Partners not Wage workers
perspectives in post capitalist society
by
David Muller
A South
Publication
Preface
to Electronic Addition
I have decided to electronically distribute the book "Partners not Wage
Workers" on the Web in response to the devastating budget cuts in Australia
announced yesterday by the current conservative Howard/Costello Liberal
Government. The severe cutbacks to government spending can only exacerbate
the shortages currently being experienced by many Australians. It will
invariably contract the money supply and curtail employment in the economy.
The reality is that global capitalism has had its day. Capitalism as a
system has its own inbuilt entropyor tendency to run down. There
is a tendency for the rate of profit to fall as the productive forces develop.
Subjectively capitalism has its end, but that end is objectively at its
end.
The wages system is collapsing under the weight of falling profitability.
The contradiction between paid and unpaid work is growing daily in the
climate of capitalist recession. In a recent survey by the Australian Bureau
of Statistics the bureau estimated that more than a third of all work done
by Australians is unpaid work for themselves, their families and others.
The way forward demands an alternative to the wage system. A new society
in which economic relationships are based on free and non exploitative
partnerships. A new more ordered, technological and planned society which
unleashes new ground in personal freedom and creativity.
To use a thermodynamic metaphor we need to take the heat out of the economic
engine. By replacing the randomness of capitalist competition we can create
a more efficient, planned and powerful motor. In so doing we transfer more
heat and randomness into personal relationships. Thus we increase the degrees
of freedom of the people.
The book consists of 3 parts:
In Part 1 we
look at the dynamics of global capitalism to develop an awareness of the
social forces at work. We examine the impact of technology on property
relations. In so doing we question the very rationality of developing trends..
In Part 2 we
take a socio-historical journey into the system of wages, profit and ground
rent. Globalisation has brought about new economic realities, inverted
images and projections. Yet globalisation has taught us how the interconnectedness
of the whole can give us a vision of the future
In Part 3
we investigate how the idea of Partners
could work for Australian society as a new
social operating system. How human needs are addressed in a new way. What
social wrongs need to be righted, what gaps need to be filled, and what
bridges need to be crossed.
Melbourne August 20, 1996
Acknowledgments
I would like to thank all those with whom I have discussed such ideas over
the years. In the preparation of the manuscript I would like to thank Phil
Anderson of Tax Reform Australia; Neil Maclean of the Australian Bureau
of Statistics; and Robert Pash and David Jones of the New Dawn International
News Service for their valuable material and time. Thanks to Bob Barron,
John Mc Carthy and all who took time to examine the draft. Jan Muller for
scrupulous proof reading and active suggestions.
Dedication
This book is personally dedicated to Elle Brown who has opened my eyes
in so many ways. She has been a source of inspiration and co-authored key
sections of the book.
Socially the book is dedicated to the youth of Australia who have become
increasingly locked out of current society. If this book has any purpose
at all it is to fire the imagination and enthusiasm of youth to build a
new post capitalist society in Australia.
Susan George, author of A Fate Worse than Debt, recently remarked,
" half of humanity are young, frustrated, and angry and they are going
to become more so".
It is obvious that the young hold the key to the future. Whether they bring
down the sky or take us into a new era of enlightenment and prosperity
remains their choice..
Part 1.
The dynamics of Global capitalism
The consequence
of global free-trade and competition
is a polarization between
the rich and the poor.
This polarization
in turn can only materialise
in monopoly and private property
Chpt 1
A world in social crisis
Chpt 2
Race to technological apartheid
Chpt 3
T hey'd privatise the air
Chpt 1
A world in social crisis
Of the 5.6 billion people who live on this planet,
more than a billion live in a state of absolute poverty with income and
consumption levels below nationally defined poverty lines. They are essentially
bereft of life's basic necessities, struggling to survive on the equivalent
of less than US$370 a year.
Some 550 million go to bed hungry each night. More than 1.5 billion lack
access to clean drinking water and sanitation. Life expectancy is short,
a consequence of factors such as disease, malnutrition and crime. In sub-Saharan
Africa people rarely survive beyond the age of 50. Education is virtually
non existent. A billion adults are functionally illiterate, while some
500 million children have nowhere to go to school.
While the poor can be found virtually in every country in the world the
overwhelming majority are in the developing nations. But
poverty has also
begun to swell in the developed countries. In the United States and Western
Europe, nearly 15% of the population live below the poverty line. Despite
overall improvements in material living conditions all over the world,
poverty and inequality are worsening. This highlights the fact that poverty
is a consequence not only of the misfortunes and limited capabilities of
individuals but is systemic to current income distribution. This includes
such elements as distribution of wages and salaries; the impact of various
taxes and other public revenue sources; land distribution; access to ownership
and control of productive resources; and market and price structures
Symptoms of social disintegration
Clearly women are significantly represented within disadvantaged groups
comprising 70% of the world's poor and 66% of those not educated to any
level of literacy. Asia alone has 374 million poor rural women, more than
the total population of Western Europe. An estimated 100,000 women are
missing from the global population, mostly from South and East Asia, where
female foetuses are often aborted after amniocentesis or ultrasound scanning.
In the non -US corporate world women hold only 1% of top management positions;
one study predicted that at the current rate of appointment it will take
475 years for women to reach equality with men as senior executives.
Children everywhere are vulnerable victims of violence and abuse. More
than 1.5 million children have been killed in wars in the last decade;
five million live in refugee camps today while some 12 million have lost
their homes, families or both. Wars by another name, such as the US inspired
blockade of Iraq have led to increased infant mortality. In Iraq lack of
food and medicine have seen monthly deaths of children under five increase
twenty times from 112 in Jan 1989 to 2306 in Jan 1995 due
to malnutrition. There has also been an ten fold increase from pneumonia
and diarrhoea in the same period. In some politically sick circles there
is a view that feral children should be culled. In Brazil, home to an estimated
200,000 street children, four youngsters a day are murdered; the killing
of Brazilian minors has increased 40% in a single year (1993-1994). In
a situation reminiscent of child slavery a total estimated 500,000 child
prostitutes work the tourist sex centres of South East Asia.
Illegal activities are increasing. In the US alone, 14 million crimes were
reported in 1992, costing the country $425 billion; American spending on
narcotics is thought to exceed the combined incomes (GDPs) of over 80 countries.
Worldwide, many crimes are drug related. Each year 225:100,000 people in
Canada and 400:100,000 in Australia suffer from drug related crime. This
figure doubles in Denmark and Norway, while increasing more than 30 fold
in Japan, in the later part of 1980's. Transnational criminal organisations
operating across national boundaries now have an estimated turnover of
$1,000 billion a year. Many of these syndicates are related to or work
with respectable intelligence agencies utilizing the extra funds for illicit
activities
Globalisation new scourge
At the beginning of the century 90% of war casualties were military. Now
90% of casualties are civilian. About 40% of the world's countries have
a minimum of five ethnic populations while half of all countries have experienced
some form of recent inter-ethnic strife. During the four months, April-July
1994 3.5 million people in Rwanda -almost half the total population- were
killed or forced to flee their homes due to internecine conflict.
One in every 115 people on the earth is a migrant or refugee, having been
forced to leave home for economic, political or military reasons. Victims
of ethnic conflict have grown from 8 million in 1970 to a current figure
of some 20 million who have fled across borders; and another 26 million
internationally displaced persons. It is as if we globally have been hit
by a new deadly virus. A social virus against which current society has
no immunity.
Everywhere families are under enormous pressure. Much of this pressure
can be ascribed to the relatively harsh economic times we live in.
Underlying economic trends
Global free trade and competition has equalised worldwide the average rate
of profit.
-
Goods exchanged internationally are now sold at their production prices,
i.e., their cost price plus average rate of profit. They are no longer
sold at their value, i.e., the socially necessary labour incorporated in
them. Prices and value have diverged markedly, leading to a situation where
there seems to be no connection between an item's value and its price.
Globally we are entering an economic era where falling commodity prices
are devastating the economies of whole nations. In Rwanda coffee prices
have fallen more than 50% since 1989.
