Following upon all that has been outlined hitherto, we can now move on to deal relatively swiftly with the question of distribution. The fundamental aspect here, of course, is and remains that of securing an exact relationship of the producer to the product. We have seen that all economists who have concerned themselves with the problem of the distribution of goods and services in a communist society have not conceived this relationship as being determined in the sphere of production itself, but have made it the nodal point of competitive or antagonistic political or economic relations amongst the consumers. This however means nothing other than that the struggle for power in the State, for a dominant position within the relationship of the producer to the product, is still burning at the heart of society and is continuing to make its corrosive influence felt. Wherever, on the other hand, the producer determines a relationship to the social product directly through labour, a price policy is rendered both completely impossible and unnecessary. The conditions for the "withering away" of the State are then for the first time given, and we can say: (1)
As soon as the decisive relationship between producer and product has been firmly anchored, it only remains to carry through the integration of industrial establishments in both horizontal and vertical directions for the production process to be structured in the most rational way possible. This integration is a process which has its starting point in the producers themselves. Today, under capitalism, it is the profit motive which leads to amalgamations of economic concerns - trusts, price rings, cartels and similar organisations. Under communism, when the profit motive has been excluded, it is a question of linking the industrial establishments with one another in such a way that a smooth flow of products from establishment to establishment or, alternatively, from a productive establishment to a distributive cooperative, can fully unfold. The exact computation of all those values, expressed in labour-hours, which flow into and out of the factories and other economic establishments, ensures the smooth operation of the whole distributive process, responsibility for which can then rest with the producers without any intervention by a State authority. The distribution of the greater part of the total social product, that is to say that represented by means of production, which flows ever anew to each productive establishment or factory, also fall unreservedly within the sphere of responsibility of the producers themselves.
If we now focus our attention upon the question of the distribution of those products destined for individual consumption, emphasis must be placed upon the mutual interdependence of production and distribution. Just as that mode of administration of the economy which proceeds from a directing centre requires the method of allocation according to subjective norms reflecting administrative judgement, in just the same way the association of free and equal producers makes necessarily a corresponding association of free and equal consumers. Thus distribution also takes place collectively, through cooperation of every kind. We have already demonstrated how, in this respect at least, Russia provided a glowing example of how consumers organised themselves in a short space of time in order to be able to distribute the product independently, that is to say independently of the State. However we have also demonstrated that this Russian independence was only a farce, because the relationship of producer to product had already been determined previously in the higher spheres of the administration. Nevertheless, in itself the form of distribution thus achieved remains a positive achievement.
It is not the task to provide here a description of the process leading to the amalgamation of the distributive cooperatives. This will most certainly vary according to local conditions and the type of product to be distributed. Nevertheless, it is necessary that we make clear the general principles of distribution, as these are given, determined by and developed from the character of the social system of economic regulation and accounting control. This necessity arises out of the fact that it is our fundamental responsibility to demonstrate of what crucial significance it is that the system of distribution should not in any way infringe the principle of an exact relationship of the producer to the product.
In the course of our examination of the system of economic regulation and accounting control based upon average social labour-time, we have seen that this relationship develops, grows in strength and implants itself socially irrespective of and unhindered by the general charges imposed by society, and so ensures that "the full yield of their labour-power" accrues to the workers as a whole. Expressed in another way, this means that the costs entailed in distribution must be adopted as a part of the general GSU budget. The distribution of goods is a general social function.
Thus the costs of distribution cannot be borne by each separate distributive cooperative alone, if for no other reason than that, as its end result, this would infringe the principle of an exact relationship of the producer to the product. Were this to be introduced, the centralised administration of the distribution organisation would then be compelled to apply a "price policy" in order to cover these costs, and this would then lead to the principle of distribution according to arbitrary administrative decision being smuggled in by the back door. If we consider a distribution organisation from its aspect as a consumer of p and L, then it becomes clear that it has to be classified as an economic organisation of the GSU type. The product or service which is the result of its activities is precisely the distribution of products.
From this characterisation it can be seen clearly that these organisations are bound by the same rules as apply to all GSU establishments. Like all others, they also prepare a budget in which is shown how much (p + c) + L = service (ie. is equivalent to x product-hours available for distribution). Within the framework of this schematic the distribution organisation has complete freedom of movement and is "master in its own house", whilst at the same time we have ensured that, in the sphere of distribution also, the principle of an exact relationship of producer to product has not been infringed.
1. Paragraph ending: "The conditions for the "withering away" of the State are then for the first time given, and we can say:" (Quotation from F. Engels: Origin of the Family, Private Property and the State, p. 198 then follows).
This also expresses with the utmost clarity the necessity for the first principle of communist production: "The establishment of a clear and open relationship of the producer to the product". So long as this principle is adhered to and remains the foundation of all social life, the imposition of an alienative relationship based on inequality and class privilege by an incipient class of would-be controllers of economic life remains impossible.return to text
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"The society which organises production anew on the basis of free and equal association of the producers will put the whole state machinery where it will then belong - into the museum of antiquities, next to the spinning wheel and the bronze axe." (2)
"The government of persons is replaced by the administration of things and the direction of the processes of production". (3)
References
2. F. Engels: Origin of the Family, Private Property and the State, Lawrence & Wishart, London, 1943; p. 198.return to text
3. F. Engels: Anti-Duhring; Foreign Languages Press, Peking, 1976; p. 363.return to text
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