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Socialist Action 2004

Draft Political Resolution


 

(The general line of this resolution was adopted by the Socialist Action National Committee Plenum January 30 - February 1, 2004, San Francisco. By vote of the National Committee the resolution was edited, updated and approved by the Political Committee, April 21, 2004, for submission to the membership for the purpose of opening the pre-convention discussion leading to the July 23-25 National Convention.)

 

    As he began a talk in the mid-1920s to a conference of the Georgian Bolshevik Party on the prospects for the Russian Revolution, Leon Trotsky explained, "The world situation means for us the aggregate of conditions which hasten or delay the process of proletarian revolution." It is our tradition as well to begin any discussion on the U.S. political situation with an analysis of the world political situation. As both scientific socialists, that is, Marxists, and as internationalists, we understand the absolute necessity of anchoring our analysis in the context of the larger developments in world economy and politics.

 

    Trotsky's talk was given at a time when the flames of the international revolutionary movement that emerged from the world's first imperialist war and the associated victory of the working class in the world's largest nation, Russia, had died down considerably. It was a difficult moment and a time for sober analysis of future prospects. But it was also a time that history records preceded the world's second world conflagration, World War II, by only some 14 years, an event that again shook the foundations of the world capitalist system.

 

    The international situation today remains extremely contradictory.  On the one hand, U.S. imperialism remains the top dog in world politics, a rabid dog to be sure! In the last four years it has "successfully" [and we use this word in quotation marks.] invaded and occupied four nations. The first, in 1999, was Yugoslavia. U.S. troops remain in Kosovo today, establishing military bases for future incursions in Central and Eastern Europe. Afghanistan, where resistance persists, remains subject to an unstable U.S.-backed regime, a composite of the handpicked Karzai-led collaborators and regional warlords.

 

 In Iraq, more than a year after the declared end to the war, a courageous and increasingly united people are challenging the now not so cock-sure occupiers with a tenacity far beyond anyone's expectation. We cannot yet tell whether the Iraqi masses are capable of maintaining the present level of resistance, but the range of possibilities, from overt and increasingly coordinated guerrilla opposition to a sustained “Intifada” of the Palestinian variety, seem to mark the minimum parameters in regard to what the U.S. occupiers will face in the years ahead. The formation of a mass revolutionary party in Iraq, capable of uniting all the oppressed and in alliance with similar formations across the Middle East, will prove decisive in the years ahead.

 

Most recently, in Haiti, U.S. troops physically removed the elected President, Jean Bertrand Aristide, and effectively established the rule of the former death squad government. Even this poorest nation in the western hemisphere, one of the poorest on earth, holds something of interest to the U.S. corporate elite, who found it to their advantage to more firmly insure the super exploitation of the Haitian masses.

 

On the surface, these four invasions represent victories for U.S. imperialism and a strengthening of its position against its imperialist competitors. But the U.S. invasions are driven by the growing weakness of the U.S. economy in the face of what we will see is the growing economic power of the combined forces of its European opponents. The measures taken by all the major capitalist powers against their respective working classes and against the poor people of the world more generally are a reflection of the continuing decline of average corporate profit rates worldwide. The intensified fight for new markets has exacerbated the contradictions in the system as a whole. Tens of millions are fired as each new wave of technological innovation replaces more workers with machines and as ferocious competition reduces average profit rates to the breaking point.

 

No major power has been able to stay in the race without imposing massive cuts in social services of every type, without granting unprecedented trillion of dollars in tax cuts to help stabilize failing corporations and without resorting to unprecedented deficit spending. Once the world’s leading creditor nation following WWII, the U.S. stands today first in the world of debtor nations, with an historic and unpayable debt of $7 trillion.

 

In summary, the world situation today finds major corporations that have led the world for decades in danger of collapse while smaller competitors are daily forced to merge or, in the alternative, file for bankruptcy and leave the playing field all together.

 

Capitalism’s world decline drives it to new levels of exploitation, to a worldwide rearmament threatening new and more frequent wars, to increasing and a menacing destruction of the environment, massive unemployment and the near ruin of whole peoples in the Third World whose standard  of living has been reduced to below starvation levels.

 

 The U.S. has spent unprecedented trillions of dollars on war materials, the most advanced instruments of mass destruction on the planet. It threatens future neo-colonial-type invasions in North Korea, Iran and most recently, in revolutionary Cuba. It has armed and financed Latin American dictators in Colombia and sent troops to the Philippines to quell revolutionary struggles. It backed a failed rightwing coup in Venezuela and threatens to send troops there and to other Latin American countries, where the masses have mobilized to drive out an assortment of discredited politicians who have implemented U.S.-backed neo-liberal economic reforms with disastrous consequences for the vast majority.

 

  The U.S. boasts a "recovering" economy and touts the modest rise in the stock market as proof. On the surface, at least, measured by the imperialist standards of conquest and profit, American capitalism seems to have met with some success. Its domain has been expanded as the dollar follows the gun in search of new markets and new levels of exploitation. Let's take a closer look.

 

  Iraq: The state of occupation and resistance

 

  We are compelled to modify our previous assessment of the most likely post-Iraq war situation, where we were initially quite skeptical regarding the capacity of the Iraqi people to mount anything resembling a sustained resistance. What we expected to be relatively sporadic skirmishes from a defeated and leaderless people has proven to be a significant and deeply-rooted response, so much so that top U.S. officials are now calling for the sending of an additional 40,000 U.S. troops to suppress the rebellion.

 

The Iraqi struggle takes place under the most difficult conditions. Each act of resistance is countered by massive destruction and murder. Iraq mirrors the Palestinian horror, where brute force is the prime weapon of the hated occupiers. But even the might of the greatest power on earth has proven to be insufficient to prevent the Iraqis from driving U.S. troops out of important areas of the country.

 

    Significant U.S. casualties, some 700 deaths to date, have brought home the reality of the war to broad layers of the American population. This figure does not include the losses suffered by the British and by the token forces from other nations that the U.S. has pressured or paid to give its occupation an international appearance. Excluded also are the losses suffered by Iraqi police and other collaborators hired by the conqueror.

