GRSJ224/DTESneoliberalism

From UBC Wiki
Vancouver's DTES and Chinatown on municipal map[1]

Neoliberal processes have played a large role in the changes witnessed globally in social spaces, structures and the everyday lives of citizens. In particular, these policies have had a strong presence in Vancouver over the last few decades. Beginning in the 1980s and continuing into modern times, neoliberalism has been an influential method for policy makers to shape the lives and structure of global communities. Although, this was intended to bring prosperity but had disproportionate final results as it has increased economic and social inequality. Particularly, in Vancouver the region of the Downtown Eastside (DTES) has been impacted unfairly and has further marginalized the existing community with issues such as gentrification.

Terminology

Neoliberalism

Neoliberalism is the ideology promoting free market economy to endorse economic growth of a region. This policy method limits government intervention and promotes capital flow and trade with minimal restrictive regulations. [2]

Neoliberalism explains that human behaviour is guided by rationality, individuality and self-interest, where individuals will look after their own affairs. Multinational corporations are the main actors of neoliberal society, where those without resources and power are blamed for their own situations. Within the DTES, minority immigrant groups and Indigenous People have had disproportionate effects on their well-being, which will be discussed in specific in the next section. [3]

Neoliberalism's assumption that the market decides what is the greatest need for social goods has led to large cuts to programs in Vancouver such as social housing and social assistance. [3] This resulted in the free flow of private investment in social assistant programs and less government regulations causing unequal situations. Individual interests and financial independence became a priority in Vancouver and advantages the business class to accumulate wealth to their desires. [3]

Gentrification

Gentrification is the process that is often strategic in “repairing” a neighbourhood or particular community that may be unappealing to higher class citizens. [4] This results in displacement of the existing lower-class population by those with higher levels of class and resources in hope of gaining a better social perception of the space. [5]

Gentrification has become an increasingly controversial subject, as it has proven to marginalize vulnerable groups to profit influential members of society. Housing improvements are mandated through government policies such as renovations or rezoning, making housing unaffordable for the existing population. Furthermore, this also results in upgrading local amenities to meet the altered tastes of the community. [5]

Impact of Neoliberalism within DTES

Disinvestment

Neoliberal economics and policies are often linked with the existing issues with the DTES such as substance abuse, illnesses, and crime. [6] This method fosters socioeconomic inequality through the method of government attitudes on promoting local urbanization and investment. [5]

Vancouver’s aspirations to remain a competitive global city, resulted in governments of all levels drastically adopting neoliberal-friendly policies. [3] These strategies facilitated unprecedented economic growth and promoted capital production and consumption. In order to stimulate the economy, Vancouver, similar to other global cities increasingly became locations of transnational flow of investment and capital. [7]

This particular investment to promote development near the urban core also resulted in disinvestment of specific social programs to target issues such as urban poverty. [5] Urban renewal was endorsed by the state to city centres and resulted in less funds to housing and welfare infrastructure for those in need. No longer was socioeconomic security for the less affluent a priority as neoliberal discourse promotes self-reliance and entrepreneurship. This has been a direct cause of the overwhelming of issues in the DTES such as poverty, mental health, homelessness, and substance use [5]

Additionally, this lack of investment within regions such as the DTES and the portrayal of “ghettoization has stigmatized this area unfairly. This includes negative views such as infestation of crime, substance abuse, sex trade and lack of education. [8] Particular groups that were disproportionality affected were new immigrant groups of visible minority and Indigenous People, who didn’t have structural support to help them in a time of need.

Unemployment

A major factor of economic inequality within the DTES and surrounding areas was the decline of the jobs that were traditionally held by the citizens of the area such as manufacturing. [7] This is relevant to neoliberal practices within industrialized countries such as Canada as it became common to outsource labour to other parts of the world. The neoliberal framework promotes capital accumulation at any cost through free market and deregulation, which has allowed large employers to shift for cheaper labour. This search was further promoted through tax breaks and free movement that provides the best conditions for capital accumulation of the large corporations. This major factor resulted in many members of the community becoming victims of poverty that resulted in higher levels of homelessness and its consequences.[7]

