Social Economics

Exchange Rate Depreciation and Real Wages

By Prabhat Patnaik

Republished from People’s Democracy.

MOST people, including even trained economists, fail to appreciate the fact that an exchange rate depreciation, if it is to work in reducing the trade deficit in a capitalist economy, must necessarily hurt the working class by lowering the real wage rate. A capitalist economy, looking at it differently, improves its trade balance, for which it must improve its competitiveness, by lowering the real wage rate; and an exchange rate depreciation is one way of doing so.

Most textbooks in economics do not mention this fact. They are written from the point of view not only of bourgeois economics in general, but of a bourgeois economics that invokes a model of a capitalist economy that is far removed from reality. They see this economy as consisting of a set of markets in each of which a price-rise is supposed to lower excess demand. The foreign exchange market is one such; and the text books simply say that as long as the demand and supply curves have the right shape in this market (so that excess demand is lowered through a price-rise), an exchange rate depreciation, which is the same as a rise in the price of foreign exchange, lowers the excess demand for foreign exchange, namely lowers the trade deficit. This is where their analysis of an exchange rate depreciation usually ends; and then they move on to discussing under what conditions the curves have the right shape.

This entire mode of analysis however is flawed. Most economies need imported inputs, usually oil and natural gas; the oil-producing economies on the other hand need a range of non-oil raw materials which they cannot grow themselves but cannot do without. The imported inputs,together with labour and domestically-produced current inputs, constitute the list of current inputs. And in all capitalist economies, the prices of commodities are determined as a mark-up over the costs of current inputs per unit of output. This is of course true under monopoly capitalism. This is how oligopolists operate; they fix prices in this manner and let the level of demand at this price determine what is produced. Some argue that capitalism even in the earlier period was characterised by such price-fixing, and that the classical political economists’ conception of free competition (which Marx took over) where the producers accepted a price impersonally determined by the market, was not a realistic picture. But this discussion is not germane to the present issue; the basic point here is that in any modern economy, prices are fixed by oligopolists as a mark-up over the unit prime cost.

Now, suppose a currency depreciates by 10 per cent; then the local currency prices of all imported inputs go up by 10 per cent, and therefore the part of unit cost arising from imported inputs in the production of any final good goes up by 10 per cent. If real wages were to remain unchanged, then money wages will have to keep going up proportionately as prices rise; and in such a case prices will ultimately rise by 10 per cent in local currency, with money wages also rising by 10 per cent and hence unit labour cost too also rising by 10 per cent. (The unit prime cost arising from domestically-produced inputs rises in the same ratio as the final produced goods price and therefore will also rise, automatically, by 10 per cent). But if local currency prices rise by 10 per cent following an exchange rate depreciation of 10 per cent, then this means there has been no real effective depreciation whatsoever; and hence not an iota of difference will be made to the trade deficit.

If domestic prices rise by 10 per cent following an exchange rate depreciation of 10 per cent, then the prices of export goods in terms of foreign currency would remain unchanged; and hence there is no question of any increase in the quantity of exports owing to their becoming cheaper. Likewise, if domestic prices rise by 10 per cent following an exchange rate depreciation of 10 per cent, then the local currency price of imported goods would rise by 10 per cent, the same as domestically produced goods, in which case there is no question of any reduction in the quantity of imports. It follows therefore that with no increase in the quantity of exports and no decrease in the quantity of imports, the trade deficit measured in foreign currency remains unchanged.

An absolutely essential condition for an exchange rate depreciation to work therefore (and this is only a necessary condition with no guarantee that its fulfilment will actually improve the trade balance) is that domestic prices must not rise at the same rate as the price of foreign exchange owing to an exchange rate depreciation. And this can happen only if money wages do not rise by the same proportion as the final goods prices; that is, if there is a fall in the real wage rate.

This can be seen as follows. If, say, a 10 per cent exchange rate depreciation is to make any difference to the trade balance, then the domestic prices must rise by less than 10 per cent, say, by 7 per cent, for only then would there be some real effective depreciation. For this to happen, the unit prime cost must rise by 7 per cent, as the mark-up by the capitalists is a given ratio. Now, the unit prime cost has two relevant components: the unit labour cost and the unit imported-input cost (unit home-produced input cost rises in the same ratio as the final goods price and therefore need not be considered separately here). Therefore, for the unit prime cost to rise by 7 per cent, since the unit imported-input cost rises by 10 per cent, the unit labour input cost must rise by less than 7 per cent, say by 5 per cent. With given labour coefficients in production this can happen only if money wages rise by 5 per cent, when prices rise by 7 per cent; that is, when real wages fall.

Of course, there can be real effective exchange rate depreciation, with domestic prices rising by less than the 10 per cent rise in the price of foreign exchange, even with real wages remaining unchanged, if the profit margins of the capitalists could be lowered. But this is precisely what is not possible in a capitalist economy. This can happen in a socialist economy where the enterprises, mostly State-owned, can be directed to charge lower profit margins, so that a real effective exchange rate depreciation can be brought about with no fall in the real wage rate; but in a capitalist economy, the profit-margin is not amenable to any reduction. A real effective exchange rate depreciation therefore necessarily imposes a squeeze on the real wage.

But even assuming that the workers are not strong enough to resist such a reduction in their real wage rate, there is no reason to expect the trade balance to improve: if the trade balance is to improve then domestic employment and output will increase, but this would mean a reduction in output and employment in some other countries at whose expense this economy would be increasing its market-share. If those countries retaliate by depreciating their exchange rates in the same proportion, then there would be no change in market shares and no change in trade balances either.

When the competing countries depreciate their exchange rates in retaliation, the real wages go down in those countries as well. This mode of reducing trade deficit therefore, when no country is making any independent effort to raise the level of demand through income redistribution in favour of the workers or through larger government expenditure, simply results in each squeezing its workers to no avail.

The attempt to raise domestic employment at the expense of rivals, through an exchange rate depreciation (that is supposed to work through reducing the trade deficit) is called a “beggar-my-neighbour” policy. The pursuit of “beggar-my-neighbour” policies by several capitalist economies raises employment nowhere while reducing the real wage rate everywhere.

But that is not all. The reduction in real wages can, under certain circumstances, even lead to a reduction in employment everywhere because of the associated reduction in aggregate demand. It is a symptom of the irrationality of capitalism that a group of countries vying with one another to improve their positions by pursuing “beggar-my-neighbour” policies, may ultimately end up with each country becoming worse off than before.

It is a sign of the hopelessness induced by the current capitalist crisis, that, notwithstanding the experience of the 1930s, voices are audible in the US today which seek a revival of the US economy through a depreciation of the dollar.

Tipped and Tricked: It's Time To Pay Service Workers A Living Wage

By Liam Easton-Calabria

Republished from Socialist Alternative.

If you’ve recently been out to eat, grabbed a cup of coffee, taken a Lyft, or gotten a haircut, you’ve likely given someone a tip. Leaving a tip as a sign of appreciation is a regular practice in the U.S., and is more common here than any other country in the world. Tipping has become increasingly prevalent across different service sector jobs, and as wages have stagnated and the cost of living has increased dramatically, tips make up an important part of the income of roughly five million workers in the U.S. While tipping is a lifeline for workers in today’s current working conditions, the economic model of tipping as a whole is anti-worker and negatively impacts both the worker and the customer. 

Most tipped workers would say that they really need tips. A restaurant server, thought of as the “classic” tipped worker, usually earns a majority of their income through tips, while getting a subminimum wage from their employer. In many states, this subminimum wage is only the federal minimum of $2.13 an hour. Servers are therefore wholly reliant on customers at restaurants to tip between 15-20% of sales in order to make ends meet. When customers tip below this, or not at all, it can put servers and their families in financially strenuous positions. The difference in tipped wages month to month can determine whether a family is able to pay their rent.

A Growing Problem

Tipped work has changed over time, however, and tips now play a larger role in work outside of just the restaurant industry. There are more service jobs than ever before. This March, the leisure and hospitality sector saw the most growth with 72,000 new positions, while the manufacturing, construction, and retail sectors all saw job losses. An economy dominated by service jobs means many more workers holding multiple jobs in precarious industries. The custom of tipping has expanded to include thousands of counter-service workers, including baristas and food service, and gig workers that work for companies like Uber or Doordash. These workers make minimum wage and typically make far less in tips than servers. The pathetic state of the $7.25/hr federal minimum wage means tips are still vital to making rent, buying groceries, and generally scraping by. In the age of persistent inflation and stagnant wages, even $15/hr is a poverty wage across the U.S. To many workers, tips make it possible to survive, and therefore tipping itself can feel like an act of solidarity between working people. 

However, at the heart of the matter, tipping allows bosses to shove the burden of providing a subminimum wage onto other workers, i.e. customers, generating even more exorbitant profits off the cheap labor of their employees. This relationship becomes abundantly clear when looking at the origins of the custom. Tipping began in the U.S. after slavery was abolished following the Civil War. Employers in the service industry took advantage of the limited economic opportunity for Black people recently freed from slavery by letting them “work” but paying them no wage at all. Instead, bosses pressured customers to provide a small extra charge to their server. The extreme racism of the post-Reconstruction-era U.S. allowed employers to continue profiting off the free labor of an underclass of workers and continue a slavery-like business model. 

Tipped work today has sanitized its image and is a far cry from the horrors Black workers endured in the post-Reconstruction period. But the power imbalance created by the tipping system remains the same, pitting service workers against working class customers. Customer-facing tipped workers endure far greater levels of harassment and exploitation than their non-tipped counterparts. The reliance we have on our tips means we are much more vulnerable to mistreatment and are financially incentivized to withstand verbal and even physical abuse while on the job. Whether a customer has an angry outburst about their overcooked burger or makes a sexist comment to their barista, the tipped worker has to judge how their response will affect the tips from their customer and those around them. Smiling through these types of situations is often the choice that workers have to make. Some of my coworkers at Starbucks would actually switch positions or step off the floor when customers with a record of harassment were seen waiting in line, but this wasn’t always possible Far from being on the side of their employees, managers and supervisors are financially incentivized to downplay or ignore instances of mistreatment and penalize workers who speak up.

Sexual harassment is one of the biggest abuses increased by the tipping system. All tipped workers report higher rates of sexual harassment, but women are by far the most affected. 71% of female restaurant workers report having been sexually harassed on the job, and not only from customers – 41% report facing harassment from a manager or supervisor! Our low wages make the financial exchange from customer to employee extremely important, and in our deeply sexist capitalist society, that power imbalance manifests in extreme objectification of women service workers. In a recent trend on TikTok, female servers test out and report back that wearing their hair in pigtails results in significantly greater tips. While these servers recognize that this is because men are sexually infantilizing them, many say they are going to keep wearing their hair up after testing the “pigtail theory.” As one server put it with a shrug, “single mom,” pointing to herself. This trend is just one of many examples of how women in the service industry are pressured to withstand abuse and even normalize their own objectification.

Gig workers like Uber, Lyft, and Doordash drivers face a different side of the problem: consistent undertipping. While it has long been expected that customers leave a solid 20% tip for taxi drivers, the tradition hasn’t translated to app drivers in the same way. Multiple reports show that Uber drivers average under 10% in tips. This may be because of the depersonalization of the app experience or because these companies pile on junk fees that inflate the price of their service. App drivers are subject to very inconsistent wages because of fluctuating demand, especially since the pandemic. This, compounded by the high price of gas, means tips are all the more important for drivers, sometimes to just break even for a food delivery. Black and Hispanic workers are much more likely to work these jobs than their white counterparts. 

Make The Bosses Pay!

Ultimately, customers are paying the price for this tipping culture. The Square app may give a suggested tip amount of $1, $2, or $3 when a worker takes 30 seconds to scoop your ice cream or pour your black coffee, and even suggests a tip for the server staff of 20% when picking up food, not dining in. Our tips go to workers (usually), but allow the bosses to keep wages at the bare minimum while lining their pockets. The point-of-service tipping model pressures the customer to tip on things that we may not have in the past, and with companies using inflation as an excuse to blatantly price-gouge us, this extra cost can sting. The anxiety that comes with this has come to be known as “guilt-tipping” because most people know service workers deserve more than what they’re getting, but rightly feel as though they shouldn’t be the one to pay for it.

For the time being, we absolutely shouldn’t stop tipping. We should stand with unionized Starbucks workers fighting for credit card tipping, as it would dramatically improve workers’ lives and especially because it’s been used as a bargaining chip against the union drive. Making the bosses pay for our labor, not other workers, will require mass unionization of the service industry, built on campaigns for the best possible wage increases, so we can begin to phase out this anti-worker custom and replace it with a stable and livable income for all.

Petro/Márquez and the Question of Democratic Socialism in Latin America

By Juan Gonzalez Valdivieso

On September 11th, 1973, a US-backed military coup overthrew the democratically elected government of Chile led by Socialist Party leader Salvador Allende. Given his own success, Allende believed that electoral means could bring about socialist ends. Despite this optimism, the coup took his life after he responded to the attack by staying inside the presidential palace to defend it at all costs. Following the tragedy, Cuban revolutionary and then-Prime Minister Fidel Castro said the following:

“The Chilean example teaches us the lesson that it is impossible to make the revolution with the people alone. Arms are also necessary! And that arms alone aren’t enough to make a revolution. People are also necessary!”

“Chilean revolutionaries know that now there’s no alternative other than revolutionary armed struggle. They tried the electoral way — the peaceful way — and the imperialists and reactionaries changed the rules of the game. The reactionaries trampled the Constitution, the laws, the Parliament — everything.”

Twenty-five years after Castro uttered these words, Latin America experienced a phenomenon now known as the “Pink Tide.” This refers to a wave of elections that saw many socialist executives take power democratically across the region. It began with the 1998 landslide victory of Hugo Chávez in Venezuela. Chávez was followed by Luiz Inácio Lula da Silva of Brazil, Evo Morales of Bolivia, and Cristina Fernández de Kirchner of Argentina. Many of the region’s more robust electorates soon rejected this trend, however — namely those of Brazil, Uruguay, Ecuador, and Argentina -- electing conservative leaders soon after. It wasn’t until the late 2010s that a second Pink Tide took hold — this time, featuring the likes of Andres Manuel López Obrador in Mexico, Pedro Castillo in Peru, Gabriel Boric in Chile, and, most recently, Gustavo Petro in Colombia. Petro’s election last year rocked the status quo, as decades of pendular motion between liberals and conservatives had cast aside the prospects for socialist leadership.

Petro is a product of the leftist guerrilla movements that emerged in Colombia during the mid-1960s, a development in political militancy largely born out of the 1959 Cuban Revolution. From 1974 to 1987, he was a member of the 19th of April Movement — colloquially referred to as M-19 — an urban guerrilla effort with the goal of expanding electoral democracy in the country via armed struggle. The future premier would go on to pursue a prolific political career, serving in the Colombia House of Representatives from 1991 to 2006, the Senate from 2006 to 2012, and as mayor of the capital Bogotá from 2012 to 2015.

Petro’s chosen vice president, Francia Márquez, is an equally momentous figure. A native of Yolombó — a small mountain town located in the Cauca region — she began working as an environmental activist at 13, participating in the Ovejas River defense from 1994 to 1997, an effort to prevent the development of dams in an important water source for her community. In 2014, Márquez led a direct action of 80 Afro-Colombian women. The demonstrators marched from the Cauca to Bogotá, demanding an end to illegal mining in the region.

Their efforts were successful. By the end of 2016, the Colombian government had disassembled and removed all illegal mining machinery. This victory earned Márquez the 2018 Goldman Prize for excellence in environmental protection. She is also the first Afro-Colombiana vice president in the nation’s history.

During their presidential run, Petro and Márquez outlined a platform of five reform agendas:

  1. Labor: shorten the workday, increase access to overtime pay, and regulate short-term contract work.

  2. Pensions: provide a guaranteed 223,000 Colombian pesos per month — roughly $155 adjusted for purchasing power — to the 75% of Colombians whose incomes currently do not qualify for a pension.

  3. Taxation: raise $5.6 billion in revenue by raising wealth taxes, eliminating corporate exemptions, and raising export tariffs on oil and gas.

