Reviews

- Jeremy Agar

OTHER PEOPLE'S WARS
New Zealand In Afghanistan, Iraq And The War On Terror
by Nicky Hager, Craig Potton Publishing, Nelson, 2011, $44.99

Shoot The Messenger

When “Other People’s Wars” came out, almost before we knew what the book was about, we were offered the Prime Minister’s view, which was that Hager had “no evidence” for his critique, but that whinging was “business as normal for Nicky Hager”. The PM wouldn’t open the book because “I don’t have time to read fiction”. If Key did read fiction he might become a more rounded person, but, within his self-imposed limits, he could have a look at this book because it’s non-fiction. It’s brilliantly, relentlessly true. It is essential reading. Would the main electoral alternative to the Key view of the world allow us to consider the central issue to do with our presence internationally? No. Leader of the Opposition Phil Goff was equally as kneejerkingly contemptuous as Key. What a waste.

The book’s launch came two days into Jerry Mateparae’s new gig as Governor General. The former Chief of the New Zealand Army chimed in with his opinion that Hager’s criticism of troops’ work in Afghanistan “doesn’t sit with being a New Zealander”. The former Major General elaborated with a series of the sort of empty platitudes long favoured by military types. He had “every confidence” in the “young men and women” who were enduring “trying circumstances... in that troubled land”. This sort of stuff was doubtless all very soothing to those who wanted to be soothed, but it didn’t address the questions that Hager raised, and it’s no reason to call Hager “abhorrent”. Chief of Defence Force Air Vice Marshall Sir Bruce Ferguson waded in with all the “to my knowledge” and “to my certain knowledge” disclaimers that are always offered by public figures on the defensive. He knew nothing and saw nothing.

Since then more responsible comment has established that Hager’s charges are irrefutable, in that they are buttressed by a painstaking, detailed - and fascinating - series of footnotes. Media coverage has discussed some of the central aspects: that Americans, almost certainly Central Intelligence Agency (CIA) agents, were “invariably present” at the New Zealand base in Afghanistan; that NZ took part in American operations; that NZ had an agent in Pakistan. The one thing a writer of Hager’s reputation and integrity would never do is leave gaps for the yahoos to exploit. He’s careful with sources.

Besides, the attacks on Hager happened to coincide with the fall of Gaddafi’s Tripoli, and the discovery of files documenting that the American CIA, the British MI6, Italy, France, Germany and Greece had long been up to the sort of tricks that Hager was discussing. In one neat juxtaposition the Press ran adjacent stories, the first of which, from 2004, told of British complicity in delivering a rebel leader to Gaddafi’s torture chambers. The headline below, based on current expediencies, referred to Gaddafi as a rat in a tunnel. This from the outfits now claiming purity and consistency

The moral flexibility that affairs of State require trapped denigrators like Goff and US bureaucrats into logical confusion. There were repeated instances of official denials that anything wrong had happened in Iraq or Afghanistan; (the outraged gambit) clashing with remarks that a bending of the rules was “not a surprise” as, in war, you “often work with” dicey types (the realpolitik gambit). Hager was being simultaneously attacked as a devious liar and a naive simpleton. Had the politicians opened the book, they would have done themselves a favour, but that would have meant allowing themselves to consider new perspectives, and this is not to be expected from ambitious conformists. In a crisis our leaders’ default position is to present themselves as Muldoonist bullies. If only they would play the ball and not the man, but they can’t play the ball because if they did, they’d lose. So, while official denials were inevitable, they could have been presented with more grace.

Impeccable Inside Sources

As with “The Hollow Men” *Hager’s vital sources were dissidents from within the Wellington bureaucracies, who spoke very much off the record. The opinions they offered are consistent with mainstream views of other articulate and informed New Zealanders, and as such, are convincing. In January 2011 Defence Chief, Lieutenant-General Rhys Jones, made one such statement when he suggested that “the military can never win” in Afghanistan. That the State apparatus hosts traditional conservatives and liberals, and that they would have to stay mum, is a given. Also unsurprising is the evidence of the extent to which New Zealand soldiers distrusted, and even despised, their American counterparts. *Nicky Hager’s “The Hollow Men” was reviewed by Jeremy in Watchdog 114, May 2007, http://www.converge.org.nz/watchdog/14/03.htm. Ed.

The Government had good reason to want to shut down discussion. The biggest heresy, in their eyes, would have been Hager’s demonstration that Army leaders were undermining the Labour government of the day, but this, too, is what you’d expect. Commanders are given to holding very Rightwing views about world affairs and their opposition to policies like withdrawing from the ANZUS Treaty (with the US and Australia) and becoming nuclear free has surely always been assumed by most who know how New Zealand works. Even in America, where the politics have always been resolutely in favour of military muscle, there have been tensions between commanders in the field and the Commander in Chief. There was General MacArthur, in the 1950-53 Korean War, who defied President Truman, and, more relevantly, President Obama had to sideline a belligerent commander in Iraq.

