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Neoliberalism Has Poisoned Our Minds, Study Finds

The dominance of neoliberalism is turning societies against income equality.

At least, that’s according to a study published Tuesday in Perspectives on Psychological Science. A team of researchers at New York University and the American University of Beirut performed an analysis of roughly 20 years of data on from more than 160 countries and found that the dominance of neoliberalism across social and economic institutions has ingrained a widespread acceptance of income inequality across our value systems in turn.

“Our institutions, policies, and laws not only structure our social life but also have a great influence on the kind of people and society we become,” Shahrzad Goudarzi, a Ph.D. candidate at NYU and lead author on the paper, said in a press release.

Goudarzi and her team set out to prove whether conservative British Prime Minister Margaret Thatcher’s 1981 proclamation that economic and political systems can shape “the heart and soul” is indeed true. They defined neoliberalism as the “dominant socioeconomic approach” and the root of “privatization, abolition of the welfare state, and curtailment of redistributive programs,” which has dominated from the 1970s to present day. They measured the strength of a nation’s neoliberalism using the Economic Freedom Index, a metric crafted by the Fraser Institute—a Canadian libertarian think tank—which measures items like “size of government,” “regulation of business, credit, and labor,” and “freedom to trade internationally.”

They evaluated psychological attitudes toward inequality using results from the World Values Survey, taken roughly every four years, which asked respondents globally direct questions about their agreement with statements like, “We need larger income differences as incentives for individual effort,” and “incomes should be made more equal.”

Their analysis found a correlation between the embrace of neoliberalism and the prominence of what social psychology scholars call “equity-based reasoning,” or a preference for merit over a preference for equality: the line of thinking in which material outcomes, like payment, wealth, and social status, should be proportional to inputs, like productivity, effort, ability and time. In short, the dominance of neoliberalism has promoted the belief that the wealthy have earned their spot in society just as much as the poor have.

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Amazon had sales income of €44bn in Europe in 2020 but paid no corporation tax

Corporate filings in Luxembourg revealed that the company collected record sales income of €44bn (£38bn) in Europe last year but did not have to pay any corporation tax to the Grand Duchy.

Accounts for Amazon EU Sarl, through which it sells products to hundreds of millions of households in the UK and across Europe, show that despite collecting record income, the Luxembourg unit made a €1.2bn loss and therefore paid no tax.

In fact the unit was granted €56m in tax credits it can use to offset any future tax bills should it turn a profit. The company has €2.7bn worth of carried forward losses stored up, which can be used against any tax payable on future profits.

“Amazon’s revenues have soared under the pandemic while our high streets struggle, yet it continues to shift its profits to tax havens like Luxembourg to avoid paying its fair share of tax. These big digital companies all rely on our public services, our infrastructure…

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How Big Oil Misled The Public Into Believing Plastic Would Be Recycled

NPR and PBS Frontline spent months digging into internal industry documents and interviewing top former officials. We found that the industry sold the public on an idea it knew wouldn’t work — that the majority of plastic could be, and would be, recycled — all while making billions of dollars selling the world new plastic. NPR:
The industry’s awareness that recycling wouldn’t keep plastic out of landfills and the environment dates to the program’s earliest days, we found. “There is serious doubt that [recycling plastic] can ever be made viable on an economic basis,” one industry insider wrote in a 1974 speech. Yet the industry spent millions telling people to recycle, because, as one former top industry insider told NPR, selling recycling sold plastic, even if it wasn’t true. “If the public thinks that recycling is working, then they are not going to be as concerned about the environment,” Larry Thomas, former president of the Society of the Plastics Industry, known today as the Plastics Industry Association and one of the industry’s most powerful trade groups in Washington, D.C., told NPR.

In response, industry representative Steve Russell, until recently the vice president of plastics for the trade group the American Chemistry Council, said the industry has never intentionally misled the public about recycling and is committed to ensuring all plastic is recycled. […] Here’s the basic problem: All used plastic can be turned into new things, but picking it up, sorting it out and melting it down is expensive. Plastic also degrades each time it is reused, meaning it can’t be reused more than once or twice. On the other hand, new plastic is cheap. It’s made from oil and gas, and it’s almost always less expensive and of better quality to just start fresh. All of these problems have existed for decades, no matter what new recycling technology or expensive machinery has been developed. In all that time, less than 10 percent of plastic has ever been recycled. But the public has known little about these difficulties.

