children’s rights – ignorance or weakness?

Travelling over the last years, I felt here and there a bit ashamed – not because of hearing so bad things about the country. On the contrary, because of the praise I heard. First, it had been because of the celebrated bedside rug which, though from beginning outstretched on the floor pretended to be a tiger. Then, after the final total K.O. of the cat, because

…”Well, you Irish are so self-controlled, so disciplined when it comes to bearing the consequences of the crisis. No useless protests, just carrying on …”

I frequently said I am not too much friend of these attributions: ‘the Irish’, ‘the French’, ‘The Germans’ – dolce vita cannot only be found in bella Italia and the Greek police forces and their (para-)military helpers showed recently how much they are favouring law and order, probably doing better than the home-country of the high-ranking German visitor, Mrs Merkel.
Still, not being friend does not mean one can push such attributions easily away. At times it comes to my mind too: “we Irish”: first pushing the child into the well …, then shedding crocodile’s tears and finally coming up with an attempt to save the child from definite decease.
And as much as this is the pattern underlying the approach to the economy – actually since the 1950s (see the working paper Tíogar Ceilteach – An Enlargement Country of the 1970s as Showcase? in the series of William-Thomposon Working Papers) – it has found a new field of showing evidence, now actually literally dealing with children. All is about a referendum, scheduled for november now. The Taioseach (Irish Primeminister) bravely stepping forward, overcoming his apparent usual schizophrenia by uniting now the two souls:

As Taoiseach and as father I’m asking people to vote yes

Good boy – …good man, I should say and could add: a real politician, not just like the official administrator we know from Max Weber as being characterised by

Sine Ira et Studio

Rather, the real politican, engaged with all fibres of his body and soul. Well done, right? And we may wish to see more in this.

And although I try to be optimist a but asks for being allowed to enter the debate – it is not about “but don’t vote in favour of these rights as they are suggested with the change. It is more about the question

But why are you not really serious when it comes to children’s rights?

Let us have a brief look at the text of the Proposed New Article 42A – I saw it first here in the journal. And it reads as follows:

Children

1. The State recognises and affirms the natural and imprescriptible rights of all children and shall, as far as practicable, by its laws protect and vindicate those rights.

2. 1° In exceptional cases, where the parents, regardless of their marital status, fail in their duty towards their children to such extent that the safety or welfare of any of their children is likely to be prejudicially affected, the State as guardian of the common good shall, by proportionate means as provided by law, endeavour to supply the place of the parents, but always with due regard for the natural and imprescriptible rights of the child.

2° Provision shall be made by law for the adoption of any child where the parents have failed for such a period of time as may be prescribed by law in their duty towards the child and where the best interests of the child so require.

3. Provision shall be made by law for the voluntary placement for adoption and the adoption of any child.

4. 1° Provision shall be made by law that in the resolution of all proceedings –

i brought by the State, as guardian of the common good, for the purpose of preventing the safety and welfare of any child from being prejudicially affected, or

ii concerning the adoption, guardianship or custody of, or access to, any child, the best interests of the child shall be the paramount consideration.

2° Provision shall be made by law for securing, as far as practicable, that in all proceedings referred to in subsection 1° of this section in respect of any child who is capable of forming his or her own views, the views of the child shall be ascertained and given due weight having regard to the age and maturity of the child.

And it found positive feedback from here and there. Apparently a broad consensus  – and that is good so. But I am wondering if we would find this consensus also in case of taking things serious, not looking at the corpses but looking for, i.e. in favour of the living. The state should work towards conditions and their legal anchoring that allow children to develop freely under conditions of respect and equality. – Interestingly, the article mentioned first, making reference to experts, does not refer to children.

Having said before ‘The state should work towards conditions and their legal anchoring that allow children to develop freely under conditions of respect and equality’, means we have to look for a society that is not about

Work. Consume. Be Silent. Die.

as I saw it recently on a website, dealing with a young man who committed suicide.
This person made a choice – a tragic choice. But as tragic and individual, not to say lonely as this choice had been, one sentence on the website shocked me more than the decision itself. The sentence:

Es hat den Anschein, als würde man die gesamte Sozialpolitik in die private Verantwortlichkeit von Individuen verrücken.

or in my translation

It seems that the entire social policy would be shifted to the private realm of individuals.

It is exactly this what moral approaches to social policy frequently forget. It is exactly this what heads who claim to support social rights forget when they reduce these rights on the level of protection, forgetting the more fundamental issue:

Rights are fundamental and need to be defined in a perspective of social quality. They have to be defined as rights for everybody, from the very beginning rather than for the drowning child.

And of course, this goes back to the debate on the stillborn kitten which disguised for some time as strong tiger, before being unmasked as bedside rug. This is not about general values and ethics. It is not about muttering ‘that is neoloiberalism’, briefly shaking the head and continuing business as usuals. – Heads should know this at this stage: heads of politicians, and heads of academics working in the areas of social policy, social work and law alike. – I am freqeuntly surprised that my student’s usually know more about the complexities of realities than highly paid people working Sine Ira et Studio.
__________

PS: Being member of the editorial board, I am currently working for SOZIALEXTRA on one of the special topics of one of the issues: Human Rights – Children’s Rights – Human Rights as Question of Everyday’s Life

We Got IT – Update Your CV …

Dear Colleagues,
as it is now clear that EU had been awarded the Nobel Peace Prize 2012, there is some rumour that every EU-citizen can claim to be winner of this prestigious accolade.
You may consider this  when updating your IRIS and other information relevant for Quality Assurance.

Most of you know that I had been engaged for many years in EU-policy making – on different levels. From direct contact I know also – just to mention one tiny point – the the current president of the Commission (in my experience the least qualified during my “term in office” which reaches back into middle 1980s) appropriated the responsibility on “social services of general interest”, taking it away from Vladimír Špidla, then Commissioner for Employment, Social Affairs …. – I mentioned this occasionally publicly and do it again although it may have been confidential information I obtained in a personal conversation from the Commissioner. Still, although I left that field of activity for different reasons (leaving some minor engagement aside) I am in principle very much a supporter of the European idea. And I am well aware of the ambiguity – what is today the EU surely being an institutional setting that succeeded on many issues we can relate to in positive ways. Nevertheless, I have my serious doubts that the awarding is in any way justified. An idea that is valuable, being set in a harsh structural setting, is as valuable as the chitchat of a smart society in an increasing “refeudalising” economic environment (having used this term, and having published in 2010 on this [the second of the “New Princedoms” just went to the printer] I am myself aware that much economic analysis is still needed to back this thesis).

Anyway, EU-staff and students may claim that they had been awarded. Colleagues from “Third Countries” (sorry, this is the official terminology) may possibly claim that they know Laureats (which is something, isn’t it).
The details on the award ceremony are not yet clear – so, refrain at this stage from buying flight tickets to Stockholm.
Some additional information for foreward looking people: There is some hope that The Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel may be soon going to the EU too.

Growth, Greek and Teaching

A Change in my teaching program and implications for politics

Well, the title is a bit misleading – but fact is, for me: as abstract many things are when it comes to teaching economics there are so many things very much about daily lives and daily politics.

Some good news – had been asked to change my program for next years teaching in Budapest at the Corvinus University: A course on Development Economics.

A rather challenging task I think – and that is what I like: challenges.

Teaching about about this hugely contradictory issue of development in such a situation where we can see on the one hand that the traditional development model of capitalism failed – and we may add: failed completely – and at the same time it is strongly prevailing and orienting as matter that strongly guides policy makers. Of course, there is this global dimension – and since Rostow manifested his anticommunism in his pamphlet on on “Stages of Economic Growth” the traditional understanding of development is more or a simple translation of the paradigm of GDP-growth. More recent debates do not make major changes although they stepped slightly away from this tradition by including issues of sustainability and “well-being” – I engaged on some aspects and shortcoming of these debates in the contribution to the International Journal of Social Quality, titled

Economic Performance, Social Progress and Social Quality—Social Sustainability Waiting in the Wings

 But there is more to it – some aspects I developed in earlier blog entries, looking at questions of growth and trying to link it to the fundamental issue of the structural fracture between use value and exchange value. These entries had been titled Sustainability, Non-Sustainability and Crime I, Sustainability, Non-Sustainability, Crime II and Growth and Development and finally the presentation during the recent Poznan-workshop of the EuroMemo-group, which I elaborated very much with Marica Frangakis (Nicos Polulantzas Institute, Athens), also reflected on these issues.

