Paperback
Edition: 1st
Number Of Items: 1
Pages: 720
Shipping Weight (lbs): 1.2
Dimensions (in): 8.1 x 5.5 x 1.4

ISBN: 0312427999
Dewey Decimal Number: 330.122
EAN: 9780312427993

Publication Date: June 24, 2008
Availability: Usually ships in 24 hours

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Editorial Reviews:

Amazon.com Review
Naomi Klein's The Shock Doctrine advances a truly unnerving argument: historically, while people were reeling from natural disasters, wars and economic upheavals, savvy politicians and industry leaders nefariously implemented policies that would never have passed during less muddled times. As Klein demonstrates, this reprehensible game of bait-and-switch isn't just some relic from the bad old days. It's alive and well in contemporary society, and coming soon to a disaster area near you.

"At the most chaotic juncture in Iraq'' civil war, a new law is unveiled that will allow Shell and BP to claim the country's vast oil reserves Immediately following September 11, the Bush Administration quietly outsources the running of the 'War on Terror' to Halliburton and Blackwater After a tsunami wipes out the coasts of Southeast Asia, the pristine beaches are auctioned off to tourist resorts New Orleans residents, scattered from Hurricane Katrina, discover that their public housing, hospitals and schools will never be re-opened." Klein not only kicks butt, she names names, notably economist Milton Friedman and his radical Chicago School of the 1950s and 60s which she notes "produced many of the leading neo-conservative and neo-liberal thinkers whose influence is still profound in Washington today." Stand up and take a bow, Donald Rumsfeld.

There's little doubt Klein's book--which arrived to enormous attention and fanfare thanks to her previous missive, the best-selling No Logo, will stir the ire of the right and corporate America. It's also true that Klein's assertions are coherent, comprehensively researched and footnoted, and she makes a very credible case. Even if the world isn't going to hell in a hand-basket just yet, it's nice to know a sharp customer like Klein is bearing witness to the backroom machinations of government and industry in times of turmoil. --Kim Hughes

Product Description

In this groundbreaking alternative history of the most dominant ideology of our time, Milton Friedman's free-market economic revolution, Naomi Klein challenges the popular myth of this movement's peaceful global victory. From Chile in 1973 to Iraq today, Klein shows how Friedman and his followers have repeatedly harnessed terrible shocks and violence to implement their radical policies. As John Gray wrote in The Guardian, "There are very few books that really help us understand the present. The Shock Doctrine is one of those books."



Book Description
In her ground-breaking reporting from Iraq, Naomi Klein exposed how the trauma of invasion was being exploited to remake the country in the interest of foreign corporations. She called it “disaster capitalism.” Covering Sri Lanka in the wake of the tsunami, and New Orleans post-Katrina, she witnessed something remarkably similar. People still reeling from catastrophe were being hit again, this time with economic “shock treatment” losing their land and homes to rapid-fire corporate makeovers.

The Shock Doctrine retells the story of the most dominant ideology of our time, Milton Friedman’s free market economic revolution. In contrast to the popular myth of this movement’s peaceful global victory, Klein shows how it has exploited moments of shock and extreme violence in order to implement its economic policies in so many parts of the world from Latin America and Eastern Europe to South Africa, Russia, and Iraq. At the core of disaster capitalism is the use of cataclysmic events to advance radical privatization combined with the privatization of the disaster response itself. By capitalizing on crises, created by nature or war, Klein argues that the disaster capitalism complex now exists as a booming new economy, and is the violent culmination of a radical economic project that has been incubating for fifty years.



Customer Reviews:   Read 335 more reviews...

5 out of 5 stars The New "New Economy"   September 18, 2007
 271 out of 346 found this review helpful

In THE SHOCK DOCTRINE, Naomi Klein brilliantly proposes a compelling counter-story to the prevailing fable of free market infallibility. Buttressed by painstaking and wide-ranging research, and an ability to see connections where others only see coincidence, Ms. Klein amply shows that profit-making is not the essence of democracy as Milton Friedman and his minions would have it. She shows instead that the machinery of the state and the requirements of "disaster capitalism" are now so tightly synchronized in their exploitation of disasters both man-made and natural as to be virtually one in the same.

