David Bollier's blog

It’s clear that commoners will not only have to make history themselves, outside of ordinary channels, but to write and preserve that history as well.  My colleagues Silke Helfrich and Michel Bauwens are off to a great start.  Independently, they’ve prepared two useful syntheses of some of the more significant recent developments in the commons and P2P worlds.

Silke prepared a timeline that identifies landmarks in the commons movement from the past several years.  The piece just appeared in the Winter 2014 issue of STIR magazine (about which I will have more to say below).  The timeline is on Silke’s blog as well.  Among the highlights: 

The rise of Remix the Commons (2010 – present), an evolving multimedia project about the key ideas and practices of the commons.

The Atmospheric Trust Litigation (2011 – present), which is filing lawsuits under the public trust doctrine to force state governments and the U.S. Government to protect the atmosphere as common property.

The world’s first Open Knowledge Festival in Finland, a week’s events in September 2012, in Helsinki, Finland.  (The next Open Knowledge Festival will be in Berlin in July 2014.)

The Constitutional Assembly of the Commons held with 700 participants at the occupied Teatro Valley, a revered opera house in Rome, in April 2013.

The timeline also has some great illustrations by Hey Monkey Riot.

Meanwhile, Michel Bauwens posted the “Most Important P2P-Related Projects and Trends in 2013.”  He cautions that “most important” “does not mean any blanket endorsement, nor ‘best.’  It just means that it is an important project.”  

I always find it refreshing when people decide to investigate the commons from new angles and in transdisciplinary ways.  So it is a treat to learn about the web journal Lo Squaderno devoting its entire December 2013 issue (#30) to “Commons – Practices, Boundaries and Thresholds.”  The entire issue is available as a pdf file under a Creative Commons BY-ND-SA license.  

Lo Squaderno is “a free web journal devoted to exploring and advancing research movements…. [that] collects original short features by people committed to research in various fields.  Each issue is structured around a thematic focus around the topics of space, power, and society.”  This commons issue, edited by Giacomo DAlisa and Cristina Mattiuci, along with guest artist Andrea Sarti, consists of nine essays in English and three in Italian.   

Below, provocative excerpts from three of the essays.  In “Show Me the Action, and I Will Show You the Commons!” Helene Finiori, building on Silke Helfrich's observations, points out that the conventional ways of identifying common goods, based on their “rivalry” and “excludability,” is unreliable: 

Types of goods are traditionally distinguished based on their degree of rivalry (the extent to which the use of a good by one diminishes the availability for others) and excludability (the extent to which access to a good can be denied or limited). This perspective ignores for a large part the contextual and variable nature of goods in time and under the ‘stress’ of repeated activity. It does not take into account the fact that rivalry can be a matter of perception (a good may be categorized non rival because perceived as abundantly available irrespective of whether self-renewable or not, such as water in ‘wet’ places), of congestion (a good may be non rival up to a point of saturation, such as roads before they get jammed) or of yield point (a good may be non rival up to the limit beyond which there is no more resilience under stress and therefore no more self-regeneration, such as a savannah before desertification).  It does not acknowledge that low rivalry goods can also be depleted and made unavailable as a result of toxic outputs of activity (externalities). Neither does it consider the fact that property and access, in other words excludability, create artificial boundaries that businesses for example are constantly seeking to expand by inventing new property rights or business models, as part of their ‘natural’ quest to extend the perimeter in which they can generate and capture value. The examples of patented seeds and attempts to patent the human genome are the most striking.

The Green Party of England and Wales really knows how to stake out some fresh territory in their national politics!  At the autumn conference, the Greens adopted a resolution calling for “a programme of reform to remove the power to create money from private banks, and to fully restore the supply of our national currency to democratic and public control so that it can be issued free of debt and directed to environmentally and socially beneficial areas.” 

