China and the crisis of imperialism

“For about four decades, the west and China engaged with each other economically and diplomatically to the benefit of both. But this era is at an end. The crucial question now is to what extent a process of mutual decoupling can be managed to minimise the economic fallout and avert the risk of conflict.”

(“Averting the risk of a China-US conflict”, Financial Times, 23 December 2021)

During the 1970s, the supposedly Marxist and Communist Chinese Communist Party (CCP) government of China threw a life-line to the crisis-ridden imperialist states of the US and Western Europe. This provided China with access to world markets, modern technology and finance markets. No one can deny that the people of China have a right to all of this. However, the political side of this deal was deeply reactionary, as we will show below. Fifty years down the line, a hugely changed China emerges as a redoubtable rival, within the system of international imperialism, to the powers which have been her quasi-allies for nearly 50 years.

Chinese workers and peasants paid a price for this deal. For almost half a century their underpaid and sweated labour has enriched both a Chinese bourgeoisie and Western finance capital. The price that workers in North America and Europe paid was to undergo a debilitating war of attrition on their class as industry after industry was closed down and “exported”.

Imperialism (capitalism at its highest stage of development) was in an intractable crisis in the 1970s. Throughout North America and Western Europe, a well-organised and confident working class was asserting itself in the workplace and exerting pressure on bourgeois political systems. On the one hand, Soviet troops were stationed in the heart of Europe to the east of the river Elbe, a reminder that the legacy of the Russian Revolution of 1917 still lived, even under a degenerate and corrupt leadership; on the other hand, a post-war generation of workers in the west had grown up under bourgeois governments committed (despite themselves) to full employment and increasing social expenditure on welfare, health, working-class housing, access to justice and educational provision.

Marxism provides an irreplaceable weapon for working-class activists in the shape of Lenin’s 1915 study: Imperialism: The highest stage of capitalism. As far as I know, the best and most systematic attempt to at least sketch out an account of the entanglement of economic, social and political developments in the development of the world since Lenin wrote this is contained in Marxist Considerations on the Crisis by the late Balazs Nagy. Nagy concentrates on the period during and since World War II and has a great detail to say about the situation in the 1970s within which the nefarious alliance between Western imperialism and the leadership of the People’s Republic of China (PRC) came about. Both these works can easily be consulted online by searching the Marxist Internet Archive.

Imperialism in crisis

By the 1970s, an economic boom based on replacing the massive destruction of productive forces during World War II was coming to an end. Part of this boom had involved US capitalists financing growth in Japan, Korea and Western Europe in order to provide a barrier to further expansion of the Soviet bloc and China. However, these clients were now turning into competitors, and they enjoyed the advantages that their work-forces were cheaper and their plant and technique were more modern. Working-class struggles at home, and investment tied up in often ageing plant, made it difficult for UK and US businesses to compete.

A really valuable part of Nagy’s Marxist Considerations is devoted to Marx’s thoughts on what money is, its place in the overall system of capitalism, and how that was reflected in the events of the 1970s.

Imperialism was flailing around in a crisis and the class conflict was heating up. From the early 1960s onwards, increasingly desperate attempts to claw back working-class gains by the employers and their state machines led to ever more bitter class struggles.

These problems, and the growing competition that the established capitalist powers faced from newcomers such as Korea and a resurgent Japan, were reflected in the monetary crisis. After 1944, all the world’s major currencies had been valued by reference to the US Dollar, which itself (and it alone), was anchored in a fixed relationship to gold. But as time passed, this became a burden which the US economy could no longer bear. They could no longer sustain the promise to sell gold to all comers at $35 to the ounce of gold. It fell to President Nixon to take a step into the unknown and break the link between dollars and gold in 1971.

Meanwhile, the masses in the colonial possessions and dependencies of the various capitalist states were fighting for and in many cases winning independence. This threatened the super-profits, which the capitalist states had previously obtained from cheap labour, and their control over valuable sources of raw materials and energy. Where the imperialists could not directly prevent this, they looked for ways to corrupt the new “liberation” regimes and retain what they could of their economic advantages and privileges.

Intensified class struggle

A notable example of the intensified class-struggles in western Europe was provided by the May-June events of 1968 in France, whose impact was felt across Europe and internationally. These events led to an electoral defeat for the “strong man” president Charles de Gaulle. In Britain, Labour governments (under Harold Wilson and James Callaghan), and a Conservative government under Edward Heath, struggled in vain to tame working class militancy.

And all of the contradictions of imperialism were concentrated in the United States, where the Republican President Nixon was grappling with powerful working-class resistance to attempts to claw-back their hard-won gains in wages, working conditions and social rights. Meanwhile the US was losing the war in Vietnam and facing increasingly widespread opposition to the war at home.

It was Nixon’s “fixer”, Henry Kissinger, who lined up a way for his imperialist masters, if not to end their crisis, at least to hold off the collapse of their system. The relationship between President Nixon and his Secretary of State was unusually close and confidential.

From behind the scenes, Kissinger orchestrated the military coup which toppled a left-wing elected government in Chile and murdered President Salvador Allende. 130,000 suspected left-wing activists were rounded up. Thousands were tortured, murdered or simply “disappeared” at the hands of the “Caravan of Death”. At the same time, Kissinger encouraged the government’s “dirty war” against left-wingers in Argentina, where military death-squads kidnaped and murdered activists. He also secured US support for Pakistan’s genocidal war against Bangladesh.

The busy Mr. Kissinger finds allies in Beijing

At the same time, Kissinger had to get the Vietnam war over and off the agenda. His visits to Beijing and Moscow opened the door to the Paris Agreement which achieved that goal. It also opened up a more relaxed relationship with the Soviet Union’s leadership and much closer relations between the US government and the Chinese leadership. A meeting with Chinese Premier Zhou Enlai in 1971 in Beijing established a growing alliance between the US and Chinese governments and deepened China’s split with the USSR.

By the late 1970s – not without considerable disruption in Chinese society and the political leadership of the CCP – the People’s Republic of China (PRC) was preparing to benefit from the opening up of trade relations with western imperialist partners such as the USA and the UK.

The sheer extent of the “technology transfer” which started then is staggering. Under Deng Xiaoping, a crash programme was started to train 800 000 research scientists in the fields of energy resources, information technology, laser and space technology, high-energy physics and genetics. Plans were laid for 88 new universities. Schools were instructed to identify gifted pupils and prepare and enter them for the highly competitive entrance examinations for these universities. Hundreds of students were dispatched to the US and other countries to catch up with the latest developments in all these fields.

None of this was happening by accident, nor could it have done, given the international relations which had prevailed during the “Cold War”. From 1949 until 1978, Western imperialist countries had inflicted a virtual trade boycott on Russia, Eastern Europe and China – the same policies used today in an attempt to strangle states like Cuba, Venezuela and Nicaragua, who in any way refuse to be dominated by imperialism. This was the other limb of the huge military effort the imperialist states undertake to encircle, isolate and intimidate these countries.

Indeed, no state can survive for long or make real progress towards a socialist society in isolation from world trade, world economy and the international development of industry and science. It was for this very reason that Lenin and the leaders of the Russian Revolution established the Communist International in 1919 in order to lead and organise the world revolution against capitalism/imperialism.

But after Lenin’s death the new leaders who rose to prominence in the USSR undermined the Communist International politically, turning it into a mechanism for imposing their own bureaucratic methods and approaches and Russian-nationalist interests on the Communist Parties around the world. This led to terrible defeats for working class struggles, in particular in China (1926-1927), Germany (1929-1933) and Spain (1936-1939).

By the way, as we will discuss below, not all states that stand up to, resist and even compete with the existing imperialist powers do so on the basis of socialist internationalism. Some nourish their own imperialist ambitions. South Korea and many of the Asian “tigers” we will discuss later had an alliance with US or British imperialism but also advanced their own interests. For example, during the economic and monetary crisis engulfing the Pacific Rim in the late 1990s, many of the “tiger Economies” in the region defied America’s proposed solutions quite robustly. The rulers of Syria and Iran, who are far from being freedom-loving democrats and a very long way away from being socialist revolutionaries, also face and oppose crippling imperialist blockades and boycotts. This does not lend these regimes a progressive social character.

China’s reactionary alliance with western imperialism

In order to win access to world markets, modern technology and sources of vital raw materials and energy, China rulers entered, at a certain level, into a political alliance with Western Imperialism. This alliance freed the hands of capitalists in the USA, Britain, etc., to continue their economic domination of liberated former colonies and dependencies in Africa and South America while handing over governments to often compliant and/or corrupt “independence” regimes, and at the same time enabled these same capitalists to pull the rug out from beneath the feet of their “own” working classes at homeby a massive transfer, or export, of industrial production.

Meanwhile, Western capital has for over a century dreamed of opening up a new area of exploitation in the shape of China’s massive natural and human resources. Rather ageing businesses in the west were able to warm their hands at the fire of China’s industrial development and huge market for consumer goods. The City of London and other finance centres underwent a revival through dealings connected with, for example, selling raw materials like metal ores to China

On 1 January 1979 full diplomatic relations were re-established between the PRC and the USA (the PRC had already ratified a treaty of peace and friendship with Japan). To ram the message home, to make it absolutely clear which side the government of the PRC was taking, the Chinese government at around that time publicly condemned a treaty which the victorious Vietnamese revolutionary government signed with the Soviet government, and denounced Vietnamese efforts to put a stop to Pol Pot’s murderous regime on Cambodia.

Now American manufacturers were able to pull their investments out from the industrial areas of the USA and re-locate their production in China. Back home in the USA, they were hamstrung by trade unions, workers’ rights (limiting the rate of exploitation on the job) and the “on-costs” (“fringe” benefits above and beyond the wage packet) of labour in an advanced capitalist society. American employers (and their British and European counterparts) resented the burden of taxation upon their profits in order to pay for public health, education, sanitation, housing, policing and justice for working-class communities.

China offered a huge reservoir of cheap, adaptable and above all disciplined labour. US and British manufacturers of textiles, clothing and footwear, automobile parts, electronics and novelty goods very quickly shifted their production to China to escape the limitations to profit-making imposed by the US working class. Locally-owned private capitalist concerns also emerged in China as many state industries privatised production and new businesses started up with local capital made accessible by the government via the state-controlled banking system. The key to their success was a consistently-high economic growth rate based on supplying goods to western retailers very cheaply because of the very low wages and very straitened conditions of Chinese workers and the fact that the new Chinese industries could benefit from the latest technical and scientific developments. While the state-controlled Chinese trade unions dominated whatever labour organisation existed, a new breed of business managers was set free to get rich at the expense of workers’ rights and conditions. Much of the labour force was in any case recruited from the countryside, and existed as a disenfranchised semi-illegal population on the fringes of the industrial megacities which sprang up.

Devastated industrial heartlands

Meanwhile, the devastation of whole regions of Europe, and their working-class populations, continued apace. Northern England, the midlands and working-class London; the Scottish midlands; the north of Ireland; the German Ruhrgebiet and the north of France, the US rust belt and the former industrial parts of Chicago, New York, Boston, Baltimore, and many others have been laid waste. Entire industries such as shipbuilding, steelmaking, coal mining, engineering, machine-tool making, bulk chemical production, textile spinning and weaving, have virtually disappeared in these areas. Nothing that governments or employers have done in the last five decades has helped to put the situation right. Is it any wonder that workers in these areas (or rather, very often, the children and grandchildren of actual workers) have in recent years have been misled into voting for (demagogic) politicians who have promised to reverse, the effects of globalisation, “stand up to China” and “Make (X) Great Again! (insert America/Britain/Germany/France etc. in the space provided). These devastating longer-term effects of China’s alliance with the USA (and the character of that alliance) are terrible indeed – and they were completely foreseeable!

Shocking encounter with Chinese employers abroad

Wherever Chinese companies have set up in the West in recent decades, workers have been shocked to discover at first-hand what “labour relations” in modern China really look like. H. Jauch and L. Sakaria paint a bleak picture of the experience of working for Chinese businesses in Namibia:

“Chinese firms have little tradition of unions and organized labour at home. While a detailed survey of labour relations in China is beyond the scope of this paper, we can note that the International Trade Union Confederation (ITUC) call attention to ‘severe restrictions on trade union rights’, with China not having ratified the core ILO conventions of freedom of association and collective bargaining (ITUC, 2010). In particular, workers are not free to form or join trade unions of their choice, only the All China Federation of Trade Unions (ACFTU), which is part of the government and party bureaucracy, is recognized in law. In a study comparing labour right in East Asia, China scores at the bottom on both de jure and de facto rights. De facto rights are considered particularly fragile due to weaknesses in terms of political rights and rule of law, with reports of the use of arrests, detention, and violence to harass labour activists and suppress labour rights (Caraway, 2009).” (Chinese investments in Namibia: A labour perspective report,Labour Resource and Research Institute, Namibia (2009).

When the China National Nuclear Corporation bought the Rössing uranium mine in Namibia from Rio Tinto, they guaranteed that workers’ rights and conditions and union recognition would continue as before. The good rights and conditions which workers enjoyed at the mine had been fought for and won in historic struggles against the contract labour system prevalent in South West Africa under South African rule. However, very soon the new management imposed many changes which undermined all these gains, and when the local executive committee of the Miners Union of Namibia tried to object, they were unlawfully sacked and they have a real fight on their hands to assert their legal rights against obstruction by the Namibian state.

Employees of the Chinese-owned Piraeus Container Terminal in Greece have had a similar experience. They report that most of the labour hired to staff this significant investment are not directly employed but “outsourced”. Workers’ collectives and organisations are thus fragmented, with the result that labour regulations and collective bargaining have become “empty shells”.

In 2018, journalist Despina Papageorgiou described how an employee who reported abysmal working conditions in the Chinese part of the port:

“… was allegedly fired for trying to raise concerns about safety violations and promote a workers’ committee He sued COSCO in 2012. Urinating in bottles due to a lack of toilet breaks, horrendous safety conditions, and being called to work at the last minute were among his accusations. Reports verified such accounts. Dock workers addressed an open letter to the Greek president in 2013 voicing similar concerns.

“COSCO employees went on their first-ever strike in July 2014, called by a general assembly. They worked up to 16 hours daily and claimed that work accidents were not registered. Apparently to avoid paying them the proper wage, dozens were registered as ‘figs and raisins packaging workers’. The workers managed to found a union, the Union of Container Handling Workers in Piraeus Port (ENEDEP), in 2014. Through negotiations and strikes, the union achieved improvements like breaks, a minimum daily wage, and minimum monthly wages. Until then, every subcontractor paid workers according to a different wage system. However, daily wages remain fixed—not taking into account weekends and holidays.

“In 2017, shortly after the Chinese took full control of OLP and Pier I, a new OLP General Staff Labour Regulation extended working time from 7.5 hours per day and 37.5 per week to 8 and 40, respectively, while providing for a seven-day work week without extra pay on weekends or holidays, “flexible” forms of labour, and simplified lay-offs. Critics argue this regulation paved the way for extending subcontracting in Pier I.”

At the time of writing, car workers at the Chinese-owned First Automobile Works (FAW) plant in Gqeberha, South Africa, including casual workers, were involved in a struggle for a wage-increase, help with medical costs and full-time employment for all the casual workers. A key issue for the NUMSA union is to get the company to sign up to the Automotive Manufacturers Employers Association and accept collective bargaining. Workers report that the Chinese management constantly renege on verbal promises.

Implications of the Belt and Road Initiative

The Chinese Government has established a China/Pakistan Economic corridor (CPEC) with the government of Pakistan, and the China Overseas Port Holding Company (COPHC) has taken over the operation of the strategic Arabian Sea port of Gwadar in Balochistan on a 40-year lease, monopolising the lion’s share of revenues from the port and the Gwadar Free Zone. The UK Guardiannewspaper (20 August 2021) reported:

“Protests have erupted in Pakistan’s port city Gwadar against a severe shortage of water and electricity and threats to livelihoods, part of a growing backlash against China’s multibillion-dollar belt and road projects in the country.

“This week, demonstrators including fishers and other local workers blocked the roads in Gwadar, a coastal town in Balochistan. They burned tyres, chanted slogans and largely shut down the city, to demand water and electricity and a stop to Chinese trawlers illegally fishing in the nearby waters and then taking the fish to China. Two people were injured when the authorities cracked down on the protesters.”

Asian tigers fore-runners of China’s growth

When they opened their alliance with China in the 1970s, the imperialists had learned from the way capitalism had been adopted by Japan in the second half of the 19thcentury, and how the “tiger” economies had developed after 1945.

Western capitalism, for its part, had developed in an extended process, spread over many centuries, which involved the emergence of a modern bourgeoisie at war with the structures and ideologies of the feudal middle-ages. They had to fashion from the ground up and in a series of revolutionary convulsions the political and social instruments and structures through which society as a whole could overcome this past. This involved popular revolutions and the establishment of political democracy. The intellectual movement known as The Enlightenment enthroned scientific practices against received dogma and superstition as the basis for reliable knowledge. (Nevertheless, this movement’s roots in bourgeois social relations and practices is revealed, for example, in the justification of African slavery by a number of its prominent luminaries, and their formulation of so-called “scientific” race theories).

Japan, however, entered the process at a much later stage, when capitalism was already morphing into modern imperialism. Rather than a revolutionary bourgeoisie, a tightly-integrated sector of the old ruling class switched to capitalism (not without internal struggles) and simply imported wholesale the best available models offered by the advanced capitalist west.

The late Balazs Nagy explains the process very well in his book Marxist Considerations on the Crisis, and a significant section of that book deals with Japan’s road to capitalism. The working class which provided the labour force in Japan did so under extremely adverse conditions of oppression and exploitation.

And this became the template for the so-called “tiger” economies which arose in South-East Asia after World War II, in particular in South Korea. The essay The Asian Tigers from Independence to Industrialisation(attached as an appendix to this article), which, by the way, makes no academic claim to be more than a useful background reading on the topic, gives a lively account of how authoritarian South-East Asian governments have bulldozed a quite different path to capitalist economic success from the traditional “western” route.

How they Justify all this

The Chinese Communist Party authorities still try to foster around the world, at least among a layer of political, trade union and academic personnel who have roots in former Communist movements, a conviction that the Chinese state is still in some sense pursuing a Communist or a Marxist “line”.

Characteristic arguments along these lines can be found on the Learning from Chinawebsite which publishes articles over the name of the former member of the International Marxist Group in the UK, John Ross. (https://www.learningfromchina.net)

The basic argument they present is that China’s truly unparalleled economic progress in the last 40 years justifies everything and trumps every possible criticism. This is asserted in the same gruff, overbearing and triumphalist tone that trade unionists encounter when their Chinese employers brusquely inform them that they are about to tear up existing collective bargaining procedures and bypass long-established and legally enacted labour rights.

Next, it is argued that the Chinese Communists have learned from the Soviet “mistake” of complete state ownership and control of the economy after 1928, which, it is asserted, was the cause of its failure and the collapse of the USSR in the 1990s (1). Elements of this argument can be found in every bourgeois critique of the USSR and of Communism in general.

Sensing that more needs to be said, Ross goes on to reveal that the author of the 1978 turn of the Chinese leadership was none other than Karl Marx himself! Marx had noted, in his 1875 Critique of the Gotha Programme, that in the early years of its existence, a socialist state would not yet be able to go beyond the wages system, where the level of a worker’s pay is established by the workings of the market.

Only later, once economic planning has brought about a massive improvement in the means of production, could a thoroughly socialist system be introduced, where each person gives according to their abilities to the common stock of goods and services and takes according to their needs.

Ross’s sleight of hand here was to insert the idea that, in that early period, Marx somehow proposed that the (large-scale) means of production should remain in the hands of capitalist owners, as happens now in many cases in the PRC.