The new course now – teaching is learning, and not just students sitting down and listening bit developing together with the students the new issues – gives an opportunity to develop this further. One point is surely about the systematisation, or should I even say: the precise formulation of the question. Contrary to the mainstream approaches that tend to give first answers, and after that search for the question, there is some need in return to the drawing board …. But then there is another point, namely the systematic (dis)entanglement of the different layers of the analysis. This concerns especially a differentiated approach with respect to local and “societal” dimensions of development, as well as it requires to look at situations of individuals on the one side and collectivities on the other side. As a working thesis we may say that the separation of use and exchange value is very much complemented by a juxtaposition of different aggregate levels. In other words, we see tensional relationships between

  • different aggregate levels
  • individual and social dimensions
  • relevant proprieties.

A thorough approach to this multilayered perspective can help in two ways. It may open a way to approaches to the development that are predominantly based on normative settings. And furthermore it allows us to contribute to a sound debate on methodological individualism.

On some political implication of immediate interest. Greece – more than for instance Italy, Spain, Portugal and Ireland – is currently in the news. This is in various ways interesting.

One interesting fact is at least worth a side remark: The mass protests going on for a lengthy time now, and actually at least comparably strong in Spain and Portugal[1] did not nurture the same media spectacle as the visit of the German Prime-Minister (Kanzlerin) Merkel. This is very similar to the very old patterns: when the emperor comes, the streets have to be ready for the theatre. And so the protests had been countered with even more violence than there had been before. And a shocking photo had been circulated yesterday on facebook – not one of the many photos showing the brute force of security staff (though they surely had been shocking too), but the shocking photo that showed the decoration for the welcome of AM: blue-white—-black-red-gold—-blue-white—-black-red-gold—-blue-white—-black-red-gold—- – I did not count the flags, enough though to cover many of the victims of this war of the people. – And we should not refrain from saying what it is: a war against a people not just on the open battlefield but on the battlefield of an austerity strategy that is “killing softly” – making it nearly impossible for many children to go to school because they are starving, detaining necessary health services …. – and this happens in a country where only few people have sufficient resources to solve the monetary problems. IF they WOULD PAY taxes, the problem would basically not exist. IF they WOULD CONTRIBUTE to solving the national debt problem rather than contributing to the Swiss, Luxembourgian etc banking profits people could successfully claim what human rights declarations grant on paper but do not allow to be an issue in people’s real life. If politicians would people and their representatives serious solutions could be found – solutions meaning something different than huge programs that (simplified, admitted) shift money from the tax payer in Germany to the banks in Greece from the taxpayer in Greece to the banks in Germany (see also the interview I gave earlier in Athens).

This brings us to the second issue. As easy it is for the Greek government to listen to Merkel rather than to the Greek people it is also easy to speak the old prayer of growth. As important as it is to appreciate the need for a development that is rooted in growth, as important is to start thinking about what growth is about. Sure, as biologist Merkel could easily skip the lessons on Aristotle and Marx (admittedly GDR-education had not been perfect – AM is a showcase for failure) – and so she missed that it is necessary to move a bit further and look at the real meaning of development. Let us for instance refer to Aristotle. He contended that

if every tool, when summoned, or even of its own accord, could do the work that befits it, just as the creations of Daedalus moved of themselves, or the tripods of Hephaestos went of their own accord to their sacred work, if the weavers‘ shuttles were to weave of themselves, then there would be no need either of apprentices for the master workers, or of slaves for the lords.

But indeed, Marx referred to this paragraph, writing in the first volume of The Capital (from which I took the previous quote):

Oh! those heathens! They understood, as the learned Bastiat, and before him the still wiser MacCulloch have discovered, nothing of Political Economy and Christianity. They did not, for example, comprehend that machinery is the surest means of lengthening the working day. They perhaps excused the slavery of one on the ground that it was a means to the full development of another. But to preach slavery of the masses, in order that a few crude and half-educated parvenus, might become ― eminent spinners, ― extensive sausage-makers, and ― influential shoe-black dealers, to do this, they lacked the bump of Christianity.

And this marks the point any debate on growth has to take as point of departure – the concrete situation of peoples lives rather than the  abstract calculation of growth figures. A quick overview over developments shows at least two different things:

  • the growth, and in particular the extreme and rapid growth had been gong hand in hand with increasing inequalities;
  • the growth had been in many cases – and Greece is an exemple par excellence – only possible by diminishing indigenous potentials in favour of growth of national and international elites.

In this light, I surely could teach AM some basics in political economy and the course: That development is not about figures but about people in their societies. And the development of societies through and for the people.

Too late for her, I guess – though she should have enough money to pay the fees for the course – unfortunately Mr Orban and his FIDESZ easily succeeded with this program against democratic, accessible education. Still I hope: perhaps one or the other of my students will get into some kind of government position and show: ANOTHER WORLD IS POSSIBLE.


[1]             The optimistic interpretation of the relative silence in Italy is that people may be afraid that Berlusconi could interpret protest as people calling him back into office (cannot find the article I read recently in some Italian paper); silence in Ireland is more due to the ongoing belief that god, Fianna Fáil and Fine Gael freed the country from the British colonialists and thus god, will know when it is time to move towards a better world).

Time to Say Goodbye – Again

Thank you, Auke, for publishing it: Time to say Goodbye. Again.
It links well to the first Time to say Good-bye.

I got several responses to it, to posting the text via e-mail, one speaking of

big decision [towards] more power … for being true to yourself

It is somewhat sad that ‘being oneself’ needs big decisions, and cannot be taken for granted everywhere and for everybody.

Growth and Development

Background notes for the EuroMemo conference 2012 in Poznan

I.

In the discussion of growth we face some fundamental problems, emerging from principle tensions.

*        We are living in a capitalist system which is ultimate point of reference and its functioning basic condition when it comes today to searching security and improvement of living conditions.

*        However, exactly this ‘productive order’ is for many of us questionable – one of the reasons that is at this point of special relevance is the structural limitation of a one-sided understanding of the goal: it is the concern with living conditions in a limited, individualised understanding, not allowing a wider understanding of social conditions of life. Perhaps we should go a step further by simply speaking of social life itself.

II.

*        Accumulation is against this background a double-edged sword: on the one hand it is a ‘structural condition and goal’ of the capitalist order;

*        on the other hand, however, it is the permanent accumulation that causes a move away from the actual process of production although it remains depending on production as ultimate condition.

III.

*        Development and growth finds within this system its primary goal in the means of production as means of accumulation – independent of the meaning for the life of producers (working and living conditions). As such, accumulation becomes an empty shell, having lost all substance. Most visible signs are the process by which the different elements of the overall productive process, in particular the emergence of a seemingly independent financial sector are gaining independence from each other; and the disentanglement of productive processes out of the ‘core economic process’ (housework, DIY, SLEA …)

*        However, as consequence of this depletion

[t]his type of development of productivity necessarily approaches a limit. This is reached when the expenditure in past labour wholly compensates economy of living labour and the overall productivity of the system ceases to progress. The resulting evolution of productive forces leads to overdevelopment of the material means used, reduction in living labour and increased unemployment.

(Fontvieille, Louis: 1992: Rate of Profit and its Determining Factors; in: New Findings in Long-Wave Research; Kleinknecht, A./Mandel, E./Wallerstein, I. (eds.); New York: St. Martins Press: 203-224; here: 219 f.)

Both aspects culminate in one aspect that has to be added to the statement in the quotation: This reduction in living labour is to some extent real; however, at the same time it is only shifting living labour into external spheres, thus not least reducing the labour costs while the value of price of the labour force remains unchanged.

IV.

This constellation poses a fundamental challenge which can be put forward by the following outline:

1        It has to be analysed if capitalism has predominantly sufficient resources for reaching a new level of self-regulation and -stabilisation or if such ‘inner-capitalist development’ is unlikely (see: Mandel, Ernest, 1992: The International Debate on Long Waves; in: ibid.: 316-338; here: 332).

