I had a discussion with a girl I know about minimum wage (idk what her politics are exactly bc she's inconsistent but if I had to guess I'd say soc dem) and she was saying Biden's plan to increase the minimum wage to $15 by 2025 was the most ambitious plan in world history. She explained that with $15 min wage the US will have the highest minimum wage in the world, this was the best way to do it bc if we switched to $24 min wage overnight then small businesses would completely shut down and leave a large amount of the workforce unemployed and allow corporations like Amazon to take over.

I'll admit I'm newish to leftism and didn't really have an answer to this. Is there an argument from the left against this? also sorry to mods if I posted in the wrong place, wasn't exactly sure where this should go

  • leftcompride [none/use name]
    ·
    edit-2
    4 years ago

    I would really recommend you watch his video on real competition on YT. The immense power of large firms mean nothing when they are competing against equally large firms. In fact, large firms are more competitive because they can simply exit markets where they are underperforming without taking too much of a hit while small businesses would have to limp on or go bankrupt.

    You say a communist world would be dominated by large enterprises. A communist world would have nationalised them.

    By "communism", you are actually referring to the social democracy practised by USSR, Cuba etc. Marx never argued for simply nationalizing businesses. Socialism is about abolishing the commodity form entirely, and not after "developing productive forces" but immediately. Who owns the firm makes no difference. During class struggle, do the workers care whether their firm is privately owned or state owned? If anything, workers would rather have their firm owned by themselves rather than the state.

    Enterprises in communism would simply be free associations of workers producing use-values. The enterprises do not make money, like they did/do in "AESC". So the very concept of "ownership" would make zero sense.

    But also more or less any attempt at socialism by any country actually retained heavily regulated small businesses, because they are well suited for some sectors of the economy.

    I don't see what regulating small businesses has anything to do with socialism or even class struggle. The fact that such "attempts at socialism" retained capitalist firms at all reveals the actual nature of those attempts.

    • Pezevenk [he/him]
      ·
      4 years ago

      You're misinterpreting my remarks about power to be about market competition but that's not really what it is about. And yes, I have watched Anwar Shaikh's lectures.

      By “communism”, you are actually referring to the social democracy practised by USSR, Cuba etc. Marx never argued for simply nationalizing businesses. Socialism is about abolishing the commodity form entirely, and not after “developing productive forces” but immediately. Who owns the firm makes no difference. During class struggle, do the workers care whether their firm is privately owned or state owned? If anything, workers would rather have their firm owned by themselves rather than the state.

      Marx actually did argue for nationalising businesses at an intermediate stage. And he also didn't argue for abolishing the commodity form immediately regardless of the state of productive forces. I seriously don't know where you are getting all that from.

      I don't understand why you are even bringing up the large enterprises "under communism" when talking about large enterprises in capitalism when by "under communism" you don't mean some kind of intermediate stage but something totally different to the capitalist case in every way.

      • leftcompride [none/use name]
        ·
        4 years ago

        It's to make a point that centralization is not a bad thing. I was responding to a comment that said that large firms need to be broken up. I said it's not something we will be doing under communism, and neither does it need to be done under capitalism as large firms are as competitive as smaller ones. The power that large firms have is not solved by breaking them up, you would just end up with more slightly smaller firms that engage in the same regulatory capture. So it's not really a leftist position to "break up the big corps", it's more a socdem "save capitalism from itself" thing.

        Marx actually did argue for nationalising businesses at an intermediate stage. And he also didn’t argue for abolishing the commodity form immediately regardless of the state of productive forces. I seriously don’t know where you are getting all that from.

        Whether or not we do nationalize businesses is something that should be decided by the workers of the businesses themselves. The task of building socialism is something done by the workers themselves. I doubt the workers of firms would allow their firm to be nationalized. There is no such argument made by Marx that socialism depended on " the state of productive forces." He simply said that it is more likely for socialism to succeed in capitalist countries. Almost all countries in the world outside of Africa are already fully subsumed under capitalism. These arguments about what a socialist society would exactly look like are kind of pointless, as socialism is the real movement of the working class in overthrowing capitalism and not some intellectual's conception of it. Nationalization under socialism makes no sense, and nationalization under capitalism is not always progressive. It is better for workers to control capital rather than the bourgeois state.

