beyond props for capital

by Allan Armstrong

Neo-liberalism and neo-Keynesianism – two options for capitalism

In the face of the deepening economic crisis enveloping the US and world economy, Alan Greenspan, former Chair of the US Federal Reserve and prime architect of Republican neo-liberalism was summonsed to a Congressional hearing on October 23^rd 2008.  Asked to account for the failures of the ‘free market’ he shamefacedly admitted, “I have found a flaw. I don’t know how significant or permanent it is. But I have been very distressed by that fact.”

Greenspan’s embarrassed admission highlighted the fact that unregulated ‘free market’ capitalism does not bring continued economic growth and prosperity in its wake.  For every upturn, there is a downturn.  Therefore, even before the final demise of the ailing Bush Presidency, his Republican administration, and the following Democrat President Obama, have been forced to adopt a programme of massive government bail-outs of failed companies, first banks, followed by key industries, such as Chrysler.

resisting redundancy and recession: appraising the tactic of occupation

by Gregor Gall

In times of recession and restructuring, the occupation or sit-in tactic is potentially a powerful tool when workers are faced with redundancy because it provides leverage that strikes often cannot. Yet, since late 2007 when the global downturn began, we have witnessed very few examples of occupation – certainly far fewer than might have been expected given the depth and extent of recession.

So to date the numerical roll call of occupations has been: Australia (2), Britain (7), Canada (4), Eire (7), France (28) and the US (1). It is worth bearing in mind the relative context of the size of the labour forces of each of these countries. Respectively, these are 11m, 31m, 18m, 2m, 28m, and 153m.

radio interview with loren goldner on ssangyong factory occupation in south korea

Click here to hear an interesting radio interview with American left communist Loren Goldner, who lives in South Korea, on the factory occupation at a Ssangyong car plant in Pyeongtaek which has been maintained for two months in response to huge job cuts. See below for footage of the violent police attempts to smash the mass-sit-in, which workers have organised to resist.

reprints of the commune’s pamphlets – buy online

We have printed more copies of our series of pamphlets, several of which (in particular the long-unavailable Venezuela pamphlet) were out of print. See below for a list of the seven pamphlets available. They cost £1 +50p postage per copy. To order online, work out the total of your purchases then ‘donate’ the money here, making sure to specify in the text box what you are ordering.

Alternatively, write to uncaptiveminds@gmail.com to place your order. We take payment by cheque (addressed to ‘The Commune’, at The Commune, 2nd Floor, 145-157 St. John Street, London EC1V 4PY) or by transfer to Co-op account S/C 089299, A/C 65317440.

fictitious capital and credit schemes

This talk given by Michael Egoavil at the Left Forum 2009 panel “Marx’s ‘Capital’ and the Economic Crisis” argues against the demand for state ownership of banks. Michael can be reached at michaelegoavil@gmail.com.

Today I’m going to be discussing Marx’s theory of fictitious capital and its relation to real capital accumulation. Along the way I’m going to focus on Marx’s seldom-read analysis of a French bank known as the Credit Mobilier, in which this theory played a fundamental role. I’ll conclude with some thoughts on how this relates to socialist politics today.

In the third volume of Capital, Marx discusses what he calls “fictitious capital” – what we know as “securities.” Essentially these are titles to streams of income, which are treated as commodities and bought and sold on financial markets. There are significant differences between types of securities. Some represent corporate debts, as with bonds, some represent consumer debts, as with mortgage backed securities, and others represent capital investments, as with shares of stock. But the common aspect of all these different securities is that they all give their owners a right to a stream of income, hopefully leaving them with more money than they started off with. The security owner therefore looks upon his security as capital.

anti-deportations demo highlights repression of migrant worker organising

Today around forty people demonstrated outside the Willis Group building at Lime Street in the City of London in an emergency demo called to demand justice for Mitie cleaners snatched by immigration police in a raid on July 14th (the underhand nature of the vile operation is detailed here). As well as shouting slogans against border controls in English and Spanish, protesters demanded the payment of wages and the granting of holidays to the detained workers.