 

    The losses on the Iraqi side have been staggering. 11,000 have been slaughtered, many Sharon style, that is, by collective punishment, as their villages are bombarded and leveled with depleted uranium shells fired by U.S. forces and by rockets and bombs that don’t distinguish between combatants and the general population.

 

The intensity of the fighting in Iraq is reflected in the fact that there have been few takers of the $10,000 re-enlistment bonus offered by the Pentagon. No American or foreign national is safe in Iraq, from soldiers encamped on their bases, to helicopter and other aircraft pilots, to high level diplomats in hotels en route to the airport, to business contractors of all nationalities in pursuit of stupendous profits or in the hire of the CIA – as was the case of the captured security “contractors” in April whose charred bodies were paraded through the streets of Fallujah in front of cheering crowds in the thousands.

 

    The U.S. military is stretched thin across the globe. It has floated the idea of re-instituting the draft to beef up its forces. A draft in the U.S. can be expected to add qualitatively to the significant antiwar opposition in the United States that has already absorbed some important lessons. The most important of these, of course, is the now proven fact that the major pretexts for the war, the possession by Iraq of weapons of mass destruction and Iraq's involvement in the 911 terrorist attack on the U.S., were lies plain and simple.

 

The contradiction between the wide exposure of these lies and the important but still modest domestic reaction can only be explained by the fact that no fighting oppositional working class force in U.S. society yet exists to make the liars pay the price. But the exposé has nonetheless penetrated into the broader consciousness, where it rests for the time being, awaiting the opportunity for expression. That the government lies, that good paying jobs are lost, never to be replaced, is known by increasing millions. The solution resides in the future, with the emergence of class-based movements capable of presenting more definitive challenges to the status quo, perhaps not that far off.

 

 But the failure of the U.S. to find any weapons of mass destruction has been noted well by the American antiwar movement and the population as a whole. The well-publicized remarks of the now-resigned head of the American inspection team, Dr. David Kay, to the effect that there never were "weapons of mass destruction" in Iraq when the war began has further exposed the lying U.S. pretext.

 

Inside Iraq the occupation faces resistance from all quarters, including the Shiite majority collaborationist leadership –who saw the U.S. dilemma as opening up possibilities for a better deal than the initial U.S. "offer" of virtual total submission. From the Shiites who resent the imposition of a U.S.-controlled government, to the minority Sunnis, largely frozen out of the "democratic process," the fight to rid Iraq from the imperialist invaders deepens.

 

Even the historically oppressed and stateless Iraqi Kurds, who today mistakenly collaborate with the U.S., have not forsaken their fight for self-determination. Their allegiance to the struggle to remove the invaders will depend on the emergence of a leadership among the Shiites and Sunnis capable of championing their national rights.  

 

 In early April this resentment boiled over to open confrontations as Sunni fighters stood poised to drive U.S. forces out of Fallujah, a city of 300,000, and as the Shiite cleric Moktada al-Sadr, with an impressive militia force, initiated coordinated attacks in Baghdad that bewildered U.S. commanders. In little over a week more than 60 U.S. soldiers were killed and U.S. planes and helicopters, once thought invincible, were shot out of the air.

 

 The American-appointed Iraqi Governing Council was compelled to report that negotiations for a cease fire were underway, an open recognition that American power is far from established.

 

 The events in Fallujah were triggered when American troops employed attack helicopters, tanks and warplanes in a mass slaughter of 800 people designed to intimidate a risen people who five days earlier had taken vengeance on a symbol of their hatred, four “civilian contractors,” that is, security guards (as it turns out, ex-military personnel hired by the CIA) who believed that conquered Iraq was theirs for the taking.

 

  What is near miraculous about the underground and now above-ground resistance is its capacity to inflict major casualties against a world power that has at its command the most sophisticated and deadly technologies known in history. The fact that the resistance has continued after Saddam Hussein's capture only emphasizes the depth of the hatred against the invaders.

 

 While U.S. imperialism touted this capture of its former Iraqi ally as a symbol of the completion of its fake anti-terrorism "war for democracy," it finds itself increasingly isolated in a quagmire that has united the Iraqi people more so than anytime since the 1958 revolution that removed the imperialist- backed monarchy. 

 

The guerrilla war is inseparable from the public opposition manifested by massive Iraqi worker protests, in the tens of thousands, for jobs, trade union rights, and the restoration of the destroyed nation's infrastructure.

 

 George W. Bush, who originally announced to the world that no country that opposed the U.S. war against Iraq would receive contracts to do business in that country, has been compelled to whistle another tune, offering a piece of the financial action in return for "allied" troop support to reinforce the U.S. occupation. Still, the occupying forces are insufficient to smash the Iraqi resistance as are the paltry "reconstruction" programs initiated to lend an air of "humanity" to the imperial project. To date, troops from Spain, Honduras and the Dominican Republic are slated for withdrawal.

 

 While the U.S. rulers fall deeper into what may become Bush’s Vietnam, they will continue to maneuver in an effort to install the compliant government they require, alternating brute force and horrific slaughter with probing negotiations designed to divide the opposition. The latest effort in this regard was the April 15 announcement of Bush officials that it was willing to effectively dissolve the present U.S.-appointed Iraqi Governing Council and replace it with a U.N.-appointed interim council, established after “consultation” with the U.S. and the present council.

 

What is clear is that the proposed June 30 date for the “handing over of power” to whatever vehicle is established by the imperialists and/or their U.N. agents will have no effect on the future of Iraq. The occupiers’ troops will remain in place and the wealth of the nation will be subject to U.S. dictates.

