April 2012

Capitalism in crisis and tasks of a Labor Party government

by Lil Joe

Alongside the development of productivity there develops a higher composition of capital, i.e., the relative decrease of the ratio of variable to constant capital.

These different influences may at one time operate predominantly side by side in space, and at another succeed each other in time. From time to time the conflict of antagonistic agencies finds vent in crises. The crises are always but momentary and forcible solutions of the existing contradictions. They are violent eruptions which for a time restore the disturbed equilibrium.

The contradiction, to put it in a very general way, consists in that the capitalist mode of production involves a tendency towards absolute development of the productive forces, regardless of the value and surplus-value it contains, and regardless of the social conditions under which capitalist production takes place; while, on the other hand, its aim is to preserve the value of the existing capital and promote its self-expansion to the highest limit ( i.e., to promote an ever more rapid growth of this value). The specific feature about it is that it uses the existing value of capital as a means of increasing this value to the utmost. The methods by which it accomplishes this include the fall of the rate of profit, depreciation of existing capital, and development of the productive forces of labour at the expense of already created productive forces.

The periodical depreciation of existing capital - one of the means immanent in capitalist production to check the fall of the rate of profit and hasten accumulation of capital-value through formation of new capital - disturbs the given conditions, within which the process of circulation and reproduction of capital takes place, and is therefore accompanied by sudden stoppages and crises in the production process.

The decrease of variable in relation to constant capital, which goes hand in hand with the development of the productive forces, stimulates the growth of the labouring population, while continually creating an artificial over-population. The accumulation of capital in terms of value is slowed down by the falling rate of profit, to hasten still more the accumulation of use-values, while this, in its turn, adds new momentum to accumulation in terms of value.

Capitalist production seeks continually to overcome these immanent barriers, but overcomes them only by means which again place these barriers in its way and on a more formidable scale.

The real barrier of capitalist production is capital itself. It is that capital and its self-expansion appear as the starting and the closing point, the motive and the purpose of production; that production is only production for capital and not vice versa, the means of production are not mere means for a constant expansion of the living process of the society of producers.

The limits within which the preservation and self-expansion of the value of capital resting on the expropriation and pauperisation of the great mass of producers can alone move - these limits come continually into conflict with the methods of production employed by capital for its purposes, which drive towards unlimited extension of production, towards production as an end in itself, towards unconditional development of the social productivity of labour. The means - unconditional development of the productive forces of society - comes continually into conflict with the limited purpose, the self-expansion of the existing capital. The capitalist mode of production is, for this reason, a historical means of developing the material forces of production and creating an appropriate world-market and is, at the same time, a continual conflict between this its historical task and its own corresponding relations of social production. - Karl Marx

Capitalism in crisis and tasks of a Labor Party government
By Lil Joe

The capitalist mode of appropriation, the result of the capitalist mode of production, produces capitalist private property. The present global crisis of capitalist commodity production on the basis of wage labour is manifesting a political crisis, which deepens the more this mode of production's relations of production, the buying and selling of labour power as commodities and the commodity form of products of the valorising labour processes is no longer viable. It ceases to be viable once the contradictions between the labour process and the appropriation of valorised products as commodities cannot be sold, market glutting corresponding to customers thrown out the appropriation market because there isn't sufficient money to purchase enough commodities that enable capitalists to realise profits and reproduce in the labour processes. The metamorphosis of capital ceases to morph into incremental capital when circulation fails, thus the crisis. It is the breakdown of the system itself.

Classes are predicated upon relations of production that correspond to a given mode of appropriation that characterise the mode of production. In the economic history of the United States, in agricultural capitalist commodity production on the basis of chattel slavery in the Southern region, for instance, this labouring class was appropriated by capitalists, by purchase.

The slave-owners buys slaves, that is purchase of human beings as things the same as he purchase other beasts of burden, e.g. mules. As such as a living productive force it is constant capital. But, constant capital, while it is containing of value, in itself, it doesn't create any new value. Valorisation is the work of human beings whose economic value correspond to the cost-price of means of subsistence, which in this case is bought and supplied by the slave's owner. As human labour power, though it is not a commodity sold by free agents, yet in possession of capitalists put to work in commodity production it is variable capital as well: the labour process is valorisation process of exploitation.Similarly, capitalist commodity production by wage labour. But, as the modes of appropriation are different so are the corresponding relations of production characteristic of capitalist commodity production by wage labour contrast to capitalist commodity production by slave labour.There were no unemployment among slaves and no unemployment insurance, worthless slaves were either put to pasture for breeding or eliminated as used up useless as trash.

There is no such thing as "overpopulation". Competitive capitalist commodity production on the basis of wage labour result in an historical absurdity of surplus population resulting from excess commodities.

The present debate, between Democrats and Republicans, regarding the "Paul Ryan Budget Plan", ostensibly regarding welfare, government spending on the surplus population is really about what is in the best interest of the capitalist class as a class, today, versus the Buffet rule for the preservation of the capitalist mode production. Regarding the surplus population: whether the displaced, the disabled and the elderly are economically viable as consumers to purchase commodities from glutted markets, or a "tax burden" on capitalists.

The Labor Party must have its own clear and distinct premises, based on human progress rather than the rules of capitalist commodity production. People go homeless, not because there are no dwellings but because they can't pay for it, and go hungry not because there is no food available but because food is available as commodities and they don't have money to purchase it. They don't have money because they cannot sell their single, solitary commodity, their labour power to capitalists. They cannot sell their labour power to capitalists because the capitalists cannot profitably employ it in a valorising labour process. Capitalists cannot profitably employ labour power as variable capital in the labour process because they cannot sell the products of that valorised labour process as commodities.

People go homeless, not because there are no dwellings but because they can't pay for it, and go hungry not because there is no food available but because food is available as commodities and they don't have money to purchase it. They don't have money because they cannot sell their single, solitary commodity, their labour power to capitalists. They cannot sell their labour power to capitalists because the capitalists cannot profitably employ it in a valorising labour process. Capitalists cannot profitably employ labour power as variable capital in the labour process because they cannot sell the products of that valorised labour process as commodities.

Thus the vicious cycle of a self exacerbating self-destruction of the capitalist mode of production and appropriation - capitalist commodity production on the basis of wage labour is therefore not permanent, but historical and transitory.

"Man never renounces what he has gained, but this does not mean that he never renounces the form of society in which he has acquired certain productive forces. On the contrary. If he is not to be deprived of the results obtained or to forfeit the fruits of civilisation, man is compelled to change all his traditional social forms as soon as the mode of commerce ceases to correspond to the productive forces acquired."
http://www.marxists.org/archive/marx/works/1846/letters/46_12_28.htm

The circulation of commodities is the starting-point of capital. The production of commodities, their circulation, and that more developed form of their circulation called commerce, these form the historical ground-work from which it rises.

The circulation of commodities is the starting point of capital. The metamorphosis of capital is the investment of money into commodity production on the basis of wage labour. The capitalist process of production consists essentially of the production of surplus value, represented in the surplus-product or that aliquot portion of the produced commodities materialising unpaid labour.

Advances in technology as intensified productivity of labour of variable capital by constant capital, and thus of unpaid or surplus labour, increases the rate of surplus value, which is to say the degree of exploitation of labour. But this increase of labour output by fewer workers throws masses of workers into the unemployed surplus population. The competitive advances in the productive forces are, therefore, by eliminating customers, means this mode of production is conflicting with the corresponding relations of production's mode of appropriation. Thus the crisis.

The present economic crisis is an economic collapse engendered by the capitalist mode of appropriation that conflicts with the very basis of capitalist private property itself.

There is no precise definition of an economic collapse. The term has been used to describe a broad range of bad economic conditions from a severe, prolonged depression with high bankruptcy rates and high unemployment, such as the Great Depression, to a breakdown in normal commerce caused by hyperinflation (such as in Weimar Germany), or even an economically caused sharp increase in the death rate and perhaps even a decline in population (Former USSR).[1][2][3] Often economic collapse is accompanied by social chaos, civil unrest and sometimes a breakdown of law and order.
http://en.wikipedia.org/wiki/Economic_collapse

The breakdown in history's most technologically advanced moment is of the capitalist mode of appropriation and exploitation of labour power, the object of the labour process of which is profit maximisation . It is by increasing the exploitation of wage workers by extraction of higher rates of surplus value embodied in commodity products of the labour process that profits can be realised only when these commodities are sold.

National economies dominated by capitalist commodity production on the basis of wage labour has not always existed and it will not exist forever. It comes into existence when world and national commerce is the characteristic form of production for markets, national markets in the framework of the world market.This has been the case of since the fifteenth century.

As the free market is competitive and not planned there are periodic crises of overproduction of capital and consumer goods. There are agricultural and industrial commodities produced to be sold that cannot be sold. Capitalist commodity production on the basis of wage labour can continue only so long as profits can be derived from the exploitative relations of production of a valorising labour process. It is these exploited workers who will be compelled to overthrow these relations of production once the breakdown of the market deprive them of means of purchasing subsistence.

