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New Technologies, the Welfare State, and the Prospects for

Democratization

By Douglas Kellner

"human beings make their own history, but not under circumstances of their own choosing." Karl Marx

"They who control the Microscopick, control the World." Thomas Pynchon

The current explosion of new technologies and furious debates over their substance, trajectory, and effects poses two major challenges to critical social theory and a radical democratic politics: first, how to theorize the dramatic changes in every aspect of life that the new technologies are producing; and, secondly, how to utilize the new technologies to promote progressive social change to create a more egalitarian and democratic society in an era marked by rampant technological development and the seeming victory of market capitalism over its historical opponents.

In this article, I first want to suggest some ways to theorize the current technological revolution without falling into either technological or economic determinism, as well as the modes of technophilia or technophobia. I will argue that one needs to theorize the spread of new technologies and series of transformations that we undergoing: 1) in the context of the current stage of capitalist development, as a crucial part of the global restructuring of capitalism, and thus to think together the current development and imbrication of technology and capitalism; and 2) as embodying a set of artifacts and practices that themselves can be restructured and reconstituted to carry out individual and group projects, as well as following the imperatives built-into the technologies.

In carrying out this hermeneutical process, one needs to avoid the extremes of either exaggerating or downplaying the autonomous role of technology in this process, as if technology were either the demiurge of the contemporary world, or an unimportant epiphenomenon of a much greater force, such as capitalism or human self-development. In addition, one must avoid two extremes which would either denigrate and demonize technology in the mode of technophobia, or celebrate and deify it in the mode of technophilia. Instead, a critical theory of technology attempts to develop a dialectical optic that avoids one-sided approaches in theorizing and evaluating the genesis of the new technologies and their often contradictory effects.

I also want to develop democratic and activist perspectives on the new technologies, suggesting some ways that they might be used for such things as self-valorization and empowerment, democratization, and progressive social transformation, in opposition to their roles of strengthening the forces of corporate and state domination. I do not want to fall either into the utopianism of the boosters of new technologies, or into the pessimism and defeatism of those who merely see new technologies as an instrument of capital and the state. In pursuing the political effects of new technologies, I take on the issue of the Information Superhighway and the fate of the welfare state and will argue that the welfare state is falling victim to the global restructuring of capital and that the new technologies are serving as the matrix of a new dominant ideology that identifies technological progress and human well-being with new technologies and the market, while presenting the state as an obsolete force of domination and bureaucratic state apparatus that is seen as an impediment to progress, freedom, and other positive values. In this view, it is the market and individual entrepreneurship that has made possible the dramatic technological revolution of the present and any state regulation is seen as an impediment for further progress. Such an ideology is used to dismantle the welfare state and must thus be put in question and subjected to ideological critique.

For a Critical Theory of Technology

While many dominant discourses on technology exhibit one-sided technophilic or technophobic approaches, I would argue that we need to develop a critical theory of technology in order to sort out positive and negative features, the upside and downside, the benefits and the losses in the development and trajectory of the new technologies. It is necessary, I believe, to counter promises of technological utopia, that computers will solve all our problems, produce jobs for everyone, generate a wealth of information, entertainment, and education, connect everyone, and overcome boundaries of gender, race, class -- claims that we hear from Bill Gates, Clinton and Gore, Tony Blair, and others. But we also need to counter technological dystopia, that computers are our damnation, that they are vehicles of alienation, mere tools of capital, the state, and domination.

Both approaches are one-sided and reveal the need for a dialectical theory that plays off extremes against each other to generate a more inclusive position, indicating how technology can be used as instruments of domination and emancipation, as tools of both dominant societal powers and of individuals struggling for democratization and empowerment. A critical theory of technology requires a substantive vision of what technology is, what it does and what it could do, as well as a normative vision that delineates positive and negative uses. This requires articulation of a standpoint of critique, from which one can make distinctions between positive and negative uses of technology.

The critical theory of the Frankfurt School, which I am drawing upon in this article, criticizes existing institutions, social relations, and phenomena from a normative standpoint through which existing realities can be judged deficient and oppressive. I would suggest that those forms and uses of technology that enhance positive values such as democracy, community, freedom, self-development, and the like should be deemed life-enhancing and meritorious, while those forms and uses of technology which promote domination and oppression while undermining democracy, community, freedom, creativity, and other positive values should be criticized as blameworthy. Of course, often one cannot make such a clear distinction, there can be unintended consequences of introducing new technologies, and technologies are often highly ambivalent, combining positive and negative functions and effects.

Still, one needs a dialectical normative optic to develop a critical theory of technology that spells out its positive and negative -- or ambivalent -- aspects. This is not to reject radical critiques of technology, or of specific technologies, out of hand, for often the critiques are valid and important. It is a mistake, however, to dismiss technology per se as merely a mode of domination and oppression, though it may be so in many cases and threaten positive values. Technologies, like the computer, for instance, were initially used and developed by big government, corporations, and the military as a centralized instrument of social control and power and were, with much justice, criticized in the 1960s for contributing to big institutional domination, the dehumanizing and disempowerment of humans, and the proliferation of destructive and life-threatening weapons systems. Yet in the 1980s and 1990s computers were recreated, made "personal," and are significantly different in their constitution and effects than their earlier incarnations.

A critical theory of technology thus creates a historical specific and normative critique of technology. It not only attacks life-negating and oppressive aspects of technology, but valorizes empowering, democratizing, and positive forms and uses. Crucially, it attempts to discover and invent ways that technology can serve the interests of human emancipation and well-being, while aspiring to delineate emancipatory functions and uses for technology -- which may require the reconstruction of existing technology and the creation of what Marcuse called a "new technology" that synthesized art and technology (1964: 227f.; see the discussion in Kellner 1984 and development in Feenberg 1991 and 1995).

As for the standpoint of critique and the normative criteria that differentiate emancipatory from oppressive constructions and uses of technology, they themselves are historical, evolving, and subject to change and development. Conceptions of democracy, freedom, and human well-being are constantly shifting and so one's normative standards are historical, subject to the vicissitudes of history. The Frankfurt School, for instance, shifted in the 1930s and 1940s from socialist conceptions of critique, that would evaluate phenomena from the standpoint of whether they promoted or retarded the growth of socialism and/or promoted capitalism and domination, to what they called "immanent critique," which took the norms of existing society as yardsticks to measure and criticize failures to realize these norms. Thus, the Frankfurt School in the 1930s assumed the validity of the norms of enlightenment, democracy, human rights, individualism, freedom, and other positive Enlightenment ideals to criticize the suppression of these norms in existing fascist, communist, and capitalist societies. In Dialectic of Enlightenment, Horkheimer and Adorno (1972) argued that these values had turned into their opposite, that enlightenment, rationality, culture, and other bourgeois ideals had shifted from a form of emancipation and progress to one of oppression and domination, as science, technology, industry, and instrumental rationality created machinery of war, death camps, and nuclear annihilation, as well as systems of social control and oppression. Henceforth, they attempted to develop new strategies of critique and opposition to the new forms of technological domination and power.

A critical theory of technology may also deploy strategies of immanent critique, but may wish to develop stronger conceptions of democracy, freedom, and the good society than notions currently in play and should carry out critiques of ideological notions of democracy, empowerment, and freedom being promoted by the avatars of new computer and multimedia technologies. This, of course, is an immense task and my present reflections can only contribute to making a few observations on theorizing new technologies in the context of threats to the welfare state and democracy in the current global restructuring of capitalism and the ways that technology is both central to this process and yet provides potentially progressive uses and effects.

What is at stake, therefore, is theorizing at once how new technologies can be used as instruments of domination and how new technologies can be used for democratization, for creating a more egalitarian society, and for empowering individuals and groups who are currently disenfranchised and without power -- a task that I will undertake in the following sections of this paper.

