Global Finance Since the Asian Financial Crisis. Issue 2 (3rd April 2019)

• Record Type: Journal Article
• Authors: Nolan, Peter
• Is Part Of: Critique. Volume 47:Issue 2(2019)
• Page Start: 183
• Page End: 198
• Publication Date: 2019-04-03
• Subjects: Asian Crisis -- Finance Capital -- Economic Crisis -- Inflation -- Economic Bubble; Soviet Union -- Politics and government -- Periodicals; Europe, Eastern -- Politics and government -- Periodicals; Socialism -- Periodicals; Socialisme; Communisme; 4.935; 335.4
• DOI: 10.1080/03017605.2019.1601878
• Languages: English
• ISSNs: 0301-7605

Abstract

Abstract : The credit system accelerates the material development of the productive forces and the establishment of the world market. It is the historical mission of the capitalist system of production to raise these material foundations of the new mode of production to a certain degree of perfection. At the same time credit accelerates the violent eruptions of this contradiction—crises—and thereby the elements of disintegration of the old mode of production. The two characteristics immanent in the credit system are, on the one hand, to develop the incentive of capitalist production, enrichment through exploitation of the labour of others, to the purest and most colossal form of gambling and swindling, and to reduce more and more the number of the few who exploit the social wealth; on the other hand, to constitute the form of transition to a new mode of production. It is this ambiguous nature, which endows the principal spokesmen of credit from Law to Isaac Pereire with the pleasant mixture of swindler and prophet (K. Marx, Capital, Vol. 3 (London: Lawrence and Wishart, 1972[1894]), p. 441). Talk about centraliz! The credit system, which has its focus on the so-called national banks and the big money-lenders and usurers surrounding them, constitutes enormous centralization, and gives to this class of parasites the fabulous power, not only to periodically despoil industrial capitalists, but also to interfere in actual production in a most dangerous manner—and this gang knows nothing about production and has nothing to do with it (K. Marx, Capital, Vol. 3 (London: Lawrence and Wishart, 1972[1894]), p. 441).