Lordly Perplexities (1952)

From the April 1952 issue of the Socialist Standard

Their Lordships, Beveridge and Beaverbrook, hereinafter called the two B's, appear to be concerned regarding the future. We shall take Lord Beveridge first

According to the Glasgow Herald (31/12/51) he broadcast “A Letter to posterity," the theme of which was the comments he would like to make on life in Britain in 1951 to the people of Britain in 2052, 100 years hence.

His broadcast commenced with the assertion that the abolition of poverty by levelling up incomes has been part of our social policy for many years. In addition, over the past ten years, there has been tremendous levelling down as well, to pay for wars, their consequences and preparation of fresh wars. He said, “ It is not possible for anyone now to enjoy great wealth or to pass it on to his children.”

We are somewhat perplexed, in view of the real facts, to discover how his Lordship arrived at this conclusion. It would appear that be is unaware of the millions of workers whose gross earnings are £6 per week or less. Also the steep rise in the cost of living since 1945. According to government figures the increase is approximately 29 per cent. Again industrial wage rates have not risen as much, production has been greatly increased, approximately 30 per cent. since 1947. This in conjunction with record profits being made in practically all industries can by no stretch of the imagination be called abolishing poverty. It is in fact the reverse, viz. the intensification of poverty. In this regard perhaps we should recommend that he scan the National Assistance Board figures published in the “Economist” 7th July, ’51. He will find that whereas in 1948 the total number of people in receipt of relief, excluding blind and T.B. cases, was about 785 thousand, by 1950 it had increased to 1272 thousand. Possibly this was only a little extra beer and baccy money for some more of the new “privileged class,” the workers. The same paper (24th Feb. ’51) indicates the absurdity of his claims re levelling down. Figures are given showing that 1 per cent. of the population own 50 per cent. of the wealth. The Economist's comments being—”This is an unimpressive result of forty years of death duties.” Figures given in The Tribune (26th Jan. ’51) show that 16 million people are at the bottom of the social scale with estates of less than £100.

A Lordly nostalgia: —We are informed that he had to leave Fuggal Hall and move into a “middle income group house” in order to make ends meet. He states— “The Baronial Hall with troops of servants laying coal fires in every room was giving place to rows and rows of council houses, each with a radiator and a television aerial.” Shed a tear ye privileged idle and pampered proletarians for the poor, poor rich.

His concern regarding future leadership appears to be considerable. In his opinion the men and women on the stage need leaders. "Just from where in our classless collection of men and women the leadership will come . . . I do not know.” Aristocratic tradition, in his opinion, is a factor of major importance in correct leadership and we are faced with carrying on an aristocratic tradition without the aristocrats. It is of course true your Lordship that people “inherit” traditions; they also dispose of useless traditions. Perhaps your wish is for your tradition to inherit the people. We shall deal with this question further in our conclusion.

His Lordship Beaverbrook is well known for his “modesty and wisdom" through the medium of his newspapers, especially the Daily Express. The opinion column of Scottish Daily Express (31.12.51) while moaning of the loss of Abadan and the rising cost of living states that there is also cause for joy—“The joy that Socialism has been discarded and Mr. Churchill again returned to power.” Further joy—We have escaped war and are still on talking terms with Russia; also, peace in Korea is within grasp and Churchill is on the stage directing and lending the wisdom of his council. In general, the war danger recedes as each hour adds to mounting Western strength. May we remind your Lordship of your very frequently published claims in the Daily Express during 1938 and '39 that there would be no war this year, or next year, or any other year. In fact your last statement, in bold headlines, to this effect was published merely days before the outbreak of war in 1939. How very wrong you were despite your, undoubtedly excellent, facilities for information. Every informed person saw the rapid approach of war from 1935 onwards. Again, since when did an arms race result in anything other than war? You are equally confused regarding Socialism. Capitalism administered by the Labour party or any other parties can never be Socialism. Your judgments in these matters do not at all seem to be reliable. In fact they appear to be parallel with the guesses of Old Moore’s Almanac and should be treated accordingly.

Regarding 1952 and the years beyond, you ask— “Is Britain to have peace without prosperity? Is she to remain for evermore a pinchpenny land in which people live meanly and eat miserably.” When during the existence of capitalism has it been otherwise for the great majority of the people? It will always remain so while capitalism remains, irrespective of the government being an Attlee-Morrison-Bevan, or Churchill-Eden combination. Prosperity, with or without peace, is an almost exclusive enjoyment of the capitalist class. Slums and lack of them, blood and tears, and toil and sweat, whether in times of depression, or prosperity with or without peace has been labour’s reward for honest hard work.

In conclusion a word to the two B’s. Capitalism, the present social system which suits you both eminently shall be abolished eventually. The interest of peace, security, culture and the general welfare of mankind demand it, the sooner the better. A new sane and humane system, Socialism, shall take its place. In this regard you need not worry about leadership, aristocratic or otherwise, as leadership shall also go overboard with other lumber. When one reviews the past and visualises the shabby pretentious collection of bombastic people who have been “our leaders;” whose self-seeking blunders have shamefully abused and squandered wealth and drenched the world in blood, then one realises that the end of leadership cannot be too soon. Intelligent working men and women who organise for the establishment of Socialism have no need for leaders. The end or object, Socialism, means the abolition of the exploitation of man by man, the end of idleness and luxury for your class, the ending of stately baronial mansions, likewise the finish of poverty, misery and slums. The Labour Government have been very good friends to your class. It shall be very very different when, for the first time in history. Socialists take control out of the hands of the capitalist class for the purpose of carrying out the revolutionary task, the establishing of Socialism. The Socialist Party of Great Britain carries on its task of making socialists confident that the future belongs to us. Chums, you’ve almost  " ’ad it.”

John Higgins

Marxism and United Fronts (1939)

From the January 1939 issue of the Socialist Standard

Socialists recognise the need for working class unity; we are enthusiastic supporters of a united front. But we cannot, and will not, support unity at all costs. It is true to state that a real united front of the working class can only come into being when it is based on the solid foundation of Socialist knowledge. We are, therefore, according to our Socialist principles, obliged to oppose united fronts of the character so often presented, because the object which is aimed at is not of a Socialist character, nor is the basis of the suggested unity Socialist knowledge. Our battle-cry is, therefore, not unity at all costs, but unity on Socialist principles, the unity of an intelligent, politically organised, and determined working class for the overthrow of class society.