The crisis in the capitalist mode of production is the collapse of the capitalist mode of appropriation. The overproduction of commodities result in capitalist's inability to sell them and workers inability to purchase them. Therefore, cutbacks in production further throw workers from the labour process and this further reduces valorising labour and rates of annual profit decline. It also means the cuts in production resulting in cutbacks of labour appropriated, thus resulting in an increasing quantity of surplus products that cannot be sold. Fewer workers purchasing fewer commodity means more cutbacks in production resulting in more firing of workers and further decreases in purchasing of commodities.

Economic class interests are politically represented by the State, which is an instrument of the most powerful, economically dominant class. The executive of the modern representative capitalist State is but a committee for the managing of the common affairs of the capitalists interests as class interests. As economic conditions change, the programs and policies of the governing party change accordingly.

The ascendancy of U.S. capitalism had been on the basis of its economic function as unbombed ascertaining of economic dominance by the crimson economics of World War II and the post war boom of the 1950s-60s. The present economic crisis of global capitalism, as it relates in the economic crisis in the United States, originated in and characterised by the bursts of inflation and recession in the mid- 1970s.

The 'stagflation' of the 1970s signalised the beginning of the end of "the American Century". The economic policies of the New Deal of the 1930s-40s and the would be "war on poverty" of the "Great Society" of the 1960s, the latter bled by the Permanent Arms Economy of the Cold War and the hot wars in Korea and Vietnam. The surplus population that had been drafted into the armed forces and those housed and fed by welfare programs were now targeted for prisons and repression by Law and Order Nixonian politics, and economic rejection as welfare bums by Reaganomics.

Democrats having since the era of Clintonomics been the continuation of Reaganomics, and these attacks on the surplus population have been carried on to higher degree by Obamanomics. Democrats have joined Reaganomics in cutting back on social spending, 'ending welfare as we know it' has exacerbated the breakdown in the capitalist mode of production by depriving of surplus population the money and food stamps needed to purchase commodities, which otherwise could not be sold and consequently cannot be sold.

The crisis of overproduction and declining rates of profits that has been the recurring consequence of the anarchy of competitive capitalist commodity production by wage labour is acerbated today insomuch as workers cannot sell their labour power because capitalist commodity production cannot be profitable. Where low wages and massive unemployed cannot purchase means of subsistence there will be no investments.

Policies of Democratic as well as Republican party dominance of the House of Representatives and/or Senate, and of their musical chair holding of executive government for the past few decades have been fickle gimmicks, large on rhetoric about how this or that gimmick will "create jobs", but small on results. They are inept because they are helpless because capitalist recovery is hopeless.

One Party displaces the other, campaigning on God, country first patriotism, gays serving imperialism openly in the military, abortion, gay marriage, racism, freedom, change, dreams and hope can manipulate the gullible, but these are rhetorical stunts and other red herrings. The latest red herring is contraceptives and religion.

Democrat and Republican demagoguery can fool some of the people some of the time, but not all of the people all of the time; so, consequently, the gullible voters become disillusioned and drop out, whereas those who remain in the political ship of fools change captains. Capitalists of first class are abandoning ship by helicopter, but the ragged economic paupers in the freight class have no life boat. The so-called safety net is being ripped to shreds by both capitalist's parties.

Capitalist commodity production is global. Fewer workers are required to produce the same if not increase the quantity of valorised products, commodities. This increased labour productivity or 'efficiency', increases in the rate of surplus value objectified in the product, is universal.. Thus, export of capital by U.S. capitalists to China, including auto and steel industries, also takes advantage of the economies of scale, produce fixed capital constructed in China with the most 'advanced', - more efficient' - machinery used to maximise surplus value by an increased degree of exploitation of Chinese workers on an ever expanding scale.

These U.S. based transnational capitalists commodities produced in China re-enter the domestic U.S. market. It is U.S. capitalists commodities produced in China, as well as commodities produced elsewhere, that are sold at Wal-Mart and so on. It is US domestic capitalists that cannot compete with US transnational capitalist commodity producers that are demanding tariffs and denouncing China for 'unfair trade' and monetary manipulation whereas it is US capitalist exploitation of Chinese workers that make the commodities cheaper.

The Titanic of American politics continues to sink as the economic iceberg digs deeper into it. The Leviathan's teeth are sharpened by ever repressive laws, and the cops are attacking those who dare raise an issue of protest on behalf even of a mythical "99%", unions are under attack by the State and union officials are campaigning for the re-election of Democrats, both in Wisconsin and at the federal level.

The Democrats continued the Bush tax cuts to capitalists, ostensibly to 'stimulate investment' in commodity production. Obama's recent speeches have openly bragged of appropriating the Republican medical reform theory as its own: the Heritage Foundation and the healthcare proposals of the 1990s Republican Congress and Romney-care the basis and model for Obamacare, and that his economic lickspittling policies favoring capitalists is consistent with G.W. Bush, and standing by his "Grand Bargain" proposal for cutting six trillion dollars from social spending on so-called entitlements.

The pro-union rhetoric of Democrats and MSNBC propagandists by promoting protectionism and extremist anti-China bashing ostensibly 'saving American workers jobs' is nothing but demagoguery.

In recent campaign speeches, Obama has been bragging about the "success" of the auto bailout. What Obama don't mention is that this Administration's policy was using the threat of being thrown into the surplus population of workers displaced by machines and robots or factory closings here to be exported to China as leverage to force auto workers to accept government's conditioning the bailouts on compelling the UAW to 'voluntarily reduce' wages and benefits, increase labour productivity, and reduce entry level workers wages and benefits, and unions sacrificing the right to strike. This is what Obama and the Democrats, in government and on MSNBC, mean by 'shared sacrifice', while as stated the auto industrialists profits are at record highs.

Democratic Party clap trap about 'fair trade, not free trade' is designed specifically to hoodwink American workers with patriotic demagoguery that enable this capitalist partisan party to keep the labour union officials in the Democratic Party. Demagogic rhetoric pretends to represent the interests of "American workers". "Saving jobs" of "American workers"from "unfair competition" from "Chinese sweatshops" and "communist slave labour" is the patriotic demagogy that is the ideological refuge of capitalist's political lackeys and ideological lickspittles. Advocating and legislating duties and tariffs is the last refuge of the scoundrel.

There is no Labour Party in the United States. The working classes and the poor, the surplus populations of workers who have been displaced by machines and advances in electronic technology, the young people graduating from colleges and the disabled and aged workers, therefore have no political defense.

The capitalist's States of United States, Britain, France, Portugal, Greece and Spain are attacking unions and cutting budgets for social programs.



Obama is right when he tells the Republicans he isn't a 'socialist' advocating 'class warfare' by advocating increased tax rates for the wealthy so-called 1%. The working class produces the wealth and the capitalists own it. Capitalists income is derived from the exploitation of the working class and not the result of taxes.

Capitalists are not a landed aristocracy and workers are not serfs. The capitalist mode of appropriation is not feudalism. Taxes is not a class issue. Besides, what this so-called tax on the 1% actually does, as the "Buffet rule", is to provide a cover for tax cuts for the petty bourgeoisie as part of the "99%" - so-called small businesses - again ostensibly as incentive for job creation - while at the same time this Administration is proposing, and fighting to cut 6 trillion dollars from social welfare spending. This, again is called "shared sacrifice".



The U.S. government providing Food Stamps to the American surplus population to purchase commodities that otherwise couldn't have been sold, but rotted in the sun. The food stamp program is in the interests of U.S. agricultural capitalists. So similarly the Obama regime and their majorities in the House of Representatives and Senate rejected the legislation to enact single payer health care. Instead, Obama and the Democrat majorities in the House of Representatives and Senate opted in the interest of the pharmaceutical and insurance capitalists by forcing Medicare into private health care HMOs, "Exchanges", and forcing every citizen to purchase insurance policies from finance capital.

The Republicans are liars. Republican politicians and FOX News ideologists and propagandists know full well that America's economy is not a feudal mode of appropriation based on taxes and tribute and relations of production, between classes of landed gentry and propertyless serfs yielding to it taxes, rent, tribute and corvee labour.

Just as the Democrats, Republicans know the American capitalist mode of appropriation is by the market mechanism and relations of production are based on capitalist ownership of the means of production and subsistence, forcing the propertyless proletarians to sell their labour power in order to live by purchasing means of subsistence. Republicans know capitalist taxation is funding the capitalist State and not a landed aristocracy or king, therefore is not class warfare, although the State is used as their instrument of political domination of America. Taxation contributions by American capitalists are funding their own instrument of their own class rule.

The Democrats are conservative, to the extent that they want to preserve elements of the Keynesian demand economy that provide employment money and welfare spending to surplus populations to participate in the market. The Republicans that want to roll back the entitlement policies of the New Deal, to restore laissez-faire capitalist police State of the 19th century and used the model of German Nazi capitalism regard small government defining the only legitimate role of the State is military repression in protection of capitalist and landed property and for international warfare, are reactionary.