Marx proposed no such thing! He devoted several pages of comments to point 3 of the programme which the newly fused German socialist party adopted at the 1875 Gotha congress, but he did not say a word about privately-owned capitalist enterprises surviving at all, let alone as a major economic force. The “defects” he anticipated in “the first phase of a society, as it is when it has just emerged after prolonged birth-pangs from capitalist society” were connected with the fact that the conceptions of “rights” embodied in the wage system under capitalism will persist for a while even after the abolition of the capitalists.

All in all, the arguments of those ideologues who support the main lines of the policy of the Chinese state amount to three ideas:

  1. All those who oppose the Chinese state really back and support the western powers, who are rapacious and brutal imperialists. All we can reply is: No we are not: Workers International has consistently opposed imperialism in every shape and form, whereas the CCP have been in an alliance with the chief imperialists for nearly 50 years!

  2. Everything that the Chinese state and various Chinese capitalist enterprises do is justified by the incredible (and they are incredible) achievements of Chinese economy over recent decades. On this, all we can reply is: China as a world power is no less of a danger to the people of the world than Britain or the USA. Imperialism as a system is still as Lenin described it in 1915. The question is, can the working class and the masses organise their forces to overcome this system?

  3. “Common Prosperity”: the standard of living of the Chinese working class may be unacceptably low now, say the apologists, but within a few decades the rich and powerful will be forced by a wise and benevolent government to make concessions which will improve the standard of living of the masses. To this, Workers International replies: Marx did indeed write (as Ross solemnly informs us): “Right can never be higher than the economic structure of society and its cultural development conditioned thereby”. The “turn” of the CCP leadership in the 1970s has called into being a rich and powerful capitalist class alongside a huge working class. Class divisions and class conflict continued to exist in Soviet Russia after the revolution of 1917, and they clearly continue to exist in China today. After several years of the “New Economic Policy” adopted in Russia as a temporary emergency measure in the early 1920s, the better-off peasants won the leadership of the countryside and felt confident enough to challenge Soviet power itself. The bureaucratic clique which had seized control of the Communist Party ignored frantic warnings from the Left Opposition that an urgent programme of industrialisation was needed to provide the mass of the peasantry with mechanical and technical resources which would have made collectivisation a popular step forward. Nothing was done until the threat became palpable, and what was done (forced collectivisation and chaotic and break-neck industrialisation) was by then a series of grotesque crimes against humanity. How will China fare as the newly-rich bourgeoisie and the newly-numerous working class square up to each other? Promises of moderate improvements in working-class living standards in twenty or thirty years’ time might not be enough to control the situation.

What is China?

Many of us insisted in defining the Soviet Union (when it still existed) as a deformed workers’ state. That definition was based on a precise analysis of the forces involved in the October Revolution, Soviet power, and the subsequent fate of the Soviet Union, the Communist International and the world revolution. We pointed out that the collapse of the Soviet Union, which put an end to the deformed workers state, was in its own way a confirmation of that definition. We still defend the correctness of that definition against those who asserted that the Soviet Union had in its lifetime become a “state capitalist” formation.

A class definition of the Chinese Communist Party, its assumption of power in 1949 and the resulting state and economy is more difficult. The character of the historic Chinese empire does not fit easily into social categories familiar in European history. The first three decades of the life of the CCP involved horrific sacrifice and struggle in the midst of the collapse of the Empire, ruthless foreign intervention and a three-sided civil war with warlords and the Guo Min Dang. The full story of that period and a proper understanding of nature of the county a hundred years ago as that struggle started are minimum requirements for reaching a conclusion on that. Heroic tales (and the real history abounds with tales of resistance, heroism and sacrifice) do not resolve the question.

A look at the history of the People’s Republic of China since 1949 does not establish beyond doubt its credentials as a workers’ state. That is hardly surprising since the population in 1949 consisted so overwhelmingly of peasant farmers. However, the history since then does not demonstrate the actual existence of workers’ power in the state. Because of the Hukou system, large parts of the new working class which has arisen since the 1970s do not enjoy access to education, health provision and housing. The savings to the employers which this provides resemble the super-exploitation of a semi-colonial workforce. For many of these workers, health services are far less than what workers in the UK enjoy and expect. It is more tempting to see a country run by a bureaucracy ruling and remaining in power by dint of an adroit and very often brutally cynical balancing act between opposing forces.

Nearly half a century of “socialism with Chinese characteristics” has produced a very unequal society. The promises made in connection with the policy of “Common Prosperity”, as well as the steps taken to curb conspicuous consumption and wayward behaviour on the part of the newly-rich and celebrities (and to deal with over-extended growth in some sectors) are indications of what the CCP will face more and more in the future.

The People’s Republic of China is clearly integrated into the system of world imperialism. Workers everywhere who come into contact with Chinese businesses or work for them judge them as workers will judge their employers, and their judgement is damning. Chinese companies in China treat workers badly. Chinese pay is low compared with pay in the west. Working conditions are worse. The official unions do not provide a channel of protest, but form a wing of the state. Protest leads to beatings and imprisonment.

The defence of workers’ rights, and of the masses around the world, depends of the construction of an international workers’ party based on Marxism and a confrontation with all imperialist and quasi-imperialist forces which seek to feather their own nests at the expense of the working class and the masses.

Bob Archer, January 2022

Footnote:
1. Posing the problem this way allows Ross to avoid any mention of the very full and detailed debate over the New Economic Policy (NEP) when it was adopted in Soviet Russia in 1921-1922 and subsequently. These were measures to re-establish the bases of an economy torn apart by years of war, revolution and civil war. The Bolsheviks certainly did introduce temporarily a number of market reforms which did enable industry and agriculture to recover – which they started to do. However, the Soviet State retained a large measure of control and, for example, never abandoned its monopoly over foreign trade.

There is not space here to debate the whole matter, but Ross should recall that the Left Opposition (of which he may have some distant memory) understood very well that if the NEP became embedded, and unless the state’s own manufacturing industry could make real planned progress, the social forces that particularly prospered under NEP, the NEPmen traders and the richer peasants, would threaten the existence of the Soviet State itself.

These warnings were ignored by Stalin, Bukharin and others, who urged precisely these forces to “enrich themselves”. But when the warnings from the Left Opposition were borne out, and the Soviet Union was threatened in the late 1920s by a revolt led by the rich peasants (Kulaks), the bureaucracy led by Stalin had to switch in utter panic to a thoroughly military-bureaucratic set of solutions, “liquidating the Kulaks as a class” during a murderous and unspeakably violent “collectivisation” of the peasantry and a development of industry at a breakneck pace which was underpinned by convict labour.

The failure of Soviet economy was not rooted in state planning, but in the weaknesses of bureaucraticstate planning. The twin roots of the failure were the bureaucracy which had seized power in the workers’ state and the lack of access to the world economy.

All these issues are discussed in detail in Trotsky’s Revolution Betrayed, which indeed becomes more relevant than ever in today’s world.

Appendix

“Tiger Countries” (The Asian Tigers from Independence to Industrialisation)The Asian Tigers from Independence to Industrialisation

Bruno Marshall Shirleynload PDF

Oct 16 2014 

This content was originally written for an undergraduate or Master’s program. It is published as part of our mission to showcase peer-leading papers written by students during their studies. This work can be used for background reading and research, but should not be cited as an expert source or used in place of scholarly articles/books.

Development, Legitimacy, and the Role of the State: The Asian Tigers from Independence to Industrialisation

Note: Whenever possible Simplified Pinyin has been used throughout for the transliteration of Chinese names and places for its ease of use and predominance in modern literature. As Taiwan typically uses the more archaic Wade-Giles system readers may be unfamiliar with Pinyin names for individuals like Jiang Jieshi (Chiang Kai-Shek in WG) or even Mao Zedong (Mao Tse-Tung in WG), but they have been employed for consistency throughout.

As recently as the early 1960s South Korea, Taiwan, Singapore and Hong Kong (the “Asian Tigers”) were considered to be a part of the third world: Harvey and Lee rather unkindly refer to it as “economic backwardness.”[1] Since the 1997 Asian Financial Crisis, praise of the “Asian Miracle” has dwindled in academia,[2] yet the Tigers still stand as rare examples of states which have successfully “developed” in a manner no one could have predicted 50 years ago – and at a considerably faster rate than any of our current efforts at third-world development seem to be proceeding. Are there lessons to be learnt from the rapid economic growth of the Tigers, from the 1960s through to the 1990s, and do these have a practical application in contemporary development?

In 1949 Harry Truman introduced the concept of development to the world, identifying it as a key priority of the West in order to maintain peace and prosperity amongst all the people of the world.[3] In the beginnings of the great ideological war against Communism, he took care to articulate that his program of development would be “based on the concept on of democratic fair-dealing.” This vision shapes the nature of development even today, with economic development and state-building more generally predicated on the assumption that if liberal democracy is established then all other aspects of development will naturally follow. We see this in IMF loan conditionality, requiring liberalisation of economies in regions where the government formally had tight control,[4] and even in post-conflict statebuilding exercises, where the end goal is often the establishment of democratic elections.[5]

I will not dispute the value of democracy, but there is a fundamental difference between a thing being good in its own right and a good thing leading to other good things. The examples of the Tigers show us an alternate path to development: a strong central government guiding the economy rapidly forward through distinct stages of development until it reaches full industrialisation. This hypothesis, the “developmental state,” is one that has been argued for by a number of economists for some time now. However if we accept this as a viable method of development two questions remain unanswered: why was it particularly successful in East Asia, and how can we transplant it to other parts of the world in need?

Mary, Mary, Quite Contrary: How Economists Think the Garden Grows

Before examining the economic development of the Asian Tigers it is important to identify the theoretical framework in which they might sit. Models for economic development are as varied as there are development economists, but at the risk of sacrificing diversity for ease of analysis we can broadly identify three distinct models. These three models are less cohesive blueprints and more categories of development policy broadly derived from the Neoliberal, Keynesian and Heterodox economic traditions respectively, which for our purposes we can identify as Market-led, Interventionalist and State-led models for economic development.[6]

The Market-led development model is that traditionally pushed by the IMF, advocating market liberalisation following a classical faith in the rationality of market actors.[7] The blame for the failures of some economies and the success of others is placed at the feet of interfering governments, and the removal of tariffs and other barriers to trade liberalisation are seen as an important initial step in the development process.[8] According to advocates of this model for development, a free market will naturally result in development of those industries that are most efficient, described in HOS theory as specialisation in production of goods produced using their relatively-abundant factor (to the world market).[9]

In practical terms, the liberalisation of both the domestic market and international trade is expected to result in semi-sustainable economies relying on export of either raw materials or (in land-scarce, labour-abundant states) perhaps even the product of light industry to balance the import of the machinery and other tools needed for these industries.[10] While critics point out that this leaves high value-added industries controlled by the developed countries of today, with the countries pursuing this model stuck with low-value-added industries like agriculture, resource extraction, and at best light industry, advocates would respond that it is still a clear improvement over the current situation of developing states.[11]

The second model for economic development proposed is what we might call the Interventionalist model. This model broadly follows from the writing of Lord Keynes and his views on the role of government in moderating the errors of the free market when necessary.[12] The Interventionalist development model acknowledges the role of actors in the free market but also the need for government action and intervention in stimulating growth and reducing unemployment.[13] Actors may be rational, but oversight is needed to stabilise output. Chandavarkar, while refuting the existence of a Keynesian model for development, does concede that he presented the first “economic rationale for a central bank as a development agency,”[14] setting the stage for a development model in which both government and market work together to achieve economic growth and ultimately development. The actual policies pursued by the state will be highly reactive and tailored to the needs of the market.

This skepticism regarding the ability of market actors is taken to its logical conclusion in our third model for economic development, the State-led model. This is borne out of the Heterodox tradition, as it refutes a basic principle of classical economics that what is good for the rational actor is good for the economy as a whole. The criticism is hinted at above in the limitations of market-led growth, as rational actors will always focus on the optimal activity available to them at the time of decision making, whereas development should always focus on improving future activities. The clearest way to illustrate this is with an example in the two-factor HOS tradition: given Country A’s high level of industry and skilled labour, and their trading partner Country B’s high level of unskilled labour, the optimum activity for entrepeneurs in B to engage in would be along the lines of light industries or resource extraction. This unfortunately reinforces the imbalance in value-added activities between A and B. For B to develop its industrial base and ultimately engage in higher value-added activities in the future, it would require considerable investment in activities that currently are sub-optimum. As rational actors would never engage in sub-optimum activities, it requires the guidance of the state to invest in those industries which will (hopefully) pay off in future, and therefore develop the economy as a whole.

This model is essentially a reworking of the “developmental state” hypothesis used by commentators to explain the very cases we will be examining, but it has not received much favour as a model for development. Chang and Grabel suggest that this results from the challenge a state-centric development model posed to the Neoliberal establishment, an argument discussed in a later section.[15] As a model, Chang and Grabel suggest the following policies should be pursued by the government seeking development: trade protectionism while new industries are developing, a clear strategy for systemic development of higher-value-added industries, a cautious approach to privitisation and the nationalisation of some industries where appropriate, a relaxed approach to intellectual property law and strict control of both capital and foreign debt.[16]

As we will see below, and unsurprisingly given its origins in analysis of the Asian Tigers themselves, all of the countries under discussion conform to the state-led development model in contrast to the market-led or state-intervention models. However supporters of the market-led and interventionist models would argue that while state-led development may have been effective in East Asia, it is not applicable to other parts of the world.[17] The failures of state-led economies like China under Mao, North Korea and the Soviet Union all indicate that strong states do not necessarily mean strong economies – there must be some other factors missing from past analyses of development in the Asian Tigers that can make the state-led model work.

The Tigers’ Stripes: Case Studies in Succesful State-led Development

South Korea

In 1945 South Korea was finally made independent of Japanese rule, only to immediately be placed under US military occupation.[18] The long-awaited autonomy it achieved was rapidly overshadowed by the Korean War (1950-3) with the North, which destroyed two-thirds of existing production facilities worth some three times the GNP.[19] The long road from these humble origins to its current position in the G20 can be analysed as a systemic movement in four discrete phases, beginning in the Rhee era but mostly taking place under the Park government (both before and after the establishment of yushin government).

The first phase of development constituted recovery from the devastation of the war, with an average of 15.9% of GNP coming from US aid (with a peak of 22.9% in 1957).[20] 64% of investment savings were US-owned, and Import Substitution Industrialisation was adopted with 30% of aid going towards agricultural equipment.[21] Worker’s unions were suppressed by the Rhee government to keep labour cheap.[22] Korean economic growth in this period was highly dependent on US aid and investment savings and vulnerable to intense fluctuations.[23]

The Park coup in 1961 demarcates the second phase of Korean economic development: the development of light industries and export-oriented growth. Having recovered from the war and no longer entirely reliant on US aid to pay for imports, the Korean economy could now begin to utilise its cheap labour force to grow through exportation of light industrial goods. Here we begin to see the first clear departure from the Market-led or even Interventionalist models of growth in the adoption of the First Five-Year Economic Development Plan (1962). This established clear macro-economic growth targets in investment, industrial structure and trade balance, and established trade policy, industrial policy, and macro-economic policy in pursuit of these goals. This was called “guided capitalism,” in which “the state shall either directly participate or indirectly render guidance” to key industries, particularly the labour-intenstive light industries that would lead to rapid export growth.[24]

To return to classical terminology, the optimum activity at this phase in Korean history for an individual actor to participate in would be those same light industries. Unfortunately if this were the case then the Korean economy would have been perpetually stuck in the same phase with no high-value-added industries being developed. Obviously this did not happen. While growth in the early 1960s was fantastic, as high as 10% in some years, the Park government did not see this as a sustainable means of growth. The foreign currency earnt through this explosion of export was reinvested in the advanced technologies and machinery which was necessary to progress to the next stage of development, while tariffs and subsidies were used to shield growing advanced industries from the international market.[25]

This set up the third stage of development, articulated in Park’s second Five-Year Plan: the development of heavy and chemical industries, supported by legislation and key policy instruments.[26] Foreign capital, though still under heavy government restrictions, was sought to help bolster growth and exports grew at almost 39.2% per annum.[27] This phase of development has lasted the longest of any thus far, with export-driven growth from heavy industry carrying Korea forwards until the early nineties. During this period factor input increases, both in capital accumulation and in quality of labour through education, accounted for a massive degree of growth in industrial output, setting up Korea well for the next phase of development.[28]

The 1990s saw a number of significant changes in the South Korean economy and marked the fourth and current phase of development, the push into high tech industry. The World Bank data on high-technology exports sadly only extends as far back as 1988, but even this shows a dramatic change. In 1988 high-technology exports made up only 15% of total export, but this number increases almost by an entire percentile every following year.[29] This international demand for Korean goods, coupled with a dramatic increase in domestic consumption and higher standards of living across society, marked the definite movement of Korea into “successful state” status.

In Korea’s economic history we can identify four discrete phases of development: a period of Import Substitution Industrialisation; the development of light industry and export-led growth while reinvesting in and protecting heavy industry; the development of heavy industry, increases in labour quality through education and permissal of limited degrees of foreign capital; and finally the development of the high-tech industry, the skilled labour required for which stimulating domestic consumption. The second through fourth phase show remarkably steady GDP growth in all but three years: the year of Park’s assassination and the 1997 and 2003 crises.

All of this was driven by the central state with a clear end-goal in mind and a range of effective legislative and policy tools for implementation. Aggressive reinvestment in infrastructure, state-owned industries and clearly communicated economic plans over a long period of time allowed for a progression through distinct phases of development even when reinvestment in the newer phases would have appeared the less optimal to individual market actors.[30] It was this incessant push forward that eventually led to Korea’s development as a fully industrialised and technological economy.

Taiwan

Taiwan shares a similar story to Korea, although at least in economic terms its origins are marginally less humble. Our story again begins at the end of a war, but Taiwan itself was left relatively unscathed by the fighting and still bearing the remnants of Japanese colonial attempts at development: some established agricultural exports in rice, sugar and pineapples, basic food processing plants and a handful of textile factories.[31] Leadership initially adopted a policy of ISI in pursuit of subsistence, but due to bad experiences with inflation on the mainland a more aggressive growth policy was not adopted until the USA threatened to reduce aid in the 1950s.[32] Only then did Jiang and the GMD begin to industrialise along the lines we saw in Korea.

Before this period the primary sector (mainly agriculture and fishery) accounted for nearly a third of GDP before rapidly dropping to just 7% in the industrial explosion, and food processing (the dominant industry on GMD occupation) fell from 47% of manufactory output in the 1950s to just 31% in the industrialised 60s, finally dropping to 12% in the early 1980s (the end of the heavy industry era).[33] Interestingly after the initial boom of light industry (particularly textiles) we would expect to see from from Korea’s experience, light industry remained statistically significant all the way into the 1980s.[34]

Heavy industry was quickly established, in particular steel, electronics and petrochemical, as soon as the state ascertained that domestic and international demand was sufficient.[35] While other state firms were privatised during the development process to encourage foreign investment and expertise, these industries were always seen as essential to reconquest of the mainland and so remained firmly nationalised.[36]

While Yongping Wu points out that small- to mid-sized firms had an important role to play during this phase of development,[37] the state never lost its firm grip over the direction of the economy. A key measure here was control of foreign exchange, limiting the access of private firms to imported materials and serving both to keep up domestic demand for processed raw materials (which was done in state firms and onsold to selected firms) and to reduce capital risk.[38]

Vincent Chang describes the final phase in economic development, to fully-fledged technological state. Once the competitive advantage in labour-intensive products seemed to be slipping (both as a result of a more educated workforce and the rising competition from China in the late 1970s) the state essentially decided to jump before they were pushed: “the export-oriented economic structure… must be upgraded to become more technology- and skill-intensive.”[39] The state’s role in “the inception of pivotal technologies and in the export vigour of Taiwan’s information industry,” as well as in key large-scale industries like semiconductor production was immense,[40] and as in Korea led to the development of a substantive skilled-labour population who with their increased disposable incomes stimulated both domestic consumption and the service industry.