Gentrification

Neoliberalism and globalization is often linked with having global effects by making cities such as Vancouver attractive for foreign immigration and investment. [3] As Vancouver’s growth rose exponentially, the region of DTES and surrounding communities became more desirable for investors. This expansion into regions such as Chinatowns has become a common theme throughout industrialized cities such as San Francisco and New York. [9] These trends are not coincidental as previously these communities of immigrants (predominately Chinese, Japan and Indian) and minorities such as Indigenous were strategically hidden from urban cores. [9]

Predominately, neoliberal ideologies have played a large part in making regions such as the DTES more desirable. Under the disguise of redevelopment and urbanization, many of these existing communities were displaced to accommodate the influx of higher-class newcomers [8]. Gentrification can directly be linked with the increases of housing prices and issues of affordability for locals within the DTES community. Lenient neoliberal policies have encouraged foreign capital and immigration, thus increasing the demands of urban development. This has had a ripple effect and resulted in gentrification to make room for housing in these previously high-density areas for higher-class groups.

DTES community protesting gentrification[10]

This displacement was facilitated through the private control of the housing market that increased rents to unaffordable levels for locals, compelling them to move. [8] This previously undervalued area had now become home to middle/upper-class groups under the disguise of urban renewal. Developers were seeking to generate new capital from the higher demands and property values in these previously disinvested and disregarded regions due to neoliberalism. [6]

Today, this promotion of conspicuous consumption of material and cultural commodities has become increasingly prevalent in these inner-city regions. [8] Redevelopment under the impression of urban renewal has displaced communities to make space for places of consumption such as high-end restaurants and nightlife to accommodate the newer demographics [8] This contrast has caused social issues of segregation, polarization and high levels of social/economic inequality throughout a region already dealing with important basic living issues.

"Cleansing" and Global City

These changes have marginalized the existing communities within the DTES region are a result of promoting capital accumulation. These changes are linked with global real estate, investment and the embracing of neoliberal policies to make way for large-scale gentrifications to help make Vancouver a global city. [3]

This neoliberal logic has brought forward a concept called “cleansing” of regions such as the DTES to maximize its marketability and ensuring the best use of the particular land. [3] This results in not only Vancouver becoming a leader in global investment but resulting in mass-scale redevelopment that prioritizes the world-class status over local social reproduction issues. [3]

Major events promoted and bid on by governing bodies such as Expo 1986 and Vancouver 2010 were a method to encourage foreign investment and used as validation for the “cleansing” of this region. These large-scale events increased temporary tourists and permanent residents that again led to increase pressure on rezoning surrounding areas, particularly inner-city regions such as the DTES. [3]

These effects of neoliberal policies aren’t uncommon across the world as we exemplified with global Chinatown’s increasingly being gentrified. The conflict of economic prosperity and socio-spatial is a result of the attracting global capital flow. [11] This fear of falling behind in the new economic world order and the fluidity of globalization has changed rhetoric of cities like Vancouver since the 1980s. Many cities have moved to a new direction of staying economically competitive regardless of the social/economic costs for local populations. [3]

This “cleansing” was encouraged through policies to improve the appeal to these previously neglected areas such as the DTES. [3] Unfortunately, this concept infers strategically that issues such as homelessness and poverty are something that can be cleaned and disposed of. By the displacing of lower-class groups and migration of middle class, this land becomes commodified. This negative trend has been facilitated by the lack of government control that gives land owners autonomy to rent, buy or sell their property to their preference [3]. Additionally, the reduction of social structures to assist on all three levels of governments within Vancouver are to blame on their situations. [6] Pro-growth beliefs have now resulted in housing crisis becoming a major political and social issue within the city and surrounding areas. [11]

Moving Forward

Residents of DTES's Balmoral Hotel Protesting Against Wrongful Evictions and Poor Living Conditions[12]

The effects of neoliberal policies such as gentrification and the resulting inequalities are still a n ongoing issue within the Vancouver region. However, there has been more attention and resources to social housing and structures to improve the situation.[3] The Great Recession of 2008 has compelled governments to move away from neoliberal practices and change their direction to help its citizens more directly. [7]

On a local scale, improvements such as the provincial Empty Homes Tax are being implemented to tackle un-affordability and gentrification issues for local residents. [13] Additionally, the investigation into social housing issues that had been privatized and unfairly treated tenant rights have come under public scrutiny such as the Balmoral Hotel case [14]

Resources

Neoliberalism. (2018). Retrieved November 20, 2018, from https://www.britannica.com/topic/neoliberalism

Mowatt, K. R. (2010). Neoliberal Globalism In/Forms Vancouver's Downtown Eastside Housing Advocacy. Athabasca University Master of Arts - Integrated Studies.