-
In world trade, there is a net shift of surplus value from more labour
intensive industries and less developed countries to more capital intensive
industries and the developed countries. This is because high tech goods
are priced above their value and low tech goods sell below their actual
value. This net shift of surplus value on a global scale parallels the
net shift of surplus value from the countryside to the cities in a domestic
capitalist economy. Today the North represents the economic centre of capital,
and the South represents the peripheral and outlying areas. With modernisation
the orbital gap is increasing in a new arena of conflict. There is a growing
technological apartheid between North and South.
-
On the one side, the global shift of value deprives the less developed
nations of development funds and compassionate social infrastructure. On
the other side, the overload of surplus value in the developed world
lies idle and is capitalised as ground rent and rising property values.
Such ground rent can only exist absolutely in the form of monopoly and
private property. This in turn brings the need for privatisation .A privatisation
that become all encompassing. A privatisation in which even people's thought
and creativity are the intellectual property of others.
Back to preface
Chpt 2
Race to technological apartheid
There is a race to high technology in the developed
world, which is leaving the developing countries in its wake. The more
powerful and richer countries of the North grab large slabs of the market,
including the right to dictate where, how and who uses new technology.
This reinforces the position of countries such as the US at the head of
the developed world.
When the UN Security Council invokes sanctions and threats against Iraq,
Libya, North Korea and Pakistan over their alleged development of weapons
of mass destruction, there is often a hidden agenda. Under the mantle of
"dual-use technology", the Security Council deems such technologies as
being any that could potentially be used to make weapons, even if that
is not their intent. For example, high speed computers and centrifuges
are currently banned from Iraq as a result of such professed concerns.
Likewise, technology to manufacture insecticide is also banned, since the
UN claims that such technology might be used to make poison gas.
On the question of nuclear proliferation, the Security Council has used
the Institutional Atomic Energy Association (IAEA) for overt political
purposes. It was originally established in the 1950's to promote the spread
of nuclear energy for peaceful purposes. Iraq has been ordered to end all
nuclear research, and even the instruction of nuclear physics in its universities,
in order to prevent such proliferation.
What is more worrying are statements in the UN Security Council about technological
personnel. German Foreign Minister, Hans-Dietrich Genscher, in a speech
made in Washington in January 1992, warned of the "threat" of "wandering
technological mercenaries." Alluding to the so-called Islamic bomb, Genscher
warned that unemployed Russian nuclear scientists might find employment
in "rich countries outside Europe." Genscher called on the Security Council
(of which Germany is not a member) to prepare a "bundle of sanctions".
These sanctions would "isolate" any state seeking to build such weapons,
whether or not that state was a signatory to the Nuclear Non-Proliferation
Treaty.
Both the United States and Israel are not content with the destruction
of Iraqi scud missiles. Their main concern is with the scientists and their
knowledge of the technology. For this reason, they are prepared to keep
the sanctions on Iraq and prevent Iraqi scientists from working. However,
when medicines and infant formula are also denied to the Iraqi population
to wreak a demoralising effect on the Iraqi military, one wonders where
the world is heading.
It is technological apartheid of the New World Order in its craziest extreme.
Yet media manipulation turns black into white and vice versa. War games
are played out in living rooms of television viewers. The hearts and minds
of the people are used in a most sinister way.
Yet the really sad thing for the democratic aspirations of the people of
the world is the way the representatives of the New World Order parade
the arrogance of this technological apartheid in the UN Security Council.
In November 1994 the UN Security Council once again refused to lift the
crippling sanctions against Iraq. Adding insult to injury the US envoy
Madeline Albright, according to a report on the Reuter's wire, symbolically
"wore a brooch in the shape of a snake when she met Iraqi deputy
prime minister Tareq Azis today".
Having knowledge is one thing, but being able to use it is another. The
outcome of recent GATT negotiations for the enforcement of intellectual
property rights such as patents and software copyrights, effectively
enables the countries of the North and TNC's to monopolise new developments
in technology. In agriculture and agribusiness all sorts of patents are
being applied to seed and plant genes, and cloning. Therefore, the South,
even if it has the knowledge, is restricted from its use by not having
a patent or copyright license.
The US National Institutes of Health are engaged in what the Wall Street
Journal calls "the biggest race for property since the great land rush
of 1889". In this case, the race is to stake "...US patent claims to thousands
of pieces of genetic material -- DNA -- that NIH scientists are certain
are fragments of unknown genes". The purpose, the NIH explains, is to safeguard
US corporations' domination of the biotechnology business, which the government
expects "to be generating annual revenue of $50 billion by the year 2000,"
and vastly more beyond.
When it comes to the countries of the South, accessing their technological
expertise with the nations of the North, they run up against a brick wall.
In trade and development, the countries of the North present a collective
imperial attitude to the hungry nations of the South. They present and
act as a veritable Freemason's society united in the exclusivity of their
knowledge and technological expertise.
Privatisation of knowledge
.
With global communications becoming instantaneous information is gaining
critical importance and power. There is a battle for the information superhighways
such as Internet. How any public thoroughfare could be privatised escapes
rationality. Intellectual property rights should not extend to communication
channels and computer system software. It would be like someone taking
out a patent on the wheel. And there is no point re inventing the wheel
!! Just because a company like Microsoft has worked on computer operating
systems does not means they can keep this knowledge to their exclusive
possession. Some thing that has become universal and a standard must necessarily
enter the public domain. Further the spreading plethora of computer viruses
shows that this operating system is far from perfect and needs revision.
This cannot be achieved until Microsoft releases its source codes publicly.
Microsoft has no right to monopoly practices Any way the whole concept
of Windows software was pirated from the research work at Xerox
Park at Pal Alto .
One could think that global capital has gone totally mad. Have knowledge
and intellectual practices become private property? Are they to be bought
and sold like any other commodity in the name of profit? Have we reached
the ultimate degradation of human beings? A choice between ignorance or
intellectual prostitution.!!
Back to preface
Chpt 3
They'd privatise the air
People in Australia, have noticed that their gas,
electricity, and water rates have risen dramatically in recent years. These
rises have not been accompanied by new infrastructure development in the
supply of these services such as new dams , etc. In fact the rise in these
consumer prices has taken place against a background of cost cutting and
labour shedding and so called greater efficiency in the utilities. The
spectre of further rises looms when we reflect on the experience of New
Zealand and Britain.
British experience
The UK National Consumer Council has estimated that since privatisation
customers of the main water companies have paid an extra $7 billion in
water bills. This is $5 billion higher than the inflationary increase.
Average water bills have doubled in some cases. These increases with slashed
payrolls have boosted profits by up to 20% and dividend by 60% per year.
Since 1990 the share value of sewerage companies has more than doubled.
This stands out when compared with a 40% increase for all companies. Meanwhile
Britain for the first time now suffers from water restrictions and appalling
pollution of its beaches from relatively untreated sewerage.
Myth of privatisation
Economic rationalists want to privatise everything. Gas, water,
electricity in the start!! Followed by communications, education, job skilling,
unemployed case management, taxation and so the list goes on. They would
privatise rivers, beaches as they are doing in Europe and the air we
breathe, if they could! And this is the point of course. Some things
are better not being privatised.
Likewise many things could never be totally privatised. For instance land
can never be totally privatised. Otherwise there would never be roads or
public thoroughfares which link and allow access from one privately owned
property to another.
There is a need for virgin parks and water catchment areas which are publicly
owned so that individual private sites may be serviced by water. Any privatisation
of such areas is at best in name only and at its worst the destruction
of the quality of life of others.
Privatisation means monopolisation
Economic rationalists rave on and on about breaking up inefficient state
enterprises. Their fantasy knows no bounds and logic apart from monopoly
and greed. They dream of securing and grabbing demand inelastic
markets of water, gas and electricity for their own personal advantage
and disadvantage of others. This is hardly free competition.!!!
