The Anti-Capitalist Mentality and Ill-Fated Transition: Case of Serbia MISES: Interdisciplinary Journal of Philosophy Law and Economics, Vol
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MISES: Interdisciplinary Journal of Philosophy Law and Economics ISSN: 2318-0811 ISSN: 2594-9187 Instituto Ludwig von Mises - Brasil Novakovic, Aleksandar; Dostanic, Dusan The anti-capitalist mentality and ill-fated transition: case of Serbia MISES: Interdisciplinary Journal of Philosophy Law and Economics, vol. 6, Esp., 2018, pp. 589-620 Instituto Ludwig von Mises - Brasil DOI: 10.30800/mises.2018.v0.563 Available in: http://www.redalyc.org/articulo.oa?id=586364252004 How to cite Complete issue Scientific Information System Redalyc More information about this article Network of Scientific Journals from Latin America and the Caribbean, Spain and Journal's webpage in redalyc.org Portugal Project academic non-profit, developed under the open access initiative MISES: Revista Interdisciplinar de Filosofia, Direito e Economia ISSN 2318-0811 Volume VI, Special Issue 2018 : 589-620 The anti-capitalist mentality and ill-fated transition: case of Serbia Aleksandar Novakovic* Dusan Dostanic** Abstract: This paper aims to show how the legacy of socialism with a human face represents a far more serious obstacle for the postsocialist transition than the heritage of rigid socialism. This is because an amalgamation of the perception of the autochthonous character of socialism accompanied by the perception of its soft, human face, creates an anti-capitalist mentality (Ludwig von Mises) that leaves an enormous impact on the long-term understandings of the concepts of individual, society, state, and reforms. This sort of mentality is deeply entrenched in Serbia, where a full-scale process of “debolshevization” has never been initiated. The continuity with socialist legacy is apparent in key segments of the ill-fated transition: political, institutional, economic, symbolical, and no less moral. Keywords: Anti-capitalist mentality, debolshevization, soft and rigid socialism, transition, free-market A Mentalidade Anti-capitalista e a transição mal sucedida: O caso da Sérvia Resumo: Este artigo pretende mostrar como o legado do socialismo humanizado representa um obstáculo muito mais sério para a transição pós-socialista do que a herança do socialismo rígido. Isso ocorre porque uma fusão da percepção do caráter autóctone do socialismo acompanhado pela percepção de sua face humana suave cria uma mentalidade anticapitalista (Ludwig von Mises) que deixa um enorme impacto nos entendimentos de longo prazo dos conceitos de indivíduo, sociedade, estado e reformas. Esse tipo de mentalidade está profundamente arraigado na Sérvia, onde um processo em escala de “desbolchevismo” nunca foi iniciado. A continuidade com o legado socialista é aparente em segmentos-chave da malfadada transição: política, institucional, econômica, simbólica e não menos moral. Palavras-chave: Mentalidade anticapitalista, desbolchevismo, socialismo suave e rígido, transição, livre mercado Classificação JEL: P20, B24, O52 * Aleksandar Novakovic, PhD. Research Associate at the Institute for Political Studies, Belgrade [email protected] ** Dusan Dostanic, PhD. Research Associate at the Institute for Political Studies, Belgrade [email protected] https://doi.org/10.30800/mises.2018.v0.563 Diagramação e XML SciELO Publishing Schema: www.editoraletra1.com.br | [email protected] 590 THE ANTI-CAPITALIST MENTALITY AND ILL-FATED TRANSITION: CASE OF SERBIA Introduction communist dictatorship have determined the subsequent transitional path toward Post-communist transition scholars democracy and capitalism. have not accorded due attention to the Within the literature, if at all, “soft distinction between the legacies of soft and socialism” is treated through the idea of rigid communism in transitional change. Yugoslav socialism, its “third way” between The reason behind this is understandable. capitalist West and communist East and Transitology seeks to explain the character, the idea of “nonalignment movement”, scope and pace of the changes from a state workers’ self-management and partial of a centrally-planned economy and political economic liberalization during the seventies authoritarianism towards one of democracy (HOFFMAN; NEAL, 1962; RUSINOW, 1977; and a market-oriented economy (LINZ; LYDALL, 1984; DENITCH, 1990; PEJOVICH, STEPAN, 1996; DOBRY, 2000; BALCEROWICZ, 1990, LAKIĆEVIĆ, 2013; 2014). 