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Tuesday, June 09, 2026

Capital’s Organic Intellectuals – Book Review




"The Capital Order: How Economists Invented Austerity and Paved the Way to Fascism," by Clara E. Mattei


June 9, 2026 
By Walden Bello


When we were fighting the IMF and World Bank-imposed structural adjustment or austerity programs in the 1980s and 1990s, many of us thought that we were up against a strategy that had been formulated mainly as a response to the social democratic compromise with capital in the Global North and to state-led developmentalist initiatives in the Global South. Of course, we knew that the intellectual inspiration for neoliberalism came from nineteenth-century classical free-market-oriented economics.

What few of us realized at the time was that the neoliberal counterrevolution that took off in the late 1970s had an earlier manifestation in the early part of the twentieth century, and this had provided a theoretical and policy arsenal that the later movement drew upon.

Clara Mattei’s The Capital Order: How Economists Invented Austerity and Paved the Way for Fascism is a masterful fusion of archival research, ideological deconstruction, and political economy that captures the post-World War I era, which was marked by acute class conflict. Although the revolution in Russia is quite familiar, less well-known is the situation in Western Europe, where there was a revolutionary challenge to capitalism, though of a less violent sort. Mattei is convincing when she documents how the role of the state in controlling all dimensions of the economy for the war effort led unwittingly to a “denaturalization” of the market economy, that is, to an unmasking of the “laws of the market” as really a political project benefiting a few that provided workers with a glimpse of a possible alternative order.

Reconstructionists and L’Ordine Nuovo

Focusing on the situation in Britain and Italy, Mattei details the two key responses to the revolutionary ferment. The “enlightened reconstructionist elite” sought to buy social peace by having the state take an active role in providing workers with better housing, social insurance against old age and disabilities, and greater educational opportunities, all of which entailed expansive budgets. The reconstructionists were not a homogenous grouping, nor did they seek to dismantle the hierarchical order. Yet they shared “a revulsion to competitive individualism and laissez-faire capitalism,” thus “profoundly disputing the economic doctrine that for centuries had stood as the cornerstone of capital accumulation.” In many ways, they were the ideological predecessors of the Keynesian economists of the post-World II era.


The reconstructionists triggered a process that saw a “mutually enhancing relation between reforms and working-class consciousness,” so that “ironically, the reformists, who had bent the iron laws of the market to avoid a revolution, had actually contributed to sparking another one.” The leading force in this radical offspring of the reformists was the Turin-based L’Ordine nuovo group whose key movers were the young Antonio Gramsci, Palmiro Togliatti, and Angelo Tasca.

Gramsci is often encountered only as a theorist, as the source of the many provocative insights of the Prison Notebooks. One of the many delights of Mattei’s book is its showing how these ideas were forged by Gramsci in action, as he, along with his comrades, sought to channel a spontaneous working-class rebellion into a revolutionary movement. The “factory occupation” movement that radiated throughout Northern Italy from Turin was guided by four insights, developed in industrial combat. One was that there was no natural order of things, that market relations, especially the sale of labor power in return for wages, were really socially constructed assertions of the power of one class over another.

Second was that if the labor-capitalist relationship was not a functional one but one of exploitation, then it was the task of workers to create a new relationship to the means of production, which was to take over managing them, mainly through the agency of “factory councils.” Third, praxis was central in forging the new relationship between worker and machines, and among workers. As Mattei puts it, “L’Ordine nuovo was a full-blown experimental trial of Marx’s Eleventh Thesis on Feuerbach: “Philosophers have only interpreted the world; now is the time to change it.” Thus, the practical experience of organizing within factory councils was understood as the people’s “new school.” The factory councils, she observes, “were the living expression of praxis, their regulations guaranteed a melding of theory and practice that was in concept essential for self-government.”

The final principle that animated Gramsci and his comrades was the unity of politics and economics, as opposed to the separation between a formally democratic political sphere and an autonomous economic realm governed by immutable laws over which people had no control. As Gramsci put it, “[B]orn from labor, the [council] adheres to the process of industrial production…within it economics and politics merge, in it the exercise of sovereignty is all one with the act of production…in it the proletarian democracy is realized.”

Saving Capital

Massive strikes in Britain and the factory occupations in Italy in the years 1919-20 gave the establishment the sense that the European working class had capitalism by the throat. It is at this juncture that economic technocrats came to the rescue. These figures, like R.G. Hawtrey and Otto Niemeyer in Britain and Alberto De Steffani, Maffeo Pantaleoni, Umberto Ricci, and Luigi Einaudi in Italy, realized that the challenge was not simply to impose economic and political order; it was, fundamentally, to reestablish the ideological hegemony over workers that had been destroyed by the explosive conjuncture of the war economy, the reformist movement, and the factory insurgency. In short, the ideological context that would allow capital accumulation to take place had to be restored.

What they formulated, though working largely independently, was an economic paradigm whose centerpiece was savings. The economy could not function without savings, which were needed for investment in production. This meant savings had to be channeled to the figure who could invest rather than consume them, meaning the capitalist or entrepreneur, the person who personified the virtues of austerity. Workers in this model were seen as people that were unable to save but consumed resources that could otherwise be invested, or they were depicted as incapable of managing the process of turning savings into investment that would keep the industrial machine functioning, to the benefit of the whole society.

The technocrats sought to portray the austerity paradigm as constituting a set of universal economic laws, while being quite conscious it was designed to reassert the control of the capitalist class. Equally important, they sought not just to intellectually convince people; they were out to get them to morally internalize austerity. Thus, the emphasis on saving and thrift as virtuous.

Restoring Class Hierarchy

Austerity had interrelated dimensions: fiscal, meaning cutting or keeping down budgetary expenditures; monetary, meaning keeping interest rates high and tying the money supply to gold; and industrial, meaning depressing wages to ensure a high investment rate. It is amazing how the later incarnation of austerity in structural adjustment in the 1980s was so faithful to the original. And likewise striking is how the austerity formula failed to produce the promised economic growth in both instances owing to what its critics pointed to as its internal contradictions.

As I pointed out in my 1994 book, Dark Victory, there were hardly any successful cases of structural adjustment, the reason being that its key elements got the economy stuck in a “low level trap, in which…increased unemployment, reduced social spending, reduced consumption , and low output interact to create a vicious cycle of stagnation and decline, rather than a virtuous circle of growth, rising employment, and rising investment, as originally envisaged by World Bank theory.”

Mattei’s answer to this seeming paradox is that austerity was never designed to restore growth. That was rhetoric designed to pull the wool over the eyes of the workers and the reconstructionists. The real aim was to repair the fraying class relations of capitalism, to reinvigorate the “capital order.”

Coercion Supplements Consensus

The technocrats’ ideological offensive was aimed at both ideologically disarming the working class and discrediting the reconstructionists. In Italy, however, with the ideological liberation spearheaded by Gramsci’s L’ordine nuovo, the technocrats realized that ideological disarmament had to be accompanied by violence, or as Mattei puts it, using Gramsci’s terminology, consensus and coercion were an inseparable pair. Fascist terror against rebellious workers and Mussolini’s authoritarian rule once the fascists seized state power were necessary to recreate the social context for capital accumulation to take place without hindrance.

Mussolini, Mattei points out, enjoyed the support of the international establishment, even of avowed adherents to parliamentary democracy in their countries, like the Governor of the Bank of England Montagu Norman, who expressed dislike for Mussolini’s elimination of the political opposition even as he wrote to his friend John Pierpoint Morgan, Jr, the American banker, that “Fascism has surely brought order out of chaos over the last few years: something of the kind was no doubt needed if the pendulum was not to swing too far in the other direction. The Duce was the right man at a critical moment.”

This hypocritical deploring of fascist violence while approving the technocrats’ ideological cleansing would be repeated f50 years later, when the international establishment lamented General Augusto Pinochet’s killing and imprisonment of thousands of Chileans while lauding the Chicago Boys inspired by economist Milton Friedman, who were reproducing the conditions for the market economy to regain traction after Salvador Allende’s statist interventions. Chile in the early 1970s was the guinea pig for structural adjustment, which was then generalized to over 70 countries in the Global South over the next 20 years.

Mattei’s account makes clear that economists and technocrats are not mere accessories or instruments of the capitalist class. They are essential to the reproduction of capitalism, and their relative autonomy as agents of the system becomes particularly pronounced when the system is in crisis. The managerial capitalist elite may have been unhappy with the class compromise represented by the triad of Big Business, Big Government, and Big Labor in late 1970s America, but they were willing to live with it. They were not the ones that took the lead in pushing the U.S. economy in a neoliberal or market fundamentalist direction, an enterprise that restored the hegemony of capital by disorganizing and disempowering labor. It was economists with profoundly ideological convictions, like Milton Friedman, George Stigler, and Arnold Harberger that led the charge.