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‘Divinity Consultants’ are Now Designing Sacred Rituals for Some Corporations

“They go by different names: ritual consultants, sacred designers, soul-centered advertisers,” reports the New York Times, describing “a new corporate clergy” working as “divinity consultants” and “designing sacred rituals for corporations.”

They have degrees from divinity schools. Their business is borrowing from religious tradition to bring spiritual richness to corporate America. In simpler times, divinity schools sent their graduates out to lead congregations or conduct academic research. Now there is a more office-bound calling: the spiritual consultant. Those who have chosen this path have founded agencies — some for-profit, some not — with similar-sounding names: Sacred Design Lab, Ritual Design Lab, Ritualist.

They blend the obscure language of the sacred with the also obscure language of management consulting to provide clients with a range of spiritually inflected services, from architecture to employee training to ritual design. Their larger goal is to soften cruel capitalism, making space for the soul, and to encourage employees to ask if what they are doing is good in a higher sense. Having watched social justice get readily absorbed into corporate culture, they want to see if more American businesses are ready for faith. “We’ve seen brands enter the political space,” said Casper ter Kuile, a co-founder of Sacred Design Lab. Citing a Vice report, he added: “The next white space in advertising and brands is spirituality….”

Ezra Bookman founded Ritualist, which describes itself as “a boutique consultancy transforming companies and communities through the art of ritual,” last year in Brooklyn. He has come up with rituals for small firms for events like the successful completion of a project — or, if one fails, a funeral. “How do we help people process the grief when a project fails and help them to move on from it?” Mr. Bookman said. Messages on the start-up’s Instagram feed read like a kind of menu for companies who want to buy operational rites a la carte: “A ritual for purchasing your domain name (aka your little plot of virtual land up in the clouds).” “A ritual for when you get the email from LegalZoom that you’ve been officially registered as an LLC.”

The articles notes there are problems when combining the corporate with the religious.

For one thing, “It’s hard to exhort workers to give their professional activities transcendental meaning when, at the same time, those workers can be terminated.”

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Study of Over 11,000 Online Stores Finds ‘Dark Patterns’ on 1,254 sites

A large-scale academic study that analyzed more than 53,000 product pages on more than 11,000 online stores found widespread use of user interface “dark patterns” — practices meant to mislead customers into making purchases based on false or misleading information.

The study — presented last week at the ACM CSCW 2019 conference — found 1,818 instances of dark patterns present on 1,254 of the ~11K shopping websites (~11.1%) researchers scanned. “Shopping websites that were more popular, according to Alexa rankings, were more likely to feature dark patterns,” researchers said. But while the vast majority of UI dark patterns were meant to trick users into subscribing to newsletters or allowing broad data collection, some dark patterns were downright foul, trying to mislead users into making additional purchases, either by sneaking products into shopping carts or tricking users into believing products were about to sell out. Of these, the research team found 234 instances, deployed across 183 websites.

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Uber Admits It Wants To Take Riders Away From Public Transit

“Uber took down the taxi industry and now it wants a piece of public transit,” reports CNN, in an article shared by dryriver:
For years, as it aggressively entered new markets, Uber has maintained that it is a complement and ally of public transit. But that messaging changed earlier this month, when Uber released its S-1 ahead of its upcoming initial public offering. In the regulatory filing, Uber said its growth depends on better competing with public transportation, which it identifies as a $1 trillion market it can grab a share of over the long-term. Uber, which lost $1.8 billion in 2018, said it offers incentives to drivers to scale up its network to attract riders away from personal vehicles and public transportation.

Transportation experts say that if Uber grabs a big chunk of its target market — 4.4 trillion passenger miles on public transportation in the 63 countries in which it operates — cities would grind to a halt, as there would literally be no space to move on streets….

Uber’s rival Lyft didn’t describe public transportation as a competitor in its S-1. But while the corporate mission may be different, in practice there’s little difference, experts say.

“Try to imagine the island of Manhattan, and everyone taking the subway being in a rideshare. It just doesn’t function….” said Christof Spieler, who teaches transportation at Rice University and wrote the book Trains, Buses, People. “It’s a world in which large cities essentially break down.”

And transportation consultant Jarrett Walker tells CNN that while it may make business sense for Uber and Lyft to pursue this strategy, “it may also be a strategy that’s destroying the world.”

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Americans Are Lining Up To Work For Amazon For $15 an Hour

Analysts had worried Amazon’s wage increase would cut into its profits. So far that doesn’t seem to be the case. Amazon reported $3 billion in profit for the fourth quarter.

