:: INTERNATIONAL.~. .. ·.· SOCIALIST REVIEW

Two Concepts of Socialist Unity • Boom Without Bust? • The High and the Mighty • Stalin as a Theoretician by Leon Trotsky •

Early Years of American Communism by James P. Cannon A Political Novel by Shane Mage

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to forsake .principles. The socialist move­ ment, as it has developed historically, has often enough exhihited both ,phenom­ ena, which are reany only two sides INTERNATIONAL of a single weakness - withdrawal 'from active struggle for the revolution­ ary goal of socialism. But it does not SOCIALIST REVIEW appear to us that F.H.T. is discussing sectarianism as it is understood by the revolutionary socialist movement. Vol. 18 No.1 Winter 1957 Whole No. 138 If we understand F.H.T. correC'tly, he place~,the label "sectarianism" on what we consider to be some of the CONTENTS basic theoretical conclusions of Marx­ ism. For example, our correspondent considers such concepts as "dictatorship Two Concepts of Socialist Unity 3 of the proletariat" and "vanguard par­ by Murry Weiss ty" to be "rigid dogmas." In our view "diC'tatorship of the proletariat" is all American Prosperity Undermines Itse1f 11 exact term for the rule of the work­ by Arne Swabeck ing class as against the rule of the capitalist class. If you hold the rule The High and the Mighty 19 of the working class to be a rigid dog­ A Review Article on the "Power Elite" ma, then through whose rule do you expect to achieve socialism? Obviously by William F. Warde through the rule of the capitalist class Early Years of the American Communist Movement 24 - by appealing to their inteUigence and humanitarianism. But that concept Bt"fore the Sixth Congress was not born with the atomic age. It by James P. Cannon was a utopian dogma before the days of Marx and Engels. Stalin as a Theoretician 26 Similarly wit;h the c'oncept of the .Ground nent, or - Stalin Deepens Marx .. and Engels "vanguard party." This is an exact term The Formulas of Marx and the Audacity of Ignorance for the theory of socialists getting to­ by Leon Trotsky gether in a political party capable of subordinating its internal differences Books 33 through majority rule so that it can A Political Novel act in the class struggle as a cohesive force. The opposing theories offer a hy Shane Mage party that either :stifles minority opin­ ion or grades into anarchism where ef- (Continued on page 35) of a materialism devoid of humanism and of rigid dogmas of "dictatorships FromOur Readers of the proletariat," "vanguard party," INTERNATIONAL SOCIALIST We received the foll'owing interesting etc. REVIEW is published quarterly by the International Socialist Re­ letter from one of our readers after In your socialism, you certainly have view Publishing Associ~tion. he noticed the International Socialist the support of many more Americans Review on a. newsstand for 'the first than read your press. However, in your Editor: J os·eph Hansen time. sectarianism and involvement in and Editor: preoccupation with past inter-party Business Manager: Frances James I· recently picked up a copy of your struggles, you just leave thousands and Managing Editor: paper, attra~tedby the title. I don't hundreds of thousands 0"1 people behind think I had ever read the Fourth Inter­ and untouched. Duncan Ferguson national. Fra ternally, ADDRESS communications and I found the most readable article to F. H.'T. subscriptions to 116 University be the "To Our Readers" column. A~­ * * ... Place, N ew York 3, New York. tually the bulk of the magazine seems We appreciate F.H.T.'s interest in the Telephone: ALgonquin 5-7460 . .petrified in the sectarian past and, un­ success of soC'ialism in America and fortunately, present of family quarrels. the good will he ·displayed in telling us SUBSCRIPTION RATES: U.S.A. It seems to me that socialism must be about his first reaction to the Inter­ ,and Latin America, $1.25 a year .presented from a fresh new viewpoint, nationad Socialist Review. These pro­ (4 issues); single copies, 35c.; divorced from the Lenin's, Trotsky's, vide a common ground for fruitful dis­ bundles, 25c. a copy for 5 copies and Stalin's. American workers are cussion of the problem he suggests and up. Foreign and Canada, $1.50 not interested in a worship of icons for our consideration., a year (4 issues); single copies, and relics. And with all due respect First of all', we readily admit that 35c.; bundles, 26c. a copy for 5 to Trotsky (whom time has proven cor­ recognition of the desirability of so­ copies and up. rect in many of his judgments) there cialism does not confer immunity to the Reentered as seC'ond class matter isn't much sense to this narrow sec­ enormous pressures that capitalist so­ tarian approach. April 20, 1954,at the Post Office ciety is capable of exerting. Some so­ at New York, N. Y., under the I should think that both the atomic cialists, in reac'tion to these pressures, Act of March 3, 1879. age and the ret'ent revelations (at least tend to retreat within a sectarian shell. r~centto many) prove the inadequacy The opportunistic way of esca·ping is What Basis for Regroupment?

mass struggle. The goal of this struggle is the overthrow of the Two Concepts Soviet bureaucracy and the resto­ ration of workers democracy on the foundations of the socialized property forms established by the Of Socialist Unity October 1917 revolution. This means that the forces which gave rise to the crisis of By Murry Weiss Stalinism and posed the problem The question of the regroupment revolutionary motion of the Soviet of regroupment can be expected of revolutionary socialist forces and East European working class to continue to operate with even has been posed before the radical has already resulted in the top­ greater power. At the same time workers in the U.S. for close to pling of the Stalin cult - the world capitalism is suffering all one year - that is, since the main ideological pillar in the sys­ the agonies of a dying social sys­ "rwentieth Congress of the Com­ tem of bureaucratic rule in the tem. Round after round of colo­ munist Party of the Soviet Union Soviet Union. With the revelations nial uprisings is undermining im­ disclosed a severe crisis in Soviet emanating from the Twentieth perialism and preparing the con­ s'ociety and precipitated crises in Congress and the revolutionary ditions for a revolutionary up­ the Communist parties through­ ferment in Eastern Europe - surge in the most powerful cen­ out the world. Poznan in June 1956, the October ters of world capitalism. The cri­ sis of capitalism, no less than the The discussion on regroupment days in Poland, the October-No­ vember insurrection in Hungary crisis of Stalinism, sharply poses ~bviouslysignifies a profoundly the need for building revolution­ altered relation forces among - the bureaucratic equilibrium of of ary socialist parties. the three basic tendencies in the the Communist parties throughout international working ,class move­ the world was irreparably dis.. rupted. A chronic crisis developed The Significance of Program ment -..:... Stalinism, Social Demo­ cracy and revolutionary Marxism. in all these parties. In turn, thiS' 'We think the circumstances call It is a discussion that can lead to altered drastically the situation in for a thorough discussion of pro­ far-reaching progressive changes the working class movement as a gram as the prelude to organiza­ in the political life of the advanced whole. The crisis of Stalinism tional steps leading towards ac­ section of the working class. raised all basic questions of social. tual regroupment. The question of ist program and practice for mil­ program, in our opinion, is deci­ is therefore timely to consider It lions of Communist workers. In sive. Mere unity, without a cor­ the following questions: (1) Pre­ all radical organizations it re­ rect program,can be just as cata­ cisely what do the various ten­ opened the question of the ,char­ strophic for the fate of socialism dencies in the working class mean acter of Stalinism, th~prospects as working class disunity. History by regroupment? (2) In what di­ for a socialist solution to the crisis offers many examples of powerful rection are these tendencies and in the Soviet orbit and all the and unified labor organizations and their various sub-groups moving problems of building revoJ.utionary political parties which, because of in their actual pol~ticalevolution? socialist parties in capitaHst false programs, suffered devas­ Our App'roach to Regroupment countries. ''Closed'' programmatic ta ting defeats. A brief comment is in order on questions which had become fixed A Marxist program is decisive the approach of the American into traditional positions of the because it embodies the distilled Trotskyists to the problem of revo­ various tendencies were unlocked experience of the international lutionary socialist regroupment so and became subject to re-evalua- working class in centuries of strug­ that the reader may bear in mind tion. ' gle against capitalism; it' organ­ the standpoint from which we eval­ In our opinion the revolutionary izes and systematizes our under­ uate Ithe positions of other ten­ upsurge of the Soviet orbit work­ standing of the lessons of these dencies. ing class is in its first stages. The struggles; it assimilates the les­ We believe that the discussion struggle is bound to spread and sons of the first victorious work­ on regroupment arises primarily become more intense. The work,.. ing cJass revolution against capi­ from the mass action of the work­ ing ,class and youth in the Soviet talism in Russia and the decades ing class in the Soviet orbit. The Union itself are heading for open of struggle to defend the Soviet Wiater 19~7 - a tJnion against :imperiaiist attack ferences 'between revolutiO'nary But in this case the very forma­ as well as struggle against Stalin­ Marxism on the one hand and tion of a La/bor Party would sig­ ist degeneration of the first work-­ Stalinism and Social Democracy on nify the enormous advance of the ers state. The Marxist program in­ the other. On thecO'ntrary, the programmatic principle of inde .. corporates the invaluable and bit­ task is to regroup the' radical pendent working dass PO'litics. terly learned lessons of the vic­ workers arO'und the program of In the present situation,· how­ tory of fascism over the German, revolutionary Marxism and there­ ever, the immediate prO'spect for Italian and Spanish workers; it en­ by create the class-conscious van­ such a Labor Party does not yet ables us to ·grasp the significance g"uard that will enter the main­ exist. And certainly the necessary of the vast upheavals .in the colo­ stream of the wO'rking class to conditions for such a development ;nial world and their pla·ce in strug­ bring militant socialist conscious­ will not, in our opinion, be Ibrought gle against world capitalism. ness to its struggle. into existence tby merely uniting For the American workers a the various radical formations on The Next SteP Marxist program is decisive be­ an undefined and confused pro­ cause the problem of problems in How is this task to be carried gram, or worse yet, on the pro­ this country is to free the Amer­ O'ut? What are the next steps that gram of the very tendencies - ican -labor movement from the should be taken in view of the deep Social Democracy and Stalinism __ blight of class collaborationism in ferment in the radical movement? whO'se 'bankruptcy has proyoked the e'conomic and political fields. In its statement on "Regroupment the regroupment discussion. A struggle for a Marxist program O'f Revolutionary Socialist Forces Moreover, we will find that the in the U.S. is not, as some depict in the United States," pu'blished in proPO'sals· fO'r "unity first, discus­ it, the preocc'upation of sectarian the Militant, Jan. 11, the National sion of program later," have a dogmatists and hair-splitters; it is CO'mmittee of the Socialist Work­ definite prO'grammatic content. a life and' death matter for the ers Party poses the problem as fol­ The unity-first advocates often class~consciousvanguard to wage IO'ws: try to make it appear that it is this struggle and to pit the Marx­ "In the next stage of the discussion nlerely a question of putting aside ist program of class-struggle so­ [on regroupment] two different ways the "old divisive issues." But on cialism against the pro-capitalist of proceeding are counterposed: (1) closer examination it turns out ideology of the class-collaboration­ Shall we first attempt a generall unifi­ that programmatic conditions, and cation, .leaving the discussion and clari­ even ultimatums, are closely tied ist labor bureaucracy. fication of programmatic questions for in with their proposals for unity. Radical workers fighting for a a later time? Or (2) shaH we first ex­ plore the different views, ~larifythe We think it is wiser to discuss .socialist society are divided by pro­ various positions, and try to reach agree­ q'uestions of program under con­ gram. The basic dividing line is ment and unification on at least the ditions free of such organizatiO'n­ class struggle versus ,class colla­ minimum fundamentals? It seems to al pressures and maneuvers, with boration, i.e., revolutionary Marx­ us that the latter procedure is ,prefer­ able and that the serious elements tak­ all opinions openly expressed. iSlm versus· reformis'm. 'The two ing part in the discussion will agree .N O'Wlet us turn to the evolution maj or proponents of dass ,colla­ that programmatic issues have to be of the different positions on re­ boration are Stalinism and Social considered and clarified before durable organizational conclusions can b e grO'upment and the political ten­ Democracy. Fbr, aU the difference dencies they express. between these two tendencies, the reached." theory and practice of class col­ TO' 'be sure, there undoubtedly The Communist Party laboration is the one' thing they will be situations where political After the first impact of the have in common. In the case of organization appears to take· pre­ Twentieth Congress and even be­ the Social Democracy, class col­ ·cedence O'ver clarifica tion of pro­ fore the Khrushchev revelations labO'ratiO'n O'perates thrO'ugh alar­ grammatic questiO'ns. If, for e~­ became public, Eugene Dennis, in bor bureaucracy wedd,ed in its ma­ ample, a mass politkal breakaway his repO'rt· to the April 28-May 1 terial privileges and PO'litical ideol­ from capitalist politics were tak­ meeting of the National Commit­ ogy to the capitalist system. In the ing place in the U.S. and the for­ tee of the Communist Party of the case of Stalinism, subO'rdinatiO'n to' matiO'n of a Labor ;Party were on U.S., said: an O'Ppressive ·bureaucraticcaste the O'rder of the day, revolutiO'n­ in the SO'viet Union has led the ary socialists would participate in "N ot the least important of the new· and serious problems we should concern CO'mmunist parties to advO'cate the organization of such a party ourselves with as we probe and' re-as­ their own 'brand of class cO'llabora­ despite the inadequacy 'Or falsity sess the present status 0'I our Party - tiO'n - with the "prO'gressive" and of its prO'gram. The struggle fO'r is the question that kee·ps coming to the forefront in respe~tto the possibility "lib~ral"capitalists,O'f cO'urse. The a revolutiO'nary socialist regroup­ of organizing a new and broader mass task O'f regrO'upment, in O'ur view, ment would then take place within party of socialism. ..• This of course does nO't cO'nsist .in ignO'ring or wa­ the ,arena of such a mass political does not call f.or any move to form a tering dO'wn the prO'grammatic dif- party of the American workers. new party of socialism prematurely •••

4 Winter 195t Considerable headway can surely be Gates, who, by this time, had into our own organization. This nssump­ made in this direction in the next year emerged as a faction in the CP tion was always ine'orrect and should or two. But this will be a process. It he replaced :by a serious and painstak­ will necessitate sharp political' and ideo­ characterized by a more outspoken ing effort to assist in the eventual de­ logical struggles, as well as collec­ criticism ·of the Kremlin. While ve'lopment of the broadest possible unity tive participation with the bulk of the the Gates faction, along with the of all socialist-minded elements. Such socialist-minded elements in united rest of the GP leadership, has a development canby no means be ex­ front activity in concert with other· failed up to now to probe the fun­ pected as a quick and easy solution to progressive forces." the -common problems of all ·socialist damental questions regarding the groupings, or to the sperific problems The fact that this was no mere roots of Stalinism, it certainly has of our own Party." routine comment was established reflected the feeling of revulsion shortly by the opening of a series -against the Kremlin oligarchy in Differences on Regrol1pment of symposiums and de'bates on so­ the ranks of the party. Side by This agreed-upon formulation in cialist program in different parts side with this tendency at least to the Draft Resolution merely cov­ of the ·country in which the repre­ loosen, if not break, the ties with ered ,up the actual disagreements sentatives of the Communist Par­ the Kremlin, the Gates group has between the two factions in the ty appeared on the same platform displayed a disposition to accen­ leader.ship, headed respectively by with representatives of other ten­ tuate all the reformist and c1ass­ Gates and William Z. Foster. In dencies in the radical movement. collaborationist dogmas implicit in the October 19,5,6 issue of Pol~tical To he sure the CP leaders in~Stalinism. In this respect it ap­ Affair.~Foster directs the follow­ clined,at first, to engage in such pears to propose that the crisis ing attack at the Gates position: discussions primarily with the So­ in the CP be overcome by a rec­ cial Democrats and pacifists, but onciliation with the American "The Right [Gates group] also seized it is notahle that they did in time labor bureaucracy and Social upon Comrade Dennis' proposal at the April meeting of the National' Com­ agree to include representatives of Democ'racy. Nevertheless, the mittee to the effect that the Party the revolutionary socialist position Gates group should be viewed as should 'look forward - to the eventual in the.se discussions. an important expression of the f.ormation of a 'new mass party of In any case the Twentieth Con­ break-up of StaUnist monolithism Socialism' through a merger of the Communist Party and other Left groups gress impelled the, GP not only to in ~heAmerican GP. Undoubtedly in this country... The Rights, by giv­ open an internal discussion on the the~e.'are many in the ranks of ing the whole project an air ot im­ question of the Stalin cult, it was the p-arty who look to it for lead­ mediate possibility, also used this ,slo­ also compelled to redefine its at­ ership in breaking with Stalinism gan in a liquidationist manner. For titude and relations to the other ina revolutionary socialist direc­ there would be no .point in rebuilding'the Communist Party if it were soon to be political tendencies in the work­ tion. The most hopeful aspect of replae'ed by a new and glittering mass ing class. This was a most welcome the Gates :group in this respect is party." and heartening development. that it has been the most insist.. The Khrushchev revelations ent on maintaining the discussion Ga tes retorted to this in the prompted the Daily Worker edi­ within the CP as well as partici­ November '1956 issue of Political tors to emphasize strongly the re­ pating in the interchange of views Affairs: groupment issue. In an editorial, in the radic~lmovement as a "I do not agree with those who ·say June 6, on "The Khrushchev whole. the slogan of a new, united party of Speech" they said: Socialism should ,be de-emphasized and The Gates group's position 'On put on the shelf. In actuality this would "The present situation in our opin­ the regroupment issue found its mean to discard it and not to work ion, underlines the urgency of the out­ way into the draft resoluti'On of seriously for it. Of course it will not look put forward by Eugene Dennis at the Communi-st Party ,Ne, not come about overnight, but we must be the National Committee meeting of the .foremost in working for socialist Communist Party of a new 'mass party without some modification of unity." . of socialism in our country' and the course. The Draft Resolution, is­ need to 'create conditions for' such a sued Sept. 13, states: Apparently in the. heat of the necessary and historic develop'ment.' We factional struggle within'the CP, believe that the situation calls for an "For some months our Party has had Foster found that his frontal at­ aU-out effort and co-o.peration of a11 under consideration the question pre­ tack on this point met with con­ socialist-minded forces, in order to bring sented in Eugene Dennis' report to the sider.able disfa vor in the r8lIlks. about such a new party without unneces­ National Committee meeting last April, sary delay, and as quickly as circum­ of our attitude towards the perspective Whereupon he Ibeat a retreat. In stances will permit." of a united party of ·socialism in this the C'P 'Dis'cussion Bulletin No.5, country. The new developments point issued Jan. 15, Foster makes this The Gates Group to a certain revitalization and growth revealing remark: It should be noted that this em­ of socialist-oriented and pro-Marxist phatic formulation of the question currents and groupings. In the past we "Another basic lesson .newly learned tended to assume that all that was !by practicaUy our entire Party is that ca1me froIn the group of Daily worth while in other socialist currents 'henceforth we must take a more co­ Worker editors headed by John and groupings would inevitably. flow operative attitude towards other Left