The break up of metropolitan water authorities into regional suppliers
hardly overcomes any monopolistic practices. In any particular locality
you can have only one source of supply. It is still a monopoly . Instead
of one central monopoly we have several regional monopolies. Thus even
from the viewpoint of laissez faire (non monopolistic) economics
there can never be any privatisation of public utilities.
The public utilities as part of the state sector only administer the delivery
of such services at cost to the community. The question of monopoly
is not an issue here because no profit is made from the supply. It is a
user pays system .The cost of this infrastructure of delivery has been
paid by consumers past and present . In the case of water, the good the
utility delivers has not undergone a process of manufacture or transformation
from raw materials. Water is free in nature.
But regardless of whether the user paid for the service or other taxation
subsidised the consumer through debt amortisation, the public utility can
hardly be classified a monopoly if it didn't make a profit itself.
Monopoly's hidden agenda
The economic rationalists as spokespersons for monopolistic interests are
always seeking new areas of exploitation. Privatisation is really about
taking away the community birthright we all have, in order to make selfish
and exclusive monopoly profit.
Profit from monopoly is higher than the social average because of its ability
to impose an economic rent on top of the general rate of profit. This rent
arises from the additional impost levied by the monopolistic owner of land
or any other scarce or restricted means of production. The monopoly power
springs from exclusive ownership of choice locations or licenses to sell
goods and services to the exclusion of all others.
Why do the prices rise
The consumer price rises are, as many suspect, part of and intrinsic to
the privatisation process. In order to privatise these utilities it has
been necessary to increase their profitability. Utilities with their massive
amounts of fixed investment have been unable to match the general
rate of profit of commercial enterprise which have lesser overheads.
In the past commercial capital would not touch such utilities for this
very reason. There was never any possibility that the public utilities
could be floated on the stock market as the rate of return on this venture
capital would fall well below even long term interest rates. For development
and dam building ,etc. the public utilities had to resort to the bond market
or borrow money from other government bodies.
Such utilities existed within the state sector quite comfortably and viably.
Long term loans and debentures by the utilities were paid off or amortised
in time. New ones were raised and paid off, etc. in the continuing process
of funding. New dams built and pipelines laid in continuing sequence of
development. Human labour was value adding to the resources of nature itself
and being funded by the consumers of the service or the community at large.
From the non capitalist perspective everything worked well in this state
public sector. Wages and salaries of the employees of the utilities were
funded, like other costs from consumer revenue for the service.
However from a capitalist or profit based sense the utilities are not viable.
The rate of return on capital invested is unprofitable because of the large
amount of past fixed investment. It becomes an economic imperative that
revenue and consumer prices for the product would have to rise to make
the utilities more profit viable for privatisation. The question is really
one of accounting!! The fixed investment of the utility in infrastructure
needs to be capitalised for a float on the stock market. By regarding these
resources as fixed capital in a total accounting of costs then the rate
of return on total capital (i.e.. the profit rate ) is very low. Hence
the economic rationalists need to raise consumer prices and slash and
burn the resources including labour and the working conditions .
Privatisation is the ultimate in social theft
Recently church groups, social welfare bodies and trade unionists are becoming
outraged at the privatisation process. Quite rightly so!!. The utilities
being in the public sector belong to no one and yet to all. Any private
alienation of social property is a form of theft. It should be treated
in the same way as any other fleecing of the public purse.
If history is any guide to the future of privatisation then the results
are not good. It has not worked for publicly listed companies in the private
sector. The Elders/CUB privatisation resulted in asset stripping and ripping
off of shareholders. Why should we think that the privatisation of public
utilities will be any different?
Privatisation leads to asset stripping pure and simple. There is no new
productive capital. It is rentier capital in its most moribund state.
As prospective buyers are being sought overseas we would do well to reflect
on the centrality social ownership plays in the lives of indigenous people.
" The President in Washington sends word that he wishes to buy our land.
But how can you or I sell the sky or the land? The idea is strange to us.
If we do own the freshness of the air and the sparkle of the water, how
can you buy them.
The shining water that moves in the streams and rivers is not water
but the blood of our ancestors. If we sell you our land you must remember
that it is sacred . Each ghostly reflection in the clear water of the lakes
tells us of events and memories in the life of my people. The water's murmur
is the voice of my father's father.
The rivers are our brothers. They quench our thirst They carry our canoes
and feed our children. So you must give to the rivers the kindness you
would give to any brother"
(Chief Seattle 1854)
Back to preface
Part 11.
Life beyond capitalism
We have the technology
and the means of production
to make the world
a better place.
What
we need is
the space, vision and courage
to take this step
Chpt 4
Socialism - past and present
Chpt 5.
A Post Rio look at private property
Chpt 6
Funding new society
Back to preface
Chpt 4
Socialism - past and present
There lies between capitalism and a classless society
a transitional form of society. This transitional society has been called
socialism. Yet this post capitalist society by its very transitional nature
has many faces.
In the era of National Monopoly Capitalism (1870's-1970's) the essence
of socialism was the dictatorship of the proletariat. It's form
was seen in a revolutionary alliance of the oppressed against the former
oppressing classes. In the Soviet Union, its basic form was a revolutionary
state of the workers and Peasants against the feudal aristocracy and the
bourgeoisie. In the third world, revolutionary new democratic alliances
of workers, peasants and other patriotic elements for national independence
seized power against the pro imperialist feudal forces and the comprador
bourgeoisie.
However today such forms of socialism are no longer proving sufficient
to deal with current economic and political circumstances. Previously successful
socialist forms of organisation are no longer appropriate because a systemic
change has taken place in a global sense of capitalism itself.
Nation state as an object
No longer is the world divided into two contending camps- a capitalist
bloc and a socialist bloc. Today there is one integrated global economy.
This global economy operates on capitalist principles. At this level it
simply does not matter how the internal dynamics of a country are organised.
Socialist nations and capitalist nations alike relate to each other and
the rest of the world along global capitalist lines.
While it is true that there is nothing new in the nature of capitalism
itself, apart from the further intensification of existing socio/economic
contradictions globalisation has brought change. Globalisation has defined
the nation states as a separate yet similar objects on the world
stage, irrespective of the actuality of the social contradictions grounded
in those countries and the substance of their economic/political make up.
In the global community there is now an intrinsic exploitative form of
communication between nation states.
A domestic socialist economy may prevent exploitation at the domestic level
but whether the nation state as a totality exploits others or is itself
exploited depends on the nature of this country's trade and the level of
technology employed in production. No longer can a nation remain immune
from the global framework as it had been in the preceding period Thus it
becomes necessary to analyse how this change has come about. Has it defined
a new era? An era in which a new form of socialism can emerge!
Global changes of the 1970's
The early to mid 1970's was a climactic period in
which the forces for and against imperialism did battle. The Vietnam war
brought the massive US military machine to its knees. The October 1973
Middle East war showed that Zionism was not invincible. The United Nations
General Assembly condemned economic neo-colonialism and passed a program
of action for a New International Economic Order. The result was
an unparalleled victory for the world people. The net result shifted the
balance of power on a world scale. It no longer favored the imperialist
global north. This decisive shift seeded a new potentiality. It
was the beginning of new times. It was an era in which the people united
could never be defeated- an Era of the Masses.
The very essence of monopoly capitalism was shaken by this defeat. Political
crises were linked to monetary crisis and the developed nations
went into a deep recession. The international gold standard was abandoned
altogether after a series of revaluation's of the US dollar.
Then came the massive expansion of global credit. Following this came the
near collapse of the imperialist commercial banking system. Investment
began to appear in a new form. Institutional funds such as the Pension
and Superannuation funds, took on a new significance. They began to roam
the world looking for investment opportunities. The traditional marriage
between bank finance capital and industrial capital at a national level
was on the rocks.
Imperialism's search for the highest rate of profit began to destroy the
very super rates of profit sought. Multinational companies who had fiercely
resisted nationalisation of their operations in developing nations, were
now voluntarily departing the colonies in the recessed climate, as profitability
rates for commodities began to fall.
