GE3V17049 The Cultural Cold War

Class 3 The Third World Runs into Trouble

INTRODUCTION: CRACKS IN THE THIRD WORLD PROJECT


A.DISRUPTIONS TO THE THIRD WORLD PROJECT

1. DISRUPTING THE THIRD WORLD: COMMUNIST PARTIES & THE THIRD WORLD

2. DISRUPTING THE THIRD WORLD: SINO-INDIAN WAR (1962)

B. CHANGES TO THE THIRD WORLD PROJECT

3. NEW THIRD WORLD ALLIENCES: OPEC

4. NEW THIRD WORLD IDEOLOGIES: AFRICAN SOCIALISM

C. THREATS TO THE THIRD WORLD PROJECT

5. INTERNAL THIRD WORLD THREAT: NEW DELHI CONFERENCE

6. EXTERNAL THIRD WORLD THREAT: IMF

CONCLUSION

  • Prashad

  • Outline 3

  • Key ideas are marked in red

Class Description

INTRODUCTION: CRACKS IN THE THIRD WORLD PROJECT

  • Chronology of the Third World Project

After "phase 1 Origins" and "phase 2 Discussions within civil society". In the mid-1960s, "phase 3" the cracks in the Third World project begin to show: why?

 

  • Explanation 1: Global Cold War v. homegrown Communist alternative

- The intrusion of the battle of ideologies is exported to the Third World. The Soviets and the Americans try and acquire influence in Third World societies and unsettle local societies.

 

! Prashad sees this as the third weakness of the Third World Project.

 

  • Explanation 2: Shift in terms of economic rights

- Externally: The Organization of the Petroleum Exporting Countries (OPEC) wants to control the price of oil to acquire a better negotiating position.

- Internally: building of African Socialist societies. Inequality within nations has to be addressed by reforming those societies.

 

  • Explanation 3: Internal and External threats

- Internal: disagreement Non-Aligned Movement (NAM). NAM member had different ideas about what Non-Alignment meant.

- External: The International Monetary Fund (IMF) has uprooted Third World societies because loans and debt come wiht many preconditions and local economies need to be reformed before money can be accepted from the IMF. The government sector is downsized and private iniative is given more room.

Module 3

A.DISRUPTIONS TO THE THIRD WORLD PROJECT

1. DISRUPTING THE THIRD WORLD: COMMUNIST PARTIES & THE THIRD WORLD

1.1 PKI INDONESIA

To study communism as a disruptive force, Prashad looks at Indonesia as a case study

  • Communist Party of Indonesia: Partai Komunis Indonesia

PKI founded in 1914 by Henk Sneevliet

When Communism arrived in the darker nations in the 1920s, it drew adherents who had been embittered by the failures of constitutional nationalism and revolutionary terrorism as well as empire.

  • Sukarno and Guided Democracy (1957)

  • also called managed democracy is a formally democratic government that functions as a de facto autocracy. Such governments are legitimized by elections that are free and fair but lack the ability to change the state's policies, motives, and goals.

    • Democracy is based upon inherent conflict" which ran counter to Indonesian notions of harmony as being the natural state of human relationships.

  • Sukarno integrates PKI in his 3 pillar state ideology “Nasakom”

    • Nationalism

    • Religion (Agama -Sanskrit)

    • Communism

 

  • Revival of PKI as a mass organisation.

    • BUT limited: D.N. Aidit took Marx view of communism: No proletarian revolution SO Communist party has to work alongside progressive sections of the Bourgeoisie.

 

 

  • 1965 Suharto’s New Order

  • Military coup after Sumatra and Sulawesi rebellions

    • Secession of those parts à Revolutionary Government of the Republic of Indonesia

    • Prior to the establishment of the PRRI, there were several "rebellions" led by the various regional Army commanders in Sumatra. These events were the result of growing dissatisfaction with the Central Government and Indonesia's faltering economic development. 

 

  • Military rule supported by a small civilian faction: anticommunist actions

  • Suharto (1967 until 1998 !)

    • His Javanese Muslim parents divorced not long after his birth, and he lived with foster parents for much of his childhood

    • Anticommunism leads to support in the West

    • Upon assuming power, Suharto government adopted a policy of neutrality in the Cold War with quiet alignment with the Western bloc (including Japan and South Korea) with the objective of securing support for Indonesia's economic recovery. Western countries, impressed by Suharto's strong anti-communist credentials, were quick to offer their support. Diplomatic relations with China was suspended in October 1967 due to suspicion of Chinese involvement in 30 September Movement (diplomatic relations was only restored in 1990). 