Winter 195r I groupings. This has been a serious ing towards a new, unified social­ national leadership for their striv­ weakness in the past. Our Party will ist party two basic things: ings to' get back to the revolution­ - has in fact - abandoned its erst­ ary path. The rank and file GPers while conception, a~tualor implied, that (1) They see a means for as.. it has a 'monopoly' upon the propa­ suring a genuine 'break with Sta,. ha ve a generally low opinion of gation of socialism in this country. It linism and the bureaucratic dom .. all the leaders and see inadequacy must also orient upon the expectation of and grave faults in both groups. eventually merging with some of these ination of the Kremlin over the groups into a United Party of Socialism. Communist parties; and (2) they This has resulted in the appear­ Early tendencies to look upon such a see a means for continuing the ance, on a local basis, of a number development as an immediate ·possibility discussion within the CP and of groups in the secondary leader­ have been at least partly liquidated. among all radical organizations. ship and the rank and file that Only a political novice could ignore the are seeking to work out the basic political, unifying effect in the Party Foster's barbs at the Gates programmatic problems, acquire .of this new attitude towards the broad group on the question of regroup.. Left, which is being almost unanimous­ ment are not directed against the an understanding of how Stalin.. ly accepted." (Our :emphasis) Social Democratic and "liquida­ ism arose,and determine how revo­ For a time, as the Foster fac­ tionist" tendencies implicit in the lutionary workers ·can reorient in this crisis. tion pressed an offensive against Ga tes position. On all fundamen .. the Gates group, there was a ton.. tal questions which touch on at .. This process requires time and ing down in the Daily Worker of titude towards reformist, class col .. patience. The break-up of Stalin.­ any mention of a "new mass party laboration and the labor bureau .. is,m and the soeialist regroupment of Socialism." More recently, on cracy, Foster is at one with Gates. of worker-revolutionists who ad­ the eve of the Communist Party The leaders of :both factions favor hered to it is a painful and t~r­ ,convention, Gates again expressed support of the Democratic Party tuous process. It will vary in form himself on this question in a man­ and "multi-class coalition" politics. and tempo from country tocoun­ ner which would indicate that he Neither Gates nor Foster have try. In the U.S., where the pres.. feels considera,ble confidence in a broken with Stalinist people's sure of prosperity-reaction COlli­ popular reception for his position frontism in favor of the position tinues to be dominant, the process on regroupment in the party of· class struggle socialism. confronts' additional and excep­ ranks. In the Feb. 11 W orlcer he Foster's antagonism to the re­ tional difficulties. A'bove all the says: groupment idea stems from 'his process requires the continuation determination to restore of the discussion and its advance.. "There are many differences among Stalinist forces on the Left, serious and impor­ monolith ism in the Communist ment to a higher level. That is the tant. In the first place, we need to Party. This determination has main point that the rank and file discuss these differences with each been strengthened by the recent of the Co.mmunist Party appear other, argue things out; we mus~also "Iback to Stalinism" declarations to be 'grasping and that is why striye to work tog'ether and act to­ of Khrushchev and Co. Foster they favor the idea of regroup.. gether on tho~ethings about which we ment, however it may have been ~anagree, and in these discussions to­ wants to end the crisis within the ,gether, working together, acting to­ OP by reimposing the rule of the formulated. gether, we will be able to achieve - gag on all criticis,m and discussion. The greatest help that can be finaHy - organizational unity on a His appeal to the workers in the given to' the ·continuation and ma­ socialist program ... But if we cannot learn: to respect the differences within party against Gates' liquidation.. turing of the discussion within the our ranks in the Communist party, we ism is purely demagogic. Yet many Communist iParty is to advance will never learn to res'pect the opin­ workers in the party, according to the broader discussion within the ions of others, outside our ranks." all evidence, recoil from the Gates radical movement as a whole. The group and tend toward the Fos­ broad discussion can help prevent The Foster Group terites, precisely because of the the hard-shelled Stalinists from \Vhy is the idea of regroupment fear that Gates and his' associates abruptly reimposing their bureau­ so popular in the ranks of the want to break with Stalinism only cratic regime on the CPo It can Communist Party? We should not to lead them into the swa.mp of also help considera'bly to provide discount the appeal it has for such State Department "socialism." .on nourishment to elements within elements that would like to return the other hand, these same work­ both the Foster and Gates groups to the days when the CP had close ers display a keen hostility to .. who are seeking a way to revolu­ relations with the labor bureaucra­ wards 'Foster's thinly disguised tionary Marxist conclusions. In ad.. cy and the capitalist Hberals. Such plans to turn back the clock and dition the broad, organized and in­ elements probably think of re­ re-establish the power of the oid clusive discussion provides an groupment.in that sense. But at a bureaucratic machine in the party. arena for the thousands of revolu­ deeper level, the workers in the We see, therefore, that the de­ tionary elements who have left party who ai'e striving towards' a voted revO'lutionary militants with­ the Communist Party during the revolutionary socialist solution to in the CP have been unable thus recent years and fo~ additional the cFisis, see in the idea of orient.. far to find a focal point in the thousands who were in the periph..

Winter 195~ ery of the American Stalinist Socialist Party groups which engage SP-SDF Merger in joint activity with the Communist movement. i. Party or any of its affiliates." This pdlicy of Thomas and the We must therefore regard Fos­ Socialist Party developed against ter's policy as the greatest threat On Nov. 15, when a ,bitter dis.. the background of' the approach­ to the progressive outcome of a pute on the Hungarian revolution ing merger between the SP and dis'cussion on revolutionary. social­ was raging in the Communist Par­ the Social Democratic Federation ist regroupment. Foster's policy, ty, the NBC took note of a pr()­ which was consummated in New however, is not the only obstacle jected symposium in Detroit that York, Jan. 18-19, on the program to the ,discussion that has ap­ was to include N orman Thomas and conditions of the right wing peared. A threat has also appeared and a representative of the CP. Social Democrats. The political from the direction of the Amer­ A motion was passed. character of this merger and its ican Social Democracy. "To delegate Comrade Myers to con­ relation to the struggle for a rev­ vey to Norman Thomas the NEC feel­ olutionary socialist regroupment, Thomas Walks Out ing that it is unwise for Socialist Party is clearly revealed in the docu­ After the first impact of the speakers to appear on 'panels with ments of the SP left wing, organ­ Congress Com­ ·spokesmen for the Communist Party Twentieth of the and various Trotskyite groups." ized in the Committee for a So­ munist Party of the Soviet Union cialist Program. The 'left wing had registered on the conscious­ Thomas then publicly .withdrew mustered one third of the Social­ ness of the radical workers in the from the speakers' list. Moreover, ist Party votes against the merger. U.S., an i.mportant meeting took he wrote an article for the De­ (The vote was 200 in favor to 100 place May 27 in New York City cember'Socialist Call in which he against.) a t Carnegie Hall at which both laid down the conditions for unity In a mimeographed letter, Nov. Norman Thomas and Eugene Den­ with anyone who was "tainted" 3, David McReynolds, leader of nis were present ()n the platform. by previous association with both the SP left wing, traced the strug­ This meeting, while excluding "Stalinists and Trotskyists." In gle he had waged to promote unity revolutionary socialist representa­ this article Thomas said that while with the SD~'"on "a 'more social­ tion from the speakers' list. was he was "inclined to accept the be­ ist statement than the 1955 'mem­ the beginning of the process of lated sincerity of A'merican Com- orandum' on merger." McReynolds interradical organization discus- ,munists who, since Khrushchev said he "made every effort in this sion.. , gave them permission for criti­ direction," but in the end "was fi­ At the May 15, 1956 meeting. cism, have gone beyond him in nally convinced that merger with of the Nlational Action Committee their reaction to Soviet interven­ the SD F" on the basis of the 19'55 of the Socialist Party the' follow­ tion in Hungary" he would "want memorandum "would not be so­ ing discussion was noted in the a period .of probation to put the cialist unity, and would be a block minutes: sincerity of Communist reforma­ to socialist uni~y."(Emphasis in tion . to the test." He spelled out original) "It was reported that the Fellowship exaetly what he meant by "ref­ McReynolds therewith resigned of Reconciliation was sponsoring a ormation." "We ·must insist," he meeting at Carnegie Han at which from the unity negotiations com­ speakers would include Norman Thomas, declared, "that' reformed Commun­ miltteein order to carryon his Eugene Dennis, General Secretary of ists, Stalinists and Trotskyists, programmatic fight against the th.e Communist Party, A. J. Muste and must repudiate doctrines and prac­ merger. WiUiam DuBois. There was discussion tices set up not by Stalin but by In his Nov. 3 'letter :McReynolds as to th~advisability of cooperating in Lenin." programs which give an audience to said: Communist Party spokesmen." Thus the discussion on regroup­ "To accept the shamefully inadequate ment was confronted with two ac­ 'memoranda' would be politically wrong. By the ibeginning of September, tions by the Socialist Party lead­ I am not a political purist. We must 1956 the "discussion as to advis­ ership: (1) A ban on discussion compromise . at times. But there are ability" had already led to outright with representatives of the Com­ some ,things you do not compromise. opposition to such activities. At You do not - ever - compromise so­ munist Party, any affiliates of the cialist support of democracy. But the Sept. 1-2· meeting of the Na­ Conurlunist Party, ·any represen­ merger with the SDF, which has given tional Executive Committee of the tative of the Socialist Workers silent (and at times active) support Socialist Party it was reported Party '(the American Trotsky­ to the totalitarian liberals, means just that the Los Angeles Local was ists), or with any groups that had such compromise. You 'do not - ever ""'7'" scheduling a debate with Com­ compromise socialist opposition to mili­ the previously been in the CP or SWP. tarism and imperialism. But merger munist Party. The NEC passed the (2) An ultimatum to these or- with the SDF means full support for following motion: ganizations demanding that they the worst, most shameful policies of renounce Lenin and Leninism as a the State Dept.. and J·ohn Foster Dul­ "That it is the feeling' of the NEC les." (Our emphasis) that the cause of American sQcialism pre-condition for any discussion ds not advanced by the a(~'tionsof the of unity. Another aspect of the Me,moran- Winter 1957 and snppo'rt unity," Mc'Reynolds dum of Under~tandingwas later the State Department socialists; spelled out by Louis P. Goldberg, support of the labor bureaucracy's said, "It is politically meaningless Chairman of the SDF, at the,merg. Democratic Party politics; support for us to leave the Party. Where er convention. "We are organizing of the Second International pro­ would we go?" He expressed the a new political party," Goldberg graIn and organization including curious notion that "without ques­ explained, "which is pledged by all "socialists in power" and, there. tion it l the merger] will be a blow our unity agreement not to ,rush fore, support of the imperialist to the left wing of the Party. But rashly into the electural field." He policy pursued by these "social­ I believe it will strengthen the concretized this delicate under­ ists"; a ban on all discussion with Party as a whole." Accordingly he statement by the following reas­ any ol~ganizationin the radical slipped into referring to "the suring com'ment: "The expression movement that does not get vahie of unity." of fear in some corners that a new "cleared" by renouncing Leninism. In this letter McReynolds pro­ socialist party would interfere We cannot, therefore, consider poses to a'bandon altogether the with Ilabor's political action is un­ this unification as helpful to a rev­ basic fight against the merger: founded. Carrying out our docu. olutionary socialist regroupment. ment on political action, we will On the contrary, it is a calculated "Since it stHI seems quite possible to not nominate for public office can­ blow at such a regroup1ment. It block unity at the convention itself I want to go into some detail as to why didates in opposition to those en. .replaces the necessary process of we not only 'should be united in re­ dorsed by the legitimate labor programmatic discussion with ul­ maining in the Party but shou'ld now movement." timatums to capitulate to State support unity with the SDF and make The National Executive Commit­ Department socialism. It obstructs no attempt to blol1t it." (Our emphasis) tee of the merged SP.SDF in­ the efforts of radical workers to dicated its attitude towards par. free themselves from the hopeless The first reason he gave to ticipation in the discussion on re­ morass of capitalist politics. It can abandon the fight is the follow­ group'ment in a· motion passed at offer no acceptable way out to the ing: its Jan. 20 meeting: workers caught in the crisis of "If we 'sabotage' now then all the en­ Stalinism. thusiasm generated among right-wing "That no member, branch or local socialist elements will be dashed to the shaH enter into any joint activity or The Coll~pseof SP Left Wing ground. In the long run this will do us project with any other political organ­ no good. On the other hand, the left ization without the express ,permission All the more regrettable is the fact that David McReynolds and a wing socialist community wouldn't see or direction of the NEC or NAC, ex~pt that any great principled stand had been as specifically provided in Section 6 of n umber of other leaders of the taken, but would only assume we were the Memorandum of Understanding in SP left wing defaulted on their being sectarian." the report on political perspectives." pledge to carry out, to the very McReynolds apparently forgot Section 6 of the "Memorandum" end, a principled fight against this obstruction to revolutionary that in his Nov. 3 letter he had urges "members of the United said, "Comrades, do, not feel you Party" who are in "liberal-labor socialist unity. In his Nov. 3 1letter McReynolds are being sectarian if you reject organizations" that generally sup­ these merger proposals. You are port the Democratic Party, "to said: "I propose to fight the issue every step of the way. The mod. simply being a good socialist." stress the importance of independ. (Emphasis in original) ent political· action." However, eration we excercised at the Party section 7 says, "it shall be the convention in June, when we were Another reason McReynolds privilege of individual state and working out, with our fellow so­ gave in his Jan. 9 letter for switch· local organizations to allow their cialists, ways of building the Par­ ing from opposition to support of individual members· to support ty - that ·moderation will certain. SP-SDF unity was even more re· candidates for public office who ly' not be evident inJ anuary when vealing than the first: ha ve ,been endorsed by liberal and we will be meeting with non·so­ labor groups." Thus, while deny­ cialist and undemocratic ele­ "It is true that if we were in con· ments." trol of the Party we would doubtless ing freedom of SP-SDF branches formulate a better and more ;principled to participate in either discussions He closed this letter with the basis for uniting the socia'list move­ or. united actions with other work. emphatic promise: "We shall ment. However weare not in control ing class organizations, the NEe never accept the 'memoranda' as of the Party. We are a minority. We the basis for unity." (Emphasis in are ·strong enough as a minority to provides full leeway for labor bu­ block unity or to s'plit the Party - but reaucrats and others to act with­ original) a minority that is that strong betrays out restriction in support of cap­ Unfortunately, this promise was the socialist movement if it gives way italist parties and politicians. not kept. Instead, after the SP left to emotional manifestoes. We are quite wing had lost the referendum, in strong enough - PROVIDED WE ALL Is sum, the SP .S!DF merger has REMAFN IN THE PARTY - to bring the following p'Olitical basis: ac­ a letter dated Jan. 9, 1957, "urging victory out of defeat and to see to it ceptance of the foreign policy 'of every comrade remain in the Party that the present, unity convention is one

I Winter 1957 step toward a really effective, power­ with "non-socialist and undemo­ in New York: fully organized democratic socialist cratic elements" than the June movement." at convention of the SP when they "The movement must not take as its 'official position 'the position that the An About Face felt they were discussIng with present totalitarian regimes in Russia In this one brief paragraph Mc­ comrades. a.nd the satellites represent a socialist Reynolds reverses everything he or working-class state.' Individuals or The Role of Shach tman tendencies have the right to hold it had been saying during the entire inside, 'but the movement itself cannot previous struggle - without at­ Another link in this chain of expect to represent a fruitful unity if tempting the slightest explanation capitu'lation to the right wing So­ it is committed to any such ,proposi. for the switch. He refers to a cial Democrats is provided by the 'tion.' In this case it would :be 'doomed "more principled" basis for unity, Independent Socialist League, in advance to failure' in the American labor movement." as if it were a question of mere headed by Max Shachtman. degree rather than the unbridge­ In the, Jan. 9 letter proposing A second anu derivative condi­ capitulation, McReynolds sa1d: able gulf between the principled tion is reported in the same ar­ position of revolutionary socialism have also heen relieved following ticle: and the principles of "socialists" "I recent talks, with Max Shachtman sin~e who give "full support for the it seems the ISL (Independent Social­ "The working class must not feel worst, most shameful policies of ist League) looks upon unity with the 'that this regrouping is a defender or the State Dept. and John Foster ,8DF as a first step toward are-built 'apologist for the totalitarian regime in Dulles." He forgets he had socialist movement under the banner Russia, or is committed to defending it that of the Socialist Party and will there­ persistently characterized the and helping it to victory, including mili­ fore refrain from that sectarian cross­ tary victory, in any conflie't it wages.' " merger proposal as a "block to 80- fire I had feared. In fact I thought it cialist unity" and replaces that rather ironic that when I last met with with the thought that if the mi­ Shachtman to urge the ISL to suspend Everybody Freeze! Except.•• judgment on the merger since I thought nority used its strength to block it might not prove as disastrous as I We will not deal with the this kind of unity it would be had earlier expected, that before I could many 'distortions and provocative guilty of giving way to "emotion­ even set forth this view of things, Com­ misrepresentations contained in al manifestoes." He forgets his rade Shachtman was saying how impor­ Shachtman's version of the posi­ very good formulations ,on how tant it was that the 'left-wing not leave tion of radical organizations on the party in a huff, but remain and socialists "never" compromise help make the best of the unity." the character and defense of the basic principles and replaces it Soviet Union. It is sufficient to with the proposition that unity Shachtman has since explained point out that he lumps together with those who have abandoned the basis for his encouraging the the diametrically opposed Stalin­ these principles is the highest law SP left wing to abandon its pro­ ist an'd Trotskyist positions on of conduct for socialists. grammatic struggle against their the question. The point here is The collapse of the left wing merger. He calls on all radical or­ Shachtman's position on regroup­ leadership was so complete that ganizations to merge with the SP­ irient. they 'didn't even come through on SDF as the ideal vehicle for build­ The que s t ion i'm'mediately a promise' to make a last-ditch ing amass socialist 'movement in arises: Having ruled out an offi­ fight at the merger convention on the U.S. He urges that aN posi­ cial position calling Russia a de­ the issue of the party name. The tions on the "Russian Question" generated workers state and de .. name -"Socialist Party" McRey­ be "frozen" in the united party. fending it, 'despite bureaucratic de­ nolds said in his Jan. 9 letter, "is Since its program on the "Russian formations, from imperialist at­ one of the few important assets Question" would affect the basic tack aimed at restoring the sys.. the Party has left... This mat­ character of the party and its at­ tern of capitalism, what position ter is sufficiently important that titude towards the foreign policy does Shachtman believe the party I think it might very well be bet­ of American capitalism, it is in­ should take officially? ter - despite all that I have said teresting -to inquire as to what From his whole line of con­ about the value of unity -to ShachtmrJll believes the official duct we must con c 1 u d e that break off further negotiations position of the uniteu party should Shachtman believes thatO'everyhody rather than give up the name be on the Soviet Union. should "freeze" their positions on which has so much value for us S'hachtman is quite clear on what this crueial question - except the at this moment." the official position shouldn't be. right wing Social Democrats! No­ When the conveI?-tion took place, We can have such a united party where in his discussion of merger however, the left wing leade,rs on "one condition" he says, "and with the SP-SDF does he utter didn't conduct a serious fight ,on ;we state it frankly as a condition." a word of criticism of the 'offi­ this 01" any other question. In Here is tow Labor Action reports cial Social Democratic position truth they displayed an even great­ this condition, quoting Shacht­ on the Soviet Union, contained in er "moderation" when face to face man's speech at a Jan. 18 forum the M~morandumof Understand- Winter 1957 • ing between the SP and the SDF deal here with any of the other American form Qf the trade union as fDIIDWS: impQrtant questiDns, including the bureaucracy. This parasitic fQr. sQ-called 'American QuestiQn,' that nlatiDnmust be brQken up and re­ "Such a crusade must not be based a regrouping wDuld face, 'in Qrder moved as an Dbstacle to' the prDg­ on any i'llusion that 'peace can be achieved by appeasement of the Com­ to' nlake it clear that sO' far as we ress Qf the labQr mDvement. We munist imperialism that threatens the arecDncerned, differences Qn such disagree with the idea that unity world's peace and freedom .•• We real­ questiDns are nDt the cause Df split with the idedlDgical representa­ ize that until universal, enforceable dis­ in the socialist mQve'ment and tives of the labDr bureaucracy, the armamf'nt can be achieved, the free RhDuld nDt be a:llowed to' divide American Social DemDcracy, is the world and its democratically established military agencies must be constantly on sDcialists.' " duty Df revolutionists. guard against the military drive of There is only Qne pD$sible mean­ Communist dictators." (Our emphasis) ing to' this statement: Shachtman Splits and !Fus.ions Isn't this the pDsitiDn that Mc­ calls on the radical wQrkers to' Secondly, we cannot agree with ReynDlds; descdbed as "the 'worst, merge intO' the SP-SDF and agree a nQtiQn that flatly ignQres the most shameful pDlicies' of the in advance that they will gO' alQng many-sided aspects Df splits in the State Dept. and John Foster with the pDlicy Qf sUPPQrting the life Qf the workers' mDvement. In Dulles." But apparently Shacht­ DemDcratic Party in the electiQns. Qur QpiniDn splits are just as much man sees nDthing wrDng in the It was precisely this issue which a part Df the regrDupment process united party hDlding this Dfficial split the Socialist Party in 193-6 as fusiDns. In the struggle to' cre­ positiDn. He sees· nDthing wrDng when the right wing Qf the SP ate the mass reVQlutiDnary party walked DUt of the party because with accepting the pDsitiDn Df the Qf the wQrking class splits have the majQrity favored independent SDcial DemDcratic enemies Df the played a constructive as well as a Russian RevDlutiDn and with hurl­ Socialist candidates and the strug­ destructive rQle. It depends on ing ultimatums at the anti-impe­ g'le to' fQrm a LabQr Party. Now what splits are referred to. ThDse realist, anti. Stalinist defenders of Shacht'man prDposes to reverse mat that are necessary, inevitab'le and the basic sDcialcDnquests of the ters and ask the class-conscious histQrically j·ustified h e I p to Russian RevDlution. wQrkers to rat urn to the 8P under achieve unity Qf, revQlutiQnary the terms of the Old Guard. To ShDW that they mean busi­ WQrkers Qn a correct prDgram. ness, the fDllowers Df Shachtman There are twO' interconnected We think the split' in the Amer. gave full and uncriHcal sUPPDrt premises for Shachtman's position ican SDcialist party fDllQwing the to an SP-SDF raUy Dn the Hun­ and we 'believe bQth must he re­ RU'ssian RevolutiQn was necessary ~arianrevDlutiDn ~t whi,ch the jected if a revQlutiQnary sQcialist and justified. It marked the· e'mer­ principal speaker was the Social regrQupment is to be achieved. gence Qf the GQm'munist mQve· ~DemDcrat,Anna Kethly. In ad. Shachtman hQlds that (a) Social ment in America, as well as inter­ vertising this meeting the Social­ Democracy is prQgressive· in rela­ nationally. Shachtman nQW de­ ist CaU said: "Miss Kethly will ••• tiDn to' the present stage Qf de. plQres this split as the original call for a United N atiDns Emer­ velopment Qf the American wQrk. sin which, in his QpiniQn, aCCQunts gency FQrce to be dispatched to ing class; we should, therefore fDr the weakness Qf the American Hungary." NDt a WDrd of dissent abandDn the conceptiQn that our radical mQvement today. We can was uttered by Shachtman Qr La­ differences with Social Democracy only say that fdllQwing this IDgic, bor Action against this brazen are irreconcilable and fuse intO' Qne must trace the split back to' the call fQr imperialist intervention. Qne party with them even if it struggle between Menshevism and And when" Miss Ketldy actually means that their prQ-imperialist, BDlshevism in R ussiaand deplQre made such an appeal to' the United prQ-capitaHst-party politics would the victDry of the Russian Revo­ NatiQns on Jan. 28, again there determine the nature Qf the party; lution of 19!17 itself. FDr it was wasn't a murmur Qf prDtest frDm and (b) we must renQunce all the Russian RevQlutiDn, that great the Shachtmanites. Instead they thDughts Df splits frDm such a di vide in the histDry Df the mQdern characterized the Kethly meeting united party and 'pledge in ad. wDrking class mQvement, which as "sDlidarity with a sQcialist rev­ vance that differences over such separated revDlutiDnists frDm re­ olutiQn." questiQns as suppDrt Df imperial­ fDrmists the wQrld Qver. DDesn't this single episQde shQW ism Dr capitalist parties "shQuld As a matter Qf fact the entire that by unity Sha'chtman means nQt be allDwed to divide sQcial­ aim of revDlutiQnary sDcialist PQI­ unity with the State Department ists." icy in the United States should' be sQcialists Qn their prQgram? We disagree with bDth prDposi­ to' split the A'merican labQr move­ tions. Social Democracy is not ment away from the DetnDCratic Support of Democratic 'Party prQgressive in any sense whatsD­ Party and tDwards the Qrganiza­ In his speech to' the abDve-men­ ever. It is, as much as Stalinism, tiDn of its Dwn class party - even tiQned fDrum, "Shachtman ex­ a hlight Dn the wQrkers' move­ if a few die-hard bureaucrats want plained that he did nQt want to ment. SQcial D~mDcracytakes the to' remain entangled in capitalist