  4. Political System: prohibit private funding of political campaigns and lower the age requirement for congresspeople.

  5. Healthcare: transfer the responsibility of selecting private health providers from individuals to municipal and provincial governments.

Since the inauguration of Petro and Márquez in August of last year, only tax reform has found legislative success, having passed in November of 2022 with a revised fundraising goal of $4.2 billion. The labor and pension reforms remain in congressional limbo while the political reform has already died, having been canceled by Petro in March of this year after legislative changes severely transformed the proposal from its initial iteration. As for healthcare, the reform has prompted notable scrutiny and opposition by all parties, including President of Congress and Petro ally Roy Barreras. This backlash caused Education Minister Alejandro Gaviria to resign. Revised language has since softened the proposed healthcare reform considerably.

Beyond the minutiae of legalese, however, the ambitious aims of the administration’s reform agenda have placed a legitimate target on the backs of Petro and Márquez. At best, they’ve become the subjects of inflammatory rhetoric and baseless criticism. At worst, they’ve become victims of attempted acts of violence.

While campaigning, Petro had to cancel a visit to the nation’s coffee-growing region after learning of a credible death threat against him. The threat came from La Cordillera, a paramilitary organization with ties to the drug trade, law enforcement, the Colombian military, and far-right politicians. Márquez has faced similar challenges.

She narrowly survived two assassination attempts this year alone. The first happened in January when seven kilograms of explosives were found near her home in the Cauca. The second took place in March, when explosives were found near an airport Márquez was passing through in the Choco region.

Since then, right-wing demonstrations against Petro and Márquez have become commonplace. The most notable of which took place on May 5th. The event was held at Bogotá’s Plaza de Bolívar, and featured thousands of retired military personnel as well as law enforcement officials. The occupational character of the crowd triggers bitter déjà vu for anyone familiar with democratic socialist history in Latin America at large. After all, the successor to Allende in post-coup Chile was none other than Augusto Pinochet, the commander-in-chief of the Chilean Army during Allende’s short-lived presidency.

Luckily, this correlation has not gone unnoticed, as Petro himself took active steps to counteract the trend’s more worrying manifestations late last month. On April 26th, he announced the resignation of seven ministers in his cabinet in hopes of removing the internal dissonance and gridlock the cohort had been struggling with, particularly with regard to his proposed health reforms. In early May, Petro also tweeted out, saying, “Why are they conspiring for a coup? Because they are terrified that we will end impunity. The truth intimidates them so much that they despair.”

Cautionary measures and public denouncements notwithstanding, Petro and Márquez should brace for what is to come. They must embrace the optimism of Allende alongside the cynicism of Castro. For the belief in electorally derived socialism cannot mean the dismissal of its most glaring shortcomings. Only by taking heed — pushing their agenda onward while remaining wary of undemocratic attacks — will this administration entrench a legacy of democratic socialism in Colombia and serve as a success story for prospective socialist nations across the region.

Juan Gonzalez Valdivieso is a Colombian Marxist. In his writing, he seeks to interrogate the nuances of socialist thought and praxis.

Biden Calls Cuba “Terrorist” While The People Demand An End to U.S. Terrorism Against Cuba

[Pictured: Thousands of Cubans gather to celebrate the country’s National Rebellion Day, a yearly commemoration of the Cuban revolution]

By Calla Mairead Walsh

While Biden doubles down on Cuba's designation as a so-called “State Sponsor of Terrorism," the US people are calling for an end to US terrorism and sanctions against Cuba.

On Tuesday, May 23rd, the State Department reported that Cuba — along with Iran, Syria, the Democratic People’s Republic of Korea, and Venezuela — are not “not cooperating fully” in the United States’ supposed fight against terrorism. The Biden administration officially designates Cuba as a “State Sponsor of Terrorism” (SSOT), as well as Iran, Syria, and the DPRK.

Literally 0% of Americans view Cuba as a serious threat, and the Biden administration has provided no evidence of Cuba supporting terrorism in any way. Cuban and American officials even met earlier this month in Havana to discuss cooperating on anti-terrorism measures. So why is Biden keeping Cuba on the “State Sponsors of Terrorism” list?

Sixty-four years after the triumph of the Cuban Revolution, the United States is still waging an economic and media war against Cuba. The administrations of Trump and now Biden have weaponized the “State Sponsors of Terrorism” list to isolate Cuba internationally and justify continuing the genocidal American blockade.

The impacts of being labeled a “State Sponsor of Terror”

It goes without saying that the United States is the biggest “State Sponsor of Terrorism” in the world. The US is the only country with over 800 foreign military bases and spends more on its military than 144 countries combined. The US has launched 251 foreign military interventions since 1991. A report recently published by Brown University shows that the post-9/11 wars the US waged in Iraq, Afghanistan, Syria, Yemen, and Pakistan killed at least 4.5 million and displaced 38 to 60 million people. But the word “terrorist” is almost never applied to the US government. The term is highly politicized and subjective in the United States, used to demonize internal and external enemies and justify waging war on them, be it by bombs or blockades.

Designating Cuba as “terrorist” exacerbates the already devastating impacts of the American blockade, which has stolen an estimated $144.4 billion from the Cuban economy from the early 1960s to 2020, according to the United Nations. The United Nations Economic Commission for Latin America and the Caribbean (ECLAC) determined that US sanctions on Cuba “constitute the most severe and prolonged system of unilateral coercive measures ever applied against any country.”

On top of the blockade, Cuba’s “terrorist” designation restricts American foreign assistance, exports of dual-use items, and loans from the World Bank. It has also prevented Cuban Americans from transferring money to family in Cuba, stopped faith-based groups from shipping humanitarian supplies, and inhibited American universities from working with Cuban academics and institutions. Non-US citizens who have traveled to Cuba, a supposedly “terrorist” country, also have restrictions on visas to enter or visit the United States.

Despite being a list created and maintained only by the United States, because of its enormous power over the global financial system, the designation inhibits the ability of Cuba — and the other countries listed — to trade normally with the rest of the world. Banks don’t want to risk giving loans to a country labeled as “terrorist” by the hegemonic United States. The United States has sued foreign companies and banks for hundreds of millions of dollars for violating American sanctions on Cuba, and many major international banks no longer provide services to Cuba for fear of retaliation. The blockade as a whole is extraterritorial and thus violates international law.

The history of Cuba’s “terrorist” designation and US terrorism against Cuba

President Ronald Reagan first added Cuba to the terror list in 1982, citing Cuba’s support for national liberation movements across the world, such as giving military aid to Angola to defeat a US-backed invasion by the South African apartheid regime. Meanwhile, the United States was backing violent terrorism to sabotage the Cuban Revolution.

As Cuba expert Professor William LeoGrande said, Cuba’s “terrorist” designation “is ironic because in the 1960s, the CIA sponsored assassinations attempts, sabotage and paramilitary raids against Cuba—what today would be called state-sponsored terrorism—and CIA-trained Cuban exiles continued such attacks for the next several decades.”

Luis Posada Carriles, the mastermind behind many of these US-backed terrorist attacks — including the bombing of Cubana Flight 455 in 1976 and a series of hotel bombings in 1997 — died peacefully in Florida in 2018, protected by the US government and lionized by the right-wing Cuban-American community in Miami. But Cuba, according to the State Department, was the real terrorist.

During President Barack Obama’s second term, he pursued a policy of “rapprochement” with Cuba, restoring diplomatic relations and lifting some travel and trade restrictions. The Obama administration removed Cuba from the terror list, saying, “we will continue to have differences with the Cuban government, but our concerns over a wide range of Cuba’s policies and actions fall outside the criteria that is relevant to whether to rescind Cuba’s designation as a State Sponsor of Terrorism.”

Obama’s “friendly” policy was still aimed at regime change through a new set of tactics, and he continued funding covert operations and “democracy promotion” programs aimed at undermining the Cuban Revolution. Nevertheless, rapprochement had positive effects for the Cuban and American people, especially renewed travel and people-to-people exchanges between the two countries. All of this was undone by Donald Trump.

Trump tightened the blockade and added an additional 243 sanctions on Cuba. Then, just four days after the January 6th insurrection, Trump and his neoconservative Secretary of State Mike Pompeo redesignated Cuba as a “State Sponsor of Terrorism.” They made this last-minute move in bitter spite of Cuba, but also to create a political obstacle for President Biden, who would be pressured from different sides to keep or remove Cuba’s “terrorist” designation.

Biden and Trump’s hawkish Cuba policy

Many Cubans and Americans alike hoped Biden would re-normalize US-Cuba relations as he promised during his campaign, when he said he would “promptly reverse the failed Trump policies that have inflicted harm on the Cuban people and done nothing to advance democracy and human rights.” But Biden has changed little. He slightly eased some Trump-era restrictions in May 2022 but has also renewed his predecessor’s harshest measures. As a result, Cuba — also impacted by the pandemic and the war in Ukraine — is experiencing its worst economic crisis and fuel shortages in decades.

The economic crisis in Cuba is fueling a political crisis for Biden at the border, as more Cubans than ever are leaving for the United States to escape the crushing impacts of sanctions. A group of Democratic lawmakers is urging Biden to lift Trump-era sanctions on Cuba and Venezuela to slow the surge of migration, but Biden has not moved a finger. Instead, he follows the line of conservative Cuban-American lawmakers on Cuba policy, especially Chairman of the Senate Foreign Relations Committee, Democratic Senator Bob Menendez of New Jersey, who Biden needs to push his appointments through the confirmation process.

Menendez, who is currently under investigation for corruption, lambasted his fellow Democrats’ push against Trump-era sanctions and claimed that the Cuban and Venezuelan governments — not US policy — were solely responsible for the economic crises in those countries. The Washington Post reported that “Privately, senior Biden officials have conceded that picking a fight with [Menendez] is not worth whatever benefit might come from relaxing sanctions on [Cuba and Venezuela], even if it would fulfill a campaign promise Biden made to restore President Barack Obama’s policies toward Cuba.”

Despite Biden claiming to care about “human rights” and “supporting the Cuban people,” he is not changing his internationally condemned policy — which violates Cuba’s sovereignty and human rights — because doing so is not politically expedient.

Activists who support normalizing US-Cuba relations have concentrated on pressuring Biden to remove Cuba from the terror list because, as Noam Chomsky and Vijay Prashad wrote in Peoples Dispatch, “Biden can remove Cuba from this list with a stroke of his pen. It’s as simple as that” — unlike the blockade, which is a complex amalgamation of hundreds of different laws in the hands of Congress.

In the State Department’s most recent public remarks on Cuba, they have doubled down on Trump’s policy of keeping Cuba on the list. Earlier this year, far-right Florida Republicans Maria Salazar and Marco Rubio introduced the FORCE Act in the House and Senate, respectively, to codify into law Cuba’s “terrorist” designation so that it could only be removed by Congress, not the President alone.

And not only that. Cuba would have to meet impossible criteria, completely changing their political and economic system to be what the United States defines as “free,” in order for the designation to be lifted. As People’s Dispatch wrote, “Essentially, Salazar is demanding that the Cuban people overthrow their own government and overturn the Cuban political system which has been built by the people and for the people over the last 60 years.”

It could not be more clear that the terror list has nothing to do with preventing actual terrorism; rather, it is about harming enemy states of the US. In March, when Salazar interrogated Secretary of State Antony Blinken about Cuba’s “terrorist” designation, he said that Cuba would have to “meet a very high bar” to be removed from the list and the State Department had no plans to do so.

Earlier this month, Cuban journalist Liz Oliva Fernandez stumped State Department Spokesperson Vedant Patel when she asked him “Why is Cuba on the State Sponsors of Terrorism list if you are trying to work with them to fight against terrorism?” He completely dodged the question, refusing to provide any examples of Cuban terrorism.

Even anti-Cuba mainstream US media has reported that the “terrorist” designation is “bogus.” NBC News wrote, “according to half a dozen interviews with former intelligence analysts and officials who worked on Cuba policy in both Republican and Democratic administrations, the ‘consensus position’ in the US intelligence community has for decades been that the communist-led nation does not sponsor terrorism.”

Larry Wilkerson, chief of staff to then-Secretary of State Colin Powell in the George W. Bush administration said that “‘Cuba is not a state sponsor of terrorism’ was a mantra from the moment I walked into the State Department to the moment I walked out. It’s a fiction that we have created…to reinforce the rationale for the blockade.”

Similarly, Congressman Jim McGovern (Democrat-Massachusetts) and Senator Patrick Leahy (Democrat-Vermont) published an op-ed in The Boston Globe explaining that “[i]t’s an open secret in Washington that Cuba does not belong on the list and that the previous false justification by the Trump administration was politically motivated.”

The #OffTheList campaign

The US government does not represent the American people on most issues — especially Cuba. The blockade of Cuba persists against the democratic will of the American people, a majority of whom have consistently opposed the blockade, especially restrictions on trading medicine and food with Cuba.

In the United States, Cuban-Americans, solidarity activists, labor unions, and local governments, have organized resistance to Biden’s designation of Cuba as a “State Sponsor of Terrorism.” Since January 2023, the National Network on Cuba (NNOC), a coalition of over 50 organizations across the US working to end the blockade, has been leading an international campaign to get Cuba #OffTheList.

On June 25th, this movement will rally at the White House — and in other locations around the world — to demand Biden take Cuba off the list, lift all US sanctions, and end US terrorism against Cuba. The NNOC is organizing these rallies alongside the Canadian Network on Cuba, ANSWER Coalition, CODEPINK, IFCO/Pastors for Peace, the Alliance for Cuba Engagement and Respect (ACERE), the International People’s Assembly, and over 70 other groups.

The voices of the American people and our progressive movements are clear: we want normalized relations with Cuba. Just in the past couple of years…

  • Labor unions and city councils have passed over 80 resolutions supporting an end to the blockade, promoting scientific collaboration with Cuba, and urging that Cuba be removed from the terror list. And, just last week, the Washington, DC Council unanimously voted to pass a Cuba solidarity resolution and sent copies to Biden and key congresspeople urging them to end the blockade. Combined, these resolutions represent well over 50 million Americans.

  • The 33 member states of the Community of Latin American and Caribbean States (CELAC) demanded that the United States remove Cuba from the terror list and “reiterated their rejection of the US unilateral lists and certifications that affect Latin American countries.”

  • Across the world, there have been monthly rallies and car caravans initiated by Cuban-Americans calling to end the blockade, take Cuba off the list, and build Puentes de Amor (bridges of love) between the American and Cuban people.

  • Over 100 Democratic House members urged Biden to remove Cuba from the SSOT list and normalize US-Cuba relations. Their open letter was signed by big names like Appropriations Subcommittee on Foreign Operations Chair Barbara Lee of California, Rules Committee Chair James McGovern of Massachusetts, and Foreign Affairs Committee Chair Gregory Meeks of New York.

  • Nearly 9,000 Cuban and American business owners sent a letter to Biden demanding he lift Trump-era sanctions and deliver on promises to help Cuba’s private sector, with the main demand being to take Cuba off the terror list.

  • Over 10,000 people and 100 progressive advocacy groups signed an open letter organized by CODEPINK urging Biden to reverse Trump’s terrorism designation for Cuba and to reinstate Obama-era policy with the island.

  • Hundreds of US lawyers wrote to Biden urging him to take Cuba off the list.

  • We are rallying at the White House — and around the world — to tell Biden that Cuba is not a terrorist state, and the American people won’t stand for US terrorism against Cuba.

Calla Walsh is an anti-imperialist organizer and writer. She is a co-chair of the National Network on Cuba, a coalition of 50+ organizations across the United States working to end the US war on Cuba.

Housing is Determined By Class Power and Profit, Not "Supply and Demand"

By Shi Sanyazi

There is a widely accepted belief among the journalists, think tanks, and politicians who animate the housing discourse that a lack of housing supply is the source of tenants’ present conditions (ever-rising rents, primarily). It follows that these thinkers advocate for a variety of policies which will, in their eyes, allow the market to “self-correct.” Once the supply of housing has met the demand, they argue that rents should go down (just like in the graphs we drew in high-school economics class!).

