John Cassidy, who writes on economics for the New Yorker, is in our view one of the most interesting anhd creative commentators on economic analysis and trends writing in the mainstream today. His perspective might be best characterized as institutionalist-realist, in the tradition of thinkers like Thorstein Veblen, John Kenneth Galbraith, and Hyman Minsky.… Cassidy’s latest critical contribution is an online New Yorker news item published on December 12, 2014, carrying the rather prosaic title, “The Winner of the Spending Bill Vote: Jamie Dimon.”… [In this piece] Cassidy…explain[s] how the spending bill passed by the House of Representatives included a rider that rolled back regulations that had been imposed after the Great Financial Crisis on some of the riskier activities of banks. Such speculative activities were to be transferred to the unregulated bank subsidiaries not covered by the federally guaranteed bank insurance system. This has now been reversed and banks are again allowed to engage directly in such high-risk speculative activities, with the losses being picked up by the general public.… There is no doubt that Cassidy is correct, and that the analyses of “left-left” thinkers like Sweezy, one of Monthly Review’s founding editors, and Chomsky, an MR author, have been generally on the mark in pointing out that such outcomes are to be expected in the state management of the economy. | more…
Naomi Klein’s new book, This Changes Everything [argues that the source of the looming crisis from climate change] is not the planet, which operates according to natural laws, but rather the economic and social system in which we live, which treats natural limits as mere barriers to surmount. It is now doing so on a planetary scale, destroying in the process the earth as a place of human habitation.… In the age of climate change, Klein argues, a system based on ever-expanding capital accumulation and exponential economic growth is no longer compatible with human well-being and progress—or even with human survival over the long run.… In this way Klein…signals that she has now, in William Morris’s famous metaphor, crossed “the river of fire” to become a critic of capital as a system.… [This] has led to a host of liberal attacks on This Changes Everything, often couched as criticisms emanating from the left. These establishment criticisms of her work, we will demonstrate, are disingenuous, having little to do with serious confrontation with her analysis. Rather, their primary purpose is to rein in her ideas, bringing them into conformity with received opinion. If that should prove impossible, the next step is to exclude her ideas from the conversation. | more…
Many people think of cooperatives as small, locally owned businesses, such as groceries, cafes, or bicycle shops, where people can work in an equal and participatory non-capitalist organization. In reality, the U.S. co-op movement is tied to federal agencies whose agenda is promoting neoliberalism, both domestically and abroad, and the co-op movement itself has neoliberal leaders. Many co-ops in name are profit-driven capitalist corporations in practice. And even in the abstract, the co-op principles of smaller co-ops enable neoliberal cooperative politics. All of this, however, raises the question of what a co-op based on socialist values would be, and China’s Nanjie village provides a living example of that. | more…
Clarifying what Karl Marx thought of the role of cooperatives is useful, not to receive the “correct” answer to what that role will be, but to help think through what alternatives answers might be and how they might color today’s expectations of the cooperative movement. If one sees a non-capitalist or socialist organization of society as ultimately desirable, then how should we answer the following questions in the present day: (1) Are co-ops in production, worker-owned enterprises, desirable experimental improvements to the organization of production over standard capitalist practices, in the direction of immediate social welfare? (2) Are such co-ops in production also little islands of a different future, models of socialism within a capitalist society? (3) Are they beachheads of socialism, politically practical steps along the road to bringing forth such a possible alternative society? (4) Will they ultimately also be the foundations of such a society, if it develops? (5) All in all, what is their importance, their role, in daily struggles? | more…
Three years after the fact, the event called Occupy retains its strange strategic inconsistency. It is something we still do not know how to think about.… We should take this illegibility seriously, not only as a tactical decision, but also as a reflection of the inadequacy of our inherited categories in describing the current logic of class struggle. This inadequacy should not surprise us; on the contrary, it confirms the ongoing vitality of the real movement to abolish the state of our present situation. Approaching Occupy requires that we separate out what happened from what was said about what happened, and place both in political-economic context. In what follows I briefly consider the first and third of these, and hope to address the second in the near future. | more…
Had Marx written Capital in the early twenty-first century, knowing what he could not discern in 1867—that the global dominance of capital, through the military and imperialism, would be realized by the United States—this is the book he may have written using the methodology he developed in the mid-nineteenth century.… What Walter Johnson desires is to change entirely the way we think about the history of the United States, particularly the development of capitalism. He also wants to change how we think about the application of dialectical materialism to the United States. Like Marx, Johnson marshals thick description to disclose the theses that emerge. | more…
Chris Bambery’s splendid People’s History builds upon the scholarly work of others across several generations…. In Bambery’s careful telling, the decisive moment in anything like modern Scottish history comes several hundred years ago. The Scots’ real capitalism spread through the savage process of depopulation that Marx described so brilliantly in Capital: enclosure. Over extended decades, thousands of historic villages were literally emptied, so much so that remnants of crude huts can still be found in areas that have fewer inhabitants than sheep. The distinct language, created over thousands of years and retained with great effort in Wales, and with less effort in the rural districts of Ireland, did not need to be crudely suppressed here: the victims, pushed into the cities when not driven to early deaths, seem to have lost everything in this later period but their colorful, characteristic Scottish accents. | more…