10 Winter 1957 politics. Such a split woulu be just Boom Without Bust? as progressive as the split which gave birth to the CIO and enabled the "fusion" of mass production workers into industrial unions. That split, we are convinced, laid the grounuwork for a. higher unity of American labor, going far be­ yond the present limited AFL-CIO stage. AmericanProsperity We think that if the revolution­ ary and independent elements in the American Communist Party today were confronted by Foster UnderminesItself with a split threat, it woulu be erroneous and .fatal for them to give up their struggle for the sake by Arne Swabeck of unity on a false program. A left wing of the American Com'mun. IFTEEN years of relative among them the United States­ ist Party which broke with Sta­ almost unrecognizable in terms of linism would rapidly accelerate prosperity 'in the United F States, and the recent up. nineteenth.century practice." Now the process of revolutionary so. Europe, have given new even the "profit motive ... is, in cialist fusion. turn in impetus to the never-ending de­ fact, fulfilling a social function The problem before us is how to bate about the validity of the or at least operating in conditions facilitata the regroupment of rev­ Marxist analysis of the objective which help to make its function olutionary socialist forces. This is laws of capitalist economic devel­ sodal in the proper sens'e... the not the same as the flight of ex. opments. Once again the bourgeois profit motive serves the mass revolutionists into the Social De­ ideologists marshal their argu­ market." mocracy or back ,to Stalinism. ments to attempt to refute Marx. The theme of a "capitalist rev­ S'hachtman's proposition can­ Some of them will conceue, rather olution" appears on every hand. slyly, that the Marxist analysis not se'rve the interest~of a rev­ Even the "strong man" in the olutionary socialist regroupment. seemed to have some justification Eisenhower Cabinet, Treasury during the time of the "dark sa­ Secretary Humphrey, does notl It :ca'l~only provide a cover for the attempt of the Social Democrats, tanic mills" in England of a cen­ mind such terminology. In an in­ who, no less than the Fosterite tury 'ago; but they insist that it terview with the euitors of U.S. Stalinists, are working against has little or no relevance to the News and World Report, January such a regroupment. Shatchtman "new 'capitalism" of the twentieth 14, 19,5,5, Humphrey described wants to begin the necessary dis. century. None of the learned de­ "our wonderland economy": . cussion among the radical organ­ fenders of bourgeois interests pos­ izations with an ultimatum as to sess the exuberant confidence that "Q. Doesn't this prove that social rev­ how it must end. We, for our part, was uisplayed during the boom olution can come about peacefully in a of the twenties; at that time the democ:racy? want to begin by placing our views "A. Yes. Compared with the rest of before the rauica:l working -class claim that Marx had been refuted the world, it is clear that this nation's public, :subject them to ,the forum by Henry Ford seemed to suffice. economy has grown right on past, and Yet what we witness now is the has left 'behind in the dust, both social­ of criticism and debatel examine all positions trotting out of the same old shib­ ism and communism. We have pro­ otherprogr.ammatic gressed so that the basic interests of fairly and without prej udice, and boleths, dressed in a more mod­ ern garb, but equally uevoid of the wage earner and the' small saver in that way explore the basis for are today the same as the hasic inter­ a fruitful and lasting unification scientif'ic or even rational content. ests of the larger .investor." of radical organizations on the "Marxism was the raw answer necessary minimum points of pro. to raw primitive industrialism," This theme is elaborated in ex­ grammatic agreement. It is only says Barbara Ward, former for­ alted prose by the well-known along this road that a firmly eign editor of the London Econ. economist anu corporation lawyer, founded revolutionary socialist omist and author of Faith and A. A. Berle, Jr., in his recent party can be created that will lead Freedom. But now, she insists, "a book The Twentieth Century Cap. to the victory of the America'n revolution has occurred in inuus­ italist Revolut'ion. It is hailed in working class in its coming 'strug­ try which has made modern cap­ the publisher's blurb as "A clear gle for Socialis'm. italism, in certain areas - chief and conclusive refutation of Marx.

Winter 1937 11. ist philosophy." Exultant about relations' have ~ometo be a paramount lems and struggles ahead. Who is the PQwer and "cQrpQrate con­ concern - in which, that is, business goi ng to' cQntrol this vast and science" Qf American capitalism, is engaged in explaining and justifying grQwing. O'utpQuring O'f public its ,place in society ... in the new world, Berle declares that its "aggregate new attitudes have emerged: the' idea funds? What objectives will be eCQnQmic achievement is unsur­ of democracy, the idea of an imp~artialserved by it? What groups and passed. . .. Its instabilities and government seeking to reconcile diver.. classes will be the chief benefi.. crisis. .. shQW indica tiQns Qf be­ gent interests. . . all this would have ciaries 1" ,seemed only a wishful fantasy to Marx." cQming manageable." According The impQrtance Qf the latter to', Berle this "capitalist revQlu­ point is readily conceded. Like­ tiQn" is'supPQseo to' have resulted Yet this optimism is by no U wise, there need be no doubt that ~n fundamental changes in the means universally shared. ncer­ tainty and anxiety concerning the the government will intervene 'Spheres Qf both eCQnomy and class more, not less, in economic devel­ relatiQns. future appear repeatedly even within the very circle's most fond Qpments. But whether or nQt the government can "deal effectively" ~People'sCap'itaIism" Qf extolling the superiQr virtues with eCQnQmic crises is anQther All that nQW remains is how to' of the "free enterprise" sQciety Qf the dQllar Qligarchy. question which we will discuss define this phenomenQn. S ugges­ later. tiQns frQm bQurgeQis publicists have ranged frQm capitalism with The Stalinist leaders Qf the CQm­ "a balanced full emplQyment eCQn­ The Debate Broadens munist Party aTe nO' less equivocal omy" to' "peeple's capitalism." There are vQices alsO' frQm the in their appraisal QfecQnO'mic de.. And why net? Accerding to' SQme left in this debate, claiming to' velQpments. In fact, it is difficult of the speciQus theories advanced, speak in the name Qf sO'cialism. to' judge what their actual ap­ WQrkers and ca.pitalists bQth wQrk, AmQng these, the editQrs Qf the praisal is, but an indication is sUPPQsedly alike, O'nly in different Monthly Review inoicart:e that given in their confe8sion Qf "left spheres. As a finishing tQuch to' they are also slightly beguiled by sectarian errQrs." Some of these these ideas, the E. I. du PQnt oe the theme Qf a "capitalist revQlu­ we extract from their present '~DraftResolution" fQr the 16th NemQurs and CQ'I which earned tiQn," their Qwn fQrmal disavow­ the name "Merchants Qf Death" als nQtwithstanding. In the is'sue National CQnventiQn Qf the Com­ as a result of the post-WQrld War of December 1954, the editors de­ munist· Party scheduled for Feb­ I prO'be cO'nducted by the Nye Mu­ clare: ruary 1957: ~itiQnsInvestigating Co~mittee, "Repeateqly since 1945, the Party has IS nQW " . It should be obvious that our being presented on Voice erred in assessing economic develop .. of America broaocasts as an ex­ analysis provides no support for the view that there is likely to be a repeti­ ments in the United States. In 1945, in ample O'f ,"peO'ple's capitalism." tion of the Great Depression. It is to 1949 and in 1954, it predicted that the current deC'lines would develop into PhilosO'phical justificatiO'n is sup­ be anticipateq. that government will be .. crises of major proportions." plied by the type of panegyrics to come a more, not less, important fac .. the "new capitalism" of which tor in the demand for goods and ser­ vices as time goes on." AccQrding to' the draft resQlu­ RQbert L. Heilbroner's The World­ tion the party erred in apprais­ ly Philosophers is representative. Returning to the same subject ing the effects Qf ·cQntinued arms 'Compared to' the crude sophistry in the April 1955 issue, the editQrs program, of investments in fixed of Barbara Ward, H,eilbrQner's ap­ of Monthly Review recQgnize that capital, Qf the SCQpe Qf unsatis­ proach appears rather refined, but the forces making fQr a crisis are fied CQns'umer demand and the any resemblance to' scientific meth­ in full operation. pO'ssibilities Qf credit expansion, od is purely ·cQincioental. He pays etc. "The Party's judgment in each his respects to' the penetrating "But they can be ~ounteredand, in­ case was faulty because . . . [Qf] examinatiQn of the capitalist sys­ deed, sooner or later they almost cer­ applying the lVlarxist theQry O'f tem maoe by Marx. MoreQver, tainly wiU be countered," say the edi­ eCQnQmic crisis in 'a rQutine, fQr­ HeilbrQn~rcQnsiders it frighten­ tors, and they add: "All classes of the mal and dQctrinaire nlanner." ing to observe the grim determi­ American people have l'earned at least natiQn with which weakened one thing in the last decade and a half, This reaSQn given for faulty Eu­ that economic crises are not made in rO'pean capitalist countries stead-, judgment cQnceals mQre than it heaven and that the governmen:t can reveals. a "rQutine, formal and fastly hewed to the very CQurse deal effectively with them if it:-is pre­ If which Mlarx insisted would lead to ,pared to borrow and spend on a suf­ dQctrinaire" applicatiQn Qf the their unoQing: ficiently grandiose scale." Marxian theQry was ~allthat was invQlved a cO'rrectiQn WQuld seem "But capitalism here [in the United The editors of Monthly Review PQssible. But the truth is that, IStates] has evolved in a land untouched by the dead hand of aristocratic lineage cO'nclude that a large increase in due to the years Qf cQrruption in and age-old class att}tudes.•• Here is gQvernment spending "PQints in the Stalinist 'SchQol, these lead .. a. business co~munityin which 'public the directiQn Qf the real prob .. ers have long since fQrsaken Marx-

Winter 1957 ist theory. Proof of that becomes justification for the claim made Government Expernditures })atently clear in their projected by the President's message to Con­ Viewing the above factors in program to meet capitalist crises. gress last January that "Our econ· their mutual interrelations we get But this question can be discussed omy . .. is at an unparalleled level a still clearer appreciation of what nl0re fruitfully following a care­ of prosperity." these government expenditures ful examination of what is pro. However, this "greatest boom of mean to the economy as a whole. claimed to be "the greatest boom all time" inclurles the tremendous As is well known, in capitalist so­ of all time." cost in human lives and the im­ ciety the purchase by consumers' measurable destruction of World of goods to fill their everyday War and Armaments "Boom" War and the Korean War. \ II It needs and the investment by busi­ Admittedly, fifteen years of reI. includes the stupendous total in ness of capital for plants, equip­ ative prosperity, interrupted by direct military expenditures by the ment and materials, etc., form what turned out to be merely mi· U.S. government, during these fif­ the more permanent basis for sus· nor recessions, is unprecedented in teen years, of $618.2 billion, or taining the economy. And so, in capitalist history. Employment an annual average of $41.2 billion. 1929 the gap left between theHC and total payroll is, at the mid­ No destruction ever touched an two items combined and the gross point of 19,56, at an all.time high. American industrial plant; in­ national product amounted to not The annual rate of production and stead, the huge military outlays more than $9.2 billion (1929 valu­ services - gross national product served to prop up the otherwise ation) ; this gap was filled largely - has now exceeded the $400 bil. sagging economic structure. A by government expenditures, pri. lion mark. For the year 1955 'na­ whole new activity ensued: build­ marily non. military in nature. In tional income amounted to $322 ing and tooling of governm'ent. 1955, however, the gap between billion, of which wages and sal­ financed plants, government pur­ these two items combined and the aries accounted for $208 billion chase of raw materials and fi­ gross national product reached (preliminary figures) *; corpora. nancing of the production of weap­ the far greater sum of $79.2 bil­ tion profits, g.arnered out of the ons of war. lion (current valuation); again products of labor, broke all rec. Here then is revealed the pri. this gap wa·s filled largely by gov­ ords, reaching the total of $43.8 mary underpinning for the rela­ ernment expenditures, to be exact, billion (before taxes). Yet these tive prosperity. "The greatest in the amount of $75.9 billion. figures do not include additional boom of all time" rose and devel­ The balanc'e was made up by net concealed profits~such as huge re­ oped principally on the yeast cake foreign investments. But these serves set aside for depreciation of the war and subsequent arms government expenditures were and for various unnamed contin­ economy. primarily military in nature. In gencies. Even per capita dispos. What this signifies in terms of fact, during these fifteen years able income for the whole pop­ economics can be illustraterl most of relative prosperity, total gov. ulation, measured in constant 1955 effectively by comparing the pres­ ernment expenditures·- of which dollars, has increased from $1,066 ent boom with the previous pros. more than two.thirds went for di­ in 19'29 to $1,630 in 19'55. perity period of the nineteen­ rectly military purposes, with an At any rate, so says the offi­ twenties. We take as our example un revealed proportion of indirect cial record; but the same record the most important factors mak­ military outlays - reached the also concedes that in 1953 there ing up the total demand for pro. enormous sum of $902.8 billion, or were 22,186,000 families, or 43.9,% d uction of goods and services: an annual average of $60.2 billion. of all American families, who harl consumer purchases, private do ...· In other \\lords, without these huge an annual income of less than mestic investments and govern­ governmen!t arms expenditures, $4,000, which was considered a ment purchases. Thus in 1929 the American capitalist econonlY necessary minimum then for a de­ consumer expenditures accounted woulrl experience a catastrophic cent standard of living. And, leav­ for 76.5% of the total, private plunge into depression and large. ing aside for the moment the tre. business investments accounted for scale unemployment. nlendous consumer indebtedness, 15.3%, w1;lile governnlent pur­ it is true that today family home chases were only 8.2ro. By 1955, But private investments in pro­ ownership is higher than ever; however, this last item, govern. duction of capital goods have also the same holds true for ownership ment expenditures, occupied an kept abreast with the rising ~co. of cars, television sets and home entirely different position in the nomic boom level. That this sho'uld appliances.' Viewed superficially, economy. The "sovereign" con· be the case is not at all surpris­ there seems to have been some . sumer's share had now declined ing for a period in which the in • from 76.5% to 65.1% of the total, satiable demands of war acceler­ while private business investments a ted all economic developments. :;, All figures, unless otherwise noted, are from official government sources remained constant at 15.3'/£,; but Arms production and rationaliza. as presented by The Statistical Abstract government expenditures now ac­ tion of industry, by dint of neces­ of the United Statesl counted for 19.6';1,1. sity, went hand in hand. Lush prof-