Technocapitalism and New Technologies

In place of current conceptions of postindustrial society, the information society, or postmodernity, I would propose conceptualizing the development and implementation of new technologies in terms of a theory of technocapitalism. I believe that current conceptions of the information society and emphasis on information technology as its demiurge are by now too limited; the new technologies are modes of information and entertainment, and it is becoming harder and harder to separate them. Moreover, they are part and parcel of a global restructuring of capitalism and cannot be adequately theorized without taking this into account.

Indeed, I would argue, first, that the new technologies are much more than solely information technology, but are also technologies of entertainment, communication, and play, encompassing and restructuring both labor and leisure. Previous forms of entertainment are rapidly being absorbed within the Internet, and the computer is coming to be a major household appliance and source of entertainment, information, play, communication, and connection with the outside world. As clues to the enormity of the transformation going on, as indicators of the syntheses of information and entertainment in the infotainment society, I would suggest reflections on the massive mergers of the major information and entertainment conglomerates that have taken place in the United States during the past two years which have seen the most extensive concentration and conglomeration of information and entertainment industries in history, including:

CBS and Westinghouse: $5.5 billion

MCA and Seagrams: $5.6 billion

Time Warner and Turner: $ 7.5 billion --

Disney/Capital Cities/ ABC $19 billion

NBC and Microsoft/ megabillions

These mergers bring together corporations involved in TV, film, magazines, newspapers, books, information data bases, computers, and other media, suggesting a coming implosion of media and computer culture, of entertainment and information in a new infotainment society. There have also been massive mergers in the telecommunications industry (in the U.S. between Southwest Bell and California Bell and New York and Atlantic Bell, with a merger between AT&T and major regional systems almost occurring, and with MCI negotiating a $37 billion merger with WorldCom, which topped British Telecommunications and GTE offers). The corporate media, communications, and information industries are frantically scrambling to provide delivery for the wealth of information, entertainment, and other services that will include increased internet access, cellular telephones and satellite personal communication devices, and video, film, and information on demand, as well as Internet shopping and more unsavory services like pornography and gambling.

Consequently, the mergers between the immense information, computer, and entertainment conglomerates disclose a synergy between new technologies and media, which combine entertainment and information, undermining such a distinction. These mergers call for an expansion of the concept of information revolution, or information society, into concepts of the infotainment society in order to highlight the imbrications of information and entertainment in the new media and technologies of the present. Together, these corporate mergers and the products and services that they are producing constitute a new form of technocapitalism and new infotainment society that it is our challenge to theorize and attempt to shape to more humane and democratic purposes than the accumulation of capital and corporate/state hegemony.

I thus want to argue that this synthesis of entertainment and information in the technological and information revolution is part of the creation of a new infotainment society that itself is part and parcel of a global restructuring of capitalism. Few theories of the information revolution and the new technologies contextualize the structuring, implementation, marketing, and use of new technologies in the context of the vicissitudes of contemporary capitalism. The ideologues of the information society act as if technology were an autonomous force and either neglect to theorize the interconnections of capital and technology, or use the advancements of technology to legitimate market capitalism (i.e. Gates 1995). More critical theorists of the momentous changes in the contemporary society often fail to theorize the ways that the restructuring of capital are connected with technological revolution. Offe (1985) and Lash and Urry (1987 and 1994), for instance, see important changes in the economy, polity, culture, and society, but see this as a disorganization of capitalism, as its unravelling, rather than as reorganization.

