The building global recession is liable to make Brexit look like a tea party and ensure that austerity remains in place for the foreseeable future. If we don’t do something about it.
John Rees writes for The People's Assembly
Economic forecasters are now increasingly predicting that the US economy will tip into recession this year.
Job creation has slowed from over 220,000 per month to an almost invisable 20,000 last month.
The housing market is slowing, as is US consumer spending in general. The Federal Reserve, the US central bank, is now beginning to wonder if it will have to boost the economy rather than continue measures that it has in place to control growth.
The darkening picture for the US economy comes hard on the heels of recession in Italy, and markedly slower growth rates in other European economies.
Add this to the fact that one of the great engines of global growth, the Chinese economy, is now experiencing its lowest growth for many years, and all the indicators point to a global recession.
If that indeed is what transpires, even if the recession is relatively mild, we can expect further austerity measures from most western governments.
It’s not that most western governments even believe that austerity works, or to be more precise, that they can pretend that this is what they believe in the face of a deeply sceptical public.
They simply have no other economic model. Making the rich richer, and the poor pay the price of a malfunctioning economic system marks the entire content of their ideology.
They know that the neoliberal model has failed. And they know that public disgust at that failure has produced a crisis for the political centre and the growth of both populist right and of radical left alternatives.
In many ways modern politics is a race between the far right and the radical left to see who can provide the most effective resistance to austerity.
The whole labour movement, the anti austerity campaigns, and the left need to prepare for the next round of struggle in which the stakes will be even higher than they have been so far.
Can you help?
The People's Assembly is a grassroots organisation which is supported by many trade unions, campaigns and local networks, as well as many individuals. But we need your help. It costs money to organise events, meetings, demonstrations and campaigns. Unlike those who are enforcing austerity, we do not have wealthy businessmen backers. We rely on donations from our supporters. Over the past few months we have organised or supported campaigns over the NHS, closure of libraries, housing and in support of trade union rights. We held a demonstration in early January calling for a general election.
We need to step up our campaigning and help give a voice to those trying to stop library closures, end Universal Credit, defend the NHS and provide a better future for our children.