The Mirror September 2011 by NZ Manufacturer

theEMirrorE

R e f l e c t i o n s & O b s e r v a t i o n s

Globalization versus Localization Tangaroa’s amazing voyage House without windows Environmentalism lost and found SEPTEMBER 2011

00 7. per copy or 12 months $

subscription (6 issues) $42.00 including postage & packaging

www.themirrorinspires.com

$21.00 digital www.themirrorinspires.com

EtheEMirror

editorial

In the scheme of things

Over the last few months some disturbing events have taken place around the world. There is the ongoing debt saga sweeping Europe primarily affecting Italy, Greece, Spain and the United Kingdom. There is the sorry state of the US economy and the way in which it is spiralling, seemingly without a pilot, towards a prolonged depression and long-required period of recovery. Then we have Libya, Egypt, Tunisia and Syria examples of monopolistic nations where rogue leaders have been dealt to by totally angry and frustrated populaces. The above mentioned is enough for this editorial to deal with, quite frankly. Because through these examples events is one underlying theme; the people are dissatisfied, the people are being ‘ripped off’. Two articles in this issue give you more of a picture of unhappiness. One is Globalisation versus Localisation and the other A small town in the middle of nowhere. In both there is a theme; money is power and only a few people are benefiting from it. And when you bring into the mix economic problems in Europe and the riots in London you get more of a picture of people being left behind. There are too many people with time on their hands, too many people with no money who have been displaced. There are too many people with too little money, working for global conglomerates with little recall for better conditions. Those who riot in Greece and Spain are organised thugs or people wanting better conditions. In London the death (murder) of a man which caused civil unrest and massive looting also included many, many people who were thugs, layabouts and itinerants...as well as the British Olympic ambassador who was seen on TV by her mother. There is too much unhappiness and too much of it is caused by greed.

contents Globalization versus localization.

Tangaroa’s amazing voyage.

A small town in the middle of everywhere.

MANAGING EDITOR Doug Green RESEARCH WORDS PRODUCTION & DESIGN Karl Grant ADMINISTRATION & SUBSCRIPTIONS Media Hawkes Bay Ltd

ADVERTISING ENQUIRIES 06 870 4506 mediahb@xtra.co.nz PUBLISHER WORDS P O Box 1109, Hastings, New Zealand words@xtra.co.nz

www.themirrorinspires.com

Environmentalism lost and found.

The Mirror is published bi-monthly and offers the Reader reflections and observations on the issues of our times. The Mirror welcomes editorial contributions and encourages readers to share their reflections and views with us. The Mirror uses information provided in good faith. We give no guarantee of accuracy of the information. No liability is accepted for the result of any actions taken or not taken on the basis of this information. Those acting on the information and recommendations do so entirely at their own risk. SUBSCRIPTION: NZ $42 per year for 6 issues. Overseas $65. Subscription payment to be made to: Media Hawkes Bay Ltd, 121 Russell Street North, Hastings, New Zealand. words@xtra.co.nz Payment can be made by EFTPOS. Please email or fax us your credit card details. Fax: 06 878 8150 Or by posting a cheque to the above address. Single copies NZ $7.00

Livestock through Islamic microfinance in Pakistan a big opportunity.

Reflections and Observations

the Mirror’s Faces

theEMirrorE

Globalization versus Localization

Studies show the need for politicians to promote small-scale, locally interdependent production and trade of goods in order to create self-sufficiency and reverse the damaging effects of globalization. Many recent studies, including a United Nations report and various analyses in The Case Against The Global Economy (abbreviated here as CAGE), examine some of the damaging effects of an increasingly globalized economy. All authors referred to here are from the latter study unless otherwise stated. Globalization is a process which entails the free movement of capital, goods, services and labour around the world. Currently both capital and goods do move freely, and services such as banking, telecommunications, media and advertising will do so increasingly. Labour mostly moves freely either in the managerial category or, sadly, at the increasingly desperate end of the scale with illegal migration. The vast majority of working people in the world, however, stay put.

by Patricia Pitchon

The engines which drive the globalization of the economy are multinational companies. There are some 37,000 multinationals, and between them they account for four-fifths of world trade. About 75 per cent of all trade in the world is between multinational economies. Many of them are wealthier than entire nations. Of the 100 richest companies in the world, 60 are nations and 40 are multinational companies. They drive trade and investment policies, and have powerful social, economic, political, environmental and cultural impacts. The latest agreements on trade and investment to which 100 nations now adhere, the so-called Uruguay Round of the General Agreement on Tariffs and Trade (known as GATT), include profound changes which speed up the globalization process, particularly in services, and weaken the powers of individual governments. Countries participating in GATT used to have the power of the veto. Now they do not. Decisions used to have to be unanimous.

“

37,000 multinationals account for four-fifths of world trade.

”

➼

The world has become one big container ship.

www.themirrorinspires.com

EtheEMirror

➼

“

Now a majority decision is sufficient. What this means is that the power of multinationals to determine trading and investment activities is greatly increased, whereas the power of governments to mediate between competing interests and needs in society, such as social and environmental needs versus corporate needs to expand and increase profits, is severely diminished. This is deemed a “victory for free trade”, for “unfettered markets” free at last of cumbersome government regulation, and the promise is prosperity for millions of people.

The real question is how far corporate aims should replace the A democratic deficit aims of the The way in which the 500-page GATT nation state or document passed muster is shocking. even regions Ralph Nader points out (in CAGE) that he offered any congressman in the United or federations, States $10,000 for the charity of his choice if he would answer 10 basic questions or local about the new GATT agreement. Only one governments. congressman took up the challenge, and

”

read the full text, after which he changed his mind and voted against it. But it seems, from Nader’s account, that most did not read the full text before voting. There is no reason to imagine that Europeans in various parliaments were more diligent in this regard. Many read

The money or the bag.

www.themirrorinspires.com

summaries, but not the full text, before voting. In Japan, members of the Japanese Diet received the full text in Japanese only after voting. The Press had no access to the deliberations, and consumer and citizens’ groups were denied representation in the process which culminated in the final document. But powerful corporations had both access and influence. There is nothing wrong with corporate aims, which include expansion and growth to increase profits, and whose primary duty is to shareholders, as they so often state. But the real question is how far corporate aims should replace the aims of the nation state or even regions or federations, or local governments. As James Goldsmith points out in his book, The Trap, a nation is not a company. Its aims must take account of the common good, it must consider the public interest, and social, cultural, environmental and political considerations cannot be excluded. The corporations seem to have emerged as a new, unaccountable, unrepresentative and unelected powerhouse, with the consent of governments but with inadequate representation of many sectors in society.

theEMirrorE Unfavourable impacts

Many phenomena we are suffering today are effects of what many analysts now think is a combination of excessive and unnecessary corporate activity and inadequate governmental control. We can see some of these effects in greatly increased air pollution, as more and more goods travel ever further, even to regions able to produce these goods themselves but unable to compete with powerful conglomerates on price. Mongolia, for example, has 25 million animals from which butter can be produced locally, but currently it is helpless against conglomerates which can transport it from far away and sell it more cheaply there. This is deemed “a victory for consumers”, although many prospective Mongolian consumers have become impoverished as a result of this type of competition, and the true cost of the extra pollution created by transporting the goods is not counted either. We are witnessing the poisoning of rivers and lakes due to harmful chemicals; the thinning of the ozone layer; the ghostly and abandoned town centres with the disappearance of small, local shopkeepers and the drive to lower workers’ wages. The shocks caused by the sudden unemployment of thousands of people at a time; the furious pace of new technologies applied constantly to the workplace to replace ever more workers; the massive displacement, by giant agricultural concerns, of local farmers who then drift to the cities to become urban paupers; the pressures that this drift to the cities places on already stretched services such as electricity, water and sewage disposal, particularly in many Third World cities; and the disappearance of precious forests at an irreplaceable and therefore unsustainable rate. The loss of local products is accompanied by the appearance of dreary, standardized food worldwide.

Keeping it local makes a lot of sense.

They maintain that Wal-Mart usually locates itself just outside a town centre and manages to take customers away from the commercial centre by keeping prices as low as possible, moving sector by sector to undercut the local competition. Because of its size it is able to sustain losses for a long time. Local businesses start to disappear and the town centre becomes a ghost town. The authors claim that several studies indicate that for every job Wal-Mart provides, as many as 1.5 jobs are lost. The Wal-Mart jobs are at the low end of the economic ladder; it rarely pays more than the minimum wage. Dating is forbidden

➼

The disappearance of local culture and local diversity is accompanied by the appearance of the same mediocre and often violent films worldwide, and so on.

Case studies Mander and Boston (in CAGE) looked at the effects upon local communities of the activities of the giant US food retailer WalMart.

Tony Blair said, “globalisation is causing a crisis in identity.

www.themirrorinspires.com

EtheEMirror

➼

“

among employees, who until recently, at least, also had to pass lie-detector tests. Workers have to work long and irregular hours for no extra pay; these hours are called “free hours”. No labour unions are permitted.

A court in What is needed is the large-scale promotion of the small scale Arkansas There are other serious effects. Mander awarded and Boston quote an Illinois study which around found that the increased cost of roads, $300,000 to water and sewage as well as security, telephone communications and other three local services outweighed the sales and property pharmacists tax revenues the new giant stores because Wal- generated. Mart had sold When surrounding businesses go bankrupt, regional income and the merchandise community’s tax base both decline, below cost together with funds required to maintain adequate municipal services. Walto drive Mart’s profits do not benefit the local them out of community, since profits are repatriated business. to the head office elsewhere. Disastrously,

”

the new trade rules (both NAFTA and GATT agreements) allow corporations to repatriate money from anywhere in the world. Yet one study by the University of Massachusetts quoted by Mander and Boston (Wal-Mart Watch, December 1994) indicates that every dollar spent on locally owned business had “four to five times the economic spin-off of a dollar spent at WalMart”, because traditional, local businesses usually channel their profits back into the community in various ways.

This particular study leads to an important conclusion, namely that the real issue is not “free trade versus protectionism”, but rather “globalization versus localization”. Specifically, in the United States citizens are beginning to mobilize to find ways of keeping money in the local community and of having a greater say over what happens in their communities. In the case of Wal-Mart, small businesses are fighting Wal-Mart in legal battles in 20 states, as are some church groups, unions, manufacturers and municipal governments. In 1993, for example, a court in Arkansas awarded around $300,000 to three local pharmacists because Wal-Mart had sold merchandise below cost to drive them out of business. At the beginning of the decade, Wal-Mart was growing at a dizzying pace, with a new North American store opening somewhere every three days, and with WalMarts planned around the world.

