money

What Every Child Should Know About Marx's Theory of Value

By Michael A. Lebowitz


Republished from Monthly Review.


Every child knows that any nation that stopped working, not for a year, but let us say, just for a few weeks, would perish. And every child knows, too, that the amounts of products corresponding to the differing amounts of needs demand differing and quantitatively determined amounts of society’s aggregate labour. —Karl Marx [1] [2]


Every child in Marx’s day might have heard about Robinson Crusoe. That child might have heard that on his island Robinson had to work if he was not to perish, that he had “needs to satisfy.” To this end, Robinson had to “perform useful labours of various kinds”: he made means of production (tools), and he hunted and fished for immediate consumption. These were diverse functions, but all were “only different modes of human labour,” his labor. From experience, he developed Robinson’s Rule: “Necessity itself compels him to divide his time with precision between his different functions.” Thus, he learned that the amount of time spent on each activity depended upon its difficulty—that is, how much labor was necessary to achieve the desired effect. Given his needs, he learned how to allocate his labor in order to survive. [3]

As it was for Crusoe, so it is for society. Every society must allocate its aggregate labor in such a way as to obtain the amounts of products corresponding to the differing amounts of its needs. As Marx commented, “In so far as society wants to satisfy its needs, and have an article produced for this purpose, it has to pay for it.… It buys them with a certain quantity of the labour-time that it has at its disposal.” [4] It must allocate “differing and quantitatively determined” amounts of labor to the production of goods and services for direct consumption (Department II) and a similarly determined quantity of labor for the production and reproduction of means of production (Department I).

To ensure the reproduction of a particular society, there must be enough labor available for the reproduction of the producers—both directly and indirectly (for example, in Departments II and I, respectively)—based upon their existing level of needs and the productivity of labor. This includes not only labor in organized workplaces, which produce particular material products and services, but also necessary labor allocated to the home and community and to sites where the education and health of workers are maintained. Every society, too, must allocate labor to what we may call Department III, a sector that produces means of regulation, and may contain institutions such as the police, the legal authority, the ideological and cultural apparatus, and so on.

In addition to the labor required to maintain the producers, in every class society a quantity of society’s labor is necessary if those who rule are to be reproduced. Thus, the process of reproduction requires the allocation of labor not only to the production of articles of consumption, means of production, and the particular means of regulation, but, ultimately, to the production and reproduction of the relations of production themselves.


Reproduction of a Socialist Society

Consider a socialist society—“an association of free [individuals], working with the means of production held in common, and expending their many different forms of labour-power in full self-awareness as one single social labour force.” [5] Having identified the differing amounts of needs it wishes to satisfy, this society of associated producers allocates its differing and quantitatively determined labor through a conscious process of planning. In this respect, it follows Robinson’s Rule: it apportions its aggregate labor “in accordance with a definite social plan [that] maintains the correct proportion between the different functions of labour and the various needs of the associations.” [6]

The premise of this process of planning is a particular set of relations in which the associated producers recognize their interdependence and engage in productive activity upon this basis. “A communal production, communality, is presupposed as the basis of production.” Transparency and solidarity among the producers, in short, underlie the “organization of labour” in the socialist society with the result that productive activity is consciously “determined by communal needs and communal purposes.” [7] The reproduction of society here “becomes production by freely associated [producers] and stands under their conscious and planned control.” [8]

To identify their needs and their capacity to satisfy those needs, the producers begin with institutions closest to them—in communal councils, which identify changes in the expressed needs of individuals and communities, and in workers’ councils, where workers explore the potential for satisfying local needs themselves. Those needs and capacities are transmitted upward to larger bodies and ultimately consolidated at the level of society as a whole, where society-wide choices need to be made. On the basis of these decisions (which are discussed by the associated producers at all levels of society), the socialist society directly allocates its labor in accordance with its needs both for immediate and future satisfaction.

Driving this process is “the worker’s own need for development,” “the absolute working-out of his creative potentialities,” “the all-around development of the individual”—the development of what Marx called “rich” human beings. [9] This goal is understood as indivisible: it is not consistent with significant disparities among members of society. In the words of the Communist Manifesto, “the free development of each is the condition for the free development of all.” [10] Accordingly, given the premise of communality and solidarity, this socialist society allocates its labor to remove deficits inherited from previous social formations. The socialist society, in short, is “based on the universal development of individuals and on the subordination of their communal, social productivity as their social wealth.” [11]

Conscious planning—a visible hand, a communal hand—is the condition for building a socialist society. This process does more, however, than produce the so-called correct plan. Importantly, it also produces and reproduces the producers themselves and the relations among them. What Marx called “revolutionary practice” (“the simultaneous changing of circumstances and human activity or self-change”) is central. Every human activity produces two products: the change in circumstances and the change in the actors themselves. In the particular case of socialist institutions, the labor-time spent in meetings to develop collective decisions not only produces solutions that draw upon the knowledge of all those affected, but it is also an investment that develops the capacities of all those making those decisions. It builds solidarity locally, nationally, and internationally. Those institutions and practices, in short, are at the core of the regulation of the producers themselves (Department III activity). They are essential for the reproduction of socialist society. [12]


Reproduction of a Society Characterized by Commodity Production

But what about a society that is not characterized by communality, a society marked instead by separate, autonomous actors? Such a society’s essential premise is the separation of independent producers. [13] Rather than a community of producers, there is a collection of autonomous property owners who depend for satisfaction of their needs upon the productive activity of other owners. “All-around dependence of the producers upon one another” exists, but theirs is a “connection of mutually indifferent persons.” Indeed, “their mutual interconnection—here appears as something alien to them, autonomous, as a thing.” Yet, if these “individuals who are indifferent to one another” do not understand their connection, how does this society go about allocating its “differing and quantitatively determined amounts of society’s aggregate labour” to satisfy its “differing amounts of needs”? [14]

Obviously, such a society does not utilize Robinson’s Rule: it cannot directly allocate its aggregate labor in accordance with the distribution of its needs. “Only when production is subjected to the genuine, prior control of society,” Marx pointed out, “will society establish the connection between the amount of social labor-time applied to the production of particular articles, and the scale of the social need to be satisfied by these.” [15] Although the application of Robinson’s Rule is not possible, its function remains. As Marx commented, those simple and transparent relations set out for Robinson Crusoe “contain all the essential determinants of value.” [16] In particular, the “necessity of the distribution of social labour in specific proportions” remains.

The necessary law of the proportionate allocation of aggregate labor, Marx insisted, “is certainly not abolished by the specific form of social production.” Only the form of that law changes. As Marx wrote to Ludwig Kugelmann, “the only thing that can change, under historically differing conditions, is the form in which those laws assert themselves.” In the commodity-producing society, the form taken by this necessary law is the law of value. “The form in which this proportional distribution of labour asserts itself in a state of society in which the interconnection of social labour expresses itself as the private exchange of the individual products of labour, is precisely the exchange value of these products.” [17]

Since the allocation of society’s labor embedded in commodities is “mediated through the purchase and sale of the products of different branches of industry” (rather than through “genuine, prior control” by society), however, the immediate effect of the market is a “motley pattern of distribution of the producers and their means of production.” [18] Yet, this apparent chaos sets in motion a process by which the necessary allocation of labor will tend to emerge. In simple commodity production, some producers will receive revenue well above the cost of production; others will receive revenue well below it. Assuming it is possible, producers will shift their activity—that is, they will show a tendency for entry and exit. An equilibrium, accordingly, would tend to emerge in which there is no longer a reason for individual commodity producers to move. Through such movements, the various kinds of labor “are continually being reduced to the quantitative proportions in which society requires them.”

In short, although “the play of caprice and chance” means that the allocation of labor does not correspond immediately to the distribution of needs as expressed in commodity purchases, “the different spheres of production constantly tend towards equilibrium.” [19] Through the law of value, labor is allocated in the necessary proportions in the commodity-producing society. In the same way as “the law of gravity asserts itself,” we see that “in the midst of the accidental and ever-fluctuating exchange relations between the products, the labour-time socially necessary to produce them asserts itself as a regulative law of nature.” [20] There is a “constant tendency on the part of the various spheres of production towards equilibrium” precisely because “the law of the value of commodities ultimately determines how much of its disposable labour-time society can expend on each kind of commodity.” [21]

Can that equilibrium, in which labor is allocated to satisfy the needs of society, be reached in reality? If we think of a society characterized by simple commodity production, equilibrium occurs when all commodity producers receive the equivalent of the labor contained in their commodities. In fact, however, there are significant barriers to exit and entry: the particular skills and capabilities that individual producers possess will not be easily shifted to the production of differing commodities. Indeed, this process might take a generation to occur, in which case producers in some spheres will appear privileged for extended periods.

In the case of capitalist commodity production—the subject of Capital—the individual capitalist “obeys the immanent law, and hence the moral imperative, of capital to produce as much surplus-value as possible.” [22] Accordingly, there is a “continuously changing proportionate distribution of the total social capital between the various spheres of production…continuous immigration and emigration of capitals.” [23] Equilibrium here occurs when all producers obtain an equal rate of profit on their advanced capital for means of production and labor power. This tendency “has the effect of distributing the total mass of social labour time among the various spheres of production according to the social need.” [24] However, here again there is an obstacle to the realization of equilibrium—the existence of fixed capital embedded in particular spheres does not permit easy exit and entry.

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Nevertheless, for Marx, the law of value (the process by which labor is allocated in the necessary proportions in capitalism) operates more smoothly as capitalism develops. Capital’s “free movement between these various spheres of production as so many available fields of investment” has as its condition the development of the credit and banking system. Only as money-capital does capital really “possess the form in which it is distributed as a common element among these various spheres, among the capitalist class, quite irrespective of its particular application, according to the production requirements of each particular sphere.” [25] In its money-form, capital is abstracted from particular employments. Only in money-capital, in the money-market, do all distinctions as to the quality of capital disappear: “All particular forms of capital, arising from its investment in particular spheres of production or circulation, are obliterated here. It exists here in the undifferentiated, self-identical form of independent value, of money.” [26]

Equalization of profit rates “presupposes the development of the credit system, which concentrates together the inorganic mass of available social capital vis-á-vis the individual capitalist.” [27] That is, it presupposes the domination of finance capital: bankers “become the general managers of money capital,” which now appears as “a concentrated and organized mass, placed under the control of the bankers as representatives of the social capital in a quite different manner to real production.” [28]


Marx’s Auto-Critique

There is no better way to understand Marx’s theory of value than to see how he responded to critics of Capital. With respect to a particular review, Marx commented to Kugelmann in July 1868 that the need to prove the law of value reveals “complete ignorance both of the subject under discussion and of the method of science.” Every child, Marx here continued, knows that “the amounts of products corresponding to the differing amounts of needs demand differing and quantitatively determined amounts of society’s aggregate labour.” How could the critic not see that “It is SELF-EVIDENT that this necessity of the distribution of social labour in specific proportions is certainly not abolished by the specific form of social production!” [29] Similarly, answering Eugen Dühring’s objection to his discussion of value, Marx wrote to Frederick Engels in January 1868 that “actually, no form of society can prevent the labour time at the disposal of society from regulating production in ONE WAY OR ANOTHER.” [30] That was the point: in a commodity-producing society, how else could labor be allocated—except by the market!

Although Marx was clearer in these letters on this point than in Capital, he was transparent there in his critique of classical political economy on value and money. In contrast to vulgar economists who did not go beneath the surface, the classical economists (to their credit) had attempted “to grasp the inner connection in contrast to the multiplicity of outward forms.” But they took those inner forms “as given premises” and were “not interested in elaborating how those various forms come into being.” [31] The classical economists began by explaining relative value by the quantity of labor-time, but they “never once asked the question why this content has assumed that particular form, that is to say, why labour is expressed in value, and why the measurement of labour by its duration is expressed in the value of the product.” [32] Their analysis, in short, started in the middle.

This classical approach characterized Marx’s own early thought. It is important to recognize that Marx’s critique was an auto-critique, a critique of views he himself had earlier accepted. In 1847, Marx declared that “[David] Ricardo’s theory of values is the scientific interpretation of actual economic life.” [33] In The Principles of Political Economy, Ricardo had argued that “the value of a commodity…depends on the relative quantity of labour which is necessary for its production.” By this, he meant “not only the labour applied immediately to commodities,” but also the labor “bestowed on the implements, tools, and buildings, with which such labour is assisted.” Accordingly, relative values of differing commodities were determined by “the total quantity of labour necessary to manufacture them and bring them to market.” This was “the rule which determines the respective quantities of goods which shall be given in exchange for each other.” [34]

Marx followed Ricardo in his early work. “The fluctuations of supply and demand,” Marx wrote in Wage Labour and Capital, “continually bring the price of a commodity back to the cost of production” (that is to say, to its “natural price”). This was Ricardo’s theory of value: the “determination of price by the cost of production is equivalent to the determination of price by the labour time necessary for the manufacture of a commodity.” Further, this rule applied to the determination of wages as well, which were “determined by the cost of production, by the labour time necessary to produce this commodity—labour.” [35] The same point was made in the Communist Manifesto in 1848: “the price of a commodity, and therefore also of labour, is equal to its cost of production.” [36]

In the 1850s, however, Marx began to develop a new understanding. In the notebooks written in 1857–58, which constitute the Grundrisse, he began his critique of classical political economy. Marx concluded the Grundrisse by announcing that the starting point for analysis had to be not value (as Ricardo began), but the commodity, which “appears as unity of two aspects”—use value and exchange value. [37] The commodity and, in particular, its two-sidedness is the starting point for his critique and how he begins both his Contribution to the Critique of Political Economy (1859) and Capital. [38]


The Best Points in Capital

The law of value as a “regulative law of nature” was not one of the best points in Capital, nor one of the “fundamentally new elements in the book.” After all, if the law of value is the tendency of market prices to approach an equilibrium in the same way as “the law of gravity asserts itself,” then this “regulative law of nature” was already present in Ricardo.

Rather, what Marx argued in Capital is that classical political economy did not understand value. “As regards value in general, classical political economy in fact nowhere distinguishes explicitly and with a clear awareness between labour as it appears in the value of a product, and the same labour as it appears in the product’s use value.” [39] But that distinction, Marx declared to Engels in August 1867, is “fundamental to all understanding of the FACTS”! That “two-fold character of labour,” he indicated, is one of the “best points in my book” (and indeed, the best point in the first volume of Capital). [40]

Marx made the same point in the first edition of the first volume of Capital about the two-fold character of labor in commodities: “this aspect, which I am first to have developed in a critical way, is the starting point upon which comprehension of political economy depends.” [41] Writing again to Engels in January 1868, Marx described his analysis of the double character of the labor represented in commodities as one of the “three fundamentally new elements of the book.” All previous economists having missed this, they were “bound to come up against the inexplicable everywhere. This is, in fact, the whole secret of the critical conception.” [42]

The secret of the critical conception, the starting point for comprehension of political economy, the basis for all understanding of the facts—what made the revelation of the two-fold character of labor in commodities so important? Very simply, it is the recognition that actual, specific, concrete labor, all those hours of real labor that have gone into producing a particular commodity, in themselves have nothing to do with its value. You cannot add the hours of the carpenter’s labor to the labor contained in consumed means of production and come up with the value of the carpenter’s commodity. That specific labor, rather, has gone into the production of a thing for use, also known as a use value. Further, you cannot explain relative values by counting the quantity of specific labor contained in separate use values. If you do not distinguish clearly between the two-fold aspects of labor in the commodity, you have not understood Marx’s critique of classical political economy.


Marx’s Labor Theory of Money

“We have to perform a task,” Marx announced, “never even attempted by bourgeois economics.” [43] That task was to develop his theory of money—in particular, to reveal that money is the social representative of the aggregate labor in commodities. For this, Marx demonstrated that (1) the concept of money is latent in the concept of the commodity and (2) that money represents the abstract labor in a commodity and that the manifestation of the latter, its only manifestation, is the price of the commodity.

If adding up the hours of concrete labor to produce a commodity does not reveal its value, what does? Nothing, if we are considering a single commodity. “We may twist and turn a single commodity as we wish; it remains impossible to grasp as a thing possessing value.” [44] We can approach grasping the value of a commodity only by considering it in a relation. The simplest (but undeveloped) form of this relation is as an exchange value—the value of commodity A is equal to x units of commodity B, where B is a use value. We always knew A as a use value but now we know the value of A from its equivalent in B. (If we reverse this, we would say the value of B is equal to 1/x units of A, and here A is the equivalent.) The second commodity, the equivalent, is a mirror for the value in the first commodity. It is through this social relation that we may grasp the commodity as something possessing value.

