MASTERS OF THE UNIVERSE

Financiers, stockbrokers and City wheeler-dealers are fond of portraying themselves as masters of the universe whose expertise and accumen gives them an insight into how modern capitalism works. However one of their numbers, David Tepper has revealed in a recent TV interview some of the tricks of his trade that cast doubt on the master of the universe description. "Last year we learnt that the founder of Appaloosa Management kept a pair of brass testicles on his desk to rub for good luck. Another of his tricks emerged in an interview with CNBC last week. "We keep three little pigs in the office and we shake a pig to see which way to invest. If it lands on its feet we go long, if it lands on its back we go short." (Sunday Times, 26 September) David Tepper as a hedge fund billionaire investor may regard himself as a master of the universe, but to socialists he is more a master of the con-trick! RD

CONTRASTS IN CAPITALISM

The extravagant spending habits of President Robert Mugabe's wife Grace are well-documented. Described as the First Shopper of Zimbabwe, she is usually clad in haute couture and hidden behind designer sunglasses. With a £25,000 diamond-encrusted Rolex watch hanging off her wrist, the 45-year-old thinks nothing of spending millions of pounds during foreign shopping trips each year - while ordinary Zimbabweans can barely find enough food to eat. (Daily Mail, 26 September) RD

THE CREATIONIST MYTH

"Richard Dawkins seemed to be saying last night that he rather envied those teachers who have to drill irregular Latin verbs into the heads of schoolchildren. At least they do not have to teach their discipline against the background noise of well-organised and expensively funded pressure groups who deny that ancient Rome even existed and claim that all languages sprang into existence simultaneously more recently than that. But that, in a sense, is the fate of the scientist who wants to teach evolution. In the USA, 40 per cent of the population believes that every word of the Bible is literally true." (Independent, 16 September) RD

MONEY AND MEDALS

Schoolboys and schoolgirls are taught about the splendour of military valour and yet such medals as the Victoria Cross are often sold by the recipenients or their surviving family in order to get by inside capitalism. Many English schoolboys must dream of reprising the football heroes of 1966 and winning a World Cup medal, but like military heroes the football heroes and their families have got to get by inside capitalism. "Yesterday, more than 40 years on from their great triumph, Nobby Stiles became the latest member of the team to announce that he was selling his winner's medal. When he does, Roger Hunt, Bobby Charlton and Jack Charlton will be the only players to still to own their precious medallions. The other eight players (only the 11 who played the final were initially awarded a medal) have sold theirs to collectors or to museums. Stiles, who since retiring from football has been working on the after-dinner speaking circuit and recently had a stroke, said he wanted to cash in on his medal, along with other items of memorabilia from his playing days, to provide for his family." (Independent, 15 September) So whether you die for their country or just win a game of football capitalism will evaluate your actions in pounds and pence. RD

Glasgow's Shame Games

A useful blog to follow that focusses upon the coming Commonwealth Games in Glasgow is the Glasgow Games Monitor 2014. It carries the story of Margaret Jaconelli and her fight for a fair deal rather than accept the risible £30,000 she has been offered for her two-bedroom tenement home.Yet Margaret Jaconelli states that an independent chartered surveyor valued her home (which she owns) at £95,000. A quick search on S1 homes shows that there isn’t a single property in the East End of Glasgow going for less than £72,950. This makes a valuation of £30,000 seem like a sick joke.Imagine if a Compulsory Purchase Order was placed on a homeowner in a wealthy suburb of the West End, and if instead of offering the full value of the house, the Council offered less than a third of that value; or shared ownership; or a Housing Association. There would be an outcry. Certain developers – such as Charles Price - who don’t even live in the area, have been compensated with millons of pounds profit. Mayfair property developer Charles Price and the City Council. Price bought a parcel of land in Dalmarnock for £8 million in the period 2002-2005. The land also lies on a site earmarked for the Commonwealth Games Village and is likewise deemed essential for the Games development. The City Council had it within their powers to perform a Compulsory Purchase Order on Price’s land, but instead negotiated with Price (a process denied to Margaret Jaconelli and the other shopkeepers) resulting in a fantastically generous £17 million sale of the land - with £3 million added VAT. A total cost of £20 million pounds . Price has argued that he didn’t know the site he bought would later be developed for the Games Village. This claim seems remarkably economical with the truth. In fact, Price’s PPD consortium was one of two bidders for the construction of the Games Village site, and it is hugely unlikely that a consortium of that scale including leading architectural firms, and real estate advisors wouldn’t know about such a significant development. More likely, they bought the land knowing that its monopoly value would increase enormously with the pressure of the Games.