Taiwan followed a similar trajectory to Korea in its progression through four distinct stages of development, though with two exceptions of note: first that light industry played a key role in the economy all the way into the 1980s, and second that leadership did not seek to move beyond the first phase until threatened with aid reductions by the US. The unexpected lack of decline in light industry once heavier industries were developed could perhaps be attributable to the role of small- and mid-sized industries as discussed by Chang – with most heavy industries nationalised but small-scale entrepreneurship tolerated, this is a logical industry to gravitate towards. The second point is by far more significant, and may contain a clue as to the underlying reason that the Asian Tigers successfully developed through state-led, rather than market-led or interventionalist, methods.

The City-States: Singapore and Hong Kong

Singapore was perhaps the most “democratic” of the Tigers in its early life, if in name only: so charismatic was the leadership of Li Guangyao that in the words of a British diplomat “politics disappeared” leaving only an “administrative state.”[41] After reluctantly accepting Singapore’s independence from Malaysia in 1965, Li took control of Singaporean politics in “soft authoritarianism” until his retirement in 2011 and much of Singapore’s success is directly attributed to his personal vision and ability.[42]

Singapore’s development follows a now-familiar path. While not facing the challenges of rebuilding after a war, Singapore stood alone as a modern city-state with too little land to effectively feed its citizens. Food and water had to be provided for by imports, necessitating a quick push towards export-oriented light industries to balance trade.[43] Interestingly Singapore sought to supplement the local lack of technical and managerial knowledge by attracting international firms, albeit in a limited fashion, using their capital and resources to kick-start the light industry that would provide the backbone of Singapore’s economy for the next few decades.[44]

The 1970s saw a dramatic change in the structure of Singapore’s economy, with manufacturing and heavy industry becoming increasingly more of a priority throughout the 1970s and 80s.[45] This was largely in response to the challenge that China’s burgeoning light industry under Deng posed to Singapore’s output, and was pushed forward by the central government through a combination of reinvestment of wages in industry, infrastructure, housing and communications through the Central Provident Fund and an increase in minimum wage, forcing employers to seek more efficient modes of production.[46]

Unlike Taiwan and South Korea, Singapore’s move to the final phase of development was not marked by the establishment of the high-tech industry but rather by fulfillment of Stamford Raffles’ original vision for Singapore as the trading and financial hub of Southeast Asia.[47] Trade, import refinement and finance all require skilled labour, much like high tech industry, and Singapore’s unique geographic position and recent market liberalisation allow this to serve as the high-level industry that cements its position as a fully developed nation, just as high tech industries do for South Korea and Taiwan.

Given today’s liberal markets, and the nominal democracy of Singapore’s modern history, it is tempting to think of Singapore as an example of liberal market-led development in action. However the importance of the Central Providence Fund in establishing the infrastructure needed for heavy industry and the dominant role of Li in both politics and economic direction both suggest that the state was the principal mover in the development of Singapore’s economy, with liberal elements only being introduced in the late phases of development to pave the way to a financial and trade hub.

Hong Kong is similar in many ways to Singapore, although it is notable for being the most consistently laissez-faire (and therefore market-led) of the Tigers. As in Singapore the pressing need to balance trade deficits due to poor agricultural potential led to a rapid development of light industry, but then advocates of market-led development would argue that the next steps through to trade and financial services would have been a logical step for market actors to take, given the proximity to China and the historical nature of Hong Kong as a trade port.[48]

The importance of market actors in the development of Hong Kong cannot be denied, but there are some features of development (glossed over in Neoliberal accounts) that suggest that the state had a not-insignificant role in guiding the economy. In particular Vogel points to the allocation of public funds, with the vast majority diverted to developing the infrastructure that would be required by heavier industries – roads, universities, and most interestingly land development specifically for the use of factories; and all this a good decade before there was any significant market-led demand for these public goods.[49] The state may have left market actors to find their own way, but they were not subtle about putting a map in their hands.

Hong Kong, like Singapore, ended up as a financial centre for its region as well as a major industrial producer – not bad for a former entrepot.[50] It is unusual among the Tigers for having a fairly consistent laissez-faire approach to the market, and is by far the closest to a market-led model of development. However this is not to say that the state had no hand in pushing development forward when the market might have been content to stay in one phase.

When taken into consideration with the other Tigers, we have a clear idea of how their economies developed. In all cases barring to an extent Hong Kong, a strong central state created a long-term plan for development that saw it through from the early days of ISI all the way to the establishment of advanced technological or financial industries. The state was able to implement these plans through a range of policy tools, without considerable domestic challenges and with the ability to adapt the details of the plans to the challenges they encountered along the way. Rather than dwell in any particular phases of development, the Tigers pushed forward, aggressively reinvesting in the infrastructure needed to establish the next phase and protect it from the advantages of the international market until it was ready to shoulder the burden of economic growth. This saw them through, with some variation, from backwards islands, peninsulas, and losers in war, to four of the most powerful economies in East Asia. But can this success be replicated elsewhere?

The Missing Link: Leadership and Legitimacy

We may now have a model for economic development, but this does not not mean that we can easily transplant it to other parts of the world. Other countries, notably the Soviet Union, Maoist China and North Korea, have attempted to lead development from the state with little success. Why was state-led development successful in the Tigers, but not elsewhere? And can we replicate this in other parts of the world?

Advocates of market-led or interventionalist growth would say that we could not. According to them the development of the Tigers, while ultimately successful, was highly idiosyncratic to the East Asian region and cannot be exported elsewhere, the universal alternative obviously being the liberalisation of markets (to the varying degrees required of their models). The most common explanation of the Tiger’s success is that it was in some way due to their shared Confucian culture.[51] Confucianism’s emphasis on social hierarchy and the nation-family, they would say, provides East Asians with the unique outlook required to tolerate the submission of personal economic interest to the state’s long-term goals. Other parts of the world, lacking such an ingrained cultural disposition, would not accept the state’s mandate and frustrate progress.

Beyond the obvious objection that there are still a number of Confucian states in the early stages of development, Chang has considerable disdain for this argument. He describes culture as having a “Jekyll and Hyde” nature, the positives and negatives being called on as needed to justify an argument.[52] The first example he gives here is an account of an Australian businessman touring a Japanese factory in 1915 and concluding that the reason for Japan’s then-backwardsness was due to the inherent cultural laziness of the Japanese people. How times (and cultural stereotypes) have changed. Indeed, when East Asia was still in the early stages of development the blame was placed as firmly on Confucianism as its current success is today. Chang’s response to the culturalist argument is essentially that within any culture or religion an observer can find sufficient characteristics to justify just about any argument that they wish to make, which somewhat undermines the claim that state-led development can only be successful in countries with a certain culture. “No culture,” he concludes, “is either unequivocally good or bad for economic development. Everything depends on what people do with the raw material of their culture.”[53]

If the success of state-led development in East Asia cannot be attributed to their shared culture, then what? I would suggest the missing link here is the legitimacy of these countries’ leaders. All four Tigers had a strong central leadership able to effectively steer the direction of the economy without significant internal challenges, an indication that all enjoyed considerable legitimacy. Most governments today derive their legitimacy from democratic elections – when the Obama administration makes a decision, the decision is made by the people and for the people. Older forms of government have derived their legitimacy from the Divine Right of kings or from Hobbes’s Leviathan, to name a few examples. But from where did the leaders of the Tigers derive their legitimacy?

In all four cases, to varying degrees, the legitimacy (and continued survival) of the leadership rested in some way on the continual economic success that they were able to provide to the people. This meant that the leaders of all four of these countries had considerable motivation to aggressively seek sustainable development, and the fact that legitimacy was based on neither democracy (which can lead to instability and a lack of long-term planning) or ideology (as in the Communist states, binding development to a prescribed course with no room for adaption) allowed them to pursue this sustained development with stability and flexibility, explaining their particular success.

The unity and legitimacy of Korean leadership was based on “forced unity” against the ideological foe of the North.[54] The division was based on ideological grounds, with leaders of both North and South claiming to represent the ideology that was in the people’s best interests, and so the success of either leadership could best be gauged by their subjects by how much better off they appeared to be when compared to their neighbours. Park knew that he was relatively safe from uprising (though apparently not from assassination) because the USA would not tolerate the fall of an anti-Communist regime, meaning that he had considerable stability and the ability to make long-term plans, but he also knew that the best means to maintain legitimacy was by proving ideological superiority over the North by achieving greater economic gains.[55]

Even today, much of Taiwan’s identity is based around its relationship with mainland China, and a recent study concluded that while public identification with the mainland is less clamourous than it was a decade ago, continuous GMD leadership until the 2000 elections meant that the leadership was always committed to their One China policy.[56] This rivalry with the Mainland, shared by both leadership and wider society, provided the legitimisation for continuous GMD rule[57] and again gave a strong economic focus to the regime: they needed a strong economy both to prove superiority over the PRC but more importantly to support the military forces that they needed to pose a challenge to the mainland. This manifested most obviously in the continued nationalisation of the steel, petrochemical, electronics and vehicle manufacturing industries, as all have an obvious military application. Taiwanese leadership needed these industries in particular to have a strong foundation in order to support their claims, both necessitating development and removing the potential obstacles of democractic instability and ideological inflexibility.

The relationship between the economic development of Singapore and Hong Kong and the interests of their respective leaderships is an even more pressing issue of survival: given their tiny size, they simply didn’t have the agricultural basis to survive as independent countries. If they had not industrialised and maintained a position of economic necessity within the region (as trading ports and later as financial centres) then they would not have been able to feed their population. The legitimacy of the leadership here is based simply on continued economic survival of the state, partly mitigated in Hong Kong’s case by its colony status. The legitimacy of its leadership was also tied to its status as a Crown property and it might ultimately have relied on Britain to support it should it have failed to develop successfully – this would account for it being the most laissez-faire of the Tigers. Singapore, sandwiched between its economic rivals of Malaysia and China, had no such fallback and the leadership’s continued rule rested solely on their ability to deliver the economic goods.

In the cases of all four Tigers we see a clear trend in the leadership and the location of its legitimacy – to varying degrees the position of the leadership is sustained and justified by the economic development that they were able to deliver. Because they did not rest their legitimacy upon democracy or ideology, leadership not only had the motivation to aggressively pursue development, it had the ability to do so with stability of government and flexibility of approach. The Tiger approach to development is perhaps best characterised then as “success due to coherent and flexible policies, effective implementation by the state… and political capacity to insulate economic planning from competing interests.”[58]

Putting It Together: Replicating the Tigers’ Success

So how could we replicate the success of the Tigers in other developing states? The crucial element is the leadership. If a state’s has a leadership that in some way derives its legitimacy from economic success, rather than democratic elections or ideological correctness, this will provide it both the motivation and the ability to effectively pursue the long-term and aggressive development progression we saw in the Tigers, with clear transitions through ISI, light industry, heavy industry, and finally into a fourth stage of high tech industry, skilled labour and increased domestic consumption.

The biggest issue facing developing states is that in too many cases the leadership rests its legitimacy not on the economic benefits that it can bring to its subjects but rather on the military forces that it commands and with which it can suppress any dissent.[59] A good number of these states (and too many more besides) likely face a not-unrelated issue that with their position secured by some form of legitimacy leadership is more concerned with the benefits that its position can provide for itself than to the country at large – they might be stable government not bound to inflexible ideologies, but without the motivation of legitimisation they are happy to focus their attention on patronage rather than enacting development policies.

In order to rectify this situation, and to encourage development in states sorely in need of it, some drastic measures must be taken. Statebuilders need to generate in state leaders a pressing urgency to pursue sustained economic development that will make the government stable (non-democratic) flexible (not bound to ideology) and motivated to actively pursue sustainable development progression. Alternate sources of legitimisation, such as military strength, need to be stripped by some means from leaders who show no signs of interest in the long-term economic interests of their state in order to refocus their attentions, while short-term revenue streams that will eventually dwindle need to be limited – extractive industries for instance should have their exports limited to fight the “resource curse” and force consideration of alternate industries.[60]

Here overzealous democratisation poses its own danger, quite apart from any criticism of market liberalisation in developing states. Democracy at best provides a degree of instability in leadership – it is hard to make effective Five Year Plans (as in South Korea) when the government could be radically different as little as three years into the future, let alone long-term plans for development of key strategic industries as in Taiwan. At its worst, democracy provides yet another legitimisation for leaderships primarily concerned with its own benefit and not sufficiently motivated to aggressively push through development plans.[61] Democracy is certainly a good thing and should be a goal of statebuilding, but it is not the only good thing, and it may even provide an obstacle to development – better perhaps to wait until the government is more institutionalised and society is more stable overall than to introduce it too soon.

Ultimately the pattern of economic development achieved by the Asian Tigers is replicable elsewhere in the world, if the key issue of legitimisation and the role of the leadership in development is addressed. However it may require some rethinking of the priorities of statebuilding exercises, and other goals like the establishment of democracy may need to be pushed back in order to maintain the stable, flexible, and economically-motivated leadership that seems to be required for effective state-led development.

Conclusions

Of the three models of development we can identify in literature, it is the state-led model that was successfully employed in the “Asian Miracle” of the Tigers. In contrast to the Neoliberal approach of market liberalisation and faith in the rationality of individual actors, this model describes a strong central state utilising a range of policy tools to aggressively pursue development even against the wishes of market actors. This sees development follow a clear progression through ISI, light industry, heavy and chemical industries, and then finally technological industry, with the export revenue of each stage being used to fund the next and heavy protection from the international market until industries have been sufficiently established.

Rather than being a product of particular cultural values, the success of this model in East Asia can be attributed to the unique pressures placed on the leadership of these states to pursue economic development lest stagnancy threaten their legitimacy. The reliance on economic development for legitimacy rather than democratic elections or ideological justification allowed the East Asian states to have both stability and flexibility in their planning, effectively enacting long-term plans for reinvestment and development while still adapting to the situation of the international economy and any new challenges that might arise (such as China’s development of light industry in competition to Singapore’s). A state-led economy has every chance of failing if they are not sufficiently stable, flexible and motivated to pursue development, as other cases might suggest.

The Asian Tigers provide us with an interesting alternative to the developmental strategies most commonly seen in statebuilding exercises, with their emphasis on liberal values like democracy and market-led growth. Replication of their successes may well be possible, though it will require a dramatic rethinking of our approaches to development economics and our conception of the relationship between a regime’s legitimacy and security.

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XING, Guoxin. “Hu Jintao’s Political Thinking and Legitimacy Building: A Post-Marxist Perspective.” Asian Affairs 36:4. 2009.

ZAKARIA, Fareed. “Culture is Destiny: A Conversation with Lee Kuan Yew.” Foreign Affairs 73:2. 1994.

[1]   Charles Harvey and Hyunhoon Lee, “New Regionalism in East Asia: How Does It Relate To The East Asian Development Model?” ASEAN Economic Bulletin 19:2 (2002), 126

[2]   See Robert Garran, Tigers Tamed: The End of the Asian Miracle (Hawaii, USA: University of Hawaii Press, 1998) for a prime example; also Benjamin Cohen, “Finance and Security in East Asia,” in The Nexus of Economics, Security and International Relations in East Asia, eds. A. Goldstein and E. Mansfield (California, USA: Stanford University Press, 2012), 41

[3]   Harry Truman, Inaugural Address (1949), http://www.bartleby.com/124/pres53.html (accessed 19th May 2014)

[4]   Devesh Kapur, “The IMF: a Cure or a Curse?” Foreign Policy 111 (1998), 115

[5]   Paul Collier, Wars, Guns and Votes: Democracy in Dangerous Places (London, UK: Vintage Books, 2010), 15

[6]   cf. Marglin’s neoclassical, neo-Keynesian and neo-Marxist strands of economic thought analysed in Tariq Banuri, “Sustainable Development is the New Economic Paradigm,” Development 56:2 (2013), 209

[7]   See Gustav Rainis, “Towards a Model of Development,” in Liberalisation in the Process of Economic Development, eds. L. Krause and K Kihwan (California, USA: University of California Press, 1991),78 for analysis of the positive correlation of market liberalisation and good economic performance; Robert Ellickson, “Bringing Culture and Human Frailty to Rational Actors,” Yale Law School Faculty Scholarship Series Paper 461 (1989), 23 for an elegant summary of the rational actor concept.

[8]   Aditya Bhattacharjea, “Krugman’s Economics: An Introduction,” Economic and Political Weekly 43:49 (2008), 27

[9]   Illustrated by Colin Danby, “A Two-Factor World: The Heckscher-Ochlin-Samuelson Model” (1998), http://faculty.washington.edu/danby/bls324/trade/hos.html (accessed 19th May 2014)

[10] C.P. Chandrasekhar, “Investment Behaviour, Economies of Scale and Efficiency in an Import-Substituting Regime: A Study of Two Industries,” Economic and Political Weekly 22:19/21 (1987), 62

[11] A withering critique is found in K.S. Jomo and Rudiger von Arnim, “Trade Theory Status Quo Despite Krugman,” Economic and Political Weekly 43:19 (2008), 30

[12] Summarised in Johan Deprez, “Open-Economy Expectations, Decisions and Equilibria: Applying Keynes’ Aggregate Supply and Demand Model,” Journal of Post Keynesian Economics 19:4 (1997), 600

[13] Chen Sun, “The Role of Medium-Term Plans in Development,” in Liberalisation in the Process of Economic Development, eds. L. Krause and K Kihwan (California, USA: University of California Press, 1991), 146

[14] Anand Chandavarkar, “Was Keynes a Development Economist?” Economic and Political Weekly 21:7 (1986), 305

[15] Ha-Joon Chang and Ilene Grabel, Reclaiming Development: An Alternative Economic Policy Manual (New York, USA: Zed Books, 2004), 38; cf. Chalmers Johnson, MITI and the Japanese Miracle: The Growth of Industrial Policy, 1924-1975 (Stanford: Stanford University Press, 1982); Robert Wade, Governing the Market: Economic Theory and the Role of Government in East Asian Industrialization (Princeton: Princeton University Press, 1990)

[16] Ibid at 66; 78-9; 90; 101; 114; and 120 respectively

[17] Chang and Grabel, Reclaiming Development, 38

[18] Chungil Kim, The History of Korea (Conneticut, USA: Greenwood, 2005), 144

[19] Dongmyeon Shin, Social and Economic Policies in Korea: Ideas, Networks and Linkages (London, UK: Routledge Cuzon, 2003), 47

[20] Ibid

[21] Ibid, 48

[22] Ibid, 50

[23] Ibid, 51

[24] Ibid, 55

[25] Ha-Joon Chang, Bad Samaritans (London, UK: Random House, 2007), 14-15

[26] Shin, Social and Economic Policies, 56-7

[27] Ibid, 57-8

[28] Susan Collins, “Lessons from Korean Economic Growth,” The American Economic Review




APPEAL TO SUPPORT THE RESISTING GREEK PEOPLE and its TRUTH COMMISSION ON PUBLIC DEBT – FOR THE PEOPLES’ RIGHT TO AUDIT PUBLIC DEBT

To the people of Europe and the whole world!

To all the men and women who reject the politics of austerity and are not willing to pay a public debt which is strangling us and which was agreed to behind our backs and against our interests.

We signatories to this appeal stand by the Greek people who, through their vote at the election of 25th January 2015, became the first population in Europe and in the Northern hemisphere to have rejected the politics of austerity imposed to pay an alleged public debt which was negotiated by those on top without the people and against the people.  At the same time we consider that the setting up of the Greek Public Debt Truth Commission at the initiative of the president of the Greek Parliament constitutes a historic event, of crucial importance not only for the Greek people but also for the people of Europe and the whole world!
Indeed, the Truth Commission of the Greek Parliament, composed of volunteer citizens from across the globe, is destined to be emulated in other countries. First, because the debt problem is a scourge that plagues most of Europe and the world, and secondly because there are millions and millions of citizens who are rightly posing basic and fundamental questions about this debt:
“What happened to the money that made up this loan? What were the conditions attached to it? How much interest has been paid, at what rate? How much capital has been repaid? How was the debt allowed to accumulate without benefiting the people? Where did the capital go? What was it used for? How much was diverted, by whom, and how was this done?


