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POLS7302 Essay 020908
POLS7302 Essay 020908
In the first section of this article, I will discuss the concepts of ‘new
constitutionalism’ and ‘disciplinary neoliberalism’, concluding that Gill’s
arguments are supported by strong evidence. In the second section, I will
evaluate to what extent the contemporary global politics of development can be
said to be ‘characterised’ by new constitutionalism and disciplinary neoliberalism
by discussing some of the implications of the neoliberal ‘redefinition of the
political’ as a philosophical and multilateral agenda and some of the ways in
which this agenda is unable to achieve complete hegemony.
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liberalism as fundamental for the development model espoused by a neo-liberal
orthodoxy during the period of the Washington consensus. In a review of the
changing politics of the World Bank (WB) Cammack (2002) shows that the tenets
of neo-liberal economic theory have remained a consistent theme in policy. This
has continued regardless of the remodelling of the World Bank’s image from
banking into the business of ‘development’ (Cammack 2002; Higgot & Weber
2005). That neo-liberal capital accumulation forms part of the development
discourse and strategy of the World Bank suggests that neo-liberal thinking is a
strong part of the modern political landscape of institutional development.
Referring to a series of World Bank reports, Cammack says
“Its [WB] stated purpose, then, was to define for all economies
in the global capitalist system – not just those in transition – a
comprehensive set of institutions that would eradicate any
vestige of planning, and implement the logic of capitalist
exploitation, competition and accumulation throughout all
economic, social, political and cultural systems” (Cammack
2002:171)
Even when the World Bank and similar institutions in Europe adopted the ‘human
face’ of a more socially responsible development, it really only disguised the
ultimate liberal goal of market rationality (Mitchell 2006: 404).
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The institutionalisation of market discipline involves the creation of laws,
regulations and forms of planning on a world scale (Gill 2002: 47). Concepts of
‘good governance’ are used to establish a basis of market liberalisation as the
ideal of government planning and regulation. An example is the changing policies
and programs put in place for the European Union’s integration of migrants and
second generation minorities. Mitchell (2004: 394) chronicles a move in the
policy of the education sector of the European Commission from a focus on
cultural diversity to a focus on lifelong learning. This change in focus prioritises
skills and mobility necessary for economic success. The aim is for the immigrant
to be able to drive their own individual learning to allow them to integrate
successfully, not into the social fabric of Europe, but into the European labour
market. Further, Ayers (2006) and Evans (2007) make good cases for both
democratic reforms and human rights codifications being platforms of support for
the advancement of market discipline. In both these cases, the authors present
the regulations and laws by which democracy and human rights are codified as
intentionally laying the foundation for the successful institution of market
liberalisation and notions of capital accumulation.
This acceptance also comes partly from economics being presented as separate
from politics. Markets are viewed as being somehow independent and neutral
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entities ruled from the grave by Adam Smith’s invisible hand, maintaining a sort
of natural equilibrium that transcend the question of politics. As neutral bodies
maintaining independence from political concerns, they conceal their political
biases and connections. Barry Gills laments the true study of political economy
when he says “What we cannot have (again!) is economics without politics and
politics without economics” (Gills 2001: 236). But it is precisely this separation of
economics from politics in institutional form that Gill describes as ‘new
constitutionalism’.
Gill introduces his article with an abstract that states, “New constitutionalism’
limits democratic control over central elements of economic policy and regulation
by locking in future governments to liberal frameworks of accumulation premised
on freedom of enterprise” (Gill 2002: 47). He further elucidates by explaining
that the separation of economics and politics and the institution of neoliberal
political and legal reforms are designed to commit governments to a future of
neoliberal market economy and limit the political means to change that
commitment (Gill 2002: 47). Simply put, a framework is created which
establishes what sort of political action is possible. Referring to the World Trade
Organisation (WTO), Weber says “The WTO as a multilaterally constituted agency
of global governance with constitutional features limits in politically important
ways the range of environmental policy options from the local to the international
level” (Weber 2001: 93). Organisations such as the WTO are constituted
multilaterally to make decisions which rely on compliance by member states.
