The Coming Struggle for Power
by John Strachey
Victor Golancz Limited (1932)
Free download link: The Coming Struggle for Power
In The Coming Struggle for Power, British historian makes the prediction (writing in 1932) that capitalism is in its death throes and will end by 1950. He was wrong, obviously. Strachey had no way of predicting the tremendous boost monopoly capitalism would receive from Cold War military spending, nor the “financialization” (the shift from selling products to selling financial instruments) that would happen in the 1970s.
The book is largely historical, tracing the transition all global economies underwent from feudalism to mercantilism (large scale international trade) and from mercantilism to capitalism. In Europe both transformations were violent. Strachey points to the Rebellion of 1640 (during which Charles I was beheaded) and the Revolution of 1688 (in which James II was overthrown) during the feudal-mercantilist transition. The Enclosure Acts of the 18th century marked the mercantilist-capitalist transition. During this period British troops drove tens of thousands of families off lands they had farmed communally for more than 1,000 years – with most ending up in prisons and work houses.
Strachey also stresses that neither the French Revolution nor the American Revolution was really about political freedom or equality. The real purpose of both wars was to end old feudal relationships that interfered with the right of the new capitalist class to freely produce, buy and sell goods at a profit
The Inevitable Decay of Monopoly Capitalism
Strachey takes the Great Depression of the 1930s as evidence that capitalism has reached its final stage of monopoly capitalism. Quoting Lenin, he lists the three telltale signs that monopolistic capitalism has begun to decay:
1. The monopolistic corporations that control finance capital (ie banks) essentially merge with the monopolistic corporations that control production.
2. There’s growing focus on exporting capital (ie moving factories overseas).
3. National governments, which are essentially controlled by their monopolies, are in constant conflict with one another over who will control the resources, markets and cheap labor of the Third World.
Gee, this sounds familiar. The parallels with 2017 are uncanny.
The Inevitable Rise of Fascism
Strachey also writes about the important role of fascism in end stage capitalism. The declining profits and growth (ie stagnation) associated with end stage capitalism inevitably lead to reduced wages, poorer working conditions and a claw back of social welfare benefits enacted during more productive periods. This, in turn, leads to more conflict between workers and capitalists. Ensuring that production continues during a period of heavy stagnation necessitates the rise of fascism, in which the capitalists themselves organize workers into right wing populist movements which enact laws unfavorable to working people.
How Capitalism Stifles Intellectual Life
For me, the most interesting section of The Coming Struggle for Power concerns the stifling effect of corporate capitalism on intellectual life. Emphasizing the narrow ideological framework capitalism imposes on intellectuals, he devotes one chapter each to religion, philosophy and science and two to literature.
Because “capitalist” theologians and philosophers are limited to value systems that support profit taking and wealth accumulation, humankind has made absolutely no progress in 200 years in leading more moral and ethical lives. This stifling effect is also obvious in the areas of renewable energy technology (people forget Carter had a solar panel on the White House in 1979) and health science. At present, the profit motive has distorted health care to the point that many medical interventions actually make people sicker.