 

Yesterday the corporate media referred to the Iraqi resistance as the work of isolated uncivilized religious fanatics, foreigners, remnants of Saddam's elite and all the other terminology employed since the dawn of colonial conquest to belittle the victims and ennoble the conquerors. "U.S. troops were needed to prevent civil war," so the occupiers prattled before the first great steps in the direction of Iraqi unity had been taken. Today, the Iraqi people have taught the imperialist beast a few lessons about vocabulary and more. They have declared to the world that their freedom will not be deterred by American might or negotiated at any bargaining table whose parameters are set by conquerors. It remains to be seen whether a leadership capable of deepening the unity can emerge in the period ahead.

 

The U.S. troubles are compounded by their inability to rapidly repair, protect and exploit Iraq's vast oil resources. The fact that the Iraqi actions include desperate suicide missions that have resulted in civilian casualties has not negated the mass character of the opposition to the imperialist occupation. A April poll indicated that 78 percent of Iraqis opposed the occupation. Other polls commissioned by U.S. propagandists presented a rosier picture.

 

  It is critical that the antiwar movement stay clear of taking sides in the present ruling class debate as to the form of future imperialist rule in Iraq. This includes stating a preference for the nature of the government to be established, whether it be a product of "free elections," as demanded by the Shiite majority in the past, or some other formula. We base ourselves on the well-established principle of self-determination of oppressed nations. That is, we do not recognize the validity of the imperialist invasion in the first place. We do not accept it as a “fact of life.” We don’t advise the imperialists as to how best to establish “democratic” institutions. Instead, in accord with the self-determination principle, we demand, “Out Now!”

 

    The same applies to efforts by various imperialist bodies to bring to trial as a war criminal, or for any other reason, Saddam Hussein. We take the same position with regard to Hussein as we did in regard to Slobodan Milosevic, regardless of his crimes against the Kosovars. In both cases we begin and end with the premise that imperialism has no rights in these matters. The right to judge either Hussein or Milosevic rests only with the peoples of Iraq and Yugoslavia respectively.

 

The viability of the antiwar movement

 

    The continued struggle of the Iraqi people strengthens the capacity of the U.S. antiwar movement to mount still important actions on the streets of U.S. cities. The modest initial actions on October 25, 2003 can now be seen as a resting point for the movement rather than an indication of the need to lower expectations in regard to the movement’s capacity to mobilize significant forces against the occupation. The March 20 protests in New York, San Francisco, Chicago, Los Angeles, Portland, Minneapolis and hundreds of other U.S. cities initiated by the United For Peace and Justice Coalition and A.N.S.W.E.R., (Act Now To Stop War and End Racism) are a clear indication that the antiwar movement is alive and well.

 

The size and scope of the March 20 national and international mobilizations on the first anniversary of the U.S. war exceeded even the most optimistic movement estimates. In the U.S. 100,000 mobilized in New York, nearly 50,000 in San Francisco and tens of thousands more in hundreds of U.S. cities. While some reformist leaders attempted to use the March 20 platforms to press for lesser evil politics, that is, "Anyone But Bush," they were incapable of muting the basic message, a resounding "No!" to the U.S. occupation and war. Three million echoed the same idea as they mobilized worldwide. Bush's approval ratings, fluctuating just above or below 50 percent, have dropped significantly despite the corporate media hype designed to portray his murderous war as an act of self-defense against imminent attack. Today, the same hype aimed at justification of the occupation is based on the new invention that the war served to remove a dictator and open the door to Iraqi democracy. Very few believe it. Growing numbers understand that the Iraq war was a war for oil, for power, and for advantage over imperialist competitors. In short it was an expression of the growing antagonisms between the great powers stemming from the deepening economic crisis facing world capitalism.

 

      In spite of its political and organizational limitations and the ongoing factionalism that reflects the weaknesses of the political forces taking major responsibility for these organizations, they have both proved capable of bringing onto the political scene in a principled manner hundreds of thousands of opponents of U.S. war. A.N.S.W.E.R has issued a call for mass antiwar actions in Washington, D.C., San Francisco and Los Angeles on June 5. We endorse these actions and will work to build them.

 

Haiti and the U.S. antiwar movement

 

We note, however, that the text of the call includes the demand that Aristide, the deposed President of Haiti, be returned to power. While we protest the U.S.-backed overthrow of Aristide as a fundamental violation of the right of self-determination, we believe that it is incorrect for the U.S. movement to call for the return of the pro-capitalist Aristide, who subordinated the needs of Haiti’s workers and peasants to the interests of U.S. capital when he was in office.

 

Moreover, in a historic betrayal of Haiti's mighty 1804 slave revolution against French colonialism, Aristide and his U.S. supporters implored U.S. imperialism on two occasions to occupy Haiti, a sovereign country. In the first instance, to overturn the 1991 CIA supported military coup which led to the 1994 US-led UN occupation and for a second time in 2004, after his regime came under attack from former Haitian Army CIA assets and paramilitary thugs. Aristide has demonstrated his inability to offer an alternative to U.S. militarism and is unworthy of support. The anti-war movement should demand "Self Determination for Haiti! U.S./U.N. Out Now!"

 

The criminal U.S.-led UN military intervention in Haiti is a continuation of 200 years of neo-colonialism. On Feb. 29th the United Nations Security Council handed George Bush a "mandate" to invade, with France, Canada and Chile as accomplices. This is the third U.S. occupation. The other two, no less criminal, were under Democratic Party presidents. Despite Washington's support to every dictatorship in Haiti's history the U.S. has intervened each time in the name of "democracy." 

 

The inclusion of demands for Palestinian self-determination and freedom

 

  The antiwar movement’s addition of the demand for Palestinian freedom to the Out Now! demand in regard to the March 20 actions did not, in our view, detract from the demonstration's turnout or in any significant way limit its breadth of support. The Palestine demand served to deepen the understanding of the U.S.-backed Israeli regime as the colonial oppressor of the Palestinian people and of the U.S. as the parallel oppressor of the Iraqi people.

