While the capitalist mode of production grew up historically on the basis of individual ownership of the means of production, the Russian revolution has shown that under certain conditions the capitalist mode of production can continue to exist even though the individual proprietors are eliminated and replaced by a collective exploiting apparatus where factories are not owned by capitalist ‘X’ or ‘Y’ but are ‘controlled’ (i. e. owned) by the State (i. e. the controlling classes).

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In order that some may lead, others must be powerless. To be the vanguard of the workers, the elite has to usurp all social key positions. Like the bourgeoisie of old, the new leaders had to seize and control all means of production and destruction. To hold their control and keep it effective, the leaders must constantly strengthen themselves by bureaucratic expansion, and continually divide the ruled. Only masters can be leaders. Trotsky was such a master.

Frequently Lenin identified state capitalism and socialism... In Towards the Seizure of Power, he writes: “Socialism is nothing but state capitalist monopoly made to benefit the whole people; by this token it ceases to be capitalist monopoly.”

Today, great men are no longer necessary. Modern propaganda instruments can transform any fraud into a hero, any mediocre personality into an all-comprehending genius. Propaganda actually transforms through its collective efforts any average, if not stupid, leader, like Hitler and Stalin, into a great man. The leaders become symbols of an organized, collective, and really intelligent will to maintain given social institutions. Outside of Russia, Trotsky was soon reduced to the master of a small sect of professional revolutionists and their providers. He was ‘the Old Man,’ the indisputable authority of an artificial growth upon the political scene, destined to end in absurdity.

There is no longer any need to point to the many ‘misdeeds’ of Bolshevism in Germany and in the world at large. In theory and in practice the Stalinist regime declares itself a capitalistic, imperialistic power, opposing not only the proletarian revolution, but even the fascist reforms of capitalism. And it actually does favour the maintenance of bourgeois democracy in order to utilise more fully its own fascistic structure. Just as Germany was very little interested in spreading fascism over her borders and the borders of her allies since she had no intention of strengthening her imperialistic competitors, so Russia concerns herself with safeguarding democracy everywhere save within her own territory. Her friendship with bourgeois-democracy is a true friendship; fascism is no article for export, for it ceases to be an advantage as soon as it is generalised. Despite the Stalin-Hitler pact, there are no greater ‘anti-fascists’ than the Bolsheviks on behalf of their own native fascism. Only so far as their imperialistic expansion, if any, will reach, will they be guilty of consciously supporting the general fascistic trend.

Certainly, the Russian state-capitalism, in which class relations are continued, cannot employ the Marxian science, for this science consists of nothing but the critique of those selfsame capitalistic conditions, which characterize Russia and every other capitalistic country. For the purpose of justifying the exploitation of the workers, the inequalities of income, and the accumulation of capital that exists there, the Marxian economic theories are certainly useless.

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And so, from the standpoint of Marxism, the Russian experiments in planned economy are not to be rated as socialistic. The Russian practice is not directed according to communist principles, but follows the laws of capitalist accumulation. We have here, even though in modified form, a surplus-value production under the ideological camouflage of ‘socialist construction’. The wage relation is identical with that of capitalist production, forming also in Russia the basis for the existence of a growing bureaucracy with mounting privileges; a bureaucracy which, by the side of the private capitalist elements which are still present, is strictly to be apprised as a new class appropriating to itself surplus labor and surplus value. From the Russian experience no positive conclusions can be drawn which have a relation to communist production and distribution. It still offers only examples of the way in which communism cannot be developed.

Not long before his death, Rühle, in summing up his findings with regard to Bolshevism, did not hesitate to place Russia first among the totalitarian stares. ‘It has served as the model for other capitalistic dictatorships. Ideological divergences do not really differentiate socioeconomic systems. The abolition of private property in the means of production (combined with) the control of workers over the products of their labour and the end of the wages system.’

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Thus, to mention just a few facts, not the social democracy but Hitler fulfilled the long desire of the socialists, the Anschluss of Austria; not social democracy but fascism established the wished — for state control of industry and banking; not social democracy but Hitler declared the first of May a legal holiday. A careful analysis of what the socialists actually wanted to do and never did, compared with actual policies since 1933, will reveal to any objective observer that Hitler realised no more than the programme of social democracy, but without the socialists.

To be sure Rühle had no doubt that totalitarianism was worse for the workers than bourgeois democracy. He had fought against Russian totalitarianism since its inception. He was fighting German fascism, but he could not fight in the name of bourgeois democracy because he knew that the peculiar developmental laws of capitalist production would change bourgeois democracy sooner or later into fascism and state-capitalism.

The solution, according to Trotsky, lies in the replacement of the present parasitical bureaucracy by a non-parasitical apparatus. Nothing else in his opinion needs to be changed as the Soviet economic system is fully qualified to proceed toward socialism in combination with the world-revolutionary trend. This new bureaucracy, essential in Trotsky’s transitional stage, will, according to Trotsky, introduce a greater equality of income. But Trotsky must remember that the present bureaucracy started out with the same idea, originally limiting salaries to Communists, etc. It was the circumstances enveloping the economy which not only enabled but obliged the present bureaucracy to adopt a program of ever increasing economic inequality in its favor.

Rather, the war, and even the period preceding the war, will be marked by a general and complete military dictatorship in fascist and anti-fascist countries alike. The war will wipe out the last distinction between the democratic and the anti-democratic nations. And workers will serve Hitler as they served the Kaiser; they will serve Roosevelt as they served Wilson; they will die for Stalin as they died for the Tsar.