2002). Therefore, the most vivid and This was perceived as a “modernizing”, historically dominant form of communism “enlightened” and “liberal” version of has been selected as the starting point of socialism that permitted various kinds of the analysis: Soviet-type socialism, present freedoms – an experience allegedly unfamiliar paradigmatically behind the Iron Curtain. to the rest of the communist world. In fact, This brand of communism represents the some Soviet satellite countries experienced archetype of the centrally-planned economy a milder kind of communism too when a and the system of political oppression which totalitarian cramp weakened enough to render new democracies so enthusiastically distanced preferable life conditions. Understandable, themselves from. But what about the so-called this fact never gained much prominence “soft-socialism” and its legacy? How can we among the population of those countries. The locate its significance in our understanding whiff of freedom came through benevolent of post-communist transformation? acts of the great patron and not as a result of It is difficult to answer this question, since autonomous actions by the satellites. it is assumed that it is not an issue in the first No systematic investigation has been place and even less a problem. That is, the performed on the influence of the legacy soft socialism is not the problem, rather, it is of this kind of socialism to the transitional presupposed as something good or at least economies of former Yugoslavia1. Actually, the lesser evil. The true evil is rigid socialism. And indeed, for the people who lived 1 An illustrative example is a study by Milica Uvalic behind the Iron Curtain that really was regarding Serbia’s transition, where she tried to explain why Serbia, after the “good starting position not a dilemma. For them it was certainly in 1989, has encountered substantial delays in carrying preferable to live under some socialist rule forward the main objectives of the transition to a that seemed to be more moderate than under market economy and multiparty democracy.” She argues that transition in Serbia was slowed down by a hard stick of Stalinism. Without questioning internal and international constrains. However, the this, we want to investigate how positive life influence of socialist legacy was not discussed in the experiences under allegedly more liberal book. In fact, Yugoslav socialism was briefly depicted as “market socialism” which was more favorable version of socialism in comparison with than socialism in other Eastern European countries negative life experiences under stronger (UVALIC, 2010, p.2-20). Diagramação e XML SciELO Publishing Schema: www.editoraletra1.com.br | [email protected] MISES: Revista Interdisciplinar de Filosofia, Direito e Economia 591 Aleksandar Novakovic & Dusan Dostanic much of economic literature on the Serbian accompanying consequences it spontaneously transition has focused on the period produced. Factors such as rigidity or softness after 2000 (BEGOVIĆ, 2005a). This might of a certain order and its ideology and the represent a serious obstacle to the objective perceptions about the autochthonous and evaluation of transitional performances of externally imposed ideology or system must ex-Yugoslav states, especially Serbia, since a be considered as well. positive representation of the quality of life These conceptual considerations should and economical accomplishments of Tito’s illustrate how different combinations of Yugoslavia survived the bloody dissolution factors may explain diverse transitional 2 of the state . performances. A mixture of softness and Thus, it is important to see to what extent autochthony is peculiarly detrimental for these reminiscences of the communist past transitional societies having in mind its have influenced the mind and spirit of the impact on economic, institutional, political, transitional man, his general understandings moral and symbolic transition. To paraphrase of society, economy, religion and tradition, his Friedrich Hayek, we can say that soft socialism views of the relationship between individual is the most dangerous conceit (HAYEK, 1992). and society, as well as his attitude toward pre- The transitional experience of Serbia, communist and communist past. In a word, a country traditionally proud of the it is important to investigate and elucidate “achievements” of Yugoslav socialism (also the specific “mentality” of an ordinary man called “Titoism” after Josip Broz Tito) should that defines his understanding of society and confirm this conclusion. Here, the peculiar survives and is conveyed into a different time form of socialism with a human face produced and historical context, becoming either an a long-lasting and deeply entrenched obstacle or an asset of the new era. Thus, mentality that has erected a barrier to social the main question of our paper could also and economic improvement. be formulated as follows: How does a certain type of socialism affect the mentality of a It is beyond any doubt that this mindset transitional man? composed only one aspect of the wider To answer this question, it is necessary to phenomenon that Ludwig von Mises called expand the mainstream analysis