Socology Essay

1226 Words May 17th, 2011 5 Pages
Disaster Capitalism The best way to describe the opening stages of disaster capitalism is shock and awe and the inception of what she refers to as the shock doctrine. Throughout Naomi Klein’s The Shock Doctrine, she describes how cataclysmic events whether through wars, terrorism, military coups, market meltdowns or natural disasters open the doors to Friedmanite (named after Milton Friedman) economics (2007). Not only do these disastrous events make countries susceptible to increased exploitation from free market capitalists looking to profit from disaster, their radical economic policies and the massive privatization of public schools, utilities, health care and other public services, but also, as Klein describes in the book, it has …show more content…
The first step was for the government to remove all of the rules and regulations standing in the way of making profits (i.e. trade regulations, taxes, tariffs, etc.). Next, the government should sell off any assets owned by the government to corporations that can turn a profit. Lastly, the government should cut back funding for social programs. This, Klein states, is what Friedman said needed to take place in Louisiana following the “shock” onset by the destruction Hurricane Katrina inflicted on the state. Friedman and his people (The Heritage Foundation) were quickly prepared with 32 free market solutions for the situation during Hurricane Katrina, including labor rollbacks and the privatization of public schools through the distribution of school vouchers (Klein, 2007). Another example of where Friedman’s ideologies made a significant impact was in Chile, during the overthrow of Salvador Allende’s government via a U.S. backed military coup by General Augusto Pinochet. It was in Chile where disaster capitalism reared its ugly head in the most significant way. As soon as Allende took office, corporate America declared war on his administration. Several American companies had vested interest in Chile and knew that they were going to lose money through Allende’s nationalizations (Klein, 2007). The government attempted to overthrow Allende and his administration but he continued to

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