Winter 1951 its in producHon of weapons for have become transformed into it is important to note that the war and for the arms race gave producers and consumers of goods overwhelming bulk of foreign aid ,an imm'ense impetus to greater in­ pouring out of capitalist industry. went for military purpos'es in the vestments in fixed capital for the As in the early period of dynamic )form of weapons. and auxiliary im. building and expansion of plants capitalist expansion, when the plements of war. Thus, for exam­ and modernization of equipment. frontier was constantly extended ple, the highest of the annual ap­ Application of electronics, com· and industrialization of new re­ propriations made for this pur. plex automatic control devices and gions' followed, so now on a smaller pose, for fiscal 1952, was $8.5 autom'ation of whole industrial scale, it became possible to repeat billion of which $6.3 billion was plantR, formed an important part this process in the South. During specified for military weapons of these developmentR. these last fifteen years capital in­ produced in the United StateR. vestments have taken over and Over these years, each annual Industrialization of South the transformed the old semi-feudal appropriation served as a govern­ And yet there is also a distinctly system of production in the South. nlent subsidy for A-merican ex. ne'w aspect to the sustained pri. Fore.ign "Aid" ports and, needless to say, private vate capital investment boom, an business and capital investments aspect of actual capitalist expan­ Finally to be considered, ,as a followed in the wake into the sta. sion: the industrializ'ation of the part of this "greatest boom of all bilized market. Moreover, the gov­ South. According to U.S. News time," is the item called foreign ernment subsidy served also as and World Report, January 27, aid. And this is not the least im­ ,compensation to American mo­ 1956, the Southern states at the portant part either, for it involves nopoly concerns for their loss of turn of the century had only 9% American efforts abroad to arrest' exports to important sectors of of the country's manufacturing the process of crisis and disin­ the world market which were facilities; now they have nearly tegration of the old and outlived walled -off by the fire of colonial one-quarter. Gains in m~nufactur.social order as a whole. Amer­ revolution. ing output, over the last fifteen ican capitalism, for its own sur­ Viewing these developments, vival, had to' assume the responsi. years, range from 353% for Ala­ what stands out above aU ,else is bama to 533 % for South Carolina; bility of restoring the world cap. the importance of government ex­ and industrial output for all of the italist equilibrium which was shat. penditures for war and arms pro­ Southern states ,climbed to close tered by World War II; this in­ duction as the major component to $60 billion In 1955. cluded the task of restoring the in t.he present artificial prosper. "War plants gave the South its -;war-dismembered world ,market ity. But to realize what this means first real shot in the arm," says and international division of la­ and to for'esee its 'consequences it U.S. News and World Report. The bor. Above all, American capital. is necessary to under.stand the na­ South was engulfed by ,a tide of is'm had to take on the job of de. ture of the epoch in which it oc· so-called defense construction, 'fending the decaying capitalist curs. The mechanism whereby the running into billions of dollars, system as a whol'e against the 'ex­ various ~spectsof the economy including a new H-bomb plant intO' tension of the October 1917 rev­ are at one period brought intO' which more than $1.5 billion have olution. balance and at other periO'ds dis­ been poured for plant, payroll In the light of such objectives rupted, reveals the objective laws and community facilities. there is no reason to assume that of capitalism. But the operation Rolling, fallow fields ,are now any part of this foreign aid, go. of these laws, so thoroughly ana. checkered by new factories draw­ ing chiefly to' Europe, was dis­ lyzed by Marx, yields, as he pointed ing their workmen from the farms. pensed for the benefit of work. out, different results in a develop­ Agriculture has been industrial. ers abroad. On the contrary : the ing and a declining economy. ized; share'cropping has been re­ war-devastated industries and due-ed -by one-half. And where a cities were rebuilt on the knuckles Basic 'Cause of Crisis sea of aching backs once moved and bones of the workers. They For the capitalist economic sy's. through the rows of bursting cot. were compelled to consume less tern the general historical curve ton plants, heavy machinery has and produce more; and incidental­ of development is no longer up­ rumbled into the scene. The ,share­ ly, as in France, they were ex. ward. That came to an end for croppers and plank.tion hands horted to do so by their Stalinist the world system ,as a whole short. have been expropriated from the leaders when the latter held posts ly after the turn of the century, soil; they have become transformed in the bourgeO'is government. and for the U~n'itedStatescer­ into material elements of varia­ For the eleven-year period from tainly with the collapse of the ble capital, furnishing labor power July 1, 1945, to the 'end O'f the fis­ boom of the twenties. If there be either for industry in the North cal year June 30, 1956, total net any doubts about this, we need on­ or for the new plants in the South. U.S. expenditures for fOl'eign mil. ly recall the Great Depression from From participants in old back. itary and economic aid amounted which A'merican capitalism found ward forms of production, they to $55.5 billion. In this case alsO' a way out only by plunging into

1.4 Winter 1957. war expenditures on a vast scale. But these three major factors calls evidence of improved effi­ This, however, did not remove, or of effective demand f.or goods and ciency: even mitigate, a single one of the services arc directly intercon­ basic causes of that 'crisis. Yet, nected; and in their development "Factory production hit A record high in 1955. . . American industry, appar­ within the general historical curve they produce :mutual interactions ently, was able to turn out 3 percent of capitalist economic develop­ of far-reaching consequence for TI1<;>re'goods than in 1953 with almost ment, there are short-range pulsa­ the economy. In incipient form 6 percent fewer workers ... At present tions of expansion or contraction some of these consequences are there are about 800,000. fewer workers which may run counter t.o the gen­ already apparent. In the first in­ employed in factories than at the same eral curve. What we have been ex­ stance, in the stimulation capital perio.d in 195~.Yet output is higher." periencing uuring these laRt fif. investments experience in the tre­ The report continues: teen years iR a series .of such pul. mendous drive for greater profits sati.ons; these have been quite ex­ through reduced C.osts of labor, "These figures indicate that the ef­ fect of investments in new plant and traordinary, to be sure, for they productive capacity is driven be­ in modernized equipment already are included large-s'cale production yond the absorbing ability of the showing up. Business investment plans, f.or World War II, for the Ko. m~rket.On this particular point for this year point to an acceleration of rean War and f.or the subsequent U.S. J:..Tews and World Repor't, this trend. . . " arms program; they included also March 11, 1955, made the follow­ a c.ouple of recessions. ing c.omment: Here we have a telling illustra­ Not these pulsati.ons, however, tion in facts and figures of what but the general hist.orical curve of "Large unused capacities are indi­ Marx explained as 'One .of the laws develQpment foreshad.ows the fu­ cated in almost all lines of industry and of the capitalist mode of produc. agriculture. Workers too are in surplus tion: Progress in technology, in ture. And, it is important t.o re­ . . . American industry in fact is ahle member, the ba,sic causes .of crisis, to turn out a mUe'h g'l'eater volume of the form of more efficient ma­ which exploded with unsurpassed goods than is now being produced." chinery of production,' affects di­ fury in 1929, still f.orm an integral rectly the organic composition of part of the ec.onomic structure, al­ More Production, Less Jobs capital- a qualitative change is intrQduced into the relation of its t'hough their .oper,ation is for the The most important factor here time being concealed. components. It increases the con­ is the virtual leap in productive stant part (equipment and mate­ On the surface, a harmoni.ous, capacity accomplished by, the tech­ prosperous equilibrium exists be­ rials) ,at the expense of its vari­ nological transformation that is able part (wages, labor) , and tween the three maj or factors of now proceeding ,silently, but ef­ effective demand f.or goods and thereby reduces the demand for fectively, in major industries. labor. The demand for labor "falls services. Government expenditures What is taking place is not merely make up for the deficiency of pri­ relatively to the magnitude of the a quantitative extension, but the total capital, ami at an a'ccelerated vate capital investments and con­ introduction of qualitatively new sumer purchases in keeping the rate, as this magnitude increases,. elements: automation of industrial With the growth of the total cap­ productive machinery running at processes.. This is what Marx, its current rate. The government ital, its variable constituent or the about one hundred years ago, de­ labor incorporated in it, also does dispenses social capital coming scribed prophetically in his analy­ out of tax revenues, which means, increase, but in a constantly di. sis of machinery and modern in. minishing proportion." (Op. cit.,.p. of c.ourse, that it comes out of the dustry: . products .of labor and is made pos. 690.) Marx explains further: "The sible only by the great productivity "An organized system of machines to. laboring population therefore pro. of labor. Even the taxes collected which motion is communicated by the duces, along with the accumulation from the corporations, have their transmitting mechanism from a central of capital produced by it, the means origin in surplus value produced automaton, is the most developed f'Orm ,by which itself is made relatively by labor and converted into prof­ 'Of ,production by machinery; Here we superfluous, is turned into a rela­ have, in the place of the isolated ma­ tive surplus population " (Ibid., its by the 'corporations. The great­ chine, a mechanical monster whose body ... er part of this social capital is fill's whole factories, and whose demon p. 692.) This is what Marx calls returned as pay'ments f.or arms power, at first veiled under the slow the industrial reserve 'army. production in the juicy contracts and measured motions of his giant Moreover, modern capitalist pro. held by corporations. Further cap­ limbs, 'at length breaks 'Out into the duction, due to its cyclical move. fast and furious whirl of his eountless ments of expansion and contrac­ ital investments in plants, equip­ working organs." (Capital, Kerr edition. ment and material., is stimulated, Vol. I, .pp. 416-17.) tion, requires for its free play an and this is given additional in­ industrial reserve army independ­ centive, moreover, by government Early sig,ns of the social impact ent of natural limits of population. grants of accelerated tax amorti­ caused by automation is illustrated Thus, in their immediate effect, zation for new plants certified 'as by U.S. News and World Re­ t~ev~st government expenditures nec,essary to the arms program. port, April 20, 19561 in what it f.or arms production and the heavy

Winter ]957 15 capital investments that these billion mark. This is more than 30(/~;but ,now, eleven years after stimulate, have served to keep the two-thirds of the wealth of the World War II, wholesale prices economy on an artificial prosper­ United States, estimated by the have increased by 70%. ity level. -Their essence, however, National Consumers Finance As­ This is how inflation works. It will unavoidably be'come m'anifest, sociation to be $1,000 billion. presents another aspect of the mu­ and with intensifierl fury, in tech­ Translated into everyday terms, it tual interaction between the vari­ nological overproduction of capit~lmeans that more than two-thirds ous components that enter into and large-scale unemployment. of the nation is in hock to the economic developments. Expressed The tremendous productivity of bankers. in monetary terms, it has created American labor will beat against But there is another aspect of a situation in which, during "the the barriers that the capitalist the credit expansion which even greatest boom of all time" i,n th~ system of productive relations it­ more directly affects economic de­ richest nation in the world, the self sets up. velopments - the inflationary as­ mighty dollar, the universally pect. Bourgeois publicists usually recognized denominator for all The Credit Spree attempt to create the impression bourgeois ,monetary exchanges, But the mutual interaction be­ that inflationary rising prices are has lost almost half its purchasing tween the huge government arms generated primarily by wage in­ power. expenditures, capital investments creases. The real situation is rath­ There exists today in high gov­ for expanded productive capacity er the other way around: wage in­ ernment circles a belief that by and consumer purchases is re­ creases generally lag behind rising credit controls, applying alternate­ flected also in the complex phe­ prices. Even Treasury Secretary Iya government policy of "tight nomenon that while the consum­ Humphrey, in the interview with money" or, "easy money," not only ers' share of total demand for the editors of U.S. Newg and World every p,ain and pimple in the econ­ goods and services declined from Report cited above, acknowledges: omy can be ,cured, but economic 76.5% in 19,29 to 65.1% in 195·5, "Inflation is the situation in which cycles actually can be mastered. this decreased share was main­ the supply of money and credit This is, dead wrong: it is dealing tained only by an innundation of grows faster than the supply of with effects without touching the consumer credit. By the end of goods ,and services which you fundamental causes. Back in 1929 19:55 this had reached the fan­ can buy. This produces a rise in the discount rate went up to 6% tastic sum, including home mort­ prices." Facts of life show this to and "call money" rose as high as gages, of $124 billion. Naturally be the case. From the boom' year 20%; these rates went on their this became a powerful stimulus of 1929 up to the end of 1955, merry chase until the whole "eco­ to the economy; but the amount while gross national products in­ nomic structure came crashing represented 46.8'10, or almost half, 'creased by 274%, total deposits down on the heads of the finan­ of the disposable income for the and currencies (which include a cial overlords. same year, and it has since gone large share of fictitious bank­ higher. More ominous yet, during made money) increased by 303 %. Capitalist Anarchy these fifteen years of relative The supply of money and credit Aside from the special feature prosperity, consumer credit, or rose faster than production. And of inflation, the basic causes that more exactly consumer indebted­ the real source of the process of precipitated the crash of 19'29 are ness has increased almost twice inflation experienced in the United now again coming to the fore. This as fast as disposable personal in­ States since the beginni,ng of is not surprising, for the imma. come. For the same period net W orId War II is the inordinately nent laws of capitalist economic s'a vings out of total pel~sonalin­ heavy government deficit-financ­ development are far stronger and com·e declined from 11.1 % to 6.3%. ing of arms production. * far more real than the most exu. Installment credits have, no doubt, What this means to the work­ berant claim O'f a "twentieth cen­ squeezed quite a few extra billion ers' pay checks is illustrated by tury'" or any other, kind of "cap­ dollars out of the consumers' mar­ U.S. News and World Report, July italist revolution.". The very fac­ ket; but they have not created a 20, 1956. After every war whole­ tors which operated to generate basis for expanding it; on the con­ sale prices have declined except the boom, and drive it to higher trary, they have laid the basis for for the present period. Thus, elev­ levels, are the ones that set into its saturation and contraction. en years after the Ci viI War there motion the forces that will cause And for the workers, whose fu­ was a decline of 45'10, eleven years the boom to' collapse. Lavish gov­ ture income is thus mortgaged, the after WorId War I a decline of ernment expenditures for weap­ loss of jobs will be catastrophic ons of war have stimulated a vastly - as it surely will be likewise for disproportionate expansi'on of the the economy. *1 refer those readers who may means of production. Annual cap­ desire a more complete explanation of Incidentally, total outstanding inflation to my article "Inflation and ital investments have increased debts, public and private, at the the Arms Economy," in f"ourth Interna­ more tha,n threefold from 1941 to' end of 19·55 exceeded the $675 tional, May-June 1952. the end of 19,55; and these have

Winte' !t.95~ resulted in a higher organic com­ important characteristics of the class will face the twin scourge position of capital, as we can see pJ;'esent epoch which will have of unemployment and spiraling from the reports of new or im­ their deadly impact also on Amer­ prices. proved plants, ,modernized equip­ ican economic developments. ment and greater output with less But what about the much adver­ "Anti-Depression" Measures labor employed. This is a bitter tized built-in stabilizers, such as Is this what the editors 'Of the example of the planlessness and unemployment i,nsurance, etc. ? lJlonthly Review mean by their anarchy of capitalist production. Will these be effective means sta tement that the government can MQreover, the market's capacjty against an economic downturn? It . "deal effectively" with economic for expansion cannot keep pac~ is quite true that for workers who crisis? After all the only example with the tremendously expanding lose their jobs, unemployment in­ that we have to go by is precisely capacity of production, for the surance helps to soften the blow these last fifteen years of govern­ market is primarily governed by for a short while; but neither this, ment-sponsored artificial pros­ laws which operate much more nor any other so-called built-in perity. It was born out of wars, slowly. stabilizer, can serve in a serious sustaine-d by expenditure for It is this self-expansion of cap­ way to sustain the market, let wars, for an armaments race 'and ital, carried on by the drive for alone create ,a new market. In cold war, with all the terrible greater profits, the motive and aim fact we are provided already with consequences that these entailed, of 'all capitalist production, which 'an instructive example of what inc! uding the threat of new impe­ promotes reckless speculation, such measures can accomplish. rialist wars. Moreover, this govern­ overproduction, crisis and surplus The farm 'Subsidies have helped, ment-sP'Onsored "prosperity" re­ capital along with a surplus la­ no doubt, to ease the present sit­ generated the elements .of crisis bor force. Surely the American uation for the f.armers, especially which 'are now operating with in­ economy is headed straight for a those on the bigger commercial 'creasing force. How the govern­ crisis of far-reachi,ng dimensions farms; but t'hey have not affected ment will attempt henceforth to and explosive consequences. seriously the course of the farm "deal effectively" with crisis is It should be distinctly under­ crisis, nor have they served to re­ foreshadowed already by this very stood, however, that it is not in ,move the growing i:qlpact of the exalmp~e.As in the past, so also terms of human needs that ele­ farm crisis upon the whole eco­ now, be the scale of expenditures 'ments of a crisis of overproduc­ nomic structure. ever so grandiose, the objectives tion are becoming apparent; on Yet further increases in gov­ of government action and; the the contrary, it is in terms of cap­ ernment expenditures, in an ef­ groups 'Or clas'ses the action will italist relations of production. The fort to stem a serious econo'ffiic serve are determined fundamen­ prod 1,Jctive forces are beating downturn, are to be expected. tally by the interests the .govern­ agai,nst the barriers set up by cap­ More state intervention, including ment represents. And what else italist ownership of the means of more government subsidies, reg­ is the government, the present po­ production. ulations, managem'ent and control littcal state, whether administered It should be remembered also to rescue private capitalist enter­ by Republicans or by Democrats, that in historical terms th~world prises - this is 'alre'ady clearly in­ but the instrument of the owners capitalist order has' entered its dicated. But to visualize what 'Such of capital- their politically pre­ downward curve; it is beset by a rescue mission, to be effective, siding executive body? The logic crisis everywhere. And the reality ,would involve, we need only to of this position is inescapable. A1ny of th,e int~rdependenceof nations recall the tremendous war expendi­ government intervention against in the world market remains in tures required to pull out of the crisis will have as its essential 'Ob­ full force for the strong as well Great Depression. For the year jective the insurance against seri­ as for the weak. For American 1943 the direct military expendi­ ous impairment of the capitalist capit~lism,the constant extension tures reached the immense sum of system of free enterprise, and it of its internal and external mar­ $80.4 billion, and in 1944 they will attempt to effect this by war ket, during past stages, 'acted as went even higher, to a total of or by any 'Other 'means at its dis­ a self-sustaining process for ex­ $88.6 billion; yet these eJ:Cpendi­ pos,al no matter how ruthless. Con­ panded reproduction. This process tures produced no use-values what­ versely, any proposal for large­ is now being turned into reverse ever for the consumer market. scale goverinment expenditures in a contracting world market What they did produce, ho·wever, which would genuinely serve the from which 35% of the world's was the virulent inflation which people can be expected to be fought , population have been withdrawn cut the purchasing power of the by the owners of capital with 'all from the capitalist economic orbit. dollar almost in half. Further gov­ the powers at their command, as Moreover, the nascent socialist ernment deficit-financing on a "socialism." world order is now entering into large scale will inevitably take The National Guardian of Au­ economic competition with world the dollar on another dizzy in­ gust 29, 19'55, correctly made this c'apitalism. Thes'e are som'e of the flation whirl. And the working particular point 'in argum~nt

Wlnter 1957 against the anti-depression pro. system!' '(Published under tne tl. these relations the capitalist class gra'm 'advanced by the Stalinist tIe, Value, Price and Profit.) has long since turned into its op­ leaders .of the Communist,Party. posite the progressive functiQn it This is the authentic vQice of once performed in deyelQpi:ng the In response, Celeste Strack re­ Marx. FQr us this is a guide to plied for the Stalinists: social 'for,ces of production. The action. And for Marxists there very anarchy of productiQn that "Certainly the e'ontent of even the cannot be the slightest doubt that prevails today - the crises, wars nost advanced economic 'Program being the period 'Of capitalist crisis is and revQlutionary upheavals that put forward today does not require precisely the time, above all others, a change in the economic system. There­ beset the capitalist system - point to present the socialist sQlutiQn, with imperative necessity to' the fore it does not involve socialism ,any to' raise the issue .of socialism, to 'Of socialist transformation of society. more than d'Oes the demand the speak and act in terms'.of s.ocial. American 'people for peace. • • T'O pro­ But c.apitaUsm also called into ject this as a political necessity for en­ ism and to fight for the ,socialist actment of even the most extensive transformatiQn of the e,conQmic, existence the very force that now holds the future in its hands - the anti-depression measures is ~hol1yin­ social and political system. correct." (Political Affairs, November modern working class. It is today 1955.) There remains to be added, in the .only progressive force ill so. this renewed debate on the va. ciety. AlJld for the American wQrk­ This type of mis-education has lidity of Marx's analysis .of the ing class, it can truly be said that its root source in the perfidious eCQnomic laws of development .of its mighty force has grown in .or­ policy of the Stalinist CP leaders, capitalist sQciety, .one more essen­ ganization and cohesiveness in in­ who try to subordinate the issues tial point. Marx stressed that what verse proportion to the decline and 9f the class struggle to their de­ is .of primary CQncern in the pro­ and decay of capitalism. When the sire for peaceful coexistence with cess of production is relations be- artificial prosperity bubble bursts, capitalism. This currently takes . tween men.; that is, their relations it ,can be expected -that the polit­ the form .of treacherQus attempts in the process of production. Un­ ical consciousness of the workers to' block the wQrking dass frQm der the capitalist method of prQ­ will develop 'at a swift pace into mQving tQward PQlitical inde. duction these relations assume mass organization as they prepare pendence, in .order to' remain the form of relatiQns between the grQund fQr taking hold of the ishackled mQre firmly to the party "things," such as CQmmodities, levers of producti'on, rooting .out ; .of Tammany Hall and the Dixie­ markets, finances, etc. In essence the anarchy of production and es­ 'crat-s. these production relations are re­ tablishing a, society of plenty for lations between social clas:ses. In The Marxist Position all. Caught in this treacherous web, Celeste Strack even tries to' bol­ ster her disa vQwal of the sQcialist way .out 'Of capitalist crisis by an INTERNATIONAL unpardQnable distQrtion 'Of Marx. She qUQtes at 'some length frQm the c .0 n c Iud i n g part of the SOCIALIST REVIEW paper addressed by Marx to' the 'General CQuncil 'Of the W ork­ ingmen's InternatiQnal' AssQcia. 35 cents a (:opy $1.25 a yea, tiQn in 18'65. But she selected the parts that seemed to' suit her purpose, letting Marx urge wQrk­ ing-class struggle agains,t attacks upon wages' and wQrkingcQndi. Order from tiQns, but lea vingQut M'ar~'sfinal INTE,RlN:ATIONAL SOCIALIST REVIEW sentence'iln which he sums' up the essence .of his advice to the wQrk. U6 University Place New York 3, N. Y. ers - nQt tQcQnfine themselves to mere struggles fQr tempQrary improvements. Said Marx in the Name ...... •• sentence omitted by Strack: "In­ stead .of the conservative mQttO', Street .0'·· •••••••••••• '••.. Zone •....•.. '•... , 'A fair day's wages for a fair day's work,' they .ought to. ins,cribe City .•..•.••...••.••••.. State .,. ... . ' ...... on their banner the revolutionary watchword, 'Abolition of the wages

