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Newssheet No. 4 – 2025

 

Editorial – Economics and Politics in the present era of the stage of Globalization

The present stage of Globalization, in the mid-2020s, shows that monopoly capitalism is in crisis economically and politically. The crisis is not an economic crisis leading to a political crisis. It is a political crisis, first and foremost, with the election of Donald Trump, the fascist nationalist and white supremacist, with his slogan of “Make America Great Again”, to the Presidency of the United States of America, that has brought on an economic crisis with his “love” for tariffs. It means the ‘negation’ of the “rule-based international order” that has existed since the aftermath of the Second World War that saw the ‘unity’ of the international bourgeoisie of the “West” and led by US monopoly capitalism as the latter is the most powerful capitalist country in the world. “Trumpism” has led to economic differences with other countries and economic alliances like the European Union (EU) over the question of tariffs. There is a “trade war” in the making. This has led to the destabilization of the global capitalist economy.  It has led to, politically speaking, to a fractured relationship with Europe, the EU, and a tattered “Special Relationship” with Britain with the latter becoming more ‘subservient’ to Trump and appeasing him with a “State Visit” to Britain and meet the UK Monarch. “Disunity” and “differences” are characteristics within monopoly capitalism.

The economic ‘disunity’ leading to political ‘disunity’ must be considered by the working class and its political representatives, the Communists and Socialists. The political representatives must ‘educate’ the working class that this economic ‘disunity’ is costly to their economic well-being under capitalism. It is not in the interests of the working class. Only socialism will serve their economic interests.  

The political ‘disunity’ must be used by the political representatives of the working class to ‘educate’ the latter that it is not in their interests. The Communist and Socialists as the political representatives of the working class must educate and prepare the working class that it is to become the next ruling class under socialism and fulfill its political destiny whilst the capitalist are experiencing such ‘disunity’.

To ‘educate’ in a revolutionary way the working class there must be a scientific ‘vision’ of socialism as argued by Marx and Lenin who, both, advocated the co-operative system as the system of socialism which is the scientific ‘vision’ of socialism.

The Communist and Socialists at present are ‘obsessed’ with “Public Ownership” which leads to the “state monopoly” system under socialism, and, also under capitalism. This position has its roots in “Stalinism” concerning the development of the Soviet Union and after decades imploded due to its inability to meet the needs and wants of the working class. This ‘implosion’ shows that the erroneous and unscientific position of “Public Ownership” must be abandoned by the political representatives of the working class, the Communists and Socialist. These political representatives do not understand that the co-operative system arises out of the ‘womb’ of capitalism and is the natural economic system of the working class which has ‘created’ it. In contrast, the Communists and Socialists ‘obsession’ with “Public Ownership” leads to the State becoming an artificial “economic entity” which is not its ‘function’. “Stalinism”, in relation to the development of socialism in the USSR based on “Public Ownership”, led to “Historical Materialism” standing on its head instead of standing on its feet by making the State as an expression of the “superstructure” the primary factor in economic relations. This erroneous and unscientific position must be jettisoned and abandoned by the Communists and Socialists as it does not accord with the position of Scientific Socialism developed by Marx and Lenin based on the co-operative system. This erroneous and unscientific position does not accord with the principles of “Historical Materialism” as discovered by Karl Marx.

The economic and political ‘disunity’ within the international bourgeoisie, which is moving to the political “far-right”, gives space and opportunity to ‘educate’ the working class to fulfill its ‘destiny’ in the present era of the stage of Globalization.

 

Britain – The Labour Government

The aftermath of the Second World War saw the rise of Social Democracy in the form of political parties that purported to represent the working class and working people in general. Social Democracy was basically concerned with reforming capitalism in the interests of working people. Social Democracy was not preoccupied with the transformation of capitalism into socialism as the main goal of the working class. Social Democracy collaborates with capitalism to push through reforms that it sees are in the interests of working people. It sees its engagement in politics within bourgeois democracy which has been developed by the ruling bourgeois class and abides by the latter’s diktats. Social Democracy sees the short-term interests of the working class and working people but ignores its long-term interests and that is the transformation of capitalism into socialism. The Labour Party in Britain is a representation of such a political form within bourgeois democracy.

The electoral victory of the Labour Party at the 2024 General Election saw it become the government in Britain. There is a Labour government governing Britain at present. The mantra of the Labour Party was “Change” and to “serve working people”.