But, the Clinton and Obama Administrations, each with Democratic majorities in the House of Representatives and Senate, Court appointments, increased police presence and domestic economic policies prove that there are no longer any partisans of Roosevelt's New Deal or advocates of Johnson's Great Society in the Democratic Party. Clinton's Democratic Leadership Council of "New Democrat" policies and ideology transitioned the Democratic Party into William Buckley's conservative Republican politics and ideology -"the era of big government is over" - and Barack Obama's 'fiscal conservatism' is even more devastating changes he believes in and advocate. While funneling trillions of dollars to finance and industrial capital he has proposed cutting six trillion from "entitlement" spending.



The international working class is up against the wall and is fighting back. The most advanced stages of workers and union revolts against capitalist's government and police assaults on workers standards of living are presently occurring in Tunisia, Egypt, Palestine, Greece, Italy, France, Spain and Portugal. The same has the potential for also happening in the United States.

There has also been labor protests and demonstrations in Wisconsin, Ohio and Michigan. The difference is that in Greece, Italy, France, Spain and Portugal the working classes of Europe and the Mediterranean region know itself to be proletariat, a class based on wage labor, whereas in the United States workers think of themselves as a nebulous 'Middle class' based on income rather than a working class in relations of production. American workers don't regard themselves as exploited because workers think the capitalist class earns its income profits as wages of management, or return on investments as rewards for `risks'.

What is worst is in this fickle thinking of American workers is the result of socialisation and acculturation, cultural internalisation of the ideology of American exceptionalism: they identify with the capitalist's political parties, the Democrats and Republicans, and this is particularly so in their association of their interests with those of capitalist's party's political imperialist interests. Instead of recognizing that they have lost jobs because of displacements by machines and export capital to cheaper shores, worker nativists in the U.S. blame and even hate "Mexican illegal aliens", and blame and hate "Chinese communism" and are sucked into the ideological vortex of Republican Party hatred of immigrants and Democrats promotion of hatred of China.

Proletarian internationalism as the basis of intellectual clarity has been for centuries absent from American working class consciousness of economic and political interests in opposition to cosmopolitan capitalist interests. Although American workers have not yet formed independent political parties as have workers in Europe, including socialists and communist consciousness among the labour union's rank and file in the streets and labor parties, by watching, reading and thinking American proletarians will in this global context of class struggle evolve class consciousness as they are consciously fighting the capitalists in our country, as well fighting back the attacks by this capitalist's class government, its attacks on American workers standards of living and the economic security of the so-called welfare state.

This independent critical thinking evolves from class warfare engendered dialectics of resistance political consciousness of its own power derived social independence of the working class in the United States in opposition to and hatred of home grown American capitalists, the fight for its destruction that at present is lacking. The American working-class has for historical and ideological reasons identified with U.S. capitalists, rather than the international working class in cosmopolitan class solidarity in opposition to cosmopolitan capitalist commodity production and exploitation of workers. This will change.

American workers being forced into conflicts with its own capitalist classes. This will only be achieved by becoming disillusioned, beat down by the government and this by the capitalist's parties using the Constitutional authority articulated by these ruling class' `founding fathers'. Workers must reject the ideologies of American exceptionalism and patriotism by recognising no common interests with "American" capitalists, recognise the capitalist classes to be the ruling classes.

American workers can and must beat the capitalists at their own game, democracy. Democracy must be seen to be the instrument of class struggle as it has always been practiced in this country, as the ideology that has enabled the capitalist classes to own the nation's productive forces and the Democratic and Republican parties as their political instruments of class domination. So long as American workers labour under the illusion of being a 'middle class' and sharing American national interests with the capitalist class, they will remain political appendages of the capitalist's class parties.


The labour unions and oppressed groups of the working class becoming a united political working class party is quintessential to political and ideological independence and maturity. From the standpoint of actuality of class struggle - a battle of class against class is a political struggle: Winning the battle of democracy, will be a sustained and incremental struggle to win the majority of seats in the House of Legislation. The worker dominated House of Representatives in a situation of dual power must become a parliament selecting a workers government by and for the wage workers: the immense majority by its party legislating and governing in the interests of the wage workers, which constitute that immense majority.

The political precondition for American working class participation in a democracy is the philosophical consciousness of themselves the legitimate determination of what is meant by human rights and freedom. This require American labor unions to recognise the economic interests of workers as a class, in this country the same as worldwide.

As wages and profits are inversely related because the increase of one is the decrease of the other, and wages as the means by which this overwhelming majority of humanity, the working classes and toiling masses are being cut off from ascertaining means of subsistence the historical limit of capitalist commodity production on the basis of wage labour has been reached. The lives of the great masses of wage workers are becoming more and more precarious because capitalists cannot profitably sell valorised products as commodities. The profit market system has to be overthrown, commodity production did away with.

Working class and capitalist class interests are mutually exclusive economic interests. It is stupidity on the part of workers in the United States to believe their interests are "American interests", rather than class interests, and that the Democratic Party represent their interests as "Americans" because Obama tells them he want's to "restore the American dream" to restore hope for the "Americans who work hard and play by the rules" of capitalism.


Obama said:

I believe this is a make or break moment for the middle class and I can't remember a time when the choice between competing visions of our future has been so unambiguously clear. Keep in mind, I have never been somebody who believes that government can or should try to solve every problem. ...

A debt that has grown over the last decade, primarily as a result of two wars, two massive tax cuts and unprecedented financial crisis, will have to be paid down. And in the face of all these challenges, we're going to have to answer a central question as a nation.

What, if anything, can we do to restore a sense of security for people who are willing to work hard and act responsibly in this country? Can we succeed as a country where a shrinking number of people do exceedingly well while a growing number struggle to get by or are we better off when everyone gets a fair shot?

And everyone does their fair share. And everyone plays by the same rules.

I know that the true engine of job creation in this country is the private sector not Washington, which is why I've cut taxes for small business owners 17 times over the last three years.

So I believe deeply that the free market is the greatest force for economic progress in human history. My mother and the grandparents who raised me instilled the values of self reliance and personal responsibility that remain the cornerstone of the American ideal. http://www.washingtonpost.com/politics/full-transcript-barack-obama-speech-before-newspaper-editors/2012/04/03/gIQArZ9ctS_story.html


Capitalists don't "work hard", because they don't work at all! As personifications of capital, vampire-like capitalists are not "self reliant", because they rely on the workers that they employ to work hard and produce wealth that the capitalists own, and rely on the State to legislate and enforce laws in the interests of Capital, such as the Taft-Hartley Law.

There is therefore no conflict of interests of the so-called private sector, that is the interests of capitalists as a class, and "the government", because both the capitalist's political parties, the Democratic Party along with the Republican Party, are representatives of capitalist class interests in opposition to working class interests. The working class has to have its own class party that is exclusively comprised of workers and financially based on the labour unions and dues, and socially throughout the class as a whole, including those thrown by capitalists into the surplus population.

The ideological doctrines of America- land -of -freedom and opportunity coupled with the so-called "instilled values" of the work ethic, is used to turn employed workers against the unemployed, regarding the surplus population as deliberately lazy bones, social parasites dependent upon tax and spend "government hand out" rather than "self reliance" and "personal responsibility".

... ``it is more than usually desirable that we should make some slight provision for the Poor and destitute, who suffer greatly at the present time. Many thousands are in want of common necessaries; hundreds of thousands are in want of common comforts, sir.''


``Are there no prisons?'' asked Scrooge.


``Plenty of prisons,'' said the gentleman, laying down the pen again.


``And the Union workhouses?'' demanded Scrooge. ``Are they still in operation?''


``They are. Still,'' returned the gentleman, `` I wish I could say they were not.''


``The Treadmill and the Poor Law are in full vigour, then?'' said Scrooge.


``Both very busy, sir.''


``Oh! I was afraid, from what you said at first, that something had occurred to stop them in their useful course,'' said Scrooge. ``I'm very glad to hear it.''


``Under the impression that they scarcely furnish Christian cheer of mind or body to the multitude,'' returned the gentleman, ``a few of us are endeavouring to raise a fund to buy the Poor some meat and drink, and means of warmth. We choose this time, because it is a time, of all others, when Want is keenly felt, and Abundance rejoices. What shall I put you down for?''


``Nothing!'' Scrooge replied.


``You wish to be anonymous?''


``I wish to be left alone,'' said Scrooge. ``Since you ask me what I wish, gentlemen, that is my answer. I don't make merry myself at Christmas and I can't afford to make idle people merry. I help to support the establishments I have mentioned: they cost enough: and those who are badly off must go there.''


``Many can't go there; and many would rather die.''


``If they would rather die,'' said Scrooge, ``they had better do it, and decrease the surplus population.
http://www.literature.org/authors/dickens-charles/christmas-carol/chapter-01.html



Whether workers think of lifestyle according to "income bracket" and corresponding consumer pattern determine class and internalise the "work ethic" as a "path to the middle class", view wages as reward, and capitalists profits as earned, depends upon the degree to which they have been hoodwinked and ideologically bamboozled.

