Thursday, October 4, 2018

Editorial: Why Collective Security 
Will Not Work (1938)

Editorial from the October 1938 issue of the Socialist Standard

The League of Nations, so happily described by Lenin as the “League of the Older and Fatter Bandits," invented the term “Collective Security." The idea was that all the nations, big and small, should bind themselves together to restrain—and, if necessary, attack—an aggressor nation. Then peace would be made safe at last. All so simple; and all so silly and deceptive. It is based on the falsehood that the desire for peace which normally characterises the masses of the population in all countries is also the motive which dominates the outlook of Governments and the sections of the ruling class behind the Governments. The two things are not the same. In a competitive world, where policies are dictated by capitalist groups accustomed to a never-ending, relentless struggle for profits, the temptation to use the threat of armed force as a means to greater profit is always present. Now and again the bluff over-reaches itself and war occurs. Those sections of the international capitalist class who have amassed the most profitable territories are bound to tempt the “younger and leaner bandits." Much the same thing operates in industrial disputes, where the promised eternal industrial peace between employers and employed is constantly broken by strikes and lock-outs (with this difference: that the employing class are always the top-dogs in the struggle, whereas sometimes the international bandits change places).

The League of Nations and “collective security” may look all right to the British and French capitalist victors, gorged with the plunder of the last war, but to the German, Italian and other not-so-glutted bandits “collective security" looks suspiciously like the century-old British ruling-class principle of never risking war on the Continent without first collecting a number of allies—some bought with cash, others with promises to share in the loot, others again just forced into it under the guns of the British Navy. Remember 1914-1918? The Secret Treaties? Russia to have Constantinople, Italy to have various territories, including—so they allege—Abyssinia.

What about Arabia?
The believers in “collective security" are always putting questions at our meetings asking us to consider what would happen if collective security were used against Italy, Germany or Japan. Well, there is nothing like concrete cases, so let us take Arabia. Last year (see May, 1938, “S.S.”) the British quietly annexed sparsely-populated but vast and strategically-important territories in Southern Arabia against the wishes of the Arabs and in defiance of pledges. This should have been the signal for a worldwide attack on aggressor Britain by all the rest of the League powers. Would all the Liberal-Labour-Tory-Communist believers in collective security have promptly rushed to arms to help the League ? Oh, no ! they were too busy denouncing the Japs, the Italians and the Germans.

The area annexed by Britain in Southern Arabia was about 100,000 square miles—just double the size of Czechoslovakia. If we could imagine the League of Nations taking action on the principle of “collective security" there would have been France more or less bound to back Britain because of the need for Britain's backing in Europe, and Italy and Germany interested solely with the view of grabbing some of the loot themselves. Against these four powers the little powers would have been helpless.

So much for collective security. What is more, how do they define “aggression" ?

If the British imperialist bandits want their German and Italian imitators to believe they are on the level they only need to make the trifling gesture of disgorging all the territories they won by past aggression and now hold by force of arms. India to begin with, then the African territories, and lots more to follow on. The Indians want independence. Shall the League rouse a world in arms to conquer it for them?

And before we leave the subject we, the working class, have a point of view. We are the victims of a brutal aggression, renewed day by day in the episodes of the class struggle. We want to be rid of our conquering aggressors, the capitalist class. Will the League of Capitalist Powers give us a hand in this good work ? No, we think they won’t.

Editorial: What of the Future? (1938)

Editorial from the November 1938 issue of the Socialist Standard

Socialists have always and rightly resisted the blindly optimistic reformist view which can, against all experience, hope that things will right themselves and life become progressively better without a fundamental change in the basis of human society. That means hoping that the capitalist leopard will change its spots, and we know it will not. But the people who at one time can hope for impossible benefits from a Labour Government are the same people who, at the present time, are paralysed with fear because they believe the worst about the future of the civilised world. German expansion is on the march and in their eyes it is an avalanche which will gain power and momentum until all is destroyed. They see Germany victorious and greatly increased in population and resources, but they fail to realise the basic instability of capitalism everywhere, dependent as it always is on finding markets for its abundant products. A useful corrective is to consider the position of the victors in the last war. In 1918 Britain, France, Italy and U.S.A. had won history’s greatest struggle. They had the defeated Central Powers at their mercy, and the world at their feet. Yet within a few months British troops with steel helmets and tanks were marching in Glasgow streets to overawe striking engineers. Within a year miners, railway, iron and steel workers and many others were fighting bitterly against the employing class. After a short trade boom in 1920 the sudden oncome of depression in 1921 had forced unemployment up to a level not reached again until 1932. France was faced with similar struggles, and Italy was on the verge of civil war. Internationally the Allies were at each other’s throats over the division of the spoils.

Those who run away with the idea that there is something in the German character which explains the present aggression forget that capitalism everywhere produces its would-be aggressors. Only 40 years ago Britain was devouring the Boer Republics. As recently as 15 years ago France was represented to be the bully of Europe, and the late Arthur Henderson could get up at a Labour Party Conference and speak of war with France as a reason why Britain should not disarm. The Franco-Polish treaty was not directed against Germany, but against Russia. Another year or two may see Europe in still another capitalist grouping, brought about in answer to the present preponderance of German capitalism.

