The Rules of Capitalism

by Allister J. Marran

The philosophical theologian Paul Tillich once wrote, ‘The fundamental virtues in the ethics of a capitalist society are economic efficiency, developed to the utmost degree of ruthless activity.’

The rules of capitalism put profit over everything else. Everything else. Nothing is sacred or taboo.

It is a complex man-made set of rules, it does not exist in nature, and requires its servants to ignore common sense and its obvious dangers and pitfalls.

It is a giant pyramid scheme of investors and producers at the top, and consumers down below, that requires the base to constantly grow, which is why we now have eight billion plus people on a planet that has very limited resources. It demands infinite growth cycles when raw materials are in short and finite supply.

To ensure its ongoing sustainability, we have constantly to create hype about new products that nobody wanted or asked for in order to make another sale, with built in obsolescence so that we can sell a new model again tomorrow.

Marketing costs for products and services often far exceed R&D and cost-of-production budgets, in order to convince you to fill your house to a large degree with, call it ‘trinkets’, ‘junk’.

The over-mining, over-fishing, over-production, and mass pollution is not sustainable. That's simply a fact.

While every scientist on earth is predicting doom and gloom for future generations, the economist disagrees, and tells us to put out heads in the sand, and ignore the signs. Keep calm and keep spending.

There is another thing. In its appetite to compete, capitalist economics has now become the science of scarcity.  In order to compete, we need to optimize—and optimize everything we possibly can. We strive for less wastage, smaller margins of error, faster turnover.

This means that we sail ever closer to the wind. Let one thing go wrong—a computer hack, a bacterial contamination, a military invasion in a faraway place—and millions of people’s livelihoods and even lives may be imperilled.

As capitalism multiplies the dangers, so it multiplies our vulnerability.

This generation, our generation, the ones who were told by the scientists and experts to just look around and heed the obvious warnings, will be known as the idiots who could have stopped it but chose greed over life, profit over common sense.

We have no water where I live, because the rains haven't come for nearly 10 years. The world is cooling where it's hot, and heating up where it's cold. Smog sits over the cities, and poison infects our water sources. Landfills are full, and growing fuller every day. Our oceans are being fished to extinction, and good farming land is being paved over and cleared for urban development and new roads and highways.

Having stuff, and being able to read and write, and exploit a man-made system, does not make a person smart. If people can't see beyond their basic, immediate, satiating needs and zoom out to see the bigger picture of an exhausted ecosystem with resources heading to zero, and the only world we will ever have struggling to cope, then perhaps we were never that smart or evolved in the first place.

We do not have a divine right to rule this planet. We are just the next animal to over-evolve and get to the top of the food chain. It's an awesome responsibility which sees us on a perilous perch which can be toppled if we do not proceed with caution and humility.

Just ask the previous mantle holders, those fearsome and magnificent dinosaurs, how tenuous that grip on the top dog spot is.

We can’t ask them, of course. They are extinct.

Picture Post #18 A Somersault for the Suspension of Civilisation

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'Because things don’t appear to be the known thing; they aren’t what they seemed to be neither will they become what they might appear to become.'

Posted by Tessa den Uyl and Martin Cohen

Photo credit: students of  A Mundzuku Ka Hina, communications workshop. 

A life conditioned by the dictates of competition and consumption cannot but bring great social differences along in its train. When we ascribe symbolic values to a consumptive life, ideas will conform to ideals in which our moral duties are the rights of others on us.

The subtle way social disproportions are perceived as if a causa sui, something wherein the cause lies within itself creates a world of facts based upon competitive abstractions that endlessly rehearse on a Procrustean bed.

The salto (flying somersault) performed by the boy, who depends for his survival on a rubbish-dump, breaks with this gesture the conditioned life. What he breaks is to function, which means to think, alike a certain ‘life-design.’ His action shows the incompleteness of our relationships in an abstract world.

His jump is a jump into a space of non-facts.

In the suspension of the movement is the liberating being of lightness.

Picture Post #16: Life Behind the Pile of Petrol Cans

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'Because things don’t appear to be the known thing; they aren’t what they seemed to be neither will they become what they might appear to become.'