When spies and secret services get up to their tricks they don’t tell the civilians to whom they’re accountable. It’s standard practice to allow Presidents and Prime Ministers “deniability”, the idea being that if you don’t know something then you don’t have to lie about it. It’s well known that the State Department will “neither confirm nor deny” what it sees as State secrets. So when our leaders say they know nothing of the misdemeanours Hager analyses they’ll be telling the truth. But it’s not the whole truth and nothing but the truth. For that we have to follow Hager’s story, which repeatedly shows that uncovering the whole truth would be a threat to the Government’s spin on events. The Ministry of Defence worked to suppress bad news. In one instance that Hager cites it blanked out passages about how things weren’t working out on the grounds that if the citizens of New Zealand had accurate information about life in Afghanistan it would be bad for “the security and defence of New Zealand”. This is not discretion about operational details of the sort that is justifiably evoked whenever citizens query Special Air Service (SAS) activities. It’s the sort of censorship that normally marks dictatorships. In a 2009 review the Government deleted two key sentences, which read: “The situation in Afghanistan is fragile, probably more so than at any time since 2001. Security has been steadily deteriorating...”.

Very occasionally contrarian opinions surface in leading media. “The people of England”, complained a London Times editorial, “will not be dazzled by the glare of brilliant actions when they lead to no useful consequences; and what is the consequence here? We have hitherto done nothing, except place an incapable tyrant, hated by his people, upon a throne...in which he can only maintain himself with the aid of British arms...”. Reacting to the same British invasion of Afghanistan, a politician complained that the foray was “unnecessary, unwise and most unjust”. This sounds contemporary but the year was 1842, and the Victorian critics were validated to an extent that would not now be possible, as not long afterwards, 16,000 British soldiers lay dead, ambushed as they marched along a deep valley floor near the Khyber Pass.

The Army had been dispatched to counter a scare that the Russians were about to march over the mountains into India. If there’s something that everyone thinks they know about Afghanistan it’s that twice both the Brits and the Russians have had a rough time. Then it’s said that it’s impossible for outsiders to win a war there. A marvellous aspect of “Other People’s Wars” is that not once in 439 dense pages does Hager repeat this bit of trite conventional wisdom. He’s not about to trot out unexamined folklore. He does mention an armchair military theorist who prattles on about a 2,400 years history of turbulence in Afghanistan, but that’s in the context of showing the man’s mindset. Hager, always on topic, doesn’t go after easy targets. His narrative, however, allows us to reflect that just because something’s happened a couple of times (over 150 years, not 2,400 years) it doesn’t mean it’ll happen again. For a start, the deployment of Western troops and the relative balance of technology today bear no relationship to the chaos of 1842. This point is worth making: Hager is always specific and always bases himself on empirical facts. There are some obvious permanent aspects - like its corruption, tribalism and geography - which makes an invasion of Afghanistan an unlikely prospect, but serious analysis demands that these be established, not assumed.

In fact, in 1842, the Russians weren’t coming (is every war based on misapprehensions about other people’s intentions?) Hager uses this as a lead into an interview with a US foreign service man who outlines the several similarities between the current mess in Afghanistan and the rape of Vietnam 50 years ago, a conflict that comes to mind because it too was said to be about repelling Russians - but they weren’t coming then either. In both cases, the invasions failed (or will fail) because the insurgents had safe sanctuary, because the locals resented decades of imperial aggression, because a north-south civil war subverted the hope for a united pro-Western colonial state, because offensive US troop behaviour inspired guerrilla resistance, because the regimes installed by the West had no legitimacy and little reach beyond the capitals, and because corrupt warlords had their own agenda.

If strategy was dreadful; so too were tactics. In both cases US sorties into the hinterlands were doomed to fail. In Vietnam the futility was called “search and destroy”; in Afghanistan it was tagged “clearing operations”. Hager’s source is describing both scenarios when he comments that the idea was “to find easily replaced weapons or clear a tiny, arbitrarily chosen patch of worthless ground for a short period, and then turn it over to indigenous security forces who can’t hold it, and then go do it again somewhere else.... chasing illiterate teenage boys with guns around the countryside [and] answering the enemies’ prayers by blowing up compounds with air strikes to martyr more of the teenage boys”.

That’s seven obvious parallels, none of which can have been apparent to the war planners in Washington and London. But, suggested Hager’s interviewee, there’s one crucial difference. Unlike Vietnam, Afghanistan is “not one insurgency but several connected ones”, making it even more likely than in Nam that the invasion will fail. You suspect that Hager himself might have already discerned these patterns, and sought out a sympathetic source to say them, such is the width and seriousness of his approach.