Some people may think that this is a very nice ideal, but it is not practical—it is not possible to get a majority of the working class to act along the lines indicated; therefore, it is essential, in order to stimulate activity, to seize upon some issue on which temporary agreement can be obtained between the various parties. In order to justify this form of activity our opponents often quote the Communist Manifesto (wrongly, in the sense that the Communist Manifesto never referred to the modern united front). “The Communists do not form a separate party opposed to other working class parties . . .” (page 21, M. Lawrence edition). This section of the Manifesto is assumed to provide the justification for all kinds of absurdities in connection with the class struggle in general and unity in particular. It is put forward as the Marxian basis of action in the form of an unchanging truth, a dogma. It is inferred that, were Marx alive to-day, he would urge affiliation to the Labour Party and united fronts for everything and anything, as do our misguided friends, the C.P. and I.L.P. In passing, it might be to the point to add that it seems strange that people who are continually changing policy and tactics on the ground of being dialectical should fail to see (or is it refuse to see ?) that, by virtue of the dialectic, that which was applicable during 1848, and even remained so until 1870, is no longer suited to meet the needs of 1938 (so far as advanced countries are concerned).

If one reads the Communist Manifesto carefully that is made clear, e.g., the joint preface by Marx and Engels, 1872, states (Section 4): —

“… Although in principle still correct, yet in practice are antiquated, because the political situation has been entirely changed, and the progress of history has swept from off the earth the greater portion of the political parties therein enumerated.”

Since Section 2 deals with the same matter, it is also included in the joint remarks of Marx and Engels.

We accept the Marxian case, not because of any blind homage to either Marx or Engels, but because they discovered social truths the correctness of which history has proved up to the hilt. The Marxian approach to the social problems places a key, or tool, in the hands of the working class, by which they can understand past social history, the present, and from this glean valuable knowledge to guide their future revolutionary actions, and thereby accomplish the task of overthrow more quickly.

When Marxism is applied, not as a dogma, but as a beacon light to illumine the proletarian highway, then it will be realised that no fixed and unalterable tactics are possible, and also that the particular conditions in any given situation will determine the details of the course to be pursued. Sections 2 and 4 were, and still are, suited to meet the requirements of the infant proletariat in their struggles in countries which have still to overthrow feudalism and establish capitalism. If we view past history we find that man’s development socially was in proportion to the development of his tools. At the stage where private property became established classes were born and class struggles commenced. The ruling class were always the most important class economically. The rise of the modern capitalist :class made them economically the most important class. But they, in order to perform their function, i.e., carry social development a stage further, were compelled to establish their political supremacy in order to permit the breaking down of the feudal fetters which restricted further social progress. In other words, the historic mission of capitalism is to create a great proletariat, eliminate the peasant, establish social production, and centralise control. To accomplish this task the capitalist class had to carry out the revolutionary overthrow of feudalism. If we keep in mind the fact that under the feudal system there were several classes, e.g., aristocracy, peasants, capitalists, and the then developing proletariat, we will see that the class struggle assumed a fourfold aspect. Further, it would not have been possible for the modern master class to have fought its battle with the feudal aristocracy without the aid of both peasants and workers. Again, capitalism was a necessary phase of social development; it therefore represented progress. In addition, so long as the class struggles were of a many-sided character, the issue between the capitalist class and the working class could not become really clear. By way of indicating that this was the view of Marx, a quotation from “Revolution and Counter-Revolution” may serve : —

“The working class movement itself never is independent, never of an exclusively proletarian character, until all the different factions of the middle class, and particularly its most progressive faction, the large manufacturers, have conquered political power, and remodelled the state according to their wants. It is then that the inevitable conflict between the employer and employed becomes imminent and cannot be adjourned any longer . . .” (page 8).

When the capitalist class have attained their political supremacy, then the class conflict is speedily reduced to the clear issue between the two great classes, the last two classes to appear in social history. When one considers that the Communists then in existence were merely a handful, and also that the establishment of capitalism would provide the social, economic, and political conditions which would make the Socialist proposition understandable to the working class; then the correctness of the urge to the Communists to assist their enemies, the capitalist class, in the destruction of their enemies, the feudal aristocracy, to put it in the words of Marx : “In short, the Communists everywhere support all revolutionary movements against the existing social and political order of things” (i.e., the abolition of feudalism). The Manifesto also makes it clear that the Communists should not conceal their aims, i.e., the abolition of capitalism; also that their independence should be preserved.

Contrast this with the programmes of the Labour Party, I.L.P., and so-called Communist Party, who, if they ever had any Communist aims, disdain to reveal them. Their aims are, and always have been, such as any Conservative or Liberal could, at a pinch, vote for. To take a few of the more prominent issues : Work for the workless, 40-hour week, defend Austria, Czechoslovakia, democracy, etc. These are issues which the modern master class are interested in from time to time; there is nothing revolutionary about any of them.

Suppose we put the question: Was feudalism abolished here? The answer is yes. Were the social and political conditions necessary for working class emancipation created ? Again, yes. 

Then it follows that the possibility for the organisation of the working class on an independent basis, and of an exclusively proletarian character, have been in existence for many years. Our task is, therefore, clear: to organise the working class for overthrow, to create proletarian organisation based upon Socialist knowledge for the purpose of social revolution. Instead of doing this our united fronters are even fanatical in their avoidance of revolutionary activity. They squander the courage, enthusiasm, and generosity of the working class in the advocacy of Labour programmes which are essentially Liberal in character; then, on special occasions, become the brazen defenders of British capitalism. It is interesting to note that Engels, in a letter to Bebel, expressed strong views on the question of unit)? at all costs: — 

“Unity is quite a good thing so long as it is possible, but there are things which stand higher than unity. And when, like Marx and myself, one has fought harder all one’s life long against the alleged Socialists than against anyone else, one cannot greatly grieve that the struggle has broken out” (this refers to the party split) (page 402, Correspondence).

