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Towards a Global Gaza
How Israel is Rewriting Laws of War

From Israel, in a chilling and important report, Jeff Halper reports on how two Israeli professors are rewriting the Geneva Conventions to give legal cover for total war on civilian populations. “If you do something for long enough,” says Colonel (res.) Daniel Reisner, former head of the IDF’s Legal Department, “the world will accept it.”  From Moscow, Boris Kagarlitsky profiles Russia’s economic liberals, the last true believers in pure capitalism. Welcome to the theater of the absurd. Get your new edition today by subscribing online or calling 1-800-840-3683 Contributions to CounterPunch are tax-deductible. Click here to make a donation. If you find our site useful please: Subscribe Now! CounterPunch books and t-shirts make great presents.

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Today's Stories

March 1, 2010

Mike Whitney
The Case Against Bernanke and Greenspan

February 26 - 28, 2010

Alexander Cockburn
Feed Pete Peterson to the Whales

Alison Weir
Media Reporting on Israel: All in the Family

Will Parrish /
Darwin Bond-Graham
DiFi and Blum: a Marriage Marinated in Money

Jason Hribal
How Orky and Kasatka Almost Sank Sea World

Saul Landau /
Nelson P. Valdes
The Pentagon: Gargantua's Mouth

Mark Weisbrot
The Debt is Not the Threat

Alan Farago
The Potemkin Village Economy

Suzan Mazur
Peer Review as Censorship: an Interview with Historian David Noble

Martha Rosenberg
Talking with Gail Collins About the Women's Rights Movement

Ray McGovern
A "Good" Terrorist Captured by Iran

Rannie Amiri
Egypt's Nuclear Option

Dave Lindorff
The Accidental Patient

Ramzy Baroud
Challenging History

David Macaray
Union Politics for Grown-Ups

Jared Ritvo
The Life and Death Struggle of the Yanomami

Missy Beattie
The Indefatigable Cindy Sheehan

Brian McKenna
Zinn and the Art of History

Don Santina
Don't Mourn, Go Green

Binoy Kampmark
Deadly Purchases

M.G. Piety
Frozen in Time: Does Figure Skating Have a Future?

Michael Dickinson Art as Defensive Weapon

Charles R. Larson
Learning to Live

Ben Sonnenberg
"24 City:" a Remarkable Chinese Film

David Yearsley
Sex in the Name of Christ

Poets' Basement
Edward Beatty

Website of the Weekend
A Tribute to Howard Zinn

February 25, 2010

Jason Hribal
Orca Resistance at Sea World

Clancy Sigal
No, in Anger: Liberals Have Lost Their Thunder

Tariq Ali
The Assault on Illhem

Jonathan Cook
Ethan Bronner and Conflicts of Interest

Mike Whitney
The War on Toyota: Is It All Politics?

Peter Lee
China's New Iran Strategy

Russell Mokhiber Prosecuting Bush for War Crimes

Deepak Tripathi Charlie Wilson's Legacy

Norman Solomon
War Politics

Phillip Doe
Colorado's Weed War Swindle

Website of the Day
Once There Was a Senator of Conscience ...

February 24, 2010

Ashley Smith
Haiti and the Aid Racket

Mike Whitney
Geithner's Gotta Go

Garerth Porter
The Real Objective of the Marja Offensive

Joe Bageant
Round Midnight: the American Disease

Shamus Cooke
The Plot to Kill Social Security

Al Benchich
GM's Northern Strategy: Go Non-Union

Harvey Wasserman
The Nuclear Lobby's $645 Million Con Job

Jim Goodman
Promises, Promises: the Fairy Tale of GM Crops

Ron Jacobs
The Hollow Man Reaches His Omega Point

Stewart J. Lawrence
Sarah Palin: All Pump, No Caribou

Tom Clifford
Bribes, Corruption and the Pandur APC

Website of the Day
Blackwater and the "South Park" Alias

February 23, 2010

Uri Avnery
The Dubai Hit

Paul Craig Roberts
The Last Flight of Joe Stack

William P. O'Connor
The Story of Pvt. Hargrove

Steven Higgs
Evan Bayh, the Hoosier Drama Queen

Marshall Auerback / L. Randall Wray
War on Goldman Sachs

Jeff Sher
Health Care as Political Theater

Carl Finamore
Inside Organizing and Outside Representation

Dave Lindorff
Rampage in Philly

Benjamin Dangl
Beer Globalization in Latin America

Anthony Papa
Why Gov. Paterson Should be Applauded for Hiring Former Drug Dealer

Bob Sommer
Bringing the War Home

Robert Bryce
The Melting Case for Cap-and-Trade

Website of the Day
Sibel Edmonds Has Named Names: Why Isn't the Media Reporting It?