Economists, to use Mattei and Gramsci’s terminology, are the organic intellectuals of the Capital Order.

This article was published at FPIF


About Walden Bello

Walden Bello was recently conferred an honoris causa doctorate by the University of Helsinki for his lifetime achievements in political economy, sociology, and political activism, following similar honors from Panteion University in Athens and Murdoch University in Australia. He obtained his PhD in sociology from Princeton University and is a retired professor at the University of the Philippines and currently an honorary senior research fellow at the State University of New York at Binghamton. He is a senior fellow at FPIF.

View all posts by Walden Bello →

Sunday, June 07, 2026

The Right Is Disappearing: The Choice Is Between the Left and the Far Right


Photo by Mark Dixon via wikimedia commons



I am writing this text with the Americas and Europe in mind, but the phenomena I analyze apply, with modifications, to other regions of the world. We are on the brink of a new world war, facing imminent ecological collapse, witnessing the end of international law, and the end of the distinction between democracy and autocracy. The political paradigm of Eurocentric modernity has globalized to the extent that it has transformed democracy (liberal democracy) into the only legitimate political regime. Based on concrete examples, it is time to acknowledge that this historical process has run its course and is producing perverse effects: liberal democracy exists today primarily to create and legitimize dictatorships; democratic institutions are committing suicide as a normal way of operating. There is resistance, but it will only be effective if those who resist have the clarity to recognize the gravity of what is happening and the importance of what is at stake.

The political paradigm of eurocentric modernity

The results of the first round of the Colombian elections held on May 31 of this year are as follows: Abelardo de la Espriella (far-right): 10,361,499 votes, corresponding to 43.74% of the total voting electorate; Iván Cepeda (left): 9,688,361 votes, 40.90%; Paloma Valencia (traditional right): 1,639,685 votes, 6.92%. These results have certain circumstantial characteristics that I will identify below, but they are not, on the whole, a mere circumstantial episode. Rather, they are a symptom of a profound political transformation that is taking place globally.

The incompatibility between capitalism and democracy is reaching a level that renders the traditional right and centrism obsolete. The contradiction between capitalism and democracy is the foundation of all political options in the modern era, that is, post-French Revolution. It is inscribed in the three basic normative concepts that define this politics – liberty, equality, and fraternity – and in the historical process that, based on them, was set in motion. There is an inherent tension between the three concepts. As isolated values, they aspire to their maximization (maximum freedom, maximum equality, maximum fraternity); as values in constellation, they require negotiation, accommodation, and relativization (possible freedom, possible equality, possible fraternity). In turn, the historical process set in motion had two pillars: the rise of the bourgeoisie to political power with a view to consolidating and expanding the political economy that had originally granted it power – capitalism; and the establishment of liberal democracy as the only legitimate political regime capable of achieving the possible reconciliation of these three normative concepts.

The fundamental contradiction between democracy and capitalism is this: while democracy is based on the ideas of popular sovereignty and national citizenship as ways to reconcile the tensions between the three normative concepts, capitalism aims at infinite accumulation made possible by the ceaseless expansion of the market. Capitalist accumulation and the market recognize only one of these values – freedom– of which, moreover, they have a narrow conception: the only freedom that matters is economic freedom. On the other hand, while the ideas of sovereignty and citizenship point to the primacy of the national geopolitical space, accumulation and the market are always potentially global, even if they are not always so in reality.

The political families of Eurocentric modernity emerged from this conceptual paradigm. They shared a principled recognition of the validity of the three normative concepts and their potential accommodation through democratic means. Thus was liberal democracy born. They differed in the relative weight they assigned to each of these values: while the political forces conventionally designated as right-wing prioritized the value of freedom, left-wing forces prioritized the values of equality and fraternity. The principle of primacy did not imply the negation of any of the three values; it merely implied that the greatest “necessary sacrifices” would be imposed on the values without primacy.

On the margins of this paradigm, yet fully inherent to it, there existed two types of political forces that shared a rejection of the idea of compatibility through accommodation among the three values and, consequently, of liberal democracy. The political forces conventionally designated as reactionary rejected all three values, as they were all individualistic and secularist, and proposed in their place: God, Country, and Family. A subgroup of the reactionary forces, which gained influence over time, proposed the compatibility of “God, Country, and Family” with one of the values of modernity, freedom, understood as economic freedom. Thus emerged the acronym “God, Country, Family, and Freedom”. This subgroup was labeled as the far right and seized power in the 20th century in the form of fascism and Nazism. These regimes took to the extreme the idea that the only value that mattered was economic freedom

The other margin of this paradigm was constituted by revolutionary political forces that likewise rejected the possibility of reconciling the three values and gave primacy, in various forms, to equality and fraternity. For these forces, liberal democracy would always end up prioritizing freedom at the expense of the other values. And because it gave political form to capitalism, liberal democracy would be doomed to commit suicide when economic freedom demanded the total sacrifice of equality and fraternity. The revolutionary political forces took two main forms: communism/revolutionary socialism and anarchism. They differed on the concept of the state, forms of struggle, and the idea of freedom for associated producers (advocated only by the anarchists).

The liberal democracy/capitalism constellation in action

Originating in Europe, this constellation spread to the non-European world through colonialism and the anti-colonial struggle. It has been in constant upheaval since its inception and was set aside at two historical junctures. And in this case as well, what happened in Europe spread, in different forms, to other regions of the world. The upheaval was driven by two main forces: class struggle and imperial rivalries. The two major collapses, with opposing political outcomes, occurred, on the one hand, in Russia in 1917 (the end of capitalism and liberal democracy), and, on the other, in Italy in 1922 and Germany in 1933 (the end of liberal democracy to “liberate” capitalism). They were, in part, a product of unresolved rivalries from World War I and ultimately contributed to the outbreak of World War II.

While it functioned, the liberal democracy/capitalism constellation took the form of social democracy. Theoretically, social democracy is based on the attempt to realize the original idea of liberal democracy, as proposed by its theorists. Of course, the original idea was always contradicted by the practices of its proponents: John Locke and his dealings in the slave trade (stock certificates in the Royal African Company between 1672 and 1675); or the first U.S. presidents, who saw no contradiction between the Constitution and owning slaves (for example, George Washington, between 300 and 600 slaves; Thomas Jefferson, more than 600 slaves; James Madison, more than 100 slaves).

The original idea was to keep two worlds strictly separate: the world of economic values, which have a price and are therefore bought and sold, and the world of ethical-political values (political convictions, beliefs), which have no price and therefore cannot be bought or sold.

This separation (never complete) formed the basis of social democracy. By social democracy, I mean the coexistence of capitalism and liberal democracy, in which the capitalist class (generally, the bourgeoisie) is forced by the workers’ struggle to make certain concessions to the value of equality in order to preserve the continuity of capitalist accumulation and the globalization of markets.

Historically, these concessions have been the workers’ right to unionize and strike, and social policies in the form of social rights – ranging from labor rights and the public pension system to public education and healthcare, and the concept of public goods (which cannot be commodified) and public service as an operating ethos. In short, a market economy coexisting with a non-mercantile society – that is, a society defined by social relations devoid of a logic of commercial exchange (fraternity mediated by the state). These concessions transformed the state into a privileged arena of political contestation.

The collapse of the liberal democracy/capitalism constellation

Collapse is always the culmination of a crisis that unfolds over time. The crisis of social democracy became evident following the so-called Washington Consensus in the mid-1980s, which declared the unsustainability of the social-democratic capitalist model and proclaimed as the sole global model of capitalism a version that had until then been a minority within economic theory and had only been fully implemented under dictatorial conditions: the Pinochet dictatorship that followed the 1973 coup d’état against Chilean President Salvador Allende, orchestrated by the CIA and Henry Kissinger.

This version became known as neoliberalism. In general terms, it consists of: economic deregulation, trade liberalization, privatization of all state activities capable of generating profits, replacement of progressive taxation (where the wealthier pay proportionally more taxes than the poorer) and the consequent replacement of state financing through taxation with financing through loans in the globalized financial capital market (the great deregulation).

The end of the Soviet Union marked the beginning of the final collapse of social democracy. The neoliberal model brought about two reversals that went unnoticed by the public and the vast majority of social and economic theorists. On the one hand, anti-social-democratic democracy became a condition imposed worldwide by the World Bank and the International Monetary Fund for financing developing nations. The reversal consisted of the following: whereas previously democracy, to be viable, presupposed certain minimum preconditions of development (agrarian reform, urbanization, the creation of middle classes fearful of losing the little or much they have in the event of any attempt at a socialist revolutionary upheaval), from now on the establishment of liberal democracy became the precondition for development policies. No funding without liberal democratization (the infamous “structural adjustment” on the periphery of the world system and the no less infamous “austerity” in the more developed countries).