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‘The goal is to automate us’: welcome to the age of surveillance capitalism

The behaviour of the digital giants looks rather different from the roseate hallucinations of Wired magazine. What one sees instead is a colonising ruthlessness of which John D Rockefeller would have been proud. First of all there was the arrogant appropriation of users’ behavioural data – viewed as a free resource, there for the taking. Then the use of patented methods to extract or infer data even when users had explicitly denied permission, followed by the use of technologies that were opaque by design and fostered user ignorance.

And, of course, there is also the fact that the entire project was conducted in what was effectively lawless – or at any rate law-free – territory. Thus Google decided that it would digitise and store every book ever printed, regardless of copyright issues. Or that it would photograph every street and house on the planet without asking anyone’s permission. Facebook launched its infamous “beacons”, which reported a user’s online activities and published them to others’ news feeds without the knowledge of the user. And so on, in accordance with the disrupter’s mantra that “it is easier to ask for forgiveness than for permission”.

The combination of state surveillance and its capitalist counterpart means that digital technology is separating the citizens in all societies into two groups: the watchers (invisible, unknown and unaccountable) and the watched. This has profound consequences for democracy because asymmetry of knowledge translates into asymmetries of power.

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Silicon Valley’s dirty secret: Using a shadow workforce of contract employees to drive profits

As the gig economy grows, the ratio of contract workers to regular employees in corporate America is shifting. Google, Facebook, Amazon, Uber and other Silicon Valley tech titans now employ thousands of contract workers to do a host of functions — anything from sales and writing code to managing teams and testing products. This year at Google, contract workers outnumbered direct employees for the first time in the company’s 20-year history.

It’s not only in Silicon Valley. The trend is on the rise as public companies look for ways to trim HR costs or hire in-demand skills in a tight labor market. The U.S. jobless rate dropped to 3.7 percent in September, the lowest since 1969, down from 3.9 percent in August, according to the Bureau of Labor Statistics.

Some 57.3 million Americans, or 36 percent of the workforce, are now freelancing, according to a 2017 report by Upwork. In San Mateo and Santa Clara counties alone, there are an estimated 39,000 workers who are contracted to tech companies, according to one estimate by University of California Santa Cruz researchers.

Spokespersons at Facebook and Alphabet declined to disclose the number of contract workers they employ. A spokesperson at Alphabet cited two main reasons for hiring contract or temporary workers. One reason is when the company doesn’t have or want to build out expertise in a particular area such as doctors, food service, customer support or shuttle bus drivers. Another reason is a need for temporary workers when there is a sudden spike in workload or to cover for an employee who is on leave.

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As Google Maps Renames Neighbourhoods, Residents Fume

For decades, the district south of downtown and alongside San Francisco Bay here was known as either Rincon Hill, South Beach or South of Market. This spring, it was suddenly rebranded on Google Maps to a name few had heard: the East Cut. The peculiar moniker immediately spread digitally, from hotel sites to dating apps to Uber, which all use Google’s map data. The name soon spilled over into the physical world, too. Real-estate listings beckoned prospective tenants to the East Cut. And news organizations referred to the vicinity by that term.

“It’s degrading to the reputation of our area,” said Tad Bogdan, who has lived in the neighborhood for 14 years. In a survey of 271 neighbors that he organized recently, he said, 90 percent disliked the name. The swift rebranding of the roughly 170-year-old district is just one example of how Google Maps has now become the primary arbiter of place names. With decisions made by a few Google cartographers, the identity of a city, town or neighborhood can be reshaped, illustrating the outsize influence that Silicon Valley increasingly has in the real world.

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Stare Into The Lights My Pretties

Early Facebook and Google employees are planning to lobby against tech addiction

A new alliance made up of former Silicon Valley cronies has assembled to challenge the technological Frankenstein they’ve collectively created. “The Center for Humane Technology” is a group comprising former employees and pals of Google, Facebook, and Mozilla. The nonprofit hopes that it can raise awareness about the societal tolls of technology, which its members believe are inherently addictive. The group will lobby for a bill to research the effects of technology on children’s health.

On Feb. 7, the group’s members will participate in a conference focused on digital health for kids, hosted by the nonprofit Common Sense.

The group also plans an anti-tech addiction ad campaign at 55,000 schools across America, and has another $50 million in media airtime donated by partners which include Comcast and DirecTV.

The group’s co-founder, a former Google design ethicist, told Quartz that tech companies “profit by drilling into our brains to pull the attention out of it, by using persuasion techniques to keep [us] hooked.” And the group’s web page argues that “What began as a race to monetize our attention is now eroding the pillars of our society: mental health, democracy, social relationships, and our children.”

