THE END OF CAPITALISM

Deutsche Version        Versión española

Theses:

The majority of greenhouse gas emissions are caused by the production and transport of goods within the economy. As the economy grows, greenhouse gas emissions continue to rise, which means that climate change is accelerating.Read More

What is capitalism anyway?

Capitalism is an economic system based on private ownership of the means of production with the aim of making a profit. Under capitalism, the means of production such as factories, land and machinery are controlled and utilised by private individuals or companies to produce goods and services.

A central aspect of capitalism is the free market, where supply and demand determine prices. The idea is that competition between different suppliers will promote efficiency and innovation, which should ultimately lead to greater prosperity for society.

However, as long as capitalism exists, there will always be losers.

As a rule, resources are allocated according to the principles of self-interest and profitability and not according to the needs of the people.

The effects of climate change have long since reached us in Germany. Nevertheless, we will emit more carbon dioxide worldwide next year than this year as a result of economic growth.

Have we lost our minds or has this capitalist economic system, consisting of a global economy and international finance capital, slipped out of our hands?

Why does capitalism exist at all?

Before there was capitalism, there was an guild economy. This was a kind of planned economy in which the guild were told what and how much could be produced. A man by the name of Adam Smith was fed up with this kind of dictation and dreamed of the ‘prosperity of nations’. He proposed that every entrepreneur should produce what and how much he wanted and thus created competition and the free market.

The disadvantage of any competition is that there are few winners and many losers. Nevertheless, we should thank Adam Smith, because this competition has ultimately catapulted us to today’s level of science and technology.

Now these achievements must be distributed fairly. Competition is of course completely unsuitable for this. After all, it’s not about the strongest and fastest getting the most from the table, it’s about everyone getting something.

Capitalism has fulfilled its purpose and must now be brought to an end.

What is the future of growth?

The basic principle of capitalism is growth. And the consequences of unchecked growth are climate change and wars over dwindling resources.

The surest sources of future growth are climate-related environmental disasters and wars, because they destroy something that needs to be rebuilt. It’s like the ‘economic miracle’ after the Second World War. Everything that involves spending money increases economic growth.

That is why capitalism will not do anything effective against these disasters. That alone is reason enough to end capitalism.

What is not possible:

  • Make the economy sustainable
  • Reform the financial system

Why?

Because the economy and the financial system optimise each other. The capitalist system does not allow any intervention in this system. The economy always finds a loophole through globalisation.

The capitalist system has emerged stronger from all major economic crises.

We have known for at least 50 years that economic growth is destroying our livelihoods, but growth continues unhindered, even though there are many good ideas. Since then we have been waiting for conventional solutions to end this growth.

Time is really pressing, so an unconventional solution is needed now.

Who is to blame for the global problems?
The economy or the financial system?

Today’s economic crises are caused by international financial capital. If the economy shrinks and can no longer fulfil financial services adequately, then the banks turn off the money tap and the economy collapses.

That is why we need to decouple the financial system from the economy as quickly as possible. Otherwise it will not be possible to curb growth.

The best way is revolution?

Most of us can imagine what revolution means. There have already been a few. In the great socialist October Revolution, the workers took over the economy and the capitalists were expropriated.

Many people would do something like that again to smash capitalism.

But didn’t we say
that the financial system is the real problem?

Shouldn’t we rather take targeted action against the financial system or at least free the economy from the clamp of the financial system? The term ‘decoupling’ is very popular with our economic prophets, so let’s simply ‘decouple’ the financial system from the economy.

But all programmes for overcoming capitalism do not target international finance capital in the actual revolution, but are directed against the person of the capitalist and against the economy that is to be smashed.

The solution

How should we take action
against the financial system?

Imagine that all left-wing movements, all climate initiatives and all trade unions succeed in organising a worldwide general strike. And now imagine that the workers do not stop working to bring the economy and the capitalists to their knees, but continue to work, but voluntarily, without pay.

This would go in the right direction and take the backbone out of international finance capital.

We can easily imagine a worldwide general strike and we can also imagine people in the economy working without pay. After all, around 40 per cent of all people worldwide already work without pay, mainly in the care sector and in reproduction. The whole of civil society works like this.