The working class produces the wealth that is appropriated by capitalists and landlords. Thus, ideology of the work ethic and personal responsibility aside, in the economic empirical world of fact is that the class of economic parasites are capitalists, financiers and landowners - those who comprise the owners of the productive forces, land and banks who are the idle and don't work, and those who work don't own, but pay those who do.

What is consumed is derived from income. The capitalists purchase and consume means of production and distribution, including the labor power of workers by the exploitation of workers get a profit. Workers get a wage, and by this wage buys means of subsistence, including purchase or rent of a house, car, and pays rent or interests to landlords or banks.

The Democrats and Republicans of the House of Representatives and the Senate, the Presidents and their Administration, the Supreme Court and the federal and district courts are the political and judicial representative of capitalists, not workers. What American workers need to do is build a Labor Party that is a product of the labor unions, which are the organized sectors of the working class, comprised of workers, rooted in the trade unions and socially inclusive of the working class as a whole, a Party of millions embracing hundreds of millions of workers. All inclusive of workers of every `race' and ethnicity, religion or lack thereof, of both genders and without regard to sexual preferences, because this is what workers democracy looks like.

This Party must break with the entire history of bourgeois American politics, and its institutions, to transition the working class from nothing to become everything, to abolish the U.S. Senate and federal courts, including and especially the Supreme Court, and abolish the office of the President, the Electoral Congress, and disband the standing army and police, displaced by the universal arming of the working class based on unions in the Labor Party.

Of course it will be necessary for the unions of the Labor Party, based on having won the majority of seats in the House of Representatives to organise a new Constitutional Convention.

The existing Constitution, written by manufacturing, commercial, finance and slave owning agricultural capitalists or their political representatives rigged the Constitutional Convention in their interests, and it is a document that codifies those interests, to be overseen by the Supreme Court in specific opposition to `the tyranny of the majority', the producing classes being the majority and the appropriating classes the minority. It was written to provide the legal-theoretical basis for the `Constitutional' dictatorship of the capitalist classes. It cannot be amended but must be tossed into the trash heap of history.

The Labor majority will solve the current economic crisis by democratic measures only when the working class constitute itself the nation. This can be accomplished only by the establishment of a parliamentary democracy, the tyranny of the majority through the House of Representatives becoming the single legislative assembly, and the elected highest authority. Representatives to this national constituent assembly will of course be expanded by increasing the numbers of Congressional districts, and representatives from each labor union.

To this end, it is recognised that the political emancipation of the working class from subordination to capitalist class parties must be won by the working classes themselves, that the economical emancipation of the working classes from the vicissitudes of capital and the precarious existence and uncertainties of commodity production and overproduction, the U.S. workers must have their own class party.

The Democratic and Republican parties are partisans of capitalist commodity production on the basis of wage labour. Government in the hands of capitalist class parties is not the solution to the problem, it is the problem.

In the United States, the original political compact was between manufacturing and then industrial capitalist commodity production on the basis of wage labour in the North and agricultural capitalist commodity production by chattel slave labour in the South.

Agricultural slave owning capitalists and their political representatives and manufacturing capitalists were united in the Continental Congress wrote and published the colonies' Declaration of Independence from British mercantile capitalism, in 1776. There were political factions in the Congress, but no political parties as we know them today.

The Constitutional Convention authored a Constitution and the existing bourgeois republic with its legislative, executive and judicial branches to check "the tyranny of the majority", by subordinating the House of Representatives to the Senate and establishing an Executive that have officers of Administration Cabinet subjected to confirmation or "advice and consent" of the Senate, Senate approval of judicial appointments, including the Justices of the Supreme Court, Senate approval of the Chairman and Vice Chairman of the Federal Reserve System - the seven members of the Board of Governors of the Federal reserve System are nominated by the President but have to be confirmed by the Senate, the Senate confirms Ambassadors and ratify treaties.

The President, Senate, Judiciary, Finance Ministers and so on have always been capitalists, or in any event very wealthy representatives of the capitalist classes. There has never been a trade unionist, never a worker or farmer and certainly never a slave in any of these government, judicial or finance powers and authoritative bodies. Never. Not one.


The Democratic Party and the Republican Party arose on the basis of relations of production in conflict -that is the Democrats on the basis of agricultural capitalist commodity production based on chattel slavery, and the Republicans in opposition to it based on the interests of industrial capitalist commodity production on the basis of wage labour. The Democratic Party has never been a Labour Party, but the same as the Republican Party has always been based on the economic interests of capitalist classes.

Today, the Labor Party will emerge from the conflicts of existing relations of production, the conflict of capitalists as a class and wage workers as a class, battling over which class will have ownership of the productive forces, the producing working class or the capitalist appropriating class?

Class-conscious elements of the Labour Party, I.e. the communists, do not form themselves a sect. They are not an ideological party that have interests separate and distinct from the working class as a whole, but are the sectors of the working class that fights for clarity of interests inclusive of all wage workers, including the surplus population, without distinction of race, creed, gender, sexual preference, ethnicity or national origin. The common interests of workers as a whole is its unity in the struggle for exclusive political power.

The working class constituting itself the ruling class by a parliamentary democracy, by winning the overwhelming majority of seats in the House of Representatives and its appropriation of all powers and authority presently monopolosed by capitalists or their wealthy representatives in the Senate, President and Cabinet, Judiciary and Finance Ministers. The necessity for this change to exclusive workers government will be demonstrated by the very struggle of the Labor Party to actualise the legislative transfer of the productive forces from the private possession of the capitalist class to the public property of the working class.

Public possession of the natural resources, raw materials, the means of production and distribution of all of labors products to the use of Society and personal means of consumption for all citizens require the elimination of all the various and sundry forms of appropriation and exploitation of wage labour by ending the ravages and vicissitudes of valorising capitalist commodity production as the objective of the labour process.

Capitalists class interests are threatened by their own system of production and exchange falling apart, the center does not hold. This is most sharply evident in the economic crisis engendered by overproduction, surplus capital that cannot be sold and put to use in commodity production and of surplus commodities that cannot be purchased by an increasing surplus of workers thrown out of production and without wages, money.

Since the Great Depression, the collective capital has had recourse to welfare systems to sponge up surplus commodities by supplying surplus workers with government jobs and incomes, so-called Keynesian or `demand side' political economic policies of deficit spending by governments, which fed parasitic finance capital. But, today these governments are bankrupt, as was first occurred in Argentina in the latter 20th century, and the beginning of the twentieth, but now is evident in Southern Europe as well.

Through Keynesian deficit policy on military spending, the economic function of the Permanent Arms Economy, the justification for which was the so-called Cold War and the Korean War against 'communist aggression' of 'the evil empire', it was in large part instrumental in the restoration of capitalist commodity production in the production of means of destruction resulting in the hiring of millions of workers. Together with this was the Marshall Plan, which enabled both transfer of capital and the hiring of American workers by American capitalists to produce means of production sold to European capitalists. These lifted millions of formerly unemployed workers out of poverty. It was thus a boon for capitalism and shaped the consciousness of American workers and capitalists alike.

The post war G.I.Bill enabled capitalists to find and hire skilled workers and technicians for the new economy, without paying for their training through traditional on the job training programs. Similarly, the Eisenhower Administration together with Congress continued the public works projects of the Roosevelt New Dealers, by construction of roads, bridges and super highways, which facilitated domestic capital, industrial and agricultural commodity production on the basis of wage labour, because these roads, bridges and highways enabled capitalists to transport industrial and consumer goods throughout the country to every city, village and hamlet in the United States. This was consequently a boon for auto and oil and gasoline industries, supplying new trucks and fueling them, as well as new automobiles for workers.

There was a subsequent boom in suburbanisation as well. Suburban housing construction industries boomed, and construction workers found plenty of jobs in these expanding construction industries as the workers employed in the Permanent Arms Economy and advanced technology of new branches of industry, provided previously unemployed Depression era surplus population of masses of workers with new jobs with wages sufficient to enable them to move their families from the urban concentrations of overcrowded cities and the urban blight and poverty of the cities to "The Life of Riley" - "Ozzie and Harriet" - "Leave It To Beaver" and "Donna Reed Show" were images of picture perfect television lives of working class families as consumers living in the suburbs.

The American dream machine produced the illusion of "success" for workers as living in lilly white neighborhoods comprised of suburban tract houses with a car in every garage, houses complete with in home electric powered indoor washing machines and dryers, dishwashers and food stacked refrigerators.1950s television, the new medium of capitalist propaganda, invented the myth of the American middle class, as the "American Dream" based on consumerism and gadgets is self-destructing as low wages and increasing unemployment as permanent is become obvious facts of every day life.

The Permanent Arms Economy and post war booms occurred in the United States because the war devastated Europe's industries and infrastructure. During the devastating European war of mutual destruction, and subsequently in the 1950s, European capital, along with scientists and technologists migrated to the US. It was the only country that wasn't bombed. This created a demand for semi-skilled and skilled workers in road work and construction and in the war industries, auto workers and steel workers, plastics and truck drivers. Unions rode the crest as their new found economic position of power enabled strong unions to win unprecedented levels of wages and benefits.