True, the Dictators have perfected a technique of terrorism which makes open resistance by their own populations seemingly impossible for all time, but history shows time and time again that as discontent becomes widespread the apparently all-powerful oppressors prove vulnerable. Bismarck, after 12 years of brutal repression of Social-Democrats and Catholics, had to admit failure, and capitalism to-day even more than half a century ago cannot fail to go on producing discontent among the workers.

The duty of Socialists is, therefore, not to give up the task as hopeless, but remember that economic forces, as well as human reason, are on our side against the brutal power of the propertied class and their agents.

Editorial: Assisting Workers Abroad (1938)

Editorial from the December 1938 issue of the Socialist Standard

For a long time now working-class organisations have had a splendid tradition of helping workers in other countries in their industrial and political struggles. This has not been confined to any one country, though some workers shed their extreme isolation earlier than others. The fine way in which Continental unions rallied to give their help to British workers during the General Strike and Mines struggle of 1926 is matched by the occasions when workers in Great Britain have given money and other practical aid to their fellows abroad. One aspect of this has been the help given to refugees suffering under the dictatorships, and to Spanish workers.

Yet along with all of these activities there is a harmful side, particularly evident in Great Britain. It consists of well-intentioned but ill-informed pronouncements on any and every event in other countries, to the neglect of a proper attitude towards affairs at home or within the Empire. A case in point is the clash of nationalities in a dozen countries in Europe. Telling foreign governments what they ought to do about Jews and Czechs, Poles and Sudeten Germans, helps nobody, and gives support to the false idea that an all-round solution of the nationalities problem is practicable in a capitalist world. The clash of nationalities will never end under capitalism, because every capitalist state, when it has an object to serve, fosters the clash in order to further its own trading and imperialist ambitions. Hitler has only to point to India, Palestine, and Ireland, to convince his own working-class admirers that British workers who give expression to such views are merely acting as the tools or willing partners of British imperialism. As a German anti-Nazi told Miss Ellen Wilkinson, “the difficulty to contend with is not so much the Nazis as the belief among the [German] workers that the British and French workers are behind their governments—and particularly the British—in keeping Germany down." (Manchester Guardian, August 29th, 1938.)

In other words, the first duty of working-class organisations when they declare their abhorrence of the iniquities of foreign capitalist governments is to show clearly and unmistakably that they are opposed to their own ruling class and free from the suspicion of condoning its actions.

A more positive harm done in the international sphere is the unintentional misleading of groups of workers abroad. It is good to send resolutions of sympathy to organisations in foreign countries, but time after time the effect has been to create the impression that really decisive help could be given when this was not the case. Perhaps the most glaring instance was the impression conveyed to the Russians in 1918 and the following years, that British workers were on the verge of coming to their aid by overthrowing capitalism. Incredible as it may seem now, the Bolsheviks did literally believe that this was in large measure true.

Coming to more recent events, contact with refugees from Austria, Germany and Czechoslovakia shows that many of them feel they have been betrayed by workers in France and Britain. Receiving resolutions of sympathy and support, they translated these expressions of goodwill into concrete pledges of effective help—help which, of course, could not be given.

The fact is that there has been a great deal of misunderstanding among continental trade unionists and Social-Democrats about the power or influence of the British trade unions and Labour Party. They have thought that the latter would be able to force the British Government to give protection against the dictators. Some—in Spain, for example—have even counted on the British ruling class itself taking action on their behalf out of pure love of democracy.

All of this indicates a failure to understand the nature of capitalism—whether governed by dictators or self-styled democrats. That lack of understanding is to be found in every country, and the task of fostering an international working- class outlook and international organisation is made more difficult by ignoring it. Internationalism will only have a sure foundation to the extent to which such illusions are ruthlessly cut out. A first step is to tell foreign workers frankly that with the best will in the world the amount of practical help that can be given is strictly limited, and therefore it is necessary for them not to build great hopes on succour from abroad to make up for their own weakness.

The best help that the workers anywhere can give to their foreign comrades is to redouble their efforts to strengthen the Socialist movement in their own country and hasten the day when the workers will control social affairs.

Editorial: Claims and counter claims (1963)

Editorial from the December 1963 issue of the Socialist Standard

It is traditional that all sides put a brave face on it at election time. Only rarely does a defeated candidate admit that he has taken a beating; it is more usual that, after a bit of smart juggling with the voting returns, he claims some sort of victory, or at least a portent of a future victory.

This is what happened at the first of the by-elections to be fought since Sir Alec Douglas-Home came to power. Luton was a sore blow for the Conservatives; after all, the voters there have, by their restricted standards, done not too badly under Tory rule. The only comfort the new Prime Minister could offer over the Luton result was that his party had suffered similar defeats at by-elections in 1958 yet had won all the seats back at the next general election.

The Labour Party had the same sort of job to do over Kinross, where Douglas-Home got a vote rather better than he probably expected. The Tories said that the result marked a new chapter in their fortunes. Mr. Wilson preferred to remind us that Kinross was a safe Tory seat anyway and to claim that Luton was the more significant result. He may well turn out to be right.

All round satisfaction, then, and all round confidence that both sides are sure to win the next general election.

