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The announcement last week by the United States of the largest military aid package in its history – to Israel – was a win for both sides.

Israeli prime minister Benjamin Netanyahu could boast that his lobbying had boosted aid from $3.1 billion a year to $3.8bn – a 22 per cent increase – for a decade starting in 2019.

Mr Netanyahu has presented this as a rebuff to those who accuse him of jeopardising Israeli security interests with his government’s repeated affronts to the White House.

In the past weeks alone, defence minister Avigdor Lieberman has compared last year’s nuclear deal between Washington and Iran with the 1938 Munich pact, which bolstered Hitler; and Mr Netanyahu has implied that US opposition to settlement expansion is the same as support for the “ethnic cleansing” of Jews.

American president Barack Obama, meanwhile, hopes to stifle his own critics who insinuate that he is anti-Israel. The deal should serve as a fillip too for Hillary Clinton, the Democratic party’s candidate to succeed Mr Obama in November’s election.

In reality, however, the Obama administration has quietly punished Mr Netanyahu for his misbehaviour. Israeli expectations of a $4.5bn-a-year deal were whittled down after Mr Netanyahu stalled negotiations last year as he sought to recruit Congress to his battle against the Iran deal.

In fact, Israel already receives roughly $3.8bn – if Congress’s assistance on developing missile defence programmes is factored in. Notably, Israel has been forced to promise not to approach Congress for extra funds.

The deal takes into account neither inflation nor the dollar’s depreciation against the shekel.

A bigger blow still is the White House’s demand to phase out a special exemption that allowed Israel to spend nearly 40 per cent of aid locally on weapon and fuel purchases. Israel will soon have to buy all its armaments from the US, ending what amounted to a subsidy to its own arms industry.

Nonetheless, Washington’s renewed military largesse – in the face of almost continual insults – inevitably fuels claims that the Israeli tail is wagging the US dog. Even The New York Times has described the aid package as “too big”.

Since the 1973 war, Israel has received at least $100bn in military aid, with more assistance hidden from view. Back in the 1970s, Washington paid half of Israel’s military budget. Today it still foots a fifth of the bill, despite Israel’s economic success.

But the US expects a return on its massive investment. As the late Israeli politician-general Ariel Sharon once observed, ­Israel has been a US “aircraft carrier” in the Middle East, acting as the regional bully and carrying out operations that benefit Washington.

Almost no one blames the US for Israeli attacks that wiped out Iraq’s and Syria’s nuclear programmes. A nuclear-armed Iraq or Syria would have deterred later US-backed moves at regime overthrow, as well as countering the strategic advantage Israel derives from its own nuclear arsenal.

In addition, Israel’s US-sponsored military prowess is a triple boon to the US weapons industry, the country’s most powerful lobby. Public funds are siphoned off to let Israel buy goodies from American arms makers. That, in turn, serves as a shop window for other customers and spurs an endless and lucrative game of catch-up in the rest of the Middle East.

The first F-35 fighter jets to arrive in Israel in December – their various components produced in 46 US states – will increase the clamour for the cutting-edge warplane.

Israel is also a “front-line laboratory”, as former Israeli army negotiator Eival Gilady admitted at the weekend, that develops and field-tests new technology Washington can later use itself.

The US is planning to buy back the missile interception system Iron Dome – which neutralises battlefield threats of retaliation – it largely paid for. Israel works closely too with the US in developing cyber­warfare, such as the Stuxnet worm that damaged Iran’s civilian nuclear programme.

But the clearest message from Israel’s new aid package is one delivered to the Palestinians: Washington sees no pressing strategic interest in ending the occupation. It stood up to Mr Netanyahu over the Iran deal but will not risk a damaging clash over Palestinian statehood.

Some believe that Mr Obama signed the aid package to win the credibility necessary to overcome his domestic Israel lobby and pull a rabbit from the hat: an initiative, unveiled shortly before he leaves office, that corners Mr Netanyahu into making peace.

Hopes have been raised by an expected meeting at the United Nations in New York on Wednesday. But their first talks in 10 months are planned only to demonstrate unity to confound critics of the aid deal.

If Mr Obama really wanted to pressure Mr Netanyahu, he would have used the aid agreement as leverage. Now Mr Netanyahu need not fear US financial retaliation, even as he intensifies effective annexation of the West Bank.