Plant breeding and patents Vandana Shiva and Radha Holla Bhar, in a study entitled ‘Piracy by Patent’, describe a major calamity for the countries of the South, because new rules allow commercial plant breeders to make often very minor alterations of genetic structures of plants, after which the seeds are patented by the companies concerned and sold back to the communities which first provided them freely. The true cost of hundreds of years of work and accumulation of local knowledge in constant and gradual improvement of seeds (something farmers have done traditionally over the centuries) is never acknowledged, much less paid for. In effect, freely given genetic resource materials are “returned” to the South as a commodity with a price tag. The main culprits in this form of piracy have been large corporations who argue that they must have free access to what is the common heritage of mankind, but the benefits, when the materials are technologically altered, often in ways which are not significant, suddenly become corporate property and must be protected by patent. The United States government has been in dispute with countries such as India because they have not wanted to recognize these so-called “intellectual property” patents, and it complains about the loss of some $200 million by its corporations per

We all need our share to eat.

www.themirrorinspires.com

Continues page 8

theEMirrorE

www.flowform.net www.themirrorinspires.com

EtheEMirror

From page 6

“

Farmers who developed seed and animal breeding stock and natural pesticides will lose their independence since they will have to pay high prices to corporations for products they were once able to provide for themselves.

”

year in royalty payments for agricultural chemicals. However, a study by the Rural Advancement Fund International of Canada found that the plant-breeding work of Third World farmers over thousands of years, together with the discovery by them and care of medicinal plants, would mean that the United States should be paying them some $300 million per year for royalties on farmers’ seeds that the United States uses, and some $5 billion for pharmaceuticals now sold in American drug stores. Some champions of this commercialization of life forms (which includes micro-organisms such as yeasts, algae, bacteria and viruses, many of which are patented by large multinational companies) have even suggested that the farmers’ rights to saveseeds should be abolished. Instead, the farmers should pay royalties when the seeds are used to grow crops which they sell. The obvious longterm consequence of this alarming trend is the steady impoverishment of millions of farmers. Farmers who developed seed and animal breeding stock and natural pesticides will lose their independence since they will have to pay high prices to corporations for products they were once able to provide for themselves. The new GATT rules make the monopoly of life forms and processes easier and threaten farmers everywhere. In effect, they protect corporate agribusiness from already vulnerable farmers.

The long haul Many forms of dislocation result from indiscriminate globalization, where the imperative is ever greater, more predatory and unsustainable growth, with an accompanying and often dreary standardization of many aspects of life as well as the loss of political and cultural self-determination. Essentially, the process has many worryingly undemocratic aspects, such as growing wealth, and hence ever greater political influence, concentrated in the hands of comparatively few, and massive social dislocation as its logical consequence. Many studies point to an ever-widening gap between rich and poor. Wealth appears to be rushing upwards into the hands of powerful shareholders

and corporate moguls, rather than trickling down. (In the United States, 40 per cent of the nation’s wealth is currently concentrated among one per cent of the population.) As Helena Norberg-Hodge (writing in CAGE) points out, what is needed is not the large-scale promotion of the large scale, but thelarge-scale promotion of the small scale. This represents a shift away, in her words, from global dependence and towards local interdependence. One consequence would be that many people could remain on their land as selfsufficient smallholders in many Third World countries. The whole world cannot live in cities and many would not want to if they could survive on their land. Another would be less pollution as fewer goods are transported across long distances around the world to places which can provide them locally. A third would be an increase in locally accountable entities and therefore a corresponding increase in local responsibility. This implies the need to reverse many of the present trends and policies, to stimulate local production and local trade and decreaseglobal trade. This, in turn, implies reform of corporations as they now stand and reform of major trade and investment rules. Politicians made these rules, and they can change them. There is nothing inevitable about “unfettered” free markets which unfetter some and fetter so many others, consigning millions to a loss of local self-sufficiency, cultural diversity and political autonomy. The logic of corporations cannot become the logic of nations. Markets have the power that they have, and corporations who benefit from these markets have the power that they have, because politicians everywhere have acquiesced in this project. ❙ (Sources and further reading: States of Disarray, United Nations Research Institute for Social Development, 1996. The Case Against the Global Economy, ed. Jerry Mander and Edward Goldsmith, Sierra Club Books, San Francisco, 1996. Globalization in Questionby Paul Hirst and Grahame Thompson, Polity Press, Cambridge, 1996.) From the April 1997 issue of Share International.

Globalization versus localization www.themirrorinspires.com

theEMirrorE

www.themirrorinspires.com

1 0 EtheEMirror

Tangaroa’s amazing voyage NIWA’s research vessel Tangaroa has just completed a very successful voyage of habitats of significance for marine organisms and biodiversity. “We were amazed by what we saw,” says NIWA’s Dr Mark Morrison, programme leader.

“

The information about the seafloor was gathered using state of the art multi-beam sonar.

”

Over 42 days, split across two voyages, the Tangaroa worked its way down New Zealand and back, working 24 hours a day, seven days a week. It surveyed habitat and biodiversity hotspots around New Zealand’s expansive continental shelf. These surveys are very important for understanding the diversity of animals and plants that live within New Zealand’s territorial waters and for identifying coastal habitats that may support fisheries functions such as nurseries and spawning grounds. The scientists photographed, videoed and collected thousands of specimens. Amongst these were particularly fascinating species such as hydroid ‘trees’ which look just like a foot-tall palm tree but are a type of animal. The scientists found ‘feather stars’ that retract their arms when disturbed, and which can ‘walk’ from place to place. They found a bat/frog-fish - a small fish consisting of a triangle head and body rolled into one. “It has specially modified lower fins that look remarkably like frogs legs, which let it ‘walk’ across the seafloor,” says Dr Morrison. Over 2,600 invertebrate ‘specimen lots’ were collected and catalogued for detailed taxonomic work, along with a wide range

of small fish species. These are likely to show the presence of species well outside their previously known range, and may well reveal species new to science. The survey extended from north of the Three Kings Islands off Cape Reinga, down to the west of Stewart Island. It included a range of areas chosen for detailed study. These areas were chosen based on local knowledge gained from interviews with retired commercial fishers.

Gathering information from the seafloor The information about the seafloor was gathered using state of the art multi-beam sonar. The sonar was deployed during daylight hours to comprehensively map areas of interest. Maps produced from the sonar were used to direct seafloor sampling at night. The primary survey tool was the Deep Towed Imaging System camera (DTIS), which includes a high definition video camera and still camera, and a lighting system for illumination. Towed at night, it was used to capture very high-resolution imagery of seafloor habitats and their sleeping fishes. It also filmed a number of nocturnal species that only come out under the cover of darkness. Limited biological sampling was conducted using beam trawls and rock sleds to sample plants and animals. This is done so that taxonomic specialists can formally identify the species seen on the video and still imagery. The next phase is to process the samples and formally analyse what was found.

North Island

NIWA’s research vessel Tangaroa

www.themirrorinspires.com

At the most northern location sampled, the submarine Middlesex Bank, 30 kilometres to the north of the Three Kings Islands, multi-beam mapping revealed a huge tilted block of sea floor, plunging on its eastern side from 90 m – 700 m over a horizontal distance of just 100 m. The top of the tilted block held sponge and rhodolith fields, while further down its western flank at 120–140 m water depth black corals appeared, many of them having whip like ‘corkscrew’ forms.

The Cape Reinga shelf and Three Kings Islands support a very colourful profusion of life, including many sponge species, gorgonian forests, bryozoan and rhodolith beds, “which look like small boulders at first glance, and reflect the amazing oceanic clarity of the water,” says Dr Morrison.

theEMirrorE11

orange pipefish 30–50 cm long. These were seen on video with their tails wrapped around the wire-weed, acting just like their smaller shallower water pipefish cousins do on coastal seagrass beds.

Continues page 12

Off the Dargaville coast, in the middle of canyon heads, extensive fields of sea urchins occur on soft sediments, especially adapted for these habitats through being flattened on their bottom side. On the edge of the north Taranaki Bight out of sight of land, scattered low relief reefs on the edges of canyon heads support more black corals, crinoids, and very hard ‘stone sponges’, surrounded by large expanses of sand and mud, with occasional patches of sea pens and sea whips. On the opposite coast, off East Cape on Ranfurly Bank, extensive beds of 2 m high kelps were found down to more than 50 m water depth, evidence of the exceptionally clear waters there. These kelps are thought to be a deep water form of the common Ecklonia, which is found on shallower reefs and is well known to divers; but these plants are much taller and have a single very large blade.

Black coral at Three Kings at a depth of 120-140 metres

Down at 90 m and beyond, massive cup sponges made their appearance on rocky reef outcrops, while on the more extensive rubble and low relief areas huge meadows of crinoids filtered the passing water currents. In deeper waters of 120 m or more, extensive gorgonian fields were found on the northwest side, while on the southeast side deeper water sponge species covered what reefs were present.

South Island Well offshore in the North Canterbury Bight, large expanses of what fishers called ‘wire-weed’ were sampled. These expanses of wire-weed are in fact tube-building polychaete worms, which form extensive meadows 15–25 cm tall, composed of fine stalks that close-up look like segmented bamboo.

Rhodolith beds, “which look like small boulders at first glance, and reflect the amazing oceanic clarity of the water.

Despite their fineness, being 2–3 mm across, they are very hard to break by hand, and do not look like animals, hence the name ‘wire-weed’. These meadows support a diversity of other species, including large numbers of juvenile sea perch, invertebrates such as sea cucumbers and sea-squirts (ascidians), and sea dragons, a large over-sized bright

Down at 90 m and beyond, massive cup sponges made their appearance on rocky reef outcrops.

www.themirrorinspires.com

1 2 EtheEMirror

A small town in the m

The jobs went south to Mexicali, Mexico after the Nafta liberalisations of the 1990s. New owners have come and gone, the last US employees are awaiting redundancy, and only a very few money men have profited, handsomely

by John R MacArthur

Pro-North American Free Trade Agreement (Nafta) forces staged on 9 November 1993 what may be remembered as the greatest salesman’s trick in televised propaganda. Millions of Americans had just watched CNN’s Larry King show, and its ‘debate’ over the ratification of the agreement, between Ross Perot, the anti-Nafta crusader and independent presidential candidate, and then Vice President Al Gore, spokesman for mainstream political and business opinion about free trade and its alleged benefits to the US. The professional politician Gore had bested the billionaire amateur Perot, but the show wasn’t over, and neither was rhetoric about Nafta. CNN followed with a

post-debate debate, in which four ‘experts’ argued over the plan of former President George H W Bush and President Bill Clinton for eliminating tariffs and integrating the Mexican, Canadian, and American economies in ways they claimed would bring money and jobs to everybody - a ‘winwin’ scenario. One expert, a soldier for David Ricardo’s economic theory of comparative advantage, was Larry Bossidy, leader of the pro-Nafta business lobby and chairman and CEO of Allied Signal, an industrial corporation with worldwide interests, including the Autolite spark plug plant in Fostoria, Ohio. With many fearing what Perot called the ‘giant sucking sound’ of jobs heading

Tangaroa’s amazing voyage

From page 11

“

The Hay Paddock is dominated by a range of stringy and colourful sponge species that carpet the seafloor for kilometres.