However, by the 1970s, military spending had become inflationary. Republicans began to attack `welfare' spending, as the `cause' of government deficits, and appropriated monetarist economic theory -the theories of Milton Friedman and Friedrich Hayek in opposition to the theories of John Maynard Keynes and Gunnar Myrdal that advocated government policy of fiscal stimulus and expansionary monetary policy. This is reactionary economic theory and policy appropriated by the Republicans, also known as of politics "fiscal conservative' theory and policy. It is reactionary, in that it wants to return economic policy of government to the pre-Great Depression policies of Hoover and his predecessors.

Thus, in comparison to the Republicans, the Democrats advocacy of preservation of Keynesian model, and policies based upon this model, is conservative. Republican Tea Party faction that has displaced its `moderates' is reactionary in that this Party now wants to roll back the policies of Keynesian demand side consumerism. To this end are they joined by `conservative Democrats'. Democratic Party 'progressives' are conservatives insomuch as they want to preserve government spending on consumerism, which has enabled capitalists to sell commodities to the unemployed surplus population, which commodities otherwise couldn't have been sold. Neither has the Republicans, nor has ever the Democrats, represented the interests of the American working class..

The clap trap regarding `issues' of abortion, contraceptives, affirmative action and `to be, or not to be' a `racist' or `sexist' are red herrings, diversions from the real economic issues, because whether Democrat or Republican, these capitalist class parties are both partisans of the common interests of all factions of the capitalist classes, regarding ownership by capitalists of the means of production and distribution.

Capitalism entered its present, and permanent crisis of overproduction and inflation, so-called stagflation, beginning in the mid 1970s. This explains why Nixon initiated a 90 day wage and price freeze, on the basis of the Economic Stabilization Act of 1970 and took the dollar off the gold standard, at least in theoretical policy.

The Republican Party represent, primarily, the interests of finance capital and those of the transnational corporations, thus the fight against inflation was primary, and those of agricultural and industrial capital is secondary and subordinate, whereas the Democrats prime interest is the class of domestic industrial, and agricultural capitalist factions. Democrats subordinate the interests of finance capital to industrial capital, promoting stimulus spending, though inflationary, and tariffs, although it present these capitalist's interests as in the interests of workers having jobs.

Militarist Keynesian political economy was represented by policies of Secretary of Treasury, beginning with industrial capitalist for the Roosevelt Administration, William H. Woodin, directly followed by Henry Morgenthau. These policies were maintained by Fred M. Vinson; finance capitalist John Wesley Snyder; industrial capitalist George M. Humphrey; communication industry capitalist Robert B. Anderson; finance capitalist C. Douglas Dillon; lawyer and Brooking Institution ideologist Henry H. Fowler; multi-investment capitalist Joseph W. Barr; finance capitalist David M. Kennedy; lawyer- politician John Connally; industrial -construction capitalist George P. Shultz.

Keynesian ideology and government deficit spending policy began to change in the mid-1970s.

The ascendancy of the U.S. economy's techno-economic advantages derived from military production and war spending boom. But, the rebuilding of economic infrastructure and reindustrialisation of Western Europe also transferred advanced technology to the re emerging economies of Germany and Japan. German and Japanese industrial capitalists now possessed the most advanced industrial capital in the world.

German and Japanese auto and steel industries became the chief global rivals of the 1970s -90s, just as today the European Union and U.S. capitalists export capital manufacturing and high tech industries to India and China has made the capitalist industries in those countries today the chief rivals of U.S. domestic industrial capitalists. U.S. industrial capitalist commodity production in decline is characterised by the outsourcing resulting in relative de-industrialisation.

Patriotism is the last ideological refuge of capitalist scoundrels when it comes to bourgeois politicians promoting protectionist duties and tariffs to force the nation's citizens to pay more for imports, thus making domestic produced commodities 'competitive'. Yet, capital has always been cosmopolitan, its industrial centres migratory. Capitalist's are under no obligation of loyalty to produce commodities in the home country, and the 'argument' for reducing wages and benefits to workers and lowering taxes ostensibly to make domestic capitalist commodity production cheaper and therefore more competitive with capitalist commodities produced abroad by cheaper wages in countries with less taxes, is a lie that is used by political and ideological representatives of domestic capitalists. This lie is used to force union concessions and justify tax cuts to capitalists but doesn't affect trends of export capital.

President Richard M. Nixon opened trade with Mao and transnational investments from the U.S. into China. Globalisation is nothing new.

The appointment by Nixon of William E. Simon to Secretary of Treasure signalised the fact of capitalist globalisation with the rise of rediscovered, reinvented ideology laissez-faire capitalism as the new ideology, in contrast to tariffs. "Big government" was not yet associated with "wasteful government spending" on surplus population. This however was implicit of Nixon's "Southern strategy"/ "Silent Majority" racist appeals to Southern racist ideological voters and reactionary Christians of the West. The Bible belt. It remained to Ronald Reagan to culminate this by appeals to "Christian conservatives" protestant "work ethic", and in this connection his attacks on Black male "welfare bums" and single moms as "welfare queen" dog whistle rhetoric.

Globalisation was first recognised and reflected in the 1970s, which had forced the Nixon regime into wage-price controls on one hand and taking the U.S. monetary economy off of the international gold standard on the other. Nixon opened trade with China. This gave U.S. domestic industrial capitalists access to hundreds of millions of new customers enabled industrial capitalist's export of commodities to customers in China to stave off the inevitable slump of overproduction.

The Secretary of the Treasure appointed by Richard Nixon and accepted by the Democrats as well as Republicans in Senate was William E. Simon, a strong advocate of laissez faire capitalism.He continued in the Gerald Ford Administration. Ford subsequently appointed him Chairman of the Economic Policy Board. He was the chief spokesman for the Ford Administration on economic issues. Ford also named him Chairman of the newly created East-West Trade Board.

In the 1980s, the economics of Keynesianism and advice of Eliot Janeway was displaced by Monetarism, the Laffer curve, David Stockman and the Phil Gramm (D. Texas) - Del Latta (R Ohio) "Gramm-Latta Budget", and ascendancy to the Chairman of Board of Governors of the Federal Reserve by Alan Greenspan (1987-2006), replacing Paul Volcker (1979-1987).

The Federal Reserve System of banks and banking policy is politically independent of government, but dependent upon government as guarantor of bailouts. The common interests of finance capital at the government level is shown by the continuity of bipartisanship of all factions of political representatives of finance capital and by the continuity of policy of chairmanships of the Federal Reserve Board of Governors.


United States economy is part and parcel of the global economy. Capitalist commodity production and distribution is collapsing into a deep economic crisis. Workers and unions are fighting to protect the gains they have won by trade and labor union struggles against resistance of capitalists, and the social gains conceded by capitalist's governments, are being attacked by capitalist and governments all over the world, including the United States. Workers are taking their battles into the streets in Nigeria, India, Korea, and the entire European Union.

The present by-partisan representatives of capitalist factions in the U.S. House of Representatives, Senate and Presidential Administration, the government, in response to the collapsing of finance capital and industrial capital in 2008-9 propped up the economy by shovelling hundreds of billions of dollars into collapsing industrial and finance capitalist coffers, ultimately trillions of dollars appropriated from taxpayers. Government money purchased 'toxic loans' to cover 'bad mortgages'. The would be homeowners were still foreclosed on and thrown out those houses.

The Labor Party government will be the opposite of the capitalist partisan government of the Democratic and Republican parties. The Labor Party would have passed legislation whereby the billions of taxpayer dollars would have purchased the banks and cancelled the mortgage debts to the now publicly owned and employee managed banks. Not a single person or family would have had their houses expropriated. On the contrary, Labor legislation would have included provisions that not only would indebted homeowners had kept their homes, but the workers who have been paying mortgages for decades would also have those mortgages cancelled as well.

Labor legislation would have allowed funding for Homeowners Associations and Apartment Dwellers Unions formed to repair and update or modernise houses and apartments and that would also manage a system for ending homelessness making sure every human being in this country be given a modernised house or apartment to live in, with utilities provided and paid for by the State.

Deficits. The legislated transference of the major banks and finance institutions, insurance companies and brokerage firms to the public ownership of Society, firing of all existing executives and boards of directors, displaced by the workers that manage their finances already, for wages. This eliminates profit incentives, puts an end to speculation, cancels mortgages and restore the foreclosed to their housing and frees money to small neighborhood businesses and community based cooperative, makes money available to home and apartments for renovation, rejuvenation and community wide extermination projects.

Labor Party legislating the elimination of Military-Keynesian "big government" by limiting government to producing and protecting human life and Nature puts end to the military -industrial complex and the imperialist policies protecting transnational capitalist investment enables the closing of military bases. Closing military bases and dismantling killer machines and forces, both abroad and in the States redeploy members of Army Corps of Engineers to Building and Trades, and Construction Workers Unions to be forces of production rather than instruments of destruction. What presently is real is irrational so what is rational must become real.