The letter dealing with immediate claims, by Marx and Engels jointly, to Liebknecht, Bracke and others, deals scornfully with the suggestion of dropping the issue of Socialism in order to attract the workers with a programme of immediate aims. Quoting the German S.D. programme as follows, “Let no one misunderstand us. We do not want to give up our party and our programme, but we think that for years hence we shall have enough to do if we concentrate our whole strength and energy upon the attainment of certain immediate aims which must in any case be achieved before the realisation of the more far-reaching ends can be thought of . . .” Engels replies as follows, “The programme is not to be given up but only postponed — to an indefinite period. One accepts it, though not really for one’s self and one’s own lifetime, but posthumously as an heirloom to be handed down to one’s children and grandchildren. In the meantime one devotes one’s ‘whole strength and energy’ to all sorts of petty rubbish and the patching up of the capitalist order of society, in order, at least to produce the appearance of something happening without at the same time scaring the bourgeois.”

How that fits exactly the so-called Communists to-day is self-evident. The Socialist Party refuses to be drawn into this campaign of peddling rubbish; our opponents, who are bankrupt of a case against us, can only resort to abuse and such absurd assertions as: “The S.P.G.B. do not take part in the day-to-day struggle,” etc.

When the question of the day-to-day struggle is examined, it is evident that no member of society, irrespective of whether worker or master, can escape the day-to-day struggle; it is the class struggle, in its non-revolutionary aspect. We, as members of the working class, are very much concerned about such things as the means test, slums, poverty, etc. We realise that, even within capitalist society, our poverty can be aggravated, hence the reason why we endorse the need for the working class to struggle against the encroachments of capitalism where possible. We also know that even the most diehard Tory Government must introduce reforms from time to time; and that, even were all that which has been promised to the workers by Tories, Liberals, Labourites, or so-called Communists (even in their wildest days prior to their extreme Conservatism), granted, we would have poverty, slums, unemployment, etc. As Socialists we want much more than they will ever give, viz., Socialism; consequently we logically concentrate on the quickest means of obtaining it. It is not our job to assist the master class in running society; in the course of doing so, national and local legislation and administration is essential. It is true to state that to-day possibly 99.9 per cent. of the time of Parliament and town councils are concerned with affairs of no interest or concern to the working class; this is so, irrespective of the personnel who form the Government.

We are Socialists, not careerists; therefore, we take our stand on the need for spreading Socialist knowledge. Keeping this in mind, we know that, in proportion to the growth of Socialist knowledge, the working class will find that they will be even more successful on the question of conditions of labour, etc. Try and visualise a May-day demonstration of Socialists, one hundred thousand strong; their banners bearing revolutionary slogans, their ranks the living manifestation of solid unity based upon Socialist knowledge, their action indicative of determination to abolish capitalism. Because you are intelligent, strong and united, you are feared, therefore respected; meantime you are politically ignorant, disorganised and weak; consequently you are not feared, but despised. When the working class are so organised then the words of Marx, “Let the ruling class tremble at a Communist revolution,” will be fully realised. The ruling class, in their panic, will be ever more ready to concede your demands; you will be in a position to demand. Now, in most cases, you only beg. The remedy for all the ills, unemployment, slums, poverty, war, etc., is Socialism; it should be established at the earliest opportunity. To accomplish this it is essential that a majority of the workers become Socialists. We, of the S.P.G.B., are doing our utmost to convince the workers of the need for Socialism; our task is made more difficult by the propaganda of confusionists who call themselves Socialists; however, we will win in the end. The importance of this task should not be under-rated. As Engels said (“Socialism, Utopian and Scientific”): “To accomplish this act of universal emancipation is the historic mission of the modern proletariat. To thoroughly comprehend the historical conditions, and thus the very nature of this act, to impart to the now oppressed proletarian class a full knowledge of the conditions and of the meaning of the momentous act it is called upon to accomplish, this is the task of the theoretical expression of the proletarian movement, scientific Socialism.” In other words, make Socialism first, then the rest (unity) will follow, and the working class will soon get rid of capitalism.

John Higgins

The Socialist Case — Part 2 (1960)

From the November 1960 issue of the Socialist Standard

Link to Part 1

The superstructure of society today, after many years of development, has reached a high stage of efficiency. It is the direct outcome of the economic foundation of society, the capitalist mode of production, and functions almost exclusively in its interests. This does not appear to be self-evident unless one examines the basic factors of the organisation of society.

We are constantly being told that our “great and good” men are earnestly striving to bring about changes in which all will benefit considerably. Social morality, legality in its civil and criminal aspects, and politics, are features of this superstructure and are held to be eternally good and true. The machinery of government, the armed forces and police are allegedly neutral and impartial and are claimed to regulate the affairs of society on the highest principles of “justice.”

We Socialists do not accept that point of view. We see in this whole structure the capitalist class organised as the ruling class. This state machinery with its attachments does not stand on the sidelines. The maintaining of law and order, the advocacy of this morality, the dispensing of “justice," and the politics pursued, are all definitely capitalistic in character and are intended to enhance, preserve and maintain the system in the interests of the class who own. The channels of education are controlled and the class of. education is designed to maintain the fallacy that this is the best of all possible forms of social organisation. Add to this the general propaganda of the press, radio and pulpit and we have a formidable array. This deception has been carried on for a long, long time, but Socialists are not taken in by it.

Furthermore, a constantly growing and larger number of people are also realising the truth that social systems must also change. The so-called virtues, in workers only, of meekness, humility and servility, are receding to a greater extent. The surface appearance of capitalist society seems to indicate that the commercial transactions of men are. in all cases, strictly honest. No one apparently takes advantage of another. People go to their bakers, butchers, tailors, etc., select their merchandise, pay and depart, each in most cases pleased with the transaction. Money, which is the universal or social form of value, is paid in exchange for an equal quantity value in some commodity. It appears that in all cases everyone has had a fair exchange and generally speaking this is true. The error arises in the claim that the worker who sells his labour power gets the full value of his labour. To repeat—he does not and cannot get the value of his labour. Labour power is a unique commodity, the sole commodity which can produce more than it itself consumes. The worker in fact gets the value of this labour power, but produces probably twice that amount, one-half of which total is profit to the capitalist.

