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Multinational Corporations and the Globalization of Monopoly Capital

From the 1960s to the Present

In 1964, Paul Baran and Paul Sweezy wrote an essay entitled “Notes on the Theory of Imperialism” for a festschrift in honor of the sixty-fifth birthday of the great Polish Marxist economist Michał Kalecki.… [T]he essay offered the first major analysis of multinational corporations within Marxian theory. Parts of it were incorporated into Baran and Sweezy’s Monopoly Capital in 1966, two years after Baran’s death. Yet for all that book’s depth, “Notes on the Theory of Imperialism” provided a more complete view of their argument on the growth of multinationals. In October and November 1969, Harry Magdoff and Sweezy wrote their article “Notes on the Multinational Corporation,” picking up where Baran and Sweezy had left off. That same year, Magdoff published his landmark The Age of Imperialism, which systematically extended the analysis of the U.S. economy into the international domain.… In the analyses of Baran, Sweezy, and Magdoff, as distinct from the dominant liberal perspective, the multinational corporation was the product of the very same process of concentration and centralization of capital that had created monopoly capital itself.… | more…

No Reconciliation without Truth

An Interview with Tan Swie Ling on the 1965 Mass Killings in Indonesia

In the early morning of October 1, 1965, self-proclaimed left-wing troops raided the houses of seven top army generals in Jakarta. In the process, six of the generals were killed—three were shot during the kidnapping attempt, while the others were taken to Lubang Buaya, an air force base located in the south of Jakarta, and then killed. The seventh general, Nasution, managed to escape. The perpetrators announced on national radio that they were troops loyal to President Sukarno, and they aimed to protect the president from the danger posed by the right-wing “Council of Generals”—who, they said, were planning to launch a military coup d’état.… This movement was very short-lived. Within one day, it collapsed. Major General Suharto…took control of the army during the morning of October 1 and quickly crushed the movement.… [W]hat happened on October 1, 1965 marked the fall of Sukarno and the rise of Suharto, who was soon to rule Indonesia under his military dictatorship for more than three decades. The brutality of Suharto’s New Order is probably not news for people familiar with Indonesia. But there is “an episode the West would prefer to forget,” as journalist John Pilger put it, that accompanied Suharto’s rise to power: the destruction of Communism and the mass killings that followed—a phenomenon claimed by Time magazine in 1966 as “The West’s best news for years in Asia.”… | more…

Behind the Veil of Globalization

Globalization is not a novel development in the history of capitalism. In his final Monthly Review article, Paul Sweezy argued that globalization is a process, and that it has been occurring for a long time.… The accumulation of capital…has always meant expansion. Furthermore, this very process of growing and spreading is global in scope and, most importantly, imperialistic in its characteristics. Marxist scholars have long argued that imperialism has always accompanied capitalism…. Nevertheless, even if we start with the idea that globalization—or global capitalist expansion—is not novel, this does not trample the argument that the development of such expansion is marked by new characteristics in certain periods. Examining these historically specific characteristics can highlight the imperialistic “nature” of capitalism throughout history, including the development of our current global economy, which will be the focus of this essay.… | more…