True only the masses can fix the problem. A Revolution isnt started by a party but by the masses.Quote:
Originally Posted by Hachifusa
True only the masses can fix the problem. A Revolution isnt started by a party but by the masses.Quote:
Originally Posted by Hachifusa
It's started by an individual, and his collection of willing allies (who are also individuals). There is no such thing as a "mass" as a single unit.
Of course I'd live in a house. Houses cost like a dollar fifty in those countries. It's not fair to say 'Most of the world lives on less than a dollar a day' and proclaim it the greatest evil since Hitler (Since Mao and Stalin can't be evil, they were socio/communists.) when most of the prices down there are in keeping with what the people can afford. As will be the case with any free market.Quote:
Originally Posted by FFGuevara
Uhuh, and can I get some proof of these claims please? Incidentally, you know you can just walk up through Mexico, right? Why would some peopel emigrate to Cuba, rig a car up to cross a fairly large body of water, and be a very obvious target to get picked up when they can stroll on over from Mexico?Quote:
And did you know the majority of them arnt even Cuban? Their from other Latin American countries that try to sneak in the US through that route. The US goverment tells everyone that their all Cuban to make Cuba look like crap.
Ridiculous. Most of those countries were torn to pieces because of the effects of European colonialism; they had no idea how to govern themselves in a 'modern' manner and got screwed over, badly. They haven't been capitalist any more than the USSR was communist.Quote:
They always were Capitailist they even had Capitailism forced upon them for the past century. All those countries that are still 3rd world failed under Capitailism.
That wasn't capitalism, that was imperialism. The two are not linked, they merely happened to exist at the same time in the most powerful nations on earth.Quote:
You guys became rich during the last century because you guys STOLED from other countries. And who cares thats still exploitation. Why should people be sacrificed for the profits of some people.
Quote:
If India became so good then why did they immigrate to Britain to work?
Quote:
Originally Posted by me
The country should look out for itself. Encourage an environment where people can prosper because of their own merits and they will ferociously defend the system. The loans are a problem, I agree. The kid deserves whatever materiel a person bequeths him - I can leave my possessions to any individual or group I desire. The only remote chance of it being right to challenge that is if the person I give it to killed me, or if I'm giving it to a criminal group.Quote:
Originally Posted by FFGuevara
Crops. Innovation. Labor. Africa is the richest continent on Earth, I'll note, we've barely touched it's material resources.Quote:
What are they going to trade if you guys took everything from Africa?
The inabity to place appropriate value and worth on an individual human being is a mental disorder. My belief is that commiting theft plainly shows one does not appreciate the value and worth of that individual or their efforts. Thus; psychosis.Quote:
Oh do please give a reason unless you dont have none.
What I said stands. Either you can't criticize imperfectly implemented capitalism or we can criticize imperfectly implemented communism.Quote:
No but you should learn more about what actually happened before making judgement.
One funny thing about this is that we've long since defined time. As far as human nature goes, I can give you one word that encompasses the gist of it; desire. Humans inherently desire to better their own situation and to be able to exercise their free will. I believe in giving everyone a chance to showcase what they're worth. This is what occurs in properly implemented capitalism. I don't believe in everyone living for the sake of everyone else, as such a thing defies human nature. This is what communism would have us do. Communism encourages the stifling of abilities, for there is a far smaller tangible reward for their exercise than under a capitalist system, whereas in capitalism the people who have a particular talent can use it to the best of their ability and thus help move society as a whole forward.Quote:
Originally Posted by FFGuevara
And meals cost a days salary. So no you wouldent live in a house. If your lucky maybe some shed in the slums.Quote:
Originally Posted by I'm my own MILF
They can barelly afford anything in those countries. They have no running water, no electricity ,and no education. How can people keep up with that market if they recieve $1.00 a day and their lunch cost's 90 cents?Quote:
It's not fair to say 'Most of the world lives on less than a dollar a day' and proclaim it the greatest evil since Hitler (Since Mao and Stalin can't be evil, they were socio/communists.) when most of the prices down there are in keeping with what the people can afford. As will be the case with any free market.
You obviouslly knowQuote:
Uhuh, and can I get some proof of these claims please? Incidentally, you know you can just walk up through Mexico, right? Why would some peopel emigrate to Cuba, rig a car up to cross a fairly large body of water, and be a very obvious target to get picked up when they can stroll on over from Mexico?
about border control. Yeah a 50 foot wall, 12 day walk in the desert hiding from armed border patrol officers and a swim accross a river. Yeah just a stroll:rolleyes2. Not to also mention the White supremacist's hunting down Mexican refugee's.