But one of them, of course, has to lose. The mock confidence which politicians assume when they discuss their chances of forming the next government is nothing but a smoke screen; they all believe that to concede defeat before the count has been taken will discourage their supporters and so cost them a lot of votes. So they whistle, albeit sometimes in the dark.
Thus the merry game of claim and counter-claim goes on. And for what? During the Kinross by-election, Douglas-Home gave out what the press was pleased to call his manifesto. He intended, he said, to “ . . . regulate imports of cereals and meat to produce a steadier and more stable market.” (Kinross, of course, has a lot of farmers). He will ". . . bring our industries up to date and make our railways and roads the best in the world . . .  see that higher education is open to every boy and girl in Britain who is qualified to take advantage of it . . . speed up the rate of house building, slum clearance and modernisation . . .  continue to look after pensioners and all those in need.”

All very familiar. All very much as expected. No politician dare enter the arena without a brief case full of such promises. Political battles are largely a matter of which side can offer the most attractive sounding programme without leaving themselves open to the counter-punch line that they are irresponsibly cadging for votes.

But whichever side wins the battle, the end result is to all intents and purposes the same. The needs of capitalism itself often wipe out many of the promises and those that survive and come onto the Statute Book have little, if any, effect upon the lives of the people who have been persuaded to vote for them. Capitalism grinds on, leaving the mass of its people to be exploited by a privileged few, who do very well out of the arrangement.

The key to social progress is the level of knowledge and understanding which the masses attain. When they begin to see through the promises and the posturing of their leaders, the first gleam of hope for the better life will be on the horizon. In the meantime, there is unaltering comfort for capitalism. As long as there are results like those at Luton, Kinross, Dundee and the rest capitalism will continue; whether under a Labour or Conservative government is unimportant.

Wednesday, October 3, 2018

Crisis in the Car Industry (1961)

Editorial from the August 1961 issue of the Socialist Standard

Although the car industry has managed to make some recovery from last year’s slump, its effects are still being felt. In spite of all the optimism a few months ago it is now clear that output is not going to get back to the previous high levels for some time to come. As for exports, the outlook is not bright at all and much of the manufacturers’ former confidence about prospects has evaporated.

The pre-war seasonal sales pattern, high in the spring and summer, and low in autumn and winter, seems now to have re-established itself. There may well be further difficulties later this year, therefore, as the graph turns downwards. Nor are manufacturers reassured to hear of the various dire measures which the Chancellor of the Exchequer is said to have ready once the 1961 Finance Bill has become law—an increase in the purchase tax on cars is hardly likely to improve their sales prospects.

A further worry is, of course, the Common Market. If Britain stays out it means the end of any hopes to step up sales in Europe since the ever-increasing tariff against countries outside the Market will put British prices completely out of the running. If Britain goes in, the position may hardly be any better since British cars will be open to the full blast of European competition.

Even the second-hand car market is feeling the pinch. Recent large-scale hire purchase defaulting has made the finance companies jittery. Deposits have gone up and interest rates are due to follow. The result has been that many firms have gone out of business or are on the point of doing so.

The situation is hardly different elsewhere. American car production is still bumping along the bottom, with little sign of an upturn. Output in France and Italy is down. In Germany, Volkswagen is still apparently doing well, but Borgward has run into difficulties and may be forced to go out of business altogether. The tempo everywhere has slackened off compared with the hectic scramble of 18 months ago when the U.S. market in particular was wide open to the exports of the European small car manufacturers. This is the present situation. What of the future? It is certainly going to see many bitter struggles.

Like Britain, every one of the other major national producers has large-scale expansion programmes ahead. Some firms are already far advanced with their plans and almost ready to go into production —Volkswagen in Germany, Citroen in France. Fiat in Italy. Others, such as Renault in France and Lancia in Italy, have also actually started work on their big new projects and until recently, at any rate, were pushing them ahead with all speed. Further to these. Alfa-Romeo in Italy has just begun building an important new plant near Milan and Peugeot in France has recently bought a large piece of land near Mulhouse for a further factory. No doubt all these firms are wondering, like their British counterparts, whether all this projected expansion is going to be worthwhile.

At the same time, every manufacturer without exception is working hard on the production of up to date models, constantly introducing new developments in techniques and design All of them are striving continually to discover the secrets of their competitors and to go one step further. If they do not do these things they will just be left behind in the race.

The Daily Mail recently interviewed Sir Leonard Lord, the Chairman of the British Motor Corporation. One of the things they said to him was: "You are raising capacity from 750,000 to 1,000,000 cars a year. Do you think next year you will be able to sell 18,000 cars a week”? He smiled broadly, raised both his hands, and showed two sets of crossed fingers. Which, come to think of it, is a pretty apt comment on not only the car industry—but capitalism itself.

Editorial: Effective Democratic Control (1961)

Editorial from the November 1961 issue of the Socialist Standard

Now that the last delegates have packed their bags, we may well ask what the whole palaver of the Labour and Conservative Conferences really amounted to?

They voted for and against many resolutions. The Labour Party reversed its support for unilateralism. The Conservatives surprised the pundits by heavily voting down a resolution in favour of whipping and the birch. They, all of them, passionately argued their points of view, and seemed to take themselves very seriously. But what did their votes add up to?

After their election defeat in 1959, the Labour Party debated how much say its Conference should have in deciding policy. They searched deep into their archives, digging up a lot of contradictory pronouncements on the question. At the end of it all, the Labour leadership stated bluntly that Annual Conference decisions did not necessarily commit the Parliamentary Labour Party. In effect a future Labour government would act as the needs of the day (i.e., British Capitalism) dictated. And if this meant—as in past Labour governments—breaking Conference decisions, it would be unfortunate but necessary.