”

Over 90 km2 of wire-weed was identified by the multi-beam sonar, which sampled only a small proportion of the overall North Canterbury Bight.

association with the bryozoan thickets provides potentially valuable information for managers relevant to any protection of nursery habitats,” says Dr Morrison.

Further south, off Oamaru, an area nicknamed the ‘Hay Paddock’ many decades ago because of fishing gear coming up festooned with ‘straw’, turned out to also hold wire-weed.

The most southerly site sampled was at the head of Mason Canyon, off Codfish Island, to the west of Stewart Island. Here deeper water sponges dominated deep reefs around the canyon’s sides, along with the occasional large black coral tree.

The Hay Paddock is dominated by a range of stringy and colourful sponge species that carpet the seafloor for kilometres, with a variety of other species also being present. Inshore of the Hay Paddock, large areas of flat rocky reef in 30–40 m of water support a completely different suite of fantastically coloured red, orange, and yellow sponge species, along with sleeping blue cod and leatherjackets. Off Dunedin, extensive bryozoan thickets were sampled, composed of colourful, three-dimensional structures of these colonial animals. Associated with these are abundant snake and brittle starfish, and other invertebrate species such as sea anemones and sponges.

One of the more exciting findings from a fisheries point of view was numbers of juvenile blue cod, sleeping at night in and around the bryozoan colonies. “What habitats juvenile blue cod use as nursery grounds is currently not well known, so the finding of these small fish in direct www.themirrorinspires.com

The data The information collected is on a scale and coverage not seen before for New Zealand’s coastal waters. It will be used for a wide range of applications, including the identification of important habitats and areas for marine biodiversity and associated functions such as fish nurseries, particularly for commercial species. Given the increasing pressure being placed on New Zealand’s coastal environments, these data and the knowledge gained from them will provide a key foundation on which improved marine spatial planning for our marine environment can be advanced. Ultimately, the intention is to make these data and their interpretation available to all New Zealanders, through the Ocean Survey 2020 web portal www.os2020.org.nz This research was funded by the Ministry of Fisheries, Land Information New Zealand, and the Ministry of Science and Innovation. ❙

theEMirrorE1

middle of everywhere to cheap labour in Mexico if Nafta passed Congress, Bossidy needed to promote the notion that the agreement would bring more work to the Midwestern rust belt, already in steep decline. So, on instructions from Gore’s media adviser Carter Eskew, Bossidy held up a plug and pronounced: “I would like to say, about the jobs, this is a spark plug, an Autolite spark plug. It’s made in Fostoria, Ohio. We make 18 million of them. We’re going to make 25 million of them; the question is, where are we going to make them? Right now you can’t sell these in Mexico because there’s a 15% tariff... if this Nafta is passed, we’ll make these in Fostoria, Ohio... we’ll have more jobs... This is a small part of a car. We export 4,000 cars to Mexico today, we’ll export 60,000 cars in the first year [of Nafta], that’s 15,000 jobs. As of 1 November 2010 General Motors was a ward of the federal government, the country was in prolonged economic slump, and there were 86 assembly jobs in the Fostoria factory. The remaining Autolite employees were there to make just the ceramic insulators around the plug. The rest of the jobs had moved to a maquilladora in Mexicali, where nearly 600 Mexicans were manufacturing mostly Motorcraft spark plugs, the house brand of Ford Motor Company, healthiest of the Big Three US auto companies.

A very different wage The crucial difference between Mexicali (just south of the border from Calexico, California, on the Baja peninsula) and Fostoria was the wage scale: in Fostoria, unionised production workers made an average $22 an hour, including benefits, for a 40-hour week; in Mexicali, workers on the first two shifts made 15.5 pesos (about $1.83) an hour for a 48-hour week. Autolite’s new owner was Honeywell, dominant partner of a 1999 merger with Allied Signal, and its chairman, Dave Cote, could be pleased with his investment.

Cote received more than $13m from his board of directors. Somewhat surprising was President Barack Obama’s embrace of Cote as a spokesman for American employment and re-industrialisation. When I went to Fostoria, in September 2009, long freight trains still rumbled through town regularly on the railroad lines that made the city, despite its modest size (population 13,441), such an attractive place to build a factory in the 19th and early 20th centuries. But the trains weren’t stopping to pick up much and the chamber of commerce was reduced to promoting its advantages for rail photography enthusiasts. No train buffs or anyone else were in evidence downtown, where Readmore’s Hallmark Books and Gifts was advertising a closing sale. Vast empty parking lots abutting shuttered factories and businesses Fostoria Industries, a maker of specialty ovens; the Thyssenkrupp Atlas crankshaft plant; the GM dealership - testified to the declining fortunes of what Fostoria’s boosters had dubbed ‘A Small Town in the Middle of Everywhere!’ But while factory after factory had closed down, the Autolite plant seemed impregnable not just because of Bossidy’s pledge in 1993 but also because the plant was churning out vast quantities of spark plugs with stunning efficiency as many as 1.2m a day on 13 production lines operating over three shifts. It couldn’t last with so

“

The remaining Autolite employees were there to make just the ceramic insulators around the plug.

”

The maquilladora was not only less costly to operate, it was also protected against expropriation, serious environmental supervision, and strikes by Nafta, the Mexican government and Mexico’s corrupt national labour union, the CTM. In 2009 www.themirrorinspires.com

1 4 EtheEMirror

“

Gillig didn’t blame poor foreigners for taking her job and preventing her from retiring at age 60.

”

many plants heading to Mexico and, after passage by Congress of permanent normal trade relations with China in 2000, the even cheaper labour of China. In January 2007 Autolite announced plans to build the plant in Mexicali, and in August said it would begin to lay off 350 of the plant’s 650 workers. Bob Teeple, the president of United Auto Workers Local 533, is the son of an Autolite millwright, and in 1995, at age 32, he followed his father into the plant’s skilled trades, the elite of unionised bluecollar workers. There were ‘close to a thousand’ employees at the plant. When I visited union headquarters with Hart Perry, the documentary filmmaker, Teeple was awaiting news from the company of the shutdown of everything but the ceramics section, but he wasn’t sure when most of the remaining 271 employees would have to go, since the Mexicali plant was having start-up problems. Teeple recalled the great Nafta debate and a later visit from Larry Bossidy ‘who even came to the plant and made it sound

like, you know, our business is doing good. But I wasn’t super aware of what effect Nafta would have. You know, it’s just one of them things that you heard on TV - pros and cons. Neither, it seems, were any of his coworkers super-aware of Nafta. When I sneaked inside the factory to observe one of the four production lines still in operation, I met Peggy Gillig, who was checking plugs for defects. Gillig had started work 10 years earlier, when she was 46, and she wasn’t very politically or union minded. Automation at Autolite had failed to kill her job, but politicians had succeeded: “I’m disappointed in our leaders that they’ve more or less stabbed us in the backs - sold us out to foreign interests.” But Gillig didn’t blame poor foreigners for taking her job and preventing her from retiring at age 60, which would have been possible under the UAW contract. “It doesn’t seem like it’s good for the third world countries they [the jobs] are going to. They don’t pay those people... a living wage, so how is that good for them? I mean, it’s better than not having any kind of a job... I don’t understand who it is good for other than the big companies.” Other workers, current and former, spoke with me, including Larry Capetillo, a Spanish-speaking Mexican-American whom the company lured out of retirement in 2007 to help train workers in Mexico. Morally conflicted, Capetillo kept a journal about his dilemma. The Honeywell executive who recruited him and three other retirees claimed that the Autolite plant had lost money for the past ‘four to five years;, according to the journal, not so much because of production costs ‘but because we have 1,200 retirees’. However, if the move to Mexicali was successful, the executive had promised that ‘the goal is to keep 300-and-some jobs here [in Fostoria]’. Capetillo thought of Autolite as a family affair - his wife, Fran, had taken a buyout after 29 years, and his daughter, Tracy, was still employed there with her husband.

Hillary Clinton was wrong!

www.themirrorinspires.com

”We all knew that people were going to dislike us very much for doing this,” Capetillo told me. But the executive had been blunt: “Whether you go [to Mexico] or not, they’re going to move this. We’re going to try to make [the Mexicali plant] go if we can - if we can’t, and it goes down... the rest of this is going to close.” Capetillo said ‘We decided, you know, if we can keep the

plant here; if we can do something to help there, we’re going to go down and try to do it then... Believe me, the four of us were not going to go, but when he said the whole operation would close if the Mexico thing did not make it, we had to make a decision.” In his journal, Capetillo was more candid: “Many of our fellow employees hated us for making this decision.” However, “the longer we can keep this plant open the longer my daughter gets to keep her job.” The company had no intention of keeping any plug production in Fostoria. After two years of commuting between Fostoria and Mexicali, Mexicali was ready to manufacture, as Bob Teeple put it, “everything with platinum attached to it”. When negotiations began in 2009 for a contract, the company surprised Teeple with a demand: if the union wanted to keep more than 110 jobs in Fostoria, there would be a wage cut to $11 an hour plus big employee contributions to health insurance. “We couldn’t do that,” Teeple said. Better to negotiate for good severance than to take a humiliating reduction far below the UAW norm. ”I guess I felt totally betrayed by the company,” Capetillo said. “It seems they all deal in half-truths... He did tell us that 300 jobs would stay, probably. And not even half of them stayed.”