Profit is the keystone of capitalism. The capitalist mode of production, commodity production, creates the basic social relationships of capital and value. These relationships arise directly out of man's productive circumstances. They are social phenomena particular to the present mode of productive activity. In the industrial field the capitalist—an owner, but non-producer—meets the worker, a non-owner who has only his labour power to sell. Here the sale of labour power takes place. The worker, having received his wages, becomes a buyer of the goods required, but which are owned by and in possession of the capitalist. This cycle keeps on repeating itself and is exclusive to commodity production.

Buying and selling, or, in other words, value relationships, are social relationships concerning the sale or exchange of commodities or things. Money is the social, or material form of value and. whatever the need may be. this need is almost certain to be provided for cash. This capital relationship — employer and employee, and value relationship—buyer and seller, are specially evolved to wring rent, profit and interest out of the sweat and toil of the working-class. From our Socialist point of view they can never do anything else and should be abolished forthwith. The State machinery with its armed forces and police functions mainly to protect the private property institution and secure its continuity.

Man has travelled a long, long way since his simian ancestors, but there is one aspect which it is relevant and important to mention. It has taken him countless thousands of years to learn and train his brain to think. But he has succeeded and the highest product of nature, the mind, has been developed from his lowly and comparatively speaking, non-thinking ancestors. In this regard man stands unique in the field of intellectual attainment. He alone among all the animals is capable of thinking abstractly. A fundamental distinction is his ability to accumulate and organise knowledge and utilise it to change and improve his living conditions and his environments.

This basic distinction has created an unbridgeable gulf between him and the other animals. The problems arising from the material conditions of his life in the past were eventually understood and solved. We are certain that he is capable of understanding and eventually solving the social and other problems of the present and future. Because of this we are firmly convinced that a majority of the working-class will eventually consciously deal with the social re-organisation of society.

The social solution is in itself very simple. Much of our time is devoted to argument arising expressly from the complexities of aspects of capitalism we have already mentioned—money, banking, etc. The major question is—can mankind produce sufficient food, clothing, houses, cultural and recreational requirements to meet its needs? The answer is “ Yes’’—positively an abundance. Society’s capacity to produce is limited only by the extent of the productive equipment, raw materials and available labour.. At today’s stage of development it is more than sufficient. Once freed from the restrictions of private property, society can solve its problems in an amazingly short time. When this structure of private property is removed there is nothing to prevent the available productive machinery from being used to the fullest extent for the sole purpose of satisfying human needs.

The overwhelming majority of each generation are doomed from birth. They are condemned to a life of hard work, drudgery, poverty and slums. At any given period in the life of society only a definite amount of unskilled, semi-skilled and skilled jobs are available. In this great industrial organisation this number may vary slightly from time to time. But it does mean that approximately 85 per cent. of the total population are unable to radically improve their lot. The grandiose schemes and plans of youthful ambition are doomed from birth. In addition, at the moment we stand in constant fear of the outbreak of a third World War with its devastating atomic weapons. The future is indeed, “prosperous, happy and bright.”

The abolition of capitalism is therefore, a proposal which merits your determined and serious immediate attention. The reorganisation of society on a Socialist basis is the only solution and, as the S.P.G.B. is the only Socialist Party, it demands your active support in our task of Socialist propaganda. This task of abolishing capitalism is the historic mission of the working class. It requires the conscious and determined action of a majority of workers and for practical purposes is their exclusive job. Capitalism presents the best of all worlds to the ruling class and their hirelings. They are not therefore likely to approve or assist in effecting any social change which involves its abolition.

In order to transform existing society into a Socialist society, the working class must organise themselves politically on the basis of a majority who understand and desire to bring about Socialism. When they reach this stage of social consciousness they, the workers, will establish their political supremacy, take control of the machinery of government and effect the social re-organisation of society. To develop this class-consciousness is the immediate job of the S.P.G.B. Our propaganda activities in this direction are very limited both physically and financially.

If you believe that a system of society wherein human need and not profit should be the object of production; that the economic and social equality of man should prevail; and that from each according to his ability and to each according to needs should be a first principle: then let’s have your support. The measure of your sincerity and determination is your physical and financial aid to us.

John Higgins

[Concluded]

SPGB Meetings (1960)

Party News from the November 1960 issue of the Socialist Standard

What is surplus value? (1962)

From the December 1962 issue of the Socialist Standard

If a person who owned a million pounds decided to spend it he could live, without working, for forty years at the level of £25,000 p.a. before being broke. If the million pounds was invested at an average of five per cent. interest p.a. over 40 years, it would enable him to live at the level of £50,000 a year for the same time, and he would still have his million. Who said that you can't cat your cake and still have it?

Surplus value is the sole source of all rent, profit and interest, and the exploitation of the Working Class is the source of all surplus value. Capital is wealth used in the reproduction of wealth in order to extract profit. This is investment of money as distinct from spending it.

In early commodity production the producers were owners of their means of production, raw materials, etc. They owned the articles they made and they sold them. The right of a person to own what his labour created was a recognised principle. Modern capitalism excludes the working class from ownership of the means of production. The worker is compelled to sell his ability to work in order to live. He sells his labour power as distinct from his labour. The value of the commodity labour power is determined by the amount of food, clothing, shelter, etc., required to reproduce the mental and physical energy expended and to reproduce other wage slaves. For example, the value of engineering labour power is approximately 5s. per hour. In working an hour the engineer may produce value exceeding 15s. These social and historical aspects are of great importance.

Money can be transformed into capital, of which there are two aspects. Constant capital consists of machinery, raw materials, and so on; variable capital, in money form, purchases labour power. Labour is the positive or creative factor. In modern society, labour is the source of all wealth. Irrespective of how gigantic, complex and costly the productive machinery may be, it is all a product of labour.

In the productive process, let us assume a capital of £10,000 invested, of which £7,500 is constant and £2,500 variable. We also, for convenience, assume that the total capital is consumed in the process of production, although this in fact rarely happens. If 10,000 articles valued at 25s. each are created, the total product is £12,500, an increase of £2,500 on the original capital. Where does this increase come from? Neither constant nor variable capital can grow or expand. The original value invested can only re-appear, in new form, in the new wealth created If we take one article, value 25s., depreciation of machinery and the raw materials re-appear here at a value of 15s., variable capital at 5s., making a total of 20s. invested by the employer. But he sells at 25s. Labour power is the only commodity which can produce more than it itself consumes. Of course, the worker can't sell his labour, because having sold his ability to work, his labour is his master’s property. The difference between the value of labour power and the value of labour is, therefore, 5s. in this case, surplus value, or unpaid labour.

