The twentieth century saw the advent of two heavily state-driven strategies for capital-intensive economic development: communism and neoliberalism. The difference is that communism focused on the development of fixed capital (above all, “heavy industry”), whereas neoliberalism focuses on fictitious capital. Both demand extraordinary amounts of effort and sacrifice on the part of the majority of the population — but where communism held out an ostensible goal of very rapidly creating the conditions for a vastly improved quality of life, in neoliberalism there is no promised end to the sacrifice. The pile-up of fictitious capital in the hands of a few cannot conceivably benefit the masses in the way that improved industrial capacity could. It serves only to increase the power of the elites over the masses, which brings me to another distinctive trait of both movements: the creation of a “zone of indistinction” between the economic and the political. Particularly under Stalinism, the “economic forces” at play were literal forces of violence, and the rise of neoliberalism has been accompanied by a dramatic reemergence of violent repression as a key form of political control — most emblematically in Pinochet’s Chile, where neoliberal reform was achieved by means of a horrifying campaign of state terror.
There are fine-grained similarities, too. Take the much-lauded idea of “disruptive innovation.” Surely if there was ever a disruptive innovation, it was the communist project of collectivizing agriculture! They took a system that, though it was certainly not operating up to the highest possible productivity, basically worked most of the time in the sense of keeping the population fed, and they very rapidly replaced it with a radically new and different system that they believed would produce better results. We can see a similar logic at work with the disruptive innovation afoot in the education system. For all its faults, the U.S. education system does provide a certain baseline education for those who complete it — the literacy rate, for example, is very nearly 100%, and the vast majority of people can do the basic math necessary for everyday life — but the thought-leaders (a term that’s always struck me as somewhat Maoist) have decided it’s inadequate and needs to be replaced with a radically different one. In both cases, the short-term results proved to be devestating. Collectivization of agriculture led to famine and starvation, while de-collectivization of public schools has led to an active degradation of the quality of education. In both cases, the short-term damage caused by the rapid change is deployed as evidence that we need to move all the more quickly.
I’ve already written on the striking similarity between Stalinism and neoliberal corporate governance, so I won’t belabor that here. Suffice it to say that the same bizarre cocktail of lock-step historical necessity and voluntarism are at work in both systems. In communism, there was an attempt to immanentize the eschaton, to force their way through the necessary steps of historical progress in order to reach the promised land as quickly as possible. All that’s different is that in neoliberalism, there is no historical telos, no equivalent to the dream of “full communism.” We must continue cutting costs and disruptively innovating and giving 110% — forever, for its own sake. It is our ineluctable fate, and our only space of freedom consists in preemptively imposing our fate on ourselves. We must cut the budget, or else circumstances will arise that force us to cut the budget — this is how we express our amor fati.
The historical failure of Soviet Communism and the ambiguous status of Chinese Communism may have made all the sacrifices endured under communism seem pointless — but neoliberalism is inherently pointless, forthrightly and avowedly nihilistic. Perhaps this is our world-historical punishment for the failure of communism. Perhaps we missed our chance to cash out of capitalism and turn its amazing productive forces toward constructive human ends. Now all we can do is watch as the machine destroys itself, and us along with it.