Wednesday, June 17, 2009

Role of the Indian Left

Guest Columns by Sauvik Chakraverti,

The Newindpress on Sunday, 2007-2008

Role of the Indian Left

I was lolling around on my local beach, smoking a mighty spliff, wondering whether the myriad hues of the sunset were natural or cannabis-induced, when a country boat landed. Four burly men alighted and hauled it ashore, and then proceeded to unload their nets. I ambled along hoping to find fresh fish for dinner. But there was no luck. Our heroes failed to catch enough fish. I looked sadly at the few minnows lying on the sand, when the boat-owner, complaining loudly about his loss, proceeded to pay every one of the burly men for their labours of the day. Thus arose a question in my mind: Does the capitalist-entrepreneur ‘exploit’ workers?

The socialists and communists, champions of the working classes, have always held that “the worker is exploited by his capitalist employer.” But as I found out on the beach, the workers were paid despite the fact that the capitalist had made a loss! This is true of any business. If you open a restaurant, you will have to pay the chef and the waiters regularly and unfailingly, even as you wait with fingers crossed for the elusive customer to show up. If after a month or so it seems that the local population has decided to give your establishment the miss, you as the entrepreneur will have to take the hit — while all your employees will have received their full wage. The capitalist-entrepreneur is thus the prime mover of economic activity, since he takes risks. He pays his employees on time because the workers do not share the risk. Only after all bills have been paid and all accounts settled will the capitalist realise any profit. And in many cases he will realise a loss. But the worker never loses.

Further, the ability to combine his labour with another’s capital is of greatest benefit to the worker. If the boat-owner had not been there, our four burly men would have been standing on the shoreline with hook, line and sinker. They might then manage to catch a few fish in an entire day. But now that they have the capital of the boat-owner, on a good day they unload so much fish that they themselves realise they benefit by fishing with another’s capital. This is true of all workers and all capital-intensive factories: Without the machines (which they do not own) the workers would produce much less, and therefore earn much less too. Thus, socialists and communists are guilty of misleading workers. In reality, capital and labour co-exist in complete harmony.

The first working class mass-movement in history was completely liberal in its philosophical ideals. The Anti-Corn Law League, led by the Manchesterites Richard Cobden and John Bright, mobilised workers throughout England to demand free trade in 1840. Marx had not yet penned the Communist Manifesto. And English workers, respectful of the truths unearthed by political economists like Adam Smith, firmly believed that free trade meant cheap imports, which translated into better living conditions for them. The Anti-Corn Law League also championed international peace, an end to war, and the freeing of the colonies. Cobden was the most féted politician in Europe, and free trade leagues mushroomed all over the Continent. If socialism and communism had not raised their ugly heads, 150 years would not have been lost, and the world today would have been a much richer and safer place — and every worker would have been better off. Not only as a worker but more importantly as a consumer.

The Indian Left, with their trade unions and their passion for public sector enterprises (PSUs), have nurtured a small, privileged section of workers as their political clients. In the meantime, they have sacrificed the interest of every other poor Indian labourer. I often lament the fate that befalls our housemaids, without whom our homes would not function. Free trade would vastly improve their consumption. The abolition of rent control would deliver to them cheap and decent rental housing on the market. Housemaids in the rest of the world enjoy a fairly decent standard of living. But the Indian Left oppose the repeal of labour legislation — so as to benefit its clients. They oppose privatisation for the very same reason. They care two hoots for housemaids — even the ones who slave in their own homes. They are false friends of the working classes.

The greatest challenge that lies before Indian liberals today is getting the mass of workers on their side. A private property driven free market internationalised economy is entirely in the interest of every labourer. Cheap imports, including second-hand imports, are good for poor workers. Freedom of entry to foreign direct investment (FDI) in every sector, including retail, will allow workers who have no capital to combine their labour with the latest capital equipment, hugely improve their productivity, and thereby maximise their earnings. The repeal of all labour legislation will allow free competition between unionised and non-unionised workers, to the benefit of the latter. Similarly, privatisation will free up capital and shift it from unproductive and unprofitable uses to market-based ones — and this will benefit the mass of workers! The resulting de-politicisation of economic life will be a boon for the entire economy, especially the workers, as the odious influence of the Indian Left on economic matters is terminated.

The mass of Indian labourers needs to be awakened with a reborn Manchesterite Free Trade Movement, à la Cobden and Bright. One hundred and fifty years have been lost to the poor because of the stupidly false ideas like socialism and communism. Cobden and Bright proved that liberalism could rally workers. In India, we must do so again. Our ideas are not for businessmen alone, whether small or big. They are, most importantly, for those who work in these businesses (and in our homes). They must be our target audience. From them must emerge the new ‘working class hero’ John Lennon sang about. A hero who has learnt the lessons of recent history.

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