According to Karl Marx, the (financial) value of a commodity is created through labour. However, if all labour in the world is performed voluntarily, then no costs are incurred and the goods have no financial value at all.

After all, we get all our raw materials and energy free of charge from the earth and the sun. Read More

If no costs and no financial values arise, then of course all goods produced and all services can also be provided free of charge.
In turn, this means that nobody needs money or wages to get all the goods and services they need.

The financial system is then superfluous and will simply dissolve.

  • No more fear of unemployment!
  • Everyone will have unhindered access to all the necessities of life

Of course, there will also be no more capital. That is therefore the end of capitalism.

No one will earn money from the production and trade of weapons any more, that will be the end of all wars.

The causes of climate change are gone!

If there is no longer a financial system that exerts pressure on the economy, then the economy can shrink at will. That is also the prerequisite for a complete circular economy. After all, there are no more wages, so it doesn’t matter how much time is spent producing and dismantling a good.

If all goods and services are given away, then nobody is interested in giving away more than is absolutely necessary. Therefore, there will be no more advertising and no more discount campaigns and the products will last much longer again. As a result, much less will be produced. If only half as much is produced, then we only need half as much energy and resources, and only half as much CO2 is produced. The long-term climate goals are thus achieved immediately and neo-colonialism comes to an end.

Overcoming ownership

One important aspect of a revolution is property. It would be best if there were no property at all later on. But in the previous revolutions and in the known programmes for a future revolution, there is only a change of ownership. Private property is to become „Property of the people“, but it still remains property. This always harbours the danger of the emergence of bureaucratic-capitalist systems, such as those that emerged in the countries of actually existing socialism. The retransfer of ownership after the fall of the Berlin Wall could also be carried out quite easily.

But what happens with the programme presented here?

The abolition of the financial system ultimately leads to the abolition of money. If there is no money, then there is no profit. Consequently, property, i.e. the tool with which profit is generated, is useless.

However, the owners are still responsible for maintaining their property. To relieve themselves of this responsibility, they will release the property. It will then be freely available to everyone again, just as it was until about ten thousand years ago. The great advantage would be that nothing would have to be taken away from anyone, so this kind of abolition of capitalism could be completely peaceful.

The end of the exploitation of women

If there is no longer a difference between paid labour in production and unpaid labour in reproduction (which is often performed by women), both are automatically equal. As a result, the problem of gender inequality will gradually disappear all by itself.

Genuine grassroots democracy

Today, parliamentary democracy is about parliament fighting mainly for money in order to fulfil the promises made to the voters.

When the financial system has dissolved, then the people in the residential communities will decide directly which necessary tasks are realised.

What will become of work?

Today, people work to earn money.Read More

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Risks

The first question today was:
‘Can this work at all?
Won’t the entrepreneurs still sell the goods, even if all the employees work voluntarily?

This question does not apply if we want to end capitalism. Entrepreneurs also have an interest in withdrawing from the financial system because they are under competitive pressure and competition is getting tougher and tougher.

We will also announce this measure in advance so that everyone has the opportunity to understand its logic.

In an emergency, the global general strike will simply continue with the work stoppage.

The decision will then be: co-operative cooperation for the good of the planet and the safeguarding of our future
or the acceleration towards collapse.

Which decision will people make?

Nobody will work if they don’t get paid

Read More

Chaos, murder and manslaughter?

There will be no chaos, because initially there is no difference from before. Read More

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What happens if nobody pays taxes anymore?

All the people who are currently paid from tax revenuesRead More

What about progress?

The most common argument in favour of competition and the market is progress. Read More

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Rubbish collection – who still does it?

A very common question is what happens to the unpleasant activities. Read More

Need to discuss?

I would be happy to discuss this new concept with you. Please write me an email if you would like to discuss it.

Contact: post@LetUsBe.One

Berlin, 04 June 2024

Eberhard Licht

This is my personal homepage and my personal opinion.

Here’s a free, easy-to-read book on the political, economic and philosophical underpinnings of this idea.