Bold thinking!  The Greens explain why the existing banking system is so pernicious: 

"The existing banking system is undemocratic, unfair and highly damaging.  Banks not only create money, they also decide how it is first used – and have used this power to fund financial speculation and reckless mortgage lending, rather than to finance investment in productive businesses.  Through the interest charged on the loans on which all credit is based, the current banking system increases inequality.  It also regularly causes economic crises:  banks create and lend more and more money until the level of debt becomes unsustainable, boom turns to bust, and the taxpayer bails out banks that are ‘too big to fail.’  Finally, the need to service the growing mountain of debt on which our money is based is a key driver of unsustainable economic growth that is destroying the environment."

The right to create money and profit from it is known as seignorage.  Banks currently enjoy this right and exercise it through their lending, which creates most of the money in circulation.  Governments have effectively let banks privatize control of the money supply.  In so doing, governments have forfeited the opportunity to provide debt-free lending to support productive enterprises and public needs as opposed to fueling boom-and-bust speculation and relentless economic growth that destroys the environment.

Reclaiming seignorage for public benefit has been a serious idea among many progressive economists for years.  A notable figure in this regard is James Robertson, the founder of the new economic foundation in Great Britain, in 1986, who has championed this issue for years.  Robertson’s most recent book Future Money explains how re-gaining public control over how new money is created and circulated could result in “an annual savings to all citizens of the UK of £75bn, and second in a one-off benefit to the public purse totalling £1.5bn over a three-year transition period.”

Coming Soon: Think Like a Commoner

My year got off to a zippy start when Ralph Nader named my new book – due out in February – as #1 in his list of “Ten Books to Provoke Conversation in the New Year.”  Thanks, Ralph!

Think Like a Commoner:  A Short Introduction to the Life of the Commons is my attempt to introduce the commons to the lay reader and concerned citizen. I wanted to explain the commons in simple but not simplistic language while pointing toward the many deep and complicated aspects of the commons, and to the diverse points of entry to the subject.  My publisher is New Society Publishers, known for its environmental and activist-minded books.

Think Like a Commoner is my best effort to provide a succinct, lucid overview of the commons. In relatively short chapters, I discuss its history, academic scholarship and many cultural variations.  I explore the political and economic implications of the commons and dozens of activist fronts and working projects.  I also look at the international commons movement and provide a list of further reading and other resources. 

It’s no exaggeration to say that it’s taken me fifteen years to write this book!  While Silent Theft, my first foray into commons research and scholarship, came out in 2002, I’ve had quite an odyssey of reading, debate, conference-going and reflection over the past decade.  I decided it was important to circle back on myself to try to make better sense of the commons, ten years later, and to try to communicate it more clearly.

Now it's on to the public outreach / marketing stage of the book.  For that, I'm grateful to climate change activist Bill McKibben for his supportive blurb:  “The Commons is among the most important and hopeful concepts of our time, and once you've read this book you'll understand why!” 

Now that free market dogma has become the dominant narrative about value – and yet that narrative is neither credible nor readily displaced -- we are descending deeper and deeper into a legitimacy crisis.  There is no shared moral justification for the power of markets and civil institutions in our lives.  Since the 2008 financial crisis, the idea of “rational markets” has become something of a joke.  There are too many external forces propping up markets – government subsidies, legal privileges, oligopoly power, etc. – to believe the textbook explanations of “free markets.”

This is a serious quandary.  We’re stuck with a threadbare story that few people really believe -- the “magic of the marketplace” advancing human progress and opportunity – and yet it is simply too useful for elites to abandon.  How else can they justify their entitlements?  These are among the themes explored in an astute new book, The Ethical Economy:  Rebuilding Value After the Crisis  (Columbia University Press, 2013), by sociologist Adam Arvidsson and entrepreneur/scholar Nicolai Peitersen. 

The implicit “social contract” that people have with the reigning institutions of society is coming apart.  As the authors note:  “Three decades of neoliberal policies have separated the market from larger social concerns and relegated the latter to the private sphere, creating a situation where there is no society, only individuals and their families, as Margaret Thatcher famously put it, and no values, only prices.”  Meanwhile, the catastrophic ecological harm being caused by relentless consumerism and economic growth is becoming all too clear, especially as climate change inexorably worsens.

