''The brazen attempts by the champions of the “free market”, to save capitalism through state intervention and public finances, mark a gigantic failure of the finance-driven globalisation process. This spectacular failure, besides reenergizing the resistance against imperialist globalisation, will also have repercussions in terms of weakening the hegemony of the US and strengthening the trend towards multipolarity in world affairs. ''
Prasenjit Bose argues that the global financial crisis and the onset of the recession will 'drum dialectics' into the heads of the policymakers worldwide.
Some observers are of the view that the sharp fall in the month-on-month annual rate of industrial growth in August 2008 exaggerates the actual and likely slowdown in the growth. C. P. Chandrasekhar and Jayati Ghosh discuss why the broad trend suggested by the index may not be too far off the mark.
Courtesy: Hindu Business Line
The 91st anniversary of the Great October Socialist Revolution comes in the wake of the deepest crisis of world capitalism since the great depression of 1929. The current crisis of international financial capital that spearheaded imperialist globalisation in the last two decades is, by many estimations, far graver than any other crisis in the history of capitalism.
With trouble mounting on the three fronts of food, finance and the real economy, nothing, it seems, can avert a world depression.
Utsa Patnaik writes on the connection between the different crises in the Hindu.
Over the past two decades, China emerged as the preeminent cheap labour platform to boost the flagging profit rates of corporations around the world. China, Japan and other Asian countries recycled their huge export earnings back into the US, keeping the value of their currencies low—a process that helped fund massive US trade and budget deficits. The influx of money enabled the US Federal Reserve to maintain a cheap credit policy, fuelling the housing bubble and debt-driven consumption in the US, which in turn maintained the market for Chinese goods.
Report on the Press Conference
The complete report on the deliberations in the General Assembly involving the Interactive Panel on the Global Financial Crisis is presented. Courtesy 7th Space Interactive. Also posted is the report of the press conference that followed the deliberations. The Panel is presided by Prof. Joseph Stiglitz, Nobel Laureate in Economics from Columbia University and includes Prof. Prabhat Patnaik from Jawaharlal Nehru University.
Marx summarises the inherent dynamics of capitalism and its historical direction: “The monopoly of capital becomes a fetter upon the mode of production, which has sprung up and flourished along with, and under it. Centralisation of the means of production and socialisation of labour at last reach a point where they become incompatible with their capitalist integument. This integument is burst asunder. The knell of capitalist private property sounds. The expropriators are expropriated.” Sitaram Yechury writes in the Hindustan Times.
Pragoti reproduces the discussions on the Global Financial Crisis in the General Assembly held on 30th October 2008 featuring panel deliberations involving the newly constituted The Interactive Panel of the United Nations General Assembly on the Global Financial Crisis. The Task Force, presided by Nobel prize winner Joseph Stiglitz of Colombia University, includes, Prabhat Patnaik from the Center for Economic Studies and Planning at Jawaharlal Nehru University, Sakiko Fukuda-Parr of the New School University, Pedro Páez, Minister of Economic Policy and Coordination of Ecuador, Calestous Juma of the Kennedy School of Government at Harvard University and Francois Houtart, Chief Editor of Social Campus. Ed: Full structured report including Video Links to follow. This is a rush piece sourced from the United Nations site. All courtesies due to the UN General Assembly website
Assocham president, Sajjan Jindal, released a document ‘Jobs Scenario Post-Diwali’ on October 29, 2008 in New Delhi and announced that seven industry segments had drawn up conclusive plans to curtail their workforce by 25 to 30 per cent, which was likely to be announced in the next 10 days or so.
M K Pandhe, President, CITU has sent the following letter to Oscar Fernandes, Minister of Labour and Employment, regarding retrenchment and lay off by the employers in the prevailing global economic scenario.