Mr Netanyahu has drawn the right lesson from the aid deal – he can act against the Palestinians with continuing US impunity.

- See more at: http://www.jonathan-cook.net/2016-09-19/palestinians-lose-in-us-military-aid-deal-with-israel/#sthash.fL4Eq28N.dpuf

The Empire Strikes Back

By Chris Hedges

October 03, 2016 "Information Clearing House" - "Truth Dig" - A decade ago left-wing governments, defying Washington and global corporations, took power in Brazil, Argentina, Paraguay, Venezuela, Uruguay, Bolivia and Ecuador. It seemed as if the tide in Latin America was turning. The interference by Washington and exploitation by international corporations might finally be defeated. Latin American governments, headed by charismatic leaders such as Hugo Chavez in Venezuela, Luiz Inácio Lula da Silva in Brazil, Evo Morales in Bolivia and Rafael Correa in Ecuador, won huge electoral victories. They instituted socialist reforms that benefited the poor and the working class. They refused to be puppets of the United States. They took control of their nations’ own resources and destinies. They mounted the first successful revolt against neoliberalism and corporate domination. It was a revolt many in the United States hoped to emulate here.

But the movements and governments in Latin America have fallen prey to the dark forces of U.S. imperialism and the wrath of corporate power. The tricks long practiced by Washington and its corporate allies have returned—the black propaganda; the manipulation of the media; the bribery and corruption of politicians, generals, police, labor leaders and journalists; the legislative coups d’état; the economic strangulation; the discrediting of democratically elected leaders; the criminalization of the left; and the use of death squads to silence and disappear those fighting on behalf of the poor. It is an old, dirty game.

President Correa, who earned enmity from Washington for granting political asylum to Julian Assange four years ago and for closing the United States’ Manta military air base in 2009, warned recently that a new version of Operation Condor is underway in Latin America. Operation Condor, which operated in the 1970s and ’80s, saw thousands of labor union organizers, community leaders, students, activists, politicians, diplomats, religious leaders, journalists and artists tortured, assassinated and disappeared. The intelligence chiefs from right-wing regimes in Argentina, Bolivia, Chile, Paraguay, Uruguay and, later, Brazil had overseen the campaigns of terror. They received funds from the United States and logistical support and training from the Central Intelligence Agency. Press freedom, union organizing, all forms of artistic dissent and political opposition were abolished. In a coordinated effort these regimes brutally dismembered radical and leftist movements across Latin America. In Argentina alone 30,000 people disappeared.

Latin America looks set to be plunged once again into a period of dictatorial control and naked corporate exploitation. The governments of Ecuador, Bolivia and Venezuela, which is on the brink of collapse, have had to fight off right-wing coup attempts and are enduring economic sabotage. The Brazilian Senate impeached the democratically elected President Dilma Rousseff. Argentina’s new right-wing president, Mauricio Macri, bankrolled by U.S. hedge funds, promptly repaid his benefactors by handing $4.65 billion to four hedge funds, including Elliott Management, run by billionaire Paul Singer. The payout to hedge funds that had bought Argentine debt for pennies on the dollar meant that Singer’s firm made $2.4 billion, an amount that was 10 to 15 times the original investment. The previous Argentine government, under Cristina Fernández de Kirchner, had refused to pay the debt acquired by the hedge funds and acidly referred to them as “vulture funds.”

I interviewed Guillaume Long, Ecuador’s minister of foreign affairs and human mobility, for my show “On Contact” last week. Long, who earned a doctorate from the Institute for the Study of the Americas at the University of London, called at the United Nations for the creation of a global tax regulatory agency. He said such an agency should force tax-dodging corporations, which the International Monetary Fund estimates costs developing countries more than $200 billion a year in lost revenue, to pay the countries for the natural resources they extract and for national losses stemming from often secret corporate deals. He has also demanded an abolition of overseas tax havens.

Long said the neoliberal economic policies of the 1980s and ’90s were profoundly destructive in Latin America. Already weak economic controls were abandoned in the name of free trade and deregulation. International corporations and banks were given a license to exploit. “This deregulation in an already deregulated environment” resulted in anarchy, Long said. “The powerful people had even less checks and balances on their powers,” he said.