Our “value crisis” is tenacious, say Arvidsson and Peitersen, because we have “no common language by means of which value conflicts can be settled, or even articulated.”  Few people believe in “free markets” and government as benign, mostly responsible influences any more; there is simply too much evidence to the contrary.  And who believes that the Market/State as constituted can solve the many cataclysms on the horizon?

Arvidsson & Peitersen’s ambitious goal is to outline a scenario by which we might come to accept a new, more socially credible justification for socially responsive production and governance.  They want to imagine a “new rationality” that could explain and justify a fair, productive economics and civil polity.  A tall order! 

While I don’t agree with all of their arguments, they do make a penetrating critique of the problems caused by neoliberalism and offer some useful new concepts for understanding how we might imagine a new order.  The Ethical Economy provides a bracing, sophisticated look at these issues.

Some communities in Ohio are fed up by the way that corporations, colluding with state legislatures, simply override the concerns of local communities.  Communities are often helpless in preventing their local environment from being blighted by hydrofracking, factory farming, and the extraction of groundwater supplies, among other enclosures of the commons. 

So, banding together as the Ohio Community Rights Network, community members from eleven Ohio Counties recently released "The Columbus Declaration," which calls for a movement to “elevate the rights of people, their communities and nature above the claimed ‘rights’ of corporations.”  The goal of the movement is to secure “local community self-governing rights through constitutional change.”

The Ohio Community Rights Network plans to form 88 county chapters throughout the state and seek a statewide constitutional convention to “guarantee that the people in every City, Village and Township of Ohio have the ability to protect the health, safety, welfare and fundamental rights of residents, free from state preemption or corporate interference.”

The campaign is the outgrowth of work by the Community Environmental Legal Defense Fund CELDF), which has worked with a number of Ohio communities in fighting fracking, drilling and injection wells throughout the state.

The Columbus Declaration may seem like a small, marginal project, but at a time when oil companies, big box stores, industrial agribusiness and transnational water bottlers can march into most communities and more or less override community sentiment, this initiative strikes me as one of the more promising legal vehicles for communities regaining some measure of control over their futures.

Why Not Tax Monopoly Rents?

Some interesting material coming out of Prosper Australia is a Melbourne-based organization and its partners, Earthsharing Australia and the Land Values Research Group.  A new report entitled “Total Resource Rents:  Harnessing the Power of Monopoly” (pdf file) finds that nearly one-quarter of Australia’s GDP comes from unearned income, not the 2% that neoclassical economists claim. 

This means that ten times greater revenue could be raised through taxing unearned income from monopolies than previously thought.  It also means that nearly half of Australia’s government revenues could be raised through channeling revenues from the real estate boom to more productive purposes.  In the process, income, company and sales taxes – along with 122 other current taxes – could be eliminated.

Report author Karl Fitzgerald, “the Renegade Economist,” describes the implications of the findings of the report:

“Unearned incomes equate to 23.6% of GDP and could be taxed without pushing up pricing structures. Most economists dismiss economic rents at just 2% of GDP. This report finds the free lunch driving the wealth gap is ten times greater than mainstream economists acknowledge. 

“Prices could fall by some 20% by reducing the number of taxes from 126 to 24” stated Fitzgerald. “The compliance and deadweight losses are a huge cost that fall disproportionately on small business.”  This reform offers a more efficient and equitable economic system, valuing productive over speculative activities.

Australia taxes productive work while averting its eyes from the incredible windfall gains handed to those who own monopoly rights. Victorian abalone licenses were sold outright for just $6 in the late 1960′s. Each license can now be leased out yearly for a reported $100,000. This unearned income can be taxed without affecting productive outcomes.

Readers of my blog may recall the announcement several months ago of Michel Bauwens’ appointment to head a strategic research project for the government of Ecuador. Under the auspices of the Free/Libre Open Knowledge (FLOK) Society Research Project, Bauwens and a small team have embarked upon an ambitious effort to imagine how to “remake the roots of Ecuador’s economy, setting off a transition into a society of free and open knowledge.” 