We shouldn’t deny that the idea has a comforting appeal. It offers a neat, ostensibly “common-sense” solution that all sides — developers, landlords, tenants — can theoretically get behind. It’s very easy to say: “match supply and demand and rents will go down — that’s just how markets work.” It’s more difficult to admit the inconvenient truth. 

The truth is that — especially in the era of algorithmic price-setting and increasingly financialized, corporate ownership of rental housing — our conditions as tenants are determined by the balance of class power, not the balance of supply and demand. 

Landlords, developers and their financiers are classes with class interests — namely, making the fattest profits possible. They are highly organized and have historically been willing to wage war on anyone who challenges their bottom line. Real estate capital’s return-on-investment depends on their capacity to out-organize and overpower tenants. 

Tenants' class interests — community control over our housing and the basic need for shelter — are, by definition, the opposite of real estate capital’s class interests.

The “supply crisis” narrative is deficient because it makes no attempt to reckon with the class relationships which define the housing market. The assumptions this narrative makes about the behavior of the housing market hinge on ignoring the structural imbalance of power between tenants and landlords, developers and their financiers. 

Landlord’s profit margins are determined by their level of organization (aided nowadays by political corruption, algorithmic financialization and consolidation of the rental housing stock) and the state’s ability to enable their exploitation with neglect, violence, and the threat of violence. Developers similarly ensure their profits by working in tandem with local governments and the police to forcibly remake neighborhoods to their liking, displacing working-class Black and brown communities. Lurking in the shadows, backing the landlords and developers, is the ruthlessly efficient and sophisticated arm of finance capital.

If we understand real estate capital as an organized class pursuing its class interests, and if we take the “pro-housing” argument at face value (i.e; increased supply will decrease rents), then we would expect real-estate interests (whose profits would be cut into if rents decreased) to oppose their policy prescriptions.

It’s quite curious then that the real-estate lobby and their political bedfellows openly support “pro-housing” non-profits and propagate their political lines. Powerful lobbying groups like the Real Estate Board of New York (REBNY) and the National Multifamily Housing Council revel in parroting “pro-housing” talking points. From REBNY’s 2022 testimony on Mayor Adams’ housing plan: 

New York is facing a housing crisis. A key driver of this crisis is the lack of housing production and inadequate supply to meet the needs of our growing and diverse city.

They go on to — shocker! — recommend the city and state remove regulatory barriers to development and continue to subsidize their lucrative construction projects. It shouldn’t come as a surprise that NYC Mayor, Eric Adams, agrees: he’s pledged to administrate a “city of yes,” arguing bluntly in The Economist that “although many factors contribute to the problem, at its core we have a housing crisis because we are not building enough housing.” NY Governor Kathy Hochul’s housing proposals echo the same logic. For what it's worth, Adams and Hochul have both been consistently showered with real-estate donations.

So, despite the promise that building more housing will bring down rents, the real-estate lobby embraces the prospect of building more housing! Why? Because the “supply crisis” narrative is an idea working in defense of their class interests.

Do we really believe that landlords and developers will actively support a reduction in their profits? Do we think they’re going to resign themselves with a deep sigh and a “well, that’s just the way the cookie crumbles?” How naïve can we possibly be? As James Baldwin once wrote of capitalism, to imagine these leeches ceding power and profits willingly demands “yet more faith and infinitely more in schizophrenia than the concept of the Virgin Birth.” 

Landlords and developers have no interest in solving the housing crisis because the permanence of that crisis is the condition of their wealth and power. This understanding has serious practical implications. 

In other words, if we understand our conditions to be a result of class struggle (rather than a market imbalance), it becomes quite clear that our conditions will be determined by our level of organization as tenants and our ability to wage struggle against the force that commodifies our need for shelter: real-estate capital.

The magic lies in our hands and our hands alone

This conclusion is the same as that at the core of all consciousness-raising movements, indeed at the core of all anti-capitalist, anti-colonial, anti-racist, anti-patriarchal movements (see, for example, the Black Consciousness movement in South Africa; the Combahee River Collective; or the Landless Workers Movement in Brazil). It's the same conclusion which the legendary anti-colonial thinker Frantz Fanon came to:

[Political education] means driving home to the masses that everything depends on them, that if we stagnate the fault is theirs, and that if we progress, they too are responsible, that there is no demiurge, no illustrious man taking responsibility for everything, but that the demiurge is the people and the magic lies in their hands and their hands alone.

The magic lies in our hands and our hands alone.

When we get organized, we have the capacity to transform our conditions. Will we win collective control over our cities? Will the threadbare protections we have left be rolled back? Will we stagnate? It’s up to us! 

Through militant organization, tenants wield — and historically have wielded! — a tremendous amount of power. Every concession from the landowning class; thus, every victory for tenants, has been won through this organization. 

The first rent control laws in New York City were passed due to pressure created by waves and waves of militant rent strikes (not to mention the fears of a Bolshevik-style revolution that these strikes helped inspire). Great Depression-era tenant activism — which included the successful efforts by the Communist Party to reverse evictions of working class tenants — was the impetus for New York City’s first public housing projects (FDR himself said that the concessions of the New Deal were driven by a desire to “save our system, the capitalist system…”). Mass agitation by Black organizers led to the passage of Fair Housing laws (while the real estate lobby was organizing against them). The COVID-19 eviction moratorium in New York was fought for and repeatedly extended due to pressure from organized tenant unions.

These are all tenuous and often contradictory reforms (public housing in the US, for instance, often deepened racial segregation), class truces which politicians negotiated in exchange for relative peace and quiet. The goal is not to aspire to reform, but to highlight that these reforms were not enacted because of our participation at the ballot box, nor passed by a benevolent state, nor advocated for by benevolent landlords and developers — they were fought for, collectively, in the streets and hallways and lobbies of our neighborhoods. 

Tenants are and always have been the protagonists of the struggle for control over our buildings, neighborhoods, and cities. 

OK. With that in mind, we can move on to addressing the core claim — that the “housing crisis” is caused by a supply deficit — in detail. Through this, we can highlight that the “housing crisis” is not “fixable” with “policy.” Our conditions as tenants are determined by our level of organization and effectiveness at waging class struggle.

The “supply crisis”

An imbalance between supply and demand is not the source of tenants’ present conditions. The real source — as has been the case since capitalism violently imposed its will on the world four centuries ago — are the private property relations which enable the exploitation of working people by the landowning class. Present-day gentrification is just one chapter in the centuries-long story of displacement, enclosure and imperialism which has marked the penetration of capital into indigenous and working class communities. So long as these relations remain intact, our struggle will persist. 

This is not to say that we should never build housing. There’s no doubt that under the collective governance of the working class (god-willing), the supply of housing would be responsive to migration and other fluctuations in demand. The disagreement stems from a core question: who is building housing and for whom are they building housing?

The alternative to the current arrangement, wherein tenants have next to zero democratic control over their communities, is to organize towards a world where tenants themselves collectively control and direct the development of safe, beautiful, ecological housing. 

That’s the polemic response — let’s dive a little deeper. As we work through the details, let’s keep the argument in mind:

Tenants’ conditions are determined by the balance of class power, not “supply and demand.”

This section is divided into a few parts to make it a bit more digestible. 

Mind the rent gap!

We can start by exploring the process of gentrification, where we can very clearly observe how real estate capital wields its class power to mold cities to its liking. Notably, its class organization has become increasingly sophisticated in recent years, as the rental housing stock has been consolidated in fewer and fewer hands. It can be quite challenging nowadays to figure out who your landlord actually is, as they usually hide behind a maze of shell companies, LLCs and Real Estate Investment Trusts (REITs). An army of supers and management companies further distance landlords from tenants, acting as convenient buffers for the corporate owners and private equity firms pulling the strings.

As a result of this consolidation, private equity firms, mega-developers and corporate landlords execute rent hikes, serve evictions, illegally (and legally) deregulate apartments and in sum, cause displacement, in an increasingly coordinated manner. 

In our organizing, more often than not, we work with tenants in buildings owned by a landlord with hundreds to thousands of units in their portfolio. (The average apartment in New York City is part of an 893 unit portfolio.) When we visit other buildings in that portfolio, we’ll usually find the same issues, whether disrepair, harassment, skyrocketing rents, and (illegal and legal) deregulation. 

(If you are interested in researching the owner of your building in NYC and kick-starting a tenants association in your building, JustFix is an incredible asset.)

To streamline gentrification, mega-developers, corporate landlords, and private equity firms utilize sophisticated algorithms to identify “rent gaps.” A rent gap is the difference between the rent currently being paid by tenants and the rent that could be potentially charged in the same location if the current tenants were evicted through legal or illegal means. PropTech companies like Skyline AI and RealPage are accomplices in this plunder. Their business is that of identifying apartments which are “‘inefficient’ in the rental market in relation to their total cost, before teaming up with the largest property investment companies to make an offer.” 

These advanced techniques (enabled by troves of data collected by big tech firms) allow investors to target optimal neighborhoods for gentrification with pinpoint accuracy. It shouldn’t surprise us that at a neighborhood level, there is a direct correlation between concentrated corporate ownership and gentrification. 

Naturally, real estate capital’s drive to extract as much profit out of our cities as possible does not care much for pesky renter protections like rent-stabilization and public housing. In fact, the relatively low rents in rent-stabilized apartments and public housing (as compared to market-rate) make them even more appealing, in the sense that they present even larger rent gaps to “close.” 

From a private equity firm’s perspective: Imagine a rent-stabilized building which rents for an average of $800/mo per unit, in a neighborhood where rents are averaging $1500/mo per unit (and climbing!), or are where rents are primed to increase to that price (in accordance to the precise calculations of algorithms from RealPage and Skyline AI). To a private equity firm, the building represents an opportunity for superprofits. To the building’s working class, usually Black and brown tenants, the building is not an investment opportunity — it’s home, a small pocket of resistance to the waves of real estate capital engulfing their communities. But if the private equity firm can evict the current residents, destabilize the building, and slap on a gentrification mask — then they can charge many times as much in rent and make a fat profit. All in a day's work for the vampires sucking our cities dry. 

Real estate capital also pushes this class agenda through legal action. For instance, New York City landlords are currently suing to wipe out rent regulations which protect around 1 million tenants from naked exposure to the “free market.” This case will go to the revanchist Supreme Court, who will likely rule in favor of the landlords. Once again, we can plainly observe that our class enemies are organized and aggressive!

It’s not an accident that in our organizing we encounter and experience consistent patterns of harassment, disrepair, and neglect in rent-regulated buildings. In New York City, deregulation is most commonly allowed upon vacancy, so it follows that landlords and speculators doggedly pursue vacancy via eviction. Some of their choice strategies include: buyouts, fake eviction notices, illegal refusal to renew leases, intimidation, neglect, intentional disrepair, cutting off heat, electricity and water, calling the police on tenants, and direct harassment. There are technically legal protections against strong-arming tenants out of regulated apartments, but they’re rarely enforced. Like other tenant’s rights (or, for that matter, any right “granted” by the state), protection from harassment is generally only realized when enforced by organized tenants. 

It’s also not an accident that the real-estate lobby and their politician friends have intentionally neglected to fund the upkeep of New York City’s remaining public housing stock. After all, NYCHA’s repair backlog (many tens of billions dollars) makes for a very convenient political device. When it came time to justify the “Preservation Trust” — nothing more than a scheme to privatize and commodify that remaining bastion of working class affordability — NYCHA’s repair backlog was cynically presented as evidence that public funding is no longer feasible. When challenged by outraged NYCHA tenants, conservative and “socialist” politicians alike argued that we have no option but to turn to the private sector to save NYCHA. As Holden Taylor writes

The line of reasoning put forth by the policy wonks and “socialists” advocating for the trust is, as usual, one of pragmatism and practicality. The Trust is the only way to get money for repairs, they say. This boils down, to butcher Rosa Luxemburg’s aphorism, a framework of “Privatization or Barbarism,” as these experts claim that the only alternative to the Trust is the status quo and the ever more crumbling infrastructure and dire quality of life that define it. Again, this is a failure of imagination. It is the socialist’s responsibility to push past the status quo, to fight for socialism, not merely a different form of marketization.

These observations about de-regulation and the privatization of public housing also help us to understand why the minority of left YIMBYs — who argue we should pair market solutions with an increase in social housing and tenant protections — are so woefully misguided. There is no way to guarantee that any housing we build will stay affordable when landlords, developers and finance capital have demonstrated they will wield their class power to commodify every inch of the city they can get their grubby hands on. Even our supposedly “socialist” elected officials are liable to bend to the will of real-estate capital without an organized mass movement to back them. The sober reality is: the remaining sources of off-market housing are being eroded because we are not sufficiently organized to protect them. The only way to protect those apartments and reverse the trend is through organized struggle. 

For instance, in 2020, organized community groups resisted the illegal eviction of tenants at 1214 Dean St. in Crown Heights. By occupying the stoop and physically resisting the eviction, the tenants eventually forced the city to buy the apartments and convert them into publicly-funded, affordable housing.

Build, baby, build! What could go wrong?

It doesn’t matter how “market optimistic” you are (as one reporter recently described the “pro-housing” non-profit Open New York) — when we let developers build freely, they will always be incentivized to build market-rate housing because those are the developments with the juiciest profit margins (and often the juiciest subsidies). This is not a neutral outcome. Building housing which people in surrounding neighborhoods cannot afford is the one of the first steps in the process of gentrification. 

In response to residents’ concerns about displacement, politicians will often promise that developments will meet the needs of communities because they contain 10% or 20% affordable units. This logic is premised on the idea that flooding a working class neighborhood which desperately needs cheap housing with, for instance, 900 market-rate units and 100 “affordable” units (which, due to the way affordability is measured, are often not actually affordable to those who most desperately need them), will produce anything but an influx of wealthier people who will displace the current residents. Just the announcement of permits for new market-rate developments can set off a frenzy of speculation, as investors look to sink their grimy fingernails into the imminently gentrifying neighborhood. 

The rise in the median income of an area (which inevitably accompanies market-rate development in working class neighborhoods) is often the impetus for steep hikes in the median rent. Which is to say: when people have more money, landlords generally raise rents (and rents usually rise faster than income — a few studies to reference: here, here and here.) Income inequality ensures that rising median rents disproportionately displaces working class tenants, as Francesca Manning explains:

While some people’s income is increasing at a rate to keep pace with rising rents, a large group of people’s wages are stagnating, falling, or rising far too slow to keep them housed … households that live in high-income [areas], whether or not they are themselves high income, end up paying a higher and higher percentage of their wages in rents.

In locales where market-rate development is not profitable, developers will not develop unless subsidized. This is a prominent form of “organized abandonment,” the movement of capital and social services away from populations and geographies deemed surplus and/or no longer profitable. Working class Black and brown communities are the first victims of this abandonment. These communities are faced with either: investment and gentrification; or disinvestment and abandonment. It’s russian roulette, except all of the chambers are loaded. Flint’s working-class Black population is one such example of a community which has been systematically abandoned by capital and the state.

Even with an understanding that developers will always build for profit, some will maintain that new housing supply at the top-end creates downward pressure on the market and “filters” units down to working class tenants. This is not an effective strategy, especially with the urgency that present conditions demand. Even when a filtering effect can be observed over decades, it is usually outweighed by the more immediate effects — sharply increased rent burdens and displacement  — that market-rate development set in motion. It’s important to understand that the “housing market” is not a single, unified market, but rather a series of income-level based sub-markets. Increased supply at the top end of the market can simultaneously stabilize rents for high-income tenants and increase rents for low-income tenants.

The “filtering” theory makes more than a few dubious presumptions. Three more are:

  1. that new apartments will be occupied by warm-blooded humans;

  2. that tenants are able to move constantly to and from apartments in the name of market equilibrium; 

  3. that landlords who were recently collecting rent from a wealthier tenant will suddenly have a change of heart and lower their rent to accommodate the new, lower-income tenant who is moving into the “filtered” apartments.

1) ignores the reality, which is that many of these apartments are destined to be bought for investment purposes. At least a hundred thousand units in New York City are investment properties and second homes for the ultra-rich. As Raquel Rolnik writes, luxury real estate in places like New York City has increasingly become a “safe-deposit box for the transnational wealthy elite,” rendering many new apartments un-filterable.

