DSG wrote in Ten growth markets for crisis:
a return to social-democratic social models is simply unfeasible – not for economic reasons (although such an argument holds considerable weight) but for socio-political reasons. What built and sustained the welfare state was a model of social-democratic political organisation which simply does not exist anymore. A large part of its dismemberment was undertaken by the neoliberal market reforms after 1979, but we have yet to accept that it was also being eroded by demands coming from within the working-class – demands of social liberalisation, increased personal autonomy and a rejection of the fetishisation of work, or indeed work itself – which traditional structures of class organisation could not deliver without breaking up their own bureaucratic structures.
There were quite a few articles that made this point last year when critiquing Occupy's social democratic elements, but I can't find them... How was social democracy undermined, to what extent and by whom? I'm assuming that's the whole situationist/ autonomist marxist thing... but the UK didn't really experience anything on that scale did it?
Also, in the VULGAR KEYNESIANISMZ edition of the Novara show, they claim that the rhetoric/ spirit of this undermining of social democracy was hijacked by neo-liberalism. Is that true?



Can comment on articles and discussions
For what it's worth, I think a good case can be made that it was precisely a widespread and very broad working-class revolt that shattered the Keynesian class compromise of social democracy, esp. from 1968 onwards. That's the normal autonomist Marxist argument. While autonomist Marxism has taken a bit of battering in recent years, with the return of more structuralist versions of Marxism, I believe this more subjectivist viewpoint has much validity in explaining crisis for the late 1960s and early 1970s, and also the mid to late 1970s, but is somewhat unsuitable to other historical periods eg. 1929 depression, 2007- present depression.
It's a real falsification from DSG to assert that soc dem was undermined by individualistic demands for personal autonomy and social liberalisation. That's a caricature of the revolt of the late 1960s and 1970s - for example, the 1970s was the biggest recorded strike wave in high income countries so far. ie. it was a mass, collective revolt, and not just about demands for personal autonomy.
I think this point holds from John Holloway:
from http://libcom.org/history/abyss-opens-rise-fall-keynesianism-john-holloway
Aufheben write:
- from http://libcom.org/library/social-democracy-1-aufheben-7
So soc dem was vulnerable to its internal contradictions. Some of those tensions were:
* the “Keynesian productivity deal” whereby workers got wage hikes in real wages in return for increasing productivity, thus harnessing 'working class struggle as a motor of capitalist development'. (See Negri, Revolution Retrieved http://libcom.org/library/revolution-retrieved-writings-marx-keynes-capitalist-crisis-new-social-subjects-antonio-)
* “The acceptance of disciplined, soul-destroying monotony during the day and a relatively comfortable consumption after hours, the rigid separation between the death of alienated labour and the ‘life’ of consumption”. (Holloway) Capital harnessed dissatisfaction with work into demand for consumer goods.
* The rise of union and state bureaucracies to mediate/regulate/police/manage the class compromise, also created multiple contradictions in the workplace and in the community.
So when the class compromise did break down, all these tensions came to the surface - workers rebelled against speed ups, assembly line workers rebelled against the boredom and monotony of work (the 'refusal of work' - see e.g. echanges et mouvement on this), many workers aimed for more pay for less work and found the spectacle unsatisfying, hence made new 'utopian' demands for a better quality of life (or the transmogrification of everyday life), and people revolted against union, state and corporate bureaucracy and the way their lives were being managed.
All this squeezed profits, lowered productivity, made it hard for bureaucracies to function, etc etc, and then capital adopted neoliberalism in response.
That's an incomplete, partial explanation and i'm sure others know better. For example, there is a need to acknowledge how the long boom started to come to an end from the late 1960s. So that's another factor. But at least its far better than the normal liberal ones that it was all about the Vietnam war, personal autonomy, naughty 'middle class' young students rebelling against parents etc, or orthodox Marxist ones that it was all about impersonal, structural forces and the tendency of the rate of profit to fall (independently of class struggle).
I'm not British but Britain was well known for being a bit of a hotbed of class struggle in the 1970s, eg. 1974 Miners' strike, winter of discontent, waves of sit in strikes and occupations, etc etc a struggle that did shatter the class compromise and Thatcher can be seen as the response. others will know far, far more than me. Internationally, the UK was up there with a 'highly strike prone' group of high income countries including the US, Australia, Canada, Finland, Spain and Ireland in the 1970s - only Italy and Iceland were more strike prone than this group.
(That was a longer post than I intended, oops, but it's a complex topic).