An advertisement for the protest explained “Cleaners’ campaign successes are being clawed back in a series of attacks on those who have fought for improved wages and conditions. The latest victims are a group of cleaners who work for the services company Mitie. They were asked to come to the site of Willis Insurance brokers for a chemicals training course but instead were met by immigration officers. Nine cleaners: Alejandro, Hermes Ayala, José Sorriso, Karina Cruz, Cintia, Sonia and  Sebastián Desolsa and two others were detained. This action is in the wake of months of weekly protests organised by a group of former Mitie cleaners and their supporters including shop steward Edwin Pazmino, who were sacked for refusing to work a longer night shift.

review of the left press july/august 2009

by Nathan Coombs

It is a well-worn cliché to decry the separation of theory and practice on the Left.

Firstly, you are meant to start by pointing to the specialised jargon and stuffy scholasticism of academic Marxism – a well-deserved reproach in my opinion; at least for anyone who has picked up a text by Theodor Adorno, or, god forbid, the yawn inducing post-Marxist procrastinations of Jurgen Habermas.

Secondly, you are then meant to imply that if only academic Leftists could remedy this state of affairs some sort of revolutionary synergy (praxis) would magically transform the situation – an attitude that could be surmised as “make your works ‘accessible’; take responsibility to lead the vanguard!”

The reality however is surely more mundane and ego deflationary. That is, more mundane in the sense that academic Leftism is a generally a closed circuit of thought in a professional debating chamber. And more deflationary, most people simply don’t have the time to keep up with it all – why should they?

Or perhaps worst of all there is the stinging sense in which we could take Louis Althusser’s idea of Marxist knowledge after Marx[i]: only a transformative movement that takes action and is thrown into a directly political situation can create knowledge which does not dissolve into idealist speculation. If we take Althusser seriously, then the best academic Marxists can seek to do is describe the situation, give class and production oriented historiographies, and provide critique. The separation of theory and practice is inevitable.

In any case, this unresolved apologia out of the way, what I want to do in this regular column for The Commune is to take a critical reading of the main (non-specialist) Left journals to at least help provide a short-cut to the best of the best and the best of the worst out there.

all quiet on the vestas front

by Adam Ford

It was an oddly relaxed mid-afternoon on the seventh day of the Vestas wind turbine factory occupation yesterday [Tuesday 27th July], as demonstrators in the roundabout solidarity camp listened to a couple of musicians in the Isle of Wight sunshine.

With Vestas going to court on Wednesday in an attempt to get legal backing for an eviction, it was very much a case of the calm before the storm. In the meantime there was apparently little for people to do except lounge around in their tents, and occasionally shout their support to the occupiers when they came out on the balcony.

vestas occupied!

Workers at the Vestas wind turbine blade plant on the Isle of Wight have occupied their factory in Newport in an attempt to prevent its closure, which was scheduled for the end of this month. Their brave fight in is an example of what workers can do when they get together and take militant action to save jobs and sustainable industries.

We call upon everyone around the country to send whatever support they can to the workers at Vestas. We all have an interest in a sustainable future, and we all have a responsibility to show solidarity to workers in struggle.

We have already reported on the significance of this struggle, both in terms of its concrete objectives, and in terms of how it came about.  The occupation has occured against a background of non-unionised workers, and activists from Workers’ Climate Action appear to have made a significant contribution to the organisation so far, including introducing the idea of an occupation.

More news will follow when we have it.  A list of resources, events, and things you can to do help follows.

on the roots of the economic crisis and some proposed solutions

Andrew Kliman, author of Reclaiming Marx’s Capital, spoke at our London forum on ‘Causes and Implications of the Economic Crisis’ on Wednesday 8th July. For those who missed Andrew’s excellent talk, this article explains some of his positions on the crisis.

Some prominent radical economists and non-economists have denied that Marx’s theory of the tendential fall in the rate of profit helps to explain the current economic crisis. I want to begin by explaining why they dismiss this theory, and then argue, to the contrary, that the current crisis does have a lot to do with the tendential fall in the rate of profit as analyzed by Marx.

In the 1970s, as an outgrowth of the New Left, and because of the global economic crisis of that decade, there was a renewal of scholarship that attempted to reclaim Marx’s value theory and theories grounded in his value theory, such as his theory of the tendential fall in the rate of profit and his theory of capitalist economic crisis. But these efforts met with a strong reaction, in the form of a resurgent myth that Marx’s value theory and law of the tendential fall in the rate of profit had been proved internally inconsistent. It needs to be stressed that the resurgence of this myth of inconsistency came from within the Left; almost all of the critics of Marx’s value theory in this period, and ever since, have been Marxist or Sraffian economists.

labour party: no return to the living dead!

by Chris Kane

The much vaunted “green shoots of recovery” from the recession have been revealed to be no more than weeds in the New Labour cabinet. The only actual recovery we have seen has been the recovery of banks by the capitalist state. For the working class unemployment continues to grow: uncertainty about wages, job security and paying the rent or mortgage is on the mind of every working class person.

