Pay for Success Finance Preys Upon The Poor
Pay for Success is one of the biggest things we’re up against, and something few people are talking about, is social impact investing and pay for success finance. Within the hollowed out shell of the welfare state, which admittedly was always inadequate and used for purposes of racialized social control, global finance has built a new machine that will use predictive analytics, artificial intelligence, and wearable and screen-based technologies to monitor the global poor and profit from their misery.
This effort is being carried out in partnership with the non-profit sector, higher education, think tanks, and global foundations with the intention of stabilizing late-stage capitalism with technocratic “evidence-based” solutions.
Outcomes-based contracts are this machine’s operating system. Contracts employ pay-for-performance agreements that reimburse service providers IF they produce specified success metrics. These metrics are narrowly defined and chosen for their ability to be gamed. Contrived solutions offer up fake “success” to enrich investors at the expense of vulnerable populations. Think standardized test scores as success metrics for education or fit-bit step counts for preventative health.
This machine requires a steady supply of people labeled deficient by those in power. Like batteries in the Matrix, the poor are meant to be the fuel. The machine does not care for their actual wellbeing; its sole purpose is to maximize profit. In that it is similar to the capitalist Western medical model where Big Pharma opts for chronic disease management over research leading to cures. Pay for success will not empower the poor, but instead manage them and harvest their data, indefinitely.
The infrastructure for this system was put in place in the years leading up to the financial crisis of 2008. After toxic mortgages imploded, financiers needed another way to keep global capital circulating. It had to be even bigger than real estate debt, since global wealth continues to become more and more concentrated. The next BIG target would be financialized public benefit systems. Through financialization, resources are siphoned from the real economy into the financial sector where demands for short-term profit lead to instability, overwhelming debt, income inequality, and wage stagnation.
Source: Alison McDowell at Wrench in the Gears
See also: Central Banks Intend to Lay Claim to Bodies and Minds
The “Pay for Success” Finance Model Works As Follows:
“The “pay for success” finance model works as follows:
- Identify a social problem. In this case the possibility of a pandemic.
- Get an academic institution or think tank to cost out the problem as a negative externality. Remember, the more expensive the problem, the bigger the potential profit from preemptively “fixing” it.
- Establish an equation that fixes a rate of return for “evidence-based” “solutions.”
- Select the type of data, the parameters, that determine “success” for the deal.
- Set up infrastructure to track the data and provide “evidence” of success.
- Identify partners – service provider, investors, and project oversight.
- Deliver the services and collect the data.
- After a third party determines if success metrics were met, performance payments are issued to investors (or not).”
Data-driven “pay for success” deals are structured around the United Nations Sustainable Development Goals (UN SDGs). “Health” is goal number three. The World Bank has played a role in creating new investment products aligned to the UN SDGs. You can read more about the UN SDG financial apparatus here.
“Pay for success” finance is a performance-based contracting system that has been applied to a wide range of social issues ranging from pre-k, mental health and elder-care services to workforce training and supportive housing. It is clear to me that “pandemic preparedness” is being fitted out for pay for success profit-taking, too.
See Alison McDowell’s VIDEO explaining what a Social Impact Bond is in 2 minutes: https://lnkd.in/gq2bz9d
Once you peek under the hood, you realize what a grotesque business social impact investing actually is. These tools are built on 400 years of racial capitalism. It is the Doctrine of Discovery with Blockchain replacing double-entry bookkeeping and smart phones and digital identity systems replacing shackles. It is a system that arose in tandem with cloud-based computing, broadband, 5G and the Internet of Things. These advancements are inextricably inked to the interests of the US military and intelligence community, which is why we must recognize that as much as we have come to rely on our devices, true liberation will never come through digital channels. It can’t; our opponents run the cloud.” – Alison McDowell at Wrench in the Gears