It’s The Socioeconomic Structures and Systems, Stupid!
All information coming from a war zone has a particular point of view. If we take the activities on the battlefield at face value, this remains true regardless of the intended impact of a particular story—corporations and politicians win, and everyone else loses.
There are many accurate descriptions of why wars start, but let's leave that aside for now and focus on the business of war. How do politicians, corporations, and financial institutions profit from war, and how does the business of war flow?
Every war needs weapons. Weapons are sent to a battlefield to destroy military equipment, infrastructure, and kill soldiers. In the Middle East, they exist to kill civilians, too.
In Ukraine, Western suppliers manufacture complex and expensive equipment and send it to Ukraine, where inexpensive drones destroy it.
Who benefits, and how?
Military Equipment Contractors (Defense Industry)
Defense contractors manufacture and sell weapons systems, ammunition, and other military equipment. Demand for these products increases significantly during wartime or periods of heightened tension. Equipment destruction creates demand for replacement, ensuring continued sales.
Governments allocate substantial budgets for defense spending, providing contractors with a reliable revenue stream. These contracts often involve long-term commitments and high profit margins.
From Ukraine to Gaza: How wars fuel record profits for US defense firms - Times of India
The arms industry, driven by geopolitical tensions and conflicts, has become a major economic force, with US-based companies taking the lion's share of revenues. The Stockholm International Peace Research Institute (SIPRI) revealed in its 2024 report that global arms revenues reached $632 billion in 2023, a 4.2% increase from the previous year. Among these, US firms contributed $317 billion, or half of the global total, underscoring their central role in the international arms market.
The SIPRI factsheet reveals that the total arms revenues of the Top 100 arms-producing and military services companies worldwide increased by 4.2% in 2023, hitting $632 billion. This surge is primarily driven by heightened global demand for weapons, fueled by conflicts such as the war in Ukraine and tensions in regions like the Middle East.
"Spurred by increased global demand for weapons, arms revenues grew in all of the geographical areas covered by the ranking," said the SIPRI report. Notably, the US firms have capitalized on this demand, with 30 of the 41 American companies recording year-on-year increases in arms revenues, reflective of the US's growing emphasis on military strength.
Defense contractors heavily lobby to influence government policies and secure favorable contracts. The revolving door phenomenon further strengthens their influence.
The ability of inexpensive drones to destroy expensive weapon systems highlights a potential for profit even when the systems are not entirely effective. The need to replace those systems creates more sales.
Will the E.U. and the United States dedicate more industrial capacity and print more money to keep the war with Russia going? Are French men lining up, excited to fight “Putler,” as young Brits did at the leadup to WWI? Are Germans and Dutchmen beside themselves with enthusiasm and excitement at the thought of being killed by a drone in Ukraine? Do U.S. Americans like the idea of spending their money on war machines rather than infrastructure, local manufacturing of essential goods, healthcare, education, and affordable housing while addressing real existential threats to their country and the world?
What evidence is there that "Putler" wants to invade France or the United Kingdom? There isn't any.
Putin Is No Hitler
Wherever there is war and money to be made from war, you will find the same ghouls gathering. Those involved in launching the invasion of Iraq should be excluded from public life. Instead Powell is now the U.K.’s national security adviser.
I am not a follower of Putin. The amount of force used to crush Chechnya’s legitimate desire for self-determination was disproportionate, for example. It is naive to believe that you get to be leader of the KGB by being a gentle person.
But Putin is not Hitler. It is only through the blinkers of patriotism that Putin appears to be a worse person than the Western leaders behind massive invasion and death all around the globe, who now seek to extend war with Russia.
Here in the U.K., the Starmer government is seeking actively to prolong the war, and is looking for a huge increase in spending on weapons, which always brings kickbacks and future company directorships and consultancies for politicians.
To fund this warmongering, New Labour are cutting spending on the U.K.’s sick, disabled and pensioners and cutting aid to the starving overseas.
Labour Friends of Israel has published a picture of Starmer meeting with Israeli President Herzog, six months after the International Court of Justice’s interim ruling quoted a statement by Herzog as evidence of genocidal intent.
The Starmer government was voted for by 31 percent of those who bothered to cast a vote, or 17 percent of the adult population. It is engaged in wholesale legal persecution of leading British supporters of Palestine, and is actively complicit in the genocide in Gaza.
I see no moral superiority here.
Energy Companies
Wars disrupt energy supplies and create uncertainty, increasing demand and higher prices for oil, gas, and other energy resources. This can be very good for energy companies. Sanctions and geopolitical tensions further exacerbate these disruptions.