February 22, 2010

Vincent Navarro
Fascism is Alive and Well in Spain
The Case of Judge Garzon

Michael Neumann
Israel and Its Neighbors
Leveling the Playing Field

Marc Weisbrot
Hillary Clinton's War Whoop

Richard Neville
Mocked When She Flew to Baghdad

P. Sainath
ABC of Media: Advertising, Bollywood and Corporate Power

Christopher Ketcham
The Joe Stack Manifesto

Marc Catone
The Vatican's Top Ten Album List

February 19 - 21, 2010

Alexander Cockburn
From God to Gaia to Obama's Nuclear Apocalypse

Bill Quigley
Living Under Green Plastic: Voices of Haiti's Homeless

Joshua Frank /
Jeffrey St. Clair
The Case of Briana Waters

Joan Roelofs
Bases of Empire

Paul Craig Roberts
Looting Social Security

Peter Lee
Iran's Natural Gas Game

Gareth Porter
Jailed Taliban Leader Still a Pakistani Asset

Saul Landau /
Nelson P. Valdes

The Defense Elephant in America's Living Room

Mark Schuller
Passing the "Riot Test" in Haiti

Rev. William E. Alberts
The Sacrifice of Haiti

Thomas M. Power
A Hard-Headed Look at Biomass

John Ross
Dead Man Walking in California

Nicola Nasser
Violent Days in Iraq

Rannie Amiri
The Shia Crescent Revisited

Ramzy Baroud
Trial Balloons for War

David Macaray
Iraq's Labor Unions

M. Shahid Alam
Accidental Parallels?

George Wuerthner
A New Round of National Monuments? a Guide to Obama's Short List

Missy Beattie
Cheney's Baby: a Monster Named Torture

Adam Turl
The Wal-Mart Counter-Revolution

Dave Lindorff
Grumpy, White Terrorists in Cars and Planes

Alan Cabal
The Austin Kamikaze

Farzana Versey
The Halal Question

M. G. Piety
The Lonely Sport: What's Killing Figure Skating?

Charles R. Larson
The Fog of War: DeLillo's "Point Omega"

Kim Nicolini
"35 Shots of Rum:" An Intimate Look at Ordinary Life

David Yearsley
The Night of the Living Deadheads

Lorenzo Wolff
Music, Lyrics and the Void Between Us

Poets' Basement
Michelle Askin

Website of the Weekend
Dresden: The Revenger's Tragedy

February 18, 2010

Sasan Fayazmanesh
A Dangerous Liaison: the Iranian Greens and the West

Nadia Hijab
Jerusalem's Battle of the Graves

David Rosen
Sinner Men

Jayne Lyn Stahl
A Tale of Two Cities

Ralph Nader
King Obesity

Dean Baker
Dysfunctional Democracy

Christopher Brauchli
The Politics of Forgetfulness

Charlotte Laws
Hard Times in Vegas

Dave Lindorff
The Battle for Marjah: Why the US has Already Lost

Harvey Wasserman
The Atomic Abyss

Bouthaina Shaaban
The Decade of the Victory for Freedom and Justice in Palestine

Katya Rodriguez
Tug of War in El Salvador

Website of the Day
Inside Obama's Energy Budget

February 17, 2010

Michael Hudson
Wall Street Moves in for the Kill

Karl Grossman
Obama Goes Nuclear

Nirmal Ghosh
The Tiger's Call

Dean Baker
The Savvy Mr. Blankfein

Russell Mokhiber
The Corporate Hijacking of the Martin Luther King, Jr. Memorial

John V. Walsh
Elie Wiesel's Ignoble Recruits

Martin Lukacs
Canada's Aboriginal Show and Tell

Nouri Gana
Arab Despise Thyself ...

Heather Gray /
K. Rashid Nuri
Grow Your Own: Urban Farming's Challenge to Corporate Agriculture

Daniel Wolff
Jason Isbell and the 400 Unit: a Familiar Strangeness

Website of the Day
Chernobyl: a Photographic Essay

February 16, 2010

Paul Craig Roberts
A Country of Serfs

Forrest Hylton
Students as Spies: Colombia Mimes the CIA

Carl Ginsburg
Less is Less

Jonathan Cook
Arabs of Jaffa Face Settlers as Neighbors

Robert Alvarez
Nukes Aren't the Answer

Deepak Tripathi
A Great Military Triumph? Questions About the Capture of Mullah Baradar

George Wuerthner
Cows, Condos and All the Rest: the Geography of Agriculture and Sprawl in the West

Shamus Cooke
The Great Bi-Partisan Deception

Robert Bryce
Peak Confusion: Tom Friedman's Twisted Energy Politics

Brian Cloughley
Speaking Badly of Charlie Wilson

Carl Finamore
How to Succeed After Failing

David Rovics
Fighting Shell Oil in Ireland: the Arrest of Pat O'Donnell

Website of the Day
Aid to Israel

February 15, 2010

David Price
Human Terrain Systems Dissenter Resigns, Tells Inside Story of Training's Heart of Darkness

Michael Hudson /
Jeff Sommers

Latvia's Road to Serfdom

Ishmael Reed
My Problem with Hardball

Conn Hallinan
China and India: a Danger in Thin Air

Yvonne Ridley
Operation Moshtarak: a Codeword for Ethnic Cleansing in Afghanistan?

