About the real realities of the presence …

… not the realities of a proposed future in the making,

There we are talking about digitalisation, the abundance of today’s society and zero-marginality, of course often or not, considering, admitting, commiserating the poverty, asking even for changes of the distribution and policies of distribution, allowing the “inclusion”. Looking honestly at the other sides, we should surely register also the “exclusion of mindfulness”, the fact that the reference we use is actually itself exclusive, establishing a real- and mind-set that evokes and even is excluding. In his book Mike Davis, looking at the Planet of Slums, we find on Page 49 the decisive statement:

“Most displaced … are social outcasts, excluded from formal life and employment.”

 – important to note that he is quoting an aid NGO.

The attempts to arrive at a really integrated approach, understanding concisely the intimate link, are at least today too often caught in a certain kind of “positivity/Positiveness of the future” – be it by looking at the Precariat as the New Dangerous Class
In sum, all these positive approaches are overestimating – for one or another reason – the somewhat futurist view, proposing some new normal, and easily forgetting that fact that for many life is still actually still “the normal we thought to be overcome fro some time already”, the suggested “historic, early normal”.
Sure, development is rapid – we find also his statement in Davis’ book:
Angola, only 14 percent urban in 1970, is now a majority urban nation. Most of its city-dwellers are both desperately poor and almost totally ignored by the state, which in 1998 was estimated to spend only 1 percent of its budget on public education and welfare. The unending civil wars in Colombia likewise have added more than 400,000 IDPs to Bogota’s urban poverty belt, which includes the huge informal settlements of Sumapaz, Ciudad Bolivar, Usme, and Soacha.
And although I think we are too often look at crude data which do not really say anything about life and what it is about here is another figure, taken from Davis’ book:
If UN data are accurate, the household per-capita income differential between a rich city like Seattle and a very poor city like Ibadan is as great as 739 to 1 – an incredible inequality.
A gentle reminder to the readers of the blog — whenever the modern and “postmodern” world is looked at on these pages, taking the “positive outlook” the author is well aware of the ore “positivist perspective”, if you want: the story told by the reality as it is shown by the far too many real lives standing behind every “single figure” that amounts to the brute reality of global capitalist development that is by no means flat and where talking about Postcapitalism as a Guide to Our Future is really more science fiction and should realistically not be seen as vision.

Artificial Intelligence – and the Reduction of Being

Both quotes are from Hannah Arendt’s Human Conditions, 43 and 41 respectively (Arendt, Hannah, 1958: The Human Condition; Chicago/London: University of Chicago Press). Aren’t they saying much what Artificial Intelligence is about – and how much it depends on the reduction of ourselves?

The unfortunate truth about behaviorism and the validity of its “laws” is that the more people there are, the more likely they are to behave and the less likely to tolerate non-behavior. Statistically, this will be shown in the leveling out of fluctuation. In reality, deeds will have less and less chance to stem the tide of behavior, and events will more and more lose their significance, that is, their capacity to illuminate historical time. Statistical uniformity is by no means a harmless scientific ideal; it is the no longer secret political ideal of a society which, entirely submerged in the routine of everyday living, is at peace with the scientific outlook inherent in its very existence.
****
This modern equality, based on the conformism inherent in society and possible only because behavior has replaced action as the foremost mode of human relationship, is in every respect different from equality in antiquity, and notably in the Greek city-states.

Sure: Shock !! – But also Surprise ??