Wars often necessitate rebuilding energy infrastructure, providing opportunities for energy companies to secure lucrative contracts. Look at all the politicians gloating over the prospect of rebuilding Gaza, Ukraine, and lucrative mineral deals. While soldiers and civilians die in war zones, politicians and business people discuss opportunities for future profits.
Securing new energy sources when old sources are cut off creates new markets. Energy companies profit from the instability that war creates. Chaos is a money-making scheme for politicians, big business, and financial institutions.
Financial Institutions
Governments borrow money to finance military operations, issuing bonds and other debt instruments. Financial institutions underwrite these debt offerings, earning fees and interest. Wars create investment opportunities in defense, energy, and other sectors. Financial institutions manage investment funds that hold shares in these companies. After conflicts, financial institutions provide loans for reconstruction efforts, generating further profits. Loans are also given to nations to purchase military equipment. War leads to large amounts of national debt, and global financial institutions profit from the interest on that debt.
How The Roman Empire And American Empire Are The Same
I glide over these points because to people living today it goes without saying. Biden did it and Trump comes out and saying. Biden just committed a whole-assed genocide in Palestine and a military-industrial pump-and-dump in Ukraine, and Trump continues the same policies with less hypocrisy. Biden and Trump are just good cop/bad cop of the same police state. America is a two-headed monster, but both heads consume lives and resources and shit US treasuries. The financial instruments may change, but the tune stays the same. As Mary Beard said, the definition of imperialism is “Military conquest and the imposition of foreign control (whether in the form of taxation, puppet government or military occupation).” And so it remains.
The only difference is our indifference. Whereas the Roman Empire demanded fealty, Americans laugh at the idea that they're an empire at all. They've discovered that the best place to hide an imperial elephant is in plain sight, covered with newspapers. American Empire relies on sleight of hand like debt, democracy™, and ‘defense’ to accomplish even greater imperialism largely by changing names. As Keyzer Soze said, the greatest trick the devil ever pulled was convincing the world he didn't exist. But American Empire does exist. We can see as it goes out of existence, like a song can only be heard as it's going away.
The Flow of Business
Taxpayer money flows to governments, allocating funds to defense contractors and other industries. Defense contractors and energy companies generate profits from sales and contracts. Financial institutions facilitate money flow through loans, investments, and debt management. Corporations and financial institutions exert influence on government policies to ensure favorable outcomes.
Everyone Else Loses
Wars result in loss of life, displacement, and suffering. They disrupt economies, leading to inflation, unemployment, and reduced living standards. Wars cause significant environmental damage, including pollution and destruction of natural resources. The cost of war creates a long-term debt burden for nations and taxpayers. War creates social instability and can lead to long-term social problems.
And our leaders are extremely enthusiastic about going to war. Why is that?
Understanding the "Revolving Door"
Definition: The revolving door refers to the movement of individuals between positions in government and positions in private sector industries, often those industries that they previously regulated.
The term ‘revolving door’ refers to the movement of individuals between positions of public office and jobs in the same sector in the private or voluntary sector, in either direction. If not properly regulated, it can be open to abuse. A cooling off period is the minimum time required between switching from the public to the private sector intended to discourage the practice and minimise its impact.
Former officials possess valuable insider knowledge and connections, making them highly effective lobbyists.
Lawmakers who exited their congressional offices in January landed in a variety of careers — but as usual, a good share of them spun through the revolving door to lobbying shops. While they technically couldn't lobby their former colleagues immediately (though the same wasn't true of the executive branch), they could keep themselves busy during their cooling-off periods by advising clients and bearing titles like "strategic adviser."
Officials often take lucrative consulting positions providing strategic advice to corporations on navigating government regulations and policies.
How Does Lobbying Affect the Government?
Lobbying plays a significant role in shaping government policies and decisions, making it a crucial part of any public affairs strategy that hopes to move the needle in Congress or state legislatures.
While lobbying can be a legitimate means for citizens to voice their concerns, it also raises questions about its impact on the government's decision-making processes. In this blog, we will explore the dynamics of lobbying and both its positive and negative effects on how the government functions.
Officials join corporate boards with lucrative compensation and influence.
How much do board members get paid?
The compensation for board members and non-executive directors varies greatly. A lot depends on the sector, the weight and experience of the board member, the country where the board sits, and the organisation’s earnings – the bigger the business, the bigger the pay for directors.
