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The World After Bush - From Mark Engler

One of the more curious aspects of the Bush years is that the self-proclaimed "uniter" polarized not only American society, but also its business and political elites. These are the types who gather at the annual, ultra-exclusive World Economic Forum in Davos, Switzerland and have their assistants trade business cards for them. Yet, despite their sometime chumminess, these powerful few are now in disagreement over how American power should be shaped in the post-Bush era and increasing numbers of them are jumping ship when it comes to the course the Republicans have chosen to advance these last years. They are now engaged in a debate about how to rule the world...

There is little question that the majority of people on the planet - those who suffered under both the corporate globalization of the Clinton years and the imperial globalization of George W. Bush - deserve something better. However, it is far from certain that social justice advocates who want to encourage a more democratic approach to world affairs and global economic well-being will be able to sway a new administration. On the other hand, the damage inflicted by eight years of neocon rule and the challenges of an increasingly daunting geopolitical scene present a conundrum to the corporate globalizers: Is it even possible to go back to the way things were?...

Battered by losing wars and economic crisis, the USA is now a superpower visibly on the skids. And yet, there is no guarantee that the coming era will produce a change for the better. In a world in which the value of the dollar is plummeting, oil is growing ever more scarce relative to demand, and foreign states are rising as rivals to American power, the possibility of either going ahead with Bush/Cheney style unilateralism or successfully returning to the "enduring and effective" multilateral corporatism of the 1990s may no longer exist. But the failure of these options will undoubtedly not be for lack of trying. Even with corporate globalization on the decline, multinational businesses will attempt to consolidate or expand their power. And even with the imperial model of globalization discredited, an overextended U.S. military may still try to hold on with violence. [More]

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Zimbabwe Dollar Abandoned The progressive 'dollarisation' of Zimbabwe has extended to rural areas, where dwellers now sell their fresh produce in U.S. dollars.

Almost everyone in the country is now buying and selling in foreign currency, rendering the Zimbabwe dollar almost worthless on the domestic market.

Even bank queues that characterized the daily lives of people last year are disappearing, as more people turn to using either the South African rand or U.S. dollars.

The MDC MP for Mbare Piniel Denga told us villagers in Murehwa were selling maize cobs, tomatoes and their livestock in U.S. dollars. The MP was in the area on Sunday were he bought a small dish of five mangoes for US$1. He said three tomatoes cost US$1, and five fresh maize cobs also cost US$1.

'During the festive season I was in Chivhu where people were buying beer and other drinks in foreign currency. I must admit that the use of our local currency is fast dwindling and you hardly see anyone using it anymore. For instance if you use a kombi from Glen View to the city it now costs US$1 as well, so everything has been dollarised,' Denga said.

The Mbare legislator said Zimbabweans had been forced to abandon the local currency for the simple reason that the maximum money you are allowed to withdraw can only buy one small onion.

'Go to any bank now and you hardly see anyone inside. You see few people here and there but otherwise the days of the Zimbabwe dollar are nearing their end. This is not a secret, even the government knows that people have empowered themselves and abandoned their useless dollar. We are headed for interesting times,' the MP quipped.

It costs US$20,000 to buy a foreign currency licence, which legally allows businesses to trade in forex. But with the virtually total collapse of the economy most small business can barely generate enough income to pay their staff at the end of each month. The Reserve Bank's policies, courtesy of Gideon Gono, have created a nightmare for most of these small companies and for the majority of the population who have little access to forex.

With everything now being imported companies have to pay for their inputs in forex, but if they can't afford a forex licence they legally can't sell in foreign currency. So Gono's forex police do the rounds of the shops, impounding 'illegal' foreign currency from these shops. In other words state sponsored theft.

The dollarisation has extended to school tuition with private schools setting fees in US dollars, putting education out of reach of most.

Chisipite High School in Harare is charging US$1,200 per term, and was asking pupils to bring fuel coupons worth US$300 with them on their first day of the term as a deposit.

Roxer Academy primary in Harare is charging US$800 a term, while in Bulawayo the Masiyephambili Primary School is requiring a fee of US$650.

This almost guarantees that when schools open next week they will be virtually empty. Families will be unable to send their kids to school and teachers will have no money for transport.