Yes, he made it – and the world is surprised, and comes increasingly to the conclusion that it should not be surprised. Demograph’s a joining democrats, looking for reasons behind the success of demagogues – not just in Trump’s empire to be; and illusionists reflect on the majestic power of the new magician, money. We (can) know since long:

No thing in use by man, for power of ill, Can equal money. This lays cities low, This drives men forth from quiet dwelling-place, This warps and changes minds of worthiest stamp, To turn to deeds of baseness, teaching men All shifts of cunning, and to know the guilt Of every impious deed. But they who, hired, Have wrought this crime, have laboured to their cost, Or soon or late to pay the penalty.[1]

Of course, we may set moral standards against it – and we do this also for a long time as. And with Aristotle we can

seek to define wealth and money-making in different ways; and we are right in doing so, for they are different; on the one hand true wealth, in accordance with nature, belonging to household management, productive; on the other money-making, with no place in nature, belonging to trade and not productive of goods in the full sense. In this kind of money-making, in which coined money is both the end pursued in the transaction and the medium by which the transaction is performed, there is no limit to the amount of riches to be got.[2]

But when it comes to chrematistike, we see another law and are dealing with a disjoined pattern as

there is another kind of property-getting, to which the term money-making is generally and quite rightly applied ; and it is due to it that there is thought to be no limit to wealth or its acquisition.[3]

And as much as it is about money-making, it is also about power-buying. Mr Trump knew well and he bought himself into power – importantly he did so not by bribery (as far as known) and not by the pure impact of a massive propaganda show (which he surely knew to instrumentalise). The real reason is the utilisation of objective factors that shape society,[4] permanently establishing and re-establishing this hegemonic block which is grounded in exclusion and externalisation going hand in hand; and gojg hand in hand with inclusion of some kind. – Indeed, this is a power-basis that is massively making us believe in our own hangmen.

Looking for a concise understanding of this, it is perhaps more interesting to look at the question if

(…) California (will) Leave the US Following Trump’s Victory?

 

Not the answer is of central interest (as is in the case not the answer what finally will happen to the Brexit).

In particular two points are for a long-term perspective more crucial.

(i)

The first quickly to be captured, and we could even leave it with the term short-termism. Still, expanding a bit on this we have to see that ‘strategic decisions’ are increasingly taken as matter of ‘filling gaps’. The fact that gaps are becoming wider, opening more frequent and opening more and more in different spheres are clearly indicating the simple though often forgotten fact of the incoherence of capitalism – and velocity is part of it: the turnover ratio of political ideas reaches the turnover ratio of capital as it both does hand in hand with the headless chicken: high velocity, looking for and picking up corns as fast as possible, as many as possible and wherever it is possible as this is the only way to obtain what is there: here and now as the tomorrow may exist, but does not have anything it can promise and actually secure. Thus rational is to go for the hic and nunc: get the job, even if it is only a project for limited time; consume what you can consume now as this is the only way of guaranteeing that it is there, yu are there and the resources are there.

The question of class – and the supposed dissolution of class-structure – should be relocated into this context. The thesis of the levelling middle-classes (as we find it with reference to James Burnham and Helmut Schelsky)[5] is carrying far – and is conceptually also underlying many debates on precarisation. According to the latter we find – in short – as one of the main features of current developments the lack of stability and security as a ‘phenomenon’ that is increasingly emerging as progressively ‘moving to the centre of society’. At first glance this is surely the case and an increasingly worrying issue. However, should we stop here? Or should we move on[6] to the thesis of ‘proletarisation’? In social science relations are too often reduced to … relations, not acknowledging the relational character. The concept of relationality cannot be discussed in full length, but one of its implications has to be highlighted – one that is also in Marxist class theory not sufficiently considered. Of course, we find at the centre the issue of the property of means of production and, taking it in a wider understanding – the control over the means of production.[7] One important, though underexposed, socio-economic aspect of this is a complex dialectic of inclusion, externalisation and exclusion – a topic that has been developed in the political perspective by Antonio Gramsci and Nicos Poulantzas though.

