U.S. system to find, help victims of human trafficking is broken

By Mike McGraw and Laura Bauer, The Kansas City Star

Sebastian Pereria told a friend last year about his life in America.

How he wanted to see his wife and children in India, but his boss kept his identification papers and wouldn't let him go.

Other waiters who worked with him at a Topeka restaurant told of how they were forced to work 13-hour days, six days a week. They talked of how the boss underpaid them and pocketed their tips.

In the end, Pereria, 46, got his wish. He finally arrived home last year.

In a coffin.

The U.S. government could not help Pereria, even though they said he fit the criteria for being a human trafficking victim. Other waiters he worked with got help and were rescued from the Globe Indian Restaurant. But for Pereria, even in death, a judge remained unconvinced.

America declared war on human trafficking nearly a decade ago. With a new law and much fanfare, the government pledged to end such human rights abuses at home and prodded the rest of the world to follow its example.

But an investigation by The Kansas City Star found that, in spite of all the rhetoric from the Bush and Obama administrations, the United States is failing to find and help tens of thousands of human trafficking victims in America.

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~ The complete series of articles: Human Trafficking in America ~

Economic Thought in Ancient Greece

Jesús Huerta de Soto writes: The intellectual odyssey that laid the foundations for Western civilization began in classical Greece. Unfortunately, Greek thinkers failed in their attempt to grasp the essential principles of the spontaneous market order and of the dynamic process of social cooperation which surrounded them. While we must acknowledge the important Greek contributions in the areas of epistemology, logic, ethics, and even the conception of natural law, the Greeks failed miserably to see the need for the development of a discipline, economic science, devoted to the study of the spontaneous processes of social cooperation that comprise the market.

What is even worse is that when the first intellectuals emerged, so did the symbiosis and complicity between thinkers and rulers. From the beginning, the great majority of intellectuals embraced statism and systematically undervalued and even criticized and denigrated the society of trade, commerce, and crafts that flourished around them.

It may be too much to ask that, from the very dawn of philosophical and scientific knowledge, the Greeks would comprehend even the basics of political economy, a discipline that is still among the youngest of all the sciences and seeks to study a reality as abstract and difficult to understand as the spontaneous market order. However, it is worth noting that the Greek philosophers, like today's intellectuals, could not avoid the scientistic conceit of believing themselves qualified to impose their own points of view on their fellow citizens via systematic government coercion. History repeats itself over and over, and even today we have progressed very little in this sense.

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A Brief Note on Taoism.

Lastly, it is very interesting to note that, during the same era when classical Greek thought was being forged (from the 6th to the 4th century BC), ancient China saw the beginnings of three great currents of thought: that of the so-called "Legalists" (who supported the centralized state), that of the Confucianists (who tolerated it), and that of the Taoists, of a much more liberal bent and extremely interesting for historians of economic thought. Chuang Tzu (369–286 BC) goes as far as to say that "good order results spontaneously when things are let alone." In his criticism of the interventionism of rulers, he describes them as "robbers." Also, according to Rothbard, Chuang Tzu was the first anarchist thinker in history. In fact, Chuang Tzu wrote that the world "does simply not need governing; in fact it should not be governed at all."

Chuang Tzu adhered to the individualistic, liberal views of Lao Tzu, the father of Taoism, and took them to their most logical conclusions. In Confucius's day (from the 6th to the 5th century BC), Lao Tzu concluded that government oppressed the individual and was always "more to be feared than fierce tigers."

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Debts Wiped Out for 140,000 Payday Loan Customers

It took six years, 17,000 billable hours, three law firms and three public justice organizations, but in the end they managed to wrestle a payday loan company  in North Carolina into a settling with thousands of unhappy customers. “We have had great reaction from clients,” says Paul Bland, with the Public Justice organization in Washington, DC. “The settlement was a compromise. But we faced enormous legal challenges and we made the decision that this was a good settlement compared to the risks going forward.”

