Column 8: How the Developing World Can Attain Full and Equal Rights

by Dr. J.W. Smith

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Though it will be firmly denied, the developed world-America, Western Europe, and Japan-are an allied imperial-center-of capital. Never would they impose upon one another the structural adjustments they are enforcing upon the developing world.

In previous columns and our books, we addressed how the wealth of the developing world is siphoned to the wealthy world through extreme inequality of pay for equally productive work. All wealth comes from resources and most resources are in the developing world. Yet the resource-poor imperial nations are wealthy and the resource-rich nations on the periphery of empire are poor.

The wealth of the periphery pouring into the imperial centers is explained by the simple formula high pay divided by the low pay squared. If the poor nation's equally-productive labor is paid $1 an hour and the wealthy nation's labor is paid $10 an hour, that is not a 10 times differential in retained wealth. It is an exponential 100 times differential.

Allowing one hour as one unit of wealth, the poorly-paid worker must work ten hours to produce one unit of wealth from the well-paid worker or nation while the well-paid worker can purchase 100 units of wealth from the poorly-paid worker or nation. Increase that pay differential to 20 times (50 cents an hour labor against $10 an hour labor) and the capital accumulation differential increases exponentially to 400 to one.

If the developing world is to ever gain full rights and equality they must negotiate with the developed world for fair value for their resources and for equality in pay for equally productive work. The developed world will not want to negotiate. In defense, blocs of the developing world must ally together.

Of course, the developed world still will not want to negotiate. But Mahatma Gandhi of India has shown how to force that negotiation. If Third world labor refuses to mine or haul that ore, cut or haul that timber, or load those ships, the developed world will have no choice but negotiate. The followers of Gandhi refused to work for the British Empire, massive suppression ensued, the labor of India still refused, British soldiers could not stomach imposing further unjust violent suppression, and Britain gave up on the pillage of India.

Once at the negotiating table, the rules for providing full rights and equality must be decided upon. Our suggestions are:

Only through a cohesive population and an allied region can peacefully obtain full rights and equality. Thus the responsibility of each is to alert as many as possible and organize to attain full rights and freedom. People are good. Prove to philosophers and negotiators in the wealthy world that peace and prosperity for all is possible and many will recognize they have been misinformed and support you.

Our next column will demonstrate how, under these rules, the world can be developed to a sustainable level and poverty largely eliminated in only two generations.

Full List of Columns:

  1. Equal Pay for Equally Productive Work
  2. From Plunder by Raids to Plunder By Trade
  3. Exposing the Invisible Borders of Adam Smith Unequal Free Trade Capitalism
  4. The Developing World Can Leapfrog the Undeveloped World
  5. Regaining Your Full and Equal Rights to Land
  6. Reclaiming Full and Equal Rights to the Benefits of Technology
  7. Reclaiming Full and Equal Rights Through a Modern Money Commons
  8. How the Developing World Can Attain Full and Equal Rights
  9. Developing the World to a Sustainable Level and Eliminating Poverty in Two Generations
  10. Cooperative Capitalism: the missing 'human face' of economics; Keynote Speech, Radford University