 

  We do not believe that the addition of the Palestinian issue limits the size of the antiwar movement. As we have noted in the past the forces that previously opposed the inclusion of this issue are in retreat and the knowledge of the nature of the Palestinian oppression and U.S. complicity has taken a major step forward. The antiwar movement’s identification with the Palestinian struggle, intimately connected to the Iraqi occupation, has gone a long way to increasing the participation of the broad Arab communities across the U.S. At a time when these same communities are also under attack with regard to their fundamental civil liberties and democratic rights, the movement’s welcoming their participation represents an important advance. It is a statement to the world that our movement defends Arab rights in the U.S. and worldwide. To date, we have seen no significant evidence that the inclusion of the Palestine issue reduces the size of mass actions. Indeed, the opposite appears to be the case. Aside from a handful of “left” Zionists and a few labor bureaucrats whose union’s ranks generally hold them in low regard, the losses have been minimal. Even here, the liberal Zionists and labor officials refrain from an open break, knowing that to do so would further reduce their credibility.

 

The re-emergence of the demand for a democratic secular Palestine

 

With the unceasing and naked moves of the Israeli Zionist settler regime to forcefully expel Palestinians en masse, important sections of both the U.S. antiwar movement and the Palestinian people more generally are coming to realize the absolute futility of the demand for a separate Palestinian state based on the recognition of the formation of Israel and the legitimacy of the U.N. partition. Bush's "road map for peace" and its reflection in the proposed Geneva Accords spell out the Zionist and imperialist plans in detail. Palestine, at best, is to be restricted to a Bantustan-like existence, that is, Palestinians are to be restricted to tiny, economically non-viable, individually isolated and militarily controlled zones that in no stretch of the imagination can be considered a viable nation.

 

  Recognition of this fact is now widespread, culminating in a petition initiated by U.S.-based Arab American organizations and signed originally by 1,000 leading activists and intellectuals. The petition, although with some ambiguity, comes as close to a democratic secular Palestine solution, our position, than we have seen for decades.

 

The petition's correct insistence on the right of return of all Palestinians in the Diaspora to the lands and property of their birth also marks a step forward for the Palestinian struggle. Tragically, this new orientation appears to be the product of decades of defeat, as reformist attempts at a negotiated two-state solution proved futile and as Israel policy proceeds inexorably toward driving more and more Palestinians out of what remains of Palestine as well as from the illegitimate Israel state. The latter has today replaced some 400,000 Palestinian workers with workers from other nations, bringing the unemployment rate of Palestinians to well over 70 percent.

 

  The 2004 elections

 

The extent to which the size of antiwar demonstrations could be less than their potential will not be determined by objective factors like the ongoing struggles of the Iraqi people or the growing impact on workers of the profit-driven decisions to offshore U.S. jobs and cut social benefits or to increase productivity by the substitution of machines for workers. Rather, the conscious decisions of significant sectors of the movement itself to subordinate mass antiwar mobilizations to the election of lesser evil Democrats in 2004 will impact the antiwar movement's potential. There is no doubt that the “Anyone But Bush” phenomenon will take its toll on the movement’s ability to organize independent mass actions.

 

  The leadership of the UFPJ is a case in point. This outfit's national coordinating committee has already declared that its major priority in 2004 is to replace George Bush with a "lesser evil" Democrat. We have covered this phenomenon in our press. It is far from limited to the UFPJ. With few exceptions the liberal/left activists and intellectuals, in full retreat, have dedicated the coming year to turning every social protest group they can toward electoral activity, from voter registration drives to the organization of mass antiwar protests with a barely-disguised  agenda of electing Democrats. In regard to these latter type actions, the UFPJ’s approach is to flood the speaker’s platform with local and other Democrats who present the “Dump Bush” message. We have never opposed having representatives of capitalist parties on stage at antiwar protests as long as other voices were present. But today, the latter type of speakers will be reduced to the minimum.

 

  The lesser evil stampede has been joined by forces around the Not In Our Name Coalition, who are preparing a major demonstration aimed at the Republican Party Convention scheduled for New York City.

 

  To date the A.N.SW.E.R coalition has refrained from open support to the Democrats although the track record of the leading component of this formation, the Workers World Party, indicates adeptness at organizing mass protests to "Fight the Right" as election time approaches. For the moment it appears that ANSWER will use the stage of its protests to showcase so-called antiwar Democrats who will undoubtedly denounce President Bush, rather than opt for a more direct or overt orientation toward ruling class politics as in the case of UFPJ.

 

  The fact that not a single one of the Democratic Party hopefuls stood for the movement's central demand, "Bring the Troops Home Now!" makes it more difficult for the various reformist groups and prominent individuals to totally disorient the antiwar movement. Even the longshot Dennis Kucinich, touted as "THE" antiwar candidate, prominently featured the slogan "U.S. Out! UN In!" on his website. Kucinich favored U.S. troops in Iraq but preferred some international cover for the operation. Howard Dean, like Kucinich, took the middle road, posing as a moderate Iraq policy critic but rejecting the movement's Out Now! position. With Kerry all but selected, there’s not much chance that he or any other Democrat will pose as an antiwar candidate, making it more difficult to derail the movement.

 

Kerry has made all the right moves from the ruling class standpoint and in regard to what he and his advisers deem necessary to win the presidency. He has called for more U.S. troops in Iraq, announced his “100 percent support for Israel,” backed the assassination of the new Hamas leader, Abdel Aziz Rantisi, “regretted” the withdrawal of Spanish troops from Iraq, and attempted to one-up Bush with regard to virulent attacks on revolutionary Cuba. In short, Kerry is no “peace candidate.”

 

 This contrasts significantly with the Vietnam era when significant portions of the antiwar movement, especially in the early stages, supported a negotiated settlement as opposed to "Out Now!" and when the ruling rich found it necessary to run some “doves” for president. While the UFPJ effort to orient the movement toward the Democrats will continue, as will the Noam Chomsky-endorsed petition to "Stop George Bush!" by voting for a Democrat who "will not meet all your criteria," it is unlikely that principled mass protests will be squelched to a significant degree.