All of us have to help Ordinarily, this story would have ended on 23 December 2009, when the last integrated production line was shut down. I felt obliged to interview Dave Cote, especially since he had appeared with Obama at the White House, just after his inauguration, to promote business-government cooperation in combating severe recession. As Cote told reporters, “The Congress, the American people, all of us as a business community, all of us have to help. Mr President, I can say that for Honeywell you can count on us and all of our employees to be there to help support this.” For months, Cote’s PR man at corporate headquarters in Morristown, New Jersey, kept putting me off, not knowing I wanted to talk about Nafta in general and Autolite in particular. It seemed just a matter of time before the remaining 99 workers in the ceramics department in Fostoria lost their jobs. But on 4 April 2010 a catastrophe occurred - a 7.2 earthquake struck 60km

theEMirrorE1

from Mexicali, placing the region in a state of emergency and damaging the new plant. Honeywell’s Consumer Products Group had no choice but to move some production back to Fostoria and rehire 70 laid-off workers to satisfy demand. Before long, Teeple said, “they told us we were doing four times the production of the Mexican plant, 130,000 a day, and some days we got as high as 230,000 with two lines running for three shifts.” By October operations were back to normal in Mexicali and the 70 rehires were laid off again, for good: “Not one machine is left in department 9,”Teeple said. “All of them were shipped to the Mexicali plant.” All Teeple had to look forward to was a 1 November 2011 contract expiration and another round of negotiations on behalf of the 86 survivors in the insulator section. “They’re telling us no, they’re not setting up kilns in Mexicali,” Teeple said in December 2010, but the company had said the same things to Larry Capetillo . The ceramic insulators could easily be made by NGK, a Japanese company with a factory in Irvine, California, much closer to the Mexicali plant. It wouldn’t be long before Fostoria’s Autolite plant, which opened in 1936, shut forever.

Teeple was demoralised. When he called me in February, he said he wouldn’t run for re-election in June as Local 533’s president and would take a buyout from the company: “I’m dead in the water. I want to change professions, go into marketing. The more you do, the more you make.” His first love, sprint-car racing, wasn’t a way to support four kids and a wife. By May, Teeple had changed his mind - a sense of obligation to union members took precedence, - and he was re-elected. But Teeple had more bad news: on January 28 Honeywell announced that it had agreed to sell its Consumer Products Group (CPG), including Autolite and Fram Filters, to the Rank Group, a New Zealand-based, privately held investment company, for $950m in cash “While CPG is a good business,” Dave Cote said in a press release, “it doesn’t fit with our portfolio of differentiated, global technologies... we are confident that the Rank Group, with its proven track record of investing in and building established franchises, will be a good home for CPG’s consumer brands, customers, and employees.”

“

But Teeple had more bad news: on January 28 Honeywell announced that it had agreed to sell its Consumer Products Group (CPG), including Autolite and Fram Filters, to the Rank Group, a New Zealandbased, privately held investment company, for $950m in cash.

”

Rank was owned by the leveraged buyout billionaire Graeme Hart, said to be worth more than $8bn. His method for www.themirrorinspires.com

1 6 EtheEMirror full pension, which he had planned to do just before being laid off. Both his daughters were well on their way to graduating from college, and his house in New Riegel, southeast of Fostoria, was fully paid for.

“

Under the new corporate entity, Reynolds Group Holdings Limited, Hart has assembled other packaging companies, including SIG and Evergreen Packaging.

”

He had liked Autolite because after 28 years, “I got into the prototype section of the plant. I loved working [there] because it’s something different every day and you’re not just using your hands; you’re using your mind and you’re working with college-graduated individuals who treat me as an equal.” Faeth had invested in the American dream and been rewarded: “I was fortunate because of Autolite.

Graeme Hart

making money was borrow heavily to buy companies with a healthy cash flow; cut costs and increase profits through layoffs or mergers; then issue more debt or resell the company for more than he paid. His purchase of Alcoa’s packaging and consumer group in 2008 was exemplary: after paying $2.7bn for the aluminium foil maker he cut more than 20% of the workforce by closing facilities, including 490 unionised workers at Reynolds Wrap manufacturing plants and a distribution facility in Richmond, Virginia, and by laying off 158 employees at a printing plant, also in Richmond. Under the new corporate entity, Reynolds Group Holdings Limited, Hart has assembled other packaging companies, including SIG and Evergreen Packaging. Bob Teeple was not optimistic about management-labour relations under Rank Group ownership: he predicted that Honeywell’s union-staffed Fram Filters plant in Greeneville, Ohio, would fall victim to Hart’s cost-cutting after the sale of the company became official, probably this autumn.

Rewarded for investing in the American dream Over the past 12 years I have heard many stories about the beneficial effects of free trade from its proponents. But the stories recounted by its victims always seemed more persuasive. Among the best storytellers were two Autolite workers who lost their jobs. When I met Jerry Faeth in 2009 he was 52 and considered himself lucky. With 32 years at the plant, he would retire with a www.themirrorinspires.com

”We had good wages... and my wife was able to quit work and stay home for eight years with our two children; and I think that’s key to some of the issues we’re having in society today because the babysitter doesn’t raise your kids like Mom or Dad.” But now he was embittered. After the meeting at which the layoffs were announced by a Honeywell executive, Faeth said it “felt like he hit me in the stomach... I wanted five more years [in the plant] and I’m not going to get it...” I said, “You know, you talked about us [needing to be] competitive. I contribute to the 401K in Honeywell and I get this book every year and it says the top five guys in Honeywell last year made $70 million. Sir, is that competitive?” According to Faeth, the executive replied: “Well, I can’t speak for Dave Cote’s salary but, you know, that comes out of a different fund anyway.” Faeth said: “Sir, that’s not what I asked. You can’t tell me that there’s not a smart person down there in Mexico that wouldn’t do [Cote’s] job for a whole lot less. How can he tell you that we’re makin too much money here when those top five guys made $70 million. What’s wrong with that picture? He didn’t have an answer for me.” But others purported to have an answer to Faeth’s question. One of them is the economist R Glen Hubbard, dean of the Columbia University Graduate School of Business, chairman of the Council of Economic Advisors in the first two years of the George W Bush administration and a villain in Inside Job (the Academy Awardwinning documentary about the 2008 financial crisis). When I encountered Alison Murray at Local 533, she had read parts of his textbook, Macroeconomics. With a BA, Murray enrolled in night classes at the University of Findlay when layoffs loomed at Autolite. As a single mother, aged 42, with only 17 years in the plant, she couldn’t

retire with a pension and needed to plan for the future. But her encounter with Findlay’s economics department left her troubled about post-industrial Fostoria.

Slapped in the face ”The ironic thing,” she said, “was that the very first class that I took when I went back to school was a macroeconomics class. And the whole entire textbook told us how important it was that they move the manufacturing jobs from America to other countries - and that manufacturing in America was a dinosaur and that it should be outsourced to other countries because that was the only way to make money... So it was like getting slapped in the face. I was trying to go back to school... because I’m losing my job and I’m a displaced worker... and the very first class I took, the very first page of the textbook [justifies my layoff].” Murray argued with her teacher: “I said, You know, that’s all well and great in theory but I’ve lived the human side. I’ve seen the devastation that... is caused by these factories moving out to the other countries...” And the textbook and the teacher say, “Well, we’re not talking about very many jobs.” Well, to me in this town of 15,000, to have 900 jobs [roughly the number lost at Autolite since 1993] leaving, that’s a lot... And it’s affected every single person’s life.” But there’s no arguing with Hubbard, or even Obama, who pledged to ‘renegotiate’ Nafta during his battle with Hillary Clinton in the 2008 Ohio primary campaign, then reversed once he entered the White House. Hubbard’s Macroeconomics puts together supposedly irrefutable economic truths turned into cliche’s in the aftermath of the 2008 financial debacle. In its orthodox advocacy of tax cuts, deregulation, free trade and free markets, it has a tone of bland authority that makes it hard to challenge unless one pays close attention to arguments, alternatives, and facts he omits. His chapter on ‘Comparative Advantage and the Gains from International Trade’ is full of unprovable generalisations: ”Some people worry that firms in highincome countries will have to start paying much lower wages to compete with firms in developing countries. This fear is misplaced, however, because free trade actually raises living standards by increasing economic efficiency. When a country practices protectionism and produces goods and services it could obtain more inexpensively

from other countries, it reduces its standard of living.”

theEMirrorE1

Besides, says Hubbard, child labour isn’t such a bad thing, since the ‘alternatives’ (such as prostitution) can be ‘extremely grim’. We can be grateful that the smart rulers of developing countries resist pressure to pay higher wages or impose environmental regulation because “jobs that seem to have very low wages based on high-income country standards are often better than the alternatives available to workers in low-income countries”. While the US has a ‘comparative advantage’ with many skilled workers doing ‘sophisticated’ manufacturing, “other countries, such as China, have many unskilled workers and relatively little machinery... China has a comparative advantage in the production of goods... that require unskilled workers and small amounts of simple machinery.” Nowhere is mentioned Chinese wages of 50 cents an hour, the governmentcontrolled Chinese national labour union, the absence of a formidable Chinese environmental regulator, or the sophistication of Chinese factories. In this distorted world, we’re all operating on a level playing field: ‘It is true,’ the book says, that ‘jobs are lost’ when ‘more-efficient foreign firms drive less-efficient domestic firms out of business.’ But the same is true when ‘more-efficient domestic firms kill off the competition – we’re all playing under the same global rules of free enterprise. One shouldn’t worry about the lost jobs because ‘these job losses are rarely permanent.’ While Jerry Faeth, Allison Murray, and Peggy Gillig awaited news of their next place of employment, and at what wage, they could contemplate Larry Bossidy’s plug promise versus the Department of Labor’s latest report on a programme called the Transitional Adjustment Administration.

“

Some people worry that firms in high-income countries will have to start paying much lower wages to compete with firms in developing countries. This fear is misplaced, however, because free trade actually raises living standards by increasing economic efficiency.

”

TAA is supposed to provide money to people who lost jobs directly as a result of Nafta, which became effective on 1 January 1994. TAA does not calculate actual job losses, only petitions made for assistance as a consequence of lost jobs. As of 21 June 2011 its ‘estimated number of workers covered’ - those eligible for government money - stood at 2,491,479. It seemed likely that before long the figure would increase by 86, the total number of UAW members left in Autolite’s Fostoria plant. ❙ www.themirrorinspires.com

1 8 EtheEMirror

Blackmail in Washington

by Serge Halimi

“

What are the real reasons for the recent increase in the US public debt?

