Privatization in Iraq #1

Extreme right-wing try­ing aggres­sively to spread a myth that pri­va­ti­za­tion is the ulti­mate solu­tion to the Third-World coun­tries eco­nomic prob­lems, the same myth is also adopted by less-educated natives of these coun­tries while the truth is upside down.

The major­ity of the peo­ple in Iraq are some­where between the lower class and the mid­dle class, those peo­ple would like to see greater state inter­ven­tion– so that there is more bal­anced devel­op­ment rather than see­ing few oppor­tunists take all the wealth of the state.

Maybe pri­va­ti­za­tion works in the west because of the well-developed infra­struc­ture ( doesn’t work so perfectly…heavy eco­nom­i­cal cri­sis now and then) but it will never work in less-developed coun­tries with already ruined economy.

A bet­ter exam­ple of what I am say­ing is Rus­sia, sud­den trans­for­ma­tion from “the state owns every­thing” in the Soviet era into pri­va­tiz­ing all assets in the coun­try caused many eco­nom­i­cal prob­lems, the result was:
Pri­va­ti­za­tion in Rus­sia was hijacked by Economy-Mafias who by are ben­e­fited from such pol­icy and I have all the doubts that Russ­ian econ­omy will ever recover.

Pri­va­ti­za­tion gives cor­po­ra­tion the upper hand and strip the gov­ern­ment down from it’s power, in the long run the gov­ern­ment will func­tion as “hub” link­ing all these cor­po­ra­tions together and ben­e­fit­ing from each other…The gov­ern­ment have the power.….corporations have the money (like invad­ing coun­tries just to put smiles on the faces of few fat cats).

It wouldn’t be an exag­ger­a­tion to say that the US gov­ern­ment is func­tion­ing as a huge cor­po­ra­tion, notice also that most Amer­i­can politi­cians are/were/still big firms and com­pa­nies CEO and managers).

To be continued …..

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25 Responses to Privatization in Iraq #1

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  2. Charles says:

    Extreme right-wing try­ing aggres­sively to spread a myth that pri­va­ti­za­tion is the ulti­mate solu­tion to the Third-World coun­tries eco­nomic problems,…

    LB,

    I’m not sure where you have been for the last 100 odd years but there is not even the slight­est shadow of a doubt that coun­tries who do not respect pri­vate prop­erty, and coun­tries who do not allow mar­ket forces to drive their devel­op­ment, get left in the dust.

    Mar­ket economies based upon pri­vate prop­erty and com­pe­ti­tion out­per­form cen­trally planned economies in every respect, every time.

    You may have also failed to notice that coun­tries espous­ing lib­eral mar­ket economies are usu­ally more plu­ral­is­tic and tolerant.

    In Rus­sia, rem­nants of the pre­vi­ous lead­er­ship teamed up with ruth­less, savvy, and ambi­tious thugs to con­cen­trate wealth into the pock­ets of a few dozen people/groups. The Russ­ian econ­omy was not shaped by mar­ket forces, but through fraud, mur­der, bribes, and intimidation.

    In any case, the Russ­ian model is the least of Iraq’s wor­ries. The for­mer regime peo­ple in Iraq are far more ruthless.

  3. Hank says:

    You write: “…pri­va­ti­za­tion works …will never work in less-developed coun­tries with already ruined economy”.

    Please explain how your state­ment applies to China, for eax­am­ple, since 1978.

  4. Hank says:

    …like invad­ing coun­tries just to put smiles on the faces of few fat cats…”

    Well one of those fat cats” off whoe face the smile has been wiped will soon be com­ing up for trial, notwith­stand­ing the hot air on this blog from the total­i­tar­i­ans about ist indef­i­nite post­pone­ment — yes it’s our totalitarian’s old frined Sad­dam “l’etat — c’est moi” Hussein;

    In fewer than 10 days, Sad­dam Hus­sein will stand in the espe­cially built court­room where he will face the fam­i­lies of those he killed.
    A source close to the Iraqi Spe­cial Tri­bunal said yes­ter­day that the much-feared dic­ta­tor and seven of his under­lings will be brought before a five-judge panel Oct. 19 to answer to charges of crimes against human­ity. ” http://www.washingtontimes.com/world/20051010–120339-7219r.htm

    That will take some neat han­dling by this blog’s polit­bu­reau to pre­vent things turn­ing pro-American. per­haps lady­bird will con­cen­trate of the virtues of State as opposed to pri­vate own­er­ship — um, er…

  5. Apostate in RED state says:

    Is this the Friend you vis­ited in Gay Paris, Bird­Lady?