The means of production and construction will have to be transferred from the private possessions of capitalists, thus eliminating profit motive and unpaid surplus labor exploitation by capitalists from the labor process, these workers and engineers will rebuild the entire American infrastructure, power and energy industries, roads, bridges, highways, schools, hospitals, and neighborhoods, including inner cities, eliminating the scars of urban poverty and blight in every neighborhood of every city, county and state of the United States.

To do this effectively, politics will have to be removed from city, county and state governments by direct election of neighborhood and district councils displacing existing City Councils and County Boards of Supervisors, the existing state geography and governments displaced by regional governments, directly elected by the people of the regions, working at average workman wages, responsible to and recallable by the community electorates. These will be working administrative bodies and not talk shops. Campaigns for elective offices will be positive, that is based on proposals and qualifications, competitive but not negative television ads flooding the airwaves.

The depoliticalization of local and regional `government' will also mean the end to political police, intelligence officers, and in general the self-policing of neighborhoods for the self-maintenance of `law and order' to enforce decisions of implementation of local and regional governments, the abolition of police and county sheriff departments. Police, county and state prisons closed. The prisoners to be rehabilitated and educated into the community and labor force by community health institutions and trade and training schools, colleges and universities at no cost.

The Labor Party battles for the winning of democracy is the political process and praxis through which American workers will evolve to class consciousness of actually existing class interests by fighting the Democratic Party, as well as the Republican Party by running workers to win elective office.

Labor Party Workers all over the United States, throughout the entire country, of both genders, regardless of sexual preference, workers of every ethnicity and religion or lack there of, will be as a class advocating the same economic and political program. Fighting the battle at the national level of class against class workers are rejecting the supposed axiom that `all politics is local'. This 'axiom' thus becoming recognised as the lie that politicians represent district constituencies, I.e. residential neighborhoods, or ethnic interests, gender interests and so on, rather than class interests.

Labor Party candidates by participating in the electoral processes at the Congressional level for federal office will run on a common class program and platform that advocates fundamentals of workers class interests -food, clothing, shelter, health care, intellectual nourishment including education and the arts. These are the basic things human needs, but which in present capitalist society are capitalist's property.

The working classes are the producing classes, but they can ascertain the wherewithal - I.e. money - by means of which to appropriate -I.e. purchase - these objects only by selling the only thing they have as provided by nature, selling their labor capacity to capitalists or to the State.

This will end by the producing class becoming the ruling class, which means ending the tyranny of the capitalist minority by becoming the majority in the House of Representatives, abolishing the Senate, the Presidency and the Supreme Courts and calling a new Constitutional Convention of workers, by workers and for workers establishing a parliamentary democracy.

Public ownership of the productive forces by the producers does away with commodity production and the end of wage labour ends exploitation, as well as every member of society having a Constitutional right of free access to the products of their social production.

In the United States, the capitalist classes own not only the means of social production and distribution - land, industry, finance and transportation - but also as the most powerful, economically dominate classes own at the same time the political lackeys of the Democratic Party and the Republican Party political lackeys govern the State.

The federal State is the State, to which regional institutions of state and local governments and armed men and women -state troopers, county sheriff, police and other local constabulary are subordinated and when necessary are appropriated. Nearly if not all the nations lawyers who are or become members of the House of Representatives and the Senate, public prosecutors and judges at the federal, state, county and city levels, are either Democrats or Republicans.

The same is true of the Executive branches, as at the federal the President and their respective Administrations, and also state governors and legislatures, county and city boards of supervisors, city councils and mayors are overwhelmingly either Democrats or Republicans. Thus, insomuch as the Democratic Party and the Republican Party politicians are lackeys of the capitalist classes, if not themselves capitalists, at any rate `investor owners of capital', the State in America is the political representative power of capital and the working class has no representation in this political power!

There is no such thing as American exceptionalism and thus to combat this bourgeois ideology in the working class in the United States, it is necessary for the labor unions and workers generally to constitute itself into a class party, a Labor Party that is based on wage workers interests that are predicated upon and in actually existing relations of production which specifically correspond to the exploitation of wage workers by capitalists by the capitalist mode of appropriation.

Although they are of the producing classes, presently workers must purchase from the capitalist owners of means of subsistence their food, clothing, shelter, medical care, the means of subsistence. Those who work don't own and those who own don't work. There is no `middle class'. As wages of labor and profits of capital are inversely proportional so the economic and political class interests of workers and capitalists are mutually exclusive.


The ideological assumptions of the Republicans and Democrats concerning treatment of the surplus population of unemployed, elderly and disabled workers is by concessions to this surplus population. Providing the surplus population with money, food stamps, housing vouchers, access to medical institutions, and so on is in the interests of preserving capitalist commodity production on the basis of wage labour and does not constitutes a "socialist redistribution of wealth".

The wealth, that is property in the productive forces remain in the possession of capitalists. 20% of Americas own 85% of its wealth and the top 1% on 40% of that. To call welfare checks and food stamp certificates "socialist redistribution" is absurd. Socialism is working class expropriation of the productive forces and the abolition of capitalist commodity production and wage labour, therefore the abolition of wealth and its opposite, poverty.

"Big government" spending from taxes is "wasted on the dregs of society" - say Republican reactionaries, who want to dismantle the Keynesian economic model of a "welfare state". Or that it is "compassionate" and "humane", say the Democrat conservatives who want to preserve Keynesian demand by deficit spending. But, the economics behind these ideological red herrings, is the reality that in an economy of capitalist commodity production money is not consumed by people, is therefore not spent on people but for the circulation of commodities to complete the circuit of Money - Commodity -Money', people as but means of circulating things.

Democrats deficit spending on vouchers, food stamps and so on enables landlords to rent apartments that otherwise would remain vacant and commercial capitalists to sell commodities that otherwise cannot be sold, so thus by reaction industrial and agricultural capitalists to sell to commercial capitalists commodities that otherwise couldn't be sold, thus these capitalists wouldn't borrow from finance capital money to invest in production. The same is true of Keynesian economic policies of deficit spending in the purchases of killing machines from military industries. The difference is that deficit spending Democrats enable living individuals to keep on living and purchase surplus commodities whereas the Republicans deficit spending on commodities, if used kill people. It doesn't matter to them because the people it or the Israelis or some other ally kill are not American consumers of commodities.

The capitalist factions represented by the Democrats, which represent the interests of domestic industrial and agricultural capitalists, promote `social programs', also because it is in the interests of these domestic capital sectors, to keep wages down to the minimum by forcing finance and transnational capitalists to pay these same taxes to force them to share the burden of supplying the surplus populations. Otherwise, falls to the individual workers to demand and get more money viz. `family wage' inasmuch as it would be strictly the responsibility of these employed workers to provide for an extended family the required means of subsistence, housing, utilities, transportation, medical and dental care, burial finances and what have you for these employed workers unemployed -due to disabilities and/ or age.

The Republicans as political representatives of finance capital resist the 'social spending' of 'big government Democrats', because they are financial parasites sucking interests from industrial and agricultural capitalists and because deficit spending is inflationary, which means they get back less value represented in fixed interests payment by inflated currency.

The Food Stamps program benefit agricultural capital also to have the government appropriate money from industrial, finance and transnational capitalists as well to provide the surplus population with means for purchasing meat and grain as examples, the cattle industry and the rice industries. It is obvious how the cash for clunkers benefited the auto industry by selling cars which otherwise were not sold.

Social spending also benefit capitalists by keeping wages low by freeing employed members of the extended family from responsibility for providing means of subsistence to their aged parents, uncles, aunts and also the expanding surplus population of permanent unemployed brothers and sisters and their families.

It is clear that from the standpoint of capitalism it is practical rather than altruist policies of the Democrats that it is in the interests of domestic agricultural capitalists, and domestic capital generally that preserving the Food Stamp program to keep wages of employees as low as possible. Social Security and Medicare, Medicaid and Medical. Democrat's is to be regarded in this context.

Republicans red herring opposition to 'gay marriage', abortion, contraceptives, this promoting of sexual politics as religious politics, school prayer, and so on is amazing that workers can be manipulated so easily.To put the issue of female sexuality as religious conscience by siding with the sexist religious doctrines of Catholic Bishops, Baptist preachers, Jewish rabbis and Islamic imams an issue of religious freedom rather than saving money for capitalist employers denying workers the right to medical access manipulative and deceptive.

It is not "war on religion" or an attack on "freedom of religion" to resist theocratic dictatorship. Religious freedom is the right of the religious individual to practice his or her religious tenets, not to force them on others. If sexual intercourse prior to marriage or adultery after marriage is a sin to them, they shouldn't do it. If the use of contraceptives or having an abortion is a sin in their religious dogma then they should not use contraceptives or get abortions. If homosexual engagement is a sin to someone's religious sensibilities then they shouldn't participate in homosexual activity. What is regarded as sin to the practitioners religion is a sin to them and to no one else.

