Empire of Illusion (29 page)

The most egregious lie is the pretense that these people function as reporters, that they actually report on our behalf. It is not one or two reporters or television hosts who are corrupt. The media institutions are corrupt. Many media workers, especially those based in Washington, work shamelessly for our elites. In the weeks before the occupation of Iraq, media workers were too busy posturing as red-blooded American patriots to report. They rarely challenged the steady assault by the Bush White House against our civil liberties and the trashing of our Constitution. The role of courtiers is to parrot official propaganda. Courtiers do not defy the elite or question the structure of the corporate state. The corporations, in return, employ them and promote them as celebrities. The elite allow the courtiers into their inner circle. As Saul points out, no class of courtiers, from the eunuchs behind the Manchus in the nineteenth century to the Baghdad caliphs of the Abbasid caliphate, has ever transformed itself into a responsible and socially productive class. Courtiers are hedonists of power.

The rise of courtiers extends beyond the press. Elected officials govern under the pretense that they serve the public, while, with a few exceptions, actually working on behalf of corporations. In 2008, a Congress with a majority of Democrats passed the FISA bill, which provides immunity for the telecommunications companies that cooperated with the National Security Agency's illegal surveillance over the previous six years. Such a bill endangers the work of journalists, human rights workers, crusading lawyers, and whistle-blowers who
attempt to expose abuses the government seeks to hide. This bill means we will never know the extent of the Bush White House's violation of our civil liberties. Worst of all, since the bill gives the U.S. government a license to eavesdrop on our phone calls and e-mails, it effectively demolishes our right to privacy. These private communications can be stored indefinitely and disseminated, not just to the U.S. government but to other governments as well. The bill will make it possible for those in power to identify and silence anyone who dares to make information public that defies the official narrative or exposes fraud or abuse of power. But the telecommunications corporations, which spent some $15 million in lobbying fees, wanted the bill passed, so it was passed.

Being a courtier requires agility and eloquence. The most talented of them should be credited as persuasive actors. They entertain us. They make us feel good. They persuade us; they are our friends. They are the smiley faces of a corporate state that has hijacked the government. When the corporations make their iron demands, these courtiers drop to their knees. They placate the telecommunications companies that want to be protected from lawsuits. They permit oil and gas companies to rake in obscene profits and keep in place the vast subsidies of corporate welfare doled out by the state. They allow our profit-driven health-care system to leave the uninsured and underinsured to suffer and die without proper care.

We trust courtiers wearing face powder who deceive us in the name of journalism. We trust courtiers in our political parties who promise to fight for our interests and then pass bill after bill to further corporate fraud and abuse. We confuse how we are made to feel about courtiers with real information, facts, and knowledge. This is the danger of a culture awash in pseudo-events. The Democratic Party refused to impeach Bush and Cheney. It allows the government to spy on us without warrants or cause. It funnels billions in taxpayer dollars to investment firms that committed fraud. And it tells us it cares about the protection of our civil rights and democracy. It is a form of collective abuse. And, as so often happens in the weird pathology of victim and victimizer, we keep coming back for more.

Our political and economic decline took place because of a corporate drive for massive deregulation, the repeal of antitrust laws, and the
country's radical transformation from a manufacturing economy to an economy of consumption. Franklin Delano Roosevelt recognized this danger. He sent a message to Congress on April 29, 1938, titled “Recommendations to the Congress to Curb Monopolies and the Concentration of Economic Power.” In it he wrote:

The rise of the corporate state has grave political consequences, as we saw in Italy and Germany in the early part of the twentieth century. Antitrust laws not only regulate and control the marketplace. They also serve as bulwarks to protect democracy. And now that they are gone, now that we have a state run by and on behalf of corporations, we must expect inevitable and terrifying consequences.

As the pressure mounts, as this despair and impoverishment reach into larger and larger segments of the populace, the mechanisms of corporate and government control are being bolstered to prevent civil unrest and instability. The emergence of the corporate state always means the emergence of the security state. This is why the Bush White House pushed through the Patriot Act (and its renewal), the suspension of habeas corpus, the practice of “extraordinary rendition,” the practice of warrantless wiretapping on American citizens, and the refusal to ensure free and fair elections with verifiable ballot-counting. It is all part of a package. It comes together. The motive behind these measures is not to fight terrorism or to bolster national security. It is to seize and maintain internal control.

Hints of our brave new world seeped out when the director of national intelligence, retired admiral Dennis Blair, testified in February and March 2009 before the Senate Intelligence Committee. He warned that the deepening economic crisis posed perhaps our gravest threat to
stability and national security. It could trigger, he said, a return to the “violent extremism” of the 1920s and '30s. “The primary near-term security concern of the United States is the global economic crisis and its geopolitical implications,” Blair told the Senate:

The road ahead is grim. The United Nations' International Labor Organization estimates that some 50 million workers will lose their jobs worldwide in 2009. The collapse had already seen close to 4 million lost jobs in the United States by mid-2009. The International Monetary Fund's prediction for global economic growth in 2009 is 0.5 percent—the worst since the Second World War. There were 2.3 million properties in the United States that received a default notice or were repossessed in 2008. And this number is set to rise, especially as vacant commercial real estate begins to be foreclosed. About 20,000 major global banks collapsed, were sold, or were nationalized in 2008. An estimated 62,000 U.S. companies are expected to shut down in 2009.

