Basic concepts (2010)

Book Review from the January 2010 issue of the Socialist Standard 

Unravelling Capitalism. A Guide to Marxist Political Economy. By Joseph Choonara. Bookmarks. 2009. 150 pages. £6.99

Zombie Capitalism. Global Crisis and the Relevance of Marx.  By Chris Harman. Bookmarks. 400 pages. £16.99

Choonara’s short book is a good simple-to-follow introduction to the basic concepts of Marxian economics – from commodity, value, labour, labour power, and surplus value to rate of profit, organic composition of capital and price of production.

There’s the occasional reference to Trotsky and to the Russian revolution (Bolshevik coup) as a good thing but, after all, the author is a member of the SWP and the discerning reader will be able to discount these. Even so, it is surprising to see Mike Kidron’s “permanent arms economy” (that capitalism boomed after WW2 because wasteful expenditure on arms prevented the rate of profit from falling by slowing down the rate of capital accumulation) given another airing since it was so decisively refuted by the facts (those countries that spent less on arms boomed more). But this only takes up a few pages of an otherwise useful book.

Apart from the opening two chapters which cover the same ground as Choonara’s book and in the same easy-to-follow way, Harman’s book (published only a few months before he died in November) is by contrast dominated by Kidron’s theory. In fact, Harman (the No 2 in the SWP under Tony Cliff) applies the theory much more widely than Kidron ever did, using it to attempt to explain the course of capitalist development since Marx’s day. Thus the Great Depression of the 1880s only ended because of the naval arms race that began towards the end of the 1890s; the slump that followed the 1929 Wall Street Crash was due to the fact that there was not enough wasteful arms spending in the 1920s to slow down the rate of accumulation; WW2 ended this slump and post-war arms spending avoided another one till the 1970s. Then? Well, the permanent arms economy proved to be neither permanent nor enough: “The permanent arms economy had to be supplemented by the debt economy” (p. 289).

Despite this unsatisfactory analysis Harman does make some valid points. For instance, to those who blame the banks and bankers: “Finance is a parasite on the back of a parasite, not a problem that can be dealt with in isolation from capitalism as a whole”.

Adam Buick