“And also: Who took out this loan and in whose name? Who granted the loan and what was their role? How did the state become involved? By what decision, taken with what authorisation? How did private debts become ‘public’? Who set up such inappropriate schemes, who pushed in this direction, who profited from them? Were offences or crimes committed with this money? Why has penal civil, criminal and administrative responsibility not been established?”

All these questions will be subjected to rigorous analysis by the commission, which has an official mandate to “gather all information relevant to the emergence and disproportionate increase in public debt, and to subject the data to scientific scrutiny in order to determine what part of that debt can be identified as illegitimate and illegal, odious or unsustainable, during the period of the Memoranda, from May 2010 to January 2015 as well as in the preceding years. It must also publish precise information – which must be accessible to all citizens, provide the evidence to back up public declarations, raise awareness among the Greek population, the international community and international public opinion, and finally draw up arguments and demands calling for cancellation of the debt.

We consider that it is the most basic democratic right of every citizen to demand clear and precise answers to these questions. We also consider that refusal to reply constitutes a denial of democracy and transparency on the part of those at the top who invented and use the “debt-system” to make the rich richer and the poor poorer. And even worse: we consider that by jealously keeping for themselves the monopoly right to decide the fate of society, those at the top deprive the overwhelming majority of citizens not only of their right to make decisions but above all of the right to take their destiny and the fate of humanity into their hands!

This is why we are launching the following urgent appeal to all citizens, social movements, ecological and feminist networks and movements, trade unions and political organizations that reject this ever less democratic and humane neo-liberal Europe: Show your solidarity with the Greek resistance by supporting in action the Greek Public Debt Truth Commission and its work in identifying that part of the Greek public debt which is illegal, illegitimate, odious and/or unsustainable.
Defend it against the outrageous attacks it has been subjected to from all those forces in Greece and the rest of the world who have an interest in keeping the truth about the “debt-system” hidden from view.

Actively take part in the citizen debt audits that are being developed throughout Europe and elsewhere.

Share your support and solidarity on your social networks, since this support and international solidarity is the only way to thwart the ruling powers’ plan to suffocate Greece and the people who are fighting against our common enemy: the politics of austerity and the debt that is strangling us!

We are confronted by an experienced adversary, united, well-coordinated, armed with extraordinary powers and absolutely determined to pursue its offensive against every one of us to the bitter end: we who constitute the overwhelming majority of our societies. We cannot allow ourselves the luxury of resisting separately, each in his own corner. So let us unite our forces in a vast movement of solidarity with the Greek resistance and support for the Truth Commission of the Greek Parliament, multiplying such debt audit commissions everywhere where that is possible. Because the struggle of the Greek people is our struggle and their victory will be our victory. Our unity is our only strength

United we stand; divided we fall!

Click here GreekDebtTruthCommission.org to sign this Appeal

A first indicative list of 300 personalities supporting the Appeal 

1. Immanuel Wallerstein, sociologist, historical social scientist, and world-systems analyst, USA

2. Noam Chomsky, MIT, USA

3. Ken Loach, film and television director, UK

4. Hugo Blanco Galdos, historico dirigente movimiento campesino indigeno, Peru

5. Etienne Balibar, philosophe, France

6. Frei Betto, writer, political activist, liberation theologist, Brazil.

7. Leonardo Boff, theologist and writer,  Professor Emeritus of Ethics, Philosophy of Religion, and Ecology at the Rio de Janeiro State University, Brazil.

8. Gaillot  Jacques, France, Évêque

9. Paul Jorion, Belgique, Détenteur de la chaire “Stewsardship of Finance”, Vrije Universiteit Brussel, Belgium

10. Padre Alex Zanotelli- missionatio comboniano(Napoli- Italia)

11. Ada Colau (major candidate, Barcelona en Comú) Barcelona- Estat español

12. Susan George, honorary president of Attac-France; president of the Transnational Instistute, France

13. Costas Isychos, Deputy Minister of National Defense, Greece

14. James Petras, retired Bartle Professor (Emeritus) of Sociology at Binghamton University in Binghamton, New York and adjunct professor at Saint Mary’s University, Halifax, Nova Scotia, Canada who has published prolifically on Latin American and Middle Eastern political issues, USA

15. ALBIOL GUZMAN Marina parlamentaria electa del Parlamento Europeo en las Elecciones al Parlamento Europeo de 2014 por la coalición de La Izquierda Plural.

16. DE MASI Fabio, Ökonom und Politiker (Die Linke). Bei der Europawahl 2014 wurde er in das Europäische Parlament gewählt.

17. CHRYSOGONOS Kostas, European parliamentarian, Syriza, Greece

18. LOPEZ BERMEJO Paloma, sindicalista y política española. Fue elegida eurodiputada, Izquierda Plural, Espana

19. Ransdorf Milislav, Member of the European Parliament for the Communist Party of Bohemia and Moravia, Czech Republic.

20. FORENZA Eleonora, , Parlamentaria Europea (L’Altra Europa con Tsipras) membro della segreteria nazionale del Partito della Rifondazione Comunista, Italia

21. Arcadi Oliveres, economista català i un reconegut activista per la justícia social i la pau, Catalunya

22. Jorge Riechmann,  Jorge Riechmann, ensayista, poeta y profesor de filosofía moral (Universidad Autónoma de Madrid). Miembro del Consejo Ciudadano de Podemos en la Comunidad de Madrid.

23. Joanne Landy. Co-Director, Campaign for Peace and Democracy, New York City, USA

24. Tariq Ali, writer, UK

25. Mariana Mortagua, députée Bloco, Portugal

26. Cecilia Honorio, députée Bloco, Portugal

27. João Semedo, députée Bloco, Portugal

28. José Soeiro, député Bloco, Portugal

29. Jeffrey St. Clair,editor of CounterPunch, author of Born Under a Bad Sky and Grand Theft Pentagon, USA

30. Nico Cué, secrétaire général de la FGTB Métal, Belgium

31. Jaime Pastor, Profesor de Ciencia Política y editor de Viento Sur.

32. Michael Lowy, ecrivain, professeur, France

33. Paolo Ferrero, segretario nazionale del partito della Rifondazione Comunista- Sinistra Europea, Italia

34. Farooq Tariq , General secretary , Awami Workers Party, Pakistan

35. Andrej Hunko, depute Die Linke, Germany

36. Annette Groth, depute Die Linke, Germany

37. Mireille Fanon Mendes France ,Expert ONU, France

38. István Mészáros, Professor Emeritues of Philosophy, University of Sussex, Hungary/UK

39. Pierre Khalfa, coprésident de la Fondation Copernic, France

40. Aminata Traore, ancienne ministre de la culture du Mali

41. CARMEN LAMARCA PEREZ, catedratica de Derecho Penal Universidad Carlos III de Madrid, Espana

42. Francisco Louçã, Bloco de Esquerda, Portugal

43. Pablo Micheli, secrétaire général de la CTA (Central de los Trabajadores Autónoma de la Argentina)

44. Joxe Iriarte “Bikila”, Miembro de la coordinadora nacional de la organizacion vasca, Alternatiba y de la coailicion Eh-Bildu.

45. Mary N. Taylor, member of editorial board, LeftEast website/Assistant Director, Center for Place, Culture and Politics, City University of New York., USA

46. Ahlem belhadj, pédopsychiatre; militante féministe, Tunisie

47. Achin Vanaik, founding member of the Coalition for Nuclear Disarmament and Peace and a co-recipient of the International Peace Bureau’s Sean McBride International Peace Prize for 2000, India

48. Michel Warschawski, ecrivain-activiste, Israel

49. Eleonora Forenza, eurodeputata “L’Altra Europa con Tsipras”, Italia

50. Besancenot Olivier, NPA, France

51. Sol Trumbo Vila , Economic Justice, Corporate Power and Alternatives Program , Transnational Institute (TNI)

52. Jesper Jespersen,professor of Economics,Roskilde University, Denmark

53. Marta Harnecker, writer Chile

54. Michael A Lebowitz, economist Canada

55. Krivine Alain, NPA, France

56. Marco Revelli, professore universitario ed ex portavoce “L’Altra Europa con Tsipras”, Italia

57. Marcel Francis Kahn, medecin, France

58. Houtart Francois, Fundaciõn Pueblo Indio del Ecuador

59. SAMIR AMIN,Professeur d’Université,Président Forum Mondial des Alternatives, France

60. Mariya Ivancheva, member of editorial board, LeftEast website/Post-doctoral research fellow, University College Dublin, Ireland

61. Pablo Echenique, Podemos, Espana

62. Gustave Massiah (AITEC (Association Internationale des Techniciens Experts et Chercheurs),membre du Conseil International du Forum Social Mondial, France

63. Juan Carlos Monedero,  Podemos, Espana

64. Achcar Gilbert, professor SOAS University of London, UK

65. Gerardo Pisarello (Barcelona en Comú) Barcelona -Estat Español

66. Paul Lootens, Président, Centrale Générale FGTB, Belgium

67. Vicent Maurí, Portavoz Intersindical Valenciana, Espana

68. Pablo Micheli, secrétaire général de la CTA (Central de los Trabajadores Autónoma de la Argentina)

69. Dr Pritam Singh DPhil (Oxford) ,Professor of Economics,Department of Accounting, Finance and Economics, Faculty of Business, Oxford Brookes University, Oxford, UK

70. Raúl Camargo Fernández, candidato en la lista de Podemos a la Comunidad

de Madrid. Miembro de Anticapitalistas, Espana

71. Miguel Benasayag, philosophe, psychanalyste, Argentina/France

72. Vincent DECROLY, ancien parlementaire fédéral indépendant, membre du Secrétariat de VEGA (Vert et de gauche), Belgium

73. Catherine Samary, économiste et altermondialiste, France

74. Harribey Jean-Marie, professeur de sciences économiques et sociales, France

75. Coutrot Thomas, économiste, porte parole d’Attac France

76. Aziki Omar, Secrétaire général, ATTAC/CADTM MAROC

77. Marga Ferré, Coordinadore General de areas Izquierda Unida, Espana

78. Vladimir Unkovski-Korica,member of editorial board, LeftEast website/ Assistant Professor, Higher School of Economics, Moscow, Russia

79. Alessandra Mecozzi,Libera International, Italia

80. Dr. Elmar Altvater, Politikwissenschaftler, Autor und emeritierter Professor für Politikwissenschaft am Otto-Suhr-Institut der FU Berlin., Germany

81. Guido Viale, economist, promotore della lista “L’Altra Europa con Tsipras », Italia

82. Gustave Massiah (AITEC (Association Internationale des Techniciens Experts et Chercheurs)membre du Conseil International du Forum Social Mondial, France

83. Dr Guy Standing,,Fellow of the Academy of Social Sciences, Professor in Development Studies, School of Oriental and African Studies,University of London. Co-President, Basic Income Earth Network (BIEN), UK

84. Julio Perez Serrano, Head of the Contemporary History Research Group, Faculty of Philosophy and Letters,Universidad de Cádiz, Espana

85. Roberto Musacchio, già eurodeputato, Italia

86. Véronique Gallais, militante et actrice de l’économie sociale et solidaire, membre du conseil scientifique d’Attac  France

87. Jean Gadrey, économiste, Conseil scientifique Attac, France

88. Rossen Djagalov,member of editorial board, LeftEast website/ Assistant Professor, Koç University, Istanbul, Turkey

89. Paul Mackney – Co-Chair, Greece Solidarity Campaign, UK

90. Katz Claudio, economist, profesor, Argentina

91. Monique Dental, présidente fondatrice Réseau Féministe “Ruptures” France

92. John Weeks, economist. He is a Professor Emeritus of the School of Oriental and African Studies of the University of London, UK

93. Luciana Castellina, già deputata e già presidente Cultura del Parlamento Europeo, presidente onoraria ARCI

94. Tijana Okic, University of Sarajevo, Faculty of Philosophy, Philosophy, Faculty Member, Bosnia/Herzegovina

95. Josep Maria Antentas, profesor de sociología de la Universitat Autònoma de Barcelona (UAB), Espana

96. David Graeber, London School of Economics, Usa/UK

97. Sergio Rossi, Full Professor & Chair of Macroeconomics and Monetary Economics, University of Fribourg, Switzerland

98. Óscar Carpintero,Profesor de Economía Aplicada,Facultad de Ciencias Económicas y Empresariales, Universidad de Valladolid, Espana

99. Geoffrey Harcourt, Emeritus Reader in The History of Economic Theory, Cambridge 1998; Professor Emeritus, Adelaide 1988; Visiting Professorial Fellow, UNSW 2010–2016, Australia

100. Janette Habel , universitaire, France

101. ANDREJA ZIVKOVIC, sociologist and member of Marx21, Serbia

102. Philippe Diaz, cinéaste, réalisateur de « The End of Poverty », USA

103. Attac Castilla y Leon . España.

104. Andrew Ross, Professor of Social and Cultural Analysis, New York University, USA

105. Lieben Gilbert, Secrétaire Générale CGSP Wallonne, Belgium

106. Esther Vivas, periodista, Estado español

107. Pierre Salama, economiste, professeur emerite des universités

108. Teresa Gómez, economista,miembro del Círculo 3E (Economía,Ecología y Energía) de PODEMOS

109. PACD (Plataforma Auditoria Ciudadana de la Deuda), Espana

110. Liliana Pineda, abocada, escritora -15M-movimiento por la defense de agua, Espana

111. Claude Calame,Directeur d’études, EHESS, ATTAC,Ecole des Hautes Etudes en Sciences Sociales, Centre AnHiMA (Anthropologie et Histoire des Mondes Antiques, UMR 8210), France

112. Teivo Teivainen,  Professor of World Politics, University of Helsinki, Finland

113. Yannis Thanassekos, Professeur de Sociologie politique, ancien directeur de la Fondation Auschwitz, collaborateur scientifique à l’université de Liège, Belgium

114. Enrique Ortega,, professor-movimiento por la defense de agua, Espana

115. Dr. Karl Petrick,Associate Professor of Economics, Western New England University, UK

116. Rosa Moussaoui, grand reporter à L’Humanité, France.

117. Eric Corijn, Professeur Etudes Urbaines, Vrije Universiteit Brussel

118. Dr. Jorge Garcia-Arias,Associate Professor of Economics,University of Leon, Espana

119. Lankapeli Dharmasiri, member of the Polit Bureau of the NSSP, Sri Lanka

120. Colectivo Internacional Ojos para la Paz

121. Yves Sintomer, Membre de l’Institut Universitaire de France, Professeur de science politique, chercheur au CSU-CRESPPA (CNRS/Université Paris-Lumières), France

122. Prabhat Patnaik, Economist, New Delhi.

123. Roger Silverman, Workers’ International Network, UK

124. Des Gasper, professor of public policy, The Hague, Netherlands

125. Dr Julian Wells, Principal lecturer in economics, School of Economics, History and Politics, Faculty of Arts and Social Sciences, Kingston University, UK

126. Lluís Alòs i Martí, profesor economia,Barcelona

127. Benoit Hazard, Anthropologue, Institut interdisciplinaire d’Anthropologie du Contemporain (UMR Ecole des Hautes Etudes en Sciences Sociales/ Centre National de la Recherche Scientifique), France

128. Bruno THERET, Bruno Théret, économiste, Directeur de recherche émérite au CNRS, université Paris Dauphine, France

129. Steve Keen, professor Head, School of Economics, Politics & History,Kingston University London, UK

130. Jennar Raul Marc, écrivain, France

131. Franchet Pascal, vice-président CADTM, France

132. Adda BEKKOUCHE,Juriste, France

133. Marie-Dominique Vernhes, Rédaction du “Sand im Getriebe” (ATTAC), France

134. Claude Serfati, Economiste, France

135. Samy Johsua, professeur émérite Aix Marseille université

136. Dr. Antoni Domenech, Full Professor of Methodology of Science Faculty of Economics, University of Barcelona, Espana

137. Bibiana Medialdea, economist, Espana

138. Judith Dellheim, Berlin, Zukunftskonvent, Germany

139. Dra. Patricia Britos (Universidad Nacional de Mar del Plata, Argentina)

140. Syed Abdul Khaliq, Focal Person,  Executive Director Institute for Social& Economic Justice (ISEJ)   Pakistan

141. María Elena Saludas, ATTAC Argentina / CADTM – AYNA, Argentina

142. Gerard PERREAU BEZOUILLE, Premier Adjoint honoraire de Nanterre, France

143. BENHAIM RAYMOND, CEDETIM, ECONOMISTE, France

144. António Dores,  Professor Auxiliar com Agregação do Departamento de Sociologia do Centro de Investigação e Estudos de Sociologia (CIES/ISCTE-IUL), Portugal

145. Annie Pourre, No Vox International, France

146. Pedro Ibarra catedrático ciencia política Universidad país vasco, Espana

147. Dan Gallin, Global Labour Institute, Geneva, Switzerland.

148. Cossart Jacques, économiste, France

149. Richard Danie, responsable syndicale FGTB, Belgium

150. Rome Daniel, Attac – Professeur d’économie gestion, France

151. ANGEL GARCÍA PINTADO (escritor y periodista), Espana

152. Gotovitch José, historien, Professeur hon. Université Libre de Bruxelles, Belgium

153. Nacho Álvarez, Professor of Applied Economics, University of Valladolid, Member of Podemos, Espana

154. Dr. Jeff Powell,Senior Lecturer, Economics,Department of International Business & Economics, University of Greenwich, Old Royal Naval College, London, UK

155. J. Francisco Álvarez    DNI 41981064S   Full Professor of Logic and Philosophy of Science. National Distance University of Spain. Madrid, Espana

156. Christian Zeller, Professor of Economic Geography, University of Salzburg, Austria

157. Dillon John,Ecological Justice Program Coordinator, KAIROS: Canadian Ecumenical Justice Initiatives, Canada

158. Jean-Claude SALOMON, DR honoraire au CNRS, conseil scientifique d’Attac, France

159. Dr.Oscar Ugarteche,Instituto de InvestigacioneEconómicas,UNAM,Ciudad,universitaria, Coyoacán, México DF04510,Coordinador OBELA, Mexico

160. Alberto Montero, economistas de Podemos, Espana

161. Dr Vickramabahu,new same society party- NSSP, Sri Lanka

162. João Romão, Music Sociologist, University of Leipzig, Germany

163. Michel Rouseau, Euromarches, France

164. Julio Alguacil Gómez. Profesor de Sociología. Universidad Carlos III de Madrid, Espana

165. Fernando Rosas, professeur universitaire, Portugal

166. Dr Neil Lancastle,Senior Lecturer, Department of Accounting and Finance, DE MONTFORT UNIVERSITY, LEICESTER, UK

167. Rosaria Rita Canale,Associate professor in Economic Policy, Dept. of Business and Economics, University of Naples “Parthenope”, Italia

168. Antonio Baylos, Professeur du Droit de Travail. Université Castilla La Mancha,  Espana

169. Abdallah Zniber, ancien président du réseau Immigration Développement Démocratie (IDD) – France

170. Eric Fassin, sociologue, Université Paris-8, France

171. Paul Ariès, politologue, rédacteur en chef du mensuel les Zindigné(e)s, France

172. Nuno Rumo, Democracia e Divida, Portugal

173. Roland Zarzycki, Not Our Debt, Poland

174. Nicolas Sersiron, Président cadtm France et auteur, France

175. Noemi Levy, phd in economics. Chair professor Noemi Levy, UNAM. Economic Faculty, Mexico

176. Domenico M. Nuti, Emeritus Professor, Sapienza University of Rome, Italia

177. Christine Pagnoulle, ATTAC Liège, Université de Liège, Belgium

178. . Dr Judith Mehta, heterodox  economist, recently retired from the University of East Anglia, Norwich, UK.

