Posts Tagged 'Capitalism'

It doesn’t have to be like this: Why capitalism needs to change, and fast

Where has capitalism gone wrong? In Too much stuff, Kozo Yamamura upends conventional capitalist wisdom to provide a new approach. Read about his new perspective on capitalism’s “sickness.”

kozo_portrait

Kozo Yamamura 1934 – 2017

Over the past three decades, the financial and environmental prospects of the UK, US, Japan and Europe, have slowly but surely been moving in a calamitous direction because of ill-conceived “easy money” policies pursued by those in power, from governments and banks through to multinational corporations and the advertising industry.

The result: a self-perpetuating cycle of stagnating economies, social unrest and political upheaval.

The advanced economies of the world are sick and democracy is floundering. Capitalism as we know it has created a climate where extremist, anti-EU political parties are flourishing by tapping into widespread dissatisfaction with the way things are.

They’re right in one sense – the system does need to change, because if it doesn’t, “what becomes the issue will not be the survival of our system, but the survival of our civilizations”.

“The advanced economies are sick, and the environment is getting sicker.”

Continue reading ‘It doesn’t have to be like this: Why capitalism needs to change, and fast’

Hain: ‘Public investment is key to regenerating economy’

Peter Hain’s Back to the future of socialism publishes today. In his guest blog post to celebrate the launch of the book Hain questions how we got into the current financial situation of cuts and austerity. He shares his views on the need for a radical response from all politicians, but most especially the left, to take us back to a fairer future…

Labour MP Photocall

Rt Hon Peter Hain, MP

Did Big Government or Big Banking cause the global financial crisis? And what should be done?

Go for cuts and austerity, or investment in growth and jobs? Give market forces a free hand, or harness and regulate them for the common good? Forget about fairness or share the proceeds of growth?

And, one of the key questions for me is, quite simply, is democratic socialism outdated or the answer to today’s challenges?

Sense of purpose

In 1956 Anthony Crosland’s classic text, The Future of Socialism, furnished the democratic left with a new sense of purpose. By freeing Labour from past fixations, and by giving traditional Labour values a contemporary appeal, he gave the party a controversial fresh focus, reviving its spirit and restoring its impatience for progress.

Crosland’s approach – essentially one in which the state sought to spread the benefits of economic growth within, and without challenging the capitalist framework – underpinned Labour’s approach until the global economic crisis of 2008.

But the kind of capitalism we have faced since is a more internationally and financially integrated, more unstable and a more unfair system than Crosland’s generation ever anticipated: productive but prone to paralysis, dynamic but discriminatory.

It is a capitalism whose self-destructive tendencies require far more radical responses than the neoliberal, right wing orthodoxy of the post banking crisis era could ever provide. Responses that pose acute challenges to a Labour Party intent on getting the economy growing again whilst putting the public finances back in order. Responses to be made against a constant, and seemingly resonant, message through the media for more cuts to cure ‘the deficit, stupid’.

“Governments across the world allowed the financial system…to become a law unto itself”

I strongly dispute this, and believe that public investment, not ever more austerity is the answer – both to regenerate our economy and get the deficit down. It is a case for faster fairer greener growth where an active role for Government holds the key.

In truth – at the very least in terms of banking – governments were too small and too passive, not too big and too active as the right repetitively insists. Governments across the world (including Labour’s) allowed the financial system over a 30-year period to get out of control and become a law unto itself. Takeovers and mergers led to banks so big they couldn’t be allowed by government to fail. Bankers bent rules to lend ever more riskily without anything like enough capital cover, until it all unravelled to catastrophic effect.

The real choice facing Britain should be between the right’s insistence on minimalist government and the left’s belief in active government; between the right’s insistence on a free market free-for-all, and the left’s belief in harnessing markets for the common good. Politics has to change, with Labour becoming a different type of political party. And Britain’s future must be at the heart of Europe, leading a new progressive internationalism.

Back to The Future of Socialism aspires to be a defining book for the democratic left in this era, just as past generations saw Tony Crosland’s seminal book in his era. You can be the judge of whether it meets that test!

Follow @PeterHain on twitter and for latest news on the book search #backtothefutureofsocialism

Back to the future of socialism [FC]Back to the future of socialism publishes today and copies can be purchased at a 20% discount from the Policy Press website – here.

The views and opinions expressed on this blog site are solely those of the original blogpost authors and other contributors. These views and opinions do not necessarily represent those of the Policy Press and/or any/all contributors to this site.

What’s to be done about capitalism? Everyday making and changing the world

Jonathan S. Davies

Jonathan S. Davies

Jonathan S. Davies discusses his article, Just do it differently? Everyday making, Marxism and the struggle against neoliberalism, part of the 40th anniversary special issue of Policy & Politics. The issue is available free online until the 30 November.