The Labour Party no longer represents the working class through its trade union membership but “working people”. This emphasis on “working people” allows the Labour Government to conveniently forget the class contradiction in Britain between the capitalist class and the working class. Gone are the days of fidelity to the “working class” by this Labour Government. Instead, there is fidelity to “serve working people” and in the process denying that Britain is a “class society”. This is a ‘sleight of hand’ by the opportunistic Labour Government to cover up its collaboration with capitalism. This position to “serve working people” is a denial of the fact that the Labour Party was formed by the trade unions to defend “working class interests” not “working people” within bourgeois democracy. The Labour Party has changed its position to deceive the working class. It was the trade unions that gave birth to the Labour Party to defend working class interests and the present Labour Government now “serves working people” instead of the working class. This “Change” is a ‘deceit’ by the Labour Government. This is the first point to note.

The second point to note is that its notion of “Change” means that it can attack the poor, the working poor, the physically and mentally disabled, pensioners, ‘WASPI’ women and to curb pay rises in the public sector. The word “Change” is a euphemism for an ‘attack’ on “working people”. The trade unions and its leadership who finance the Labour Party must be criticized for their ‘muted’ response to this ‘attack’ by the Labour Government. The Conservative Party is supportive of this Labour Government in this onslaught or ‘attack’ on “working people”.

The third point to note is how one commentator characterized the Labour Government as “red Tories”. The Labour Government policies culminating in its ‘attack’ on “working people” is an ‘extension’ of past Conservative governments on austerity. The Guardian calls Rachel Reeves, the Chancellor of Exchequer, “Spring Statement” as “austerity in disguise”. The Labour Government is engaged in ‘neoliberalism’ prescriptions concerning “working people”. This shows how far the Labour Government has moved to the “right” and can be characterized as a ‘right-wing bourgeois democratic’ political party in the manner of the Conservative Party. The Labour Government can be aptly characterized as “red Tories”. This movement to the right shows that “Social Democracy” is bankrupt and cannot “serve working people”.

Fourthly, this characterization of the Labour Government as “red Tories” shows their similar policies as regards the British State including its welfare component. Both want to pare the State. The Conservative Party, as the political representatives of the ruling capitalist class, support this policy of the Labour Government, the “red Tories”, as they believe in a smaller reduced State. The Labour Government, the “red Tories”, are propagating the mantra or slogan that “the system is broken”. This is an abstract statement.  The “system” in Britain is a capitalist system. It is not “broken” as the monopoly capitalists are making billions in profits. The “system” that the Labour Government, the “red Tories”, are referring to is the State and especially its welfare component. To ‘repair’ or “fix the system” the Labour government, the “red Tories”, are to pare the State especially its welfare component. The policy of the Labour Government, the “red Tories”, is to cut jobs and benefits which will affect “working people” and the working class, its essential component. The burden of “fixing the system” falls on “working people” and the working class, its essential component, and not on the capitalist class. It is an admission by the Labour Government, the “red Tories”, that the “system” cannot maintain the Welfare component of the State and the ‘State’ itself as capitalism in Britain develops into its mature stage. The slogan of the Labour Government, the “red Tories”, that “the system is broken” is a ‘deception’ that seeks to place the responsibility on “working people” and the working class, its essential component not on capitalism. The existence of the ‘Welfare State’ is to prevent the working class from ‘restructuring’ capitalism in a revolutionary way. The ‘Welfare State’ is a ‘concession’ by capitalism in Britain to “working people”, and the working class, its essential component, to prevent a socialist revolution. Capital, especially its political representatives, the Conservative Party, in Britain, is demanding that the State especially its welfare component is pared. The Labour Government, the “red Tories” are following capital’s diktat and, in the process, putting the responsibility on “working people” and the working class, its essential component.  

Fifthly, the Labour Government mantra of “grow the economy” must be analyzed. This is ‘phraseology’ by the Labour Government. It is an abstract statement. What “economy” is the Labour Government talking about? It is not a feudal economy. No one knows. Britain’s “economy” is a capitalist economy in which monopoly capital reigns supreme. Monopoly capitalism is at present doing well as shown in the finance capital, energy and retail sectors, for example. Monopoly capital is growing through making billions in profits. So, to whom is the Labour Government, the “red Tories”, referring to when ‘talking’ about “grow the economy”. The Labour Government, the “red Tories”, are referring to the public sector or public services of the State especially its welfare component. The Labour Government, the “red Tories” does not realize that the State, especially the public sector cannot be treated as a capitalist economy. Yes, the capitalist wage relation prevails within the public sector but Health, Education, and Defense, for example, cannot produce surplus value like the capitalist economy to make profits. This is the difference between the public sector and the private sector, the capitalist economy. The ‘cost’ of maintaining the public sector is affecting what the bourgeois economists call the Gross Domestic Product (GDP). This enables governments of whatever hue and shade to talk about “grow the economy” in particular, the Labour Government, the “red Tories”, by paring the State and especially its welfare component, affecting “working people” who become unemployed and join the ranks of the industrial reserve army. The phraseology “grow the economy” has a double-whammy effect on “working people”. The State being pared leads to unemployment and secondly to cuts to social benefits. This is the lot of “working people” under this Labour Government, the “red Tories”.