179. Maria João Berhan da Costa, CADPP, Revista Rubra, Habita, Portugal

180. Héctor Arrese Igor, profesor Universidad de Buenos Ayres, Argentina.

181. Ciriza Alejandra, Dra. en Filosofía por la UNCuyo. Investigadora Independiente del CONICET, INCIHUSA CCT Mendoza. Directora del Instituto de Estudios de Género (IDEGE) de la Universidad Nacional de Cuyo, Mendoza, Argentina.

182. René Passet, Professeur émérite d’économie à l’Université Paris 1- Panthéon-Sorbonne, France

183. Dr. Susan Caldwell, professor (retired), Conseil d’administration d’Alternatives, Montréal, Canada

184. Dr.  Deborah Potts , Reader in Human Geography, King’s College London, UK

185. Dr. James D. Cockcroft, author, professor (retired), Honorary Editor Latin American Perspectives; a founder Red en Defensa de la Humanidad; Montréal, Canada

186. Daniela Tavasci , senior lecturer ,Queen Mary University of London, UK

187. Wilfred Dcosta, Indian Social Action Forum – INSAF,New Delhi, India

188. Malcolm Sawyer,Emeritus Professor of Economcs,University of Leeds, UK

189. Matyas BENYIK, Chairman of ATTAC, Economist, Budapest, Hungary

190. Ricardo Ortega Gonzalez, economista, funcionario de Eusko Jaurlaritza-Gobierno Vasco, Espana

191. Gabriel Colletis, Professeur de Sc. économique à l’Université de Toulouse 1-Capitole. France

192. Adam Rorris, National Coordinator, Australia-Greece Solidarity Campaign, Australia

193. Carlos Durango Sáez , Universidad Carlos III de Madrid, Espana

194. Dr. Laura Horn, Associate Professor, Roskilde University, Denmark

195. Dr. Peter Herrmann, Федеральное государственное бюджетное образовательное учреждение высшего профессионального образования «Российский экономический университет имени Г.В. Плеханова/

Federal state-funded educational institution of higher professional education Plekhanov Russian University of Economics, Russia

196. Dr. Miriam Boyer, ibero-Amerikanisches Institut, Germany

197. Jérôme Duval, CADTM, Estado español

198. Michael Hartmann, Professur für Elite- und Organisationssoziologie, Technische Universität Darmstadt, Germany

199. Dr. Ulrich Duchrow, professor, Scientific Council of Attac Germany

200. Mogens Ove Madsen,Associate Professor, Department of Business and Management, Aalborg University, Denmark

201. Guglielmo Forges Davanzati, Professor of Political Economy,University of Salento, Italia

202. Mehmet Ugur,Professor of Economics and Institutions, University of Greenwich Business School, UK

203. Jacques Berthelot, économiste, France

204. Herbert Schui, Prof. of Economics, Germany

205. Mateo Alaluf, Prof émérite de l’Université Libre de Bruxelles (ULB), Belgium

206. Michele CANGIANI, economist, ecrivain,  université Ca’ Foscari, Venise, Italia

207. Marcela de la Peña Valdivia, Chargée de missions (Sociologue, Maitrise en gestion interdisciplinaire de l’environnement, spécialité femmes et développement. Certificat interuniversitaire d’évaluation de politiques publiques, Suisse

208. Jean Batou, professeur, Université de Lausanne, Suisse

209. Julia Varela Fernández, catedrática de sociología de la universidad complutense, Espana

210. Benny Asman, Economic historian, Belgium

211. Pepe Mejia, activista/militante de Attac Madrid, Plataforma contra la operación especulativa en Campamento, Plataforma en Defensa de la Sanidad Pública de Latina, miembro de Podemos y de Anticapitalistas, Espana

212. Joaquin Aparicio Tovar, Catedrático de Derecho del Trabajo y La Seguridad Social. Decano, Universidad de Castilla-La Mancha, Espana

213. raffaella bolini – Arci

214. International Alliance of Inhabitants (Cesare Ottolini IAI Global Coordinator)

215. Marco Bersani, Attac Italia

216. Professor Robert Dixon,Department of Economics, The University of Melbourne, Australia

217. Nicolás Giest, argentinian lawyer, and a also a researcher about the argentinian external debt, Argentina

218. Anastassia Politi, metteur en scène – comédienne, France

219. Luis Glez Reyes. Ecologistas en Acción, Espana

220. Georges Menahem, Economiste et sociologue, directeur de recherche au CNRS, MSH Paris Nord, France

221. Franck Gaudichaud, enseignant-chercheur Université Grenoble-Alpes (France)

222. Iván H. Ayala, profesor universitario, investigador del Instituto Complutense de Estudios Internacionales, Espana

223. Asier Blas Mendoza – Profesor del Departemento de Ciencia Política de la Universidad del País Vasco UPV/EHU, Espana

224. Jean NKESHIMANA, Country Program Manager, Terre des Jeunes du Burundi

225. Piero Di Giorgi, direttore di Dialoghi Mediterranei, Italia

226. Dr. Stefanie Wöhl,Guest Professor,University of Kassel,Political Science Department, Kassel, Germany

227. Enzo Scandurra, Full Professor of Urban Planning, Sapienza University of Rome, Italia

228. Massimo Pasquini, Segretario Nazionale  Unione Inquilini, Italia

229. Manuel Martínez Forega, Crítico literario y filólogo. Estudios de Filología Española, de Filología

Románica y de Derecho en la Universidad de Zaragoza, Espana

230. Josep Maria Antentas, profesor de sociología de la Universitat Autònoma de Barcelona (UAB), Espana

231. Barry Finger, Editorial board member, New Politics, Netherlands

232. Giusto Catania, Assessore al Comune di Palermo. – Ex Deputato europeo, Italia

233. Janette Habel , universitaire, France

234. Francesco Denozza, Professore ordinario di diritto commerciale., Dipartimento di diritto privato e storia del diritto., Università degli Studi di Milano, Italia

235. Javier De Vicente, (on behalf of) UNION SINDICAL OBRERA (USO), Secretario Confederal de Accion Internacional, Espana

236. Sebastian Franco (Alter Summit wants to sign the Call for the Commission on debt audit).

237. Jonathan Davies, Professor of Critical Policy Studies, De Montfort University, UK

238. Katu Arkonada – Red de Intelectuales en Defensa de la Humanidad, Espana

239. Juan Tortosa, periodista, Espana

240. Eleonora Ponte, Movimento NO TAV Valle di Susa, Italia

241. Pablo de la Vega, Coordinador Regional, En representación de la “Plataforma Interamericana de Derechos Humanos, Democracia y Desarrollo (PIDHDD Regional)”, organización de derechos humanos de carácter regional, con presencia en 15 países latinoamericanos y caribeños, y sede administrativa en Quito Ecuador

242. Matias Escalera, Cordero, Escritor y profesor, Espana

243. Enzo Traverso, Cornell University, USA

244. José Manuel Lucía Megías, Catedrático de la Universidad Complutense de Madrid, Escritor, Espana

245. Juan Ramón Sanz, Presidente de la Fundación “Domingo Malagón” Madrid España

246. Bruce Clarke, artiste plasticien, France

247. Luis Buendia, Associate Professor of Economics, Espana

248. Dominique Taddéi, économiste, ancien député, président de la commission des lois à l’Assemblée Nationale, France

249. Isabel Pérez Montalbán, escritora, Espana

250. Pablo Duque García-Aranda. Músico y profesor. Madrid, España

251. Frédéric Neyrat, philosophe français, ancien directeur de programme au Collège international de philosophie et Docteur en philosophie (1998). Il est membre du comité de rédaction de la revue Multitudes et de la revue Lignes, France

252. Daniel TANURO, militant écosocialiste, membre de la LCR, Belgium

253. BRACONNIER, Yves, CGSP-Enseignement-Luxembourg, Belgium

254. Jean-Marie Roux, économiste et syndicaliste France

255. Antonio Canalìa sindacalista CGIL Piemonte Italia

256. Michel Cahen, senior researcher, CNRS/Sciences Po Bordeaux, France.

257. Yu Maxime, Compositeur-Comédien, Liège, Belgiun

258. Renato Zanoli – Commissione Ambiente PRC Torino –  Italia

259. Luis Cabo Bravo, miembro de IU de Madrid y de la dirección del PCE, Espana

260. Giorgio Ferraresi, “Società dei territorialisti”, già Ordinario di urbanistica al Politecnico di Milano, Italia

261. Edouard Bustin, enseigne les Sciences Politiques à l’Université de Boston et est, également, membre du Centre d’études africaines, USA/Belgium

262. Guillermo Cruz,  Guillermo Cruz, realizador de documentales (€uroestafa), España,

263. Françoise Clément, chercheur militante altermondialiste, France

264. Gianni Fabbris – coordinatore nazionale di Altragricoltura –

Confederazione per la Sovranità Alimentare, Italia

265. Luis Dominguez Rodriguez. , Presidente de Attac Castilla y Leon.

266. Antonio Martinez-Arboleda, Reino Unido, profesor universitario, Espana

267. Werner Ruf,  Professor an der Universitaet Kassel,  Germany

268. Ricardo García Zaldívar. Economista. Activista (Attac España

269. Pratip Nag, Unorganised Sector Workers Forum, India

270. Marc Amfreville (professeur Paris-sorbonne), France

271. L’Initiative de Solidarité avec la Grèce qui Résiste – Bruxelles, Belgium

272. Jean-Michel Ganteau, Professeur, Université Montpellier 3, France

273. Marco Revelli, professore universitario ed ex portavoce “L’Altra Europa con Tsipras”, Italia

274. Rosa Rinaldi, Direzione Rifondazione Comunista

275. Sylvie FERRARI, Associate professor in  economics, University of Bordeaux, France

276. Srecko Horvat, Independent scholar, Croatia

277. Karl Fischbacher (Labournet-Austria)

278. Guido Ortona (Prof. Ordinario di Politica Economica),Dipartimento DIGSPES,, Università del Piemonte Orientale, Italia

279. oscar flammini, Espacio de Cultura y Memoria “El Rancho Urutau” de la Ciudad de Ensenada,Provincia de Buenos Aires,Argentina

280. Isabel VAZQUEZ DE CASTRO, Enseignant-Chercheur, formatrice ESPE, France

281. Arnal Ballester, dessinateur. Catalogne, Espana

282. amal Juma, coordinator of the Stop the Wall Campaign.

283. Liliane Blaser, Documentalista, Venezuela

284. Gonzalo Haya Prats, profesor y director del Departamento de Teología en la Universidad del Norte de Chile;  profesor de habilidades directivas en instituciones de enseñanza empresarial en España

285. Sol Sánchez Maroto. Socióloga/Antropóloga/ Activista (Attac España)

286. Raquel Freire, cineasta, activista, Portugal

287. Lisa Tilley, Erasmus Mundus GEM Joint Doctoral Fellow, Department of Politics and International Studies, University of Warwick | Université Libre de Bruxelles, Belgium

288. Thomas Berns, professeur, Université Libre de Bruxelles, Blegium

289. Francesca Gobbo , former Professor of Intercultural Education & Anthropology of Education, University of Turin, Associate Editor of “Intercultural Education”, Italia

290. Marcos Del Roio, prof. de Ciências Políticas UNESP, Brasil.

291. Andrea Zinzani, researcher in Political Geography, CNRS (Paris), France

292. MARIAN SANTIAGO (ciberactivista ecosocial), Espana

293. Gloria Soler Sera, Barcelona, escritora-profesora, Espana

294. Sara Rosenberg, escritora y dramaturga, Argentina-España

295. CARINA MALOBERTI, Consejo Directivo Nacional – ATE-CTA  (Asociación Trabajadores del Estado – Central de Trabajadores de la  Argentina)

296. Convocatoria por la liberación Nacional y Social, Frente Sindical:

Agrupación Martín Fierro (Varela, Mar del Plata y Neuquén

297. Massimo Torreli, Responsabile “L’Altra Europa con Tsipras”.

298. Hichem SKIK, universitaire, dirigeant Parti “Al-Massar” (Voie démocratique et sociale), Tunisie

299. Inma Luna,escritora, poeta, periodista y antropóloga, Espana

300. Manuel Giron, catedratico, Alicante, Espana

 




Appeal for support from DITA workers in Tuzla

A European workers’ euro for 100 workers in Tuzla!

A very destructive war cost many lives and split the Bosnian working class. Then an international protectorate imposed new authorities, promising workers a “Swedish Paradise”. But what they actually got was a “Greek Hell”. There is no work for either young or old, there is little enough medical care and it isn’t free; You have to pay for schooling unless you go to a religious school; if the administration delays issuing you a new identity card, you simply lose the right to vote … Meanwhile they have stopped trying to catch war criminals or doing anything for former combatants or war victims.
Peace is deadlier than war In Bosnia-Herzegovina. Privatisation of industry has everywhere brought factory closures and new capitalists on the lookout for property deals; The Polichem chemical group’s seaside hotel in Neum is worth ten times more than all its plant and thousands of workers in Tuzla.
The DITA detergent works are emblematic of political corruption and decay which stand out among the thing that Bosnian workers have suffered. Only 132 of the thousand employees who provided all former Yugoslavia’s industrial and household cleaning products remain. Shares that were sold to workers quickly ended up in the hands of particular people who saddled the firm with bank debt of millions of German Marks (the equivalent of the national currency km), embezzled the money, giving it to “partners” they control and then, either unable (or unwilling) to re-start production, handed the firm back to the state for a symbolic 1km. But neither the state nor the canton of Tuzla wanted this poisoned present. They ruled it “unconstitutional”, but they also, incidentally, refused to give it back to the workers until they paid back the astronomic debts … What do you do in nightmare like this?
The hundred or so workers still at DITA have received no wages for 32 months. They have tried everything: factory occupation, hunger strikes, demonstrations, occupying cross-roads, lobbying all the political parties and trying all levels of the justice system. Even now, whatever the weather, they go on the street once a week and protest angrily. There are many couples with husband and wife working in the same factory. Many workers lost everything in the spring floods. Since February they have been the first to demonstrate, and today they are still the last to leave the demonstrations. But morally and materially they are at the end of their tether. Should we wait until one of them pours petrol over her or himself or jumps off the public gallery of Parliament onto the Mafia men and their mouthpieces below, to burst the bubble of fear and “every man for himself”? A Romanian worker did just that recently.
Only the working class in the rest of Europe can help Bosnian workers. Internationalism must not remain an empty phrase. Fortunately there are still workers in Europe who can spare a pound or a euro to save their brothers in Tuzla from despair, like the members of the First International who paid a shilling a year to help their brothers on strike in a foreign country.
DITA symbolises struggle and resistance in Bosnia Herzegovina. If they fail, a wave of demoralisation will drown the Tuzla area like a new flood. To support them now is to support ourselves tomorrow,
Radoslav Pavlovic
Monika Karbowska
Emina Busuladzic is the chair of the strike committee. You can read (below) an interview she did with Monika Karbowska, and her banking details for international aid (please mention “DITA”) are as follows:

Emina BUSULADZIC, Muharema Merdzica br. 18, 75000 TUZLA

NLB Banka d d., Tuzla
Marsala Tita 34
75000 Tuzla, BiH

Telefon +387 25 259 259
Fax +387 35 302 802
Email: info@nlb.ba
Name: Emina Busuladzic SWIFT: TBTUBA22 IBAN BA391320010526292230 Foreign exchange 105262922 JMBG 0703956185034

Version française ci-dessous.

Eminka Busuladjic

 

Bosnia:

“We want to live by our own labour, and for that workers need to control production”

Sunday 5 October 2014

Last June, militant feminist and internationalist Monika Karbowska visited Tuzla, the “cradle” of the social explosion which shook Bosnia in February. There she met the men and women who work at Dita, a factory which was at the heart of the popular mobilisation. This is her testimony and her interview with Eminka Busuladjic, union representative at Dita and one of the founders of the new Solidarnost union.

Tuzla, June 2014: It is very hot when we arrive in this medium-sized town in north-eastern Bosnia. Like almost every town in Bosnia, Tuzla is in a valley surrounded by wooded mountains. These mountains conceal acres of industrial sites nestling in the hillsides: coal and salt mines (salt is the region’s historic natural resource) and the chemical plants processing these natural resources. Like all the countries run by the former “communist” regime, these medium sized towns in what was then Yugoslavia were provided with factories and the population had a golden age in the 1970s.

Tuzla is a town rich in long traditions of class struggle and workers’ solidarity. In fact it was the site of a workers’ revolution in 1920: Bosnian coal-miners came to the defence of Slovenian colleagues who had been sacked, setting up a short-lived Boshevik republic. An imposing statue in the dilapidated town square recalls for all time this gesture of the Tuzla worker.

On 5 February 2014 Tuzla gave the signal for a new workers’ revolt in Bosnia. Young people set fire to a public building in protest against the corruption of the canton government. The police retaliated and the little town was shaken by rioting. But then the workers at the DITA chemical complex, who had been protesting in vain for several years against privatisation, joined the movement and brought their Tuzla workers’ traditions with them: they convinced the young people to stop burning public buildings down. They also convinced them to support strikes against privatisation.

Then protest movements broke out in 10 other towns in Bosnia, including Sarajevo. Even Republica Serpska was affected, with demonstrations in Banja Luka. The demonstrators demanded the removal of corrupt elites and reform of the political system inherited after the Dayton cease-fire, imposed by western powers, which generated corruption at every level (municipal, cantonal and federal).

That’s when the activists in the Bosnian Left, which came out of the 2009 student movement and organised in several groups such as the Lijevi movement, had the idea of organising Popular Assemblies, or so-called Plenums, in the public cultural centres which still exist in every town in Bosnia.

Women played an enormous role in this renewal of the working class and social movement in Eastern Europe. We follow one of them, Eminka Busuladjic, one of the founders of the new Solidarnost union. Eminka started 30 years ago on the production line at the DITA factory. She worked her way up and is now in charge of research and development. She came under pressure to give up her trade union activities, but she has not let go; it’s her factory and her life.

MK: Eminka, can you tell us about DITA and the struggles you have had so far?

EB: DITA, Industrija Deterdženata Tuzla, was one of the biggest chemical complexes in Yugoslavia. DITA produced liquid and powder detergents which were feedstock for industrial and domestic cleaning products as well as cosmetics. DITA was a well-known leader in this field in Yugoslavia and had a big presence in the local market. It had its own rail link and factory shops as well as a big sales centre in Belgrade.

Run on the Yugoslav self-management model, the firm was nationalised when Bosnia was created, then privatised in 1998 for the benefit of “gangsters” who saddled it with 99 million German Mark debts and ruined it. Before privatisation, DITA had 1 000 paid staff and 400 “volunteers”. They were all sacked and at present there are only about 118 workers left, about 75-80 of whom took part in the protests [last February].

When we were privatised, 272 people bought shares but out of those 272, 7 held more that 45%, and that was the management team. The workers were supposed to take out credits to pay for shares, between 1 000 and 10 000km credits on monthly salaries of 2 000km and monthly repayments of 500km [Km is the local currency based on the German Mark].

The director was meant to invest the money raised from the share sales, but he did nothing – the workers’ capital was embezzled. There was never any real workers’ control of the company management because they abolished public access to the accounts in 1989 and that’s why it was so easy to destroy the company.

Since then investment has been zero and the machines deteriorating a bit more every day. But in the chemical industry the plant is so heavy and maintenance is so important that if you stop maintaining it that really does say you want to stop production, since it won’t be easy to start up again. DITA is already some way down that road, with several production lines stopped.

(…) [The workers] know that DITA got big credits because the local director of [the Austrian bank] Hipobank was on the board, but nothing was invested because there was no workers’ control over it.

(…) The management strategy was to have the workers believe they would be paid once the liquidation of the business went through, so pushing workers to wish for the destruction of their own work-tool, selling off assets to pay themselves. (…) The aim was to wind up production and invest the money in tax havens.

MK: Can you tell us how DITA workers’ recent struggles went and what your involvement in last February’s Plenum movement was?