(ii)

Taking up on such economic perspective brings us to the second aspect, where we are talking about the importance of emphasising the fact that inclusion and exclusion go hand in hand not as matter of being alternatives and not as matter of different spaces or groups. Leaving ‘peripheral’ and ‘niche aspects’ aside, the fundamental pattern is characterised by the fact on overall inclusionary character of development that not only creates new arrays of exclusion but – beyond this fact – depends on its ‘internal exclusion’. The mechanism is well-known from the making of the working class, which is based in the double freedom: disposition of other the labour power and lack of disposition of any alternative commodity for sale than exactly the labour power – Marx elaborated this in chapter 6 of the first volume of Capital.[8] We can formulate this in another way – from the side of a specific sort of ‘externalisation’: In order to be able to externalise executing own labour, by employing workers, it is necessary to grant the same bourgeois rights to the worker, making him/her bearer of the same individual rights. This is the continuation and completion of the bourgeois revolution against the feudal system of which Frederick Engels characterised the first stage by writing that the first needed

the kingdom of free competition, of personal liberty, of the equality, before the law, of all commodity owners.[9]

This means that “Power Relations” as matter of “’Exclusive Inclusion” – as I attempted in the chapter under this tile, writing about precarity – are thus at the centre of attention.[10]

As much as ‘neo-liberalism’ emphasises the need of open markets, and unregulated free-trade we have to acknowledge that this is indeed a strategy of such exclusive inclusion. The fact that this takes place and shape under conditions of a multilayered system: within nations (understood as national economies as captured by the German term of the ‘Nationalökonomie’), within regions (as we can see it for instance in the systematic perihperalisation of the Mediterranean belt of the European Union and globally as attempt to codify the wider centre-periphery-relationship by the Trade Agreements (e.g. TTIPP, TPP, TISA …). To make things a bit clearer – though seemingly more complicated – these three layers (spatiality) are going hand in hand with at least temporality (“pay tomorrow”), substantiality (“pay in another currency”, as for instance expressed in the relationship growth-environment) and not least sociality (“let others pay” – social classes and stratification).

What for instance Jeremy Riffkin and Paul Mason discuss as ‘overcoming capitalism’ – the one by prefiguring the The Zero Marginal Cost Society, the other by directly stating that The End of Capitalism has begun, suggesting for some as Thomas L. Friedman that The World is Flat, is surely not a straightforward process – and it would be foolish to reject what is said. And it would be equally foolish to solely continue by criticising the existing patterns. This said, does not mean to deny the need starkly uncover the old questions and to actually look at current escalations. However, it does mean to see this not simply as escalation of the system crisis (which it is though). Important is to see these developments as part of the overall renegotiation of “ins and outs”. But it means to emphasise that the development is not about exclusion alone. Instead – looking at Brexit and especially Califrexit clearly shows it – leaving is about allowing to stay. Califrexit is a project aiming on securing privileges, not a project against the ultra-conservatism of the future Trump-system. Thus we read in the mentioned Telesur-article

“In our view, the United States of America represents so many things that conflict with Californian values, and our continued statehood means California will continue subsidizing the other states to our own detriment and the the detriment of your children,” said Independence group “Yes California” on its website.

Yes California argues that the state’s population and economy, the sixth biggest in the world, “compares and competes with countries, not just the 49 other states.” The group claims that a split will give the state more control over its trade, security, as well as support diversity and the environment. It is pushing for a vote on the issue in 2019.

Understandable … ? To get a clearer picture we may want to dare a closer look at this ‘sixth biggest in the world’, presenting itself as luxurious, as egalitarian, as open:

This egalitarian style can clash with the Valley’s reality of extreme income polarization. ‘Many tech companies solved this problem by having the lowest-paid workers not actually be employees. They’re contracted out’, Schmidt explained. ‘We can treat them differently, because we don’t really hire them. The person who’s cleaning the bathroom is not exactly the same sort of person.’[11]

Don’t THESE Trump-adversaries have something of the modern slave-owners? Without doubt there is a huge danger looming, and we have to stay alert, being aware of the fact that this step of Trumpism may be the first to something that is much worse. Indeed, there is good reason to return to the question

What Produces Fascism: Preindustrial Traditions or a Crisis of the Capitalist State?