Likewise with the Conservative Party (although they have never pretended that their Annual Conference should dictate policy). On the two main issues at Brighton—the Common Market and Penal Reform—there was a possibility that the Government’s policy would be defeated (as it turned out, it was upheld). The Party leaders made it clear, anyway, beforehand that they would not be deterred by any adverse decisions.

It seems reasonable enough to expect that majority decisions of political parties, as expressed at democratically convened conferences, should decide policy. But the Labour and Conservative Parties, both upholders of Capitalism, must take other considerations into account.

Capitalism can only be run in the interest of the Capitalist class. The majority of us—the working class—suffer the brunt of the system’s evils, which only Socialism will remove. Conservative and Labour Party delegates at their conferences, full with their pet reform measures, often take no account of the basic facts of Capitalism, which contradict the intention of their proposals. Inevitably, the Party leaders faced directly with the administering of Capitalism, will ignore their own followers’ wishes.

The leaders of the Labour and Conservative Parties arc concerned with the day to day running of British Capitalism. and their supporters are living in a dream world if they imagine that their grumbles and whims will radically change the direction of Government policy.

Further, it is not possible for Capitalism, with its commercial rivalries, its diplomatic intrigues, its "defence” secrets, etc., to be administered openly, for everyone to see. Socialism in contrast will be based on common ownership and democratic control. And democracy in this context will really be effective.

Editorial: The Common Market — the Real Issue (1962)

Editorial from the January 1962 issue of the Socialist Standard

The Common Market has become front-page news. Papers that could hardly spare it a thought a few short months ago now give it headlines. Special features set out to explain things in simple terms for “the man in the street.” On radio and TV it is the same. Even ITV did a series and got criticised for slanting the programme too heavily in favour of Britain going in.

There is plenty of such criticism, of course. Dire warnings of what will happen to us if Britain goes into the Common Market are matched by equally dreadful ones about our fate if she stays out.

We are told of other possible consequences. Of how the Government is thinking of going over to decimal currency—after hesitation on the part of its predecessors for close on a hundred and fifty years. And of the way Mr. Marples is apparently making preparations just in case we have eventually to drive on the right hand side of the road! How much keener can British capitalism’s representatives show themselves than that?

But, more seriously, why this sudden about-turn? Why, after resolutely refusing to have anything to do with the Common Market for years, is the British Government desperately trying to get in? Even in 1958, when the writing was pretty plainly on the wall, they still preferred to set up the rival firm EFTA (the Seven) rather than come to terms with the Six. They had the chance of joining then and turned it down.

Even a few months ago prominent Tory leaders were loudly proclaiming that they wouldn’t have anything to do with the Common Market. Now they have eaten their words and are almost knocking the door down in Brussels trying to get in. Why should this be?

The reason is quite simple. The Common Market has become a threat to the interests of British capitalism, too blatant and dangerous to be ignored any longer.

The Common Market has a population as great as that of the United States. It is now not only the biggest importer of raw materials in the world, it has also become the largest exporter of manufactured goods equalled only by the Americans. And even American capitalism is beginning to be worried about its encroachments upon what it has always regarded as its unassailable position —witness the sudden haste to liberalise its trade laws and the recent statements by prominent leaders that the United States may itself be compelled to apply for membership of the Common Market in time.

The reason, then, for British capitalism’s change of front is the one we should always seek when we wish to discover the motive for the really important activities of capitalist nations and their political spokesmen-the motive of harsh, real, cold economic interest.

Plain and inescapable is the fact that if British capitalism does not go into the Common Market, it is going to be left isolated in a world increasingly under the sway of the economic power of the Six. This isolation will become more and more pronounced as the Market’s internal tariffs fall and its duties on imported products increase. Eventually, if the avowed aims of the Common Market were to be achieved. British capitalism would be left high and dry. The Tory Government has, belatedly, woken to the danger and is now fighting a desperate last-minute battle to avert it.

This is the real meaning of the Common Market for British capitalism, and we have thought it of sufficient importance to justify this special issue of the Socialist Standard. It still will not amount to much space compared with the vast resources of the capitalist Press. But it will be sufficient for us to present a really adequate Socialist analysis of yet another aspect of capitalism.

Editorial: Mergers and Take-overs (1962)

Editorial from the February 1962 issue of the Socialist Standard

The air is thick with rumours of mergers and tales of take-over bids. The past year has seen more company amalgamations than ever before and the pace has become even hotter during recent months.

Within the space of a few weeks ICI has made overtures to Courtaulds. Mr. Gore has tried hard to take Saxone into his shoe empire, Mullard and GEC have joined up to make transistors, and there may be a technical link-up in the car industry between BMC and Rolls Royce. There have been almost daily reports of other such link-ups among firms not so well known.

The same development is going on abroad. The proposed ICI-Courtaulds link-up was a direct reaction to the recent merger of the French giant Rhone-Poulenc with another big firm Celtex which made it into one of the most powerful firms in Europe in man-made fibres. The Mullard-GEC tie-up scotched rumours that Phillips of Holland were out to take over GEC (Mullard is the British subsidiary of Phillips and presumably the new arrangement will satisfy its appetite for the time being). All over the Common Market there are amalgamations, subsidiaries being formed, pooling arrangements being made to exchange technical know-how.

