Book Review: The Shock Doctrine

We live in a world that loves conspiracy theories. Conspiracy theories were critical to the success of Fox's The X-Files that dominated the television scene back in the 1990s. Conspiracy theories were a critical element of the blockbuster novel The DaVinci Code. Conspiracy theories are at the heart of many accounts of the mysterious events that occurred at Roswell, New Mexico. Detective Munch's belief in conspiracy theories is a recurring element of the Law and Order character's personality. And a conspiracy theory of monumental proportions is at the heart of Naomi Klein's new book The Shock Doctrine, The Rise of Disaster Capitalism.

Conspiracy theories are often discounted as products of overactive imaginations and that, it seems, is the response that some critics in the "serious" business press seem to have taken when reviewing Klein's book. Having just finished the book, though, I think she may be onto something -- and it ain't pretty.

The Shock Doctrine details case after case of situations where governments took advantage of natural and man-made disasters to manipulate the kinds of whole scale economic changes advocated by Milton Friedman and the so-called "Chicago School" of economics. The changes included privatizing state-owned enterprises, reducing controls on capital, reducing wages and eliminating protection for workers, and vastly increasing the ranks of the unemployed. Although Friedman and friends argued that these kinds of economic transformations would lead to a "trickle-down" of wealth as the efficiency of the market took over from the inefficiency of controlled economies, the reality is a world where the Haves have more and the Have Nots have less.

On the whole, I find Klein's arguments that neo-liberal politicians have taken advantage of disasters to further their political and economic agenda to be convincing. I am less comfortable with Klein's assertion that the gross violation of human rights such as torture, institutionalized murder, and "disappearing" regime critics are directly related to the Chicago School's economic theory. Having said that, there is no doubt that the violations which Klein chronicles did occur after attempts to radically restructure the economies of countries as diverse as Chile, Argentina, China, and Iraq.

I must confess that at times I found The Shock Doctrine a bit depressing. Happily, the final chapter provides a glimmer of hope. Unlike many conspiracy theories, the villains in Klein's book do not have to prevail in the end.

The Shock Doctrine, The Rise of Disaster Capitalism
Naomi Klein
Alfred A. Knopf, Toronto, 2007
ISBN: 978-0-676-97800-1