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[Fwd: Fw: [StopWTORound] THE ECONOMIST: THE NON-GOVERNMENTAL ORDER]

by christopher chase-dunn

15 December 1999 13:48 UTC






-----Original Message-----
From: Erik Wesselius <erik225@knoware.nl>
To: StopWTORound@onelist.com <StopWTORound@onelist.com>
Date: Tuesday, December 14, 1999 2:17 PM
Subject: [StopWTORound] THE ECONOMIST: THE NON-GOVERNMENTAL ORDER


>From: Erik Wesselius <erik225@knoware.nl>
>
>This article from the current issue of The Economist describes
>the increasing influence of NGOs at the corporate, national and
>international level. The article suggests that this may represent
>"a dangerous shift of power to unelected and unaccountable
>special-interest groups?" In an interesting analysis of the
>impact of new technologies on progressive grassroots organising
>and international coalition building, the Economist refers to a 
>a study by David Ronfeldt and John Arquilla of the infamous RAND
>institute, who have coined the term "NGO swarm" for "the 
>phenomenon of amorphous groups of NGOs, linked online, descending on 
>a target. According to the RAND researchers, such NGO swarms have no
>central leadership or command structure, and being multi-headed
>cannot be easily 'decapitated', while they can "sting a victim to
>death".
>
>A must-read!
>
>Erik Wesselius
>Corporate Europe Observatory
>
>----------------------------------------------------------------------
>THE ECONOMIST: THE NON-GOVERNMENTAL ORDER
>
>The Economist
>December 11th - 17th 1999
>
>Citizens groups: The non-governmental order Will NGOs democratise, or 
>merely disrupt, global governance?
>
>AS POLITICIANS pore over the disarray in Seattle, they might look to 
>citizens groups for advice. The non-governmental organisations (NGOs) 
>that descended on Seattle were a model of everything the trade 
>negotiators were not. They were well organised. They built unusual 
>coalitions (environmentalists and labour groups, for instance, bridged 
>old gulfs to jeer the WTO together). They had a clear agenda to derail 
>the talks. And they were masterly users of the media.
>
>The battle of Seattle is only the latest and most visible in a string 
>of recent NGO victories. The watershed was the Earth Summit in Rio de 
>Janeiro in 1992, when the NGOs roused enough public pressure to push 
>through agreements on controlling greenhouse gases. In 1994, protesters 
>dominated the World Bank's anniversary meeting with a "Fifty Years is 
>Enough" campaign, and forced a rethink of the Bank's goals and methods. 
>In 1998, an ad hoc coalition of consumer-rights activists and 
>environmentalists helped to sink the Multilateral Agreement on 
>Investment (MAI), a draft treaty to harmonise rules on foreign 
>investment under the aegis of the OECD. In the past couple of years 
>another global coalition of NGOs, Jubilee 2000, has pushed successfully 
>for a dramatic reduction in the debts of the poorest countries.
>
>The NGO agenda is not confined to economic issues. One of the biggest 
>successes of the 1990s was the campaign to outlaw landmines, where 
>hundreds of NGOs, in concert with the Canadian government, pushed 
>through a ban in a year. Nor is it confined to government agendas. Nike 
>has been targeted for poor labour conditions in its overseas factories, 
>Nestli for the sale of powdered baby milk in poor countries, Monsanto 
>for genetically modified food. In a case in 1995 that particularly 
>shocked business, Royal Dutch/Shell, although it was technically in the 
>right, was prevented by Greenpeace, the most media-savvy of all NGOs, 
>from disposing of its Brent Spar oil rig in the North Sea.
>
>In short, citizens' groups are increasingly powerful at the corporate, 
>national and international level. How they have become so, and what 
>this means, are questions that urgently need to be addressed. Are 
>citizens' groups, as many of their supporters claim, the first steps 
>towards an "international civil society" (whatever that might be)? Or 
>do they represent a dangerous shift of power to unelected and 
>unaccountable special-interest groups?
>
>Power in numbers Over the past decade, NGOs and their memberships have 
>grown hugely (see chart). Although organisations like these have 
>existed for generations (in the early 1800s, the British and Foreign 
>Anti-Slavery Society played a powerful part in abolishing slavery 
>laws), the social and economic shifts of this decade have given them 
>new life. The end of communism, the spread of democracy in poor 
>countries, technological change and economic integration, 
>globalisation, in short have created fertile soil for the rise of NGOs. 
>Globalisation itself has exacerbated a host of worries: over the 
>environment, labour rights, human rights, consumer rights and so on. 
>Democratisation and technological progress have revolutionised the way 
>in which citizens can unite to express their disquiet.
>
>It is, by definition, hard to estimate the growth of groups that could 
>theoretically include everything from the tiniest neighbourhood 
>association to huge international relief agencies, such as CARE, with 
>annual budgets worth hundreds of millions of dollars. One conservative 
>yardstick of international NGOs (that is, groups with operations in 
>more than one country) is the Yearbook of International Organisations. 
>This puts the number of international NGOs at more than 26,000 today, 
>up from 6,000 in 1990.
>
>Far more groups exist within national borders. A recent article in 
>World Watch, the bi-monthly magazine of the World Watch Institute 
>(itself an NGO), suggested that the United States alone has about 2m 
>NGOs, 70% of which are less than 30 years old. India has about 1m grass-
>roots groups, while another estimate suggests that more than 100,000 
>sprang up in Eastern Europe between 1988 and 1995. Membership growth 
>has been impressive across many groups, but particularly the 
>environmental ones. The Worldwide Fund for Nature, for instance, now 
>has around 5m members, up from 570,000 in 1985. The Sierra Club now 
>boasts 572,000 members, up from 181,000 in 1980.
>
>Citizens' groups play roles that go far beyond political activism. Many 