The second reversal, equally overlooked, consisted in the fact that, whereas until then it could be said with some credibility that capitalism was regulated by democracy (the theory of regulation), from this point on capitalism began to regulate democracy, and democracy was permitted only to the extent that it served the free operation of capitalism.

These two reversals presupposed that the separation between the realm of ethical-political values and the realm of economic values would be eliminated or, at the very least, diminished. One of the instruments used was the deregulation and consequent opacity of political party financing. In the U.S., this occurred with the 2010 Supreme Court decision, “Citizens United v. Federal Election Commission”, through which it became possible to finance party activities without limits. This deregulation went hand in hand with the possibility of obscuring the source of funding through so-called “dark money.”

If the influence of capital on politics had already overshadowed other influences in the past – notably those of labor unions – from that point on it became absolutely dominant. Thus, the floodgates were opened for the realm of economic values to eventually absorb the realm of ethical and political values. In other words, from then on it became possible for everything in politics to be bought and sold, just as it happens in the economy. Grand corruption disappeared because it was legalized. Petty corruption became systemic because, in the meantime, the ethos of public service and concern for the common good had vanished from the memory and practice of the vast majority of state officials.

The Supreme Court’s ruling was the final blow to American democracy. Today there is no democracy in the U.S.; there is an oligarchy with regular elections to decide which oligarchic group governs. Citizens have very little ability to decide on what truly matters and is important for the free operation of capitalism. Therefore, the country that most promotes regime change (the infamous “regime change”) is the country that first undergoes that change, with the result the rest of the world knows: increased social inequality, civil war, depoliticized crime, systemic disinformation through corporate media concentration, and the fragmentation of social cohesion. This is the cruelest mirror of the U.S., the country of the original “regime change.”

From this follows a lesson and an observation. The lesson is that the liberalization and opacity of political party financing imply the death certificate of democracy. In Portugal, that death certificate is being drafted under the pretext of data protection (the same pretext that – combined with the freedom of speech protected by the First Amendment to the Constitution – led to the suicide of American democracy). The observation is that it should come as no surprise that the U.S. today fundamentally supports far-right governments and politicians. These are the governments and politicians that best serve the interests of the American oligarchy and most closely identify with its ideology.

The Interregnum: the end of traditional democracy, the beginning of what?

We are living in a period of Gramscian interregnum: the old liberal democracy/capitalism constellation has not yet completely disappeared, and the new one that will follow it has not yet fully taken shape. What are the main characteristics of this interregnum?

The ambiguity of the anti-system drive

Neoliberalism has been erasing from the memory of the working classes the effectiveness of democracy in defending their interests or improving their living conditions. The final crisis of the liberal democracy/capitalism constellation opens the space for the growth of the anti-system drive. In light of what I mentioned above, this drive is ambiguous insofar as, in the past, the anti-system forces were the far left and the far right. The anti-system drive is merely the manifestation of a malaise with no solution in sight within the current system. It corresponds to an individual and collective existential condition that manifests as an excess of fear without the compensation of any hope without major changes.

In fact, we can say that the anti-system drive benefited Colombia’s President Gustavo Petro in the 2022 elections. Although he is a politician of the system, with a brilliant track record as a senator, he had a far-left past that lent credibility to the possibility that, finally through him, some hope might be restored to those disenfranchised by the liberal democracy/capitalism constellation. And that expectation was not entirely thwarted. On the contrary, there were improvements in the living conditions of the working classes; there was a genuine desire to reconcile the nation through the Total Peace plan; land was distributed to poor peasants; through memorable interventions at international forums, notably at the UN, President Gustavo Petro restored to millions of Colombians the pride of being Colombian after decades of the insulting equation: Colombian = drug trafficker.

The ambiguity of the anti-establishment drive can be identified in different places and contexts. For example, in the regions of Germany that belonged to the communist bloc during the Soviet Union’s existence – the former German Democratic Republic – is where the far-right (AfD, Alternative für Deutschland) is growing the most. In the last federal elections, this party won 34.5% of the vote, while in the regions of what was then West Germany it won only 17.9%. It turns out that these same voters, when asked for their assessment of the communist regime, are mostly (albeit conditionally) in favor of it. What they recall with nostalgia are benefits such as these: job security, free housing and healthcare, the absence of rampant consumerism driven by advertising, the possibility of a stable family life, and one month – and sometimes more – of vacation per year. What they naturally reject is the secret police, the lack of freedom of expression, censorship, and the prohibition or extreme difficulty of traveling abroad. They become disillusioned upon concluding that perhaps they wanted the best of both worlds and that this is impossible.

We can conclude that due to the severe erosion imposed on the liberal-democracy/capitalism constellation in recent decades, the anti-system drive is now legitimate and can be directed toward two opposing political orientations: the far right and the far left. The problem is that at this moment of interregnum the only actual orientation is that of the far right, and the possibility of this drive turning toward the far left is today the unspoken nightmare of those in power. For this reason, they do everything in their power – and with the utmost extremism – to prevent such a shift from occurring, using the most sophisticated means of manipulating public consciousness, silencing the voices that might expose their game, and manufacturing permanent crises to make it impossible for those in power to think beyond the current affairs and for ordinary citizens to think beyond the next day. The creation of permanent crises, the incessant threat of war or foreign intervention, paralyze the possibility or the will to think, to act, and to resist.

In Colombia, we can say that the anti-system impulse oriented toward the far left has been exhausted by Gustavo Petro and is not available to Ivan Cepeda. Colombians are left with no choice but to choose between the left and the far right. In this context, Colombia is on the verge of producing a turning point in the interregnum whose significance extends far beyond Colombia.

The collapse of the traditional right-wing candidate in Colombia is so pronounced that it demands an analysis of the complex formation of the anti-system drive. In this interregnum, the traditional right has only one option: to unite with the far right in the hope of saving the system that has served its interests for decades. It so happens that the right-wing candidate, Paloma Valencia, sought to blend two incompatible signals of the anti-system drive. On the one hand, her Uribista background pointed toward the far right, but on the other hand, by choosing an openly gay vice-presidential candidate (Juan Daniel Oviedo Arango), she sent a signal of an anti-system drive that was not only hostile to the far right and the conservative right but also aligned with the left, which has been legitimizing diverse sexualities. This confused her followers, and many likely even felt betrayed. Consequently, they defected from her camp and threw their support behind the far-right – which is openly misogynistic, homophobic, transphobic, and xenophobic.

Extremes see only extremes

The goal of the anti-system drive is never the construction of an alternative system. This explains why, when it comes to power, the far right knows only how to destroy, never to build. The goal of extremism is to imagine another extremism and turn it into an enemy. One does not engage in dialogue with the enemy; one must simply destroy it.

For the far right, there is no right or center except to absorb them, and above all, there is no left. The entire left is the far left. This is the false polarization with which current politics deceives us. The people are not polarized; it is their cell phones that are. In other words, we are facing a massive fabrication of polarization based on the assumption that it will produce only the far right. The fabrication of the enemy takes two forms today, one secularist and the other religious.

Secularist extremism

For the far right originating from the traditional secularist right, the entire left is the far left – it is communist, neo-communist, or Castro-Chavista (a neologism coined by Colombia’s former (far) right-wing president, Álvaro Uribe). In a media landscape completely dominated by the right, being a leftist has become an insult, a stigmatization that provokes revulsion, while being a fascist is for now an unspoken term, used only in private and among like-minded individuals.

Religious extremism

In the Americas, and increasingly in Africa and India, the political use of religion is an increasingly effective tool for instilling extremism. In the Americas, evangelicalism – especially Pentecostal evangelicalism advocating prosperity theology – is largely responsible for the current indiscreet charm of billionaires. Pentecostal evangelicalism is today a powerful political force, at the legislative, executive, and judicial levels alike.

While for secularist extremism the left is communism, for religious extremism the left is the incarnation of the devil.

The end of soft coups

The first characteristic of the interregnum we are experiencing is the massive production of political extremism. The second is the intense, violent, and flagrantly unlawful interference by the hegemonic power in the domestic politics of countries within its sphere of influence. After the collapse of the Soviet Union, the U.S. became the sole global hegemonic power. Its primary area of interference has always been Latin America. Interference has always existed, but in recent times it has taken two forms that disguised its true objectives under the guise of defending democracy. At the same time, its objectives were pursued in a way that concealed the violence of the drive pushing them.