– a question that Geoff Eley already posed some longish time ago. But there is equally good reasons to watch out for the savours: The ‘old conservatives’ like the Merkels, Hollands and Renzis are not really there to offer an answer. The answer can be found, though, if we realistically look for the germs:

On the occasion of two conference – the Seminar ‘Continuidad y Cambios en las Relaciones Internacionales’ at ISRI (Instituto Superior de Relaciones Internacionales Raul Roas Garcia), Havana, looking at the Development

From 5 giant evils to 5 giant tensions – the current crisis of capitalism as seedbed for its overturn – or: How Many Gigabyte has a Horse?

and at the Shanghai Forum, China and Latin America. The Development Partnership of Trans-Pacific-Section looking at

Growth and Development – Complement or Contradiction? Challenges for a Global Agenda

I outlined an approach that works around

five giant tensions, namely the overproduction of goods and the turn of goods into ‘bads’; societal abundance versus inequality of access; abundance of knowledge and its misdirection towards skills; the individualisation of problems and their emergence as societal threat and the complexity of government and the limited scope of governance.[12]

Deeper analysis is necessary, the search for a fundamental change of thinking in economics too – something that will also be a major challenge for social quality thinking.[13]

============

[1] Sophocles, 442 B.C.E.: Antigone, translated by E. H. Plumptre. Vol. VIII, Part 6. The Harvard Classics. New York: P.F. Collier & Son, 1909–14; Bartleby.com, 2001; http://www.bartleby.com/8/6/antigone.pdf

[2] Aristotle, app 335 BC: The Politics; Translated and with an Introduction by T.A. Sinclair; Harmondsworth/Baltimore/Victoria: Penguin, 1962/1972: 43 f.

[3] ibid.: 41

[4] saying utilisation’ does not necessarily mean that this is happening consciously, with a ‘strategic reference’

[5] These references are too often forgotten – finally sociology and social science joined short-termism …

[6] … or return …

[7] The discussion of managing classes will be left out here.

[8] Marx, Karl, 1867 Capital, volume 1, chapter 6: https://www.marxists.org/archive/marx/works/1867-c1/ch06.htm

[9] Engels, Frederick, 1880: Socialism: Utopian and Scientific; https://www.marxists.org/archive/marx/works/1880/soc-utop/ch03.htm

[10] Precarity – An Issue of Changed Labour Market and Employment Patterns or of Changed Social Security Systems; in: Herrmann, Peter/Bobkov, Viacheslav/Csoba, Judit (eds): Labour Market and Precarity of Employment: Theoretical Reflections and Empirical Data from Hungary and Russia; Vienna: WVFS; 2014: 11 – 66; here 25 ff.

[11] Freeland, Chrystia, 2012: Plutocrats: The Rise of the New Global Super Rich and the Fall of Everyone Else; New York: The Penguin Press

[12] see also Herrmann, Peter, 2015: Crisis and no end? Re-embedding Economy into life and nature; in: Environment and Social Psychology (2015)–Volume 1, Issue 1: 1-11; http://esp.whioce.com/index.php/ESP/article/download/01003/pdf_3

[13]            see Herrmann, Peter, forthcoming:

Mitschnitte des Seminars zur “Einführung in die Wirtschaftswissenschaften” auf der attac Sommerakademie