While most of the prophets and promoters of the information society tend to be technological determinists, many of the (neo)Marxists who criticize its ideologies and practices tend to be economic determinists. Both economic and technological determinisms, however, often neglect the role of continuing conflict and struggle, the possibilities of intervention and transformation, and the ability of individuals and groups to remake society to serve their own needs and purposes. In all determinist conceptions, technology and society are conceived as matrixes of power and domination, while humans are seen as passive objects of manipulation and empowering uses of technology are not considered. With Lewis Mumford (1934), however, we should insist that humans take command of their social circumstances and technology, shape their social environment to enhance their life, and use technology to empower themselves and democratize society. Technics are instruments that can be actively deployed by human beings. Although they are shaped by social forces to serve specific ends, they can be reconfigured, reshaped, and deployed against the purposes for which they are designed. This is close to what autonomous Marxists call self-valorization, as opposed to capital-valorization, using the technics of production and communication against capitalist relations of production and values (see Negri 1989).

But to avoid the romanticism of voluntarism and humanism, we need to be clear concerning the precise economic, social, political, cultural, and technological forces that are currently restructuring every aspect of life and develop strategies based on this knowledge. I introduced the term "technocapitalism" to describe the synthesis of capital and technology in the current organization of society (Kellner 1989a). Unlike theories of postmodernity (i.e. Baudrillard 1993) which often argue that technology is the new organizing principle of society, and not the economic relations, I propose the term technocapitalism to point to both the increasingly important role of technology and continued primacy of capitalist relations of production. I would argue that contemporary societies continue to be organized around production and capital accumulation, and that capitalist imperatives continue to dominate production, distribution, and consumption, as well as other cultural, social and political domains. Workers continue to be exploited by capitalists and capital continues to be the hegemonic force -- more so than ever after the collapse of communism.

The term technocapitalism points to a configuration of capitalist society in which technical and scientific knowledge, automation, computers, and high tech play a role in the process of production analogous to the role of human labor power, mechanization of the labor process, and machines in an earlier era of capitalism, while producing as well new modes of societal organization and forms of culture and everyday life. We are in a parallel situation, I believe, to the Frankfurt school in the 1930s which was forced to theorize the new configurations of economy, polity, society, and culture brought about by the transition from market to state monopoly capitalism which was producing new forms of social and economic organization, technology, and culture with the rise of giant corporations and cartels, a capitalist state to help organize capitalism whether in a fascist or a state capitalist form, and with culture industries and mass culture serving as new modes of social control, new forms of socialization, and a new configuration of culture and everyday life (Kellner 1989a). My thesis is that today media culture and new technologies are vitally transforming every aspect of social life in a process that is creating new forms of society, sometimes described as postmodern society, the information society, cybersociety, global postFordism, and various other terms.

In terms of political economy, the new postindustrial form of technocapitalism is characterized by a decline of the state and increased power of the market, accompanied by the growing power of globalized transnational corporations and governmental bodies and the decline of the nation-state and its institutions. To paraphrase Max Horkheimer, whoever wants to talk about capitalism, must talk about globalization, and it is impossible to theorize globalization without talking about the restructuring of capitalism (see Cvetkovitch and Kellner 1996 and Kellner 1998a). Much of the literature of globalization, however, follows the same discourses as on technology that celebrate or denigrate it. Much of the critical literature on globalization follows a capitalist logic model that sees the logic of capital as producing new forms of economy, along with new technologies and forms of domination, and thus theorizes globalization as imposing a new form of domination. In the following section, however, I want to discuss prospects of a globalization from below that deploys new technologies to promote the values of democratization and the interests of groups struggling against capitalist globalization and domination.

Technopolitics

Critics of the Internet and claims for cyberdemocracy frequently point to the military origins of the 'net and its central role in the practices of dominant corporate and state powers. Yet it is amazing that the Internet for large numbers is decommodified and is becoming increasingly decentralized, becoming open to more voices and groups. Thus, cyberdemocracy and the Internet should be seen as a site of struggle, as a contested terrain, and progressives should look to its possibilities for resistance and circulation of struggle. Dominant corporate and state powers, as well as conservative and rightist groups, have been making serious use of new technologies to advance their agendas and if progressives want to become players in the political battles of the future they must devise ways to use new technologies to advance a progressive agenda and the interests of the oppressed and forces of resistance and struggle.