        • Pezevenk [he/him]
          ·
          4 years ago

          It’s to make a point that centralization is not a bad thing.

          No one is talking about centralization. The subject is big businesses, that's not the same.

          I doubt the workers of firms would allow their firm to be nationalized.

          What?

          It is better for workers to control capital rather than the bourgeois state.

          You can look at many, many examples of nationalised firms, the control workers have over them (and I don't mean the indirect control via elections etc) is much greater than the control a private employee has, which is why people much prefer to work in the public sector in such countries.

          Nationalization under socialism makes no sense

          Marx did argue for nationalisation (or at least what people call nationalisation today). It makes perfect sense. It is unclear what you think workers controlling capital means practically. Are you just gonna make everything into a market socialist coop? In practice, a great deal of centralised coordination will be needed to even take a crack at abolishing the commodity form, and that's the whole point of the state. It is one thing learning from mistakes of the past and another thing just eschewing every past attempt to ho back to 0 basically.

          These arguments about what a socialist society would exactly look like are kind of pointless, as socialism is the real movement of the working class in overthrowing capitalism and not some intellectual’s conception of it.

          And yet here you are talking about the form of enterprises under socialism. When you repeat left on talking points, try to make them coherent and relevant to the conversation.

          • leftcompride [none/use name]
            ·
            4 years ago

            No one is talking about centralization. The subject is big businesses, that’s not the same.

            Its the same thing lol. Stop being a pedant

            I doubt the workers of firms would allow their firm to be nationalized. What?

            You probably think socialism is what an entity external to the workers does and not what workers build themselves. In historical practice, the nationalization of firms was done against the will of the working class, who usually formed spontaneous worker councils. Nationalization=socialism is a Kautskyist revisionist formula. If you talk to actual working class people, no one has any desire to see their workplaces nationalized, regardless of whether you think thats the "correct" way to do socialism.

            You can look at many, many examples of nationalised firms, the control workers have over them (and I don’t mean the indirect control via elections etc) is much greater than the control a private employee has, which is why people much prefer to work in the public sector in such countries.

            Pure radlib nonsense. The workers want full control of their workplace. The fact that public sector workers have more control has more to do with the fact that public sector companies arent as laser focused on profitability as other companies, so they dont come down on unionization hard like other companies. Public sector companies arent benevolent institutions, their laxity is just a side-effect. They exploit workers just the same as any other company. Once again, workers don't want their companies nationalized, they want control over their workplace. Literally just talk to workers anywhere.

            Marx did argue for nationalisation (or at least what people call nationalisation today.

            The state under a DotP is nothing like the state as it exists today. Marx made it very clear after the Paris commune that the existing instruments of the state must be fully destroyed and replaced with worker control. Nationalization under a DotP is nothing like state-ownership as it exists today.

            It is unclear what you think workers controlling capital means practically. Are you just gonna make everything into a market socialist coop?

            It is decided by the working class how they will associate themselves.

            In practice, a great deal of centralised coordination will be needed to even take a crack at abolishing the commodity form, and that’s the whole point of the state. It is one thing learning from mistakes of the past and another thing just eschewing every past attempt to ho back to 0 basically.

            What exactly was done in the past that we can learn from? The USSR was a social democracy. Cuba and NK follow the same model of "capitalism but the state owns everything and prices dont reflect labor content". All these countries, and all "AESC" today follow the same nonsense idea of "socialism=govt ownership". Leftists make the meme of "socialism is when the govt does stuff" and then proceed to unironically believe that as the path to socialism.

            How exactly the working class will associate with themselves, what organizations will form, will be determined by themselves. Abolishing commodity production requires large-scale cooperation, it does not follow that the specific form of state-ownership is required for it.

            And yet here you are talking about the form of enterprises under socialism. When you repeat left on talking points, try to make them coherent and relevant to the conversation.

            Enterprises centralize for reasons of economy of scale. Socialism doesnt change this. I don't know why this is a complex or controversial idea for you.