Why Marx Was Right by Terry Eagleton

The only Marx I’ve ever read is The Communist Manifesto. Given capitalism’s recent problems, I thought it might be a good idea to learn more about him. This book by English academic and literary critic Terry Eagleton was probably a good place to start.

Why Marx Was Right is a chapter by chapter set of responses to common objections to Marx’s thought. In each case, Marx seems to come out on top: “This book had its origin in a single, striking thought: What if all the most familiar objections to Marx’s work are mistaken? Or at least, if not totally wrongheaded, mostly so?” It’s a well-written, rather breezy book. Eagleton suggests that Karl Marx was a brilliant social theorist, far ahead of his time, although I’m not sure how accurate Eagleton’s portrayal of Marx is. 

The Marx described by Eagleton sounds like a democratic socialist, a 19th century progressive and proto-environmentalist who understood the world more clearly and was a better person than the Communists who achieved power in the 20th century, claiming to be “Marxists” or “Marxist-Leninists”.

The biggest question I had after reading Why Marx Was Right is how Marx’s ideas would work out in practice. At one point, Eagleton describes what would apparently be a Marxist form of government:

It is not a state we ourselves would easily recognize as such. It is as though someone were to point to a decentralised network of self-governing communities, flexibly regulated by a democratically elected central administration, and announce “There is the state!”, when we were expecting something altogether more inspiring and monumental.

That is the clearest description of a Marxist state in the book (as best I remember). According to Eagleton, Marx “defended the great bourgeois ideals of freedom, reason and progress, but wanted to know why they tended to betray themselves whenever they were put into practice”. Likewise, once socialism takes advantage of the infrastructure created by capitalism and evolves into communism, would that infrastructure tend to wither away, since the profit motive would no longer be in full force?

Eagleton argues that Marx would not eliminate the profit motive entirely, but it’s not clear how a truly Marxist state would function. Communism as instituted in the real world has never resembled the seriously democratic system Marx apparently proposed. Nor have communist governments been established in countries with advanced capitalist infrastructure. Marxism is one of those social experiments that have never been performed.

Yet some of what Marx argued for, especially as expressed by Eagleton, would be desirable correctives to the system we’ve got now. In particular, we in America would benefit from more democracy, more socialism and more environmentalism. In Eagleton’s words: 

Capitalism is the sorcerer’s apprentice: it has summoned up powers which have spun wildly out of control and now threaten to destroy us. The task of socialism is not to spur on those powers but to bring them under rational human control.

Not complete control, but certainly more control.

Periodic Update from Krugman the Indispensable

Paul Krugman was right about Bush’s tax cuts and the Iraq War. He was right about the 2009 stimulus. He’s been right about Europe’s austerity program. I’m sure he’s right about this too:

“The latest projections [from the Congressional Budget Office] show the combined cost of Social Security and Medicare rising by a bit more than 3 percent of G.D.P. between now and 2035, and that number could easily come down with more effort on the health care front. Now, 3 percent of G.D.P. is a big number, but it’s not an economy-crushing number. The United States could, for example, close that gap entirely through tax increases, with no reduction in benefits at all, and still have one of the lowest overall tax rates in the advanced world.

But haven’t all the great and the good been telling us that Social Security and Medicare as we know them are unsustainable, that they must be totally revamped — and made much less generous? Why yes, they have; they’ve also been telling us that we must slash spending right away or we’ll face a Greek-style fiscal crisis. They were wrong about that, and they’re wrong about the longer run, too.

The truth is that the long-term outlook for Social Security and Medicare, while not great, actually isn’t all that bad. It’s time to stop obsessing about how we’ll pay benefits to retirees in 2035 and focus instead on how we’re going to provide jobs to unemployed Americans in the here and now.”

http://www.nytimes.com/2013/06/03/opinion/krugman-the-geezers-are-all-right.html

Money Is Wasted On the Rich

At an art auction on Tuesday night, an anonymous buyer bid $43,800,000.00 (that’s 43.8 million dollars) for this painting (the blue thing with the white stripe, not the gentlemen in suits).