Bill Quigley
A Million Homeless in Haiti

Patrick Cockburn
The Assault on Marjah

Dave Lindorff
Picturing the Dead

David Díaz-Arias
Right Rising in Costa Rica

Stephanie Westbrook
Questioning the "Special Relationship" with Israel

Harvey Wasserman
Our Founders Were Not Fundamentalists

Norman Solomon
Dollars for Death, Pennies for Life

Website of the Day
The World's Oldest Potheads

February 12-14, 2010

Alexander Cockburn
The Goat in the Clearing

Andrew Cockburn
The Economic Velociraptors

Arno J. Mayer
The Treason of the Nobels

Ishmael Reed /
Sapphire

A Dialogue on "Precious"

Ismael Hossein-Zadeh
The Retrogression: New Phase, Not Just Another Recession

Jonathan Cook
Israel's War on Protest

Gareth Porter
The Taliban Isolated Bin Laden

William Blum
That Which Can Not be Spoken

Jeffrey St. Clair
Fear and Firewood

Saul Landau
Government of Lawyers Spit on Law

John Ross
Mexican Church and State Go Nose to Nose Over Who Can Marry Who

Fran Shor
Dumb Power in the Af-Pak War

Marshall Auerback
Greece Signs Its National Suicide Pact

Dave Lindorff
I Cut My Hair, But I'm Not a Terrorist

Ramzy Baroud
The Useless Logic of Round Numbers

Gary Leupp
Skewing the Himalayan Revolution

Joseph Sher
Health Insurance Death Spiral

David Swanson
Yoo's Weird Lies About Obama

Randall Amster
Empire of the Sunset

David Ker Thomson
Against Canada

Bill Piper
Obama's Drug War Budget: Looking a Lot Like Bush's

Missy Beattie
How Blackwater Built Morale

Farzana Versey
Botulism and Babel: Understanding the Rot in Academia

Dan Bacher
How Water Exports are Killing California Jobs and Salmon

Bill Worf
Fires, Logging and Wilderness in Montana

Christopher Brauchli
Special Offer! Free Cremation!!

Dr. Susan Block
Secret Sexual Fantasies: the Erotic Theater of the Mind

Charles R. Larson
Politics, Corruption and Sex in El Salvador

David Yearsley
A Clavichord Battles Santa Monica

Binoy Kampmark
The Vicious Countryside: Haneke's "The White Ribbon"

Poets' Basement
LaMorticella, Moser and Chaet

Website of the Weekend
Privatizing Public Bison

February 11, 2010

Patrick Cockburn
The Battle for Marjah

Mark Schuller
Uncertain Ground: the Haiti Earthquake and Its Aftermath

Stephen Soldz
The Seven Paragraphs on Torture

Harvey Wasserman
Vermont's Radioactive Nightmare

Stephen Fleischman
How the Corporations Broke America

Ron Jacobs
Ending the War in Afghanistan

Helen Redmond
Haiti and Health Care

Steve Zhou
Ideological Detox and the Muslim Community

Fatemeh Keshavarz Ahmadinejad, the Western Press and the Iranian Green Opposition

Gary Goldstein
The High Cost of Another Failed Star Wars Test

Website of the Day
Love Stinks: Matchmaking for Polluters & Lobbyists


February 10, 2010

Jules Boykoff
Showdown in Vancouver

Paul Craig Roberts
The U.S. is Now a Police State

David Macaray
A Dagger in the Heart of Labor

William Blum
Haiti, Aristide and Ideology

Martine Bulard
Live Long .... If You're Rich

M. Shahid Alam
A Eurocentric Problem

Tolu Olorunda
Making a Killing on Student Loans

Jayne Lyn Stahl
How Much is Too Much Information?

Cecilia Lucas
Don't Ask, Don't Tell, Don't Serve

Eric Walberg
The Great Game Playoff

Website of the Day
Saving Tropical Rainforests

February 9, 2010

Vijay Prashad
Troubles in the Mountains

Bill Quigley
Haiti by the Numbers

Jonathan Cook
Jerusalem Mayor to Raze 200 Palestinian Homes

Shamus Cooke
The Democrats are Coming After Social Security

Robert Jensen
The New York Times, Israel and Ethan Bronner

Laura Flanders
The Discreet Unveiling of a Covert War

Chris Kromm
Who Dat in the New Orleans Mayor's Office?

Dave Lindorff
Mumia Abu-Jamal's Case Stuck in Limbo

George Wuerthner
The Thinning Trap: Fear, Fire and Logging

Belén Fernandez
Check Out That Cuban!

Michael Donnelly
Green After-Birth?

Susie Day
GOP Sells Soul to Pat Robertson

Website of the Day
Goldstone Facts

February 8, 2010

Pam Martens
Wall Street's Killer Instinct Spells Death Knell for Jobs

Heather Gray
The Cruel Insanity of Obama's Agriculture Export Plan

Paul Craig Roberts
Blood Lust and Bragging Rights

Franklin Spinney
Mark-to-Market Pentagon Style

Ralph Nader
Institutionalizing Howard Zinn

Ellen Brown
The World's Greatest Insurance Heist

Sasha Kramer
Hope Rising from the Ashes of Port au Prince

Richard Morse
Who's in Charge of This Country?

Fred Gardner
LaGuardia and the Truth About Marijuana

Binoy Kampmark
Trouble at The Lancet

Michael Winship
Lobbyists Retreat, But Never Surrender

David Michael Green
Just Give Us Some Truth Now

Charles R. Larson
Socialist Blizzard Hits DC

Website of the Day
Markets! Finance!! Scandal!!!

