Capitalist Immiseration, the Trump/Biden Effect, and the Fascist Tide

By Colin Jenkins

Things under Trump were not good for most of us. Same can be said for Obama and the Bushs, Clinton and Reagan, and so on. Things under Biden will not be good for most of us. Why? Because capitalism is not designed to be good for most of us. We are its commodities. Our lives are bought, sold, used, abused, disregarded, and discarded when no longer needed. We are not only alienated “appendages” of productive machinery, as Marx once brilliantly noted, but we are all-encompassing conduits for the upward flow of profit. Our labor, our existence, our lives, our actions, every move we make are all geared in a way to direct money to a minority class that sits at the top – the capitalists. This has never been more evident than with the advent of social media, where even our basic social interactions with one another are now monetized for the benefit of tech industry executives and their shareholders.

In the current era of neoliberalism, globalization, financialization, and automation, our lives have only become more expendable. Our labor is not needed as much anymore. Machines are filling that void. A fully globalized labor pool has, once and for all, put the international proletariat on the same track. We are now all in a race to the bottom. This isn’t to say the global South no longer falls victim to colonialism and imperialism (because it still does), but rather that a fully globalized economy has now set the former industrialized working classes in the imperial core on the same path as the super-exploited working classes of the global South. It is only a matter of time before this total immersion is realized. The combination of a broadening labor pool and rapid increase in technology has made machines (Marx’s “constant capital”) more prevalent and, in turn, human labor (Marx’s “variable capital”) obsolete in many industries. In a humane system, this would be something to celebrate, as people would be increasingly liberated from tasks that can be done by machines, thus freeing us up to spend more time with our families, communities, and to explore our creative and productive capacities away from capitalist coercion. Unfortunately, in an inhumane system like capitalism, which recognizes us as nothing more than commodities, it leaves us in a state of desperation – as “appendages” desperately seeking productive machinery to attach ourselves to so that we can properly serve our capitalist overlords.

Many of us are aware of the Oxfam reports that have come out over the past decade, especially those which highlight global inequality. A glance at their yearly analyses shows us the disastrous effects of a global capitalist system that has run its course, and in doing so has gone from the “predatory phase of human development,” as Thorstein Veblen once referred to it, to a seemingly full-blown cannibalistic stage of human regression:

  • In 2010, the 388 richest individuals in the world owned more wealth than half of the entire human population on Earth.

  • By 2015, this number was reduced to only 62 individuals.[1]

  • In 2018, it was the 42 richest individuals.

  • In 2019, it was down to only 26 individuals who own more wealth than 3.8 billion people.[2]

These numbers paint a damning picture, but do not necessarily illustrate the most important point: that Marx’s theory of immiseration is being realized. In other words, at a closer look, we can see the claim that “capitalism has lifted people out of poverty” is simply not true. Rather, as inequality has risen due to unfathomable amounts of wealth being funneled to the top, the lives of billions of people worldwide have worsened. Proponents of capitalism would like us to believe this is not a zero-sum game, or even worse that “a rising tide lifts all boats,” but in an era dominated by fiat currency, where wealth is represented by mere numbers in a computer program, created arbitrarily by capitalist governments, it is the wealthiest individuals who determine the value of that currency. And when a handful of individual capitalists command wealth in the hundreds of billions, it is clear that the 4.2 billion members of the global proletariat who must survive on less than $7.40 a day exist in a state of extreme poverty. In true zero-sum fashion, as more wealth has concentrated at the top, more poverty has developed among the bottom. In fact, between 1980 and 2015, the number of people living in this state of poverty increased by one billion.[3] And this does not begin to assess the new realities of the working classes within the imperial core, such as the United States, which have been artificially buoyed by unsustainable credit and debt schemes for the past three decades, all while real wages have stagnated, living-wage jobs have plummeted, and costs of living have skyrocketed. It is only a matter of time before this entire house of cards, which has been constructed and maintained to keep capitalism and extreme wealth inequality in place, comes crumbling down. This fragile arrangement is being tested like never before, as 40 million Americans are facing eviction, food pantries are being strained, and anywhere from a third to a half of working people in the US cannot pay their bills. The capitalist class knows their system is on the brink — not because of the pandemic but more precisely due to its historical trajectory and limitations — and are now tasked with maintaining their cushy positions at the top in the aftermath. In other words, as capitalism comes to its inevitable conclusion, they prefer a controlled demolition.

Governments, politicians, and international agencies have been put in place during the post-WW II era to maintain the global capitalist system and force it on peoples everywhere, whether through resource extraction or by opening new markets. Since the collapse of the Soviet Union in the late 1980s, capital has run roughshod over the world. Now, as we move toward the middle of the 21st century, it has run its course.  In the US, Presidents, Senators, Congresspeople, Supreme Court justices, politicians, and technocrats have one primary purpose in the system: to maintain the status quo by serving capital. Or, as James Madison once said, “to protect the minority of the opulent from the majority.” In these times, this means stomping anticipated unrest. It means overseeing this process of immiseration and degradation, and ensuring it takes place in an orderly way. Tangible examples of this are the US government (via the Federal Reserve) giving capitalist institutions upwards of twenty trillion dollars under the guise of “quantitative easing” and “stimuli” over the past decade, while at the same time pushing austerity measures, militarizing domestic police forces, and brutalizing working-class folks in the streets. Joe Biden has spent his life serving capital with this blueprint. He is a known commodity to capitalists and has served them well. And, as expected, he has already begun stacking his administration with corporate lackeys who have dedicated their lives to serving power by making the rich richer and the poor poorer (because the latter is required for the former). 