2        A ‘non-capitalist perspective’, however, does not necessarily mean a socialist perspective – on another occasion I sketched some issues of a possible re-feudalisation (Herrmann, Peter, 2010: Encore Citizenship – Revisiting or Redefining?; in: Herrmann, Peter, ed.: World’s New Princedoms Critical Remarks on Claimed Alternatives by New Life; Amsterdam: Rozenberg Publishers: 17-75). And I think (or should I say: I am afraid) that this needs further elaboration. On the other hand, we should follow strictly the proposal put forward by Ernst Bloch who speaks

of four different kinds of possibilities, allowing us with this an informed approach to understanding them in their objectivity. He points on (i) the formally possible – what is possible according to its logical structure; (ii) the objectively possible – possible being based on assumptions on the ground of epistemologically based knowledge; (iii) the objectively possible – possible as it follows from the options inherently given by the object; (iv) and the objectively real possible – possible by following the latency and tendency which is inherent in its elementary form.

(Herrmann, Peter, 2010: Human Rights, Health and Social Quality – Realisations and Realities; in: Laurinkari, Juhani (Ed.) Health, Wellness and Social Policy. Essays in honour of Guy Bäckman; Bremen: Europaeischer Hochschulverlag; with reference to Bloch, Ernst, 1959: Prinzip Hoffnung; Frankfurt/M: Suhrkamp [written in 1938-1947; reviewed 1953 and 1959]: 258-288)

3        Looking then at growth, it seems to be more appropriate to look at development rather than maintaining the orientation on growth. It is unlikely that the latter allows capturing qualitative moments rather than limiting matters on quantified aggregations. Not least important is the fact that elaborating an understanding of development requires inevitably to outline a systemic understanding of what we re actually talking about – as such we are very much offering a positive contribution to the various debates around ‘Going Beyond GDP’. Furthermore, it allows a qualified critique of ‘New Green Deal’ arguments.

It should be noted with special interest that we find in the literature presentations that do not even consider the need of defining growth. It appears as a ‘given fiat’, something that does not need any definition or conceptualisation, let alone questioning. Furthermore, it is light-heartedly confused with development. Looking for instance at the work on the Diversity of Growth (McMahon, Gary/Esfahani, Hadi Salehi/Suire, Lyn [eds.], 2009: Diversity in Economic Growth. Global Insights and Explanations; Cheltenham: Edward Elgar), we see a striking divergence of the lack of conceptualisation of growth and the eagerness towards a differentiated analysis of the conditions of growth.

V.

In particular with reference to IV j it is suggested to see growth as an in principle static concept. The main orientation is on a ‘soft-landing’ (Mandel), i.e. the maintenance of the accumulation for its own sake. We may see the historical patterns of inner-capitalist development as characterised by the well-known cyclical patterns of three overlapping moments:

  • business cycles – reflecting supply and demand
  • conjunctural cycles – reflecting the aggregate fluctuation as reflection of capacities (and the move between departments and sectors), and
  • major cycles – as matter of major changes of the framework for and basis of accumulation.

Although we are concerned with far-reaching changes, they are only a matter of changes of the capitalist accumulation regime itself. Consequently they do not question the capitalist character of accumulation itself. In other words, the main point of reference is profitability of capital, and with this the rate of profit. Again in other words, the dynamic as presented with these different modes of business, conjunctural and major cycles is nothing else than the capitalist mechanism to counteract the tendency of the profit rate to fall.

VI.

This requires to look for a more differentiated view on accumulation regimes. As reference, Lipietz’ definition is helpful, seeing

the regime of accumulation [as] stabilization over a long period of the allocation of the net product between consumption and accumulation’ which ‘implies some correspondence between the transformation of both the conditions of production and the conditions of the reproduction of wage earners.

(Lipietz, Alain, 1986: New Tendencies in the International Division of Labor: Regimes of Accumulation and Modes of Regulation; in: Scott/Allen J./Storper, Michael [eds.]: Production, Work, Territory. The Geographical Anatomy of Industrial Capitalism; Boston/London/Sidney: Allen&Unwin: 16-40; here: 19)

1        Crises are well-known as points of change – and we can specify: changes are not only but as well very much concerned with changes of the accumulation regime. The French theory of regulation (Aglietta et altera) refers fundamentally to only two different regimes, namely the Fordist and the Post-Fordist regime. This is in the present author’s view extremely limited, being based on a limited understanding of capitalism[1] and thus failing to realise a much wider potential of the analysis.

    A hint for a wider understanding can be taken from the following presentation:

As capital accumulation becomes more intensive capital tends to become more concentrated , and the relative power of capital vis-à-vis labour … is changing. All this is occurring while the forms of competition, and therefore the industrial and financial structures, evolve. This is the history of contemporary capitalism. The ‘passage’ from a relatively competitive capitalism to one that is often called ‘monopolistic’ took place essentially during the ‘Great Depression’ at the end of the nineteenth century for reasons that were not only economic (economies of scale, market power) but even more social (the centralisation of capital is also the centralisation of capital is also the centralisation of labour, a process intended to heighten the possibility of social control given the rise to trade unionism). ‘Monopoly’ capitalism is thus the product of a stressful long-wave downturn, in which economic conflicts criss-cross with social and political conflicts, and as a result of which a new socio-economic paradigm is put in place.

(Dockès, Pierre/Rosier, Bernard, 1992: Long Waves. The Dialectic of Innovation and Conflict; in: New Findings …; op.cit.: 301-315; here: 309)

2        Tentatively, the following dimensions may be suggested as reference points for a differentiated view on accumulation regimes:

a        capital intensity

b        (raw-)material dependency

c        labour intensity

d        indigeneity/international dependencye        relative strength of department I, II, and III respectivelyf        class relations and regulatory mechanisms

3        Again only tentative, the following regimes are proposed:

a        merchant capitalism/industrialising

b        early industrialist capitalism

c        Fordism

d        state monopolist capitalism

e        service-regulationist capitalism

f        post-Fordist capitalism

g        ‘supra-national state-monopoly capitalism’ (Thomas Kuczynski)

This is surely not an exhaustive classification. One point that springs immediately to mind is concerned with the usefulness of a separate monopolist stage.

4 The perspectives presented under 2 and 3 can now be combined by transferring them into a matrix.

capital intensity

(raw-)material dependency

labour intensity

indigeneity/in-ternational dependency

relative strength of department I, II, and III respectively

class relations and regulatory mechanisms

merchant capitalism/industrialising

early industrialist capitalism

Fordism

state monopolist capitalism

service-regulationist capitalism

post-Fordist capitalism

‘supra-national state-monopoly capitalism’

5        It can now be asked if accumulation is actually also an issue in non-capitalist, here: socialist formations. If we give an affirmative answer we are required to reconceptualise both, the understanding of accumulation and of accumulation regimes. The ultimate point of reference has to be clearly defined by the genuine orientation of an immediate link between human practice (as [re-]production of and in everyday’s life] and the economic process. The mediation based in the capitalist form of commodities must be overcome. Paul Boccara contends for the capitalist formation that

[r]egulation concerns the inciting of progress in material productive forces (and in labour productivity) and the fighting of obstacles to such progress.

(Boccara, Paul, 1973: Etudes sur le capitalisme monopoliste d’Etat, sa crise et son issue ; Paris : Editions Sociales; qouted in Fonvieille, Louis, 1992: Rate of Profite and its Determining Factors; in: New Findings …; op.cit.: 203-224; here: 204)

    Under non-capitalist conditions this should be translated into a concern with the means needed for (re-)producing and improving everyday’s life. ‘The economy’ is now decisively only a means to an end which can be considered as ‘external’, an annex in which social practice finds one and only one expression, as far as it is concerned with the production of the social itself. In actual fact it is more precise to see here the true socialisation of production, i.e. the emphasis of the social character of production.

6        From here we can return to the question of growth as part of development. The two main lines are about growth in capitalist societies and in non-capitalist formations.

    Within capitalist societies we have the different contexts in which growth has to be seen: as cyclical movement aiming on short-term equilibration and as cyclical movement creating new areas fro accumulation after principle breaks in socio-technical respects. A first useful reference can be drawn from Menshikov’s view on ‘overall capital’, i.e.

not only capital materialised in new production equipment and research facilities, but also capital embodied in the whole new economic structure. This includes:

1.   New industries and plants which are built in the course of the technological revolution;

2.   Capital invested in producing new products – producing equipment, consumer and producer goods, new materials and types of energy;

3.   Capital invested in new infrastructure installed to serve new industries;

4.   Capital invested in creating new kinds of business organisation;

       and

5.   Capital in new government institutions and activities which are set up or expanded to support the new economic structure.