In the United States organised religious establishments are tax exempt. Taxes are appropriated primarily to support the military industrial complex, including all the armed forces both domestic and abroad, military basis and prisons, cops and courts. The State jails and kills people, so no, life isn't sacred because practically no religion protests State killings at home or abroad.

To "Christian conservatives", the military budget is a sacred cow of steel, guns and tanks, nuclear weapons are sacred. The same Republican politicians and theocrats that oppose abortion, ostensibly because it violate "the right to life" and assert that "life is sacred", are the very same law and order demagogues that promote capital punishment and Second Amendment gun ownership and stand your ground killings at home, and imperialist and Zionist wars of aggression and occupation abroad.


Taxation is the economic basis of the State. The quintessential function of State Power - its armed forces: army, navy, air power, police and so on -is the conservation of the capitalist relations of productions and corresponding method of appropriation of the products of the producing classes. The power of the State is managed by the governing party.

Every member of the U.S. State apparatus and its military officer corps are Democrats or Republicans. The ranks of these officers corps are the content of State Power, and they are all Democrats and Republicans, the same as are their states and federal executive branches, cabinets and their respective bureaucracies.

A Labor Party government would have to legislate the dismantlement of the State. Even in the present constituted House of Representatives, it's working class partisan legislation would be contrary to the continued existence of capitalist relations of production and capitalist class interests, and consequently the capitalists would turn to the Pentagon to disband the House of Representatives. It would therefore be a necessary defensive measure for the legislature to disband the military to prevent the military from disbanding it.


The Labor Party, in that it is the political constituency of the labor unions and socially based in the working class electoral districts, in its candidates campaigns for political office is to promote working class interests, exclusively and generally at the federal level, winning seats in the House of Representatives on the basis of an exclusively working class agenda.

A Labour dominated House of Representatives, backed by unions and the rank and file of the armed forces will have the power and authority to implement its working class agenda and legislation. The economic empowerment of workers is achieved by legislating the systematic transfer of the productive forces from the private possession of the capitalist classes to the public property of the working classes.


All of the Presidential administration and Departments will be removed from the Executive and Senate, once they are abolished, and placed under government of Parliament and its authority. The Federal Reserve Bank and the Chairman of the Board, and the U.S. Treasury Department merged into the nations Public Bank and managed by its employees.

The Public bank managers will conceal debts and mortgage payments on all houses and apartments, the tenets will no longer pay rent. The same policy applies to mom-pop local businesses, mortgages are concealed.


With all natural resources and industry public property and production managed by the unions there will be no capitalist appropriators of labor power for the exploitation of the workers in the labor process. The labour process ceases to be a valorisation process. What is produced are not commodities but are use values without exchange value.

The production of automobiles, but the production of buses, trucks and tractors, and related industries are nationalized and managed by the unions, displacing capitalists board of directors. As these are not produced as commodities to be sold, but use values to be used, whether as means of production in the case of trucks distributing products or tractors in farming,, or buses means of travel, since these are produced as use values for use and not exchange values to be sold, there is no valorizing in the labor process as there is no exploitation of the workers and no profits to be made from their work. These products are therefore given, not sold, to the truckers union and farm workers union to distribute products and produce means of subsistence. No military hardware or transport will be produced, thus breaking the back of the military industrial complex.

The turning over of the means of agriculture to agricultural labor unions, farm workers unions, grain operators unions and so on, the nationalisation of the land used in agriculture is as the logical procedure, which will eliminate capitalist participation. The boards of directors will be fired.

Workers management of the labor process excludes capitalists from it. There are no capitalist there and no profit drive. Hence no valorisation and exploitation for profit realisation by purchase. There is no market objective as products are no longer produced as commodities bearing exchange value to be realised as profits, but produced as use values to be consumed by all members of society, without cost. Since, under these new relations of production it cost nothing to produce food and agriculture has ceased to be commodity production, the produce as means of subsistence will be freely available to all members of society, according to his or her and their families requirement.

Of course, for this kind of distribution of means of production and distribution to agriculture, trains and planes are required. The necessity therefore arises to nationalise the train and plane manufacturing industry, and cease production of military hardware, to be turned over to the unions to displace capitalists and boards of directors to enable workers management of the labor process. Ad there is no longer any capitalist there is no commodity production for exchange value realisation of profits derived from the exploitation of workers labor valorizing commodities to be sold at a profit. Moreover, here to no military hardware or transport will be produced, thus breaking the back of the military industrial complex.

It is of course necessary to plan for energy required for production and distribution technologies to work, which calls for the nationalisation of all natural gas, oil, electric and water power industries at once. This means that the capitalists will be expropriated by the Public, and therefore commodity production will no longer be the object of production and distribution of energy to either production, distribution or for personal use in workers homes and for fueling their automobiles.

Where there is no commodity production there is no exploitation, no valorisation in the labor process and therefore the products are produced for use of society, not exchange between capitalists or consumers, these are use values containing no exchange value, they are distributed according to requirements of producers and consumers, without cost!

Insurance companies, those economic parasites, will be abolished! There will be no need for these, since damages, repair shops and hospitals that are large scale can be nationalized, the capitalists thus expropriated by the public for the good of all, will be managed by the collective of unions in those industries.

Hospitals are a social necessity, and so are doctors, if the present crop of doctors are in it for the money they will be replaced by a new core of doctors that are there to minister to the material health needs of humanity. This will require the education and training of doctors, but also of all necessary professions, at schools, colleges and universities, many of which are already publicly owned. The rest will be expropriated by the communities, and education, including educational materials will be free to all, regardless of race, creed, work, religion, ethnicity, nationality of birth, free to all!

Of course, this will require the nationalisation of publishing houses, and of industries that supply schools, and hospitals, and other professions in the production of electronics and other required equipment. To make sure these institutions get what they require, these factories will have to be nationalised as well, to prevent capitalist interference, and to work on a non-profit basis these will be turned over to the unions to displace the boards of directors, thus eliminating the profit motive and factor from production.

There will be no longer any commodity production in these industries, the labor process will no longer be a valorisation process, there will be no exploitation of workers as these industries are now managed by workers for the good of the public.

As for the problem of unemployment and the surplus population produced as the result of the capitalist mode of production and appropriation, that is capitalist commodity production by the exploitation of wage workers in the labor process, as the workers management of expropriated industries advance, the unions operating and managing their own labor process, now producing utilities for use rather than commodities inhering exchange value to be sold, these worker managed firms will reduce the time of work to socially necessary labor, rather than profit maximization by surplus labor embodied in commodities.

Thus, in the economy based on common property new workers will be brought into the labor processes, education processes, education processes, and so on by reduction of labor time freeing existing workers to work shorter hours per day, all will work perhaps five or six hours per day.

Those who are presently of the surplus population because of mental or physical disabilities, the aged, and so on, will be removed from the deputizing system of existing public welfare systems, and provided with housing, food, clothing, shelter and care by the entire communities in which they choose to reside, because housing, transportation, food and medical care is already free to all, insomuch as in the above scenario of working class legislation of transferring the productive forces from the private possessions of the capitalists to the public property of the working classes will in the process of eliminating commodity production and exploitation began to produce products for utility not for exchange, these products are therefore distributed, freely. To each according to his or her need.

Capitalist overproduction and the surplus population it engenders will have no place in the New Society of workers. There will be no condition for crime, and criminal laws will become unnecessary.

In all probability, the military-industrial complex will resist, by means of Democrats and Republicans now exclusively in the Senate, once the Labor Party dominate the House of Representatives and passes the kind of legislative scenario given above. The Senate will most likely reject every such piece of legislation. What, if any, such legislation do pass in the Senate, which would require a new majority of Independent Senators being voted in to displace the Democrats and Republicans, the President will Veto it, and if not the Supreme Court will declare it unconstitutional. If it doesn't, there will probably occur at the Pentagon, a military coup, supported by the wealthy of the Officer Corps, which is directly connected into the military-industrial complex. But, the Labor Party, can call on the working class members of the rank and file of the military to resist their officers, to instead place themselves at the disposal of the House of Representatives, which will be forced by the Senate, President and Supreme Courts reaction to be abolished and a new Constitutional Convention called.

Every class struggle is a political struggle, the object of which is class power. In doing battle against the capitalist Democratic and Republican parties, class conscious workers objective is to establish its class power as State power by which to legislate the transfer of the productive forces from the private possession of the capitalist class to the common public property of the working class. The common ownership of the productive forces, the means of production, distribution and finance is the basis for workers management of production and distribution eliminating all forms of and capital accumulation by capitalist managed labor process as valorisation process, exploitation of wage workers by capitalist commodity production.


Once capitalist commodity production and wage labor are ended, the ware-wolf hunger for surplus value and vampire-like drive for profits resulting from the exploitation of living labor, variable capital by dead labor personified, constant capital will be a factor of production that is excluded from the labor process. Ending exploitation is predicated upon common ownership and workers management of the productive forces and labor process.