The manufacturer would argue that the £2,500 is a modest twenty-five per cent profit, a reward for his thrift and directive ability. It is quite true that, considered as a rate of profit, it is 25 per cent. of the original sum invested. However, the increase arises directly out of the variable portion of capital and to determine the extent of the exploitation of the workers we must consider its relation to surplus value.

In our example we have £2,500 wages against £2,500 surplus value; or a 100 per cent, rate of exploitation. In other words, the total variable capital advanced, in this case, represented half of the value of the embodied labour.

Let us now take a producer who owns his means of production, a tailor for example. Let us suppose that be purchases his raw materials, he spins, weaves and tailors the coat. The wear and tear of his machinery together with the raw materials used costs, say £6. His labour power in the process is valued at £7. The total product is £13. His embodied labour is the source of the new wealth— the coat—and this he realises in full in selling the coat for £13. Had he been a wage slave, compelled to sell his labour power, as distinct from his labour he might have received about £3 10s. l0d. wages, or half the value of his labour power. The other half would go into the pocket of his master, as profit, surplus value. When people own their own instrument of production and sell the products of their own labour neither profit nor surplus value arise.

We can also regard this exploiting process from the standpoint of labour time. Workers are employed at a given wage, say £10 per week, for a specified working week of 44 hours. If the rate of exploitation is 100 per cent., then in the first half of the week they produce, in new wealth, value equal to their wages. In the second half a similar quantity is produced. The working week, therefore, includes 22 hours of surplus labour time.

In every process of production capital is expanded and accumulated. The immense mechanism of production today is the outcome of countless generations of unpaid labour, of surplus value. This Marx calls dead labour returning vampire like to suck the blood of living labour. This vast productive equipment, the natural resources and the labour of society, has been the inheritance of the propertied class for hundreds of years and is utilised for their private gain. The inheritance of the producers, the workers, has been continued poverty, in various degrees of severity. The accumulation of capital and the expansion of the means of production, generally speaking, brings greater exploitation to the workers. Capitalism has produced these twins and will always maintain them as long as it lasts.

The Marxian theory of value clearly shows the facts of our economic and social life in modern society. The abolition of capitalism is the sole means by which this state of affairs can be ended, in order to enjoy the fruits of their labour men and women must re-organise society on a Socialist basis. Only on this foundation can the great productive machinery, resources of nature and the labour of society be utilised to full capacity for the benefit of all of mankind. This great social change is possible and practical whenever a majority of workers decide to bring it about.

John Higgins

SPGB Meetings (1965)

Party News from the November 1965 issue of the Socialist Standard

SPGB Meetings (1961)

Party News from the April 1961 issue of the Socialist Standard

SPGB Meetings (1954)

Party News from the November 1954 issue of the Socialist Standard

SPGB Meetings (1957)

Party News from the October 1957 issue of the Socialist Standard

Blogger's Note:

The Union Movement's 'E. J. Ham' mentioned above was Jeffrey Hamm, who eventually succeeded Oswald Mosley as leader of the Union Movement. There's a very brief mention of the debate in the December 1957 issue of the Socialist Standard. I'm presuming the debate passed without too much incident. There were 150 people in attendance.

The Socialist Case (1960)

From the October 1960 issue of the Socialist Standard

The Socialist case is really quite simple, and easily understood by anyone of normal intelligence. However, its very simplicity may make it difficult to accept.

Modern capitalism is a very complex social system. The average person, confronted with economics, banking, currency, accountancy, the Law, etc., seems to be overwhelmed and finds great difficulty in understanding. He also believes that these are permanent and indispensable attributes of society, and therefore it is best that they are left in the hands of the highly trained specialists, the “great” men, to be safely operated. When Socialists claim that this economic superstructure, while it is necessary to capitalist society, is so much lumber in a sanely organised society, they are looked upon as people not quite sane. The simple proposal that the land, the factories, transportation and so on (the means of production) should be owned commonly and democratically controlled and operated by and for the benefit of the people, appears to the average person to be impossible. Our task, which is to convince a majority of the workers of the correctness of our case, is not therefore an easy one.

In the course of many centuries, private property based societies have evolved in several forms. Chattel-slavery, feudalism and modem wage-slavery, have been in existence; the lease of life of capitalism is not yet ended. But though the life of capitalism may be indefinite it is, fortunately, not infinite. Sooner or later its end must come.

The Socialist proposition has been arrived at after very careful investigation and analysis of the economic, social and cultural history of mankind. This proposition is that the freedom of man from economic bondage, poverty, insecurity, and so on, can only be realised by abolishing the present social system and establishing a Socialist society. Our case is very strongly supported by the facts of social evolution and the practical experience of the consequences of the operation of capitalism in all parts of the world.

Irrespective of the stage of man's development, or the particular social system, the production of food, clothing and shelter must be accomplished by man. His continuity of life and the reproduction of the. species depends upon his successfully doing this job. In common with all other animals he must obtain the essentials of life. In the course of time the method in which he accomplished this task has varied in accordance with the type of tools he has fashioned and the circumstances in which he found himself. In modern capitalism he obtains his food, clothing and shelter through the medium of wage labour.

Capitalism is a social system in which the privately owned means of production take the specific form of capital. Capital is therefore a social power which is personified in the capitalist class. The mode—or method—of production in society is the production of commodities for sale in order to realise profit. It should be noted that the primary object of producing wealth is profit, not need. Capitalist society divides people into classes. On one hand, the capitalist class who own the means of production, but do not produce; on the other, the working class who are the sole producers, but do not own the means of production. As a consequence of this class division of society a struggle between the two classes takes place over the division of society's wealth. It should be self evident to anyone that we have a social basis here in which the interests of capitalist and workers are never likely to be reconciled. An interminable class war, or struggle, of a somewhat grim character is a permanent feature. Also, as the economic keystone is profit the owning class will only permit the productive machinery to be used when they feel fairly certain of realising this profit.