Roe, G. W. (2009). FIXED IN PLACE: Vancouver's downtown eastside and the community of clients. BC Studies, (164), 75.

Dobson, C. (2004). Ideological constructions of place: The conflict over Vancouver’s Downtown Eastside. Adequate & Affordable Housing for All.

Burnett, K. (2014). Commodifying poverty: Gentrification and consumption in Vancouver's downtown eastside. Urban Geography, 35(2), 157-176.

Spinks, R. (2017, October 4). Don't blame hipsters for gentrification: Blame neoliberalism. Retrieved November 20, 2018, from https://www.citymetric.com/business/don-t-blame-hipsters-gentrification-blame-neoliberalism-3373

Killisch, L. (2016). Neoliberalism in the City: Challenges of Gentrification and New Urban Social Activism. Approaches to Metropolitan Studies.

Martens, S. (2017, June 25). The Balmoral Hotel: One of the Many Effects of Decades of Neoliberalism in Vancouver. Retrieved November 20, 2018, from http://thetalon.ca/the-balmoral-hotel-one-of-the-many-effects-of-decades-of-neoliberalism-in-vancouver/

Neoliberalism. (2018). Retreieved November 20, 2018, from https://www.britannica.com/topic/neoliberalism

Gentrification. (2018). Retrieved November 20, 2018, from https://www.merriam-webster.com/dictionary/infidelity

Fish, E. (2017, August 31). How Gentrification Is Hitting Chinatowns' Most Vulnerable. Retrieved from https://asiasociety.org/blog/asia/how-gentrification-hitting-chinatowns-most-vulnerable

Crawford, T. (2018, November 29). Vancouver says $38 million to be collected in first year of empty homes tax. Retrieved from https://vancouversun.com/news/local-news/vancouver-says-38-million-to-be-collected-in-first-year-of-empty-homes-tax

Vikram Sandhu

GRSJ 224

November 29, 2018

  1. "Where are the Boundaries of DTES". City Maps.
  2. "Neoliberalism Definition". Britannica.
  3. 3.00 3.01 3.02 3.03 3.04 3.05 3.06 3.07 3.08 3.09 3.10 3.11 3.12 Dobson, C (2004). "Ideological constructions of place: the conflict over Vancouver's Downtown Eastside" (PDF). Adequate & Affordable Housing for All.
  4. "Gentrification Defintion". Merriam-Webster.
  5. 5.0 5.1 5.2 5.3 5.4 Mowatt, R (2010). "Neoliberal Globalism in Vancouver's Downtown Eastside" (PDF). Athabasca University Master of Arts.
  6. 6.0 6.1 6.2 Roe, W (2010). "Fixed in Place: Vancouver's DTES and community of clients". BC Studies. 164.
  7. 7.0 7.1 7.2 7.3 Killisch, L (2016). "Neoliberalism in the City: Challenges of Gentrification". Approaches to Metropolitan Studies.
  8. 8.0 8.1 8.2 8.3 8.4 Burnett, K (2014). "Commodifying Poverty: Gentrification & Consumption in DTES". Urban Geography. 35: 157–176.
  9. 9.0 9.1 Fish, E (August 31, 2017). "How Gentrification is hitting Chinatown". The Asia Society.
  10. "File:8335914.jpg". Wikipedia. External link in |title= (help)
  11. 11.0 11.1 Spinks, R (October 4, 2017). "Don't blame hipsters for gentrification". City Metric.
  12. Gersak, Rafal. "Vancouver block party protests Balmoral Hotel evictions". Globe and Mail.
  13. Crawford, T (November 29, 2018). "Vancouver has $38 million to be collected". Vancouver Sun.
  14. Martens, S (June 25, 2017). "The Balmoral Hotel: One of the Many Effects". The Talon.