So They Say: The Reason Why (1977)

The So They Say Column from the October 1977 issue of the Socialist Standard

The Reason Why

A bewildered assistant is no assistant at all; the Conservatives have got one of theirs, Margot Lawrence, “flummoxed”. Judging by her contribution to the columns of the Daily Telegraph on the 30th August, this is probably no difficult achievement in any event. She became concerned to clarify the “highly emotive phrase” “production for use, not profit”, which some dastardly Socialists argue from time to time. Writing under the title “Isn’t production for profit?” she is puzzled why the Conservatives are “failing to use the strongest argument in their own book”:

That production for use is production for profit, the two are intertwined and inseparable.

Notwithstanding Margot Lawrence’s view that “almost all people do have enough money for what they really need”, we suggest that one of the reasons the rest of the Conservative Party does not argue along the lines she proposes is that such a contention could not be sustained.

Production in capitalist society is carried on because the owners of the means of production realize a profit from selling their commodities. All of these commodities are considered useful by the purchaser, whether they be the lawn-mowers used as an illustration in the article or weapons of mass destruction used in war. When production in certain fields would be unprofitable however, no owner will advance capital for such production. Vast numbers of the world’s population do not starve because food would not be “useful”, they starve because it is unprofitable to feed them.

When the Socialist says “production for use”, he is saying: abandon the form of society in which society’s needs are assessed in terms of the minority’s requirement for profit.

Problems and . . . More Problems

We give below two excerpts from newspapers which illustrate this particular point. Capitalism has an apparently uncanny ability to produce social problems. A study of the foundations on which it is based show in fact that it cannot fail to do otherwise. Although it would be naive to suggest that Socialist society will not face problems, we will be able to devote our fullest efforts towards solving them and preventing new problems from arising.

In capitalism we have surely reached a pinnacle of absurdity when the means are available to solve, for instance, the problem of starvation, but the possible avenues for tackling the first problem, through only partial application, create a “problem” of precisely the opposite nature. We are sometimes asked what Socialism will be like: we can predict now that the newspapers of Socialism will not need to carry items like these.

The Community [EECJ is being chased by an ever-increasing milk surplus. It is about to operate what is described in the jargon of Brussels as a “corresponsibility levy”, in other words a penalty against farmers for producing too much milk . . . Milk is a tiresome commodity for the EEC to handle since it is expensive to store and difficult to sell to anybody else . . . the official intervention stores are often the only outlet for it.

The Times, 5th September 77

Asia’s major hope for future development, the “green revolution”, is now failing to keep pace with the rapid growth ir. population, and this will condemn a quarter of mankind to continued poverty,, hunger, malnutrition and unemployment.

The Times, 6th September 77

First Things First

The well known Conservative bull-frog, Reginald Maudling, has been croaking on the difficulties faced by industrialists because of the governing consideration of profitability. The aforementioned Margot Lawrence would do well to note his passionate comments. Mr. Maudling, a former Chancellor of the Exchequer, had this to say in a published letter:

With the possible exception of the strike-ridden motor car industry, it seems to me clear that potential supply is far greater than existing demand. Maybe potential supply has been reduced by discouraging investment, but there is no doubt whatsoever from every bit of evidence that emerges from industry, that what is holding back supply at the moment is not capacity, but inadequate demand.

The Times, 2nd September 77

He was writing a week before Ford Motor Company’s decision to build an £180m engine plant in South Wales, but even so his comments do not seem so wide of the mark, as Ford is making it clear “that the new plant did not point to plans for a huge increase in total car production”.

The problem of “inadequate demand" seems an odd one at first glance. Can this be anything other than a campaign of stubbornness by members of the working class? Why, at the present moment the majority are forced to live in circumstances where the watchword is Cheapness; one-and-a-half million of the blighters are out of work entirely. You would think they were able to make plenty of “adequate” demands for the sake of the frustrated industrialists. “Ah, but wait a minute,” will say the latter. "They may have plenty of demands —but have they got the money to go with them?”

Miracle Man

It may not be the second coming, but it is a present-day equivalent. When the Associated Television Corporation began making their fiction-film Jesus of Nazareth, we recall Lew Grade, the group chairman and chief executive, muttering about it being made because it would be meaningful, important and so on. Some may have mistakenly imagined these comments related to the content of the film.

Zeffirelli’s majestic production of ‘Jesus of Nazareth" was first shown in this country on Palm Sunday, 3rd April 1977. It achieved immediate success both at home and abroad. In Britain, the audiences amounted to 21 million viewers; in the USA to over 91 million and in Italy 84 per cent saw the film. I have no hesitation in saying that this film, representing ATV's largest single film-production investment, will prove an asset of inestimable wealth to the company and provide a valuable annuity over the years to come.

The Times 8th September 1977

Lord Grade (as he is now called) had taken a full page advertisement to publicise ATV’s results. Although he refers to the “inestimable wealth” resulting from the film, share-holders like to have their information in more precise terms.

The results speak from themselves. The pre-tax profit figure is £11,161,000, the highest in the 22 years history of the company, and shows an increase of 81 per cent over 1976.

Thus we learn, in the words of the good book, exactly what it shall profit a man.

Tony D'Arcy