(Menshikov, Stanislav, 1992: The Long Wave as Endogenous Mechanism; in: New Findings …; op.cit.: 233-256; here: 246)

Important is also to investigate thoroughly the many parts of the overall actual social and societal production that are not commonly part of the GDP-calculations. Exploring this in detail requires a major empirical effort – even if we take an approach simply to growth as accumulation of capital, we have to consider its multifaceted character by way of itemising the existing GDP and those parts that are systematically left out.

This is a commonly recognised problem, however the readiness to take up the challenge in an integrating way is by and large missing. A telling example is the work of the Commission on the Measurement of Economic Performance and Social Progress, chaired by Jospeh Stiglitz, Amartya Sen acting as chair-advisor and Jean-Paul Fitoussi acting as coordinator (see for the work and also for the report http://www.stiglitz-sen-fitoussi.fr – 25/12/2010 10:56 a.m.). Although they criticise the GDP for its limitations, they do not offer a sound solution. Instead we find a kind of crib: if a coherently consolidated (system of) indicators is not in sight, a solution is suggested by running three indicator sets in parallel, concerned with the ‘Classical GDP-Issues’, ‘Quality of Life’ and ‘Sustainable Development and Environment’. This may be seen as progress. But it may also be seen as locking up of disintegration. Such parallelisation misses that a sound elaboration of indicators depends on an integrated approach. Cost-benefit analysis, properly understood, cannot be sufficiently undertaken in a ‘treble-entry accounting’. Rather it has to search for a way that allows fully integrating the different factors rather than setting them side-by-side. The latter results in such paradoxes as the ‘positive value’ of work that is undertaken in order to repair environmental damage (and already the ‘positive value’ of activities that damage the environment); or taking another – typical – example is the loss of GDP-contribution by non-employment-based activities which may contribute to ‘Quality of Life’ or ‘Sustainable Development and Environment’. I discussed relevant issues already in an article on ‘Economic Performance, Social Progress and Social Quality’ (see Herrmann, Peter, 2012: Economic Performance, Social Progress and Social Quality; in: International Journal of Social Quality 2(1), Summer 2012; © Zhejiang University, European Foundation on Social Quality and Berghahn Journals: 43–57 doi:10.3167/IJSQ.2011.010204). Whereas I discussed on that occasion more the conceptual perspective in the light of the lack of a sound understanding of the ‘quality of life’, it is at present of interest to emphasise that we have to look even in an affirmative perspective at more or less simple mechanisms of cost-benefit analysis. The to main factors that are needed for such an analysis are

  • the offset of private and societal costs/benefits and
  • the inclusion of the time perspective.

There are no clear criteria for the length of the latter – for pragmatic reasons it is suggested to refer to one generation the substantial reasoning behind this is rather simple: it can suggest a span of sustainability which then is permanently perpetuated. The overlapping of generations means that under the condition of ‘one-generation-sustainability’ sustainability is secured in the long run.

It is of crucial importance that this is immediately linked to the value of labour power. This is a matter that needs much more exploration, not least as we have to look at both sides: the pressure on the value of labour power, the push in terms of covering the costs of the value of labour power (towards social benefits, ‘low cost provisions’ and ‘outlets’ but also the actual increase of the value of labour power as matter new groups as bearers of new qualifications etc. (see in this context Fontvieille; op.cit.: 210/12).

VII.

To some extent this opens also a connection between micro and macro-perspective. It is the contradiction – as requirement to permanently balance the profit rates, looking at the variable and the constant capital on the level of the enterprise level and the level of the macro-economy.

VIII.

To clarify and gauge patterns of growth, the following questions will be useful as guideline.[2]

1        What grows?

2        What is the purpose of this growth?

3        Who is the direct beneficiary?

    Who is the indirect beneficiary? – Differentiated according to individuals, classes, society, state[3]

4        What are the means of growth?

    Differentiated according to different ‘factor inputs’ and kinds of capital/‘capital sections’

5        What are the costs of growth?

6        Who actually bears them?

    Differentiated according to individuals, classes, society, state[4]

IX.

Different capitalist forces and interests and the contradictions between different sections and fractions of the capital should not be neglected. They play a huge role not least in connection with the determination of the cost of labour and the question who actually pays them (see already the statement at the end of VI.)


[1]            In part this can be explained by the origin of the research, namely Aglietta’s empirical study (Aglietta, Michel, 1976: A theory of capitalist regulation. London: Verso) which had been by its own claim limited.

[2]            See already VI. 4

[3]            The differentiation between society and state may be important as in several cases the state will be used as means of distribution or also as means of ‘real cover by societal’

[4]            The differentiation between society and state may be important as in several cases the state will be used as means of distribution or also as means of ‘real cover by societal’

Sustainability, Non-Sustainability and Crime II

In the wider context of sustainability we have to deal not least with growth – to be more precise: the obsession with growth. Of course, this term is, at this stage, hugely problematic – a matter that is at this stage even widely accepted in mainstream economics and social science.

It is not least problematic if we take it as universally valid pattern.

(i) Growth is typically biased, limited to a quantifiable development, leaving by its very definition qualitative aspects out of consideration.

(ii) It also undermines even conceptualising systematically any non-commodifiable aspects of life (take happiness e.g.: we would speak of increasing happiness, not of growing happiness).

(iii) Growth is with this perspective in principle and inherently a completely individualist concept – even in its pretended ‘social’ understanding (for instance as matter of macro-economic growth) it is based on methodological individualism.

(iv) It is then difficult (if not impossible) to conceptualise ‘needs’ in a globally differentiated way: conventional growth is surely nothing needed in the so-called developed world; on the other hand we find in many regions severe under-supply of goods; as far as this undersupply is a matter of the lack of means of subsistence and ‘basic goods’, the answer will be obvious. However, in several cases there may be an unquestionable need although the means of satisfaction are not defined. An example for the latter can be seen in India where we find attempts to introduce cheap, i.e. affordable cars. This may well be an example where the need (transport for everybody) cannot and should not be questioned; but where the means to answer this need cannot be seen as given – in some respect the need may actually be limited (spreading availability of services, increasing local production by decentralisation  …); in another respect the means of transport can be directed in different ways rather than orienting on private means.

Fundamentally questionable presumptions are at least the following:

  • Growth is understood as growth of the production of ‘goods’ and with this actually leading to an understanding of economic processes based in consumption as ultimate end of the process. – It would be different by looking at (re)production of daily life (and the related means) as ultimate end. Only then economic growth would be a means rather than an end in itself.
  • This means also that production in the mainstream understanding is only narrowly understood, namely as production of goods. However, it is necessary to go beyond this understanding, searching for ways of determining other ‘means of production’, which themselves produce the ultimate product, i.e. daily life of socio-individual beings.
  • With this, a further qualification emerges: considering the human being as genuinely and indispensably social being requires – in the light of the demand of sustainable sociability – accepting equity not as secondary, i.e. as result of growth of the production of goods (thus is the fallacy of mainstream economics). Instead, equity is condition, i.e. means of production of sustainable sociability. – The latter can easily be shown by several empirical studies, for instance those that point at the Nordic countries facing less problems during crisis; cooperatives being let hit by the crisis etc.
  • Another and fundamental fallacy is that growth strategies as they exist today are to a large extent only mechanisms of (i) distribution and (ii) externalisation. A few remarks may be exemplifying this.

Space

We find some evidence for emerging and increasing poverty, developing in countries exactly at that time when they closely entered the global economy …, and when they did so as ‘explicit periphery’ of the world economy. So-called developing countries had been for a long time sufficiently strong in their own reproductive and sustaining way before entering fully the global economy.[1]

Social I

We find several mechanisms of externalisation, not least ‘shifting costs’ to the organic environment (nature)

Social II

A further social dimension can be seen in ‘by-production’ and parasite-production: enterprises produce political influence (CSOs sitting on political boards); contribute to welfare (foundations); NGOs produce services; households are engaged in DIY-production and so on.