Hahaha your lack of intelliegence of what happened is entertaining.Quote:
Ridiculous. Most of those countries were torn to pieces because of the effects of European colonialism; they had no idea how to govern themselves in a 'modern' manner and got screwed over, badly. They haven't been capitalist any more than the USSR was communist.
During the cold war the US goverment interviened in many Latin American countries and held power through puppet Goverments. The US enforced Capitalism on Latin America with a Iron fist so the Soviet's during the cold war wouldent have any allies in the America's. You would know this if you lived in one of those countries and read the American Iron Curtain. Anyone who opposed in Latin America was killed by the US.
They did it for profit and in the name of Capitalism. Capitailism involves theft which those countries performed.Quote:
That wasn't capitalism, that was imperialism. The two are not linked, they merely happened to exist at the same time in the most powerful nations on earth.
How? If the other country has a Military much more superior then that country? It would be like telling someone with a knife to fight someone with a sword. And there have been rebellions but they were all killed.Quote:
The country should look out for itself.
So lies, propaganda and brainwashing? You basically want everyone to be controlled and live a lie and your telling me that there is no freedom under Communism?Quote:
Encourage an environment where people can prosper because of their own merits and they will ferociously defend the system.
If thats true then Capitalism failed them. They are Capitalist countries and always were since their indepenece.Quote:
Crops. Innovation. Labor. Africa is the richest continent on Earth, I'll note, we've barely touched it's material resources.
Your comparing theft to equal payment? WTF i asked for a valid reason.Quote:
The inabity to place appropriate value and worth on an individual human being is a mental disorder. My belief is that commiting theft plainly shows one does not appreciate the value and worth of that individual or their efforts. Thus; psychosis.
When i criticize Capitalism i learn what actually happened before i say anything. You obviouslly dont, learn about what happened so you'll know what your talking about.Quote:
What I said stands. Either you can't criticize imperfectly implemented capitalism or we can criticize imperfectly implemented communism.
And when has anyone defined it correctlly?Quote:
Originally Posted by ?????
In communism you can learn what you desire and work how much you desire. There wont be money to restrict you.Quote:
As far as human nature goes, I can give you one word that encompasses the gist of it; desire. Humans inherently desire to better their own situation and to be able to exercise their free will. I believe in giving everyone a chance to showcase what they're worth.
Again you cant define human nature it shift's depending on are society and surrounding's.Quote:
This is what occurs in properly implemented capitalism. I don't believe in everyone living for the sake of everyone else, as such a thing defies human nature.
The funny part is its the other way around. On that paragraph replace the word Communism with Capitalism and Capitalism with Communism. Thats how it actually is.Quote:
This is what communism would have us do. Communism encourages the stifling of abilities, for there is a far smaller tangible reward for their exercise than under a capitalist system, whereas in capitalism the people who have a particular talent can use it to the best of their ability and thus help move society as a whole forward.
Hands up, I got the wrong part of the world. Only some of the problems in Latin America were caused by colonialism (That bastard Cortez has a lot to answer for.), and yes, the US has acted in a pretty damn ugly manner down there. Guess what? Capitalism has been twisted out of it's ideal shape. In a proper capitalist system nobody would care what went on down there.Quote:
Originally Posted by FFGuevara
If there's theft, it's not capitalism. Simple.Quote:
They did it for profit and in the name of Capitalism. Capitailism involves theft which those countries performed.
Then do it economically. Like India and China are. China is considered by most to be grownig so fast that the 21st century will be known as the 'Chinese Century'.Quote:
How? If the other country has a Military much more superior then that country? It would be like telling someone with a knife to fight someone with a sword. And there have been rebellions but they were all killed.
What the hell are you talking about? That makes no sense. How does a meritocracy translate into propoganda? 'Use your talents well and work hard, and you'll have plenty.'. Yeah, sounds like brainwashing there, I know this guy, his name was Steve Jobs? Worked his ass off and got nothing out of it. Or another person I know, Richard Brason. Well, Dick has slaved away like a dog for many many years, and has nothing to show for it. :rolleyes2Quote:
So lies, propaganda and brainwashing? You basically want everyone to be controlled and live a lie and your telling me that there is no freedom under Communism?
Erm, go read some 20th century African history, maybe?Quote:
If thats true then Capitalism failed them. They are Capitalist countries and always were since their indepenece.
Pretty much. Some services and products are valued by the market as worth more than others. This isn't always accurate from an objective standpoint, but hey, libertarianism partly demands objectivism.Quote:
Your comparing theft to equal payment? WTF i asked for a valid reason.
