‘Just like working for the dole’: Rural households, export crops and state subsidies in Papua New Guinea

Abstract

Globally national governments have been forced to devise means for dealing with a rising tide of unemployed and semi‐employed. One method used in industrial countries involves reducing the levels of welfare payments and attaching particular conditions for the receipt of unemployment benefits. Working for the dole is one such condition. In non‐industrial countries, with primarily rural populations and without previously established unemployment benefits, other forms of dealing with increased levels of the relative surplus population have been devised. When unemployed are associated with lawlessness, forming a threat to social order and capital accumulation, particularly in urban centres, particular efforts are made to keep people in the countryside. Although household production of export crops faces global surpluses and falling international prices, one means of pressing the relative surplus population to smallholdings has been to subsidise their growing of even greater volumes of the produce. The dressing of virtuous rhetoric, ‘honest toil’ and similar terms, should not disguise the fact that the nationally subsidised crop prices are a form of welfare payment. The payment is intended to resecure the subsumption of labour to capital in conditions where accumulation forces increasing numbers of people into pools of surplus labour. Here the case of rural households in Papua New Guinea is utilised for an argument which has a much wider application.