These two forms were the color revolutions and the soft coups. While color revolutions dominated in Europe and North Africa, soft coups dominated in Latin America. They were so named because they were coups d’état carried out within the framework of apparent constitutional normality and with recourse to democratic institutions. The real objective of all of them was to provoke the removal or deposition of democratically elected presidents, but who were considered hostile to U.S. interests. The manipulation of the judicial system was fundamental to successfully carrying out the soft coups. The first occurred in Honduras in 2009 with the removal of President Manuel Zelaya. This was followed by the coup in Paraguay in 2012 to remove President Fernando Lugo, the coup in Brazil in 2016 to remove President Dilma Rousseff, and the coup, also in Brazil, in 2018 to disqualify presidential candidate Lula da Silva.

The New U.S. Security Policy, adopted during President Donald Trump’s second term, set aside soft coups and began to legitimize more violent interventions that explicitly violate international law. These interventions have two fundamental pillars: the military pillar and the financial pillar.

The military pillar lies, for example, in the omnipresence of warships off the coasts of the countries targeted for intervention, the jamming of satellite communications necessary to activate anti-aircraft defenses, the reinforcement of existing military bases on the continent, the bombing of fishing boats navigating in the territorial waters of these countries, the capture and abduction of democratically elected presidents, and take them to prisons in the U.S. where they will be put on trial. For internal U.S. use, the term “narco-terrorist state” was invented to legitimize these violent interventions. In recent times, the country most violently targeted with the widest range of measures has been Venezuela.

The financial pillar includes embargoes, the freezing of assets and reserves abroad, tariffs, punishment of companies in the target country and in other countries that do business with them, and interference in national financial systems under the pretext of possible corruption or the existence of drug trafficking funds. Cuba is the country that, since the beginning of the Cuban Revolution, has been the target of the most military and financial coups for the longest period of time.

Imperial rivalries intensified

The end of soft coups stems from the intensification of imperial rivalries. As I said, after the fall of the Soviet Union, the U.S. became the sole hegemonic power in the modern world system. That solitude was short-lived. The contradictions inherent in capitalism have led China to develop exponentially over the last thirty years and become what it is today: the world’s factory. Whether acting alone or within the context of the BRICS, China has been emerging as a rival hegemonic power. The rivalry has been intensifying and takes various forms. In Europe, the war in Ukraine aims to block China’s access to Europe and weaken its closest ally, Russia. In the Middle East, the transformation of Israel into a sub-imperialist techno-fascist state aims to cut off China’s access to the Mediterranean and deprive it of the Middle East’s natural resources.

In Latin America, the heavy-handed approach is particularly severe because China has become the main trading partner of many countries on this continent. Furthermore, Latin America is home to one of the largest founding members of the BRICS, Brazil. The most recent symbol of this heavy-handed approach is the creation of a new military alliance between the U.S. and the “friendly” countries of the subcontinent, an alliance significantly celebrated in Miami in 2026. At present, the Shield of the Americas consists of 12 countries: Argentina, Bolivia, Costa Rica, the Dominican Republic, Ecuador, El Salvador, Guyana, Honduras, Panama, Paraguay, Trinidad and Tobago, and the U.S. Glaringly absent are three important middle-income countries: Brazil, Colombia, and Mexico. These are the countries that must remain on high alert if they do not want to fall into the hands of the far right (and the U.S.) in the near future.

Hi-Tech extremism

Following the anti-system drive, the end of soft coups, the use of political religion, and the intensification of imperial rivalries, the most important characteristic of the interregnum in which we live is the far-right’s use of the most sophisticated technologies for manipulating consciousness, now with the massive use of artificial intelligence and the way algorithms can address millions of people as if they were addressing each one individually and personally with tailored messages. This is something far more sophisticated and effective than the infamous Cambridge Analytica, the computer-based political decision-making manipulation machine responsible for Brexit (the United Kingdom’s exit from the European Union).

This type of capitalist investment in far-right parties and candidates comes at a cost, and this explains, in part, why far-right parties are generally the best-funded. The case of Colombia fully confirms this fact. Abelardo de la Espriella’s high-tech campaign is well described in Lucas Ospina’s article published in La Silla Vacia on May 29, 2026. It is the same process that brought other far-right or extreme-right politicians to power in Latin America (Trump in the United States in 2016): Bukele in El Salvador (2019), Bolsonaro in Brazil and Milei in Argentina (2023), Noboa in Ecuador (2023), Mulino in Panama (2024), Asfura in Honduras (2025), Kast in Chile (2025), and Fernández in Costa Rica (2026). It is possible that Keiko Fujimori in Peru will join this group in the near future.

The effectiveness of high-tech extremism cannot be underestimated in any way. In the 2022 Colombian elections, many commentators believed that if the campaign had lasted one more week, the far-right candidate, Rodolfo Hernández, might have won the election.

The die is cast

In another article, I will address the future of the left in this new context, where it has become the sole bulwark defending democracy against the far right. It will be important to ask then: how can we build a conception of democracy that does not commit political suicide by repeatedly electing fascists?

In the current American and European context, democrats have no choice but to vote for the left-wing party or presidential candidate. The far right uses democracy to come to power, but once in power, it has no intention of exercising it democratically. Populism is its best disguise today. For example, in Portugal, the Chega party, the second-largest party, is far-right. As I write, it opposes the labor law reform proposed by the traditional right-wing government currently in power. But it is clear that, once in power, the Chega party will propose the same law or one even more harmful to workers. In light of this, voting for the left today means, above all, saving what remains of democracy so that we can later try to strengthen it in order to resist the false democrats with greater conviction. If the left “forgets” the need to strengthen democracy, it will be committing suicide.

In the future, other issues must be addressed. What is the future of the left if the traditional right disappears entirely? How can we build a conception of democracy that does not commit suicide by repeatedly electing fascists? What will the left of the future look like? These are the topics of an upcoming text.

For now, the choice facing democrats is expressed in two messages sent by prominent figures to the candidates competing in the second round of Colombia’s elections.

Donald Trump’s message to candidate Abelardo de la Espriella on his social media:

Congratulations to Colombian Presidential Candidate, “EI Tigre (THE TIGER),” Abelardo de la Espriella, a Smart, Strong, and Tough Leader, on his decisive Victory in the first round of the Colombian Presidential Election! Abelardo fights tirelessly for, and loves, his Great Country and People, just like I do for the United States of America. As President, Abelardo would be tremendously successful in leading Colombia to Grow the Economy, Create Jobs, Promote Trade, Stop Illegal Immigration, Crack Down on Crime and Drugs, and Restore LAW AND ORDER! Abelardo will face off against a Radical Left Marxist in the Runoff on June 21st – The results of this Election are very important to the future of Colombia and its relationship to the United States. Because of his tremendous accomplishments in life, and his political support for me, personally, it is my Honor to give Abelardo my Complete and Total Endorsement. “EL TIGRE” ABELARDO DE LA ESPRIELLA WILL NOT LET THE WONDERFUL PEOPLE OF COLOMBIA DOWN!

President DONALD J. TRUMP

Message to Iván Cepeda from Jesuit Father Pacho de Roux, who served as president of the Truth Commission established following the 2016 Peace Accords with the guerrillas, and to whose Advisory Council I had the honor of belonging:

Iván, who am I to give you advice, but accept this word from a friend.

Congratulations. You ran a very good campaign. You kept hope alive.

You dedicated yourself body and soul.

It is time to accept the truth of reality. It is right that they recount the votes, but that is not the issue; the truth that the ballot boxes reveal is the degree of moral prostration and darkness in much of our society, regardless of the manipulations or fears that cause this situation

And we must move forward from that truth. You are right when you speak of a moral revolution, of a change of consciousness. Your moment is now, to transform the truth of the result into a call to enthusiastically embrace what you embody: bold passion and hope, with challenge and generosity, and perseverance amid difficulties, as you have done; and at this crucial moment, that very ethical passion is drained if you use its value to attack your opponent for his moral baseness as a mafia-like and corrupt figure whom we know well.

Do not let your passion stray down that path, because you will not change the corrupt one, nor will you shake the dark conscience of those who follow him; on the contrary, you will harden their hearts in evil.

Your moral integrity, your enthusiasm for the cause, your call to Hope, your transparent, ethical, positive, and courageous discourse – that is what is needed now.

You have that. Do not diminish your moral greatness by campaigning AGAINST the moral abyss; dedicate these three weeks to giving everyone the best of yourself.



Boaventura de Sousa Santos
Boaventura de Sousa Santos is the emeritus professor of sociology at the University of Coimbra in Portugal. His most recent book is Decolonizing the University: The Challenge of Deep Cognitive Justice.




