The
Math That Predicted The Revolutions Sweeping The Globe Right Now
Brian
Merchant
19
February, 2014
It's
happening in Ukraine,
Venezuela, Thailand,
Bosnia, Syria, and beyond. Revolutions, unrest, and riots
are sweeping the globe. The near-simultaneous eruption of violent
protest can seem random and chaotic; inevitable
symptoms of an unstable world. But there's at least one common
thread between the disparate nations, cultures, and people in
conflict, one element that has demonstrably proven to make these
uprisings more likely: high global food prices.
Just
over a year ago,
complex systems theorists at the
New England Complex Systems Institute
warned us that if food prices continued to climb, so too would
the likelihood that there would be riots
across the globe.
Sure enough, we're seeing them now. The paper's author, Yaneer
Bar-Yam, charted the rise in the FAO food price index—a measure the
UN uses to map the cost of food over time—and found that whenever
it rose above 210, riots broke out worldwide. It
happened in 2008 after the economic collapse, and again in 2011, when
a Tunisian street vendor who could no longer feed his family set
himself on fire in protest.
Bar-Yam
built a model with the data, which then predicted that something
like the Arab Spring would ensue just weeks before it did. Four days
before Mohammed Bouazizi's self-immolation helped ignite the
revolution that would spread across the region, NECSI submitted a
government report that highlighted the risk that rising food prices
posed to global stability. Now, the model has once again proven
prescient—2013 saw the third-highest
food prices on record,
and that's when the seeds for the conflicts across the world were
sewn
"I have a long list of the countries that have had major social unrest in the past 18 months consistent with our projections," Bar-Yam tells me. "The food prices are surely a major contributor---our analysis says that 210 on the FAO index is the boiling point and we have been hovering there for the past 18 months."
There
are certainly many other factors fueling mass protests, but hunger—or
the desperation caused by its looming specter—is often the tipping
point. Sometimes, it's clearly implicated: In Venezuela—where
students have taken to the streets and protests have left citizens
dead—food prices are at a staggering 18-year
high.
"In
some of the cases the link is more explicit, in others, given that we
are at the boiling point, anything will trigger unrest. At the
boiling point, the impact depends on local conditions," Bar-Yam
says. But a high price of food worldwide can effect countries
that aren't feeling the pinch as much. "In addition, there
is a contagion effect: given widespread social unrest that is
promoted by high food prices, examples from one country drive unrest
in others."
Here's
the list of the countries Bar-Yam has cited as suffering from unrest
related to the rise in the cost of eating:
South
Africa
Haiti
Argentina
Egypt
Tunisia
Brazil
Turkey
Colombia
Libya
India
China
Bulgaria
Chile
Syria
Thailand
Bangladesh
Bahrain
Ukraine
Venezuela
Bosnia
In
Thailand, where clashes between mass demonstrators and authorities in
Bangkok have claimed multiple lives, food prices have been steadily
rising.
In 2012, a trend towards rising food prices prompted the UN to issue
a warning:
the poor will be hit hard, and unrest may follow. The nation's
rampant inflation caused prices to continue
to rise further still in 2013.
Today, there are fatal
riots.
In
Bosnia, which erupted into violent conflict last week, high
unemployment and hunger are prime drivers of a discontent that's been
simmering for months. On February 9, Chiara
Milan wrote "Today,
after more than one year of protests and hunger, eventually the world
got to know about [the protesters'] grievances."
Food
shortages caused by drought helped
spur Syria's civil war.
High food prices helped precipitate the fare
hike protests in Brazil.
The list goes on.
The
food riots in places like wealthy, socialist Sweden and the booming
economies of Brazil and Chile highlight the fact that the cost of
eating can fuel unrest anywhere; even in nations with robust
democracies and high standards of living. With the inequality
worsening across the globe, this is worth paying special attention
to—lest we forget there are millions of Americans going hungry
every year too.
So.
The cost of food is high; discontent is raging. Thankfully, Bar-Yam's
model sees at least temporary relief on the horizon.
"As
to the trend for the next few months: Grain prices have gone down,
starting with corn last summer," he says. "This has
yet to propagate through the food system to lower prices, but they
should drop soon. This may help reduce the unrest that is
happening."
However,
he emphasizes the structural threats to the global food system
haven't been addressed. Bar-Yam has written at length about what he
believes to be the root cause of food price swings: financial
speculation and food-for-fuel policies like ethanol subsidies. Both,
he argues, artificially drive up prices on the global market and, in
turn, cause hunger and unrest.
Whether
or not the prices will drop, he says, hinges largely on US and
European policy decisions.
"Everything
now is very sensitive to what will happen with the ethanol mandate,"
Bar-Yam tells me. "The EPA has proposed not following the
mandated increase this year, keeping it about the same as last year.
There is a Senate bill to repeal the mandate sponsored by Feinstein
and Coburn. The European Union has stated that it will implement a
regulation of commodity markets (because of the impact on poor
populations), and the CFTC is still fighting the market traders in
trying to regulate the US markets."
The
way the global food system works right now, with wheat, corn, and
rice traded globally as commodities, domestic food production doesn't
necessarily guarantee a population will get enough to eat. Ukraine,
for instance, produced record amounts of wheat last year—but
exported most
of its gains.
This web of imports and exports creates a global marketplace
that is vulnerable to price shocks. That's why Bar-Yam believes that
speculators and bad ethanol policy are essentially feeding global
unrest.
"The
main thing is that matters are very much in flux," he says. "We
may still have higher food prices if the policies are not implemented
but if they are, we may have a significant reduction in prices and
lower unrest globally."
If
not, in other words, the riots will burn on.
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