Winter 196'1 A Review-Article on the "Power Elite"

they actually possess. These are the power elite; the middle levels; The H·igh and the mass. He then proceeds to dem.onstrate that the proclaimed equality of American. democracy is a fraud And the M,ighty and that the. various segments of the people exist and operate on extremely different levels. As the by William F. Warde colonial wit observed: 1. tavus Myers, authQr Qf The Great "Men are born both free and American Fo'rtunes ; Thorstein equal The starting point for under.;. Veblen, author of The Theory of standing politics and developing But differ greatly in the se. the Leisure Class,· and the Ferdi­ quel." a sound policy for labor's PQlitical nand Lundberg of the 19'30's who action in the United States today wrQte America's 60 Families. 'This There is a colossal, almost un­ is an accurate knowledge of the school of left liberal sociQlogists bridgeable gap between the bulk real structure of American socie­ exposed the pretensions of the pI u­ 'Of the population at the bottom ty. That society is composed of tocrats and told many truths about and the rulers on top in possession, different classes, ranging from them, from the shady formation enj oyment and exercise of wealth, wage wQrkers in the factories, Qf their fortunes to. the shoddy power, freedom and the good fields and offices to stQckholders imitative fabric of their culture. things of life. Qf the cQrpQrations which own and This is the third in his panel Ordinary Americans are power­ operate them. Which class rules Qf studies of the most significant less to determine the decisions this c.ountry and hQW do its agents social strata in this country. In that most vitally shape their lives. secure their domination over· Qur The New Men of Power Mills ana­ They are not consulted beforehand economic, PQlitical and cultural tomized the union officialdom; in and 'Often do not even know what life? White Collar, the urban middle­ these decisions"are until they are A recently published book* es­ class elements. Now his lens and '-struck by their consequences. The says to answer these questiQns. scalpel is turned upon the people major decisions are made for them Imagine an eighteenth-century ac­ who. command the heights of by people in pivotal positions who count .of the absQlute monarchy American life. He gives a close­ have centralized the means of in­ of Louis XIV Qf France, his :states­ up view Qf the principal traits, formation and the policy. making men and generals, his bankers and private and public postures, and powers in their hands. Conse­ bureaucrats, his courtiers and no­ .modes of functioning Qf our mas~ quently "the men and women of bility, his entertainers and mis­ ter class. He exposes the realities the mass soOciety... feel that they tresses, such as the 'Duke de Saint­ behinrl the masks fabricated by are without purpose in an epoch' SimoOn gave. The authQr Qf this the public relatiQns experts and in whieh they are without power." new book, C. Wright Mills, pre­ the press. A streamHned Veblen; he The power elite, on the other sents an analogous portrait of the uses irony to. pierce the hides of hand, are "in positions to make more impersonal and hYPQcritical . the sacred CQWSQf our own caste decisions ha ving maj or conse­ but no less tyrannical regime of system froOmthe Brass Hats to the quences ... Their failure to act, King Capital and his entourage in button-pressing corporation mQ­ their failure to make decisions, is the United States today. guls. This is descriptive sociology itself an act that is uften of great­ Mills is a professor Qf sociology at its best. . er consequence than the decisions at Columbia University. But he is they do make. For they are in a maverick on the academic ranges 2. command of the major hierarchies where the herd keeps close to the and organizations of modern so­ capitalist corral. He isa shrewd Mills first sets out to demolish ciety.They rule the big corpora­ observer, hQnest repQrter and the fiction that there are no class­ tions. They run the machinery of sCQrnful critic of monopoly capi­ es in American s.ociety. He views the state and claim its preroga­ talism in the tradition set by Gus- thepopulatiori as divided into tives. They direct the military es­ three strata, not in strict accord­ tablishment. They occupy the stra­ * The Power Elite, iby ,C. Wright ance with their property relations tegic command posts of the social Mills. Oxford University Press, N. Y. and economic functions, but ac­ structure, in which are now cen­ 1956. 423 pp. $6. cording to. the mea·s,ure of Po.wer tered the effective means of the

Wimer 1957 lU power and the wealth and the ·'The mi\Uary order, 'Once a slim tributes of aristocracy. The very celebrity which they enjoy." establishment in a CQntext of distrust rich of 1950 are largely the de. fed by state militia, has become the' 19.00. The government;- the armed for­ largest and most expensive feature of scendants of the very rich of ces and the corporations are the gQvernment, and, although well versed These acquired their fortunes major institutional hierarchies. in smiling public relations, nQW has thanks to the right of private These are more important than all the grim clumsy efficiency 'Of a property, by corporate manipula­ any other institutions. "Families sprawling bureaucratic domain." tions, by favorable tax legisla. and churches and schools adapt The leading men in each of these tion, through compliant political to mouern life; government and authorities, tho exploitation of three domains, the corporation armies and corporations shape other people's inventioJ1.~,"out­ them, and, as they do so' they turn chieftains, warlords and political directors, for·m the power elite. right gifts out of the people's do·· these lesser institutions into means main," and war profiteering. for their ends." This interlocking di 1;' e 'c tor ate "share decisions having at least "The very rich have used existing In a passage as searing in its national consequences," and often laws, they have circumvented and truth as in its irony, Mills ob. determining world development. violated existing laws. and they serves: The scope and effects of their op. have had laws created and en­ erations make their power quali­ forced for their direct benefit." "The life-fate of the modern individ­ T,heir immense revenues are ual depends not only upon the family tatively superior to the power of into which he was born or which he en­ those lower in the social scale. derived from their ownership of ters by marriage, hut in~reasinglyupon the giant corporations. They are the corporation in which he spends the "The owner of a roadside fruit stand closely tied up in a thousand ways most alert hours of his best years; not does not have as much power in any ·with the chief executives of the only upon the school where he is edu· area of social or eCQnomie' or PQlitical monopolies. The corporate rich cated as a child and adolescent, but decision as the head of a multi-million­ alone are really free, or least also upon the state which touches him dollar fruit corporation; nQ lieutenant at throughout his life; not 'Only upon the on the line is as powerful as the Chief enjoy incomparably more /free. church in which on occasion he hears 'Of Staff in the Pentagon; no depl,ty dom of action and of inaction than the word of God, but also upon the sheriff carries as much authority as the anyone else. Their wealth affords army in which he is disciplined. President of the United States." them unrestricted command over "If the

20 Winter 1957 have now become the most exalted Mil]~ob~erves: "The military ,"In their moral fright, postwar lib­ of untouchables. The Pentagon is capitalism of private corporations erals have not defended any left or even their headquarters and m'Onument; any militantly liberal position; their exists in a weakened and f'Ormal defensive posture has, first of all, led the occupation 'Of the White House, democratic system containing a them to celebrate the 'dvil liberties,' their principal d'Omestic con'quest military order already quite po­ in contrast with their absence frorr t'O date. litical in outlook and demeanor." :Sovie.t Russia. In fact, many have been. The military and political rep. It would be hard to improve on 80 busy defending civil liberties that this definition. they have had neither the time nor the. resentatives of monopoly capital. inclination tQ use them. 'In the old ism have 'no outlook other than Mills does not give much com­ days,' Archibald MacLeish remarked at maintaining'the nation on a per­ fort to th'Ose who see any funda. the end of the 'forties, freedom was manent war footing. They have mental differences between the 'something you used.•• [It] has now saddled the country with a per­ Republican and Democratic Par. become something you save - some­ manent and ever.growing mili. thing YO.l:! put away and iprotect like ties. He says: "During the New your other possessions. - like a deed tary establishment which already Deal, the corporate chieftains or a bOnd in a bank.' " dominates the economy thr'Ough joined the political directorate; as its expenditures, the male youth of W'Orld War II, they have com.e If liberalism has collapsed as thr'Ough the draft acts, as well as to dominate it." a~ influential force, the intellec­ scientific research and devel'OP­ "More and more of the funda­ tuals as a whole have surrendered their roles as independent opin­ ment and the higher educati'Onal mental i~suesnever come to any ion.molders and enlighteners of instituti'Ons. point of decision before the Con. the people. The field has been left Mills emphasizes that perma­ gress 'Or before its more power. nent militarism means permanent ful committees, much less before free for the unchallenged suprem­ acy of the m'On'OPolist advocates w~r as an indispensable instru. the electorate in campaigns." Most of "The American Century." ment 'Of national capitalist P'Olicy. basic decisions are made by a As A'merican P'Olitics has bec'Ome soma'll, uncontrollable group cen. Mills does not 'have any higher more militarized, the ,military have tered around the Chief Executive. appraisal of the qualifications and 'becomem'Ore P'Olitical. ASP'OlJtics 'Mills sc'Ornfully dismisses the objectives of the union official. gets into the army, the army gets notion that there is any "balance dom. 'The leaders of labor 'are to­ into politics on the highest level. of powers" among the different day "well below the top councils; Senator McCarthy was bridled, and sections of the populati'On as a they are of the middle levels of gagged primarily because he tried, whole. Decisive power on decisive power." But they are striving for t'O interfere with the Army High issues is concentrated exclusively higher stakes among the "national C'Ommand. The military men n'Ot in the top c i r c I e s centralized power elite." In' pursuing "the 'Only shuttle between the capitals around the Chief Executive. He strategy of maximum adaptation," 'Of the world as diplomats but in. says that a small amount of power they encounter obstacles both frOIu creasingly staff the executive posts is scattered around among middle­ above and from below: "They feel of key c'Orporati'Ons' and enter the class elements while the masses a tension between their public: highest executive 'Offices from are deprived of any power what. their u n ion members - before Secretary of State to the Presi· soever. whom it is politically dangerous dency. to be too big a 'big.shot' 'Or too Mills paints a sad but faithful The corporate rich, war­ closely associated with inherited the picture of the decadence of lib­ lords and the, big politicians joint. enemies - and their newly 'found ly develop and administer d'Omes. eraJism: companions and routines of life." tic and foreign policies. The trio "Postwar Uberalism has been organ­ As a result, the lahor leaders oc­ have been amalgamated into a izationally impoverished: the prewar cupy uneasy positions between single force thr'Ough the present years of liberalism-in-power devitalized their business associates and the Republican "Cadillac Cabinet." independent liberal groups, drying up union ranks. the grass roots, makin.g older leaders "The three top policy-making posi. dependent upon the federal center and Mills ends' his survey of the tions in the country (secretaries of state, not training new leaders round the power elite with this indictment. treasury and defense) are 'occupied by country. The New Deal left no liberal The current monopolizers of power organization to carry on any liberal ,a New York representative of the lead. have no responsibility to the peo­ ing law firm 'Of the country, which does program; rather than a new party, it5 international· business for the Morgan instrument was a loose coalition inside ple or to anyone else. With. and Rockefeller interests; by a mid­ an old one, which quickly fell apart so in the existing setup they are west c:!orporation executive who was a far as liberal ideas are concerned. More­ uncontrolled and uncontrollahle directoI' of a complex of over 30 cor­ over, the New Deal used up the 'heritage and they profit from this state porations; and by the former !president of liberal ideas, made them banal as it of, irresponsibility. The pos­ of one of the three or four largest c'Or­ put them into law; turned liberalism porations and the largest producer 'Of into a set of administrative routines to sessors of power are split from military equipment in the United defend rather than a program to fight and opposed to the possessors of States/· for. knowledge. He terms their irre.

Winter 1957 11 sponsibility the "higher immoral­ are vast inequalities of wealth and the ground that each of them ex­ ity." "Commanders of power, un­ power, plutocracy in place of de­ ercises a portion of power. But equalled in human history, they mocracy, and a frightfully expen­ surely that does not dispose of the have succeeded within the Amer­ sive and expanding n1ilitarism. basic issue. In whose interests do can system of organized il're­ In other countries a militarized they wield their power? The facts ·sponsibility." state monopoly capitalism has which he himself amasses demon­ taken on fascist or openly dic­ strate that the military and the 4. tatorial forms - but not yet here. politicians, while advancing their own careers, act primarily in pro­ Lenin wrote his classic analysis Thanks to the historica'l privileges of the U.S., its immense wealth moting the interests of the bil. of imperiaIi~min 1916, basing it and the under.development of lionaires. on materials provided by the Eng­ This can e'asily be seen in the lishman Hobson and the German class conflicts, American capital­ ists have not been compelled to dis­ case of such a popular Culture Hilferding. In the 40 years since card the old democratic forms, Hero and sycophant of the rich as then colossal dhanges have af­ Arthur Godfrey. But it is equally fected imperialism as a world sys­ even though they ha vecurtailed them. But the danger of extreme demonstrable in the care'er of such tem and especially the position of a capitalist politician as Henry the U.S. within it. The imperial­ reaction, as evidenced in the shapes of McCarthyism and mili­ Wallace. The prospective Presi­ ist system, which was then at its tarism, remain lodged in the in .. dential candidate of 1944' was peak, is crumbling before our eyes ner structure and inescapable ten­ pitched out of the Democratic cab­ and, instead of a network of com­ jnet and humbled in 1946 because paratively equal competitive states, dencies of the system. Mills exhibits both the strong he hesitated at that time to go it ha.s become centralized in the along with the Cold War policies American ·colossus whose power and the weak points of his school of sociology; which owes ,more to proj ected by the postwar needs of is its main support. imperialism. Even so powerful a Equally iInportant modifications the German writers Mannheim and Weber than to Marxism. He ex­ general as MacArthur was brought have been introduced into the in­ to heel in 1951 when he tried to ternal organization of U.S. mo­ cels in the generalized descrip­ tion of the outstanding traits of resist and divert the main line of nopoly capitalism. The Mills study monopolist foreign policy. Both is valuable in its analysis of some social groupings. He often stum­ bles and falls down, however, in the politicians and the Brass Hats of the most significant of these function as executors of policies c:hanges in the political, social dealing with the fundamental na­ ture and relations of the ·class whose contents are essentially dic­ psychological and cultural super­ tated by the national and interna­ structure of American imperial- forces in our society. For exam­ ism. . ple, he takes exception to two fun­ tional objectives of the ruling rich. It is plain that American 'mo­ damental propositions of historical In the same spirit, Mills substi­ nopoly capitalism has passed into materialism. He claims that· "the tutes the term "power elite" for a higher stage of its development. American government is not . . . ruling class, because, he says, In place of the more or less auto­ a committee of the ruling dass," ruling class is "a badly loaded matic operation of 'capitalism, the and refuses to acknowledge that phrase." This substitution is more federal government and its mili­ there is any single ruling class in polite. But is it more 'accurate and tary component has today· become this country. These are oversim­ s'cientific? "Ruling class" is a com­ the principal prop of the economy plified Marxist theses, he says. bined concept: class is an eco­ and the national prosperity. Whole His contention that the Arner­ nomic category, rule a political industries, such as aircraft, di­ icangovernment is not a com· one. Mills says he prefers "power rectly depend upon the federal ex­ mittee of the ruling class is based elite" because it is exclusively po­ litical in connotation. This sounds penditur~~made possible by heavy upon his special conception of the taxation .. As the monopolists have power elite. Which of the three eminently plain an<;l simple, but become more dependent upon the sides of the triangle composed of the situation is not so simple as state power, the government has the corporate rich, the warlords he makes out. become ·more openly dependent and the politicians, is predomi­ It is true that "ruling class" upon them. nant and which subordinate? contains in a single concept ref­ "The invisible government" that Which is the master and which erences to both economic relations the progressives of yesteryear the servants? and political functions. Is this sought to disclose, has become not It is instructive to note that justified by the facts? Mills him­ only visible but insolent. The mo­ Mills, who is so scrupulous about self admits that in many cases, nopolists hold the reins of gov­ defining inequalities in other seg­ and even in this one, the economi­ ernment tightly in their hands. ments of the social structure, cally predominant class is likewise The ripe fruits of capitalist evo­ places all three of these forces on poli tically predominant. In fact, lution, as Mills describes them, an equivalent level. He does so on this is the rule in the history of

lVinter 1957 class society. But, he objects, there of capitalist society need not be from other sources, such as the are exceptions to this rule. It has historically and socially deter­ speech he delivered to a United occasionally happened that the eco­ mined in their major actions. Automobile Workers Educational nomically superior class is not po­ Conference in, 19,51, that Mills litically sovereign, and vice versa. 5. urges the formation of a Labor This is so. But in all such excep­ Party as th~indicated next Istep tional cases there remain two fur­ Mills demonstrates that the in American politics. The political ther questions to be answered: (1) sovereignty of the people is a outlook of this professor is more which class is decisive in determin­ mockery in the United States. advanced than that of the labor ing basic state policies, and (2) How, then, is the promise of de­ leaders. His advice is well worth which class serves whith? mocracy to be made a reality? listening to. In any event, he has The American monopolists are Reformists aim to make the power indicated the way to begin the not only economically but, as he elite "responsible" to the people; mass political processes which can abundantly proves, also politically the revolutionary forces seek to bring about the downfall of the sovereign. They are not Hke the dislodge the plutocratic trium­ plutocratic power elite, who, in Japanese and German capitalists virate and replace it by a gov­ his own. words,are neither rep­ who were politically subordinated ernment power responsible to the resentative, virtuous, meritorious to feudalized landowners and mili­ masses. That requires not only nor able; and through the estab­ tarists. The American military fundamental changes in the polit­ lishment of a Workers and Farm .. and political leaders have only a ical setup but also the nationaliza­ ers Government ~akedemocracy relative autonomy and are strictly tion of the productive apparatus. for the first time the governing dependent upon the plutocracy. In this book l\1ills does not of­ reality of American liie. What, therefore, prevents Mills fer any political prescriptions, al­ from designating the monopolists though they are implicit in much as the "ruling class"? of what he says. It will obviously BegrollpDlellt There appear to be two reasons. take a very formidable counter­ One is his reluctance to be too ~owerto discipline, let alone dis­ closely' identified with Marxism. lodge, the coalition of plutocrats, A Programmatic Basis The other is inherent in his own warlords and professional politi­ For Discussion theoretical method and outlook. cians. In this country such apower He views the distrj-bution of power can be found in only one place: Of Socialist Unity as systematically disorganized and in the ranks of organized labor. the power elite as fundamentally Organized labor is already ob­ by the National Committee "irresponsible." This is one-sided. jectively counterposed to Big Busi­ of the Socialist Workers 'rhe superficial disorganization of ness on the industria'l field. Mills farty American politics is contrived and points out: "The concentration of used to assure the supremacy of corporation power and the infor­ monopolists. And while it is true mal coordination of the business • that the power elite have no re­ world - with and without inter­ sponsibility toward the people, this locking directorships - has be. The SWP's position ontJhe re­ is only the outer side of their loy­ come such that the Department group-ment of revolutionary so­ alty and subservience to the real of Labor estimates that only some cialist forces in the U. s. masters of America. The warlords 147 employers really bargain out VVhat are the next steps? and the politicos are fully respon­ their wage terms with their labor sible when it comes to safeguard­ forces. These bargains set the pat­ Should a discussion precede organ­ ing the welfare of the wealthy. tern of wage contracts; thousands ization unincation? By thus prying the upper stories of other employers may gQ through VVhat are the most important pro­ of the political superstructure the motions of bargaining, but the grammatic questions to consider? loose from their economic founda­ odds are high that they will end tion, Mills opens the possibility up according to the pattern set of a liberal-labor capitalist regime by the few giant deals." Thus a • to eriforce policies contrary to the small band of monopolist employ­ economic interests of the monopo­ ersconfront the tens of millions Order from lists. He laments the absence of an of wage workers in negotiations, PIONEER PUBLISHERS enlightened and independent Civil over wages and working condi­ 116 University Pl., New York 3, N.Y. Service, -as though such a bureau­ tions. cracy would not be as subordi. This economic opposition is nate to the ruling rich as the bound to break through and as­ • Price 10 cents ~therinstitutions of government. sert itself on the political arena. He explicitly says that the leaders Mills is aware of this. We know Wiater 1967, 'I Letters to a Historian'