February 5 - 7, 2010

Alexander Cockburn
The Left: Downhill From Greensboro

Paul Craig Roberts
The Free Market Fetish

Forrest Hylton
The Culture of Cocaine

Joanne Mariner
"If You Were in Secret Prisons...:" The Trial of Aafia Siddiqui

Bill Quigley
Haiti, Still Starving 23 Days Later

Jeffrey St. Clair
Vigilante Justice in the Land of Enchantment

Todd Gordon / Jeffrey R. Webber Consolidating the Coup in Honduras

Joseph Nevins
Bottled Water Syndrome: the Drinking Water Profiteers

Mike Miller
What Do Grassroots Organizers Actually Do When They Organize?

Mark Weisbrot
Why Washington "Cares" About Honduras and Haiti

Alison Weir
The NYT's Ethan Bronner's Conflict With Impartiality

David Swanson
Top 10 Problems with America Assassinating Americans

Missy Beattie
Recall Notices

Jonathan Cook
How Israel Stole $2 Billion From Palestinian Workers

Richard Morse
Will Clinton Roll With His Pre-Quake Friends in Haiti?

David Ker Thomson
Sects and the City

Benjamin Dangl
Beer Battles

Cal Winslow
Healthcare Workers Savor a Victory

Jim Goodman
Fear of the Organic

Michael Dickinson
What Not to Wear or Say in Turkey

Bouthaina Shaaban
The Arab Community ... the International Community

Don Monkerud
Justice Thomas in Hiding

Ananya Mukherjee-Reed
The Olympics That Will Not Be Televised

Doug Bevington
The Rebirth of Environmentalism

Stephen Martin
Globalization Burning

Charles R. Larson
The Nigerian 419 Scam

David Yearsley
At Last, the Sackbutt Gets Its Due

Kim Nicolini
"Up in the Air:"
a Landscape of Impossible Options

Poets' Basement
Marlin and Farrelly

Website of the Day
CIA Watched as Missionaries Shot Down in Peru

February 4, 2010

Barbara Rhine
Keep What You Have, But Leave the Rest

Barry Lando
Master of Treachery: Kissinger on Iraq

David Macaray
Black Lung Rising

Shamus Cooke
China's Wage Rates for U.S. Workers

P. Sainath
India's Farm Suicides: a 12-Year Saga

Christopher Brauchli
Sammy the Mouth Alito: Chucking Precedent at the Surpeme Court

Ramzy Baroud
Will Israel Target Gaza or Lebanon First?

Suzan Mazur
The Peer Review Prison

Harry Clark
The Invention of the Jewish People

Andy Worthington
Swiss Take Two Gitmo Uighurs

Website of the Day
Selective Compassion

February 3, 2010

Paul Craig Roberts
The Crisis is Not Over

Kathleen Christison
Zionism Laid Bare

Franklin Spinney
The Pentagon Goes Intellectually AWOL

Dean Baker
No Way Out: Roadblocks on the Way to Recovery

Marc Levy
No Medal Jacket

Kathy Kelly
Banning the Homeless in Colorado Springs

Gareth Porter
Talking with the Taliban: US and Karzai Clash

Joshua Frank
Blackwash: How the Coal Ash Industry Manipulated EPA Reports

Rannie Amiri
Saada War Rages On

Gregory Vickrey
Short-Changing the Health Care Debate ... For Now

Website of the Day
Mt. Reagan?

February 2, 2010

Michael Hudson
The Bernanke Disaster

Boadiba
Boadiba's Earthquake Diary

Chris Floyd
War, Budgets and Blind Ambition

Paul A. Passavant
The Symbolic Politics of the GOP: State of the Union or Civil War?

Mike Whitney
Bair's Damning Testimony

John Ross
Who's Who in Mexico's Narco Wars?

Jonathan Cook
Israel is Criminalizing Dissent

Susan Galleymore
Wasting Good Waste

Dave Lindorff
Talk Now With the Taliban

Tolu Olorunda
Words as Weapons

Ron Jacobs
I See Hawks and Earthworms

Website of the Day
Cop Watch: Guerrilla Video Primer

February 1, 2010

Michael Hudson
Obama's Junk Economics

Stan Goff
The Murderous Mystique of JSOC: How Secret Becomes Special

Patrick Cockburn
The Case Against Tony Blair

Saul Landau
Universal Disorientation: the Modern Media and Haiti

Dr. Carol Paris, MD
Staying When They Tell You to Leave
: What I've Learned Doing Civil Disobedience for Single Payer

Marshall Auerback
A Proposal for Genuine Financial Reform

Harvey Wasserman
Will Obama Guarantee a New Nuclear Reactor War?

Johanna Berrigan
Destruction, Hope and Faith in Port au Prince

Peter Gelderloos
More Wood for the Fire

David Michael Green
An Ugly Week for the Human Race (and Other Living Things)

Martha Rosenberg
If You Liked Bovine Growth Hormone, You'll Love Beta Agonists

Kevin Zeese
Health Care: a Better Idea

Alan Farago
Where Nature Saves the World ... From Us

Website of the Day
Demolishing Flint

 

March 1, 2010

Mr. DiFi Cashes in on Crisis

Who Runs the University of California?

By WILL PARRISH and DARWIN BOND-GRAHAM

This past July, following the California State Legislature's decision to strip $813 million from the University of California's Fiscal Year 2009-10 budget, the UC's 26-member Board of Regents voted to declare “a state of financial emergency.” Such a “state of emergency,” the university's official by-laws state, should accompany an “imminent and substantial deficiency in available university financial resources.”