I don't need to know what happened though. As I have said before, I will support this system even if there was an absolute guarantee that people would suffer and die from it, because capitalism (When properly implemented) is right and there is no further debate necessary.Quote:
When i criticize Capitalism i learn what actually happened before i say anything. You obviouslly dont, learn about what happened so you'll know what your talking about.
I can learn what I want in a capitalist system. There are plenty of people who believe freely available knowledge is a great benefit to the world, and even without governmental intervention will supply such. Nevertheless, libraries are brilliant things and I have no particular desire to see them abolished. And here's the thing, my friend; I don't desire to work. I only work because I have to. Like everyone else, I dream of winning the lottery or becoming a famous actor or whatever. So in Communism, I can sit around and do esentially nothing and I'll be fine? Because that does sound great. Problem is, how does anyone get fed (Let alone; how does anything of significance get achieved?)?Quote:
In communism you can learn what you desire and work how much you desire. There wont be money to restrict you.
No, Capitlaism is far too harsh, at least in my eyes. Communism, however, sucks so much it's not even funny.Quote:
because capitalism (When properly implemented) is right and there is no further debate necessary.
Like I said, extremes don't do well for a country. Extreme Capitalism has shown its weaknesses well enough in the Great Depression, and the reforms that were done by Roosevelt after the USA had gotten over it have shown the wisdom that was gained - that pure and absolute Capitalism doesn't work.
Communism, on the other hand, has been attempted several times times and in very different places with different people, and has proven itself to be one of the suckiest government systems, save Despotism, Facism and Nazism, maybe. Everyone who says 'But you have'nt seen a REAL Communist regime, ever!' only proves my point further. It cannot, and should not be done.
If that were true then the US would be in are same position as alot of Latin American countries. Since cortez went into what is now Texas, Arizona, California and all those states up to Kentucky.Quote:
Originally Posted by I'm my own MILF
False Brazil was closer to a perfect Capitalist Society then the US itself.Quote:
and yes, the US has acted in a pretty damn ugly manner down there. Guess what? Capitalism has been twisted out of it's ideal shape.
Like i said learn what happened so you'd know what your talking about.
Which they dont, no one gives a damn what the US did except for people who live in Latin America , and Communist's and Anarchist's.Quote:
In a proper capitalist system nobody would care what went on down there.
In a pure Capitalist Society stealing would be legal. Even the definationQuote:
If there's theft, it's not capitalism. Simple.
of theft and stealing involves capitalizing.
Its at the cost of others. Kid's in China are dieing from Chicken pox and the Flu because they cant afford any treatment. And India still has the blubonic plague because their goverment wont do anything about it since they only care about profit. Just because their Economy is growing doesnt mean those countries are more liveable. Actually living standards DECREASED in India this past decade according to a recent report. Since now no one can affordQuote:
Then do it economically. Like India and China are. China is considered by most to be grownig so fast that the 21st century will be known as the 'Chinese Century'.
Because it is, your thinking for that worker he basically isnt even thinking for himself. Which Communism encourage's.Quote:
What the hell are you talking about? That makes no sense. How does a meritocracy translate into propoganda? 'Use your talents well and work hard, and you'll have plenty.'. Yeah, sounds like brainwashing there,
What does that solve :confused: ? Thats just one person. What about everyone else who worked equally as hard or even harder and wasnt rewarded? Who care's if just one guy got lucky what about everyone else?Quote:
I know this guy, his name was Steve Jobs? Worked his ass off and got nothing out of it. Or another person I know, Richard Brason. Well, Dick has slaved away like a dog for many many years, and has nothing to show for it. :rolleyes2
I recommend you do the same thing.Quote:
Erm, go read some 20th century African history, maybe?
Thats like a nazi saying he doesnt care about the Holocaust. You clearly are ignorent and oblivious of history. I will not argue with someone who denies history and makes random guesses of what happened, just to fit what he wanted to happen.Quote:
I don't need to know what happened though. As I have said before, I will support this system even if there was an absolute guarantee that people would suffer and die from it, because capitalism (When properly implemented) is right and there is no further debate necessary.
Which Capitalism doesnt allow. You need money to get into College under Capitalism. Under Communism Education is free.Quote:
I can learn what I want in a capitalist system. There are plenty of people who believe freely available knowledge is a great benefit to the world,
Abolished? Communism supports self teaching, there would be more libraries in a Communist society.Quote:
and even without governmental intervention will supply such. Nevertheless, libraries are brilliant things and I have no particular desire to see them abolished.