Ein (unbearbeiteter) Audio-Mitschnitt des dreiteiligen Seminars auf der attac-Sommerakademie 2016 in Düsseldorf findet sich nun auf youtube.
In dem Seminar ging es vor allem um die Darstellung von Grundbegriffen und Grundkonzepten der Wirtschaftswissenschaft. Dadurch soll den Teilnehmern geholfen werden, aktuelle Berichterstattungen und Diskussionen genauer zu begreifen und die Konzepte zu verstehen, die hinter den verwendeten Begriffen wie Wert, Markt, Einkommen, Geld, Einkommen stehen.
Gegliedert ist das Angebot in drei Teile:
– (Vor-)Klassische Wirtschaftslehre: Die Herausbildung einer gesonderten Wirtschaftswissenschaft (Merkantilismus, Phy- siokraten, Klassik . . .)
– Der Streit um Wert und Verteilung: Markt und Staat (Keynesianismus und Neoliberalismus …)
– Perspektiven: Kann eine neue Wirtschaftswissenschaft jenseits von Wachstum und Vollbeschäftigung entstehen? (De-Growth, Vier-in-Einem-Perspektive, Soziale Qualität …)Ein kurzer Einführungstext und eine Zitat-Sammlung ist hier zu finden.

The Limits to Cheating History – Changing the Reference for Accounting

I had been asked by the Academy of Social Sciences of Shanxi Province to write a contribution for their journal – some special challenge not because of the academy but as accounting is surely not my special working area. Still …, well …, challenges are there to be taken up, right?

The aim of the present article is to reflect on accounting in the light of the general developmental perspectives. From here, it will be concluded that accounting is requested to develop new perspectives, opening ways for socially responsible accounting.

The five developmental frictions are fundamentally defining factors in two respects:

(1) with their consideration we will be able to substantialise accounting, assessing it as means that is not neutral

(2) this way the consideration of these ruptures also allows us to see accounting as means that is systematically hiding – or disclosing – mechanisms behind the applied theory of value.

Such perspective highlights not least the need for questioning a fundamental presumption, namely the static perspective that is implicit in accounting. Though being employed with cash, finance, material flows and others, the fact that accounting deals with a given structure – the household – brings about a static perspective of self-referentiality.

I hope you find some inspirations in it.
The English draft document can be found here.
I do not know about possible requests for changes and the document will be translated (poor translator …).

Political Economy

Three videos had been uploaded, presenting in German language the foundations of political economy.- Thank you to MrMarxismo.

 

Grundlagen der Politischen Ökonomie – Prof. Dr. Peter Herrmann – (attac Sommerakademie 2015 in Marburg). http://www.attac.de/bildungsangebot/s… – Sowohl in der Krisenanalyse der vergangenen Jahre als auch in der allgemeinen Diskussion und Darstellung von wirtschaftspolitischen Fragen finden sich oft zwei grundlegende Fehlannahmen:
o Vorgeschlagen wird ein Wirtschaftsverständnis, bei dem weitgehend ausgeblendet wird, dass es sich um inhärent soziale Verhältnisse handelt.
o Vorgeschlagen wird, dass es sich um nichtpolitische Verhältnisse handelt, bei denen es sich um reine Sachkonstellationen handelt – im Extrem können diese in Algorithmen gefasst werden.
Oft wendet sich gerade die linke Diskussion gegen solche Positionen, ohne die tatsächlichen Konzeptionen in Rechnung zu stellen.
Das Seminar will mit der Darstellung Klassischer, Marxistischer und Keynesianischer Konzepte zumindest die Grundbegriffe aufbereiten und damit auch Alternativen der Wirtschaftspolitik systematischer verstehbar zu machen.
Themen:
o Klassische Politische Ökonomie – Die Rechtfertigung des Nationalismus
o Keynes – Modernisierung der Nationalökonomie vor dem Hintergrund der Neuordnung der Welt
o Marx – Proletarier aller Länder – (wie) könnt ihr euch einigen?
Im Zusammenhang mit diesen Grundverständnissen werden auch weitere Konzepte (etwas Finanzialisierung, Lange Wellen etc.) aufgearbeitet.

Shanghai Forum 

Under the title

Growth and Development – Complement or Contradictions

I looked at some challenges for a global agenda.

This contribution had been part of the  China and Latin America round table, organised by the Centre for BRICS Studies, Fudan Development Institute in the framework of the Shanghai Forum 2016.

The participation was also the public commencement of the cooperation between the Centre for BRICS studies and the BRICS laboratory at EURISPES, Rome.

