The Use-Value of loan capital, which is made available through the banking system, consists of producing profit, and this type of profit is described as interest. The rate of interest is arrived at by competition between lenders and borrowers, or by supply and demand; the lender of loan capital striving to obtain the highest rate of interest for the use of his capital, and the borrower seeking the lowest rate. There is no “natural” rate of interest, nor is there any limit to the rate that can be charged. In the German Weimar Republic during the period of great...
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When we were children around about the time that we were tiring of Ludo and Snakes and Ladders we discovered the board game Monopoly. I can’t remember the details or the rules – something about cards that said such things as “Pass Go, collect £200″, “Go to jail”, “Get out of jail”. In real life it is usually found that going to jail meant the only people to collect money were the lawyers, but whatever the rules were it was good fun building hotels in Park Lane while your opponent was stuck in a hovel in the East End...
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‘You can fool all of the people some of the time . . . and some of the people all of the time . . . but . . . The US occupation forces in Afghanistan have learned a particular lesson from the disaster that is Iraq, and they have learned it big time. In the first, largely contracted out war in history, US and other foreign civilians were brought in to carry out just about every task, from the mundane to those viewed as ‘front-line’. A direct consequence of this strategy was millions of unemployed and very disgruntled...
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Given the competitive nature of capitalism any agreement on trying to deal with climate change was bound to be feeble and inadequate, If we were living in a rationally-organised world, and a problem such as the threat of a too rapid global warming arose, a co-ordinated global response would be organised as a matter of course. If it was generally agreed amongst scientists specialising in the field that the problem had been caused mainly by the burning of fossil fuels, then steps would be taken to cut this back and to phase in alternative sources of energy. The problems...
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Too good to be true We are conditioned to accept the absurdities and contradictions that capitalism throws up. It is possible now to build a world where every single human being is adequately provided with the material means of a full and happy life in a truly meaningful democratic society; where there is no such thing as world hunger; where wars and armaments no longer exist; where all have access to the knowledge and information they desire and where the system of rich and poor, the brutal class system that alienates human beings from one another, is a historical...
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Capitalism and food security – an oxymoron Food security for all the people of the world will only be possible whem the profit motive is taken out of food supply. It’s official! Now more than one billion people are hungry and in desperate need of food aid according to the World Food Programme. To meet this need $6.7 billion will be required this year alone (of which less than half has been raised so far). $6.7 billion equates to less than 0.01 percent of that heaped on the needy banks and corporations during the recent and ongoing financial crisis....
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This year’s Nobel Prize for Economics Every year the Bank of Sweden awards a prize to some economist, often called the Nobel Prize for Economics even though it wasn’t established by the old merchant of death himself. It has in fact only been going since 1968. Usually the prize goes to some obscure economist for work on some obscure aspect of the market economy. Sometimes it goes to a big name such as the Keynesian Paul Samuelson (1970) or the Monetarist Milton Friedman (1976). Even the mad marketeer Baron von Hayek got one, in 1974. Very occasionally it goes...
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How could anyone have seriously argued that the workers ruled in Russia? Incredible as it might seem millions believed that Russia under Stalin and his successors was some sort of “Workers State”. Most – those in and around the official “Communist” parties – thought it was a workers’ paradise, socialism even. A minority – the Trotskyists – wanted to have their cake and eat it: to claim credit for what they saw as Russia’s achievements but to repudiate the things they didn’t like. They called it a “degenerate Workers State”. One of these was the Belgian journalist and academic,...
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The pressure to misinterpret the deaths, as the bodies come back, as nobly purifying is a cynically orchestrated propaganda exercise intended to justify the war. Among the rituals so consoling to our Servants of the People in Westminster is the solemn roll call of the names of recently fatal casualties of the Afghanistan war proceeding to formulaic assurances of grief, of sympathy for family and friends and an assertion, defiant of a mass of disruptive facts, that from the dead will blossom a victory to bring a happier, freer Afghanistan and a safer Britain. All of this will happen,...
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Editorial from the November 2009 issue of the Socialist Standard Twenty years ago this month the Berlin Wall came down, symbolising the end of the division of Europe into Western and Russian spheres of influence. Russia had lost the Cold War and its rulers under Gorbachev had decided they would no longer prop up the puppet regimes Russia had set up in Eastern Europe in accordance with the carve-up that Roosevelt, Churchill and Stalin had agreed when they had met in Yalta in February 1945. From this point of view, it symbolised a shift in imperialist power politics. Worse...
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