Because you work under Communism you dont just sit around everyday. You can do whatever job you enjoy doing under Communism. And you can work as much as you desire.Quote:
So in Communism, I can sit around and do esentially nothing and I'll be fine? Because that does sound great. Problem is, how does anyone get fed (Let alone; how does anything of significance get achieved?)?
Thank you. Frankly, ya gotta admire Castro. How long has he been in power? And with the CIA trying to bump him off for years. Pretty impressive. The regiem he replaced was corrupt as hell, but it was also supported by America. The U.S. government isn't against repressive governments- just those that refuse to let us profit from them.Quote:
And did you know the majority of them arnt even Cuban? Their from other Latin American countries that try to sneak in the US through that route. The US goverment tells everyone that their all Cuban to make Cuba look like crap.
^Exactlly, some of the reasons the US invaded Iraq was because Saddam didnt want any McDonalds or Wallmarts in his country.
See, that's the core. That's why Western nations flourish - because they put a serious emphasis on the INDIVIDUAL, the difference one person can make. History has changed not because of mobs, but because of remarkable, single men and women. In a society that discourages individuality and depresses the will and need of certain powerful individuals to rise above the mediocrity of those around them, nothing fascinating or eventful ever happens. No great thinkers ever came out of such countries. Communism doesn't let strong people flourish, lest they harm those around them, and break the balance of equality. You could say a lot of bad things about survivalistic societies like Capitalistic ones, but they produce the greatest of men and women.Quote:
Thats just one person.
Yes, because THAT makes sense. :rolleyes2:Quote:
the reasons the US invaded Iraq was because Saddam didnt want any McDonalds or Wallmarts in his country.
Good God, is there no end to this moronic demonisation of the USA? It makes anti-semitism look mild, at some points, and that's saying a lot.
Why its the truth. If they were doing so much good then why are people rebeling against the US Reich in Iraq?Quote:
Yes, because THAT makes sense. :rolleyes2
Good God, is there no end to this moronic demonisation of the USA? It makes anti-semitism look mild, at some points, and that's saying a lot.
HOW CAPITALISM WORKS (Part One)
1. WHAT IS A COMMODITY?
Something produced for exchange, not for the personal use of the producer.
A peasant who grows vegetables for his family is not engaged in commodity production, but in production for use. But if he grows them in order to exchange them with the landlord of the local inn for ale, he is engaged in production for exchange, in commodity production.
2. WHAT IS SIMPLE COMMODITY PRODUCTION?
The production of commodities by producers who own their own means of production, like that carried on by artisans under the feudal system.
3. WHAT IS CAPITALIST COMMODITY PRODUCTION?
The production of commodities by working class producers in a capitalist society, that is, by producers who do not own their means of production and so are compelled, in order to live, to seek employment with capitalists who do own means of production.
4. WHAT IS A MARKET?
An area where those who wish to dispose of a commodity and those who wish to acquire it are in contact. Thus, we may speak of a local livestock market or a world oil market.
A market where there are a number of separate individuals or firms competing to dispose of a commodity and a number of individuals or firms competing to acquire it is called a competitive market.
5. WHAT IS THE RATE OF EXCHANGE OF A COMMODITY?
The number of commodities of other kinds for which that commodity can be exchanged in a particular market at a particular time. If a cow can be exchanged in a town's cattle market on a particuar day for two pigs, the rate of exchange of a cow is equal to two pigs, while the rate of exchange of a pig is one- half of a cow.
6. WHAT IS THE VALUE OF A COMMODITY?.
Clearly, it is not necessarily equal to its rate of exchange in a particular market, for in the last example we may speak of a cow being 'worth more' or 'worth less' than its actual exchange value.
At the basis of the exchange rate between two commodities lies the relative quantity of work required to produce them. In fact, the value of a commodity is the necessary labour time required to produce it. So, if it takes 4,000 times more hours to produce a car than to produce a briar pipe, the value of a car is 4,000 times that of the pipe.
7. WHAT DETERMINES THE RATE OF EXCHANGE OF A COMMODITY IN A COMPETITIVE MARKET?
Supply and demand, which causes the rate of exchange to fluctuate above or below its value.
If, for example, there is a shortage of sugar in a particular market, those who wish to obtain it will tend to offer more than its value in order to obtain it. On the other hand, if there is a glut of sugar in a particular market, those who wish to dispose of it will tend to offer it at less than its value in order not to have it left on their hands.
However, if the rate of exchange of a commodity is above its value as a result of shortage, the production of sugar will yield exceptionally high returns, Consequently, more people will go in for producing it, and the production of sugar will rise until its rate of exchange goes down to its value. The reverse process operates if the rate of exchange of sugar is below its value as a result of supply exceeding 'demand'; the production of sugar then yields exceptionally low returns, so that the production of sugar will decrease until its rate of exchange rises to its value.