Having established that the value of a commodity is revealed through its equivalent, Marx logically proceeds step-by-step to establish the existence of a commodity that serves as the equivalent for all commodities—that is, is the general form of value. It is a mini-step from there to reveal the monetary form of value: money as the universal equivalent, money as the representative of value. [45] In short, once we begin to analyze a commodity-exchanging society, we are led to the concept of money. This is what Marx identifies as his task: “We have to show the origin of this money form, we have to trace the development of this expression of value relation of commodities from the simplest, almost imperceptible outline to the dazzling money form. When this has been done, the mystery of money will immediately disappear.” [46] But this was a closed book to the classical economists; “Ricardo,” Marx commented years later, “in fact only concerned himself with labour as a measure of value-magnitude and therefore found no connection between his value-theory and the essence of money.” [47]

But what is money? To understand money, we need to return to the two-fold character of labor in commodities, that point upon which comprehension of political economy depends. We know that concrete, specific labor produces specific use values. Insofar as labor is concrete, we cannot compare commodities containing different qualities of labor. But we can compare them if we abstract from their specificities—that is, consider them as containing labor in general, abstract labor, “equal human labour, the expenditure of identical human labour power.” [48] The aggregate labor of society is a composite of many “different modes of human labour”: “the completed or total form of appearance of human labour is constituted by the totality of its particular forms of appearance.” [49] That “one homogeneous mass of human labour power,” that universal, uniform, abstract, social labor in general, “human labour pure and simple,” enters into each commodity. [50]

Think about the aggregate labor in commodities as so-called jelly labor, as made up of a number of identical, homogeneous units. A certain amount of this jelly labor goes into each commodity. The value of a commodity is determined by how much of this jelly labor—how much homogeneous, universal, abstract labor, that common “social substance”—it contains. Obviously, we cannot add up jelly labor simply, as we might attempt for concrete labor. How, then, can we see the value of a commodity? We have answered that already. The value of a commodity (that is, the homogeneous, general, abstract labor in the commodity) is represented by the quantity of money, which is its equivalent. Indeed, the only form in which the value of commodities can manifest itself is the money-form.

Every society obtains the amounts of products corresponding to the differing amounts of its needs by devoting a portion of the available labor time to its production. As noted above, “in so far as society wants to satisfy its needs, and have an article produced for this purpose, it has to pay for it…[and] it buys them with a certain quantity of the labour-time that it has at its disposal.” [51] How do we satisfy our needs within capitalism? We buy them with the representative of the total social labor in commodities—money.


Ignorance both of the Subject under Discussion and of the Method of Science

As Michael Heinrich writes, “many Marxists have difficulties understanding Marx’s analysis.” Like bourgeois economists, “they attempt to develop a theory of value without reference to money.” [52] It is a bit difficult to understand why, however, given Marx’s criticisms of classical political economy about this very point. Ricardo, Marx commented, had not understood “or even raised as a problem” the “connection between value, its immanent measure—i.e., labour-time—and the necessity for an external measure of the values of commodities.” Ricardo did not examine abstract labor, the labor that “manifests itself in exchange values—the nature of this labour. Hence he does not grasp the connection of this labour with money or that it must assume the form of money.” [53]

That is why Marx undertook his task “to show the origin of this money form” and to solve “the mystery of money,” a task “never even attempted by bourgeois economics.” We need to understand the nature of money, and how we move from value directly to money. As he explained in chapter 10 of the third volume of Capital:

in dealing with money we assumed that commodities are sold at their values; there was no reason at all to consider prices that diverged from values, as we were concerned simply with the changes of form which commodities undergo when they are turned into money and then transformed back from money into commodities again. As soon as a commodity is in any way sold, and a new commodity bought with the proceeds, we have the entire metamorphosis before us, and it is completely immaterial here whether the commodity’s price is above or below its value. The commodity’s value remains important as the basis, since any rational understanding of money has to start from this foundation, and price, in its general concept, is simply value in the money form. [54]

To understand why Marx felt it was essential to solve the mystery of money, it helps to understand his method of dialectical derivation. Like G. W. F. Hegel, upon examining particular concepts, he found that they contained a second term implicitly within them; he proceeded then to consider the unity of the two concepts, thereby transcending the one-sidedness of each and moving forward to richer concepts. In this way, Marx analyzed the commodity and found that it contained latent within it the concept of money, the independent form of value—and that the commodity differentiated into commodities and money. Further, considering that relation of commodities and money from all sides, Marx uncovered the concept of capital. [55]

The concept of capital, in short, does not drop from the sky. It is marked by the preceding categories. Since money is the representative of abstract labor, of the homogeneous aggregate labor of society, capital must be understood as an accumulation of homogeneous, abstract labor. By understanding money as latent in commodities, we reject the picture of money juxtaposed externally to commodities as in classical political economy and therefore recognize that abstract labor is always present in the concept of capital.

However, all accumulations of abstract labor are not capital. For them to correspond to the concept of capital, they must be driven by the impetus to grow and must have self-expanding value (i.e., M-C-M´). How is that possible, however, on the assumption of exchange of equivalents? Where does the additional value, the surplus value, come from? The two questions express the same thing: in one case, in the form of objectified labour; in the other, in the form of living, fluid labor. [56]

The answer to both is that, with the availability of labor power as a commodity, capital can now secure additional (abstract) labor. This is not because of some occult quality of labor power, but, because by purchasing labor power, capital now is in a relation of “supremacy and subordination” with respect to workers, a relation that brings with it the “compulsion to perform surplus labour.” [57] That compulsion, inherent in capitalist relations of production, is the source of capital’s growth.

Let us consider absolute surplus value by focusing upon “living, fluid labor.” The value of labor power, or necessary labor, at any given point represents the share of aggregate social labor that goes to workers. The remaining social labor share is captured by capitalists. When capital uses its power to increase the length or intensity of the workday, total social labor rises; assuming necessary labor remains constant, capital is the sole beneficiary. The ratio of surplus labor to necessary labor—the rate of exploitation—rises.

Alternatively, let the productivity of labor be increased. To produce the same quantity of use values, less total labor is required. Accordingly, increased productivity brings with it the possibility of a reduced workday (a possibility not realized in capitalism). If, conversely, aggregate social labor remains constant, who would be the beneficiary of such an increase in productivity? Assuming the working class is atomized and capital is able to divide workers sufficiently, capital obtains relative surplus value because necessary labor falls. Alternatively, to the extent that workers are sufficiently organized as a class, they will benefit from productivity gains with rising real wages as commodity values fall. In Capital, this second option is essentially precluded because, following the classical economists, Marx assumed that the standard of necessity is given and fixed. [58]

In short, we need to understand money if we are to understand capital, and for that we need to grasp the two-fold character of labor that goes into a commodity. Unfortunately, many Marxists fail to grasp the distinction “between labour as it appears in the value of a product, and the same labor as it appears in the product’s use value”—the distinction Marx considered “fundamental to all understanding of the FACTS.” As a result, they offer a “theory of value without reference to money,” what Heinrich calls “pre-monetary theories of value,” which I consider to be pre-Marxian theories of value or Ricardian theories of value. [59]

Ricardian Marxists do not grasp Marx’s logic, or how Marx logically moves from the abstract to the concrete. The problem is particularly apparent when it comes to the so-called transformation problem. What those who attempt to calculate the transformation from values to prices of production fail to understand is that, rather than transforming actually existing values, prices of production are simply a further logical development of value. [60] The real movement is from market prices to equilibrium prices, that is, prices of production. As we have seen, this is how the law of value allocates aggregate labor in commodities, similar to a law of gravity. The failure of these Marxists to distinguish between the logical and the real demonstrates their “complete ignorance both of the subject under discussion and of the method of science.”


Notes

  1. In his fine introduction and interpretation of Capital, Michael Heinrich criticizes traditional and worldview Marxism in An Introduction to the Three Volumes of Karl Marx’s Capital (New York: Monthly Review Press, 2012). Heinrich further expounds the early sections of the first volume of Capital intensely in Michael Heinrich, How to Read Marx’s Capital (New York: Monthly Review Press, 2021).

  2. Karl Marx and Frederick Engels, Collected Works (New York: International Publishers, 1975), vol. 43, 68.

  3. Karl Marx, Capital, vol. 1 (London: Penguin, 1977), 169–70.

  4. Karl Marx, Capital, vol. 3 (London: Penguin, 1981), 288.

  5. Marx, Capital, vol. 1, 171.

  6. Marx, Capital, vol. 1, 172.

  7. Karl Marx, Grundrisse (London: Penguin, 1973), 171–72.

  8. Marx, Capital, vol. 1, 173.

  9. Marx, Capital, vol. 1, 772; Marx, Grundrisse, 488, 541, 708; Karl Marx, Critique of the Gotha Programme in Marx and Engels, Selected Works, vol. 2 (Moscow: Foreign Languages Press, 1962), 24.

  10. Marx and Engels, Collected Works, vol. 6, 506.

  11. Marx, Grundrisse, 158–59.

  12. On this view of socialist society, see Michael A. Lebowitz, The Socialist Alternative: Real Human Development (New York: Monthly Review Press, 2010) and Michael A. Lebowitz, Between Capitalism and Community (New York: Monthly Review Press, 2020).

  13. Discussion of the individual commodity producer applies as well to collective or group commodity producers (as in the case of cooperatives).

  14. Marx, Grundrisse, 156–58.

  15. Marx, Capital, vol. 3, 288–89.

  16. Marx, Capital, vol. 1, 170.

  17. Marx and Engels, Collected Works, vol. 43, 68.

  18. Marx, Capital, vol. 1, 476. It is important to keep in mind the distinction between the aggregate labor in commodities and the aggregate labor in society as a whole.

  19. Marx, Capital, vol. 1, 476.

  20. Marx, Capital, vol. 1, 168.

  21. Marx, Capital, vol. 1, 476.

  22. Marx, Capital, vol. 1, 1051.

  23. Marx, Capital, vol. 3, 895.

  24. Karl Marx, Theories of Surplus Value, Part II (Moscow: Progress Publishers, 1968), 209.

  25. Marx, Capital, vol. 3, 491.

  26. Marx, Capital, vol. 3, 490. We are describing here so-called jelly capital.

  27. Marx, Capital, vol. 3, 298.

  28. Marx, Capital, vol. 3, 528, 491.

  29. Marx and Engels, Collected Works, vol. 43, 68.

  30. Marx and Engels, Collected Works, vol. 42, 515.

  31. Karl Marx, Theories of Surplus Value, Part III (Moscow: Progress Publishers, 1971), 500.

  32. Marx, Capital, vol. 1, 173–74.

  33. Marx and Engels, Collected Works, vol. 6, 121, 123–24.

  34. David Ricardo, The Principles of Political Economy and Taxation (Homewood: Richard D. Irwin, Inc., 1963), 5–6, 12–13, 42.

  35. Karl Marx, Wage Labour and Capital in Marx and Engels, Collected Works, vol. 9, 208–9.

  36. Marx and Engels, Collected Works, vol. 6, 491. Here, Marx accepted Ricardo’s symmetry in the production of hats and men, and he continued to hold that position in Capital. For a criticism, see Lebowitz, “The Burden of Classical Political Economy” in Lebowitz, Between Capitalism and Community, chapter 6.

  37. Marx, Grundrisse, 881.

  38. By the time of the writing of Capital, however, Marx had moved to identify that two-fold nature of the commodity as use value and value and explained that exchange value is merely the necessary form that value takes.

  39. Marx, Capital, vol. 1, 173n.

  40. Marx and Engels, Collected Works, vol. 42, 407.

  41. Albert Dragstedt, Value: Studies by Karl Marx (London: New Park Publications, 1976), 11.

  42. Marx and Engels, Collected Works, vol. 42, 514.

  43. Marx, Capital, vol. 1, 139.

  44. Marx, Capital, vol. 1, 138.

  45. In classical political economy and in Marx’s time, gold was the money-commodity; however, Marx’s theory of money only requires social acceptance as the universal equivalent.

  46. Marx, Capital, vol. 1, 139.

  47. Karl Marx, “Marginal Notes on Adolph Wagner’s Lehrbuch der Politschen Oekonomie” in Dragstedt, Value, 204.

  48. Marx, Capital, vol. 1, 129.

  49. Marx, Capital, vol. 1, 157.

  50. Marx, Capital, vol. 1, 129.

  51. Marx, Capital, vol. 1, 288.

  52. Heinrich, An Introduction to the Three Volumes of Karl Marx’s Capital, 57, 63–64.

  53. Marx, Theories of Surplus Value, Part II, 164, 202.

  54. Marx, Capital, vol. 3, 294–95.

  55. See the discussion of the derivation of capital in Michael A. Lebowitz, Beyond Capital: Marx’s Political Economy of the Working Class (New York: Palgrave Macmillan, 2003), 55–60.

  56. “The rate of surplus-value is therefore an exact expression for the degree of exploitation of labour power by capital, or of the worker by the capitalist.” Marx, Capital, vol. 1, 326.

  57. Marx, Capital, vol. 1, 1026–27.

  58. See Lebowitz, Between Capitalism and Community, chapter 7.

  59. Heinrich, An Introduction to the Three Volumes of Karl Marx’s Capital, 57, 63–64.

  60. As Heinrich indicates, the transformation of values “represents a conceptual advancement of the form-determination of the commodity.” Heinrich, An Introduction to the Three Volumes of Karl Marx’s Capital, 148–49.

Ambiguity In An Art World Shaped By Capital

[Pictured: The author’s painting, entitled “The Bench Sitters”]


By Ian Matchett


“You can’t be Neutral on a moving train”

- Howard Zinn 


I am standing in front of an assemblage of found objects, culled from a midwestern city ravaged by capitalism and racism. The pile has been helpfully located here by an artist with support of the local billionaire’s philanthropic foundation, and a private art school in the suburbs. The artist’s statement informs me that the work is about the possible importance of these objects in the past, before they were abandoned, he wants me to consider how the objects were theoretically important to someone once. I’m confused because these are not trinkets from ancient Rome, many of the people who abandoned them are likely still alive, and the reason they were abandoned seems inextricably connected to the billionaire who paid for the show. I move along to a second piece, a display of books about the apocalypse. The artist's statement again offers insight, saying that they find the books interesting because the apocalypse has never come. I turn and look back at the shards of shattered lives that the artists had piled up with the help of the billionaire. It seems that the apocalypse came for those people. Their worlds ended and broke. Perhaps it doesn’t count if the apocalypse didn’t affect the rich people. Perhaps the next apocalypse will. The artist's statement assures me that the meaning is in the uncertainty, the billionaire’s logo bids me farewell as I leave.

Ambiguity is a key tool of the artist. The use of unresolved imagery and open metaphors allows for artwork to incorporate collaboratively constructed meaning, built by both the artist and the viewer. This allows the artists to deepen and expand their craft- developing a broad range of approaches to connect with an audience beyond direct literal representation. However when we look around at the post modern context, something seems to have gone wrong with this tool. What was once uncertain meaning has become in many cases intentionally oblique artworks, at best requiring an advanced degree to appreciate, and at worst offering little more than their own lack of clarity as a thesis. Today, the art world seems to have fetishized ambiguity: celebrating inscrutability for its own sake, regardless of the effect on the piece- and seem almost to value a failure to communicate with a mass audience as the highest form of work. It seems worth at least briefly investigating the effects of this trend, try to understand why it may be playing such a role at this moment in history, and offering a lens to understand and critique not ambiguity as such, but this trend of fetishized inarticulate artistic production.

In the modern art world, so completely dominated by capital: from foundations, to galleries, auction houses, collectors, tax loopholes, and media; excessive ambiguity seems to abdicate the construction of meaning not to the individual viewer, but to these very capitalist institutions. The artist allows capital to construct and guide the meaning of a piece far beyond any mythologized individual interaction between viewer and artwork. Taken from this perspective ambiguity risks creating art that simply allows the meaning of culture to be even more shaped by the rich and stamped with their world view. 

I am personally invested in the role of artwork in helping shape and transform the world, how it can support working class emancipatory politics, and inspire communities engaged in this struggle. This is obviously not the only goal of art, however, judging by present discourse in the art world, it appears to be a deeply undervalued one. Empowered by this broad indifference, I hope to offer not a complete conclusion, but to at least reassert a key avenue of critique.

To begin we must generally define what we mean by “Ambiguity.” For the purposes of this critique I identify ambiguity as the quality of uncertain meaning or subject in a piece of artwork, and the endorsement of this uncertainty by the creator. As stated above, at its best ambiguity allows an artwork to elevate beyond pure depiction, or a single viewpoint, and create a space where the perception of the viewer helps create the piece. Sometimes this creates a specific interpretation but just as likely it can make the uncertainty and quest for meaning a living part of the work. All of this is perfectly reasonable and indeed critical as a tool of the artist. A career of artwork that speaks in one voice and offers no space for engagement is less that of an artist and more of an advertiser. The quarrel then is not with ambiguity as such, but the more specific role it plays in the socio-economic context of the modern art world. 

