Tuesday, July 1, 2008
Capitalism: no deal (2008)
Monday, June 30, 2008
Editorial: The return of bleak times (2008)
Last month both the Chancellor of the Exchequer and the Governor of the Bank of England announced, as they tucked into a slap-up meal at the Mansion House in the City of London, that austerity was returning.
First off was Mervyn King. He warned that real take-home pay would not keep up with rising prices. "It will not be an easy time,“ he said, “and I know that some families will find it particularly difficult.” Alistair Darling made it quite clear that the government was going to help ensure this, declaring that "continued restraint on pay is required from both the public and private sector”.
It’s the same old story. Profits are being squeezed by rises in the price of oil and raw materials and the government is trying to protect them by squeezing wages. This, at a time when wages are themselves being squeezed by rising food prices and gas and electricity bills.
This was not what Gordon Brown promised when he was Chancellor. “My Budget choice is to lock in stability and never put it at risk”. he said when introducing the 2005 budget, “at all times putting Britain’s hard working families first.”
In that same speech he proudly proclaimed that his policies had conquered the stop-go, boom-slump cycle. “Britain”, he said, “is today experiencing the longest period of sustained economic growth since records began in the year seventeen hundred and one.” He wasn’t worried then about rising oil prices. The British economy could take it:
“In any other period an oil price rise of over 100 per cent and rises in industrial materials and metals of around 50 per cent would have led to a surge of British inflation. But inflation - which went as high as 20 per cent in the 1980s and 10 per cent in the early 90s - has, every year in the last eight years, been 3 per cent or less - the least volatile and most stable of all the major industrialised economies.”Even in his last budget speech as Chancellor in 2007 he was still under the illusion that he had banished the business cycle, proclaiming “that after 10 years of sustained growth, Britain's growth will continue into its 59th quarter – the forecast end of the cycle – and then into its 60th and 61st quarter and beyond”.
He got out just in time. He had been lucky: the up phase of the business cycle in the British economy had happened to coincide with his period as Chancellor.
As socialists who know how capitalism works – how it can’t be controlled by governments and how it can never been made to work in the interest of wage and salary workers – we knew that sooner or later Gordon Brown would have to eat his words. And now he has to.
Now the crunch has come it is not “Britain’s hard working families” that are being put first, but profits. As it has to be, and always will be, under capitalism.
'My Militant Tendency'

From the Inveresk Street Ingrate blog.
This blog doesn't usually do poetry - see Cactus Mouth Informer for a poetry overdose - but I got a message via MySpace from an Irish poet, Kevin Higgins, advertising his latest collection, 'Time Gentlemen, Please', and I like what I've read of his poetry so far.
I'm guessing that Kevin contacted the unofficial Socialist Standard MySpace page because he spotted the 'S' word.
As he writes:
"Several of the poems deal with my own past experience as a member of Militant from 1982-94 and throw some critical and satirical light of the Left as it was and has become – the title of one of the poems being My Militant Tendency - while others attempt to deal with the political situation now."
If this interview from the Galway Advertiser is anything to go by, it appears that he has travelled quite a distance from his political past:
“From the age of 15 to 27 I was an active Trotskyist,” he says. “I was the leader of the anti-poll tax campaign in the London Borough of Enfield when I lived there. From the age of 27 until, say, 38, a couple of years ago I thought it was a pity socialism was clearly now not going to happen. I was in a kind of mourning, I suppose. But now I think that, for all its faults, the society we have is far preferable to anything the ‘comrades’ would bring, were they, Lord protect us, ever to stumble into power.”
I'm not using this an opportunity to have a dig at the Millies. It's his take on his former comrades, and obviously plays some (small) part in the poetry he now writes and, to be honest, it's not the first time that I've read (or heard) a former Millie voice their concerns in such terms. I don't think it's a peculiarity of that version of the Fourth International. I'd venture that it's part and parcel of the whole Leninist tradition and, anyway, any politics which mistakenly roots itself in substitutionism should always carry a health warning.
