RE: [OPE] Heinz Dieterich's General Program for Transition Towards XXI Century Socialism in Latin America

From: Paul Cockshott <>
Date: Tue Oct 21 2008 - 17:43:56 EDT

That is a pretty crap translation, I am sure I have seen a better one
but not sure where. I append the Spanish version.
The translation looks like a Lerner and Hauspie job, that software
typically translates peublos as towns not people.

I was involved in the initial discussions of the proposals, but have
differences on one point
" To cancel the payment of the illegitimate and illegal debts. A
general cancellation of illegitimate debts and illegals should be
political international of the Socialism. "

I think that as it stands it is ambiguous. Which debts are illegitimate
and illegal?
I would favour just saying 'general cancellation of all debts other
than deposits at the central bank'.
The implication of this would of course be that the banks would be
unable to meet any liabilities over and above reserves.
It would mean that only quite modest deposits -- less than
a years average income probably -- would be guaranteed.
It might well be necessary for the central bank to
recapitalise the private banks to some extent to ensure
that the level of deposits held by the majority of wage earners
were guaranteed.
given that money is held so very unevenly, the main loosers would
be the rich.

There are several motivations for calling for a general cancellation
of debts.

1. It prevents capital flight.
2. It redistributes wealth.
3. It benefits those exploited by burdensome debts.

A key concern would be to maintain liquidity in the immediate aftermath
of cancellation. At one level it is clear that the banks would be
very liquid after such a cancellation - since their liabilities would
be less than or equal to their cash reserves. But on the other hand
they would have to act fast to provide credit lines sufficient to
allow firms to continue the current level of economic activity.

If one takes into account the probable need for state recapitalisation
the banks are likely by this stage to be in majority state ownership
and could be subject to direction to extent immediate working credit.

If charging interest was abolished, the direct rationing of loans
by payback time would probably have to be introduced to prevent
excessive creation of credit.

Paul Cockshott
Dept of Computing Science
University of Glasgow
+44 141 330 1629

-----Original Message-----
From: on behalf of
Sent: Tue 10/21/2008 7:20 PM
Subject: [OPE] Heinz Dieterich's General Program for Transition Towards XXI Century Socialism in Latin America

Original is in Spanish. See link below. This translation is a bit rough
generated, I suspect). Comments?

solidarity, Jerry

General Programs of Transition toward
the Political Economy of the
Socialism of the XXI Century in Latin

Heinz Dieterich -

11/10/08 -
1. Scientific world vanguard and Latin American movements

Before the world new crisis of the market (chrematistic)
economy, the
social movements of the Regional Block of being Able to
Popular Latin
American (BRPP), the scientific Schools of Scientists
for to Socialist
Political Economy (SSPE), and, met in
Caracas, the days
October 8-10, to give to know the General Program
of Transition toward
the Political Economy of the Socialism of the
XXI Century in Latin America.

We consider that the time has
arrived to not traffic in gradual and
democratic form toward an
economy based on the market, the price,
neither in the gain. The
construction of the economic new
institucionalidad is imperious and
it cannot be postponed more.

2. Of the theoretical science to
the applied science

The scientific theory of the Socialism of
the XXI Century has reached
such a development grade and maturity
that he/she can and it should pass
from the theoretical level to the
level of the applied science. The
method of the science to take that
step is the studies pilots. Our
General Program of Transition
concretiza with 17 measures, consensuadas
with the Latin American
movements of BRPP and sectors of the scientific
world vanguard,
among them the mathematicians, physical, econometristas
economists: Paul Cockshott, Raimundo Franco, Allin Cottrell, Klaus
Bartsch and Heinz Dieterich, that step toward the applied science.

3. Fellows and steps of the transition

We chose to
Latin America like geographical place of our meeting for:
to) the
high grade of conscience of their social movements and, b) the
expressed will of the presidents Hugo Chávez, Rafael Belt, Evo
and Fernando Lugo, of advancing toward the participatory
Democracy of
the XXI Century.