Getting NZ Back Into America’s Good Books

But perhaps the derring-do in Afghanistan will not ultimately prove to be the most important influence on NZ. Hager has untangled the way in which the ground wars have served as a pretext for high-tech surveillance to be developed so that NZ is brought back into the US fold. America has what it calls “Tier One Special Operations Forces”. The five lucky ones in the team are the US, the UK, Canada, Australia and New Zealand. What else does this quintet have in common? Yes, they’re the Echelon partners (Echelon is the code name for the programme operated by the five nation spy network that systematically listens in to civilian telecommunications sent by satellite. Echelon involves searching for keywords in the oceans of electronic chatter. New Zealand is the junior partner in the super-secret UKUSA Agreement, whereby the electronic spy agencies of the US, UK, Canada, Australia and New Zealand divide up the world for electronic spying purposes. The biggest Big Brother is the US National Security Agency. There is a global network of electronic spybases. The one in New Zealand – effectively a US spybase, albeit one manned, and paid for, by New Zealanders - is at Waihopai, in Marlborough, and is operated by the NZ Government Communications Security Bureau, which is NZ’s biggest spy agency. It was the subject of Nicky Hager’s groundbreaking first book, “Secret Power”, published in 1996. Ed.).

“SIGINT (signals intelligence) operations were defined by [the] response to the terrorist attacks of 11 September 2001, and the consequent heightened demands for those services”, a confidential source reveals. Here the link between the “war on terror” and the stuff that goes on at Waihopai is explicit. And in 2004 a secret Wikileaked cable home from the US Ambassador asked for an additional man to “advance US interests in New Zealand by improving liaison and cooperation on vital signals intelligence matters. This is an area where the US and New Zealand already work closely and profitably, and continuing to build and expand that relationship clearly stands to benefit both countries. This is especially true in the post-September 11 environment, where NZ SIGINT capabilities significantly enhance our common efforts to combat terrorism in the region and the world”.

Obviously no word of these machinations could be allowed into the public domain and the US was taking no chances. Hager was told that the Ambassador paid a visit to the Editor of the Dominion Post to ask him not to run Robert Fisk, a British columnist who has been scathing about US policy. To his credit, the Editor refused to comply. Poor Helen Clark (Labour Prime Minister 1999-08).It can’t be doubted that her opposition to NZ’s involvement in the wars was deeply felt but the pressures were intense. In 2007 a secret US cable reported that Clark was “willing to address targets of marginal benefit to New Zealand that could do her political harm if made public”.

SAS & SIS

One way that all the belligerents, whether overt or half-hearted, could muster support for what was hopefully called “peacekeeping” and “nation building” in Afghanistan was to tell good news stories. There haven’t been many, but the Special Air Service (SAS) has long been a favourite of the media, who have created a romance around it, a mood which grew ecstatic when Willie Apiata was awarded the Victoria Cross for his bravery in Afghanistan. In reality, the SAS has a grubby history. It was formed in 1955 by the UK to repress nationalists in Malaya. It then went to Indonesia and Vietnam, where it helped in the killing of millions of Indonesians and Vietnamese to make Asia safe for corrupt dictatorships. The British and New Zealand people were told that the mass murder was needed for the sake of freedom and honour, but the wars were waged to protect the profits of transnational corporations. SAS mystique is enabled by the secret squirrel silence that means we don’t know what it is doing, let alone why.

New Zealand’s secret State has been well looked after. Hager shows that in 2004, when the Government was trimming core domestic services, the lads of the Security Intelligence Service (SIS) got a big funding increase. In the tortuous words of the spooks, the spend-up was all about an “expansion of the Service’s technical operational capability in areas including interception operations conducted under a warrant, secure operational communications and photographic capacity”. As part of “doubling the Service’s counter-terrorist capability” a security liaison officer was based in Washington. All this was to counter the “threat of international terrorism” and the “perception” of it.

Back in the real world New Zealanders had not felt threatened by international terrorism either side of 2004, and since we have found out that Osama bin Laden was not hiding out in the Ureweras after all, we’ve been vindicated. That’s where “perceptions” come in handy for the spymasters, who need to justify their existence. They perceived the dangerously Arab-looking Ahmed Zaoui to be a terrorist threat. People are free to perceive whatever they feel like, and the NZ spies have not lacked for dupes. When Paul Henry perceived Zaoui, he didn’t like the sight. “I don’t care if we shoot him and send him out in a dog food can”, was the response of the (then) TV host, a man who doesn’t care for people with moustaches. Officialdom eschews overtly bigoted language, but not necessarily the attitudes that inspire it. Hager lists nine nasty groups to which, in the eyes of an Immigration official, Zaoui belonged. In the real world he belonged to none of them.