tional in the April and May issues, EarlyYears 1943) . Simultaneously with the expul­ sion of the Left Opposition, in December 19,27, Stalin began to Of the American appropriate a large part of Trot­ sky's program on the international field as well as in Russia. This is CommunistMovement what brought him into the con­ flict with Bukharin. by James P. Cannon * * * Before the Sixth Congress As I have said before, this was A student who is d'Oing research all a mystery to me at the time. January 27, 1956 work on the history of early Amer­ Then we .only noted the indica­ Dear. Sir: ican communism asked James P. Cannon, as well as other partici­ tions of a left turn. It began at a The period from the victory of pants, a number of questions about time when Lovestone and Wolfe the Lovestone faction in 19·27 until the events and prominent figures were divesting themselves of the the Sixth Congress of the Comin­ of the pioneer movement. Can­ leftist baggage they ha'Cl inherited tern in the summer of 1928 has non's answers, which began in the from Ruthenberg to give free play Summer 1954 issue of Fourth In­ to own political instincts, been oversha'Clowed in my mind by ternational, are e-ontinued here. their the new struggle I started after which were always decidedly con­ the Congress. Many of the details servative. The "left turn" of the .of \ the earlier 1928. period are enced by Trotsky. Stalin's method Comintern caught them off guard . blu.rred in my memory. I was away was to smash the Opposition or­ The formal record could give the from the party center nearly all ganizationally and then toexpro­ impression that the factional con­ the time between the February priate its i'Cleas and ,apply _them flict in the American party in the and May Plenums of the party. in his own way. It was Trotsky year 1928 centered mainly around I went on a big national tour for who first saw the coming of the the tra'Cle-union question, with the International Labor Defense new period of capitalist stabiliza­ Foster and Lovestone lining up on right after the February 1928 tion after the big postwar revolu­ one side and Bittlema:n-Oannon on Plenum and returned to New tionary upsurge had subsided. This the other. The documentary ma­ York only shortly before the May was shown already in his polemics terial may support this view, but Plenum. On the tour I tried to put against the leftists in 1921. Some­ it is not really correct. The main the factional squabbles out of mind what later the official policy of feature of Foster-Cannon-Bittle. an'Cl didn't keep track of internal the Comintern caught up with the man relations at that time was party devel.opments very closely. new reality and overdi'Cl the em­ their agreement 'on irreconcilable Your questions show a much great­ phasis o.n the new capitalist "sta­ opposition to the Lovestone re­ er familiarity with the events' of bilization." This was ,the peri.od gime in the party and their con­ that time. of the Comintern's swing to the servative perspectives in general. right -1924-19·28 - which helped The trade.union question was only * * the Lovestoneites 'So much in the one of the items in the struggle. We were aware in 1928 that the American party. And even though Foster, at the Comintern was making a left turn Just about the time the Conlin­ May 1928 Plenum, was closer to and that this was producing a tern was going overboard on this the Lovestoneites on this one point, more favorable climate for the Op­ theme, Trotsky saw the contra­ he was definitely with us· on an position in the American party. dictions in the new stabilization over-all factional basis in the fight Just how much this influenced me and the opening up of new revo­ against the Lovestone regime. It at the time is hard to say now in lutionary perspectives. His fight was Foster who first approached retrospect. We were all predomi­ against the official policy on the me when I returned to New York, nantly concerned with the Amer­ Anglo-Russian Committee and the shortly before the May Plenum, ican struggle. I didn't begin to British General Strike reflected with a proposal that we get to­ get a real international orienta­ his thinking in that time. So also gether for a more aggressive fight tion until aftei~the Sixth Congress did his book Whither England? againat the Lovesto.neites. Pepper, of the Comintern. and his speech of February 15, it appeared, had returned to this It is clear now that all of S ta­ 1926, on "Europe and America" country in the spring of 1928 with lin's mOV08 were strongly influ- (republished in ji'ourth Interna- a special mission to promote "uni-

Winter lOS' ty" of the Lovestone-Foster I never went to the extreme AFL­ party - after our expulsion in Oc­ groups. The Lovestoneites were ism that Foster did. tober 1928 - to go' 'all out for a trying hard, at the instigation of At the 1920 Convention of the policy of independent unionism, Pepper, to win over or heutralize United Communist Party, where and to' transform the' TUEL into a Foster, but he was not receptive. an anti-AFL position was adopted, new trade-union center under the At the May Plenum the Love­ I had spoken for a more flexible name of the Trade Union Unity stoneites centered their attacks policy of working within the ex­ League, was swallowed by Foster, on me and Bittleman and made a isting AFL unions and of sup­ but it n1ust have been a bitter pill big play for "unity" with Foster. porting independent unions in for him. It constituted, in effect, I remember ridiculing their sud­ fields neglected by the AFL. The a repudiation of his whole course den discovery of Foster's virtues Convention report of the speech since his break with the IWW. by asking if they meant to kill of "Dawson" refers to 'me. (The When Zack was expelled from him with kindness, and quoting Communist, official organ of the the CP 'and came over to us for a the Latin ·adage: "De mortuis nil United Communist Party, Vol. I, while, in the fall of 1934, he told nisi bonum." The aptness of the No.1, June 12, 1920, page 4.) me that he had been to see Foster remark was pretty well under­ J n the exigencies of the f'action shortly before that. He found him stood in the whole assembly, and fight that 'began in 19'23 there very ill, helpless and discouraged. Foster joined in ,the general laugh­ was no special occasion, and it Zack said that Foster had e;n­ ter. The Lovestoneites wanted to was not appropriate, for this dif~joined him' not to take any steps make a captive of Foster, but their ference of emphasis to show it­ that would give Browder the pre .. maneuver was fruitless. Foster self openly in the party. But as text to expel him from the -party. ,vas dead set against their control early as ,the 1926 Plenum,both In connection with that, he told of the party and rejected all their Dunne and I differed with the Zack that he had never believed overtures. Fosterites on the Passaic cam­ in the program of the TUUL but * * * paign. Dunne's support of Losov­ felt that he had to go along with it Foster's approach to the trade­ sky at the Fourth Congress of the to prevent his own expulsion. union question was not the s'ame RILUwas the natural expression as that of Lovestone and Wolfe. of our real senti~entabout the * * * The position of the latter on that, necessity of building' independent I doubt that Foster's failure to' as on other national questions, unions in fields neglected or sabo­ attend the Fourth Congress of the was determined by their basically taged by the AFL. That could be Profintern i!n the winter of 1928 conservative view of American considered a real difference be­ had any special signific'ance. He perspectives. They were 'sure that tween us and Foster; but we con­ was deeply preoccupied with the American capitalis'm was entering sidered it then as a difference of miners' campaign at that time and -its "Victorian" period, and they emphasis, and it was overshad­ was in the field constantly. I don't seemed to be downright happy owed all the time,_ even at the May recall any special discussion be­ about it. These people simply did 1928 Plenum; by our general tween me and IDunne before his not believe in the perspective of agreement in opposition to the departure for this Profintern Con .. revolution in this booming coun­ Lovestone regime and its conserva­ gress. My memory about the whole try. tive outlook in general. thing is rather hazy - perhaps be­ Foster's trade-union position * * * cause I was on tour all that time. was differently motivated. He was Bittlem-an's role in these Inew I think there is no doubt, how.. the prisoner of his own fetish of developments was. a special one. ever, that the initiative for the "boring from within" the AFL, Bittleman was never a "Fosterite" sharp turn came from Losovsky which had dominated his think­ any more than I was. He was first, and not from us. But it was very ing :since his break with the IWW last and all the time a Moscow easy for us to go .along with it, in 1911. His whole career seemed man, and the line from Moscow because it was becoming Imore and to be bound up with that specific w'as law for him. He had the ad­ more obvious to us ,that the or .. tactic, and he was tied to it by v'antage of reading Russian and ganization of the unorganized re­ the possibly unconscious need of that put him one jump ahead of quired more emphasis on, inde.. ,s€lf -j us,tifica tion. the others whenever new winds pendent unions in certain fields. I had never fully agreed with begam to blow in Moscow. More­ My trade-union article in the Foster on the trade-union ques-' over, inside the party Bittleman July 192,6 Communist was pub~ tion. I had started out in the IWW always had his own personal ,sub­ lished at my own insistence. I felt and I never dis'avowed my work faction in the Jewish Federation. rather strongly about the question in that field. I had ·come to rec­ It was always necessary to' deal and wanted to make my position ognize the error in the IWW 'at­ with him not merely as an indi­ dear. It was considered somewhat tempt to build brand-new revolu­ vidual but as the representative "irregular" already then to have tionary unions all up ·and down of a factional following. conflicting views appear in the the line. But in my own thinking The fin'aI decisionm'ade by the (Continued on page 34)

Winter 1957 25 From the Arsenal of Marxism certain minimum of ground rent, independent of the quality of the piece 'Of land. This is what is Stalin called absolute rent. Thus the real amount of ground rent reduces it­ self theoretically to the sum of the absolute rent and the differential As a Theoretician rent. In accordance with this theory, by Leon Ti'otsky liquidation of private ownership of land leads to the liquidation of GroundRenl, or- absolute ground rent. Only that rent remains which is determined SialinDeepens Marx and Engels by the quality .of the soil itself, N THE beginning of his strug­ the land, declaring that "he was 'Or more correctly, by the applica. gle ag,ainst the "General Sec­ misunderstood." tion of human labor t'O pieces of I retary," Bukharin declared in land of varying quality. It is un­ After the proclamation of the necessary to explain tha't differen­ some connection that Stalin'-s chief Left course, Stalin not only be­ 'ambition was to ,compel recogni­ tial rent is inot some :sort of fixed c'ame a defender of land nationali­ property of the pieces of land, but tion of himself asa "theoreti­ zati'On but immediately accused the cialn." Bukharin kn'Ows Stalin well changes with the methods of cul~ enough, on the 'One hand, and the tivation. These brief reminders are This: ,~oncl'udesTrotsky's presenta­ ABC of Communism, on the other, needed in order to reveal the whole tion, begun in our last issue, of Sta­ sorriness 'Of Stalin's excursi'On into to - under,stand the whole tragi­ lin as a Theoretician. The parts comedy 'Of this pretension. It was printed here, in a newly revised the theoretical realm of land na­ in the role of the'Oretician that translation, first appeared in EngliSih tionaliza tion. Stalin spoke at the conference of in The Militant of November 15 and Stalin begins 'by correcting and December 1, 1930. The entire arti· Marxist agronomists. Among oth. de was first published in Russian deepening Engels. This is not the er things, ground rent did not in the Bulletin of the Left Opposi· first time with him. In 19126 Stalin CQme out unscathed. tion, No. 14, August 1930. explained to us that to Engels as Only recently (19,25) Stalin was well as to Marx the AB C law of occupied with -strengthening the Opposition of not understanding the unequal development of capi­ peasant holdings for scores 'Of the significance of the whole in­ talism was unknowp., and precisely years - that is, the actual 'and stitution. Yesterday's negativism because of this they both rej ected juridic'al liquid&tion of nationali­ toward nationalization was sud­ the theory of socialism in one coun­ zation of the land. The People's denly transformed ihto 'a fetish­ try which, in opposition to them, Commissar of Agriculture of ism. M'arx's theory of ground rent was defended by Vollmar, the theoretical forefather of St,alin. Georgia -!llot without Stalin's acquired ,a new administrative . , -knowledge, of course ~at that task: to justify Stalin's complete _ At first glance it m'ay seem that time introduced a legisl1ative proj., collectivization. Stalin is somewhat more guarded ect for direct abolition of land na­ A brief reference to theory is in 'approaching the question 'Of tionalization. The Russian Com­ needed here. In his unfinished land nationalization, or more pre­ missariat of Agriculture was analysis of ground rent, Marx di­ cisely, the insufficient understand­ working in the sam,e spirit. The vided it into absolute and differen­ ing of this problem by the old Opposition sounded the alarm. In tial. Since the same human labor m'an Engels. But in essence his its platform it wrote : "The party applied to different pieces of l'and ,approach is just as loose. He quotes must give a crushing rebuff to 'all yields different results, the -sur­ from Engels' work on the peasant tendencies directed toward abol­ plus yield of the more fertile piece question the famous phrase that ishing 'Or undermining the illa­ will naturally be appropriated by we will in no way violate the will tionalization of the land, one of the owner of that piece. This is dif­ of the small peasant; on the con­ the pillars o~ the dictatorship of ferential rent. But no 'Owner will trary, we will in every way help the proletariat." Just as in 1922 make a free gift of even the pOOl'­ him "in order ,to facilitate his Stalin had to give up his assault est parcel 'Of land to a tenant S'O transition into ass'Ociati'Ons," that on the monopoly of foreign trade, long 'as there is a demand for it. is, to collective agriculture. "We so in 1926 he had to give up his In other words, from private oWin_ will try to give him as much time assault on· the nationalization of ership of land necessarily flows a as possible to reflect on it on his

2(; Winter 1957 own plot of land." These excellent recommends caution preeisely after But Stalin does not stop at this: words, known to every literate the conquest of power by the pro­ he im'mediately supplements eco­ Marxist, give a clear and simple letariat, consequently, after the nomic incoherence with theoreti. formula for the relation 'Of the abolition of private ownership of cal. "Why," he asks his unfortu­ proletarian dictatorship to the the means of production. nate auditors, "do we succeed so peasantry. By ,counterposing the Soviet easily (!!) in demonstraMng, un. peasant policy to Engels' :advice, der the condition of nationalized Stalin "Explains" Stalion 'confuses the question in the land, the 'Superiority (of' collec­ Confronted with the necessity nlOst ridiculous manner. Engels tives) over the small peasant econ­ of justifying complete collectiviza. promised to give the small pea~mntomies? This is where the tremen­ tion on a frenzied scale, Stalin un­ time to reflect, on his own plot of dous revolutionary significance of derlines the exceptional, even "at land, before he decides to enter the Soviet agrarian laws lies, first glance exaggerated," caution the collective. In this transitional which did away with absolute 'Of Engels with regard to leading period of the peasant's "reflec. rent. . . and established nat.ion. the small peasants over on to the tions," the workers state, accord­ alization of land." And Stalin self­ road of ,socialist agriculture. What ing to Engels, must guard the small contentedly, and at the sa.me time guided Engels in his "exaggerated" peasant against the usurers, the reproachfully, asks: "Why is not caution? Stalin replies thus: "It is grain merchants, etc., that is, must this new (! ?)argument utilized evident that his point of departure limit the exploiting tendencies of sufficiently by our agrarian theo. was the existence of private own. the Kulak. Soviet policy in relation reticians in their struggle aga~inst ership of land, the fact that the to the main, that is, the non.ex­ all the bourgeois theories?" And peasant has 'his own plot of land' ploi ting mass of the peasantry, had here Stalin makes reference - the from which he will not easily break precisely this dual character in Marxist agronom'ists are recom­ his ties... Such is the peasantry spite of all its vacillations. The col­ mended not to exchange glances, ,in capitalist countries, where pri­ lectivization movement is today - not to blow their noses in confu. vate ownership in land exists. Un. in the thirteenth year after the sion, and what is more, not to hide derstandably, here (?) great cau­ conquest of power -actually only their heads under the table - to tion is needed. But can it 'he said in its initial stages, despite all the the third volume of Capital ,and to that we in the USSR have such a statistical hubbub to the contrary. Marx's theory of ground rent. Oh situation? No, it cannot be said. To the overwhelming mass of the grief and sorrow! To what heights It cannot, because we have no pri. pea'sants the dictatorship of the this theoretician ~limbedbefore ... vate ownership of land tying the proletariat has thus given twelve splashing ointo the puddle with his peasant to his individual economy." years for reflection. Engels hard. "new argument." . Such are StaHn's reasonings. Can ly had in mind such a long period, According to Stalin, the West· ,it be said that in these reasonings and such a long period will hardly ern peasant is tied to the land by there is even a grain of sense? No, be needed in the advan.ced coun­ nothing else than "absolute rent." it cannot be said. En.gels, it ap­ tries of the West where, with the And since we "did away with" that pears, had to be "c'autious" because high development of industry, it viper, then by this token disap. in the bourgeois countries private will be incomparably easier for the peared the enslaving "power of the ownership of land exists. But Sta. proletariat to show the peasants land" over the peasant, so grip­ lin needs no caution because in the in action all the advantages of col. pingly depicted by Gleb Ouspen. USSR we have established nation­ lecti ve agriculture. If it is not un­ sky in Russia and by Balzac and aHzation of the land. But did pri. til twelve years after the prole. Zola in Framce. vate 'Ownership of land, along with tariat's conque'st of power that we F!irst of all, let us establish that the more archaic communal own­ in the Soviet Union are undertak­ in the USSR absolute rent was not ershipalso exist in bourgeois Rus. ing a broad movement toward col. done away with but was state-ized, sia ? We did not find nationaliza­ lectivization - 'a movement as yet which ig not one and the same tion of the land ready.made; we very primitive in content and very thing. Newmark valued the na. established it after the conquest of unstable - this can be explained tional wealth of Russia in 19,14 at power. And Engels is speaking only by our poverty and backward­ 140,000,000,000 gold rubles, in­ ,about the poHcy the proletarian ness, despite the fact that the land cl uding in the first place the price party will adopt precisely after the has been nationalized, something' of all the land, that is, the cap. 'conquc.)t of power. What sense is that presumably did not occur to italized rent of the whole country. there to Stalin's condescending ex­ Engels and which presumably the If we should want to establish planation of Engels' indecision: Western proletariat will be unable now the specific weight of the -na­ The oldm'an, you see, was obUged to carry out after the conquest of tional wealth of the Soviet Union to act in bourgeois countries where power. This counterposing of Rus. within the wealth of humanity, private ownership of land exists, soia to the West, and of Stalin to we would of course have to in. while we hit on the idea of abolish. Engels, reeks with the idealization clude the 'capitalized rent, absolute ing private ownership. But Engels of national backwardness. as well as differential.