It is difficult to define a clear line between the use of ambiguity by any one artist, and the more general trend of fetshized ambiguity. This is in part because the difference occurs not just at the level of the individual creator, but at the structural level- what works are purchased, funded, rewarded, and discussed by the broader art world. The break arises when ambiguity becomes not a tool for engaging an audience member, but to distance them from the artwork, to enforce a division between an elite who “gets” the piece, and the masses who are increasingly deflected from engagement. Rather than creating space for the audience to collaboratively craft meaning, fetishized ambiguity seems intent upon alienating or distancing a significant portion of the audience, in order to make what can often boil down to fairly shallow points about the uncertainty of modern life. Some of this is visionary complex work to be sure, but it seems worth questioning the inherent elitism of this approach, its widespread popularity among the institutions of the art world- and its intention in an art world already so deeply imbued with divisions class and power.

As with all aspects of cultural production, ambiguity functions in a matrix of several variables, and its meaning must be evaluated in this context. Key factors include: the relative visibility of the artist in society, the socio political system of artistic production and validation, and the overall reproductive system of the society at large. Thus, as the visibility of the artist in the society escalates, or the system artistic production is more captured by a specific class interest, or the political moment becomes more tenuous, the issue of ambiguity must be critiqued with more precision. In this context, the tool of ambiguity can overtake the overall mission of artwork- becoming fetishized into an end in it’s own right in order to serve specific class interests. This tendency is similarly conditioned by the very same social/political factors such as methods of display, popularization, materials costs, scale etc. that condition production as a whole. The question is not one why artists are creating ambiguous work, nor why their work is increasingly fetishizing ambiguity, this but why this tendency is being rewarded by the capitalists in control of the artistic sphere.  

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In our present moment then, we must engage with how the art world functions and the role that fetishized ambiguity might play in this system. The art world in capitalist society is controlled not by the public, artists, critics, or even curators- but by capital. This is a point made by many fabulous scholars, though I am most influenced by Mike Davis essays, and Chin Tao Wu’s book “Privatizing Culture.” Through this scholarship, we can understand the art world less as a site of artistic production than of capital accumulation, appreciation, and tax avoidance. As a site of capitalist production, it has faced the same escalating investment as any industry, with capital propping up key galleries, expensive artistic experiences or traveling shows, and private foundations as key value and taste making institutions. A huge amount of artistic labor is done on speculation, never rewarded by collectors/foundations uninterested in its output, or by communities too under resourced to support it. 

Under capitalism the “art market” is concerned with the production of commodities that meet the needs of it’s consumers — who, be it through the foundation, gallery, or direct patronage, are the rich. Art becomes less about expression and more about developing either speculative value on the art itself OR a variety of side benefits be it to increase the value of a real estate holding, improving the patrons’ image, or helping avoid taxes. There remains a portion of this that is artistic production, attempting to explore human experience, emotions, history etc. but this role is increasingly eclipsed by the role of accumulation and commodification that has developed to serve the broad goals and needs of the rich. While the rich may also patronize specific works of a radical, or particular voice, these exceptions prove the broader structural rule of the modern art world- creating imagery in the service of capital. It is in this context that the fetishization of ambiguity must be evaluated for it’s purpose and role in the art world- which is to say in the goals of the rich. 

So why does artwork that fetishizes ambiguity serve the goals of the rich? In the context of capitalist production, art is valued as a site of surplus value production, cultural capital, and to obscure value from the state. None of these goals is invested in the content of the work- and in fact many of them may be harmed by work with a specific viewpoint that makes it unappealing to other wealthy buyers, particularly when coming from new artistic voices without pedigree that can be banked upon. A Jackson Pollock painting thus is more easily sold and resold by various investors (the word collector here seems to give them too much credit) than is a piece with a more clear, enunciated, or challenging content. Particularly once key taste making foundations and funders have funded and popularized his work. Thus ambiguity serves to increase the transferability of an artwork- no just allowing the rich to control it’s messaging, but to complete the transformation of artwork into a transferable token of wealth- a goal potentially undermined by political stance and clarity of purpose of the artists.

This fetishization of ambiguity is even more particularly interested, not just in the ambiguity of message- but in an ambiguity of solutions. Political artwork has long proved perfectly capable of being incorporated as yet another commodity to be incorporated into the value circuits outlined above. While it may suffer some limitations as a commodity that more formalistic or abstract work does not (narrower market, negative reception etc.) it can still be metabolized to this system and its goals. Where the line of demarcation is more starkly apparent however, is on the ambiguity of solutions about the political problems we face. The reason for this is not overly complex- living as we do within a capitalist society characterized by the exploitation and oppression of the vast majority in order to benefit the wealthy- many solutions that fundamentally address the problems we face are tied up with doing away with this system, and by extension the rich as a class. Artwork that clearly asserts this fact and communicates with a working class audience not only doesn’t serve the goals of the rich, but actively inverts the distancing of modern art, alienating the primary force creating and shaping the art world: wealth, and reaching out instead to a mass audience. Criticism is acceptable, collectible, and profitable, so long as the artist does not begin to reach for solutions, and/or so long as those solutions remain unconnected from the working class. 

When a piece of artwork is created, it is not released into an abstract individualized world, but rather into a web of social relationships constructed by capital and history. To release an ambiguous piece, in a context where the audience, spaces, language, and reward structures are all inextricably linked to and shaped by capital, is to risk handing over the task of interpretation to the rich. What institutions frame the work, what “public” views it, and what interpretations are crafted and elevated all become conditioned by a specific capitalist class, race, and gender analysis. In this context, is a gallery that relies upon the Gilbert foundations likely to show work that points out the exploitative/feudal relationship he has built with the city and its people; and If it does, will the gallery prioritize this critical interpretation if given the space to avoid doing so by the ambiguity of the piece and the artist’s stance? 

The point is not that ambiguity is a bad tool- it is that constructing an art world around the fetishization of ambiguity does not put the artists into dialogue with an independent audience, but rather into a dialogue with a disproportionately rich, white audience in an art world shaped by the rich. Ambiguity then becomes a tool for the rich to shape meaning in such a way as to continue their primary goals of profit expansion, and shaping our understanding of reality so as to limit the alternatives to the status quo. What’s more, we should perhaps be more sketical of an ambiguity that repeatedly asks questions with researchable answers, or invite us to once more contemplate the complexity of life.

So if the problem is not with ambiguity as such, but with the broader structures of wealth, where does that leave us? I would hesitate to fully prescribe a solution to such a vast and structural issue- however the very scale of the forces involved does suggest a first step: enter into a community practice. Socially conscious art can not be made in isolation, and an individuals distanced observations will all too frequently retain a voyeuristic shallow quality. Join a party, an organization, a reading group, a union, your block club- the point is to enter into the life of the masses, not attempt to interpret your community in isolation.

Beyond this, it would be foolish to try and prescribe some sort of universal formula for how to approach ambiguity as an artist. It seems better to hold a few questions in tension as we produce work- a lens to critique how and why we are choosing to use ambiguity in our work. Why are you choosing to use ambiguity in your work? Are you uncertain about the question you are asking? Have you done enough research to make a meaningful statement? Does your work stop at asking “what is happening?” Or does it invite the viewer into a process of imagining and building the future? Who will see this work, and in what context? What readings of the work will be most empowered by that audience and venue? 

Finally, there is the issue of the artist who stands behind the work. While it is no substitute for creating work that is able to communicate, artists must use as much of their platform as possible to explicitly combat a softening or limiting of their work by the art world. This does not mean self martyrdom by refusing to ever make money, or ever have your work engaged with by the art world, but it does mean being explicit about your values when in these spaces- and not deriving our value as artists from these spaces. Again this approach becomes meaningful and possible only as the artist roots themselves in their community and the actual work of understanding the world. The struggle to produce impactful work does not end when the artist sends their work out into the world- it continues as long as capital dominates the institutions and structures that interpret culture.

Despite all of this ambiguity remains a critical tool. The future is full of uncertainty, and art has a huge role to play in helping us as we struggle toward a future that we do not yet know. Ambiguity, framed as a collaboration with a working class audience to develop new meanings for our work and our world- this is a key place for this type of artistic ambiguity and exploration in our world. What we must abandon, or at least interrogate far more critically, is the ambiguity of analysis, of alternatives, of struggle. Neither artists nor the working class more generally needs yet another discussion of “what does it mean to pay rent and live in a world of ruthless exploitation, imperialism, and ecological collapse,” rather we need artwork that is helping us all engage with what me must do about these facts: a decisive shift from endlessly reflecting “what is happening” and toward the new horizons of “what is to be done?”


Ian Matchett is an organizer and artist working in Detroit. His art can be found on his website.

A Beginner's Guide to Bank Failures

By Ahjamu Umi

Republished from Hood Communist.

According to a February 2023 Federal Deposit and Insurance Corporation (FDIC) audit, 563 U.S. banks have failed and/or come under regulatory authority since 2021. Here in California, U.S., the latest casualty has been the Silicon Valley Bank (SVB). This latest rash of bank failures, especially within the software start up SVB, have alarmed apologists for capitalism all over the world. With this piece, we are hopeful we can bring some fundamental understanding of “bank failure” and what’s happening for everyday working people.

First, it should be explained that the Federal Deposit Insurance Corporation (FDIC) is an institution of the U.S. federal government. It exists to provide some level of guarantees against bank failure. They do this by regulating banks, auditing them, and insuring bank deposits for up to $250,000 USD (aggregate deposits per institution). 

What Does This Mean?

Let’s say for example, you have $275,000 in liquid asset deposits in any U.S. bank. If that bank fails and/or comes under FDIC jurisdiction, your deposits for up to $250,000 are insured by the federal government, meaning the government should issue you a check for that amount. The remaining $25.000 in deposits that you had in the failed bank makes you now a creditor for that bank. This means they owe you that money, just as you owe your credit card companies, car finance institutions, etc.

Of course, like any creditor/borrower relationship, your ability to get repayment has no guarantee. The bank can come under bankruptcy protection, etc., which means you would lose all or most of that $25,000 in this hypothetical example. But that is a fundamental definition of the role of the FDIC. It’s worth noting that credit unions are governed by the National Credit Union Administration (NCUA), which serves the same general purpose for credit unions that the FDIC serves for banks, including insuring deposits for up to an aggregate $250,000 per customer/member per institution.

It’s important to also note that the FDIC was formed in 1933 as a result of the Banking Act legislation. This happened four years after the great stock market crash of 1929 which means the FDIC was created as a vehicle to encourage renewed trust in the U.S. banking system. It’s that question of trust that provides the basis for creating a simple way of analyzing and understanding what is happening with banks within the capitalist system and how to interpret these bank failures.

The Origins of the Banking System 

Contrary to popular opinion, the international banking system, and the concept of capital as the foundation of that system, did not start from the creative and intellectual genius of the fathers of the capitalist system. Instead, the start up capital for the international banking system came directly from proceeds produced from the enslavement of kidnapped Africans. The labor of their work was converted to revenues that were invested to initiate the banking system and the capital it would rely on to facilitate its existence. Every large international bank today from Chase to Barclays owes its origins to this nefarious beginning. If we understand and accept this irrefutable history, it should be easy to understand that the capitalist banking system, from its beginning, has been about exploitation and its that reality that paves the way for greater understanding of what’s happening today.

How Banks Work 

Banks operate by taking your deposits, no matter how large or small, and investing those deposits to generate capital. The more money you have to deposit, the greater incentives the banks provide you for doing so, for example: no fees, more services, slightly higher dividends (returns on your deposits), etc. Whether you have $250,000 deposited in a bank, or $25, the process works the same. Your money is used by the bank to invest in any number of financial projects designed to provide a positive return for the bank on your deposit. For the overwhelming majority of us, this is done with little to no return to you. 

Let’s say you have a job where your paycheck is directly deposited into your bank account every two weeks, say $2500 twice per month, and from each check you have $300 automatically transferred into your savings account. That means you are saving $600 USD per month. You will receive next to nothing for that money sitting and growing in that bank, but the bank will use your deposits and invest them in any number of profit generating projects— primarily exploitative projects around the world because those types of investments are the best suited to produce the highest return on the dollar. Think exploitative companies that steal resources from Africa for example. Companies like Dutch Royal Shell (Shell Oil) rob Nigeria’s Niger Delta blind drilling for oil. There is no oversight and the workers are paid peanuts. As a result, Shell’s profits continue to break records. Well, a bank will invest in Shell’s stocks and profit from Shell’s theft of resources from Nigeria. As Shell’s profits grow, the bank’s profits grow. And, by profits we mean capital i.e. money the bank earns that serves the sole and specific purpose of being reinvested for additional profits.

That’s why when the capitalist commentators talk about most U.S. banks being “well capitalized” they are actually telling the truth. These banks have millions of dollars – dollars they made investing your deposits – sitting around ready for them to invest to make even greater profits. Meanwhile, you get slim to nothing from them using your money and you will even be penalized if you come upon rough times and cannot maintain the minimum requirements they demand to keep your account(s) going. They have to make those demands of you because if your money isn’t available to them, they have nothing to invest and profit off of it. If you think about it, the banking model is basically the same as someone coming to you, taking your paycheck when you cash it, using your money to make additional money from it, and just returning to you what they took from you in the first place. And, if they are unable to get a return on your paycheck, they are usually supported by the government in their financial challenges while you are left to figure out how to proceed on your own with no help or support.

Silicon Valley Bank & Banks Playing With Your Money

That’s still not even the full story. Besides the example of investing in the exploitative practices of Shell and other criminal multi-national exploitative capitalist corporations, the banks invest heavily into shady and high risk ventures like securities from the secondary market. These types of investments are often bundled high risk mortgage loans, meaning loans provided to buyers who’s repayment potential is questionable, but who agreed to repayment terms at much higher, and profitable, interest rates. These types of unscrupulous business practices by banks have resulted in devastating consequences, such as the 2008 mortgage crash in the U.S. where everyday consumers were left houseless while the banks were bailed out by the 2009 multi-billion dollar gangster deal – compliments of the Obama Administration – one of the most lucrative welfare schemes in human history, recently eclipsed by the $2.2 trillion CARES Act of 2020. As it relates to banks like the Silicon Valley Bank in Santa Clara, California, U.S., the same principles apply. This bank was the home for software startup companies who invested incredible sums of money in highly questionable ventures for most of its 40 year existence. As has been alluded to, this has always been the program of capitalist banks, but in recent years we are seeing the limitations of this strategy much easier because the decline of capitalism has created conditions where the once assumed stability of capitalist banks is now more and more in question. 

Let the Banks Fall While We Rise  

This is a reality that will continue to create hardship for millions of people worldwide, but in the long run, this also has the potential to represent a new day for the masses of humanity where capital no longer controls the narrative everywhere on earth. There are a lot of variables to unpack in order to create that reality, but for now, the best thing all of us can do is engage every effort that we can to educate our communities about the role of banking institutions to profit from our continued exploitation and how the system is set up to support their existence, while making us the main source of accountability for ourselves and their greedy exploitative practices. This problem, like every other problem we face, cannot be resolved through any level of individual initiative. It cannot be resolved by any other approach to stabilizing the capitalist system. This problem is a reflection of the exploitative basis from which capitalism developed hundreds of years ago and it’s simply a manifestation that this profit over people model of operation is existing in its final days. This may be a scary thought to many, but at the end of the day, Kwame Ture was 100% correct when he said that “if we don’t struggle for revolution, we suffer so why don’t we organize and take the suffering as a pathway to our liberation and forward progress instead of just continuing to suffer with no end in sight?”  Capitalist banks are viewed as vehicles to provide us with houses, cars, loans, etc. What they are in reality is a criminal operation that is 100% supported by the U.S. government which is nothing more than a mouthpiece for international capitalism. The sooner we can do the necessary work to create broader consciousness around this, the sooner we can reclaim the resources that rightfully belong, not to a small and criminal elite, but  to the masses of people on earth. 

Ahjamu Umi is revolutionary organizer with the All African People's Revolutionary Party, adviser, and liberation literature author.

Police Departments Spend Vast Sums of Money Creating “Copaganda”

[PICTURED: Officers from the Norfolk Police Department in Virginia danced to Mark Ronson and Bruno Mars’s “Uptown Funk” as part of a lip-sync challenge created by police departments nationwide. - via Norfolk Police Department]

By Alec Karakatsanis

Republished from Economic Hardship Reporting Project.

In May of this year, I testified at a hearing in San Francisco where city leaders questioned the police department’s funding and use of public relations professionals. That funding was heavier than you might expect.

According to police department documents provided to the County Board of Supervisors, budget items included a nine-person full-time team managed by a director of strategic communications who alone costs the city $289,423; an undisclosed number of cops paid part-time to do PR work on social media; a Community Engagement Unit tracking public opinion; officers who intervene with the families of victims of police violence and who are dispatched to the scenes of police violence to control initial media reaction; and a full-time videographer making PR videos about cops.

