And so it came to pass…

It is a basic tenet of belief, amongst the Left, Liberals, and Social Democrats, that everything in a society is inter-connected, whether we like it or not.  That inter-connection applies as much to macro-economics and  governmental policies as it does to how much money you and I have in our pockets to spend.

Accordingly, where there are severe social problems such as mass unemployment; poverty; lack of opportunity; an alienated, angry youth; easy availability of cheap alcohol; dislocated communities; and a general sense of despair and hopelessness – which co-exists with a consumerist society; upwardly mobile professionals; and wealth accumulated by a small minority – there is a powder keg of frustration waiting to explode.

Four days ago, the explosion happened in London.

It was predictable.

And the UK’s  “Guardian” newspaper did predict it, here,

Note the date: Friday, 29 July:  one week before the riotting exploded onto London’s streets.

The article describes severe cut-backs to various local community groups. These are the groups trying to pick up, and hold together, the fragmented pieces of a society stressed by the inhuman forces of neo-liberalism.  As unemployment escalates and even the safety net of the welfare system is cut back – wealth continues to accumulate in the hands of a privileged few.

Unfortunately, the British Prime Minister, David Cameron, just doesn’t seem to get it,

‘This is not about poverty, this is about culture,’ David Cameron told parliament. ‘In too many cases, the parents of these children – if they are still around – don’t care where their children are or who they are with, let alone what they are doing.’

The man is either deluded, or is playing to a very angry public audience.

In case my fellow New Zealanders believe that the powder-keg of social unrest cannot happen in Godzone, it may do us well to reflect in the following;

»  We have a National-led government that is pursuing policies similar to the Conservative-led government in the UK; cutbacks; attacks on welfare beneficiaries; resisting wage-growth; opening up the economy to foreign control; and not addressing unemployment in this country in any meaningful way.

»  Tax cuts in April 2009 and October 2010 benefitted the highest income earners in the country. Those on the bottom recieved not just less in tax cuts – but found themselves paying more for food, goods, and services as GST increased from 12.5% to 15%.

»  The top 150 wealthiest individuals in New Zealand increased their wealth  from $38.2 billion to $45.2b – about a 20 percent increase.

»  Unemployment is still high, at 6.5%. Youth unemployment in NZ is at nearly 18%. The figure for Maori (25%) and Pacific Islanders (28%) remains high.

»  Government is cutting back on social services; reducing government workers via forced redundancies; and has launched an election-year campaign targetting welfare recipients.

»  Despite the devastation in Christchurch, employment in the construction sector actually  fell by 12,700 people compared to a year ago.

As Irish comedian, Andrew Maxwell put it, so very succinctly,

“Create a society that values material things above all else. Strip it of industry. Raise taxes for the poor and reduce them for the rich and for corporations. Prop up failed financial institutions with public money. Ask for more tax, while vastly reducing public services. Put adverts everywhere, regardless of people’s ability to afford the things they advertise. Allow the cost of food and housing to eclipse people’s ability to pay for them. Light blue touch paper. “

In essence, the same conditions that exist in Britain, as ouitlined in the “Guardian” article – exist here in New Zealand (though probably not yet on the same scale).

The riots on the other side of the world should serve as a salient warning to us all; society cannot endure severe social problems such as mass unemployment; poverty; lack of opportunity; an alienated, angry youth; easy availability of cheap alcohol; dislocated communities; and a general sense of despair and hopelessness  – without consequence.

With the economic mess in Europe and a near-bankrupt United States, it is obvious that the unfettered unregulated “free market” has left us all much worse off. The neo-liberal experiment is as much a failure in economic ideology as the old Soviet marxist-leninism. Both are extremes. Both are inflexible and thus vulnerable to crises. Neither offer a practical solution to the demands of society and commerce.

The question is – do our leaders have the wit to realise this?

Or more important still – do we?

And what are we going to do about it?