Time

In many cases this can be closely linked to processes of tempoarilisation of costs, shifting them to later generations.

I am not yet sure if ‘development’ is a sufficiently thought through alternative – development carries with it the burden of Rostowian modernism though it can surely be questioned if this is a necessary burden.[2] One additional fundamental critique of growth emerges in this context: growth emerged in the meantime as by and large nationalist concept, being closely linked with the mechanisms of competitiveness. To the extent to which this is true, a Green Deal is highly problematic as long as it is conceptualised with the emphasis on ‘changed growth’ rather than changed understanding of ‘buen vivir’.

As long as we follow the mainstream growth model, we have to be aware that  there are two issues that are of fundamental importance, although they are easily overlooked at least in terms of their consequential character: the current model is based on two patterns that are frequently and in popular gist considered to be exceptions but that are actual fact structural foundation of the system – as such they are closely knit into the factors that had been laid before us in the previous paragraphs:

  • debt is the one
  • the other one is crisis.

The strictly economic side of debt can easily be described – and much had been written about it. It is not always considered sufficiently that there is a fundamental difference between private and public debt but by and large it is probably fair enough to say that the difference is usually seen and only naive political jargon draws simple comparisons. The perspective from political economy is a bit more difficult – but in any case it is also fundamentally a concern with a rather traditional model of growth, in particular looking at the wider understanding of distributing economic components over time. This is then not only a matter of financing current investment on the account of expected gain in the future. At least equally important are various inherent mechanisms of social transfer, as for instance business investment loans financed by agglomerating savings of private households, ‘cold expropriation’ of private and business households by the means of undervalued government loans (e.g. a short note on this here), shifts of public money to private businesses using also mechanisms of tax exemption and tax evasion.

However, another perspective has also to be considered, it is concerned with the soci(et)al time perspective. Both, personal and social history are based on a loan taken from the future, however without sufficient cover. The reason for the lack of security is not a matter of overspending. In order to understand the contradiction, it is not sufficient to consider the (im)balance between spending and borrowing – these are actually by and large brought into congruence with each other via various mechanisms of the economic crisis – a mechanism which is, at least insofar we are talking about a crisis of consolidation, nothing else than forceful negotiations which decide who is paying which share. This can be roughly broken down to the following: the investors, the mediators, the consumers. Still, there is another factor, socially constructed by a specific political-economic understanding, namely the ideology of infinite growth: it is the suggestion that the major share is paid by the future. So – simplified – we end up with the following rough scheme:

Current debt

Loan from future 1

Delayed payment:

Loan from future 2

Societal

Societal

Societal

Investor

Investor

Consumer

Consumer

paid by soci(et)al inequality

paid by societal inequity

remaining unpaid

At this stage it does not play a role if we are talking about debt in monetary terms, energy, raw material, space … . Importantly we have to aim n maintaining the link

  • between production and reproduction of daily life

and also

  • between the needs and means as mentioned earlier with reference to Wilhelm von Humboldt.

And of course, we can then clearly see the justification of speaking in the title of the crime of lacking sustainability: It is even in positive law – in terms of the criteria set by this society – a crime insofar it disrespects the fundamental principle of contracts: contracts are actually drawn with a party that is not part of the negotiations.

We can come back to what had been said before: for understanding the contradiction, it is not sufficient to consider the (im)balance between spending and borrowing. Such perspective is simply limited to the realm of circulation. However, the real imbalances are on the level of production. For a clearer understanding of such localisation we have to distinguish at least analytically the following dimensions – always keeping in mind that the fundamental reference is the production and reproduction of daily life. The following is suggested:

  • Systemic (re-)production, i.e. the (re-)production of the socio-political-economic system itself. Part of it is well reflected in the definition of the accumulation regime as brought forward the Régulationist School. Important is to consider that the definition is established by drawing a close link between production and reproduction, looking at

stabilization over a long period of the allocation of the net product between consumption and accumulation which implies some correspondence between the transformation of both the conditions of production and the conditions of the reproduction of wage earners.[3]

  • Personal (re)production, i.e. the (re)production of individuals and private households, importantly establishing a link between development of personalities and their ‘fit’ into the societal relations and vice versa.
  • National (re)production, i.e. the (re)production which is mainly concerned with a specific part of the systemic (re)production, however, limiting this to a certain social space and in turn providing a basis for specific exclusionary structurations
  • Class and cleavage (re)production, i.e. the (re)production of different relations that socio-politically ‘order’ the positions within the overall relationality.

Two factors are of major importance. First, social and political divisions find their original foundation in the first of these (re)production-schemes, i.e. on the systemic level. However, these can only emerge from the division of roles – a matter of division of labour and also of – only in part subsequent – division of power positions. Second, in all these cases we find specific environmentalisations. With this term I suggest that human beings define themselves as depending in different degrees from the natural conditions of the organic environment, the other way round: the tendency to externalise of organic environment. This independence is itself relative as much as it is defined by human agency’s individual and/or collective ability to control the organic nature. It should be clear, however, that the dependency is a relational one. The highest thinkable degree of independence is one of the ability to make perfect use of the organic forces – though they cannot be overcome nor can human beings transcend their own organic essence.

Tensions and contradictions emerge within each of these realms and also between them – an apparently incalculable net of relations. These tensions and contradictions are in their historically specific form definiens of historical structures of meaning. – And this can be – and is at times – the nihilist demeaning of everything, arbitrariness of existence that is getting aware of the crime of lacking sustainability.

Is there a way out? One way out is the amplified nihilism: denial of the future, suggesting that the debt is already to high to be paid back at any one stage. Another is the religious or otherwise value-ridden suggestion that another world is longed for – and thus it should be possible: the internalisation of a deeply felt enigma and frequently the idealisation of the past and the suggested eternal while facing the crumbling away of parts of reality. There are technical suggestions – green deal and decoupling.

Finally – and in part contradicting the aforementioned suggestions – there is the need to concentrate really on a new mode of production as core of a new societal formation. This surely has to be socialist in its very core. But being socialist has to thoroughly consider a new productive basis under non-industrialist conditions. An important question is in which way socialisation of production can be employed as a means also of ‘steering needs’.

Part of the necessary analysis is to clearly answer in a differentiated way the questions of what is needed, how this is determined and who the actual producer is.

Including importantly the questions of capitalisation and commodification of labour power

This includes material, immaterial, mediated/symbolic dimensions

What id actually needed for the (re)production of daily life

Important is also the differentiation between the departments (I & II according to Marx; in addition III according to Luxemburg; in my own opinion this needs today further differentiation, for instance by looking at the service sector as candidate for a further department)

Including the question of marketisation[4] and commodification

How the need is determined – e.g. by physical necessity, social definition, technological requirements or suggestions … (a new approach to Maslow?)
By whom is actually produced (incl. public households,[5] private households, NGOs, as ‘by-product’ of other processes …)

[1]            It remains to be discussed how this relates to the thesis of world systems theory, in particular the interpretation by Gills and Frank (see Frank, Andre Gunder/Gills, Barry K. (eds.) 1993: The World System. Five Hundred Years or Five Thousand?; London/New York: Routledge); furthermore it would be interesting to analyse in this context the theory of major cycles (Kondratieff waves).

[2]            Part of this is more extensively reflected upon in my article  ‘Indicators – More than Evidence and Maths; forthcoming in: Journal of Globalization Studies’, Association with the Faculty of Global Processes of the Lomonosov Moscow State University; Eds.: Leonid Grinin/Andrey Korotayev/Victor de Munck/James Sheffield; Volgograd: Uchitel; and the more extensive document from the Cork-presentation on occasion of the Poverty Summer School at University College Cork.

[3]            Lipietz, Alain, 1986: New Tendencies in International Division of Labour: Regimes of Accumulation and Nodes of Regulation, in: Production, Work, Territory; Scott, A.J./Storper, M. (eds.); London: Allen Unwin: 16-40, here: 19

[4]            Important to note that marketisation does not necessarily means capitalist markets.

[5]            In addition public goods though they are not necessarily produced by public bodies.