Citing pertinent examples to prove her thesis that "disaster capitalism" is now rampant around the world - in Russia, in China, in Iraq to name just a few - she describes how in times of crisis, elites everywhere have learned that they can profit by implementing policies, e.g., "shock therapy" or "shock and awe," that would have been vigorously opposed in normal times. When these changes to Friedmanite free-market dicta are opposed, as they were in Chile, a third shock is implemented. This, according to Klein is a shock that is entirely man-made - the torture and murder of those who would stand in the way of the takeover of the public sector, or, as neo-liberal economists would have it, the bringing forth of a new birth of freedom.

During the "Reagan Revolution," Klein argues, the notion of the `Entrepreneur As Hero' was buffed to a high gloss though the influence of right-wing think tanks whose pronouncements were reported by a cowed and obedient media. A decade later in the dot.com era, entrepreneurs were burnished to blinding sheen when the media fed the world images of swashbuckling venture capitalists who were touted as bringing forth a new millennium through the Internet. Klein maintains that George W. Bush's "public offering" -- the War on Terror - covered slavishly and avidly by the media, has been wildly successful, lining the pockets of investors in the new Homeland Security sector as promises of taxpayer money everlastingly flowing into the coffers of the military-industrial-energy complex have been fulfilled. This is the new "new economy:" the looting of the public sector through the now tried-and-true methods of disaster capitalism.

THE SHOCK DOCTRINE reveals the many wounds that disaster capitalism has inflicted upon the body politic both here in the U.S. and throughout the world over the past 25 years. It is a breathtaking achievement. Highly recommended.



1 out of 5 stars Ambitious, but deeply flawed   November 2, 2007
 234 out of 404 found this review helpful

I enjoyed Klein's previous effort, "No Logo." She was better qualified to comment on advertising and the media than on macroeconomics and international political history.

The Shock Doctrine condemns "Chicago School" economics and Milton Friedman in particular. I won't go into the specifics, but the basic idea here is that democracy is incompatible with capitalism, and that free markets (which according to Klein are evil things indeed) result from catastrophic events such as natural disasters and revolutions. Within the book, Klein asserts that Friedman and his ideas were essentially behind the atrocities of Pinochet in Chile. This is not supported by the historical record, and as Timothy Lee points out:

"just as Michael Moore's endorsement of Cuba's health care system doesn't constitute endorsement of Castro's dictatorial rule, so Friedman's endorsement for Chilean tax or pension policies don't constitute an endorsement of coups, purges, or torture."

The Shock Doctrine, and the film by the same name, uses a number of specious rhetorical techniques, such as slippery slope, post hoc ergo proptor hoc reasoning, and blatant pathetic appeals. The film mimics the style of conspiracy theorist films (see "Spare Change").

Friedman maintained that freedom depends upon the ability to make unfettered economic choices. In other words, there is a connection between economic liberty and personal liberty. Klein is not interested in this. She wants government guarantees, and puts more emphasis on wanting than deserving. Capitalism is an economic theory, not an ethical system--to criticize it for not being inherently ethical is like complaining that the Easter Bunny didn't bring you presents, when that is the job of Santa Claus. Are there problems in capitalism? Absolutely. These problems are not the result of free trade--they are the result of corruption, and in many cases, government interference in the private sector (see the S&L scandal to see what I mean).

Klein apparently wants some kind of mixed system of free market economics with socialist policies and guarantees. This describes France, where the unemployment rate has been consistently around 8-12% for the last 10 years (double the U.S. rate), young people are basically barred from the workforce, ethnic discontent and violence is rising (lots of burning cars and riots), and productivity is falling. And yes, France has plenty of corruption.

The text is at best anecdotal and polemical. When one finally gets through the 400 pages, they may quickly recall G.K. Chesterton's remark:

"The reformer is always right about what is wrong, but seldom right about what is right."

The best thing to do is to read Friedman in the original and make up your own mind.





5 out of 5 stars An amazing look at "democracy" and "freedom"   September 20, 2007
 210 out of 293 found this review helpful

My copy was barely delivered yesterday, and I slept last night, so I haven't finished it. That will come soon, though.