San Francisco is not unique. The Los Angeles Sheriff’s Department has forty-two employees doing PR work in what it calls, in Orwellian fashion, its “Information Bureau.” The Los Angeles Police Department has another twenty-five employees devoted to formal PR work.

Why do police invest so much in manipulating our perceptions of what they do? I call this phenomenon “copaganda”: creating a gap between what police actually do and what people think they do.

Copaganda does three main things. First, it narrows our understanding of safety. Police get us to focus on crimes committed by the poorest, most vulnerable people in our society and not on bigger threats to our safety caused by people with wealth and power.

For example, wage theft by employers dwarfs all other property crime combined — from burglaries, to retail theft, to robberies — costing some $50 billion every year. Tax evasion steals about $1 trillion each year. There are hundreds of thousands of Clean Water Act violations each year, causing cancer, kidney failure, rotting teeth, and damage to the nervous system. Over 100,000 people in the United States die every year from air pollution, five times the number of all homicides.

But through the stories cops feed reporters, the public is encouraged to measure a city’s safety by whether it saw an annual increase or decrease of three homicides or fourteen robberies — rather than by how many people died from lack of access to health care, how many children suffered lead poisoning, how many families were rendered homeless by illegal eviction or foreclosure, or how many thousands of illegal assaults police committed.

The second function of copaganda is to manufacture crises or “crime surges.” For example, if you watch the news, you’ve probably been bombarded with stories about the rise of retail theft. Yet the actual data shows there has been no significant increase. Instead, corporate retailers, police, and PR firms fabricated talking points and fed them to the media. The same is true of what the FBI categorizes as “violent crime.” All told, major “index crimes” tracked by the FBI are at nearly forty-year lows.

The third and most pernicious function of copaganda is to manipulate our understanding of what solutions actually work to make us safer. A primary goal of copaganda is to convince the public to spend even more money on police and prisons. If safety is defined by street crime, and street crime is dangerously high, then funding the carceral state leaps out to many people as a natural solution.

The budgets of modern police departments are staggeringly high and ever increasing, with no parallel in history, producing incarceration rates unseen around the world. Police and their right-wing unions (which have their own PR budgets) want bigger budgets, more military-grade gear, more surveillance technology, and more overtime cash. Multibillion-dollar businesses have privatized nearly every element of these bureaucracies for profit, from the tasers and AI software sold to cops to the snacks sold at huge markups to supplement inadequate jail food. To obtain this level of spending, they need us to think that police and prisons make us safer.

The evidence shows otherwise. If police and prisons made us safe, we would have the safest society in world history — but the opposite is true. There is no link between more cops and decreased crime, even of the type that the police report. Instead, addressing the root causes of interpersonal harm like safe housing, health care, treatment, nutrition, pollution, and early-childhood education is the most effective way to enhance public safety. And addressing root causes of violence also prevents the other harms that flow from inequality, including millions of avoidable deaths.

The insistence that increased policing is the key to public safety is like climate science denial. Just like the oil companies, the police are running an expensive operation of mass communication to convince people of things that aren’t true. Thus, we are left with a great irony: even if what you most care about are the types of crimes reported by police, those crimes would be better reduced by making our society more equal than by spending on police and prisons.

Powerful actors in policing and media both manufacture crime waves and respond to them in ways that increase inequality and consolidate social control, even as they do little to actually stop crime. Copaganda not only diverts people from existential threats like imminent ecological collapse and rising fascism, but also boosts surveillance and repression that is used against social movements trying to solve those problems by creating more sustainable and equal social arrangements.

Hearings like the one I testified at in San Francisco are needed across the country. Local councilmembers should scrutinize the secretive world of police PR budgets, because the public deserves to know how police are spreading misinformation. It is possible to achieve real safety in our communities, but only if we end the copaganda standing in its way.

 

Alec Karakatsanis is a civil rights lawyer and the founder of Civil Rights Corps. He is also the author of the book Usual Cruelty and a weekly newsletter called Alec’s Copaganda Newsletter.

American Fascism: The Men, the Money, and the Myth

By J. Richard Marra

 

On May Day 2016, well before the election of Donald J. Trump, the Boston Globe published, "'Never forget,' the world said of the Holocaust. But the world is forgetting."[1] In it, Jeff Jacoby worries about its implications for a world experiencing a resurgence of violent right wing political extremism. For American Marxists, the timing may seem ironic. On the day of global celebration for the working class, they are reminded of both the horrors of fascism and their duty to unceasingly oppose it.

Marxist and other commentators appreciate the toxicity of fascism. However, their explanations regarding its features, organization, and operations differ. Each has enriched our understanding, while also introducing a disconcerting complexity and diversity. Accordingly, anti-fascists should aim at simplicity when considering historical fascism and Trump's 'neofascism."

The libertarian commentator George Will understands:[2]

So many excitable Americans are hurling accusations of fascism, there might be more definitions of "fascism" than there are actual fascists. Fascism, one of the 20th century’s fighting faiths, has only faint echoes in 21st-century America’s political regression.

Furthermore, there are problems regarding recognizing fascism and justifying claims about specific political regimes. James P. Cannon recognized this in 1954 with reference to Wisconsin Senator Joseph McCarthy: [3]

Those who would judge specific American forms of fascism too formalistically by the European pattern, arbitrarily limit capitalist aggression against the workers’ movement in two forms:

They see the democratic form by which the workers are suppressed through strictly legal measures in accordance with the law and the Constitution—such as the Taft-Hartley Law, formal indictments and prosecutions for specific violations of existing statutes, etc....

On the other side they see the illegal, unofficial forms of violence practiced by “stormtroopers” and similar shirted hooligans outside the forms of law, as in Italy and Germany. This is characterised as fascist.

This kind of illegal violence under the outward forms of law has a distinctive American flavour; and it is especially favoured by a section of the ruling class which has very little respect for its own laws....This is, in fact, an important element of the specific form which American fascism will take....

Depending on one's perspective, contemporary fascism might appear nowhere, or anywhere. It is nowhere in the sense that Hitler and Mussolini are dead; and America's immigrant detention camps aren't as horrific as Auschwitz. Yet, it can emerge anywhere because capitalism is everywhere, and capitalism is its necessary and structural accomplice.[4] Given the right theorizing, many current capitalist regimes can exhibit fascist characteristics. For Will, fascism can occur anywhere because truculence toward liberal institutions and manners is common in social climates of political polarization and arrogance.

Three methodological problems contribute to the confusion. Consider, first, Lawrence Britt's[5] list of the identifying characteristics of fascism. Its items accurately capture salient features and establish a domain of likely candidate governments. Unfortunately, they don't supply an explanation regarding how any of these, or all of these, characteristics structurally realize the fascist form of governance. Lacking context, lists of attributes can become scattered and unwieldy, and fail to account for time-sensitive social and political contingencies, as Cannon anticipates. In addition, methodologies, and the theories supporting them, evolve over time. Although their theoretical "hard core" remains resistant, subordinate features may change. This may lead to reevaluations of the fascist-ness of political regimes. Finally, although Marxism, unlike capitalism, is fundamentally opposed to fascism, both are nevertheless liable to analytical bias. Will's commitment to capitalism prevents him from even mentioning it. He strips contemporary fascism of its theoretical and historical significance, dismissing it as merely a problem regarding hostile personalities.

To avoid these problems, this account will keep largely to operational matters, focusing on structures and functions. Parsimony is exercised in establishing necessary and sufficient characteristics, and explaining such features will help us introduce context. To do so, it proposes three fundamental structural components: Governance, economy, and ideology. Following Brecht and Lund, it suggests that capitalism plays a central role in the emergence and operations of fascism. However, unlike some Marxists, this analysis stops short of characterizing fascism as an extreme form of capitalism. Accumulation remains the prime purpose of the capitalist modes of production employed within fascism. Nevertheless, capitalists must routinely acquiesce to state requirements, which conveniently include protecting and advancing profitability. Both capitalists and fascists are keenly aware that workers, unions, and communists can negatively affect accumulation and the capitalist state. This mutual need is addressed by managing unprofitable class conflict through the establishment of state-run "corporations."

The Three Characteristics of Historical Fascism

When taken together, the following three necessary characteristics, involving both structural and ideological (especially nationalistic and religious) components, sufficiently define fascism.

  1. Governance: Unitary and authoritarian national state controlled by a despotic "Leader."

  2. Economy: State control of the economy through a system of sector-based corporations comprised of capitalist enterprises and labor.

  3. Ideology: Traditionalist mythology justifying an exclusive moral exceptionalism in governmental affairs imported from 20th-century Futurism.

The key to recognizing fascism lies in appreciating how these characteristics synergize into a unique system of governance. With this in mind, let us now examine each more deeply.

Governance: The Leader Principle

The fascist state functions according to the "Leader Principle."[6] The "Leader" (aka Der Fuhrer, Il Duce) is the single sovereign authority over the state and its people. He/she stands atop a hierarchy of sub-leaders that govern the state's political and bureaucratic organizations. All sub-leaders pledge total obedience to all superiors, but always and primarily to the Leader. The fascist leader is not merely a person, but the ultimate manifestation of a state dynamically driven by its moral "will." In this way, the leader and the state are structurally and functionally identified. Mussolini writes, "the Fascist State is itself conscious and has itself a will and a personality -- thus it may be called the "ethic" State...." For Mussolini and Hitler, those consciousnesses, wills, personalities, and morality are theirs.

Economy: The "Third Way"

The leader dictates the structure and operations of the second necessary feature of fascism, an economic system called the "The Third Way." To understand the Third Way, let's compare how capitalists, communists, and fascists manage the class struggle that Mussolini denies.

Capitalists are attentive to class struggle, especially when it interferes with profits. They know that profit comes from their private ownership of the means of production and exploitation of labor. They understand that class struggle between owners and workers is a fact of capitalist social life. Capitalists understand that every rise in workers’ standards of living — living wages, pensions, healthful working conditions — are not only costly, but are costs that directly subtract from their profits. Thus, since workers will naturally demand such benefits, capitalists work continuously to weaken the political power of workers and unions.

For communists, class struggle is a symptom of capitalist social relations; yet they recognize that it is also a tool for working-class liberation. Their aim is to eliminate private control of the forces of production, while relocating ownership across the entire society. "Come the revolution," society will become classless. With the end of class struggle, a democratic economy is established that serves collective economic planning, and the physical and psychological well-being of workers.

Fascists place the needs of the state over all other national constituencies, including both capitalists and workers. This requires minimizing conflict between these two classes. To do this, fascists merge capitalist enterprises and unions into corporations, pairing them according to distinct economic sectors. Each corporation represents a sector of the economy wherein capitalists and labor are collectively bureaucratized, with all power vested in a state governed by an authoritarian leader.

The fascist leader principle is a relatively simple structural and operational conception, which any authoritarian state, fascist or otherwise, can implement. However, fascism couches the principle within a worldview that rejects the ideological foundations of both impotent liberal democracy and Marx's materialist sociology. [7]

...the liberal State is not that of a directing force, guiding the play and development, both material and spiritual, of a collective body, but merely a force limited to the function of recording results...the Fascist State is itself conscious and has itself a will and a personality -- thus it may be called the "ethic" State....

...Fascism [is] the complete opposite of…Marxian Socialism, the materialist conception of history of human civilization can be explained simply through the conflict of interests among the various social groups and by the change and development in the means and instruments of production...if the economic conception of history be denied, according to which theory men are no more than puppets, carried to and fro by the waves of chance, while the real directing forces are quite out of their control, it follows that the existence of an unchangeable and unchanging class-war is also denied - the natural progeny of the economic conception of history. And above all Fascism denies that class-war can be the preponderant force in the transformation of society....

To summarize, the ultimate aim of capitalism is to end class struggle by subjugating the working class. The ultimate aim of communism is to end class struggle by eliminating the capitalist class. The ultimate aim of fascism is to corporatize the capitalist class and eliminate a collectivized working class through the formation of an absolutely supreme leader and state.

 

Ideology: The Nasty Superman

Fascism has three ideological pillars. The first concerns mythology. Mussolini's fascism is nothing without a myth:

We have created our myth. The myth is a faith, it is passion. It is not necessary that it shall be a reality. It is a reality by the fact that it is a good, a hope, a faith, that it is courage. Our myth is the Nation, our myth is the greatness of the Nation! And to this myth, to this grandeur, that we wish to translate into a complete reality, we subordinate all the rest.[8]

The existential conception of fascism lies in an identification of a heroic people with its leader and national mythology. Consider the two fascist "philosophers" Alfred Rosenberg and Julius Evola. Rosenberg served as the Nazi Party's Commissar for the Supervision of Intellectual and Ideological Education between1933 to 1945. Among his "scholarly" accomplishments is "The Myth of the Twentieth Century,"[9] a uniquely turgid and mind-numbing justification of Nazi anti-Semitism and Aryanism. Julius Evola, one of the founders of 20th-century traditionalism, enjoyed a continuing relationship with Hitler, high-ranking Nazis, and Mussolini. He took Rosenberg's work seriously enough to critique it his "The Racist Conception of History."[10] With Mussolini, myth and tradition join: "Tradition certainly is one of the greatest spiritual forces of a people, inasmuch as it is a successive and constant creation of their soul."[11]

The second foundation of fascism involves not bigotry but nastiness, its truculence finding its roots early 20th-century futurism. Evola enjoyed a brief artistic and philosophical relationship with Filippo Marinetti's Futurist Movement. This connection is important because it exposes the second, and little remembered, ideological foundation of fascism.

Futurism speaks: [12]

...we shall extol aggressive movement, feverish insomnia, the double-quick step, the somersault, the box on the ear, the fisticuff.

We wish to destroy the museum, the libraries, to fight against moralism, feminism and all opportunistic and utilitarian malignancy.

We wish to glorify War - the only health giver of the world - militarism, patriotism, the destructive arm of the Anarchist, the beautiful ideas that kill, and contempt for woman.

This political grandiloquence finds translation in five of Britt's characteristics: distain for human rights, scapegoating, hostility toward intellectuals and artists, militarism, and sexism. These attitudes and behaviors are not Trump's alone. These come from Marinetti's Futurist Aristocracy (1923), edited by the Italian Futurist Nanni Leone Castelli. Marinetti influenced Mussolini, a person many worldwide view as the epitome of the aggressive and spontaneous futurist hero.

Mussolini the futurist:[13]

The Fascist accepts life and loves it, knowing nothing of and despising suicide: he rather conceives of life as duty and struggle and conquest....

[Fascism]... repudiates the doctrine of Pacifism....war [sic] alone brings up to their highest tension all human energies and puts the stamp of nobility upon the peoples who have the courage to meet it.

Fascism wants man to be active and to engage in action with all his energies....[14]

For fascists, traditionalism and futurism are tools for cultural atonement, redemption, and political power. The cultural historian Nicholas Goodrick-Clarke[15] appreciates Evola's and Trump's ideological poison. Fascism:

 ...speaks directly to those who reject absolutely the leveling world of democracy, capitalism, multi-racialism and technology...[Traditionalists] acute sense of cultural chaos can find powerful relief in his ideal of total renewal.

It is not surprising that Steve Bannon, an Evola enthusiast and Trump's past political advisor, boasts, "I’m a Leninist. Lenin wanted to destroy the state, and that’s my goal too. I want to bring everything crashing down, and destroy all of today’s establishment."[16] Bannon's Lenin isn't a Marxist, but he is a futurist.

Fascism's third necessary ideological feature is a moral "exclusive exceptionalism" in public policy and international relations, particularly justified by its traditionalist mythology. The fascist state claims the exclusive moral right to do what it wishes: no individual, group, or other nation can assert the same right.[17] Antonio Salazar, a former Portuguese prime minister and authoritarian corporatist, explains: [18]

The fascist dictatorship tends towards a pagan Caesarism, towards a state that knows no limits of a legal or moral order, which marches towards its goal without meeting complications or obstacles.

And for Adolph Hitler: [19]

It's a matter of indifference to me what a weak western European civilization will say about me. I have issued the command - and I'll have anybody who utters but one word of criticism executed by a firing squad....

The Three Characteristics of American Fascism

Governance: The Fascist Presidency

Since the Civil War, America has enjoyed reasonably stable governance. It's democratic republic, separation of powers, and presidential term limits constrain the rise of tyranny. Capitalism is thoroughly imbedded in its politics, ideology, culture, and religion. It's culture celebrates freedom, democracy, multiculturalism, personal individualism, and egalitarianism; suitably framed in a comforting mythology. It's religious doctrines profess kindness, compassion, and equality among persons.

Taken together, these blessings provide Americans with a deep sense of self-identity and exceptionalism. They also offer few prospects for the rise of a hell bent authoritarian Fuhrer. Yet, for opportunists like Donald Trump, the 2016 election provided just the right circumstances for a heroic self-actualization.