1.2 MOSCOW & BEIJING

  • Relation Communism and Nationalism?

Comintern, from the early 1920s to 1935, urged Communists in the darker nations to keep some distance between their activity and that of the nationalist groups in their regions.

In the weeks that followed Hitler's rise to power in February 1933 the German Communist Party (KPD) and the Communist International clung rigidly to their view that the Nazi triumph would be brief and that it would be a case of "after Hitler – our turn". But as the brutality of the Nazi government became clear and there was no sign of its collapse, Communists began to sense that there was a need to radically alter their stance - especially as Hitler had made it clear he regarded the Soviet Union as an enemy state.

 

  • “Popular Front” 1930s

At 1935 Seventh Comintern Congress, the Soviet  Communists reacted to the development of facism with Europe by telling Communist partis to work in a “popular front”

Moscow urges cooperation

In China, the Commintern pushed the Communists into an alliance with the nationalist Kuomintang tha tended in the disastrous Kuomintang 1928 massacre of the Communists in Shanghai

Soviets shifted alliences: Ribbentrop Pact, 1939

 

  • “National democratic State” (USSR) – 1960

those noncommunist national liberation states that emerged within the Third World. These states governed according to their own variant of socialism (Arab socialism, African socialism, NASAKOM).

 

  • “new democracy” (PRC)

A theory of four classes would joint together

  1. The proletariat

  2. The peasantry

  3. The petty bourgeoisie

  4. Domestic capitalists

 

  • Sino-Soviet Split leads to communist competition

An example of this is  Zhou En-Lai’s visits To Tanzania, 1964

1.3 COMMUNIST PARTIES IN THE THIRD WORLD

 

  • Conservative reactionism

most conservative, even reactionary social classes attained dominance over the political platform created in Bandung. As an adjunct to the military regimes, the political forces that emerged rejected the ecumenical anticolonial nationalism of the Left and the liberals for a cruel cultural nationalism that  emphasized racialism, religion, and

 

  • PKI – Sukarno – Indonesia

  • Joined Sukarno

 

  • Baath Party – Sadam Hussain – Iraq

 

Alliance Between  USSR-Hussein: Nuclear reactor in exchange for oil 

 

 

  • SCP – Nimeiri – Sudan

Colonel Jaafar al-Nimeiri rejected the corrupt military Junta in Sudan, 1969

Represses the SCP

Again no intervention from Moscow: but in the competition with China, the USSR had other priorities.

 

  • Communist Gun

A turn of many communist parites to Maoism, creating revolutionary change through guerrilla warfare

Third World leaders had their doubts about internal Communist parties

Problematic force for state building

                                                                                                   

  • Consequence of destruction of the Left on Third World

  • The destruction of the Left had an enormous impact on the Third World . The most conservative, even reactionary social classes attained dominance over the political platform created in Bandung. As an adjunct to the military regimes, the political forces that emerged rejected the ecumenical anticolonial nationalism of the Left and the liberals for a cruel cultural nationalism that emphasized racialism, religion, and hierarchy  The latter took shelter in a manufactured vision of " tradition"-they claimed to be the true spokespersons of the authentic culture of their regions, as opposed to the "modern" or "Western" influence of the progressive Left. The myth of Bali as paradise and Arabs as puritanical, or Hindus as hierarchical and Africans as tribal-all these visions of tradition emerged with a vengeance from the old social classes as a way to battle the Left, and once the latter had been shunned, claim that they were the authentic representatives of their civilization. " The Bali myth, " the historian Robinson argues, for instance, "has helped

2. DISRUPTING THE THIRD WORLD: SINO-INDIAN WAR (1962)

2.1 CHINESE PEOPLE’S LIBERATION ARMY

  • Tension between China and India

  • Five Principles of Peacful Co-Existence, Pansheel

the five principles as:

 

  1. Mutual respect for each other's territorial integrity and sovereignty.

  2. Mutual non-aggression.

  3. Mutual non-interference in each other's internal affairs.

  4. Equality and cooperation for mutual benefit.

  5. Peaceful co-existence.

 

