Pirate Stock Exchange Marks Democracy's Decline
Six frigates, Old Ironsides among them, outfitted to defeat the Barbary pirates marked a young democracy's first efforts at projecting the rule of law on the high seas. Will it take a Chinese aircraft carrier to do the job against today's Somali pirates?
As an indication of the total disdain the emerging pirate nation has for the waning prowess of western powers a stock exchange has been busily operating in Harardheere, Somalia through which pirate gangs can raise financing and share the spoils of their rapidly growing operations. According to GCaptain, an online newsletter that monitors the pirate industry, attacks on merchant vessels off the Horn of Africa have more than doubled since last year. Even more galling, the support of modern capital markets has transformed a rag-tag collection of subsistence pirates into Mercedes-driving moguls that pay "taxes" to local governments to build schools, roads, and hospitals.
The financial success of these ventures in the face of a flaccid response from victimized nations has encouraged the pirate market to expand into more distant waters. Governments as far away as South Africa have started sounding the alarm.
How is it that the United States can spend billions supporting a failed 40-year "War on Drugs" meant to deny consumers products they are eager to buy and yet do nothing to defend American flagged vessels attacked on the high seas? Why does FinCEN have unbridled authority to stick its nose into private financial transactions all over the planet yet is powerless to chop off the international tentacles of a third world stock exchange financing pirate expeditions? What does it take to get our imbeciles in Washington to pay attention, Visigoths sacking Chevy Chase?
Pirates are an ancient scourge. Thomas Jefferson faced them down when he refused to continue paying millions in tribute to the Bashaw of Tripoli, instead instructing the newly commissioned American Navy to "sink, burn or destroy their ships & vessels wherever you shall find them." Note that he did not insist that pirates be read their Miranda rights or be arrested and transported back to the US where they could be provided with court appointed lawyers and a retinue of media enablers.
Libertarians may argue that the U.S. government has no business defending the interests of private American businesses that choose to take the risk of sailing through pirate infested waters. As the federal government faces insolvency this argument has fiscal merit on its side. After all what's more important, defending tankers bound for America operated by greedy oil companies or subsidizing corn ethanol in states chock full of primary caucus voters?
But what explains the reluctance of allowing merchants to arm themselves, despite the fact that there hasn't been a single reported hijacking of a vessel outfitted with private security? Armed merchant vessels have a long tradition of vigorous self defense, best exemplified by the 18th and 19th century East Indiamen. These 1200 ton cargo ships carried dozens of heavy cannons, more than sufficient to defeat pirates and sometimes even enemy Men of War. Although US State Department export regulations effectively prohibit the arming of merchant ships recent reports indicate that the British government is getting ready to reverse its long-standing opposition to maritime self defense. This would go a long way toward removing the cloud of potential legal prosecution that has discouraged private ship owners from taking paramilitary measure to protect their cargoes and crews. Given the increasing use of torture against kidnapped crew to pry loose bigger ransom payments, sentiment amongst seamen may be shifting as well.
It's not hard to see the festering pirate problem as yet another sign of the decline of Western Democracies. Preoccupied with financing massive entitlement programs, buried in debt, riven by partisan gridlock, and exhausted from overseas military adventures the tide is clearly going out on Jefferson's 200 year old experiment.
Leaving China to fill the void.
China was the greatest maritime nation on earth before turning inward in the second half of the 15th century, just as Europe began its age of exploration. China's long tradition of commerce survived both a century of exploitation by European imperialists and 70 years of Communism, resurging with a vengeance as a hungry people began rediscovering the fruits of capitalism. Flush with cash China is looking outward in a way it hasn't since the great Admiral Zheng He led a fleet of 300 massive wooden vessels around the world in search of trade and treasure.
Except now they are building aircraft carriers.
No, this doesn't represent a threat to the U.S. What does a mercantilist nation have to gain by attacking its biggest customer and largest debtor? But what better mission for the first of what will surely be a fleet of carriers than going after the Somali pirates, hanging those captured on the high seas, sinking their mother ships without quarter, and bombing their ports of refuge. While this may sound far-fetched, once the new carrier is operational and Chinese naval aviators learn to land on it without killing themselves it won't take more than a few highly publicized hijackings of Chinese vessels to provide the impetus.
Laugh at China's naval pretensions if you want. But remember, aging empires once dismissed Old Ironsides too.