There are by now copious examples of how the Internet and cyberdemocracy have been used in progressive political struggles. A large number of insurgent intellectuals are already making use of these new technologies and public spheres in their political projects. The peasants and guerilla armies struggling in Chiapas, Mexico from the beginning used computer data bases, guerrilla radio, and other forms of media to circulate their struggles and ideas. Every manifesto, text, and bulletin produced by the Zapatista Army of National Liberation who occupied land in the southern Mexican state of Chiapas in 1994 was immediately circulated through the world via computer networks. In January 1995, the Mexican government moved against the movement and computer networks were used to inform and mobilize individuals and groups throughout the world to support the Zapatistas struggles against repressive Mexican government action. There were many demonstrations in support of the rebels throughout the world, prominent journalists, human rights observers, and delegations travelled to Chiapas in solidarity and to report on the uprising, and the Mexican and U.S. governments were bombarded with messages arguing for negotiations rather than repression; the Mexican government accordingly backed off their repression of the insurgents and as of this writing in December 1997, they have continued to negotiate with them.

Frantz Fanon (1967) described the central role of the radio in the Algerian Revolution, and Lenin highlighted the importance of film in promoting communist ideology after the revolution. In addition, audiotapes were used to promote the revolution in Iran and to promote alternative information by political movements throughout the world (see Downing 1984). The Tianenaman Square democracy movement in China and various groups struggling against the remanents of Stalinism in the former communist bloc and Soviet Union used computer bulletin boards and networks, as well as a variety of forms of communications, to circulate their struggles. Opponents involved in anti-NAFTA struggles made extensive use of the new communication technology (see Brenner 1994 and Fredericks 1994). Such multinational networking and circulation of information failed to stop NAFTA, but created alliances useful for the struggles of the future. As Nick Witheford (forthcoming) notes: "The anti-NAFTA coalitions, while mobilizing a depth of opposition entirely unexpected by capital, failed in their immediate objectives. But the transcontinental dialogues which emerged checked -- though by no means eliminated -- the chauvinist element in North American opposition to free trade. The movement created a powerful pedagogical crucible for cross-sectoral and cross-border organizing. And it opened pathways for future connections, including electronic ones, which were later effectively mobilized by the Zapatista uprising and in continuing initiatives against maquilladora exploitation."

Thus, using new technologies to link information and practice, to circulate struggles, is neither extraneous to political battles nor merely utopian. Even if material gains are not won, often the information circulated or alliances formed can be of use. For example, two British activists were sued by the fastfood chain McDonald's for distributing leaflets denouncing the corporation's low wages, advertising practices, involvement in deforestization, harvesting of animals, and promotion of junk food and an unhealthy diet. The activists counterattacked, organized a McLibel campaign, assembled a McSpotlight website with a tremendous amount of information criticizing the corporation, and assembled experts to testify and confirm their criticisms. The five-year civil trial, ending ambiguously in July 1997, created unprecedented bad publicity for McDonald's and was circulated throughout the world via Internet websites, mailing lists, and discussion groups. The McLibel group claims that their website was accessed over twelve million times and the Guardian (February 22, 1996) reported that the site "claimed to be the most comprehensive source of information on a multinational corporation ever assembled," and was indeed one of the more successful anticorporate campaigns (visit http://www.envirolink.org/mcspotlight/home.html).

Many labor organizations are also beginning to make use of the new technologies. Mike Cooley (1987) has written of how computer systems can reskill rather than deskill workers, while Shosana Zuboff (1988) has discussed the ways in which high-tech can be used to "informate" workplaces rather than automate them, expanding workers' knowledge and control over operations rather than reducing and eliminating it. The Clean Clothes Campaign, a movement started by Dutch women in 1990 in support of Filipino garment workers has supported strikes throughout the world, exposing exploitative working conditions (see their website at http://www. cleanclothes.org/1/index.html). In 1997, activists involved in Korean workers strikes and Merseyside dock strike in England used websites to gain international solidarity (for the latter see http://www.gn.apc.org/lbournet/docks/).