The Regents also voted to grant special “emergency powers” to UC President Mark G. Yudof. Yudof promptly marshaled his new and vaguely defined authority to lay off hundreds of workers, impose pay cuts and furloughs on remaining university staff, and propose a 32 percent increase in student fees which the Regents approved in November.

At the same meeting, Regents Chairman Russell Gould announced the formation of a new UC Commission on the Future. Its de facto function has been to further the privatization of the university. Notably, Gould is one of California's most prominent financiers, a man who served as vice chairman of Wachovia Bank during its growth as one of the leading subprime mortgage lenders in the United States. He and Yudof serve as the commission's co-chairmen. In Gould's words, the commission's task is "nothing short of re-imagining" the University of California.

The State of California's political elites and business leaders routinely use the language of crisis now whenever discussing the UC. In the past few decades, state funding of the university has suffered steady erosion. The UC now receives more funding than ever from private corporations and the federal government (the latter being in most instances pretty much the same as the former). Its various revenue streams range from student fees to several billion dollars in medical hospital revenue to private grants and donations, to its own hedge fund-like investments portfolio, to atomic bomb dollars from the Department of Energy.

Thus, despite the state budget cuts, the UC's overall revenue reached an all-time high of $19.42 billion in the 2009-10 academic year, and the Regents' claim that the UC faces an “imminent and substantial” funding deficit is inaccurate, to say the least. According to both the university's own financial documents and Moody's bond rating agency, the university had access to over $8.3 billion in unrestricted investment funds it was holding in reserve at the time.

The university has undergone a neo-liberal-style “structural adjustment” at the behest of the UC Regents, and this transformation has been accelerated during Yudof's tenure as president. Under the leadership of California's economic elite, the UC has become the leading prototype for a "disaster capitalist university."

Since the mid-1990s, administrative salaries have absorbed a dramatically increasing share of the university's overall budget. According to a study by UC Berkeley Professor Emeritus of Physics Charles Schwartz, the number of UC administrative positions increased by an almost unbelievable 118 percent from 1996 to 2006, as compared with a 34 percent increase in faculty positions and 33 percent increase in students over the same period. As a result, there are currently 3,600 UC employees who make more than $200,000 a year, many of them through administrative positions.

An even more damning revelation was made public this past October when UC Santa Cruz Professor Bob Meister published his scathing analysis of the UC administration's use of student tuition dollars as collateral for construction bond debts. In addition to his PhD in economics, Meister serves as Chairman of the Council of University Faculties – essentially, a faculty union with representatives on all 10 of the university's campuses. He knows what he's talking about. According to the Regents' own data and policy documents, the primary use of student fee revenue since 2004 has been as collateral for bonds to fund campus construction projects. In this "modified credit swap," students are forced to take out "subprime" student loans, often charging six percent interest, so the university can borrow money at a reduced rate to construct new facilities like – to take one example -- the Blum Center for Developing Economies at UC Berkeley, which UC Regent Richard C. Blum's own construction company, URS Corporation, was contracted by the university to build.

And those subprime student loans? They're often owned by big banks like Wachovia and other financial outfits that many of the UC Regents and their business partners are shareholders or executives of. So the whole cycle begins and ends with massive public and student debts, both of which increase as the Regents partake in further undermining the tax base while looting the public sector, again ratcheting up the crisis rhetoric.

UC Los Angeles instructor Bob Samuels has observed that “Moody's even slipped into its bond rating for the UC system the need for the [UC] to restrain labor costs, increase student fees, diversify revenue streams, feed the money-making sectors, and resist the further unionization of its employees,” Samuels concludes that, “like the International Monetary Fund (IMF) or World Bank, the bond raters tie access to credit to the dismantling of the public sector and the adoption of neo-liberal ideology.”

To understand fully why the University of California's internal finances are being subjected to “economic shock therapy,” much like a Third World debtor nation under the thumb of the IMF, it's necessary to know a bit about the history and function of the university's power structure. Although it is nominally a public institution, the UC is not owned and governed by the State of California. Rather, it is the UC Regents who call all the shots. The Board of Regents is a corporate entity formed in 1879 for the explicit purpose of thwarting a populist social movement of small farmers who demanded that the the university become more responsive to their needs.

"During a tumultuous decade in California history," historian John Aubrey Douglass has written, "many saw the new University of California as serving the interests of the upper classes, focusing on classical 'gentlemanly training' and replicating the Yankee private institutions of the East. The detractors of the university demanded that, as an instrument of social and economic development, the university primarily serve the training and research needs of agriculture and industry, the stated 'leading objective' of the institution under statutory law."

During the California constitutional convention of that year, a clique of mostly San Francisco-based financiers and industrialists managed to defeat the democratic demands of farmers and small business owners. The crowning achievement of this elitist coup was the establishment of the UC Board of Regents, a corporate entity that owns and operates the university. To maintain their power against all opposition the Regents gave themselves twelve-year tenures that are explicitly meant to insulate them from any political pressures. The UC thus became what Douglass calls "a fourth branch of state government."