”

The squabbles between President Obama and the Republican majority in Congress over US debt obscure the main point: under covert pressure from his opponents, Obama has agreed without further ado that $3,000bn, more than threequarters of the budget reduction he wants for the next ten years, will be covered by cuts in social services. Not content with this victory, the US right wants more — even if its unrelenting demands are likely to be unpopular with voters. Bowing to the Republicans in Congress, Obama first agreed in December 2010 to extend for a further two years the hugely inequitable tax cuts introduced by his predecessor, George W Bush. Four months later, taking his cue this time from Ronald Reagan, Obama cheerfully announced “the largest annual spending cut in our history”. He then embarked on a series of negotiations with Republican members of the House, adding: “I am prepared to take on significant heat from my party to get something done.” The result: further concessions from the White House. The US right is dead set against raising taxes to reduce the debt. This may seem odd in a country where, as a result of the tax concessions showered on the superrich, overall tax rates are the lowest in 50 years. But, quite apart from their manic attack on public spending, the Republicans’ real aim is to “starve the beast” — that is, to quote a Republican strategist, to “cut government down to the size where we

can drown it in the bathtub”. What are the real reasons for the recent increase in the US public debt? First, the economic crisis resulting from financial deregulation in recent decades; then the regular extension of the tax reductions voted in 2001 (revenue loss: $2,000bn); and last the post-9/11 wars in Afghanistan and Iraq (cost: $1,300bn). Yet the party of Reagan and Bush aims to solve the problem by protecting the super-rich as “job creators”, and the Pentagon budget, which has increased by 67% (in real terms) over the past ten years. Paul Ryan, chairman of the House of Representatives Budget Committee, explained the Republican plans for coming decades in detail on 5 April. Public expenditure, currently 24% of gross domestic product, would amount to only 14.75% of GDP in 2050, and the maximum tax rate would be reduced from 35% to 25% (the lowest rate since 1931). All the special tax concessions would be maintained, while reimbursement of health charges paid by the old and the poor would be frozen at their current level, despite escalating costs. If Obama continues to back down, US public services will soon look like that drowned body in the bathtub. ❙

How widespread is phone hacking?

The issues surrounding phone hacking and the Murdoch Empire won’t be cleared up overnight and will undoubtedly feed the appetites of world media organisations for years to come. I wonder though if hacking in media hasn’t happened before? Can you believe that the Murdoch clan is the only organisation to have done this? And It ‘s more intricate than that – politicians www.themirrorinspires.com

are involved, the police are involved and the establishment is right in the limelight as the power and control of a massive media empire is now being realised; the impact of its control is frightening the living daylights out of many citizens around the world. The big question may well be “Just who is squeaky clean?” ❙

theEMirrorE1

Success dependent on emerging markets

The New Zealand investment industry has an important role to play in tackling poverty through responsible investment policies and public reporting, said Oxfam New Zealand Executive Director Barry Coates at the Responsible Investment Association Australia (RIAA) briefing. “Responsible investment in New Zealand is approaching take off, and is set for rapid growth,” said Coates. “Oxfam is pleased to be involved in making that happen.” At the briefing, Coates introduced the findings of a recent Oxfam report exploring the role the investment industry could play in reducing poverty. Better Returns in a Better World is the result of a two-year initiative with over 80 influential investors across Europe and the United States.

development-related issues. “The reality is that investors are more likely to take poverty and development issues into account when there is a clear consensus on expectations of companies’ behaviour. The absence of regulatory or normative frameworks must be overcome if we expect investors to successfully address poverty-related issues in their investment decisions and engagement with companies,” said Rory Sullivan, the investor lead on the project and co-author of the report.

“Investors have a critical role to play in the fight against poverty. It’s not just a question of morals, but smart business, as their investments are increasingly exposed to emerging markets and the challenges they face,” said Coates.

The report provides a set of practical recommendations to help investors maximise their contribution to poverty reduction. These include working alongside civil society and other experts to create analytical tools that integrate development issues into their investment analysis, and to take greater ownership responsibility and a more active role in ensuring that companies improve their performance and reporting on poverty, development and other social and environmental impacts.

A series of barriers to greater investor engagement in poverty reduction are identified in the report, including lack of demand and oversight by asset owners, an overwhelming focus on short-term financial performance and lack of transparency in the investment sector as well as the absence of clear, agreed standards on poverty and

“Governments should show leadership by requiring public asset funds, including public pension funds, consider their impact on reducing poverty,” said Coates.

“

Investors have a critical role to play in the fight against poverty. It’s not just a question of morals, but smart business.

The report acknowledges that investors can only do so much on their own, and that governments also have a critical role to play.

”

REFLECTIONS & OBSERVATIONS

❒ ❒

$42 per year (6 issues) PRINTED VERSION $21 per year (6 issues) DIGITAL VERSION

NAME:............................................................................................................................................... ADDRESS:........................................................................................................................................ .......................................................................................................................................................... .......................................................................................................................................................... Method of payment:

❒ ❒

Bill me later Payment enclosed

You can subscribe online for both the digital and printed versions, simply visit www.asiapublishinggroup.com, or if making payment by post send to Media Hawke’s Bay Ltd, PO Box 1109, Hastings, New Zealand

www.themirrorinspires.com

2 0 EtheEMirror

House Without Windows

The House Without Windows by Barbara Newhall Follet is about a girl who chooses to live in nature and eventually transcends to a higher being. It was written when Barbara was 9, and rewritten at 12 after the manuscript was destroyed in a house fire. In her twenties, she walked out the door of her home, never to return. Touching and disturbing, but somehow fascinating. Haven’t you been tempted to just walk away? I have been, sometimes drawn by the natural world, sometimes craving a simpler life. What I have discovered this year is that, just walking away from the status quo, life never gets simpler. Barbara Newhall Follett

“

The secret to sanity is to accept the chaos, to continuously adapt to the change and embrace it.

”

Better in some aspects, but not less complex. And quantum physics and other new sciences show that even in nature, randomness and chaos are needed to create order which then dissolves again in a complicated, beautiful ying-yang relationship. The secret to sanity is to accept the chaos, to continuously adapt to the change and embrace it. The tempting horizon is now the Random School instead of the antelope trails of the Great Plains. Let’s use music to create order from the chaos and pain being human engenders.

About the author Barbara Newhall Follett lived from March 4, 1914 - December 7, 1939 (disappeared)) and was an American child prodigy novelist. Her first novel, The House Without Windows, was published in 1927 when she was thirteen years old. Her next novel, The Voyage of the Norman D., received critical acclaim when she was fourteen. In 1939 she became depressed with her marriage and walked out of her apartment with just thirty dollars when she was twenty-five years old. She was never seen again. The daughter of critic and editor Wilson Follett, Barbara Follett was schooled at home and was writing poetry by age four. The House Without Windows, was published when she was thirteen years old, with the help and guidance of her father. When she was fourteen her father left her mother for another woman, a devastating blow to Barbara who was deeply attached to her father. The family fell upon hard times, and at the age of sixteen, as the Great Depression was gaining momentum; Follett was, from necessity, working as a secretary in New York.

www.themirrorinspires.com

While still a teenager, she married Nickerson Rogers. Follett believed that Rogers was unfaithful, and became depressed. She left her apartment after a quarrel with Rogers on December 7, 1939, with thirty dollars in her pocket, and was never seen again. She was twenty-five years old. Rogers did not contact the police until two weeks later, and requested a missing persons bulletin four months after that; no serious effort to find her was ever made by anyone. Her body was never found, no evidence either indicating or excluding foul play was ever produced, and the date and circumstances of her death were never established. Her novel, The Voyage of the Norman, based on her experience on a coastal schooner in Nova Scotia, was published in 1928, again to critical acclaim in major publications. Follett was fourteen, and had reached the apex of her life and career; this was the time when her father abandoned her mother. She wrote two more books - the novel Lost Island and Travels Without a Donkey, a travelogue (the title plays on Robert Louis Stevenson’s Travels with a Donkey) - which were never published. ❙

On China

For more than twenty years after the Communist Revolution in 1949, China and most of the western world had no diplomats in each others’ capitals and no direct way to communicate. Then, in July 1971, Henry Kissinger arrived secretly in Beijing on a mission which quickly led to the reopening of relations between China and the West and changed the course of post-war history. For the past forty years, Kissinger has maintained close relations with successive generations of Chinese leaders, and has probably been more intimately connected with China at the highest level than any other western figure. This book distils his unique experience and long study of the ‘Middle Kingdom’, examining China’s history from the classical era to the present day, and explaining why it has taken the extraordinary course that it has.

theEMirrorE2

The book concentrates on the decades since 1949, presenting brilliantly drawn portraits of Mao Zedong, Zhou Enlai, Deng Xiaoping and other Chinese leaders, and reproducing verbatim Kissinger’s conversations with each of them. But Kissinger’s eye rarely leaves the long continuum of Chinese history: he describes the essence of China’s approach to diplomacy, strategy and negotiation, and the remarkable ways in which Communist-era statesmen have drawn on methods honed over millennia. At the end of the book, Kissinger reflects on these attitudes for our own era of economic interdependence and an uncertain future.

The book is Carle’s affirmation that only the truth can lead us from the dark. He had years of training and experience leading up to his encounter with the captive who the CIA believed might hold the key to finding bin Laden. This was his apotheosis as a career spook in the Directorate of Operations, yet Carle immediately struggled to reconcile his orders to make his captive talk with the oath he had sworn to uphold the letter and the spirit of the law. Furthermore, as the interrogation began and he built rapport with his subject, another problem started to gnaw at him. This man wasn’t who he was alleged to be; he was low level at best. But while Carle’s scepticism grew, his superiors continued to insist that they had the right man. The suspect was moved to one of the CIA’s most notorious black sites, and subjected to ‘enhanced interrogation techniques’. Initially enthusiastic about his role at the

By Henry Kissinger

Penguin Books RRP:$60.00

On China’s written with great authority, complete accessibility and with many wider reflections on statecraft and diplomacy distilled from years of experience. At a moment when the rest of the world is thinking about China more than ever before, this timely book offers insights that no other can. ❙

The Interrogator

This is the never-before-told story of the ‘dark side’ of the Bush administration’s war on terror, and of one of the CIA’s biggest failures — the kidnapping, rendition, and torture of the wrong man — as told by a person who conducted the interrogation. It is an indictment of the CIA’s enhanced interrogation from the inside, from a very senior operative. It is also the story of a patriot — Glenn Carle — and his struggle to do the right thing. And, of course, to some of his ex-colleagues he is regarded as a traitor for revealing the truth.

CIA, Carle eventually began to question the policies of the war on terror because of his involvement in this interrogation. Throughout the operation he had to grapple with the most difficult question a patriot can face: what do you do when your government tells you to do something that is morally abhorrent?

A CIA agent’s true story By Glenn Carle Scribe RRP: $32.95

Carle’s journey often reads like an international thriller, but it is a true tale of international intrigue, deceit, and betrayal. It is also an extraordinary and intimate portrait of the war on terror. As an experienced CIA spy, Carle came to the conclusion that there was a major disconnect between the White House’s Global war on terror and the reality he experienced. In the aftermath of 9/11, he was assigned to interrogate a suspected top al-Qaeda terrorist. He details the battles which followed, at least as much as possible under the conditions of CIA censorship— black boxes in the text indicate the work of Agency redactors. At the beginning, Carle was asked what he would do if he was required to violate not only the letter of the law, but also his own standards of honor and duty. Previously acquired interrogation skills led to him to the conclusion that his prisoner was not the man his captors believed him to be. He was neither a leader of al-Qaeda nor someone who possessed

“

The book is Carle’s affirmation that only the truth can lead us from the dark.