“I’m just a wee person from the east end of Glasgow...They said well we’re just going to grass the site over. I said, listen, do not tell me that in the East End of Glasgow, near the city centre, that all this land is going to be grassed over. It all boils down to money. I know the way everything gets sold, the bricks, everything, the land will get sold"

Later, when Glasgow bid to host the 2014 Commonwealth Games, it became clear that the building, like many others around it, stood in the way of the Athlete’s Village. This development of approximately 38 hectares will be adjacent to the new National Indoor Sports Arena and cycling Velodrome. According to the brief to the consortia of companies bidding for the development rights for the Village, the site should ultimately contain around 1,200 homes. The significant majority of these will be sold in the open market after the Games.

Discussion meeting: Inflation

Glasgow
Wednesday, 20 October, 8.30pm

INFLATION Speaker: Vic Vanni

Community Central Halls,
304 Maryhill Road,
G20 7YE.

This is a regular series of discussions by the SPGB's Glasgow branch.

All welcome

OVERBLOWN RHETORIC!

"We need to win the public to our cause and what we must avoid at all costs is alienating them and adding to the book of historic union failures. That is why I have no truck and you should have no truck with overblown rhetoric about waves of irresponsible strikes." (Quote from Ed Miliband's speech)

Ed Miliband, does not say what a responsible strike is, however, this article from the Socialist Standard, September 1977 indicates the realities for the reasons of strikes past, present and future while capitalism exists.

Strikes : An unchanging pattern

MANY PEOPLE SEEM TO THINK that strikes and similar disturbances are caused by laziness, intransigence, stupidity, a willingness to be led, greed, resentment, a want of foresight--in short, for moral failings on the part of employers and their employees, chiefly the latter.
     This is odd-because all sorts of people have been involved under different circumstances and at different times - miners, civil servants, policemen, bank clerks, doctors, school teachers, shop assistants. Have they all suffered from lack of fibre? It is even more odd that the pattern does. Not change, repeated again and again since the early days of capitalism, and well recorded. Recently Elizabeth Gaskell's North and South has been reprinted (Penguin 1976). Much of the central part of this book is concerned with the strike in a northern manufacturing town in the mid-1850s.
     Although it is not the main theme of the novel, and though Mrs. Gaskell was sympathetic to the workers both in her narrative and in real life, religious and individual issues were more important to her—as they usually were in nineteenth-century novels. Her account, though fictional, is clearly based on her own experience and closely observed.
     She describes the by now familiar features workers goaded to strike, the struggle to maintain a standard of living, union leaders trying to keep the issues clear and to hold the reins, some strikers against their union's advice - trying to force the issue by direct confrontation, collision with the police, broken heads, the threat of prison, attempts to make the closure total, employment of foreign labour, (in this case, Irish).
     When scientists find in circumstances which are varying a constant pattern they assume an underlying cause. In this case we do not have to carry out research to discover what it is. Discord is at the base of capitalism. A worker will try to sell his labour-power for the best price and in the best possible market. His standard of living depends on it, and with his standards his way of life itself. He cannot live out of society. There, are always blandishments to induce him to spend his money-even, in fact to owe it. The capitalist, on the other hand, his employer, seeks to buy labour-power as cheaply as possible-profits depend on it. These are the seeds of struggle. There is bound to be contention. When it leads to strikes or other conflict then-since capitalism hasn't changed--they are likely to run to type. It has nothing to do with moral dereliction. It has everything to do with the economic and unavoidable nature of, capitalism. C.  D.

 

Which political philosophy?

THE VIEW HELD by the SPGB, that Socialism can only be established when a large majority of the working class understand it, is constantly being attacked. The attack comes not from capitalists but mainly from supporters of the Labour Party, the Communists, and the "left-wing" militants. All without exception question the ability of the working class to understand Socialism.(Read)

PACTS FOR POWER, DEALS ON WHEELS

 

Labour have been criticising the Liberals assisting the Tories into office, however, this article from the Socialist Standard of November 1977 will recall that Labour have wheeled in their help from time to time.