Monday, June 01, 2026

1968–73: Humanity’s lost opportunity

Boris Kagarlitsky graphic spichka

First published in Russian at /spichka. Translated by Dmitry Pozhidaev for LINKS International Journal of Socialist Renewal. Boris Kagarlitsky wrote this article from a Russian penal colony, where he is currently serving a five-year sentence for his opposition to Russia’s war on Ukraine.

In 2017, British cultural theorist Mark Fisher began teaching a lecture course at Goldsmiths, University of London, titled Postcapitalist Desire. After delivering five lectures, he assigned students work in preparation for the sixth session, returned home and hanged himself.

I admit that joking about such matters is inappropriate, but it strikes me as entirely unacceptable to suicide without finishing a university course. More importantly, however, what remained undelivered was, in my view, the most interesting lecture of all, entitled “The Destruction of Democratic Socialism and the Origins of Neoliberalism: The Case of Chile.”

One can gain some sense of what Fisher intended to say from remarks he made during the introductory session and throughout the course, which have since been published in Russian. These ideas struck me as both profoundly important and deeply resonant, and I feel compelled to develop and carry them through to their conclusion. That is what I will attempt to do in this article. Though, naturally, I will do so from the standpoint of my own perspective and experience — not only political but emotional as well.

The 1973 coup in Chile, when the military under General Augusto Pinochet overthrew the left-wing government of Salvador Allende and unleashed a wave of bloody reprisals against the defeated, was an event of more than merely Latin American significance. It marked the end of an entire period, brief but brilliant, of attempts at radical transformation in very different corners of the world: from Czechoslovakia to Peru, and from France to the United States. The forms and scale of these developments varied considerably, but they were united by a common aspiration to overcome the conservative equilibrium of the existing world order and break through toward a new developmental horizon: democratic socialism.

Naturally, all these efforts had a longer prehistory, rooted above all in the fact that the models of development prevailing both in East and West had, by the late 1960s, clearly exhausted their positive potential. It would be entirely mistaken to assume that the revolutions of 1968–73 emerged out of the failures of preceding development. Quite the opposite.

Competition between the two systems initially had a beneficial impact on the social position of working people, in advanced capitalist countries and in states governed by Communist parties. Consumer society was triumphing everywhere, albeit in different forms: for some it meant affordable family cars; for others, cramped yet private apartments replaced communal flats and barracks.

Europe had lived without war since 1945. Regrettably, the same could not be said of Asia, where the Korean War was followed by a new phase in the decades-long conflict in Vietnam. This nevertheless remained far removed from the global catastrophes of the first half of the twentieth century.

Changes were also taking place in the Third World. Colonies gained independence one after another, and new governments, though often strikingly indifferent to civil liberties and human rights, nevertheless undertook campaigns to eliminate illiteracy and build industry, seeking assistance either from former colonial powers or the Soviet bloc, and often from both.

In Latin America, a wave of hope for change rose after the 1959 Cuban Revolution. By the mid-1960s, however, the first doubts had begun to emerge about developments on the Island of Freedom. It was hardly accidental that the legendary comandante Che Guevara preferred the doomed Bolivian expedition to a government career under the new regime. Yet, overall, enthusiasm and hope endured, and not only among the left.

One can say, without exaggeration, that the 1960s were “good times”. Perhaps more than ever before, humanity, or at least a considerable part of it, was beginning to experience itself as a single whole. The extraordinary success of science fiction vividly reflected this orientation toward the future and the desire to discover new worlds, not necessarily on distant planets but simply through transcending the boundaries of everyday life via technological progress, which, logically enough, was expected to be followed, however unevenly and contradictorily, by social progress as well.

The problem was that by the mid-1960s, both regulated capitalism, with its accompanying consumer society, and the Soviet system, modernised and softened after Joseph Stalin’s death, had already exhausted their developmental potential.1 They had satisfied the basic material needs of substantial sections of the population, while simultaneously revealing that human beings do not live “by bread alone” — not coincidentally the title of one of the defining Soviet novels of the Thaw period.2

A transformed individual demanded greater freedom. Rising levels of education and professional qualification among wage earners generated new aspirations and new demands, while the methods of economic governance in both advanced capitalist countries and the Eastern bloc increasingly required adaptation to changing realities.

The contradictory reforms of the 1960s

Economic reforms were launched in the Soviet Union and other Communist countries between 1964–66. Initially, the goal was to increase enterprise autonomy and expand the powers of managers. Yet it quickly became clear that granting administrators greater economic freedom exposed an entire set of previously latent contradictions, not merely economic but also social and even political. After all, if a factory director was to be given more authority, why should engineers and workers not also receive additional rights? And, conversely, how could one restrain manifestations of collective self-interest among enterprise workers?

Previously, everything had been rigidly, if not especially efficiently, controlled by higher administrative bodies, the system of centralised planning and a bureaucracy external to the labour collective itself. But once its iron grip began to loosen, the need arose for new forms of coordination. Could these be achieved solely through the market? But what then was to be done about the vast range of needs and problems that the market, by its very nature, simply fails to “see”? No money means no demand. The expansion of collective rights generated a demand for democracy, and not merely in the form of bourgeois parliamentarism.

The contradictions of the economic reforms of the 1960s are well described in Aleksei Safronov’s The Great Soviet Economy, 1917–1991. Yet the central problem was that, in the end, all these contradictions led back to politics. If in the Soviet Union this resulted in the gradual rollback of reform, in Czechoslovakia, by contrast, transformation assumed a systemic character.

The political centralisation that existed within the so-called “Communist bloc” meant the reform process initiated in the Soviet Union affected all countries within the Soviet geopolitical orbit. However, it would be a profound mistake to imagine that Eastern European states merely copied the Soviet experience or obediently followed instructions from Moscow.

First, each country developed its own reform projects, and in many cases Eastern European economists were in close contact with their Soviet counterparts. In the cases of Czechoslovakia and Hungary, one can even speak of mutual influence.

Second, political, economic and cultural conditions varied significantly from country to country. Against this backdrop, Czechoslovakia stood out sharply. Unlike most Eastern bloc countries, it had already been a highly developed industrial society before World War II. Moreover, it emerged from the war relatively unscathed.

In other words, the developmental tasks that had been addressed, with relative success, through the Soviet centralised mobilisational model had already been solved in Czechoslovakia. Whereas centralised planning initially served as an instrument of industrial modernisation elsewhere in the bloc, here its limitations became apparent very quickly, and it increasingly turned into an obstacle to further development.

At the same time, precisely because the tasks of modernisation, among them those historically addressed by the Russian Revolution, had already been accomplished, genuinely socialist questions came to the forefront, both objectively and ideologically: how could society become master of its own destiny? How could conditions be created for democracy in the spheres of economic and social development?

In his 1967 book Plan and Market under Socialism, the leading theorist of Czechoslovakia’s reforms, Ota Šik, argued that the abolition of private property did not eliminate differences in the interests of various individuals and social groups. Democratic planning, which makes use of market mechanisms where appropriate, aimed above all at development grounded in the reconciliation of these differing interests. And naturally, the articulation and representation of interests required political freedom. Yet the transformations that unfolded in Czechoslovakia in 1968 were by no means confined to the abolition of censorship and preparations for free elections.

The Action Program adopted by the Czechoslovak Communists envisioned the creation of organs of workplace self-management. Mass participation by working people in economic decision-making, from the bottom up, not only laid the foundations for entirely new economic institutions but also shifted the centre of gravity in political life, away from parliamentarianism and toward industrial democracy, in which many problems could be addressed directly at the local level, without the mediation of political parties and officials, without either the bourgeoisie or bureaucracy.

As is well known, the Prague Spring of 1968 was interrupted by Soviet intervention. Far less widely known, however, is the fact that the struggle over workplace self-management continued even after the Soviet invasion in August. Despite the occupation, enterprise councils were established and began coordinating among themselves. Only in 1969 did the new Czechoslovak authorities succeed in dismantling the workers’ councils and returning enterprises to bureaucratic control. This process later became known as the “Second Prague Spring”.

From hope to neoliberalism

Meanwhile, the ideas of self-management gained popularity far beyond Czechoslovakia. Naturally, when speaking of 1968 in Western Europe, people tend first to recall the student uprisings in Paris. Yet the story went far beyond youthful rebellion alone. In France, workers went on strike. In 1969, Italy experienced a wave of mass protests. In both cases, slogans of self-management emerged and were later developed further in the theoretical and programmatic documents of left-wing organisations and trade unions.

