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Neoliberalism, the Global Capitalist Crisis, and the Occupy Wall Street Movement

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Abstract

This chapter provides an explanation for the rise and fall of the Occupy Wall Street movement, a social movement “from bellow” that dared to “dream dangerously” in the wake of the most devastating economic crisis the United States had experienced since the Great Depression. Scholars and analysts have documented extensively the structural underpinnings of the Great Recession in the United States (December 2007 to June 2009 [official timeline]) and the 2008 financial collapse as consequences of neoliberal political economic policies that have led to some of the most dramatic increases in economic, political, and social inequality since the 1930s. The Occupy Wall Street movement was an outcome of the contradictions of contemporary capitalism and capitalist crisis in the first decade of the twenty-first century. This chapter is a narrative reconstruction of Occupy Wall Street’s online discourse that stems from an inquiry into the origins and development of the Occupy Wall Street movement that emerged in 2011. It is a product of a research project that I undertook as the Occupy movement evolved into a full-blown political response to the prevailing neoliberal capitalist order.

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Notes

  1. 1.

    Miguel Centeno and Joseph Cohen, “The Arc of Neoliberalism,” Annual Review of Sociology 38 (2012), pp. 318–319. Marion Fourcade-Gourinchas and Sarah Babb, “Neoliberalism in Four Countries” American Journal of Sociology 108 (2002), pp. 533–579.

  2. 2.

    Nafeez Ahmed, A User’s Guide to the Crisis of Civilization: And How to Save It (London, UK: Pluto Press, 2010). Centeno and Cohen, “The Arc of Neoliberalism,” ARS 38 (2012). Fourcade-Gourinchas and Babb, “Neoliberalism in Four Countries,” AJS 108 (2002). David Harvey, A Brief History of Neoliberalism (Oxford, UK: Oxford University Press, 2005). Karen Ho, Liquidated: An Ethnography of Wall Street (Durham, NC: Duke University Press, 2009). Michael Mann, The Sources of Social Power: Volume 4, Globalizations, 1945–2011 (Cambridge, UK: Cambridge University Press, 2012).

  3. 3.

    Centeno and Cohen, “The Arc of Neoliberalism,” ARS 38 (2012), p. 323.

  4. 4.

    Centeno and Cohen, “The Arc of Neoliberalism,” ARS 38 (2012). Fourcade-Gourinchas and Babb, “Neoliberalism in Four Countries,” AJS 108 (2002). Ho, Liquidated, (Durham: Duke University Press, 2009).

  5. 5.

    Ahmed, Crisis of Civilization, (London: Pluto Press, 2010). Harvey, History of Neoliberalism, (Oxford: Oxford University Press, 2005). Ho, Liquidated, (Durham: Duke University Press, 2009). Mann, Sources of Social Power, (Cambridge: Cambridge University Press, 2012).

  6. 6.

    Nilda Flores-González, Anna Guevarra, Maura Toro-Morn, and Grace Chang (Editors), Immigrant Women Workers in the Neoliberal Age, (Champaign, IL: University of Illinois Press, 2013). Also see Eduardo Bonilla-Silva, Racism without Racists: Color-Blind Racism and the Persistence of Racial Inequality in America (Lanham, MD: Rowman & Littlefield Publishers 2014). Michael Omi and Howard Winant, Racial Formation in the United States, 3rd Edition, (New York, NY: Routledge, 2014). William Robinson and Xuan Santos, “Global Capitalism, Immigrant Labor, and the Struggle for Justice.” Class, Race and Corporate Power 2, no. 3 (2014), pp. 1–16.

  7. 7.

    Eduardo Bonilla-Silva, “More Than Prejudice: Restatement, Reflections, and New Directions in Critical Race Theory.” Sociology of Race and Ethnicity 1, no. 1 (2015), pp. 73–87. James Fenelon, “Genocide, Race, Capitalism: Synopsis of Formation within the Modern World-System,” Journal of World-Systems Research, 22, no. 1 (2016), pp. 23–30. William Robinson, “Globalization and Race in World Capitalism,” Journal or World-Systems Research, 22, no. 1 (2016), pp. 3–8.

  8. 8.

    Ahmed, Crisis of Civilization, (London: Pluto Press, 2010). Harvey, History of Neoliberalism, (Oxford: Oxford University Press, 2005). Ho, Liquidated, (Durham: Duke University Press, 2009). James Petras and Henry Veltmeyer, “The Global Capitalist Crisis: Whose Crisis, Who Profits?” International Review of Modern Sociology (Special Edition on the Global Capitalist Crisis) 38, no. 2 (2012), pp. 199–220.