Posted by Tessa den Uyl and Martin Cohen

Azad Nanakeli 2011, Arbil, Kurdistan-Iraq

A tailor shop that is situated behind a pile of petrol cans. An image that offers a certain brutality about human life – yet in this harshness, but also lightness, man survives. In such ‘idiosyncratic sympathies’ is hidden our intimacy – and hence, similarity. How violent is it to earn one's daily bread out of sight of the street, and behind a symbol of capitalism and war and power?

Virtue will always raise its flags of dependence upon what it believes. Reducing intimacy to something impersonal in cultural terms, yet personal in providing a subjective state within which is created a distinct worldview. The subtlety between intimacy and brutality can then pass by unnoticed, or be easily exchanged, one with the other.

Yet human beings are blessed with something called imagination. And without imagination, intimacy cannot exist. Strangely, the most common scenes reflect our trouble with imagination. As if the common has very little value in regard. We let comparisons decree our personal preferences – and in so doing, not only do we refuse to imagine ourselves, but we refuse to imagine others. We refuse intimacy with the world.

Imagination evokes thinking, even though most thinking occurs within the already imagined. Imagination reveals a problem as to how we make the world intelligible. In this way, daily life offers us a myriad stream of common, unanticipated images like this, scenes in which a host of uncommon things can be traced.

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The Unelected Super-Rich Showing Brits to the Exit

Posted by Martin Cohen

On the 23rd of June 2016, the UK votes on whether or not to 'leave' the European Union and regain full control over its own affairs instead. At least, that's how the argument is put by those in favour of the move. 

For humdrum workers in industries that actually import or export products or materials to the EU, it only means higher tariffs and complicated paperwork. For bosses it means increased costs and uncertainty – and reduced investment. But for one group, it does indeed promise a splendid new dawn of 'freedom'. This group is the super-rich, and they work in financial services in the City of London.

For them the battle lines with the EU were drawn after the crash of 2007/8 which so nearly collapsed the entire Western banking system. The response, apart from pouring billions of taxpayer dollars, euros and yes, British pounds into the pockets of the injured speculators, was increased regulation.

And so the dirty secret, as I see it, of Brexit is the financial services industry jockeying for 'lighter touch' regulation. But this issue has not been given prominence - instead we have talk about conventional business, trade flows, workers rights and currency rates. A constant complaint has been that EU laws are made by people who are unelected – which is simply not true. The real levers of power in the EU remain firmly in the hands of the national governments. But no one is interested in how the EU really works, they just want to stop the 'migrants'.

The UK is obsessed with keeping out migrants. Indeed, waves of Somalis, Afghans, Iraqis and now Syrians are rather alarming – and certainly include a whole host of issues about conflicting social values. But what people mean by this is fellow Europeans. People who are better educated that the average Brit, and far more cultured, all they want to do is work hard and be useful members of the community. But many British resent or even hate them in just the same irrational way as uneducated whites hate people of colour. Because they're 'different'. This is why the British are such poor members of the Union, and if they vote themselves out of it in June, it will be this kind of nationalism that will have won it for 'Leave'.

But giving 'the great unwashed' – the lower classes – this power is not usually done. Indeed the UK is primarily voting in a rare referendum because for decades leading the (ruling) Conservative party has been impossible without assuaging the demands of a noisy Europhile group. Even now, if the UK Parliament had an unencumbered vote, they would not hesitate but to continue working within the EU. In this way, the unelected bosses of the hedge funds and spread-betting firms who have been backing the 'Leave' campaign  are driving the British where they want.

These are people like Richard Tice, co-chair of Leave; Crispin Odey, Peter Cruddas, a former Conservative Party Treasurer; Stuart Wheeler of IG; Michael Hintze, Conservative donor; not to entirely forget Edi Truell, Brexiter and again a major Conservative donor.

For these city speculators – 'value trashers', in City jargon – the possibility of the pound plummeting, of share prices collapsing, of market and political dislocations with dire and unpredictable consequences – all represent big opportunities and easy money.

Market disruption is excellent news for them, and so will any longer-term  post-Br exit dislocation.

And so, to sum up, the 'real story', as I see it, of Brexit is the worst elements of the financial services industry jockeying for 'lighter touch' regulation. It's the poachers tricking the rabbits into letting them be the gamekeepers.