“Neoliberalism is bad in most contexts,” Long said when we spoke in New York. “It’s been bad in Europe. It’s been bad in other parts of the world. It has dismantled the welfare state. In the context where we already have a weak state, where institutions are not consolidated, where there are strong feudal remnants, such as in Latin America, where you don’t really have a strong social contract with institutions, with modernity, neoliberalism just shatters any kind of social pact. It meant more poverty, more inequality, huge waves of instability.”

Countries saw basic services, many already inadequate, curtailed or eliminated in the name of austerity. The elites amassed fortunes while almost everyone else fell into economic misery. The political and economic landscape became unstable. Ecuador had seven presidents between 1996 and 2006, the year in which Correa was elected. It suffered a massive banking crisis in 1999. It switched the country’s currency to the U.S. dollar in desperation. The chaos in Ecuador was mirrored in countries such as Bolivia and Argentina. Argentina fell into a depression in 1998 that saw the economy shrink by 28 percent. Over 50 percent of Argentines were thrust into poverty.

“Latin America,” Long said, “hit rock bottom.”

It was out of this neoliberal morass that the left regrouped and took power.

“People came to terms with that moment of their history,” Long said. “They decided to rebuild their societies and fight foreign interventionism and I’d even say imperialism. To this day in Latin America, the main issue is inequality. Latin America is not necessarily the poorest continent in the world. But it’s certainly the most unequal continent in the world.”

“Ecuador is an oil producer,” Long said. “We produce about 530,000 barrels of oil a day. We were getting 20 percent royalties on multinationals extracting oil. Now it’s the other way around. We pay multinationals a fee for extractions. We had to renegotiate all of our oil contracts in 2008 and 2009. Some multinationals refused to abide by the new rules of the game and left the country. So our state oil company moved in and occupied the wells. But most multinationals said OK, we’ll do it, it’s still profitable. So now it’s the other way around. We pay private companies to extract the oil, but the oil is ours.”

Long admitted that there have been serious setbacks, but he insisted that the left is not broken.

“It depends on how you measure success,” he said. “If you’re going to measure it in terms of longevity, and how long these governments were in power—in our case we’re still in power, of course, and we’re going to win in February next year—then you’re looking at, more or less in Venezuela 17 years [that leftist governments have been in power], in Ecuador now 10, and in Argentina and Brazil it’s 13.”

“One of the critiques aimed at the left is they’re well-meaning, great people with good ideas but don’t let them govern because the country will go bust,” he said. “But in Ecuador we had really healthy growth rates, 5 to 10 percent a year. We had lots of good economics. We diversified our economy. We moved away from importing 80 percent of energy to [being] net exporters of electricity. We’ve had big reforms in education, in higher education. Lots of things that are economically successful. Whereas neoliberal, orthodox economics was not successful in the previous decade.”

Long conceded that his government had made powerful enemies, not only by granting political asylum to Assange in its embassy in London but by taking Chevron Texaco to court to try to make it pay for the ecological damage its massive oil spills caused in the Amazon, where the company drilled from the early 1960s until it pulled out in 1992. It left behind some 1,000 toxic waste pits. The oil spills collectively were 85 times the size of the British Petroleum spill in the Gulf of Mexico and 18 times the size of the spill from the Exxon Valdez. An Ecuadorean court ordered Chevron Texaco to pay $18.2 billion in damages, an amount later reduced to $9.5 billion. The oil giant, however, has refused to pay. Ecuador has turned to international courts in an attempt to extract the money from the company.

Long said that the different between the massive oil spills elsewhere and the Ecuadorean spills was that the latter were not accidental. “[They were done] on purpose in order to cut costs. They were in the middle of the Amazon. Normally what you’d do is extract the oil and you’d have these membranes so that it doesn’t filter through into the ground. They didn’t put in these membranes. The oil filtered into the water systems. It polluted all of the Amazon River system. It created a huge sanitary and public health issue. There were lots of cancers detected.”

“There are no boundaries in this struggle to the death,” Ernesto “Che” Guevara said. “We cannot be indifferent to what happens anywhere in the world, for a victory by any country over imperialism is our victory; just as any country’s defeat is a defeat for all of us.”

Chris Hedges, spent nearly two decades as a foreign correspondent in Central America, the Middle East, Africa and the Balkans. He has reported from more than 50 countries and has worked for The Christian Science Monitor, National Public Radio, The Dallas Morning News and The New York Times, for which he was a foreign correspondent for 15 years.

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