“We are simultaneously menaced by the wave, and exist as elements of the wave”

James Meek’s meditation in G2 yesterday on how the credit crunch was born was a tour de force, both fresh and considered.  Definitely worth a look if you missed it. 

“Nowadays,” wrote Saul Bellow in his novel Humboldt’s Gift, “the categories are grasped by those who belong to them.” It’s not just that we see the economic crisis rearing up out of the sea in the distance, like a slow-motion tsunami from which, despite its creeping speed, we cannot escape. What makes the situation peculiar is that the crisis that threatens us also seems to be us; we are simultaneously menaced by the wave, and exist as elements of the wave. After all, that is what an economic crisis is: the sum of all the individual actions of billions of people around the world, deciding whether to lend or hoard, borrow or save, sell or buy, move or stay, hire or fire, study or look for work, be pessimistic or optimistic.

It’s like those mysterious polls of “consumer confidence” in which pundits set so much store. How confident am I about the future? Well, I’m confident if everybody else is confident. I’ll tell the survey how confident I am when I see what that confidence survey says.

The case for piracy

As the US responds to Somali piracy the only way it knows how – through force – Johann Hari in the Independent reveals that it is not just illegal foreign fishing vessels (which steal $300m worth of fish every year) that have aggravated Somalis and encouraged them to resort to piracy. Europeans have also been dumping nuclear waste in the sea off the Somali coast:

As soon as the government was gone, mysterious European ships started appearing off the coast of Somalia, dumping vast barrels into the ocean. The coastal population began to sicken. At first they suffered strange rashes, nausea and malformed babies. Then, after the 2005 tsunami, hundreds of the dumped and leaking barrels washed up on shore. People began to suffer from radiation sickness, and more than 300 died.

The UN envoy to Somalia told Hari, “Somebody is dumping nuclear material here. There is also lead, and heavy metals such as cadmium and mercury – you name it.” According to Hari, “Much of the waste can be traced back to European hospitals and factories, who seem to be passing it on to the Italian mafia to “dispose” of cheaply…This is the context in which the “pirates” have emerged. Somalian fishermen took speedboats to try to dissuade the dumpers and trawlers, or at least levy a “tax” on them.”

The buccaneers are popular with local people. 70 per cent of Somalis interviewed by a local news site “strongly supported the piracy as a form of national defence.” The case against pirates has never been as black and white as the world’s great powers like to paint it. Hari tells the story of one of their number who was captured by an earlier superpower in the 4th century BC:

He was brought to Alexander the Great, who demanded to know “what he meant by keeping possession of the sea.” The pirate smiled, and responded: “What you mean by seizing the whole earth; but because I do it with a petty ship, I am called a robber, while you, who do it with a great fleet, are called emperor.”

Dennis Blair Right Choice for U.S Spy Chief

Retired Navy Admiral and former commander of U.S. Pacific forces, Dennis C Blair, has reportedly been chosen as Barack Obama’s next Director of National Intelligence (DNI), the country’s senior intelligence job.

Blair, a 6th generation, Oxford-educated naval officer, occupies a number of teaching posts and once served as the first associate director of CIA for military support. He also ran the federally-funded Institute for Defense Analysis before being forced out after a conflict of interest dispute.

But it is his role as the Deputy Director of the Project on National Security Reform, a bi-partisan, Congressionally-funded reform initiative, that may say most about how, if confirmed, Blair intends to manage the U.S intelligence community. For despite the misgiving of some like Bob Baer, the former CIA analyst, Blair is both a manager and a reformer.

During my time in Washington, DC, I spent a little time with Blair, who struck me as a reformer with deep insights into how both soldiers and spies work and think. See this clip where he argues that the U.S government needs to work on the basis of “integrated, agile, collaborative, inter-agency teams” rather than the departmental stove-pipes currently in existence. Not the sound of a status-quo thinker.

Being reform-minded, however, will only go so far. Blair will need to will reform, demand reform, and pursue reform. For most intelligence-watchers believe that the Bush administration’s post 9/11 intelligence reforms were hurried and have created as many problems as they have solved. The current spy chief, Admiral Mike McConnell has done what he could to improve the situation, launching a 100-day initiative when he took over from John Negroponte, to improve “integration and collaboration” across the many intelligence agencies. Meanwhile Robert Gates has scaled down the Pentagon’s footprint on intelligence.

Yet most people believe the situation needs to improve further if the U.S is to get more for the $43 billion it spends annually on intelligence. The Office of the Director of National Intelligence has become a large bureaucratic contraption with hundreds of personnel camped out in a Washington airbase. Many staff are unclear about their roles vis-à-vis their CIA colleagues.

The DNI himself, though he briefs the president daily, has only limited authority over the 16 agencies in the intelligence community as the reform legislation did not give the spy chief the kind of budgetary muscle needed to lead the intelligence community. In spite of the efforts of Gates and McConnell the National Security Agency, the National Geospatial-Intelligence Agency and the National Reconnaissance Office remain under Pentagon’s command. 

Then there is the question of domestic intelligence. Many believe the U.S should create a domestic intelligence agency like Britain’s Security Service. But how to do so and avoid adding complexity to the intelligence system, slowing down rather than promoting information flows among the existing agencies, while respecting civil liberties? And who would run such an agency – the DNI, the Homeland Security Secretary, the FBI, the CIA?

Finally, there is a need to look again at Congress’ role. Oversight has deteriorated amid battles between different committees. The President’s Foreign Intelligence Advisory Board and the Intelligence Oversight Board have also atrophied in the last eight years while the Bush administration failed to create a Civil Liberties Board, despite being mandated to do so by Congress.

Blair seems well-placed to lead a reform process without allowing it to descend into something like the Church Committee hearings, which investigated intelligence-gathering by the CIA and FBI after the Watergate affair, but ended up encouraging many of the intelligence community’s bad traits. No doubt his confirmation process will drag up the conflict-of-interest case that forced him out of his last government-funded job, as well as his controversial role in opening diplomatic ties with Suharto’s Indonesia.

But the real question is: how ambitious will Obama be in leading changes in Congress; and reforms in the Executive Branch to ensure a well-functioning intelligence apparatus that can deal with foreign and domestic threats, produce politically-neutral assessments, work with other government departments and guarantee civil liberties. Obama’s choice of Blair shows the President Elect wants to reform, but also wants to keep the intelligence community on board.