 

We will continue our participation in the antiwar movement as before, endorsing the actions, building support in our press, mobilizing our periphery to attend and organizing the best propaganda intervention we can on the day of the various events. We do this with the understanding that our limited forces make it impossible to play a leading role in the movement at this time.

 

The April 25 national march for women’s lives

  

    Sponsored by the National Organization for Women (NOW) and a half-dozen women’s organizations, the April 25 Washington, D.C. mass action for abortion rights and women’s lives promises attracted hundreds of thousands of women and men who understod the severity of the government’s stepped-up attacks on critical rights won in struggle over the past several decades. The bi-partisan assault on women’s rights today threatens to further limit the right to abortion and to add criminal penalties for women and the medical facilities providing abortion services. Hopefully, the massive turnout on April 25 will help to reinvigorate a women’s movement that had largely turned away from mass action.

 

It is necessary to state that both NOW and NARAL (National Abortion Rights Action League), another major march organizer, have failed to organize a single mass action in recent years to challenge the continuing assault on reproductive rights. NOW, as in the past, their calls to mobilize are left to election time. Their aim is to use the occasion to mobilize women and their allies to vote for the lesser evil. The onstage scene in Washington on April 25 included a parade of Democrats, local and national, who laid the blame for the plight of women on the Republicans. While the Democratic Party remains fully complicit in the assault on abortion rights, it is portrayed as the champion of the women's movement!

 

  In the absence of a mass force capable of posing a clear independent alternative, mass mobilizations like the April 25 action will continue to have a contradictory character. The basic demands for abortion rights and opposition to the mounting efforts to ban abortion entirely are on the mark. The notion that they can be achieved through subordinating the movement to the Democratic Party is fatally flawed.

 

  NOW itself has undergone a major transformation over the past decade or so. Its local chapters are largely ossified, rarely meet, and function more as adjuncts to the Democratic Party than as activist centers fighting for women's rights. In San Francisco, which formally had a vibrant chapter, the group's local leaders are today more often than not employees of the Democratic Party, staff local offices and otherwise act to advance their personal careers as Democratic Party functionaries.

 

  Illusions in the twin parties of capitalism remain high, especially in the absence of a real alternative. The labor bureaucracy is incapable of providing even the semblance of opposition. It has declared well in advance that its class collaborationist orientation will be maintained at all costs, both in the political arena – where several of the largest AFL-CIO unions that initially declared for Howard Dean have now switched to Kerry – to trade union struggles. Anything less than a complete break with this bureaucracy and its strategic class collaborationist orientation will doom labor to additional disastrous setbacks.

 

Same sex marriage and the struggle for gay and lesbian rights

 

The unexpected decision of newly-elected San Francisco mayor Gavin Newsom to instruct city officials to issue marriage certificates to gay and lesbian couples who requested them set off a firestorm of controversy across the U.S. Within days and weeks similar actions were taken by city and county governments in several areas of the country. Citing constitutional provisions mandating equal treatment under the law, the Massachusetts Supreme Court issued a ruling that effectively legalized same-sex marriage.

 

The courage of gay and lesbian couples to publicly and spontaneously, in the thousands, line up at the San Francisco city hall to be legally married inspired others to do the same across the country. The event opened a national debate that exposed the hypocrisy of opponents of same sex marriage and gay and lesbian rights more generally. It revealed that virtually nothing other than base prejudice lay behind the rationale offered by bigots of every sort from the major Democratic Party presidential candidates to President Bush himself.

 

It is this prejudice that the capitalist class seeks to exploit. They need to stigmatize gays and lesbians and other oppressed groups as inferior, that is, undeserving of the benefits of the law and beneath the “morals” of the majority, in order to maintain their discriminatory policies more generally. A witchhunt atmosphere against gays and lesbians (GLBT/gay/lesbian/bi-sexual and transgender people) serves to intimidate and divide working people and thereby reduce their capacity for a united struggle against the capitalist system as a whole.

 

The debate opened a schism in the Democratic Party as local officials and party activists were embarrassed when their “leaders” bent to bigotry and election-time opportunism rather than stand for fundamental democratic rights.

 

The most intelligent responses in the debate were the simple statements and opinions of millions that all people should have the right to marry the person of their choice. The debate forced into the open the fact that the denial of same-sex marriage rights carried with it the exclusion from legal benefits granted to heterosexual married people. The exclusions are incorporated by legal interpretation or backward tradition into innumerable laws and regulations whose financial and social benefits are denied to gay and lesbian couples.

 

In short order both major capitalist parties agreed to try to bury the debate in a morass of court challenges designed to postpone a resolution until at least after the 2004 national elections. In Massachusetts, an effort is underway to reverse the State Supreme Court’s decision through a public referendum.  The idea that one’s right to marry a person of one’s choice can be restricted by majority vote is inimical to the basic principle of civil liberties, that is, the protection of minorities from the “tyranny of the majority.”

 

Socialist Action has always defended the democratic right to same sex marriage, regardless of our view of the marriage institution in capitalist society. We oppose all forms of discrimination based on sexual preference as well as on race, creed and nationality. The fact that this important struggle was sidelined to the courts with little resistance indicates that the leadership of the gay and lesbian movement, like the other struggles for basic democratic rights, has yet to develop an independent mass mobilization perspective to fight for issues involving fundamental equality.

 

  Green Party reformism

 

    The reformist Greens find themselves in a dilemma. Their 2000 presidential candidate, Ralph Nader, has abandoned them while keeping the door open to an endorsement by the party. Nader states that his decision to run for the presidency as an "independent" was largely dictated by the Green’s refusal to begin an early run for the nation’s top post that would insure ballot status in the maximum possible number of states

 

 The Green Party itself, oriented to a "kinder, gentler" capitalism, is sharply divided as to the alternatives of running its own presidential candidate, supporting Nader once again, or staying out of the race. As in 2000, both Nader and the Greens are exploring ways to avoid interfering with a Democratic Party victory in 2004. Nader has stated without equivocation that any decision he makes will be designed to strengthen the hand of the Democrats. His current position is that he can best accomplish this goal by running for the presidency and thereby bring into the electoral process, by way of registration drives, voters who would not otherwise participate. Once registered says Nader, the idea is to have these supporters who would otherwise vote at all cast their votes for local Congressional Democratic Party candidacies to which his followers will offer no opposition. As in the past, at the national level, Nader would coach his supporters to limit their votes for him by casting a Nader vote only in those states where it is a foregone conclusion that the Republican cannot be defeated, the "safe state" approach.