Thus, in each competitive market there is a tendency for the rate of exchange of each commodity to correspond, in the long run, to its value.
8. WHAT IS BARTER?
The direct exchange of one commodity for another, e.g., wheat for bricks.
9. WHAT IS MONEY?
A commodity (or token of a commodity, such as a banknote, which is the token for a certain quantity of gold) which is generally acceptable within a particular community as a medium of exchange.
The introduction of a monetary system removes many of the difficulties inherent in a barter system. Under the latter, if a weaver wishes to obtain a pair of shoes, he must search for a shoemaker who wants cloth. But when money is in social use, he may sell his cloth to anyone for money and use this to buy shoes from any shoemaker.
10. WHAT IS PRICE?
The rate of exchange of a commodity expressed in terms of money.
11. WHY DO PRECIOUS METALS SUCH AS GOLD AND SILVER COME INTO USE AS MONEY?
For convenience of use and transport. Being rare, their production involves a very large amount of labour time, so that a small quantity of them embodies a very large value.
12. WHAT IS LABOUR POWER?
The capacity of a worker to work for a certain period of time.
The worker, owning no means of production of his own, is compelled in order to live to try to sell his labour power to a capitalist. Thus, in a capitalist society, labour power is a commodity.
13. WHAT DETERMINES THE VALUE OF LABOUR POWER?
As in the case of other commodities, the amount of socially necessary labour time involved in its production, that is, the value of the commodities required to produce, maintain and reproduce it.
The value of labour power is not, however, that of the bare subsistence of the worker and his dependents (who form the next generation of workers) but depends on such additional factors as the subsistence necessary to train a skilled worker, the degree of 'civilisation' of the country concerned, and so on.
14. WHAT ARE WAGES?
The price of labour power.
In a competitive market, the price of labour power, like that of other commodities, may fluctuate above or below its value according to supply and demand, but in the long run its price tends to correspond to its value.
15. WHAT IS SURPLUS VALUE?
The new value created in the course of production by a worker's labour over and above the value of his labour power. If a worker receiving £100 a week in wages were to create only £100 a week in value, his employer would obtain no benefit from employing him and would cease to do so.
An employer will employ a worker only if he produces in a week an amount of new value which exceeds what is paid to him in wages. The difference is the surplus value -- value which is created by the worker but appropriated by his employer. If a worker creates £200 of new value in a week but is paid £100 in wages, his employer has obtained £100 in surplus value from that worker. So, if he employs 1,000 such workers, he obtains a total of £100,000 of surplus value in a week.
This is the mechanism by which the capitalist class exploits the working class. Clearly, exploitation under capitalism has a more concealed character than under slavery or feudalism.
16. WHAT IS CAPITAL?
All that is owned or hired by capitalists in a capitalist society -- land, buildings, machinery, raw materials, labour power -- enabling them to acquire surplus value, that is, enabling them to exploit workers.
The money expended by capitalists for this purpose -- a process known as investment -- is also called capital.
17. WHAT IS CONSTANT CAPITAL?
All capital except that used for the buying of labour power.
Land, buildings, machinery and raw materials do not themselves create new value, but are merely the instruments with which human labour power creates new value. Since the capital expended on these items does not change in value in the course of capitalist production, it is called constant capital.
18. WHAT IS VARIABLE CAPITAL?
Capital expended on the purchase of labour power.
Since the new value created in the course of capitalist production is created entirely by the worker's labour power, the capital expended on this item may be regarded as having changed -- increased -- in value in the course of capitalist production. It is, therefore, called variable capital.
19. WHAT ARE RENT, INTEREST AND PROFIT?
The portions of surplus value which are appropriated by different sections of the exploiting class (or by different exploiting classes) in a capitalist society.
Rent may be paid by the employer (the entrepreneur) to a landlord for the hire of land and/or buildings where his enterprise is carried on.
Interest may be paid by the entrepreneur to a financier or bank for the hire of money capital he requires to carry on his enterprise.
Profit is that portion of the surplus value which the entrepreneur retains for himself after paying any rent or interest.
Rent, interest and profit, being portions of the surplus value produced in the course of capitalist production, all have their source in the exploitation of the workers. An entrepreneur who owns his own land, buildings and money capital retains, of course, all three portions of the surplus value for himself.
20. WHAT IS COMMERCIAL PROFIT?
The profit obtained by a commercial capitalist, that is, one engaged in the distribution (i.e., selling) of commodities.