And I'm also self-aware enough to see I wee bit of my youthful self in this poem:
My Militant Tendency
It's nineteen eighty two and I know everything.
Hippies are people who always end up asking
Charles Manson to sing them another song.
I'd rather be off putting some fascist through
a glass door arseways, but being fifteen,
have to mow the lawn first. Last year,
Liverpool meant football; now
it's the Petrograd of the British Revolution.
Instead of masturbation, I find socialism.
While others dream of businessmen bleeding
in basements; I promise to abolish double-chemistry class
the minute I become Commissar. In all of this
there is usually a leather jacket involved. I tell
cousin Walter and his lovely new wife, Elizabeth,
to put their aspirations in their underpants
and smoke them; watch
my dad's life become a play:
Sit Down In Anger.
More of Kevin's poetry can be viewed here. Details on the newly published collection and a background bio on its author can be viewed here.
Saturday, June 28, 2008
Peace sells but who's buying? (2008)
From the Socialism Or Your Money Back blog
They are Islamic Fundamentalists, not big on democracy, have WMDs and are getting more. Another war on the cards then? No - it's called buisness and the people in question are Britain's staunch allies: the House of Saud.
"A controversial deal with Saudi Arabia catapulted Britain to the top of the world arms export league last year, as UK firms won a record £10bn in orders from overseas, official figures show.From hereThe figure amounts to a third of all worldwide export orders for military equipment, ministers and arms companies reported. An essentially political, government-to-government contract - the sale of 72 Eurofighter/Typhoon aircraft, for £4.4bn, to the Saudis - accounted for Britain's number one position, the figures make clear.
The Ministry of Defence says the terms of the contract - called Salam, Arabic for peace - and the total expenditure involved are confidential. But officials make it clear that when upkeep, spares and training were included, the deal could amount to £20bn spread over many years. The figures last year were also boosted by orders placed by Oman and Trinidad and Tobago for patrol boats.
The companies involved - chiefly BAE Systems and the VT Group - were praised by the trade minister, Digby Jones.
"As demonstrated by this outstanding export performance, the UK has a first-class defence industry, with some of the world's most technologically sophisticated companies," he said.
A trade minister praising sophisticated killing machines and a contract called "Peace"...? Orwell, anyone?
Graham C Taylor
Thursday, June 26, 2008
Material World: Evo Morales: A Call for Socialism? (2008)
On 21 April, 2008, President Evo Morales of Bolivia delivered the opening address to the Seventh Session of the U.N. Permanent Forum on Indigenous Issues in New York. His speech included the following passage:
“If we want to save the planet earth, to save life and humanity, we have a duty to put an end to the capitalist system. Unless we put an end to the capitalist system, it is impossible to imagine that there will be equality and justice on this planet earth. This is why I believe that it is important to put an end to the exploitation of human beings and to the pillage of natural resources, to put an end to destructive wars for markets and raw materials, to the plundering of energy, particularly fossil fuels, to the excessive consumption of goods and to the accumulation of waste. The capitalist system only allows us to heap up waste. I would like to propose that the trillions of money earmarked for war should be channelled to make good the damage to the environment, to make reparations to the earth.”Despite the striking anti-capitalist content of most of this passage, the last sentence reveals that Morales does not have a clear conception of the socialist alternative. He still thinks in terms of the money system.
The accurate way of posing the problem focuses not on the waste of money but on the waste of real resources of all kinds – the waste of nature and its bounty, of human life and labour, of knowledge and its potential. True, money represents or symbolizes some – far from all -- of these real resources, but in a very inadequate and distorted manner. To substitute the symbol for the reality is a mystification.
Nevertheless, I would like to argue that Morales is a good deal closer to a true understanding of socialism than most of the so-called “left” in Latin America or elsewhere. The very fact that he is addressing a world forum about the future of the species and the planet suggests that he is seeking an alternative at the global rather than national level. Although nationalization forms part of his domestic policy (the oil and gas industry in Bolivia was nationalized in 2006), he does not equate nationalization with socialism.