  9. 9.

    Fenelon, “Genocide, Race, Capitalism.” JWSR, 22, no. 1 (2016), pp. 23–30. Robinson, “Globalization and Race.” JWSR, 22, no. 1 (2016), pp. 3–8.

  10. 10.

    For example: Josh Bivens, Failure by Design: The Story Behind America’s Broken Economy, (Ithaca, NY: ILR Press, an imprint of Cornell University Press, 2011). John Campbell, “Neoliberalism in Crisis: Regulatory Roots of the U.S. Financial Meltdown.” Research in the Sociology of Organizations, 30, no. B (2010), pp. 65–101. David Fasenfest, “Global Economy, Local Calamity,” Critical Sociology 36, no. 2 (2010), pp. 195–200. Harvey, History of Neoliberalism, (Oxford: Oxford University Press, 2005). Ho, Liquidated, (Durham: Duke University Press, 2009). Martijn Konings, “Neoliberalism and the American State,” Critical Sociology 36, no. 5 (2010), pp. 741–765. Mann, Sources of Social Power, (Cambridge: Cambridge University Press, 2012). Petras and Veltmeyer, “The Global Capitalist Crisis,” IRMS 38, no. 2 (2012), pp. 199–220. Howard Sherman, The Roller Coaster Economy: Financial Crisis, Great Recession, and the Public Opinion, (Armonk, NY: ME Sharpe, Inc, 2010).

  11. 11.

    Berch Berberoglu (Editor), The Global Capitalist Crisis and Its Aftermath, (Farnham, UK: Ashgate Publishing, 2014).

  12. 12.

    Robert Ash, Social Movements in America, (Chicago, IL: Markham Publishing Company 1972). Leslie King, “Ideology, Strategy and Conflict in a Social Movement Organization: The Sierra Club Immigration Wars,” Mobilization: The International Quarterly 13, no. 1 (2008), pp. 45–61.

  13. 13.

    Christopher Chase-Dunn, “Social Movements and Collective Behavior in Premodern Polities,” IROWS Working Paper #110 (2016). (http://irows.ucr.edu/papers/irows110/irows110.htm).

  14. 14.

    Slavoj Žižek, The Year of Dreaming Dangerously, (London, UK: Verso Books, 2012).

  15. 15.

    Ion Vasi, “The New Anti-war Protests and Miscible Mobilizations,” Social Movement Studies 5, no. 2 (2006), pp. 137–153.

  16. 16.

    Raymond Arsenault, Freedom Riders: 1961 and the Struggle for Racial Justice, (Oxford, UK: Oxford University Press, 2006). Vine Deloria, Jr., Custer Died for Your Sins: An Indian Manifesto, (New York, NY: Macmillan Publishing Co., 1969).

  17. 17.

    Melissa Ferguson, Travis Carter, and Ran Hassin, “On the Automaticity of Nationalist Ideology: The Case of the USA,” pp. 53–82 in Social and Psychological Bases of Ideology and System Justification, edited by John T. Jost, Aaron C. Kay, and Hulda Thorisdottir (Oxford, UK: Oxford University Press, 2009). Aaron McCright and Riley Dunlap, “The Nature and Social Bases of Progressive Social Movement Ideology: Examining Public Opinion toward Social Movements,” The Sociological Quarterly 49 (2008), pp. 825–848. Vasi, “New Anti-war Protests,” SMS 5, no. 2 (2006), pp. 137–153.

  18. 18.

    King, “Ideology.” MIQ, 13, no. 1 (2008), p. 46.

  19. 19.

    Mann, Sources of Social Power, (Cambridge: Cambridge University Press, 2012).

  20. 20.

    Christopher Chase-Dunn, Matheu Kaneshiro, James Love, Kirk Lawrence, and Edwin Elias, “Neoliberalism, Populist Movements and the Pink Tide in Latin America,” IROWS Working Paper #58 (2010). (http://irows.ucr.edu/papers/irows58/irows58.htm). Chase-Dunn, “Social Movements,” IROWS #110 (2016).

  21. 21.

    Žižek, The Year, (London: Verso Books, 2012).

  22. 22.

    King, “Ideology.” MIQ, 13, no. 1 (2008), pp. 45–61.

  23. 23.