 

Lab-Lib: A Rabble

There is AN OLD SAYING that if you lie down with a dog you get up with fleas. No doubt it has dawned on the leaders of the Liberal Party that the idea of projecting themselves as an alternative government to the Labourites and Tories is a non-starter. With thirteen MPs and a discredited minority government, their only way to power is through the side door.
      With no ideas to put to the working class, the only alternative to a future in the political wilderness and possible extinction was to do a deal. But, such are the fortunes of opportunism and reformism, they could be cutting their own throats either way. The price they will inevitably pay for "dealing" will be to forfeit the phoney image they have built up over twenty or thirty years that they had distinctive policies and independent ideas. For them to line up openly with one of the parties they have claimed to be so different from can only lose the support of those who had turned to them, having despaired of the other two.
     In an effort to have his cake and eat it Mr. Steel, the Liberal leader, sought to pose as champion of the motorist and pledged himself to vote against Budget increases in petrol prices and road tax. He argued that these increases fell outside the arrangement, and as there had been no consultation on them the Liberals were free to vote against them. After the by-election massacre at Stetchford the motorist did not seem to matter so much. A more urgent need instantly asserted itself: avoiding a General Election, with the threat of annihilation. The great and courageous leader had to find a way out while still trying to sound plausible, at least to the gullible. So he discovered that the increases in motoring costs would not be voted on as a separate resolution in Parliament, but would be tied to other proposals; so it might be best to let the thirteen Liberals make up their own minds, and led from behind.
     The Labour Government are like drowning men desperately clutching at anything in the agony of their disastrous attempt at running capitalism. Having repeatedly declared against coalition, they turned to the Liberals to survive. The one-time "firebrand" of the Left, Michael Foot, will solemnly sit down each week in consultation with the Liberals to keep his mob in power a little longer, unless the whole thing blows up in their faces. Then they will blame each other and fall back on any feeble excuse to try to save their political hides. There is no expediency too shabby for any of them.
     The IMG, WRP, IS and the CP, who urged workers to vote Labour and now go round muttering demands for "socialist policies", get the policies of the Labour Party which they voted for. The policies which these Lefties hold to be Socialist are in fact just as useless and reformist as those of the Labour Party.
     When Mr. Steel claims that his deal with the Government will mean no more nationalization in this session of Parliament, is he really silly enough to believe he is saving capitalism? Is he unaware that his own Party, when in power, carried out Acts of nationalization? He only displays his ignorance if he thinks a Labour Government represents any threat to capitalism, or that nationalization has anything to do with Socialism. It is a shame that questions like these never occur to people like Robin Day during those boring mock-interviews on television, like the one on polling day for Stetchford. But of course they would not keep their cushy jobs for long if they did.
     Mrs. Thatcher and her Tory tribesmen can get as indignant as they like, but under Heath in l974 they were quite willing to talk coalition with the Liberals. The readiness of the Liberals to co-operate with either of the "major"Parties, shows how little there is of fundamental difference between any of them. In fact, Steel said it is his belief that people "will find the artificial Party battles irrelevant to the problems of the day" (Guardian, 24th March). It is the parties that are irrelevant, Mr. Steel. The problems arise out of capitalist society, and you are all dedicated to its preservation.
     For the Tories Mrs. Thatcher said: "We believe in capitalism and democracy". What about the other combinations, Mrs. Thatcher? Capitalism and war? Capitalism and poverty? Capitalism and crises? Capitalism and unemployment? Even Callaghan said in the same report: "I would not like to guarantee that the decline in unemployment will continue in the next few months". None of them can guarantee anything. But while the system lasts the misery and political trading it has always produced will continue.
     Enoch Powell pledged not to bring the Labour Government down and abstained on the crucial vote of confidence. Callaghan and Co. had been just as prepared to deal with the Ulster Unionists as they were with the, Liberals. Just to show that they all have the same priorities, seven Liberals voted against cuts in war potentials in the first vote after the deal.
The working class trust any of them at the expense of their own interests. Apart from war-time coalitions when Tories, Labourites and Liberals joined forces with "Communist" support to pull capitalism's chestnuts out of the fire, there have been deals between the Labour Party and the Liberals from the very early days of the Labour Party. The 1924 Labour Government was voted into office on Liberal votes. As early as l9l0 there were electoral "arrangements" between these two reformist Parties.
     The Socialist Party of Great Britain has one objective, Socialism. This can only be achieved when a majority of the working class reject the squalid expediencies of opportunist politics.

HB

THE MADNESS OF CAPITALISM

Capitalism is an insane society. Millions die with easily prevented or curable diseases whilst millions of dollars, pounds, Euros and yens are spent on new ways to destroy human beings with ingenious methods of military mayhem, but surely capitalism has reached the epitome of madness when children are trying to exist on less than £1 a day and we can read of the following insanity. "It's simple, but no less appealing for that. Celine's classic box bag may cost a pretty penny but its sleek lines make it among the most wanted bags of the season.Price: £2,150." (The Independent, 20 September) Yes, the equivalent of years of nourishment for a child spent by some parasite as a gift to his latest girlfriend. Mad, mad, mad! RD

ALL RIGHT FOR SOME

Top management, company directors and top bankers, all have managed to increase their bonuses and perks while workers in lower paid jobs face wage cuts and unemployment. This summary of this article indicates there are others doing very well for themselves.

