Americas
This is the fourth in a continuing series of special issues on the economy to which we have devoted the magazine each April since 2001. In the first of these, written shortly before the 2001 recession began, we took on the then prevalent myth of the “New Economy,” arguing that it was more myth than reality, and dispelling the notion that high tech and rising productivity gains had somehow tamed the business cycle. In April 2002 we dedicated the Review of the Month to examining the core economic contradictions of the system in terms of “Slow Growth, Excess Capital, and a Mountain of Debt.” Last April we asked the question, “What Recovery?” and focused on the fact that the recovery had failed to spread to employment, and on the whole problem of labor underutilization—inquiring into how the economy managed to keep going at all under these circumstances. | more…
Except in times of war, capitalist economies almost never reach full employment. The mere absence of jobs for those desiring paid employment, however, is not necessarily a problem for the ruling economic interests. Unemployment and the underutilization of labor more generally—the existence of what Marx called the industrial reserve army of labor—is a necessary part of a capitalist economy, since it keeps wages low as workers are forced to compete with each other for jobs. This becomes a serious problem for the system or for the political structure when the shortfall in employment coincides with a deeper structural crisis; when aggregate demand and thus investment opportunities are hindered by low employment and low wages; and when a shortage of jobs creates a political problem, sometimes even igniting popular opposition at the grassroots of society. All three of these contradictions are apparent in 2004, setting the stage for a national debate on the question of jobs, which more than three years since the beginning of the 2001 recession is now suddenly a front page story | more…
Doug Henwood, After the New Economy (New York: The New Press, 2003), 269 pages, hardcover $24.95.
In the late nineties, the San Francisco Bay Area was caught up in the mania of the high-tech, information-based “New Economy.” Venture capitalists threw money at e-commerce start-ups based on dicey premises, while loss-making companies raked in millions at their initial public offerings. In low income areas like the Mission District, dot-coms moved in, forcing out poor people whose only recourse was to organize themselves in anti-displacement coalitions and hope for the market to crash. In the fray, even a new type of gold digger emerged: women in search of nerdly adolescent millionaires with fat stock options. It was a stupefying time | more…
David Bacon, The Children of NAFTA: Labor Wars on the U.S./Mexico Border (Berkeley: University of California Press, 2004), 348 pages, cloth $27.50.
I once heard a discussion about the first sentences of books and those sentences that were among the most famous and most powerful. The opening of Gabriel Garcia Marquez’s One Hundred Years of Solitude was among the most popular. David Bacon’s first sentence in chapter one of his book must now rank among the most gripping: “NAFTA repeatedly plunged a knife into José Castillo’s heart.” | more…
Since 1964, the Socialist Register has brought together leading writers on the left to investigate aspects of a common theme. Global Flashpoints: Reactions to Imperialism and Neoliberalism examines the distinguishing features of neoliberalism today as well as the prospects for the left in the Islamic world, in Latin America, and in the capitalist North. | more…
This year Cuba will be celebrating the forty-fifth anniversary of its victorious revolution: a great historic achievement. And when we bear in mind that the Cuban revolution—the long sustained action of a nation of just eleven million people—survived for forty-five years against all odds, successfully confronting the declared enmity, the U.S.-dictated international political encirclement and economic blockade, as well as the ever renewed attempts to subvert and overthrow the post-revolutionary order by the world’s most preponderant economic and military power, even this simple fact puts forcefully into relief the magnitude and the lasting significance of the ongoing Cuban intervention in the historical process of our time. We are all contemporaries to an achievement whose reverberations reach well beyond the confines of the tendentiously propagandized “American Hemisphere,” offering its hopeful message to the rest of the world | more…
In 1996, Via Campesina, the recently formed international umbrella organization of grassroots peasant groups, introduced the term “food sovereignty”: the right of peoples and states to democratically decide their own food and agricultural policies and to produce needed foods in their own territories in a manner reinforcing the cultural values of the people while protecting the environment | more…
President Hugo Chávez openly defies the ruling class in the United States, daring to push forward new productive relationships, to advance social reform that provides access to health care and education, to remove Venezuela from the economic orbit dominated by the United States, to diversify its production to meet human needs and promote human development, and to forge an economic coalition between Latin American countries. But as Bush Versus Chávez reveals, Venezuela’s revolutionary process has drawn more than simply the ire of Washington. | more…
On NBC Television News, last Friday night, pictures were shown of American refugees who had fled from Panama following the rioting there. One woman, relating the frightening experience of her husband, said: “His car was overturned, rocks were thrown at him, and he barely made it into the Canal Zone.” | more…
Contributions by John Bellamy Foster, Vincent Navarro, William K. Tabb, Michael Perelman, Richard D. Vogel, David Roediger, Kristen Lavelle and Joe Feagin, Sabiyha Prince, Martha Gimenez, Stephanie Luce and Mark Brenner, Peter McLaren and Ramin Farahmandpur, Michael D. Yates, Angela Jancius, and Michael Zweig. Edited by Michael D. Yates. | more…
The articles on imperialism in this special issue were all written in honor of Harry Magdoff’s ninetieth birthday. Most of them grew out of papers presented at the “Imperialism Today” conference organized to celebrate Harry’s life and work, held in Burlington, Vermont on May 3, 2003. The conference was from our perspective an enormous success. Penetrating analyses of the current imperial moment were presented, challenging questions came from the floor, and there were good discussions and good cheer all around—despite the grim turn of world events that needed to be confronted. In the reception at the end of the day U.S. Representative Bernie Sanders (Independent-Vermont), spoke of Harry’s achievement. As the conference participants gathered around he declared that | more…
The chief, indeed the only, justification that Washington offered for its invasion of Iraq during its build-up for war between September 2002 and March 2003,was the need to “disarm” an Iraqi regime that Washington contended had broken UN resolutions banning weapons of mass destruction in that country. The problem, though, was that there was no hard evidence that Iraq, which had effectively destroyed its weapons of mass destruction in the 1990s under UN supervision, had any such weapons—or if it did that they were functional and constituted a significant threat. Nevertheless, the Bush administration continued to insist (based on speculation, hearsay, and what turned out to be fabricated evidence) that Iraq had such banned weapons in significant quantities and was actually deploying them. In an extraordinary propaganda campaign in which the whole mainstream media took part, the U.S. population was led to believe that they were in imminent danger of attack from these phantom weapons and had no choice but to support a pre-emptive invasion of that country | more…