EB: Realising, because of the successive sackings, that privatisation simply meant destruction, the workers who were left at DITA started a strike and occupied the entrances to the factories from 4 April 2011 until 19 March 2012. The canton government promised it would be bought by the Serbian Bohemia group.

Wages were paid for two months, but in that period equipment and products worth 2 million km were sold off, and that is probably what that manoeuvre was all about.

In November and December 2013 the workers revolted properly and blocked the entrances and exits to the factory. The company used private security guards to expel the workers from the site. The struggle came to a face-to-face showdown in front of the factory: the workers told the security guards they were not going to move and that they would not leave because they owned shares in the company.

That’s when they realised that management were trying to close the plant. It became clear that the credit lines the firm had taken out were never re-invested in production. Moreover, the management were sub-letting part of the factory on behalf of the subsidiary, LORA, whose shares are also owned by DITA directors.

We used to meet every Wednesday to protest. On 29 January 2014, we once again demonstrated outside the canton government office. That’s when the Marxist group, Lijevi, joined us and publicised our struggle in the media with photographs, films and articles. Then the protest movement took off in a massive way on 5 February. Police tear-gassed the workers and young people who were demonstrating. Police repression finally united the two components in the struggle, the workers and the youth.

10 000 people demonstrated outside the canton government building. In the end the government started negotiations. As it went on, the President of the canton resigned, but the situation at DITA was not resolved. The canton symbolically bought the company back for 1 mark, but the question of wiping out the odious company debt, which workers were demanding, never got mentioned.

The chemical union federation gave us no support, so we realised we had to act at a local level, with the support of local townspeople, our neighbours. For that, the experience of the Plenums, the Assembly and hundreds and then thousands of townspeople, open debates which took place at the cultural centre was an enormous school of democracy for us, and of rebuilding the links at a local level.

I took part in the first Plenum on 7 February thanks to meeting a Lijevi activist. I talked about our struggle at DITA and that’s how unity between the workers and the other demonstrators was achieved.

There were 25 people at the first Plenum, and seven of them were arrested by the police. So we went to the court with them. There was a real risk that the police would actually start shooting. Trade unionists, including us, came along to stop the police firing at the demonstrators. At the Plenums, we set up working parties with economists to demand a review of all privatisations. It was the young people in Lijevi who helped us. The Plenums demanded: “Put the workers in the front!” The workers wanted to develop production and stop any new privatisations, and above all to raise the question of the company’s debts to the banks.

MK: How could the establishment of your union change the situation as it stands?

EB: The Plenums movement changed a lot of things because it put pressure on the courts, who started prosecuting “Mafioso” style privatisations and destruction of production machinery.

At the moment management organise “yellow” unions or call in people who did not join in the demonstrations to split the workers. It was to put a stop to that that DITA workers set up the Solidarnost union, to continue to put pressure on and struggle against the criminalisation of the Plenum movement: some people are still being prosecuted for “sabotage” and “crimes against private property” since the movement! Moreover, the unions are very fragmented. That’s why the Plenums had the aim of unifying the unions in a common front.

Anyone can join the Solidarnost union. You can be a member even if you don’t work at DITA. That broadens its base and turns it into a school of struggle. We want unemployed people, pensioners and students to get involved in the struggle. For example, pensioners from our industry have been a valuable source of support, and so have trade unionists in the electrical industry and health.

Before the war the unions were strong, but after they were talked down and destroyed. I’m a member of Solidarnost union but I’m on the strike committee too. Management accused me of lying and manipulation. They may even take me to court. Sub-contractors have also accused me of stopping them from working on the site. I don’t think what these sub-contractors are doing benefits the factory. In any case they can’t get me barred from the site because I’m a shareholder!

MK: What future do you want for the factory and what can activists around Europe do to support you?

EB: Every day the machines deteriorate a bit more. There is no time to lose. Two thirds of production has stopped, and some of the buildings are rented out to sub-contractors who store unidentified chemical products here and don’t produce anything. Why should workers have to pay for the management’s corruption and refusal to do its job? The workers won’t let up the pressure: We are occupying the factory and we demand an independent inquiry into the mafia-style privatisation and we want the privatisation cancelled.

As for what activists elsewhere in Europe can do: The European Left can help us by sending activists who can publicise our struggle and our work … We want to revive the region, we want to live off our own labour, and for that workers need to control production.

Tuzla’s trade unionists need support, publicity and solidarity from working people in Europe. The most important thing is the working people’s committee of the Plenum. We need to work to build up confidence between workers. A new revolt is brewing.

MK: Do any women work at DITA and are they involved in the struggle?

EB (laughs): Women are cleaner-living and more dangerous and have more endurance! The men can get drunk and put the struggle in danger! Women don’t.

The demand to have the privatisation reviewed is revolutionary. Workers in Tuzla look on the privatisation as simply a criminal act when all’s said and done, just like working people at Walbrzych in Poland who denounce the way their town has been destroyed by closures and privatisation and seizure of their property by oligarchs who have no right to it. It’s not just about stopping a criminal act, but declaring it null and void, i.e. re-nationalising the firm. The emergence of this demand is a huge step forward in Eastern Europe. Workers never gave up Yugoslavia’s past, and it’s coming back with the dream of new solidarity, a country where working people can once again have the respect that is their due, and, why not, power?

 

Bosnie : « Nous voulons vivre de notre travail et pour cela les ouvriers doivent contrôler la production »

dimanche 5 octobre 2014

Emina Busuladzic

Nous présentons ci-dessous la contribution de Monika Karbowska, militante féministe et internationaliste, qui en juin dernier s’est rendue à Tuzla, « berceau » de l’explosion sociale qui a secoué la Bosnie en février. Elle y a rencontré les travailleuses et travailleurs de DITA, usine qui a été au cœur de la mobilisation populaire. Elle nous fait parvenir son témoignage et l’interview d’Eminka Busuladjic, responsable syndicale chez DITA et fondatrice du nouveau syndicat Solidarnost.

Tuzla, juin 2014. Il fait très chaud lorsque nous arrivons dans cette ville moyenne au Nord Est de la Bosnie. Comme presque toutes les villes de Bosnie, Tuzla est située dans une vallée très encaissée entourée de montagnes boisées. Ces montagnes cachent des hectares de sites industriels nichés dans le creux de la vallée : mines de charbon, de sel, la ressource naturelle historique la région, ainsi que des usines chimiques de transformation de ces ressources. Du temps de la Yougoslavie, comme dans tous les pays de régime « communiste », ces villes moyennes ont été dotées d’usines et la population y a vécu son âge d’or dans les années 70.
Tuzla est une ville riche d’une longue tradition de lutte de classes et de solidarité ouvrière. En effet, en 1920 Tuzla a été le théâtre d’une révolution ouvrière : les mineurs de charbon bosniaques prirent la défense de leurs collègues slovènes licenciés. Ils ont fondé alors une éphèmère république bolchévique. Une imposante statue dans un square délabré rappelle toujours la geste du travailleur de Tuzla.
Le 5 février 2014 Tuzla donnait le signal d’une nouvelle révolte ouvrière en Bosnie. Des jeunes brûlèrent un bâtiment public pour protester contre le gouvernement cantonal corrompu. La police riposta et des émeutes secouèrent la petite ville. Mais voici que les ouvriers du complexe chimique DITA qui protestaient en vain depuis plusieurs années contre les privatisations se sont joint au mouvement en lui apportant les traditions ouvrières de Tuzla : ils ont convaincu les jeunes de ne pas brûler les bâtiments publics. Ils les ont aussi convaincus de soutenir les grèves contre les privatisations.
Alors des mouvements de protestation éclatèrent dans 10 autres villes de Bosnie dont Sarajevo. Même la Republika Serpska a été touchée avec des manifestations à Bajna Luka. Les manifestants exigeaient le départ des élites corrompues et la réforme du système politique hérité du cessez le feu de Dayton, générateur de corruption à tous les échelons (municipal, cantonal et fédéral) et imposé par les puissances occidentales.
C’est alors que les militants de la gauche bosniaque, issus du mouvement étudiant de 2009 et organisés dans plusieurs groupes dont le mouvement Lijevi, ont eu l’idée d’organiser des Assemblées populaires, dites Plénums, dans les centres culturels publics existant encore dans chaque ville de Bosnie.
Les femmes ont joué un énorme rôle dans ce renouveau du mouvement ouvrier et social à l’Est. Nous suivons l’une d’elles, Eminka Busuladjic, fondatrice du nouveau syndicat Solidarnost. Eminka a commencé il y a 30 ans dans la production à la chaîne de l’usine DITA. Elle a gravit les échelons et actuellement elle est responsable de la recherche et développement. Elle a subi des pressions pour arrêter le syndicalisme. Mais elle ne lâche pas prise. C’est son usine et c’est sa vie.
MK : Eminka pouvez-vous nous présenter DITA ainsi que les luttes que vous avez menées jusqu’à présent ?
EN : DITA Industrija Deterdženata Tuzla, était un des plus grand complexes chimiques de la Yougoslavie. DITA produisait des détergents liquides et en poudre, qui servaient de matière première à des produits de nettoyage industriel et domestique, et aussi des cosmétiques. DITA était un leader dans ce domaine en Yougoslavie, connu, très présent sur le marché local. Elle avait un accès propre au chemin de fer et des magasins d’usine ainsi qu’un grand centre de vente à Belgrade.
Gérée en système d’autogestion yougoslave l’entreprise a été nationalisée lors de la création de la Bosnie puis privatisée en 1998 au profit de « gangsters » qui l’ont endettée à hauteur de 99 millions de Deutsche Mark et ruinée. Avant la privatisation DITA comptait 1000 salariés et 400 « volontaires ». Tous ont été licenciés et il ne reste actuellement que 118 travailleurs dont 75-80 ont participé aux protestations [de février dernier].
Lorsque la privatisation a commencé les travailleurs ne se rendaient pas compte que cela menait à la fermeture de l’entreprise. Le directeur de l’époque avait été élu « manager de l’année » et promettait monts et merveilles. Il insinuait que l’usine n’était pas productive car l’électricité ainsi que les matières premières seraient trop chères.
Lors de la privatisation 272 personnes ont acheté des actions mais sur les 272, 7 détenaient plus de 45% et c’étaient les cadres de l’administration. Les ouvriers ont dû prendre des crédits pour acheter des actions – de 1000 à 10 000 KM de crédits sur des salaires de 2000 KM avec des mensualités de 500 KM.
Le directeur devait investir l’argent des actions mais il n’a rien fait – le capital des ouvriers a été détourné. Il n’y a jamais réellement eu de contrôle de gestion de l’entreprise parce que la comptabilité publique a été abolie en 1998 et c’est pour cela que c’était si facile de détruire l’entreprise.
Depuis l’investissement est nul et les machines sont détériorées de jour en jour. Or dans la chimie l’équipement est tellement lourd et son entretien tellement important qu’un manque d’entretien signale fortement l’envie d’arrêter la production qu’il ne sera pas facile de reprendre plus tard. DITA est sur cette voie après l’arrêt de plusieurs de ses lignes de production.
(…)
[Les ouvriers] savent que DITA a obtenu de grand crédits parce que le directeur local de Hipobank [une banque autrichienne] était au conseil d’Administration mais rien n’a été investi parce que les ouvriers ne l’ont pas contrôlé.
(…) La stratégie de la direction était de faire croire que les ouvriers seraient payés une fois que la liquidation de l’entreprise serait prononcée, en poussant ainsi les ouvriers à vouloir la destruction de leur outil de travail afin de vendre les actifs et de se payer ainsi. (…) L’objectif était de liquider la production et de placer l’argent dans des paradis fiscaux.
MK : Pouvez-vous nous dire comment se sont déroulées les luttes récentes des travailleurs de DITA et votre participation au mouvement des Plénums de février dernier ?
EB : Comprenant à force de licenciements successifs que la privatisation est une destruction, les travailleurs restant à DITA commencent une grève et occupent les entrées de l’entreprise du 4 aout 2011 au 19 mars 2012. Le gouvernement cantonal promet le rachat par le groupe serbe Bohemia. Deux mois de salaires ont été payés mais pendant ce temps-là l’équipement et des produits de la valeur de 2 millions de KM [1 million d’euros] a été vendu et c’était bien le but de la manœuvre.
En novembre et décembre 2013 les ouvrier/res se sont révolté/es définitivement et ont bloqué les entrées et sorties de l’usine. La direction a expulsé les travailleurs du site par des vigiles privés. La lutte a pris l’aspect d’un face à face devant l’entrée de l’usine : les ouvriers répondaient aux vigiles qu’ils ne partiraient pas parce qu’ils sont des actionnaires de l’usine.
La prise de conscience que la direction cherchait à fermer l’usine est venue alors. Il devient évident que les crédits accordés à l’entreprise n’ont jamais été réinvestis dans la production. De plus la direction sous-loue une partie de l’usine et l’argent part sur le compte de LORA la filiale dont les directeurs de DITA sont aussi actionnaires.
Nous nous rassemblions tous les mercredis pour protester. Le 29 janvier 2014 nous avons encore protesté devant le gouvernement cantonal. C’est alors que le groupe marxiste Lijevi nous a rejoint et a médiatisé notre lutte par des photos, des films et des articles. Puis le mouvement de protestation a démarré massivement le 5 février. Les policiers ont gazé les ouvriers et les jeunes qui manifestaient. La répression policière a finalement unie les deux composantes de la lutte, ouvriers et jeunes.
10 000 personnes manifestaient devant le bâtiment du gouvernement du canton. Finalement le gouvernement a commencé la négociation. Par la suite le président du canton a démissionné mais la situation de DITA n’avait pas été résolue. Le canton a racheté l’entreprise symboliquement pour 1 Mark mais la question de l’effacement de la dette odieuse de l’entreprise que les ouvriers réclament n’a pas été abordée.
Le syndicat de la Fédération de Chimie ne nous soutenait pas. Nous avons donc compris que c’est au niveau local qu’il fallait agir, avoir le soutien des habitants de la ville, des voisins. Pour cela l’expérience des Plénums, Assemblée de centaines puis de milliers d’habitants, de débats libres qui ont eu lieu au Centre Culturel a été une énorme école de démocratie pour nous et de reconstruction de liens au niveau local.
Le 7 février j’ai participé au premier Plénum grâce à ma rencontre avec un militant de Lijevi. J’y ai parlé de notre lutte à DITA et c’est ainsi que l’unité entre les ouvriers et les autres manifestants se fait.
Au premier Plénum il y a 25 personnes. 7 personnes sont alors arrêtés par la police. Nous les avons alors accompagnés au tribunal. Le risque que la police tire à balles réelles était grand. Les syndicalistes dont nous étions sont venus pour empêcher les policiers de tirer sur les manifestants. Au Plénums nous avons fondé des groupes de travail avec des économistes pour exiger une révision de la privatisation. Ce sont les jeunes de Lijevi qui nous aident. Les Plénums exigent « mettez les ouvriers en premiers » ! Les ouvriers veulent développer la production et éviter les autres privatisations. Surtout que la question des dettes de l’entreprise vis à vis des banques se pose.
MK : Comment la création de votre syndicat peut-elle changer la donne ?
EB :Le mouvement des Plénum a beaucoup changé les choses car il a mis la pression sur les tribunaux qui ont commencé à condamner les privatisations mafieuses et la destruction de l’outil de production.
Actuellement la direction organise des syndicats « jaunes » ou elle appelle des gens qui n’ont pas protesté pour diviser les travailleurs. C’est pour contrer cela que les ouvriers de DITA ont créé le syndicat Solidarnost. Pour continuer à mettre la pression et pour lutter contre la criminalisation du mouvement des Plénums : des personnes sont toujours poursuivies pour « dégradations », « sabotage » et « atteinte à la propriété privée »depuis le mouvement ! De plus les syndicats sont très fragmentés. C’est pour cela que la lutte des Plénums a pour but d’unifier les syndicats pour un front commun.
Solidarnost est un syndicat ouvert à tous. On peut en être membre sans être un travailleur de DITA. Cela élargit la base et constitue une école de lutte. Nous souhaitons que les chômeurs, les retraités et les étudiants rejoignent la lutte. Par exemple les retraités de l’industrie ont été un soutien précieux ainsi que les syndicalistes de l’électricité et de la santé.
Avant la guerre les syndicats étaient forts mais après ils ont été décriés, détruits. Je suis membre du syndicat Solidarnost mais aussi du comité de grève. J’ai été accusée par la direction de mensonge et de manipulation. Il se peut que je sois poursuivie par le tribunal. Je suis aussi accusée par les sous-traitants de les empêcher de travailler sur le site. Je pense que ces sous-traitants ne font rien de bon pour l’usine. De toute façon ils n’ont pas le droit de m’interdire d’entrer sur le site car je suis actionnaire !
MK : Quel avenir souhaitez vous pour votre usine et que peuvent faire les militants européens pour vous soutenir ?
EB : Chaque jour détériore davantage les machines. Nous n’avons pas de temps à perdre. Les 2/3 de la production est arrêtée et une partie des bâtiments est louée à des entreprises sous-traitantes qui y déposent des produits chimiques non-identifiés sans rien produire. Pourquoi est-ce aux ouvriers de payer la corruption et l’absence de gestion de la direction ? Les ouvriers ne relâcherons pas la pression : nous occupons l’usine et exigeons qu’une enquête indépendante sur la privatisation mafieuse soit menée et la privatisation annulée.
En ce qui concerne ce que peuvent faire les militants européens, la gauche européenne peut nous aider en envoyer des militants médiatiser notre lutte et notre travail. (…) Nous voulons que la région revive, nous voulons vivre de notre travail et pour cela les ouvriers doivent contrôler la production.
Les syndicalistes de Tuzla ont besoin de soutien, de médiatisation et de la solidarité des travailleurs d’Europe. Le plus important est le comité des travailleurs du Plénum. On doit travailler à créer de la confiance entre les ouvriers. Une nouvelle révolte se prépare.
MK:Est-ce que DITA emploie des femmes et est-ce qu’elles participent à lutte ?
Eminka rit : Les femmes sont les plus propres, plus dangereuses et plus endurantes ! Les hommes peuvent boire et mettre la lutte en danger, les femmes non !
La revendication de révision de la privatisation est révolutionnaire. Pour les ouvriers de Tuzla la privatisation n’est rien d’autre qu’un acte criminel finalement, tous comme pour les travailleurs de Walbrzych en Pologne qui dénoncent la destruction de leur ville par les fermetures et les privatisations et l’accaparement de leurs biens par des oligarques illégitimes. Il ne s’agit pas seulement stopper un acte criminel mais de l’annuler donc de renationaliser ! L’émergence de cette exigence est une avancée énorme en Europe de l’Est. Le passé yougoslave que les travailleurs finalement n’ont jamais renié revient sous avec le rêve d’une nouvelle solidarité, un pays où les travailleurs auraient de nouveau le respect qui leur est dû et pourquoi pas le pouvoir.




Euro-election shock by Balazs Nagy

[threecolumns]

The surprise results of the recent European elections mean all political organisations have to re-evaluate the overall situation and their own policies.

Complete bankruptcy of bourgeois Europe

Two highly revealing and significant facts stand out about these elections, as a whole and in each individual country. First, and certainly foremost, is the particularly high level of abstentions (approaching 60% in France!), concentrated, moreover, in conurbations where workers and working people live. Abstentions were clearly higher, it needs to be said, in the countries of Eastern Europe (more than 70% in the great majority of them, over 80% in Slovakia and the Czech Republic). This clearly reflects their secondary position within European “unity”.

The second is the unprecedented and ubiquitous growth of fascist or semi-fascist oppositions, a far right which actually came first in certain countries (France, UK, Denmark).

Apart from anything else, the first and most obvious conclusion is that the vast majority of Europeans are turning their backs on and definitively rejecting that monstrous construct called “European union”. This central conclusion cannot be queried or challenged just by reference to the obviously broad range of views among those who abstained, or even voted for the far-right. Of course each of their various   ̶ and sadly all too often reactionary, retrograde or simply backward   ̶ motives is crucially significant in its own way. We should note, however, that many of those who voted for the far-right probably did so in protest against that Europe, rather than out of support for fascist ideology. Be that as it may, these results express an irrevocable verdict on the part of Europeans as a whole: They are absolutely opposed to the bourgeoisie’s pseudo-Europe, which they massively reject and will not tolerate.

