“A few remarks remain to be made about credit capital.
How often the same piece of money can figure as loan capital, wholly depends, as we have already previously shown, on:
1) how often it realises commodity-values in sale or payment, thus transfers capital, and furthermore how often it realises revenue. How often it gets into other hands as realised value, either of capital or of revenue, obviously depends, therefore, on the extent and magnitude of the actual transactions;
2) this depends on the economy of payments and the development and organisation of the credit system;
3) finally, the concatenation and velocity of action of credits, so that when a deposit is made at one point it immediately starts off as a loan at another.
Even assuming that the form in which loan capital exists is exclusively that of real money, gold or silver — the commodity whose substance serves as a measure of value — a large portion of this money-capital is always necessarily purely fictitious, that is, a title to value — just as paper money. In so far as money functions in the circuit of capital, it constitutes indeed, for a moment, money-capital; but it does not transform itself into loanable money-capital; it is rather exchanged for the elements of productive capital, or paid out as a medium of circulation in the realisation of revenue, and cannot, therefore, transform itself into loan capital for its owner. But in so far as it is transformed into loan capital, and the same money repeatedly represents loan capital, it is evident that it exists only at one point in the form of metallic money; at all other points it exists only in the form of claims to capital. With the assumption made, the accumulation of these claims arises from actual accumulation, that is, from the transformation of the value of commodity-capital, etc., into money; but nevertheless the accumulation of these claims or titles as such differs from the actual accumulation from which it arises, as well as from the future accumulation (the new production process), which is promoted by the lending of this money.
Prima facie loan capital always exists in the form of money, later as a claim to money, since the money in which it originally exists is now in the hands of the borrower in actual money-form. For the lender it has been transformed into a claim to money, into a title of ownership. The same mass of actual money can, therefore, represent very different masses of money-capital. Mere money, whether it represents realised capital or realised revenue, becomes loan capital through the simple act of lending, through its transformation into a deposit, if we consider the general form in a developed credit system. The deposit is money-capital for the depositor. But in the hands of the banker it may be only potential money-capital, which lies idle in his safe instead of in its owner’s.
With the growth of material wealth the class of money-capitalists grows; on the one hand, the number and the wealth of retiring capitalists, rentiers, increases; and on the other hand, the development of the credit system is promoted, thereby increasing the number of bankers, money-lenders, financiers, etc. With the development of the available money-capital, the quantity of interest-bearing paper, government securities, stocks, etc., also grows as we have previously shown. However, at the same time the demand for available money-capital also grows, the jobbers, who speculate with this paper, playing a prominent role on the money-market. If all the purchases and sales of this paper were only an expression of actual investments of capital, it would be correct to say that they could have no influence on the demand for loan capital, since when A sells his paper, he draws exactly as much money as B puts into the paper. But even if the paper itself exists though not the capital (at least not as money-capital) originally represented by it, it always creates pro tanto a new demand for such money-capital.
With the development of the credit system; great concentrated money-markets are created, such as London, which are at the same time the main seats of trade in this paper. The bankers place huge quantities of the public’s money-capital at the disposal of this unsavoury crowd of dealers, and thus this brood of gamblers multiplies.”
– Karl Marx, “Capital,” Vol. III, Part V, Chapter 32
“The credit system, which has its focus in the so-called national banks and the big money-lenders and usurers surrounding them, constitutes enormous centralisation, and gives to this class of parasites the fabulous power, not only to periodically despoil industrial capitalists, but also to interfere in actual production in a most dangerous manner — and this gang knows nothing about production and has nothing to do with it. The Acts of 1844 and 1845 are proof of the growing power of these bandits, who are augmented by financiers and stock-jobbers.”
– Karl Marx, “Capital,” Vol. III, Part V, Chapter 33
“An exhaustive analysis of the credit system and of the instruments which it creates for its own use (credit-money, etc.) lies beyond our plan. We merely wish to dwell here upon a few particular points, which are required to characterise the capitalist mode of production in general. We shall deal only with commercial and bank credit. The connection between the development of this form of credit and that of public credit will not be considered here.
I have shown earlier (Buch I, Kap. III, 3, b [English edition: Ch. III, 3, b. — Ed.]) how the function of money as a means of payment, and therewith a relation of creditor and debtor between the producer and trader of commodities, develop from the simple circulation of commodities. With the development of commerce and of the capitalist mode of production, which produces solely with an eye to circulation, this natural basis of the credit system is extended, generalised, and worked out. Money serves here, by and large, merely as a means of payment, i.e., commodities are not sold for money, but for a written promise to pay for them at a certain date. For brevity’s sake, we may put all these promissory notes under the general head of bills of exchange. Such bills of exchange, in their turn, circulate as means of payment until the day on which they fall due; and they form the actual commercial money. Inasmuch as they ultimately neutralise one another through the balancing of claims and debts, they act absolutely as money, although there is no eventual transformation into actual money. Just as these mutual advances of producers and merchants make up the real foundation of credit, so does the instrument of their circulation, the bill of exchange, form the basis of credit-money proper, of bank-notes, etc. These do not rest upon the circulation of money, be it metallic or government-issued paper money, but rather upon the circulation of bills of exchange.