But the greatest change that rocked monopoly capital was in the area of
international free trade. The massive international expansion of trade
that followed the abandonment of the gold standard funded a new expansion
in the volume of global trade. New manufacturing centres and Free Trade
zones were set up in the third world with the specific purpose of world
wide export in mind. No longer were the import/export flows defined along
traditional neocolonial lines between the imperialist mother country and
its former colonies. Bilateral trade turned into multilateral trade in
a mad scramble for preferential agreements and tariffs.
Yet the New International Economic Order was getting nowhere. The
developing nations were getting even poorer. Capitalism had regrouped globally.
Hidden unequal trade
An imperceptible change was happening in the nature of trade itself. Goods
and services were losing their intrinsic link to real value itself. As
the world economies moved through the ups and downs of the supply/demand
cycle it was becoming apparent that a definite price scissoring trend was
appearing. Goods were being traded no longer at their value but
at their production price. The international global movement of
capital was beginning to even out rates of profit between nation states.
The superprofits from direct ownership of third world resources were no
longer at the levels they were prior to the 1970's. Commodity prices were
falling both absolutely as new areas were developed for export and
also relatively in an organic way. The terms of trade for developing
countries were not only deteriorating relatively from a recession in the
developed world but absolutely in the new climate.
Trans National Corporations began to emerge in the place of the multinational
companies of the previous decade. TNC's in developing countries were no
longer monopoly capitalist financiers in search of the highest prices and
profit for their commodities. They became affiliates of corporate end users
in the global north. They maintained a presence in the global south in
order to drive commodity prices and profits lower and reduce cost inputs
in the developed countries. Transfer pricing tricks also became endemic
in reducing third world taxation revenues.
In short in this new form of global capitalism and equalisation in the
rate of profit, goods and services were now being traded on an unequal
basis ( at their production Price ). No longer were goods and services
traded on an equal exchange basis ( at their value) with the consequent
differential rates of profit.
Retrograde motion and shattered dreams
The nationalisation dreams of independent third world nations to share
in the superprofits of former monopoly capital proved totally elusive in
this New International Economic Order. Imperialist exploitation of the
third world had changed form. The exploitation comes now not in the form
of super rates of profit but rather in unequal trade. An equalisation in
the rate of profit, given the different proportionality in the factors
of production, can only shift real value or net wealth from the more labour
intensive countries to the less labour intensive ones. Just as capitalist
cities plunder the countryside under the name of the equalisation of profit
so now the imperial centre -the global North plunders the periphery
- the global South.
Yet there is an irony in this plunder. Since this value or wealth did not
originate in the normal process of capitalist reproduction and accumulation
it cannot be readily employed in capitalist production. It can only do
so by forcing out or destroying an equivalent amount of productive capital.
Thus while the developing countries languish in poverty there piles up
in the developed world massive amounts of unusable wealth.
The third world was not alone in their shattered dreams. Socialist bloc
countries too were no longer immune from these changes. Previously the
rates of growth in socialist countries were far higher than the non socialist
ones subjected to imperialism. Countries like South Korea and Taiwan now
began to shine far brighter than their socialist counterparts. The price
scissors favoured the High Tech. industries in these countries. The more
labour intensive industries in the socialist countries, previously the
fountain of surplus value and rapid growth rates, were now in a comparative
way losers of value to the socialist nation. But this loss is only manifest
in international trade.
Just as the apparent retrograde motion of the planets when viewed from
the Earth is an illusion, so is the view that capitalism is superior to
socialism. It is merely an illusion. It can be seen that in Eastern Europe
the new regimes embracing capitalism have not been able to turn their economies
around. Yet socialism of the old type in this new period of global capitalism
has reached its limits. It is no longer as progressive as it once was.
The decline in living standards in contemporary socialist countries is
obvious. Simplistic explanations focus on corruption. However this is not
the essential factor. Corruption is more a symptom of decline. Yet in an
ailing economy the emergence of corruption amongst high officials has a
more damaging impact. In a centralist one party government, with little
chance of recall, the situation becomes appalling. From the standpoint
of the masses such a government can be described as downright reactionary.
Nevertheless it is the economic factors in the terms of trade which are
at the core of the problem.
The solution for socialist nations is not to develop an affinity for capitalism
but freedom to develop a new form of socialist organisation which addresses
the contemporary issues of the new economic era. An era in which the chemistry
of global investment present an bonded view of reality.
Nation state as a commodity
While globalisation has defined nation states as objects in the world arena,
former socialist leaders do not have to turn their countries into commodities.
Nations to be bought and sold to the highest bidder!!. Recently in the
United Nations Security Council we have seen attempt to bribe nations with
loans or preferential trading arrangements. We have also seen threats and
the actuality of UN sanctions. National currencies are also the subject
of international speculation. While it may not be so overt, global capital
has an end and that end it to turn the nation state into a commodity. Yet
the means to that end depends on the very compliance of the national leaders.
New socialism
New socialism is socialism in this new economic era - the era of
the masses. The new form of socialism, as a transitional form of society
must address the issue of decentralisation. The focus today is decentralisation
rather than centralisation. Society must move towards "the withering away
of the State" to use Marxist terminology. The centralisation of power in
the hands of the revolutionary vanguard is now more of an ideological question
rather than a bureaucratic or administrative function. Mass organisations
must have real power in decision making. They must have the right to appoint
and recall officials and to change decisions quickly. The empowering of
the masses also means recognising their right to make mistakes. This right
can be facilitated through the structure of peoples conferences, where
decisions can be easily reviewed.
But the most significant difference between "socialism of the old type"
and "socialism of the new type" is the question of wages. In old socialism
the masses still worked under a wage system. Thus socialism still contained
capitalism as its essence. It was capitalism inverted. It was capitalism
stood on its head. It was capitalism in which the capitalists did not have
power.
In its old form socialism was a system where surplus value was still individually
appropriated from the masses but socially distributed for the betterment
of the masses. It was a noble cause and an advance in its time.
Yet mankind's dream of a classless society necessitates the abolition of
the wages system and profit altogether. Socialism in the new era must now
address these to transcend global capitalist society. It must, as a bridge,
now negate the wage system while in essence preserving profit, albeit in
an inverted form. Thus new socialism must be based on the concept partners
not wage workers. This is a quantum leap in the development of
society.
Back to preface
Chpt 5.
A Post Rio look at private
property
Modern research into ecological systems show that
there is always homeostatic feedback mechanisms present that self correct
imbalances within the system. That is until a real limit is reached when
the system itself changes. While the doomsday school of Gaia theory metaphysically
focus on the details of these limits and how to sustain the existing structure,
progressives should dialectically focus on how the system itself can change
to define new limits and accommodate further increase.
The Rio Earth Summit while stressing the global limits of
our planet also brought into question the economic sustainable limits of
private property. Environmental problems are worst where the concentration
of land ownership is at its worst. In Brazil where the destruction of the
rain forests is destroying the lungs of the earth has one of the worst
monopolisation of agricultural land. The latifundistas huge properties,
often only retained for speculative purposes, lock out the rural and urban
poor of a livelihood. It is only in the rainforest area that the slum dwellers
find untitled and free land.
Many of the worst natural disasters from flood, drought and earthquake
have a social bias. Quite often people die or lose their homes because
they live where nature did not intend to live. Living on flood plains will
certainly subject you to flash flooding! Farming arid acres or unproductive
land will always be risky if the heavens don't open, but for disinherited
people there is sometime no option.
Contrary to our Malthusian opponents it is not that the world that is overpopulated.
But rather the current limits of private property have been reached. There
is relative overpopulation in respect to current private property. Which
do we change, that is the question? And that is the question that should
have been on the UN's agenda at the Cairo Population Summit.
Mother of monopolies
Because land is finite compared with the infinity of products of manufacturing
land itself defines the very limits of a particular society. Once extensive
land use has reached its limit, a quantum leap occurs and land became used
more intensively. The evolution of society has been based on this increasing
intensification of land use. History shows that where some social barrier
or monopolisation occurs to the unlocking of the land, such as the Church's
ownership of vast acres, then it is swept aside.