Bourgeois leaders’ vicious and criminal intransigence

Late on 25 May, French TV channels ran the election results and what the various political party representatives had to say about them. The evening’s viewing provided a good opportunity to assess the immediate reactions of a whole range of the country’s political parties, from the conservative or social-democratic official spokespeople for the Euro-homunculus right through to the opposition, by way of the leaders of Front de Gauche (Left Front) and Front National (National Front) and everything in between. What they said made it blindingly obvious that literally not a single one of the representatives of this bankers’ Europe has understood what voters are trying to tell them, clear as that message has been. Not a single one of the social democratic leaders or their traditional bourgeois partner/opponents, nor the various subordinate currents which gravitate around them, had grasped what this means. That, of course, only surprised those incorrigibly naïve people who still take them seriously.

The main leader of the reactionary brain-dead in the Union pour un mouvement populaire (UMP) is Jean-François Copé. All they could offer was the consolation that they had gained ground at the expense of Hollande’s Parti socialiste (PS). Their noisy self-satisfaction, however, was tempered by regret at being overtaken by the National Front. They sadly resigned themselves to the fact that the rusty European hulk had just gone under, but had little to offer when it came to explaining why. Not that they even tried. Copé simply blamed Hollande’s policies for this setback, obviously without realising that they are both in the same rather fragile European boat. Under these conditions, how could they have seen that the reason their European cockleshell foundered was design and construction defects rather than something the captain had done wrong (Even if the latter’s incompetence did accentuate the more basic flaws). As a result, they were all equally baffled by the huge advances the far right made right across the continent, and just saw it as a minor passing accident.

Alain Juppé speaks for another wing of the same party, allegedly more thoughtful and moderate, but even he could not rise above the same cheap parliamentarism. Being a more serious politician than his less sophisticated colleague Copé, he at least made the effort to sketch a political line to beat the National Front. Quickly adding the 10% of votes won by the bourgeois centre parties to the 20-21 % the UMP got, he triumphantly declared that the resulting 30% of votes cast easily beat the National Front’s 25%. All you needed to do was combine the UMP and centre parties’ votes, and a thorny political problem tuned into a simple parliamentary manoeuvre.

These recently-merged centre parties came in fourth place just in front of the ecologists, followed in 6th place by the Left Front. So they showed loud and overflowing satisfaction and were at pains to emphasise, in their enthusiastic congratulations, that their totally but critically pro-European policy is the way out of the current deadlock.

In fact all these good people were forced to acknowledge that current policy on Europe has suffered a resounding setback. What else could they do? They even bandied words like “failings”, “convulsions” and “chaos”. Oddly, but completely in character with their bourgeois political commitments, none of them could see that what causes it is this bourgeois Europe’s destructive nature. They simply could not see that what people were rejecting was precisely this Europe.

In general, they were all self-critical, although almost all of them more or less blamed the government and Hollande personally, except for the Socialist Party   ̶   and Green   ̶   representatives. But let’s not exaggerate. Any normal person    ̶   if he or she were childishly naïve   ̶   would expect these politicians and journalists to apologise for carrying out the European policies that the voters massively rejected. Far from it! Every single one re-stated their commitment to those very same policies, then beat their breasts for not having done more to explain (?!) the setback their bourgeois Europe had suffered. But in fact this Europe has been so well explained, not only by pervasive and aggressive propaganda but also by an eloquently destructive practice, that voters rejected it precisely because they know exactly what it means.

Socialist Party leaders just as perverse

This sort of collective blindness on the part of politicians and journalists discussing the stinging rebuff their Europe had suffered is truly amazing. It presents a striking and repulsive image of the system’s so-called “elite” which absolutely captures its decadent nature. What it foreshadows   ̶   should its miserable existence be prolonged   ̶   is an uncertain future full of looming threats, convulsions, pain and repeated shocks.

But the (socialist) government promptly also went in for denial of reality. TV viewers saw a clearly shocked Prime Minster Valls nevertheless insisting that the measures he has been taking in recent times are exactly what the voters wanted. To tell the truth, he had to blind himself to reality so absurdly just to justify staying in government. But so contemptuous a distortion of the truth was contradicted not only by the facts but also the prime minister’s haggard and extremely upset appearance and his dazed and lugubrious tone, which clashed oddly with the artificial joviality he sometimes affects in his new role. He really looked like he was falling apart under the seismic impact.

We should point out immediately that the very next day Hollande stubbornly and unblushingly confirmed that they would carry on with their criminal policies which, together with their “responsibility plan”, he presented as if it was what the voters said they wanted! This shameless arrogance went much, much further than even Valls’ insolent effrontery. The wily old politician’s practised and cool cynicism in political lying made up for the panic his rattled minister showed. Just like all their pseudo-opponents, they both attributed the voters’ general rejection of the bourgeoisie to the weakness and inadequacy of the propaganda explaining what they thought and what they were doing in relation to Europe. This brutal travesty of the truth foreshadows a swift deterioration in already difficult living conditions and even greater shocks in future.

Others make headway in the absence of working-class politics

The most telling feature of these elections has been the striking absence of genuine workers’ parties. More exactly: none of the various political organisations which actually fight against the bourgeoisie’s policy on Europe   ̶   and to their credit they undeniably do that   ̶   have managed to free themselves from major shortcomings which show their dependence on the bourgeoisie.

For one thing, they do not go beyond a very restricted level of simply criticising the bourgeoisie’s policy on Europe. None of them has yet been able to open a concrete perspective of a working-class Europe radically opposed to the kind of Europe the bourgeoisie are concocting. For another, and bound up with this negative position, each of them has developed their criticisms over Europe firmly within the limitations of their own strictly national framework, except for a few sentimental rather than effective solidarity links and the occasional sprinkling of gatherings and resolutions left over from the past.

Altogether and in general, all these organisations are therefore captives of the given capitalist system and submit to its pressure. Here, too, they are still largely influenced, by the enduring ideology of social democracy and Stalinism, whose national, not to say nationalist, political horizon has always been a bulwark against internationalist Marxism. The few scattered allusions to the Socialist United States of Europe we get from certain organisations of Trotskyist origin do not change anything in this general picture, since these chance references are completely detached from daily reality, hanging in mid-air and placed as far in the future as religion’s Kingdom of Heaven.

Under these conditions, the rout inflicted upon the bourgeoisie’s policy over Europe has led to not only a spectacular resurgence of fascist and semi-fascist organisations but also the emergence and proliferation of petit-bourgeois formations in general. (We leave aside, for the moment, analysing the considerable advances by UKIP in the UK and the People’s Party in Denmark, both of which came first. They campaign openly for putting the bourgeoisie back in the driving seat and, in order to do so, they make abundant use of fascist ammunition against impoverished peoples and the migrants from their ranks and for the restoration of the national state).

As for the advances made by the fascists, it is significant that bourgeois commentators try to console themselves over the setback they have suffered with the thought that the fascists are unable to form a homogenous group in the European Parliament. Splitting hairs like this is pathetic in itself, since instead of explaining why the fascists are growing so strongly, they try to make it disappear by exploiting a problem that arises precisely from their growth. Nevertheless, it is true that there are differences, not to say considerable divergences between them. Maybe you cannot identify Nigel Farage’s British UKIP with Golden Dawn in Greece modelled on Hitler’s Nazi party, or even with the Front National in France. Nevertheless this UKIP, like the Danish People’s Party, draws its politics from the same fascist arsenal. Their frenzied nationalism and clear orientation towards re-establishing a strong national state together with aggression against migrant workers and peoples of the former colonies and dependent states puts then in the same camp of semi-fascists and impels them in that direction.

From a different point of view, the idea that in the past all fascist parties stuck together in unity was always a myth invented by the bourgeoisie   ̶   and Stalinists. There were well-known differences and divergences, even between Hitler and Mussolini, for example and even when they were fighting on the same side, which tended to iron them out. To say nothing of the distinctions between Franco’s party and Salazar’s and others, or the military dictatorships drawn into Hitler’s gravitational field.

This crying absence of genuine workers’ politics is also what has allowed a set of straightforwardly petit-bourgeois political parties to flourish like mushrooms after rain. They, too, are distinguished from each other in various ways, but in a quite different fashion from the fascist or semi-fascist organisations whose open and resolute support for capitalism unifies them on the extreme right. At the same time there is a significant difference between the majority of the petit-bourgeois organisations developing a critique of bourgeois politics from the left of the political chess-board and others who try to maintain a pseudo-independence. What they all have in common, for all their often quite broad political diversity, is the attempt to camouflage society’s division into classes. They replace this with secondary and sometimes quite odd problems on the basis of a shared and savage hostility to the conception of class struggle and Marxism in general.

Whether these organisations are right or left, older and larger, like the ecologists, or recent and local like “Podemos” in Spain, we can for the moment postpone their examination, necessary as it may be. On the other hand, there are, in France at least, organisations which claim to speak on behalf of working people about which it has become essential to reflect seriously.

Where do Left Front and its European partners stand?

The Left Front coalition, which took off big time in a left-radical way during the presidential elections and since, has quite rightly raised many hopes. It created confidence that a big, genuine workers’ party could replace the old, compromised social-democratic and Stalinist parties mired in class-collaboration. Consequently it also embodied the concrete possibility of the re-birth and development of the new, big revolutionary party the situation requires. And that is why, despite the inevitable and tenacious residues of its origins which blemish its activities and retard its development, it was necessary to encourage and support this initiative. It marked and expressed the possibility of a renewal of the revolutionary movement in the face of the opportunist decadence of the traditional workers’ parties and also the sterile blind alley in which various organisations with a more and more blurred reference to Trotskyism find themselves. The fact that more or less identical movements came about and developed in Greece (Syriza) and Germany (Die Linke) indicated that the conditions for their existence were not only present in Europe but had also matured.

However, while supporting the Left Front, we have had to intensify our criticisms around the negative character of its political line, i.e. its reduction to a simple critique of current policy and striking lack of a workers’ programme for fighting the bourgeoisie. After the municipal elections, our journal Lutte des Classes (no 22) wrote that in the absence of such a programme “the Left Front is condemned to mark time while the National Front has made considerable progress, including among discontented workers.” (English translation printed in Workers’ International Journal no 5, June 2014). A month later, just before the European elections, we anticipated in the same journal (no 24) that “Perhaps a pathetic result at the ballot box will shake these organisations’ centrist outlook and unleash a movement for their renewal. It is a hope to cling to”. (English translation printed in Workers’ International Journal no 5, June 2014).

Indeed, the Left Front’s disastrous election results fully confirmed these fears and our criticisms. In view not just of the much better results they had got in the presidential elections but also the much worse current situation, their miserable 6.3% of the vote represents an obvious decline. This real collapse exposes a disparity, not to say a contradiction, between the Left Front’s programme on the one hand and the steadily worsening situation working people face on the other. But sadly, the initial reactions to this resounding defeat are worse than disappointing, expressing a level of astonishment at the meagre results matched only by an inability to comprehend them.

The morning after the elections, J.-L. Mélanchon presented his party cadres and the media with the plaintive and tearful commentary of a beaten chief. He more or less repeated what he had said on TV the previous night (mentioned above). He was so grief-stricken that he could hardly hold back the tears and he drew his comments to a rapid close to avoid breaking out in sobs.

This physically awkward appearance itself revealed a man moaning on at his wits’ end rather than a fighter reflecting on the lessons of a temporary defeat. Indeed, the lamentable way he presented his interpretation of the results completely matched the whining and recriminatory content of his remarks. Faced with the cresting progress of the National Front, he lost any sense of proportion and got bitterly distressed about this “end of civilisation”(?), just as over the top as a few days earlier when he had shown boundless confidence that the Left Front would amaze everyone with how well it would do. (Sadly, the phenomenon this exaggerated and one-sided judgement failed to address was the very high level of abstentions.)

He said absolutely nothing about the possibility that his own organisation’s political line might be mistaken   ̶   any such idea seemed to be outlandish, not to say sacrilegious   ̶   so all that remained was for him to try to lay the blame on the situation and/or working people. Comrade Melanchon avoided saying it outright, but at the end of his breast-beating he couldn’t stop himself from appealing to working people to take heart again and see where their real interests lay, which was a barely-disguised way of making them responsible for the setback.

Syriza in Greece, with visibly the same politics, did manage to come out clearly on top in the elections with 26.6% of the votes, but that was solely because the situation there is different and more favourable. The bankruptcy of Pasok, the social-democratic party, already happened earlier. Together with the servile way the bourgeois New Democracy party fell into line behind Brussels and its Troika, this opened the door wide for Syriza, and this was extended even further by the openly and repellently Hitlero-fascist politics of Golden Dawn. However, these more advantageous conditions should not make us forget that the conservatives came hard on Syriza’s heels with 23.1% of the votes, while here, too, abstentions amounted to more than 40% of the electorate. In Germany die Linke also saw their share of the vote drop to 6.5%, more or less the same as Left Front, given that quite a number of voters could see no difference between this formation and the SPD (Social-Democratic Party of Germany) in “opposition”.

As for Tsipras (Syriza) standing against Barroso in the election of the new President of the European Commission, this was just opportunist grandstanding. By doing this, these parties justified and legitimated this instrument of bourgeois dictatorship for grinding the working people of Europe under the iron heel of its policies. Tsipras’ political line, with a tinge of anti-German feeling (such is his nationalist resentment at the supremacy of German capital within the bourgeoisie’s arrangements) clearly express the content of this opportunism. What it actually indicates is that he thought   ̶   and still thinks   ̶   that he can use the same rotten and anti-democratic organs … for policies in favour of working people. This involves bourgeois policies without austerity, a big investment programme, a New Deal, he says credulously. So it’s no surprise that now, instead of Barroso, he is backing Juncker from Luxembourg, the close and fervent friend of the big bankers, the initiator and boss of the hated Troika! There’s only one way to describe this kind of clowning: going backwards.

Responsibility of the traditional far left

The general decline in these promising formations (with the exception of Syriza in Greece where it is prospering due to various objective factors) is completely mirrored by the spectacular advances the far right is making. Now such symmetry is not somehow caused by the balance of nature; the pitiful retreat by the former has directly conditioned the considerable progress the latter have made. But where is the so-called Marxist far left?

If one looks in France, for example ̶   and also at a European level   ̶ , for reasons why it has not been possible to re-discover and develop a genuine workers’ programme, there is no doubt that a significant share of the responsibility rests with the three biggest organisations which have come out of Trotskyism and profess that tradition. Without of course pretending to be able to describe then completely here, some general comments are required in relation to this responsibility.

First and foremost, for all the differences of outlook between the New Anti-Capitalist Party (NPA of Alain Krivine and Olivier Besancenot), Lutte Ouvriere (LO, Workers Fight, formerly of Arlette Larguiller) and the Lambertist Parti des Travailleurs (Workers Party), differences due mainly to their respective histories, all these organisations have taken a negative attitude towards the Left Front. They have regarded this newcomer with a lot of distrust and not a little jealousy: after all, they come from the suspect milieu of social democracy and Stalinism and, what’s much worse, trespassed on private hunting preserves.

From the outset they carefully avoid getting “compromised” with the Communist Party and Melanchon’s new party in the Left Front, which they treated with hostile suspicion. Moreover, they unanimously rejected the slightest sustained cooperation in struggle, a united front, indeed, and even any electoral alliance with these plague-carriers who had come to disturb their established daily routine. In fact, after the last big battle of clarification in Trotskyist ranks in 1952-1953, they settled down comfortably into their special role of licensed public revolutionary, a role they practice according to an arcane ritual they call Marxism. In fact it was and remains a profanation of the Marxist method, opposed to it in every way and which, to put it briefly, consists in trying to separate and fix, restrict and freeze the conditions of struggle, in particular the activity and circumference of the revolutionary organisation.

How can you expect these organisations to apply the policy of the united front or join in this Left Front coalition or at least form an electoral alliance with it, when they have been virtually incapable of establishing such an alliance between themselves for the last 60 (!) years.

Since the 1952-1953 split, the ditch separating them has just got bigger and bigger and each on its own side has settled into the split in the Fourth International as an eternal destiny in which each one has its own special corner. They have demonstrated their complete incapacity to sort out rebuilding the Fourth International, considering the two other organisations to be enemies definitively and totally lost to that process of rebuilding. In the absence of any ability to resolve or even confront the problem at the base of the break (i.e. the problem of re-building), the split intensified further and dramatically the original cause of the separation, that is, Pabloite revisionism, systematising it into generalised opportunism via Mandel’s “neo-capitalism” and finally culminating in the furtive abandonment of Marxism. But this fatalistic mutual acceptance of the break, on the other hand, also reinforced the sectarian isolation of the anti-Pabloite critics, fixed their sterile enclosure in the ivory towers of their verities singularly lacking in any perspective that offered a solution.

Where did this monumental historical deficiency arise from, a deficiency whose effects have gone on for decades and transformed what started off as a split into a veritable dislocation of the International, then into today’s yawning abyss where, alongside false propositions, reaction too takes root?

Throughout their history, the French Trotskyist organisations (like the others) have been more or less intensely affected by the influence of Stalinist conceptions, often preponderant and always corrosive. Even while Trotsky was still alive, this defect was made considerably worse by the petit-bourgeois composition of the organisation, driven to the margins of the workers’ movement by the Stalinists. After Trotsky’s assassination, followed by the total collapse at the end of the war and then the split, whatever organisations emerged divided again, not between the real Marxists and the others, but along the lines of the various   ̶   but all equally mistaken   ̶   strategic versions which the Stalinists applied in the course of their history. The different Trotskyist organisations followed either Stalinism’s right-wing orientation, or the ultra-leftism of the “Third Period”. Very often they mixed the opportunism of the one with the sectarianism of the other.

But as concerns the method of political struggle in general and building the party in particular, the former Pabloites currently in the NPA, the Lambertists in the parti des travailleurs and Lutte Ouvriere invariably shared the same outrageous sectarianism, firstly towards the other “Trotskyist” tendencies and then in relation to the workers’ movement as a whole. They looked at the Left Front in the same way.

Trotsky once commented that the Stalinists regarded Rosa Luxemburg with a great deal of suspicion, unable to tell whether she was a friend or an enemy. Now the NPA, with its Pabloite origins, looks askance at the Left Front in exactly the same way (not, of course, that that makes the Left Front into any sort of Rosa Luxemburg). These hesitations have, nevertheless, already caused a number of splits in the NPA. First, a group led by Christian Picquet, then another one, split away and joined the Left Front. These breaks, however, have not led to the necessary re-awakening of the organisation as a whole. So the groups that split away have maintained their centrist character and remained unable to change anything at all in the Left Front., while the NPA has continued its unprincipled hesitation waltz.

As for Lutte Ouvrière, it has continued imperturbably on its solitary way, marked from its very origins by hostility to the proclamation of the Fourth International and by its nationalist seclusion. It persists in its isolation with an inveterate sectarianism in which both their behaviour and the arguments they use look strangely similar to the ultra-left politics of “Third Period” Stalinism. True to form, this organisation gleefully reported the Left Front’s latest electoral setback as if this justified its hostility to the Front.

Onc can describe Lutte Ouvrière’s sectarianism as intrinsic. That of the Lambertist organisation, on the other hand, is, one might say, “tempered” by its special and occasional opportunism (in contrast to the more generalised opportunism of the NPA). The Lambertist organisation is sectarian in relation to the Front de Gauche and the CFDT trade union and even the CGT, but flatly opportunist in relation to the Force Ouvrière trade union, which has been its privileged partner since that union came into being. Apart from its opportunism towards social democracy, which it likes to identify with the working class, the Lambertist organisation’s Achilles’ heel is its inclination to substitute the struggle for national sovereignty for the international class struggle. And so in 2013 the congress of their “International” suddenly decide to concentrate the international mobilisation of its militants in the “defence” of Algeria against some imaginary threat of US military intervention! Obviously this “threat” never materialised, but the whole thing worked marvellously to distract the attention of activists from, for example, the problems of Europe.