    Woman detained over Iraqi recruit­ment network

    PARIS, Oct 10 (AFP) — A young French woman was detained by police in Paris Mon­day as part of an inves­ti­ga­tion into under­ground groups allegedly recruit­ing vol­un­teers to fight against US troops in Iraq.

    The 18-year-old woman, who has not been named, is believed to have been the girl­friend of a man who left to join the insur­gency and was killed.

    Last month six men were arrested in the Paris sub­urbs as part of the same inves­ti­ga­tion, and all were released after the max­i­mum four days of ques­tion­ing allowed by French law.

  6. Jon says:

    Most of the major ills of the world have been caused by well-meaning peo­ple who ignored the prin­ci­ple of indi­vid­ual free­dom, except as applied to them­selves, and who were obsessed with fanat­i­cal zeal to improve the lot of mankind.“
    –Henry Grady Weaver

  7. Jon says:

    US plays eco­nomic hard­ball with NAFTA

    Washington’s refusal to lift tar­iffs on Cana­dian lum­ber has high­lighted its will­ing­ness to flout free trade agree­ments. * Smaller, more vul­ner­a­ble economies have few tools avail­able to force US com­pli­ance. * Canada is actively seek­ing new mar­kets out­side the North Amer­i­can Free Trade Agree­ment (NAFTA), while the US is look­ing to fur­ther its free trade area.
    [Jane’s For­eign Report — first posted to http://frp.janes.com – 4 Octo­ber 2005]

  8. Nadia_4iraqis says:

    Good post LadyBird!

  9. Michael says:

    I hardly think Iraq, or rather the peo­ple of Iraq, are in a posi­tion to ben­e­fit from “pri­vati­sa­tion”. The assets of Iraq, and it’s hard to think of what they are besides oil, are going to be sold almost entirely to Amer­i­can Com­pa­nies and the wealth and income of Iraq creamed off by the USA. The money received from any such deal will be given to the “pup­pet regime” , itself totally cor­rupted, non account­able and crim­i­nal, and the affect will be the Iraqi peo­ple become poorer.
    Now in the case of the UK where Thatcher pri­va­tised such things as elec­tric­ity, gas com­pa­nies, 50% of own­er­ship of these com­pa­nies were given in free shares to cus­tomers of the indi­vid­ual com­pa­nies, but I can’t see that hap­pen­ing in Iraq.

    Whichever Amer­i­can com­pa­nies take over Iraq’s assets , no doubt at a knock­down price, need to con­sider what will hap­pen when the US mil­i­tary leaves and the pup­pet Gov­ern­ment is deposed. It could be a very bad invest­ment indeed.

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  11. Charles says:

    Bruno,

    Is this arti­cle going to blame the US for slaugh­ter­ing all of the shia civil­ians, and sunni ‘collaborators’?

    Let me guess — will there be a ‘wit­ness’ who is an old sweet grandpa who was tak­ing his lovely grand­daugh­ter to mar­ket to sell mel­ons when the US stopped him and put secret bombs in his truck?

    Yup!

    Its those darned yan­kees again — blow­ing up civilians.

  12. Hank says:

    Says Michael: “Whichever Amer­i­can com­pa­nies take over Iraq’s assets , no doubt at a knock­down price, need to con­sider what will hap­pen when the US mil­i­tary leaves and the pup­pet Gov­ern­ment is deposed. It could be a very bad invest­ment indeed.”