Winter 1957 27 All eCQnom:ic criteria; 'absQlute abs<;>hite grQund rent is sunk with­ plot of land' with ~omparative rent included, reduce themselves out a trace but many Qther things' ease, it is 'nO't at all because Stalin's to' ,human labor. Under the cQndi­ as well. This side Qf the matter, "new argument" :liberated them' tiQns of a market eCQnomy,grQund which has nO' direct relatiQn to' the frO'm absQlute rent, but fQr the rent is determined by the qua!nti-' cO'llectivizatiO'n Qf peasant econ­ very reaSQn for which, priQr to' ty of products that the owner of the O'my, ,nevertheless gives us Qne the OctQber revO'lutiQn, periQdic land can extract from the prQducts mQre example O'f that idealizatiQn redi visions of the land tQok place Qf the labQr applied to' it. The Qwn­ O'f econO'mic iSQlatiO'n and ecO'­ in Russia. Our N,arQdniki ideal­ er Qf the land in the USSR is the nQmic backwardness which is Qne ized these redivisiQns as such. But state. By that, it is the bearer of of the basic features of Qur 'na­ they were Qnly possible because Qf the grQund rent. As to' the actual 'tiQnal-sQcialist philQsO'pher. our nQn-intensive econQmy, the liquidatiQn of absQlute rent, we Let us return to' the questiO'n. Qf three-field system, the miserable will be able to' speak Qf that Qnly cQllectivizatiQn. ACGording to' Sta­ wQrking 'Of the SQil- that is, Qnce after the socializatiQn Qf the land lin, the small Western peasant is again, because 'Of the backward­ all over the planet, that is, after tied to' his' parcel O'f land by the ness idealized by Stalin. the victQry Qf the wQrld revQlutiQn. cha-in O'f absO'lute rent. Every peas­ Will it be mQre difficult fQr the But withiin natiQnal limits, if Qne ant's hen will laugh at his "new victQrious prQleta.riat of the West may say sO' without insulting Sta­ argument." Absolute rent is a than it is fQr us, to' eliminate the lin, nQt Qnly sQcialism cannQt be pUff!ly capitalistcategO'ry. Parcel­ peas'ant CQnservatism that flQWS cQnstructoo, but even absQlute rent ized peasant eCQnQmy can partake frQm the mQre intensive cultiva­ cannQt be dQne away with. of absQlute rent 'Only under epi­ tion in a small-ownership eCQn­ SO'dic ·circumstances O'f an excep­ Qmy? By nO' means. For in the 'l'he USSR as Land Owner ticmally favO'rable market cQnjunc­ West, because Qf the incQmparably This interest,ing theQretical ques­ ture, as existed, fQr instance, at the higher state Qf industry' and cul­ tion has practical significance. beginnin,g 'O'f the war. The ecO'­ ture ,in general, the prQletarian GrQund rent finds its expressiQn nO'mic dictatO'rship Qf finance cap­ state will be able far mQre easily on the wQrld market in the price ital Qver the atQmized village is to' give the peasant in transitiQn of agricultural prQducts. InsQfar expressed on' the market in un:.. to. cQllective labQr an evident and as the SQviet gQvernment is an equal exchange. In general, the genuine compensatiQn fQr his lQSS eXPQrter Qf the latter ~and with peasantry the wO'rld O'ver dO'es n'Ot 'Of the "differential rent" Qn hIS the intensificatiQn of 'agriculture escape the "scissQrs" 'regime. In pa:rcel of land. There can be nO' grain eXPQrts will increase greatly the prices Qf grain and agricul­ dQubt that twelve ye-a'rs after the

- to' that extent 'the Soviet state~tural prQducts in general, the O'ver­ conquest of power the cO'llectivi­ armed :with the mQnQPoly Qf fQr­ whelm-ing 'mass Qf small 'peasants zation of agriculture in Germany, eign trade, 'appears Qn the WQrld dQes nO't realize a wage, let alQne England Qr America will' be im.:. market asowner o/the land whose rent. measurably higher and firmer than products it exports; thus in the But if absolute rent, which Sta­ ours tQday. price Qf these prQducts the SQviet lin sO' triumphantly. "did away ,Is it not strange that his "new state 'realizes the grQund rent cO'n­ with," says decidely nQthing to' the argument" in favor Qf cQmplete centrated in its hands. If the tech­ mind or heart Qf the small peas­ cQllectivization w'as diS'cQvered by nique Qf Qur agriculture as well ant, differential rent, which Stalin Stalin twelve yea'rs after n'atiQnal­ as Qur fQreign trade, were nQt in­ sO' ge'nerQusly spared, has a great izatiQn had taken place? Why t~en feriQr to' that O'f the capitalist significance precisely fQr the did he in 192'3-1928, in spite Qf the countries but on the same level, Western peasant. The tenant farm­ existence Qf natiQnalizatiQn, SO' then precisely with us in the USSR er hangs Qn to' his parcel all the stubbQrnly bank UPQn the PQW­ absQlute rent WQuld appear in its mQre strQngly, the mQre he and erful individU::al cQmmodity prQ­ clearest and, mQst cO'ncentrated his father spent strength and ducer and nQt UPQn the cQllectives? form'. When in the future such a means to' raise its fertility. This It is clear: nationalizatiQn Qf the stage is reached, that mQment will applies, by the way; nQt Qnly to land is a necessary, butaltQgether acquire the greatest significance the West but alsO' to' the East, fQr insufficient, cO'nditiO'n fQr sQcial­ fQr the planned directiO'n of agri­ exainple to' China with its regiO'ns ist agriculture. FrQm the narrQW 'culture and eXPO'rt. If Stalin nO'w of intensive cultivatiO'n. Thuscer­ econQmic PO'int Qf view, that is, the brags Qf our H doing ctwa,y with" ~ainelements Qf the conservatism point Qf view Stalin takes Qn the 'absQlute rent, instead O'f realizing of small ownership exist as a CQn­ questiQn, natiQnalizatiQn Qf the it Qn the world market, then a tem­ sequence nQt Qf 'the abs,tractcat­ land is precisely Qf third-rate sig­ PQrary right to' such bragging is egQry Qf absolute rent, but O'f the nificance, because the CQst Qf equip­ given him by the present weak­ material conditio.ns Qf the mQre ment necessary fQr ratiQnal, large­ ness O'f O'ur agriculturalexPO'rt intensive cultivatio.n in a parcel­ scale 'ecQn'Omy exceeds by many ,and the irratiQnal character Qf O'ur ized eCQnQmy.If the Russian peas­ times the absQlute rent. foreign trade, in which not only antRbreak their tieR to' 'R given N eerlless to' say that natiQnaliza·

Wiilter 1957 tlon of the land is a highly im. the real fruits of nationalization the same time. portant, an indispensable, political we cannot always add nationaliza. Such is the conclusion In gen· and juridical pre-condition for the tion itself, like some sort Qf a re­ eral. But the' specific, indiviqual socialist transformation of agri. serve ,fund out of which all the conclusion may be forn::tulated culture. But the direct economic excesses of the "complete" bureau­ more simply: signific'ance of nationalization at cratic adventures 'can be covered. Ii T01nfool, Tom/ool, any given moment is determined That would be' the same as if some­ It' were better that you by the action of factors of a ma­ one, after depositing his capital in s"tayed in school" , terial-productive character. This the bank, wanted to use both hi& -than to leave for distant theoret­ is revealed with aoeql1ate cla'rity capital and the ,interest on it at ical exc~lfsions. In the question of the peasant's balance of the October revolution. TheFormulas of, Marx The state, as owner of the land, (!oncentrated -in ilts hands the right AndIhe Audacil,of Ignorance to ground rent. Does it realize this ETWEEN the first and value, which afterwards becomes ground rent from the present mar­ , third volumes of Capital a source for creating additiona1 ket in the prices of grain, luntb~r,B there is a second. Our constant and variable capitals. etc.? Unfortunately, not yet. Does theoretician considers it his duty This in turn makes possible the it realize it from the peasant? to commit an adm1inistrative abuse acqufisition of greater surplus val. 'V'ith the multiplicity of economic of the second volume too. Stalin ue. Such is the spiral of extended reproduction in its most general accounts between the state and the must h~stnyconceal from criti. peasant, it is very difficult to an· cism the present policy of forced and abstract form. swer this question. It can be said collectivization. But since the nec­ In order to show how the dif. -and this will by no means be a essary proofs are not to, be found ferent material elements of the paradox - that the "scissors" of in ,the material condItions of the economic process, commodities, agricultural and industrial prices economy, he looks for them in find each other inside this unreg­ contain the ground rent in a con­ authoritative books, and inevitably ulated whole, or ,more precisely, cealed form. With theconcentra. finds himself every time on the how constant and variable capital tion of land, 'indu~tryand trans­ wrong page. accomplish the necessary balance port in the hands of the state, The advantages of large-scale in the different branches of in. the question of ground rent has for economy over small.seale--agricul­ dustry during the general growth the muzhik a bookkeeping signif. ture included-are' qemonstrated of production, Marx divides the icance, so to speak, not an eco­ by ,all of capitalist experience. The process of extended reproduction nomic one. But bookkeeping is potenthlladvantages of large-scale into two inter-dependent parts: on one of the techniques that doesn't collective economy ovetatomized the one hand, enterprises produc­ much concern the muzhik. He small economy were made clear ing the means of production, and draws a wholesale ba.lance of his even before ]darx, by the Utopian on the other, enterprises produc. relations with the city and the socialists, and their arguments re· ing ,articles of consumption. The state. main bas~caHys,Ound. In this enterprises of the first category It would, be more correct to ap. s'phere,' the" Utopians were great have to supply machines, raw Ima­ proach the same question from an­ realists. Their Utopia 'began only terials and' aux-iliary materials to other side. Thanks to the nation. with the questidn. of the historical themselves as well as to the enter­ alization of the land, factories and road toward collectivization. Here prises of the second category. In mills, the liquidation of the for­ the correct road was pointed out turn, the enterprises of the second eign debts, and the planned econ. by Marx's theory of the class category have to, supp'ly articles omy, the workers state was able struggle, as. weH as his criticism of consumption ..for their own needs in a short time to reach high rates of capitalist economy. as 'well as the needs of the enter. of industrial'development: This Capital gives an analysis and a prises 'of the f1rst category. Marx process undoubtedly 'creates the synthesis of the processes of cap­ uncovers the general mechanism most important premiise for col­ italist economy. The second vol­ of the accomplishment of this pro. lectfvization. This premise, how. ume examines the immanent mech­ portionality wbich constitutes the ever, is not a juridical but a rna· anism of the growth of capitalist basis of the dynamic balance un­ terial-productive one; it expresses economy. The algebraic formulas der cap'italism~* itself in a de~initenumber of of this volume demonstrate how plows, binders, com,bines, tractors, from one and ,the same creative * The formulas of the second· volume grain elevators, agronomists, etc., protoplasm - abstract human la. ignore the industrial and commercial crises that are part of the mechanism etc. It is precisely from these real bor - are crystalized the means of the capitalist balance.' These formu. entities that the collectivization of production, in the form of con­ las aim to show how, with 'Or without plan shoul-p proceed. That is when stant 'capital; wages, in the form crises and desPite crises, the. balan~e the plan Will become real. But to of variable capital; and surplus is nevertheless attained~- L. T.

Winter 1957 II The question ,of agriculture in cisely 'Of capitalism and only capi- without annual a·ccumulatioh;and its interrelation with industry is talism. . it is impossible tOoa-c~umulate ex­ therefore on an altogether differ­ To anyone with an under.stand­ cept by extended reproduction ent plane. Stalin evidently simply ing of Capital it is obvious that year in and year out. This is clear confused the production of arti­ neither in the first, second nor .a,.nd evident." Clearer it cannot cles of ,consumption with agricul­ third volume ,can an answer be be. But this is not a teaching of ture. With Marx, however, those. found to the question of how, when Marxist theory; it i.s the common caphalist agricultural enterprises and at what tempo the proletarian property "Of 'bourgeois political (and only ,capitalist) which pro­ dictatorship can carry through the economy, its quintessence. "Accu­ duce 'raw materials automatically collectivization of agriculture. mulation" as a condition for the faB into the first category; enter­ NQne of these questions, nor scores development of "'contemporary ·so­ prises producing .articles -of-con­ of others as well, have been solved ciety" - this is precisely the ,great sumption are in the second cate­ in any books, and hy their very idea that vulgar political economy gory. In both cases, they fall into essence 'could not have been 'Cleansed of the elements of the their category 'a10ng with indus­ solved.* In truth, Stalin in no way labor theory of value which had trial enterprises. Insofar as agri­ differs f.rom the merchant who already been embodied in clas,sical cultural production' has peculiari­ would seek in Marx's simplest for­ political economy. The theory that­ ties that oppose it to industry as mula M...lC-M (money-commodity­ Stalin SQ 'bombastically proposes a whole, the examination of the.se money) for guidance as to what to "draw from the tre'asury of peculiarities .begins only in the and when to buy and sell to make Marxism" is a commonplace, unit­ third volume. the maximum profit. Stalin .simply ing not only Adam Smith and Extended reproduction 'Occurs, in confuses theoretical generalization Bastiat but also the latter with reality, not only at the ex,pense of with practical prescription - not the American president, Hoover. "~Contemporarysociety'" - not the surplus value created by the to speak of the fact that Marx's theoretical generalization deals capitalist but "contemporary" - workers in industry itself and in with an entirely different prob­ i.s used in order to extend Marx's capitalist agriculture, but also by lem. formulas also to "contemporary" way of the influx of fresh means Crushing Marx's Formulas socialist society. "This is clear and from external sources: from the evident." And Stalin continues: pre-capitalist village, the backward Why then did IStalin need to bring in the formulas of extended "'Our large-scale centralized social­ countries, the colonies, etc.' The develops according reproduction, which he obvjously ist industry to acquisition of surplus' value from the Marxist theory of extended re­ the village and the colonies is pos­ does not understand? Stalin's own explanations on this are so inimit­ production (!) becaut:Je (!!) it sible, in turn, either in the form grows yearly in scope, accumu­ able that we must quote them liter:­ of unequal exchange, ·or of forced lates, and advances with seven­ ally: "The Marxist theory of re­ exactions (mainly taxation), or fi­ league boots." nally. in. the form of credits (sav­ production teaches that contempo­ Industry develops according to ings banks. loans, etc.). Historic­ rary ( ?) society cannot develop ally, all these forms of exploita­ Marxist theory ----; immortal for­ >:: In the first years after the October mula! In just the same way as tion combine in different. propor­ revolution it was necessary for us more tions and playas important a role than once to take issue with naive ef­ oa ts grow dialectically accQrding as the extraction of surplus value forts to seek in Marx the answers to to Hegel. To a hureaucrat, theory in its "pure" form; the deepen­ questions he could not even have posed. is an administrative formula. But jng of capitalist exploitation al­ Lenin unfailingly supported me in this. this is still not the heart of the I cite two examples which by chance ways 'goes hand in hand with its were recorded in stenograms. matter; "The Marxist theory of broadening. But the formulas of "We did not doubt," said Lenin, "that, reproduction" has to do with the Marx that ·concern us very care­ in comrade Trotsky's words, we would capitalis't mode of production. But fully dissect the living pro·cess of have to experiment - make tests. No Stalin is speaking of Soviet indus­ development, separating capitalist one in the world ever undertook such try , which he considers ,socialist reproduction from all pre-capital­ a gigantic task as ours." (March 18, without reservations. Thus Stalin ist elenlents and the transitional 1919.) is saying that "socialist industry" forms which accompany and feed And some months later he said: develops according to the theory "Col1!l'ade Trotsky was entirelye

30 \:ViRter 1951 one planned, then the planned econ­ still predominates. Can it be said of Marx. Yet the softest of answers omy, the soci'alist beginning, is re­ that our small peasant econOrnY should have sounded thus: Get off duced to zero. But even these are develops according to the 'princi .. the platform immediately, and do still only the blossoms - the ber­ pIe (!)' of extended reproduction? not dare to treat with problems ries are yet to' 'come. No,· it cannot be said. Our small you know nothi'ng about! The finest gem drawn by Stalin peasant economy ... is not always But we shall not fonow the ex.. from the treasury is the above .. able to realize even simple repro .. ample of the Marxist agronomists underlined little word ",because": duction. Can our socialized indus­ and keep still. Ignorance armed socialist industry develops accord­ try be pushed forward at an ac­ with power is just as dangerous ing to' the theory of ,capitalist ·in­ celerated tem'po, with such 'an agri­ as insanity armed with a razor. dustry "because it grows yearly ,cultural economy as. a base. • • ? The formulas of the second vol .. in scope, accumulates, and advan­ NiO, it cannot." Later comes the ume of Marx do not represent ces with seven-league boots." Poor conclusion: complete colle'ctiviza.. guiding "principles" of socialist tion is necessary. theory! unfortunate treasury! construction, but objective gen .. wretched Marx! Does this mean This passage -is even better than eralization of capitalist proces­ that Marxist theory was created' the preceding one. From the som­ ses. These formulas, abstracted especially to' prove the 'need for nolent banality of exposition every from the peCUliarities of ag.ricul­ yearly advances, and with seven­ now a,rid then firecrackers of auda­ ture, not only do not contradict its league boots at that? What then cious ignorance explode. Does the development 'hut fully embrace'it about the periods when capitalist agricultural economy, that is, as capitalist agriculture. industry develO'Ps "at a snail's s'i1nple con~modityeconomy, de­ The only thing that can be said pace"? In those cases, 'apparently, velop according to the ,laws of about agriculture in the frame­ Marx's theory -is abrogated. But capitalist economy? No, our theo­ work of the formulas of the sec­ all capitalist production develops retician replies in terror. It is ond volume is that these formulas in cycles O'f boom and crisis; this clear: the village does not live presuppose the existence of a means o'nly advances according to ·Marx. This matter that it not quantity of agricultural raw m'ate ... with seven-league or any other must be correct~d.Stalin attempts, rials and agricultural products for boots, ,but it also marks time and iil his report, to reject the petty consumption, sufficient to insure retreats. It seems that Marx's con­ bourgeois theories on the stability extended reproduction. But what cept is useless in regard to capi­ of peasant economy. Meanwhile, should be the :cor~elation'between talist development, for the under­ hecO'ming entangled in the net of agriculture ~nd industry: as in standing of which it was ,created, M'arxist formulas, he gives these England? or as in America? Both but that it gives full answer on theories a most generalized ex­ these types conform equally to the nature of the "seven-league" pression~In reality, the theory of Marxist formulas. England im­ advances of socialist industry. extended rep,roduction, according ports articles fO'rconsumption and! Aren't these mira'des? Not limit­ to Marx, embrace,s capitalist econ­ raw materials. America exports ing himself enUghtening Engels to omy as a tvhole - not only indus­ them. There is nO' 'contradiction on land nationalization, but 'at the try hut agriculture ~swell - only here with the formulas of extended same time busying himself with in its pure fOfIn, that is, without reproduction, which are in no way a basic correction of Marx, Stalin pre ...capitalist re'mnants. But Sta­ limited by national boundaries and at any rate marches ..• with sev­ lin, leaving aside for some reason are not adapted either to nation­ en-league boots. And the fO'rmulas artisans and handicrafts,' pos~sal capitalism or, even less, to so .. of Capital are crushed like nuts the questiO'n: "Can it be said that cialism in one country. under his heavy feet. our small peasant economy de­ If people should arrive at syn­ velops according to the princi­ thetic foods and synthetic forms But the Village ple (!) of extended reproduction?" Doesn't Follow Marx! of raw materials, agriculture would "No," he replies,' "it cannot be !be com1pletely negated, replaced But why did Stalin need aU this? said." by new branches of the chemical the puzzled reader will ask. Alas! In other words StaJin repeats, industry. What then would be.. we cannot jump over stages, espe­ in a 'most generalized form, the come of the formulas of extended cially when we can ha~dlykeep up assertions' of the bourgeois econ­ reprod uction? They would retain with our theoretician. A little pa­ omists that agriculture does nO't all their validity to the extent that tience and all will be revealed. develop according to the "princi­ capitalist forms of production and Immediately after the passage ple" of the Marxist theory of cap.i­ distribution remained. just dealt with Stalin continues: talist production. Wouldn't it be The agricultural economy of "But our large-s,cale indu.stry does 'better, after this, to keep still? boul"geois Russia, with the tre .. not exhaust the national economy. After all, the Marxist agrono­ me'ndous p.redomi'nance' of the On -the contrary, in our national mists kept still listening to his peasantry, not onJy met the needs economy small peasant economy shameful abuse of the teachings of growing industry, but also cre-