>are important deliverers of services, especially in developing 
>countries. As a group, NGOs now deliver more aid than the whole United 
>Nations system. Some of the biggest NGOs, such as CARE or Midecins Sans 
>Frontihres, are primarily aid providers. Others, such as Oxfam, are 
>both aid providers and campaigners. Others still, such as Greenpeace, 
>stick to campaigning. And it is here that technological change is 
>having its biggest impact.
>
>When groups could communicate only by telephone, fax or mail, it was 
>prohibitively expensive to share information or build links between 
>different organisations. Now information can be dispersed quickly, and 
>to great effect, online. The MAI was already in trouble when a draft of 
>the text, posted on the Internet by an NGO, allowed hundreds of hostile 
>watchdog groups to mobilise against it. Similarly, the Seattle trade 
>summit was disrupted by dozens of websites which alerted everyone 
>(except, it seems, the Seattle police), to the protests that were 
>planned.
>
>New coalitions can be built online. Much of the pre-Seattle coalition 
>building between environmental and citizens' groups, for instance, was 
>done by e-mail. About 1,500 NGOs signed an anti-WTO protest declaration 
>set up online by Public Citizen, a consumer-rights group. That, 
>acknowledges Mike Dolan, a leading organiser of the protest, would have 
>been impossible without e-mail. More important, the Internet allows new 
>partnerships between groups in rich and poor countries. Armed with 
>compromising evidence of local labour practices or environmental 
>degradation from southern NGOS, for example, activists in developed 
>countries can attack corporations much more effectively.
>
>This phenomenon amorphous groups of NGOs, linked online, descending on 
>a target has been dubbed an "NGO swarm" in a RAND study by David 
>Ronfeldt and John Arquilla. And such groups are awful for governments 
>to deal with. An NGO swarm, say the RAND researchers, has no central 
>leadership or command structure; it is multi-headed, impossible to 
>decapitate. And it can sting a victim to death.
>
>Less dramatic, but just as important, is the rise of NGOs that are 
>dubbed by Sylvia Ostry, a trade expert from the University of Toronto, 
>as "technical" groups. These specialise in providing highly 
>sophisticated analysis and information, and they can be crucial to the 
>working of some treaties. In 1997, for instance, the verification 
>system for the Chemical Weapons Treaty was devised by the world's 
>chemical-manufacturing associations. In the campaign to cut third-world 
>debt, a handful of NGOs, including Oxfam, have become as expert in the 
>minutiae of debt-reduction procedures as the bureaucrats at the IMF and 
>World Bank. Increasingly, they have been co-opted into making policy. 
>At the WTO, these technical NGOs (staffed overwhelmingly with lawyers) 
>have concentrated on training and providing information on the arcana 
>of trade law to delegates from poor countries.
>
>Enemies or allies?
>
>If the power of NGOs has increased in a globalised world, who has lost 
>out? A popular view is that national governments have. In an article in 
>Foreign Affairs in 1997, Jessica Mathews, the head of the Carnegie 
>Endowment for International Peace, wrote that "the steady concentration 
>of power in the hands of states that began in 1648 with the Peace of 
>Westphalia, is over, at least for a while." Certainly national 
>governments no longer have a monopoly of information, or an unequalled 
>reach, compared to corporations and civil society. But the real losers 
>in this power shift are international organisations.
>
>Inter-governmental institutions such as the World Bank, the IMF, the UN 
>agencies or the WTO have an enormous weakness in an age of NGOs: they 
>lack political leverage. No parliamentarian is going to face direct 
>pressure from the IMF or the WTO; but every policymaker faces pressure 
>from citizens' groups with special interests. Add to this the poor 
>public image that these technocratic, faceless bureaucracies have 
>developed, and it is hardly surprising that they are popular targets 
>for NGO "swarms". The WTO is only the latest to suffer.
>
>Less obvious is whether NGO attacks will democratise, or merely 
>disable, these organisations. At first sight, Seattle suggests a 
>pessimistic conclusion: inter-governmental outfits will become 
>paralysed in the face of concerted opposition. History, however, 
>suggests a different outcome. Take the case of the World Bank. The 
>Fifty Years is Enough campaign of 1994 was a prototype of Seattle 
>(complete with activists invading the meeting halls). Now the NGOs are 
>surprisingly quiet about the World Bank. The reason is that the Bank 
>has made a huge effort to co-opt them.
>
>James Wolfensohn, the Bank's boss, has made "dialogue" with NGOs a 
>central component of the institution's work. More than 70 NGO 
>specialists work in the Bank's field offices. More than half of World 
>Bank projects last year involved NGOs. Mr Wolfensohn has built 
>alliances with everyone, from religious groups to environmentalists. 
>His efforts have diluted the strength of "mobilisation networks" and 
>increased the relative power of technical NGOs (for it is mostly these 
>that the Bank has co-opted). From environmental policy to debt relief, 
>NGOs are at the centre of World Bank policy. Often they determine it. 
>The new World Bank is more transparent, but it is also more beholden to 
>a new set of special interests.
>
>The WTO will not evolve in the same way. As a forum where governments 
>set rules that bind rich as well as poor countries, it is inherently 
>more controversial. Nor does it disburse money for projects, making it 
>harder to co-opt NGOs. But it could still try to weaken the broad 
>coalition that attacked it in Seattle by reaching out to mainstream and 
>technical NGOs. Some will celebrate this as the advent of the age when 
>huge institutions will heed the voice of Everyman. Others will complain 
>that self-appointed advocates have gained too much influence. What is 
>certain is that a new kind of actor is claiming, loudly, a seat at the 
>table.
>
>
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