    So what’s your solution/ You are against the “pup­pet” gov­ern­ment; you were, we pre­sume (per­haps wrongly) agaisnt the sad­dam gov­ern­ment? What are you FOR Michael? Answer: noth­ing (or pos­si­bly the dialectic…).

    A com­plete nihilist hid­ing behind a red fas­ciost mask.

  13. Bruno says:

    Charles, read the damn arti­cle before commenting.

    Of course, its all water off a ducks back to you. I’ll be sure to tell Amer­i­cans in 50 years time, when they are fight­ing Chi­nese tanks, that if only they would put their weapons down, the vio­lence would stop.

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  15. Nadia_4iraqis says:

    Bruno “I’ll be sure to tell Amer­i­cans in 50 years time, when they are fight­ing Chi­nese tanks, that if only they would put their weapons down, the vio­lence would stop.”

    Good.

  16. Michael says:

    The prob­lem is that Iraq in Saddam’s time , even with the vin­dic­tive sanc­tions, was in much bet­ter shape than it is now, that’s an indis­putable fact. The solu­tion is for the US to get out of Iraq and allow a UN peace force to rein­state order until a proper demo­c­ra­tic gov­ern­ment can be elected with­out US interference.

  17. Charles says:

    The solu­tion is for the US to get out of Iraq and allow a UN peace force to rein­state order until a proper demo­c­ra­tic gov­ern­ment can be elected with­out US interference.

    Hmmmm. Con­sid­er­ing that Iraq has already appealed to the UN for help and the UN has not lifted a fin­ger, I won­der how this might work.

    Mikey sug­gests that the US pull out and then… The UN will come in set things straight.

    I’m try­ing to recall a major UN peace­keep­ing oper­a­tion that did not include mem­bers of the cur­rent coali­tion. Since France/Germany have ruled out send­ing troops, I won­der who will pro­vide the soldiers?

    a proper demo­c­ra­tic gov­ern­ment can be elected with­out US interference

    Thats a good one Mikey. Since no other coun­tries have lifted a fin­ger to help Iraq in a real mor­tal strug­gle to estab­lish democ­racy and defeat ter­ror­ism, I won­der what would moti­vate and qual­ify them to do it after the US/coalition left?

    Here’s a win win solution:

    After the ref­er­en­dum, the UN forms up a few divi­sions of well equipped sol­diers from mem­ber nations to come in and help estab­lish secu­rity. The US could hand over regions one by one to the new forces. As this hap­pens, US/coalition forces could begin to draw down.

    US wins because its goals of over­throw­ing Sad­dam and help­ing estab­lish democ­racy have been met.

    The UN would win because they will at last be per­ceived as an orga­ni­za­tion inter­ested in and capa­ble of sup­port­ing democracy.

    Mikey would win because he could claim that the US was forced to retreat.

    Does this sound fair?

    Please let me know when the UN is ready so I can tell my bud­dies to start pack­ing their bags…

  18. Charles says:

    I’ll be sure to tell Amer­i­cans in 50 years time, when they are fight­ing Chi­nese tanks, that if only they would put their weapons down, the vio­lence would stop.

    Excel­lent point.

    Except the Chi­nese would prob­a­bly not be invad­ing to estab­lish democ­racy. Also, it would be tough to pull off because every sin­gle Chi­nese sol­dier would be fish food at the bot­tom of the Pacific.

    If 2–3 made it through, they would imme­di­ately defect and head to China town in San Fran­cisco for a hot meal.

  19. CMAR II says:

    Iraq in Saddam’s time , even with the vin­dic­tive sanc­tions, was in much bet­ter shape than it is now, that’s an indis­putable fact.

    If you were a Sunni Ba’ath Party mem­ber, I sup­pose that’s true. If you were a for­eign Arab (Pales­tini­ans espe­cially) receiv­ing spe­cial gov­ern­ment ben­e­fits from embez­zled Oil-For-Food funds and man­dated free rent, I sure that’s true too.

    If you were a Kurd receiv­ing NO elec­tric­ity beyond gen­er­a­tors in 12 years, or a Shi’a in the south being inter­mit­tently pun­ished by with­drawal of elec­tric­ity and water then I would say that’s very dis­putable indeed.

    Not to men­tion the con­stant fear of being arrested/tortured on a whim and no hope of things get­ting better.

    The prob­lem with you, Michael, is that you can only spare sym­pa­thy for the bad guys.

    The solu­tion is for the US to get out of Iraq and allow a UN peace force to rein­state order until a proper demo­c­ra­tic gov­ern­ment can be elected with­out US interference

    Hmmm…that is almost exactly what Zawahiri says he wants to do to achieve a caliphate in west­ern Iraq. Per­haps you two should get together and share. I’m sure you’d have a lot in com­mon politically.

  20. CMAR II says:

    “I’ll be sure to tell Amer­i­cans in 50 years time, when they are fight­ing Chi­nese tanks, that if only they would put their weapons down, the vio­lence would stop” /sarcasm

    So we agree that the ter­ror­ists won’t stop attack­ing Iraqi National Guard and police and civil ser­vants just because the US leaves?

  21. Jon says:

    Charles– “Thats a good one Mikey. Since no other coun­tries have lifted a fin­ger to help Iraq in a real mor­tal strug­gle to estab­lish democ­racy and defeat terrorism”

    Try not to lie next time and they might be more will­ing to help.

    the UN forms up a few divi­sions of well equipped sol­diers from mem­ber nations to come in and help estab­lish secu­rity. The US could hand over regions one by one to the new forces. As this hap­pens, US/coalition forces could begin to draw down.”

    Why don’t you write Bush and sug­gest that? See how fast you get shot down.

    US wins because its goals of over­throw­ing Sad­dam and help­ing estab­lish democ­racy have been met.”

    To the vic­tor goes the spoils, right? The US actu­ally loses because we will be deal­ing with fall­out from this for gen­er­a­tions to come.

    The UN would win because they will at last be per­ceived as an orga­ni­za­tion inter­ested in and capa­ble of sup­port­ing democracy.”

    And one com­pletely impo­tent in stop­ping US fas­cism. I guess they might as well capit­u­late then, huh?

    Mikey would win because he could claim that the US was forced to retreat.”

    One way or another, the US will be retreat­ing. Would you like to retreat now or after the finan­cial col­lapse of the US?

    Please let me know when the UN is ready”

    You seem to for­get that the UN already had a role prior to the inva­sion, but that wasn’t to the Bush administration’s lik­ing. Must not have been enough oil kick­backs in inspections.

    Except the Chi­nese would prob­a­bly not be invad­ing to estab­lish democracy.”

    Nope. They’ll be invad­ing to stop fas­cism. If they haven’t capit­u­lated by then.

    If 2–3 made it through, they would imme­di­ately defect and head to China town in San Fran­cisco for a hot meal.”

    I don’t want to hear Hank any­more say­ing any­thing about me call­ing peo­ple racists. You peo­ple make me ashamed to be a white Chris­t­ian Amer­i­can redneck.

    CMAR– “If you were a Kurd receiv­ing NO elec­tric­ity beyond gen­er­a­tors in 12 years”

    Blah blah blah… and if the US hadn’t trashed the coun­try with bombs every­one would be in bet­ter shape right now.

    The prob­lem with you, Michael, is that you can only spare sym­pa­thy for the bad guys.”

    The prob­lem with you is that you lack the capac­ity for empathy.

    what Zawahiri says he wants to do to achieve a caliphate in west­ern Iraq.”

    And how is a caliphate in Iraq going to affect you way down in Alabammy or what­ever red(neck) state you’re from?

    So we agree that the ter­ror­ists won’t stop attack­ing Iraqi National Guard and police and civil ser­vants just because the US leaves?”

    You mean INSURGENTS. Stop watch­ing so much Fox News. Your brain is melt­ing. And yes, the US has unleashed a nice lit­tle civil war there, haven’t we?

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