The payday loan industry is notoriously hard-nosed and has deep pockets when it comes to fighting lawsuits. However, Advance America, the largest payday lender in the US, agreed to pay $18.5 million to settle a class action suit that argued it had contravened North Carolina's state usury laws. Class members—about 140,000 Advance America customers in North Carolina—will get back at least some of the lending costs they paid out.

According to the suit, Advance America was charging annual interest rates of somewhere between 350 and 500 percent. “We had one client, for example, who borrowed $200. They made $2000 in payments to Advance America and still owed the principle,” says Bland, who took or read at least 50 depositions in the case against Advance America and talked to dozens of expert witnesses.

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The City that Ended Hunger

By Frances Moore Lappé, YES! magazine:

In writing Diet for a Small Planet, I learned one simple truth: Hunger is not caused by a scarcity of food but a scarcity of democracy. But that realization was only the beginning, for then I had to ask: What does a democracy look like that enables citizens to have a real voice in securing life's essentials? Does it exist anywhere? Is it possible or a pipe dream? With hunger on the rise here in the United States—one in 10 of us is now turning to food stamps—these questions take on new urgency.

To begin to conceive of the possibility of a culture of empowered citizens making democracy work for them, real-life stories help—not models to adopt wholesale, but examples that capture key lessons. For me, the story of Brazil's fourth largest city, Belo Horizonte, is a rich trove of such lessons. Belo, a city of 2.5 million people, once had 11 percent of its population living in absolute poverty, and almost 20 percent of its children going hungry. Then in 1993, a newly elected administration declared food a right of citizenship. The officials said, in effect: If you are too poor to buy food in the market—you are no less a citizen. I am still accountable to you.

The new mayor, Patrus Ananias—now leader of the federal anti-hunger effort—began by creating a city agency, which included assembling a 20-member council of citizen, labor, business, and church representatives to advise in the design and implementation of a new food system. The city already involved regular citizens directly in allocating municipal resources—the “participatory budgeting” that started in the 1970s and has since spread across Brazil. During the first six years of Belo's food-as-a-right policy, perhaps in response to the new emphasis on food security, the number of citizens engaging in the city's participatory budgeting process doubled to more than 31,000.

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On top of the world - Why the West’s present dominance is both recent and temporary

From The Economist's book review of Why the West Rules—For Now: The Patterns of History and What They Reveal About the Future by Ian Morris; Farrar, Straus and Giroux:

Ian Morris, a polymathic Stanford University professor of classics and history, has written a remarkable book that may come to be as widely read as Paul Kennedy’s 1987 work, “The Rise and Fall of the Great Powers”. Like Mr Kennedy’s epic, Mr Morris’s “Why the West Rules—For Now” uses history and an overarching theory to address the anxieties of the present. Mr Kennedy warned American policymakers of the consequences of “imperial overstretch”, although it was the sudden implosion of the Soviet Union that proved the most spectacular vindication of his thesis.

For his part, Mr Morris sets out to show two things that are just as important; first that civilisations throughout history have waxed and waned, usually for reasons their rulers were powerless to influence, and second, that the West’s dominance of the past 200 years was neither inevitable nor “locked in” for the future.

Mr Morris’s refrain is “maps, not chaps”—the belief that human destiny is mostly shaped by geography and the efforts of ordinary people to cope with whatever is thrown at them in the form of climate change, famine, migration, disease and state failure (what the author describes as the “five horsemen of the apocalypse”). He argues that “history teaches us that when the pressure is on, change takes off.” According to what he calls, somewhat annoyingly, the Morris Theorem, “Change is caused by lazy, greedy, frightened people looking for easier, more profitable and safer ways of doing things. And they rarely know what they are doing.”

Among the many things the author sets out to explain is why, throughout human history, social development has gone in fits and starts, sometimes retreating in one place for a millennium or two before suddenly spurting forward again elsewhere. As a way of dramatising this, Mr Morris presents these ebbs and flows in the form of a contest between East and West. Why, he asks, did British boats shoot their way up the Yangzi in 1842 rather than Chinese ones up the Thames, and why do many more people from the East speak English than Europeans speak Mandarin?

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