 

    Nader has added a new twist to this approach. Pressed hard by his reformist friends to withdraw from the race or to decline to run, he insists that by staying in he forces Kerry to the left and thereby provides a “mandate” for Kerry to stand on more progressive positions. Without remaining in the race, he argues, Kerry will move to the right and therefore will not be accountable for any progressive positions. Our recent lengthy newspaper article on the Nader campaign details his reformist orientation. Here it is sufficient to say that his intention, naïve or crass as it may be, is to elect Kerry.

 

  The left and the 2004 elections

 

  The range of the liberal/"left" rush to the Democrats extends from The Nation magazine, the UFPJ, NOW and the labor bureaucracy of every stripe, to the CoC, the Communist Party and Noam Chomsky.

 

 The centrist ISO is likely to repeat its 2000 support to Nader and/or the Greens. The ISO supported Camejo's gubernatorial candidacy in the California recall election. It is not new to class collaborationist politics, lending support to Mexico's Cuautemoc Cardenas and the pro-capitalist ANC's Nelson Mandela in years past.

 

    The January 2004 plenum decided to leave open the question of our stance in the 2004 national elections. During the discussion comrades considered two major possibilities, once again extending critical support to the SWP and “not voting.” A final decision was deferred until we had clear information as to whether the SWP would enter the race in the first place. Even so, NC members were divided as to whether critical support to the SWP, given its continuing degeneration, was merited even if it did obtain ballot status in a reasonable number of states. We will revisit this question at the SA National Convention.

 

  The Paul O'Neill affair

 

    A noteworthy controversy is unfolding nationally with the recent publication of a book by former Bush Treasury Secretary Paul O'Neill. While the media focussed on O'Neill's exposure of the fact that the Bush Administration had planned the Iraq invasion long before the 911 Twin Tower terror bombing, his differences with Bush over fundamental economic policy were largely ignored. O'Neill was fired because of his objections to Bush's seeming indifference to the Bush Administration’s massive deficit spending. O'Neill claims that Bush stated at various internal meetings, "The deficit doesn't mean anything."

  

 The conservative O'Neill defended the traditional Republican policy of “fiscal responsibility,” that is, don't spend money you don't have. O'Neil’s has been the traditional Republican Party response to the supposed Democratic Party credo to resort to deficits in difficult times to fund threatened social programs. In truth, neither party these days spends money to fund social programs. Clinton both cut them beneath the bone and spent $1.3 trillion in tax cuts to help bail out the corporate rich.

 

  Bush did the same, but with a bit more controversy since his trillion-dollar corporate welfare tax cut was implemented in the context of an admitted budget deficit. Clinton had his congressional budget committee rig the figures to show that his claimed surplus was credible, thereby justifying his tax cut.

 

  The O'Neill affair reveals two fundamental truths about imperialist politics and economics. First, pretexts are employed for war when the need is there, that is, when there are few alternatives to maintaining profit rates and the broader economic system. Second, Bush ignored so-called ideological economic imperatives and did what was necessary when the boss class's profit rates were flagging. In the name of his class he did what every other imperialist power has done, cut wages and social benefits of every kind while spending massive amounts on military and space programs in Keynsian-type pump priming in order to help stressed corporations remain competitive in the worldwide struggle for profits.

 

  U.S. hegemony and Professor Du Boff's economic statistics

 

   An incisive article by Bryn Mawr Professor Emeritus Richard B. Du Boff entitled "U.S. Hegemony: Continuing Decline, Enduring Danger" details the extent of the economic crisis facing U.S. capitalism as its imperialist rivals combine to erode U.S. economic power. We have quoted a lengthy portion to summarize our viewpoint that the trend of the U.S. economy in particular is increasing bleak and that the fundamental decisions of the U.S. ruling class, whether led by Clinton or Bush or anyone else, must be toward increasing confrontations with workers at home and imperialist competitors abroad.

 

  Professor Du Boff begins:

 

  "Global hegemony" might be defined as a situation in which one nation-state plays a predominant role in organizing, regulating, and stabilizing the world political economy. The use of armed force has always been an inseparable part of hegemony, but military power depends upon the economic resources at the disposal of the state. It cannot be deployed to answer every threat to geopolitical and economic interests, and it raises the danger of imperial overreach, as was the case for Britain in South Africa (1899-1902) and the United States in Vietnam (1962-1975).

 

  "Britannia ruled the waves from 1815 to 1913, but by the 1890s she was under economic challenge from the United States and Germany, and between the two world wars was no longer able to function as underwriter to the world system. U.S. hegemony began during the Second World War and peaked   some thirty years later. The United States still has immense - unequalled - power in international economics and politics, but even as the sole superpower it finds itself less able than it once was to influence and control the course of events abroad. Its military supremacy is no longer matched in the economic and political spheres, and is of dubious value in preserving the global economy. In 1971 the United States was unable to avoid military defeat in Vietnam and a draw in Korea.

 

  "Slow Merge Ahead: Hegemony Since the 1970s

 

  "An idea of the decline of American economic power can be formed   from the following:

 

  "In 1950 the United States supplied half the world's gross product, against 21 percent at present. Sixty percent of the world‚s manufacturing production in 1950 came from the United States, 25 percent in 1999. The U.S. share of exports of commercial services, the fastest growing part of the world economy, stood at 24 percent in 2001, while the European Union (EU) had 23 percent - 40 percent if intra-EU exports were counted.