Hager relates other misadventures as the SIS harassed Tamils, Iraqis and Iranians, citizens of places with whom NZ has no issues. They’re American obsessions, but, in the Wikileaked words of the US Embassy, New Zealand “must give to get”. The gist of American attitudes is revealed by a State Department official (the US version of Foreign Affairs) who lectured a willing NZ counterpart that the NZ government needed “to find more opportunities to say ‘yes’, particularly on high-profile issues of importance to the US government”. Another Wikileaked Embassy cable referred to New Zealand’s decision to “sit out” the Iraq invasion, phrasing which suggests that the junior partners weren’t “pulling their weight”. Sometimes the tone has been outrightly aggressive, as when a US official noted that “we must be careful not to allow ourselves to be painted by the Clark government as bullies telling Kiwis how to spend their tax dollars.... We believe the message themes outlined above will reduce the Clark government’s wiggle room on whether it prefers to work with us and Australia in the region, or against us”.

“First Worlders” & “Other Worlders”

“Or against us”. How anachronistic can you get? This is the mindset of the 1950s, the era when America launched its Cold War and the then Secretary of State notoriously declaimed that “you (that is, the whole world) are either for us or against us”. Even now, after 60 years of arrogant folly, the Yanks still want the universe to fall in behind. There’s a tellingly snide reference to New Zealand’s “multilateralism”, the policy, that is, of charting an independent foreign policy and striving to have good relations with other countries in our region. The State Department is not at all keen on the United Nations and peacekeepers and all that malarkey and the Clark Government’s interest in the Pacific and Timor-Leste were seen as irresponsible diversions from its US-imposed function as a host of nuclear armed ships and an unquestioning junior partner in ANZUS.

Bush’s Ambassador to NZ at the time was a certain Charles Swindells, who, in a pattern beloved by Republicans, was being rewarded for his multi-million dollar donations to the Bush election campaign. Swindells’ views of the little country down under were clear. There are two types of New Zealanders. A precious few lived in the “first world”, where the US was a cherished ally and defended all that is good and right. Then there was the ignorant majority, who lived in the “other world”. They “viewed the US with suspicion or hostility”. Other worlders included “most politicians, media, academics and much of the public”.

Other worlders hold an “internationalist” perspective, another coded reference to the Clark Government’s respect for the United Nations and its attempt to forge a foreign policy that is guided from New Zealand and based on our own strategic interests. The relevance of the division between the two worlds goes beyond the obvious reference to the war on Iraq. It’s another reversion to Cold War rhetoric, which speaks of the world beyond the US and its closest allies as a sullen, threatening horde of aliens and ingrates.

The local Establishment seems to have consistently prostrated itself to earn brownie points. Hager cites an NZ Defence official whose plea to his American mentor to “help us get out of the hole we have dug for ourselves” is effectively insubordination, a disavowal of his Government’s instructions, an attitude that - if it occurred in the USA - would get him fired in disgrace. When Ferguson chewed the fat with a US military leader he was ‘[p]articularly critical of the Labour Government’s unwillingness to think creatively about how to restore the trust and credibility New Zealand has lost by Labour’s handling of the anti-nuclear dispute... and of National’s unwillingness to address directly the need to resolve the anti-nuclear dispute”. Cue Don Brash.

Reacting to the Gulf War, Simon Power, National’s defence spokesman, proclaimed that “where Britain, the United States and Australia go, we go”. You sometimes wonder if National Ministers know any of their country’s history, so Power might or might not have known that he was pastiching Michael Joseph Savage’s statement that “where Britain goes, we go”. Let’s assume he did know. It wasn’t a good idea. It means that Power felt the country’s appetite to join Bush in Iraq and Afghanistan would be as keen as it had been to join the fight against Hitler. It means that the person who was guiding the future Government’s defence policy thinks that New Zealanders’ relationship with the Mother Country hasn’t changed in 70 years. It means that he thinks that the Second World War and the Gulf War were morally and strategically equivalent. Reaching for Churchillian grandeur, the defence spokesman had grasped bathos. As Karl Marx observed, historical events often occur for the first time as tragedy, and for the second time as farce.

At the centre of power in Wellington was a man called Maarten Wevers. The chief of the Prime Minister’s Department and a former top man in Foreign Affairs, he represented orthodoxy. As such he pleaded with a US official to deter Venezuela and Cuba, who “are now coming into the Pacific”. Venezuela and Cuba of course are the bad guys, but shouldn’t people in Wevers’ position touch base with reality? Neither Venezuela nor Cuba has ever had any military presence in the Pacific. Neither country has either the motive or the capability to conquer the Pacific, and if they did, would not the USA, which has a certain history with Venezuela and Cuba, know about it? Would the USA need NZ’s leadership to forge a new Caribbean policy? A partial explanation for this absurdity is found in Wevers’ reminder that Venezuela and Cuba were behaving just as had “the Russians in the past”. This suggestion would be baffling unless we know that 30 years ago Foreign Affairs became obsessed with a non-existent Soviet threat to the Pacific. Wevers was being nostalgic for the simpler good old days of a bipolarly disordered world when his Department could invent justifications for the American war on common sense.