But why remain focused exclusively on Europe? In that same year, 1968, General Juan Velasco Alvarado came to power in Peru and proclaimed a program of sweeping social reforms. Here too, the ideas of self-managed socialism played a significant role. Revolutionary sentiment spread rapidly throughout Latin America, and the electoral victory of the left in Chile in 1970 represented merely the crest of this broader wave.

Allende’s election as president of Chile created an opportunity, under very different conditions but still in recognisable continuity, to once again attempt the strategy of transformation that had emerged during the Prague Spring and the European protest movements of 1968–69. Having nationalised parts of the economy, the left-wing government simultaneously encouraged the development of workplace democracy and sought to employ the achievements of cybernetics to create new mechanisms of communication and planning.

Chile’s Cybersyn system, which Mark Fisher aptly calls a “socialist internet,” genuinely anticipated managerial technologies that would only become familiar decades later. One might also recall here the Soviet academician Viktor Glushkov, who sought to modernise and optimise planning through cybernetics.

The Soviet Union lacked sufficient computing power to implement the OGAS system proposed by Glushkov.3 Beyond this, each ministry advanced its own version of OGAS, in hopes of securing a dominant role within the emerging management system. As a result, the project began to be implemented sector by sector, with the expectation that these parts would later be integrated into a unified structure. That future, however, never arrived.

There was even a joke that Glushkov wanted to replace the Politburo with robots. The political implications of the academician’s proposals appeared, at best, unclear to the party leadership and therefore suspicious. Better not to rush matters.

In retrospect, it has often been assumed that the “market” reforms proposed in the Soviet Union and Eastern Europe during the 1960s and Glushkov’s ideas represented two opposing visions of transformation. Credit must be given to Safronov for convincingly demonstrating that reality was quite different. The two approaches complemented one another and were initially promoted by many of the same people.

It is crucial to understand that the so-called “market reforms” had nothing in common with the notions of the “free market” advanced by neoliberal ideologues. The point was not to subordinate people and enterprises to market domination, but rather to make use of market mechanisms in solving immediate problems of economic optimisation, in pursuit of priorities that could be entirely different from profit maximisation.

Meanwhile, Chilean revolutionaries were well aware of the Czechoslovak experience. In the early 1960s, Valtr Komárek, one of Ota Šik’s closest associates, worked in Cuba. Latin American leftists were not merely familiar with the ideas being discussed in France or Italy; they were given a historic opportunity to put this agenda into practice.

The turbulent three years of the Chilean revolution were not only marked by successes. Yet what remains significant is that Allende’s government was able, first, to carry out radical socio-economic reforms while strictly adhering to democratic norms and procedures, and second that, despite difficulties and mistakes, support for the left not only failed to decline over those three years but actually rose. After the success of Allende’s supporters in regional elections, it became clear that the old ruling classes had no path back to power other than unconstitutional violence.

By 1973, the coalition had gained two additional deputies compared to 1969, while retaining the same number of senators. Yet the internal balance within the coalition shifted considerably: the Socialists gained thirteen seats, the Communists three, while the left-centrists of the Radical Party lost seventeen. Three deputies from smaller parties also joined the coalition. In short, support for the coalition as a whole remained broadly stable, but its most radical components emerged significantly strengthened.

Pinochet’s coup in the autumn of 1973 not only drowned the project of democratic socialism in blood, bringing the revolution to an end, but also became a kind of template for later coups in Uruguay and Argentina. Moreover, the military regimes did not merely wage campaigns of repression against the left. They also began implementing their own economic agenda.

This agenda, later known as neoliberalism, was initially implemented precisely by dictatorial regimes in South America, and only later transferred to Western Europe and the former Soviet bloc. This trajectory was far from accidental. The success of neoliberal reforms depended upon suppressing not only working-class resistance but democratic institutions as such. This is precisely why neoliberalism advanced much more slowly and less consistently in Western and Eastern Europe.

The erosion of democracy unfolded wherever this agenda was introduced, and its consequences, in varying degrees, can still be observed today in countries ranging from Russia to the US. The dismantling of the welfare state, privatisation, tax cuts for the wealthy, and the redistribution of resources toward major corporations and financial capital laid the foundations for a succession of crises, the largest of which was the Great Recession of 2008–10, whose consequences remain unresolved. Yet this instability of economic and social life represents, in a sense, the price capital has had to pay for its decisive victory over the alternative social projects born from the experiences of the 1960s and 1970s.

Partial reforms instead of social transformation

Crucially, however, the defeat of the Chilean revolution not only marked the beginning of a new stage in capitalist development but also triggered profound transformations within the left itself. These changes did not occur overnight, but it is telling that, following the Chilean coup, the Italian Communists, then the most influential and theoretically sophisticated left-wing party in Europe, began rethinking their strategy.

Enrico Berlinguer, then General Secretary of the Italian Communist Party, explicitly pointed to Chile as a lesson necessitating a change in left strategy. In essence, this meant abandoning attempts at comprehensive and conceptual social transformation of the kind pursued during the Prague Spring or by Chile’s Popular Unity government between 1970–73. In its place, Berlinguer advanced a strategy of gradual progress through partial reforms, aimed at shifting the balance of forces within society through a “historic compromise” with the progressive wing of the bourgeoisie.

Yet this approach, seemingly far more realistic than the self-management revolution envisioned in the late 1960s, ran into one serious obstacle: the “progressive” faction of the bourgeoisie itself grew increasingly marginal with each passing year. Given that the trend continues even today, progressive bourgeois figures may soon have to be placed in a conservation program alongside other endangered species.

Naturally, the turn toward reformism and moderation occurred unevenly and at different speeds, just as the retreat of the left and the erosion of its political influence did not immediately become obvious trends. In Portugal, the 1974 Carnation Revolution, led by progressive military officers, saw the “April Captains” aspire not merely to establish democracy but to carry out the radical transformations then central to the left agenda. Portugal became a democracy, yet socio-economic transformation was blocked, with the Socialist Party, already moving toward moderation, becoming one of the principal brakes on change.

Military progressivism also suffered defeat in Peru. The reforms initiated by Velasco remained incomplete, and he himself was removed from power by his own allies. Later, the slogans of self-managed socialism resurfaced repeatedly, whether in France during the early François Mitterrand years or in Poland among the ranks of Solidarity, but such projects either failed to move beyond rhetoric or were quickly abandoned. Even where ideology remained radical, as in Brazil’s Workers’ Party, actual policy increasingly drifted away from those ideals.

By the late 1970s and early ’80s, the general trend toward “moderation” increasingly overshadowed the radicalism of the previous decade. Following the Italian Communists, the Socialists of France and Spain, the British Labour Party (which was not particularly revolutionary even in its heyday) and eventually left-wing parties in Latin America all moved in this direction.

A commonplace justification for this new moderation was the claim that “the Chilean project had failed.” In Eastern Europe and the former Soviet Union, the Prague Spring’s defeat was similarly invoked to justify abandoning the idea of democratic socialism. Yet, as Fisher rightly observed, there was no “failure.” If an experiment is interrupted through violence, this does not mean the experiment itself was misguided. Quite the contrary. If violence had to be employed to halt it, one may reasonably suppose that, otherwise, it might have succeeded. As Fisher put it: this was not failure, but destruction.4

Political or military defeat is, of course, still defeat, and one whose lessons must be taken seriously. Yet it also invites us to reflect on the internal logic of an unfinished experiment, and on what might have happened had it not been violently interrupted.

A premature revolution?

The founders of socialist theory assumed that a new type of society would emerge on the basis of a higher level of productive development, as the productive forces “outgrew” the limits of capitalist relations of production. If the flourishing of capitalism was clearly linked to the rise of industry and large-scale machine production, then the foundation of a post-capitalist — to use Fisher’s term — or socialist society would have to rest upon the new post-industrial technologies now rapidly entering our lives.

For Fisher, this led to an important conclusion: the objective conditions for transition in the 21st century may in fact be more favourable than they were in 1968–73. Yet, unlike that earlier era, the political, psychological and moral conditions have deteriorated.

Can we therefore conclude that the attempts of 1968–73, much like the revolutions of the first half of the 20th century, were historically “premature,” and that the achievements of Bolshevism, Maoism and Castroism were linked not to a genuinely socialist agenda but rather to a project of modernisation? To some extent, such a conclusion also suggests itself when reading Aleksandr Shubin’s The Global Revolutionary Wave (1918–1923): The Tide and The Ebb, devoted to the revolutionary wave of the early 20th century.

It was none other than Karl Marx who wrote:

No social order is ever destroyed before all the productive forces for which it is sufficient have been developed, and new superior relations of production never replace older ones before the material conditions for their existence have matured within the framework of the old society.