The Project is now seeking the help of people around the world who are engaged in transformative social change inspired by open knowledge, co-operation, and the building of commons.  Here is a lengthy excerpt from the FLOK Society’s letter:

Our aim is to finalize proposals to be presented at a conference in April 2014, which will bring together the President, government officials, civil society participants, and global experts on the commons. The project received its impulse from IAEN Rector Carlos Prieto, Project Leaders Xabier E. Barandiaran & Daniel Vázquez, and Research Director Michel Bauwens.

Here is the link to the FLOK Society project: http://www.floksociety.org

The project seeks the involvement and input of local civil society, but also includes an explicit appeal to the global co-operative and commons movements to assist us with advice and policy proposals. It is our belief that the Ecuadorian people will be inspired by the best of what is happening abroad, in all countries of the world. Hence our appeal to you, global co-operators and commoners.

If you are engaged in transformative social change that is inspired by open knowledge, co-operation, and the building of commons for the well being of all, we ask you to send us information and benchmark proposals on leading local or global initiatives in your area of expertise.

Imagine a society that is connected to open knowledge commons in every domain of human activity, based on free and open knowledge, code, and design that can be used by all citizens along with government and market players without the discrimination and disempowerment that follows from privatized knowledge.

A fascinating new report just published by Co-operatives UK describes the huge potential of community land trusts and other forms of mutual housing and enterprise. Commons Sense:  Co-operative place making and the capturing of land value for 21st century Garden Cities brings together a wealth of insight into the practical solutions that community land trusts (CLTs) can provide. 

By converting land into commonwealth – capturing escalating land values for everyone’s benefit – it is possible to make housing more affordable and to finance all sorts of infrastructure and services that make communities more stable, attractive and thriving.  What’s not to like?  (Well, if you’re a bank, private landowner or speculator, you may not like the competition of a superior financial model.)

The Commons Sense report, edited by Pat Conaty of Cooperatives UK and Martin Large of Stroud Common Wealth, succinctly describes the basic problem:

The high cost of housing is draining money out of the productive economy, mainly through land and house price inflation, with damaging effects for national and individual household budgets.  Many new homes are unaffordable to ordinary working people, some offer poor value for money in terms of quality or construction, design and energy performance, and cost pressures frequently drive out good design in the spaces between buildings and in the concept of supporting new neighbourhoods.  Many new developments are socially, environmentally and economically obsolete from the moment they are conceived, let alone designed or built.

Conaty and Large note that in Britain, only 0.6% of the population – 36,000 people – own about half of the land.  This is a significant structural reason for soaring housing prices and continuing wealth inequality.

A New Zealand publication, Freerange, has published an artful collection of essays about the commons for a popular readership.  The publication focuses on a wide range of commons themes, including urban commons, global pharmaceuticals, Maori society, the commons possibilities in food activism, and early childhood education as a commons.  A free download can be had here, or a beautifully designed print version can be ordered here.

I was captivated by an interview with Anne Salmond, a New Zealand historian and anthropologist, who pondered the different cosmological outlooks of Māori, as commoners, and Westerners, as neoliberals.  She notes that, for the West, “the Order of Things, which is based on Cartesian logic, divides mind from matter, the observer from the observed, and culture from nature…..”  

But for the Māori, not to mention quantum physics, brain sciences and the life sciences, a very different order prevails – “the Order of Relations.”  This worldview, she explains, bases its forms of order on “complementary pairs of elements and forces linked in open-ended arrays, often ordered as networks or webs (for example, the internet), interacting in exchanges that drive change while working toward equilibrium.” 

Such relational perspectives are much more adaptive and open to collaboration and incoroproation of other ideas, says Salmond, than the non-adaptive myths of Western thought” that are destroying our bio-physical systems.  It is easy to slip into the dualism of Western thought that polarizes “the material” with “the spiritual.”  The point is that in relational worldviews, the two are integrated.

In an essay, Barnaby Bennett reflects on “the commons that can’t be named” -- and that therefore remain invisible  He notes that our own language establishes “a veil between our lives and that which-is-not-named, the things and stuff that are too big, too small, too complex, too profound, too obvious, too complete or too ubiquitous to see.  In doing so it is too easy to forget the common grounding of reality.”

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