The military like to express themselves in a Latinate language that sometimes resembles English. As part of something called “interoperability”, the military established a “quadri”, short for “Quadripartite Working Groups”, or QWG’s. You know without being told who’s in the quartet. They’re the US, the UK, Canada and Australia. Who’s not a quadri, but would be if a fifth member was admitted? Again we don’t need to be told. NZ isn’t formally in the club but we’re allowed to tag along. The quadris are the Echelon partners minus the errand boy. NZ’s ambiguous status says it all. We’re part of, and not part of, “the war on terror”, according to a need for deniability that’s convenient for all five quins. 2003, when the quadris’ conference was held in Wellington, might have been when we passed a halfway step of being allowed back into the warmongers’ camp.

Power Struggle In Military Leadership

Throughout the decade of American wars there was a big, and mostly unpublicised, increase in NZ’s military spending as the Government splurged on toys which are of no use to the country, but plenty of use for the global “war on terror”. Hager highlights the buying of electronic equipment for six Orion planes for a cool $500 million. A favourite way to waste money was propaganda. In 2010/11 the Defence Force Communications budget was $2,731,675, up from around $1.5 million two years earlier (Sunday Star Times, 11/9/11). Defence officials learned the art of “media product vetting” as the department frittered over $16 million with advertisers Saatchi and Saatchi on what is called promotion. That’s something in addition to advertising, which claimed a further $4.2 million.

This followed a power struggle within the armed services. Hager makes sense of the otherwise inscrutable media slighting of the Army Chief, who was due to take over as head of the three services. He was successfully undermined by the Navy and Air Force. According to Hager’s account, the reason was that the latter were more into the high-tech spying stuff, whereas the Army was associated with NZ’s peacekeeping roles that so displeased the usual suspects. Incredibly, by 2010, the NZ Air Force could boast five squadrons, 207 squadron leaders, 66 wing commanders and 19 group captains. That adds up to one officer for every three other ranks. The flyers seem to be keen to emulate their counterparts from old movies, given to cliches like how strike planes help them to “punch above their weight”. New Zealanders, said Ferguson, “aren’t in the habit of cutting and running when the going gets tough”. The self-congratulation was frequently combined with cringe. A New Zealand Air Force envoy expressed ‘”surprise and privilege” to having been met off the plane in Guam by a US military man. Air Chief John Hamilton found it “heartening to be so readily accepted” by the Royal Air Force on a trip to England that cost taxpayers $250,000.

Politicians were equally ready to demean themselves. The sequence that led to the second Iraq war is almost comic in its predictability. In 2002 British PM Tony Blair was summoned to George Bush’s Texas ranch, where the two great men posed for rugged outdoorsy photo ops and agreed that 9/11 had given them the opportunity to take out Saddam Hussein. Shortly thereafter the Queen Mother died, and the Commonwealth leaders - including Canada’s Jean Chretien, Australia’s John Howard, and Helen Clark - attended her funeral. A source identified as a senior NZ official relates what happened next:

“‘Blair pulled aside Helen and Howard and Chretien, and said: ‘The Americans are going to war. We will have to go with them. Are you with us?’ This is when he claimed he hadn’t made up his mind. Straight away, ‘little Johnny the lapdog [Howard] says: ‘I’ll be with you, Tony’, but ‘Helen and Chretien were aghast. They said: ‘No, you can’t’. Clark immediately took the position that ‘you can’t do anything that doesn’t have UN backing’ and Chretien agreed with that. She came away from that meeting shaking her head...”.

The imperial dreamer who led the 16,000 British soldiers over the Khyber Pass to slaughter was a man called Lord Auckland. In the city named after him Khyber Pass Road records a vision that no Aucklander would now endorse. The pre-eminent 19th Century schemer of British adventurism was Lord Palmerston, a man whose name is synonymous with what came to be called gunboat diplomacy. So our forebears named two places after him. And of course our capital commemorates the arch-reactionary who defeated Napoleon. In his conclusion Hager reminds us of this swagger as he argues that NZ elites have always had a choice between committing the country to a puppy dog slavering after imperial folly or steering an independent course. With the partial exception of the Clark Government, which tried to resist the blandishments, they’ve almost always ignored public opinion, which, as now, has been consistently sceptical. They keep on making the wrong choice (the 1930s Savage Labour Government is another that flirted with a made in New Zealand foreign policy, but was reproved by the UK and fell into line).

Key Snuggles Up To Uncle Sam

The Key Government is taking us the wrong way as fast as it dares. One typical response can be seen in its’ New Zealand Defence Review. It might be expected that a Government thinking about how to defend the country from foreign invaders would draw upon experts from fields like science, weaponry, history and diplomacy, but the three men chosen to look into the matter for Key were Simon Murdoch, Martyn Dunne and Rob McLeod. Let’s look at their resumes. Murdoch, a former Foreign Affairs official, was a graduate of a US university whose postings had been to Washington and London. This detail can be taken two ways. A critic wanting to disparage Hager’s research might want to say that he is drawing unfounded or gratuitous implications or that he is (a favourite gambit) inventing a conspiracy (we won’t say “reader” because people like John Key boast of how they can diss a book without reading it). Hager has so much factual information that he can’t spell out every nuance. He expects an honest and objective reader who would know that recent NZ history has been marked by graduates who returned from American universities - think Geoffrey Palmer or Graham Scott, Secretary to the Rogernomic Treasury - with a neo-liberal reforming zeal. They would appreciate that staffers sent to quadri capitals were likely to be the most politically correct. Dunne had been in charge of war on terror deployments and the subsequent public relations misinformation. McLeod is Chair of the New Zealand Business Roundtable.