The model of the ayllu
In a number of interviews Morales has been asked what he and his movement – the Movement for Socialism (MAS) – understand by socialism. Thus, Heinz Dieterich of Monthly Review (July 2006) asks him what country the socioeconomic model of the MAS most closely resembles. Brazil? Cuba? Venezuela? Morales does not like the way the question is put. (“[Socialism] is something much deeper. … It is to live in community and equality.”) He talks instead about the traditional peasant commune or ayllu of the indigenous peoples of the Andes, based on communal landholding and “respect for Mother Earth.” He himself grew up in an ayllu of the Aymara people in Oruro Province; in some parts of Bolivia such communities still exist.
In another interview, to journalists from Spiegel, Morales says: “There was no private property in the past. Everything was communal property. In the Indian community where I was born, everything belonged to the community. This way of life is more equitable.” As the World Socialist Review, published by our companion party in the United States, comments: “This is more than just a variation on the leftist copout that socialism is a goal for the distant future; it is, on some level, an acceptance of it as a real alternative to capitalism” (See here.)
Rejecting vanguardism
Another indication that Morales is closer than most of the “left” to a genuine understanding of socialism is his opposition to the Bolshevik idea of the “vanguard party.” The MAS, he tells Dieterich, “was not created by political ideologues or by a group of intellectuals, but by peasant congresses to solve the problems of the people.” It has always rejected the pretensions to “leadership” of Leninist groups of different varieties -- followers of Stalin, Trotsky, or Mariategui (a Peruvian Bolshevik who has had great influence on the left in Latin America).
Of course, Morales is not only a thinker with more or less clear ideas about capitalism and socialism. He is also head of the government of an underdeveloped country that has to operate within the parameters of a capitalist world. As such he is no position to realize his more far reaching aspirations. At most, he has been able – like Hugo Chavez in Venezuela – to divert some of the proceeds from the sale of oil and gas to making some improvement to the life of the impoverished indigenous communities.
The fact remains that an internationally known figure has stood up at the United Nations and called upon the world community to bring the capitalist system to an end. Morales’ concept of socialism may be less clear than we would like, but it does at least bear some relation to the real thing. Viewed from the time when the UN and its specialized agencies are converted into the planning and coordinating centre of world socialism, this will, perhaps, be regarded as a milestone in its history.
Wednesday, June 25, 2008
Weekly Bulletin of The Socialist Party of Great Britain (52)
Dear Friends,
Welcome to the 52nd of our weekly bulletins to keep you informed of changes at Socialist Party of Great Britain @ MySpace.
We now have 1265 friends!
Recent blogs:
Anglo-Marxism Questions Answered - and Asked The museum piece
Top quote for our 1st anniversary:
"The Communists disdain to conceal their views and aims. They openly declare that their ends can be attained only by the forcible overthrow of all existing social conditions. Let the ruling classes tremble at a Communistic revolution. The proletarians have nothing to lose but their chains. They have a world to win. Working Men of All Countries, Unite!" Karl Marx and Frederick Engels, The Communist Manifesto, 1848.
Continuing luck with your MySpace adventures!
Robert and Piers
Sunday, June 22, 2008
Power and Privilege
From the Marx and Coca Cola blog

And this man wants to be president. From MSNBC :
Senators John McCain and Barack Obama released their Senate financial disclosure statements on Friday, revealing that Mr. McCain and his wife had at least $225,000 in credit card debt...The bulk of the McCains’ obligations stemmed from a pair of American Express credit cards that are held in Cindy McCain’s name. According to the disclosure reports, which present information on debts in a range rather than providing a precise figure, Mrs. McCain owed $100,000 to $250,000 on each card.
Unlike the millions of Americans who can't afford to pay their bills, because wages haven't risen in years, and are using their credit cards just to get by, Cindy McCain's:
filing, however, indicated that she had substantial holdings in property and stocks — including shares in Anheuser-Busch, which this week became the target of a takeover bid that is expected to send its value climbing. Her land holdings included parcels in Arizona and California, one of which was sold last year for a profit of more than $1 million.