2) and 3) are even further divorced from reality. I’m not quite sure where the filtering theory nerds are finding landlords willing to grant day-to-day leases to allow for this kind of flexibility — nor where they find landlords willing to sacrifice their bottom line for the sake of market equilibrium. 

To this point (that supply and rents are not necessarily, or even likely to be correlated), we can briefly look at two of the metropolitan areas which produced the most housing in the last decade (2010-2019): Raleigh, NC and Austin, TX. Both of these cities maintained a ratio of 1-2 jobs per new housing unit, which mainstream economists consider to be “healthy.”

In Raleigh, housing construction kept pace with population growth from 2010-2019. Did rents stabilize or go down in accordance with the magic supply and demand graph? No! They rose 53%, miraculously spurning the ironclad economic law of supply and demand.

In Austin, between 2010 and 2020, new housing production actually outpaced population growth (25.5% to 21.7%). According to the “supply crisis” narrative, rents should have gone down or at least stabilized, right? You’ll be shocked to learn that between 2010 and 2020, rents in Austin increased by 93%. Historically Black enclaves like East Austin have rapidly gentrified in spite of the growth in housing construction. The supposedly common sense relationship between housing supply and median rents is, uh, not so apparent to the average tenant in Austin.

The shock troops of real-estate capital

Class power requires enforcers, and real-estate capital’s war on working-class tenants is no different. The police are intimately involved in the process of displacement. 

The police are, after all, the most visible manifestation of the violence which undergirds private property relations. When you don’t (or can’t) pay your rent, you come face to face with the enforcers of the private-property relation: the court sending a Marshall to serve you with an eviction notice, and the police forcefully and violently executing that eviction if you resist. Landlords rely on the police to backstop evictions, which is the most fundamental mechanism for the reproduction of privately-owned housing. Without the threat of eviction, the landlord's power would evaporate, as we experienced during the COVID-19 eviction moratoriums. The state’s power is also felt implicitly: even if a tenant association is interested in taking a radical action like resisting a fellow tenant’s eviction, they understand that the state will almost certainly intervene on the side of the landlord, and can therefore be discouraged from acting. 

The process of eviction is nothing less than the state using their monopoly on legal violence to privilege the landlord’s right to exploit us over our human need to have a roof over your head. 

Gentrification relies on the same violence to function. In its infancy, gentrification is marked by the violent projections of private property relations onto working class communities, which solidify in physical form as the police. Cops consistently step up broken windows policing in neighborhoods which are gentrifying, further exposing working class Black and brown communities to the carceral state. Broken windows policing is the proverbial stick to the carrot of tax abatements, rezoning and developer incentives which open the floodgates for real estate capital. 

In the process of gentrification, homeless tenants (homeless people are tenants in that they do not control their housing; the struggles of housed tenants and homeless tenants exist along the same spectrum of precarity) are brutalized and disappeared. Eric Adams’ assault on homeless tenants which we have resisted over the past year is inseparably part of this same project. He is not uniquely evil either; his predecessors De Blasio and Bloomberg similarly utilized the NYPD to terrorize homeless tenants and remake the city to the real estate lobby’s liking. Connecting the struggles of homeless tenants to housed tenants — not just in solidarity, but as a movement united in opposition to the same forces of real estate capital — is a crucial task.

As many have compellingly argued, including her own family, Breonna Taylor was, at least in part, a victim of state-sanctioned gentrification. Breonna was murdered in the Russell neighborhood, which was being explicitly targeted for gentrification by the city of Louisville. Before and after her murder at the hands of the state, there was an observable “sharp increase in public nuisance cases, with 84% of those cases occurring in Louisville’s predominantly Black western half, which includes the Russell neighborhood.” As the Root Causes Research Center explains:

… the forces of property and police converged in Russell to acquire the remaining property for the redevelopment of Elliott Ave through the collaboration of the Louisville Metro Develop Louisville Office and the Louisville Metro Police Department’s Placed Based Investigations Squad (PBI). Increased pressure from the Louisville Mayor's Office to acquire these properties led directly to the rapid employment of PBI. The PBI Squad, then, employed a concept they were barely familiar with, to create the false evidence needed for the "No-Knock Warrant" that led to the murder of Breonna Taylor.

Gentrification is a process which travels along the existing contours of racial capitalism. Working-class Black communities (including homeless tenants) are the first to encounter — and the first to resist — the rusty knife edge of displacement. 

In sum: Gentrification is initiated by speculative, algorithmically-backed, financialized development and landlord harassment; enabled by racist police violence, tax abatements, developer incentives and capitalist urban planning; and resulting in displacement and harm (sometimes death) for the working class Black and brown communities who stand in its way. Gentrification is, in other words, not a natural phenomenon, not an unavoidable but necessary process, but rather one front in real estate capital’s organized class war on working class tenants.

Does this evidence point to a solution which gives more freedom to developers and landlords? No. Gentrification can only be stopped by collective control of our buildings, neighborhoods and cities. After all, it's highly unlikely that communities would displace themselves if and when they win control over their space.

One glimmer of hope we can look to for inspiration: In Los Angeles, after being confronted with rent increases of up to 200%, the tenants of Hillside Villa organized, militantly — in Spanish, Cantonese and English, no less. In 2022, their organizing paid off: they successfully pressured the city to buy their building on their behalf, thwarting their landlord's attempt to fatten his profit margins and placing their housing under some level of community control.

Ransom, manipulation, collusion

Organized real-estate capital demonstrates every day that it will protect its profits by any means necessary — regardless of “market equilibrium.” Outside of the strategies we’ve already covered, some of their choice tactics include market manipulation, legal action and collusion.

For instance: CHIP — a New York landlord advocacy group — is currently keeping 20,000 rent-stabilized units vacant (an act that is particularly malicious considering that over a hundred thousand New Yorkers are homeless, including thirty thousand children). In total, over 60,000 rent stabilized units are currently vacant across the city. Why? As a threat! A show of force! An act of organized class war! CHIP has openly stated that they won’t put these apartments back on the market until the state legislature repeals the 2019 Housing Stability and Tenant Protections Act, which limits their ability to jack up rents after making necessary renovations. It’s a “ransom!”

As Karl Marx himself pointed out (and others have more recently argued), the tendency of the landowning class to withhold their land from the market, and to threaten to withhold land from the market, is intrinsic to capitalism. Holding land off the market is not an irrational action for landlords — it is a rational, profit-maximizing strategy that is employed everyday by landowners across the world. This tendency is why, seemingly paradoxically, increases in vacancy rates do not always correspond with reduced rents.

This tendency explains why property owners will always fight vigorously against any regulation which would restrict their ability to keep units vacant. For example, in response to a newly passed vacancy tax which would fine landlords for failing to rent empty apartments, organized San Francisco landlords (through lobbying groups representing thousands of property owners) are suing the city, arguing they have “constitutional and statutory rights to keep their units vacant if they so choose.” Constitutionally speaking, they’re correct — the Supreme Court will always protect property owners “right to exclude” — but that’s only because the Supreme Court is designed to codify and protect private property relations.

According to the most recent statistics (from 2021), there are around 250,000 (officially) vacant units in New York City. Importantly, the vacancy rate does not include the hotel rooms which sit empty while homeless tenants beg for change just outside their doors, nor unreported warehoused market-rate apartments, nor the hundred thousand or so units which are kept as investment properties and second homes for the ultra-rich.

While in any context, there will be some vacancies, to really understand this number we have to understand which apartments are vacant. Low-cost apartments are at near-zero vacancy levels while the vacancy rates  in high-cost apartments remain extraordinarily high. Tracy Rosenthal of the LA Tenants Union sums up this disparity bluntly: “There is no shortage of housing except for poor and working people, which the market has never and will never provide.” 

In their 2022 report, the Community Service Society of New York echoes Rosenthal, writing that many of New York’s vacancies can be attributed to “long-term overproduction of luxury condos/co-ops as investment vehicles.” They sum up their findings neatly:

There is very little available housing at low rents, but a lot available at rents most New Yorkers couldn’t possibly pay. At the same time, more and more apartments are going unused, not because nobody wants them – clearly there’s plenty of demand for housing – but because their owners are keeping them as pieds-a-terre, Airbnbs, investment properties, or warehoused rentals.

One example of this phenomenon, from Madden and Marcuse:

On January 16, 2015, a limited liability corporation named P89-90 bought a single penthouse apartment in Midtown Manhattan for $100,471,452.77 … the luxury tower that it tops, branded as One57, is not likely to be a particularly sociable environment. Chances are that none of the building’s ninety-two condominium units will be their owner’s sole residence. In fact, many of the apartments in One57 will remain empty. They will be held as investments or as vanity homes for people who do not lack for places to live. One57 is not high-rise housing so much as global wealth congealed into tower form.”

In recent years, the rental housing stock has become increasingly concentrated in larger and larger portfolios controlled by private equity firms and corporate landlords. In New York City, around 9 in 10 apartments are owned by corporate landlords. 

One important implication of this trend: the more organized and concentrated ownership is, the easier it is for landlords to collude and fix prices — a task made significantly easier due to the rise of algorithmically-informed price-setting. Services like the now infamous RealPage — which uses advanced data to help landlords charge the highest possible rents for their units — openly boast about their role in driving the staggering rent hikes of recent years. A ProPublica investigation revealed RealPage has “recommended that landlords in some cases accept a lower occupancy rate in order to raise rents and make more money.” RealPage and other similar services are a potent tool for cartel style market collusion, a fact which has not escaped the ire of the Department of Justice's antitrust lawyers. 

A common “pro-housing” argument is that increased supply gives renters more options, thus allowing us to play landlords off of eachother and secure lower rents. Again, this line of thinking ignores the sordid reality, which is that landlords will flex their class muscle to keep rents high — and that without organization, tenants have no power to contest their ever-worsening conditions. What good is a market equilibrium if the landlords are almost certain to collude, warehouse apartments and keep rents high regardless?

Landlord’s profit-maximizing behavior plainly highlights the irrationality endemic to capitalism. Well, let's amend that: it's quite rational for those who own the property. For the rest of us (the vast majority) — not so much. A system which distributes (and chooses not to distribute!) housing based on the profits that will accrue to its owners is a system which is incapable of ending the precarity which defines our lives as tenants. 

The “housing crisis” is not so much a crisis as a permanent feature of urban capitalism, an unavoidable consequence of developing and distributing housing as a commodity to line the pockets of the few, rather than organizing housing around the social need for shelter. Framing our experience as a “crisis” insinuates that it is an aberration from the norm, an aberration which can be “solved” with policy fixes, new legal protections and, most insidiously, the market. The system is not in crisis; the crisis is the system!

It's all about class power? Always has been.

What we’re observing here is the all too familiar dissonance between capitalism’s economic theories and its economic realities. Despite what free-market proselytizers and “market optimists” alike want us to believe (as if there’s any functional difference between the two), capitalism is a system whose outcomes are ultimately determined by the balance of class power. Landlords, developers and financiers, who are single-mindedly driven by a desire to extract as much profit as possible out of tenants, do not submit meekly to the “laws” of supply and demand. 

To imagine that rent prices hinge on supply and demand rather than class power is completely ahistorical. Time and time again, capitalism has demonstrated an inherent tendency towards monopoly, cynical market manipulation and organized class warfare. 

Understanding the balance of class power as the condition of our exploitation is simultaneously key to grasping that our exploitation can only be limited and abolished through the exercise of our own class power as tenants. We’re engaged in a class war which only one side is consciously fighting. Our choice as tenants is whether or not we want to fight back.

If the future came on a platter…

The common sense which commands our collective reflexes does not permit us to think of revolution. After all, “it is easier to imagine the end of the world than the end of capitalism.”

So it’s natural that we’re derided as unrealistic for striving towards the abolition of the landlord class, and by extension the abolition of capitalism — but are we the unrealistic ones?

Our critics (liberals!) — on all issues, not just housing; think climate change, for instance — position themselves as “realistic” for arguing that handing the reins to organized capital will alleviate the conditions of the working class. Don’t we have hundreds of years of experience telling us that the exact opposite will happen? We can look to our cities as they are right now to understand that control of our buildings and neighborhoods by profit-motivated landlords, financiers and developers is a disastrous arrangement.

There’s nothing realistic about giving capital the freedom to roam where it wants and praying that it will magically change course and defy its five hundred year history of ravaging indigenous and working class communities for profit.

It's nonsense. Don’t listen to these people — they are the ones being unrealistic. 

And yes, to organize towards community control of our buildings and neighborhoods is a tremendous, daunting task. But let’s remember that we don’t organize simply because we believe in a political program. To struggle, to think — to really think! — to learn, is nothing less than the process of being alive. To not be in the struggle is a much more demoralizing proposition.

So let's get to it! Landlords and developers, and the financiers that back them, are tremendously well organized. To beat them, we have to turn to the only method by which we have historically won: that is, through our militant organization. If history has taught us anything, it's that we can only win by out-organizing our class enemies. 

Check out the Autonomous Tenants Union Network to see if there’s an existing organization in your area. In New York City: the Crown Heights Tenant Union, the Ridgewood Tenants Union, Brooklyn Eviction Defense and Tenant Union Flatbush; nationwide, the aforementioned Los Angeles Tenants Union; Tenants and Neighborhood Council (TANC) in the Bay Area; Stomp Out Slumlords in DC; and many more are doing incredible, principled work. 

You can find some resources and thoughtful reflections on tenant organizing here, here, here, here, here and here.

I like to think of this essay as a small contribution to uncovering the shape of the conjuncture, as Stuart Hall would call it. There is, of course, much more to be uncovered (and much more that has already been uncovered!), such as: the relation of tenants in the imperial core to the global anti-imperialist movement; how the tenant movement can resist settler-colonialism and aid the struggle for indigenous sovereignty; feminism and the tenant movement; the homeless industrial complex; and the ideology of homeownership, to name a few.

None of this work is easy. But, as Eduardo Galeano reminds us: “If the future came on a platter, it would not be of this world.”

The “Powell Memo” and the Supreme Court: A Counteroffensive Against the Many

By Derek Ford

Republished from Liberation School.

Introduction: The domestic right-wing counteroffensive

By the early 1970s, the global revolutionary tide of socialist and national liberation struggles was at its apex, and the tide was washing over the U.S., with expanding and increasingly militant social movements and political organizations. The beginning of “neoliberalism” was a domestic aspect of the coming global counterrevolution, which devastated the world for decades.

This article tells the story of how the right wing of the capitalist class came to drive a new set of reactionary Supreme Court rulings, government policies, and ideological battles against democracy and the basic democratic rights our class won and that the right wing soon started rolling back. A key figure in this anti-democratic turn was Lewis F. Powell Jr., a tobacco company executive turned Supreme Court Justice. In the transition between the two roles, he wrote his infamous “Powell Memo.”

In hindsight, the private memorandum Lewis F. Powell Jr. sent to the U.S. Chamber of Commerce on August 23, 1971—known as the “Powell Memo”—in many ways represents the inaugural moment in this counteroffensive. Titled, “Attack on American Free Enterprise System,” the Memo clearly expressed the sharpness of the class struggle at that time and encapsulated the capitalist class’ fear that they were losing the battles of ideas and the world. It undoubtedly laid the groundwork for some key components of U.S. imperialism’s new offensive against the global revolutionary upsurge that characterized the immediate post-World War II environment, an offensive that is still with us today.

Understanding the background, context, and content of the Memo helps us get a sense of the right-wing counteroffensive against domestic people’s movements. Powell eventually entered the Supreme Court and helped usher in a wave of reactionary rulings against the people and for corporate profits. Thus, while the exact impacts of the Memo are hard to ascertain, they eventually made their way into the law books, attacking affirmative action and establishing a theory of corporate speech and “personhood.” More immediately, after the Memo’s circulation, the Chamber of Commerce “expanded its base from around 60,000 firms in 1972 to over a quarter of a million ten years later,” spending almost $1 billion annually to promote their interests [1].

