Conservatives shouldn't be allowed to forget the crimes of the anti-communist right

Millions of dead in Indochina, the funding and arming of Apartheid South Africa, and Pinochet's coup make a nonsense of lazy distinctions between the 'good guys' and the 'bad guys'.

It is almost 25 years since the Berlin Wall was pulled down and eastern Europe toppled its Stalinist tyrants. You don’t get that impression, however, from reading the papers. For almost a week now the national debate has been framed in terms of 'socialism' versus 'capitalism', Marxists who 'hated Britain' versus patriots who 'loved it', and 'free market capitalism', or the 'road to tyranny'.

I’m sorry to have to break the news, but it’s over. The Soviet Union is gone and, like it or not, Ed Miliband has absolutely no plans to bring back state socialism. Miliband’s reluctance to renationalise even popular institutions like the Royal Mail is testament to the low esteem public ownership is now held in by our political establishment – including the Labour Party.

It is worth repeating, as some people still seem unwilling to accept it, but socialism as it was envisaged during the 20th century is dead. That doesn’t mean the ideas which motivated the movement are redundant – why, after all, should democracy be confined within the confines of 19th century liberalism? - but it does mean that the state should be viewed with as much suspicion as the market. Calls for 'nationalisation' no longer suffice. The recent shortage of toilet paper in Venezuela, the most oil-rich country in the world, once again proves that 'public' ownership can be just as corrupt and inefficient (and as comical) as ownership for profit. The free market, as Karl Marx recognised, is incomparably better at creating wealth than any other system thus far conceived – the problems arise when it comes to distributing that wealth in an equitable manner.

That said, the failure of state socialism is not an excuse for a wholesale re-writing of Cold War history. Nor should it be used for the purpose of erasing from the historical record those individuals who played a significant part in the struggle against Stalinism - however 'Marxist' in tendency they appear to be.

Benedict Brogan wrote in the Telegraph this week that "Before 1989 the divide between the good guys and bad guys was clear, because the bad guys were out to do us in." This, he posited, was why Ralph Miliband was "one of the bad guys". This is only half correct. There were indeed communist movements that wished to "do us in" prior to the fall of the Berlin Wall, but the divide between the 'good guys' and 'bad guys' was nowhere near as clear cut as Brogan and others like today to make out.

There was indeed no shortage of 'red tyranny' in the Soviet Union, where millions languished in the Gulag often for no other reason than the holding of an 'incorrect' opinion. But while those in the east suffered under the jackboot of Stalinism (communism in practice being "fascism with a human face", in Susan Sontag’s arresting phrase), in other parts of the world the west propped up its own share of tyrants and 'bad guys' in the name of an equally strident ideology: that of anti-communism. As the late Irish politician Conor Cruise O’Brien pointed out, during the Cold War, anti-communism was often grubbier and a great deal less principled than the stoic 'anti-totalitarianism' it is nowadays portrayed as:

"The 'anti-Communist' doctrine [was] designed to blur the vitally important distinction between telling the Russians that you will fight if they attack your allies – a valid and clear-cut non-ideological position – and telling the Vietnamese and others that you will fight to stop them from 'going communist' – an outwardly ideological commitment of uncontrollable scope."

Millions of dead in Indochina, the funding and arming of Apartheid South Africa (which Ronald Reagan nauseatingly proclaimed had "stood beside the United States in every war we've ever fought", as well as the coup which brought Augusto Pinochet to power in Chile, were testament to that 'uncontrollable scope'. As was western policy toward Iran, Guatemala, Lebanon and Cuba. Oh, and remember what US Secretary of State Henry Kissinger once said? Ok, you don’t. Well, it was that it would "not be an American concern" if the Soviet Union "sent the Jews to the gas chambers".

And these were the Cold War’s 'good guys'.

More importantly, portraying the Cold War as a titanic black and white battle between left and right wipes the most consistent opponents of both fascism and Stalinism from the record entirely. It was, after all, the Marxist revolutionary Victor Serge who first coined the word 'totalitarianism' to describe the illusionary opposites of Soviet Communism and Hitlerian fascism. It was also the democratic socialist George Orwell who was the first to use the term 'Cold War'. While men like George Bernard Shaw and H.G. Wells have been rightly panned as 'useful idiots' for their indulgence of Stalinism, it was another socialist, Bertrand Russell, who wrote one of the best early critiques of Bolshevism.

Be very careful, as the late Christopher Hitchens phrased it, about what kind of anti-communist you are. Don’t try to re-write history either, if you can help it.

Candles at the gates of the National Stadium, on September 11, 2013 in Santiago, Chile, during the commemoration of the 40th anniversary of the military coup led by General Augusto Pinochet. Photograph: Getty Images.

