Guns and bombs are only one part of what socialists call “imperialism.” The other side of the U.S. government’s military reach into every corner of the globe is its domination—along with a handful of other powerful governments—of the world economic system. The two things go together, as New York Times columnist Thomas Friedman observed in 1998: “The hidden hand of the market will never work without a hidden fist. McDonald’s cannot flourish without McDonnell Douglas, the designer of the F-15, and the hidden fist that keeps the world safe for Silicon Valley’s technology is called the U.S. Army, Air Force, Navy and Marine Corps.”
The International Monetary Fund (IMF) and World Bank are international financial institutions set up by the United States to control whether poor countries receive desperately needed economic aid. As a result, they can exercise a blackmailer’s power to demand government policies that they consider “appropriate.” Though they were thrust into the background by the economic crisis of the late 2000s, the IMF and World Bank have a long record of imposing what they called “structural adjustment” on poor countries around the world, forcing governments to slash government spending and sell off state-run companies and services to private buyers whose chief aim is wringing a profit out of them.
This was all part of the era of “neoliberalism,” as it became known—of letting the free market rule, which meant the un-challenged domination of the world’s biggest economies, especially the United States.
A couple decades ago, it might have seemed like the worst flash points of poverty were in remote regions untouched by the modern economy. That isn’t the case today. As a consequence of neoliberalism, it’s not unusual in even the poorest countries of central Africa to find modern factories built by Western corporations sitting side by side with shantytowns because the jobs in the factories don’t pay a living wage.
This is characteristic of how capitalism has produced more misery and suffering around the globe. But nothing exposes the barbarism of imperialism and the free-market system more clearly than the production of the most basic of all necessities—food—and its use as a weapon by the U.S. government.
Year after year, the United Nations food agency presents the same grim statistic—somewhere around six million children under the age of five will die in the next twelve months because of malnutrition and its related diseases. The number six million has a terrible significance in the modern world—that is the number of Jews murdered by Germany’s Nazis in the Holocaust during the Second World War. A holocaust of the world’s children takes place every year, because of hunger—and the world’s governments fail to act.
Even conservative estimates calculate that enough food is produced around the globe for everyone in the world to get 2,800 calories a day, well above the minimum standard set by the UN Food and Agriculture Organization. And this is food that already exists. According to one study, if the useable land of the world were cultivated effectively, the earth could feed more than forty billion people—far more than are ever likely to inhabit the planet.
But the food doesn’t get to the people who need it. More than one billion people—almost one in every six people on the planet—suffered from hunger in 2009, according to the UN. Why? The obscene reason was summarized once by none other than the establishment Financial Times newspaper: “People are not hungry these days because food supplies are not available. They are hungry because they are poor.” In a capitalist system, food is treated like any other commodity, from cars and televisions to pharmaceuticals and health care. Instead of being organized to feed the hungry, the system is organized around not feeding everyone—so prices, and therefore profits, stay high.
In fact, the agribusiness giants have conspired with governments around the advanced world to make sure that prices stay up. Since 2000, the U.S. government has spent between $15 billion and $35 billion every year on direct and indirect agricultural subsidies. Most of the money was used to prop up the price of grains and other crops by buying up “surplus” food. For example, U.S. farmers produce twice as much wheat as the U.S. market needs. This oversupply should cause the price of bread and other products to fall. But the government buys the excess to keep prices up.
The politicians claim that agricultural subsidies support “family farms” in the United States. That’s a myth. According to the Environmental Working Group, 71 percent of farm subsidies since 1995 have gone to the top 10 percent of U.S. producers—the biggest agriculture operations, backed, if not owned outright, by multinational corporations.
Much of the food that the U.S. government buys is distributed around the world in the form of food aid. But like everything else it does, Washington’s motives aren’t pure. U.S. food aid is used as a weapon to promote U.S. interests—both politically, by providing aid where it will help the geopolitical schemes of the U.S. government, and economically, where it will help pump up the profits of American corporations.
U.S. laws require that government food aid be distributed in the form of U.S.-grown products—even when those products exist in abundance in the country they are being sent to. Thus, in the early years of the 2000s, the United States sent more than one million metric tons of grain to the famine-plagued country of Ethiopia—even though Ethiopian farmers estimated that they had at least 100,000 metric tons of locally grown corn, wheat, sorghum, and beans stored in warehouses, which Ethiopians didn’t have the money to buy.
Rather than feeding the hungry and helping countries struck by famine to develop agricultural production on their own, food aid from the U.S. government is mainly organized to help U.S. food bosses get rid of “surplus” food that might push down prices and profits. The effect is to keep food prices high at home and undercut competitors abroad, especially in developing countries—while the world’s poor go hungry. The German poet Ber tolt Brecht might have had this system in mind when he wrote: “Famines do not simply occur—they are organized by the grain trade.