These decisions are effectively removed from the arena of representative decision
making because they occur at a level when citizenship provides no opportunity for
representation. More specifically, the WTO provides a conceptual framework for
national decision making (Lang in Higgot & Weber 2005: 443). Similarly, this
constriction of decision making to neo-liberal economic strategy, which Friedman
(1999: 86) ironically refers to as the ‘golden straightjacket’ is seen in situations
that arise from free trade agreements (FTA). The Peru-US FTA contains provision
for a fund manager, Citibank, to sue the nation of Peru at the United Nations or
World Bank tribunal for loss of income, should Peru choose to reverse a
privatisation deal made for managing superannuation. Considering the size of the
claim, Peru would have great difficulty choosing to reinstate government
sponsored superannuation, even if it was in the best interest of the welfare of the
Peruvians (Public Citizen 2007: 3).
Gill suggests that new constitutionalism also consists of those efforts to “contain
challenges to the disciplinary neoliberalism project through co-optation,
domestication, neutralization and depoliticization of opposition.” (Gill 2002: 48)
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He uses an example of the ‘third way’ agenda to show that traditional political
parties based on alternatives to neo-liberalism have been co-opted to support
neo-liberal policy. (Gill 2002: 50) A review of Thomas and Weber’s (1999) article
on the political ramifications of environmental organisations being involved in the
establishment of the North American Free Trade Agreement (NAFTA) suggests
that organisations with agendas alternative to neoliberal policy are in danger of
being co-opted or subverted into supporting the discourse of neo-liberal market
economy.
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civilisation that naturally resolves into the belief that what is good for us, is good
for everyone (Soederberg 2004: 289).
Finally, we can view it as a process initiated on behalf of big business. Gill says
“Disciplinary neo-liberalism is commensurate with interests of big corporate
capital and dominant social forces” (Gill 2002: 48). This would suggest that
market liberalisation is really about supporting the agenda of a class of financial
elite. Market civilisation would simply be a means by which ever expanding
markets could be opened and the social experiences of people increasingly
packaged as a commodity.
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institutional and state power to maintain. The concept of new constitutionalism
itself bears witness to this contradiction. Further, the fundamental contradiction
of continual economic growth in the face of limited resources suggests that neo-
liberal market civilisation is facing a sustainability crisis (Gill 2002: 419).
In this essay, I have reflected on the concepts of disciplinary neoliberalism and its
counterpart, new constitutionalism. Discussing related concepts and looking at
some of the support given by Gill and other writers, I would argue that disciplinary
neoliberalism and new constitutionalism are indeed characteristic of the
contemporary global politics of development. This essay briefly considered a
few of the examples that can be marshalled to support this case. It is important,
however, to consider the motivations behind these concepts. Certainly this can
help shed light on how viable support for alternatives might be. It is clear that
there are a number of ways in which neoliberal market economy is contested, not
only from without, but from internal structural weaknesses. These may provide
avenues for opening up opportunities for discourse. It may be that the case I
have given for contesting market civilisation is positive, so it is good to keep in
mind Stephen Gill’s closing words in his article ‘Constitutiionalizing Inequality and
the Clash of Globalizations’.
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References
Cammack, Paul. 2002. 'Neoliberalism, the World Bank and the New Politics of
Development'. In Development Theory and Practice: Critical Perspectives, eds. U.
Kothari and M. Minogue. Basingstoke, UK: Palgrave. Chapter 9, pp. 157-178.
Evans, Tony. 2007 ‘Disciplining global society’ Studies in Social Justice 1:2 pp.108-
121
Friedman, Thomas (1999) The Lexus and the Olive Tree, HarperCollins, London
Public Citizen. 2007. Peru-US “Free Trade Agreement” would help lock in failed
social security privatization in Peru. Accessed 2 September 2008. Available at
www.publiccitizen.org
Thomas, Caroline and Martin Weber. 1999. ‘New Values and International
Organizations: Balancing Trade and Environment in the North American Free
Trade Agreement (NAFTA)’. In Global Trade and Global Social Issues, eds. A,
Taylor and C. Thomas. London: Routledge. Chapter 7, pp. 133-150.
Weber, Martin. 2001. ‘Competing Political Visions: WTO Governance and Green
Politics’. Global Environmental Politics. 1:3 pp.92-113.