 

  "Non-U.S. companies dominated major industries in 2002, accounting for nine of the ten largest electronics and electrical equipment manufacturers; eight of the ten largest motor vehicle makers and electric and gas utilities; seven of the ten largest petroleum refiners; six of ten telecommunications companies; five of ten pharmaceutical firms; four of six chemical producers; four of seven airlines. Of the twenty-five largest banks in the world, nineteen were non-U.S. banks, although the two largest were Citigroup and Bank of America.

  

"Of the top one hundred corporations in the world in 2000 ranked by foreign-held assets, twenty-three were American. Together, Germany, France, the United Kingdom, and the Netherlands, with a combined gross domestic product (GDP) seven-tenths that of the United States, had forty; Japan had sixteen. During the 1990s, the share of U.S. multinationals in the foreign sales of the world's one hundred largest multinationals decreased from 30 to 25 percent; the share of EU-based companies increased from 41 to 46 percent.

 

  "Twenty-one percent of the world's stock of direct investment in other countries was American in 2001, compared with 47 percent in 1960.  During 1996-2001, 17 percent of all new direct investment abroad came from the United States and 16 percent from Great Britain; together,  France and Belgium-Luxembourg supplied 21 percent.

 

  Of the twenty-five largest mergers and acquisitions (M&As) in the United States in 1998-2000, five involved takeovers by foreign multinationals (three British, two German). Of the top twenty corporations involved in cross-border M&As from 1987 through 2001, only two were U.S. (General Electric and Citigroup); they accounted for 5 percent of the value of all M&A deals during these years.

 

  "In global finance, the United States is not only less dominant, but vulnerable. The weak link is the dollar, whose status as the world's key currency has been eroding since the 1970s, irregularly and with periodic revivals. Between 1981 and 1995, the share of private world savings held in European currencies increased from 13 percent to 37 percent, while the

 dollar's share fell from 67 to 40 percent.

 

  "Forty-four percent of new bonds have been issued in euros since the new currency was introduced in 1999, closing in on the 48 percent issued in dollars. Half the foreign exchange reserves held by the world's central banks were composed of dollars in 1990 compared to 76 percent in 1976; the proportion rose back to 68 percent in 2001 because of the phasing out of ecus (reserves issued to European banks by the European Monetary Institute) to make way for the euro. For the first time since the Second World War there is another source of universally acceptable payment and liquidity in the world economy - at a moment when the U.S. balance of international payments is chalking up record deficits.

 

  "Since 1971, when the United States had a deficit in its trade in goods (merchandise) for the first time in seventy-eight years, exports have exceeded imports only in 1973 and 1975. A nation can run deficits in its trade in goods and still be in overall balance in its dealings with foreign countries. Deficits in trade in goods can be offset by having a positive balance in sales of services abroad (financial, insurance, telecommunications, advertising and other business services) and/or income from overseas investments (profits, dividends, interest, royalties, and the like). But the U.S. merchandise deficit has become too big to be paid for by services sold to foreigners plus remittances on investments. The U.S. current account (the sum of the balances in trade in goods and services plus net income from overseas investment), almost constantly in surplus from 1895 to 1977, is now deteriorating sharply; the merchandise deficit has become too big to be paid for by services sold to foreigners. And since 1990, the positive balance on investment income has been shriveling as  foreign investment in the United States has grown faster than U.S. investment abroad. In 2002, the balance turned negative: for the first time the United States is paying foreigners more investment income from their holdings here than it receives from its own investments abroad.

 

  "Like most gaps between income and expenses, the current account deficit is covered by borrowing. In 2002, the United States borrowed $503 billion from abroad, a record 4.8 percent of GDP. When foreigners receive dollars from transactions with U.S. residents (individuals, companies, governments), they can use them to buy American assets (U.S. Treasury bonds, corporate bonds and stocks, companies, and real estate). This is how the United States turned into a debtor nation in 1986; foreign-owned assets in the United States are now worth $2.5 trillion more than U.S.-owned assets abroad. By mid-2003, foreigners owned 41 percent of U.S. Treasury marketable debt, 24 percent of all U.S. corporate bonds, and 13 percent of corporate stock. U.S. companies are continuing to invest abroad, but unlike the British Empire in the decades before the First World War, the United States is unable to finance those investments from its current account. By contrast, Great Britain's current account was in surplus, averaging 3 to 4 percent of GDP every year from 1850 to 1913, when income from services and foreign investment was larger than its merchandise trade deficits.

  

"So far the global investor class has seemed willing to finance America's external deficits, but it may not be forever. The deficits are exerting a downward drag on the dollar, arousing suspicion that the United States favors a cheaper dollar to help pay off its ballooning trade deficit. As the dollar declines in value, the return to foreign investors on dollar-denominated assets falls. German investments in choice office properties in New York, San Francisco, and elsewhere were cut back sharply in 2003. While the buildings were becoming cheaper in euros, rents were shrinking when converted from dollars back home. 'We can get the same  return in Britain and the Nordic countries, so why go to the United States, where the currency risk is greater' asked the chief investment officer of a Munich-based property fund. Until recently all Organization of Petroleum Exporting Countries (OPEC) sold their oil for dollars only; Iraq switched to the euro in 2000 (presumably terminated with extreme prejudice in March 2003), and Iran has considered a conversion since 1999. In a speech in Spain in April 2002, the head of OPEC's Market Analysis Department, Javad Yarjani, saw little chance

 of change 'in the near future...[but] in the long run the euro is not at such a disadvantage versus the dollar. The Euro-zone has a bigger share of global trade than the US and...a more balanced external accounts position' Adoption of the euro by Europe's principal oil producers, Norway and Britain, could create 'a momentum to shift the oil pricing system to euros.' Thus, concluded Yarjani, 'OPEC will not discount entirely the possibility of adopting euro pricing and payments in the future.'"