In other filings, the McCains have reported total household assets of $24.6 million to $39.5 million. In recently releasing a summary version of her 2006 tax return, Mrs. McCain reported income that year of more than $6 million, some $300,000 of which was derived from her salary as the chairwoman of Hensley, which was founded by her father.
But here's the punchline courtesy of Huffington Post:
In fact, according to a prior disclosure form filed in May that was provided to The Huffington Post, a significant amount of the McCains' credit card debt is being held by American Express at an interest rate of zero percent.
I'm sure that has nothing to do with the fact he's a US senator. Mavericks don't need to pay their bills.
Wednesday, June 18, 2008
Weekly Bulletin of The Socialist Party of Great Britain (51)
Dear Friends,
Welcome to the 51st of our weekly bulletins to keep you informed of changes at Socialist Party of Great Britain @ MySpace.
We now have 1262 friends!
Recent blogs:
Wage-labour versus capital The London bombings: recruiting killers Friday Pep Talk!
This week's top quote:
"And with respect to the mode in which these general principles affect the secure possession of property, so far am I from invalidating such security, that the whole gist of these papers will be found ultimately to aim at an extension in its range; and whereas it has long been known and declared that the poor have no right to the property of the rich, I wish it also to be known and declared that the rich have no right to the property of the poor." [John Ruskin, Unto This last, Essay III, 1860.]
Continuing luck with your MySpace adventures!
Robert and Piers
Sunday, June 15, 2008
The happy slave syndrome (2008)

The following is a transcript of a talk from a recent SPGB Day School.
Wednesday, June 11, 2008
Weekly Bulletin of The Socialist Party of Great Britain (50)
Dear Friends,
Welcome to the 50th of our weekly bulletins to keep you informed of changes at Socialist Party of Great Britain @ MySpace.
We now have 1261 friends!
Recent blogs:
Democracy – and ‘democracy’ The happy slave syndrome Worldcon
This week's top quote:
"Most workers believe that if only prices came down or were at least stabilised their chief troubles would be over. They should remember that while it is true that at present hundreds of thousands of workers cannot afford to buy a house on mortgage, exactly the same was true between the wars when prices of houses and prices in general and wages) were only a fraction of what they are now. For the workers capitalism means hardship whether prices are high or low or falling or rising." Edgar Hardcastle, The ABC of Inflation (1972).
Continuing luck with your MySpace adventures!
Robert and Piers
Tuesday, June 10, 2008
Relearning history (2008)
Don’t believe what you were taught in school or hear from the media about benevolent Britain. We look at some books that give the other side of the story.
Monday, June 9, 2008
Cooking the Books: The way the world can feed itself (2008)
That was the headline of an article in the Sunday Times (27 April) by their Economics Editor David Smith. The way he endorsed was allowing “large, technologically sophisticated agro companies” to take over food production from peasant farmers in Africa and elsewhere. Yes, but what will happen to the millions of dispossessed peasants this would create? How will they be able to get money to buy food? But at least he conceded that it is technically feasible to produce enough food to feed the world’s population.
It might have been expected that the recent increase in the world market price of wheat and rice and the resulting food riots in Haiti and other countries would lead to a revival of the views of the Reverend Thomas Malthus, the 18th English parson turned economist, who argued that world poverty and starvation are due to overpopulation, to not being able to produce enough food for everyone. But no. All the pundits and all the spokespersons of international capitalist institutions such as the World Bank and the UN World Food Programme (WFP) seem agreed that the problem is not that enough food cannot be produced to feed the hungry, but that the hungry cannot afford to pay for the food that has already been produced. As Peter Smerdon, Africa spokesman for the WFP put it in an interview with the London Times (8 April):
“it is not a question of availability as one saw in previous drought-induced famines. ‘People can suddenly no longer afford the food they see on store shelves because prices are beyond their reach. It is about accessibility . . .’”In fact, it seems to be generally admitted that food production could be increased and, indeed, will be increased in response to high prices.