Most labor organizations, such as the North South Dignity of Labor group, note that computer networks are useful for coordinating and distributing information, but cannot replace print media that is accessible to more of its members, face-to-face meetings, and traditional forms of political struggle. Thus, the challenge is to articulate one's communications politics with actual political movements and struggles so that cyberstruggle is an arm of political battle rather than its replacement or substitute. The most efficacious Internet struggles have indeed intersected with real struggles ranging from campaigns to free political prisoners, to boycotts of corporate projects, to actual labor and even revolutionary struggles, as noted above.

Hence, to capital's globalization from above, cyberactivists have been attempting to carry out globalization from below, developing networks of solidarity and circulating struggle throughout the globe. To the capitalist international of transnational corporate globalization, a Fifth International of computer-mediated activism is emerging, to use Waterman's phrase (1992), that is qualitatively different from the party-based socialist and communist Internationals. Such networking links labor, feminist, ecological, peace, and other progressive groups providing the basis for a new politics of alliance and solidarity to overcome the limitations of postmodern identity politics (on the latter, see Best and Kellner 1991, 1997, and forthcoming).

Moreover, a series of struggles around gender, sex, and race are also mediated by new communications technologies. After the 1991 Clarence Thomas Hearings in the United States on his fitness to be Supreme Court Justice, Thomas's assault on claims of sexual harassment by Anita Hill and others, and the failure of the almost all male U.S. Senate to disqualify the obviously unqualified Thomas, prompted women to use computer and other technologies to attack male privilege in the political system in the United States and to rally women to support women candidates. The result in the 1992 election was the election of more women candidates than in any previous election and a general rejection of conservative rule.

Many feminists have now established websites, mailing lists, and other forms of cybercommunication to circulate their struggles. Younger women, sometimes deploying the concept of "riotgrrrls," have created electronically-mediated 'zines, web sites, and discussion groups to promote their ideas and to discuss their problems and struggles. African-American women, Latinas, and other groups of women have been developing web sites and discussion lists to advance their interests. And AIDS activists have used new technologies to disseminate and discuss medical information and to activate their constituencies for courses of political action and struggle

Likewise, African-American insurgent intellectuals have made use of broadcast and computer technologies to promote their struggles. John Fiske (1994) has described some African-American radio projects in the "technostruggles" of the present age and the central role of the media in recent struggles around race and gender. African-American "knowledge warriors" are using radio, computer networks, and other media to circulate their ideas and counter-knowledge on a variety of issues, contesting the mainstream and offering alternative views and politics. In addition, activists in communities of color -- like Oakland, Harlem, and Los Angeles -- are setting up community computer and media centers to teach the skills necessary to survive the onslaught of the mediazation of culture and computerization of society to people in their communities.

Obviously, rightwing and reactionary groups can and have used the Internet to promote their political agendas as well. In a short time, one can easily access an exotic witch's brew of ultraright websites maintained by the Ku Klux Klan, myriad neo-Nazi groups including Aryan Nation and various Patriot militia groups. Internet discussion lists also promote these views and the ultraright is extremely active on many computer forums, as well as their radio programs and stations, public access television programs, fax campaigns, video and even rock music production. These groups are hardly harmless, having promoted terrorism of various sorts ranging from church burnings to the bombings of public buildings. Adopting quasi-Leninist discourse and tactics for ultraright causes, these extremist groups have been successful in recruiting working class members devastated by the developments of global capitalism which have resulted in widespread unemployment for traditional forms of industrial, agricultural, and unskilled labor.

The Internet is thus a contested terrain, used by Left, Right, and Center to promote their own agendas and interests. The political battles of the future may well be fought in the streets, factories, parliaments, and other sites of past struggle, but political struggle today is already mediated by media, computer, and information technologies and will increasingly be so in the future. Those interested in the politics and culture of the future should therefore be clear on the important role of the new public spheres and intervene accordingly.