Since then, the leading sectors of the California economy have self-appointed individuals who represent their economic interests on the Board. The Regents mold UC policies in broad ways that benefit capital's leading monopoly sectors. The current going price for an appointment – probably the most prestigious one at the governor's disposal, it should be noted – seems to be $50,000, bare minimum. Give the Gov. this sum, and you too could be a Regent.

Until relatively recently this meant that Regents would promote policies designed to build cutting edge economic sectors in and around the UC campuses, but they'd make sure to throw some of the university's gravy to less sexy and profitable sectors of the economy. So for much of the Board's history they've acted as Karl Marx's idea of government: an executive board of the bourgeoisie, working if not for the interest of every industry, at least most of its monopoly sectors, and taking care not to destroy too many of the smaller fry. In recent years, the Board of Regents has become dominated by financiers, however. As with the economy at large, these wizards of hedge funds, credit markets, venture capital, real estate speculation, and all the other games played with billion dollar pots of money, have begun to run the university itself as a $19 billion dollar speculative bubble with ample opportunities for enormous growth through “volatility.” These new alpha Regents specialize in leveraged buyouts and privatization of publicly traded companies, and they have long practiced this same basic business philosophy on the university.

The most prominent among this cadre has been Richard Blum. As we detailed in our last CounterPunch article, Blum's five-decade career as a finance capitalist has been distinguished by the levels of skill and panache he has applied to the time-honored task of siphoning off public money into one's own corporate coffers, as well as those of one's financial and political allies. Blum, who is married to US Senator Dianne Feinstein, is one of the leading power-brokers in the Democratic Party within both California and the United States.

Notably, it was Blum who virtually hand-picked President Yudof for UC President, having chaired the selection committee that oversaw Yudof's appointment. At a March 2008 press conference heralding the Yudof hiring, the San Francisco Chronicle noted that Blum seemed “visibly ecstatic.” In April, the Chronicle quoted Blum again, saying of Yudof, "we disagree on almost nothing. If I were giving Mark a grade, I would give him an A-plus.”

Another prime example of the university's “investors' club” (the title of an upcoming series by investigative reporter Peter Byrne) is Gerald Parsky, a San Diego venture capitalist who reportedly commutes daily by jet to Los Angeles. As a Republican Party powerhouse, Parsky was so influential during his 1996-2008 tenure on the Regents that the American Federation of State, County, and Municipal Employees (AFSCME) dubbed a particularly influential faction of the Board “The Parsky Clique.” In addition to being president of Los Angeles-based Aurora Capital, recent additions to Parsky's resume include acting as senior economic advisor to John McCain presidential campaign and as chairman of the Schwarzenegger administration's Commission on the 21st Century Economy. Just as Parsky helped steer the UC toward ever-greater privatization throughout his tenure as a Regent, his commission issued a series of recommendations on reforming the state's tax and revenue system in a manner more favorable to big business, even prompting some observers to label the Parsky Commission's proposals “California's Shock Doctrine.”

Current Regents Chairman Russell Gould is another financier and California Republican Party heavy. In addition to his role at Wachovia Bank, he served as California Director of Finance in the Pete Wilson administration in the 1990s. After that, he served a stint as assets managers of the $5.5 billion J. Paul Getty Trust Fund, a charitable organization founded with money from the Getty oil fortune. The Gettys are neighbors of one Richard Blum and Dianne Feinstein in San Francisco's uber-bourgeoise Pacific Heights neighborhood, where Mr. and Mrs. DiFi purchased a $16.5 million palatial estate in 2005.

(As an aside, the Getty Trust was run in those years by one Barry Munitz, former chancellor of the California State University System. From 1984 to 1991, Munitz was vice president of Maxxam Corporation under Charles Hurwitz, as the company clear-cut the lands and livelihoods of California North Coast residents. Munitz has since been a leading force behind shaping the California Business Roundtable's public education policy agenda, which strongly favors neo-liberal privatization.)

Another Regent, Paul Wachter, acts as Gov. Schwarzengger's personal financial adviser. Regent George Marcus is a lead organizer of The Real Estate Roundtable, the main political voice of real estate capital in the United States. Regent Judith Hopkinson, whose tenure recently ended, is a retired executive of Ameriquest Capital Corporation, a big mortgage company that is partly responsible for precipitating the current economic crisis: Ameriquest lent billions in sub-prime loans to families across the US knowing full well they would have trouble making payments down the line as rates increased. And the list goes on.

One of the primary enterprises Richard Blum has presided over in recent years is the real estate corporation CB Richard Ellis. With projects in nearly 100 countries, CBRE is the largest brokerage firm on the planet. In a notable example of how Blum's own particular business interests have become increasingly enmeshed with those of the university, during the course of his tenure as a Regent, CBRE has contracted with at least eight of the UC's 10 campuses over the past decade. Most often, the company has consulted with these campuses to produce glossy reports highlighting the beneficial economic impacts on the immediate regions that host them, as well as that of California in general. The UC's San Francisco, Davis, Berkeley, San Diego, and Riverside campuses have all paid CBRE to produce precisely these kinds of economic development treatises.

Each of these CBRE reports marshals a wide range of statistical data to promote a particular vision of the UC's role in California's larger economy and society. While paying occasional lip service to the UC's contributions to “the richness of California culture,” the reports overwhelmingly emphasize the UC's role in fostering high-tech business enterprise, premised on a decidedly Reagan-esque view of the inherent superiority of top-down economic spending. The core purpose of UC San Diego, according to one CBRE report, is to fuel “the expansion of the skilled labor pool for high-tech businesses and biotech businesses in San Diego.” UC Irvine is “an economic engine powering prosperity” owing to its various big business spin-offs and the high-tech start-up companies founded by its faculty.