The final point is the Labour Government mantra or “value” that it is the “party of work”. The Labour Government, the “red Tories” believe in the “dignity of work” in a similar way to the “blue Tories”, the Conservative Party, the political party of the ruling capitalist class. Both share this bourgeois ‘value’. Both are for cuts in welfare spending in order that those who are affected go into “Work” and engage in its “dignity”. The Labour Government, the “red Tories”, the party of “working people”, forget that “working people” who engage in ‘work’ under and within capitalism are economically exploited through the extraction of surplus value as discovered and pointed out by Karl Marx in “Capital”. The Labour Government, the “red Tories”, conveniently forget or ignore the ‘essence’ of the phrase the “dignity of work” which is concerned with economic exploitation under capitalism, whilst, in contrast, extol the ‘form’ of the phrase “dignity of work”. The Labour Government, the “red Tories”, separates the ‘form’ from the ‘essence’ of the phrase “dignity of work” to ensure that “working people” share in its propagation of a bourgeois value. Where is there the “dignity of work” under capitalism when the worker is subjected to economic exploitation by the capitalist. The Labour Government, the “red Tories” have some explaining to do. It is a ‘deceit’ carried out by the Labour Government, the “red Tories”, in the name of “working people”.

The Labour Government and the Labour Party have shown themselves to defend the interests of capital rather than the working class, let alone “working people”, through their phraseologies “the system is broken”, “grow the economy” and the “dignity of work”. Its ‘deceit’ must be exposed to show to the working class, and “working people” in general that it does not serve their interests both in the short-term and in the long-term. The phraseologies “The system is broken”, “grow the economy” and the “dignity of work” shows the bankruptcy of Social Democracy and its ‘values’ in Britain and its movement to the right of bourgeois politics. These ‘phraseologies’ are propagated under the ‘form’ of bourgeois nationalism. The Labour Government, the “red Tories, are virulently contaminating the working class and “working people” with bourgeois nationalism with the phrase “our country needs to grow the economy” which means that there must be conducted an “uncompromising” struggle against this disease. The Communists and Socialists must follow this advice by Lenin so as “inject” socialist consciousness into the working class so that it can fulfill its destiny, fulfill its historic role in becoming the next ruling class under socialism in the interests of humanity.  

“Working people” and especially the working class, its essential component, must firstly, be ‘educated’ that the Labour Government the “red Tories”, does not serve its interests both in the short-term and in the long-term. The Communists and Socialists must educate “working people” especially the working class by exposing the Labour Government, the “red Tories”, in its propagation of bourgeois values and the bourgeois democratic system so that working class can fulfill its destiny to be the next ruling class under socialism. The ‘failure’ to do so will result in “working people” and the working class shifting to the Right and the Far-Right in the form of Reform UK. This is the danger. Only a scientific and conscientious critique of the Labour Government, the “red Tories”, and its policies of throwing ‘sops’ to the working class and “working people” in the next four years and with an ‘injection’ of socialist consciousness to move them away from bourgeois nationalism can the working class be standing on its feet and fulfill its destiny. This is the task of the Communists and Socialists. The second task is that by “injecting” socialist consciousness into the working class and “working people”, the Communists and the Socialists must present a scientific ‘vision’ of socialism based on the co-operative system, the economic system of the working class under socialism. They must follow Lenin’s advice of “Education, Organization, Action” concerning “working people” and the working class, its essential component, in the propagation of socialism in the interests of humanity.

The Labour Government, the “red Tories”, must be criticized for its attack on “working people”, the working poor of the working class, the sick and the poor, and the mentally and physically disabled. The trade unions must be criticized for their muted response to the draconian measures of this Labour Government, the “red Tories”. The Left, the Communists and the Socialists, must ‘educate’ the working class and the trade unions that the Labour Government, the “red Tories”, no longer stands for the interests of “working people” and the working class both in the short-term and in the long-term.  Social Democracy as a political force with bourgeois democracy is bankrupt and is moving to the Right and in the process tarnishing the Left. It drives the working class and “working people” to the Right and not to gravitate towards the Left.  This is the crux of the matter for the next four years until the next General Election. This is the “Change” in the forms of the slogans “the system is broken”, “grow the economy” and the “dignity of work” that “working people” and the working class are going to undergo under this Labour Government, the “red Tories”, for the next four years which is good news for the British bourgeoisie, the ruling class in capitalist Britain. The Labour Government, the “red Tories”, are serving the interests of capital rather than propagating its ‘value’ to “serve working people” especially to “serve” the interest of the working class, its essential component. This is the political ‘deceit’ of the Labour Government, the “red Tories”.