6 Conclusion
We have outlined a model for the conversion of EU type economies that
differs from the tradition deriving from German Social Democracy. The
three stages of transition are shown below as a table.
Stage
1
Money
Euro notes
(now)
2
3
Property/rights
Capital right to
Coordination
Tax
Market
Indirect and
direct
Market +
Direct +
public banks
Property tax
value added
Euro notes Tied Labour right to
to labour
value added,
Debt cancelled
no interest
Euro Labour
Labour right to
Consumer
goods
Direct taxes +
accounts
value added
market +
cybernetic
democratic
non circulating
no interest
coordination
budget
Stage 1 outlines the current situation. Stage 2 the situation whilst the
conversion measures we describe in the paper are being applied. Stage 3 is the
situation described Towards a New Socialism.
Unlike the classic social democratic process, there is no distinct stage
of nationalisation of firms with the attendant issue of whether there is to be
compensation or not. Instead, there is a basic change to the framework of
company law so that labour rather than capital acquires the right to value
added. There is then no need for the state either to confiscate or compensate
shareholders. The situation would be analogous to the 13th amendment to
the US constitution, which abolished slavery without compensating the slave
owners. We are proposing that the Union similarly abolish wage slavery.
Share holders could still own shares in firms, but they would have no right to
obtain an income from them.
Transition to 21st Century Socialism in the European Union
19