Spencer Stuart suggests non-executive director fees in the UK range from an average of £43,200 in a FTSE SmallCap up to approximately £83,000 at the top end of the FTSE 100. Recruitment firm Board Appointments suggests the average retainer for a non-executive director in the UK is £70,000.
A part-time chairperson in the UK could expect to be paid £400,000 in 2019. Chairs of FTSE 100 companies made as much as £425,000.
The exchange of information and influence between the public and private sectors leads to conflicts of interest.
Former defense officials often join defense contracting firms, leveraging their knowledge of government procurement processes. This practice creates incentives to support increased military spending.
Lawmakers who exited their congressional offices in January landed in a variety of careers — but as usual, a good share of them spun through the revolving door to lobbying shops. While they technically couldn't lobby their former colleagues immediately (though the same wasn't true of the executive branch), they could keep themselves busy during their cooling-off periods by advising clients and bearing titles like "strategic adviser."
Former high-ranking military officers take positions in companies like Boeing, Lockheed Martin, and Raytheon.
“Revolving door” lobbyists help defense contractors get off to “strong” start in 2023
The defense sector hired dozens of former armed services committee and Department of Defense personnel last year, with more swinging through the so-called “revolving door” to lobby on behalf of defense sector clients for the first time in the first quarter of 2023, a new OpenSecrets analysis of federal lobbying disclosures found.
At least 672 former government officials, military officers and members of Congress worked as lobbyists, board members or executives for the top 20 defense companies in 2022, according to a new report released by Sen. Elizabeth Warren (D-Mass.) last Wednesday. Warren’s staff utilized OpenSecrets’ revolving door database as well as corporate websites, lobbying disclosures and U.S. Senate confirmation lists to identify these individuals.
“This practice is widespread in the defense industry, giving, at minimum, the appearance of corruption and favoritism, and potentially increasing the chance that DoD spending results in ineffective weapons and programs, bad deals, and waste of taxpayer dollars,” the report says.
This is the real business of government within a capitalist system. Comparing feudalism, merchantilism, imperialism, and colonialism is like comparing different dresses painted on Russian Dolls.
Former regulators take positions with energy companies, influencing policies related to fossil fuels, renewable energy, and environmental regulations.
Lockheed adds Dunford, former top US military officer, to board
WASHINGTON — Lockheed Martin has added Joe Dunford, the former chairman of the Joint Chiefs of Staff, to its board of directors, the company announced Friday.
Dunford, the Marine general who retired from service at the end of September 2019, will become the 12th member of Lockheed’s board on Feb. 10. He will serve on the board’s Classified Business and Security Committee as well as its Nominating and Corporate Governance Committee.
Former EPA administrators will work for energy companies or lobby firms that represent energy companies.
‘A revolving door’: Former Wisconsin utility regulator was recently hired by transmission utility
A former Wisconsin utility regulator now works for a company she was once charged with regulating.
It’s the latest in what utility watchdogs describe as a “revolving door,” both in Wisconsin and across the country, of regulators working for utilities after their time in public service.
Ellen Nowak was appointed to the Public Service Commission of Wisconsin, or PSC, by Gov. Scott Walker in 2011, and reappointed to the commission in 2018. Last week, American Transmission Co. — a multi-state, transmission-only utility — announced that Nowak had joined the company as the vice president of regulatory and government affairs.
It all amounts to influence peddling.
Former Treasury officials and financial regulators join investment banks or financial institutions, raising concerns about regulatory capture.
Ex-EPA chief Pruitt registers as energy lobbyist in Indiana
WASHINGTON (AP) — Scott Pruitt, the scandal-ridden former head of the Environmental Protection Agency, registered as an energy lobbyist in Indiana on Thursday as fossil-fuels interests there are fighting to block the proposed closure of several coal-fired power plants.
A lobbying disclosure report for Pruitt provides little insight into precisely what he’s doing in Indiana, but several clues point to work on behalf of the coal industry. The disclosure report lists an address for Pruitt in an office tower in his hometown of Tulsa, Oklahoma, and says he is a self-employed consultant who will be lobbying on issues involving energy and natural resources.
Pruitt’s sole client is listed as RailPoint Solutions LLC, a Delaware corporation created in January that has no listed street address or website. But Pruitt’s form lists the name Heather Tryon as the company’s manager. That’s also the name of the chief financial officer of Terre Haute-based Sunrise Coal, which operates four coal mines in the state.
Former treasury secretaries or federal reserve members take positions in large financial institutions. Former health and human services officials and FDA administrators take positions with pharmaceutical companies, influencing drug approval processes and pricing.