The main capitalist parties, Tories, New Labour and Liberals, are in disarray over the recession: they lack any clear understanding of its cause or a solution. But there is unanimity in maintaining the capitalist system and the idea that the working class should have to pay for the recession.  Yet in this dire situation, where is the alternative? We have a deep structural crisis of capital which has been expressed first in the economy then the political system of parliamentary democracy, which has revealed to millions of people that there is something deeply rotten about the capitalist system.

july 8th london forum: kliman speaks on the capitalist crisis

Andrew Kliman, author of ‘Reclaiming Marx’s Capital’, will be giving a talk in London on Wednesday 8th on ’causes and implications of the capitalist crisis’. The meeting takes place from 8pm at the Lucas Arms, Grays Inn Road, near King’s Cross.

Kliman, a member of the USA’s Marxist-Humanist Initiative, has argued that we have to see the current crisis as part of a wider structural crisis of capital, and moreover has argued that statist and Keynesian solutions to the crisis are a dead end for the working class. See our October interview with him here.

The meeting is being jointly hosted by The Commune and The Hobgoblin group.

All welcome. Plenty of time for discussion. Email uncaptiveminds@gmail.com for more info: map of the venue appears below.

the commune issue 6 out now!

The sixth issue of The Commune (July 2009) is now available

The paper is published online, but you can order a printed copy or multiple papers to sell (£1 + postage for one copy, or £4 per 5 issues) by emailing uncaptiveminds@gmail.com

Click the image to see PDF, or see articles as they are posted online below.

editorial – migrants are at the heart of our fightback

Adam Ford reports on the Linamar fight and the state of the car industry

Joe Thorne looks at resistance to primary school cuts in London and Glasgow

Dave Spencer argues that the left has much to learn from the local work of the Northampton Save Our Services campaign

Jack Staunton writes on call centre workers’ organising initiatives

Chris Kane counters the argument that we ought to go back to the Labour Party, and stresses that communists need to organise

Kofi Kyerewaa explains the flaws of calling for the banning of the BNP

Activists participating in the occupation to protest the SOAS immigration raid draw a balance-sheet of the struggle

The story of the victimisation and planned deportation of a Chilean woman who dared to stand up to her employer Fitness First

Alice Robson reports on the campaign against cuts in English classes in Tower Hamlets

Kieran Hunter examines the hostile media and public response to June’s strike on the London Underground

David Broder looks at reactions to the mass movement in Iran against the re-election of Ahmedinejad

Alberto Durango explains how Unite have abandoned cleaner organising

Gregor Gall looks at the victory of the Lindsey oil refinery strikers and its implications for the industry

Joe Thorne looks at resistance to primary

school cuts in London and Glasgow

Dave Spencer argues that the left has much

to learn from the local work of the Northampton

Save Our Services campaign

Jack Staunton writes on call centre workers’

organising initiatives

page 3

Chris Kane counters the argument that we

ought to go back to the Labour Party, and

stresses that communists need to organise

Kofi Kyerewaa explains the flaws of calling

for the banning of the BNP

page 4

Activists participating in the occupation to

protest the SOAS immigration raid draw a

balance-sheet of the struggle

page 5

The story of the victimisation and planned

deportation of a Chilean woman who dared

to stand up to her employer Fitness First

Alice Robson reports on the campaign

against cuts in English classes in Tower

Hamlets

page 6

Kieran Hunter examines the hostile media

and public response to June’s strike on the

London Underground

page 7

Alberto Durango explains how Unite have

abandoned cleaner organising

page 8

Gregor Gall looks at the victory of the

Lindsey oil refinery strikers and its implications

for the industry

workers fight motor meltdown

by Adam Ford

The recent reinstatement of union convenor Rob Williams by his bosses at the Linamar car parts factory is a welcome victory for the Swansea workers, as well as all those who expressed their solidarity. Amongst the celebrations, however, caution is needed. Linamar are likely preparing a counter-attack, and this is just one front in a global war on car workers’ conditions.

Linamar sacked Williams on April 28th. According to the company, there had been an “irretrievable breakdown of trust”.