We could draw lots of conclusions from this latest Gilded Age moment. At a minimum, we ought to have a progressive sales tax, one that applies higher rates to more expensive purchases. For this particular purchase, I’d recommend a tax of at least 100%.

http://www.nytimes.com/2013/05/15/arts/design/record-auction-price-for-barnett-newman-at-sothebys.html?hp

The Cutting vs. Spending Argument Should Be Over

In a recent blog post, the (indispensable) economist and columnist Paul Krugman has summarized his view of our economic predicament and what we should do to get out of it. He did this in response to a billionaire who went on TV and spoke like a simpleton. Krugman makes his case as clearly as possible, so it’s worth reading if you have any doubts at all about whether the government should be cutting or increasing spending in our present circumstances. 

http://krugman.blogs.nytimes.com/2013/04/27/the-ignoramus-strategy/

Henry Blodget, who isn’t an economist and was convicted of securities fraud when he was a research analyst at Merrill Lynch, argues that the argument about cutting vs. spending is over and Krugman won.

http://www.businessinsider.com/paul-krugman-is-right-2013-4

It’s clear that Krugman and his like-minded Keynesian colleagues have won the argument in the sense of having offered enough evidence to prove their thesis to reasonable people. Whether they’ve won the argument in the sense of getting politicians to change their policies isn’t clear yet. The most we can reasonably expect is that the tide has turned.

As we know, most people, especially politicians and pundits, hate to be proven wrong. Admitting that they were wrong to promote government austerity in response to the Great Recession would require a lot of character.

What I would love to see is President Obama, who is said to be a reasonable person, admit that his search for a “Grand Bargain” with the Republicans has been a terrible mistake. He should admit that we need to repeal the Sequester immediately (not just as it affects air travelers) and increase spending on infrastructure, education, research, grants to local government, etc. etc.

If it would help, Obama could have Krugman sit next to him and explain the situation in terms that even billionaires would understand! Not everyone would be convinced (there are plenty of simpletons and others with their own agendas), but it would be a step in the right direction.

Postscript 4/29/13 —

This is a sensible summary from Washington Post columnist E. J. Dionne (although it’s not really a “whodunit?” because we know who done it):

http://www.washingtonpost.com/opinions/ej-dionne-the-economic-whodunit/2013/04/28/6948f9a4-aea9-11e2-8bf6-e70cb6ae066e_story.html

It’s Nice When the World Makes Sense

Even if the underlying facts aren’t so great at all.

Case 1: Paul Krugman ties together two recent stories: how the economic evidence for cutting government spending during a recession is non-existent, and how cutting spending on programs like Medicare and Social Security is the preferred strategy of the rich. It probably won’t make any difference that the scientific support for government austerity during an economic downturn has been demolished, since facts don’t necessarily trump ideology. For the most part, the political class is subservient to the upper class. Marx, who helped generate a vast number of ideologists himself, wasn’t wrong about everything.

http://www.nytimes.com/2013/04/26/opinion/krugman-the-one-percents-solution.html?ref=paulkrugman

Krugman cites the study I wrote about under the title “What the 1% Want from Washington”:

https://whereofonecanspeak.com/2013/04/07/what-the-1-want-from-washington/

Case 2:  According to the New York Times, the Boston police commissioner admitted this week that Dzhokhar Tsarnaev (joh-KHAHR’ tsahr-NEYE’-ehv) and the boat in which he hid were both in the 20-block search perimeter all along. It’s not clear why Tsarnaev wasn’t found during the manhunt, but it wasn’t because the boat was 1 block outside the search perimeter, as the Watertown police chief claimed. (See the post below, which includes a transcript of the police discussing where to search.)

In this case, it didn’t make sense that a small army of police failed to search an area 2 or 3 blocks from where the guy dumped his getaway car. What didn’t make any sense now makes some sense. People make mistakes and then make excuses. No shock there.Â