It is the Common Market that has had a lot to do with quickening up this process, of course. With Britain’s application to join the Six the pressure is now hard on British industry to adapt itself more effectively to meet the challenge of European competition. British firms have been actively engaged for many months in getting footholds in Europe, setting up subsidiaries, and forming link-ups as hard as they can. Even the United States, which has been pouring money into Europe since the end of the war, has increased its activities during the past twelve months under the stimulus and threat of the Common Market.

In agriculture also the trend is towards bigger and bigger units. The day of the peasant proprietor is fast coming to an end. In Germany, France and Italy he is being deliberately eliminated. Farm holdings are being joined up into larger units, and the surplus farmers forced into the towns and industry. Even in Britain and America, where the farm population is only a fraction of the whole, the process still goes inexorably on,

The same thing is happening in the sphere of distribution. Supermarkets spread everywhere, with the bigger ones even at this early stage already beginning to swallow up their smaller brethren. We now have super supermarkets. A further recent appearance in this country has been the discount store, narrowing margins still further and squeezing the small man even harder. There may be half a dozen different names over the shoe shops in the local High Street, but if Mr. Clore’s attempted deal goes through they will all probably belong to the same firm.

Even among nations the same forces are at work The Common Market is itself the reflection in some degree of the pressures towards bigger and bigger units, the size of the new giants on the world scene—Russia, the U.S. and China.

This process of concentration is part and parcel of capitalism. Behind it lies the relentless drive for greater and still greater efficiency, and before it the all-important quest for profit. Marx saw it operating in its very earliest stages over a hundred years ago and foresaw that its effects would become more and more profound.

From the hectic pace of events today we know how right he was.

Editorial: Taxing Capital Gains (1962)

Editorial from the May 1962 issue of the Socialist Standard

Lots of speeches have been made and articles written about the "unfairness" of stock exchange and property speculators having been able to buy shares or land or buildings, hold them for a while, and sell at a profit without paying tax on it. The people who see this as “unfair” do not think it “unfair” that the wealth the workers produce should belong to someone else.

Now the short-term speculators will have to pay tax, and we are being assured that this is a small step towards making the rich less rich and the poor less poor. Of course, it will have no such effect. America, which has for years had taxation of capital gains, has seen no lessening of the concentration of wealth. On the contrary, the inequality is as great as, or even greater than, it has ever been, and in nine years the owners of five million dollars or more have multiplied from 2,113 to about 10,000.

Wealth-ownership in Britain sheds even more light on the success of the propertied class in holding on to their own, for here, in the past 100 years, there have been many promises and campaigns to reduce inequality with no result whatever.

One of the advocates of a wealth tax, Mr. Samuel Brittan, writing in the Observer (April 8th, 1962). rejected in advance the idea of a mere capital gains tax. as one that “deserves to be laughed out of court," and stated his case for something much more drastic. He based it on what he described as the “fantastically unequal distribution of wealth” in this country, and urged that there should be a regular annual tax on accumulated wealth itself, not just on the increase of it. He pointed out how easy it would be to collect such a tax because it need be levied only on the 800,000 people who own £20.000 or more and possess between them nearly half of the total personal wealth. (He also thought that the total of personal wealth and the inequality of ownership are probably even greater than the official figures show).

Each time someone like Mr. Brittan comes along to advocate a new scheme for reducing inequality he has to explain why earlier schemes failed. Mr. Brittan recalls the death duties, which in their day were supposed to do the trick, and tells us. what is indeed common knowledge, that death duties “have become a farce." He quotes one example, the Ellerman fortune, but does not tell its interesting history.

In 1933 death duties reduced the fortune from £40 million to £18 million. By 1937 it had increased to the original £40 million and it is now reported to be about £100 million!

Other nostrums for dealing with inequality have included taxation of land values (in the Liberal Programme in 1892), supertax and surtax and taxation of company profits. There was, too, the movement for a “capital levy” after the first world war, favoured by Liberals. Tories, and the Labour Party, but dropped on grounds of administrative difficulties and probable disturbing financial effects.

If it had been imposed it would merely have been a transfer of wealth among wealthy persons, not a reduction of the wealth and income of the propertied class. And nationalisation in some muddled way was supposed by the Labour Party to have the effect of lessening inequality.

After all those years and all these “cures” capitalism exhibits just the same “two nations" that the Tory Disraeli described over a century ago.

One man who saw capitalism as it really is was the banker R. H. Brand (later Lord Brand) who in 1923, in a booklet "Why I am not a Socialist" wrote: “There has always been and there will always be inequality of wealth . . .  nothing like equality can be attained without the abolition of the whole present system of wealth, ownership and production.”

As a wealthy man who prospered under capitalism his attitude was understandable. By the same token the working class should give up following futile schemes for achieving the impossible dream of an equalitarian capitalism. Their interest lies in establishing Socialism,

Editorial: Fascism and Ignorance (1962)

Editorial from the September 1962 issue of the Socialist Standard

Once again, there is a demand that the Fascists in this country should be legally banned. This demand comes most strongly from what we can loosely call the Left Wing. A legal ban was their answer to the Fascists before the last war; they are, it seems, always wanting to ban something. It is no surprise that, as soon as the Fascists come in for some unnecessary publicity, the Left turn their attention momentarily from the bomb to the Blackshirts.