Sustainability, Non-Sustainability and Crime I

Debates on sustainability, if taken in as matter dealing with a wider, social understanding of the issue in question, are frequently linked to a rather mechanical understanding of needs, and in this context  reference is not least made to considerations on marginal utility and the subsequent thesis that at a certain point any additional consumed unit does not lead any additional (or only a minimal increase of) satisfaction. Even an adverse effect can be made out in cases where we can speak of definite overconsumption. The commonly presented thesis is that there is a point of saturation  beyond which no ‘added value’ is possible. And of course, there is a close link then also to the Pareto-optimum.

However, the entire approach is based on a fundamental flaw, only dealing with numbers and different weighing, loosing the underlying qualitative aspect out of sight. Utilities can in deed be quantified. However, this is presupposing that use value and exchange value are distinct units, at least in tendency separate from each others. Actually, in this view they both take distinct physical forms, the one being the actual ‘good’, the other its money-form.

Such approach may be fundamentally criticised by bringing two aspects together – which also means by referring to the following two conditions:

  • the consuming and the paying entities are basically identical.
    – Of course, in a macro-economic perspective this can only mean that in a long-term perspective (in the last instance) externalisation is not possible
  • the utility value is not understood as matter of ‘consumption; rather , consumption is itself (part of) a productive process (as outlined for instance in the Grundrisse by Marx) and s such production is meant to be a matter of ‘empowerment’. The ‘utility’ is ‘mastery of life’ – right in the understanding put forward by Engels:

The materialist conception of history starts from the proposition that the production of the means to support human life and, next to production, the exchange of things produced, is the basis of all social structure; that in every society that has appeared in history, the manner in which wealth is distributed and society divided into classes or orders is dependent upon what is produced, how it is produced, and how the products are exchanged.

What Engels is presenting is a fundamentally and genuinely social relationship, not simply inescapable but even without a want to escape. Production, products and consumption are very much an entity, in the same way as the individual is not social by his/her interaction with others but its own intrinsic existence.

Against this background we ay turn our attention to Wilhelm von Humboldt and his work on The Limits of State Action.[1] Towards the end of his treatise he looks at the question of prevention of crime, however, importantly linking this to the question of causes of crime.    He contends that

… all prevention of crime must be directed to its causes. But these causes, which are so infinitely varied, might be expressed perhaps in a general formula as the feeling, not sufficiently resisted by reason, of the disparity between the inclinations of the agent and the means in his power for gratifying them. (117 f.)

And from here he continues:

Although it might be very difficult to distinguish them in particular instances, there would be, in general, two distinct cases of this disproportion; firstly, when it arises from a real excess of desires, and, secondly, when it results from a lack of means to satisfy even ordinary inclinations. (118)

We have to try to stripe off all this fundamentalist individualism that characterise Humboldt’s remarks – and then they may actually be rather meaningful to grasp more thoroughly the challenges we face today, as much as we faced them already throughout history of mankind. In other words, the challenges about sustainability and a new understanding of what economic activities are about are not new – however, they are permanently captured by a tensional relationship that is characteristic in different dimensions, sometimes occurring in parallel, sometimes in a somewhat alternating way.

It is frequently said that today’s economies are structurally depending on debt – debt together with quantitative growth are suggested to be an indispensable condition of stability. Leaving the inherent contradiction aside: stability – as far as it resembles stasis – is made dependent on two dynamic aspects, one of the main problems seems to be that  the entire pattern is based on a fundamental contradiction – a tearing apart of entities.

Consumption is in a twofold way separated from its productive dimension: it is suggested as independent from the process of manufacturing (production of goods) and it is furthermore suggested to be independent from the production and reproduction of human existence. However, in bot, economic and social theories these two ‘divisions’ are not sufficiently considered. In other words, difference and connection between productive and non-productive consumption are left outside of analytical considerations. Cum grano salis, the same is true fro production as matter of reproduction. By this, the goal of reproduction is turned away from its original perspective, now not being concerned with human beings but with socio-economic systems.

Thus, the task of policies on social sustainability have to take up the challenge to establish and maintain ‘blocks against externalisation’ as every of the before-mentioned separations are also mechanisms of socio-economic externalisation.

Though it remains for the moment open to properly relate happiness, prosperity, flourishing, wealth etc. we may see a perspective. If we have, according to Amartya Sen, to look at ‘capabilities needed to flourish’ (Sen, see also Nussbaum) we may concretise this by defining flourishing primarily as developing contentness against the disparity as it is outlined by Humboldt, the

disparity between the inclinations of the agent and the means in his power for gratifying them.

Functionings, as frequently centre-staged by Sen, are now also matters of the ‘social individuals’, partially independent of the functioning of social systems – and dialectically in this way determining new perspectives for these systems.


[1]      1791/92; ed.: J.B. Burrow; Indianapolis: Liberty Fund, 1993

Customer Care or Criitique of Political Economy for everyday’s life

There had been a problem with my address – stuff the bank sends frequently doesn’t arrive as it should – well, Irish addresses …
So, I sent a mail, mentioning this and I receive the answer:

If you do online banking this problem doesn’t occur.

I am hesitating to answer

If I and all the others do online banking you will loose your job.

And I am also wondering – thinking about this tiny incidence in connection with the recent experience in a travel agency (one of these old-fashioned places where one can book flights ..). – distinctly attentive and friendly staff really obliging. And extremely well organised. Just a blink before I am told

And you will receive a notification on your mobile phone as well

I feel the soft touch of the vibrating phone on my chest – as if it would be a version of modern life’s love story …. – and I pay, of course, without hesitation the 40 Euro more the flight costs me if compared with the web-booking. Well, there is a little more to it – the actual reason for booking with the travel agency had been less about this little love story and more about getting without complications the insurance needed for the visa-application.

In any case, sufficient stuff to work along and give a four hour lecture on economics and the economy … – but this I will leave to September when my students return and when I will look with them at Queens, Quesnay, Smith and …, yes, sure, at some stage also at Marx who famously clarifies fetishism as objective mechanism in capitalist societies:

As against this, the commodity-form, and the value-relation of the products of labour within which it appears, have absolutely no connection with the physical nature of the commodity and the material relations arising out of this. It is nothing but the definite social relation between men themselves which assumes here, for them, the fantastic form of a relation between things. In order, therefore, to find an analogy we must take flight into the misty realm of religion. There the products of the human brain appear as autonomous figures endowed with a life of their own, which enter into relations both with each other and with the human race. So it is in the world of commodities with the products of men’s hands. I call this the fetishism which attaches itself to the products of labour as soon as they are produced as commodities, and is therefore inseparable from the production of commodities.

The Emperor and Wolfgang Amadeus

The other day I saw on facebook an advertisement – apparently a new game.

KINGDOMS OF CAMELOT

I didn’t have a look at it. But of course, there is always this notion of ‘My home is my castle’ – although it is an illusion and the home of many is actually the home of their bank – in the best case. I write ‘in the best case’ as for probably most of the people it is not ‘my castle’ but a loan granted by their prince, the bank. And for increasing numbers it is victim of the loan-givers meddling collectors – the Deutsche Bank showing ‘German perfection’ even in crime.

The other day I talked to Marco, after we watched on RAI the report on Il Palio – he wanted to draw my attention to the anthropological side:

Isn’t there some medievalism in us: we are engaged in all these personalised and irrational attractions.

And he, the catholic, also wondered about the masses going to mass.

The recent visit of the pope in Milano caught the attention of …

I forgot the number, but it had been large enough to justify his words:

There is obviously something of this irrationality we need!? The feeling of security? Comfort?

Sure, this may also be an eternal resonance of the lost paradise, sadly looked at by Eve – captured by Antonio Allegretti with the masterful scuplture Eva doppo il peccato allegretti. And it is surely this challenge, defined by the gained independence and responsibility and the difficulty even of a genius as Euclid to fully master this independence.