We have few tools left to dig our way out. The manufacturing sector in the United States has been dismantled by globalization. Consumers, thanks to credit card companies and easy lines of credit, are $14 trillion in debt. The government has spent, lent, or guaranteed $12.8 trillion toward the crisis, most of it borrowed or printed in the form of new money. It is borrowing to fund our wars in Afghanistan and Iraq. And no one states the obvious: We will never be able to pay these loans back. We are supposed to spend our way out of the crisis and maintain our part of the grand imperial project on credit. We are supposed to bring back the illusion of wealth created by the bubble economy. There is no coherent and realistic plan, one built around our severe limitations, to stanch the bleeding or ameliorate the mounting deprivations we will suffer as citizens. Contrast this with the national security state's preparations to crush potential civil unrest, and you get a glimpse of the future.

Senator Frank Church, as chairman of the Select Committee on Intelligence in 1975, investigated the government's massive and highly secretive National Security Agency. He was alarmed at the ability of the state to intrude into private lives. He wrote when he finished his investigation:

At the time Senator Church made this statement, the NSA was not authorized to spy on American citizens. Today it is.

The military can be ordered by the president into any neighborhood, any town or suburb, capture a citizen and hold him or her in prison without charge. The executive branch can do this under the Authorization for Use of Military Force, passed by Congress after 9/11, that gives the president the power to “use all necessary and appropriate force” against anyone involved in planning, aiding, or carrying out terror attacks. And if the president can declare American citizens living inside the United States to be enemy combatants and order them stripped of constitutional rights, which he effectively can under this authorization, what does this mean for us? How long can we be held without charge? Without lawyers? Without access to the outside world?

The specter of social unrest was raised at the Strategic Studies Institute of the U.S. Army War College in November 2008, in a monograph by Nathan Freier titled
Known Unknowns: Unconventional “Strategic Shocks” in Defense Strategy Development
. The military must be prepared, Freier warned, for a “violent, strategic dislocation inside the United States” that could be provoked by “unforeseen economic collapse,” “purposeful domestic resistance,” “pervasive public health emergencies,” or “loss of functioning political and legal order.” The resulting “widespread civil violence,” the document said, “would force the defense establishment to reorient priorities in extremis to defend basic domestic order and human security.”
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“An American government and defense establishment lulled into complacency by a long-secure domestic order would be forced to rapidly divest some or most external security commitments in order to address rapidly expanding human insecurity at home,” it went on.

“Under the most extreme circumstances, this might include use of military force against hostile groups inside the United States. Further, [the Department of Defense] would be, by necessity, an essential enabling hub for the continuity of political authority in a multistate or nationwide civil conflict or disturbance,” the document read.

In plain English, this translates into the imposition of martial law and a de facto government run and administered by the Department of Defense. They are considering it. So should we.

Blair warned the Senate that “roughly a quarter of the countries in the world have already experienced low-level instability such as government changes because of the current slowdown.” He noted that the “bulk of anti-state demonstrations” internationally have been seen in Europe and the former Soviet Union, but this did not mean they could not spread to the United States. He told the senators that the collapse of the global financial system is “likely to produce a wave of economic crises in emerging market nations over the next year.” He added that “much of Latin America, former Soviet Union states, and sub-Saharan Africa lack sufficient cash reserves, access to international aid or credit, or other coping mechanism.”

“When those growth rates go down, my gut tells me that there are going to be problems coming out of that, and we're looking for that,”
he said. He referred to “statistical modeling” showing that “economic crises increase the risk of regime-threatening instability if they persist over a one- to two-year period.”

Blair articulated the newest narrative of fear. As the economic unraveling accelerates, we will be told it is not the bearded Islamic extremists who threaten us most, although those in power will drag them out of the Halloween closet whenever they need to give us an exotic shock, but instead the domestic riffraff, environmentalists, anarchists, unions, right-wing militias, and enraged members of our dispossessed working class. Crime, as it always does in times of poverty and turmoil, will grow. Those who oppose the iron fist of the state security apparatus will be lumped together in slick, corporate news reports with the growing criminal underclass.

The destruction the corporate state has wrought has been masked by lies. The consumer price index (CPI), for example, used by the government to measure inflation, is meaningless. To keep the official inflation figures low, the government has been substituting basic products they once tracked to check for inflation with ones that do not rise very much in price. This trick has kept the cost-of-living increases tied to the CPI artificially low. The disconnect between what we are told and what is actually true is worthy of the deceit practiced in the old East Germany. The
New York Times
' consumer reporter, W. P. Dunleavy, wrote that her groceries now cost $587 a month, up from $400 one year earlier. This is a 40 percent increase. California economist John Williams, who runs an organization called Shadow Statistics, contends that if Washington still used the CPI measurements applied back in the 1970s, inflation would be about 10 percent.