Although this cooperation
among BRPP, SSPE, and multiple
other organizations, it
is an initiative from the towns and the
scientific community, we are
fully convinced that alone the alliance
among the towns, the science
and the state progressive sectors, it can
create the democratic
future that the Big Homeland and the whole world

We go to retroalimentar and to deepen the General Program of Transition

in our international following congresses, "The towns with the
build the Socialism of the XXI" Century that you/they
will take place in
the State Lara, Venezuela, of the 5 at December
7, 2008, and in
Remove-Guayaquil, Ecuador, in May of the 2009. The
incoming week we will
explain with more detail some of the 17
measures of the General Program.
You sobreentiende that we invite to
tod@s l@s interesad@s and
comprometid@s with the Socialism of the
XXI Century, in the debate of
this programmatic proposal.

It programs General of Transition toward the Political Economy of
the one

Socialism of the XXI Century in Latin America

1. General objective of the Transition

general objective of the chrematistic transition of the current one
of market toward an economy of the participatory democracy, is
democratically an economy planned, able to serve people with justness

and efficiency; with egalitarian distribution of the entrance; the
of the value (time of work) like accounting principle and
calculation of
costs; the democratic decision on "the
form" and the development of the
economy; the combination of
the democratic state planeación with the
support /
development of local initiatives and the cooperation to
international scale.

2. Anti-inflationary politics

1. To determine the value of the currencies according to the working
hours carried out in each national economy.
2. For the information
of the citizens every month the rate of change of
the currency is
published / I work; in Venezuela, for example, Bolívar's
work (value) rate.

3. The inflation comes from internal
inadequate tax revenues, and of
controls of change of foreign
currencies that prevent to the Central
Bank to use the entrance of
external surpluses to absorb the excess of
national currency in
circulation (open market policies). (Measures to
remedy both
problems have been specified in our theoretical works).

Once stabilized the value of the currency this "Hour of the
Work" it
could be renamed.

3. Politics against the

The three big pillars of the exploitation are
Gain, it Produces of the
earth and Interest. To abolish them they
are necessary the following steps.

5. To introduce a system of
accounting of the value (time of work, cheat
inputs) able to
calculate the inputs of time required to produce the
goods and
services of the national economy. This requires the extension
the improvement of the institutions responsible for the gathering
and popularization of the economic national statistics; as well as a
complementation of the accounting standards for public and private
companies that will have to report their balances of use of the time of

work (value).

6. To recognize for law that the work is
the only source of the value,
just as Adam established Smith, David
Ricardo, Karl Marx and John
Maynard Keynes.

7. To give
the workers the right of receiving the total value created by
work. This right should have constitutional range. This doesn't
that the workers will be able to consume all the value that
take place because there will be a necessary deduction to cover
social necessary funds (health, education, new investments, etc.)
Those deductions that could be charged in form of taxes, will be decided

democratically by the citizens.

The measures
"6" and "7", once transformed into law and reality,
eliminate to medium term the gain of the capital.

8. To establish taxes on the landowners in order to capture most of
interest of the rent of the earth.

4. Politics against the

9. To cancel the payment of the illegitimate and illegal
debts. A
general cancellation of illegitimate debts and illegals
should be
political international of the Socialism.

To medium term, the economic politics should put an end to the usury
(the interest on the loans).

5. I Enter Public

11. It is necessary to avoid the mistaken idea that it is sought to
substitute the exploitation deprived by the state exploitation. To
prevent this mistake, the taxes in a socialist country should be voted

by the same citizens. This could be made electronically, being used
wireless telephones with a sure system and reveal that has been

developed in the University of Glasgow (Cockshott and Renauld). The

advantage of this system is that it is not susceptible to
like it happens to the electronic voting via

12. Gradually, it is necessary to subject the
approval of the budgetary
main items by means of that type of
electronic plebiscites that you/they
should be preceded by the
widespread teaching of economic basic
knowledge in the whole

6. Use of scientific methods advanced in benefit
of the planeación and

democratic participation

13. To create a Center of Latin American Studies about the
Economy of the Socialism of the XXI Century.

14. To carry out studies pilots with models of macroeconomic simulation,

for example, LAPROSIM (Long-Term Forecast and Simulation Modell), in

cooperation with national and Latin American authorities, to inform
the majorities on the economic national politics's options and
American. The scientific-ethical use of these models will
introduce the
informative and decisive democracy of the citizens in
the current one
chrematistic of market.