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Commercial Spyware is “Out of Control”

Throughout 2016 and 2017, individuals in Canada, United States, Germany, Norway, United Kingdom, and numerous other countries began to receive suspicious emails. It wasn’t just common spam. These people were chosen.

The emails were specifically designed to entice each individual to click a malicious link. Had the targets done so, their internet connections would have been hijacked and surreptitiously directed to servers laden with malware designed by a surveillance company in Israel. The spies who contracted the Israeli company’s services would have been able to monitor everything those targets did on their devices, including remotely activating the camera and microphone.

Who was behind this global cyber espionage campaign? Was it the National Security Agency? Or one of its “five eyes” partners, like the GCHQ or Canada’s CSE? Given that it was done using Israeli-made technology, perhaps it was Israel’s elite signals intelligence agency, Unit 8200?

In fact, it was none of them. Behind this sophisticated international spying operation was one of the poorest countries in the world; a country where less than 5 percent of the population has access to the internet; a country run by an autocratic government routinely flagged for human rights abuses and corruption. Behind this operation was… Ethiopia.

The details of this remarkable clandestine activity are outlined in a new Citizen Lab report published today entitled “Champing at the Cyberbit.” In our report my co-authors and I detail how we monitored the command and control servers used in the campaign and in doing so discovered a public log file that the operators mistakenly left open. That log file provided us with a window, for roughly a year, into the attackers’ activities, infrastructure, and operations. Strong circumstantial evidence points to one or more government agencies in Ethiopia as the responsible party.

We were also able to identify the IP addresses of those who were targeted and successfully infected: a group that includes journalists, a lawyer, activists, and academics. Our access also allowed us enumerate the countries in which the targets were located. Many of the countries in which the targets live—the United States, Canada, and Germany, among others—have strict wiretapping laws that make it illegal to eavesdrop without a warrant. It seems individuals in Ethiopia broke those laws.

If a government wants to collect evidence on a person in another country, it is customary for it to make a formal legal request to other governments through a process like the Mutual Legal Assistance Treaties. Ethiopia appears to have sidestepped all of that. International norms would suggest a formal démarche to Ethiopia from the governments whose citizens it monitored without permission, but that may happen quietly if at all.

Our team reverse-engineered the malware used in this instance, and over time this allowed us to positively identify the company whose spyware was being employed by Ethiopia: Cyberbit Solutions, a subsidiary of the Israel-based homeland security company Elbit Systems. Notably, Cyberbit is the fourth company we have identified, alongside Hacking Team, Finfisher, and NSO Group, whose products and services have been abused by autocratic regimes to target dissidents, journalists, and others. Along with NSO Group, it’s the second Israel-based company whose technology has been used in this way.

Israel does regulate the export of commercial spyware abroad, although apparently not very well from a human-rights perspective. Cyberbit was able to sell its services to Ethiopia—a country with not only a well-documented history of governance and human rights problems, but also a track record of abusing spyware. When considered alongside the extensive reporting we have done about UAE and Mexican government misuse of NSO Group’s services, it’s safe to conclude Israel has a commercial spyware control problem.

How big of a problem? Remarkably, by analyzing the command and control servers of the cyber espionage campaign, we were also able to monitor Cyberbit employees as they traveled the world with infected laptops that checked in to those servers, apparently demonstrating Cyberbit’s products to prospective clients. Those clients include the Royal Thai Army, Uzbekistan’s National Security Service, Zambia’s Financial Intelligence Centre, and the Philippine president’s Malacañang Palace. Outlining the human rights abuses associated with those government entities would fill volumes.

Cyberbit, for its part, has responded to Citizen Lab’s findings: “Cyberbit Solutions offers its products only to sovereign governmental authorities and law enforcement agencies,” the company wrote me on November 29. “Such governmental authorities and law enforcement agencies are responsible to ensure that they are legally authorized to use the products in their jurisdictions.“ The company declined to confirm or deny that the government of Ethiopia is a client, but did note that “Cyberbit Solutions can confirm that any transaction made by it was approved by the competent authorities.”

Governments like Ethiopia no longer depend on their own in-country advanced computer science, engineering, and mathematical capacity in order to build a globe-spanning cyber espionage operation. They can simply buy it off the shelf from a company like Cyberbit. Thanks to companies like these, an autocrat whose country has poor national infrastructure but whose regime has billions of dollars can order up their own NSA. To wit: Elbit Systems, the parent company of Cyberbit, says it has a backlog of orders valuing $7 billion. An investment firm recently sought to acquire a partial stake in NSO Group for a reported $400 million before eventually withdrawing its offer.