 

  Professor Du Boff's data confirms much of what we have written over the past two decades and longer. The trend of U.S. political economy is readily discernable. Du Boff's research highlights Marx's maxim in bold relief that "politics is crystallized economics." The continuing decline in U.S. economic power relative to its European competitors is the central explanation for the increased belligerence of U.S. imperialism and its drive to undermine the standard of living of U.S. workers.

 

There will be no significant recovery for American workers. The "jobless recovery" is a permanent feature of working-class life. Good paying jobs will increasingly be replaced by second and third tier wage jobs, putting whole groups of industries back to wage levels of three and four decades ago. Machines will continue to replace human labor power at increasing rates. The result will be more unemployment and longer, not shorter, hours for all workers.

 

     In the past ten years average hours worked in families where two members were employed increased from 34 per person to 42 with no pay increase, a startling statistic but a figure entirely consistent with the laws governing capitalist development.

 

  The jobless recovery and the limits to de-industrialization

 

       Many have asked whether there is a limit to the "de-industrialization" process underway. Can American capital, for example, indefinitely offshore better paying industrial jobs? We have always answered this question in the negative for several reasons.

 

       First and foremost, de-industrialization is a political question associated directly with the workers' movement and with U.S. capitalism's global competitors. A strong workers’ movement can thwart corporate plans to move production abroad. It is a simple question of the coordinated exercise of working class power. Absent this, as is the case today, the

 relatively free movement of industrial plants, like capital in the money form, is largely unimpeded.

 

       But the ruling rich pays a price for its decisions to relocate plants to low wage regions, a price measured at first only at the molecular level, that is, at the level of minute changes in consciousness stemming from the growing realization that the capitalist system itself is deadly to workers.  Eventually, the molecular changes ("invisible changes") in consciousness

 give way to struggle, strikes and other class confrontations. The ruling class has proceeded with a measured regard for the result of its decisions. They are fully aware that moves that are too aggressive and abrupt can provoke a giant response.

  

     Second, the U.S. ruling rich fear the lack of stability in other countries and are reticent to place major sections of U.S. industry in locations where production could be halted, thereby threatening the broader production process. The location of a major parts factory abroad, for

 example, that is subject to workers power could have a major effect on an American corporation's ability to bring its products onto the world market. Caution is called for!

 

      The political limitations of plant relocations are the most critical from the capitalist viewpoint, although the pressure to move to low wage regions of the planet to remain competitive is inherent in the system as a whole.

 

      And finally, as we have stated, in the longer run, the process of proletarianization of the workforce associated with plant relocations and the resulting rise in the class struggle globally eventually reduces, incrementally, the benefits of the original cheap labor. At the same time, the benefits of the competitive advantage gained in the low wage marketplace by relocation, even in the short term, are at least partially, if not totally, negated by the associated drive of America's corporate nemeses in other countries to do the same thing.

 

      If what we have written has a contradictory content, it is because of the contradictory nature of capitalism itself, or as Marx would explain, the dialectical nature of capitalist development. Yes, there is an inherent tendency for the average rate of profit to fall. But the capitalists are driven to fight this tendency with every means at their disposal, from plant relocation or modernization or attacks on wage levels to plant relocations, super-exploitation of foreign labor and even to war.

 

      Hence, the growing inter-imperialist rivalry for new markets, including new sources of cheap raw materials and cheap labor. These factors underlie the neo-colonial moves on the part of the great powers, including the need to station troops on the ground to not only conquer new markets by force and maintain order but to limit the penetration of foreign capital.

 

      The stock market continues to be manipulated by speculators. Its recent rise has little correspondence to significant profit increases although it was inevitable that some profits would be registered when measured against the massive losses recorded over the past three years. The long waves of stagnation, as Ernest Mandel noted, are always interspersed by minor upward fluctuations. The latter, in recent months, are also a product of the attempt by Japan     and some European nations to stabilize the value of the dollar by investing in the U.S. stock market. The declining value of the dollar, while dangerous in the longer term, has provided a boost to U.S. exports by lowering their price on world markets to the disadvantage of America's competitors.

 

      The latest Enron indictments, wherein Enron top executive Anthony Fastow confessed to  massive manipulation of the books to turn multi-billion dollar losses to major gains, continues, despite toothless legislation to make corporate financial balance sheets more honest. Cooking the books is far from unique to Enron, just as election promises and media hype about the "recovery" are employed to counter unpleasant realities.

 

  Mission to Mars, military spending and imperialist war

 

      The ruling-class hype about sending another astronaut-based mission to the moon, and then ten years later to Mars, was pulled off with a finesse that was hardly thought possible. President Bush's speechwriters crafted a poetic vision of the heavens that had Bush sounding like a lyrical Captain Kirk. The masters of deceit had Bush projecting space exploration even

 "beyond" Mars while dreamy media eyes glazed over in wonderment.

 

      In truth, space exploration is analogous to military spending, that is, it is an industry where profit rates are astronomical because there is virtually no competition. But like the war economy, it requires massive deficit spending. The ruling rich see no alternative than Keynsian pump-priming at a level never recorded in history. It is only a matter of time until the U.S. debt itself becomes a critical factor in world economy, threatening to bring the whole system to a spectacular halt.

 

      In the meantime the U.S. has boosted military expenditures to record highs, $400 billion this year alone. Of course, the inherent need to actually use these weapons drives the industry forward. There is nothing like a good war to justify the need to replace what was used, not to mention the expenditure of additional funds for the next generation of weapons of mass destruction.

 

      But make no mistake! The U.S. has every intention of using the weapons it produces. It has restructured its international operations from NATO in the West to advanced outposts already established in the Balkans, Central Asia and the Middle East. The latter are designed as relatively small, sleek and agile units armed with the latest in modern weaponry and capable of delivering lethal power to contested areas within days. The U.S. military as a whole is being similarly redesigned based on the premise that relatively immobile forces grouped in large concentrations and distant from the field of action are inefficient means for today's ends. What was military policy yesterday, and still a dream, has been declared obsolete today. Yesterday envisioned a U.S. military with the capacity to conduct two major wars simultaneously