15. To advance
the calculation of sectoral, national coefficients and
Americans of Equivalent Monetary of the Value (Monetary Equivalent
of Labour Time, MELT), in cooperation with national (Central Bank,
Ministry of Finances) authorities and supranacionales (Bank of the
South, ECLAC, SELAM, etc.). This procedure will allow to express the
objective (time of work, cheat inputs) value of the products starting

from its market prices, by means of a mathematical simple operation.

16. Consensuar studies pilot of socialist (of value = inputs
of time)
accounting in the private, state and cooperative companies
willing to
participate in the development of a democratic
participatory economy,
parallelly to the capitalist existent (of
money) accounting.

16. To use the computer technology as tool
of participatory masificación
of the citizenship, just as the
interactive platforms that are being
developed, among other, to
break wind to break wind (p2p) and

Programa General de Transición hacia la Economía Política del

Socialismo del Siglo XXI en América Latina

elaborado por el Bloque Regional de Poder Popular latinoamericano (BRPP), y Scientists for a Socialist Political Economy (SSPE)

1. Objetivo general de la Transición Socialista

El objetivo general de la transición es la construcción gradual y democrática de una economía democráticamente planeada, capaz de servir a la gente con equidad y eficiencia; con distribución igualitaria del ingreso; el uso del valor (tiempo de trabajo) como principio de contabilidad, cálculo de costos, e intercambio; la decisión democrática sobre “la forma” y el desarrollo de la economía; la combinación de la planeación democrática estatal con el apoyo/desarrollo de iniciativas locales y la cooperación a escala internacional.

2. Medidas de política anti-inflacionaria

 1. Determinar el valor de las monedas conforme a las horas de trabajo realizadas en cada economía nacional.
 2. Para la información de los ciudadanos se publica cada mes la tasa de cambio de la moneda/trabajo; en Venezuela, por ejemplo, la tasa de Bolívar/trabajo (valor).
3. La inflación proviene de ingresos impositivos internos inadecuados, y de controles de cambio de divisas que impiden al Banco Central usar el ingreso de excedentes externos para absorber el exceso de moneda nacional en circulación (open market policies). (Medidas para remediar ambos problemas han sido especificadas en nuestros trabajos teóricos).
4. Una vez estabilizado el valor de la moneda ésta podría renombrarse “Hora del Trabajo”; aunque la denominación de la unidad es secundaria, dado que, a diferencia del papel-dinero, expresa el valor real de los productos.

3. Política contra la explotación

Los tres grandes pilares de la explotación son Ganancia, Renta de la tierra e Interés. Para abolirlos son necesarios los siguientes pasos.

5. Introducir un sistema de contabilidad del valor (tiempo de trabajo, time inputs) capaz de calcular los insumos de tiempo requeridos para producir los bienes y servicios de la economía nacional. Esto requiere la extensión y el mejoramiento de las instituciones responsables de la recolección y divulgación de las estadísticas económicas nacionales; así como una complementación de los estándares de contabilidad actuales para empresas públicas y privadas que tendrán que reportar sus balances de uso del tiempo de trabajo (valor). La contabilidad del trabajo (labour-time accounting) facilita la transparencia del proceso económico, incrementa la conciencia sobre las desigualdades y puede ayudar en la planeación de inversiones, creando una mayor eficiencia del proceso económico.

6. Reconocer por ley con rango constitucional que el trabajo es la única fuente del valor, tal como establecieron Adam Smith, David Ricardo, Karl Marx y John Maynard Keynes.
7. Dar a los trabajadores el derecho, con rango constitucional, de recibir el valor total creado por su trabajo. Esto no significa que los trabajadores podrán consumir todo el valor que producen porque habrá una deducción necesaria para cubrir los fondos sociales necesarios (salud, educación, nuevas inversiones, etc.) Esas deducciones, que podrían cobrarse en forma de impuestos, serán decididas democráticamente por los ciudadanos. Eventuales casos de conflicto serían decididos por “Tribunales de Valor” (trabajo), compuestos por jurados de ciudadanos.
Las medidas “6” y “7”, una vez convertidas en ley y aplicadas gradualmente, eliminan a mediano plazo la ganancia del capital.
8. Establecer impuestos sobre los terratenientes a fin de captar la mayor parte de rédito de la renta de la tierra. De esta manera se neutraliza el segundo mecanismo de explotación estructural.

