Political Economy
The United States is facing the prospect of a major defeat in Iraq that is likely to constitute a serious setback in the ongoing campaign to expand the American empire. Behind the pervasive war propaganda as evidenced in the “victorious” attack on Fallujah lies the reality of a U.S. war machine that is fighting a futile battle against growing guerrilla forces, with little chance for a stable political solution to the conflict that could possibly meet U.S. imperial objectives. Nevertheless, the U.S. ruling class, though not unaware of the dangers, is currently convinced that it has no choice but to “stay the course”-a slogan adopted by both political parties and accepted by virtually the entire economic, political, military, and communications establishment. The reason for this seemingly irrational determination to stick it out at all costs can only be understood through an analysis of the logic and limits of capitalist empire | more…
The bursting of the housing bubble and the ensuing financial debacle have left most people, including many economists and financial experts asking: Why did this happen? If they had been reading Monthly Review, and were familiar with such articles as “The Household Debt Bubble,” “The Explosion of Debt and Speculation,” and “The Financialization of Capitalism,” they would not have needed to ask. In their new book, The Great Financial Crisis: Causes and Consequences, Monthly Review editor John Bellamy Foster and long-time Monthly Review contributor, Fred Magdoff, update this analysis, exploring the whole course of what is now known as “the worst financial crisis since the Great Depression”: from the debt explosion and housing bubble to the subprime debacle and federal bailout. They argue that this latest financial crash, although greater than any since 1929, is itself a symptom of deeper problems connected to the stagnation of the “real” or productive economy of mature capitalism. Financial bubbles have become the chief means of countering stagnation, but these inevitably burst, bringing the underlying economic problems back to the surface. The only recourse of the system: new and bigger bubbles, leading, as they too pop, to still greater financial crises and worsening conditions of production—in what has now become a vicious cycle. | more…
“A new age of barbarism is upon us.” These were the opening words of an editorial in the September 20, 2004, issue of Business Week clearly designed to stoke the flames of anti-terrorist hysteria. Pointing to the murder of schoolchildren in Russia, women and children killed on buses in Israel, the beheading of American, Turkish, and Nepalese workers in Iraq, and the killing of hundreds on a Spanish commuter train and hundreds more in Bali, Business Week declared: “America, Europe, Israel, Egypt, Pakistan, and governments everywhere are under attack by Islamic extremists. These terrorists have but one demand—the destruction of modern secular society.” Western civilization was portrayed as standing in opposition to the barbarians, who desire to destroy what is assumed to be the pinnacle of social evolution. | more…
Even in the United States, some aspects of life are too precious, intimate or corruptible to entrust to the market. We prohibit selling kidneys and buying wives, judges, and children | more…
Following a short hiatus in the 1970s, capital punishment has regained its position as the most reactionary social policy in America. In the Supreme Court case of Furman v. Georgia, the Court ruled that the death penalty, as it had been practiced prior to 1972, was unconstitutional and effectively placed a legal moratorium on executions in the United States. Four years later, that same Court accepted minor statutory reforms and reinstituted the death penalty in Gregg v. Georgia. Placing these landmark court decisions in historical perspective and reviewing subsequent developments reveal the political dimensions of capital punishment in the United States during the last fifty years | more…
Janet E. Aalfs , poet laureate of Northampton, Massachusetts (2003–2005), is the author of Reach (Perugia Press, 1999) and Red(self-published, 2001). She won first prize in the 2004 Boston Herald poetry contest judged by Alice Quinn of the New Yorker. | more…
Lawrence Kaplan and Carol P. Kaplan, Between Ocean and City: The Transformation of Rockaway, New York (New York: Columbia University Press, 2003), 237 pages, paper $37.50.
The postwar fate of Rockaway, Queens, may well have been sealed when it was swept into the great consolidation of towns and boroughs that became New York City in 1898. An eleven-mile-long pencil-thin peninsula, Rockaway faces Jamaica Bay along one flank and the Atlantic Ocean on the other. Blessed by its natural resources and fairly isolated from the stresses of city life, it enjoyed a very long run as “New York City’s favorite beach resort” with day-trippers pouring into Jacob Riis Park by the tens of thousands. But by the end of the 1940s, its glory days were fading, and it was on the way to becoming an exclusively year-round community | more…
Michael Perelman, The Perverse Economy: The Impact of Markets on People and the Environment (New York: Palgrave Macmillan, 2003), 224 pages, hardcover $55.00.
There is no shortage of opinion within the circles of policy and punditry that the free market is, or ought to become, the new Atlas. The dominant discourse holds that the weight of the world, and its scourges from poverty to pollution, can only be borne and transcended through utter reliance on the market. Michael Perelman’s latest book confronts this position head on, arguing that far from providing a basis for sustainability and health, markets provide and respond to incentives which impoverish, dehumanize, mutilate, and kill workers, and which are leading us further into ecological ruin. Perelman scrutinizes a number of pillars of conventional economic theory, assessing them under the light of their implications for people and the environment, and emerges with an argument that economic theory justifies an unjustifiable system. This requires two separate points. First, the market produces disastrous results for workers and for nature. Second, economics as a profession has consistently functioned to obscure and apologize for those results | more…
The analysis proposed here regarding the role of Europe and the Middle East in the global imperialist strategy of the United States is set in a general historical vision of capitalist expansion that I have developed elsewhere. In this view capitalism has always been, since its inception, by nature, a polarizing system, that is, imperialist. This polarization-the concurrent construction of dominant centers and dominated peripheries, and their reproduction deepening in each stage-is inherent in the process of accumulation of capital operating on a global scale | more…
In 1996 President Clinton signed the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA), to end “welfare as we know it.” PRWORA, euphemistically referred to as “welfare to work” or simply “welfare reform,” has fundamentally changed the status of women within U.S. capitalism. Historically, women’s roles in the sexual division of labor have been to reproduce the laborer (cook and keep house) and reproduce the labor force (have children). If women had to work in the formal labor force, then society demanded that they hold jobs appropriate to their gender. There has always been a gender-based social discipline of women whether they were wage earners or homemakers. It is interesting to note that still today beauty contests, sexual harassment, and compulsory use of birth control pills are all forms of discipline enforced on women in many third world factories. Of course, sexual harassment is common in the workplaces of the rich capitalist countries as well | more…
Tonight as cargoes of my young
fellow countrymen and women are being hauled
into positions aimed at death, positions
they who did not will it suddenly
have to assume
I am thinking of Ed Azevedo
half-awake in recovery
if he has his arm whole
and how much pain he must bear
under the drugs | more…
The following brief intellectual biography of Paul Sweezy was drafted in September 2003 shortly before I saw Paul for the last time. It conveys many of the basic facts of his life. But as with all biographies of leading intellectuals it fails to capture the brilliance of his work, which must be experienced directly through his own writings. Nor is the warmth of Paul’s character adequately conveyed here. A short personal note is therefore needed. What was so surprising about Paul was his seemingly endless generosity and humanity. Paul gave freely of himself to all of those seeking his political and intellectual guidance. But a few, such as myself, were particularly blessed in that they experienced this on a deeper, more intense level. For decades Paul was concerned that Monthly Review not perish as had so many socialist institutions and publications in the past. He recognized early on that the continuance of the magazine and the tradition that it represented required the deliberate cultivation of new generations of socialist intellectuals. I was fortunate to be singled out while still quite young as one of those. For decades Paul wrote me letter after letter—no letter that I wrote to him ever went unanswered—sharing his knowledge, intellectual brilliance, and personal warmth. It was an immense, indescribable gift | more…