Following this logic, are we compelled to conclude that the defeats suffered by Communist movements in the 20th century were historically inevitable and that the classical Marxists themselves were simply premature in promising an imminent transition to socialism, at a time when the Industrial Revolution had by no means exhausted its potential?

At first glance, such conclusions may seem unavoidable. Yet important questions arise. After all, capitalism’s emergence began well before the Industrial Revolution. Bourgeois relations of production already existed in 14th-century Flanders, Northern Italy and Bohemia, and later spread into England and France long before the steam engine’s invention. Manufacturing, banks, merchant houses, stock exchanges, wage labour and joint-stock capital all developed in the pre-industrial era and, in turn, contributed to the onset of industrial transformation.

And did not political revolutions in England, and even earlier in the Netherlands, create favourable conditions for the emergence of new productive forces? In other words, did emerging bourgeois relations not themselves begin generating a firmer economic foundation for their own reproduction?

History unfolds far less linearly than we often imagine, and transitions between historical stages in no way resemble a railway timetable, with fixed stops announced in advance.

Reflecting on the historic legacy of the Paris Commune, Jean Jaurès convincingly observed that it would have been naïve to imagine that, had the Commune succeeded, France would already have become a socialist state by the beginning of the 20th century. Yet its victory would undoubtedly have accelerated social development. I would add: perhaps economic development as well.

Applying this logic to the years 1968–73, we are inevitably led to ask whether the post-industrial technologies we discuss today might have emerged earlier, in different places, under different conditions and, perhaps, in somewhat different forms, had the revolutionary wave succeeded. The creation of the Cybersyn network in Allende’s Chile is, in essence, already an answer to that question.

But even if we look at the history of the internet in the US, we immediately discover that what later became the global network did not arise from market relations. Rather, it emerged as a public and state-supported structure, made possible precisely through its relative independence from the logic of markets and private profit. It is clear that the political conditions of democratic socialism are especially favourable for technological projects of this kind — and this was no less true in the early 1970s than it is today.

Why do the 1960s still haunt us?

When speaking about social transformation, we obviously cannot separate technology from politics. In the early 1920s, when Nikolai Sukhanov and other Social Democrats reproached the Bolsheviks for launching a socialist revolution in a country that was “not yet ripe for socialism,” Vladimir Lenin emphasised the political circumstances that made a radical socialist agenda both necessary and historically inevitable. Yet, in an important sense, the reverse possibility also exists: the defeat of democratic socialism in 1968–1973 may itself have slowed and distorted economic development, not only in particular countries but across the world as a whole.

At the same time, this defeat was not so much the result of political mistakes committed by the left, but rather the broader balance of mass and social forces. Consequently, the left’s shortcomings lay less in tactics than in an insufficient understanding of this strategic relationship of forces. More fundamentally, should we even speak here of “mistakes”? Or are we instead dealing with tragic contradictions inseparable from the historical process itself?

Whatever the case, the defeat of the left between 1968–73 changed not only the political landscape but capitalism itself, stimulating the emergence of entirely new tendencies. The alternative to socialist transformation became not only neoliberalism but also, to borrow Naomi Klein’s term, “disaster capitalism.” Joseph Schumpeter once wrote of capital’s tendency toward creative destruction. Yet in this new form of capitalism, destructive processes increasingly move to the foreground, becoming both a key instrument of accumulation and a necessary condition of reproduction.

The growing instability of the contemporary world has a systemic character, and explanations must be sought not merely in politics but in political economy. Countless books and articles have already argued that the neoliberal model of capitalism, triumphant at the end of the 20th century, represented a form of bourgeois social revenge, rolling back concessions granted to working people over the course of nearly a century. Yet only now are we in a position to fully appreciate the long-term, systemic consequences of this reversal.

The regulated capitalism of the 20th century minimised many of the disruptions generated by cyclical market crises through social concessions. Yet from the late 1970s onward, ruling classes came — partly instinctively and partly consciously — to believe that the risks associated with socio-economic reforms aimed at overcoming or avoiding crises were greater than the costs generated by crises themselves.

In other words, if overcoming crisis tendencies would require the system to radically transform and ultimately abolish itself, then it becomes preferable not to resolve crises at all, but simply to learn to live with them. As we can now observe, cyclical crises, occurring not only in the economy but across multiple spheres of life, increasingly overlap and intensify, gradually merging into a single chronic crisis that reproduces itself.

At the same time, the immense resources accumulated over the past two centuries allow the system to survive, and even expand, under conditions of permanent crisis for an almost unlimited period of time. The key word here, however, is almost. Objective limits still exist; we simply will not recognise them until we collide with them. And that moment may not be as distant as it seems.

The increasing frequency and, above all, scale of armed conflicts, the recurring social crises, and the repeated uprisings of populations enraged by them all testify to a world increasingly slipping beyond the control of ruling classes. The problem is not a shortage of resources as such, but the manner in which they are used and distributed, producing ever more collisions and confrontations. Yet wars, popular uprisings and even political coups do not by themselves transform the system. They are symptoms of a deeper illness generated by underlying structural processes.

A transition to a new social order requires not merely political change but a systematic reconstruction of social relations and the rules of the game, as well as the creation of a new balance of forces, something that repeated popular uprisings and middle-class revolts have thus far failed to achieve. Radical slogans occasionally emerge, including demands touching upon property relations, yet these movements still lack the systemic and ideological depth that characterised the struggles of 1968–73.

Capitalism may, of course, place its hopes in renewal through artificial intelligence. Yet such technologies are more likely to intensify the system’s contradictions than resolve them. Here, the contradiction between productive forces and relations of production manifests itself in a multitude of inefficient measures undertaken by corporations and governments alike, transforming technological revolution into yet another financial bubble, or clumsily attempting to manage the consequences of their own efforts to digitise the economy.

In their article, “The Long Downturn and Its Consequences,” US Marxists Robert Brenner and Dylan Riley draw attention to the fact that total factor productivity indicators in most advanced capitalist countries have steadily deteriorated since the mid-1970s. Many other authors, representing very different intellectual perspectives, arrive at similar conclusions.

One can say that a broad consensus has already emerged among economic historians on this question. Significantly, many identify 1973 as the start of the trend. Clearly, the problem does not lie in the absence of new technologies. We can plainly see that technological innovations continue to emerge across a wide range of industries and spheres of life. Rather, the issue lies in the system’s diminishing capacity to make effective use of them for its own development and consolidation.

Every new cycle of technological progress intensifies contradictions and accumulates further imbalances. At first glance, this appears to be a textbook example of the contradiction between productive forces and relations of production described by Marx. Yet we must also recognise the social dimension of the process: social structures themselves become disorganised, social ties weaken, and relationships grow increasingly unstable.

Where political economy identifies overaccumulation of capital — capital that is more profitable to squander meaninglessly than to invest productively, thereby lowering the overall rate of profit — anthropology or sociology finds the widespread proliferation of “bullshit jobs,” famously described by David Graeber. Where populist politicians rail against uncontrolled migration, economists instead observe profoundly inefficient resource allocation, both between states and within them. One may describe all this as “liquid modernity,” but behind these symptoms lies a creeping process of desocialisation, an increasing chaos in social relations.

The disorganisation of society under late capitalism becomes a political problem for the left and goes a considerable way toward explaining not only the successes of the far right but also the deepening crisis of democracy itself, a crisis driven not only from above but from below as well. The instability of social existence makes it harder for people to recognise and clearly articulate their interests, let alone organise collectively to defend them.

During the 1990s and 2000s, liberal left movements attempted to substitute weakening class ties and their corresponding forms of political organisation with “identity politics.” Yet the paradox behind their widespread failure is that, amid accelerating desocialisation, identities themselves dissolve even faster and more profoundly than class structures, which, though weakened, continue to reproduce themselves through the underlying logic of bourgeois social relations.

As Fisher wrote in Capitalist Realism: “The required subject — a collective subject — does not exist, yet the crisis, like all the other global crises we’re now facing, demands that it be constructed.” Politics without a subject is impossible, or rather, it becomes very poor politics, reflecting only the shifting contingencies of circumstance and manipulation. Yet reconstructing a collective political subject under conditions of growing desocialisation and social atomisation is no simple task.

A paradoxical conclusion suggests itself. Compared with the 1968–73 period, the conditions for transition to a new society may at that time have been less technologically mature, yet in many respects far more favourable socially, politically and culturally. At the same time, however, the need for transformation imposed by the current conjuncture has become immeasurably more urgent than it ever was in the “prosperous 1960s” or the “stable 1970s.”