Of course, these companies insist that spyware they sell to governments is used exclusively to fight terrorists and investigate crime. Sounds reasonable, and no doubt many do just that. But the problem is when journalists, academics, or NGOs seek to expose corrupt dictators or hold them accountable, those truth tellers may then be labelled criminals or terrorists. And our research has shown that makes those individuals and groups vulnerable to this type of state surveillance, even if they live abroad.

Indeed, we discovered the second-largest concentration of successful infections of this Ethiopian operation are located in Canada. Among the targets whose identities we were able to verify and name in the report, what unites them all is their peaceful political opposition to the Ethiopian government. Except one. Astoundingly, Citizen Lab researcher Bill Marczak, who led our technical investigation, was himself targeted at one point by the espionage operators.

Countries sliding into authoritarianism and corruption. A booming and largely unregulated market for sophisticated surveillance. Civilians not equipped to defend themselves. Add these ingredients together, and you have a serious crisis of democracy brewing. Companies like Cyberbit market themselves as part of a solution to cyber security. But it is evident that commercial spyware is actually contributing to a very deep insecurity instead.

Remedying this problem will not be easy. It will require legal and policy efforts across multiple jurisdictions and involving governments, civil society, and the private sector. A companion piece to the report outlines some measures that could hopefully begin that process, including application of relevant criminal laws. If the international community does not act swiftly, journalists, activists, lawyers, and human rights defenders will be increasingly infiltrated and neutralized. It’s time to address the commercial spyware industry for what it has become: one of the most dangerous cyber security problems of our day.

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In China, facial recognition is used to buy KFC, board planes, and catch drug users

It works just as one might expect—diners approach a virtual menu, select the item they want to purchase, and then choose “facial scan” as a payment option. Users must input their phone numbers as an extra layer of verification, but the technology still works even if one’s phone is turned off.

A promotional video shows a young female customer scanning her face while donning a wig and appearing with friends, to tout that the technology can recognize an individual even if they are disguised or in a group…

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Surveillance tools for “War on Terror” used on indigenous activists

“A shadowy international mercenary and security firm known as TigerSwan targeted the movement opposed to the Dakota Access Pipeline with military-style counterterrorism measures, collaborating closely with police in at least five states, according to internal documents obtained by The Intercept. The documents provide the first detailed picture of how TigerSwan, which originated as a U.S. military and State Department contractor helping to execute the global war on terror, worked at the behest of its client Energy Transfer Partners, the company building the Dakota Access Pipeline, to respond to the indigenous-led movement that sought to stop the project.

TigerSwan spearheaded a multifaceted private security operation characterized by sweeping and invasive surveillance of protesters.

Activists on the ground were tracked by a Dakota Access helicopter that provided live video coverage to their observers in police agencies, according to an October 12 email thread that included officers from the FBI, DHS, BIA, state, and local police. In one email, National Security Intelligence Specialist Terry Van Horn of the U.S. attorney’s office acknowledged his direct access to the helicopter video feed, which was tracking protesters’ movements during a demonstration. “Watching a live feed from DAPL Helicopter, pending arrival at site(s),” he wrote. Cecily Fong, a spokesperson for law enforcement throughout the protests, acknowledged that an operations center in Bismarck had access to the feed, stating in an email to The Intercept that “the video was provided as a courtesy so we had eyes on the situation.”

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British companies selling surveillance technologies to authoritarian regimes

Just like how the United States and Britain arms the rest of the world, so too is it the same with advanced surveillance technologies:

“Since early 2015, over a dozen UK companies have been granted licenses to export powerful telecommunications interception technology to countries around the world, Motherboard has learned. Many of these exports include IMSI-catchers, devices which can monitor large numbers of mobile phones over broad areas.

Some of the UK companies were given permission to export their products to authoritarian states such as Saudi Arabia, the United Arab Emirates, Turkey, and Egypt; countries with poor human rights records that have been well-documented to abuse surveillance technology.”

“As we learn time and time again, countries with bad human rights records often keep utilizing interception technology to perpetrate even more abuses and suppress dissent.”

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Who Pays the Price? The Human Cost of Electronics

“This short video reveals the hazards of the electronics industry in China profiling workers poisoned by chemicals and their struggle for compensation.

Thousands of young people in China enter export factories to make the West’s favorite electronic gadgets, only to find they have contracted occupational diseases or worse, leukemia, by the age of 25.”

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