This is an expose of the evil that is the modern American policies. The descriptions of how torture is used in implementing radical economic change are enough to make you feel sick to your stomach. The author tries hard to expose what goes on underneath the friendly veneer of public policy and shows that history is repeating itself. The people the CIA tortured in MKUltra were just guinea pigs for the people that the US Government is torturing now. The people of Chile, who had their government overthrown by US influence and support, were just guinea pigs for the people that the United States is currently overthrowing and democratizing. And it just goes on and on, as if there is a never ending spigot of evil that is washing over the world.

I find this to be an altogether frightening look at the world today, and it makes me even more ashamed to be a citizen of the United States of America. Everyone should read this book.



5 out of 5 stars Shockingly Powerful   July 14, 2008
 112 out of 134 found this review helpful

The late Milton Friedman, the renowned economist, believed that democracy and a free-market economy went hand-in-hand, that the greatest threat to both was nationalization, government regulation, and social spending. He preached this philosophy to his disciples at the University of Chicago School of Economics, and they would go forth spreading the Gospel according to the Book of Milton.

There is also the International Monetary Fund, an agency founded after World War II to help struggling countries and their economies get back on their feet. Many of its managers and policy makers will be graduates of the Chicago School of Economics, and they will begin to impose the Friedman creed wherever possible.

There is only one thing wrong. No population seems to vote in the people who support their brand of economics. Its first success is when a socialist, democratically elected President of Chile, Salvador Allende, is overthrown and killed when the presidential palace is stormed by fascists. Augusto Pinochet comes into power and immediately places the "Chicago boys" in charge of the economy. With the death of price controls and lunch programs, Chileans find themselves spending one quarter of their monthly salaries just to buy bread. They will leave hours earlier for work than usual because they can no longer afford public transportation. Even Chile's social security program, once a model of efficiency is privatized, becoming virtually worthless overnight. Chilean children begin fainting in school from lack of food or milk and many stop attending altogether.

The story of Chile will be repeated in Argentina, Bolivia, China, Peru, Poland, South Africa, Sri Lanka, and Russia where the IMF will demand that borrowers meet Draconian conditions before they lend money. In each case these austerity measures will be made overnight, all at once. A shocked population will come to their senses if such radical changes are made over time. They will be able to organize, mobilize and challenge the implementation of such policies. It has to come all at once, right after elections, a coup, or a hurricane when the population will be too dazed and disorganized to respond. This will be the shock, or as author Naomi Klein calls it, shock doctrine. For those who are still lucid, there is the next step in the shock doctrine, terroize, torture, or make them disappear.

In each case, in each country, prices on food and other common items will go through the roof, the number of destitute will increase exponentially, and democracy will be squashed. In China, the communist elite will impose these changes on the masses while ensuring that they will profit handsomely from the economic and social upheaval. President Clinton will cheer the economic shock doctrine instituted by Boris Yeltsin as he dissolves the Court and the Parliament, bringing the Russian army out to attack the latter, which killed more than 300 people and several deputies. A new class of super mega apparatchiks will emerge increasing the divide between the "have mores" and the "have nothings," and Russians will put up with a few KGB murders and disappearances for the promise of stability that Vladimir Putin will provide.

The Polish people, fed up with the broken promises of Solidarity who succumbed to IMF demands to relieve them of their crushing debt, will be thrown out of office in 1996 elections. Nelson Mandela will focus so much on achieving political control of South Africa he will neglect the real political power of controlling the economic engines that run the nation. He soon discovers that without economic power, he has no political muscle. He becomes a slave of economic apartheid. Shanty towns will get larger and people will become poorer. The population is disillusioned with their new-found "equality." The tsunami in Sri Lanka will allow the hoteliers to make a deal with the government, and place security guards around the beaches of what once belonged to villagers who fished from there for hundreds of years. After all, what right did they have to be there? The smell of fish made their guests complain. They will be driven inland where they will be given boats and houses, just no access to water to fish.