*****

But Euclide’s problem had been the effort of keeping the world moving by handling a set of numbers and geometric forms. More radical attempts, for instance Stefano Porcari’s strive for a Catholic Republic had been cruelly rebuked. Not only that ‘he left life’, i.e. had been hang. But apparently he also failed to represent a demos – at least this is what we can concluded from Marion Crawfords who contends in the work Ave Roma Imortalis

The name Porcari calls up another tale of devotion, of betrayal, and of death, with the last struggle for a Roman Republic at the end of the Middle Age. It was a hopeless attempt, made by a brave man of simple and true heart, a man better and nobler than Rienzi in every way, but who judged the times ill and gave his soul and body for the dream of a liberty which already existed in another shape, but which for its name’s sake he would not acknowledge. Stephen Porcari failed where Rienzi partially succeeded, because the people were not with him ; they were no longer oppressed, and they desired no liberator; they had freedom in fact, and they cared nothing for the name of liberty; they had a ruler with whom they were well pleased, and they did not long for one of whom they knew nothing. But Stephen, brave, pure, and devoted, was a man of dreams, and he died for them, as many others have died for the name of Rome and the phantom of an impossible Republic; for Rome has many times been fatal to those who loved her best.[1]

It is somewhat symbolical that the space that accommodated the house where Porcari had been born and where he lived is now an empty space: in the middle of Rome, in a small street next to the Pantheon – a space where it is prohibited to erect a building. Is it prohibiting people to develop as collective and social demos, claiming a real res publica?

One can turn it around: The modern state, not least going back to Montesquieu’s ‘Spirit of the Laws’, never ever succeeded, and even aimed on, taking the res publica serious, the establishment of a public space. Not least as such public space is always a process as it had been shown in parts of that early French revolution that had been employed by processes rather than building up structures. The public had been systematically reduced on a gathering of individuals. At this point we may leave it open if and in which way this had been different in ancient times. But Euclidian arithmetical reductionism had to lead to the claim of private property being the ultimate ‘natural right’ as spelled out for instance by Locke. And even more, the individual had to be the ultimate point of reference – this had been the true spirit that Montesquieu managed to breath into history of modernity.

And as such, the state emerged as seemingly independent force not as what it is usually presented: the servant of the people. This res publica is a scattered mirror: Eve could only fall in despair, Euclid could only wonder why his genuine attempt crashed and Alfonso Balzico’s Cleopatra could seemingly choose but had been distracted from the affluence in front of her eyes by the permanent presence of the hissing snake.

*****

 And this allows to return to the remark on the

KINGDOMS OF CAMELOT

It is this ongoing and strengthened individualism that actually allows the new, now hidden emperors standing over the princes – and it allows the suggested servant of the people to act like a jester. Though the difference is: the real jester had been mocking about the ruler – and here it is the ruler, mocking about the people. Of course, this may easily be seen as clandestine clue: at the end of the day, the day that may well mark the beginning of real history, it will be the people ruling themselves.

But for the time being jestering is very similar to Euclid’s play with numbers and forms. It is not really far fetched: We find the very same picture in today’s economic policies: number crunching – even in many cases of the search for radical growth policy (my little project with Marica), the strive for Millennium Development Goals (topic of a new little project with Almas) and even the search for niches. As Brigitte says in a recent mail, referring to a book by Raul Zibechi

but he also thinks that the control over territories is getting increasingly important for the rulers and for social movements – something that also points on the re-emergence of feudal forms. Of course, the question is then how such theses can be applied here in Europe.[2]

This is exactly the problem: that many of the solutions are caught in the dilemma Einstein supposedly put into the words:

We cannot solve our problems with the same thinking we used when we created them.

This search for solutions by following the same thinking that created them is not new – though Charles Anthony Smith, Thomas Bellier and John Altick present it as new. Be this as it is, it is heuristically surely interesting to read

the ego-panoptic construct we identify has two related but discreet dimensions. First, the individual has a greater capacity to keep the powerful in check through individual level surveillance of society. Second, the individual is more capable of constructing the world that exists around them. State and society have an increased susceptibility to control by or influence from the individual while there is also a simultaneous limitation on the ability of state and society to force the individual to conform.[3]

*****

All this may sound rather abstract – but actually it has a very simple expression in today’s economic policies. Though all this is a central part of the crisis, it is nevertheless a frequently forgotten one. Debt and in particular indebtedness by the states is undeniably a major problem. It is again and again highlighted by reference in particular to crisis in Greece. And it is made increasingly a topic in supposedly rich nations, complaining about the ‘cost of solidarity. And it is also frequently – even by several conservatives – brought to the fore that austerity policies are at least not without problems. Such policies are not so much ‘imperial’ than ‘medieval’: the brute force against the subject by the use of violence; requesting increased dues. However, there is another dimension to today’s policies in dealing with public debt. And saying today does not refer only to the current crisis but to historical predecessors from the previous century. For Western Germany it is generally accepted that special conditions after WW-II – in particular the support received by the Marshall Plan and the advantage of a near to completely destroyed material foundation of the industrial process (means of production), allowing a kind of ‘new start’, condition for a major competitive advantage on the global level – fostered a period of exceptional growth. But with this we reach implicitly another point: the problem of ‘growth’ – not least since W.W. Rostow growth is considered to be a magic driver, a self directing pattern that does not require any justification as the attraction is given by the Platonic understanding of numbers as real, gaining their justification from a supposedly natural order: 1 naturally followed by 2 naturally followed by 3 naturally followed by 4 maturely followed by … – ops, naturally maturely as the given and unquestionable order of development. And it is the competitive-individualist growth pattern. The Cartesian

proposition, I think, therefore I am, is the first and the most certain which presents itself to whoever conducts his thoughts in order

– later we will come back to it – is now perverted. We can reword: The

capitalist proposition, I grow, therefore I am, is the first and the most certain which presents itself to any economy conducting its balance sheets in order.

As this is a purely individualist principle, and furthermore: as this subsequently is a purely competitive principle, it is also a matter of permanent externalisation of costs. Investment is not aiming on

the production and reproduction of the immediate essentials of life.[4]

And as much as this is still an important aspect – and at the very end the decisive point, it emerges in its capitalindividualist perversion into a rat-race of accumulation of supposed wealth and the permanently enforced externalisation of costs.

We may leave at the moment an important point aside: the fact that the suggested wealth is an illusion. Instead a seemingly technical aspect of maintaining this illusion is worth mentioning.

Germany’s exceptional post-WW-II-growth had been mentioned. But after 1945/49 other economies had been growing with exceptionally high rates too, including the United States of North-America and the United Kingdom of Great Britain and Northern Ireland. And indeed, this had been based in – on the one hand – increasing income at least of the so-called middle classes and – on the other hand – the availability of an increasing number of long-term mass consumables (refrigerators, automobiles, household appliances, TV/colour-TV etc.). Interesting is to relate the growth rate for instance in the USNA, the increase of public debt and the inflation rate. The problem of public debt is not the fact itself, but the use of such debt as means of permanent and massive re-distribution. Inflation is an effective instrument – and not least an instrument that allows dispossession: the assets of citizens with an average income are not only eaten up by the changing cost-benefit ratio on the market for every-day’s consumables. Inflation is also a means of public debt relief.

As Carmen Reinhart and Belen Sbrancia state

financial repression is most successful in liquidating debts when accompanied by a steady dose of inflation. Inflation need not take market participants entirely by surprise and, in effect, it need not be very high (by historic standards).[5]

This is a mechanism that works directly against the population and also via redistribution where banks and funds are working as intermediaries.

*****

Indeed, here we find a ‘love-story’ between the different profit-making and –taking mechanisms – complementing and competing roles at the very same time – that evokes repercussions of the first lines of the recitative in Mozart’s Così fan tutte, Despina contending

Now I can see

You’re a woman of sense.

and Dorabella answering

In vain, Despina, I tried to resist:

that little devil has such tricks,

such eloquence, such a way with him,

that he’d melt the heart of a stone.[6]

And in actual fact the problem of the entire story is brought to the point by Guglielmo, just a short time before expressing his pure egoism, expressing a misunderstood individualism:

such treatment of so many

is pernicious and a bore

… you treat so many thus,

that if your lovers complain

they have a good reason indeed.[7]

It is like the state which can easily be seen in sustaining a function of an indeed self-interested court: the emperor frequently changing clothes, appearing as social and welfare state, activating state, bureaucratic state etc.. There is no doubt, all these different appearances matter – politics do matter. But they do matter not least as part of a historically long battle about hegemony where Wolfgang Amadeus Mozart’s life may be metaphorically telling. A genius of a world that had not been invented yet, and a world that surely did not allow to live this collective notion – a world that finally deflated the genius, causing a puny withering away of a flower that lost its inner buoyancy at the age of 35.

a man defeated by life[8]

