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496 pages, Paperback
First published January 1, 1991
Francis Fukuyama argued that in present Western society humankind’s evolution has ended, achieving ‘the final form of human government,’ a perfectly egalitarian ‘classless society’ in which economic prosperity is permanently assured.
As in cosmology, in political and economic thought there is often an abyss between theory and observation. The actual state of society, so evident in socioeconomic statistics or a glance at any urban area, is quite different from the utopia of the editorialists and essayists. Society is retreating; living standards are falling throughout the world—including the developed and developing market economies that constitute the bulk of the world’s population and wealth.
If we look at the evidence, there can be no doubt that the development and advance of global society has halted, that the current dominant society—capitalist society—has reached its ultimate limits. Clearly, the Stalinist model that collapsed in the Soviet Union, China, and Eastern Europe offers no alternative.
The choice facing humanity is either to develop a new, as yet untried form of society or to suffer a collapse of culture and civilization.
The issue of who shall rule is today posed most sharply in Eastern Europe and the former Soviet Union, where the old Stalinist regime has self-destructed. But what will take its place?
One answer, the obvious one, is capitalism. This is the answer advocated by the governments of Eastern Europe and the Soviet Union. But this would be a change of masters, if even that, rather than a triumph of self-rule. The people of these nations are not gaining control of the factories. The factories are to be sold to either multinational corporations or, amazingly, to the very bureaucrats who managed them under the old regimes. Yeltsin, like Gorbachev, is proposing to convert a section of the old bureaucracy into a new capitalist class, at the expense of the working population.
The alternative is for the peoples of the nominally socialist states to gain democratic control over their own economies and their own fates, to decide for themselves if they need more austerity or more production, faster payment of foreign debt or more meat on the family table. The alternative to bureaucratic planning is not the autocratic rule of private capital but democratic planning—the working people deciding themselves, through truly democratic institutions, what should be produced and how, from the level of the factory to that of the nation, and thus gaining control of the socialised industry that is rightfully theirs.