21. WHAT IS THE SOURCE OF COMMERCIAL PROFIT?
Value is created only by produtive labour, and surplus value is created only by labour employed in capitalist production. No value is created in the process of distribution.
The source of commercial profit (as well as the source of the wages of employed distributive workers) lies in the surplus value created by employed production workers. The capitalist engaged in production sells his finished commodities to a capitalist engaged in distribution at a discount, below their value. The capitalist engaged in distribution realises his commercial profit by reselling them at their value.
In other words, the capitalists engaged in production pass to the capitalists engaged in distribution a portion of the surplus value created by their employed production workers in the course of capitalist production.
22. WHAT IS THE MOTIVE OF PRODUCTION UNDER CAPITALISM?
Profit.
Each capitalist firm strives to make for itself the maximum possible amount of profit.
23. CRITICISE THE FOLLOWING ANALYSIS:
'BECAUSE OF THE OPERATION OF THE PRINCIPLE OF SUPPLY AND DEMAND IN A CAPITALIST SOCIETY AS DESCRIBED IN PARAGRAPH 7 ABOVE, THE PROFIT MOTIVE AUTOMATICALLY GEARS PRODUCTION TO DEMAND'.
The 'demand' which is satisfied as a result of the operation of the profit motive is not the needs of the masses of the people. It is what is called 'effective demand', that is, 'demand' measured in terms of the money which consumers are willing and able to spend on the satisfaction of their needs.
If the entire population of a capitalist country were to demonstrate in the streets for bread, there would be no 'effective demand' for bread unless they had the necessary money to offer in the bakers' shops.
Thus, the profit motive gears production approximately to the needs of those people with enough money to express their needs in effective demand. That is why, although there has long been a housing shortage for working people in capitalist Britain, capitalist building firms do not use the resources of the building industry to build houses and flats for working people but, instead, use them to construct such things as office buildings (which may stand empty for years). They do so because the latter course is more profitable, although the social need for it is incomparably smaller.
Only when the profit motive has been abolished and production is consciously planned can it be geared to the real needs of the people.
HOW CAPITALISM WORKS (Part Two)
1. WHAT IS THE ACCUMULATION OF CAPITAL?
The transformation of surplus value into new capital so as to increase the amount of capital in the hands of an individual or firm.
Even if the rate of exploitation remains unchanged, the accumulation of capital enables the number of exploited workers employed by a particular individual or firm to be increased, so increasing the total surplus value obtained by the individual or firm concerned.
2. THE NEW MEANS OF PRODUCTION OBTAINED AS A RESULT OF THE
ACCUMULATION OF CAPITAL TEND TO BE MORE MECHANISED THAN THE OLD.
WHAT ADVANTAGE DOES THIS GIVE TO THE FIRM CONCERNED?
The increased productivity resulting from the increased mechanisation reduces the cost of production of each commodity, enabling the firm concerned (as long as it enjoys a technical advantage over its rivals) to make an above-average rate of profit.
NOTE: We call the ratio of constant capital (plant, etc.) to variable capital (wages), the organic composition of capital. Thus, the organic composition of capital tends constantly to increase.
3. WHAT IS CONCENTRATION OF CAPITAL?
The enlargement of individual capitals into larger and larger units. The concentration of capital follows from the process of accumulation of capital.
4. LEAVING ON ONE SIDE THE ACCUMULATION AND MECHANISATION OF
CAPITAL, HOW ELSE CAN A CAPITALIST FIRM INCREASE ITS PROFITS?
Only by increasing the amount of surplus value it obtains from each of its workers, for example:
1) by cutting wages (allowing prices to rise while wages are frozen represents a cut in real wages);
2) by increasing working hours while preventing a corresponding increase in real wages;
3) by increasing the intensity of work by methods such as piecework wage systems (where wages are geared to output), 'speed- up' of the conveyor belt system, time-and-motion-study (designed to eliminate any actions which do not contribute to production), etc.
5. WHAT IS THE BASIS OF THE CONFLICT OF INTEREST BETWEEN LABOUR AND CAPITAL WHICH MARXIST-LENINISTS CALL 'THE CLASS STRUGGLE'?
The division of the value produced by the workers between the two classes -- the working class and the capitalist class. Leaving on one side the accumulation and mechanisation of capital, higher profits can be obtained only at the expense of the living and working conditions of the working class, while improved living and working conditions for workers can be obtained only at the expense of profit.
