[Marxism] Anthony Brain on snapshot which Keith Brasher article gives of main dynamics within China!
marian.brain at btinternet.com
Fri Nov 19 16:34:24 MST 2010
WHAT KEITH BRADSHER’S NEW YORK TIMES/INTERNATIONAL HERALD TRIBUNE REVEALS WHICH
DIRECTION THE CHINESE BUREAUCRACY IS HEADING? by Anthiny Brain
The Chinese Bureaucracy has gained the most from trade with Imperialism. There
is still room for them to benefit with continuing trade but they are telling
American Imperialism in particular they will not give up their privileges which
Bradsher reports. They are in a position to do enormous damage to American
Imperialism if the U.S. protectionists win out. It is due to the superiority of
a planned economy which explains why China is leading such an export growth in
Asia; Africa; Middle East; Latin America; and even whole parts of Europe.
China also has an advantage of what Trotskyist Ernest Mandel called the
Bourgeois norms of distribution in terms of world trade with relation to
American Imperialism in particular due to an over-valued Dollar. Bradsher
points out how this has strengthened Chinese producers of telecommunication
equipment; cars; and solar panels. Imperialism allowing the Chinese workers’
state to become important to an international division of labour since the 1980s
is another indication of Capitalism’s decay. One consequence of American
Imperialism losing the Iraq and Afghan wars is that they have massively built up
their debts and over-valuing the Dollar. Oil in the Middle East has become more
expensive as a direct result of American Imperialism losing the Iraq war. The
overthrow of Yeltsin on January 1st 2000 represented that wing of Russian
Stalinism who did not want Imperialism gaining more ownership of their natural
resources, which culminated in the Oligarch Mikhail K. being arrested and
imprisoned in the autumn/winter of 2003.
Bradsher describes the “political clout” of Chinese Industrial Bureaucrats in
ensuring that 90% of borrowing goes into nationalised industries. This is where
a whole section of the Bureaucracy’s privileges are based. Mandel when he wrote
“Power and Money” documented all the main Bureaucratic layers within the Soviet
Bureaucracy. Mandel argued the main contradictions within the Bureaucratised
workers’ states are between the non-Capitalist mode of production and the
Bourgeois norms of distribution. There has to be some modification of this
analysis due to Capitalist inroads on top of Bureaucratic pillage within Eastern
Europe is led to massive socio-economic dislocations. Russia since 2000 has
recovered due to Capitalists being weakened internally and those extreme
Bureaucratic pillagers being reigned in partly to stop revolutionary upheavals
by the workers. Eastern Europe remains workers’ states because the Capitalist
firms have not completed the overthrow of Bureaucrats who base their privileges
on nationalised industries/workplaces.
Capitalist inroads (except when millions were laid off before 1989 Tinaman
Square protests and layoffs during 1994) have not had the same damaging effect
on China that it has on Eastern Europe and Russia. This is primarily because
the Capitalist elements played a supplementary role in supplying goods to the
workers’ state. Trotskyists oppose the Capitalist inroads as unnecessary
because billions/trillions could be saved once the workers overthrow Stalinism
through a successful Political revolution. As Trotsky; Cannon; and Joseph
Hansen stressed in their writings you have to distinguish between the norms of
workers’ states and their reality composed on internal dialectical
If American Imperialism goes protectionist against the Chinese Bureaucracy it
could severely weaken the Capitalist elements within China. Imperialism and the
Capitalist elements within China want interest rates to be increased so their
profits can increase and cause massive dislocations to nationalised
industries/workplaces. If Imperialism /Capitalist elements cannot immediately
overthrow a workers’ state they will want to cause the maximum damage, laying
the basis for a Capitalist counter-revolution. Several months ago I did some
research on the Chinese banking system, which showed that the Bureaucrats nearly
control almost all of them through Nationalised banks through 3 or 4
organisations. Capitalist banks are a very tiny fraction of Chinese banking.
Today the Chinese Bureaucracy has increased taxation on commercial banks.
These commercial banks according to Bradsher provide the main funds for China’s
2.65 Trillion dollars worth of foreign reserves. Bradsher also describes the
beginning of a crackdown on Capitalist property developers with the central bank
(who go under the name of People’s Bank) with threats to stop then buying
further real estate. The Ministry of Commerce also promised to tighten
regulations into investments within industry and other big projects.
There are moves by the workers beginning to challenge the Bureaucracy’s rule as
shown by the strikes which broke out this summer. The Bureaucracy is feeling
pressure as Bradsher notes to introduce a wide range of food price controls.
Workers are also demanding more available supplies of cheap food and fuel.
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