➼

”

www.themirrorinspires.com

2 2 EtheEMirror

B “

Extreme Economics

What Financial future awaits the current generation of children and teenagers?

”

“Babbage’s book is aimed at teachers and educators, but any parent or student would benefit from reading it. . . . The spend-for-today mentality has to stop. Schools and society have to address the problem, and Dr. Babbage has concrete ideas, exercises and plans that will help.” – Don McNay, founder of the McNay Settlement Group, October 20, 2009, Times-Tribune. What Financial future awaits the current generation of children and teenagers in the United States? Our children and teenagers did not cause the financial problems that confront the nation and impacts their families, but they will pay part of the price for these financial problems. What should children and teenagers know about personal finance? How can sound financial principles and money management be taught to these students? Extreme Economics identifies, through current research, what children and teenagers need to know about managing funds. It shows educators how to design instructional activities that enable students to learn about money management in fascinating and meaningful ways. Extreme Economics is not filled with complicated or confusing charts, graphs, and terminology. It is readable and immediately applicable. As education continues to advance, the school

“

➼

He believes there are still remedial steps that need to be taken.

”

curriculum might consist of reading, writing, math, and economics and finance. This book is an important step to ensuring a solid base in this emerging area. ❙

About the Author Keen J. Babbage has twenty-five years of experience as a teacher and administrator in middle school, high school, college, and graduate school. He is the author of author of numerous books including 911: The School Administrator’s Guide to Crisis Management (1996), Extreme Teaching (2002), Results-Driven Teaching: Teach So Well That Every Student Learns(2006) and What Only Teachers Know About Education (2008).

The Interrogator

useful information about terrorism. Nonetheless, Carle’s conclusions were of no effect against the process that was underway. This was only one incident that the author considers indicative of a pattern of the CIA and the White House ignoring evidence that conflicted with the official policy narrative.

the one legislated into existence by the South African parliament after the end of apartheid. Firsthand knowledge of what many have already suspected about the American intelligence community’s methods. ❙

By the end of the assignment, Carle was questioning how the United States had been reduced to such utter lawlessness. He believes there are still remedial steps that need to be taken to address what he calls a self-created problem of narrow perspective, hyped threats and deluded perceptions. Among them, he advocates the formation of a “Truth and Reconciliation Commission,” similar to

Glenn Carle was a member of the CIA’s Clandestine Service for 23 years and worked in a number of posts on four continents. His last position was as deputy national intelligence officer for transnational threats, where his office was responsible for strategic analysis of terrorism, international organised crime, and narcotics issues. He retired in March 2007 and now lives in Washington DC.

www.themirrorinspires.com

Glenn Carle

theEMirrorE2

Livestock through Islamic microfinance in Pakistan a big opportunity

by Farhat Abbas Shah

For Islamic Microfinance, the lack of proper systems and the unavailability of skilled staff are the hurdles. In Pakistan a few Islamic banks are studying Islamic Microfinance models to establish a proper one. However, none have found the key solution yet. SBP’s Institutional development fund is an attraction for the institutions, but the people sitting on committees see the institutions as already having a visible scale. According to the vision of the committee members the institutional development fund is not for the organisations which are not already developed with a handsome portfolio, while Islamic Microfinance means no commercial funding, no capacity building no MIS and no product development support. In Pakistan a few development organisations like Islamic Relief and Muslim Aid do Islamic Microfinance while maintaining their other projects. A charity based microfinance institution has a tremendous Qarz e Hasna, portfolio, but being a non commercial organisation for donors the experts are not ready to accept it as a sustainable model. The past proves it is much more sustainable than many other Microfinance institutes, which did worst in spite of having all the popular microfinance controls and risk mitigating systems and procedures in place. The success of any business depends upon the proper products fundamentally; the conventional microfinance products showed only a 3% impact, according to the CGAP study. It is obvious that the products sold through microfinance were not appropriate to alleviate poverty. The reason I found behind the failure was an incapable human resource and the lack of true visionary leadership. According to the current poverty alleviation scenario, we would have to appreciate CGAPs efforts for identifying Islamic Microfinance not only for the Muslim poor but to gain a noticeable positive impact from a larger market. During a survey a at Farz SME Village in District Jhang, which is an untapped

Farhat Abbas Shah

area of Punjab province, one cannot find any perceptible engagement from NGOs, because of this being a sectarian violence affected area. However, Farz Foundation has started its operations in two rural areas of the District Jhang. During research work, we found the area very potent for launching traditional products of livestock after customisation and aligning the products with a formal Islamic Microfinance mechanism (Farz Methodology). At the second stage of the study, the survey and the focus group discussions revealed that the products of goats and sheep are more feasible than buffalos and cows at the first phase. Study also shows that only the customisation of the system is required with a capable human resource having a strong interpersonal relationship ability with the traditional and a cultural familiarity to build a strong social and business relationship with the client. A huge untapped ripe market is waiting because 65% of Pakistan’s economy is based on agriculture of which almost 52% is based on livestock. According to a Gilani Research Foundation survey carried out by Gallup Pakistan, meat is the most essential food item in people’s daily diet. In a survey in October 2008, respondents were asked to list what they would like as the main

“

During research work, we found the area very potent for launching traditional products of livestock after customisation and aligning the products with a formal Islamic Microfinance mechanism.

”

www.themirrorinspires.com

2 4 EtheEMirror component of their daily diet. Assuming that Financial constraints were removed and price was kept constant the results revealed: 52% would prefer meat.

â&#x20AC;&#x153;

It gives 500% profit to the investor during a project of three to fiveyear period and is 1000% profitable for the poor.

â&#x20AC;?

However, meat products are needed at the international level with UAE and Europe the potential markets for Pakistan meats. Community is expert in nurturing and nourishing the livestock from centuries to maintain their living. They know every sophisticated detail about the animal and are also very fond of having them as their assets. Livestock is a social status and one can measure the economic level of a family or a person by assessing the volume of livestock he or she has. It is a common practice amongst rural poor communities to get the livestock from a well-off land lord on 33% partnership or sometimes at 50% for a breeding period or a period of maturity of the animals for meat purposes. Livestock has an extraordinary perspective on Eid e Qurban along with the daily consumption of the meat in the country. According to economic survey of Pakistan 2005 and 2006, 1.9000 metric ton meat is being consumed only in Pakistan. Mostly the rural poor feed their live stock by getting them to the jungles and green fields. They also give animals the special food called Wanda.

MEET DISCUSS EVALUATE DECIDE

www.themirrorinspires.com

The poor stock the animals for their hard days and also to fulfil their immediate needs like accidents, weddings or in case of a death in the family. They usually sell the animal and accomplish the necessity. Studies predict livestock is not only an ongoing consumable item, and a very successful business, but a social welfare work and a noble cause as a poverty alleviating tool. According to the financial analysis of the business by Farz Foundation, it gives 500% profit to the investor during a project of three to five-year period and is 1000% profitable for the poor. The economy of a country could be run and poverty could be eliminated by the livestock business if done properly. Microfinance or even banking with conventional structures based on monthly or fortnightly recoveries with interest or profit may not be able to do this kind of business. Primarily, Farz Foundation aims to disseminate the information and to invite the social investors to step in, particularly the people wanting to do the Halal investments. If Islamic microfinance organisations engage themselves only in livestock business, they can achieve tremendous results. Secondly, Farz Foundation offers a partnership opportunity for all investors. â?&#x2122;

ACT POSITIVELY!

theEMirrorE2

R e f l e c t i o n s

O b s e r v a t i o n s

Back Issues Available To order:

$7.95

Please phone: 06 870 9029 • fax: 06 878 8150 email: words@xtra.co.nz • or go to www.asiapublishinggroup.com www.themirrorinspires.com

2 6 EtheEMirror

Environmentalism

Lost & Found

Mainstream environmentalism is preoccupied with giant technofixes – from windfarms to ‘sustainable consumption’ – and pays almost no attention to the underlying cultural reasons why our civilisation is destroying the planet.

“

We are kidding ourselves that we will not have to radically change our ways; if oil, food and commodity prices keep on rising, then localisation will happen, if not for economic rather than simply sentimental reasons.

”

Somewhere along the way of observing and experiencing the degradation of the planet, environmentalism morphed from being a project designed to protect the wider natural world from destruction by human industry, into a project that exists to protect the lifestyles of middle-class consumers in as ‘sustainable’ way as possible. We are kidding ourselves that we will not have to radically change our ways; if oil, food and commodity prices keep on rising, then localisation will happen, if not for economic rather than simply sentimental reasons. The effects of the 2008 collapse are still playing themselves out, but globalisation is already in retreat. In ten years time, the world will look very different. By acting now, rather than waiting for systems to fail catastrophically and force our hands, the long-term future for renewal

www.themirrorinspires.com

can be extremely bright. Ridiculously high land property prices and entrenched land ownership patters are major obstacles preventing an intelligent use of our countryside today, but as a greater majority of the world’s population migrates towards urban living, cities must regenerate and reinvent themselves. But the exciting thing about cities is their dynamism and agility in adapting and renewing themselves, absorbing new ideas and becoming more enjoyable places to live and work. The new element in the mix is climate change, and so all development must now embrace social, economic and environmental sustainability. Consumers have traditionally expected governments to take the lead in protecting the environment, but now they are looking more to the corporate world to take action, rather than individuals with political influence.

Increasingly, Asians want economic growth but believe it should be achieved through greener industry. The two essential ingredients here are people and an understanding regarding sense of place. Placemaking is a concept – a place is really only successful if people enjoy it and make good use of it, and that means being appropriate for local people and the local environment.

theEMirrorE2

At the time of writing this article, the words ‘windfarm’ and placemaking provoke red squiggly lines to appear on the screen, announcing them as unrecognisable in the dictionary. As our way of living changes, so too must the vocabulary we use. A far more wide-reaching term than the semantics of “eco” or “green” could ever encompass is LOHAS -- Lifestyles Of Health And Sustainability. It represents a social movement that has conscious consumption at the centre of its values. Stemming from a business movement in the USA, LOHAS has morphed in Asia to become a brand used to describe all manner of environmental products and services. First taking off in Japan, then China and Taiwan and now spreading rapidly through the Asia-Pacific region. LOHAS finds expression from the shores of San Francisco to the bay of Singapore in the increasing global resistance to market globalisation. There is a palpable resurgence of a desire to connect with the land again – hence the recent shift in attention towards placemaking. Tree planting activities are become more and more popular, farmers’ markets are becoming the preferred choice location for grocery shopping and even in supermarkets the organic food selections are increasing.