Yes, the earth is Gaia god like. The land is the mother! And land is the
mother of all capitalist monopolies. Winston Churchill eloquently put the
matter this way in 1909,
"It is quite true that land monopoly is not the only monopoly which
exists, but it is by far the greatest of monopolies-it is a perpetual monopoly,
and it is the mother of all forms of monopoly. It is quite true that unearned
increments in land are not only the only form of unearned or undeserved
profit which individuals are to secure; but it is the principal form of
unearned increment which is derived from processes which are not merely
not beneficial, but which are positively detrimental to the general public"
A monopoly in land is the basis of all forms of exploitation of the masses
in one form or another. All social revolutions in modern history have in
some way or another involved a redistribution of the land. Land is the
mother. It is the mother of the new. But in order define the new it is
necessary to understand the old. It is this question that we must now address
in order to transform society from a wage system to one based on partners
Australia and private property
Australia is an interesting country to investigate the origins of capitalist
private property. As capitalism in Australia is relatively a recent phenomena
and was artificially created by British colonial authorities, the underlying
principles are not clouded by religious or cultural traditions. For the
purpose of our investigation we leave aside the original dispossession
of the native Aboriginal people by the British colonists for the moment.
We return to this important fact later.
The nature of capitalist private property can be found in the origins of
white colonial settlement in South Australia in the 1840's. E.G. Wakefield,
theorist for the South Australian colony drew lessons from the previous
failure of the Swan River settlement in Western Australia. The colonial
capitalists were left without workers. Wakefield cites the case of one
Mr. Peel who took with him from England to Swan River the means of subsidence
and production in excess of 50,000 pounds sterling and 3,000 working class
men, women and children. Yet shortly after arrival Peel was left without
anyone to make his bed or fetch him water from the river.
In the South Australian experiment using, Wakefield's "systematic colonisation",
labourers had to be denied their access of escape to set up as free and
independent producers. The South Australian Colonisation Scheme
clearly spells out in its official documents that in order to ensure a
continual supply of cheap labour the price of land must be deliberately
increased. Free settlers to the colony must be denied easy access to land.
Otherwise they could set up as independent farmers. Why should they work
for anyone else when they could work for themselves? In having land they
could just do that.
Land and wages
The actual denial of the settlers access to land was intrinsic to the establishment
of a capitalist wages system in Australia. Capitalism's experience in the
colonies was that Capital without Wage Labour ceases to be Capital. And
the depropertying of the labouring masses was fundamental to the wage labour
system. The wage system, as indeed all forms of economic relations in class
society, is grounded on the basis of landed private property..
A further corollary of capitalist private property was discovered by Henry
George in the emergent capitalist America in the 1870's. George noted that
idle Capital posits itself in the form of wealth associated with ground
rent and land speculation. He observed that in times of rising land prices
the conditions of wage labour deteriorated. Rising rent eats into the profitability
of capital and as a consequence business either fails or squeezes the very
last drop of blood from its wage labour. Often both occur.
What George was observing was the unequal exchange and net transfer of
value from the countryside to the cities under free competition. Since
such wealth creation did not originate in the normal process of capitalist
reproduction and accumulation it must lie as fallow and unproductive capital.
Capitalised as ground rent it became a heavy burden on productive capital.
In other words, wealth stolen from the country reemerges in the city, in
an unusable form of land speculation. Both city and country lose as this
wealth can no longer be utilised by either productively. The burden of
this massive wealth escalates rent, forcing capitalists to lower wages
to compensate. Both agricultural and industrial workers lose.
Land is no-ones property
There is no arbitrary or legal way of abolishing differences between the
countryside and the city or between classes and class difference. Yet in
moving to classless society, a transitional means is required to take away
the ground on which the contradiction between capital and labour is actualised.
Liberal reformist Australian Prime Minister, Alfred Deakin, many years
ago remarked,
"The whole of the people have the right to ownership of land and the
right to share in the value of land itself, though not to share in the
fruits of land which properly belongs to the individuals by whose labour
they are produced"
Now the very question of private freehold ownership of land needs to be
examined. Certainly the high price of residential blocks of land locks
young Australian families into a lifetime commitment to working for wages.
The abolition of private ownership of land must be the final goal in the
move to a classless society.
But to find a transitional means is a more difficult question. We in Australia
are lucky to have had some experience in this field. The national capital
city Canberra was founded on the principle of social ownership of land.
The Canberra leasehold system evolved out of the great equalitarian ideals
of the late 1890's. It was designed to make sure that a few individual
land owners could not make usury profits at the expense of the community.
In recent years the leasehold land tenure system has come under pressure
from the contradiction of releasing new land for residential housing versus
the need for commercial real estate and revenue earned.
Still the experience suggests land tenure of commercial real estate should
involve some form of leasehold arrangements, with site revenue attracted
annually on this land. Residential land must be treated on a needs basis.
The cost and provision of home ownership for the people is a partnership
question and will discussed in Part 3.
.
The Aboriginal perspective
Aboriginal communities viewed land in a very different way from contemporary
Australian society. They saw themselves not as owning the land, but being
caretakers of that land. This is a version of the leasehold concept. They
paid 'rent' in ceremonial and cultural practices which encompassed physical
caring for the land and environmental regeneration. By paying respect to
nature, the ultimate provider, their future needs from the land would be
fulfilled.
As Nature was being paid, she would always provide what they needed. To
them land was the mother. Disguised in the metaphysical dreaming of the
sustainer known in the south as Bunjul and in the north as
the Rainbow Serpent Aboriginal Australia was actually very advanced
or enlightened.
No one owned the land, therefore, no one could prevent another from using
the land. All could caretake for the land they needed. As they were actually
having to caretake for the land, they could only take what they needed,
there was no way they could take more land then they needed as they did
not have the means for caring for too much land.
The initiation of the young of the societies taught them this concept,
when they were sent into the land for six months by themselves, they learnt
that they could not care for more land than they needed as well as care
for themselves.
One person could not do the work of two, therefore, one person could only
tender a finite portion of land. Any more than that, and the land would
be insufficiently cared for and become infertile. Using more land than
necessary was untenable and ultimately would result in the neglecting the
caretaker role. If a person has only the land that they need and can care
for, in the end they benefit more than a person who has more land than
he can care for by himself. In the end, the person with more land than
he can care for destroys himself and the land.
The exciting prospects of Mabo
In Australia a recent High Court ruling known as the Mabo decision has
opened exciting prospects to change the very nature of land tenure in this
country. The validity of all freehold land titles could be brought into
question. The Court recognised that the continent of Australia was not
"Terra Nullius", an empty land. The British Colonial authorities had acted
illegally in subdividing and selling titles to parcels of land that actually
belonged communally to Australia's native Aboriginal people.
The High Court's Mabo decision could give legislators the right to declare
all Freehold titles to land in Australia as null and void. Existing titles
could now revert to Leasehold ones with an annual site revenue payable
on non residential land.
The Mabo decision is an exciting development and a chance to provide the
framework for new form of society in Australia.
As Dr. Jim Cairns, Federal Treasurer 1974-1975, recently commented,
"We could see Mabo as a principle, the principle that no land should
be primarily owned but occupied and used under long-term leases that give
all the security ownership does (as in Canberra) and can be bought and
sold as ownership is. But the rent of the land, the socially created unearned
rise in its value be paid to revenue allowing taxes on earnings to be reduced
or abolished."
The Mabo decision lends itself to a relatively painless way of changing
the nature of and sublating the current system of land value and ownership.
It opens a doorway towards creating a more socially orientated use of resources.
Back to preface
Chpt 6
Funding new society
For taxation to be progressive it must be income related
and not consumption based. The tax should be just, equitable and easy to
collect. It should not hinder production or dampen personal incentive.
To the individual social revenue should seem invisible. Domestic taxes
levied should be direct and differential on the basis of those that can
afford to pay more should do so. Finally taxation must have an indirect
international aspect universally serving all in Australia and the world.
An impossible dream or is it?