Terrorists, Secret Services and Private Incomes

Sceptical reflections and conspiracy theories relating to the politics surrounding the killings at Charlie Hebdo and the recent massacre in Saint Denis

 

The shooting at the start of this year of the cartoonists at the Parisian satirical magazine, Charlie Hebdo has all the hallmarks of a CIA inspired brutal incident. November's massacre at Saint Denis looks much more like an attempt to replay, in the center of European social life, similar deadly outrages to those committed in towns and cities across the Middle East. Colin Kirk* teases out the links.

That most of the perpetrators of these atrocities were known to French secret services is now admitted. There are even several indications of what may have been secret service and police assistance to the Charlie Hebdo incident. Help apparently given to the get-away vehicle and discovery of the driving license dropped by the driver recalls some aspects of the slaughter of over 3000 people on the ninth of November 2001 in New York.

Charlie Hebdo was a satirical magazine before it got its current name after an atrocity in Northern France that resulted in over a couple of dozen deaths was reported in Paris as 28 dead in Northern France. It caused little stir compared with mourning for De Gaulle, who died a few days later. Un homme mort à Paris was the bold, black cover of what was thereafter called Charlie Hebdo.

President Charles De Gaulle founded the Fifth Republic in his own image with draconian rights of state surveillance of its citizens that are not dissimilar to those afforded by the American Patriot Act. The State of Emergency currently in force allows police entry without warrant and arrest without charge. There really isn’t any further to go in state legal rights of citizen control, is there?

The CIA is known to have funded media to promote certain political messages in America, Britain and France in particular. On his own account, Stephen Spender, the editor of the British literary magazine Encounter, originally founded by the poet Stephen Spender, resigned  when he discovered the source of much of its 'well-wisher' donations.

Satirical media and those critical of the state were important to western democracies to demonstrate state toleration of dissent in comparison with actions of totalitarian states. Egalité and Fraternité were far less important to politicians than the sacred notion of Liberté.



Heads of State who linked arms with President Hollande to lead the Liberty March in Paris the Sunday following the Charlie Hebdo massacres included central African dictators not to mention Prime Minister Netanyahu. The simultaneous attack on a Jewish supermarket was the reason for his presence and for President Hollande’s ostentatious attendance with him at the central Paris synagogue that evening.

Anti-Semitism is the most serious taboo in France, Semites in this context being Jewish rather than Arabian Semites. Charlie Hebdo itself dismissed a journalist for writing a somewhat anti-Israeli article not long before the murders of some of its staff for drawing cartoons of Mohammad.

The murder of cartoonists horrified people who had adored Charlie Hebdo in its glory days, although it was, until the early January murders, a spent force. Je suis Charlie was displayed in posh shops. The t-shirts didn’t catch on. Here in the Normandy town where I live the Charlie Hebdo March was of elderly and middle aged lefties. And two weeks later it was all forgotten.

'Plantu', the cartoonist of Le Monde, the guy who always has a little mouse observer of the scene, made a film of international cartoonists (Caricaturistes, fantassins de la démocratie) that was released two weeks after the Charlie Hebdo killings. It was a brilliant film with world-wide coverage of cartoonists’ art, except from the sacred monarchies of Britain and Japan for some reason. Brilliant as it was it was not a box office success. Surely after the dreadful incident everyone would want to see it. But that was weeks ago, according to the local film projectionist when asked why such a small attendance in mid-February. Not here the spirited defence of the right to lampoon.

France is not unique in being media led. It certainly is media led. Flavour of the month has become flavour of the week as span of attention has contracted. The same tune is played in all the papers, on all the television channels, in almost all social gatherings; much as elsewhere world-wide.

Only the issues of immigration and Islamic terrorism are here to stay in France, as in the rest of Western Democracies or Civilisations or the International Community or any other feel-good appellation appropriate to smug arms manufacturing countries, which have caused mayhem in the Middle East and are beginning to do so in Africa. The CIA will see these issues retain top billing.

The CIA’s sundry billion dollar budget is not accounted for other than in the most general terms. The last 'almost serious' presentation to the Senate Select Committee on Intelligence was by Professor George Tenet, who himself had long been a member of it. President Clinton made him Director of Central Intelligence when they turned down his earlier choices. President George W. Bush kept him on as 'A charming diplomat liked by all '. Director Tenet admitted that hidden in the accounts somewhere are colossal expenditures on Hollywood films, computer war games, and subsidisation of all branches of the media on a grand scale. His wording was rather less transparent than here.