The implicit conclusion is that the university's complete subordination to capital is the primary reason for its existence, and that anything the UC could do for biotech, aerospace, real estate, and finance capital, it should do. In this way, the shift to privatization of the university's finances, including student fees that are redirected to pay for campus construction projects, goes hand-in-hand with the efforts of state and business elites to render the university a wholesale servant of California's neo-liberal economic machinery. Under this model, State funding is seen as akin to "local matching funds," sweetening the overall pot for the real investors, the main purpose being not to make the university affordable for students, but rather to expand the university's physical footprint and build fancy new research centers that will create all manner of techno-gadgetry to inflate the next bubble.

The UC Regents, in other words, have come to conceive of UC campuses almost entirely as incubators for a constellation of mini-Silicon Valleys: alliances of venture capitalists, real estate speculators, and high-tech entrepreneurs writ large upon large and overlapping swaths of California. It stands to reason that the UC's leadership would be enamored of the region of the United States that is home to more millionaires per capita than anywhere else in the country, but which has also seen one of the sharpest declines in real wages among its working class. Silicon Valley also leads the way with the most temporary workers per capita, the highest level of economic inequity between genders, and the greatest concentration of toxic Superfund sites in the United States. Neo-liberalism in a nutshell.

Even so, the Regents and UC's executives have long spoken in excited tones about spreading the model. The UC's newest campus, UC Merced, was sold entirely on the premise that it would produce a critical mass of biotechnologists, nanotechnologists, engineers, and other wizards of the ruling high-tech religion that mythically creates economic booms that lift all boats. Currently, though, the Central Valley is experiencing some of the greatest levels of unemployment and highest home foreclosure rates in the country. UC Santa Cruz, traditionally the arts and humanities campus of the UC system, was transformed during this era into what some administrators happily called "Silicon Beach." Much like with the global neo-liberal economy it has done so much to advance, the great majority who don't already possess ample resources are left under this model to fend for themselves.

Laytonville native Natalie Rose-Engber is one local resident whose has borne the impact of the ongoing structural adjustment of the university, as of California's economy in general. She was also one of the students involved in opposing the Regents in their treatment of the university like their own private business enterprise during her time as a student.

Rose-Engber grew up at the Black Oak Ranch, better known as “The Hog Farm”, associated with the name Wavy Gravy and just north of Laytonville. In 2007 and 2008, she was one among perhaps a few hundred UC students who often made the trek to the remote corners of the UC system where the Regents held their "public" meetings. Students would speak during the notoriously brief public comment periods, hold rallies, and occasionally disrupt the proceedings when all else failed -- and all else invariably did.

“The Regents would just be sitting there typing on their computers and not listening to any of the students,” Rose-Engber recalls. “But, of course, they're almost all multi-millionaires and directors of multi-national corporations. What do they know about being a student who's saddled with mountains of debt they'll spend the rest of their life paying off?”

Rose-Engber's debt is roughly $40,000. That same sum of money, a little more than one generation prior, would have been enough to buy a first home. Though she says her time at UCSB was an invaluable part in shaping who she's become, Rose-Engber wonders what her future has in store, having assumed such a large debt burden during a period of protracted economic decline and widespread joblessness. There are tens of thousands of young Californians who are annually being saddled with similarly crushing debts at UC and the CSU campuses, a condition that forecloses on their future choices, making virtual indentured servants of many of them.

As with every other region of California, Mendocino County is now experiencing a surplus of university grads whose futures are constrained by heavy debt. Extrapolating from the UC's enrollment and retention data, approximately 275 students hailing from this area have been enrolled at one or another of the UC's 10 campuses at any given point in the last decade. During the past four years alone, that group collectively paid or borrowed more than $7 million in university fee money. Had they attended the university eight years before, they would have paid less than $3 million.

As student fees continue to skyrocket, it is well to keep in mind that Blum is a part owner of a pair of for-profit education companies. Blum Capital Partners owns a large stake in Career Education Corporation, the world's second largest private “diploma mill” corporation, which runs more than one hundred for-profit schools across the country, while also making tens of millions of dollars in sub-prime loans to its students. Blum Capital also owns a 19 per cent stake in ITT Educational Services, Inc., another for-profit school that makes millions off student loan debt. Blum, the UC Board of Regents' resident siphoner-in-chief of public funds, purchased more than 220,000 new shares in the firm soon after the UC Regents approved the University of California's latest fee increase this past November.

If the UC is prioritizing various toxic combinations of science and industry at the expense of most students, then what are those projects? Examples abound. In June 2006, the UC announced an agreement with the world's second largest oil company, British Petroleum, whereby it will receive half a billion dollars per year over 10 years, principally for research into genetically modified elephant grass and other transgenic plants that are candidates to produce alcohol for non-fossil car fuel. The project is housed as a facility on campus called the Energy Biosciences Institute (EBI). In keeping with the "public-private partnership" funding model that currently prevails, the State of California put up "matching funds" in the form of $73 million in construction bonds to help smooth the way for the EBI's landing on the Berkeley campus.

