After the Rain : how the West lost the EastVaknin, Samuel
History
After the Rain : how the West lost the East
Vaknin, Samuel
Europe, Eastern -- Economic conditions -- 1989-; Europe, Eastern -- Politics and government -- 1989-
To secure this remarkable achievement - the underworld had to procure
and then maintain - infrastructure and technologies. Indeed, criminals
are great at innovating and even more formidable at making use of
cutting edge technologies. There is not a single technological advance,
invention or discovery that criminals were not the first to utilize or
the first to contemplate and to grasp its full potential. There are
enormous industries of services rendered to the criminal in his
pursuits. Accountants and lawyers, forgers and cross border guides,
weapons experts and bankers, mechanics and hit-men - all stand at the
disposal of the average criminal. The choice is great and prices are
always negotiable. These auxiliary professionals are no different to
their legitimate counterparts, despite the difference in subject
matter. A body of expertise, know-how and acumen has accumulated over
centuries of crime and is handed down the generations in the criminal
universities known as jailhouses and penitentiaries. Roads less
travelled, countries more lenient, passports to be bought, sold, or
forged, how to manuals, classified ads, goods and services on offer and
demand - all feature in this mass media cum educational (mostly verbal)
bulletins. This is the real infrastructure of crime. As with more
mundane occupations, human capital is what counts.
Criminal activities are hugely profitable (though wealth accumulation
and capital distribution are grossly non-egalitarian). Money is stashed
away in banking havens and in more regular banks and financial
institutions all over the globe. Electronic Document Interchange and
electronic commerce transformed what used to be an inconveniently slow
and painfully transparent process - into a speed-of-light here-I-am,
here-I-am-gone type of operation. Money is easily movable and virtually
untraceable. Special experts take care of that: tax havens, off shore
banks, money transactions couriers with the right education and a free
spirit. This money, in due time and having cooled off - is reinvested
in legitimate activities. Crime is a major engine of economic growth in
some countries (where drugs are grown or traded, or in countries such
as Italy, in Russia and elsewhere in CEE). In many a place, criminals
are the only ones who have any liquidity at all. The other, more
visible, sectors of the economy are wallowing in the financial drought
of a demonetised economy. People and governments tend to lose both
their scruples and their sense of fine distinctions under these unhappy
circumstances. They welcome any kind of money to ensure their very
survival. This is where crime comes in. In Central and Eastern Europe
the process was code-named: "privatisation".
Public-domain text, read in full here on John Shaqi.
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