It had been and is world in which

[c]oncepts like ‘civility’ or ‘civilisation’ on the one hand and ‘culture’ on the other were used in Germany as symbols of different canons of behaviour and feeling. It was possible to show that the use of these words reflected the chronic tension between court establishment circles and bourgeois outsider groups. This also highlighted certain aspects of the bitter class struggles between the bourgeoisie and the aristocracy.[9]

However, there are two points that should be reconsidered when reading Norbert Elias’ analysis and reflections: The first is to put a big question mark behind his thesis that this struggle

finally came to an end in the twentieth century with the rise of the two classes related to the productive economy and the de-funtionalisation of the nobility as a social stratum.[10]

Fact is that the ‘productive economy’, i.e. capitalism, actually systematically undermined productivity if productivity is seen as matter of use value. If

[i]t is not from the benevolence of the butcher, the brewer, or the baker, that we expect our dinner, but from their regard to their own interest[11]

it must be something else – and indeed: it is exchange value that – by an invisible hand – creeps into all pores of life, absorbing meaning and sociability with every breath, with every stroke of the hand. The Cartesian proposition

Ac proinde hæc cognitio, ego cogito, ergo sum, est omnium prima & certissima, quæ cuilibet ordine philosophanti occurrat

had been frequently criticised for the inherent idealism. But its utmost individualist stance had been barely objected – Descartes speaks of those individual

whoever conducts his thoughts in order.

And this is it: the order of the mind and thought of the individual philosopher – sitting on an earthly cloud, playing a virtual harp: professional perfectionism, excellence of universities: the realisation of

their own interest.

Second, it is too often forgotten that this new ruling class is in itself split: citoyen and bourgeois inevitably interconnected and nevertheless unavoidably in conflict, avoiding each other like the plague: The idealist freethinker – and Mozart had been one of them – standing against the materialist utilitarian for whom paradoxically the only ‘use value’ is a creature that lost its feet and legs: ‘use value’ is – for the utilitarian – the ‘uselless’ profit, a ‘social construct’ based on the alienation also of the product from itself. A social construct that does not have any own use despite being a placeholder for any use-valuable; interchangeable even with itself.

Thus – coming back to Mozart – he had been not just in a quandary. The individual solution obstructed by the lack of inalienable social integration, thus undermining socio-individual integrity. And the social integration undermined by the individual not accepting to be a mere part of an disruptive system of …, yes: self- obstructing individuals.

Sure, the privileged Tamino can live this role. But really: Papageno cannot.

*****

It surely matters in which way we look at things, the perspective we take. Recently, visiting the Kunsthalle in Mannheim, I had been fascinated by overlooking the town through the window.[12]

Actually it may be said that it had been more overlooking history. An inexpressible notion. Depending on the position, the ‘images’ change. What seems to be a from a more distant position as Napoleonic visage, withers into a small house covered by a dark roof – youy see it in the middle of the diagonal that spans from the Eifeltower to the house with the red roof. The imperial greatness, the appropriation of historical power by one person transforming into people’s life, translating into an authoritarian character of bourgeois society.

For the time being we play in our little realms as for instance a

KINGDOM OF CAMELOT

– not seeing the invisible hand of the emperor, in fomer eras claiming to be representing the devine, then the emperor by grace of god, in extremes the claims of being God’s chosen people and today enthroned by the new god of mammon – money as the ultimate good. – To make sure: this is not the failure of individuals. Nobody can ‘see reality and act in a free will’. Rather, it is a forceful reality – gods are always misleading: the ancient and the modern gods, deceiving for a while by golden fleece und the cover of which the collective knowledge of the abys is darkened.

Delaunay’s La Fenêtre sur La Ville allowing to overlook Paris – the metropole that may claim to at least one of the legs of modernity’s cradle; and allowing to see that

make their own history, but they do not make it as they please; they do not make it under self-selected circumstances, but under circumstances existing already, given and transmitted from the past. The tradition of all dead generations weighs like a nightmare on the brains of the living.[13]

Delaunay’s La Fenêtre sur La Ville: a painting with an inexpressible notion – evokeing helplessness. But even more suggesting the power of the de-indivdualised being – the kindness, solidarity, empathy and real self-realisation … – Herr Messerscharf und die Ameisenmenschen (Mr. Trenchant and the Human Ants) from Phanresia’s Stories of Friendship[14] once learned this lesson.


[1]            Crawford, F. Marion (Francis Marion), 1902: Ave Roma Imortalis

http://archive.org/stream/averomaimmortal04crawgoog/averomaimmortal04crawgoog_djvu.txt

[2]            may translation

[3]            Smith, Charles Anthony/Bellier, Thomas/Altick, John: (2011): Ego-Panopticism: The Evolution of Individual Power; in: New Political Science, 33: 1, 45-58; here: 46

[4]            Engels, Frederick, 1884: Origins of the Family, Private Property, and the State. Preface to the First Edition – http://www.marxists.org/archive/marx/works/1884/origin-family/preface.htm – 5/5/11 11:47 AM Online Version: Marx/Engels Internet Archive (marxists.org) 1993, 1999, 2000 – Volume 26. Frederick Engels. 1882-89

[5]            The liquidation of government debt; nber working paper series; National Bureau of Economic Research 1050 Massachusetts Avenue Cambridge, MA 02138 March 2011; Working Paper 16893 http://www.nber.org/papers/w16893

[6]            Così fan tutte. Drama Giocoso; Wolfgang Amadeus Mozart; Libretto by Lorenzo da Ponte. Première: Vienna, January 26th, 1790. Wiener Staatsopernchor/Wiener Philharmoniker/Karl Böhm; Live Recording from the Salzburg Festival on the occasion of Karl Böhm’s 80th birthday, 28 August 1974; Hamburg: Polydor International/Deutsche Gramophon; Libretto (Engl.: Lionel Salter) 32-205; here: 166

[7]            ibid.: 164

[8]            Elias, Norbert, [1991]: Mozart: The Sociology of a Genius; in: Nobert Elias: Mozart and Other Essays on Courtly Art. The Collected Works of Norbert Elias. Vol. 12: Edited by Eric Baker and Stephen Mennell; Dublin: University College Dublin Press, 2010; 55-167; here: 57 – it had been an uncompleted work by Elias, first published in 1991, edited by Michael Schröter who had been authorised by Norbert

[9]            ibid.: 64

[10]            ibid.

[11]            Smith, Adam, 1776: The Wealth of Nations. Books 1-111; Edited with an introduction and notes by Andrew Skinner; London: Penguin Books, 1999: 119

[12]            Robert Delaunay, 1885-1941 – La Fenêtre sur La Ville, 1910-1914

[13]            Marx, Karl: The Eighteenth Brumaire of Louis Bonaparte. 1852; here quoted from the internet-version http://www.marxists.org/archive/marx/works/1852/18th-brumaire/ch01.htm – 15/12/2008 11:21 am .

[14]            Peter Herrmann: Phanresias Geschichten von der Freundschaft. Ein Kinderbuch; With Illustrations by/Mit Illustrationen von Franziska Herrmann; Bremen: Europaeischer  Literaturverlag, 2010

The Begging State – Privatisation of a special kind

Trastevere train station – probably I will never feel comfortable with these vending machines, but bad luck: the only way to obtain a train ticket [if I would have known that aerlingus is not late but very late this day I could have walked …]. No place where to go to, asking a real human being something like: Buon giorno. Per favore, vorrai …

Did I say no human being? But no. It is called street level economic activity: A young(ish) man stood at the vending machine, helping everybody: Italians, Romans (sure, they are some kind of Italians too), frequent train-users, the occasional traveller … – he had been really grateful for being occasionally allowed to keep the change.
And I had been really grateful for the little bit of additional research opportunity on the question of reducing the cost of labour power and shifting it amongst different bearers: the (Italian) Prodi/Monti state[1] saves money needed for maintaining public services; the (Italian) state saves money for social benefits; the invoice is paid by impoverishing the public and private individuals alike …

…. But no worry, I won’t claim L’Etat c’est moi! That is still done by those who in actual fact undermine most systematically the state as what it claims to be: a democratic institution. The Louis XIVth of today are the Golden Lehmanns, Gates, Sarkozys, Orbans and Merkels …


[1]            both major promoters of selling out the Italian state to private capitals, by this destroying the entire industrial basis.