It is easy to see why the Left Wing, which mistakenly regards itself as consisting of democratic socialists, is so often eager to try to ban some other organisation's ideas. They have always firmly embraced the idea of leadership, by which they mean leadership of the working class to some vaguely defined destination by some dubiously knowledgeable Left Wing politicians.

An essential of the leadership theory is the political ignorance of the unlucky people who are to be led. Leadership, in fact could not exist without blind and ignorant followers. The followers, reason the leaders, cannot be trusted to resist the temptations of race hate and totalitarianism. It is a waste of time to try to educate them. Like children who are kept away from a case of chicken-pox, the working class must be quarantined from the infection of fascist ideas.

Like any other favourite Left Wing theory, this one starts off on the wrong foot and never recovers from it. The working class do not need any more leaders to decide what ideas they may and may not come into contact with. Capitalism is full of leaders, pulling this way and that and all achieving nothing towards the solution of our problems. It is high time for the working class to wake up from their slumbers.

It is high time for them to get some knowledge of capitalism. They need to know how capitalism works. Why it breeds ugly and destructive ideas like Fascism. Why it can never solve its own problems. Why its leaders are powerless to staunch its course.

This need is as great today as ever. Racist theories, with their vicious fallacies, are as active in the world as ever. In other fields there is the same depressing story. The endless saga of the test ban negotiations drags on, with both sides making offers which are transparently insincere. The disarmament conference has dissolved again in the usual muddle and exasperation. There is an excuse for anyone who thinks that capitalism is efficient only when it is being destructive.

There are other examples of the unpleasant prospect with which capitalism faces us. Whoever climbs into leadership, and whatever ideas they may try to proscribe, will make no difference. Capitalism will keep producing the evidence of its own contradictions and inhumanities.

There is only one way of cutting through the confusion. The future of society rests in the hands of the people who make it and organise it. The working class of the world can decide whether the waste and destruction of capitalism shall continue.

At the moment ignorance is in charge and capitalism rolls on. But when the working class have woken up, when they have realised that false ideas can only be answered with knowledge, when they have decided that they do not need leaders to run their lives and their ideas for them, capitalism will stop rolling. For the working class will also have realised that Socialism is the answer to the problems of property society.

Editorial: Labour's Prospects (1962)

Editorial from the October 1962 issue of the Socialist Standard

Now that it is Conference time for the Labour Party once more, one question will occupy the minds of its members. What are their prospects of returning to power? For some of them, we hope, another question will be even more important. What will a Labour government be worth, to the working class of this country and of the world?

Mr. Gaitskell seems to think that he has an election winner in the Common Market. Judging that the government will find it difficult to put over the idea of abandoning the Commonwealth preference system to join Europe, the Labour leader is demanding that a general election be held before Great Britain commits itself either way. This attitude is justified with some blatantly jingoistic arguments. Some Labour leaders now talk of the British Commonwealth as affectionately as does Lord Beaverbrook. Gone are the days when the Labour old timers scorned the British Empire as a great exploit of capitalist imperialism.

This brings us to our second, and more important, question. Would a Labour government benefit the working class? Some pioneers of the Labour Party used to think that it stood for peace, security and prosperity. That was their dream. What is the reality?

Peace? One of the first jobs of the Attlee government was to represent the British ruling class at the Potsdam conference. Here the leaders of the victorious Allies drew afresh the frontiers of Europe, carving up Germany and dividing Berlin. We all know that these are now among capitalism’s sorest spots. If they should erupt into World War III the Labour Party will stand foursquare behind the war effort of British capitalism.

Security? It was the Attlee government, again, which condoned the A-bomb attacks upon the two Japanese cities, which started the programme to make a British H:bomb and a fleet of missiles to deliver it.

Prosperity? The sternest government restrictions on wages since the war were those imposed in the Cripps wage freeze. And when the freeze was not as successful as they had hoped, the Labour government indirectly cut wages by devaluing the pound. Since then, Labour leaders have often boasted that, because they have such strong connections with the trade union movement, they would be better able to control wages than a Conservative government would. Mr. James Callaghan, who is the Labour Party's shadow Chancellor of the Exchequer, touched on this last August when he spoke to the Yorkshire miners’ summer school. According to The Guardian of 28th August. 1962 he “. . . hinted yesterday that a Labour Government would limit the freedom of wage-fixing together with the freedom to fix prices, dividends and rents."

A future Labour government, then, would he as keen to protect the interests of the British capitalist class by holding wages in check as is the Tory government we have at present.

There are other reasons for deciding that no worker should waste his time by voting for a Labour government. The Labour Party did none of these things because they lacked knowledge, or had the wrong leaders or for any of the other excuses which are offered to explain away the melancholy records of capitalist governments. They acted as they did because they are a capitalist party, which aims for power to run British capitalism. And no party has yet succeeded in doing that to the benefit of the great majority of the people.

Workers everywhere—who are the majority-should see through the false propaganda of the Labour Party and of the other organisations which stand for capitalism. There is an alternative to them all. Socialism will bring us a world of peace and plenty That is a world worth working for, because it is a world worth living for.