The ideological stakes at play in the Powell Memo

Powell wrote and sent the confidential memo at the request of one of his colleagues, Eugene B. Sydnor, Jr., who chaired the education committee of the U.S. Chamber of Commerce, for a high-level discussion with the Chamber’s Vice President Arch Booth the next day. The Chamber of Commerce is not, as the name might imply, a government agency, but is the largest private pro-business lobbying group in the country. Because the Memo was written for the capitalist class by one of their most fervent ideologues, it displays the fears and ambitions of the imperialists in the most blatant manner, revealing exactly how they speak to each other when they don’t have to feign decorum or decency, providing a glimpse into how much they feared progressive movements.

“No thoughtful person can question that the American economic system is under broad attack,” the Memo begins [2]. The problem is not so much with the usual suspects like “the Communists, New Leftists and other revolutionaries who would destroy the entire system, both political and economic.” Although such “extremists of the left” are growing in numbers, support, and legitimacy in unprecedented fashion, Powell continues, they are still relatively minor players on their own.

Powell’s primary fear was that revolutionaries, the usual suspects, were now influencing “perfectly respectable elements of society” such as “the college campus, the pulpit, the media, the intellectual and literary journals, the arts and sciences, and from politicians.” In essence, Powell expresses how the global tide of revolutionary and progressive struggles sweeping the world during that period were normalizing and popularizing radical political change and demands [3]. As he puts it, the issue is that respectable institutions like the campus were hijacked “by minorities” who “are the most articulate, the most vocal, the most prolific in their writing and speaking.”

Powell’s insistence on the influence of vocal minorities—a prelude of sorts to the “silent majority”—was more than just a rhetorical flourish. Although the “Marxist doctrine that the ‘capitalist’ countries are controlled by big business” had widespread currency at the time, for Powell, nothing could be further from the truth. Simply put, Powell’s memo claimed that in capitalist countries capitalists had no influence or control over the government or society. This ridiculous claim is phrased frankly:

“…as every business executive knows, few elements of American society today have as little influence in government as the American businessman, the corporation, or even the millions of corporate stockholders. If one doubts this, let him undertake the role of ‘lobbyist’ for the business point of view before Congressional committees. The same situation obtains in the legislative halls of most states and major cities.”

Powell goes further still, in a sentence that constructs the corporation not only as a person, but as a minority person in need of protection: “One does not exaggerate to say that, in terms of political influence with respect to the course of legislation and government action, the American business executive is truly the ‘forgotten man.’”

This dire situation, in which the very existence of capitalism and imperialism are at stake—claims that are, to say the least, exaggerated—calls for drastic and wide-ranging responses. To address the supposed exclusion of corporations in the U.S. government and the attack on the capitalist system, Powell included a vast list of recommendations for pursuing their ideological agenda, in which the Chamber of Commerce would play a central and organizing role. Powell’s upbringing and professional career account for his deep concern for the position of the corporation in U.S. society and politics.

Powell: A fighter for “oppressed” tobacco companies

With a family lineage traced back to “one of the original Jamestown settlers,” Powell graduated from an elite prep school, McGuire’s University School in Richmond, Virginia in 1925 [4]. From there, he ascended the ranks of the political elite, earning a Master of Laws degree from Harvard Law School in 1932 before returning to Virginia and starting a long career with a Richmond law firm. After a brief stint as an intelligence officer in the Army, Powell integrated himself into Virginia’s political scene and rose through the ranks of the American Bar Association, becoming the ABA’s president in 1965.

Powell served on over a dozen boards, including the Colonial Williamsburg Museum and, most pertinently, the tobacco giant Philip Morris. Powell joined Philip Morris’ Board of Directors in 1964 at a time when, historian Jeffrey Clements notes, “the corporation sought to mitigate the US Surgeon General’s report about the grave dangers of smoking” [5].

When he penned his infamous memo, Powell was in the trenches defending Philip Morris and other tobacco corporations through their lobbying group, the now-discredited Tobacco Institute. He was also busy defending big tobacco when Richard Nixon asked him to serve on the Supreme Court in 1971 (although his appointment went into effect in 1972).

During his tenure at the Tobacco Institute, he fought against the “radicals” and liberals in public health and education who were increasingly sounding the alarm on the dangers of tobacco and nicotine addiction. In their 1967 annual report, issued on behalf of Powell and the rest of the Philip Morris board, they deplored how “unfortunately the positive benefits of smoking which are so widely acknowledged are largely ignored by many reports linking cigarettes and health, and little attention is paid to the scientific reports which are favorable to smoking” [6].

Powell was nothing if not a champion of free-enterprise, facts be damned.

The ideological counteroffensive

It’s not hard to draw the line between Powell’s defense of big tobacco and the broader capitalist system, on the one hand, and his derision of public health, education, and the public interest, on the other. For Powell, it was a small and logical step to move from attacking health researchers to attacking other “revolutionaries” and those they influenced in “respectable” places like universities.

In addressing “what can be done about the campus,” Powell outlines an array of tactics and strategies to beat back the insurgent student tide and revert educational institutions away from  critical inquiry. He called for the Chamber of Commerce to establish a cadre of “highly qualified” pro-capitalist scholars, a full-time paid staff of speakers, and a Speaker’s Bureau that would advocate for capitalists.

The Chamber’s “faculty of scholars” should be given “incentives” to publish prolifically in scholarly journals because “one of the keys to the success of the liberal and leftist faculty members has been their passion for ‘publication’ and ‘lecturing.’” Powell wasn’t concerned with the number of leftist faculty per se, and his memo only cited one by name: Herbert Marcuse, one of the few remaining critical theorists who remained committed to organizing and who supervised, among other important revolutionaries (and against the advice of his colleagues), the doctoral work of Angela Davis [7].

Those like Marcuse “need not be in a majority” because “they are stimulating teachers… prolific writers and lecturers,” according to Powell [8]. In fact, “as his attention to charismatic teaching, textbooks, and other writings shows, Powell based his strategy for ideological warfare on the intellectual productivity that he observed among progressive thinkers” [9].

The historical context for Powell’s ire is instructive, as it was during this time that oppressed nationalities were forcing changes in hiring practices, curricular content, and even creating physical spaces dedicated to the study of radical politics and oppressed nationalities and successfully fighting for open admissions.

The militant organized movements of students, workers, Black people, Chicano people, women, the LGBTQ community, and others—many of whom were openly Marxists—forced open some space within universities and society, legitimizing their grievances, proposals, and knowledge [10]. Importantly, the demands of the student movements “were organized around the redistribution of outcomes in the university and in US society generally” [11]. They helped, in part, to fundamentally restructure what and whose knowledge counted by positioning oppressed groups as central knowledge producers.

Unable to captivate audiences with their ideas or teaching, Powell urged the Chamber to ensure capitalist ideologues would gain audiences on campus. He called on the Chamber to “insist upon equal time on the college speaking circuit” between critics and proponents of capitalist exploitation and oppression. Importantly, they must be “attractive, articulate and well-informed speakers” who “exert whatever degree of pressure—publicly and privately” to ensure equal speaking opportunities” [12].

Powell’s focus on “equal speaking opportunities” denies the larger political and historical context of the times, as if socialists and capitalists get equal time and space in the mainstream news outlets or corporate papers. At the same time, within the universities, they’re still mobilized to promote right-wing ideologues. Today, it’s clear to growing numbers of people in the U.S. that “freedom of speech” policies are intended to limit the dissemination of and engagement with revolutionary ideas.

The Supreme Court: Defending white supremacy and corporate speech

Powell’s disdain for revolutionaries wasn’t personal (or wasn’t primarily personal); it was political. Take, for example, his role in the 1978 Supreme Court case Regents of the University of California v. Bakke, a ruling that was a significant step on the way to undoing affirmative action. Although the ruling sustained affirmative action, it declared racial quotas for university admissions to be unconstitutional and, specifically, in violation of the Equal Protection Clause of the Fourteenth Amendment.

In his majority opinion, Powell claimed that “the United States had become a Nation of minorities” and the U.S. Constitution was meant “to overcome the prejudices not of a monolithic majority, but of a ‘majority’ composed of various minority groups” [13]. White people were, according to his ruling opinion and his own beliefs, minorities deserving protection [14].

In 1982, he issued the majority opinion in Central Hudson Gas & Electric Corporation v. Public Service Corporation of New York, declaring that private utility and energy corporations could, with the protection of the right-wing activist court, dominate the imaginary “marketplace of ideas.” The case revolved around the prohibition of energy corporations from promoting their services during and after the 1973 oil crisis. Powell’s opinion affirmed that corporate “expression not only serves the economic interest of the speaker, but also assists consumers and furthers the societal interest in the fullest possible dissemination of information.” The opinion “rejected the ‘highly paternalistic’ view that government has complete power to suppress or regulate commercial speech” [15].

With the backing of a new barrage of pro-capitalist think tanks and institutes, Powell led the Supreme Court on a pro-corporate rampage that was based on an illegitimate precedent. As discussed in the Liberation School article on Santa Clara County v. Southern Pacific Railroad Company, the 1886 Supreme Court case has been falsely interpreted as setting the “precedent” for corporate personhood [16]. The case did not rule on the question of corporate personhood. Rather, a statement on corporate personhood was included in a headnote added to the case. Headnotes are not legally binding and therefore do not impact the establishment of legal precedent.

Nevertheless, the same year that Powell led the court to undo affirmative action in the Regents of the University of California, he also established “corporate speech” as protected under the First Amendment. That case, First National Bank of Boston v. Bellotti, for the first time held that corporations are protected by the First Amendment and therefore are entitled to “free speech.” Powell delivered the majority opinion in the case, stating “the Court has not identified a separate source for the right when it has been asserted by corporations.” In the footnote accompanying the statement, he claims that “it has been settled for almost a century that corporations are persons within the meaning of the Fourteenth Amendment,” incorrectly citing Santa Clara as legal precedent [17].

With Powell’s new theory of corporate speech, “the Court struck down law after law in which the states and Congress sought to balance corporate power with the public interest” [18].

Conclusion: The struggle for socialism and liberation today

Powell’s Memo and interventions in the Supreme Court were part of an overall strategy to defeat or at least de-radicalize the revolutionary movements of the time, especially the radical transformations they achieved in education. A central element in the capitalist state, education always plays an important role in the class struggle, as it is a primary place where we form our ideology or worldview, whether we know it or not.

The struggle wasn’t—and isn’t—confined to the university, and in fact, its radical edge comes from its ability to link the university to broader social struggles, from anti-imperialism and socialism to anti-racism and sexism, then and now. As the Powell Memo shows, for the ruling class at the time, the balance of forces tipped too far toward the exploited and oppressed. In response, the capitalists launched a virulent counteroffensive in all areas of society, and Powell, his role on the Supreme Court, and his Memo were integral parts of this reactionary wave we need to, and will, push back.

References

[1] David Harvey,A Brief History of Neoliberalism(New York: Oxford University Press, 2005), 43.
[2] Lewis Powell, “Attack on American Free Enterprise System,”PBS. Availablehere.
[3] See Brian Becker, “From Inter-Imperialist War to Global Class War: Understanding Distinct Stages of Imperialism,”Liberation School, 28 July 2018. Availablehere.
[4] Tinsley E. Yarbrough, “Powell, Lewis F., Jr. (1907-1998), Supreme Court Justice,”American National Biography, 01 January 2001.
[5] Jeffrey D. Clements,Corporations are Not People: Reclaiming Democracy from Big Money and Global Corporations(San Francisco: Berrett-Koehler Publishers, 2014), 21.
[6] Cited in Ibid., 22-23.
[7] Gabriel Rockhill, “Critical and Revolutionary Theory: For the Reinvention of Critique in the Age of Ideological Realignment,” inDomination and Emancipation: Remaking Critique, ed. D. Benson (Lanham: Rowman & Littlefield, 2021).
[8] Powell, “Attack on American Free Enterprise System.”
[9] Roderick A. Ferguson,We Demand: The University and Student Protests(Oakland: University of California Press, 2017), 44.
[10] See Stephen Ferguson II,Philosophy of African American Studies: Nothing Left of Blackness(New York: Palgrave Macmillan, 2015), 16.
[11] Ferguson,We Demand, 40.
[12] Powell, “Attack on American Free Enterprise System.”
[13] Regents of the University of California v. Bakke, 438 U.S., 265 (1978), 292. Availablehere.
[14] Ibid., 295.
[15] Central Hudson Gas & Electric Corp. v. Public Service Commission, 447 U.S., 557 (1980), 561, 562. Availablehere.
[16] Curry Malott, “Corporate Personhood, Monopoly Capital, and the Precedent that Wasn’t: The 1886 ‘Santa Clara’ Case,”Liberation School, 09 February 2023. Availablehere.
[17] First National Bank of Boston v. Bellotti, 435 U.S. 765 (1978), footnote 15. Availablehere.
[18] Clements,Corporations are Not People, 25.

The US Blockade on Cuba is a Violation of Democracy

By Calla Walsh

The only criteria to be invited to Biden’s so-called Summit for Democracy last week was to be a lapdog of US imperialism, not to be a real democracy. Instead of uplifting true people’s democracies which have dynamic, mass participation — such as those in Cuba and China — Biden’s summit promoted the overthrow of these governments.

As Cuban Foreign Minister Bruno Rodríguez said, “The US Democracy Summit was selective and virtual, as virtual as its own “democracy,” a reflection of its own international moral isolation.” He is right. The US is increasingly isolating itself, and it is clearer each day that its hegemony is in decline. On the other hand, countries like China and Cuba are overcoming the US attempts to diplomatically isolate them by practicing true internationalism and paving the way to peace and multipolarity. The US is doing everything it can to stop these inevitable changes, rather than address the needs of its own population.

Biden used the Summit to prop up US regime change operations under the guise of democracy promotion. Foundations like the National Endowment for Democracy, a CIA front group, are some of the most blatant examples of how the US uses “democracy” as a weapon to undermine real democracy in the name of democracy. Over the past 20 years, the NED and USAID have allocated over $250 million USD to programs targeting Cuba. These programs aim to mutate real economic dissatisfaction in Cuba into violent anti-government protests. They have especially targeted Cuban cultural groups and youth groups, with the CIA notoriously infiltrating the underground hip hop scene in Cuba and fomenting counter-revolution. These protests have been utter failures, because people in Cuba are dissatisfied by the US blockade, not by the Cuban government.

But the US is still trying to fulfill the original goal of its blockade, which, in the words of the State Department itself, is “to bring about hunger, desperation and overthrow of government.” Over 60 years of the longest and most severe unilateral sanctions in the world have been exacerbated by the COVID pandemic and decrease of tourism to Cuba, but more significantly by Trump’s hawkish policy towards Cuba, which saw the reversal of Obama-era normalization policies, the addition of 243 new sanctions on Cuba, and the readdition of Cuba to the so-called “State Sponsors of Terrorism” List. In spite of his campaign promises to revert to Obama-era policy, Biden has kept nearly every single one of Trump’s added sanctions and doubled-down on the fallacy that Cuba is a terrorist state. Biden could change this designation with the stroke of his pen.

The blockade is not about restoring democracy in Cuba, despite the US attempts to portray it as such. No, these sanctions are designed to force Cuba into a return to capitalist dictatorship. US laws condition the lifting of sanctions on the complete destruction of Cuba’s revolutionary political and economic systems. For example, the “Cuban Democracy Act of 1992,” commonly known as the Torricelli Act, requires that, for sanctions to be lifted, Cuba must change its Constitution, return US property that was legally nationalized by Cuba, move “toward establishing a free market economic system,” and hold elections for a new government. It promotes US intervention by “[authorizing] the President to provide assistance to promote nonviolent democratic change in Cuba.” So, the “Cuban Democracy Act” is about tearing apart Cuba’s existing democracy and replacing it with what the US deems to be fair elections.

The blockade is not about forcing Cuba to give its people a greater say in their democracy. Cubans already have one of the most robust democracies in the world. Rather, the blockade is about exerting maximum economic pressure on Cuba, to enable the US to impose their so-called model of democracy on Cuba, meaning democracy for the US ruling class to seize and exploit Cuba’s people and resources.