There is, therefore, a fundamental conflict of interest between the working class and the capitalist class. At times smouldering beneath the surface, at times bursting into the open flames of strike or lock-out, the class struggle is inherent in capitalist society. No repressive measures can do more than hold it down for a while. It will disappear only when capitalists and capitalism no longer exist.
6. WHAT IS THE BASIC CAUSE OF SLUMPS?
Firstly, the unplanned, anarchic character of production under capitalism, where each firm 'plans' its production in the hope of maximising its profits, combined, secondly, with the fact that the working class (who comprise, in a developed capitalist country, the majority of the population) receive in wages considerably less than would enable them to purchase all the goods and services they produce, and with, thirdly, the tendency for the rate of profit to fall in line with the growth in the organic composition of capital.
Periodically, therefore, a glut of unsold goods piles up in warehouses and orders to producers are drastically cut. As a result, capitalists cut back their production, putting workers on short time or dismissing them. In consequence, the purchasing power of the working class is reduced still further, orders are further cut back, and the whole system sinks into a vicious spiral of slump or depression, with mass unemployment and widespread bankruptcies.
When production has fallen to a low level (often with masses of surplus produce being destroyed), the warehouses are compelled to order at least a minimum quantity of the goods required by the population. As a result, the capitalists take some workers back into employment and, in consequence of the rise in the purchasing power of the workers, more orders flow into producing firms. The system picks up into a recovery, followed by a boom -- at the height of which a new crisis of relative over-production is precipitated.
7. WHAT IS MONOPOLY?
A firm, or association of firms, which possesses monopoly power, i.e., which controls so much of the output of a commodity within a market that a competitive market can no longer be said to exist.
8. WHAT ARE THE ADVANTAGES OF MONOPOLY POWER TO THE CAPITALISTS POSSESSING IT?
A monopoly can price its commodities higher than would be possible under conditions of competition, i.e., it can sell its commodities above their value. It can assist this process further by restricting output. Thus, a monopoly can make a higher rate of profit than would be possible under conditions of competition.
9. A MONOPOLY MAY BE: 1) A TRUST; 2) A COMBINE, OR 3) A CARTEL. WHAT ARE THE CHARACTERISTICS OF EACH?
A trust is a single giant firm with monopoly power, such as Imperial Chemical Industries.
A combine is a group of firms under single control possessing monopoly power, such as Unilever.
A cartel or ring is an association of separate firms which have agreed to restrict competition among themselves in order to reap the advantages of monopoly power, A cartel may, for example, fix production quotas and the share of the market for the participating firms and/or agreed prices for a commodity. An example of an international cartel is the Organisation of Petroleum Exporting Countries.
10. DOES MONOPOLY END COMPETITION?
No. It reduces competition in the area covered by the monopoly, while accentuating it in other fields -- e.g., between monopoly capitalists and non-monopoly capitalists and between rival groups of monopolists in the same or different countries.
11. WHAT IS FINANCE CAPITAL?
As capitalism develops, concentration and centralisation, of capital proceed in banking as in industry, and a merging of bank and industrial capital takes place, so that a small group of monopoly capitalists -- a financial oligarchy -- comes to control the large banks and financial institutions as well as the large industrial firms. This merged bank and industrial capital is called finance capital.
12. WE HAVE SEEN THAT THE CAPITALIST CLASSES OF ALL COUNTRIES ARE FACED WITH A MARKET PROBLEM. HOW DO THEY ENDEAVOUR TO SOLVE THIS PROBLEM?
'In theory' they could raise the workers' wages to equal the value of the commodities they produce, but since this would reduce their profits to nil, capitalists reject this solution.
Consequently, they endeavour to solve their perennial market problem by exporting commodities. Since all the developed capitalist countries have a market problem, each tends to direct its export drive primarily towards less developed countries.
13. WHY DOES THE EXPORT OF COMMODITIES TEND TO LEAD TO THE EXPORT OF CAPITAL AND TO COLONIALISM?
Because an underdeveloped country is economically backwards, its population as a whole tends to be poor. Furthermore, its economy tends to be autarkic (that is, relatively self- contained). Consequently, an underdeveloped country provides a poor market for the surplus commodities from a developed capitalist country unless its economy is radically transformed.
This is one reason why capitalist firms in developed capitalist countries 'export capital' to such underdeveloped countries, i.e,, invest it in the acquisition of large tracts of land for conversion into plantations or mines. They flood the underdeveloped country with cheap manufactured goods which ruin many of the native artisans (who still use handicraft methods which cannot compete with machine production). And if they can control the administration of the underdeveloped country -- a process known as colonialism -- they can force a large part of the peasantry from the land they traditionally held (for example, by imposing money taxes which can be met only from wages).