Trump's fascist handler Steve Bannon has a plan. It begins by peddling a well-known TV reality superstar and billionaire entrepreneur as a national hero for the 21st century. He is marketed as a blessed, unconventional, and unrelenting savior. His operatives then inject him into a rapaciously neoliberal capitalist party. That party seizes the opportunity to both deflect growing criticism from disgruntled workers still suffering from the 2008 capitalist crisis and a ballooning wealth gap, while simultaneously safeguarding capitalist profits. Republican spin masters publicly celebrate him in their corporate media, offering him a shot at the Presidency.

Once this leader controls the executive branch, and the Republican Party takes control of the Senate and the Supreme Court, an American fascism will command absolute political authority. It can control national production and labor policy, thus removing class struggle from the political equation. This tactic takes advantage of an increasing centralization of power in the executive branch.[20] This situation is significantly different from the weak power structure at the top of the unstable Weimar Republic in 1930s Germany. Trump will exercise his authority, claiming the exclusive right to do what he wishes, and remain unaccountable. Since this impulsive and aggressive fascist leader is the incarnation of the state, all governmental policy and functions obediently follow suit. Anything or anyone getting in the way will be eliminated.

Trump is a worthy inheritor of Mussolini's political persona. His distain for human rights, scapegoating, sexism, hostility toward intellectuals, and militarism is indisputable. His immigration policy, islamophobia and racism, glorification of sexual molestation, anti-science rhetoric, and massive defense spending all herald a potential American Fuhrer.

Economy and Ideology: Steve Bannon’s 'Third-Way'[21]

Steve Bannon's fascism maximizes the operational efficiency of its governance, and coincidently the profitability of capitalism, through their fusion with the ideology of White-supremacist Christianity. The leader commands a Third Way that subjugates capitalist enterprises and labor under his control through corporations, in order to ameliorate class conflict. Capitalists in this new theo-economic state[22] will enjoy growing profits as before, as workers endure neoliberal social and labor policy that reduces their political presence. Workers will live insecure existences living on subsistence wages, fearing illness, and defaulting on their college loans. They will work more hours, save little, and receive fewer benefits.

In contrast to historical fascism, the American form benefits from an enduring capitalist program to weaken labor. Trump is elected on a day when worker participation in unions is historically low.[23] The Taft-Hartley Act, and the damage done through its original anti-communist provision, continues to block mass revolutionary efforts by workers. There are few mass demonstrations and street battles like those in Germany and Italy during the early decades of the 20th century.[24] More recently, the Supreme Court Citizen's United and "right to work" rulings impair union fund raising and organizing. Trump's truculence toward both organized labor and Wall Street is consistent with a politic that abhors class struggle.

All of this comes with Bannon's traditionalism and Judeo-Christian ethos: [25]

...look at the leaders of capitalism at that time [late 19th- through the 20th-centuries], when capitalism was I believe at its highest flower and spreading its benefits to most of mankind, almost all of those capitalists were strong believers in the Judeo-Christian West. They were either active participants in the [their] faith,...the underpinnings of their beliefs was manifested in the work they did. And I think that’s incredibly important and something that would really become unmoored....I don’t believe that our forefathers had that same belief.

...[S]hould we put a cap on wealth creation and distribution? It’s something that should be at the heart of every Christian that is a capitalist — “What is the purpose of whatever I’m doing with this wealth? What is the purpose of what I’m doing with the ability that God has given us, that divine providence has given us to actually be a creator of jobs and a creator of wealth?"

Bannon imagines America as a restored Judeo-Christian and capitalist nation with Trump as its leader. He revives and consecrates Americans as a new saintly and capitalist volk. The leader leads, and capitalists and workers reap the benefits. Value added: Everyone achieves salvation and immortality, as they are actualized in the form of the fascist state. For Bannon, "What Trump represents is a restoration — a restoration of true American capitalism and a revolution against state-sponsored socialism.[26] This restoration carries the Cross, is wrapped in the American flag, and struts to the tune of a uniquely garish form of exclusive exceptionalism. MAGA emerges as a pathologically narcissistic demon in the form of Trump's exclusive exceptionalism:

They say I have the most loyal people — did you ever see that? Where I could stand in the middle of 5th Avenue and shoot somebody, and I wouldn’t lose any voters. It’s like incredible.[27]

Conclusion

George Will places the intersection of futurism and fascism within the broader context of European Enlightenment:[28]

Fascism fancied itself as modernity armed — science translated into machines, especially airplanes, and pure energy restlessly seeking things to smash. Actually, it was a recoil against Enlightenment individualism: the idea that good societies allow reasoning, rights-bearing people to define for themselves the worthy life.

George Will correctly distinguishes "Trumpism" as a populist fad from communism as a political doctrine:[29]

Communism had a revolutionary doctrine; fascism was more a mood than a doctrine. It was a stance of undifferentiated truculence toward the institutions and manners of liberal democracy.

Trumpism...is a mood masquerading as a doctrine, an entertainment genre based on contempt for its bellowing audiences. Fascism was and is more interesting.

Fascism is interesting precisely because it offers a compelling doctrine, a powerful system of governance, and is doggedly persistent over time and space. But, it's also rare. Unfortunately, small samples resist generalization. Cultural, geographic, and historical variables make comparisons difficult. While Marxists understand that the boom-and-bust cycles of capitalism can lead to fascism, they don't often synchronize with other potent proto-fascist interventions. Fascism requires a unique convergence of causes and conditions. Economically, a major crisis of capitalism, significant economic distress among workers, a burgeoning wealth gap, and strong anti-union sentiments and policies prevails. There is a social climate of fear and hostility regarding vivid internal and external threats; citizens distrust distant and detached governance. They are mesmerized by a nativist and nationalist mythology energized by mythic traditions and beliefs. The spark that ignites the inferno of fascism comes as a uniquely clever and hell-bent futurist demagogue.

It is astonishing that an otherwise intelligent species would establish such profligate stupidity, wastefulness, and destructiveness as a system of governance. But it is here and continues to threaten humanity. History begs that we never forget what fascism represents, what it does, and what it takes to remove it from our presence.


Notes

[1] Jeff Jacoby, "'Never Forget,' the world said of the Holocaust. But the world is forgetting," Boston Globe, May 1, 2016, https://www.bostonglobe.com/opinion/2016/04/30/never-forget-world-said-holocaust-but-world-forgetting/59cUqLNFxylkW7BDuRPgNK/story.html (accessed June 5, 2021).

[2] George Will, "The difference between Trumpism and fascism," The Washington Post, July 10, 2020, https://www.washingtonpost.com/opinions/the-difference-between-trumpism-and-fascism/2020/07/09/377ae76e-c208-11ea-9fdd-b7ac6b051dc8_story.html (accessed June 8, 2021).

[3] James P. Cannon, "Fascism and the Workers' Movement," Marxist Internet Archive, Original publication March - April, 1954, The Militant, https://www.marxists.org/archive/cannon/works/1954/mar/15.htm. (accessed June 23, 2021).

[4] See Bertholt Brecht, "Fascism is the True Face of Capitalism," Off Guardian, Original publication 1935, https://off-guardian.org/2018/12/01/fascism-is-the-true-face-of-capitalism/. (accessed June 23, 2021). Ernest Lund, "Fascism Is a Product of Capitalism," Marxist Internet Archive, Original publication Labor Action September 27, 1943. https://www.marxists.org/history/etol/writers/erber/1943/09/fascism.htm. (accessed June 23, 2021).

[5] Lawrence Britt, "The 14 Characteristics of Fascism," Free Inquiry Magazine, 2003, https://ratical.org/ratville/CAH/fasci14chars.pdf (accessed June 5, 2021). See also umair, "Are Americans (Really) So Dumb They Don't Know Fascism When They See It?," Eudiamonia, April 6, 2019. https://eand.co/are-americans-really-so-dumb-they-dont-know-fascism-when-they-see-it-34cae64efa72 (accessed May 29, 2021).

[6]  "Nazi Conspiracy and Aggression," A Teacher's Guide to the Holocaust, Florida Center for Instructional Technology, 2005, http://fcit.usf.edu/HOLOCAUST/resource/document/DOCNAC3.htm.

[7] Benito Mussolini, "What is Fascism?," Marxist Internet Archive, Reference Archive, Original publication 1932, Italian Encyclopedia, https://www.marxists.org/reference/archive/mussolini/works/fascism.htm. (accessed September 4, 2021).

[8] Franklin Le Van Baumer, ed., Main Currents of Western Thought (New Haven: Yale University Press, 1978), 748.

[9] Alfred Rosenberg, "The Myth of the Twentieth Century," Internet Archive, Original publication 1930,  https://archive.org/details/the-myth-of-the-20th-century-alfred-rosenberg/mode/2up (accessed September 4, 2021).

[10] Andrew Joyce, "Review: Julius Evola's 'Myth of the Blood: The Genesis of Racialism,'" Occidental Observer, September 18, 2018, https://www.theoccidentalobserver.net/2018/09/18/review-the-myth-of-the-blood-the-genesis-of-racialism/ (accessed June 9, 2021).

[11] Benito Mussolini, "The Doctrine of Fascism (1932)," World Future Fund, http://www.worldfuturefund.org/wffmaster/Reading/Germany/mussolini.htm (accessed September 10, 2021).

[12] N. L. Castelli, ed., Futurist Aristocracy (Rome: Prampolini, 1923).

[13] Le Van Baumer, op. cit.

[14] Mussolini, "The Doctrine of Fascism (1932)."

[15] Nicholas Goodrick-Clarke, Black Sun: Aryan Cults, Esoteric Nazism and the Politics of Identity (New York: New York University Press, 2001).

[16] Seth Millstein, "13 Quotes From Steve Bannon That Show The Toxic Worldview He Took To The White House," Bustle, August 18, 2017,

https://www.bustle.com/p/13-steve-bannon-quotes-that-paint-a-diabolical-worldview-he-took-to-the-white-house-77612  (accessed May 24. 2021).

[17] Charles L. Stevenson, "Value-Judgments: Their Implicit Generality," in Ethical Theory in the last quarter of the twentieth century, ed. Norman E. Bowie (Indianapolis: Hackett, 1983), 13 - 37.

[18] "Corporatism," Wikipedia, Wikipedia Foundation, August 30, 2021, https://en.wikipedia.org/wiki/Corporatism.

[19] Louis Paul Lochner, What About Germany? (New York: Dodd, Mead & Company, 1943), 11–12.

[20] "The Concept of the Imperial Presidency," UKEssays, May 16, 2017,  https://www.ukessays.com/essays/politics/the-concept-of-the-imperial-presidency-politics-essay.php (accessed September 6, 2021).

[21] Here, I allude to the fascist self-branding of being fundamentally opposed to both capitalism and socialism, offering a third way of social organization. See Roger Eatwell, "The Oxford Dictionary of Political Ideologies," Oxford Handbooks Online, edited by Michael Freeden and Marc Stears, December 2013,

https://www.oxfordhandbooks.com/view/10.1093/oxfordhb/9780199585977.001.0001/oxfordhb-9780199585977-e-009 (accessed September 6, 2021).

[22] Jennifer A. Quigley, Divine Accounting: Theo-Economics in Early Christianity (New Haven: Yale University Press, 2021).

[23] U.S. Bureau of Labor Statistics, 2016 Union Membership In The United States, https://www.bls.gov/spotlight/2016/union-membership-in-the-united-states/pdf/union-membership-in-the-united-states.pdf. (accessed September 6, 2021).

[24] Mack Harden, "What is Taft-Hartley and Why Is It Bad?," Emergency Workplace Organizing, April 5, 2021, https://workerorganizing.org/what-is-taft-hartley-and-why-is-it-bad-1291/. (accessed September 6, 2021).

[25] J. Lester Feder, "This Is How Steve Bannon Sees The Entire World," November 16, 2016, https://www.buzzfeednews.com/article/lesterfeder/this-is-how-steve-bannon-sees-the-entire-world (accessed June 8, 2021).

[26] James Hohmann, "The Daily 202: Bannon will be the id, Priebus the super-ego in Trump’s White House," The Washington Post, November 14, 2016,

https://www.washingtonpost.com/news/powerpost/paloma/daily-202/2016/11/14/daily-202-bannon-will-be-the-id-priebus-the-super-ego-in-trump-s-white-house/58292237e9b69b6085905df2/ (accessed May 31, 2021).

[27] Katie Reilly, "Donald Trump Says He 'Could Shoot Somebody' and Not Lose Voters," Time, January 23, 2016,

https://time.com/4191598/donald-trump-says-he-could-shoot-somebody-and-not-lose-voters/ (accessed May 21, 2021).

[28] Will, op. cit.

[29] Ibid.

The Unbearable Emptiness of Voting

By Roger Williams

Election season makes me feel like the kid who doesn’t have a stuffed animal on “bring your teddy bear to school” day. Everyone else has a favorite who they can tell good stories about and cuddle with, but I don’t so I feel left out. But then I remember that there are good reasons to resist getting pulled down by the undertow of elections.

Like cute stuffed animals, politicians make people feel good while having a marginal effect on positive social change. The main differences between stuffed animals and politicians are that 1) stuffed animals are actually cuddly, and 2) people don’t invest vast amounts of political hope and agency in stuffed animals. I recognize that arguing against what many people hold dear makes me kind of a grump, but I at least aspire to be one who is not stuck in idle criticism but is proposing alternative ideas. The particular variety of grumpiness that I espouse is one grounded in grassroots social movements that focus on direct action independent of party politics.

The prickly issue of politicians relates fundamentally to questions of the leftist orientation to the state. The cheery reformer smiles big and promises to make the system work for you. The grouchy revolutionary rolls their eyes and gets back to trying to transform the system from the ground up. The recent prominence of social democratic politicians on the left, like Bernie Sanders and Alexandria Ocasio-Cortez, has provided a big platform for the cheery reformers to make their case to the public. They speak of universal healthcare, free college, and many other nice things.

What of the curmudgeons? In rejecting electoralism do they abhor healthcare and cherish student debt? Do they ignore the plight of the masses by focusing only on long-term goals at the expense of the need for immediate material reforms? Are the grouches ruining socialism? As a card-carrying grouch myself, let me soothe your fears and dispel some mistaken notions about political crankiness.

First, grouches like free and universal health care as much as starry-eyed reformers. It’s just that the grumps think that running election campaigns are a much less effective strategy to secure positive reforms. The grouches drastically de-center voting and object to giving time or money to political candidates and instead focus on building grassroots organization to be able to take mass disruptive actions like work stoppages and civil disobedience to win demands. Second, while less the focus of this article, building grassroots social movements is the only way to increase raw working class power that makes more complete social transformation possible in the long-term.

Granted, the state is an enigmatic beast, and politicians are strange and unwitting creatures. The level of discourse in movement spaces about the merits of electoral strategy often regrettably devolves into sparring aphorisms such as “all politicians are sellouts”, “we can’t ignore political power”, “The Democratic Party is the graveyard of social movements”, “Do you want Trump to win?”

This essay attempts to spell out the revolutionary grump’s critique of electoralism by showing how the institutions of voting, election campaigns, and politicians make citizens into political bystanders and undermine their ability to effectively implement popular reforms. These critiques are distinct from but complimentary to the much more widespread objections of how electoral politics under capitalism are dominated by the wealthy through corporate lobbying and shady campaign funding. I contend here that such movements comprise the true architecture of positive social change that lies behind the shimmering facade of electoralism.

Representative democracy? Harumph

The ideal of representative democracy is that elected officials govern in the interests of the population or at least in the interests of their constituents and voters. In practice, there is an immense gap found between polls of public opinion and existing policy. The reformers think the state can be fixed and made to embody the public interest, while the revolutionaries are unconvinced. Before getting to the heart of the critique of electoralism, it’s worth briefly reviewing the evidence that our government does not embody the democratic rule of the people.

In a recent paper, political scientists Miles Gilens and Benjamin I. Page perform a large-scale quantitative analysis of public opinion data compared to legislative policy and conclude “that economic elites and organized groups representing business interests have substantial independent impacts on U.S. government policy, while average citizens.. have little or no independent influence.”

To take just one important example, why is the US the only wealthy industrialized country in the world that doesn’t offer universal healthcare? From 2008-10, the only time when major healthcare reform seriously made it on the table in over 50 years, 77% of Americans polled said that it was the government’s responsibility that everyone’s basic healthcare needs be met, 73% supported a public option for the government to compete with private insurance plans, and 60-70% across a series of polls showed support for single-payer healthcare.

The resulting Affordable Care Act produced none of these basic and overwhelmingly popular reforms. Instead, the continued defectiveness of our healthcare system is evident today with 30 million Americans still lacking health insurance, 44 million additional Americans remaining under-insured, and an average of 20% of all people with health insurance forgoing or delaying treatment each year for a “serious condition” because of high costs. Healthcare offers a stark illustration of the public opinion-policy gap, but similar discrepancies can be found across the most important policies in the country, including defense spending and wars, higher education funding, and climate change.

