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Interviews Post-Capitalist Vision

Yanis Varoufakis Interview on Another Now – Part 1 – Nationalization, Unemployment, Climate, Public Finance, Debt

Editor’s note: discussion topics include the role of nationalization in the Another Now model (AN), unemployment in AN, whether AN can overcome the climate crisis, interest in AN, public finance in AN, the scope for and means of debt cancellation in AN.

[After the Oligarchy] Hello everybody, this is After The Oligarchy. Today I’m speaking with Yanis Varoufakis

Yanis Varoufakis is the former Greek Finance Minister, a professor of economics, co-founder of DiEM25 and the Progressive International, leader of MERA25, and a member of Greek parliament.

Today’s conversation is in association with mέta: the Centre for Post-Capitalist Civilization. And the topic is Yanis’s latest book Another Now, published in 2020, which presents a vision of a post-capitalist society. It’s an advanced discussion of the model proposed in that book. If you want an introduction, I wrote an essay and made a 40-minute video doing just that. Though I do recommend that you eventually read the book itself, it’s very good.

Yanis Varoufakis thank you for joining me.

[Yanis Varoufakis] Well thank you for doing everything you’ve done, it’s remarkable what you did, thank you.

[AO] Oh yeah my pleasure, my pleasure absolutely.

I have many questions to ask you, including from some viewers, but we can only cover so much in one interview. So we’ll see how we get on.

Q1 – The first question is about nationalization. In Another Now you briefly mentioned that utilities have been nationalized and I was just wondering what is and what is not nationalized? Because ‘utility’ usually refers to things like electricity, gas, sewage, rubbish, and so forth, but … if you want to jump in you can.

[YV] In the book, what I do is I try to tell a story of how we could change the very fabric of the social economic system that we live in by starting from the fact that these were all nationalized utilities, in Ireland, in Britain, Germany, everywhere, they were created by the state primarily because no private business was interested in creating them. Even the BBC was created by the BBC before there was private radio because the fixed costs were too large.

And then in the 1970s with the onslaught of neoliberalism, with Margaret thatcher in Britain, with Ronald Reagan in the United States a bit later in 1980, you have the privatization of all utilities. Effectively the conversion of state monopolies into private monopolies that were presented as marketized, decentralized, but were not really. I mean if you look at the electricity grid and the electricity network in our countries they are still monopolies except that there is an infrastructure of speculation on energy prices. Which is today, given the rise in energy prices and inflation in the post-pandemic world, a clear and present danger to the fabric of society.

So as far as I’m concerned the answer to this is not a re-nationalization but the answer that I propose in the book – and you know this very well because you’ve done a great job at summarizing the blueprint that I’m putting forward – so instead of nationalizing the privatized utilities, I am proposing the socialization of all companies not just the former nationalized utilities or nationally state-owned utilities. Because I’m challenging the very notion of tradable shares. Something we take for granted, that the property rights over companies are segmented in tiny little pieces of paper or digital pieces they call ‘shares’ and that these shares are traded anonymously in markets called ‘share markets’. I challenge that very notion. I think that in the end it’s even antithetical to the mentality, the philosophy, of the original proponents of market societies like Adam Smith.