As bad as Trump was, especially regarding his rhetoric that emboldened millions of white supremacists nationwide, he was a bit of a wildcard to the capitalist ruling class (despite being a member of it). He was driven primarily by ego and has spent his entire life on the other end of this relationship between capital and the state, feeding politicians from both parties to serve his interests. He was unpredictable. He got into pissing matches with anyone and everyone, bucked military advisers, challenged media, and kept people guessing. He has no ideology, no belief system, no substantial opinions on anything. He loves himself, his money, his power, and anyone who loves him back; and he has learned over the course of his uber-privileged life (which was literally handed to him on a silver platter) that manipulation is the key to all of this. If there's one skill that he has, it's the ability to persuade others without really saying much. So, he built up a loyal following, especially among the petty bourgeoisie, a sector of society that has historically served as the embryo for fascism. In the US, this demographic is dominated by middle-aged white men who similarly had privileged lives handed to them upon birth. Granted, many have used this privilege to actually work their ways to increased financial success (unlike Trump, who has never had to work), but also many who are feeling the increased pressures being brought down on them from the same era that has catalyzed Trump’s rise – the neoliberal, globalized, late stage of capitalism, which has created unprecedented instabilities throughout the socioeconomic spectrum, especially in regards to race and class inequities. Trump spoke to these people as a last line of defense for that “great white America” in their heads. However, he did not instill the same amount of trust in the bourgeoisie. So, while the transition from capitalism to fascism is already here in many respects, the capitalist class is still not fully prepared to cement the move. To them, Trump was both ahead of the game and too loose to oversee the final transition. That — with the help of Joe Biden, Kamala Harris, and the Democrats — will come in the relatively near future, as a more polished version of Trump waits in the wings to accept the torch in this perpetual, right-wing slide of lesser-evilism that has dominated bourgeois politics for the past four decades.

Thus, the focus on Trump as some sort of aberration has always been dangerous. Because he was not created in a vacuum. He was created through four decades of neoliberalism – which has been characterized most importantly by a fusion of corporate governance, the very ingredient that Mussolini once referred to as a prerequisite to fascism – corporatism. This is the final stage of capitalism, and it is upon us. Both political parties are facilitators of this transition, with Democrats serving as a center-right buffer to obstruct any significant formations of socialism from the left, and Republicans as the forerunners of this fascist realization. Like any process, it is happening gradually, with mistakes, mishaps, regenerations, improvements, and steadying mechanisms. Both parties interplay in this process, learning from one another (often unknowingly), giving and taking in a reciprocal unity that represents capital and their class interests, which must be guaranteed a place at the table when the transition is fully realized. This takes time. And unseating Trump, with all of his liabilities, was part of this process. A Biden-Harris administration will bring more stability to the transition, allowing the capitalist class time to regroup and steady the ship, and allowing the army of petty-bourgeois white supremacists time to foment in the shadows, patiently awaiting the new and improved Trump to follow. The next Trump will be more grounded in ideology, more strategic, more under the control of the capitalist class as it continues to perfect corporate governance. And with Biden and the Democrats running interference for their far-right counterparts, by obstructing and repressing socialist movements from below, the transition will continue. Because the only two possible outcomes from capitalism are socialism or fascism, and the capitalist class will do everything in its power to avoid the former, thus embracing the latter.

The fact that a record number of Americans turned out for this latest presidential election is concerning because it suggests that not enough people understand the path we are currently set upon is a one-way street. We can not and will not be steered in a safe direction, no matter which politicians or presidents we choose. And while a few credible arguments can still be made for participating in bourgeois elections, especially within certain localities, this collective delusion that places a premium on voting remains a formidable obstruction to systemic change. Quite simply, the change we need will not come from voting. If anything, our continued faith in a system that was designed to fail us only delays our collective liberation. The fact that wealthy people, billion-dollar corporations, entertainers, athletes, mass media, and politicians themselves go out of their way to push massive “get-out-and-vote” marketing campaigns on us should give pause to anyone. This delusion benefits them. And it harms us. It will take a critical mass of proletarians to take a stand and push for systemic change. This means confronting the capitalist power structure, its immense wealth, and formidable death squads head on. This will require a significant increase in class consciousness, which in turn will lead to wholesale divestment from bourgeois politics, elections, and all politicians from the two capitalist parties, even those described as “progressive.” Shedding this delusion is crucial. And we are running out of time.

 

 

Notes

[1] January 18th, 2016. An Economy for the 1%. Oxfam. Boston, Massachusetts: Oxfam America. (https://www.oxfam.org/sites/www.oxfam.org/files/fileattachments/bp210-economy-one-percent-tax-havens-180116-summ-en_0.pdf).

[2] Elliot, Larry. January 20th, 2019. World’s 26 richest people own as much as poorest 50%, says Oxfam.” The Guardian, March 5th.

[3] Hickel, Jason. 2015. “Could you live on $1.90 a day? That’s the international poverty line.” The Guardian, March 5th