  • An underlying assumption of the Five Principles was that newly independent states after decolonization would be able to develop a new and more principled approach to international relations. The principles were emphasized by the Prime Minister of India, Jawaharlal Nehru, in a broadcast speech made at the time of the Asian Prime Ministers Conference in Colombo, Sri Lanka just a few days after the signing of the Sino-Indian treaty in Beijing. Nehru went so far as to say: "If these principles were recognized in the mutual relations of all countries, then indeed there would hardly be any conflict and certainly no war." The five principles were subsequently incorporated in modified form in a statement of ten principles issued in April 1955 at the historic Asian-African Conference in Bandung, Indonesia, which did more than any other meeting to form the idea that post-colonial states had something special to offer the

 

  • Sino-Indian War, 1962

was a war between China and India that occurred in 1962. A disputed Himalayan border was the main pretext for war, but other issues played a role.

Cause: In 1950, the Chinese People's Liberation Army took control of Tibet, which all Chinese governments regarded as still part of China. Later the Chinese extended their influence by building a road in 1956–67[11]and placing border posts in Aksai Chin.

the Chinese launched simultaneous offensives in Ladakh and across the McMahon Line on 20 October 1962, coinciding with the Cuban Missile Crisis.

The war ended when China declared a ceasefire on 20 November 1962, and simultaneously announced its withdrawal to its claimed 'line of actual control'.

Problems of High-Altitude combat

Nehru loses status and idea of Pansheel as well!

 

 

  • Colonial Origins of the problem: McMahon Line

The McMahon Line is a border line between Tibetan region of China and North-east region of India, proposed by British colonial administrator Henry McMahon at the 1914 Simla Convention which was signed between the British and the Tibetan representatives.[1] It is currently the effective boundary between China and India, although its legal status is being disputed between the Indian and the Chinese government

1913:  the British Indian government sent two surveyors to northeast India. Frederick Markham Bailey and Henry T. Morshead travelled along a well-trod trade route that would soon be known as the " Baily Trail”

 

  • Negotiated resolution in other border disputes: Burma

U Nu goes to Beijing to force Chinese to the table to negotiate

Villages are exchanges

Uprising of local population because they were not consulted

2.2 BORDERS

  • Dual logic to borders

Colonial borders based on security concerns of colonial rulers

19th century ethno-nationalist concerns

 

  • Anticolonial movements

Pragmatic issue of borders (internationalism)

Evolution to from “Nehruvian secular internationalism” to nationalism

 

  • Two effects

Increaser of ethno-nationalims

More state-budgets to military

à Military security more important than social development

Realist concerns creep into NAM

B. CHANGES TO THE THIRD WORLD PROJECT

3. NEW THIRD WORLD ALLIENCES: OPEC

3.1 COLONIAL CROPS

  • Promise of oil

1950s oil production doubled: 1948 to 1957 the oil industry produced revenues of $7 billion for the government in Venezuela

Marcos Pérez Jiménez turend oil revenues towards constructing urban environments

Foreign exchange

 

  • Seven Sisters: Exxon (or Esso), Shell, BP, Gulf, Texaco, Mobil, and Socal (or Chevron)

Shell, is a British–Dutch multinational oil and gas company headquartered in the Netherlands and incorporated in the United Kingdom.

The Royal Dutch Shell Group was created in April 1907 through the amalgamation of two rival companies: the Royal Dutch Petroleum Company (Dutch: Koninklijke Nederlandse Petroleum Maatschappij) of the Netherlands and the Shell Transport and Trading Company Limited of the United Kingdo

Shell started business in Nigeria in 1937 as Shell D’Arcy and was granted an exploration license. In 1956, Shell Nigeria discovered the first commercial oil field at Oloibiri in the Niger Delta and started oil exports in 1958.[2] Prior to the discovery of oil, Nigeria like many other African countries strongly relied on agricultural exports to other countries to support its economy. Many Nigerians thought the developers were looking for palm oil.

  • Oil rents went to elites and the Monopoly of Seven Sisters was criticized by Raul Prébish

 

  • Nevertheless: Low capital accumulation: colonial crop strategy Dependent on one successful product

3.2 MAADI PACT

  • April 1959 First Arab Petroleum Congress

Gathering of Arab oil producing states

 

  • Pérez Alfonz

helped found the political party Democratic Action (AD; Acción Democrática). As Minister of Development during the first democratic government of Venezuela, the short-lived administration of Rómulo Gallegos

goes to Cairo

future oriented: reserves of wealth

natural resource curse: “the devil’s excrement”

 

  • Word of mouth agreement to defend the price of oil

 

  • Abdullah al-Tariqi (devotee of Nasser & “Red Sheikh”) & Pérez Alfonzo: Maadi Pact

He was the first Saudi oil minister appointed by King Saud, and co-founder of Organization of Petroleum Exporting Countries (OPEC) along with Venezuelan minister Juan Pablo Pérez Alfonso.