Direct site revenue
Henry George once wrote,
"A tax on land values is of all taxes that which best fit every requirement
of a perfect tax.
As land cannot be hidden or carried off, a tax on land values can be
assessed with more certainty and can be collected with greater ease and
less expense than any other tax, while it does not in the slightest degree
check production or lessen its expense. It is in fact only in form, being
in nature a rent -a taking for the use of the community a value that rises
not from individual exertion but from growth of the community."
Tax Reform Australia has estimated that a 5% tax on unimproved land site
value would replace 70 of the other form of current taxation in Australia.
A domestic reform of taxation that has long been overdue.
While annual site revenue is an important domestic social reform of the
taxation system it cannot however generate the necessary international
income to fund new social measures. This is because it only taps relative
ground rent. Annual site revenue socially redistributes the unearned
income arising out of the differential nature of the land. Yes, it is a
necessary reform step in funding social justice and equity by differentially
unlocking the land. But the social cake has not got any bigger. Only revolutionary
measures can accomplish global growth out the current stagnation.
Indirect site revenue
Historically Australian prosperity in the world has been conditional on
the exploitation of our natural resources. Gold rush of the 1850's truly
marked the starting point of free settlement and economic take off. The
mineral and energy boom of the late 1960's and early 1970's indirectly
funded the new social initiatives of the Whitlam years.
The boom wealth generated from our extractive industries appears in the
form of absolute ground rent. Absolute ground rent appears under
the equalisation of the rate of profit as the amount the value of the extracted
commodity exceeds its production price. This rent must be socially
tapped and not individually appropriated. An appropriate Australian
Resources Rent must socially appropriate this absolute ground rent.
This tax base universally betters all Australians and funds the new social
expansion.
Using this resources rent we redress Australia falling terms of trade and
turn around the price scissors created by the globalisation of capital.
Global capitalism with its equalisation of the rate of profit has created
unequal trade between nations and global shifts of value from the South
to the North. It is only by using the limits of natural resources and mineral
and energy producer cartels can this inequity be addressed. It is only
with the creative use of absolute ground rent can the estrangement of price
from value be rectified globally. And as such it is a means by which Australia
and the resource rich developing countries develop a new and just world
order.
To summarise, society's revenue must not come primarily from taxation.
Taxation is a form of retribution of wealth in society. Whether it takes
from individuals or work centres for social redistribution taxation does
not tap the real forms of surplus profit and cannot really address social
inequality. Society's revenue must come primarily from ground rent. It
must do in a relative form by of direct annual site revenue. And it must
do in an absolute form as a resources tax. Just as Libya primarily funds
its social revenue from oil revenue so too Australia must fund its social
expansion from our natural extractive industries.
Part 111.
Partners in Australia
Partnership in Australian society
requires a new
social operating system.
Caring for basic human needs must be built in to the system
and creatively enshrined in a Australian Bill of Rights.
This Bill of Rights must become a manifesto of post capitalist society
and legislated legal form of the bridge to a classless society.
A society in which the individual
develops his own personality.
Chpt 7
Building a new operating system
Chpt 8
New social income rights
Chpt 9
The Bridge
Conclusion
Back to preface
Chpt 7
Building a new operating system
Capitalism as a social operating system is now some
500 years old. It has now under globalisation reached its limits. The limitations
in any operating system, whether the human immune system or a computer
in/out system, become apparent as viruses. Viruses attack the very
genetic code or make up of the system itself and yet remain invisible to
the system itself. Thus the system cannot deal with these coded instructions
or does so in a corrupt way.
Ethnic tension and racial hatred exist as social viruses in current society.
Global capital has an economic blind spot in addressing such social problems.
Former healthy multinational states like Yugoslavia or the Soviet Union
which existed in a socialist framework are now retro diseased in
a global capitalist operating system. Any operating system must have its
limitations. The secret is to know what to include and what to exclude
in any given level of constraint. In building a new social operating system
for post capitalist society we must first define our requirements. These
requirements must be based on addressing human needs.
Needs based resourcing
In capitalist and previous socialist societies, based on the wage system,
an individual received back, what that person put into society, through
work, regardless of individual needs. There was little diversity, incentive
or personal satisfaction built into the system. Socialist societies of
the current era have, in the relatively short period of development in
which they have operated, been unable to achieve recognition of the needs
of the individual on a universal scale. An individual with distinct individual
needs as well as social needs truly. A free society would encourage the
growth of assertive individuals who know and express their own needs. As
we shall see later the incorporation of increased degrees of individual
freedom within a social operating system has the potential to overcome
racial hatred and ethnic tension.
Under the partners concept what people receive, is still very much dependent
on what each puts in and constrained by the total finite resources available.
However their individual needs in these newly contracted social relationships
are now addressed and resourced in three ways.
They would be resourced as
-
partners in society
-
partners in work
-
partners in a family.
Freedom and need
Ultimately in a classless society, all distribution is based on the complete
fulfillment of an individuals needs. In class society however the ruling
class is free to exploit others to satisfy its own needs. But this is a
false freedom as the exploiter is still tied to the exploited in a binding
social relationship. He is like the jailer who is tied to his prisoners
or Schindler who was tied to his refugees from Nazism in what amounted
to a slave labour camp. Only when the jail is empty is the jailer truly
free from those responsibilities, free to lead his own life. If a man possesses
needs of others, such as a Schindler possessing the needs of his refugees,
he cannot devote enough time to his own needs, therefore his own or families
needs will not be met. Post capitalist society embraces all and cares for
all socially. As such it frees individuals from the responsibility of others
needs
.
Only free individuals posses their own needs. Consciousness of this allows
personal development to mature and be expressed in a confident assertive
personality; instead of the crippling submissive and aggressive
behaviours so characteristic of current capitalist society.
Home ownership
The most pressing need of any individual or family is housing. It is only
when one owns this need is one ever totally free from exploitation. Living
in another's house, whether paying rent or not, compromises freedom. In
contrast to State owned housing in orthodox socialist societies true partners
in a new society must own their own home.
Home ownership is not just a dream but a prerequisite to
individual freedom and fulfillment. The State must provide and guarantee
low interest rate funding for this purpose. Special banks set up for this
purpose should never be allowed to get into commercial speculation and
be diverted from this purpose. We have seen recently in Australia whole
banks originally set for this purpose disappear overnight in speculative
finance crashes.
Home ownership does not include the right to own the land. Residential
land as we previously pointed out is no ones property. Residential
land is a valuable need . If someone owns land outright, they are encroaching
on the future needs of another. If one owns land outright, it stands to
reason that as land is finite, this means another can not have the land.
Once they are locked out of land ownership there are major obstacles to
ever obtaining land. This involves great cost and bureaucratic organisation
in effecting transfer of ownership.
Abolition of land speculation
There should be no speculation in residential land. Australia's national
capital city Canberra was founded on this very principle. At that time
people were fed up with land speculation and the corrupt land deals of
state parliaments of the 1890's. Land profiteering had produced political
corruption stretching into the highest levels of government. Federation
Prime Minister Barton promised a clean slate and that all land in the national
capital would be publicly owned forever. Public land ownership also
meant the city planners could ensure urban amenities were fully integrated
into the city's development. Without land speculation, housing costs were
minimised in Canberra. In addition the people benefited from the economies
of scale of site development without incurring the higher prices of private
developers.
However since the late 1970's certain inadequacies have shown up in Canberra's
leasehold system of residential land tenure. House prices in Canberra have
skyrocketed in the last decade with betterment legislation and the
speculative element has crept in the backdoor.
Reducing home costs
Australia wide the current cost of home ownership certainly needs to be
reduced. This can effectively be achieved by the total separation of the
home from the land it stands on. Currently more than 50% of the cost of
a home is the cost of the land site. Residential land should be socially
owned and controlled by the respective municipal peoples councils. Infrastructure
improvements to these sites should not be the burden of the home owner
on the one side nor the capital gain of the residential speculator on the
other.
While home ownership is a universal right for all partners in society.