In a previous era the appointment of three people to advise the Government on a topic with which they had no specialist knowledge would have been astonishing. Imagine say, Britain in 1940 - in the days that Simon Power might or might not have been remembering - with the Luftwaffe overhead and the Wehrmacht across the Channel - and the Government reaches to ... a stockbroker and a public relations firm to tell it where to put its guns. In our postmodern days it passes unnoticed because we know it’s fake. Defence policy is made in Washington. For domestic purposes, the Key Government is interested only in what things cost and who’s going to pay for them and Rogernome McLeod will give them their right answer.

Hager has a seemingly unerring ability to select the telling detail and the apposite quotation. Here’s Deputy PM Bill English, when in Opposition, speaking at an Anzac Day service in 2003: “In the past we have not shirked our responsibilities. [U]ntil now, we have never been fair-weather friends. I am ashamed to say that is what we are becoming under our current Government... Does anyone doubt that Iraq possessed weapons of mass destruction?... Does anyone doubt that Saddam Hussein has sheltered and aided international terrorist groups?...”. The disloyal tone is pure US Embassy. And of course the assertions are notoriously and fatally wrong.

From a Hager confidant we learn that the Labour leadership was against joining the invasion of Iraq - with one significant exception, that being Mike Moore, the Labour person most closely identified with pushing his country into the embrace of the global transnationals. Moore is a former Prime Minister who became boss of the World Trade Organisation and is now NZ’s Ambassador to the US. In perhaps the most significant of all the Embassy cables, Wikileaks has revealed that Mark Sinclair, New Zealand’s Free Trade Agreement (FTA) negotiator, advised a US agriculture official that in NZ there existed “a public perception that getting into the United States will be an ‘el Dorado’ for New Zealand’s commercial sector. However, the reality is quite different, since the United States is already quite open to New Zealand trade and investment. He underscored that New Zealand needs to manage expectations in this regard”.

While it’s true that many in New Zealand’s ruling classes have a naive hope that “free trade” deals with America will make them rich, the same can’t be said for Watchdog readers, who will know that FTA negotiations like the current Trans-Pacific Partnership Agreement (TPPA) will help no section of the economy. Look back at some recent issues and it should be clear that the TPPA has the potential to be disastrous. So why pursue a deal which our own negotiator knows will be a dud? This is where the link between neo-liberal foreign and economic policies can be seen to be two sides of the same (American) coin. The business and political elites want to tie us to American corporations in the same way that they want to tie us to American wars.

Nothing To Do With Safety Of NZ

What other conclusion is possible? Those who push extreme “free market” economics and those who want to serve as outriders in US invasions have common interests. That much has long been apparent. The value of Hager’s research, and the reason the Prime Minister was so quick to dismiss it, is that he has documented that they are literally the same people. It’s a small country. You could say that Hager has shown us a smoking gun. In both economic and foreign policy the same small cabal has foisted policies which were deeply unpopular with most New Zealanders. In both cases the cabal argued that they had a wisdom that eluded the rest of us. They are seeking global deregulation, by which they mean the ability of transnational corporations and the governments they dominate to act as they please. We’ve seen the results. Economically it gave us the great financial meltdown. In the Gulf it gave us the Bush-Howard-Blair fiasco in Iraq and Afghanistan.

Ten years ago, when bin Laden and his mates were at liberty to scheme, it made sense to destroy the State apparatus that sponsored the terrorism, and those who criticise America for doing so might ask themselves if it was realistic in the circumstances to expect restraint. But that had been achieved before the New Zealanders arrived. Bin Laden had already left Afghanistan, which means that the justification for the whole exercise has always been false. All sorts of motives are in play, but none of them are to do with the safety of New Zealand. Other people’s wars. Other people’s names. Other people’s thoughts. Other people’s needs. Other people’s lies. Other centuries’ values.

AT THE TURNING POINT
by Margaret Pope, AM Publishing, Auckland, 2011

Margaret Pope begins her account of the 1984-90 Labour government by describing how she got a job as a rookie speech writer for Prime Minister David Lange*. She ends it in 1989 as his wife with Lange’s resignation. Now of course she tells the story as his widow, her role in the pivotal five years being the subject of ongoing controversy and recrimination. The improbable claim has been that Pope ran the Government for a disengaged and manipulated Lange. More interesting than the personal settling of scores is the light it throws on that era. *Murray Horton’s obituary of David Lange is in Watchdog 110, December 2005, http://www.converge.org.nz/watchdog/10/09.htm Ed.