Winter 19~7 31 ated the possibility of large ex­ tween industry and agriculture. To countcrpose these rates of de­ ports. These processes were a,c­ The decisive lever of compulsory velopment is to show illiteracy in companied by the strengthening accumulation and planned distri­ economics. What is ealled peasant of the Kulak top and! the weaken. bution is the government budget. economy includes in essence all ing 'Of the peasant bottom, their With the further inevitable devel­ branches of the economy. The de. gr'Owing proletarianizatio~.In this opment, its role will necessarily velopment of industry has always, manner the agricultural e'conomy grow. Credit financing regulates and in all countries, taken place on capitalist foundations developed, the interrelations between the com­ at the cost of a reduced specific despite all its peculiarities, within ptlbwry accumulation of the budg­ weight of the agr-icultural econ. the framework of the very f'Ormu­ et and the market processes, in­ omy. It is sufficient to recall that las with which Marx embraces sofar as the latter remain in force. metallurgical production in the capitalist economy as a whole - Neither the budgetary financing United Stutes is almost equal to and only capi1talist economy. nor the planned or semi-planned the production of the farm econ­ credit financing, w h:ich insure the omy, while in the USSR it is one­ Pe~santEconomy extension of reproduction in the eighteenth of agdcultural produc­ And "Socialist" Industry USSR, can in 'any way, be embraced tion. This shows that despite the Stalin wishes to arrive at the within the formulas of the, sec­ high rates of development of the conclusion that -it is impossible ond volum'e. For the whole force last years our industry has not yet "to base... socialist cDnstruction of these formulas lies iln the fact emerged from infancy. To over. on two different foundations: on that they disregard budgets and 'come the contradictiDns between the foundation .of the largest-scale plans and tariffs and, in ,general, city and v.illage created by bour­ and unified socialist industry, and an forms· of governmentally-plan. geois development, Soviet industry on the foundation of the most ned intervention, and that they must first surp'ass the village to atomized and backward small com­ bring out the necessary lawful­ a far higher degree than bourgeois modity peasant economy." In real­ ness lin the play .of the blind forces Russia ever did. ity he proves the exact opposite. of the market, disciplined by the The present rupture between If the formulas of extended repro­ law of, value. W'ere the internal agriculture and the :state industry duction are 'applicable equally .to Soviet market "freed" and mo­ came about not hecause industry capitalist and to socialist economy nopoly of foreign trade abolished, advanced too far ahead of the - to "contemporary society" in then the exchange between city ·and agricultural economy - the van­ general-.- then it is absolutely in­ village would become incomparably guard position of -industry is a comprehensible why it is impossi­ more equaliz,ed and accumulation world historical fact and a neces­ ble to continue further 'develop­ in the village - ~ulakor farmer. sary,condition for progress - but ment of the economy .on the very capitalist accumulation, of course because our industry is too weak, same foundations of the contradic. -would take lits course, and it that is, has advanced too Httle to tions between city and village, upon would soon ,become evident that he able to raise 'agriculture to the which capitalism reached' an im­ Marx's formulas apply also to necessary }'evel. The aim, of measurably higher level. In Amer­ 'agriculture. On that, road, Russia course, is to eUminate the contra. ica the gigantic industrial trusts would in a short time be trans­ dictions between city and village. are developing even today side by formed into a colony upon which But the roads and methods of .this side with an agricultural econ'Omy the' industrial development of other elimination have nothing in com­ based on farmers. The farm econ. countries would lean. mon with equalizing the rates of omy 'created the basis .of Amer. In order to motivate complete growth of agriculture and of in­ ican industry. Our bureaucrats, by collectivization, the school of Sta­ dustry. The mechanization of agri­ the way, with Stalin at their head, lin (there is such a thing) has cir­ culture and the industrialization oriented themselves openly until culated crude comparisons between of a whole number of its branches only yesterday on Am'erican agri­ the rates of development in indus­ will be aC'companied, on the con. culture as the type, with the big try and in agriculture. As usual trary, by a reduction illl the ape­ farmer at the bottom, centralized this operation is performed most dfic weight of agriculture as such. industry at the top. grossly by Molotov. At the Moscow The rate at which we can accom­ The ideal equivalent of ex'change district -conference of the party plish this .mechanization is de­ 'is 'the basic premise 'Of the abstract 'in February 1929, Molotov said: termined by the prod ucti ve power formulas of the second volume. But "In recent yearg 'agriculture has of our industry. What is decisive the planned economy of the transi. lagged noti'ceably behind industry for collectivization is not the fac·t tion period, even though based in the rate of development. . . • that the percentage fig-ures for­ upon the law of value, violates it During the last three years indus. metallurgy rose by a few sc'Ore in at every step and fixes relation­ trial production increased in value the last yea.rs, but the fact that ships of unequal exchange between by more than 50 percent and agri­ the metal available per c'apita is different branches of the econ­ cultural production by only some negligible. The growth of collecti. omy" and in the first instance be .. seven percent." vization would be equivalent to the

Winter 1957 growth 'of the agricultU:ral econ­ Books group, the collapse of the great liber­ my itself only insofar as the for­ ating ,s'ocialist hopes which sprang up in the Resistance, and the struggle of mer is based on a technical rev- the individual characters against their 01ution in agricultural production. individual and collective isolation and But the tempo of ,such 'a revolution helplessness. is limited by the present specific The Mandarins is, in large Ipart, a politica'l novel. must therefore be 'weight of indu~try.The tempo It of collectiV!ization has to ,be coor­ judg~dfrom two standpoints: as a novel and as a political doc:!'Ument. dinated with the material re­ Looked at as a novel, the book is a sources - not with the abstract great success and marks an enormous st~is;ticaltempos - of industry. advance over the author's previous novels. Le Sang des Autres (The Blood In the interest of theoretical of Others) and L'Invitee (published in clarity, it should be added to what the U.S. as She Came to Stay) are ex­ tremely interesting, but mainly because we have alre'ady said, that the of the ideas expressed in them. Their elimination of the contradictions APolitical Novel characters never completely come alive between city and village, that is, - they seem, to a greater or lesser the raising of, agricultural produc­ by Shane Mage extent, 'artificially constructed in order to demonstrate the ,philos'ophy of exis­ tion to a scientific-industrial lev­ The Mandarins, by Simone de Beauvoir. el, will mean not the triumph of tentialism. World Publishing Co., Cleveland and In The Mandarins, on the other hand, M'arx's formulas in agriculture, New York. 1956. 610 pp. $6. the characters possess living reality. as Stalin imagines, but on the Ever since its publication five month3 We can grasp their internal motiva­ contrary, the end of their triumph ago, the Americ'an translation of Si­ tion through their natural thought and also in industry; for socialist-ex­ mone de Beauvoir's recent novel The aC'tion Iprocesses in their given situa­ tended reprod uction will take place Mandarins has held a high place on the tions. The "existentialist" viewpoint is not at all according tothe formulas best-seller lists. It is a moot question by no means absent - and the develop­ whether this is due to greater intellec­ ment of the female characters shows of Capital, the m'ai:nspring of tual maturity of the American reading unmistakably that this is a book by which is the pursuit of profits. public or to lurid (and inac:!'curate) re­ the author of The Second Sex; but these Hut all this is too complicated for views 'of the book's "sexual sensation­ ideas are never obtruded. Rather they Stalin and Molotov. alism." The fact remains that The Man­ are fundamentaI1y integrated into the darins is a rich, absorbing, sensitive ,story and characterization. They are an In conclusion, let us repeat that novel. Beyond this, it is a novel of par­ organic part of the final artistic ac­ com plishmen t. collectiv:ization is ,a practical task ticular interest to socialists since its more important characters are all "of The form of the book is, original. Each of eliminating 'capitalism, not a the Left" and because it deals with chap tell is divided into two sections, one theoretical task of .its extension. some of the most important Ipolitical written in the first person and told by That is why Marx's formulas do problems of ,our times. Anne, the other in the third ,person, not apply here in any way. The The action of The Mandarins takes centering mainly on Henri. This struc­ place in the years immediately follow­ ture enables the author either to pre­ practical possibilities of 'collectivi­ sent two highly inde,pendent sub-plots zation are determined by the pro­ ing the Second World W'ar. Its' prota­ gonists are a group of French intellec­ within a unified context (partie'ularly ductive-technical resources avail­ tuals - Robert Dubreuilh, a .professor in describing' Anne's long tri.p to Amer­ able for large-scale agriculture, of philosophy; his wife Anne, a psy­ ica and her love affair with a Chicago and by the degree of the peasan­ C'hiatrist; and his friend and co-work­ novelist) or to handle the same events from .two different viewpoints, thus ob­ er, the novelist Henri Perron. They have try's readiness to pass over from taining three-dimensional' de'pth all ,played leading roles in the Resis­ almost· individual to collective economy. and realism. tance movement. Henri is the editor of In the f.inal analysis, this sub­ Simone de Beauvoir's pl'esentation of an important Resistance news,paper, characters and situation de­ jective readiness is determined by L'Espoir (Hope). A circle of vigorous her their serves unstinting praise. Unfortunate-, the very same material-productive young men centers around them. The ly, considerable reservations are neces­ factor: the peasant can be at­ novel presents the break-up 'of this sary with regard to her political view­ tracted to socialism only by the point; advantages of collective economy The author's thesis is aptly summar­ based on advanced technique. But CORRECTION ized in her title. Her intellectuals are instead of a tractor, Stalin wishes In the first part of Trotsl{y's arti­ "Mandarins": membersl of a privileged to present the peasant with the cle on "Stalin as a Theoretician," caste, absorbed in their own thought.s in our Fall 1956 issue, a print-shop, and problems, isolated from the decisive formulas of the second volume. error made one sentence unintelligi­ progressive force in modern society, the But the peasant is honest, and he ble. On page 134, the concluding sen­ proletariat. The substance of the' main does not like. to argue over what tence of the top paragraph in the Iplot is the effort of these "Mandarins" he does not understand. second column shou1d read: "Yes, to break out of their isolation, and their some people 'are, obviously telling failure in this endeavor. Prinkipo, Turkey lies' about chronology and common From start to finish they are ob­ sense." sessed by their relations to the Stalin­ Mwrch 1930 ists, whom they consider the o~lyrep ..

Winter 1957 resentative party of the French work­ , to the Trotskyists Is the statement that for a while. The furIoU's Internal ers,. They originally conceive them­ they "refused to join the Resistance on fight of the Fosterites, in which selves as independent fellow-travelers the pretext that it served British im­ Foster was isolated, was revealed of the CP, and the Stalinists gladly perialism." But despite the seC'tarian tolerate them in this role. Rela.tions be­ errors of the French Trotskyists in that to us only when the fight broke come strained, however, when Robert period, the influence of their ideas far outinto the open at a joint meeting and Henri found a p'Olitical organiza­ surpas·sed their small numbers, parti­ of the delegates of the two fac.. tion of their own. Even though they cularly among left-wing intellectuals. tions in Moscow. stm will not criticize the CP openl'y Last, and perhaps most important, Our group, which was strongly for fear 'Of aiding French reaction and Simone de iBeauvoir gives no intima .. American imperialism, the Stalinists, tion 'of the steady decline in prole­ represented at the Congress­ consider them a potential rival for lead­ tarian support for ·the CP, and the Dunne, Cannon, Hathaway, Gomez ership of the workers. emergence of oppositional trends with­ and several others attending the The situation ,becomes intolerable in the CP itself. She pictures the CP Lenin School in Moscow - did not when Henri and Robert are presented as the party of the French workers. intervene on the side of Bittle­ with unavoidable 'proof of the· exist­ But in fact, it retains proletarian sup­ port only because of the absence of a man-Browder-J ohnstone. We kept ence or:__ ~lave labor in Russia. They hands off and let the Fosterites break with each other when .Henri in­ 'strong alternative. The bunding of such an alternative reV1olutionary Iparty is fight it out among themselves. sists on publishing these fa~s.The Stalinists respond with slanderous' hos­ the imperative task of the French Left • tility - they damage the paper's cir­ today. Unfortunately, this novel is no * * culation s'o much that Henri must give help in this endeavor. Lovestone's re'action to the Lo­ up control of it to an opportunistic Simone de Beauvoir has pJ'loduced a sovsky line in 19'28 was not de­ businessman who can .provide the neces­ bril'liant and slashing indiC'tment of her termined primarily by 'any fanat­ s·ary funds to keep it going, and who own circle of French leftist intellectuals. The reader who keeps that in mind ical conviction about trade-union quickly converts it into a De Gaullist policy. The trade-union question organ. The break between Henri and will both enjoy this book and learn Robert, of course, destroys their League. from it. was not his main interest - not After a period 'Of terrible demoral­ by a long shot. Lovestone was far more concerned to justify the pol- ization, during which Henri and Robert ,. EarlyYears becon:te reconciled, they return to poli­ . . tiC's in the same role as they began - (Co.ntinued from page 25) -;------as Stalinist felllQw-travelers. They are press. The Lovestoneites obj ected, convinced they have no other perspec­ I.W.W. tive. They have completed their own but they probably thought it was The self-contained circle. better to print it than to have a The Great Anticipation This is undoubtedly a true and per­ fuss with me on that kind of an ceptive portrayal 'Of a section of the issue at that particular time. I do A New Pamphlet French inteUigentsia.But it is' more not recall any discussion· with Fos­ than that: it is a defense and justifica­ about it. To :be sure, the Love­ by tion for their attitude. That is where ter its influence can be extremely harm­ stoneites thought they were play­ JamesP. Oannon ful. ing a clever g·ame by putting Fos­ The conclusion that leaps out of The ter forward to defend the official 44 'pages 25 cents Mandarins is that it is imp

Winter 195t icy of the majority of the party ing the recollections by what I I had at that time, I didn't know in the past, and thus to protect its learned and did afterward - after what I could do about it, and had prestige, than about any line he I read Trotsky's "Criticism of the no definite idea of trying to do would have to take in the future. Draft Program" during the Con­ anything. In that mood I really His main concern was to keep con­ gress. did n'Ot want to go to the Congress trol of the party. The new signs from Moscow in at all, and would not have gone For that he was willing to adapt the early months of 19,28 were un­ if my factional ,associates had not himself to almost any kind of a doubtedly more favorable f'Or the insisted Oill it. new directive from Moscow. I feel Opposition, but I think the Foster­ I did not communicate my inner quite sure he had the illusion that ites took more courage from it thoughts and doubts to them at Losovsky himself was out' on a than I did. We had had so mamy that time, since I had no definite limb and that, with the support disappointments in Moscow that proposals to make. Their mood, of Bukharin, he could get around I couldn't get up any real enthu­ contrary to mine, was rather him in Moscow. Losovsky was the siasm about better luck the next optimistic about the prospects of one who forced the fight and left time. support for our factional struggle Lovestone no alternative but to Also, as I have explained in my in Moscow. ThatJ I suppose, is fight back. Histo}'Jj of American Trot'skyism, why they wouldn't hear of my =Ie * * I was deeply oppressed by the de­ withdrawal from the Congress del­ It is difficult to describe my velopments in the Russian party egation. feeling and expectations i'n this and the expulsion of the Opposi­ period before the Sixth Congress tion. But with the limited under­ Yours truly, of the Comintern, without coloi'- standing of the disputed questio!ns James P. Cannon ------~~------

(Continued from l)age 2) developments be avoided in the future pag-e 11:~etc. [On the Reg'l'oupment of fedive leadership gives way to the dog'­ by simply agreeing to overlook what Revolutionary Socialist Forces in the ma of "spontaneity of the masses" with happened in the past? An easy solu­ U.S,] to send alo.ng a few views of my its concomitant dogma of "electl'ifying" tion! own fo.r your consideratio.n. them by adventul'istic individual actions, Is our concern over who turned out Leon Trotsky said, "The moral quali­ The years of debate over this question to be right an evidenc'e of being "petri­ ties of Bolshevism, self-renunciation, wel'e settled pretty definitively, it seems tied in the Hectarian past" '! That seems disinterestedness, audacity and contempt to us, by the success of the Bol:,;hevik to us a deprecatory view of the valuJ for evel'y kind of tinsel and falseho.od Pal'ty in 1917. of history. Can nothing, then, be learned - the highest qualities of human na­ It h; not at all a matter of convert­ from the past '? Science, we choose to ture! - flow from revolutionary in­ ing the gl'(~atMal'xist theo:.'etkians into believe, i..8 more optimistic about the transigence in the service of the op­ "icons and l'elics," as F'.H.T. seems to value of checking human experience. pressed." The CP leadership is thrown think, Thepl'oblem is to learn their Only special interests, such as the Sta­ up by the ,state of an organization in a theories, to offer them fol' the study linist bureaucracy, feel impelled to tear decadent condition; it is infiltrated with of other:;, and to apply them as a guide out certain pages from the history o.Pportunism, careerism, Po.wer-seekers, to adion in the world of today. Of books and to replaC'e them, if possible, and 'Po.lice-minded politicians. The par­ course, one might lugue that the old with false ones. ty, as Lenin and Trotsky knew it, was basic theories have been outmoded by In conclusion let us define the func­ dedicated wholeheartedly to the cause newer and better ones more in keep­ tion of the International Socialist Re­ of doing go.od for the oppressed, build­ ing' with the "atomic ag-e," But where view. Its first concern is with theory - ing a better world and proletarian in­ are these theories? Until they are sub­ Marxist theory, its development and de­ terna tional'ism. mitted for c'ritical appl'aisal we are fense. No theory in the whole world Lenin's quotation in the editorial read forced to continue with those that have of science has suffered such sustained beautifully to. me, and the regroup­ been tested and proved. attack as this one; and the attack does ment of socialist forces can be made Are differences within the socialist not come from scientists c'ompetent to around his contribution. The fact that movement over such questions simply judge but from powerful economic and plac'e names are being changed in the "family liual'rels"? (Which we join political interests who feel their privi­ USSR is an indication that the aware­ F,H,T. in abhorring-.) That seems to leged positions undermined and threat­ ness of the evil that was Stalin is I1S H narrow way of looking at the pro­ ened by MarxiHt theory and who foster growing and that the Soviet Union "will ('('SS of g'l'owth in the socialist move­ ag-ainst it the most abysmal dogmas, emerge from the dark night of his pro­ ment. How can Hocialism develop except superstitions, and deg-l'ading' prejudices. tracted tyranny." thl'ough discuHsion, through compari­ Consequently, one of our first duties is I am dl'culating- some of Trotsky's ~Onof l'ival theories, l'ritic'al evu-luation to defend this theory with all our abili­ hooks amongst so-called Stalinists and of different experienees? How else can ty. Much that we say is, therefore, in­ fot' the first time they are opening their the old be modified, the really new evitably polemical. Militant defense of eyes, They are questioning themselves: absorhed'? truth, however, appeal'S to lIH eompati­ are they dedicated wholeheal'tedly, un­ Some diffel'tmees, we should add, have ble with truth itself and indeed the reservedly to. the cause of building a home feal'ful consequences. Stalin's only way that truth can sUl'vive at cer­ socialist world, in spite of the bureau­

The Kirov Assa...~ination...... 32 pp. .25 Fascism - What It Is - How to Filht It ...... 48 pp. .15 Their Morals and. Ours* ...... 64 pp. .25 Permanent Revolution* ...... 184 pp. 3.50 'J.1he Ne1w Course ...... ,' ...... " ...... 111 pp. .50 Stalin's Frame-Up System and the Moscow Trials ...... 168 pp. 1.00 The Death Agony of Capitalism (Transitional Proll"am) ...... 64 pp. .25 Stalinism and Bolshevism ...... 82 pp. .15 The Suppressed Testament of Lenin ...... 48 pp. .25 Europe and Ameriea* ...... 74 pp. .50 Marxism and Science* (Mendeleyev Memorial Address) ...... 22 pp. .15 The Lessons of Spain - The Last Warning* ...... 21 pp. .25 * indicates non-Pioneer publication This is only a partial listing' .. For our full list of writings by Leon Tro(sky, and other books and pamphlets on socialism and the labor moYement, write for our free catalog. PIONEER PUBLISHERS

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Build Your Marxist Library with B'OUND VOLUMES of )i"onrih Iuierllalional alld The ltlililalli. Fourth International (now International Socialist Review) is the Marxist tneoretical Price List magazine of Am-erican socialism. 'rhese vol­ Fourth International The Militant umes are filled with illuminating articles on eco­ 1952~53 $8.00 1955 $6.00 nomics, philosophy, science, history, the Negro 1950... 51 8.,00 19 154 6.00 struggle, trade union problems, etc., by promi­ li948-4'9 8.00 1953 6.00 1947 8.00 1~52 6.00 nent figures of the American and international 1946 8.,010 1951 6.00 socialist movement. 1945 8.00 1950 6.00 1944 10.00 1949 7.00 The Militant, leading socialist weekly in the 1943 10.0.0 1948 7.00 U.S., began its long life of reporting the work­ 1942 10.00 1947 7.000 ers' struggles internationally on November 15, 1940-41 18.00 1946 7.00 1928. In the pages of its bound volumes are 1939 18.00 1945 7.00 1944 7.00 record-ed the great battles that built the labor 1943 7.00 movement in this country and -contributed to 1942 10.00 the development of American socialism in over 1939 - first half 15.00 two decades. Of particular importance today are the (A YE.'ry few bound volumes left of 1933 Militant writings - in both Fourth International and and 1937 Socialist Appeal. Write for prices.) The Militant - of Leon Trotsky on such sub­ jects as the national question, the nature of Order from the workers state, the degeneration of the So­ International Socialist Review viet Union, the 'crimes of Stalin, etc. Many of these writings are unavailable elsewhere. 116 University Place New York 3, N. Y.