These homes can never be all the same. Families have their own particular
needs based on the size and composition of their family. As such homes
will be of different varying from flats, apartments, houses, etc. Some
peoples lifestyle may also require a more modest home in the city where
they live during the week and a holiday house in the country for the weekends.
Yet having a second home for the purpose of renting it out cannot be encouraged.
No one has the right to acquire a house additional to his own to his
own dwelling and that of his heirs for the purpose of renting it, because
this additional house is in fact a need of someone else. ( Green Book p.65
)
Superannuation
Superannuation and pension funds as holders of vast tracts of real estate
must either be nationalised or pay rental incomes to society. Under society's
new income measures such superannuation fund payouts would be greatly diminished
.
Yet in a transitional period, individuals deferred incomes should be preserved
or compensated. These superannuation fund should be viewed as an involuntary
savings fund payable to the individual on retirement separate from the
new social income discussed next.
Back to preface
Chpt 8
New social income rights
Everyone should share, in a partnership of, the fruits
of Australian society. Each has a right to an income that sustains a basic
level of existence. In other words everyone should be guaranteed a minimum
income. This notion was originally proposed by Professor Ronald Henderson
in his studies into poverty in Australia in the 1970's. It is increasingly
winning favour with the social-welfare lobby in Australia in light of the
complexity of the social security system. There are currently 25 categories
of payments which make the social security system a nightmare for both
recipients and staff administering the scheme. A universal payment made
by society to all its members would solve this problem.
With such a reform of the social security system the distinction between
paid and unpaid work could be resolved. Work must be seen in its true light
not through the distorted prism of the wage system. ABS statistics show
that a third of all work in Australia is unpaid . In 1992 the value of
this unpaid work was estimated at $227.8 billion. When we subtract self
employed work and work that is either personally or government subsidised
we are starting to get a picture of work in Australia in which the wage
system is increasingly becoming obsolete.
Living allowance
While many social democrats reject a universal payment on the basis that
the community is only willing to give income support to people genuinely
looking for work. Some careful consideration needs to be given to examining
what work really is. One of the advantages of giving the same income support
to all is that it abolishes the basis for naturally occurring
divisive petty jealousies.
The living allowance takes away the insecurity of living hand to mouth
that the dole engenders. Once a person no longer has to worry about where
the next meal is coming from, or where the rent for the house is going
to be earned, they can put more energy and concentration into their work,
resulting in higher productivity, and more benefit to the society. Work
has become inbuilt in society. People work now not only for a wage, but
for what they accomplish, and the recognition by others of their labours.
The living allowance frees the worker to be able to work, and frees their
minds to be more creative in their work.
Family Payments
New society must recognise that people are individuals and that their needs
are different. People also form individual partnerships with others in
regard to their living relationships. While many relationships reflect
the traditional family situation other different arrangements should not
be discriminated against.
The needs of each family situation or basic unit must be catered for on
an individual basis. The nature and amount of family payments must be on
a needs basis rather than assets or income tests. While child maintenance
is the individual responsibility of a particular family unit society should
universally fund it costs. In too many cases access to and custody of children
in failed relations are used as weapons in a maintenance war by former
partners against each other. The psychological and social damage resulting
from this conflict we are only now beginning to cost. Prevention is always
better then cure.
Bonuses
In a new society a person would have no need to work for another simply
to survive, However bonuses provide an incentive to work and an equitable
way in sharing the fruit of social cooperative labour . Some people may
temporarily wish to subsist on the universal allowance and family payments
having the philosophy that 2 out of the 3 ain't bad. The current
capitalist system in fact encourages the existence of such a reserve pool
of unemployed to keep wages down. However not working socially in the end
is soul destroying for the individual.
A worker who chooses his work will take more pride in this work than one
who is forced into onerous work simply to survive. Therefore quality control
tends to be built in instead of being an external thing. External quality
control is inefficient and often does not have very good results. Faulty
products still manage to slip through. If quality control is built in and
each worker takes pride in the quality of their work, far fewer faulty
products would be marketed.
Bonuses for actual work should be made on a professional, skill and trade
basis. Bonuses would vary on the nature of the work location and type of
work. Further bonuses would be awarded for productivity and creativity.
This would allow for the particularity of work itself.
Australian productivity
Under the new arrangement work based cooperatives have no need to
move off shore in search of cheap labour. Their "labour costs" consist
only of bonuses, not wages, payroll tax and superannuation, etc. The social
cost of living in Australia would be a cost borne by all Australians. Under
Partners the social wage would be now incorporated into the universal
living allowances and family payments. It is no longer a burden on a particular
manufacturer who must pass on the costs into their products. There is no
need now to go off shore or close down under the pressure of the competition
from world trade.
Bill of rights
These new forms of social distribution need to be legislated at the highest
level as rights. They represent new economic freedoms for the Australian
people in a new higher level of social organisation. They are part of a
new social operating system, operating at a higher level of entropy. These
new degrees of freedom for the living individual can only be properly incorporated
and guaranteed in a bill of rights. This Australian Bill of Rights can
act as a legislated manifesto for Partners in Australia. As such
it prepares the ground, for a bridge between new society and the
old
Back to preface
Chpt 9
The Bridge
A new society must overcome the personal limitations
of life in the current system. In today's society most people are
locked into the most basic level of living, in a sense of "hunting and
gathering" on an individual basis. They are concerned primarily with their
next pay cheque, their next meal, the rent, etc. In an advanced new society,
those worries are taken care of socially.
Being engaged in the daily grind of living often ones energy is totally
sapped in domestic and subsistence toil. In this mode people often do not
have time to reflect either on their own existence or the wider social
issues of the human condition. A lot anti-intellectual sentiment derives
from this fact, and resentment towards those who do have the luxury of
time or wealth to enable such creative thought and the development of theoretical
constructs.
While there is no denial that the motive force in the advancement of history
is the mass movements which changed society it was the creative thinking
in such social movements that brought about the realisation of the new
goals. This is the role of every individual in the dynamics of history.
As we move to a classless society it becomes a factor in everyone's lives
and with their own difficulties and solutions.
The new work arrangements under partners with its social living allowances
allows all members of society the potential to become creative. Freedom
from the drudgery of domestic and wage slavery creates the circumstances
for a personal freeing of the mind to higher maters. It allows time for
consciousness to be personally internalised, facilitating greater social
interaction. Yet often for creativity to be actualised the process involves
some sort of personal struggle to overcome the limitation or negate the
former negation.
The author Satre has pointed out Man is condemned
to be free. Realities are brought home in an individuals own experience
and social practice. Man feels his personal cognition and it often hurts.
But in pain a personal existential experience can lead to a healing
and new forms of social interactions and practices. As Hegel once remarked,
From pain begin the need and the urge that constitute
the transition by which the individual, which is explicitly the negation
of itself, becomes also explicitly its own identity - an identity that
exists only as the negation of the former negation. ( Science of Logic
)
In negating our own negations and healing we can create a praxis
of free, self knowing, and independent personalities that creatively bridge
the social gap in real life between
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young and old.
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immigrants and indigenous peoples
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the able and the disabled
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rich and poor
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women and men
It is a creative process in which single individuals sublate in one another
their indifferent immediate existence, to use Hegelian phraseology.
We need the creativity to address the gap between
the young and the old. Today job opportunities are limited for new entrants
to the work force. Established wage earners are currently understandably
protective of their own employment. More and more young people are thus
forced to rely on unemployment benefits, which is a huge drain on the nations
assets, thus completing a vicious circle. Creatively the long term youth
jobless could be the spearhead for Partners - Partners in a Working
Nation. The new training and job creation schemes under the federal
government's Working Nation initiative could be the bridge to work
of the future. These new entrants to the workforce instead of working for
wages could work for bonuses, while still being under the social security
umbrella. Some degree of this is already happening with the Working Nation's
DEET projects. Similarly the mature age jobless, as part of their reskilling,
could be offered the partners option. Thereby establishing on the ground
a cross generation connectivity that the SkillShare attempts in
its training courses. It would be a pilot scheme that both trade unions,
employers and the community at large should accept as social necessity
in the current depressed economic climate.