    Chris Hilson, “Framing the Local and the Global in the Anti-nuclear Movement: Law and the Politics of Place,” Journal of Law and Society 36, no. 1 (2009), pp. 94–109. King, “Ideology.” MIQ, 13, no. 1 (2008), pp. 45–61. McCright and Dunlap. “Nature and Social Bases,” TSQ, 49 (2008), pp. 825–848. Nicola Pizzolato, “Transnational Radicals: Labour Dissent and Political Activism in Detroit and Turin (1950–1970),” International Review of Social History 56, no. 1 (2011), pp. 1–30. Edward Walker, Andrew Martin, and John McCarthy, “Confronting the State, the Corporation, and the Academy: The Influence of Institutional Targets on Social Movement Repertoires,” American Journal of Sociology, 114, no. 1 (2008), pp. 35–76.

  24. 24.

    King, “Ideology.” MIQ, 13, no. 1 (2008), p. 57; also see Taylan Acar, Robert Chiles, Garrett Grainger, Aliza Luft, Rahul Mahajan, João Peschanski, Chelsea Schelly, Jason Turowetz, and Ian F. Wall, “Inside the Wisconsin Occupation,” Contexts 10, no. 3 (2011), pp. 50–55. McCright and Dunlap, “Nature and Social Bases,” TSQ 49(2008): 825–848. Theresa Petray, “Protest 2.0: Online Interactions and Aboriginal Activists,” Media, Culture & Society, 36, no. 6 (2011), pp. 923–940. Peter Rosset, Maria Elena Martinez-Torres, and Luis Hernandez-Navarro, “Zapatismo in the Movement of Movements,” Development 48, no. 2 (2005), pp. 35–41.

  25. 25.

    Paul DiMaggio, “Culture and Cognition,” Annual Review of Sociology 23 (1997), pp. 263–287.

  26. 26.

    Petray, “Protest 2.0.” MC&S 36, no. 6 (2011), p. 924.

  27. 27.

    Petray, “Protest 2.0.” MC&S 36, no. 6 (2011), pp. 923–940.

  28. 28.

    Merlyna Lim, “Clicks, Cabs, and Coffee Houses: Social Media and Oppositional Movements in Egypt, 2004–2011,” Journal of Communication 62 (2012), pp. 231–248. Petray, “Protest 2.0.” MC&S 36, no. 6 (2011), pp. 923–940.

  29. 29.

    Summer Harlow, “Social Media and Social Movements: Facebook and an Online Guatemalan Justice Movement that Moved Offline,” New Media & Society, 14, no. 2 (2011), pp. 225–243. Rosset et al., “Zapatismo,” Development, 48, no. 2 (2005), pp. 35–41.

  30. 30.

    Petray, “Protest 2.0.” MC&S 36, no. 6 (2011), pp. 923–940.

  31. 31.

    Acar et al., “Wisconsin Occupation,” Contexts 10, no. 3 (2011), pp. 50–55. Fay Payton and Lynette Kvasny, “Considering the Political Roles of Black Talk Radio and the Afrosphere in Response to the Jena 6: Social Media and the Blogosphere,” Information, Technology & People, 25, no. 1 (2012), pp. 81–102.

  32. 32.

    Harlow, “Social Media.” NM&S 14, no. 2 (2011), pp. 225–243. Payton and Kvasny, “Black Talk Radio,” IT&P 25, no. 1 (2012), pp. 81–102. Petray, “Protest 2.0.” MC&S 36, no. 6 (2011), pp. 923–940. Rosset et al., “Zapatismo,” Development, 48, no. 2 (2005), pp. 35–41.

  33. 33.

    Acar et al., “Wisconsin Occupation,” Contexts 10, no. 3 (2011), pp. 50–55. Harlow, “Social Media.” NM&S 14, no. 2 (2011), pp. 225–243. Lim, “Clicks,” JC 62 (2012), pp. 231–248. Payton and Kvasny, “Black Talk Radio,” IT&P 25, no. 1 (2012), pp. 81–102. Petray, “Protest 2.0.” MC&S 36, no. 6 (2011), pp. 923–940. Rosset et al., “Zapatismo,” Development, 48, no. 2 (2005), pp. 35–41.

  34. 34.

    Rosset et al., “Zapatismo,” Development, 48, no. 2 (2005), p. 37.

  35. 35.

    Rosset et al., “Zapatismo,” Development, 48, no. 2 (2005), pp. 35–41.

  36. 36.

    Harlow, “Social Media.” NM&S 14, no. 2 (2011), p. 226.

  37. 37.

    Harlow, “Social Media.” NM&S 14, no. 2 (2011), p. 227.