Despite the insistence by some that the high school civics class theory of politics holds true, most Americans have a pretty low (and perhaps accurate) estimate of the quality of our governing institutions. Public approval for Congress over the recent decades has mostly oscillated between 10-30% and only 34% of Americans think the two major parties adequately represent the people.

While public opinion data alone provides neither a sufficient analysis nor a coherent vision for leftist politics, it’s often considerably more reasonable than the policies actually in place and provides a useful starting point for understanding the inequalities of power in society. That voting for mainstream politicians as a way to implement popular policies is not what it’s advertised to be is the unifying starting point for the buoyant reformer and grave revolutionary alike. That voting can not be fixed is the less obvious but central thrust of the grump’s grumpiness.

 

Voting? Phooey

Voting is a tactic for creating social change that involves expending virtually no effort. Yet, the common-sense notion that if you want something you have to work for it holds true in the realm of social change as much as anywhere else. When people tell me that all (or much of what) we need to do to change the world is check a box for a few minutes at a time once every 2-4 years, I wonder how that actually works. The pen may at times be mightier than the sword, but is the fill-in-the-bubble quiz called a ‘ballot’ really mightier than all of society’s billionaires, militarism, structural racism, and gender violence?

But what about all the deliberation, debate, and discourse that goes into voting? Surely that’s an effortful endeavor?” Surely, but deliberation, debate, and discourse are prerequisites for political action of any kind, so the only distinguishing feature of voting is that the act itself requires no effort.

But by engaging in debate with others and also encouraging people to vote, doesn’t voting then become a kind of mass collective action that’s exactly what’s needed to change society?” Mass collective action is not inherently progressive or effective, even if collective action of a certain kind is precisely what’s needed to create social change. I find little conceptual distinction between the millions of people who buy Coca-Cola (over the greater evil of Pepsi) every day as a collective action from those millions who vote. Individuals buying and drinking Coca-Cola is not the cause of society’s problems, but neither is it the solution. If anything, millions of people acting as mere aggregated sums through the institutions of the status quo is a prime way the status quo is perpetuated, not challenged.

But don’t we need some way for the population to interface with governing institutions to influence their functioning and to ensure that they are run according to the desires of the citizens?” Yes, but the best way to make that mode of interfacing as meaningless as possible is to make the form of interaction between the government and the citizens as narrow as possible, such as voting. I agree that we need to interface with existing governing institutions, but voting is the least effective way of doing so.

But if we don’t vote, the bad guys will take over!” Scaring people into voting is no way to create change nor prevent disaster but rather glosses over deeper problems of the political system that voting doesn’t address. However, for those who truly believe some politician is not as bad as the other one, it’s not that I disagree. Despite my many grumblings, I don’t insist that voting is entirely futile, just that it’s mostly so. If you think it’s worth the minuscule effort, go for it and don’t feel bad about it. I’m just critical of the widespread belief that voting will have more of a positive effect than a normal effort-to-reward calculus would indicate. The degree that voting is overvalued as a form of political engagement is the degree it displaces other more effective forms and forestalls social change.

People died for the vote.” More than just that, they fought for the vote. The point that people fought and died for the vote and then won is less an argument about how voting is the most important thing. Rather, it’s more an argument that when people expend effort to build social movements to fight for a better world, then they win things.

Social movements aren’t magic pixie dust that you can just sprinkle on every social-historical problem and expect it to go away.” As a tentative definition of social movements to ground these critiques of electoralism, let’s try this: Social movements are rooted in webs of mass-oriented organizations that build bases in communities and move with those communities towards direct action that disrupts the status quo, such as the strikes of the 1930s labor movement and the mass civil disobedience of the 1960s Civil Rights Movement. They are characterized by a disconnect between official policy and shifting popular sentiments, where a significant (but not necessarily majority) degree of public sympathy gives mass actions legitimacy. Such mass action is channeled towards those in power demanding that they alter formal policy but also is channeled towards the base by reshaping ideas and practices of political agency and self-determination.

So are social movements magic pixie dust? “Yes” in that they actually are the source of past positive social change and have the potential to create such change in the future, but “No” in that they are in any sense a cheap short-cut. Social movements take a lot of work, but it’s the actual work of making a difference. Voting, on the other hand, might more fully be characterized as magical in that it doesn’t have any real-world effect of its own and its presumed consequences are based on misperception.

 

Elections? Bah humbug

There’s a number of defining elements of electoral campaigns that are inimical to social change. These elements are the same ones that corporations use to create markets of passive consumers focused around brand identities, shallow exchange transactions, and individualized consumption.

Every political campaign relies on constructing a branded cult of personality around a candidate. Because sound-bites are an inadequate medium for presenting policy ideas, political campaigns come to revolve more around a candidate’s personality than their policy proposals and political records. This isn’t the fault of any individual politician; it’s the logic that all political campaigns have to apply if they want to maximize their appeal and exposure to fit the requirements of using mass media.

So the vast majority of voters come to know a politician through a picture of their smile as plastered across mailers and TV ads, a couple slogans like “tough on crime” or “tax the rich”, and a few labels such as “experienced”, “outsider”, “bipartisan”, “progressive”, “movement-oriented”, and so on. This political packaging comes to stand in for actual policy records and political relationships that might be indicative of future governance. Biden’s recent presidential campaign had little to say about his role in financial deregulation that paved the way for the 2008/9 financial collapse or the 1994 Crime Bill that helped super-charge mass incarceration. While I am more sympathetic to many of Bernie Sanders’ policy proposals, his campaign ads certainly didn’t focus on some of the less flattering parts of his political record, such as his past symbiotic relationship with an arms manufacturer or close friendship and political alliance with a Vermont billionaire developer. As corporations know very well, the best way to maximize appeal and exposure to mass markets (millions of voters are treated like millions of any other kind of customer) is to build a brand around a simple object that is injected with surface-level emotional appeal, however loosely that is tied to the rational interests of the consumer.

The most devious and disastrous aspect of the individualizing nature of the election campaign is that it encourages people to outsource their political agency to a politician. It’s the politician who has to promise they’ll fix things, and the citizens come to see themselves as largely passive consumers whose only meaningful participation is choosing one political brand over another. All of the laziness entailed in merely voting is converted into a mindset that it’s the politician’s responsibility, and not ours, to fix things. Rather than expressions of the general will of the citizenry, elections are mass disavowals of political responsibility.

Since the vote itself is such a narrow form of political engagement, and it’s the quantity of votes that determines the victor of the contest, election campaigns are organized around maximizing narrow engagement. A former long-time political campaign consultant commented:

[Obama for America (OFA)] organizers would often counsel campaign volunteers to stay away from engaging in discussions about specific issues and instead focus on sharing the “story of self,” the “story of us,” and the “story of now.” This methodology is intended to engage the prospective voter at an affective level much like a 12-step group speaker or a born-again Christian sharing her story of how she found Jesus…. I am critical of the manner that OFA used [this] methodology to short-circuit a perfectly legitimate way of facilitating the raising of critical consciousness (a long-term proposition) for the short-sighted aim of mobilizing the electorate for an election-night win.

The democracy-lessness of such frothy conversation has also been studied academically, as this study found that TV ads, campaign mail, and even the gold standard of door-to-door canvassing in the context of an election campaign were found to have virtually no persuasive effect on changing people’s minds about candidates or issues. The only thing it does have an effect on is the likelihood that the person will show up at the polling station on election day. This makes the dominant interface between election campaigns and citizens into a short-term transaction to get a commitment from someone that they’ll vote, just as corporations need to get you to the cash register or the Amazon check-out page. This kind of shallow interaction with complex issues as the primary form of campaign communication displaces institutional possibilities for deeper intellectual engagement with and political organizing around issues.

The other dominant form of “action” around political campaigns is the rally. Like voting, attending political rallies doesn’t involve much active participation. Whether it’s the candidate themselves or one of their surrogates who’s speaking, attendees typically sit or stand around for an hour or two while somebody talks at them. The content of the rally is typically an embellished verbalizing of the politician’s platform decorated with the occasional jab at rival candidates. This kind of event further encourages the projection of values and hopes onto an aspiring public servant who “does stuff” while the citizen-voter doesn’t have to.

The fact that electoral campaigns happen in short bursts in between long intervals of 2-4 years means that the infrastructure formed around these political candidates is fleeting and ill-suited for creating meaningful change. Furthermore, all the other groups and communities that get sucked into electioneering see their primary concerns and activities momentarily shoved aside while getting so-and-so into City Hall or the White House is prioritized.

An example from my personal experience comes from time I spent in 2013-14 in Occupy Homes Minnesota (OHMN), an anti-eviction group that used direct action to keep banks and sheriffs from forcibly taking people’s houses. When a local socialist ran for a seat on the city council and claimed to be a part of the grassroots movement, much of the paid and unpaid leadership of OHMN diverted resources away from home defense and towards neighborhood canvassing for his election, depriving the org of much of what it needed to actually fight off the banks in a tense period when eviction rates were still high. The candidate ended up losing, but that hardly mattered as the OHMN leadership’s decision to neglect its own mission and base for a few crucial months severely weakened an already struggling group. The organization collapsed and dissolved shortly after.

 

Politicians? Baloney

Just as the market is only one part of the economy over which corporations wield power, so are election campaigns just one stage of the life-cycle of the politician where leftist forces are systematically weakened. Even when the less shitty politician does win the election, they are immediately put under the extreme constraints of trying to govern in a capitalist society and many of their campaign promises are instantly hollowed out despite a politician’s best intentions.

While far from a radical platform, Bill Clinton’s 1992 campaign literature sounds surprisingly progressive with his message of expanding many social programs, reforming the health care system and making health care a “right”, and taxing the rich. A few days before Clinton’s inauguration, his chief economic advisor Robert Rubin, a former co-chairman of the board of Goldman Sachs, and Federal Reserve head Alan Greenspan, a committed Ayn Rand acolyte, told Clinton that the budget deficit was too big and that the only way to avert a debt crisis was to slash government spending, causing him to temper some campaign promises and reverse others. In 2008 Obama campaigned on a popular message of getting people through the deepest economic recession in 80 years, but upon entering office he bailed out the banks and corporations while barely lifting a finger to save homeowners or aid the unemployed.

While we’ve come to expect such disappointment from Democrats, the same dynamic plays out repeatedly among socialist politicians in advanced capitalist countries. In France, Socialist Party President Francois Hollande won the presidency in 2012 on a message of anti-austerity reform, but upon entering office and even having a majority in parliament, turned around and cut corporate taxes and slashed social spending. Before him, France’s other most recent socialist president Francois Mitterand (1981-95) attempted to implement steep reforms early in his first term but then under pressure from international finance and a lagging economy he instituted a nation-wide wage-freeze, cut social spending, and came to symbolize the normalization of austerity within formerly left European political parties.

The Greek Socialist Party Syriza’s time in power from 2015-19 is perhaps the most famous illustration of the abject failure of left politics in the electoral arena, as it repeatedly caved to austerity demands of the European Union, gouging out social programs and privatizing many of Greece’s public assets. The social democracies of Northern Europe have been in retreat since the 1970s as social democratic parties make concessions to austerity and are increasingly losing parliament seats to centrist and even right-wing parties, turning their backs on the social movements that provided the pressure that led to their enviable social programs in the first place. While socialist politicians and political parties have never really controlled governments in the US to the extent they have occasionally in European countries, the evidence across the pond suggests that even if socialists were able to take over the US government, only disappointment would follow.

While the electoral contest tends to reward those who highlight style over substance, at bottom it’s not an issue of a politician’s individual moral integrity but rather of the way the whole electoral and political system is constructed to remove as far as possible the vote from actual governance in the form of determining and implementing policy. Despite good intentions, politicians have given socialism a bad name.

 

Political parties? Pffft

If a politician betrays their constituents, they’ll vote them out and get someone who truly represents them.

That sounds reasonable, but there are a number of reasons this is ineffective as a lever of meaningful democracy. First, with most terms of political office lasting 4 years, that’s a tremendously long time to wait and for politicians to have free reign before they’re “voted out next time”. Second, there’s no official way in the US for citizens to directly recall politicians. There are highly bureaucratic and lengthy methods for other politicians to unseat a particular politician, but they are very rarely used and almost always for scandals instead of the routine betrayal of the very campaign promises that got them elected in the first place. Lastly, politicians aren’t stand-alone agents but belong to political parties whose interests they are both beholden to and charged with safeguarding, and these political parties exert strong control especially within a rigid two-party system. More often than not, if one politician goes away there’s a “next-in-line” who’s not substantially different because the party is a moderating force. Think of Hillary Clinton and Joe Biden coming after Obama, all of whom advocate largely the same unpopular policies, such as private health insurance.

But people also choose which politicians stand for election through primaries and caucuses, ensuring democratic principles are maintained.

The further one gets away from general elections and into intra-party politics, the deeper one gets into other mechanisms for choking democracy, such gatekeeping, rules-manipulation, and back-door dealing. Sure, a few committed super-citizens can go to every caucus meeting and try to out-politic the entrenched politicking careerists, but the deck is stacked here as it is at every other level of the process. It’s a lonely path as the further you go into the machine the further you get from the actual communities you live and work in.

But this is where politics happens and so this is the necessary terrain of struggle. You have to struggle somewhere, and the deck is stacked everywhere, so why not direct our efforts at the parties that control the government?

The labyrinth backwaters of political parties are where a certain kind of politics happens, but it’s an elite kind of politics, where functionaries compete for the approval of party funders and power-brokers. Occasionally an insurgent politician can make it through the maze and get into office, but what alternative forms of politics are sacrificed in the process?

Grassroots social movements focus their politics in the workplaces, the neighborhoods, and the streets. These are the spaces and communities where people are rooted, where their relationships are organic, and where the exercise of power is most impactful. Unions, strikes, community groups, pressure campaigns, civil disobedience, these are the forms and tactics of and for the grassroots. Yes, much of this power needs to be directed at political parties and the government, but it’s more effective to do so from the outside where grassroots movements find fertile soil rather than from inside where the toxic sludge corrodes all it touches.

 

Social movements? Aww man, do we have to?

All of the good policies that have come into the world were by definition written into law by some politicians at some point, right? What was it those politicians did that we need our politicians to do today?

That’s true. But if our purpose is to answer the bigger question of how to make the world a better place and not to confine ourselves to smaller questions of which politician to praise and vote for, then we have to re-frame things. Do politicians cause social change? They’re a part of the overall vehicle of social change, but are they a major and irreplaceable part like the engine or a minor and interchangeable part like the ashtray?

The conjuring trick here is that politicians make it look like they do most of the work that leads to policy change. When a popular policy is passed they get a photo op and put pen to paper though it was actually the hard work and struggle of thousands of community activists that actually made the policy possible. Politicians are paid fine salaries and benefits, get their own offices in fancy buildings, and receive a lion’s share of the credit when something positive happens. Grassroots organizers are often acting without being paid for it, doing so in much less glamorous settings, facing much higher risks, and are mostly nameless and faceless outside of the communities they are fighting alongside. Despite appearances, whether a politician works hard or not has negligible influence on policy outcomes compared to the vibrancy of the social movement and the communities where 99.9% of the actual important work gets done.

Consider two pivotal moments that fundamentally altered social relations in the US and led to era-defining legislation on labor unions and civil rights. The labor movement didn’t acquire rights by voting for politicians to give them rights: Franklin D. Roosevelt’s presidential campaign in 1933 didn’t even mention worker rights, he supported an auto industry proposal in March 1934 that allowed company-run worker “unions”, and even refused to endorse Senator Robert Wagner’s collective bargaining legislation circulating in Congress in early 1934. Roosevelt’s labor secretary Frances Perkins said, “I’d rather get a law than organize a union” to address worker grievances and keep them from striking, preferring paternalistic government over the idea of allowing workers to have their own independent organization and power. Only after the largest sustained strike wave in US history rocked the country in mid-1934 and was threatening to go even bigger in what was already a crisis of profit of the Great Depression were major concessions granted for union rights in the National Labor Relations Act signed by Roosevelt in 1935.

It wasn’t the politicians who led the charge that resulted in the Civil Rights Act of 1964 or the Voting Rights Act of 1965, but rather a social movement of community activists in the black freedom movement. Before becoming president and signing those bills, Lyndon B. Johnson spent two decades as a reliable pro-segregationist congressman of the Southern Democratic faction and was known for using the n-word profusely. Upon entering national politics, where he’d have to appeal to a broader social base than was needed to be elected as a Texas congressman, black social movements had by then shifted the national consciousness on race to the degree that he needed to become more tolerant publicly and willing to compromise with movement demands. Even then, Johnson was constantly at odds with civil rights leaders over the timing and priorities of these pieces of legislation.