The question of the appropriate national reaction to atrocity has to take account of the reaction imposed by the media. Under and overlaying that reaction are ancient religious prejudices in a country where political prejudices have the psychic force of religious ones, not least because they tend to be interlinked. Bourgeois Catholic and Protestant Christian beliefs inform and are informed by the mainstream media feed, which is conformist and conservative. Since President Mitterrand’s second term most all politics in France have become conformist and conservative.

President Hollande, in his inaugural Presidential address, appeared to be about to break the mold: his only enemy was capitalism, which he said he was determined to release France from. He was quickly overcome by the same machinery that engulfed President Obama and will no doubt have the same success with Prime Minister Trudeau.  Shortly after, Trudeau informed Washington that Canadian planes were no longer available to the coalition, President Hollande authorized massive revenge air attacks on Islamic State (ISIS) for its agents’ revenge attacks on Saint Denis. When will we ever learn?

France, in the days of Freedom Fries, condemned the war on Iraq and subsequently fêted President Gadhafi, the key proponent, along with President Mandela, of Pan African government. These were when there were right wing governments in power. French oil interests are given as reason for government action whoever claims to lead the country. Right wing leaders have always tended to an independent line to Washington’s. In the Middle East French and Russian interests are at variance to those of the Anglo-Americans.

By and large the popular mood in France remains that of La Marseillaise - perhaps the most jingoistic and racist national anthem in the world. The French Third Republic, which led the world in consumerism, self-indulgence and free thought began with murder in 1870 of 20,000 communards and ended in 1945 with murder of a similar number of collaborators, all in Paris, and all without any legal process.

This is the country of the Dreyfus Affair, fire at the Charity Bazaar, loss of a million soldiers in the First World War, capitulation at the beginning of the second and loss of empire that was never as glorious as was made out. France has been a wounded beast ever since the Battle of Waterloo. Indeed, since Régis Debray published his Loués soient nos seigneurs; un education politique in 1996 there has been very little serious dissenting intellectual voice in France. He gives as explanation:

We are forced to witness the death throes in France of Marxist Socialists; a proud species that emerged in the nineteenth century from the crossing of the Revolution as myth with the Book as instrument but is now a technical anachronism, doomed to disappear in the global ecology of the videosphere.

These days, it seems to me that the Christianist and Christian Zionist control freaks are truly in control by means of the New York Council on Foreign Relations This private body links the State Department, Wall Street and every other power house in America. It was founded with $1000 donations of the 1000 richest Americans to control President Wilson, as honest broker at Versailles that produced the Peace Treaty signed 28 July 1919. He appeared to have achieved nothing for the United States except honest influence but appearances can be deceptive.

Alan Dulles the first Secretary of the Council went on to found the CIA, with brother John Foster Dulles, Secretary of State, the family tinned fruit fortune escalated in value from millions to billions of dollars. In a democracy one looks after one’s own interests…and how!

As someone who loves France for its landscape and folkscape, probably in that order, and as someone able from personal experience to compare it with Britain and the United States, I think there’s little to choose between the three in terms of genuine dissenting analysis of the perilous state humanity is in.

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Colin Kirk writes on health and philosophical issues, poetry and classical history, whilst growing lots of fruit and vegetables in a mediaeval walled garden, to prepare and cook for guests - what has been described as a kind of ' Pythagorean GuestHouse'. A characteristic recent publication is Death of Augustus his Conversion to Christ

Diet Tips of the Great Philosophers ≠92: Henry Thoreau and Green Beans

Posted by Martin Cohen

Many of the philosophers whom we rely on to represent little oases of good sense and rationality in a disorganised world, disappointingly turnout, on closer inspection, to be not only rather eccentric, but downright irrational. David Henry Thoreau, an anarchist who eked out a living by making pencils while living in a shed by a pond, on the other hand, appears even at first glance to be rather eccentric. Short, shabby, wild-haired and generally rather unprepossessing, he nonetheless seems to have anticipated much of the ecological renaissance that today’s philosophers (and diet gurus) have only just begun to talk about. Oh, and yes, he was always rather thin.