  38. 38.

    Harlow, “Social Media.” NM&S 14, no. 2 (2011), pp. 225–243. Petray, “Protest 2.0.” MC&S 36, no. 6 (2011), pp. 923–940. Rosset et al., “Zapatismo,” Development, 48, no. 2 (2005), pp. 35–41.

  39. 39.

    Jack Bratich, “User-Generated Discontent,” Cultural Studies 25, no. 4–5 (2011), pp. 621–640. Petray, “Protest 2.0.” MC&S 36, no. 6 (2011), pp. 923–940.

  40. 40.

    Bratich, “User-Generated Discontent,” CS 25, no. 4–5 (2011), pp. 621–640. U.S. Department of Homeland Security. 2011. “National Operations Center Media Monitoring Capability Desktop Reference Binder.” Washington, DC: U.S. Department of Homeland Security.

  41. 41.

    Petray, “Protest 2.0.” MC&S 36, no. 6 (2011), pp. 923–940.

  42. 42.

    Arsenault, Freedom Riders, (Oxford: Oxford University Press, 2006). Petray, “Protest 2.0.” MC&S 36, no. 6 (2011), pp. 923–940.

  43. 43.

    Ion Vasi and Chan Suh, “Online Activities, Spatial Proximity, and the Diffusion of the Occupy Wall Street Movement in the United States,” Mobilization: An International Journal 21, no. 2 (2016), pp. 139–154.

  44. 44.

    Thomas Swann and Emil Husted demonstrate that after police evicted Occupiers from their physical encampments the movement leadership became more “vertical” online because there were no longer daily “general assemblies” where folks attempted to reach consensus on issues using the “people’s mic.” Thus, the message online became more centralized and less people commented on the FB postings, creating a division of labor between FB group page administrators creating content and group members sharing content as opposed to the original forum of direct democracy which propelled Occupy’s early successes. Paolo Gerbaudo and Ion Vasi and Chan Suh corroborate Swann and Husted’s findings of the importance of in-person action and dialogue for maintaining the democratic construction of social movement ideology, recruitment, organization, and mobilization for Occupy (notwithstanding all the problems that come with mostly young and white, highly educated men thinking of how to represent the 99% cited by these scholars and others [e.g., Milkman]).Thomas Swann and Emil Husted, “Undermining Anarchy: Facebook’s Influence on Anarchist Principles of Organization in Occupy Wall Street,” The Information Society 33, no. 4 (2017), p. 198. Paolo Gerbaudo, “Social Media Teams as Digital Vanguards: The Question of Leadership in the Management of Key Facebook and Twitter Accounts of Occupy Wall Street, Indignados and UK Uncut,” Information, Communication & Society 20, no. 2 (2017), pp. 185–202. Ion Vasi and Chan Suh, “Online Activities, Spatial Proximity, and the Diffusion of the Occupy Wall Street Movement in the United States,” Mobilization: An International Journal 21, no. 2 (2016), pp. 139–154.

  45. 45.

    Posts found on FB group pages are controlled by administrators, meaning that only certain people can post to the groups wall. It is assumed, then, that those posting content on FB are accountable in some way (most likely by having administration access revoked) to their respected movements. FB users who have “liked” the page can like, share, or post comments on wall postings from admins, but they cannot post content onto the wall itself.

  46. 46.

    Find random number chart at http://limpetsmonitoring.org/docs/ds/random_numbers.pdf.

  47. 47.

    Charles Stewart, Craig Smith, & Robert Denton, Persuasion and Social Movements, (Long Grove, IL: Waveland Press, Inc. 2007), p. 70.

  48. 48.

    Noam Chomsky, Occupy (Occupied Media Pamphlet Series), (New York, NY: Zuccotti Park Press, 2012).

  49. 49.

    Chomsky, Occupy, (New York: Zuccotti Park Press, 2012).

  50. 50.

    Mark Tremayne, “Anatomy of Protest in the Digital Era: A Network Analysis of Twitter and Occupy Wall Street,” Social Movement Studies 13, no. 1 (2014), pp. 110–126.

  51. 51.

    Sheetal Agarwal, Michael Barthel, Caterina Rost, Alan Borning, W. Lance Bennett and Courtney Johnson, “Grassroots Organizing in the Digital Age: Considering Values and Technology in Tea Party and Occupy Wall Street,” Information, Communication & Society 17, no. 3 (2014), pp. 326–341. Ruth Milkman, “A New Political Generation: Millennials and the Post-2008 Wave of Protest,” American Sociological Review 82, no. 1 (2017), pp. 1–31.