We need creativity to recognise the disabled as full
members of society, who command the same level of respect as able bodied
people. It is time for societies to enable the disabled members of our
society to participate fully and effectively. Rather than detracting from
society as a whole, the disabled actually have very important roles to
play, and as with the able bodied members of society, some have superlative
qualities, such as the intellectual brilliance of Stephen Hawkins. The
overcoming of some disability often produces unique talents in people.
It is time that we began to recognise this potentiality and encourage it.
"The industrious and skillful in a society have no right, as a result
of this advantage, to take from the shares of others. They can use their
talents to satisfy their own needs and save from those needs. Like any
other member of the society, the aged, and the mentally and physically
disabled should have their fair share from the wealth of the society."
(M. Qathafi, The Green Book, Part 2.)
We need creativity to address issues of race, creed
and colour that can so easily divide the people. We cannot let such particularities
be used as weapons against us by those who would exploit difference. In
fact we should let ethnic diversity strengthen the pillars of our community
and culture. We have so much to give and learn from each other. The doors
must swing open and let a thousand flowers bloom and a hundred schools
of thought contend. Unfortunately the current Racial Vilification
legislation may tend to close doors and curtail the very free speech we
need to encourage.
We need creativity for a genuine and historic reconciliation
between Aboriginal and White Australia. This reconciliation must
be cultural, political and economic. While aspects can be legislated the
reconciliation must be primarily at a personal level of awareness. Prime
minister Keating's Redfern Statement provides a starting point.
There must be recognition of invasion within white settlement. The true
spirit of our Southern land can be Aboriginal inspired. With today's
social division of labour many people suffer from an increasing alienation
from nature. They lack the necessary personal survival skills to live outside
their own environment. The very life force of our regeneration as a society
of partners lies in the very ancient and lost wisdom; that of communities
living in harmony with each other and nature itself
We need creativity to gap between rich and poor. Previous
revolutionary experience shows that the transition between capitalist class
society with its extreme polarization of wealth and an egalitarian classless
society can only be a dynamic and non linear process. As such there must
be objectively a continuous but fluctuating shift of wealth from the one
to the other or from the old to the new; although from a relative point
of view there are apparent backtracks or standstills in this process. In
income there needs to be a shifting yet intrinsic connection between the
universal living allowance, individualised family payments and the particular
bonuses associated with work based partnerships.
While the value placed on each will fluctuate during the transitional period
its proportion does not. This is because the three underlying principles
of universality, individuality and particularity of partnerships relate
to each other in a simple recursive way. To many, new socialism
could appear to be objectively a chaotic process with property relations
in a state of perpetual change and turmoil. It may also appear anarchistic
because of the reduction of mechanisms of social control. Computer modeling
becomes important here. See Appendix 1.
We need creativity to address the equality of the
sexes. Capitalism and indeed all class society has a sociological, cultural
and religious superstructure that treats women as second class citizens
in a very paternalistic way. In a society of partners women would no longer
be chattels or the private property of men. They would have the social
and economic independence of any individual. They would be free to form
mutual relationships with others on the basis of their own choice, affection
and needs; rather than according to cultural arrangements or socio-economic
necessity. Marriage, as a living partnership between a man and woman, must
creatively be broadened from its divisive narrowness. Intermarriages between
different generations, races, classes, religions and so forth may present
some personal difficulties but when the barriers are overcome the social
ramifications may have a lasting and positive effect within the community.
They are personal keys to the ending of many social conflicts.
Family
The family is society in microcosm. The exploitative relationships in the
capitalist wage system are mirrored in the social expectations and role
models within the family unit. Capitalism's nuclear family not only divides
parents from each other domestically but also defines social barriers and
behaviour between parents and children. Learned behaviour which goes on
from one generation to the next. How the cycle is broken and how partnership
operates within the family unit must remain the subject of discussion at
another time.
Absolute Partners
Finally Partners in its highest form takes on a new universality. The idea
is no longer bound by the relative nature of its environment and the specific
details of its contents. Partnership has only pure form. The concept thus
becomes absolute and universally applicable. In its highest form, as an
absolute idea, Partners in Australia becomes a theoretical model
for partnerships in other countries and a global partnership between countries
in the world. At the very height of this absolute ideal we have
the beginning of new material.
At the very moment we strip Partners of all its relative and specific
content we lay bare the material kernel of partnership and thus reach a
new point of departure. It is the moment of creation of new bridges and
partnerships with their own specific material content. Partnerships exist
within a community and that community exists within a larger community.
Our investigation ends with a new point of departure for a study of partnerships
within the family. But Partners in Australia remains a small cog
in the partnership between nations on a world scale and that is also a
field of study in itself. While community or the environment of the system
defines its content the underlying form of partnerships remains universal.
In its absolute form Partners provides a new window through which
we can look inwards or outwards.
Both the capitalist wage system and new society's partners system are ultimately
only different forms of social relationships and work. Marx in 1847,
heralding the demise of the capitalist wage system, made the absolute pronouncement,
Workers of the World unite. You have nothing to loose but your chains.
Some hundred and fifty years later we now have an absolute vision of what
replaces this capitalist wage system in a very practical way. Partners
not wage workers is not only the new global catch cry for a new classless
society but the very practical path we must all follow.
Back to preface
Conclusion
I believe. I believe that
partnerships are the key to the future. Men and women are social beings.
They form social relationships on an individual, a particular and a universal
level. Individually, one-to-one relationships will always be the primary
aspect and cornerstone of all future friendships. Work and group relationships
determine the essence of social experience, in the particular. Universally,
men and women only find their place and destiny in their relationship to
society.
Yet it is only when these relationships are free and non exploitative that
the missing and subjective elixir is objectively to be found. In partners
we find happiness.
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Happiness found physically in the unselfish giving and mutual rewarding
partnership of love.
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Happiness found in the sexual intimacy and chemistry of the partnership
with their other.
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Happiness found spiritually in the form of purpose in our lives.
The aim of socialist society is the happiness of the human being, which
cannot be attained except by the establishment of one's material and spiritual
freedom. (M. Qathafi, The Green Book, Part 2.)
Partners not Wage earners unlocks this new potentiality. It forms the bridge
to new society. It brings us to realise to our dreams and Paradise
on Earth.
Back to preface
APPENDIX 1
Computer modeling
While computers are fundamental to non linear economic
modeling they are also playing an increasingly important role in creativity
and personal interactivity. The South Movement here in Australia is looking
at creating a computer based economic/political simulation game called
Access Chiron to bring these ideas to peoples attention and awareness
by making it enjoyable. The simulation takes its name from the planetoid,
CHIRON, which was first discovered in November 1977 at the time Muammar
Qathafi was writing the second part of his Green Book, outlining the principles
of Partners not Wage-earners.
If the bridge between current class society and non-class society is of
a dynamic and non linear type, and if socialism has a face that changes
like the shifting sands of the desert, but blooms like wild flowers after
rain, then Chiron provides a good model. The orbit of Chiron is also of
a dynamic non linear type. This in fact causes changes in the planets brightness
and shape, and hence its changing "face". Chiron's orbit is measured at
approximately 50 years which correlates with the long waves of boom and
bust times under capitalism first discovered by Russian economist Nicholai
Kondrattief in 1921.
When we delve even deeper into the Greek mythology of Chiron - the healer,
we can see that our bridge likewise also needs to heal many festering wounds
of global capitalism. It did not come as a surprise that the symbol for
Chiron the planet, a K sitting on a circle, closely resembles the international
symbol Access (the wheel chair) for the disabled.
Lets open the game. Where do we start? Sign on! Password ? Password??
Chiron
Access denied!!
Wait! Think! Chiron is a lexigram for no rich. To be rich means that one
has more than one needs, and is encroaching on another persons needs. Therefore,
logically the concept No rich means that no one individual has more than
their needs, no one is encroaching on another's needs.. If no one has more
than they need, then potentially all should have what they need. Therefore
No Poor. You now have the pass word to Access Chiron.
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