R U LOHAS? More consumers than ever are using their purchasing power to make a genuine statement about their concern for the environment. Combined, they make a dedicated group, fond of everything from organic potatoes to hybrid cars, and marketers have given them their very own name to wear as a badge of honour; ‘Lohasian’. The latest research from January 2010 shows that 80% of these environmentally mindful consumers say their purchase decisions are directly influenced by a company’s Corporate Social Responsibility (CSR) policies. LOHAS Asia is an organisation based in Singapore and serves as an information hub and starting point for any company looking to improve their sustainability and reduce their environmental footprint, as well as for

the general public to find new products that align with their sustainable and green philosophy on life. In May this year a public awareness campaign “R U LOHAS” was launched to inform the public on how being LOHAS can increase personal health and reduce their environmental impact on the world. By ‘liking’ the video and identifying themselves as being LOHAS, this leads to the LOHASia facebook group where members of the public are encouraged to share their advice, ideas and opinions on living lifestyles of health and sustainability. The video can be seen on the homepage www.lohas-asia.org and on YouTube. http://www.youtube.com/watch?v=AN3-Kp7T0LU

“

A far more widereaching term than the semantics of “eco” or “green” could ever encompass is LOHAS

➼

”

www.themirrorinspires.com

2 8 EtheEMirror WE are the most powerful people in the fight against environmental exploitation, not governments, banks or big corporations. It is through our everyday purchasing habits that we can change the world for the better.”

Join LOHASia on Facebook. Members of the public are encouraged to join The LOHASia facebook group and become a part of the rapidly growing LOHAS movement, particularly in Asia Pacific. Playing on the concept of a Utopia, LOHASia is a platform for the public to join the sustainability conversation, promote healthy and sustainable lifestyle options, glean inspiration from other members, name and shame companies not operating to sustainability principles and share advice on lifestyle options on their doorstep. https://www.facebook.com/LOHASians

➼

Adam Horler, President of LOHAS Asia, says: “We were looking for a way to get across the concept of LOHAS to everyday folk that highlighted how powerful individuals are in the fight for a more sustainable world; the Internet and video delivery is the fastest way to do this.” R U LOHAS emphasizes the need for all citizens to cooperate with the efforts exerted to live a healthy lifestyle and control pollution, taking into consideration that this is the primary criterion that will contribute to the success of the sustainability endeavours and lessen the adverse consequences on the environment and nature. Adam Horler adds, “It is time for every individual consumer to understand that

The LOHASians A snapshot of the LOHAS consumer reveals a passionate, environmentally and socially responsible consumer segment and shows them to be early adopters who can be used as predictors of upcoming trends. They tend to be influential over friends and family, are more brand loyal than other consumers especially to companies whose values match their own, and most importantly, are willing to put their money behind their beliefs and values. Just what are LOHAS consumers buying and where are they buying them? Among other goods and services LOHAS consumers are buying organic label products and products related to health, wellness and sustainable lifestyles. The price and availability of green options has grown tremendously with green products now widely available online, but in Asia the results show that demand continues to outstrip supply on the high street market.

LOHAS Companies As the LOHAS movement moves from niche to mainstream, the opportunities for LOHAS products are everywhere. The HUB by LOHAS was formed in 2010 to help companies network with each other and to date 386 members enjoy the benefits of being connected to valuable leads, contacts and opportunities through a trusted network of likeminded companies worldwide. Members of The HUB by LOHAS are permitted to use the Asia Pacific LOHAS logo on product and promotional materials. Visit http://thehub.lohas.com to become a member today. ❙ www.themirrorinspires.com

theEMirrorE2

Article courtesy of LOHAS Asia If you are interested in health and fitness, the environment, personal development, sustainable living, eco-travel and social justice, discover more about LOHAS Asia by visiting http://www.lohas-asia.org

Monks in debate

www.themirrorinspires.com

3 0 EtheEMirror SUBSCRIBE TO –

Calendar of Events a International Green Building Conference 2011 13-16 September 2011 - SINGAPORE

a Build Eco Xpo Asia (BEX Asia) 2011 AND WIN EITHER A:

14-16 September 2011 - SUNTEC CITY CONVENTION CENTRE

a CSR Asia Summit 2011 27-28 September 2011 - KUALA LUMPUR

a Energy Storage Forum (4th) – Asia: Tokyo 05-06 October 2011 - TOKYO

a Clean Energy Expo Asia 2011 01-03 November 2011 - SINGAPORE

a Carbon Forum Asia 2011

Trilogy Travellers pack valued at $39.90 Whether you are off on a short weekend away or a long-haul flight overseas, Trilogy Travellers includes the perfect selection of five travel-friendly skincare essentials, to counteract the dehydrating and unbalancing affects of travel and to ensure you arrive at your destination feeling refreshed with a glowing complexion. Trilogy Travellers includes a Cream Cleanser, a Vital Moisturising Cream, a Ultra Hydrating Body Cream, a Hydrating Mist Toner and a Gentle Facial Exfoliant. Trilogy is a New Zealand skincare company that uses natural ingredients to care for skin of all ages.

02-03 November 2011 - SINGAPORE

a EV Battery Forum (4th) – Asia: Shanghai 08-10 November 2011 - SHANGHAI

a EnviroAsia2011 22-25 November 2011 - SINGAPORE

a International Green Awards – Gala Ceremony & Dinner 24 November 2011 - LONDON

a Electric Vehicle Infrastructure China Summit 2011 29-30 November 2011 - SHANGHAI

The World Green Community

Leonardo Academy’s vision for World Green® is to fundamentally transform the way we think about sustainability by providing a forum for sharing information and working together on green actions.

New Weleda Discovery Pack valued at $29.90 To celebrate their 90th anniversary, Weleda have produced a Limited Edition Discovery Pack containing six of their fabulous skincare minis. It’s a great starter kit for those new to Weleda or as a gorgeous gift for someone special. Included are the Sea Buckthorn Hand Cream, Pomegranate Firming Serum, Skin Food, Citrus Body Wash, Salt Toothpaste, Wild Rose Body Oil and an Iris Facial Lotion sachet. For futher information on subscribing go to page 13 Or email: words@xtra.co.nz www.themirrorinspires.com

This is a unique online sustainable community created to help social entrepreneurs on all levels develop and communicate the impact of their green actions. By providing a forum for the discussion of environmentally sustainable materials, reduction of negative environmental impacts and increased energy efficiency, Leonardo Academy extends its knowledge-base freely to the public. Leonardo Academy also emphasizes designs and materials that safeguard the health of residents and locations. World Green® is designed to help companies, investors, builders and home owners make the transition to a greener future and a sustainable living standard. The Community provides a forum for sharing information and working together on green actions. This site launch will be followed by upgrades that include additional communication channels and interoperability with other social media sites. Leonardo Academy would like to leverage its knowledge with all sustainable communities to help create a World Green® Vision. ❙

theEMirrorE3

Strong policy, corporate approach key to solving Asia’s water problems

Asia’s governments need to set good water policies, and then let the utilities do their jobs. A corporate approach, separate from politics, creates the stable business environments necessary for private sector investment in safe and clean water for Asian cities.

By Jenny Marusiak

“

This is the view of Professor Seetharam Kallidaikurichi, director of the Institute of Water Policy at Singapore’s Lee Kuan Yew School of Public Policy, who spoke at the Singapore International Water Week. In an interview with Eco-Business, Professor Kallidaikurchi said governments need to create the policy frameworks that enable private firms to bring the needed technology. The firms need to know they can safely invest in it and that the contracts will allow them to reap the profits for a period of time, he added. Professor Kallidaikurchi noted this approach of using long term contracts to create stable business environments is similar to the way pharmaceutical and telecommunications companies invest in technology in developing countries. His presentation on sustainable urban water management kicked off the inaugural Southeast Asia Water Ministers Forum, an international gathering of water ministers and experts at the Pan Pacific Hotel. Professor Kallidaikurichi said all cities can achieve sustainable water management systems and that it was expensive not to have such systems in place. He noted the high costs of bottled water and healthcare associated with unsafe water, in addition to the loss of revenue from stolen or leaked water. There are two ways Asia’s cities can encourage innovation in sanitation and water treatment, he said. “One would be for the government to set up a platform for private companies to bring new technology – but as a public private partnership, like what Singapore has done,” he explained. Singapore’s national water utility, PUB, broke ground this week on its second desalination plant, developed as a public

Asia’s developing countries need to delink water management and politics - Professor Kallidaikurichi, Singapore’s Institute of Water Policy. Photo: Singapore International Water Week

private partnership with Singapore-based water firm Hyflux. Hyflux will build, own and operate the plant, to be completed in 2013, on PUB’s behalf. “Another way would be to involve the community in the local ability to innovate new ideas,” he said, referring to what he called “the government corporate society partnership.”

Since privatisation in 1997, the utility has reduced its treated water losses due to leakages, theft and nonpayment from 63 per cent to 13.5 per cent.

”

Community collaboration helped Manila Water develop solutions to difficult problems relating to water delivery. Since privatisation in 1997, the utility has reduced its treated water losses due to leakages, theft and non-payment from 63 per cent to 13.5 per cent and increased the percentage of customers receiving continuous supply from 26 per cent to 99 per cent. Local academics and universities are also useful partners for utilities, noted Professor Kallidaikurch, because they can help develop the simpler technologies that may be more appropriate for local communities than large scale industrial systems due to the fact that they are easy to make and maintain.

➼

www.themirrorinspires.com

3 2 EtheEMirror “In a way, water technology is…quite ➼ straightforward. You have very high tech

solutions for complicated problems, but for most of the basic problems like removing e-coli and bacteria, the technology is easy to produce or develop in many developing countries. What we require is to scale them, use them and make them practical,” he explained.

“

The technology needs to have both sides… the scientific part and the human aspect. That’s where society comes in.