There are good reasons to read this. Pope of course has her biases, but who doesn’t? Her interest is obvious so you can look out for ambushes. It’s always going to be hard to get an inside account of a Government that’ll be immune from the author’s needs and Pope has two things going for her: a fluid writing style and the very fact that she’s not a politician. She comes across as close to a representative Kiwi. She had an early interest in politics but was not at all a Labour Party apologist. Her first two votes were for other parties, and any attempt to portray her as radical or a hack will fail.

Distaste For Douglas, Foreign Affairs & France

Witty and observant, Pope offers some neat character sketches. Geoffrey Palmer* was “open, honest, upright and artless. He was exhaustingly enthusiastic”. Although Palmer, in his own telling, was solely responsible for the successes with which he is associated, we read here that one of his major triumphs was suggested to him by a senior adviser. When the PM was out of the country, the Americans wanted to embarrass the Government by asking for a possibly nuclear-armed or nuclear-powered ship to visit, to say hello as it were. What should be said?

“Don’t tell them anything”. “But I have to tell them something”. “No, you don’t.” “I don’t?” “No, you’re the Government. You don’t have to tell them anything. Tell them you’re thinking about it”. Palmer here is playing TV’s Jim Hacker from Yes, Prime Minister to a Sir Humphrey-type bureaucrat. Let’s hope the conversation actually happened just like that. Pope doesn’t mind admitting that as the skirmishing heated within the Government, her boss and lover isolated from his senior Ministers, she became involved. Her distaste for Roger Douglas and his writer, her counterpart, was intense. *Jeremy’s review of Raymond Richards’ “Palmer: The Parliamentary Years” is in Watchdog 126, May 2011, http://www.converge.org.nz/watchdog/26/10.htm. Ed.

They’re not her only peeves. Although Lange has the reputation of being a crusader for NZ’s independent voice in world affairs, Pope thought him “much too considerate of the pusillanimous poseurs who flourished in the Ministry of Foreign Affairs [MFA]”. MFA was always trying to divert Lange from anything anti-nuke or anti-ANZUS*. In another context Pope makes a passing reference to “ever-advancing Communism’” thus taking at face value a Cold War invention of that same MFA and its US mentors, so it’s not as if MFA is being critiqued from the Left. In so many ways Pope was a typical child of her times, reacting to the big, emotional issues. She was especially upset at Lange’s release of the Rainbow Warrior bombers into French custody. Lange’s justification was that any French retaliation had the potential to worry farmers’ incomes. Pope argued that MFA could have “cooked up” a threat. *ANZUS =the Australia, New Zealand, US military treaty that was the foundation of all New Zealand’s defence and foreign policy from its inception in 1951 until the US, under President Ronald Reagan, kicked us out in 1986. It remains in force today, under the same name, but only between the US and Australia. Ed.

Treasury Subversion

Treasury was another source of angst. In a telling detail Pope notes that they had about 70 economic advisers, ten times more than the PM’s staff. That MFA was reactionary is confirmed in Nicky Hager’s brilliant account, as is its pivotal role, along with Treasury, in designing neo-liberalism. See my review of Nicky’s “Other People’s Wars”, above. When Graham Scott* joined the team as Treasury Secretary the finance gurus “grew less tolerant of ideological difference. It no longer attempted to synthesise competing views of economic management. It disdained opposing views in the economics profession and rewarded the sympathetic with contracts and consultancies.

“Treasury saw its mandate as extending beyond economic policy. It took issue with the substance of departmental proposals, and its officers tried to dictate departmental practice. It released its reports at the last minute, giving departments no time to respond. It subverted the Cabinet committee process: a Treasury proposal opposed by two departments and duly defeated at the Cabinet Policy Committee was taken by one of the Finance Ministers straight to Cabinet, where it was decided in Treasury’s favour. Not even a Cabinet decision might be enough to stop Treasury in its tracks. It found some new point that demanded Cabinet’s reconsideration and sent it back”. *For evidence that Scott and his mates are still up to their old tricks, check my article on the Productivity Commission, elsewhere in this issue

In retrospect the crippling hostility between Lange and Douglas looks to have been inevitable. On the one hand, a detached Prime Minister with little interest in detail and a dislike of intrigue; on the other, an obsessive Finance Minister with an agenda of his own. Neither man had what we’ve come to call social intelligence (quite a few of the Cabinet shared this trait). Communication, at least in the second term, seems to have been entirely by letter or through proxies. This aids Pope’s account as she is able to quote verbatim, and she says that the political revelations are all on the public record anyway. There are none of those reconstructed conversations - though the Palmer story is suspect - that lazy authors imply are literally accurate (they can’t be. Human memory isn’t that good). Lange wrote, pointing out that a flat tax gambit from Douglas had “bound the Government either to make large numbers of low and middle income people ... pay more tax, or to avoid that by shrinking in arbitrary ways the size of Government. That is intolerable. Whether or not Ministers should have been able to work it out, they didn’t, and it was not made clear”.