This is one of UC Berkeley's largest current applied research programs, and it naturally comes straight from the “crisis” playbook. The project is justified under the pretense of helping to solve two major crises - global climate change and its twin bogeyman, oil depletion. In reality, biofuel monoculture has become perhaps the leading cause of dispossession of small farmers in the Global South, as well as the destruction of important ecosystems such as the Amazon Basin rain forest.

Berkeley's biofuels institute will only further enable multi-national corporations to penetrate, reorganize, poison and despoil the lands, livelihoods, and psyches of Amazon Basin and other cultures. The net impact of the EBI on the environment – that is, the actually existing ecosystems of South America, Indonesia, et al. – will be decidedly negative. On the day of the contract signing, then-UC President Robert Dynes heralded it as “a great day for Mother Earth.”

Both Dynes and Lawrence Berkeley National Laboratory Director Stephen Chu, now duly installed as the Obama administration's secretary of energy, referred to this project as a “new manhattan project.” It was a fitting designation, although the original Manhattan Project never quite ended, and it has only gained ground under a president who sold the world on “hope” and “change.” The UC continues to co-manage the Los Alamos and Lawrence Livermore nuclear weapons compounds, which have designed every nuclear weapon in the US arsenal dating from the annihilation of Hiroshima and Nagasaki, as part of for-profit partnerships with the world's largest construction and engineering firm, Bechtel Corporation. The UC-Bechtel contracts are worth as much as $80 billion in revenue over the course of their 20 year lifespans, a hefty chunk of change when you're concerned with your bond ratings.

On February 1, the Obama administration unveiled a budget in which both of the UC's weapons labs would receive a massive funding “surge.” The proposed funding increase of 23 percent at Los Alamos would be the facility's largest since 1944. Much of that funding is for a new factory to produce plutonium bomb cores, the explosive triggers of modern thermo-nuclear warheads, for the expressed purpose of outfitting the first new nukes to be developed since the end of the Cold War. The investments are sold as the need to “maintain the US nuclear deterrent” in a time of rapidly escalating threats, allegedly, from Iran, North Korea, and potentially even nuclear-armed terrorists.

Again, crisis begets opportunity if you're properly positioned in the most privileged circles, so it's fitting that one of the two junior partners in the UC-Bechtel management team should be Richard Blum's now-former company, URS Corporation. At the time Blum became a Regent, URS already had a $125 million contract to perform construction and engineering at Los Alamos. It was a natural extension of his general business philosophy that Blum would have been eying wholesale ownership of the weapons lab at the time. That in mind, perhaps a little Q & A is in order. Which entities now run the Los Alamos and Lawrence Livermore weapons labs? The University of California, Bechtel, and URS Corporation, along with a couple of other junior partners. Which UC Regent had a lucrative financial partnership with the Bechtel family, via a $3.5 billion medical technology supplies company named Kinetic Concepts, that precedes the UC-Bechtel weapons lab partnership by eight years? Richard Blum. Who was URS Corporation's primary financier and vice president for three decades? Richard Blum. Which UC Regent was among a select group of policy wonks who participated in a nuclear weapons policy conference in Oslo, Norway, in 2007, organized largely by a long-time Bechtel executive, George Shultz, who has been instrumental to securing the weapons labs' recent funding increases? We won't even bother answering that last question – this exercise has become entirely rhetorical.

From its inception, the University of California has been an institution inherently bound up with the course of American empire. It was the 18th century British philosopher George Berkeley's poem “America: A Prophesy” that inspired the university's early trustees to adopt him as their flagship campus' namesake. The poem's final stanza perfectly captured their vision of the university's larger social role, that of intellectual hub for ever-expanding American capitalism, which was itself to herald an end of history liberal utopia. Notably, the same stanza also helped occasion the idea of “Manifest Destiny,” the widely held belief in the mid-19th century that a Protestant God had divinely ordained the United States to expand westward to conquer and subdue the American Indians and the “wilderness” they inhabited.

“Westward the course of empire takes its way;
The first four Acts already past;
A fifth shall close the Drama with the day;
Time's noblest offspring is the last."

The poem's last line provides a fitting epithet for the university, as for so many institutions instrumental to the era of US economic dominance now passing in a financial meltdown. While the aggressive and opportunistic plans of the UC Regents and their hatchet man, President Yudof, are the most immediate cause of the university's rapid descent, it is this larger context that demands greatest attention from students, faculty, workers, and the people of California. It is highly improbable that the UC and institutions like it will ever return to an idyllic era of reliable state financial support. There will never again be low fees, an ever-expanding roster of PhDs, or increasing and diverse student enrollments. The UC is an unsustainable institution that developed as part of a wildly unsustainable period of American economic expansion. We are now amidst the world capitalist economy's unraveling, and as an integral part of this economy, the university is coming undone right along with it.

Will Parrish is a writer and organizer living in Laytonville, CA.

Darwin Bond-Graham is a sociologist who splits his time between New Orleans, Albuquerque, and Navarro, CA.

Readers can contact Will Parrish at wparrish(a)riseup.net and Darwin Bond-Graham at darwin(a)riseup.net. They originally prepared this series for the Anderson Valley Advertiser, one of the very few real newspapers in America and probably soon the last one left standing.

 

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