Reports published by the US government on their plans to remodel Cuba into a capitalist state have even modeled Cuba’s transition after the neoliberalization of Eastern Europe during the dissolution of the Soviet Union, where economic shock therapy caused a huge drop in life expectancy and rise in disease and poverty. The US wants to reverse the accomplishments of the Revolution, and force Cubans back into the poverty they lived in under the yoke of the US. These policies are in blatant defiance of international law. They are a gross violation of Cuba’s right to sovereignty and self-determination.

Not only is the blockade a violation of Cuba’s democratic rights, but it is also maintained against the democratic will of the US people and the 96% of the countries on Earth which vote year after year to condemn the blockade in the United Nations. A consistent majority of US citizens support normalizing relations with Cuba and lifting sanctions, especially for vital products like food and medicine, but we don’t get any say in the continuation of the blockade.

A recent poll also showed that a powerful 0% of US citizens think that Cuba is a threat to the US, yet the Biden administration continues to label Cuba as “terrorist.” There is an ongoing push by extreme right-wing Miami Republicans to codify into law Cuba’s “terrorist” designation, so that it could only be reversed if Cuba agrees to destroy its socialist system and replace it with what the US deems to be “democracy.” However, the US people are resisting these hawkish policies. The National Network on Cuba is leading an effort to get Cuba #OffTheList of State Sponsors of Terrorism. For the past several years, Cuban-Americans and allies have been organizing monthly car caravans and standouts against the blockade to build “Puentes de Amor,” or bridges of love, between the US and Cuban people. In Miami, these protests against the blockade have been violently attacked by fascists aided and abetted by the Miami police.

The US labels Cuba as “authoritarian” and “undemocratic” to justify its cruel blockade. In reality, Cuban democracy is centuries ahead of the so-called democracy we have in the US. Observing Cuba’s municipal elections last November was the first time I saw real democracy, after working on dozens of elections in the US. Cuban elections are completely nonpartisan and there is no campaign spending, advertising, or lobbying allowed. Cuba consistently has much higher voter turnout than most other countries in the world. Once elected, representatives are not paid, they continue their lives as workers alongside the rest of the population, and they can be recalled at any point by voters. The workers are the state in Cuba.

In the US, on the other hand, the corporations are the state. Bribery by corporations and lobbyists is legal and in fact a guaranteed path to victory, because the candidate who spends the most money almost always wins. In the US, we are only called upon to have a say in our government when elections take place. In Cuba, elections are not the full extent of how citizens can participate, they are only the beginning. The Constitution is regularly revised with the participation of millions of citizens. Ideas are constantly being generated from the masses and laws are tested and revised with the masses. This is what real democracy looks like.

The father of Cuban Independence, Jose Martí, said, “In a time of crisis, the peoples of the world must rush to get to know each other.” This has been exactly Cuba’s approach to fighting US attempts at isolation. The US uses its huge leverage over the international financial system to bully other countries into submission, to punish Cuba, and to punish even its own US allies for trading with Cuba. Cuba’s approach to building strong diplomatic relations with other countries is based not on bullying, but on cooperation. Cuba sends doctors, not bombs.

Friendships with other countries, and the strength of the Cuban people, are how the Cuban Revolution has continued to survive. When the blockade first began, the Cuban Revolution was able to survive because of the internationalist solidarity it received from the Socialist Bloc. Since then, Cuba has returned the favor to working people across the world, including working people in the US. After the dissolution of the Soviet Union, Cuba was able to survive because of the internationalist medical brigades it launched and because of its partnership with the Bolivarian Revolution. And of course, through collaboration with the People’s Republic of China on economic development.

As we speak, Cuba, along with 148 other countries, is part of China’s Belt and Road Initiative, collaborating on significant infrastructure and energy projects. While the US blocked vital medical supplies reaching Cuba during COVID, China supplied them, returning the favor to Cuba, which offered material aid to China at the onset of the pandemic. In November 2022, Cuban President Miguel Díaz Canel visited Algeria, Turkey, Russia and China. During his visit, they signed a historic cooperation agreement formalizing a $100 million donation from China to help Cuba overcome the economic crisis resulting from US sanctions.

This is the difference between the US and China’s approaches to diplomacy and development. China’s approach is what gives us hope for a world order that is not based on US unipolar hegemony. Multipolarity, de-dollarization, building unity and cooperation will all help Cuba, and all countries being strangled by the US, to maintain sovereignty and hold back regime change.

Young people in the US like me are increasingly skeptical of US regime change propaganda. More young people see China as a friend, not an enemy, than any other generation. We see the utter incompetence of the US in their attempts to ban TikTok. We see Biden continuing the destruction of our environment while China is leading the world in reducing carbon emissions. We see that Cuba has the most progressive laws in the world on LGBTQ rights while fascists in the US are attempting a genocide of trans people. It could not be clearer which countries are the true democracies representing the interests of working people.

The Cuban Revolution has survived for over 60 years despite all odds, and we can only imagine the incredible things Cuba will do when it is able to develop free from the constraints of the US blockade. If we fight for it, then we will see an end to the blockade in our lifetimes and we will live in a truly democratic, multipolar world.

The Peru Protests and U.S. Infiltration of the Left

Pictured: Supporters of Pedro Castillo, the ousted president of Peru, protest in front of police in downtown Lima on Friday, Dec. 16, 2022. (Marco Garro/The New York Times)

By Kidus Desta

Peru has made international news in the past few months after thousands of citizens — many being indigenous and traveling from rural regions — began protesting in the capital city of Lima. Their main demand is the resignation of President Dina Boluarte, who stepped into power after former president Pedro Castillo was ousted from office and imprisoned. Castillo’s removal and imprisonment was the result of his attempt to dissolve the right-wing Congress.

Boluarte has said she will not step down until the next election. This sparked controversy since the next election is not until April 2024 and many see Boluarte as an unfit representative who betrayed Castillo, her party, and the Peruvian people. In addition to Boluarte’s resignation, many protesters are demanding Castillo’s release and changes to the nation’s constitution, which they say grants Congress too much power over the executive branch.

This concern is partly why Castillo ran on creating a new constitution as president. But fulfilling that campaign promise would require the formation of a constituent assembly, which Congress blocked. Some protesters therefore see the need to dissolve Congress so that the process of drafting a new foundational document can commence.

Peru’s current constitution was created under the far-right regime of Alberto Fujimori and is deeply informed by his capitalist politics. The constitution, for example, made it harder to tax gold and copper mines. Some hope that a constituent assembly will pave the way for a new constitutional framework that expands the state’s role in the economy and allows for more taxation on mining to fund social programs that indigenous and rural communities need. 

These communities have long felt disenfranchised. Despite comprising 26% of Peru’s population, indigenous Peruvians — the rural voices of the Andes — hold just 6.92% of federal congressional seats. Hailing from the Peruvian countryside, where he formerly worked as a schoolteacher, Castillo understood the grievances of rural and indigenous Peruvians and tried to address them as president. Boluarte and her government have gone in the opposite direction, ignoring calls to convene a constituent assembly by these marginalized groups who desire a constitution that works for them.

The Boluarte administration’s approach to governance has incited widespread outrage, with 71% of Peruvians disapproving of the president’s job performance. This sentiment — along with disapproval of Congress, which sits at 88% — lays at the heart of the current protest wave. In response, the Boluarte regime has used police repression as a means to retain power. This state violence has killed at least 53 people with the youngest being just 15 years old.

Despite the reprehensible actions of their government, the Peruvian people are firmly on the side of the protesters. According to the Institute of Peruvian Studies, 60% believe the protests are justified. An identical number agree with the central demand to free Castillo and a whopping 69% want a constituent assembly. Meanwhile, only 12% believe in keeping the constitution as is — down from 19% in June 2022. 

During the protests, conservative groups have come together to counter-protest. These counter-protests have been met with skepticism because of their initial backing by the national police, who promoted the “March For Peace” on social media and asked people to attend. Attendees included conservative politicians like far-right congressman Alejandro Muñante as well as retired military and police.

Due to the United States’ history of meddling in Latin America, many are questioning whether the superpower has a hand in the recent events in Peru. Peru — after all — has abundant natural resources including minerals like copper, lead, zinc, tin, silver, and gold. Copper has become an especially important resource in recent years due to its use in energy technology, with Goldman Sachs calling it the “new oil.”

Under Castillo’s presidency, the exploitative nature of neoliberalism was challenged by his demand that these resources benefit the people of Peru. Castillo believed that Peru’s resource endowment could help fund social programs that materially improve people’s lives. But efforts to undermine this vision may have been well underway even before Castillo left office. The day before he was ousted, Lisa Kenna — US ambassador to Peru and veteran of the CIA — met with Peru’s defense minister, “who then told the country’s powerful military to turn against Castillo.” On January 18th, Kenna held a meeting with mining and energy ministers from the Boluarte regime to discuss “investments” — a euphemism for expanding the extractive reach of Western multinationals.

In a stunning betrayal of values, Boluarte has gone from leading an anti-imperialist, anti-neoliberal party to overseeing a regime which serves imperialist and neoliberal interests. Such a betrayal has precedent in Latin America. In 2016, President Dilma Rousseff of Brazil was impeached and replaced by her vice president Michel Temer. Temer's vision of a pro-business economy contradicted Rouseff’s plans to bolster social programs.

During a conference at the Americas Society/Council of the Americas, in a speech addressed to “members of multinational corporations and the U.S. foreign policy establishment,” Temer admitted that this impeachment occurred so that he may be installed as president to cut social programs and privatize industry. This squares with Temer’s history as a US informant and aspiring challenger to Lula in Brazil’s 2006 presidential race.

As with Temer, Boluarte’s turn against her own party is primarily an act of opportunism. By siding with the far-right Congress and its imperialist allies, Boluarte has increased the odds of retaining her position of power. This unholy trinity shows how capitalist powers like the United States can undermine leftist movements in the Global South from within.

Kidus Desta is a Hampton Institute intern and undergraduate studying political science and economics at Virginia Commonwealth University.

A Beginner's Guide to Bank Failures

By Ahjamu Umi

Republished from Hood Communist.

According to a February 2023 Federal Deposit and Insurance Corporation (FDIC) audit, 563 U.S. banks have failed and/or come under regulatory authority since 2021. Here in California, U.S., the latest casualty has been the Silicon Valley Bank (SVB). This latest rash of bank failures, especially within the software start up SVB, have alarmed apologists for capitalism all over the world. With this piece, we are hopeful we can bring some fundamental understanding of “bank failure” and what’s happening for everyday working people.

First, it should be explained that the Federal Deposit Insurance Corporation (FDIC) is an institution of the U.S. federal government. It exists to provide some level of guarantees against bank failure. They do this by regulating banks, auditing them, and insuring bank deposits for up to $250,000 USD (aggregate deposits per institution). 

What Does This Mean?

Let’s say for example, you have $275,000 in liquid asset deposits in any U.S. bank. If that bank fails and/or comes under FDIC jurisdiction, your deposits for up to $250,000 are insured by the federal government, meaning the government should issue you a check for that amount. The remaining $25.000 in deposits that you had in the failed bank makes you now a creditor for that bank. This means they owe you that money, just as you owe your credit card companies, car finance institutions, etc.

Of course, like any creditor/borrower relationship, your ability to get repayment has no guarantee. The bank can come under bankruptcy protection, etc., which means you would lose all or most of that $25,000 in this hypothetical example. But that is a fundamental definition of the role of the FDIC. It’s worth noting that credit unions are governed by the National Credit Union Administration (NCUA), which serves the same general purpose for credit unions that the FDIC serves for banks, including insuring deposits for up to an aggregate $250,000 per customer/member per institution.

It’s important to also note that the FDIC was formed in 1933 as a result of the Banking Act legislation. This happened four years after the great stock market crash of 1929 which means the FDIC was created as a vehicle to encourage renewed trust in the U.S. banking system. It’s that question of trust that provides the basis for creating a simple way of analyzing and understanding what is happening with banks within the capitalist system and how to interpret these bank failures.

The Origins of the Banking System 

Contrary to popular opinion, the international banking system, and the concept of capital as the foundation of that system, did not start from the creative and intellectual genius of the fathers of the capitalist system. Instead, the start up capital for the international banking system came directly from proceeds produced from the enslavement of kidnapped Africans. The labor of their work was converted to revenues that were invested to initiate the banking system and the capital it would rely on to facilitate its existence. Every large international bank today from Chase to Barclays owes its origins to this nefarious beginning. If we understand and accept this irrefutable history, it should be easy to understand that the capitalist banking system, from its beginning, has been about exploitation and its that reality that paves the way for greater understanding of what’s happening today.

How Banks Work 

Banks operate by taking your deposits, no matter how large or small, and investing those deposits to generate capital. The more money you have to deposit, the greater incentives the banks provide you for doing so, for example: no fees, more services, slightly higher dividends (returns on your deposits), etc. Whether you have $250,000 deposited in a bank, or $25, the process works the same. Your money is used by the bank to invest in any number of financial projects designed to provide a positive return for the bank on your deposit. For the overwhelming majority of us, this is done with little to no return to you. 

Let’s say you have a job where your paycheck is directly deposited into your bank account every two weeks, say $2500 twice per month, and from each check you have $300 automatically transferred into your savings account. That means you are saving $600 USD per month. You will receive next to nothing for that money sitting and growing in that bank, but the bank will use your deposits and invest them in any number of profit generating projects— primarily exploitative projects around the world because those types of investments are the best suited to produce the highest return on the dollar. Think exploitative companies that steal resources from Africa for example. Companies like Dutch Royal Shell (Shell Oil) rob Nigeria’s Niger Delta blind drilling for oil. There is no oversight and the workers are paid peanuts. As a result, Shell’s profits continue to break records. Well, a bank will invest in Shell’s stocks and profit from Shell’s theft of resources from Nigeria. As Shell’s profits grow, the bank’s profits grow. And, by profits we mean capital i.e. money the bank earns that serves the sole and specific purpose of being reinvested for additional profits.

That’s why when the capitalist commentators talk about most U.S. banks being “well capitalized” they are actually telling the truth. These banks have millions of dollars – dollars they made investing your deposits – sitting around ready for them to invest to make even greater profits. Meanwhile, you get slim to nothing from them using your money and you will even be penalized if you come upon rough times and cannot maintain the minimum requirements they demand to keep your account(s) going. They have to make those demands of you because if your money isn’t available to them, they have nothing to invest and profit off of it. If you think about it, the banking model is basically the same as someone coming to you, taking your paycheck when you cash it, using your money to make additional money from it, and just returning to you what they took from you in the first place. And, if they are unable to get a return on your paycheck, they are usually supported by the government in their financial challenges while you are left to figure out how to proceed on your own with no help or support.

Silicon Valley Bank & Banks Playing With Your Money

That’s still not even the full story. Besides the example of investing in the exploitative practices of Shell and other criminal multi-national exploitative capitalist corporations, the banks invest heavily into shady and high risk ventures like securities from the secondary market. These types of investments are often bundled high risk mortgage loans, meaning loans provided to buyers who’s repayment potential is questionable, but who agreed to repayment terms at much higher, and profitable, interest rates. These types of unscrupulous business practices by banks have resulted in devastating consequences, such as the 2008 mortgage crash in the U.S. where everyday consumers were left houseless while the banks were bailed out by the 2009 multi-billion dollar gangster deal – compliments of the Obama Administration – one of the most lucrative welfare schemes in human history, recently eclipsed by the $2.2 trillion CARES Act of 2020. As it relates to banks like the Silicon Valley Bank in Santa Clara, California, U.S., the same principles apply. This bank was the home for software startup companies who invested incredible sums of money in highly questionable ventures for most of its 40 year existence. As has been alluded to, this has always been the program of capitalist banks, but in recent years we are seeing the limitations of this strategy much easier because the decline of capitalism has created conditions where the once assumed stability of capitalist banks is now more and more in question. 