David Smith made the same point we made here in February:
“Set-aside subsidies have been an important part of the common agricultural policy. Farmers have been paid not to produce. Last September, however, EU ministers agreed on a zero set-aside rate for 2007-8, to boost grain production by 10m tons”.Meanwhile in rice-growing Thailand:
“Fields that have lain fallow are being ploughed and planted; in wet and fertile central Thailand . . . farmers are contemplating three or even four harvests a year, beyond the usual one or two” (London Times, 28 April).This raises the question of why in a world where there is mass hunger in some parts – 1 billion in “absolute poverty” and a further 854 million who are “food insecure” (London Times 8 April) – this land wasn’t used before to produce more wheat or rice. The answer is obvious: it wasn’t profitable, the price wasn’t high enough.
The ironic thing is that this extra food production will not benefit those in “absolute poverty” since they still won’t be able to afford to buy it. And if prices fall again, as they might well do since the rise is partly due to a speculative boom amongst commodity traders, then the land will be taken out of production again. That’s the way the market works. But what a way to run the world.
There is an obvious solution: produce food directly for people to eat. But, first, the land and all the rest of the world’s resources, industrial as well as natural, will have to stop being the private property of rich individuals, multinational corporations and states and become the common heritage of all humanity. On this basis enough food could rapidly be produced to eliminate starvation immediately and, within a few years, to provide every man, woman and child on the planet with an adequate diet.
Sunday, June 8, 2008
Cooking the Books: The nature of business (2008)
Remember the scenes in January last year when hundreds flocked to Branscombe beach in Devon to scavenge for the cargo of a beached container ship? Some saw this as confirmation of the popular prejudice that it is "human nature" to grab, grab, grab. Actually, it was a manifestation of human behaviour in a society where normally everything has to be paid for when something becomes unexpectedly and temporarily available for free.
But that's not the main lesson of the incident. This April the Marine Accident Investment Branch (MAIB) of the Department for Transport published its report on what happened (See here for the report). The report didn't just deal with the technical aspects of why the hull cracked and why the ship had to be beached to avoid a serious oil spillage but looked at the wider context too.
In section 2.10 on the "Container Ship Industry", the MIAB observed:
"Without the ability to quickly ship large quantities of containers across the oceans, containerisation would be generally constrained within the continents. However, the commercial advantages of containerisation and intermodalism such as speed and quick turnarounds appear to have become the focus of the industry at the expense of the safe operation of its vessels. The industry is very schedule driven, and operators inevitably have an eye on the timetable when making key decisions".On the particular accident last January, the report went on:
"In this case, the decisions to sail: without an operational governor; sail in excess of the maximum permissible seagoing bending moments in order to allow greater flexibility for the time of departure; to operate at near maximum bending moments when underway; and to keep the ship's speed as fast as possible when pounding into heavy seas, were symptomatic of the industry's ethos to carry as much as possible as quickly as possible".This wasn't the first time the MAIB had pointed this out. The report quotes from a previous report put out in September 2007 on another accident:
"Working practices relating to the planning, loading, transportation and discharge of containers are largely unregulated and have been understandably focussed on the need to maximise efficiency and speed of operation. While key industry players will attest that safety is of paramount concern, evidence obtained during this and other MAIB investigations into container shipping accidents suggests that in reality, the safety of ships, crews and the environment is being compromised by the overriding desire to maintain established schedules or optimise port turn round times".
It is not human nature to grab, grab, grab, but it is the nature of capitalist businesses to take risks and cut corners with safety to win the battle of competition and make more profits.
Football: a capital idea (2008)

Football is now a commodity packaged and sold to make money for the clubs’ shareholders.