”

One example of a simple technology used for projects on a smaller scale such as a village or a block of buildings is a faucet filter developed for households in India that costs only a couple of dollars and has a lifespan of 1,000 hours of active use, he said. But, he warned, such technologies are only part of the equation. “The technology needs to have both sides… the scientific part and the human aspect. That’s where society comes in,” he explained, adding that community members should be aware of whether their water was clean or not, and they also needed the expertise to use the technology appropriately. Technology companies trying to bring new large scale water technologies into Southeast Asia’s urban areas face several challenges, including uncertain investment climates, said Professor Kallidaikurchi. Companies do not feel confident investing in long-term projects because political regimes and government terms operate in short, five-year terms, whereas for a water business to break even a project might need ten years of consistent operations, he said, adding that companies often felt unsure about the continuation of contracts or incentives. “If that can be changed – that (water management) will be not politicised or subject to changes – I think private companies would be more willing. Water

A Change of Heart…

If in our daily life we can smile, if we can be peaceful and happy, not only we, but everyone will profit from it. This is the most basic kind of peace work. — Thich Nhat Hanh

is a long term need, so the business will be always there for somebody who is willing to engage,” said Professor Kallidaikurchi. The way to limit uncertainty, he said, is for governments to take a corporate approach to water management and depoliticise the decisions about water: “Once you delink the decision-making, then it’s a company or agency managing the projects on behalf of the government rather than the government itself or the political leaders making decisions. Once the policy is set, then the implementation is left to the head of the utility.” Professor Kallidaikurchi said water technology companies seeking to invest in developing countries could adjust to the political uncertainties and the processes by shifting to a longer-term, more integrated approach. He advised them to learn the political system and to engage with the government and people over a long period. “(The water industry) has to move away from being a construction-oriented industry into a socially-oriented industry. Then there’s going to be huge business opportunities for them,” he said. To make private sector investment work, he added, governments should tap into the public’s growing awareness of clean water issues and willingness to pay for safe water to transform water management into an enterprise – “an enterprise where government can provide (clean water) at a much lesser cost to the people…in which case there’ll be a huge ripple effect in terms of economic benefits and healthcare.” Government politics should come in when it’s time to reap the benefits of a well-managed water system, according to Professor Kallidaikurchi. “This is something the government can champion,” he said. ❙ -Eco Business If we have no peace, it is because we have forgotten that we belong to each other. — Mother Teresa

Peace is not an absence of war, it is a virtue, a state of mind, a disposition for benevolence, confidence, justice. — Baruch Spinoza

www.themirrorinspires.com

theEMirrorE3

Giving Children Strength for the Future Disturbing reports are circulating around the world, always in the murky twilight of so-called ‘facts.’ According to the rumors, or indeed facts, that we are dealing with, a disproportionate number of war veterans commit suicide on their return to the USA from their tour in Iraq. After the Vietnam War, accounts came in from various sides of how soldiers were able to cope again with everyday civilian life only with great effort. People in Europe are also worried about the NATO soldiers’ ability to deal with trauma when they are in peacekeeping missions abroad. The question is, How does an individual cope with traumatic or otherwise shattering events in his or her life? This question is just as valid for children as for adults. The research that deals with this is research into resilience—research into the overcoming, the processing of, ‘insurmountable’ experiences, research into the sours (mental) power of resistance (resilire = to spring back, to rebound). This research began after World War II, when people were faced with the fact that there were those who inwardly overcame their experiences of war or prison and were able to resume a ‘normal’ life once their soul wounds were healed. However, at the same time, they realized that there were those who never really overcame these experiences and instead kept suffering from the trauma affecting them. The question arose on what this ability to inwardly overcome experiences depends. What makes one child strong in taking life’s knocks, what makes another child react so much more sensitively? From regions where people have been hit by great natural disasters, we hear relatively little of the problems that they have in inwardly coming to terms with them. Research into resilience has arrived at several conclusions that have considerable significance for educators in particular. The first issue was to follow up on the question of whether the soul’s power of resistance may be explained by heredity. If the parents have inner strength, is it passed on to their offspring? After numerous studies the conclusion was reached that this is not the case. Resilience is not inherited. However, resilience is definitely connected with the experiences of the early

years of childhood. One researcher thinks it is a matter of the first four or five years, while another thinks the whole time of childhood is significant, that is, until the tenth year. Leaving aside the different viewpoints, there is agreement that the soul’s power of resistance, or resilience, is nurtured and developed, if children have had the following five experiences.

A Stable Relationship 1. A reliable, stable relationship with one person. This person does not necessarily need to be the mother, but it is necessary for it to be a single person in the beginning. Later on this person may be joined by others. Neurologists also point out that at the start of life there must be only one person to relate to. Later on, there may be a second, followed by a third or fourth person, who is added to the circle of people the child relates to, but just not in the beginning.

An Experience of Authority 2. The growing child needs the experience of an authoritative upbringing. This means that the child needs the fundamental experience that others (involved in its upbringing) decide for him/her, and that he/she is completely relieved of the necessity of making decisions, It is simply from the experience that others make the right decisions that the child gains a sense of security in life, in other words, trust. This experience cannot be estimated too highly. In the first place, others decide what is good or bad for me, what is right and wrong, healthy and unhealthy. A deep feeling of security comes about: I can leave it up to the world to take over; I can rely upon my surroundings in all circumstances.

Learning Through Example 3. Children need the experience of learning through example. This has to do with two qualities, firstly, a moral quality that makes a deep impression: What the child experiences through the example of the behavior of those around him should be completely compatible with what is demanded of him. If the child is forbidden to watch television and the people he relates to watch unlimited amounts of television, the child’s

Research into Resilience by Christof Wiechert

“

Children need the experience of learning through example. This has to do with two qualities, firstly, a moral quality that makes a deep impression.

”

www.themirrorinspires.com

3 4 EtheEMirror understanding of his surroundings as a totality cracks open. You can add many other examples.

“

”

There is something else at stake too. When the Canadian psychologist Albert Bandura discovered the mirror neurons and their activity in human beings, the interesting question arose as to whether, in general, the child learns with his/her intellect or from imitation, from “doing it like this too.” Bandura argues vehemently that the young child learns from imitating, not through cognition, something he documents impressively through the process of learning to speak. To date, in the practice of teaching, this most significant idea, the idea that children learn in a more carefree way through imitation rather than laboriously drumming things into their heads, is scarcely to be found. In this case we are talking about children up to the age of ten. Through the process of a child’s learning, for example, to do arithmetic by developing habits rather than through the intellect, selfconfidence is developed as he learns ‘externally’; he feels affirmed through the sure habit. The research described here does not derive from an anthroposophicalanthropological milieu, but from conventional research. It is, therefore, legitimate to emphasize that, according to Steiner, from around the twelfth year cognitive learning takes on more and more significance. Only with Steiner is this whole complex called “becoming capable of forming judgments.” In other words, the learning process is guided and determined by the child’s own power of discrimination, no longer by habit.

The Quality of Time 4. Children need a qualitative experience of time. What is the difference between morning and evening for our feeling about life? What is the difference between autumn and spring, summer and winter for our feeling about life? Within a Christian context, how does the Easter festival differ from Christmas? Or within an Islamic context, how does the sugar festival differ from the beginning of Ramadan? How does the child experience the ordering of time, how do we help him to experience

www.themirrorinspires.com

the ordering of time? Here is one quite simple example: when I was still quite young, people in Holland celebrated the Queen’s birthday at the end of spring. This was the season when we used to visit the annual fair and celebrate the day we would be given cotton candy on a wooden stick. In our minds as children this cotton candy developed into the quintessence of the celebration of the Queen’s birthday. Lots of biographies describe rituals that are linked to the seasons. There is also the simple fact of going to bed. Is it a random activity because we are tired, or is there a small ritual belonging to this moment when we take our leave of the day that is entirely different from waking up in the morning? We can see from the way in which this fact is reflected in Waldorf kindergartens and schools that these festivals are not celebrated just for the sake of it, but rather out of some insight. Whoever wants to give shape to his or her life, whoever refuses to be ‘lived’ has to shape time.

Positive School Experiences 5. The child needs a definite surplus of positive school experiences. The fifth condition from research into resilience scarcely requires an explanation, Nonetheless, it ought to be pointed out that for long periods of time (times which are not yet over) the question whether pupils are left with more positive than negative experiences from learning, from going to school, is considered incidental. This needs to be seen properly. Many school traumas will accompany the individual for his or her whole life, wounds of which the school (or the teachers) are often not aware. If they were aware of them, the schools would set things up differently. In other words, whatever basis is laid down for the mood of soul at school plays a key role in the memory of individuals for their lives. This is an important reason for schools and teachers to ask themselves how the pupils are faring. This is by no means to deny that school is a place where pupils can go through a crisis; this will also need to happen. What is at stake is the overcoming of difficulties and whether pupils feel sufficiently accepted by the teachers. ❙

theEMirrorE3

Teenage unemployment rate a disgrace

It’s getting harder to find a job if you are a teenager and, if you do, to know how long the job might last. The fluidity if today’s markets leaves a lot to be desired and is rapidly festering on our youth an unemployment sore which is getting harder and harder to clear up. It’s actually at the stage that those in their ‘50’s, with their own home and assets are the lucky ones; we’re looking at generations here who may never have that level of security. And it’s not just New Zealand, the youth unemployment problems are worldwide and causing massive social unrest, especially in European countries. So what has brought us to this day? What is causing these huge imbalances in opportunities for our young people which, incidentally, places huge stress on their families who are supporting them through awkward economic times, they are, possibly, experiencing themselves? Do we say that globalisation has ‘tightened’ up the markets and not as many people are needed in the workforce due to enhanced technologies? Or is it the population of the world which has ‘overrun’ the number of job vacancies available leaving a huge chasm that teenagers are slipping into? This all sounds a bit too simplistic to me. It’s about better business planning for the future and considering again youth employment rates which allows for experience on the job and a start into a meaningful life. It’s about forward-thinking policies being put in place to look after the future, so that our youth have real incentives to stay here and not just drift across ‘The Ditch’. It’s a given that we all travel – per ratio per

population Kiwis travel a lot. It’s about companies training staff and putting the incentives in place so they don’t lose them. May be a dedicated, young, trained staff member has half payment on a $60,000 house paid for them by the company they work for as a bonus for loyalty if they stay 10 years? Got a better idea? How is your company dealing with skill shortages, not being able to get staff when we have this huge number of idle teenagers in our society? Maybe the swings and roundabouts allow you to hire someone on term so that your contract manufacturing job can be completed on time. We have an election coming up in November and the leaders of both Labour and National need to show what they are doing for the youth, the future of the country. If they don’t have a vision, a picture, a plan what is Joe Public expected to do? If there are no industry visionaries planning for success then just how does the nation get ahead? The Icehouse may hold workshops and conferences and share ideas, but will those ideas become reality? Will they train the youth of today to share in the future? We have a lot of groups in the country, who at times are competing against each other, to maintain status, looking for the high plateau. They need to be slightly different in their philosophy to keep on going, to be recognised as significant. To focus on issues such as youth unemployment. But with youth unemployment, they are frozen, they do not work together on the issue, they are not challenged enough and they are part... of the problem. ❙

Two months ago it was twenty six percent of teenagers 1519 who were looking for work, now that figure has risen to twenty eight percent in the same age group.

by Doug Green

www.themirrorinspires.com

❙

3 6 EtheEMirror