A nuestros lectores hispanoparlantes (2026)

From the January 2026 issue of the Socialist Standard

¿Sabe que ya existe un sitio web que explica los argumentos básicos en contra del capital y en favor del socialismo mundial? Por favor, consúltelo aquí www.worldsocialist.org/?lang=es-ES.

Cooking the Books: Capitalist musings on money (2026)

The Cooking the Books column from the January 2026 issue of the Socialist Standard

Some capitalists have been philosophising recently on their favourite subject — money. One-time investment banker Matt Levine titled his ‘Money Stuff’ column in Bloomberg News (24 November) “Leave the Gold in the Ground”.

Gold is no longer used as the currency — what Marx called the ‘money commodity’ — as it was for millennia. It is, however, still a store of value. ‘Even now’, Levine pointed out, ‘gold is an important reserve asset, and people hold it in their financial portfolios in the form of gold futures, gold exchange-traded funds, etc’. What is being traded are titles to the ownership of gold. Those who buy and sell these are speculating on how the price of gold will move in the future. The gold itself is stored underground in a safe vault. When these titles are exchanged what happens is just that an entry of who it belongs to is changed in a database. The gold stays where it is.

Levine discusses the case of a group of capitalists who, noticing this, have come up with the idea of selling titles to gold that is still in the ground. They are either fools or knaves as they are assuming that unmined gold in the ground is as valuable as gold bars in a vault. But, of course, it is not. Unmined gold has no value precisely because it hasn’t been mined, though the land under which it lies will have a price based on what royalties might be received were it to be mined. Gold bars in an underground vault have value only because they have been mined, refined, made into bars and transported, their value reflecting the amount of labour that has had to go into doing all this.

What is perhaps surprising is that this is the explanation put forward in a news site for capitalists, surprising because it is an application of the labour theory of value that pro-capitalist economists teach is nonsense. After noting that ‘that modern finance creates layers of abstraction on top of real-world activity, and sometimes those abstractions become unmoored from the reality’, Levine applies this not just to titles to gold but to the shares in any business. As an example he takes Amazon:

‘A share of Apple Inc. stock encapsulates all of the labor and creativity that went into inventing the iPhone and manufacturing it and selling it and building app stores and everything else; all the factories and offices and decades of decisions are all reflected in the tradeable electronic token that is a share of stock’.

Another capitalist who has been philosophising on money is the richest person in the world himself, Elon Musk. Fox News reported him as telling a business forum on 17 November:

‘“If you go out long enough, assuming there’s a continued improvement in AI and robotics, which seems likely, the money will stop being relevant at some point in the future,” Musk said. He added there will still be constraints on power, such as electricity and mass. “The fundamental physics elements will still be constraints, but I think at some point currency becomes irrelevant,” Musk said’.

Musk seems to be embracing here the FALC — Fully Automated Luxury Communism — thesis. Improvements in AI and robotics will certainly make socialism easier but it is not that which will make money irrelevant. What will is only the conversion of the means of production from the private property of the few into common property of all. And that doesn’t have to wait for ‘full automation’, nor will it come about automatically through advances in technology.

50 Years Ago: Enoch Powell & war (2026)

The 50 Years Ago column from the January 2026 issue of the Socialist Standard

Enoch Powell is no friend of the Socialist Party of Great Britain. His divisive views on race are enough to make any self-respecting Socialist shudder. Yet amongst politicians he is undoubtedly one of the more coherent defenders and theorists of the present social set-up. His opposition to government spending, for example, does not extend to the police or prison services. He is in no doubt that crime is an unavoidable part of competitive society and maintains that economies in this field can only hamper the smooth running of that system. On inflation, too, he is uncompromising. He fully understands that inflation is caused by governments having an excess of paper currency printed, an explanation given (although Enoch may not realise it) by all Socialists since Marx.

In a recent edition of the BBC’S Any Questions Mr. Powell “came clean” once again, this time on the subject of war. He expressed the view that, with nations obliged to defend their interests against possible attack by outsiders, all grandiose, well-meaning schemes to disarm or to abolish war were pie-in-the-sky; the best governments could do was to stave off for as long as possible the wars that were bound to break out sooner or later. This is a bold, objective description of conditions in the world today and we must congratulate Mr. Powell for his frankness and lucidity. (…)

Enoch Powell is simply acknowledging what we have said: in a commercial, nation-divided world, war is inevitable. If the politicians are unable to avert wars, it is quite simply because they are committed to looking after a system that breeds them.

What is our alternative? We suggest a truly united, wholly democratic world with no nations, no money and with the satisfaction of human needs as its first priority. Impossible? We don’t think so. All that is in fact needed to bring it into being is peaceful political action by a convinced majority of ordinary people.

[From ' Enoch Powell & War' by HKM, Socialist Standard, January 1976.]

Editorial: New year, same shit . . . (2026)

Editorial from the January 2026 issue of the Socialist Standard

Last year, 2025, could only be considered a success story for capitalism in the sense that the world didn’t end in total destruction. For many though, it was a disaster. Think Gaza, where survivors starve among the ruins after a genocidal slaughter that will only cause further wars. No wonder states don’t want to pay to rebuild Gaza, just to see it levelled again. Think Darfur and South Sudan, with massacres committed by the Rapid Support Force using weapons purchased by the United Arab Emirates from western states including the UK, and allegedly donated as part of an arms-for-gold deal. The gold mines of Darfur have been a ghastly resource curse. The locals have paid with their lives so that capitalist deals get done.

Two corrupt power blocs on the European landmass continued putting human beings into the meat grinder of war, while the very people elected or appointed to serve the Ukrainian people instead trousered over a hundred million dollars intended to protect energy infrastructure and keep the winter lights on. This is what nationalism gets you. Workers die in trenches while the bosses find ways to get rich out of it.

Many other wars got less media coverage, including the ongoing multi-sided slaughter in Myanmar, a real-world example of the Hobbesian ‘war of all against all’. When a big earthquake struck the country in March, killing around 5,000 people, some rebel groups called for a ceasefire as they sent aid workers into affected areas. The military junta, according to reports, had no such humanitarian concerns and instead bombed and strafed the aid workers.

Despite glimmers of hopeful news as Generation Z protesters overthrew a brutal regime in Nepal, world politics in 2025 seemed to be all about tearing up of the rules-based order, led with orgiastic zeal by Donald Trump and his coterie of talentless sycophants. Seeing the world’s politicians cravenly kissing this man’s feet in the hope of favours was stomach-turning, and it didn’t work anyway. The far-right in almost every country has been given a huge boost as this deluded Caligula lays waste to every human principle of fairness and decency, merit and reason, equality and environmental safety. No capitalist politician is ever going to ‘fix’ capitalism, but some seem determined to make it worse. The name of Trump may come to be spat on by posterity as a loathsome icon of narcissism, ‘grab ’em by the pussy’ sexism, and kleptocratic greed. He’s already being sued over his stupid ballroom, so maybe that will be demolished too.

But in a way Trump has done the world a favour, by ripping off the civilised veneer and showing everyone what capitalism really is, instead of what it pretends to be. It was never a rules-based order. It’s always been ‘might equals right’ and screw the little guy.

Meanwhile over in the UK, the fractured left try once again to unite around a vague wish-list of reforms aimed at making capitalism just a tiny bit less awful. What they should be doing is calling for the end of capitalism, because that’s the only thing that will work. Instead they clamber back on the carousel horse of reformism to go round one more time, learning nothing, changing nothing, in a perpetual triumph of hope over experience. This year, if you can find a way, help us get the message across: end capitalism, before it ends us.