Consequently every advance in productive technology will reduce socially necessary labor time, no longer resulting in increasing the rate of surplus value by intensification of labor as means of increasing the degree of exploitation of fewer workers, these changes will reduce the hours of the working day and bringing more workers into the labor processes rather than throwing already employed workers out of work and into the surplus population.

This also means there will be a place, not only for new graduates from schools and colleges, and the education, training and integration of unskilled people of the surplus population currently dependent upon welfare and food stamps into social production and appropriation, but also the transfer and reintegration into Society of prisoners and soldiers, which are presently elements of the surplus population that are appropriated by the State.


Deficits. Government deficits will be eliminated once the banks are nationalised public property. The legislated transference of the major banks and finance institutions, insurance companies and brokerage firms to the public ownership of Society, firing of all existing executives and boards of directors, displaced by the workers that manage these finances already, for wages. This eliminates profit incentives, puts an end to speculation, cancels mortgages and restores the foreclosed to their housing and frees money to small neighborhood businesses and community based cooperatives, makes money available to home and apartments for renovation, rejuvenation and community wide pest and rodent extermination projects. Security and safety to all of humanity and restoration of clean and healthy ecosystems in balanced environments systematically returned to Nature and Society.

Of Ron Paul, gold v. currency. Gold is a commodity. The same as every other commodity, gold in the capacity of State backed money is a utility that has an exchange value. Its use value is of its exchange value. Currency is State issued representations of money. Paper currency and coins are tokens that are stamped as money and used for money for payment and credit. As today most inter and intra business transactions is money in the possession of the banks -M1. M2, M3, fictitious capital and faith in the government debt, `In God We Trust', already transcended by computerized direct deposit and debit-credit. Most business loans are computerized credit and no longer of currency `cash'. Paperless transactions in a computerized economy of debit credit means of circulation is already abolishing the need for money as means of circulation in production transfers of commodities between capitalists at different stages of production as commodity production by wage workers, and also means of payment between capitalists and workers, inasmuch as workers wages are direct deposits and these workers use of credit/debit cards as means of appropriation of means of subsistence.

Still functioning as means of transfer and thus used for purposes of accounting, what had previously been used as money currency is displaced by computerized debit-credit accounting of self-valorisation and self-expansion of capital. Capitalist commodity production on the basis of wage labor is to be phased out by displacing currency by this debit/credit system as the banking system is now public property managed by public employees who are no longer concerned with interests, just as the transferred means of production and distribution are now public property and the labor process managed by the producers themselves are no longer with valorisation, surplus products embodying surplus value, and profits.

Similarly, the distribution of utilities in use as means of production and distribution and in every article of utility for every home can be an accounting system did exclusively by computers, eliminating even the semblance of labor certificates for accounting purposes.

The existence of modern electronics not only make this possible for every home without cost, but the absurdity of buying and selling of it is obvious by robotics displacing human labour resulting in glutted markets, occupied houses and apartments with occupants doing without utilities because residents lack of money to "buy" it, and the simultaneous absurdity of homelessness alongside vacant houses and empty apartments. The existence of the absurdity cries out for its own abolition: Hic Rhodus, hic saltus! Here is the rose, dance here. Public ownership of energy and universal supply of home utilities free to all is a social necessity that calls for its abolition as commodity production for private sector profits.

The co-existence of universal glutted markets of overstocked commodities that cannot be sold, alongside needs that cannot be met is the irrationality of demand/supply schedule predicated upon ability to pay. Food stamp example.


Public ownership of natural resources and the means of production and distribution at the disposal of a society of free and equal producers does away with capitalist commodity production, markets, money and wages. Workers self management of production and distribution by planning labour from each according to his and her ability and fulfillment of all requirements of each individual according to his and her understanding in a society where abundance has displaced scarcity and wasteful surpluses. The standard of universal labor is distribution of socially necessary labor time made universal.

The entire surplus populations, of soldiers and prisoners, sailors and displaced unemployed, and new generations of workers and school graduates are immediately integrated into the labor forces, including into agriculture and industry, but also the sciences and the arts, doctors and other professionals.

Overtime, deliberative planning and management of production and distribution workers will eliminate class ownership and management of production, and with those of the enslaving permanence of occupation in and subordination to the division of labour characteristic of capitalist commodity production by regimented wage labour. Class done away with, and along with it the distinction of mental and manual "jobs", so also away with gender categories.

Capitalistic commodity production division of labour positing of individuals into economic straight jackets are removed through the abolition of commodity by categories of wage labour and all of humanity's universal access to a lifetime of public supported variegated multifaceted education: scientific, artistic, gymnastic, liberal, and technical education and training for each individual according to his and her inclination and family planning choices. The free development of each to be diversified without regard to any permanent "career".

The future like a baby emerges from the womb of the old society and not on its own foundations. The Labor government is the midwife. Legislating the end to the military -industrial complex and the closing of military bases, both abroad and in the States, will redeploy the Army Corps of Engineers and Construction Workers Unions, that is those who do the work, without an officer's corps, from military command, which will be abolished, and fully merged with civilian construction workers union workers, redeployed for civilian purposes only.

Construction companies will be transferred by the Labor government from the private possessions of capitalists to the public possession of the working class. This transfer results in the phasing out of commodity production eliminating profit motive and thereby of unpaid surplus labor exploitation by capitalists. Valorisation is eliminated from the labor process. Directed by social need rather than market, construction workers and engineers will rebuild the entire American infrastructure, power and energy industries, roads, bridges, highways, schools, hospitals, and neighborhoods, including inner cities, eliminating the scars of urban poverty and blight in every neighborhood of every city, county and state of the United States.

Prisoners are presently the housed surplus population that will be rehabilitated and educated into the community and labor by community health based professions and institutions, and trade and training schools, colleges and universities at no cost to this surplus population formerly housed and fed in prisons. Are there now no prisons, no workhouses? No, not one!. Neither does death by hunger or the elements any longer, Scrooge-like, "reduce the surplus population".

To do this effectively, politics will have to be removed from city, county and state governments and replaced by direct election of neighborhood and district councils displacing existing City Councils and County Boards of Supervisors, the existing geographically based states and governments displaced by regional governments, directly elected by the people of the regions, working at average workers wages, responsible to and recallable by the community electorates. These will be working administrative bodies and not talk shops. Campaigns for elective offices will be positive, educative, that is based on proposals and qualifications, competitive but not negative television ads flooding the airwaves.

The depoliticalization of local and regional `government' will also mean the end to political appointments, the abolition of political and economic cronyism. Public health and safety workers, sanitation and so on to be managed by the workers themselves, by the elimination of city, county and state bureaucracies.

Community, district and regional self-management and self-policing. The abolition of existing political police, intelligence officers, and in general the self-policing of neighborhoods for the self-maintenance of `law and order' to enforce decisions of implementation of local and regional governments will displace the existing, repressive armies of police and county sheriff departments. Police, county and state prisons will be closed. No longer is it necessary for the State's army to appropriate the elements of the surplus population and train them to be mercenaries in standing armies.


Frederick Engels:


The State was the official representative of society as a whole; the gathering of it together into a visible embodiment. But it was this only in so far as it was the state of that class which itself represented, for the time being, society as a whole: in ancient times, the state of slave-owning citizens; in the Middle Ages, the feudal lords; in our own time, the bourgeoisie. When at last it becomes the real representative of the whole of society, it renders itself unnecessary. As soon as there is no longer any social class to be held in subjection; as soon as class rule, and the individual struggle for existence based upon our present anarchy in production, with the collisions and excesses arising from these, are removed, nothing more remains to be repressed, and a special repressive force, a state, is no longer necessary. The first act by virtue of which the state really constitutes itself the representative of the whole of society - the taking possession of the means of production in the name of society - this is, at the same time, its last independent act as a state. State interference in social relations becomes, in one domain after another, superfluous, and then dies out of itself; the government of persons is replaced by the administration of things, and by the conduct of processes of production. The state is not "abolished". It dies out.

With the seizing of the means of production by society production of commodities is done away with, and, simultaneously, the mastery of the product over the producer. Anarchy in social production is replaced by systematic, definite organisation. The struggle for individual existence disappears. Then for the first time man, in a certain sense, is finally marked off from the rest of the animal kingdom, and emerges from mere animal conditions of existence into really human ones. The whole sphere of the conditions of life which environ man, and which have hitherto ruled man, now comes under the dominion and control of man who for the first time becomes the real, conscious lord of nature because he has now become master of his own social organisation. The laws of his own social action, hitherto standing face to face with man as laws of nature foreign to, and dominating him, will then be used with full understanding, and so mastered by him. Man's own social organisation, hitherto confronting him as a necessity imposed by nature and history, now becomes the result of his own free action. The extraneous objective forces that have hitherto governed history pass under the control of man himself. Only from that time will man himself, with full consciousness, make his own history - only from that time will the social causes set in movement by him have, in the main and in a constantly growing measure, the results intended by him. It is the humanity's leap from the kingdom of necessity to the kingdom of freedom.
http://www.marxists.org/archive/marx/works/1877/anti-duhring/ch24.htm

Lil Joe

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