Description

The USA has some 250 million inhabitants. and is arguably the most politically powerful of all nations. Its recent tragedy at the World Trade Centre (wtc), has led to the current crisis in South East Asia in a "War on Terrorism." Counter Terrorism has been a feature of previously, overseas attacks on US diplomatic missions etc, and the WTC attack has perhaps highlighted shortfalls in security on the domestic front. As early as 1985, the Inman Report noted:

"The evolution of terrorist groups from single issue elements -- such as the PLO, IRA and Basque Separatists -- to state-sponsored terrorism will ensure continued attacks against the United States...It is expected that terrorism will increase in the United States with attacks on senior officials and public buildings. There is a good possibility that states sponsored groups could have the financial and technical support to mount such attacks, but less likely that they could develop the complete infrastructure to mount other than one time 'spectacular' operations".

(Inman Report: 1985)

"Robert B. Rupperman of the Georgetown University Center for Strategic and International Studies, in a study prepared for the (Inman) Panel noted:"

"...we must accept that the tactics of terror do not remain static. As terrible as the big bombings now appear, the United States and other governments will eventually learn to cope with them (abroad, in any event, although perhaps not at home)." (Inman Report: 1985)

Effect on Capitalism

The North American Free Trade Association (NAFTA) accounts for some 20% of World Trade, (compared to the EU`s 41%), but the US is singularly the largest capitalist trading nation. The new millennium opens the doors for new markets in China and Russia, but also allows for those countries to compete against the great Western democracies with a far lower cost base (Labour). China for example is the most recent member to join the WTO, and indulges in just 3% of World trade, despite being the most heavily populated country in the world. (Lake: 1997)

Effect on Democracy

The European version of Liberal Democracy is based upon Montesquieu`s Spirits of the Laws (1746) including a construction built upon the Parliament, Executive and Judiciary. Madison's version of Montesquieue`s laws also includes a written Constitution. The Neo-Liberal agenda prevalent in the US since the mid 1970`s has put an economic price on democratic values, to the point where many cannot distinguish between the freedoms of democracy and the freedoms of capitalism. The conflict between the two are further enhanced in that capitalism can be very flexible, whereas democracy is more rigid.

Summary

The US dream bubble has ended, from a nation with arguably one of the best constitutions including a written bill of rights, a Freedom Of Information Act, it could protest it is freer than most nation states. Its overseas policy is less generous, however, being the only nation to have been condemned by the World Court and has repeatedly ignored requests to pay reparations to Nicaragua, for interfering during the Sandinista era (Inman Report: 1985)).

During the Cold War with communism, the US justified wars on foreign soil in Korea, Vietnam, Cambodia, Laos and elsewhere in order to "defend freedom," many private academics believe and assert that this was in fact the defence of Capitalism. In the Middle East, the US supports, to all intents and purposes, a police state in Israel, against the Palestinians. much to the chagrin of the Islamic East.

The 1970s revolution of Neo-Liberalism (from Hayek: 1944 to Niskanen: 1971) and its swift incursion into US, then Global politics, led to further strays from democracy into the arms of capitalism and corporatism, to the point where anti corporate demonstrations are common place at G7 summits or any meeting remotely resembling capitalism, around the world.

While trans national corporations (TNCs) are seen as responsible in profiting from the current "war on terrorism," e.g. oil companies, who will construct a pipeline through Afghanistan from the current Trans Caspian pipeline bordering Afghanistan, (Coleman: 2001a); (Ostovsky 1999) (Brisard & Dasquie: 2001) when a "pro-western government" is selected to govern Afghanistan, many in the Islamic world may well take their frustrations out upon TNCs of all denominations.

The most constructive way forward, therefore, is for future TNC strategy to incorporate voluntary social programs into their cost bases for the supply of services to local communities i.e. healthcare, education etc, using the cellular Cuban state version as a model for private provision.

Copyright S Coleman 2001 13 July 2002