crisis of capitalism

Anti-austerity protests rock Tunisia

At least one is reported dead as angry protests have spread across Tunisia in response to an austerity package imposed by the government under pressure from the International Monetary Fund. The protester died due to tear-gas inhalation Jan. 8 in Tebourba, 40 kilometers west of Tunis, with demonstrations reported from several other cities and towns, including Sidi Bouzid, cradle of the country's 2011 revolution. Under the new budget, which took effect Jan. 1, fuel prices are hiked, and new taxes imposed on housing, cars, phone calls, Internet services, and several other items. Hamma Hammami, leader of the opposition Popular Front, pledged to keep up the pressure, telling reporters: "We will stay on the street and we will increase the pace of the protests until the unjust financial law is dropped."

Harsh repression as bread riots rock Sudan

Sudanese authorities on Jan. 7 carried out mass arrests and confiscated newspapers as protests exploded over rising bread prices and severe economic austerity. One student was killed amid demonstrations in Geneina, capital of West Darfur state. Protests were also reported from the cities of Nyala, South Darfur; al-Damazin, Blue Nile atate; and the capital Khartoum. The unrest broke out as bakeries doubled the price of bread following a government decision to increase the price of flour nearly fourfold. The decision was part of a package of austerity measures issued by the Sudanese government under the country's 2018 budget, seeking to address the spiralling inflation rate, currently at about 25%.

Iran: uprising against austerity —and clerical rule?

A wave of protests across Iranian cities began as a response to inflation and economic pain, but shows signs of escalating to a popular repudiation of clerical rule. Spontaneous protests first broke out Dec. 28 in the northeast city of Mashhad, where security forces responded with tear-gas and water cannons. Since then, protests have been reported from Kermanshah and Hamadan in the west, Rasht and Sari in the north, Ahvaz in the southwest, and Qom and Isfahan in central Iran. Arrests are also reported from the capital, Tehran, where a group of demonstrators attempted to occupy a public square. Protests began with the slogan "Death to high prices!" But as repression mounted, demonstrators began chanting "Death to the dictator," in apparent reference to President Hassan Rouhani and the ruling mullahs.

Popular protests rock Iraqi Kurdistan

Thousands took to the streets across Iraq's autonomous Kurdish region Dec. 18 to protest budget cuts and the lack of basic services, in what is looking like a popular uprising as street clashes now enter their second day. At least six were killed Dec. 19 in Raniya, Sulaymaniyah province, as security forces fired on protesting civil servants, who have gone without pay for weeks. Demonstrators are demanding the resignation of the Kurdistan Regional Government (KRG) administration. A group of protesters armed with assault rifles attacked the local office of the KRG's ruling Kurdistan Democratic Party (KDP) in Raniya, where a curfew has now been imposed. KRG authorities have also taken measures against the press, ordering closed independent Nalia Radio & Television (NRT), and arresting its owner Shaswar Abdulwahid, for allegedly inciting the protests. The KRG has been under a severe financial crunch since Baghdad cut off funding to the region over its unilateral referendum on independence in September. (BasNews, BasNews, BasNews, BasNewsArab News, CNN)

Argentina: WTO meet collapses amid labor unrest

The 11th Ministerial Conference of the World Trade Organization (WTO) was held this week in Buenos Aires, marked by internal discord within the venue and angry protests in the streets. Inside, talks collapsed before any new agreement could be reached. Outside, demonstrators from groups including the Left Front and Front of Organizations in Struggle (FOL) clashed with police, resulting in six arrests. The conference also came amid ongoing protests in Buenos Aires against President Mauricio Macri's proposed legislation that would take money from workers' pensions to close Argentina's fiscal deficit. The bill passed the Senate last month, but the lower-house Chamber of Deputies suspended the vote on Dec. 14 when the floor debate degenerated into shouting matches. Street mobilizations against the package repeatedly turned violent, with riot police massively deployed and tear-gas and rubber bullets used on protesters. Argentina's main trade union alliance, the General Confederation of Labor (CGT), has threatened to call a general strike if the legislation moves ahead. (Reuters, AFP, La Jornada, Mexico, Dec. 15; Reuters, La Jornada, La Nación, Buenos Aires, Dec. 14; Télam, TeleSur, TeleSur, Dec. 13; La Nación, Dec. 12; AFP, Dec. 11)

Oil prices surge: vindication is tedious

Well, we hate to say "We told you so," but... We told you so. We've been told for the past several years now that the depressed oil prices were permanent, that thanks to fracking and the surge in US domestic production, the price was now immune to Middle East instability, dramatic spikes and "oil shocks" forever banished. Well, futures for Brent crude just hit $63.37 per barrel, with the spot price for West Texas Intermediate at $57.34. (Panorama.am, Investing.com) Creeping toward the $100 per barrel we were so recently assured was a thing of the past. OilPrice.com blames Trump's announcement that the US will move its embassy in Israel to Jerusalem, which has of course unleashed unrest in the Palestinian territories and instability fears across the Middle East. But the jump really began almost exactly a month ago, seemingly prompted by the leadership purge in Saudi Arabia. That brought the Brent crude price up to $62, its highest level since July 2015. (The Guardian, Nov. 6)

Venezuela drops petro-dollar: how meaningful?

The government of Venezuela, under growing pressure from US sanctions, is telling oil traders that it will no longer receive or send payments in dollars, Dow Jones reported Sept. 13. Oil traders who export Venezuelan crude or import oil products into the country have begun converting their invoices to euros. The state oil company Petróleos de Venezuela SA (PdVSA), has instructed its private joint venture partners to convert existing cash holdings into euros. Plugging the switch, Venezuela-based state media outlet TeleSur writes: "The petrodollar is more important for US global domination than either arms exports or Hollywood culture, because it allows the US to be the biggest exporter of the dollar bills the rest of the world needs to be able to buy oil. Venezuela has decided to start de-dollarizing its economy."

Venezuela: is the problem really 'socialism'?

There is an unseemly tone of gloating to conservative commentary on the crisis in Venezuela, with pundits calling out their opposite numbers on the left for their cheerleading for the regime and pointing to the current chaos as evidence that "socialism" doesn't work. Indeed, many left-wing commentators deserve to be called out for their uncritical attitude toward the late Hugo Chávez and his mediocre successor Nicolás Maduro. But a case can be made that, contrary to conservative and mainstream assumptions, the problem is precisely that the Bolivarian Revolution has been insufficiently revolutionary and socialist.

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