4. Política contra la usura

9. Cancelar el pago de las deudas ilegítimas o ilegales. Una cancelación general de deudas ilegítimas e ilegales debe ser política internacional del Socialismo del Siglo XXI.
10. Según las circunstancias nacionales concretas, la política económica debe acabar lo antes posible con la usura, el interés sobre los préstamos, que es el tercer pilar de la explotación.

5. Ingreso Público

11. Hay que evitar la equivocada idea de que se pretende sustituir la explotación privada por la estatal. Para prevenir esta equivocación, los impuestos en un país socialista deben ser votados por los ciudadanos mismos. Esto podría hacerse electrónicamente, utilizándose la telefonía celular y fija con un sistema seguro y transparente que ha sido desarrollado en la Universidad de Glasgow (Cockshott y Renauld). La ventaja de este sistema es que no es susceptible a manipulaciones, como sucede con la votación electrónica vía Internet.
12. Gradualmente, hay que someter la aprobación de los principales rubros presupuestarios a esos plebiscitos electrónicos que deben estar precedidos por la enseñanza generalizada de conocimientos económicos básicos en toda la población.

 6. Métodos científicos avanzados para planeación y participación democrática

13. Crear un Centro de Estudios Latinoamericanos sobre la Economía Política del Socialismo del Siglo XXI.
14. Realizar estudios pilotos con modelos de simulación macroeconómica, por ejemplo, el LAPROSIM (Long-Term Forecast and Simulation Model), en cooperación con autoridades nacionales y latinoamericanas, para informar a las mayorías sobre las opciones de la política económica nacional y latinoamericana. El uso científico-ético de estos modelos introduce la democracia informativa y decisoria de los ciudadanos en la actual economía mixta de mercado.
15. Avanzar el cálculo de coeficientes sectoriales, nacionales y latinoamericanos de Equivalentes Monetarios del Valor (Monetary Equivalent of Labour Time, MELT), en cooperación con autoridades nacionales (Banco Central, Ministerio de Finanzas) y supranacionales (Banco del Sur, CEPAL, SELAM, etc.). Este procedimiento permitirá expresar el valor objetivo (insumos de tiempo) de los productos a partir de sus precios de mercado, mediante una sencilla operación matemática.
16. Consensuar estudios piloto de contabilidad socialista (valor) en las empresas privadas, estatales y cooperativas dispuestas a participar en el desarrollo de una economía democrática participativa, paralelamente a la contabilidad capitalista existente (de dinero).
17. Usar la tecnología informática como herramienta de masificación participativa de la ciudadanía, tal como las plataformas interactivas que están siendo desarrolladas, entre otros, por la fundación peer to peer (p2p).

Paul Cockshott, matemático/economista, Universidad de Glasgow, Gran Bretaña; Allin Cottrell, econometrista, Wake Forest University, Estados Unidos; Heinz Dieterich, sociólogo/economista, Universidad Autónoma Metropolitana, México; Raimundo Franco, físico/matemático, Scientists for a Socialist Political Economy, Cuba; Klaus Bartsch, informático/econometrista, Escuela de Bremen, Alemania.

Este Programa General de Transición se retroalimentará en nuestros siguientes congresos internacionales: “Los pueblos con la ciencia construyen el Socialismo del Siglo XXI”, Estado Lara, Venezuela, 5 al 7 de diciembre, 2008; y en Quito-Guayaquil, Ecuador, en mayo del 2009. Invitamos a todos los ciudadanos y ciudadanas a enriquecer esta propuesta y participar en su aplicación.

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Received on Tue Oct 21 17:47:14 2008

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