From: Dieter Dambiec <d.dambiec-AT-student.canberra.edu.au> Subject: RE: M-TH: Re: G.A. Cohen Interview in Philosophers' Web Magazine Date: Sun, 19 Oct 1997 13:18:36 +1000 ------ =_NextPart_000_01BCDCD1.3D4F1600 Prior to production one must look at the allocation of natural resources and human resources. There is no use in producing products in an area where the natural resources do not exist. Capitalist production at present relies on export of raw materials. This diminishes the productive potentiality of a region. The fundamental premise should be to extract raw materials in the region to which they pertain and the produce some degree of value added or secondary products from them. This will increase the well being of the region. Thus maximum industries should be developed in the local area according to the availability of raw materials or local consumption. This principle will develop the economic potential of a socioeconomic unit by placing economic power into the hands of the local people and divesting outsiders of their control over the economy. In a economy most industries will be run as agricultural, producer or consumer cooperatives creating a new kind of cooperative spirit or cooperative dynamo. Such an approach will place economic power into the hands of those who work physically or intellectually for proper production, stripping capitalists of their exploitative economic power. Thus maximum industrial development will be assured. Several corollaries arise from this principle. First, industries should utilise locally available local raw materials and should not import raw materials from outside the socioeconomic unit. Raw materials are the basic ingredients or resources necessary to make finished products. The tyre industry, for example, requires rubber plantations as rubber sap is the basic raw material for this industry. If the topography of the local area favours the ample growth of rubber trees, then industries may be created around this raw material. Or, if alternative synthetic materials are available, a synthetic tyre industry may be developed. There are several reasons why industries should utilise locally available raw materials. First, not all areas have the same socioeconomic potential. Different areas will naturally be conducive to producing different kinds of raw materials, as in the case of plant-based raw materials. Industries based on locally available raw materials can produce commodities cheaply, be located near ready supplies of raw materials, and ensure their self-reliance. These advantages are not apparent where there is a dependence on outside raw materials. Secondly, raw material producers, especially producer cooperatives, will prosper as there will be ready markets for their products. Thirdly, industries will feel secure when they know that sufficient raw materials are available to supply their needs, and they will be able to plan their future production efficiently. Fourthly, many large capitalists deliberately influence the economic and political policies of a local area by preventing the growth of local industries based on the local raw materials. They further exploit the local people by selling manufactured goods in the local markets which are made from locally produced raw materials. Australia, for example, imports many manufactured goods from Japan which are produced from Australian raw materials. Encouraging the growth of local industries based on local raw materials will terminate the dominance individual and collective capitalists exercise over the local markets, ending the drainage of capital vital for the local area's economic growth. A second corollary of the second point is that local raw materials should not be exported--only manufactured goods should be exported. Local raw material prices in the export market are subject to manipulation and erratic fluctuations as they are currently traded through speculative commodity markets which are controlled by vested interests. To root out dishonesty from the field of trade, free trade should be established throughout the world as far as possible. Manufactured goods, on the other hand, are generally subject to less price manipulation and command better prices than raw materials. By manufacturing locally finished products, a socioeconomic unit can conserve its reserve bullion and improve the purchasing capacity of the local people. A third corollary is that if no potential exists to produce the manufactured goods required by industry in the local area, only then should the importation of such goods be allowed. Importation of manufactured goods means that local capital is being transferred to another socioeconomic unit which has produced the product. The drainage of capital is always detrimental to the economic growth of a socioeconomic unit, therefore unnecessary importation should always be discouraged. Marx in his *Critique of the Gotha Program* criticized socialist critiques of capitalism that focused too much on distributional issues. As Marx put it: Quite apart from the analysis so far given, it was in general a mistake to make a fuss about so-called distribution and put the principle stress on it. Any distribution whatever of the means of consumption is only a consequence of the distribution of the conditions of production themselves. The latter distribution, however, is a feature of the mode of production itself. The capitalist mode of production, for example, rests on the fact that the material conditions of production are in the hands of non-workers in the form of property in capital and land, while the masses are only owners of the personal condition of production, of labor power. If the elements of production are so distributed, then the present-day distribution of the means of consumption results automatically. If the material conditions of production are the co-operative property of the workers themselves, then there likewise results a distribution of the means of consumption different from the present one. Vulgar socialism (and from it in turn a section of the democracy) has taken over from the bourgeois economists the consideration and treatment of distribution as independent of the mode of production and hence the presentation of socialism as turning principally on distribution. After the real relation has long been made clear, why retrogress again? Marx and Engels' critiques of capitalism as expounded in works ranging from the *1844 Manuscripts* to *Capital* placed the focus of critique on the nature of production under capitalism rather than on distribution as such. They criticized the dehumanizing nature of the division of labor as it exists under capitalism and they looked forward to its eventual abolition under communism. [] So it seems Marx had a point about production being a prior necessary change before distribution needs to be considered but to say that anything before or after production results 'automatically' is simply not feasible. ------ =_NextPart_000_01BCDCD1.3D4F1600 eJ8+IjEKAQaQCAAEAAAAAAABAAEAAQeQBgAIAAAA5AQAAAAAAADoAAEIgAcAGAAAAElQTS5NaWNy b3NvZnQgTWFpbC5Ob3RlADEIAQ2ABAACAAAAAgACAAEEkAYAcAIAAAEAAAAQAAAAAwAAMAIAAAAL AA8OAAAAAAIB/w8BAAAAeQAAAAAAAACBKx+kvqMQGZ1uAN0BD1QCAAAAAG1hcnhpc20tdGhheGlz QGplZmZlcnNvbi52aWxsYWdlLlZpcmdpbmlhLkVEVQBTTVRQAG1hcnhpc20tdGhheGlzQGplZmZl cnNvbi52aWxsYWdlLlZpcmdpbmlhLkVEVQAAAAAeAAIwAQAAAAUAAABTTVRQAAAAAB4AAzABAAAA LgAAAG1hcnhpc20tdGhheGlzQGplZmZlcnNvbi52aWxsYWdlLlZpcmdpbmlhLkVEVQAAAAMAFQwB AAAAAwD+DwYAAAAeAAEwAQAAADAAAAAnbWFyeGlzbS10aGF4aXNAamVmZmVyc29uLnZpbGxhZ2Uu VmlyZ2luaWEuRURVJwACAQswAQAAADMAAABTTVRQOk1BUlhJU00tVEhBWElTQEpFRkZFUlNPTi5W SUxMQUdFLlZJUkdJTklBLkVEVQAAAwAAOQAAAAALAEA6AQAAAB4A9l8BAAAALgAAAG1hcnhpc20t 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