Empire of Illusion - Chris Hedges [99]
In plain English, this translates into the imposition of martial law and a de facto government run and administered by the Department of Defense. They are considering it. So should we.
Blair warned the Senate that “roughly a quarter of the countries in the world have already experienced low-level instability such as government changes because of the current slowdown.” He noted that the “bulk of anti-state demonstrations” internationally have been seen in Europe and the former Soviet Union, but this did not mean they could not spread to the United States. He told the senators that the collapse of the global financial system is “likely to produce a wave of economic crises in emerging market nations over the next year.” He added that “much of Latin America, former Soviet Union states, and sub-Saharan Africa lack sufficient cash reserves, access to international aid or credit, or other coping mechanism.”
“When those growth rates go down, my gut tells me that there are going to be problems coming out of that, and we’re looking for that,” he said. He referred to “statistical modeling” showing that “economic crises increase the risk of regime-threatening instability if they persist over a one- to two-year period.”
Blair articulated the newest narrative of fear. As the economic unraveling accelerates, we will be told it is not the bearded Islamic extremists who threaten us most, although those in power will drag them out of the Halloween closet whenever they need to give us an exotic shock, but instead the domestic riffraff, environmentalists, anarchists, unions, right-wing militias, and enraged members of our dispossessed working class. Crime, as it always does in times of poverty and turmoil, will grow. Those who oppose the iron fist of the state security apparatus will be lumped together in slick, corporate news reports with the growing criminal underclass.
The destruction the corporate state has wrought has been masked by lies. The consumer price index (CPI), for example, used by the government to measure inflation, is meaningless. To keep the official inflation figures low, the government has been substituting basic products they once tracked to check for inflation with ones that do not rise very much in price. This trick has kept the cost-of-living increases tied to the CPI artificially low. The disconnect between what we are told and what is actually true is worthy of the deceit practiced in the old East Germany. The New York Times’ consumer reporter, W. P. Dunleavy, wrote that her groceries now cost $587 a month, up from $400 one year earlier. This is a 40 percent increase. California economist John Williams, who runs an organization called Shadow Statistics, contends that if Washington still used the CPI measurements applied back in the 1970s, inflation would be about 10 percent.
The advantage of false statistics to the corporations is huge. An artificial inflation rate, one far lower than the real rate, keeps down equitable interest payments on bank accounts and certificates of deposit. It masks the deterioration of the American economy. The fabricated statistics allow corporations and the corporate state to walk away from obligations tied to real adjustments for inflation. These statistics mean that less is paid out in Social Security and pensions. These statistics reduce the interest on the multitrillion-dollar debt. Corporations never have to pay real cost-of-living increases to their employees.
The lies employed to camouflage the economic decline have been in place for several decades. President Ronald Reagan included 1.5 million U.S. Army, Navy, Air Force, and Marine service personnel with the civilian work force to magically reduce the nation’s unemployment rate by 2 percent. President Clinton decided that those who had given up looking for