But that could never be allowed to happen here, or could it? One of the first things President George W. Bush does after he finally realizes what happened in New Orleans after Hurricane Katrina is remove union wage scale that contractors would have to pay to laborers. (After all, it is the corporations that must benefit the most from disaster capitalism, not the people of New Orleans). The shock has begun as developers are already seeing how they can take over the utterly destroyed neighborhoods of the poor and turn them into luxury condos and hotels. Charter schools are replacing the public schools and teachers. Contractors will wake up illegal laborers in the night to tell them that the Immigration officers are coming to arrest them. They will run away without having been paid. The Federal Emergency Management Agency, once a functional, effective, national emergency response unit, has had so much work farmed out to contractors, it cannot mount an effective response to the disaster. They will pay top dollar for roofing that can done at a fraction of the cost. They will supply trailers for homeless that are made of material unsafe to breathe, and people will die in a stadium because no one can take care of them.

In Iraq, the local population rose up after our invasion and began to elect their own leaders and councils. They announced plans to take over city governments, services and industry. When Iraqis were asked what they wanted more of when they were surveyed, they clamored for more government jobs, but L. Paul Bremer wasn't about to allow democracy to get in the way of disaster capitalism. He ordered the military to disband all local democratic initiatives, which he replaced with a council not chosen by the Iraqi people, but by him.

George Bush talks democracy (in Iraq), but walks capitalism by performing a Marshal Plan in reverse. The original plan implemented right after World War II called for keeping foreign investors out of Germany. Our government wanted the Germans to be able to build up their own industry and wealth. Not so in Iraq. Unemployed and starving Iraqis watched how American contractors brought in cheap Asian labor to rebuild their country. Iraqi unemployment remains at approximately sixty percent. American oil companies and American banks make long-term contracts with the new Iraqi government, and the IMF wants Iraq to sell off its own oil industry to foreigners. The second largest military commitment in Iraq, after the Americans, will be mercenaries.

Does anyone wonder why there is an insurgency? "No 'capitalization' without representation!"

The author makes it clear. In every country that holds free elections, no one votes for the shock doctrine of disaster capitalism. No one will vote away social programs, controls, or selling off their industries and companies to foreign investors. Klein's conclusion? Capitalism and democracy are not inherently compatible as Friedman always believed. It was just the opposite.

This book is powerful and moving. As I reread my review, I feel I have not done her book justice in relating the power and depth of Naomi Klein's words. Her documentation is exceptional. Her ability to craft together different events and present them in a coherent and believable hypothesis is necromantic.

Once in a while you find a book, a special book, one you keep as a reference, a "go-to" one. This is such a book. It is one of the two most important I have read for 2008. I have enough admiration for this woman's work that I would buy anything she writes, without hesitation. Her writing will hold your attention.

"The Shock Doctrine" is eye-opening and of course, absolutely shocking.






July 14, 2008
Bastille Day--How Appropriate.



1 out of 5 stars More old wine in new bottles   September 29, 2007
 97 out of 284 found this review helpful

There is nothing new or original, and certainly nothing even remotely well-reasoned in Klein's vitrolic, stupid, tirade. She once again rolls out the tired libel against Friedman that he offered advice to Pinochet- as if he was advising Pinochet to be a brutal dictator- and then attempts to use this as the cornerstone of her indictment of capitalism, and of free society.

Hard-core radical socialists like Klein constantly confound capitalism- which is precisely what is practiced ion the third world village markets they so admire- with a form of government. Yet they remain curiously ignorant of the crimes committed by large scale socialist workers paradises they so admire- like Mao's China, Stalin's USSR, and Pol Pot's Cambodia, who killed millions of their own citizens in the name of building their own particular ideal society.

There is nothing in this book that would convince a thoughtful person of the truth of Klien's thesis, but that's not the audience for her book. She's writing for the mass of young radicals, entranced by what Arendt called the "eroticism of terror", who are ignorant of history, of economics, and of human behavior, and who are more than willing to buy into any thesis, no matter how poorly supported, that attacks Western society. And these readers will eat this stuff up.

Open minded readers might pass by this, and other contemporary and fashionable rants, and take a look at Hayek's 1944 classic, The Road to Serfdom, to learn just what comes from societies of the type that Klein so admires.





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