  52. 52.

    John Stewart, “The 99%,” The Daily Show With John Stewart, October 18, 2011 (New York, NY: Comedy Central, 2011).

  53. 53.

    Swann and Husted, “Undermining Anarchy.” TIS 33, no. 4 (2017), pp. 192–204.

  54. 54.

    George Amedee, “Movements Left and Right: Tea Party and Occupied Wall Street in the Obama Era,” Race, Gender & Class, 20, no. 3/4 (2013), pp. 33–39.

  55. 55.

    Bonilla-Silva, Racism without Racists (Lanham: Rowman & Littlefield, 2014). Bonilla-Silva, “More Than Prejudice,” SRE 1, no. 1 (2015), pp. 73–87. Omi and Winant, Racial Formation. (New York: Routledge, 2015).

  56. 56.

    Cedric Robinson, Black Marxism: The Making of the Black Radical Tradition (Chapel Hill, NC: The University of North Carolina Press, 2000).

  57. 57.

    Bonilla-Silva, “More Than Prejudice,” SRE 1, no. 1 (2015), pp. 73–87. Omi and Winant, Racial Formation. (New York: Routledge, 2015).

  58. 58.

    Patricia Hill Collins, Black Feminist Thought: Knowledge, Consciousness and Empowerment (New York, NY: Routledge, 2008), p. 226.

  59. 59.

    Milkman, “A New Political Generation,” ASR 82, no. 1 (2017), p. 17.

  60. 60.

    Milkman, “A New Political Generation,” ASR 82, no. 1 (2017), p. 17.

  61. 61.

    For the full open letter visit: http://www.zashnain.com/2011/09/open-letter-to-occupy-wall-street.html.

  62. 62.

    Brian Creech, “Digital Representation and Occupy Wall Street’s Challenge to Political Subjectivity,” Convergence: The International Journal of Research 20, no. 4 (2014), p. 472.

  63. 63.

    Amedee, “Movements Left and Right,” RG&C 20, no. 3/4 (2013), pp. 33–39. Milkman, “A New Political Generation,” ASR 82, no. 1 (2017), pp. 1–31.

  64. 64.

    Ash, Social Movements (Chicago: Markham Publishing, 1972). Arsenault, Freedom Riders (Oxford: Oxford University Press, 2006). Daniel Bell, The Radical Right, (Garden City, NY: Doubleday & Company, Inc., 1964). Lauren Edelman, Gwendolyn Leachman, and Doug McAdam, “On Law, Organizations, and Social Movements,” Annual Review of Law and Social Science 6 (2010), pp. 653–685. McCright and Dunlap, “Nature and Social Bases,” TSQ 49 (2008), pp. 825–848.

  65. 65.

    Ann Nevin, Lies My Teacher Told Me: Everything Your American History Textbook Got Wrong (New York, NY: The New Press, 2008).

  66. 66.

    Scott Eidelman and Christian Crandall, “A Psychological Advantage for the Status Quo,” pp. 85–106 in Social and Psychological Bases of Ideology and System Justification, edited by John T. Jost, Aaron C. Kay, and Hulda Thorisdottir (Oxford, UK: Oxford University Press, 2009).

  67. 67.

    Eidelman and Crandall, “Psychological Advantage” (Oxford: Oxford University Press, 2009), p. 92.

  68. 68.

    Angie Beeman, “Post-Civil Rights Racism and OWS: Dealing with Color-Blind Ideology,” Socialism and Democracy 26, no. 2 (2012), pp. 51–54.

  69. 69.

    Amedee, “Movements Left and Right,” RG&C 20, no. 3/4 (2013), p. 39.

  70. 70.

    Žižek, The Year, (London: Verso Books, 2012).

  71. 71.

    Collins, Black Feminist Thought (New York, NY: Routledge, 2008). Crenshaw, Kimberlé, “A Black Feminist Critique of Antidiscrimination Law and Politics” pp. 356–380 in The Politics of Law: A Progressive Critique, edited by David Kairys (New York, NY: Basic Books, 1998).

  72. 72.

    Amber Jamieson, “Occupy Wall Street reunites five years later: ‘It never ended for most of us.’” The Guardian, September 18, 2016.

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Welch, L. (2019). Neoliberalism, the Global Capitalist Crisis, and the Occupy Wall Street Movement. In: Berberoglu, B. (eds) The Palgrave Handbook of Social Movements, Revolution, and Social Transformation. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-92354-3_14

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