It is obvious that this owning class, the capitalists, by virtue of their ownership and control are in a position to control the lives and destinies of the population. Capitalism can only function in the interests of the capitalist class. It was never intended to do otherwise.

As a result of these social circumstances the workers' access to food clothing, and shelter, is through the medium of wage labour. In days gone by, man’s struggle for survival was between himself and nature, but now he is confronted with his fellow man, the capitalist, the exploiting animal. In the industrial field, the worker is looked upon merely as an appendage of capital, a productive essential. The worker enter here in order to sell his mental and physical energy—as an engineer, labourer, etc. This energy in capitalist society is a commodity, capitalist and worker therefore meet as buyers and sellers of labour power. An agreement having been reached, the worker enters the factory where he finds ready for him machinery and raw materials. He expends his energy in producing, obtains his wages, and departs.

On the surface all appears to be quite fair and honest. No one seems to have taken advantage of the other. However, Socialists are very emphatic in their claim that the working class are robbed, enslaved and exploited. Although this claim is very true it is not quite evident from a superficial survey. A little deeper penetration is necessary. It should first be made quite clear that commodities have definite values. The amount of value contained in any commodity is determined by the quantity of abstract human labour, socially necessary and of generally average skill and intensity. We always express this value in terms of cash.

The value of the commodity, labour power, which the worker sells is determined in the same way. For example, a given quantity of food, clothing and shelter is required in order to reproduce the expended energy and to reproduce future workers. This amount may vary slightly according to circumstances. But if we take five shillings an hour as the approximate value of craftsmen's labour power, a forty-hour week would yield a total wage of ten pounds. If we now enter the factory and observe, we shall find that in the first twenty hours of labour the worker has produced new values amounting to ten pounds. Of course, he continues his work for an additional twenty hours and produces another ten pounds. Thus our capitalist has doubled the variable capital invested (wages). His ten pounds is now twenty. This is the sole source of profit, rent and interest, which cannot be obtained from any other source.

What the worker receives is the value of his labour power, not the value of his labour. His labour has yielded twice the quantity, in new values, that his labour power cost to buy As a seller in his field, the worker has nothing other than his labour power to sell. His labour in the process of expending his energy in production and is embodied in the new merchandise produced. Together with the products, it belongs to the capitalist, who sells the goods and realises his profit. The size of his profit is the difference between what the worker produces and what he receives in wages. This is surplus value, the amount of the wealth of which the worker is robbed.

Another factor of social and historic significance arises here. In former societies where commodity production took place in a small scale, it was generally accepted as a principle that men were entitled to own whatever they had produced by their labour. Modern society has enthroned its opposite. In society today the working class who are the sole producers have no control over what is produced, nor over what is done with the product. The capitalists—the non-producers--decide, direct, control and dispose of society's wealth in the manner which suits them best. In this regard the productive effort of society is in constant conflict with the form of ownership.

Our organisation for the production of wealth is social in character. It involves the constant activities of the great majority. The socially produced wealth, immediately and exclusively, is owned and controlled by a social minority. Social or common ownership of the means of production and distribution is the sole solution to this anomaly. Society as it stands is divided against itself. Private property in the means of production produces this class conflict of capitalists against workers. It places this vast productive equipment in the hands of a few and subordinates its operation in their interests. As a consequence it enables the enslavement and robbery of the producers to take place and also permits the almost complete domination and social degradation of the great majority of society. There is no prospect now, or later, of the present social mode of production being made to serve the need and interests of society as a whole.

J. H.

[To be concluded]

SPGB Meetings (1959)

Party News from the October 1959 issue of the Socialist Standard

Obituary: Robert MacNamara (1966)

Obituary from the May 1966 issue of the Socialist Standard

We greatly regret to announce the death of Robert MacNamara of the Glasgow Branch. He died at home in Glasgow on Saturday 2nd April 1966. Our comrade MacNamara was a member of the Branch for about forty years. Throughout his membership he was always a very active person and seldom, if ever, was absent from the Branch or propaganda meetings, etc. Over the past three years his illness confined him at home and therefore, ended his active participation in Party affairs. But despite his illness he never lost his enthusiasm or his keen interest. He was always delighted to have visits from members and hear any news and discuss activities.

He joined Glasgow Branch shortly after its formation and was, therefore, almost a foundation member. From this point onward he got down to intensive and systematic study of the Socialist case. He acquired an extensive knowledge of Marxism, economically, historically and philosophically. In the early days political conflict was widespread, keen and all too frequently, very hostile. We often had the united opposition of Labourites, I.LP.’ers and CP.’ers. Jail Square, West Regent Street were, in these days, the local political “duelling” grounds. He was a constant attender and could be found there almost any evening, winter or summer. In such discussion he would be either putting over the Socialist case or exposing the fallacies and absurdities of the opposition. Having an excellent understanding of the Socialist case and also, of the opposition’s cases, he was a highly competent propagandist. But in all cases he exercised tact and consideration and was never provocative or abusive.

The Party could do with many more MacNamaras. We have too few and his loss is therefore, much greater. We extend our deepest sympathy to his wife and family, their kind and careful attention during his illness was comforting.

John Higgins

SPGB Outdoor Meetings (1944)

Party News from the April 1944 issue of the Socialist Standard

SPGB Meetings (1943)

Party News from the November 1943 issue of the Socialist Standard

SPGB Meetings, Lectures and Notices. (1940)

Party News from the March 1940 issue of the Socialist Standard

What are wages? (1963)

From the January 1963 issue of the Socialist Standard

The value of the commodity human labour power is determined by the cost of reproducing the worker's expended skill and energy and, also, of reproducing future wage workers. On the average, wages equal this value.

However, in different countries, according to circumstances, the value of labour power varies. In the lesser developed countries we find, as a rule, a lower standard of living and therefore a lower value than in more advanced industrialised areas. Important factors in the more developed areas are a greater consciousness in workers, and organised arrangements for the protection and advancement of their interests.

Wages are not, as some people think, the workers' share of the wealth they produce. Capitalism is not a national share-holding concern. Let it be clear —Capital is wealth used in the reproduction of wealth in order to realise profit. Variable capital, the wages fund, together with constant capital, are both in existence before the act of production takes place. The workers’ labour power is bought by the capitalists and is used to create wealth. The worker, having worked, has a legal claim to the agreed wage. A sale and purchase have taken place and no question of shares arises. Shares are exclusively for the owners and shareholders, and they come from the surplus value wrung from workers.