So, with either an occasional or an intrinsic sectarian conception (which they claim to be Marxist) in relation to every other organisation such as the Left Front, they too took their own lonely, isolated stand in the recent European elections. Obviously (what is more) they lacked a clear working-class policy on Europe dealing with concrete and current problems. And of course they each in their own corner garnered about 1% of the vote   ̶   actually worse than usual, while the Left Front just got weaker.

Such sectarian outlooks, and the concomitant opportunism, are the natural products of an aristocratic conception of the party (their party!), separated from the workers’ movement as a whole in a water-tight compartment, whose building is reduced to the rigorous and individual selection of the few elect into a separate elite. This sect conception, detached and distant from the masses, is only applicable at most to clandestine conditions, but it is disastrous in open political struggle. Right through modern history, it has been opposed to Marxism and its application. Since the Communist Manifesto, Marxism has clearly established, against any sectarian or elitist point of view, that it is the workers’ movement as a whole, all the changes it undergoes and the methods it uses, that constitute not just the terrain but the very skeleton of the revolutionary party itself.

The Manifesto unequivocally emphasised: “The Communists do not form a separate party opposed to other working-class parties. They have no interests separate and apart from those of the proletariat as a whole”. Nor do they “set up any sectarian principles of their own, by which to shape and mould the proletarian movement”. And in conclusion: “the communists everywhere support every revolutionary movement against the existing political and social order of things”. Political   ̶   and theoretical  ̶   struggle unfolds within this framework as a necessary means of clarification, not as some sort of selection criterion.

Now isolated and besieged as it was, and giving way to the pressure of capital, Stalinism in the USSR perverted Marxism, including Lenin’s heritage. They adapted it to the requirements of staying in power: conciliatory towards capital and violently opposed to the workers’ movement as a whole. Once Trotsky was lost, his heirs in turn succumbed to this de-natured and corrupt “Marxism”.

Concretely each and every one of these “Trotskyist” formations think that in and through itself the revolutionary party already exists, and building it is simply a matter of linear and progressive growth through recruiting individuals one after another. With strictly individual recruitment of this sort   ̶   which is normal in a secret society but absolutely alien to Marxism   ̶   they can denounce all other organisations, lumping their members together with their leaderships.

These organisations are condemned to decline, although this is masked and retarded by their prolonged vegetation, punctuated by successive electoral setbacks. It is a fact which should stir their members to study past and recent experiences very carefully and draw the necessary conclusions, especially since the long decades of defeats and setbacks the international workers’ movement has suffered, made particularly worse by the liquidation of the USSR and the changes in the composition of the working class, have profoundly altered the habitually-known conditions for resuming the struggle.

The essential feature in these negative changes has been the general repudiation of Marxism and socialism at the same time as the Soviet Union collapsed and was disowned. Since this workers’ state was associated with the Stalinist bureaucratic regime, Marxism in turn was identified with the falsification of it at the hands of the same bureaucracy. The whole thing was greatly facilitated by the evolution and changing composition of the working class which was happening at the same time and the growth of petit-bourgeois intermediary layers. The results were not long in coming: On the one hand a shrinkage and ossification of living Marxism reduced to the level of dogma in ancient texts; on the other, a more and more flagrant contradiction between the growing size of the mass movements and their theoretical poverty, not to say the complete absence of any theory. Under these conditions, the masses’ apprenticeship in struggle needs more explanations and time, and activists’ development requires much more patience.

Ramblings based on impressions replacing theory

Flagrant impotence, therefore, is sadly what characterises all the organisations on the far left who oppose bourgeois politics and its Europe. Their impotence in a situation which should actually favour their development means we must undertake a serious critique of the theoretical arsenal underlying the political dead-end they are in.

We have already glanced at the way the organisations which arose out of the dislocation and often repudiation of the Fourth International share responsibility for the Left Front’s stagnation. They have been through a long death-agony and floundered, inflicting their own death-blow by repudiating or diluting the Marxism that alone could provide a theoretical, either by simply and clearly dropping it (NPA), or by letting it ossify into a collection of classical assertions (“Lutte Ouvrière” and the Lambertists).

Consequently there has been no pressure on the Left Front on sharpen up its theoretical armaments by accepting and developing creative Marxism, so that it remains captive to profoundly mistaken theoretical considerations which it peddles, like birth-marks inherited from its social-democratic and Stalinist parentage and which tie it to the existing social and political order. A recent work by the Left Party’s leading economist, Jacques Généreux, provides a useful opportunity to evaluate concretely the dominant theoretical conceptions in the Left Front. Jacques Généreux explique l’économie à tout le monde (Jacques Généreux Explains Economics for All) is a 331-page book published quite recently (May 2014) by Seuil. It sums up rather well the theoretical nonsense the Left Front has strayed into, but which affects all organisations on the far left to one degree or another.

This economic inspirer of the Left Front thinks that the post-war period known as the “thirty glorious years” of the economy “… which persisted until the 70s, had very little to do with capitalism in the strict sense.” (p.41), because “… the big industrial countries developed in a new system in which the holders of capital no longer had complete freedom or the powers which that confers”. (p.42) It is important to note that as far as he is concerned, this “new system” is the goal for which we must strive.

To bolster this bold and surprising conclusion he lists some of the rules he claims limited the omnipotence of capital, although he carefully avoids putting a name to this “new system” which supposedly replaced capitalism. This prudent approach enables him later to note that during the 1980s capitalism returned in strength, simply thanks to various counter measures.

We should not waste too much time on this   ̶   to put it mildly ̶   extremely cavalier way of dealing with the change of a whole mode of production, which in principle (and in historical practice) can only be the outcome of significant social factors accompanied by political overturns. We merely need to underline that this crude and simplistic view exposes total ignorance, not just of the real reason for the “thirty glorious years”, but also of the resounding social struggles that took place during those years. In fact it is fairly easy to understand the historical movement of powerful social and political forces whose interaction engendered these so-called “thirty glorious years”.

Capitalism entered the war in order to suppress its insurmountable and prolonged economic political crisis which broke out in 1929. It came out of the war in 1944-1945 even weaker and more exhausted than at the beginning. In the course of the war the relationship of forces between it and the world working class had shifted strongly in favour of the latter. From the beginning of 1943, the proletarian revolution was spreading in several countries in Europe and Asia, stimulated by the Soviet Union’s Red Army’s powerful offensive.

The bourgeois political regimes which had been vassals of fascism or had fallen victim to it collapsed one after the other. The revolution was on the march  ̶   but enemies were at work within its own ranks. Above all, it was the active collaboration of the leaderships of the workers’ movement, the Stalinist parties especially and in particular, which saved the capitalist system from total collapse, a powerful rescue operation prepared and orchestrated by the Stalinist bureaucracy in the Soviet Union as a resolute ally of the “democratic” bourgeoisie.

Now if this new-style Holy Alliance actually did strangle the revolution, which failed everywhere (except in Yugoslavia and China, where it was brought to an abrupt halt) it nevertheless left a deep impression on the bourgeois regimes which re-emerged after the war. In other words, the bourgeoisie’s faithful servants who had sold the revolution for a mess of pottage had to be rewarded. Within a relationship of forces clearly in favour of the proletariat, this mess of pottage had to be paid for.

Such was the particular class configuration which formed the basis for the “thirty glorious years”, whose backcloth was the open and direct going-over of the Stalinist bureaucracy and its agents as a whole to the active counter-revolution. To be sure, they did not perform this immense service for free and without a recompense that let them justify and retain their influence. The extent of the concessions the bourgeoisie granted in turn reflected the degree of danger that menaced capitalism. It also demonstrated the bourgeoisie’s great fear, since it went very far into these compromises in its concern to preserve the system, even so far as to grant concessions which altered its very appearance, and to adjust the form of its rule. It changed its face without altering its character. The capitalist wolf mutated into a loving grandmother who carefully retained her “big teeth”.

A lot of people were fooled by this ability of the bourgeoisie to manoeuvre in order to stay in power. The whole of what they call the “Left” fell for it. The chief ideologue of the Left Party, the economist Jacques Généreux, expresses this fundamental and general error like this: “Between 1945 and 1975, many industrial countries were no longer within a real capitalist economy. What rescued the industrialised countries from the damage caused by capitalism … is precisely they fact that they got out of the capitalist system as Marx described it. In place of this capitalism … they substituted a mixed and highly-regulated economy in which salaried managers and civil servants had more power than the capitalists.” (p.43).

Here, Jacques Généreux says openly what people on the “Left” and even many on the far left thought more quietly without daring to put it so crudely. This way of looking at things rests entirely on the firm conviction that this whole lucky mutation came from the bourgeoisie itself which, acting freely and of its own accord, decided to make capitalism more bearable out of its infinite wisdom and magnanimity.

The class struggle, indeed any sort of struggle at all, is totally conjured away in this imaginary society ruled by understanding and discernment. The theoretical crutch upon which this conception rests presents itself as an obviously wrong interpretation of Marxism, which Généreux reduces to a few formulae, missing out the essential part. This is indicated already by the simple fact that throughout the whole 331 page book the word “class” (to say nothing of “class struggle”) does not even appear!

The basis for this misunderstanding and, more concretely, the idyllic transformation of capitalism into a regulated and more humane (but undefined) system is, therefore, an obvious ignorance of capitalism itself. To be more exact, it is a total misunderstanding (or deliberate omission) of its nature and its historic evolution, as well as of their inner driving forces and content. Even more concretely, it is capitalism moving on from its classic, ascendant phase to its decline, death-agony and the manifold determinations involved which are missing in this fixed, immobile, capitalism. It is a well-known procedure frequently used by pseudo-Marxists who refer to Marx but deliberately leave out how Lenin and Trotsky developed his theory. This is how they strip Marxism precisely of its spirit as an analysis of living reality and petrify it into ancient immutable texts.

This is the method Jacques Généreux uses too when, claiming to present Marx’s conception, he carefully excises Lenin’s contribution. This surgical operation allows him to present the way capitalism was rescued from complete collapse by making concessions (1945-75) into proof that it had metamorphosed into a higher social order. Alchemists of old had a similar blind confidence in the miraculous ability of base lead to mutate into noble glittering gold. But in the end science taught us that that kind of transubstantiation exists in religious beliefs, but not among the natural elements, nor in social reality.

This kind of superstitious speculation abounds in Jacques Généreux’s book when it comes to the desirability and possibility of a repeating the “thirty glorious years” in today’s base society. They replace any serious reflection of the programme which flows from the situation itself, since they are so pervasive that they simply push aside the harsh realities of everyday life. But essentially this unbridled speculation masks and hides above all the reality of the concrete and particular historical conditions of the “thirty glorious years”.

The first condition for the really significant concessions made in those post-war years was the actual strength of the working class in the industrial countries, where revolutionary movements (and a series of revolutions) placed the capitalist order in mortal danger. But also the imperilled bourgeoisie, weakened as it was, had to be able to offer concessions, even on a temporary and cavalier basis, by digging even deeper into its own shrinking reserves. Finally, it also required that at the head of the revolutionary working class there should be degenerated and corrupt leaderships prepared to sell the revolution out cheaply in exchange for these concessions, while still able to produce arguments to justify imposing this abuse of authority.

Not a single one of these conditions is fulfilled today, or to be more precise, that are radically changed. The powerful and vigorous working class of then has suffered crucial successive defeats, and the endless retreats have merged into one general rout. Moreover, it has seen its forces drastically diminished, its make-up radically changed and its movement now only a shadow of what it was at the end of the war. Moreover, not only has it become impossible for the bourgeoisie to offer anything whatsoever to working people, its decline has grown even worse and impels it to violently and dictatorially destroy all past reforms and concessions, something it finds easier because of the weakening of the workers’ movement. We should add that, following their open and brutal collaboration, the bureaucratic leaderships of the workers’ movement have lost their former decisive position in the workers’ movement. The historic defeat of Stalinism and social democracy’s open avowed and cynical role as a direct pillar of the bourgeoisie have practically put an end to their organisational grip on the working class. (Even if the influence of their conceptions is still rife and serves to muddle the political consciousness of the majority of left and far-left activists.)

And this is how it goes with the Left Front and Left Party, one of whose most significant leaders, Généreux, in his book not only heaps praises on the class collaboration of the “thirty glorious years” but advocates a return to these policies as the right and proper programme with which to oppose the devastation caused by austerity. But we have just seen that the very specific social and political conditions, historically determined by particular circumstances, which combined to give birth to this special form of class collaboration, have disappeared. More concretely, the quite exceptional relationship of class forces at the time, with a working class on the offensive against a bourgeoisie forced onto the defensive and retreat, has today turned into its opposite.

It is the bourgeoisie which has taken the initiative and developed a general offensive against a working class weakened and disarmed, destroying their previous gains. Trying to force the bourgeoisie to make significant concessions when it is developing an offensive against a working class in disorganised retreat, quite apart from betraying a petit-bourgeois expectation of alms from the master, is in any case a terrible nonsense which confuses two entirely different situations.

In concrete daily politics, this muddle inevitably appears as a serious mistake, as Généreux’s book as a whole illustrates. The endless rambling about the possible and desirable changes in capitalism prevent him from even mentioning the current and real bourgeois offensive against all the gains that working people have made. And so fundamental problems of the day, such as the growth in unemployment, the unbearably high levels of debt, the rapid fall in wages in the face of overwhelming prince rises, and the continuous dismantling of rights and benefits, to mention only a few, are completely missing from this book. So it’s no surprise that one looks in vain for any sort of programme that could respond to these problems which workers face every day. All you can hope for is that something (the Holy Ghost, perhaps?) will touch the bourgeoisie and inspire it to transform its offensive against the working class into a new version of the “thirty glorious years”.

It seems little short of incredible that activists endowed with the capacity to reflect, the will to fight and solid experience should fall for such twaddle. But in the Left Front and certain other far-left organisations, it is nonsense of this kind that guides and orientates their struggles. There is, therefore, an absolute contradiction between their sincere commitment to changing the world and the skimpy, retrograde conceptions which tie them to this world. That is why the main task is to overcome this contradiction by adopting a conception and policies in total harmony with this real determination to change the world.

For a radical theoretical and political turn by the far left

Theoretical and political independence in relation to capitalism, its system and its bourgeois class, is the indispensable condition for establishing harmony between, on the one hand, sincere and ambitious aspirations and, on the other, limited objectives of the struggle. Only that sort of independence allows a concrete perspective to be defined which actually goes beyond the system. All past and recent history proves that, without independence of that kind, even the firmest determination to change capitalism is reduced to patching it up, and that in principle this can only work in the short term.

But this theoretical and political independence cannot be the fruit of disembodied speculation or mental play. It is rooted in the working class, whose existence and fate are tied to those of capital, but opposed to them in a profoundly contradictory way. Hence the indissoluble organic link between theoretical and political independence vis-à-vis capital and the struggle of the working class. Now, only Marxism expresses this cohesion and thus puts into words the necessary class independence in thought and action. All other theories are tied to this system or inevitably fall back into its well-worn tracks. That is why this theory alone clearly says that, instead of trying to patch up capital’s dilapidated and unhinged system, the central and immediate task is to overthrow it and move on to socialism. In conclusion, the historic task of the moment is reduced to and concentrated in a vigorous return to Marxism and its reaffirmation as the theory and guiding thread of the political activity of all organisations fighting against the grip of capital.

However, as the election results have repeatedly and relentlessly confirmed, the prospects of the Left Front and die Linke in Germany have been broadly compromised. These two coalitions, in thrall to their reformist theories, are seriously threatened with disappearing or shrivelling into political insignificance. (Syriza in Greece still has the benefit of a respite due to the specific situation in that country.)

Sadly, the Left Front obviously lacks the internal resources which could enable it on its own to make the veritable leap that is necessary if it is to turn to Marxism. From now on it is useless and in fact damaging to hang around waiting for any such “cultural revolution” on its part. Instead of that kind of turn, it is attempting to avoid the more and more obvious fate that awaits it with a confused and many-hued mixture of inconsistent scraps and reformist recipes. Its recent political evolution proves this.

Within the structure of the Left Front, the weight of those formations which, formally at least, linked it to Marxism and the workers’ movement has noticeably diminished and that of those which came from other horizons grown (obviously one is not speaking here of the Communist Party, which long ago silently dropped even the caricature of Marxism to which it used to lay claim). For example there were groups which broke away from the NPA (Nouveau Parti Anticapitaliste   ̶   New Anti-capitalist Party) like that led by Christian Picquet and others, which have lost their role and significance in this coalition, whereas the frankly petit-bourgeois group “Ensemble” (“Together”) of Clémentine Autain, a loose, obscure and indeterminate assemblage, is coming to the fore. This surely represents a political slide to the right on the part of the Front, despite the fact that the groups coming from the NPA have shown not the slightest aptitude to inspire anyone with Marxism. Faithful to their Pabloite heritage, they have continued their old politics of adaptation, this time not to triumphant Stalinism but the reformism pervasive in the Left Front. Nevertheless, their loss of influence has loosened even further the Left Front’s already tenuous links with Marxist traditions.

Finally, like a drowning man clutching at a straw, the Left Front has clung even closer to the “enrichment” offered by the environmentalists and their doctrine. But environmentalism (and the politics of the “Greens” as a whole) is another way   ̶   different from the well-known, traditional, reformism   ̶   of asserting that it is possible to cure capitalist society, i.e. to maintain it, through ecological rather than socialist policies and measures. In this it is (if possible) more reactionary than traditional reformism: politically further to the right and intellectually inferior, since it squarely abandons the concrete social terrain to situate its struggle elsewhere, in man’s (general!) relationship with nature   ̶   much to the delight of the capitalists! In line with this evasion, it turns its back on the workers’ movement, in particular the trade unions, to place itself in the heart of the urban petit-bourgeoisie. And then, since unlike traditional reformism, it has been and remains utterly incapable of producing a perspective, a general theoretical vision, it does not even have a coherent political programme and makes do with negative criticisms and repeating a few nostrums.

Now the Left Front (or concretely its political motor force, the Left Party) has turned even more closely towards these reactionary ersatz politics, decorating its wobbly political line with a few environmentalist trimmings. This highly-embroidered adventure it has baptised “eco-socialism”, which strictly speaking is entirely devoid of meaning. What it does actually mean, very clearly, is that the Left Party (the Left Front), instead of drawing closer to Marxism, is moving even further away. Two very important political conclusions flow from this.

The first is that, despite everything, the Left Front’s retreat and its slide to the right should not serve as an alibi for abandoning it or turning one’s back on it. Despite all its growing imperfections, its petit-bourgeois and centrist character, it remains the only political formation which has not renounced its opposition to the policy of the bourgeoisie. It thus still has within it the real possibility of developing and improving that fight and the struggle for Marxism. It is the natural crucible par excellence for these battles.

The second conclusion is precisely the lesson that the initiative for a renewal of Marxism can only come from outside the Left Front, in particular those organisations linked to Marxism and the working class movement.

However, we have seen that the three political formations which claim to be Marxist are incapable, as organisations, of providing an impulse of that sort. Their Marxism, if they still profess it, is nothing but a collection of bookish and formal references to old texts, detached from current reality. The politics they carry out alongside these references flagrantly contradicts them. From that point of view their policy on Europe and their attitude to other anti-bourgeois organisations are equally eloquent.

Under these conditions, the impulse can only come from an organisation (or organisations?) which, like Workers International to Rebuild the Fourth International, openly and publicly fight for the renewal of Marxism and for socialism cleansed of Stalinist dross. It goes without saying that such a struggle ought to rally and unite all those who, though they may be in separate organisations, wish to fight openly for genuine Marxism and revived socialism.

By Balazs Nagy, July 2014[/threecolumns]