New Technologies and the Vicissitudes of the Welfare State

Since the New Deal, welfare state liberalism has been the dominant ideology of state capitalist societies, the institutions of the welfare state have been their accepted structure and safety net, and its ideology the dominant legitimating discourse, the common sense, within which understanding, discussion, and debates unfold. The institutions of the welfare state and their legitimating ideology were successfully challenged, however, by Thatcherism and Reaganism in the 1980s producing a new common sense, a new hegemony.

But underneath these political shifts, the move from liberal to conservative political ideology and hegemony was the global restructuring of capitalism, the move from Fordism to Post-Fordism, from an industrial society to a postindustrial one, from an economy grounded in big manufacturing to one based on knowledge and information. In order to globally restructure capitalism, capitalist corporations and interests needed less government regulation, less taxation, and less restrictions on how they could use and invest capital. The result was a dismantling of those governmental institutions and practices that protected individuals from predatory institutions and forces in favor of a new high-tech neo-liberalism that promises wealth and prosperity through the untrammeled development and institutions of new technologies in the creation of an information superhighway.

I would indeed go so far as to claim that the information superhighway is the dominant ideology and the information society is the dominant project of the contemporary technocapitalist society. It is hyped to the maximum by the U.S. media because these corporations are the major players in this project, because the same corporations that own big media are merging with computer and information industries, and thus the new technologies are both a source of profit and of social power and prestige. Thus, while one could envisage competition between the established media institutions and new institutions of the information and computer society, their mergers have created a situation where the media are cheerleaders and promoters of the new technologies and the information superhighway.

My argument is that the libertarian individualism and "free market" entrepreneurialism associated with the discourses of the new technologies and information superhighway are part of the ideological arsenal against the Welfare State which associates Big Government with harmful regulation, excessive taxes, and wasteful welfare spending. The prestige and power of the new computer culture thus feeds into "free market" ideologies and mitigates against statist and welfare discourses. The discourses of the new technologies articulate with ideologies of individualism which have long been functional for capitalism.

In addition, Bill Gates' notion of a "friction-free" capitalism (1995) also covers over the messiness, conflictedness, and suffering created from the reorganization of capitalism in which there are necessarily winners and losers, and tremendous pain from dislocation, downsizing, and economic downward mobility, uncertainty and anxiety. In general, there can be no friction-free capitalism as capitalism itself depends on competition, antagonisms, and what Schumpeter called "creative destruction." It is an ideological illusion and fantasy to believe that capitalism could eliminate friction, conflict, and suffering, especially through the market-mechanism alone which is predicated on self-interest and a Darwinian logic of the survival of the fittest.

Yet from another register, the very discourse of crisis, especially financial crisis, is also used to dismantle the welfare state. Such a conservative strategy was visible in the Reagan-Bush era and is being played out in the Clinton era. The mechanism was the running up of a massive federal deficit, resulting from large tax cuts for the wealthiest corporations and individuals, increased military spending, and the cutting of "inefficient" and costly government. In practice, this meant huge federal deficits and an actual increase in the state sector, though the excess federal expenditures tended to go into military programs with a corresponding cut in social programs.

While the liberal democratic ideology of the Clinton Administration did not mandate or celebrate cutting social programs and the welfare state, a certain economic logic of fiscal crisis was used to legitimate and even demand such cuts. But the "crisis" was not only a product of conservative economic policies, but the restructuring of capitalism itself with its proliferation of new technologies and subsequent corporate downsizing, reorganization, and restructuring.

As for the future of the welfare state, Saskia Sassen reports that at high-level capitalist enclaves such as the 1997 meeting at Davos, major representatives of the capitalist system fear that capitalism is getting too mean and predatory, that it needs a kinder and gentler state to ensure order and harmony, and that the welfare state may make a come-back. Since such discourse reminds one of George Bush's 1989 Inaugural speech and its discourse of a "1000 points of light" and "friendlier and gentler nation," followed by his invasion of Panama and orchestration of the Gulf war, one should be suspicious and take such bromides with a grain of salt. In fact, the Clinton administration has followed the Reagan and Bush administrations in dismantling the Welfare State and I see no place in the emerging structure and ideology of technocapitalism for a reinvigorated Welfare State.