If the situation has changed so radically, then it is reasonable to pose the same question Fisher asks both himself and his audience: why are we still haunted by the 1960s? In Fisher’s view, the answer lies in “unrealised desires” expressed through particular cultural forms. Forms change, but desires and needs persist. More than that, the sharpening of contradictions compels us repeatedly to return to the unrealised radical agenda of that era.

Neoliberal capitalism and left politics

Can desire exist without a subject? Of course, we all experience different emotions and develop various needs, formally distinct, though in essence often remarkably similar. These shared social needs form the objective basis of group and class identity. Yet such commonality must still be consciously recognised and politically articulated.

Fisher argues that, on the one hand, economic and social development constantly generates the conditions, or at least the preconditions, for post-capitalist practices, while on the other hand, neoliberalism is compelled to suppress and contain them to preserve the system. Under such conditions, ruling elites are willing to encourage the emergence and competition of every identity except class identity.

Before our eyes, despite all obstacles, a new social community is emerging spontaneously, one that might be called the post-industrial proletariat, or perhaps even the post-proletariat: a growing mass of wage earners who resist proletarianisation more than they develop class consciousness in the familiar forms of the 19th and 20th centuries.5 This is precisely why the traditional language and agenda of the left appear simultaneously highly relevant and strangely outdated, even archaic.

Scientists, engineers and computer specialists naturally dislike thinking of themselves as mere cogs in a corporate machine. The forms of collective action that came naturally to industrial workers in large enterprises often feel alien to them. They are hired through individualised contracts that create the illusion of equal “partnership” with corporations and are generally reluctant to fight for collective agreements or sector-wide bargaining, traditionally defended by trade unions. Yet despite their opportunities and privileges, they become increasingly dependent on labour markets, much like everyone else, whether those who have already reconciled themselves to this condition or those who have consciously recognised themselves as participants in class conflict.

We may indulge in nostalgia for the old days of industrial capitalism, but we are left with the world we actually inhabit. The transition has already begun, though under conditions far less favourable than those imagined in the 1960s and ’70s, and entirely within capitalism itself. Whether we like it or not, this is the terrain we must work with. More importantly, it remains terrain on which we can work.

Fisher quite rightly points to the latent growth of class consciousness, one that nonetheless fails to find adequate expression in either politics or culture. As an alternative, he calls upon us to “regain the optimism of that Seventies moment, just as we must carefully analyse all the machineries that capital deployed to convert confidence into dejection.”

But is bourgeois hegemony alone the problem? “The story of how the counterculture was co-opted by the neoliberal Right is now a familiar one,” Fisher writes, “but the other side of this narrative is the Left’s incapacity to transform itself in the face of the new forms of desire to which the counterculture gave voice.”

The political upsurge of 1968–73 provided an enormous impulse to cultural transformation in the broadest sense, from cinema and music to everyday life, forms of education and patterns of behaviour. Yet, tragically, its political potential was lost. The revolution of everyday culture absorbed the political revolution, eliminating what had been most essential to the left: the will to power.

Despite ritual admiration for the dynamic and turbulent struggles of the recent past, much of the left turned into moralistic scolds, endlessly quarrelling over the use of “incorrect” language or over events they neither can nor wish to influence, while proving incapable of waging struggles for practical change capable of attracting people not already burdened with a pre-existing political ideology.

The radical right intuitively grasped the spirit of the age and offered its own version of populism. As Fisher observed, they “play class politics in order to suppress class consciousness,” exploiting the fears, frustrations, social anxieties and cultural disorientation generated by the system itself. In this sense, the permanent crisis reproduced by neoliberalism becomes their ideal environment. The less educated can be turned against the educated, “natives” against “outsiders,” one nation against another. The tragedy is that the left often eagerly joins this game as well, becoming a politically correct mirror image of the right.

Why, however, should we assume that populist politics must necessarily be tied to reactionary or conservative agendas? Contemporary society is far more fragmented than that of the second half of the 20th century, but this is precisely why the task of modern class politics is to identify points of convergence and foundations for solidarity by advancing a comprehensive political agenda.

The aesthetics of diversity produced by the late-1960s counterculture need not function solely as an instrument of fragmentation. They can also become a basis for unity, provided we seek within this diversity the enduring elements of a deeper commonality, that same “post-capitalist desire,” the impulse to move beyond the limits of the system.

The left politics yet to be developed in practice will undoubtedly rest not upon monolithic unity but upon coalition-based solidarity, where class consciousness becomes not the precondition of collective action but its result.

To a considerable extent, the left populism and broad coalitions characteristic of 20th-century Latin America appear not as peculiarities of one region and period but as prototypes for new forms of left political organisation. Yet one thing must not be forgotten: no organisational form can function without an adequate political agenda.

If we are unable to agree upon a comprehensive program capable of expressing the desires and needs of different social and cultural groups, then no coalition agreement will save us. And if such a program remains superficial, avoiding the questions that can only be addressed through systemic transformation, then even electoral victories and charismatic leaders will ultimately fail, as recent experience in Peru and Chile has already demonstrated, where the left, after impressive electoral successes, struggled once in power.

The conditions that gave rise to the mass revolutionary movements of 1968–73 were technologically less mature for transition than those of today, yet socially and politically far more favourable. Since then, economic and social relations have grown increasingly chaotic, left politics has undergone a catastrophic crisis, and democratic institutions have experienced an unprecedented degree of corruption and decay. Public influence over political decision-making has weakened, while the “revolt of the elites,” so persuasively analysed by Christopher Lasch, has pushed democratic representation backward, almost to 19th-century conditions, when the opinions of ordinary citizens mattered only insofar as they coincided with those of the ruling class.

And yet the demand for change not only objectively exists, it is widely felt. The institutional crisis generated by neoliberalism creates among millions of people, if not conscious understanding, then at least a powerful sense that the present condition of things is abnormal and must be fundamentally transformed.

The direction of that change, however, remains deeply uncertain, creating fertile ground for every variety of reactionary utopia. In this respect, we lag tragically behind the great five years of 1968–73, when the direction of transformation appeared, or at least seemed to appear, relatively clear.

It is precisely this new clarity and sense of direction that we must now create, drawing, among other things, upon the experiences of 1968–73, the left and revolutionary movements of that period, and the political culture and traditions they produced.

  • 1

    Boris Kagarlitsky’s note: “Living standards continued to improve, but the pace of growth slowed. The Soviet planned system had performed well during the period of modernization and industrialization, but it failed to manage the transition to a new technological paradigm based on computers and robotics. In the Soviet Union, labour productivity increased more slowly than in the West, partly because of the slow pace of automation and industrial modernization. The USSR could no longer economically outperform capitalism without systemic change.”

  • 2

    In 1956, Vladimir Dudintsev (1918–1998) published the novel Not by Bread Alone. In it, the author tells the story of the inventor-engineer Dmitry Lopatkin during the Stalin era. The protagonist struggles to defend his invention against bureaucrats, but is ultimately denounced, and the inventor’s life ends tragically. In 1957, the novel was criticized by Khrushchev, who accused the author of “deliberately darkening the picture and maliciously dwelling on shortcomings.”

  • 3

    OGAS (Obshchegosudarstvennaya Avtomatizirovannaya Sistema Uchyota i Obrabotki Informatsii), or the National Automated System for Computation and Information Processing, was a Soviet project proposed by cyberneticist Viktor Glushkov in the 1960s to create a nationwide computerized network for economic planning and management. Intended to link enterprises, ministries, and planning bodies through real-time data exchange, OGAS sought to modernize socialist planning through cybernetics and automation. Although often described as a Soviet precursor to networked information systems, the project was never fully implemented due to institutional resistance, bureaucratic competition, and technological constraints.

  • 4

    Fisher wrote: “The horrific testing ground for that is, first of all, Chile — a democratic socialist project, close to the US, very different from anything to do with the Soviet bloc, technologised, had the so-called socialist internet, CyberSyn, in place, destroyed… It can’t be said, “ah, it didn’t work, what happened in Chile”. It didn’t work because there was a CIA-backed coup to destroy it — the military destruction of the Allende government in Chile — which I think then provides a kind of prototype for what would happen afterwards. In places like the UK, it wasn’t quite so immediately violent. There was violence — the Miners’ Strike, etc. — but it was a kind of capitalist-realist lab which allowed capital to experiment with these new forms of subjection.”

  • 5

    Boris Kagarlitsky’s note: The concept of “proletarianization” and analyses of resistance to this process among scientific and intellectual workers are well established in Western sociological literature. In particular, Wallerstein wrote about proletarianization as an uneven process. Soviet studies on the history of the eighteenth and nineteenth centuries also frequently employed the concept of the “semi-proletariat.”