Investigation by Paul Hutcheon, Sunday Herald 26 Sep 2010

Police chiefs are receiving lucrative housing allowances on top of generous salaries and in some cases bonuses from the taxpayer, the Sunday Herald can reveal.

Chief constables are still receiving an outdated property perk that was taken away from officers who signed up to the service after 1994.

The total bill for the subsidies across the Scottish forces amounts to millions of pounds a year.

The UK and Scottish Governments are set to slash funding for all public bodies, including Scotland's eight police forces.

Plans being drawn up by police bosses to fill the black hole include laying off thousands of civilian staff and moving towards a single force north of the Border.

Les Gray, the chair of the Scottish Police Federation, has already warned ministers that planned cuts of up to 25% could lead to an increase in violent crime.

However, the cuts are coming in spite of police forces spending millions of pounds every year on a perk that was axed for most officers 16 years ago.

Before September 1994, police officers were granted an allowance that contributed to their housing costs.

The then Conservative Government scrapped the handout for new recruits, who had to make do with their salary.

But existing beneficiaries did not lose their entitlement to a rent or housing allowance, which can work out at around £3000 a year for ordinary beat police, and nearly £6000 per annum for chief constables……..

THE FAILURE OF CAPITALISM

"This Monday, world leaders are gathering at United Nations headquarters in New York City to address the UN's "Millennium Development Goals." The fight against hunger, along with education and healthcare, tops the list. The delegates have failed categorically on the first point. Leaders at the UN summit in New York in the millennium year 2000 declared food security their top priority, setting a goal of reducing the number of hungry in developing countries by half by 2015, compared to 1990 levels. That would involve reducing the total to around 600 million people. No discernable progress has been made toward this goal. In fact, quite the opposite is true -- the number of hungry has increased sharply in recent years, at times to over 1 billion. According to the Food and Agriculture Organization (FAO), 925 million people currently suffer from hunger and malnutrition. Estimates say a further billion are undernourished, suffering from so-called silent hunger." (Der Spiegel, 20 September) RD

THE HUNGRY SOCIETY

In an age of increasing food insecurity, more than one billion people today woke up not sure where their next meal is coming from. This is not solely the fate of those in poorer, developing countries. According to the Department of Agriculture, 14.6 percent of Americans regularly have to limit the amount they eat near the end of the month for reasons of cost. With the added stress of epidemic levels of home foreclosure and mass unemployment, the numbers of people unable to adequately sustain themselves is on the rise. (The Nation, 16 September) RD

we don't want crumbs

About 200 striking Tunnock’s workers who make the world-renowned teacakes, caramel wafers and logs sang a protest song to the tune of Oh My Darling Clementine on the picket line after downing tools in a pay dispute yesterday.

“Come to Tunnocks, come to Tunnocks. It’s a place of misery. There’s a signpost in the foyer saying ‘welcome unto thee’.
Don’t believe it, don’t believe it, it’s all a pack of lies. If it wasn’t for Karen and Fergus it would be a paradise. Build a bonfire, build a bonfire. Put Karen on the top. Put Fergus in the middle and we’ll burn the bloody lot.”

One placard read: “We Don’t Want Crumbs”

The entire 500-strong Tunnock’s workforce, who are taking part in two 24-hour walkouts after they accused management of pleading poverty to keep wage costs down while giving themselves huge pay increases. They are protesting over a 1% increase in their average £7-an-hour salary last year when executives and directors received a 62% pay increase in the year to 2009. Adding to the discontent was the scrapping of overtime bonuses worth £200 for a Saturday and Sunday shift.

poverty in scotland

New figures revealed this week by the Save the Children charity show that the education gap between poorer children and their classmates remains wide open. Save the Children says it has found a stark link between levels of deprivation at home and a child's success in the classroom. Children from wealthier homes in the Borders perform on average more than 60 per cent better in school than those receiving free school meals.
Douglas Hamilton, Save the Children's head for Scotland said "Too many children in Scotland are not reaching their potential at school simply because they are poor.
Poverty continues to be a key determining factor in how well a child will do at school and this is absolutely scandalous. Many of Scotland's poorest children live in substandard housing, have fewer books and educational games at home, lower aspirations and less confidence in their own ability to achieve their dreams. At every stage of school, children from poorer backgrounds do far worse than their better off classmates."