James Bloodworth is editor of Left Foot Forward

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The Autumn Statement proved it – we need a real alternative to austerity, now

Theresa May’s Tories have missed their chance to rescue the British economy.

After six wasted years of failed Conservative austerity measures, Philip Hammond had the opportunity last month in the Autumn Statement to change course and put in place the economic policies that would deliver greater prosperity, and make sure it was fairly shared.

Instead, he chose to continue with cuts to public services and in-work benefits while failing to deliver the scale of investment needed to secure future prosperity. The sense of betrayal is palpable.

The headline figures are grim. An analysis by the Institute for Fiscal Studies shows that real wages will not recover their 2008 levels even after 2020. The Tories are overseeing a lost decade in earnings that is, in the words Paul Johnson, the director of the IFS, “dreadful” and unprecedented in modern British history.

Meanwhile, the Treasury’s own analysis shows the cuts falling hardest on the poorest 30 per cent of the population. The Office for Budget Responsibility has reported that it expects a £122bn worsening in the public finances over the next five years. Of this, less than half – £59bn – is due to the Tories’ shambolic handling of Brexit. Most of the rest is thanks to their mishandling of the domestic economy.

 

Time to invest

The Tories may think that those people who are “just about managing” are an electoral demographic, but for Labour they are our friends, neighbours and the people we represent. People in all walks of life needed something better from this government, but the Autumn Statement was a betrayal of the hopes that they tried to raise beforehand.

Because the Tories cut when they should have invested, we now have a fundamentally weak economy that is unprepared for the challenges of Brexit. Low investment has meant that instead of installing new machinery, or building the new infrastructure that would support productive high-wage jobs, we have an economy that is more and more dependent on low-productivity, low-paid work. Every hour worked in the US, Germany or France produces on average a third more than an hour of work here.

Labour has different priorities. We will deliver the necessary investment in infrastructure and research funding, and back it up with an industrial strategy that can sustain well-paid, secure jobs in the industries of the future such as renewables. We will fight for Britain’s continued tariff-free access to the single market. We will reverse the tax giveaways to the mega-rich and the giant companies, instead using the money to make sure the NHS and our education system are properly funded. In 2020 we will introduce a real living wage, expected to be £10 an hour, to make sure every job pays a wage you can actually live on. And we will rebuild and transform our economy so no one and no community is left behind.

 

May’s missing alternative

This week, the Bank of England governor, Mark Carney, gave an important speech in which he hit the proverbial nail on the head. He was completely right to point out that societies need to redistribute the gains from trade and technology, and to educate and empower their citizens. We are going through a lost decade of earnings growth, as Carney highlights, and the crisis of productivity will not be solved without major government investment, backed up by an industrial strategy that can deliver growth.

Labour in government is committed to tackling the challenges of rising inequality, low wage growth, and driving up Britain’s productivity growth. But it is becoming clearer each day since Theresa May became Prime Minister that she, like her predecessor, has no credible solutions to the challenges our economy faces.

 

Crisis in Italy

The Italian people have decisively rejected the changes to their constitution proposed by Prime Minister Matteo Renzi, with nearly 60 per cent voting No. The Italian economy has not grown for close to two decades. A succession of governments has attempted to introduce free-market policies, including slashing pensions and undermining rights at work, but these have had little impact.

Renzi wanted extra powers to push through more free-market reforms, but he has now resigned after encountering opposition from across the Italian political spectrum. The absence of growth has left Italian banks with €360bn of loans that are not being repaid. Usually, these debts would be written off, but Italian banks lack the reserves to be able to absorb the losses. They need outside assistance to survive.

 

Bail in or bail out

The oldest bank in the world, Monte dei Paschi di Siena, needs €5bn before the end of the year if it is to avoid collapse. Renzi had arranged a financing deal but this is now under threat. Under new EU rules, governments are not allowed to bail out banks, like in the 2008 crisis. This is intended to protect taxpayers. Instead, bank investors are supposed to take a loss through a “bail-in”.

Unusually, however, Italian bank investors are not only big financial institutions such as insurance companies, but ordinary households. One-third of all Italian bank bonds are held by households, so a bail-in would hit them hard. And should Italy’s banks fail, the danger is that investors will pull money out of banks across Europe, causing further failures. British banks have been reducing their investments in Italy, but concerned UK regulators have asked recently for details of their exposure.

John McDonnell is the shadow chancellor


John McDonnell is Labour MP for Hayes and Harlington and has been shadow chancellor since September 2015. 

This article first appeared in the 08 December 2016 issue of the New Statesman, Brexit to Trump