Cato Institute
Briefing Paper
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War, who talked about the Soviet Union as
course, is that Klein accuses Friedman of
"impressive," and who explained that his ideas
being in favor of this state of affairs. But far
were well adapted to a totalitarian system in
from being a defender of corporate welfare,
the introduction to the German translation of
Friedman was one of its most consistent
his General Theory in 1936.78And the follower
opponents: "Private enterprise is entitled to
receive the rewards of success only if it also
who says nice things about dictators is Naomi
bears the penalties of failure. . . . No obstacles,
Klein herself, who has nothing but praise for
no subsidies should be the rule."76
Cuba,79 Che Guevara,80 and Hezbollah81 when
Instead of accusing Friedman of saying the
she mentions them in her book, and who
opposite of what he actually did say, Klein
defended the Iraqi radical leader Muqtada al-
could have made the case that corporate wel-
Sadr as representing the mainstream of Iraq
and as fighting only in self-defense.82 And the
fare is the unintended consequence of an open
economy and a limited government. But she
leaders who implement the "economic nation-
doesn't supply us with arguments for this cor-
alism" Klein asks for are people like Vladimir
relation, and her examples support the oppo-
Putin, Hugo Chavéz, and Mahmoud Ahmed-
site view. She writes about Russian oligarchs,
inejad, who do it while dismantling indepen-
the United States post-9/11, and privatization
dent and democratic institutions. In other
in Latin America. But the oligarchs and many
words, Klein does not seem to mind dictators,
of the Latin American deals were the result of
fascists, and murderers, as long as they don't
lower taxes and trade barriers.83
excluding outsiders and foreigners from the
Klein's interpretation of Russia in the
process, which Klein admits but doesn't see the
implications of.77 Meanwhile, the corporate
1990s reveals her attitude toward democracy.
welfare in the United States and Iraq is a result
She blames Russian president Boris Yeltsin for
of a massive increase in public spending and--
destroying democracy in the fall of 1993, when
according to Klein herself--barring competi-
he ignored the anti-Yeltsin majority in parlia-
tors from deals. Anti-Friedmanite to the core.
ment. When legislators occupied the building
and called for his resignation, Yeltsin dissolved
the legislature by force and called for new elec-
Attitudes toward
tions. She admits that there were "proto-fas-
Democracy
cist" groups in the parliamentary camp, but
doesn't seem to mind--when you are fighting
If we strip away obvious misunderstand-
for democracy you can't be too choosy about
ings and distortions, there is not much left of
your friends, apparently. Yet Fred Kaplan, one
Klein's arguments against libertarianism and
of the reporters who visited the communist
Milton Friedman in The Shock Doctrine. Is her
and ultranationalist occupiers, calls this
case against a movement really that its guru
description "ludicrous":
economist used crises to get people to buy his
ideas and flattered fascist and communist dic-
I was one of many reporters who spent
Klein does not
tators to get their support? That one of the
an eerie afternoon in the parliament
economist's famous followers has only nice
building, talking with its armed, black-
seem to mind
things to say about dictators, political mur-
booted, and stinking-drunk occupiers.
dictators, fascists,
derers, and terrorists as long as they have the
Believe me--and Klein should, since
she quotes one of my Globe reports in
right ideas about the market? That those ideas
and murderers,
coexist comfortably with political oppression?
describing the soldiers shelling the
as long as they
If that is the case, Klein has a problem.
building the next morning--there were
no democrats among that lot.84
don't lower taxes
Because the economic guru is her own
favorite, the British economist John Maynard
and trade
Keynes, who rose to prominence because of
Once again, Klein has had to change the
barriers.
the Great Depression and the Second World
chronology to make it fit her case. She claims
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