Editorial: The Conflict that is Capitalism (1962)

Editorial from the December 1962 issue of the Socialist Standard

So the crisis is over—for the time being! The Soviets have climbed down over Cuba and have withdrawn their missiles from that unhappy island. Everyone is sighing with relief and no doubt President Kennedy is congratulating himself on the success of his tough line. The press generally acclaimed him as the saviour of the peace, although it has been suggested in one journal at least, that there was no real Russian intention to fight over Cuba because the U.S.S.R. was just not ready for a shooting war yet. Russia, it seems, has run away to fight again another day.

Just what day, when and where, none can say—least of all the various opposing governments themselves. It is one of the terrifying aspects of the whole ghastly business that at the most we can only guess where the next trouble spot will be, and whether that will then trigger an explosion which will blow the world sky-high. Look back over the years since 1945. Berlin, Korea, Suez, Hungary, Lebanon, Formosa—the monster of war can rear its ugly head any place at any time and this is not to mention the smaller in-between conflicts such as Indochina and Algeria.

Cuba has simmered down for a while and maybe will move out of the headlines altogether, as the major capitalist powers find their attention diverted elsewhere. Who amongst us anyway would have risked a wager even six months ago that Castro's Land would be the focal point in a crisis which edged the capitalist world perilously close to another horror?

And now there is India's fight with China. This again is in a part of the world which has only recently become big news, as Capitalist China pushes her borders outwards in pursuit of her expansionist aims. She has been squabbling for some time over certain slices of Indian border territory and negotiations have dragged wearily on, but force is the final arbiter in the clash of opposing interests, as we have pointed out on many occasions.

The Indian affair highlights perhaps the most tragic irony of all, that of poverty stricken workers literally running to join the Indian Army in defence of their masters' interests and in ignorance of their own. No need for conscription, said Mr. Nehru; his government could take its pick from millions of volunteers. But ignorance is not something peculiar to Indian or Chinese workers, or people in “backward" countries alone. It is a failing common to workers the world over, even though many of them may not join the army quite so enthusiastically as their Indian brothers.

Yet sooner or later ignorance will have to yield to the growth of Socialist knowledge and the realisation that war is not just a nasty accident but has its roots in the private property basis of modern society. It is an ever present menace so long as capitalism survives. The sordid squabbles over markets, trade routes and other considerations, give way eventually to armed conflict, but no working class interest is involved, and no social problem is solved by fighting. When each war is over, all that can be said is that countless workers have died to preserve the conditions for another holocaust later on. Someone once said that the next war really begins where the last one ends. We could not agree more.

Tuesday, October 2, 2018

Letter: Details of socialism (2007)

Letter to the Editors from the January 2007 issue of the Socialist Standard

Details of socialism

Dear Editors,

I am a 17-year old student who is a very keen proponent of the notion of socialism. I visited your web-site and thought you had very detailed and perceptive insights into what a socialist society might be like. I do not fully understand, however, some of the finer economic details in such a society, and was wondering if you could help explain:-

1) If production is solely for use rather than sale, how do industries pay for the cost of their capital. input costs etc? Perhaps I am bound by capitalist notions of value, but doesn’t the cost of what goes into running an enterprise have to be recouped at some stage?

2) How would a socialist society run without money? If firms produce simply for use, how do they pay for their costs?

3) What went wrong with the economic system of the USSR, where enterprises had to be kept afloat through state subsidies? Doesn’t this mean that these industries do not then contribute to the upkeep of other facilities such as hospitals, schools etc.

I know these questions are quite long, but I feel I need a firmer grasp on the finer economic details of socialism,

Brett Heino (by email)


Reply:
Socialism is a society based on the common ownership by the population as a whole of the means of production (land, industry, transport, etc). It will be a moneyless society because this means that what is produced is also commonly owned and so the question that arises is not that of selling it but how to distribute directly among those who already own it in common, i.e. the members of society.

Separate enterprises with their own accounts which they have to try to at least balance won’t exist, not just because money and what it reflects (capitalist economic value) won’t exist but because, all industry being commonly owned, wider considerations such as pleasant working conditions and not harming the environment, will be able to be taken into account. Individual productive units will of course have to keep records of the materials they use and try not to waste them, but these records will be kept in physical amounts (tonnes, kilowatt-hours, metres, labour time, etc) not money. Similarly, hospitals, schools, etc will be built and maintained out of the physical resources available to society. Calculation in socialism will be calculation in kind.

What about the USSR? Well, for a start it wasn’t socialist but a form of state capitalism, and capitalism does require, as you point out, proper accounting in money to be able to calculate the rate of profit. The rulers of state-capitalist Russia sought to maximise profit at the level of the whole economy but in the end found they were unable to do this without proper financial information from industries and enterprises to enable to judge where to invest most profitably. Their centralised form of state capitalism became inefficient (in capitalist terms) compared with the mixed private/state capitalism of the West and eventually it collapsed. But this represented the failure of centralised state-capitalism not of socialism, which has never been tried – Editors

GLC Election Manifesto (1970)

From the April 1970 issue of the Socialist Standard
The Socialist Party of Great Britain will again be contesting 14 seats in the Greater London Council Elections on April 9. The full number of candidates will be put forward in the following areas: Camden (3), Ealing (4), Haringey (3) and Lambeth (4)
The Real Issue
There is no need for the food we eat. or the clothes we wear, or the houses we live in, to be restricted by the size of our wage packets. There is no need for the output of factories and farms to be restricted by having to make a profit. The productive resources are sufficient to make it possible to abolish buying and selling and thus money and to go over to free distribution of the things people need.

