This Changes Everything: Capitalism vs. The Climate

by Naomi Klein

referred to as the Washington Consensus. Underneath it all is the constant drive for endless economic growth, a drive that, as will be explored later on, goes much deeper than the trade history of the past few decades. But there is no question that the trade architecture and the economic ideology embedded within it played a central role in sending emissions into hyperdrive. That’s because one of the primary driving forces of the particular trade system designed in the 1980s and 1990s was always to allow multinationals the freedom to scour the globe in search of the cheapest and most exploitable labor force. It was a journey that passed through Mexico and Central America’s sweatshop maquiladoras and had a long stopover in South Korea. But by the end of the 1990s, virtually all roads led to China, a country where wages were extraordinarily low, trade unions were brutally suppressed, and the state was willing to spend seemingly limitless funds on massive infrastructure projects—modern ports, sprawling highway systems, endless numbers of coal-fired power plants, massive dams—all to ensure that the lights stayed on in the factories and the goods made it from the assembly lines onto the container ships on time. A free trader’s dream, in other words—and a climate nightmare. A nightmare because there is a close correlation between low wages and high emissions, or as Malm puts it, “a causal link between the quest for cheap and disciplined labor power and rising CO2 emissions.”