Sponsorship is a big money-spinner: thus we see a proliferation of company logos on team kit and perimeter fencing. ‘Lesser’ sports get away with even more crass commercialism, such as the large RBS logo painted into the centre of rugby pitches and angled directly at the camera such that it is almost constantly in view. Merchandising is an integral aspect of any football club’s everyday activities: typified by the annual introduction of new strip to keep up sales of replica shirts. Pressure to succeed becomes ever greater: at some clubs, huge sums are paid for what are seen as star players and managers (regardless of nationality), who are then discarded almost as a matter of routine after a year or less if they don’t bring instant success. As in many other areas of capitalism, the top strata of football are awash with money while there’s precious little to spare lower down, with many of the smaller clubs are living from week to week. We have the absurd situation of millionaire players bullying referees who until recently didn’t even get paid to do the job. There is regular tinkering with the laws of the game to make it a more entertaining, and thus saleable, ‘product’. Clubs are now known as brands – even some players such as Beckham. Returning to the nationality issue, the increase in foreign ‘trade’ reflects the increasingly global nature of capitalism: witness the recent proposal of the Premier League for an extra match per team each season, to be played at various venues around the world – there can be no other reason than that of generating more profit. The game is ultra-competitive: mistakes by players or referees are more and more costly; at a far lower level we have pushy parents on the touchline at school matches bullying their children to play harder and be more like the heroes they worship. So much rides on success that you have to have a winner. This is particularly ironic in football when roughly 25% of matches are drawn. The draw is increasingly unacceptable, hence the increasing number of penalty shoot-outs to replace replays. The desire to win also perversely means a fear of losing – for many decades the game has been over-defensive, with too few goals. Teams are run on almost military lines, with the players being routinely drilled like soldiers by their coaches and disciplined by referees and organising bodies. Football is now a so-called ‘middle class’ game and lower-paid fans are being priced out. To watch even a modest club play can cost three times as much as a cinema ticket.
Wednesday, June 4, 2008
Pieces Together: Big Brother is listening (2008)
BIG BROTHER IS LISTENING
“Hundreds of benefit fraudsters have been caught out by lie-detector technology. More than 370 people were identified fiddling their benefits in Lambeth, South London. As part of the pilot project, Lambeth Council staff phoned 2,000 residents and used Voice Risk Analysis, which picks up tiny changes in the voice that show a person is lying. Benefit staff then made further checks to see if claims needed investigation. A total of 638 people were investigated and 377 were caught lying and had their benefits stopped or decreased.” (London Times, 21 April)
AN EXPENSIVE TIPPLE
“While the global credit crunch has forced many consumers to rein in spending, one Beijing-based billionaire has splashed out a record $500,000 on 27 bottles of red wine, London based Antique Wine Company said on Saturday. The anonymous Chinese entrepreneur bought a mix of vintages of Romanee Conti, a Burgundy wine and considered to be among the world’s most exclusive with only 450 cases produced each year. The client bought 12 bottles of Romanee Conti 1978, two bottles of the 1961, 1966, 1996 and 2003 and single bottles of the 1981, 1990, 1992, 1995, 1999, 2001 and 2002. “It is the highest price that has ever been achieved for a single lot,” Managing Director Stephen Williams of the London-based Antique Wine Company told Reuters on Saturday. “I don’t think he has bought this as an investment -- he has bought it to drink,” he added. “The fine wine industry is completely immune from the global credit crunch.” (Yahoo News, 19 April)
HEATHROW HOMELESS
“Each night, scores of London’s homeless men and women take advantage of modern travel delays by posing as stranded passengers in order to sleep in a warm, safe place. ... Those contacted included a man sleeping under his coat, another conspicously hiding behind an open newspaper, and a woman clutching a duty free bag, who insisted she was waiting for a flight, only to whisper when police were out of earshot, “I can’t afford electricity. It’s warm here. Please let me stay.” (London Times, 21 April)
100 YEARS OF POVERTY
The columnist Richard Morrison on pensions “The old age pension is 100 years old. When Asquith introduced it in 1908, it was five shillings a week - a sum that was regarded as shamefully low by progressives in his party. But if even that paltry figure had kept pace with the growth in Britain’s GDP, the state pension should now be £161 a week. The actual figure? £90.70p. Some progress.” (London Times, 30 April)