Douglas’ Attempted Flat Tax King Hit

Lange always gave the impression of being a shrewd judge of character and motive, if incapable of using his intuitions to his own advantage, but remarks like this indicate that he had a surer grasp of policy than has often been assumed. A flat rate of income tax is a simple way to lighten the load on very rich people. It’s usually accompanied by a lighter corporate tax rate and increased GST. Nothing in Douglas’ intentions should be mistaken as having any motive other than its being a State-sponsored redistribution of wealth upwards to force a more unequal society. Flat tax proposals are currently making the rounds among the manic offerings coming from the US Republicans hoping to run for the Presidency.

The insolence of Douglas’ reply – “You do not have any mandate from Cabinet, any more than I have, to depart from the decisions Cabinet made’ - was typical. But Roger had a deeper purpose. Had he wanted only to establish a regressive fiscal policy, he needed only to introduce the concept of a flat tax but, by insisting on an unsustainably low rate, he was hoping to engineer a coup against social democratic ideals. There wouldn’t have been enough revenue to maintain social programmes. Lange was on to him. Even Treasury, the architect of neo-liberalism, made the same point, advice that Douglas suppressed from the Cabinet.

Usually, though, Treasury routinely played this same game of denying information. Pope’s access to power reveals that some Ministers got Treasury’s background papers on the flat tax the day they were presented. Of the six senior Ministers, who included Richard Prebble, David Caygill, Michael Bassett and Mike Moore, only Lange dissented, and in the Labour caucus, only Michael Cullen did. This doesn’t surprise. Douglas has himself boasted of how he used speed and a lack of information to bamboozle colleagues.

In Pope’s telling, as sympathetic an interpretation as the facts will allow, Lange had seen that the Muldoon economy he inherited was inefficient and he had to introduce reforms as the way to head off Treasury’s extremism. Had Government revenue been enough to sustain public health, education and welfare, he would have taken Douglas’ medicine. But Douglas wanted to privatise these core public functions, just as he wanted to flog off $14 billion’s worth of State assets. Bassett, a core Rogernome and Lange’s cousin, has apparently written a detailed and nasty account of Lange’s term in office. Media reports say that his theme is that Pope was a malign influence on the PM, so she has reason to want to discredit Bassett. But he’s done a good job of that himself, with previous vituperative accounts. Pope says he kept a Cabinet diary, which is not a habit that the innocent and put-upon are likely to keep. Referring to Lange’s supporters as “the poison tree”, he let be known that “’I have a list of them”.

Paranoia, Spite & No Constituency

Paranoia and spite seem to have been the motivating emotions in the fourth Labour government. In so many ways the senior Ministers, the personalities on display here, were morally and intellectually inadequate. Bassett, a key figure in that he has shown a nastiness that exceeds even Douglas’, regarded Lange as incapable for all sorts of reasons. Like so many of his colleagues, Bassett betrays himself to have been short on experience of life as it is lived beyond the Beehive. Pope reveals Bassett’s contempt for the Prime Minister on the grounds that he didn’t spend all his leisure time fussing about strategies or reading political biographies.

Lange, on the other hand, seems to have had no constituency of the type that successful politicians spend careers cultivating. He disliked Jim Anderton on his Left flank as much as the schemers to his Right, in part because Anderton was identified with the radical tradition within Labour. Pope says that one of Lange’s recurring complaints was that he had to contend with a “Sydenham Women’s Collective”. He wouldn’t have managed MMP, the midwife of the contemporary versions of the Sydenham Women’s Collective, who have since appeared in Parliament. Pope is dismissive of the class background of Labour politics and Lange, too, seems to have had no identification with industrial and employment issues. The foreign policy stands for which the Government is known were of no interest to Lange, who typically remarked that “the Labour Party might as well self-immolate as say goodbye to ANZUS”. Not much is left. None of the great social democratic traditions captured Lange’s interest, and neither did most of his colleagues in the caucus. They were “a unique combination of social misfits and good people”. Lange drifted into power by accident, the victim of his wit and oratory and the ambitions of the Auckland Labour Ministers who wanted a front for Douglas.

THE GROWTH SYNDROME: ECONOMIC DESTITUTION

by Derek J Wilson, 2011

Derek Wilson says in his foreword that his first memory is of travelling in 1925 on a horse-drawn wagon to a farm in the Wairarapa through a countryside that seemed idyllic. So he’s been around. Over the last 23 years of a long life he’s put out ten books, all passionate about the fate of our planet. Here Wilson sketches the links between environmental issues, militarism and the economy. It’s a useful introduction to a progressive take on our world and its woes; complete with references to some key background sources.

The booklet can be downloaded from the author’s Website at www.derekjwilson.co.nz


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