In contrast, what’s notable about the failure of European socialist politicians mentioned above in the period from the 1970s to the present is that there were not social mobilizations and uprisings comparable to earlier periods of the 1930s and 1960s. That lack of robust popular struggle independent of the state is largely responsible for the failures of European socialist politics of the last 50 years.

While it may not be uniquely the fault of socialist politicians that there weren’t ground-shaking social movements in the streets during their time in power, radical politicians have always helped foster the superstition that elections are an important and essential part of social change, thus directing away emphasis and energy from grassroots activity. Every social gain and loss can be summarized in the same broad strokes, where politicians always have played bit parts behind the lead of mass movements.

Well, you’re just describing the worst parts of elections, but not all politicians have to use that playbook. Good politicians can run campaigns in a way that uses only the good and none of the bad.

While political campaigns that look and feel like a McDonald's ad campaign are the norm, certainly some politicians have tried to break the mold to be a “different” and “good” politician. They try to focus on deep rather than shallow engagement, to center ideas about society and policy instead of surface-level emotional manipulation, to emphasize longer-term engagement and give people meaningful ways to participate beyond merely voting. But do these politicians ever succeed in living up to this ideal?

But shouldn’t we keep trying til we get it right?

That’s what a lot of people will do. But there’s an alternative. If we take the prototype of the bad electoral campaign and turn it inside-out by doing exactly the opposite of everything that’s bad about them, what we end up with is not a good political campaign but rather a grassroots social movement without the unavoidable electoral focus on elevating a single person’s ideas and character and without succumbing to the pressures placed on us by playing by the rules of pacifying state institutions.

There’s obviously a wide spectrum of opinion on how useful politicians are. Kind of like my arguments above about voting, I don’t think politicians are in themselves bad and I recognize that occasionally they can have a small effect on things. But just like many people see voting as the most important part of social change and I see it as among the least important parts of social change, so many see politicians as the most important factors of social change and I see them as among the least important factors. Despite my crankiness I’m not anti-politician in the strict sense that I think they’re bad people as individuals, I just can’t discover any historical evidence or theoretical argument to be pro-politician either.

But can’t we combine the best elements of social movements with the best elements of political campaigns and do them together?”

Certainly politicians that want to present themselves in a progressive light will try to attach themselves to social movements and will say that they are part of the movement. But if the arguments presented here have any validity, electoral campaigns have almost nothing to add to social movements because social movements are already all the good things we want and need to create social change.

Each element of an election campaign is just a worse version of that element of a social movement: Elevating the individual politician vs. community agency; the narrow engagement of the vote vs. kinds of community engagement and collective action needed to disrupt the status quo and win demands; investing resources in political ad campaigns vs. grassroots organizational infrastructure and support; etc… No matter how much a politician tries to be the exception, there are underlying institutional pressures baked into the rules of the game for electoral campaigns that are of a fundamentally opposite nature to the best practices needed to build effective grassroots movements.

Of course, left politicians are aware of anti-electoral sentiments, and so they, without fail, will claim that they’re “community-oriented”, “a servant of the people,” “in it for the right reasons”, “committed to social movements”, and so on. Or to take a famous recent campaign slogan, “Not me, us.” Good intentions aside, that’s not how elections work. Politicians get people to give them thousands or millions of dollars for staff and campaign ads about them and ask everyone to give them access to immense state power for which there are few formal mechanisms of accountability to voters.

I’m not claiming these politicians are Machiavellian but just that by trying to squeeze the rhetoric of a social movement within an electoral campaign they end up losing all the parts of a social movement that make it meaningful and then succumb to all of the authoritarian forces that make government slimy and coercive. I can recognize that not all politicians are the same, but I can also recognize that they are all seeking entry into the same political system and are subject to all the same constraints. Social movements, on the other hand, are the dominant form that democratic politics takes outside of the state and are the major determinant of the constraints within which all politicians operate.

But we need state power to allocate resources. That’s why we need to run politicians so that they can work the inside track while we work the outside track.

If politicians caused good policy, this would be sensible. But just as prominent examples were noted above of supposedly better or left politicians doing bad things in office, there are plenty of examples of politicians rightly considered bad by the left being forced into doing good things. That Republican Dwight Eisenhower’s political platform in 1956 contains striking similarities with Bernie Sanders’ in 2020 is not because Eisenhower was a radical but because the social movements that created the best of the New Deal reforms, many of which remained wildly popular, circumscribed the political boundaries that all politicians had to act within. The difference between Eisenhower winning in 1956 and Bernie losing in 2020 is far less an illustration of individual political acumen or ineptitude but of the relative power of social movements in those eras.

That Richard Nixon spent his first years as president in the late 1960s trying to pass a version of universal basic income which would have been the largest redistribution of wealth to the poorest citizens in US history is not because old Dick had a big heart, but because he was staring down the largest and most militant social movements since the 1930s and needed to pander to and compromise with more radical demands. That Nixon also created the Environmental Protection Agency via executive order and signed the act that created the Occupational Safety and Health Administration is again a tribute to the grassroots activists of the 1960s and 70s and has little to do with Nixon’s personal qualities as a politician. Once again, social movements are the dominant, short-term, and long-term cause of better policy, to which politicians are not even second fiddle but perhaps the ninth or tenth.

Even though the historical examples I draw from are mostly at the federal level, it’s merely for the convenience of using widely known reference points. Against the claim that one can have more of an effect on policy by engaging elections at the local level, all of the anti-electoral arguments made here apply equally to all levels of government because, despite differences in scale, the mechanisms and elements of elections are largely the same (voter as passive consumer, politicians as corporate brands). School boards are one of the most local levels of government and the school board members in my city almost all belong to the same party and yet routinely violate their own stated principles on issues such as school privatization and unions. When local activists and groups have mobilized and shut down meetings in protest, school board members have consistently caved to grassroots pressure and reversed their votes.

Just because I don’t think leftists should focus on elections doesn’t mean there won’t always be a constantly replenishing pool of political candidates maneuvering to be the next social movement darling. If you, like me, can’t entirely erase the notion that politicians have some effect, even if very small, there’s still no reason to invest energy in politicians. Left politicians need social movements but social movements don’t need politicians. If social movements are strong, politicians will come begging for support and will consult movements for fear of incurring their wrath. Social movements don’t have to give anything up in return for this or that politician doing what social movements demand.

In summary, social movements are not only the cause of good policy, but obedient left politicians are a side-effect of strong, independent social movements anyway. Social movements should focus on building a base and moving towards collective disruptive action, and if politicians want to tag along they can but social movements shouldn’t divert any of their precious attention away from their true object.

Social Movements? Ugh, okay fine

Many people see general critiques of politicians as valid but still maintain that sometimes there are some good politicians worth supporting. As I said above, I’m not inherently anti-politician when looking at the individual themselves. But here’s the rub: leftist forces in society have a limited amount of resources to put into efforts for social change, and so the campaigns of politicians compete directly with grassroots organizations for volunteer time and donations.

While not anti-politician at an individual level, I’m anti-giving resources to election campaigns of politicians at the social level because politicians will always be less effective at creating change than social movements. This point belies the common excuse made for electoralism as a form of harm reduction. If harm reduction is supposed to have a positive net effect by decreasing the amount of bad in the world, actual harm reduction would come from engaging social movements because only they are actually effective.

I don’t consider a vote a resource at any meaningful level because voting takes so little effort, and so I’m not against voting for politicians because you think one’s better than another. But when it comes to actual resources, every donation or afternoon committed to social movements will do more to shift the balance of power in society to create change than commitment to a political campaign can do.

But power! You’re forgetting power! If political office were so ineffectual why do politicians wield so much power?

It may seem confusing that politicians both have lots of power and are virtually useless at creating positive social change. Why is this? Despite appearing as contradictory claims, the idea that politicians are powerful and can’t create change are two sides of the same coin. Much of what gives politicians their power is precisely the passivity with which the masses interact with the state, as described above in relation to voting, election campaigns, and political parties. Rather, those parts of society that do have influence on the state, such as the wealthy and other elites, maintain that influence because of all the active ways they engage with the state formally and informally. Such active elite practices include more above-ground methods such as campaign spending, lobbying, and corporate-politician partnership organizations like the American Legislative Exchange Council, but also more below-ground mechanisms such as overlapping social and professional networks, capital strikes against government initiatives, and the revolving door between corporate and political careers.

It’s not just that the elites are “doing it right” in their active engagement with the state while masses are “doing it wrong” in their passive engagement with the state. When the masses are directed to engage politics through voting and attending a political rally, while elites get round-the-clock back-door access to politicians, we can start to see how the very structures of the state that appear natural and democratic are rather manufactured and imbalanced. The state structures discussed here are not peripheral or tangential to the functioning of the state, but rather voting, elections, and politicians are the foundational and governing institutions of the state. If those institutions are shown to be vacuous or at the very least disempowering, what are we to make of pretensions to representative democracy?

Manufactured imbalance against democracy is the state, and all attempts to use the state for positive change are constricted by this stark fact. Social democratic and socialist politicians largely accept these structures of the state and seek to use them, as undemocratic as they are, for good things. But the anti-electoralism critique advanced here suggests that it isn’t possible to create positive change using undemocratic methods. Rather the deeper kind of democracy that fuels social movements through mass participation is what really harnesses popular power for social change.

In spite of the official notion that the government is a reflection of the wants and needs of its citizens, in reality it is not a neutral tool that can be applied effectively to any task that the population or elected officials seek. A screwdriver is very bad at pounding in a nail. So while the state is a very powerful tool for elites to govern in their interest, it is a very shoddy tool for trying to create a better society that benefits everyone. With some strain even a screwdriver can pound a nail partway into a board, but the limits are real and severe. The many failures of socialist politicians recently in power in Europe are illustrative.

So how can mass-based social movements acquire influence over state resources needed for large-scale popular reforms in the short- and medium-term if the state has built into it a bias against democracy?

A useful analogy can be made between the grassroots fight against corporate abuse and the grassroots fight against government abuse. The modern-day corporation is a nakedly anti-democratic institution where shareholders give dictatorial powers to top executives to run things while employees are expected to do what they’re told. No one suggests that the left should focus on trying to seize higher-level management positions at WalMart in order to change WalMart’s policy from the inside and from the top down. Rather, unions and direct action by workers and affected communities are correctly identified as the effective way to fight corporate harm. Similarly, the fight against harms imposed by our government is better led by grassroots social movements than by trying to install in the government higher-level managers who will fix the problems from the inside and from the top down.

Do we want our movement towards social change and the content of social transformation to be based on the idea of choosing the right leader to give executive and legislative power to, who promises to fight on our behalf? Or do we want to concentrate our forces on the base, to build a movement rooted in the self-determination and collective action of whole communities? Should we be spectators or agents in the struggle for making a better world? In the words of civil rights organizer Ella Baker, “Strong people don’t need strong leaders.” That quote, especially as applied to politicians, encapsulates everything this essay is trying to articulate.

You’ve been swooning over social movements this whole time but haven’t even shown how they do all these supposedly great things.

The good news is that learning about social movements is more exciting than scrutinizing all the ins-and-outs of why voting isn’t effective. The best place to learn about what social movements are and what they’ve accomplished is by learning about their history. While I’ve used the labor movement of the 1930s and the civil rights movement of the 1960s as examples, every major beneficial historical change in the US has been accomplished through social movements in some form.

It’s true that all social movements are multidimensional and have elements within them that have tended towards political elections, but all social movements have also had strong anti-electoral tendencies as well. There’s a reason why narratives about social change in the 1930s that came about from labor struggle highlight strikes and unions and not the various left and labor political parties of the day. Similarly, while some in the Civil Rights Movement, like Bayard Rustin, wanted to reorient the struggle towards working within the Democratic Party, many in the base and the leadership were resistant. Neither Martin Luther King Jr. nor Ella Baker were opposed to electoralism in the strong sense I’m advocating, but they were at pains to keep their movement independent of political parties and instead focus on mass direct action. King held a press conference in 1967 to put down rumors and push back against the pressure he faced from his more electorally-focused friends and supporters about running for president, “I have come to think of my role as one which operates outside the realm of partisan politics.”

Rather than seeing electoralism as a necessary part of social movements, it is better seen as an extraneous factor when we recognize how social movements have actually produced change. Social movements are complex and no one has the power to design them exactly to their own liking, but we can engage with and boost those parts of social movements that we find most effective.

 

Conclusion

Have the grumps won you over? With people so polarized on this issue, I hardly aim to change anyone’s mind. But if low approval ratings of our governing institutions and low voting rates are indicative of a popular discontent with politics as usual, maybe there’s a broad audience willing to entertain ideas about why politicians aren’t hot stuff.

We’ve looked at allegedly progressive politicians passing good reforms (FDR and labor rights, LBJ and civil rights), bad politicians passing good reforms (Eisenhower maintaining New Deal social spending, Nixon implementing the EPA and OSHA), supposedly better politicians passing bad reforms (Clinton, Obama, Mitterand, Hollande), and have just glossed over the more obvious cases of bad politicians passing bad reforms (like Trump’s tax cuts for the rich). In each case closer inspection reveals that the specific person in office had a profoundly insignificant impact on the overall trajectory of positive change compared to the size and assertiveness of social movements that existed alongside them.

Rather than continuing to buy into the myth that voting “does anything”, we’d be better off trying to make a better world by getting together with others to do something. The art of social movements obviously involves more than just “doing something”, but recognizing that “doing something” is going to be what it takes is a good first step. With actual effort and a little practice, doing something as a strategy for change might actually work. Politicians pee into the wind while social movements drop anvils from the sky.

The Protracted Crisis of Capitalism

By Prabhat Patnaik

Republished from People’s Democracy.

THERE is a commonly-held view that the current crisis in capitalism, which has resulted in a massive output contraction and increase in unemployment, is because of the pandemic; and that once the pandemic gets over, things will go back to “normal”.

This view is entirely erroneous for two reasons. The first which has been often discussed in this column, has to do with the fact that even before the pandemic the world economy was slowing down. In fact ever since the financial crisis of 2008 following the collapse of the housing bubble, the real economy of the world had never fully recovered. Small recoveries were followed quickly by collapses; and the low unemployment rates in the United States that had prompted Donald Trump’s triumphalism, were to a very large extent explicable by the reduced work participation rate after 2008. In fact if we assume the same work participation rate in 2020(just before the pandemic), as had prevailed on the eve of the financial crisis, then the unemployment rate in the U.S. was as high as 8 per cent as compared to the less than 4 per cent mentioned in official figures.

This slowing down in turn has been a result of the operation of neoliberal capitalism which has massively increased the share of economic surplus in output, both within countries and also at the world level, by keeping the vector of real wage-rates unchanged, even as the vector of labour productivities has increased; and this increase in the share of surplus, or this shift from wages to surplus, has lowered the level of aggregate demand for consumption goods, and hence of overall aggregate demand, as workers spend more on consumption out of a unit of income than the surplus earners.

The pandemic has occurred in this context, so that even after it gets over, the world will still be stuck with the crisis of over-production which had already engulfed it well before the pandemic. To get out of this crisis it is necessary to use State expenditure, provided such expenditure is financed by either taxes on capitalists or by a fiscal deficit ; State expenditure financed by taxes on workers will not help, since workers consume the bulk of their incomes anyway, so that State demand only substitutes workers’ demand without adding to aggregate demand.

But neither fiscal deficits nor taxes on capitalists are liked by finance capital, so that State expenditure as an anti-crisis measure is ruled out. This means that, even after the pandemic is over,not only will the crisis continue, but it will do so without any counteracting measures, at least as long as neoliberal capitalism lasts. This crisis therefore marks a dead-end for neoliberal capitalism.

There is however a second reason why even after the pandemic gets over, capitalism will still remain engulfed in a crisis; and this has to do with the fact that even if the demand for consumer goods recovers to the level where it had been before the pandemic, investment goods production will still remain below what it had been, and this very fact will also ensure that even the consumer good output does not get back to the level where it had been before the pandemic. This is what happens when an economy receives a major shock, of the kind that the pandemic represents for the world economy.

An example will make the point clear. Suppose before the pandemic the economy was growing at 2 per cent per annum. Then capitalists, anticipating a 2 per cent rate of growth, would have been adding to their capital stock also at 2 per cent. If the capital stock was 500, output was 100, then investment would have been 10, and consumption would have been 90. Let the share of post-tax profits and post-tax wage-bill in total private post-tax incomes be 50:50; and let all wages and 75 per cent of profits be consumed. If government consumption (assuming a balanced budget for simplicity) happens to be 20, then this 90 of consumption would have been divided as 20 by government, 30 by capitalists and 40 by workers.

Now, suppose, for argument’s sake, that after the pandemic, consumption recovers to 90. All of it can be produced by the existing capital stock requiring no additional investment. Moreover, there is no reason why the capitalists should expect output to grow at 2 per cent next year; so they would not add 10 to capital stock as they had done before the pandemic. Let us assume that they add only 5 to capital stock, and wait to see what happens before deciding to add any further to capital stock.