Private sector positions offer significantly higher salaries and benefits than public service. Former officials can maintain influence over policy decisions that affect their new employers. The potential for conflicts of interest arises when officials make decisions that benefit their future employers.
Ordinary people slave away to support lucrative positions for elite Players within the system.
The Revolving Door for Financial Regulators
The revolving door erodes public trust in government, as it creates the perception that officials serve private interests rather than the public good.
Block the revolving door!
(24 November 2011) Alliance for Lobbying Transparency and Ethics Regulation (ALTER-EU) of which EPSU is a member is drawing attention to the high level Commission officials that join the lobby industry, resulting in abuses of power, according to a new report published today. The report urges greater transparency and tough new rules to stop public employees moving through the “revolving door” into private sector lobby roles, often without any cooling-off period or restrictions being imposed. ALTER-EU says this allows lobby firms to gain insider know-how and access to key contacts on behalf of their business clients or employers, providing easy routes to influence policy making. And the report warns that some officials may be taking decisions which benefit potential future employers at the expense of the public interest, or even abusing their position to secure lucrative deals in the private sector while still in office. ALTER-EU’s report outlines the cases of 15 officials who have moved into influential lobbying roles, without adequate checks being put in place.
Regulatory agencies become dominated by the industries they are supposed to regulate. This has always been the case. One can find dozens of books, reports, academic articles, and journalistic investigative reports on the subject. Throw a dart at a historical timeline and dive in.
Administration as usual? Revolving doors and the quiet regulation of political ethics
Ethics policies have emerged as a key aspect of the European (post)-Regulatory State. Such policies are designed to create ‘noise’, allowing media and public discourse to mobilise around the ethical lapses of those in power. The regulation of revolving doors (RD), i.e., movements in and out of government positions, is an ethics policy. However, unlike other ethics policies, RD regulation does not make transparency its central feature but constitutes what we call ‘quiet regulation’. Drawing on qualitative document analysis and interviews, we study the quiet regulation of RD for EU Commissioners. We demonstrate that quiet regulation has a dual nature: its public façade relies on independence, judicialised procedures and transparency. Conversely, its day-to-day operation is characterised by self-regulation, soft law and informality. In this way, RD regulation achieves two contradictory aims: functioning as a legitimate ethics policy while simultaneously avoiding the moral outcry that often surrounds ethics policies and the politicisation of RD, thereby normalising RD as ‘administration as usual’.
Regulatory capture
Basic Obligation of Public Service
Thomas Jefferson enunciated the basic principle of public service: “When a man assumes a public trust, he should consider himself as public property.” This sentiment has been expressed by numerous others, over time becoming the familiar principle “Public service is a public trust.” To ensure public confidence in the integrity of the Federal Government, Executive Order 12674 (as amended) forms the framework for the ethical behavior required and expected of all Federal employees. As a condition of public service, you are expected to adhere to these fundamental principles of ethical behavior:
Current trends and major development in ethics, lobbying and revolving doors practices
Excerpt from Emily O’Reilly’s keynote address to Georgetown University — Washington, 27 September 2022
Politicians don’t work for people, they work for corporations.
The structure of capitalist market economies guarantees all of these contradictions and conflicts. No legislation or government policies can stop it; only a radically new socioeconomic system can end this insane omnicidal and ecocidal system. Anything resembling actual democratic governance can not exist within neoliberal Austrian School economic structures.
If we don’t find a new way of managing our affairs, civilization will end and its death will make the Irish Potato Famine look like a picnic.
In the 1800s, as Britain became the world's most powerful industrial empire, Ireland starved. The Great Famine fractured long-held assumptions about political economy and 'civilisation', threatening disorder in Britain. Ireland was a laboratory for empire, shaping British ideas about colonisation, population, ecology and work.
In Rot, Padraic Scanlan reinterprets the history of this time and the result is a revelatory account of Ireland's Great Famine. In the first half of the nineteenth century, nowhere in Europe - or the world - did the working poor depend as completely on potatoes as in Ireland. To many British observers, potatoes were evidence of a lack of modernity among the Irish. However, Ireland before the famine more closely resembled capitalism's future than its past. While poverty before and during the Great Famine was often blamed on Irish backwardness, it did in fact stem from the British Empire's embrace of modern capitalism.
Uncovering the disaster's roots in Britain's deep imperial faith in markets and capitalism, Rot reshapes our understanding of the Famine and its tragic legacy.