Wages must be considered from three aspects. The first, nominal wages, or the actual amount of money paid: second, relative wages, i.e., the proportion of wages paid to the total wealth produced: third is the actual purchasing power of wages—real wages.

The basic conflict between the two classes, capitalists and workers, shows mainly in the first two aspects (wages and profits). Provided that other factors remain constant, an increase in one must cause a decrease in the other. In this, the productive sphere, the social relations are direct between owners and producers (employers and workers) regarding rates of pay and conditions of labour. The amounts of nominal and relative wages are determined here.

We can now consider briefly the conflict between wages and profits. To begin with, let us assume a weekly wage of £10 for a 40 hours week and a rate of exploitation of 100 per cent. An increase of five per cent. in wages would enable the workers, other factors remaining constant, to get 10s. p.w. more for the same quantity of labour. His standard of living is improved and the necessary labour time increased, while surplus labour time is reduced. The rate of exploitation is reduced from 100 to 93 per cent, and the relative wage now represents 55 per cent. of the total product as against the former 50 per cent. A reduction in the working week may also be beneficial for workers; they may obtain the same pay for less work.

The above situation is a most unpleasant one for the capitalist. In the first instance it means an increase of 5 per cent. in his variable capital. It reduces his surplus labour time and his surplus value. The rates of exploitation and profit have also fallen. But although temporarily defeated, the capitalist is undaunted and adamant. He is well aware of his excellent facilities for recovery.

It is quite possible, and it frequently happens, that increased wages or reduced working hours can be offset by a fall in relative wages. This can be brought about, for example, by increased production as a result of better organisation and supervision, etc. The introduction of more efficient machinery and the displacement of labour is another way. An increase in output of 6 per cent. would in some ways offset the five per cent, increase in pay or the reduction of hours. In such conditions, although the nominal wage is higher, the relative wage is lower. More wealth is being produced for slightly less pay.

Other means by which earnings may be increased as distinct from increased rates of pay are, overtime, piece work, or bonus on output systems. These methods entail longer hours of labour, or more intensive labour, or both. Increased earnings in such cases are at the expense of extra sweat and toil and in these conditions workers cannot increase their earnings without increasing the profit of their masters. The working classes' only gain, if such it can be called, is in having the rates of pay increased or the hours of labour reduced. The struggle between wages and profits is unending and the employers are as a rule better placed.

Social evolution has produced three distinct forms of exploiting societies. In chattel slavery men were owned bodily. In feudalism, the serf, semi-free, was compelled to provide a certain proportion of his labour for the overlord. In both cases the surplus was easy to see. But modern wage labour, unlike the other two, appears to be fully-paid. In all three systems men were, and are, deprived of the fruits of their toil by an owning class. Private ownership of the means of production and control of the ability of men to work has enabled the ruling classes, in all cases, to own the wealth produced.

Slaves, serfs and proletarians all had to obtain food, clothing and shelter. This subsistence differed in amount, quality and kind in the different periods. Today the wage worker is legally “free." Socially he is compelled to sell his ability to work in order to live. But he may select where and to whom he will sell it—in theory only!

Capitalism is the highest and most efficient form of exploiting society and its wages system conceals to a great extent the legalised robbery of its wealth producers. The separation of labour power from labour is responsible for the appearance that workers' wages are the full value of their labour. The fact that the value of the embodied labour may be £20 or more, and wages £10 or less, is not so evident.

High wages and low prices, security, and a happy, prosperous and carefree working class, are illusory. A fair day's wage for a fair day's work is a fallacy. The abolition of capitalism with its wages system is an indispensable task for the workers. Working men and women can only attain their freedom, independence. and control of the wealth they produce. in a Socialist system of society. Production to satisfy human needs as distinct from privileged greed, is the Socialist object.

John Higgins

Party Notes and News (1942)

Party News from the March 1942 issue of the Socialist Standard

Classes, Lectures, Discussions

Prior to the outbreak of the war, classes on diverse subjects were held at the old Headquarters in Southwark, and many of our readers will recall the highly successful lectures which were delivered under the auspices of the Bloomsbury Branch in Doughty Street, London. Many of the Bloomsbury lectures were repeated at various other London branches, and in some cases at branches in the provinces. War conditions, however, made it impossible for a time to continue this important activity. Gradually conditions improved sufficiently to enable us to organise a new effort aimed at developing the abilities of potential writers and lecturers, and generally fitting the members to increase their capacities for the propagation of Socialism.

Last September the first of a new series of classes on Marxian Economics, the Class Struggle, and Ancient, Mediaeval and Modern History was inaugurated. Com. C. Lestor was the tutor, and the classes were conducted every Monday evening at our new Headquarters. There was an average attendance of 35 keen students whose interest and enthusiasm were maintained throughout the course, which terminated in January. Another series to be run on similar lines is under consideration.

A writer’s training class, under the direction of Comrade H. Waite, is achieving encouraging results. Already a number of articles produced by the students of this class have been published in these columns, and as the class develops its full scope more articles will doubtless be forthcoming. The tutor is at present working on a scheme which may enable would-be writers for The Socialist Standard to receive tuition by correspondence.

Friday evenings are devoted to discussion meetings at which a Party speaker opens up the discussion on a subject previously selected by the organisers of the classes. Then follows a general discussion. Since the commencement of these meetings a variety of subjects, including many of topical interest, have been dealt with. Valuable experience has been gained by members who aspire to the Party’s platform. These meetings not only serve to increase the knowledge of members, but they afford many opportunities for them to develop their abilities to speak in public. The following Party speakers have contributed to the success of these meetings: Comrades Rubin, Waite, Turner, Cash, Young, Groves and Hardy. The average attendance at these meetings is 40 members.

On Sunday evenings, lectures have attracted audiences averaging about 60 members and sympathisers. Up to mid-February the syllabus and the lecturers were as follows: “ History of Political Economy,” Com. Goldie; ” Dictatorships, Ancient and Modern,” Com. Turner; “ History of Socialism,” Com; Cash; “ Federal Union,” Com. Groves; and ‘‘Tendencies for Socialism,” Com. Rubin. These lectures evoked great interest amongst the members, and the series is to be continued.

