A new crisis of the global capitalist economy has begun!

Emergency Declaration of the Leninist-Trotskyist Fraction (FLT)

We present the emergency declaration of the FLT at the start of a new crisis of the rotten imperialist world capitalist system. In the next edition of the “International Workers Organizer” of the FLT we will publish the theses, articles and contributions of the member organizations of the FLT, elaborating the causes of the crisis, its consequences, and the tasks of revolutionaries in working together to unmask the ‘secrets’ of the world political economy to the revolutionary vanguard of the proletariat.

A new world crisis has begun

This follows the onset of several heart attacks hitting international finance capital such as stock exchange falls, the rising cost of debt in the semi colonial countries, bank collapses in many countries, all signifying the prospect of a massive devaluation of capital, exposing the parasitic character of capitalism in its imperialist epoch.

This new crisis puts in question the political, economic and military equilibrium of 2003 resulting from counter-revolutionary wars for oil; the abortion, strangulation or diversion of revolutionary upsurges by the popular front in Latin America; the imposition of the capitalist division of labor and new markets following the restoration of capitalism after 1989, in Russia, China, etc.; and huge expenditure on the destructive forces – US$ 500 billion a year spent on the industrial-military apparatus of the US – and finally, the counter-revolutionary role of the treacherous leaders of the workers that isolated snf contained the uprisings of the masses in the semi-colonial countries, and the struggles of the workers in the imperialist countries.

This crisis opened with the falls of the stock market of China and its banks in February-March which was an indication of the fall of the rate of profit in the branches of production of consumer goods re-localized there by the multinationals to export to the world market. There was another convulsion when the Australian central bank (and NZ to a lesser extent) had to buy dollars to prevent the value falling with the hasty exit of speculators in the Australian dollar. When the yen increased in value, many speculators were forced to sell the Australian currency. More than $US150 million had that to put the Australian state to save its currency from devaluing.

At the same time, about US$500 billion had to be pumped into reserves by the imperialist central banks to help its banks face mounting bad debts. As the run on the Northern Rock bank in England and the “blockade” of the Paribas of France show, more than 40% of the assets of these European imperialists banks were involved in the parasitic speculation in real estate ‘bubble’ that is now burst in the United States.

Imperialism will make workers pay for the crisis

The crisis from deepening and spreading on a world scale, the United States, as dominant power, will try to make its imperialist rivals pay the full cost of the crisis. Trade wars will intensify between the imperialist powers, so that only the strongest will win.

But more than that, each imperialist power will pass on the cost of the crisis to its workers, and in particular the most oppressed layers of workers, especially in the semi-colonies. As this crisis develops, the national bourgeoisies in these countries will pass on the costs of the bad debts of parasitical imperialist finance capital with savage attacks on the wages of the exploited, cruel increases to the cost of living, and higher interest rates on debts etc.

As finance capital starts ot move to new branches of production in search of a higher rate of profit, the continuous rise in the price of oil – reaching over $80 a barrel in September –along with the prices of commodities for the new investments in biotechnology and bio-fuel, means that the real the purchasing power of the masses and the world working class will decline further.

The war drums are already sounding. The talk of ‘peace conferences’ and withdrawal of Anglo-US troops from Iraq are lies. The reality is new threats of aggression to make Iran submit. China and Russia, as countries dependent on imperialism, will be subjected to an aggressive re-colonization process to reduce them to the status of colonies.

The crisis that has begun is proof that the world capitalist system can only lead to the destruction of human civilization. But by itself capitalism cannot collapse. The revolutionary proletariat that rises to meet the crisis will have the last word on how the crisis is resolved. But first the crisis of revolutionary leadership must be overcome. The proletariat lacks a revolutionary leadership. Without that leadership the working class cannot smash the rotten capitalist imperialist system.

The FLT calls on the proletariat to take the offensive

The FLT calls on the world working class to prepare itself for the new attacks that will come. We call on the workers of the imperialist countries to join in the struggles of the Palestinian and Iraqi masses, and join the fights of the of the workers and poor peasants of the semi-colonial countries of Latin America, Asia, Africa and Eurasia.

Under these new conditions, the treacherous leaders of the reformists will find the earth slipping under their feet. The concessions they can make to tempt the workers to accept ‘reforms’ are few and are getting fewer. Every day the crumbs they offer the masses from the table of the rotten parasitical capitalist imperialist system are getting smaller.

These new conditions will create opportunities for the international Trotskyists to defeat the counter-revolutionary leaders of the World Social Forum. As the imperialist countries prepare for new wars and colonial adventures they will have to turn their blows also on their own proletariat. This will expose the pro-imperialist role of the reformists in the EU, USA and Japan. As the workers begin to break from the reformists this will expose the rotten role of the treacherous ex-Trotskyists who use trample on the legacy of socialism and the 4^th International of 1938 in order to deceive the workers and prevent them from completing this break from the bureaucracy and the bourgeoisie.

The FLT is committed to the struggle for an International Conference of Principled Trotskyists and revolutionary workers organizations, to build a new Zimmerwald and Kienthal of revolutionary internationalists, on the way to a new world socialist party of revolution.

As the new conditions of crises, wars and revolutions unfold with incredible rapidity, the offensive of the proletariat and the forging of a new world party of revolution becomes the order of the day. More than ever, the current crisis proves yet again, that for the proletariat to live imperialism must die.

18 of September of 2007.

International Coordination and Action Secretariat (SCAI) of the Leninist-Trotskyist Fraction, comprising:

Red October Internationalist (ORI) of Bolivia, Trotskyist Fraction (FT) of Brazil, LOI (QI) – Workers’ Democracy of Argentina, Internationalist Trotskyist League (LTI) of Perú, Communist Workers Group (CWG) of New Zealand, Internationalist Workers Party (POI-QI) of Chile