In fact, I see two models of capitalism currently competing: a Microsoftcapitalism advocated by Bill Clinton, Al Gore, Newt Gingrich, and of course Bill Gates and the proponents of the information superhighway. They all claim that the information superhighway is going to bring more jobs, wealth, and prosperity to the nation, as well as better education, more information and entertainment, and greater democratization. But their discourses are by and large libertarian and free-market liberalism, celebrating the market and individual and not the government. To be sure, Clinton and Gore talk about reinventing government, but so far their reinvention has been limited to increasing deregulation and dismantling the Welfare State.

The optimism and cheerfulness of the Microsoftcapitalism discourse of the information superhighway is countered by a hard military capitalism that sees a coming clash of civilizations (Huntington 1996), intensified strife with China (Bernstein and Munro 1996), and new dangers and conflicts such as cyberwar, narcoterrorism, and new exotic forms of warfare. Such discourses continue the ideology of the Warfare State in the post-Cold War era and promote increased military spending, alertness, and readiness for intervention. Such discourses have no room for the Welfare State and argue that it is impossible to have more guns and more butter and are perfectly willing to sacrifice the Welfare State to build-up the Warfare State to yet new heights of power and destructiveness.

Some Concluding Remarks

In the light of the projects of technocapitalism to dismantle the Welfare State, it is up to citizens to create new public spheres, new politics, and to use the new technologies to discuss what kinds of society we want and to oppose the society we don't want, to demand more education, health care, welfare, and benefits from the state, and to struggle to create a more democratic and egalitarian society. But one cannot expect that generous corporations and a beneficent state are going to make available to citizens the bounties and benefits of the new information economy. Rather, it is up to individuals and groups to promote democratization and progressive social change.

Thus, to globalization from above of corporate capitalism, one could support a globalization from below, from individuals and groups in struggle using the new technologies to create a more egalitarian and democratic society. Individuals and groups all over the world are using the new technologies to advance progressive goals and the new public spheres of cyberspace are more open to cultural and intellectual intervention than the media spaces controlled by the giant corporations. Social struggles ranging from native peoples in the Mexican state of Chiapis, to dockworkers in London, to anti-corporate campaigns worldwide against McDonald's and Nike, have used the new technologies against the dominant corporate powers. Moreover, groups like African-Americans, Latinos, gays and lesbians, and others excluded from the democratic dialogue are using new technologies to promote democratization and advance their interests (see Kellner 1995 and forthcoming).

Of course, the new technologies might exacerbate existing inequalities in the current class, gender, race, and regional configurations of power and give the major corporate forces powerful new tools to advance their interests. In this situation, it is up to the people, to us, to devise strategies to use the new technologies to promote democratization and progressive social change. For as the new technologies become ever more central to every domain of everyday life, developing a progressive technopolitics in the new public spheres will become more and more important.

Changes are certainly happening, we are undergoing a Great Transformation, but we are, I believe, too early in the beginnings of this adventure to determine its structure, social relations, cultural forms, and effects. It is clear, however, that a technological revolution is going on, that it will have massive effects, and that it is a great challenge to us concerning how we will theorize and actually use the new technologies -- or whether they and the forces that control them will themselves use us in their projects. Thus, it is not only a challenge to social theorists to theorize the new technologies and their effects, and to activists to devise strategies for using the technology to promote progressive political change, but it is a challenge to each individual to determine how they will live the new technologies and cyberspaces, how they will themselves deploy them, and whether they will ultimately be empowering or disempowering, and democratizing or dedemocratizing. For as long as human beings have vision, goals, and autonomy, they can design, shape, and restructure their technologies, as well as being shaped and constrained by them.

Notes

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