Let the Banks Fall While We Rise  

This is a reality that will continue to create hardship for millions of people worldwide, but in the long run, this also has the potential to represent a new day for the masses of humanity where capital no longer controls the narrative everywhere on earth. There are a lot of variables to unpack in order to create that reality, but for now, the best thing all of us can do is engage every effort that we can to educate our communities about the role of banking institutions to profit from our continued exploitation and how the system is set up to support their existence, while making us the main source of accountability for ourselves and their greedy exploitative practices. This problem, like every other problem we face, cannot be resolved through any level of individual initiative. It cannot be resolved by any other approach to stabilizing the capitalist system. This problem is a reflection of the exploitative basis from which capitalism developed hundreds of years ago and it’s simply a manifestation that this profit over people model of operation is existing in its final days. This may be a scary thought to many, but at the end of the day, Kwame Ture was 100% correct when he said that “if we don’t struggle for revolution, we suffer so why don’t we organize and take the suffering as a pathway to our liberation and forward progress instead of just continuing to suffer with no end in sight?”  Capitalist banks are viewed as vehicles to provide us with houses, cars, loans, etc. What they are in reality is a criminal operation that is 100% supported by the U.S. government which is nothing more than a mouthpiece for international capitalism. The sooner we can do the necessary work to create broader consciousness around this, the sooner we can reclaim the resources that rightfully belong, not to a small and criminal elite, but  to the masses of people on earth. 

Ahjamu Umi is revolutionary organizer with the All African People's Revolutionary Party, adviser, and liberation literature author.

The "Manifesto of the Communist Party" 175 Years Later

By Derek Ford

Republished from Peace, Land, and Bread

There’s perhaps no better crystallization of the revolutionary origins of Marxism than the 1848 publication of the Manifesto of the Communist Party (later referred to simply as the Communist Manifesto to please the censors). There’s perhaps no better reason to re-read the text than today, on the 175th anniversary of its publication, on what we now celebrate, thanks to LeftWord Books, as Red Books Day.

The Communist League, a small underground group, tasked Marx and Engels to draft a manifesto that would not only serve as a program of the “party” or political organization but would also potentially intervene in the battles they anticipated coming. As the economic crisis intensified, those clashes did come out into the open, in fact just days after the Manifesto’s publication.

The plan to immediately translate the text into several languages, as indicated in the introduction, went unrealized, and the Manifesto didn’t have an impact on the 1848-49 revolutions (although perhaps it had some influence in Germany). After its initial run in February 1848, it was reprinted a few times by May; but, by then, the initial victories disintegrated. The revolutionary hopes of the bourgeois-democratic struggles were met with fierce counterrevolutionary violence against the workers and the general democratic forces of other exploited classes. Everywhere reaction set in, from France and Prussia (Germany) to Italy and Switzerland, a sequence that pushed developments in communist theory and organizing, affirmed the central tenets of the Manifesto (including the international nature of the class struggle), called for a refined approach to the tactics and strategies of struggle and the national question, and decidedly shifted the center of European revolutionary potential to England. [1]

With the counterrevolution cemented, the League’s leadership suspended its activities, some of which it resumed before officially disbanding in 1852. The text was read by a handful of revolutionaries at the time, most of whom were not in agreement with Marx and Engels, and was written for an even smaller grouping. It wasn’t until the early 1870s that the Manifesto appeared in Europe for widespread distribution. This is partly because of Marx’s prominent role in the First International, beginning in 1864, and his widely acclaimed analysis of the Paris Commune. The main reason, however, was more ironic. The German government put several leaders of the German Social Democratic Party on trial in 1872, and to make their case the prosecution ended up entering the Manifesto into court records. Doing so allowed radical publishers to “evade the censorship laws and embark upon the Manifesto’s republication.” [2] With the Social Democratic Party’s leadership fighting charges of treason, the conditions weren’t favorable to an open call for a communist party to achieve the objectives set out in Marx and Engels’ pamphlet. The new circumstances compelled publishers to change its title to Communist Manifesto. It wasn’t until the Soviet Union’s republication in the early 20th century that the original title came back.

The Manifesto eventually spread across the globe rapidly, from China and Japan to Latin America and the U.S., but only after the specter of communism materialized with the 1917 Bolshevik Revolution. With state power, a dedication to worldwide liberation and socialism, concentration on theoretical study, and general education, among other duties, the Soviets translated it into numerous languages and sold it on the cheap. Since the Bolshevik Revolution, every revolutionary movement has adopted the text for its unique conjuncture, in keeping with the overall ethos of the Manifesto’s content.

Any expression of historical materialism–the method and guide of communists–is, it unfortunately needs to be stated, historical. Nothing holds for all time everywhere. Marx and Engels say as much when they close their preface to the 1872 reissue by listing what they wanted to update 25 years later, a list that is quite extensive especially given its brevity. They didn’t edit the text because it had, by then, “become a historical document which we have no longer any right to alter.” This presents a problem for some readers insofar as it is a very early text, written before Marx’s real study of political economy, and thus one from which the key theoretical developments of Marx are absent. However, in the same preface Marx and Engels also make it clear that “the general principles laid down in this Manifesto are, on the whole, as correct today as ever.” [3] Despite any deficiencies in political clarity or theoretical coherence, its precise, energizing, and careful formulations still exert force today.

Like any work, the Manifesto was determined by its particular context of production. The fact that its distribution and reception have only increased over time (and in ways favorable to our class) testifies to its ongoing relevance. It remains a foundational pillar in the development of Marxism—or revolutionary socialism, a mission we continue to realize on the global scale. The Manifesto comes to life whenever the class struggle intensifies or wherever rapid shifts in political consciousness occur, like in the radical transformation we’re undergoing in the U.S., where the fog of anti-communism is lifting—that’s why Red Books Day has, every year, expanded and flourished. Prompted by this opportunity to revisit the text afresh, this short article doesn’t summarize the content as a whole but rather contextualizes some of the Manifesto’s main principles within some of the later works of Marxism and the Marxist movement more generally, providing clarity and correcting some common misinterpretations of the work that oftentimes falsely justify premature dismissals of Marxism, socialism, and communism. [4] In conclusion, I place the key tasks we inherit from the Manifesto and how later developments in the radical Black and communist theory are absolutely pivotal to pursuing this project today in that they help us understand the links between anti-communism and white supremacy and aid our project in uniting all working and oppressed people for the common liberation of the many.

The Pedagogy and Form of the Manifesto

Marx and Engels met in 1842 on Engels’ way to Manchester, reuniting two years later after Engels returned to the city. Both were fellow travelers of the Young Hegelians. Marx edited a radical paper, Rheinische Zeitung, to which Engels contributed an article on political economy. The next few years of their collaboration were remarkably transformative: by 1846 they had decisively broken with the Young Hegelians and initiated their development of historical materialism and the origins of a more mature revolutionary theory, informed as it was by decades of ongoing practical struggle and study. While Marx and Engels broke with their younger Hegelian selves in 1845-46 to articulate the historical-materialist method of communism, the Manifesto links that method with its objective and organizational form.

The pamphlet was penned primarily by Marx in January 1848 in Brussels, although it was a collaborative project. Notwithstanding the debates about to what extent Engels’ initial drafts contributed to the final project—and in particular his “Draft of a Communist Confession of Faith” for the Communist League’s First Congress in 1847—it was Engels’ overall writing, theorizing, and organizing that provided Marx with the requisite knowledge about modern industry and also that helped both formulate the historical materialist method, and it was largely Engels’ interventions that enabled him and Marx to join the League. [5]

Marx and Engels formally joined the Communist League after the spring 1847 conference agreed to the main points they advocated, which were formally adopted at another congress later that year. These points included the principle that members of the League act “in the interest of the Communist Party, the overthrow of the bourgeoisie.” Along with this, they agreed to change the name from the League of the Just—formed in 1837—to the Communist League. In an internal document on the congress, the change of name is granted significance insofar as communists “are not distinguished by wanting justice in general—anyone can claim that for himself—but by our attack on the existing social order and on private property, by wanting community of property, by being Communists.” [6] The Manifesto marked the first real distinction between communists, on the one hand, and utopian socialists (and social democrats), on the other, a distinction hinging on a systematic understanding of the capitalist class struggle, the need to overthrow our class enemy, and the seizure of power.

The Pedagogy and Conjuncture of the Manifesto

Attending to the Manifesto’s style and pedagogical form is important politically and educationally. By doing so, we prevent or inhibit misreading it ourselves, especially given the dominant and enduring role anti-communism plays in the modern U.S. state. Over the last few years, a multiplicity of differing factors and forces in the U.S. have no doubt radically advanced socialism in the battle of ideas. The popularity and acceptance of—or non-antagonism to—socialism is an incredible, promising, and progressive development. I can definitely divide my own life thus far along the lines of this shift, as it has radically impacted essentially all aspects of it. The waters are open for the word, idea, and even the movement of socialism, but that comes with an unavoidable muddying of those waters. Such conditions are openings for the necessary task of clarifying Marxism, giving definition to socialism, ideologically and organizationally reuniting us with the centuries-long class struggles against oppression and, for a much shorter time, against capitalist exploitation, of which we are a part.

Anti-communism’s role in the U.S. is too expansive to locate in one place; too broad to be reproduced in one form or by way of some other political orientation. Many well-meaning but ultimately insufficient, reformist, or ill-conceived “radical” theories today are premised on a rejection of Marxism and the historical project of socialism and liberation, the twists and turns and the heroism and tragedy of such class struggles. This rejection is reproduced by way of the repetition of incorrect critiques and caricatures, such that when Marx is read it comes through the glasses of an anti-communist orientation. In addition to contextualizing it within some aspects of Marxist theory and the movement, I’ve found that attending to the document’s pedagogical form helps me get what’s happening in these relatively few pages.

The work is, first of all, a manifesto, rather than a fleshed-out and fully developed systematic analysis, a comprehensive program of action, etc. As a specific literary genre, manifestos are “always addressed to the masses, in order to organize them into a revolutionary force.” [7] They are written for the yet-to-be subjects of history with no pretension as to what actual people and groups will occupy that subjecthood or what the outcome of the struggle will be. They are orientations and frameworks, not prescriptions or fixed formulas.

The Manifesto was a specific intervention in a concrete time and in a specific place and moment in history. For the Communist League, the pamphlet served as a preliminary program to organize revolutionaries of different stripes around a set of political aims and objectives—potentially into a party. Because we are part of the legacy it inaugurated, because our primary task is to continue the project to overthrow exploitation and eliminate oppression at the national and global levels, it is a pillar in maintaining our legacy and memory. It can also be a short and accessible introduction to Marxism we can read with others and those new to the struggle.

Manifestos, and this one in particular, embody a specific pedagogical form that utilizes several different tactics, all of which are important to acknowledge. The text is addressed to us: the masses of working and oppressed peoples of the world.

One main tactic employed is the didactical method, which for manifestos must be condensed, a kind of schematic and necessarily reductive account of centuries of history, time, and social formations. The didactic method appears as a quick narrative providing the lay of the land, a portrait that, while not exhaustive, is honestly more in alignment with capital today than in 1848.

For this reason, our enemies cite the Manifesto as evidence of Marxist “stageism”—or the accusation that Marx and communists adhere to a fixed, linear, developmental, and chronological conception of history that runs from lower to higher levels, that goes from the past to the future—that is often clumsily equated with “Eurocentrism.”

Stageism was often present before Marx and Engels severed ties with the Hegelians, a break that required creating an alternative conception of history and temporality, one without any destiny, predetermination, causality, or final conclusion. Thus, when Marx and Engels write about “pre-history” they don’t refer to a past and finished state of a society or the world. They employ it as a conceptual tool used to differentiate capital from previous modes of production, and the same goes with Marx’s later critique of “so-called primitive accumulation.” Differentiating theoretical containers from empirical declarations lets us stay true to the Marxist method and prevents us from reading their concepts—like formal and real subjection—as actual processes happening.

That in the 1840s they broke with the dominant Enlightenment frame of history is quite remarkable, and their response was spelled out most potently in the 1857 “Introduction” to the Grundrisse. Marx criticized bourgeois political economy for following the “rule, on the fact that the latest form regards the previous ones as steps leading up to itself” because, in particular, in capitalist societies contradictions are the rule rather than the exception, which means it is a development that is founded on “relations derived from earlier forms” that are still “found within it only in an entirely student form, or even travestied.” [8] Another way to think about it is that Marx acknowledged that the “present” isn’t an interregnum between a “past” and a “future,” but a time, place, and social location where various temporalities and histories play out in complex ways. The principle of unevenness is a primary element of Marxism, and it applies to development, production, struggle, and our sense of time. Capital, not Marx, tries to homogenize and synchronize time by presenting it as abstract and ahistorical, naturalizing capital and its structures. In the 1883 preface to the Russian translation of the Manifesto, Marx and Engels argue that the Russian Revolution, based on communes or the common ownership of land and resources, doesn’t need to go through a “stage” of capitalist development because “the present Russian common ownership of land may serve as the starting point for a communist development.” [9]

Another pedagogical tactic is the call-and-response. In the second section, Marx and Engels clarify the relationship between communists and the proletarians and address criticisms directed toward the former. They announce the charges against them and their defense, which sometimes validates the accusation through clarification. For example, the capitalists charge the communists with wanting to abolish private property, but under capitalism the vast majority don’t have any private property; “in one word, you reproach us with intending to do away with your property. Precisely so; that is just what we intend.” [10] The reader is engaged in a conversation that is still happening today (including through Red Books Day), but with different coordinates.

The third section takes the form of a literature review, a comradely yet critical survey of different strands of socialist thought by which Marx and Engels can differentiate communism. By placing each in their historical context, we learn some of threads woven throughout the long history of the communist project, some of the different eras and forces that articulated the desire for emancipation and equality, and why their historical and material conditions of thought couldn’t set up the foundations for their fuller elaboration.

Another pedagogical tactic deployed is the rallying call to arms. Section four, the last and shortest part of the text, embodies a pedagogy of mobilization, providing immediate tactical decisions that entail engaging with non-communist forces to serve serve the pressing issues of the working and oppressed so that “in the movement of the present, they [the communists] also represent and take care of the future of that movement.” The Manifesto, addressed to us, the masses that make history, closes out by opening up a new horizon: “Let the ruling class tremble at a Communistic revolution. The proletarians have nothing to lose but their chains. They have a world to win. Working men of all countries, unite!” [11]

A Clear Call for Global Emancipation and Liberation

Marx and Engels open the Manifesto with a sweeping declaration: “The history of all hitherto existing society is the history of class struggles.” Struggles between the classes of the slavers and enslaved, lords and serfs, or “in a word, oppressor and oppressed” are generally latent but erupt into visible confrontations that lead to either “a revolutionary reconstitution of society at large, or in the common ruin of the contending classes.” [12]

As Marx openly acknowledged, he wasn’t the first to discover or theorize the existence of classes or the class struggle [13]; that the goal of the class struggle was the political supremacy of the proletarians, however, was a main point of contention between various socialist forces, particularly between the utopians and the communists, as the latter insisted that only through open struggle and the achievement of political power could we achieve equality.

The character of the class struggle changes under capitalism, as do its avenues of struggle. The capitalist epoch is distinct insofar as it generally simplifies class antagonisms. “Society as a whole is more and more splitting up into two great hostile camps, into two great classes directly facing each other: Bourgeoisie and Proletariat.” [14] In this conjuncture of the class struggle, the latter class is revolutionary—or potentially revolutionary.

As a text written for the imminent European crises, its immediate horizon was the workers and militants across Europe. They were writing largely and somewhat schematically about Europe because it was the place, stake, and audience of the battles; but it is clear that the development of European capital wasn’t confined to the continent, that it included the colonization of the Americas and the opening up of the Indian and Chinese markets, as the overall development of production and distribution propelled new developments in communication and transportation, new railways, and created new markets for their commodities and new sources of raw materials and labor, etc. To power such production required new energy sources and inputs, and former ‘middle-class’ independent workers and middle-class operatives of capital were replaced by the modern capitalist class. Each technological revolution within the capitalist revolution cohered a capitalist class that, with its quickly increasing power and reach, captured “the modern representative State,” which “is but a committee for managing the common affairs of the whole bourgeoisie.” [15] The state, that is, serves as a mechanism for the capitalist class to manage its internal and external contradictions.

Marx and Engels survey the revolutionary role played by the bourgeoisie in the struggle against feudalism in Europe, although this is sometimes more sarcastic than serious. The capitalist class overthrew feudal rule, abolishing small-scale patriarchal relations that could be explained away by the Church and replaced them with “naked self-interest” and “substituted naked, shameless, direct, brutal exploitation” for previous labor relations clouded in personal relations and ideological mysticism or immediate dependency. [16] While capital cannot hide its exploitation, it can provide cover for it through abstract legal notions like equality and freedom.