These ruined artisans and landless peasants are compelled to seek employment at starvation wages in foreign-owned plantations or mines producing cheap raw materials and food for the developed capitalist countries (at a very high rate of profit for the firms involved -- this providing a second important reason for the export of capital.
14. WHAT ARE SUPER-PROFITS?
Surplus value which a capitalist class obtains by the exploitation of workers outside its own country, particularly in underdeveloped colonial-type countries where the degree of civilisation (and so the value and price of labour power) is lower than in the developed capitalist country, so that the rate of profit is (often very considerably) higher.
15. WHAT IS A COLONY?
A colonial-type country which is administered directly by a developed capitalist country, e.g., Gibraltar, Northern Ireland.
16. WHAT IS A SEMI-COLONY?
A country which is nominally independent but is in fact dominated by a foreign power (e.g., Saudi Arabia).
17. SOME PEOPLE CLAIM THAT THE WORKING CLASS OF A DEVELOPED CAPITALIST COUNTRY AS A WHOLE SHARES IN THE EXPLOITATION OF COLONIAL-TYPE COUNTRIES. IS THIS TRUE?
No. Super-profits from the exploitation of the working people of colonial-type countries go to the capitalists of the developed capitalist countries concerned. While a small portion of these super-profits may be used to bribe a stratum of highly- paid workers (mainly the officials in the labour movement who act as agents of capital) the workers as a whole receive only the value of their labour power in wages and do not share in the super-profits.
Nevertheless, the existence of the small stratum of workers bribed by imperialist super-profits (the so-called 'labour aristocracy') creates an objective split in the working class which complicates the development of the socialist movement.
For the most part, however, the fact that the standard of living of the British workers has risen over the past hundred years is not because they receive in wages more than the value of their labour-power, but because the value of their labour- power has increased. A considerable part of the super-profits from colonial-type countries has been used to accumulate capital and mechanise production at home, so that productivity has risen and with it the 'degree of civilisation' which contributes to the determination of the value of labour power. In other words, total production has risen very considerably over the last century and the working class has been accorded a minor portion of this in the form of increased real wages. However, the share of total production received in wages by the working class has fallen, so that the exploitation of the British working class has increased over this period.
18. THE ECONOMIC TRANSFORMATION OF A COLONIAL-TYPE COUNTRY LIMITS IN TIME THE USEFULNESS OF THE COUNTRY TO THE DEVELOPED CAPITALIST COUNTRY CONCERNED. HOW DOES THIS COME ABOUT?
The capitalists of the dominating country need a stratum of well-educated native people to serve them as civil servants, office workers, etc., and these people become frustrated by the fact that the higher positions are reserved for representatives of the foreign dominating power.
Furthermore, although the foreign capitalists try to limit capitalist development in the colonial-type country, they need railways, harbours, etc. in order to bring out raw materials and food from the country. This helps to bring about the development of a national capitalist class or national bourgeoisie which, although frustrated in many ways by the dominating foreign power (frustrations which assist in developing the political consciousness of the national bourgeoisie), develops a degree of native capitalist industry which competes with the export industries of the developed capitalist country. It also creates an industrial working class, small in size but relatively concentrated; this naturally gives rise to a labour movement, which begins to struggle for higher wages and better working conditions.
In time, all these factors lead to the rise of a national liberation movement, led initially by the national bourgeoisie, the aim of which is to free the colonial-type country from the domination and exploitation of the foreign capitalsts.
19. HOW DO THE CAPITALISTS OF THE DOMINATING FOREIGN POWER RESPOND TO THE RISE OF A NATIONAL LIBERATION MOVEMENT?
First of all, by attempting to suppress it by force. Secondly, when the national liberation movement has attained a certain strength, by seeking to neutralise it by transferring poltical power nominally to a group of landlords and comprador capitalists who are dependent upon the foreign power for their ability to exploit the working people.
20. WHAT IS IMPERIALISM?
Imperialism is another name for monopoly capitalism or finance capitalism.
A capitalist society has developed to the stage of imperialism when:
1) the concentration and centralisation of capital has proceeded to the point where it has created monopolies which play a decisive role in economic life;
2) the merging of bank and industrial capital has developed to the point where it has created, on the basis of finance capital, a financial oligarchy;
3) the export of capital, as distinct from the export of commodities, has become extremely important.
On a world scale we must note the creation of international monopolies and the fact that, by 1914, all the underdeveloped countries of the world had been brought within the sphere of influence of one or another imperialist power, so that further imperialist expansion could only be at the expense of some other imperialist power.