In his Journal entry for January 7, 1857, Thoreau says of himself: 

'In the streets and in society I am almost invariably cheap and dissipated, my life is unspeakably mean. No amount of gold or respectability would in the least redeem it - dining with the Governor or a member of Congress! But alone in the distant woods or fields, in unpretending sprout-lands or pastures tracked by rabbits, even in a bleak and, to most, cheerless day, like this, when a villager would be thinking of his inn, I come to myself, I once more feel myself grandly related, and that cold and solitude are friends of mine.

I suppose that this value, in my case, is equivalent to what others get by churchgoing and prayer. I come home to my solitary woodland walk as the homesick go home. I thus dispose of the superfluous and see things as they are, grand and beautiful. . . I wish to . . . be sane a part of every day.'

He is famous for having spent two years living in a small wood cabin by a pond, and living off, not so much three fruits of the woods, but his own allotment. Naturally, Thoreau was a vegetarian. He remarks how one farmer said to him: ‘You cannot live on vegetable food solely, for it furnishes nothing to make the bones with;’ even as the farmer:

‘... religiously devoted a part of his day to supplying himself with the raw material of bones, walking all the while behind his oxen, which, with vegetable-made bones, jerk him and his lumbering plow along in spite of every obstacle.’

Thoreau himself cultivated, not so much an allotment, as a small bean farm, of two and a half acres, which provided for himself the bulk of the food he ate –peas, corn, turnips, potatoes and above all green beans, the last of which crop he sold for extra cash. During the second year, he reduced his crops, if anything, writing:

‘ … that if one would live simply and eat only the crop which he raised, and raise no more than he ate, and not exchange it for an insufficient quantity of more luxurious and expensive things, he would need to cultivate only a few rods of ground, and that it would be cheaper to spade up that than to use oxen to plow it, and to select a fresh spot from time to time than to manure the old, and he could do all his necessary farm work as it were with his left hand at odd hours in the summer.’

He drank mainly water, writing that it was ‘the only drink for a wise man; wine is not so noble a liquor’ and worrying about the temptations of a cup of warm coffee, or of an evening with a dish of tea!

From life in the woods he learned, among other things, that it ‘cost incredibly little trouble to obtain one’s necessary food’ and that ‘a man may use as simple a diet as the animals, and yet retain health and strength.’

In a chapter of his most famous book, Walden, entitled simply, ‘The Bean Field,’ Thoreau records how:

‘I came to love my rows, my beans… They attached me to the earth, and so I got strength like Antæus. But why should I raise them? Only Heaven knows. This was my curious labor all summer — to make this portion of the earth’s surface, which had yielded only cinquefoil, blackberries, johnswort, and the like, before, sweet wild fruits and pleasant flowers, produce instead this pulse. What shall I learn of beans or beans of me? I cherish them, I hoe them, early and late I have an eye to them; and this is my day’s work.’

For Thoreau, buying food, allowing others to grow food for him, would have disconnected him from the land, from direct contact with Nature, the source of both his bodily and spiritual nourishment. It was not enough to just have something to eat; he also wanted the experience of growing it.

Diet tips:

Food that you’ve grown has a special quality
You don’t need to eat a huge range of things to be healthy 

Follow @docmartincohen

What Would Happen If 3-D Printers Could 3-D Print Themselves?

Posted by Matthew Blakeway

“In the future, [the human species] will refuse to put themselves at the service of pirates. They will become what I call transhumans – who will give birth to a new order of abundance” ―Jacques Attali.

The French philosopher and economist Jacques Attali* predicted in the 1970s that the music industry would collapse. Within twenty years, he was basically proved right. If something is freely or cheaply replicable, then economic theory predicts that its value will trend towards zero. Ever since we were able to record our friends’ vinyl LPs on cassette, the ability of musicians to earn a living from recorded music was doomed – and so it turned out to be. Musicians today earn less and less from selling recorded music. I myself, as a writer, am acutely aware that it is getting harder to make a living, even in a world where people are reading more.

Now Attali is making the same predictions about manufactured goods. 3-D printing, while it still is a relatively new technology, opens the door to being able to scan a wide variety of objects into a 3-D printable file and e-mail it. Many manufactured products may become infinitely reproducible, their value trending towards zero. It has already been done, if only experimentally. We already have 3-D printed musical instruments, camera lenses, weapons – even 3-D printed refrigerators and cars. It isn’t inconceivable that we all will be able to upload 3-D printable files for such items which we can print at home and assemble Ikea-style. We could then tweet the link so that everybody else can have one.