Also in the news:

More than one in three of the 600,000 Scottish carers battle poverty and depression as a result of caring for a family member, new research revealed. A survey conducted by The Princess Royal Trust for Carers found that 40% of carers in Scotland said they did not want to wake up in the morning because of dire financial circumstances. 73.3% have had to borrow money from family and friends. Nearly half fear they will lose their homes, and almost two thirds have been forced to spend their savings as they struggle to make ends meet. Almost a third of those surveyed say they are "fearful for the future".

CRISIS? WHAT CRISIS?

"This summer, it took London real-estate firm Marsh & Parsons less than a month to sell a pricey property in Kensington, one of the most prestigious parts of the British capital. Sixty-three potential buyers flocked to view the white row house, which has five bedrooms, a ground-floor kitchen and a strip of gravel for a garden. The sale price of £6.75 million ($10.4 million) was both above the asking price and the home's price in 2007, when it was previously for sale and the market was at a record high before the global financial meltdown. A Kensington house recently sold for £6.75 million - above both the asking price and the home's price in 2007, when it was last for sale. Real estate in the most upscale parts of London has enjoyed a roaring comeback from a short dip during the downturn, with prices for the area's luxury homes back to stratospheric." (Wall Street Journal, 14 September) RD

CANADIAN POVERTY

"The recession may be officially over, but six in 10 Canadians are still surviving from paycheque to paycheque, a national survey showed Monday. Fifty-nine per cent of Canadian workers say they would be in financial trouble if their paycheque was delayed by just a week- the same proportion as last year when the economy was still mired in a downturn, according to a poll of 2,766 people by the Canadian Payroll Association. The survey comes as the OECD today warned that record high debt levels have left many Canadians vulnerable to any future adverse shocks." (Globe and Mail, 13 September) RD

BEHIND THE RHETORIC

Politicians' stock in trade is pretending to represent the whole of society when in fact only representing the owning class. Thus we have Nick Clegg of the Liberal Democrats claiming that he is concerned about the poor and exploited at election time, but in power forced to declare his real aims. "Poor must accept benefit cuts: Clegg on collision course with own party by backing welfare axe. Nick Clegg has waded into the row over welfare reform by warning that benefits should not be there 'to compensate the poor for their predicament'. On the eve of the Liberal Democrat conference, the Deputy Prime Minister backed the Coalition's programme of welfare cuts and dramatically shifted his party's policy on the subject." (Daily Mail, 16 September) If you represent the owning class, despite your glamour TV image, you sometimes have to tell the truth. You are poor? So what, we are not here to "compensate" you! RD

WAR MEANS BIG BUCKS

 

 "The Obama administration is set to notify Congress of plans to offer advanced aircraft to Saudi Arabia worth up to $60 billion, the largest U.S. arms deal ever, and is in talks with the kingdom about potential naval and missile-defense upgrades that could be worth tens of billions of dollars more. The administration plans to tout the $60 billion package as a major job creator—supporting at least 75,000 jobs, according to company estimates—and sees the sale of advanced fighter jets and military helicopters to key Middle Eastern ally Riyadh as part of a broader policy aimed at shoring up Arab allies against Iran." (Wall Street Journal, 12 September) RD

CLOSING PRISONS AND BRINGING COURTS TO A STANDSTILL!

Socialists can't tell just how everything will operate in a socialist society; one thing they can say is the tremendous amount of social energy used in the protection of private property will be available for other purposes once the common ownership of the means of production is a fact.
In this article from the September issue of Labour Research, claims an annual budget of £9 billion; the general secretary warns there is an alternative, unfortunately, it's an alternative that leaves the working class producing wealth for the profit of the bosses.

One in five justice jobs at risk

The PCS civil service union has warned that 15,000 of the 80,000 staff at the Ministry of Justice (MoJ) could be at risk of losing their jobs. The warning follows an announcement that the department has to make £2 billion worth of cuts from its £9 billion annual budget. As the MoJ is the first department to agree the actual scale of the cuts, the PCS is expecting more bad news to come. General Secretary Mark Serwotka said: "This is the first indication of the true scale of the cuts being imposed upon departments by this coalition government, and it paints a devastating picture." According to the PCS, the cuts are equivalent to the entire budget for prisons, or the money the department spends each year on courts and tribunals. And it warned that cuts on this scale cannot be delivered without closing prisons and bringing courts to a standstill. "lt is clear that the civil service will simply not be able to cope," Serwotka warned. The union "will take every opportunity to remind the government and the public that there is an alternative and that these politically-motivated cuts are entirely avoidable", he said.