chapter  8
5 Pages

The Economic Crisis of the Monopolistic System and the World War

WithE. A. Preobrazhensky

The extraordinarily acute shock that the capitalist system undergoes during a general economic crisis in the epoch of monopolism explains why every emerging world crisis has a tendency, as has frequently been observed, to grow over into an imperialist war. It is far from coincidental that the outbreak of world war did take place when the next crisis of monopolism began to develop. The crisis of 1920-1921 was one involving the liquidation of inflation. Its objective task consisted of settling the world economy into the new conditions created after the war. In that sense the crisis was not typically imperialist, and the ensuing depression, like that of 1924, did not develop into a general, world economic crisis. The crisis of 1930, in contrast, possesses all the characteristic features of a classical crisis of monopolism, one that might become the final blow to capitalism and kill off a decrepit organism.