At first glance, this all sounds as though it represents an impressive technological advancement. But actually, in an important sense, it is anti-technological – just as music streaming is anti-creative. The incentive to invent a better refrigerator or car is to make money. But if, as soon as you have done so, the value of the inventor’s work trends towards zero, then all hope that the inventor has of making money evaporates. So what is the point of innovation?

We like to think that people will continue to create and to innovate for the love of it – like inventing a new music genre. But I remember a time (not so long ago) where all waiters and bar tenders in New York City were aspiring actors, musicians, or artists. They could survive on three shifts a week and devote the rest of their time to their creative pursuits. But today, it takes six shifts to support subsistent living in a dingy bed-sit – so all those creatives have disappeared. I would like to think that they went to another, better place, but I see anecdotal evidence instead that many of them were forced to take menial office jobs.

If most forms of creative output (artistic or manufactured) will eventually become valueless in economic terms, then the economic constraints upon consumption will evaporate – as has already happened with music. But then so will all the manufacturing jobs that create that stuff, and so will the artists and inventors. In fact if we look at what is going up in value, not down, it is mostly what is not infinitely replicable, like land. The cost of education is currently going up, but this could sharply reverse through the rise of Internet education. Fossil fuels were becoming cheaper as we became more effective at extraction, but this already is understood to be a passing phase.

There is something else on planet earth that is infinitely and cheaply replicable – and that is humans. During my lifetime, the population of humans on this tiny planet has doubled. And if I survive into my eighties, it will treble. If something is freely and infinitely replicable, then in purely economic terms its value will trend towards zero. And that is precisely what is happening across the world.

The value of unskilled labour is trending towards subsistence wages – and in a globalised world, nations that value human rights are powerless to protect unskilled workers from the market forces of labour in countries far away, that have too many people doing jobs of declining worth. Real wages, even of American workers, have declined as their productivity has increased**. And this divergence of wages and productivity started in the 1970s, just as economists started preaching the value of globalisation. In the developed world, we have been trying to resist this trend, by pouring resources into education – attempting to ensure that we have no unskilled workers. But this post started by explaining why the value of the output of skilled creatives, too, is trending towards zero. This strategy only seems to defer the inevitable.

The logical conclusion is that, while people's labour will have little value, there will be few economic constraints on the consumption of products which cost little to produce. And while increased productivity should reduce the need to work, that is not the experience of the workers, who everywhere are working harder just to stand still. Even if – playing devil’s advocate – we argue that goods cost little to produce but that the cost of raw materials will offset this, it so happens that commodity prices are universally declining too.

We need to ask what this means for the future of humankind. But first, we need to ask what it means for the future of economic theory. It occurs to me that most economic theory doesn’t work in a world where there is an infinite supply of everything and therefore everything costs nothing. And if everything costs nothing, money no longer works as a means of allocating access to resources. This sort of argument isn’t trivial, and economists are currently debating different forms of the same thing: they worry about what happens when the conventional tools of economic management (among them, fiscal and monetary policy) simply stop having the effect that they used to have. Some governments have already tried negative interest rates after an interest rate of zero was found not to be low enough to stimulate growth and recovery from recession.

One way to escape this death spiral, where ultimately the planet may have billions of economic migrants, is to abandon the idea that all decision-making should revolve around money. We need to stop thinking about the monetary value of labour, and start thinking about the intrinsic and emotional value of a human life, and how this may be safeguarded and guaranteed. A good place to start is to consider how much consumption would optimise a human life. Bearing in mind that the advertising industry has been pummelling us with propaganda as to how consumption enhances our emotional wellbeing, it seems likely that we need a lot less consumption in reality than most of us think. Then we can start to consider how much consumption this planet can support. And then it becomes easy to compute how many humans we can fit on this planet before it bursts.

If economics is going to have any role in working this all out, then it is going to have to go cold turkey on its addiction to converting everything to monetary value before it can even think about it. Interestingly, we have seen powerful trends in this direction, reflected no less in the recipients of the Nobel Prize in Economic Sciences.

* Sam York. The Pop Star and the Prophet.bbc.com. 17 September 2015.

** Gillian White. Why the Gap Between Worker Pay and Productivity Is So Problematic. The Atlantic. 25 February 2015.