A background document can be found here, a recording of the presentation can be found here.

From my contribution to the discussion it should be added that the current “shift towards China and the BRICS” should be seen in a world systems perspective, indicating the need of a move away from the mode of production that leaves the old centres EU and USA behind: their ability to offer answers to today’s challenges. The challenge we face together, however, is not about shifting to a new centre but to develop a new overall systemic approach to antroponomic challenges. The Brazilianisation, going hand in hand with the so-called trade agreements (TTIP …) should be dismantled as what they are: protectionist systems that are increasing exclusionary competition- making this point was actually welcomed by many of the participants from Latin America.

Zsuzsa Ferge

I am glad that I could make a small contribution* to celebrate this great colleague – it is always a pleasure to meet a person that is ready to stand up, to move things – to sit down – to seriously discuss issues, and to be around – just to have a good time together.  Zsuzsa, thank you!!

 

* I cannot set the link to the actual publication

Unveiling Lines Behind Dichotomies_Warsaw 4/2016

Presentation in Warsaw, April 6th 2016:

International Conference

Precarious Places: 

Social, Cultural and Economic Aspects of Uncertainty and Anxiety in Everyday Life

The recording of the presentation can be found here

Abstract

A fundamental methodological problem is the specific relevance of one of the antagonisms of capitalism, though not replacing the meaning of class-conflict but redefining and classifying it in the light of the developmental stage of the means of production: Far too little attention is paid to the contradictory character of individualisation and socialisation as it is inherent in the political economic system.
Polányi’s main argument of disembedding is inherently linked to the somewhat contradicting tendency of colonialisation which can also be seen as specific form of embedding.
The juxtaposition or dichotomisation of individualisation-socialisation is a different presentation of control of the underlying process. The term inner colonialisation gains special meaning not least in the understanding of the land grab and its metaphoric use as matter of “commons”. As such it will be used in the presentation as means for investigating 5 major myth and 5 major tensions that allow us to go beyond considering the 5 giant evils (Beveridge) that guide the welfare state debate.
[The author gratefully acknowledges the generous financial support from Zhejiang University Fund, Hangzhou, PRC and Bangor College China, Changsha, PRC]

Liberals

We frequently talk about neoliberalism – and the disastrous implication its proponents cause. Indeed, there is the need to criticise these policies. But preparing my presentation for Hungary, soon coming up under the title

Precarity as Part of Socio-Economic Transformation – New Perspectives

 , and of which the abstract can be found already here, I am getting another time aware of the fact how important it is, to overcome the danger not to block oneself by sohrt-termism. I pointed this frequently out, for instance when looking together with Marica Frangakis for The need for a radical ‘growth policy’ agenda for Europe at a time of crisis; or asking  if we face a Crisis and no end?, looking for the Re-embedding economy into life and nature. Already at an early stage I asked Crisis? Which Crisis? aiming on Assessing the Current Crisis in a More Fundamental Way. Ireland as a Case Study.

In empirical terms, some of this may be outdated – actually I am currently preparing also the report for the Max-Planck Institute for Social Law and Social Policy in Munich which I am going to visit during the upcoming weeks – it is the annual report on legal changes in Ireland.

There is one point, we may actually learn from the liberals, expressed by David Lloyd George.

Don’t be afraid to take a big step if one is indicated. You can’t cross a chasm in two small jumps.

It may well be questioned if he, as liberal, would agree with proposals of today’s liberals – I have my doubts. But in any case, a radical shift in thinking and acting is needed, anything else will mean not more and not less than death, even if it may mean to Die Slowly:

He or she who abandon a project before starting it, who fail to ask questions on subjects he doesn’t know, he or she who don’t reply when they are asked something they do know,
die slowly.
Let’s try and avoid death in small doses,
reminding oneself that being alive requires an effort far greater than the simple fact of breathing.

There should be no place for it, for the Lentamente Muore.