Set up of Ol Consultive commission

 

The Maadi Pact forms the basis for future cooperation:

  1. Oil producers meet in Baghdad 1960

  2. Create OPEC

 

 

  • Significance?

  • Shows the influence of Nasser’s agenda in the background of nationalization plans

    • Nationalization of oil fields

 

 

  • Impact: ideas that they could create a cartel to ensure a decent price

    • Other commodities: UNCTAD attempts to get cocoa

 

  • Does OPEC have Third World credentials?

  1. Refuse to contribute to a stabilizing fund for raw materials

  2. Embargos also lead to high prices for non-oil producing Third world countries

3.3 EMBARGO 1973

  • Yom Kippur War

 

 

  • Stagflation

Stagnation of economy + inflation = new economy End of the New Deal

 

  • Long term impact: New International Economic Order, 1974

Approved by the UN. The NIEO wants to create a fairer international economic system. Boumédienne, who headed the NAM in 1973, was also the head of an OPEC member nation

4. NEW THIRD WORLD IDEOLOGIES: AFRICAN SOCIALISM

4.1 ARUSHA DECLARATION

  • Arusha declaration: self sufficiency not foreign aid

  • Individual liberty and collective well-being

  • Part three of the Arusha Declaration espouses the importance of national self-reliance and debates the nature of development.

Asserting that “A poor man does not use Money as a Weapon”, the Arusha Declaration identifies the heart of economic struggle:

  • "We have chosen the wrong weapon for our struggle, because we chose money as our weapon. We are trying to overcome our economic weakness by using the weapons of the economically strong – weapons which in fact we do not possess. By our thoughts, words and actions it appears as if we have come to the conclusion that without money we cannot bring about the revolution we are aiming at. It is as if we have said, “Money is the basis of development. Without money, there can be no development" (Publicity Section, TANU, Dar es Salaam, 1967, p. 5).

 

  • Role of the Teacher

Nyerere returns home from London and sees all these ideas of communalism in the past of Tanzania (Tanganyika former German colony)

 

  • Socials village (Ujamaa vijini)

The key part of Ujamaa is viligazation

Kick-start the rural economy

Prashad: Nyerere attempted something more than Indian and Egypt’s welferisme, INSTEAD insistence that the state should created equity among the population.

 

4.2 PHASE 1: “IMPROVEMENT”

  • Implementation

Pay heed to the peasant

  • Before 1960: subsistence farmer was left alone: now the target of modernization

 

  • 1961 low export of industrial goods

 Nyerere wants to bring farmer into the fold of the nation

  • Fails because of high cost

4.3 PHASE 2: “TRANSFORMATION”

  • Village settlements

Only 3,500 families moved to set up these village settlements

  • Expansion as Ujamaa program (total transformation)

State resettled 3 million people

  • Two major flaws

Radical transformation of farmer’s relation with the market: social power relations remained in place

Coercion

  • Militia’s destroyed villages an deported people

“Socialism in a hurry”

 

  • Ujamma as coercion

Resistance: farmers ate the seeds they were given, sold subsidized feritliers

4.4 GREEN REVOLUTION

  • Higher Yields

Because of technologicaly driven agriculture​​, more production.

C. THREATS TO THE THIRD WORLD PROJECT

5. INTERNAL THIRD WORLD THREAT: NEW DELHI CONFERENCE

5.1. LINE STRUGGLE: CASTRO V. RAJARATNAM

  • NAM Delhi, 1983

  • Seventh meeting

  • Unrest in the city: Ethnic violence in Nellie, Assam

 

  • NAM gets hi-jacked by the Cold War

Reagan Doctrine

Under the Reagan Doctrine, the United States provided overt and covert aid to anti-communist guerrillas and resistance movements in an effort to "roll back" Soviet-backed communist governments in AfricaAsia, and Latin America. The doctrine was designed to diminish Soviet influence in these regions as part of the administration's overall strategy to end the Cold War.

