The Wall Street Crisis and Das Kapital
Posted by Jack Stephens on September 21, 2008
It was Marx who had analyzed the phenomenon of capitalism when it was still nascent- foretelling its demise not so much because it was his wish, but pointing out that that the system is inherently unstable and full of contradictions. The Marxist conception of the State as an expression of class power is again vindicated by the manner in which the federal governments in leading capitalist countries- the US, UK, Japan, Australia and even the puny India- has stepped into the rescue and “buy” back sunk investments. It suits these governments to step out of business activities when it suits the latter, and step in when it suits them too, that is having the cake and eat it too! Noam Chomsky once called the US (that’s true of most capitalist countries) – socialism for the rich.
This of course, is not unprecedented. Again it was Marx (or Engels) who commented in the preface to the second edition of Das Capital, that the crisis of the capitalism system of production (not to say of distribution) is inherent because while production grows in geometrical progression, markets expand only in an arithmetic progression. Since then, the web of conflicts and contractions within the capitalist system has only grown more complex.