The world's resources are not used to provide this plenty today because, being privately owned or taking the form of state and municipal capitalism, they are restricted by the limitations of production for sale at a profit. Modern industrial techniques cannot be used to serve human interests until the earth, and all that is in and on it, has become the common property of the whole of mankind.

It is this — capitalism and its restrictions or Socialism and its abundance — that we say is the issue in this, as in all elections, the Socialist Party of Great Britain is putting forward candidates here and in three other London boroughs in order to challenge the other parties, all of which (including Labour and the so-called Communists) stand for keeping class privilege and the profit motive. The Socialist Party alone stands for Socialism.

A World Society
Socialism will be a world community without frontiers. Based on the common ownership and democratic control of the means of production. Articles will be produced, not for sale or profit, but solely for people to use. Within this framework we can clear up once and for all the problems that are built-in to capitalism — the problems of housing, education, transport, health, pollution. racism and the others the orthodox parties and politicians are for ever promising to solve. We can create a world of plenty where, as free men and women, we can co-operate to produce an abundance of wealth to which we can have free access according to our needs.

We make no apology for raising the issue of World Socialism in this, a local election. What bodies like the Greater London Council can do is restricted by the workings of world capitalism. It is the economic rivalry between capitalist states (including state capitalist Russia and China) that determines how much national, and therefore local, governments spend on social reforms. It is partly because goods made in Britain have not sold so profitably on the world market that plans to build more houses and hospitals, to improve road and rail transport, and to reduce overcrowding in schools have had to be cut back in recent years.

Your Responsibility
The only barrier to the immediate establishment of Socialism is that most of you, for various reasons, would not accept that it is really practical and prefer to keep capitalism in being in the vain hope that it can be made to serve human interests.

Trying to reform capitalism in this way has proved time and again to be futile. Capitalism is a class society that can work only for those who live off rent, interest and profit. Capitalism simply cannot be made to work in the interest of the other class in society (there is no middle class), those who have to work for an employer in order to live — the working class properly called. It is to you. our fellow wage and salary workers, that this statement is addressed since it is you who in the end are responsible for the continuance of capitalism and its problems.

Even though the politicians and their parties share the responsibility for keeping capitalism in being, it is no use your blaming their failures on dishonesty or incompetence since it is capitalism itself that sets the limits to what they can do. The national and local governments you elect have to work to a set of priorities which lay down, as we have shown, that profit must come before human need. We suggest you stand aside from the petty squabbles of rival leaders (which is about all conventional politics amount to) and realise that if this world is to be improved it can only be by the actions of ordinary people like yourselves. First, however, you must understand what Socialism means and how it can be established.

The Way to Socialism
When a majority of you are equipped with socialist understanding, you can use your votes to win control of political power so that class property rights can be ended and the means of production belong to the community as a whole.

Those of us who are convinced Socialists and have already joined The Socialist Party of Great Britain will naturally be voting for the Socialist candidates. If you agree with us. we invite you too to register your vote for Socialism. At the same time you would be protesting against capitalism and its parties. Also, since there is of course much more to establishing Socialism than just voting for it, please get in touch with us. We urgently need your help in convincing more and more of our fellow workers of the need to organise for World Socialism, the society of abundance.

#    #    #    #

We plan to distribute up to 80,000 copies of this address. If you want to help fold and hand out these please contact the secretary of the local branches: Westminster, Ealing, Haringey or South West London.

The Socialist candidates are:
CAMDEN: L. Cox. M. Davies. E. Grant.
EALING: W. Buchanan, P. George, W. Rose, D. Sawyer.
HARINGEY: A. Buick, J. Carter. A. Waite.
LAMBETH: J. Garnham, V. Phillips. M. Sansum, F. Simkins.

French “Communists” support wages system (1970)

From the April 1970 issue of the Socialist Standard

The 37th Congress of the French trade union centre, the General Confederation of Labour (CGT), voted last November to change its statutes. It threw out the phrase “abolition of the wages system” (disparition du salariat et da patronat) and substituted “socialisation of the means of production and exchange” (socialisation des moyens de production et d'échange).

Of course the paper aims of an organisation tell us very little about what it actually does, but they can tell us how its members and leaders think. The CGT is led by members of the French Communist Party. So it is particularly revealing that they should wish to remove a phrase which Marx described as revolutionary and specifically recommended trade unionists to adopt.

It is also a measure of the French Communist Party’s aim to reform rather than abolish capitalism that their trade union centre should adopt instead so meaningless a slogan as the "socialisation of the means of production and exchange". The means of production arc already socialised in the sense that they can only be operated by social, co-operative labour. This has already been done by capitalism; what Socialism will do is to end the class monopoly of these means, to establish social or common ownership as well. The CGTs new aim cannot mean this as the social ownership of the means of exchange (banks, etc) is a contradiction in terms. When the means of production arc socially owned, wealth will be produced purely and simply to satisfy human needs. Production for the market, or exchange, will disappear and along with this banks and other commercial and financial institutions.