Although the foregoing classes and lectures are not the kind of activities from which the Party expects to benefit financially, the students have emphasised their enthusiasm by donating liberally.

The organisers are giving serious study to the question of enlarging the scope of the classes, and duplicating them in other parts of London. The possibility of extending aid to provincial branches to enable them to organise a similar effort is also under consideration.

In a few weeks the outdoor propaganda season will be here, and it is hoped that we shall be in a position to conduct an increased number of meetings as compared with last season.

Meanwhile, arrangements for debates are being made, and proposals for propaganda meetings in Manchester, Glasgow, Bristol, etc., are being examined by the Propaganda Committee. Fixtures, as they are made, will be announced in The Socialist Standard and advertised by other means.

Annual Conference

It is probable that the Party’s Annual Conference which is to be held on Good Friday, Saturday and Sunday, will be one of the most important and interesting in the history of our organisation.

Many delegates, members, and sympathisers from the provinces are expected to attend, and “exiles” from London will have the opportunity of renewing contacts.

Arrangements are being made to hold the Party Re-union and Dance in the evening of Easter Saturday. Details of the venue and times of the Conference, and of the Re-union, are announced elsewhere in this issue.

London comrades who are in a position to offer hospitality to delegates from the provinces during Easter, are asked to communicate details to the Social Committee at Head Office. A speedy response to this request will facilitate the task of fixing up suitable accommodation for our comrades.

H. G. Holt.

February, 1942.

What is value? (1962)

From the November 1962 issue of the Socialist Standard

Private property, commodities and value are a troublesome trinity unless we understand them. There are three important aspects of value. The first is its purely social character which shows itself in buying and selling. The second is abstract human labour as the social substance of value. The third is the quantity of social labour which determines the magnitude of value. Buying and selling is the mode of exchanging wealth today. It involves careful weighing, measuring and counting against price to ensure that equal amounts of values change hands.

Exchange is a social act in which value is measured. In order to do this, a commodity must be related to some other commodity, different in kind, in which it can express its value. The value of the article, is, at all times, the chief concern of its owner. But it must be a use value to people other than its owner. In all equations, the article on the relative side expresses its value in the one on the equivalent side.

As an imaginary example of the elementary form of relative value we can equate a coat to a pair of shoes. In this case, the coat, occupying the relative side, is expressing its value in the material form of shoes. If we invert the equation we then express the value of the shoes. However, provided that each person sees, in the other’s useful article, a value content equal to that of his own, exchange takes place. Equal amounts of value are realised in the useful form of each other’s goods. As property owners both are satisfied.

In such equations it appears, on the surface, that value is an inherent, an intrinsic or material part of the commodities. This is an illusion. All value equations are social relations between men in society in which the legal transfer of ownership of property is determined on the basis of equal amounts of value being exchanged. It should be obvious that such acts can only take place in private property based societies.

The question now is—how is the ratio of exchange accurately determined? All useful articles differ greatly. Take coats and shoes, for example; they differ in material, form and purpose. The concrete (or producers’) labour in them is also very different. We have spinning, weaving, tailoring, tanning and shoemaking. It is productive labour which creates use values; both the labour and the articles are material in character and are different in quantity and quality. They cannot be measured in these forms.

If we disregard the specific type of the work (engineers, bakers, etc.) we reduce it all to the expenditure of human skill and energy in wealth production. The common denominator is therefore, abstract human labour. This is common to all commodities and is our measuring rod. Concrete labour produces use value whereas abstract labour creates values. It is important to note that value-creating labour must be useful, socially necessary, and of average skill and intensity. Irrespective of all differences in their material form or usefulness, all commodities are embodiments of the social substance abstract human labour. Social labour measures, in time, from the smallest fractions upwards simple or complex labour.

The magnitude of the value of any commodity is easily determined. In making this abstraction we are merely following the general practice in science. For example, we have steam, petrol, gas and diesel engines, etc.; all different forms of energy. In abstraction we reduce all of them to power and express it in units of horse power. If we now look at our equation (one coat equals one pair of shoes) we see that as embodiments of human labour the coat and the shoes are similar in quality and, as units containing x hours of social labour, they are equal in quantity. Equal amounts of labour time will always produce equal amounts of value.

Commodity production and exchange extended and developed from the elementary form of value, through expanded relative forms and general forms, to the present money form. This latter is its fully developed form and it works efficiently in expressing value. As Marx said, gold is not by nature money, though money is by nature gold. Gold functions socially, as a universal equivalent, as a measure of value, a standard of price, means of payment and al medium of exchange and circulation. In this capacity it functions as money and becomes the social form of value.

In this, its social function, it assumes an independent form of value because it measures value in its own bodily form and is socially accepted as the material form of value. It stands on one side of the relationship, the equivalent side, as value, opposed to all other commodities on the relative side. In this dazzling role gold appears as a sort of king amongst commodities. However, as a humble commodity, gold is no different from salt, oil or coal. Its value is determined in precisely the same way as all other merchandise. One coat equals one pair of shoes, or one ton of coal, or ten pounds sterling—all of these are different forms of the products of social labour and contain equal amounts of it, are in quality and quantity equal as values.

The exalted position which gold in its money capacity occupies is due primarily to its being a commodity and secondly to its nature as a metal, which renders it eminently suitable for its job. It contains great value in small bulk, is readily coinable and measures value from the smallest fraction upwards. In addition, it enables large quantities of accumulated wealth to be easily stored. As money it is the universally accepted social form of value. It represents the incarnation of abstract human labour and is the materialised form of value. It crosses all international frontiers and encounters no barriers. As a consequence of all this it also serves as universal social use value. The owners of money have immediate access to anything in the world of commodities, in proportion to the amount they have. The owners of all other articles for sale are constantly striving to attract money from the pockets of its owners.

While value is not a physical or material property of any article it is nevertheless a social reality of great importance. It finds its fully developed form in capitalism, in general commodity production. Men, women and children are converted into buyers and sellers whose major social relationships are value relationships. We socialists have abolished the spiritual trinity and impatiently await the workers organising to abolish the social trinities of private property commodities and value, and, with them rent, profit and interest.

John Higgins