Decades of political domination by free marketeers have been very damaging for the left. With partial exceptions in some Latin American and northern European countries, varieties of ‘free market’ fundamentalism are now so ingrained as to be unquestioned, even unquestionable, by political elites. Mainstream social democratic parties have largely accepted the terms of this neoliberal hegemony: all prosperity depends on a healthy market economy, argued Tony Blair. With mass strikes being defeated and membership falling for decades, the trade unions too seem impotent in the face of this market hegemony. Worse still, far from provoking a successful challenge to neoliberal domination, the economic crisis of 2008 and after seems only to have entrenched it. At the sharpest end of the crisis in Greece, heroic struggles on the streets and in the workplaces, have failed to halt the relentless austerity drive. On the contrary, the Greek Labour Party (PASOK) chose to sacrifice its own political base and electoral credibility to drive through an unprecedentedly brutal cuts agenda, in order to save Greece’s membership of the Euro and make the country ‘competitive’.

With the organised left on the sidelines, many thinkers and activists have started looking for other ways of challenging the dominance of markets, corporations and authoritarian ‘austerian’ states. The basic idea of ‘everyday making’ is that despite everything, we have the capacity to do things differently if we choose. If only we stop devoting all our attention on criticising ‘the system’ and focus on our immediate experiences and capabilities, then another world is possible in the here and now. Everyday makers typically focus on practical action at the small-scale: from those in the craft movement trying to recover creative skills lost in mass production, to those wanting to build new economic practices through cooperatives and other forms of mutual endeavour. Everyday making is to build painstakingly in small spaces ignored or vacated by the profit economy.

My article explores the rich variety of approaches to everyday making, arguing that it is a mistake to give-up on challenging capitalism. I draw on the ideas of Karl Marx to argue that capitalism is no illusion, but very real and by its nature profoundly unstable and aggressively expansionary. This is not because capitalists necessarily want to behave like that, but they have to do so to continue making profits in ageing market economies. The governance of European austerity illustrates all too well how, driven by authoritarian states, the market encroaches further and further into public welfare and public space. Nothing is sacrosanct, including the economic alternatives celebrated by everyday makers. Since the crisis, for example, cooperatives have been firing employees and cutting wages just like ordinary businesses. They cannot do otherwise if they want to continue trading in the market economy. This is not to deny the importance of grassroots community campaigning – London Citizens has made a real difference through its fight for a living wage. It is rather to say that sustaining and building on success requires a challenge to market domination. In other words, everyday making itself poses questions about how economy and society as a whole are organised.

At the same time, it is clear that there is a strong, constructive relationship between everyday making and large-scale protest. In Turkey recently, we saw how a small-scale ‘everyday’ protest against the development of Taksim Gezi Park could quickly mushroom and generalise to encompass far more radical political demands. I argue that despite many defeats over the past 30 years, it is these mass demonstrations and strikes that have come closest to defeating austerity – and still have the greatest potential to do so. If so, the question is not whether to give up on system change in favour of everyday making, but rather how to further radicalise the explosive struggles that emerge from everyday life; how, that is, to take that final step from heroic resistance to victory. There are no easy answers to that question and the ideas of everyday makers have much to contribute to our visions of how another world may be possible. But they are not enough on their own.

Jonathan S. Davies

Just do it differently? Everyday making, Marxism and the struggle against neoliberalism is part of the 40th anniversary special issue of Policy & Politics. The issue is available free online until the 30 November.

DEBATE: ‘Capitalism works only when the rewards are seen to be shared’

Policy & Politics Debates, July 2012
Sarah Ayres, Associate Editor, School for Policy Studies, University of Bristol

The most recent ‘debates’ articles for Policy & Politics are written by Stewart Lansley (Visiting Fellow, University of Bristol) and Professor Kevin Doogan (Centre for Urban and Public Policy Research, University of Bristol).

Lansley charts the growth of inequality under capitalism since the 1970s. He contends that ‘the proceeds of economic growth have been increasingly colonised by a small financial and business elite’ and that this trend is unsustainable. The forces driving higher levels of inequality remain in place and this, it is argued, makes economies increasingly unstable and prone to crisis. You can read the article, ‘Capitalism works only when the rewards are seen to be shared’ for free here.

Doogan responds by suggesting that appeals for a ‘nicer capitalism’ are perhaps unrealistic and instead solutions need to be found in broad societal transformations, rather than incremental reforms of the capitalism system. His article, ‘A fairer capitalism?’ is also now available for free here.

To find out more about Policy & Politics, please visit our website.


Enter your email address to follow this blog and receive notifications of new posts by email.

Twitter Updates

Archives


Helen Kara

Writing and research

Peter Beresford's Blog

Musings on a Mad World

Paul Cairney: Politics & Public Policy

Professor of Politics and Public Policy, University of Stirling

Path to the Possible

Democracy toward the Horizon

The GOVERNANCE blog

Governance: An international journal of policy, administration and institutions

Shot by both sides

The blog of Kerry McCarthy, Labour MP

Paul Collins's Running Blog

Running and London Marathon 2013 Training

Bristol Civic Leadership Project

A collaborative project on change in local governance

Stuck on Social Work

And what a great place to be

Points: The Blog of the Alcohol & Drugs History Society

short and insightful writing about a long and complex history

Urban policy and practice

Publishing with a purpose

TessaCoombes

Policy Politics Place

Blog

Publishing with a purpose

Public Administration Review

Public Administration Review is a professional journal dedicated to advancing theory and practice in public administration.

Publishing with a purpose

%d bloggers like this: