THE URBAN ROOTS OF CAPITALIST CRISES 35TH E MARXIST PERSP ECTIVESince bourgeois theory, if not totally blind, at best lacks insights inrelating urban developments to macroeconomic disruptions, onewould have thought that Marxist critics, with their vaunted historicalmaterialistmethods, would have had a field day with fierce denunciationsof soaring rents and the savage dispossessions characteristic ofwhat Marx and Engels referred to as the secondary forms of exploitationvisited upon the working classes in their living places by merchantcapitalists and landlords. They would have set the appropriation of spacewithin the city through gentrification, high-end condo construction,and "Disneyfication" against the barbaric homelessness, lack of affordablehousing, and degrading urban environments (both physical, as inair quality, and social, as in crumbling schools and the so-called "benignneglect" of education) for the mass of the population. There has beensome of that in a restricted circle of Marxist urbanists and critical theorists(I count myself one).9 But in fact the structure of thinking withinMarxism generally is distressingly similar to that within bourgeois economics.The urbanists are viewed as specialists, while the truly significantcore of macroeconomic Marxist theorizing lies elsewhere. Again, thefiction of a national economy takes precedence because that is where thedata can most easily be found and, to be fa ir, where some of the majorpolicy decisions are taken. The role of the property market in creatingthe crisis conditions of2007-09, and its aftermath of unemployment andausterity (much ofit administered at the local and municipal level), is notwell understood, because there has been no serious attempt to integratean understanding of processes of urbanization and built-environmentformation into the general theory of the laws of motion of capital. As aconsequence, many Marxist theorists, who love crises to death, tend totreat the recent crash as an obvious manifestation of their favored versionof Marxist crisis theory (be it fa lling rates of profit, underconsumption,or whatever).Marx is to some degree himself to blame, though unwittingly so, forthis state of affairs. In the introduction to the Grundrisse, he states thathis objective in writing Capital is to explicate the general laws of motionof capital. This meant concentrating exclusively on the production and
36 REBEL CITIESrealization of surplus value while abstracting from and excluding whathe called the "particularities" of distribution (interest, rents, taxes, andeven actual wage and profit rates), since these are accidental, conjuncturaland of-the-moment in space and time. He also abstracted from thespecificities of exchange relations, such as supply and demand and thestate of competition. When demand and supply are in equilibrium, heargued, they cease to explain anything, while the coercive laws of competitionfunction as the enforcer rather than the determinant of the generallaws of motion of capital. This immediately provokes the thought of whathappens when the enforcement mechanism is lacking, as happens underconditions of monopolization, and what happens when we include spatialcompetition in our thinking, which is, as has long been known, alwaysa form of monopolistic competition (as in the case of inter-urban competition).Finally, Marx depicts consumption as a "singularity"-thoseunique instances that together make up a common mode of life-whichin being chaotic, unpredictable and uncontrollable, is therefore, in Marx'sview, generally outside of the field of political economy (the study of usevalues, he declares on the first page of Capital, is the business of historyand not of political economy), and therefore potentially dangerous forcapital. Hardt and Negri have therefore recently been at pains to revivethis concept, for they see singularities, which both arise from the proliferationof the common and always point back to the common, as a keypart of resistance.Marx also identified another level-that of the metabolic relation tonature, which is a universal condition of all forms of human society andtherefore broadly irrelevant to an understanding of the general laws ofmotion of capital understood as a specific social and historical construct.Environmental issues have a shadowy presence throughout Capital fo rthis reason (which does not imply that Marx thought them unimportantor insignificant, any more than he dismissed consumption as irrelevantin the grander scheme of things).10Throughout most of Capital, Marx sticks broadly to the frameworkoutlined in the Grundrisse. He fo cuses sharply on the generalityof production of surplus value and excludes everything else. He recognizesfrom time to time that there are problems in so doing. Thereis, he notes, some "double positing" going on-land, labor, money,
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CHAPTER FOURThe Art of RentThe numb
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THE ART OF RENT 91first arises beca
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THE ART OF RENT 93different from co
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CHAPTER SIXLondon 201 1 : Fera lCap
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