Two things will happen in such a case. First, in the capital goods sector, output will be only half of what it had been before the pandemic; likewise capacity utilisation in the capital goods sector will be only half of what it had been before the pandemic. Second, even the consumption demand of 90 cannot be sustained. Assuming the same ratios as above, an investment of 5, which must equal private savings, will generate a total consumption demand of only 55 (given by 20 of government+15 of capitalists out of total post-tax profits of 20 + 20 of workers). Total output will be only 60, equalling consumption of 55 and investment of 5.

The 90 of consumption therefore, which we assumed the world economy to reach, for argument’s sake, will not even materialise. The consumption goods sector’s capacity utilisation will be 61 per cent of what it had been before the pandemic (55 divided by 90). This will be higher than the ratio of capacity utilisation in the investment goods sector compared to what it had been before the pandemic (in fact it will now be only 50 per cent of what it had been earlier).

Any severe external shock to the capitalist system has this effect, namely that investment recovers only after a long time; and precisely for that reason even the recovery of consumption, though less delayed than the recovery of investment, also takes a fairly long time.

In other words, even if there had been no crisis of over-production engulfing world capitalism before the pandemic, the sheer external shock represented by the pandemic would have kept the system mired in crisis for quite a long time. The existence of an over-production crisis predating the pandemic only makes matters worse.

This is exactly what had happened in the U.S. in the recovery from the Great Depression of the 1930s. The consumption goods sector had recovered relatively faster than the investment goods sector, as a result of Roosevelt’s New Deal which had enlarged government spending. The recovery of the investment goods sector occurred only when there was an increase in armament expenditure in preparation for the war, which is why it is said that the recovery from the Great Depression was made possible by the war.

But the New Deal had meant larger government spending which is why at least the consumption goods sector had recovered somewhat, even before the war. Globalised finance capital today does not even allow larger government spending within any economy, either by taxing capitalists or by enlarging the fiscal deficit, the only two ways that such spending can increase aggregate demand. Therefore even the depression in the consumption goods sector will last much longer that in the 1930s, so that, altogether, world capitalism will remain sunk in a protracted crisis for a very long time.

In an economy like India where the government obeys the dictates of finance capital quite slavishly, the prospects of recovery are even bleaker. None of the measures adopted by the government to revive the economy addresses the issue of demand, because the government does not understand that the crisis is because of insufficient aggregate demand. In fact, the government measures are such that they will only aggravate the deficiency of aggregate demand, thereby worsening the crisis rather than alleviating it. As the crisis gets aggravated, however, the government will resort even more strongly to repression against the working people, and intensify even further its communal agenda.

Gold and Oil: A Tale of Two Commodities

By Contention News

Enjoy this special edition of Contention News — a new dissident business news publication — with analysis exclusive to Hampton Institute. You can read more and subscribe here

Gold broke $1,930 an ounce this week, its highest level ever. This follows weeks of record inflows to gold-related exchange traded funds (ETFs), and comes alongside silver’s biggest weekly gain in four decades.

Oil also advanced last week, but prices remain depressed -- the fracking industry now faces “extinction.”

Solving the puzzle of how metals can be gaining while the production of the most crucial commodity of our times can “peak without ever making money in the aggregate” unlocks important insights into how our global system works at its core. 

Money and the world of commodities

To repeat: money exists to circulate commodities. [1] Anything can serve as money as long as there is a stable relationship between the value of money at large and the world of commodities it circulates. The best way to do this: pick a representative commodity to serve as money. [2] Metals have low carrying costs and are easily divisible, so most epochs have settled on gold or some other metal for this purpose.

Since 1973, however, the world money system has not relied upon a representative commodity. Instead it has relied upon the United States to use political and military means to keep commodity prices stable. [3] The easiest way to keep prices steady: pin them down. Prices and profits serve as the signal for action: higher commodity prices = higher input costs = squeezed margins. 

Politicians don’t have to worry about the monetary system, they just have to think about corporate earnings. 

Oil prices and economic crisis

This worked for most of the world’s commodities save one: petroleum. The oil crises of the 1970s prompted a multi-year inflation crisis and economic “stagflation.” The United States responded with the Carter Doctrine, which defined the free flow of oil in the Persian Gulf region as a matter of U.S. national interest, justifying persistent military presence in the region and strategic alliances with key oil-producing states to keep prices low.

This system broke down between 2003 and 2008, with oil prices spiking more than $120 a barrel over that period. What caused the spike? The most likely causes:

This price rise reached crisis levels in 2008 immediately prior to the Great Recession. Correlation isn’t causation, but it isn’t out of line to think that rising fuel and other commodity costs might have prompted an uptick in mortgage defaults. The same goes for investors selling off previously iron-clad securities as prices in general grew unstable. 

Fracking provides a crucial response to this kind of crisis. Not profitable under normal conditions, rising prices draw investment into the sector, bringing on new supply, driving prices down again. Companies borrow big to get started and go bust quickly, but executives get their golden parachutes, creditors get their settlements, attorneys make killer fees, and large firms gobble up all the abandoned assets. Only oil workers, royalty owners, and taxpayers lose.

Gold’s moment today 

Now a new crisis from outside the energy sector has destroyed demand and plummeted prices. [5] Central bank “money printing” in response should be inflationary, and thus the rise in gold prices, according to conventional economic wisdom.

Except that conventional wisdom is actually backwards. The money supply does not determine prices, commodity production determines how much money you need. If production goes up or production costs get bid upwards, [6] you need more money. Money gets pulled out of savings, banks increase lending, and the supply and velocity of money goes up.

Simply pouring more money into a depressed market, on the other hand, drives that cash into savings. This oversupplies money markets, driving down interest rates. As real rates — interest minus expected inflation — dip into negative territory, gold’s zero yield becomes a better bet than anything else. That’s how you end up with low oil prices, a collapsing fracking industry, and rising gold values. 

But now U.S. political failure is putting the whole dollar system into question over and on top of this. The result: investment flowing out of the dollar and into the yuan and the Euro. Without a clear alternative to the dollar as “world money,” gold is even more attractive as an asset. If rising demand in countries outside the United States drives up oil costs, price instability could make it even better. 

The puzzle still has pieces that have yet to be placed, but the image is clear: a fragile system is coming to an end, and when it falls who has the gold will rule. 

For more anti-imperialist business analysis, subscribe to Contention

Notes

[1] Much of the analysis here is inspired by collective study of The Value of Money by Prabhat Patnaik

[2] Any advances in the productive forces at large will shift the marginal value of all commodities, the money commodity included. Industrialization, for example, allowed the same amount of labor-power to produce a larger quantity of commodities, lowering the marginal value of each. Industrialization did the same for gold production, shifting its relative value to the world of commodities in the same way.

[3] The recent right-wing coup in Bolivia represents an example of this strategy. The United States could not tolerate an independent government controlling a significant supply of lithium. Even if Tesla buys its lithium in Australia, the prospect of an anti-colonial government controlling enough supply to boost prices — especially in alliance with China — not only impacts the automotive industry, it actually poses a risk for the whole monetary system. 

[4] Another way of putting this: the falling rate of profit produced rampant financialization which collided with class struggle against imperialist occupation and Western hegemony to destabilize commodity exchange on a fundamental level. 

[5] The crisis is internal to capitalism, not exogenous, the result of rampant deforestation and imperialist supply chains. See Rob Wallace et al. “COVID-19 and the Circuits of Capital.”

[6] Bid upwards by class struggle — workers fighting for higher wages, peasants demanding fairer prices for their outputs, colonized countries taking charge of their resources, etc.

The Money Has Always Been There: Coronavirus Response Reveals Capital’s Lies

By Olivia Wood

Republished from Left Voice.

In the past weeks, companies and governments alike have begrudgingly been forced to provide minimal relief to workers suffering under the coronavirus pandemic. Inboxes are filled with emails from dozens of corporations about the steps they are taking to “protect” their employees and the public; these emails are nothing but damage control in the face of public demands. 

Corporations and governments of all sizes are realizing that under such extreme conditions, they cannot hide the disastrous consequences of their actions like they once could. The need to “flatten the curve” is of course vital to protecting everyone’s health, but the capitalists are only struggling to flatten the curve of suffering under their own hegemony in order to keep people from connecting the dots. The old arguments — blaming the working class for their own financial irresponsibility or lack of work ethic — don’t work as well when entire sectors are getting shut down. 

Already, we are seeing rapid changes in political consciousness across sectors. Many people now support measures — like free healthcare, guaranteed paid leave, and universal basic income — that they considered “too radical” only a few weeks ago. They are realizing that all people deserve more. And now they are demanding it. 

Just in the last few weeks, airlines have been repeatedly revising their refund policies. Employers have been allowing more and more people to work from home. Health care providers are beginning to offer telehealth, and insurance companies are starting to provide coverage for telehealth where they didn’t before. These changes didn’t come from the goodness of their hearts. They came in response to a rapid loss in profits, fear of public backlash, and mass public outcry, both through piles of individual complaints and mass organized actions. 

Many workplace protections that we are accustomed to today — such as the 8-hour workday, minimum wage laws, and unemployment and disability benefits —  as inadequate as they are, were won in the 1930s when mass movements and organized labor put pressure on the capitalist class. By offering small, affordable concessions now, subsidized by government bailouts, companies hope to appease the newly agitated workforce and foreclose the possibility of even stronger organized revolt. 

These concessions are not enough to prevent the serious physical, emotional, and financial harms that people around the country (and the world) are facing, but they do reveal just how many policies that were previously called “not feasible” or “too expensive” could have been rapidly implemented in our workplaces and in our lives all along. 

This partial list of concessions demonstrates that while there are no lasting solutions under capitalism, working people can still win valuable gains that improve their lives and strengthen their ability to fight for even more. 

Many of these items are courtesy of @frnsys‘s compendium of concessions that they shared on Twitter.

Workplace Benefits

  • Some companies, such as REI, are continuing to pay their workers while stores are closed. At the same time, Congress has refused to provide paid sick leave for most employees, and other companies like Ann Taylor and American Eagle have failed to provide the paid leave they promised.

  • Many schools and workplaces are now allowing students/workers to connect from home, even in cases where teleworking accommodations were previously denied to disabled students and workers because these accommodations were not considered “reasonable” under the ADA.

Economic Interventions

  • Interest and payments on federally-subsidized student loans have been suspended.

  • Some U.S. citizens — excluding gig workers, many college students, sex workers, and others– will receive a one-time check of $1,200, adjusted based on number of children

  • The U.S. federal government is now subsidizing state-run unemployment insurance by $600 per week per person.

Shelter and Public Health Protections

  • California is commandeering hotels to house the homeless and create extra space for COVID patients, as well as sending 450 trailers around the state to provide additional shelter. Notably, this is not the case in places like Las Vegas, where homeless people are in a “socially distanced” parking lot.

  • Several municipalities have suspended evictions.

  • Many health insurance companies are now providing coverage for digital medical care (telehealth) and teletherapy, regardless of the person’s previous coverage plan

Law and Order

  • A county jail in Ohio released hundreds of inmates, although the terms of their release vary 

  • The Portland police department is no longer responding to calls unless lives are in danger.

  • Bexar County, Texas is officially suspending arrests for all minor offenses, and many other locales are informally changing their responses

  • TSA has created an exception to rules regarding the amount of liquids that can be taken in a carryon bag to allow for large bottles of hand sanitizer. (Of course, this was already an arbitrary rule)

Services and Utilities

  • Comcast and T-Mobile are lifting all internet data caps for 60 days

  • Several municipalities have suspended utility shut-offs, and Detroit turned the water back on for families who had previously had their water service cut off.

  • Cities like New York and San Francisco are implementing government-sponsored childcare

  • Some internet service providers are providing free internet service for children who are now attending school from home. 

These concessions are not enough — not even close. We need to have universal paid leave, a quarantine wage, a layoff freeze, and the cancellation of rent and debt. These concessions are nothing but crumbs being thrown by the bourgeoisie in the hopes that it will be enough to quell our rage. However, these concessions do reveal that all of these reforms that governments and business leaders have for so long insisted are impossible to implement are, in fact, things that they always had the power to do. The money has always been there. 

More than 10 million people have filed new claims for unemployment benefits in the last two weeks alone. The crisis is only going to get worse, and we need massive changes now. The way that the necessary concessions will be won is not by sitting idly by and hoping that the capitalists will take mercy on us. As the price gouging around food and medical equipment, landlords’ insistence on continuing to collect rent, and the many employers forcing workers to labor in unsafe conditions demonstrate, capitalist pity is hard to come by in the face of profits. We need to have widespread collective action to win the things we need to survive the coronavirus crisis. We should look to the powerful examples of workers at Amazon, Whole Foods, and General Electric who, this week, walked off the job, went on strike, or staged protests in their workplace to gain safer working conditions or, in the case of GE, switch over production from airplane parts to the much-needed ventilators. 

It is important, as the crisis continues and worsens, to draw certain conclusions about what is happening and why. The concessions listed above are protections that could have always been in place, the bailout bill shows that there is always money, and the increased safety measures show that businesses always had the ability to improve conditions. These things didn’t happen before because they didn’t want to do them. They are giving us crumbs now because they are afraid; they are afraid of us. They know that we have the power to shut down production, to attack capital, and to take power for ourselves. They are hoping that if they give us some crumbs now, then we will forget and forgive them. But we won’t, and we can’t. These concessions should only add to our anger, because now we know, without a doubt, that they could have done this the whole time and chose not to. The money has always been there.

Time, Money, and Lives: The Simple Math of Viral Mass Murder

By J.E. Karla

The masses make history, and the mass pushback against a premature end for social distancing efforts has compelled Donald Trump and his allies to relent. Yet for a brief, shining moment markets soared at the mere suggestion of an early end to anti-virus hygiene measures. For the most reactionary leaders -- those like Brazilian President Jair Bolsonaro -- the tradeoff of lives for money is ongoing.

How does this calculation work? To understand, just look at the famous chart going around to demonstrate the need to “flatten the curve” of virus cases.

Flattening-the-curve-of-COVID-19.jpg

There are three significant numbers represented by this image: the area under each curve, the threshold extending from the y-axis (number of cases), and the x-axis (time). They are each most significant to a different audience.

The public at large cares most about the areas under the curves: how many people are going to get this disease? Am I going to get it, or will someone I care about get it? The bigger the area, the more likely you are to be touched by the virus. Related to this, of course, is a number not represented in the graph: how many will die from it. 

The second number -- the threshold -- is relevant to that question, and most significant to public officials and health professionals. This is the number of cases that the health care system can safely handle at any one time. The area bounded by it and the top of the curve has a dramatically higher mortality rate than the area below it.

The third number is most relevant to the capitalist class -- how long the plague lasts. Capital is bound up with time, as it represents surplus production, the amount of time the capitalists can make workers produce beyond the point at which our labor power has been paid for. The longer the shutdowns last, the less capital is generated. Furthermore, capital not invested in the persistent circulation of goods and labor is not capital at all -- a pause in production poses an existential threat to the system as a whole.

So there is a contradiction at hand between earnest policymakers and the capitalist class. Public health experts and the officials listening to them are desperate to keep the curve as low as possible. This means saving lives (the priority of the public at large) at the expense of a longer duration for the crisis; social distancing reduces the reproduction rate of the virus until it runs out of steam. Capitalists are just as desperate to shorten the duration by simply exhausting the supply of uninfected people as quickly as possible, even if it means many more deaths -- perhaps into the millions.

For them there is really no downside. A disproportionate number of those who die will be old or poor, meaning that a mass die off would likely entail an increase in productivity and a reduction in social support costs. Any bottom line impacts will get covered by a bailout of one sort or another.

The capitalists also own the media so they can control the narrative -- “this is not a time for politics, it’s a time for charity” -- and they have very conveniently placed a hated buffoon as the figurehead of the enterprise so they can blame him and pretend they never liked the idea all along if they need to. They’ll swap him out for another stooge that will kill for them when the time comes, granting symbolic catharsis to outraged liberals happy to see their 401(k)s back in the black.

Worst-case scenario, they can push towards a new world war with China and hide their culpability under a blanket of jingoism. They’ve already begun that play, and it’s worked many times before.

Only a mass revolt would upend their calculations, and history has shown that at crucial moments they have underestimated that risk. This has a strong possibility of being one of those times, but they prepared for this long ago, using a combination of state violence and philanthropic assimilation to suppress and NGO-ify popular movements. The best-case scenario: near-spontaneous and ad hoc mass formations like the Occupy movement. Look for bourgeois openness to social distancing to reawaken at that time.

Until then let’s be as calculating as the enemy. Let’s maximize our creativity and flexibility. Let’s match their disregard with compassion, and their chauvinism with a global perspective. Let’s trust the masses as much as they fear them. Most of all let’s realize that we actually share one thing with them, namely the thing we lack the most: time.