Capital’s growing power also catalyzed the extent of crises of overproduction “because there is too much civilization, too much means of subsistence, too much industry, too much commerce.” [17] The capitalist’s only solution to their own crises is to lay the foundations for more intensive and protracted ones. Because of the competitive laws of capitalism, the bourgeoisie always looks upon the current productive and social relations as transitory and in need of constant change:

Constant revolutionizing of production, uninterrupted disturbance of all social conditions, everlasting uncertainty and agitation distinguish the bourgeois epoch from all earlier ones. All fixed, fast-frozen relations, with their train of ancient and venerable prejudices and opinions are swept away… All that is solid melts into air, all that is holy is profaned. [18]

Capitalism is dynamic; in order to expand—which is its modus operandi—it has to continually reinvest in changes to technologies, transportation, and communication, overcoming the isolation of feudal life and concentrating large numbers of workers in cities and factories, facilitating communication, and organizing. In 1848, this was still a minor and ascendant tendency, although today it is fully realized. The League couldn’t send a pamphlet across the globe in a manner of seconds.

The incessant revolutions in the forces, means, and relations of production “chases the bourgeoisie over the whole surface of the globe,” a phenomenon bourgeois commentators only realized about 130 years later. As capital nestles everywhere, it brings “under the feet of industry the national ground… All old-established national industries have been destroyed or are daily being destroyed. They are dislodged by new industries, whose introduction becomes a life and death question for all civilized nations, by industries that no longer work up indigenous raw material, but raw material drawn from the remotest zones.” [19]

Capital is a colonizing world power, and Marx and Engels recognized this as a contradictory and also forthcoming development:

The bourgeoisie, by the rapid improvement of all instruments of production, by the immensely facilitated means of communication, draws all, even the most barbarian, nations into civilization. The cheap prices of commodities are the heavy artillery with which it batters down all Chinese walls, with which it forces the barbarians’ intensely obstinate hatred of foreigners to capitulate. It compels all nations, on pain of extinction, to adopt the bourgeois mode of production; it compels them to introduce what it calls civilization into their midst, i.e., to become bourgeois themselves. [20]

This is not a welcoming reception but a warning signal, because “civilization” for Marx and Engels is British or European civilization, one founded on colonialism and slavery, theft and dispossession. The reference to the Chinese Wall is, similarly, not literal in terms of the actual wall nor how capital breaches it, as capital deploys both the “free market” and the coercive and repressive military power that backs that market up.

Marx and Engels certainly appreciate how the generation of productive forces provides the material basis for providing for all of the world, although they were referring to Western Europe in the text. The elimination of scarcity as an inescapable reality and the means to provide not only the basic necessities for the present but additional wants and even stocks of goods for the future is a historic accomplishment. They also celebrated the mixing of lives and cultures owed to urbanization and the dominance of the city over the country, as it “rescued a considerable part of the population from the idiocy of rural life.” [21] The English translation “idiocy” refers to a lack of communication and brevity of social relations, rather than any “intelligence” status. In fact, the increasing comingling of people in cities and countrysides produced a broader and more sophisticated intellectual arena for all.

Moreover, Marx and Engels are responding to the utopian socialists’ critique of bourgeois society by demonstrating the structural reasons for the suffering of such “advanced civilizations” to which the utopians attributed the ills of society. The utopian socialists’ intentions were good but their understanding was guided by morality and their methods were limited to the construction of communes that would, by reason and rational argumentation, win the ruling class over to their side.

Capital’s Production of Our World

The accumulation of capital is the accumulation not only of production and property but of political power, producing a “national” being or a state entity by which the oppressed must conquer—and have conquered—to acquire political supremacy.

In this way, the Manifesto’s assertion that capital “creates a world after its own image” continues to explain much of our global situation today. [22] This is not because capital reproduces itself everywhere and in the same manner, but rather because capital is an inherently uneven system. Consider the absolute general law of capitalist accumulation that creates “accumulation of wealth at one pole” and “accumulation of misery, agony of toil, slavery,” and so on, at the other pole. [23] The accumulation of capital is simultaneously “increasing concentration of the means of production, and of the command over labour” and the “repulsion of many individual capitals one from another.” This, in turn, is offset by the centralization of capital, whereby many smaller capitals are combined into larger capitals. [24] The limit here is, of course, capital’s, insofar as capital can’t accept the complete centralization into a single entity.

The state is key to this and other processes of capital accumulation, which is evident with an example Marx gives of the productive capacity of capital’s centralization: “The world would still be without railways” so long as their production was in the hands of a large number of smaller capitalists, but centralization “accomplished this in the twinkling of an eye.” [25] Railways are forms of immobile and fixed capital, which “assigns it a peculiar role in the economy of nations.” Fixed capital is national capital because it “cannot be sent abroad, cannot circulate as commodities in the world-market.” [26] In order for capital to circulate, it must also be fixed in space; in order for capital to accumulate in one place, it must diminish somewhere else. Hence, the important economic function of war: it literally destroys capital to allow for renewed accumulation.

Marx and Engels articulate some of their knowledge at the time on the dynamics of capital, which never map onto history. The reason the world isn’t a complete image of capital is, additionally, due to the historic resistance of working and oppressed peoples who have achieved political supremacy, although in a different manner than the Manifesto and, later, Marx and Engels, held.

Proletarianization

About halfway through the first section, after discussing the developments of capital, Marx and Engels switch to how the bourgeoisie produced the class who can abolish it and class society: the proletarian class, one continually changing and faced with the task of political consciousness and organization. As capital increases, so too do the ranks of the proletariat, as even smaller independent capitalists can’t compete with modern industry while any unique skills are rendered redundant by technological transformations.

Returning to the opening lines, where they assert that class struggle is the motive force of history, and that capitalism increasingly polarizes society into two antagonistic classes or camps, can better clarify some of the central but often overlooked or misunderstood elements of this formulation.

The first is that the splitting up into two classes is a process rather than a finalized or even finalizable state. In other words, proletarians aren’t produced once and for all; capitalism divides society into two antagonistic groupings. The second is that they refer to both as classes and “camps.” Despite the absence of a fully worked-out definition of classes in the text or in Marx’s work overall, they perhaps called them camps to account for their non-exclusionary character. Indeed, what is remarkably notable in the opening lines are the reduction of various class struggles to that between the oppressor and the oppressed. Even as they acknowledge several classes, some of which include more complicated hierarchies and layers or levels, they recognize a continuity that is more than a repetition of the same and, perhaps, by equating the capitalist class struggle with the struggle between the oppressor and oppressed.

No more do special places in the social division of labor exist—they mention priests and lawyers, scientists and doctors—as a revered and privileged position; they too are reduced to proletarians. [27] Today, 175 years on, my colleagues at DePauw University, facing yet another invented “crisis” and another round of cuts and layoffs, realize that we are workers, not “professors” or “teachers.” Such surprise is explained by the withering away of any material basis for middle-class status and the increasing deskilling of our labor-power. Engels’ similarly accounted for any awe in his 1845 work, The Condition of the Working Class in England, where he recounts how capitalist development in colonial Britain deprived even workers of the illusion they could attain a decent standard of living, thereby collecting “together those vast masses of working men who now fill the whole British Empire.” [28]

The technological dynamism propelled by the need to increase the social productivity of labor through machinery, similarly, swells the ranks of the unemployed and “dangerous classes” and make all proletarians’ “livelihood[s] more and more precarious.” [29] Again, 175 years ago Marx and Engels located precarity as a primary condition we, as workers, are forced to grapple with—well before the “gig economy.”

Oppressor and Oppressed

In the first section, the discussion of the proletarian class comes immediately after Marx and Engels mention how capital tries to solve its contradictions through “the conquest of new markets.” This demonstrates that, even this early on, communists centered the colonial question, even if it wasn’t refined at this time. As Lucia Pradella, among others, has forcefully demonstrated, Marx gave increasing attention and weight to the anti-colonial revolutions happening in the mid-late 19th century. Colonization, for Marx, was not a ‘North-South’ or ‘East-West’ issue; it was, and is, an issue of domination and exploitation.

Neither Marx nor Engels only attended to Europe, nor did they abstract Britain or Europe away as self-enclosed entities. In the Grundrisse, for example, Marx addresses the concentration of labor-power into collective labor, which explains “the violent rounding-up of the people in Egypt, Etruria, India etc. for forced construction and compulsory public works.” [30] Over time, Pradella shows, they extended their position on national liberation and class struggle—both struggles between the proletariat and the bourgeoisie—to other colonial territories, including China and India. During the Taiping Revolution, “Marx changed his previous unidirectional view of international revolution, tracing a relation between proletarian struggle in the metropolis and anti-colonial movements in the colonies.” He welcomed the revolution and the detrimental impacts it would have on British colonialism, the same reason for which he supported—and “was probably the first major European intellectual and political activist to support the national liberation struggle in India.” [31] In a direct rebuttal to allegations of Eurocentrism and a privileging of the ‘working-class’ as the revolutionary subject, Marx argued that the anti-colonial rebellions would come before and would ignite the socialist revolutions in the colonizing countries. [32]

One could argue that the equation of the class struggle with the struggle between the oppressor and oppressed anticipated their forthcoming incorporation of the colonial question and the centrality of national liberation, something featured in the Manifesto itself.

The closing section of the pamphlet addresses how communists in different nations relate to other opposition parties. “In Poland,” they write, communists “support the party that insists on an agrarian revolution as the prime condition for national emancipation.” [33] Just a few lines up from the closing clarion call for “working men of all countries, unite!” we read that, wherever they are, communists “support every revolutionary movement against the existing social and political order of things.” [34] Certainly, they didn’t have a fully fleshed out theory of national liberation and socialism, although later on they did. [35]

Same Objectives, Different Conjuncture: Anti-Racism and the Socialist Struggle

Marx and Engels open the Manifesto not with a preordained future but an indeterminate future that will be produced through struggle: if the proletarians don’t overthrow the bourgeoisie there is “the common ruin of the contending classes.” [36] These options are translated in various ways (e.g., barbarism or socialism; humanity or capitalism), but they are still the base options available to us today. The central question, then, is how do we ensure the victory of our class?

The Manifesto offers no prescriptions and, indeed, the League lacked the depth and breadth of experience from which to draw on to even reflect on their previous organizational forms. Yet it is clear that the proletarians can’t fight it out alone or even on the scale of the workplace, industry, community, or state.

Capitalism, as a system of oppression, requires a collective and organized revolutionary struggle to overthrow it by foreclosing any individualistic or particularistic forms of resistance. As capital grows, so too does its class enemy: “a class of labourers, who live only so long as they find work, and who find work only so long as their labour increases capital.” [37] Independent artisans, shop-owners, peasants, and small producers are thrown into this lot through the production of machinery, which ultimately incorporates the workers’ skill and knowledge into a form of fixed capital. However we rebel and develop, we have to recognize that “every class struggle is a political struggle,” and whenever we fight the bosses and oppressors we’re engaged in the class struggle and in a political project. [38]

The key task, then as now, is to organize the working and oppressed peoples “into a class, and consequently into a political party” that, “organized as the ruling class” will implement a program for the oppressed. [39] This task is, to be sure, complex, sensitive, and contingent on time, place, and society. In the U.S., no communist party or communist movement can unite working and oppressed people into a class unless it represents the diverse characteristics of our class and fights tooth-and-nail for the national and racial liberation projects against white supremacy, settler-colonialism, and the emancipation of all oppressed identities.

By doing so, we confront head-on the ties between anti-communism and white supremacy that Gerald Horne makes clear. Racism to this day is linked with the emancipation of the formerly enslaved because Reconstruction–even after its counterrevolutionary overthrow—was “one of the largest uncompensated expropriations” until, that is, the Bolshevik Revolution in 1917. As such, Horne asserts that “African Americans are living reminders of lost fortunes,” and so “the reaction to socialism–which has also involved expropriations of property—is difficult to separate from race and racism.” [40] For this reason, the primary obstacles to overcome are the long and ongoing legacies of racial slavery and white chauvinism. If we don’t understand their links with what Charisse Burden-Stelly calls “modern U.S. racial capitalism,” we can neither understand contemporary capitalism nor overthrow the capitalists class. [41]

The Communist Manifesto announced the need for the proletariat to win political supremacy and rule over their former oppressors without, however, saying how to pursue this task or what role the state played in it. It was precisely “the defeats of the revolutions in 1848 that allowed Marx to go beyond the Manifesto’s general formula and sum up that experience with greater clarity” rather than “an abstract formula.” [42] Marx and Engels admit as much in the 1872 Manifesto preface, as the Paris Commune made it clear that workers can’t use the existing state for our project but must smash that state and construct a new one in our interest. We can’t rely on the contemporary U.S. state, founded and maintained as it is by white supremacy, capitalist exploitation, imperialist plunder to provide either the avenue to socialism or the apparatus by which to achieve it.

Let’s read the Manifesto of the Communist Party today, and tomorrow, for our history, present, and our future common and universal emancipation and freedom.

Endnotes

[1] One of Marx’s main disputes with other members of the League was his assertion that, because the German bourgeoisie was so inactive and powerless, that country could undergo a bourgeois and subsequent proletarian revolution in 1848 (a “permanent revolution”).

[2] Jones, Gareth Stedman. “Introduction.” p. 17.

[3] Marx, Karl, and Engels, Friedrich. The Communist Manifesto. pp. 198, 197.

[4] For more background and context, see The Peoples Forum. “History of The Communist Manifesto with Brian Becker.” Available here.

[5] Ireland, David. The Communist Manifesto in the Revolutionary Politics of 1848. pp. 37-68.

[6] Wolff, Wilhelm, and Schapper, Karl. “A Circular of the First Congress of the Communist League to the League Members. June 9,1847.” pp. 599, 595.

[7] Althusser, Louis. Machiavelli and Us. p. 17.

[8] Marx, Karl. Grundrisse. pp. 105, 106.

[9] Marx, Karl, and Engels, Friedrich. The Communist Manifesto. p. 196.

[10] Ibid., p. 237.

[11] Ibid., p. 258.

[12] Ibid., p. 219.

[13] Marx, Karl. “Marx to Joseph Weydemeyer.” pp. 2-65.

[14] Marx, Karl, and Engels, Friedrich. The Communist Manifesto. p. 220.

[15] Ibid., p. 221.

[16] Ibid., p. 223.

[17] Ibid., p. 226.

[18] Ibid., p. 222.

[19] Ibid., p. 223.

[20] Ibid., p. 225.

[21] Ibid., p. 224.

[22] Ibid.

[23] Marx, Karl. Capital (Vol. 1). p. 604.

[24] Ibid., pp. 586, 575.

[25] Ibid., p. 588.

[26] Marx, Karl. Capital (Vol. 3). p. 162.

[27] Marx, Karl, and Engels, Friedrich. The Communist Manifesto. p. 228.

[28] Engels, Friedrich. The Condition of the Working Class in England. p. 30.

[29] Marx, Karl, and Engels, Friedrich. The Communist Manifesto. p. 229.

[30] Marx, Karl. Grundrisse. p. 528.

[31] Pradella, Lucia. Globalisation and the Critique of Political Economy. pp. 120, 122.

[32] Marx, Karl. “Revolution in China and Europe.” p. 93.

[33] Marx, Karl, and Engels, Friedrich. The Communist Manifesto. p. 257.

[34] Ibid., 258.

[35] La Riva, Gloria. “Lenin and the Right of Nations to Self-Determination.”

[36] Marx, Karl, and Engels, Friedrich. The Communist Manifesto. p. 219.

[37] Ibid., p. 227.

[38] Ibid., p. 230.

[39] Ibid., p. 230, 242.

[40] Horne, Gerald. “White Supremacy and Anti-Communism.” pp. 282-283.

[41] Burden-Stelly, Charisse. “Modern U.S. Racial Capitalism Some Theoretical Insights.”

[42] Becker, Brian. “How the Ideas of ‘The State and Revolution’ Changed History.” p. 11.

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