 

Iran-Contra Scandal, 1985

Support for Contra’s in Nicaragua

Way around the Boland amendment

 

Interventions in Southern Africa

Angola, Afghanistan

 

NAM falls apart into two factions

 

  • Faction 1: Castro

Appeals to the emotional an symbolic appeal of NAM

“To struggle tirelessly for peace, improved international relations, a halt to the arms race and a drastic reduction in military spending and to demand that a considerable part of those funds be dedicated to the development of the Third World”

 

  • Faction 2: Rajaratnam

Part of Singapore’s elite.

Anti-Soviet Speech

 

NOT motivated by Communism or Capitalism BUT by economic interest en IMF driven-globalization

5.2 INTERRELATION BETWEEN ECONOMICS AND POLITICS

  • Fundamental link in New Delhi BUT not in context of NIEO

NIEO about new international rules to promote eco. Sovereignity and cooperation

Economics now became an issue of technocrats NOT of politicians

 

  • Since it is a technocratic issue and not a political issue no stigma in dealing with world bank

October 1975: India announces twenty point program that follows World Bank

 

  • World Bank and IMF

First country to receive world Bank loan?: France

Originally set up in context of Bretton Woods Conference, 1944

The intention behind the founding of the World Bank was to provide temporary loans to low-income countries which were unable to obtain loans commercially.[4] The Bank may also make loans 

Encourage open trade

  • Member countries pledged to make their currencies convertible for trade-related and other current account transactions.

There were, however, transitional provisions that allowed for indefinite delay in accepting that obligation, and the IMF agreement explicitly allowed member countries to regulate capital flows. The goal of widespread current account convertibility did not become operative until December 1958, when the currencies of the IMF's Western European members and their colonies became convertible.​

5.3 IDEA OF NATIONALISM CHANGES
 

  • Anticolonial nationalism had not been strictly racial or cultural

With Political freedom  came economic and cultural freedom. Third World nationalism had always been about attaining those much larger goals

  • Two Pillars of Third World

  1. Economic autarky

  2. Secular democracy

5.4 NAM HOLLOWED OUT

  • 1976 Nairobi UNCTAD IV meeting

  • NAM became Symbolism, rather than a genuine political project that wanted to attain equal economic and political rights, symoblic resolutions were approved

  1. Rights of the Palestinians

  2. Freedom for South Africans

  3. Zone of Peace in the Indian Ocean, which was a denuclear zone because India conducted a nuclear test

 

  • No longer frontal assault on global institutions that extended global inequality

  1. Castro remained a rock star but Ché was dead 1967

  2. Primacy of IMF

  3. All of this replaced by crude cult nationalism and religious nationalism

The end of Third World Internationalism

6. EXTERNAL THIRD WORLD THREAT: IMF

6.1 MANLEY-LEWIS

  • LEWIS The Dual-Sector Model

Jamaica had to pay more for import than it got from export and Lewis tried to look for a solution. His solution was the dual-sector model, a model in developmental economics. It is commonly known as the Lewis model after its inventor W. Arthur Lewis. It explains the growth of a developing economy in terms of a labour transition between two sectors, the capitalist sector and the subsistence sector à move from agricultural labor to industrial labor. Industry draws from agricultural labor and leads to capital accumulation. You have to provide more export funds than import payments.

 

  • MANELY “Industrialization by invitation”

Michael Manely wants to invite foreign investment to stimulate growth and use the sale of bauxite to fund social development

 

Help from the 1974 formation of the International Bauxite Association (IBA). In the 1980s sharp decline of prices of resources à leads to more loans. As a result there is not enough export to repay loans

6.2 INSTITUTIONAL IMPACT OF IMF-DRIVEN GLOBALIZATION

  • IMF plans to repay

  1. Devalue its currency

  2. Keep wages down (particularly of civil servants)

  3. Reduction of state expenditure

  4. “fiscal discipline”

  • Weakens the state

  • Cultural expression of IMF

Bob Marley and Wailers ‘Burnin’ (1973) feflected the rage that came with a society shackeled by debt, such as "I shot the sheriff" and "although I don’t know if rage is a thing". The Rasta culture of which Bob Marley is a part, viewed Ethiopian emperor Hailey selassie as a God, after his visit to Jamaica. He was a Black leader who had power and had defeated the Italian colonial oppresser.

CONCLUSION

Many of the challenges that had been established during "Phase 2", among the Third World civil society remained and even transformed

 

  • Took communism out of the Third World project  and sifted to national interests

  • From economy as politics to economy as technocratic issue

That shift opens door to debt crisis

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