The other side of the credit system is connected with the development of money-dealing, which, of course, keeps step under capitalist production with the development of dealing in commodity. We have seen in the preceding part (Chap. XIX) how the care of the reserve funds of businessmen, the technical operations of receiving and disbursing money, of international payments, and thus of the bullion trade, are concentrated in the hands of the money-dealers. The other side of the credit system — the management of interest-bearing capital, or money-capital, develops alongside this money-dealing as a special function of the money-dealers. Borrowing and lending money becomes their particular business. They act as middlemen between the actual lender and the borrower of money-capital. Generally speaking, this aspect of the banking business consists of concentrating large amounts of the loanable money-capital in the bankers’ hands, so that, in place of the individual money-lender, the bankers confront the industrial capitalists and commercial capitalists as representatives of all moneylenders. They become the general managers of money-capital. On the other hand by borrowing for the entire world of commerce, they concentrate all the borrowers vis-à-vis all the lenders. A bank represents a centralisation of money-capital, of the lenders, on the one hand, and on the other a centralisation of the borrowers. Its profit is generally made by borrowing at a lower rate of interest than it receives in loaning.”
– Karl Marx, “Capital,” Vol. III, Part V, Chapter 25
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Comrade Ho Chi Minh"Uncle Ho," birth name Nguyen Sinh Cung. Ho Chi Minh translates to "He Who Enlightens." Remember the Vietnamese workers who liberated Vietnam from French colonial rule and defeated the U.S. imperialists genocide in Vietnam!
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“Without revolutionary theory there can be no revolutionary movement.”
-- V.I. Lenin
"No force, no torture, no intrigue can eradicate Marxism-Leninism from the minds and hearts of men."
-- Enver Hoxha
"If you do not condemn colonialism, if you do not side with the colonial people, what kind of revolution are you waging?"
-- Ho Chi Minh
“Every departure from class struggle has fatal results for the destiny of socialism.”
-- Enver Hoxha
"A nation which enslaves another forges its own chains."
-- Karl Marx
"Private property must, therefore, be abolished and in its place must come the common utilization of all instruments of production and the distribution of all products according to common agreement - in a word, what is called the communal ownership of goods."
-- Friedrich Engels
"The entire party and country should hurl into the fire and break the neck of anyone who dared trample underfoot the sacred edict of the party on the defense of women's rights."
-- Enver Hoxha, 1967
"Today, in fact, ‘Stalinism’ has become a meaningless term of abuse employed to denote political views with which one disagrees."
-- Bill Bland
"If you are neutral in situations of injustice, you have chosen the side of the oppressor."
-- Desmond Tutu
“The class struggle does not disappear under the dictatorship of the proletariat; it merely assumes different forms... The class of exploiters, the landowners and capitalists, has not disappeared and cannot disappear all at once under the dictatorship of the proletariat. The exploiters have been smashed, but not destroyed. They still have an international base in the form of international capital, of which they are a branch. They still retain certain means of production in part, they still have money, they still have vast social connections."
-- V.I. Lenin, 1919
"We are marching in a compact group along a precipitous and difficult path, firmly holding each other by the hand. We are surrounded on all sides by enemies, and we have to advance almost constantly under their fire. We have combined, by a freely adopted decision, for the purpose of fighting the enemy, and not of retreating into the neighbouring marsh, the inhabitants of which, from the very outset, have reproached us with having separated ourselves into an exclusive group and with having chosen the path of struggle instead of the path of conciliation. And now some among us begin to cry out: Let us go into the marsh! And when we begin to shame them, they retort: What backward people you are! Are you not ashamed to deny us the liberty to invite you to take a better road! Oh, yes, gentlemen! You are free not only to invite us, but to go yourselves wherever you will, even into the marsh. In fact, we think that the marsh is your proper place, and we are prepared to render you every assistance to get there. Only let go of our hands, don’t clutch at us and don’t besmirch the grand word freedom, for we too are ‘free’ to go where we please, free to fight not only against the marsh, but also against those who are turning towards the marsh!"
-- Lenin, “What is to be Done?”
"I have not brought you liberty, I found it here, among you."
-- George Kastrioti "Skanderbeg"
"[The children's] life will be better than ours; much of what was our life, they will not experience. Their lives will be less cruel. [...] Our generation has succeeded in doing a job of astounding historical importance. The cruelty of our life, forced upon us by conditions, will be understood and justified. It will all be understood, all of it!"
-- V.I. Lenin
"There is one, and only one, kind of real internationalism, and that is—working whole-heartedly for the development of the revolutionary movement and the revolutionary struggle in one’s own country, and supporting (by propaganda, sympathy, and material aid) this struggle, this, and only this, line, in every country without exception."
-- V.I. Lenin, 1917
"When the enemy attacks you, it means you are on the right road."
-- Enver Hoxha
"You'll hang me now, but I am not alone. There are two hundred million of us. You can't hang us all."
-- Zoya Anatolyevna Kosmodemyanskaya
"The Great Proletarian Cultural Revolution was neither a revolution, nor great, nor cultural, and, in particular, not in the least proletarian."
-- Enver Hoxha
"Marxism is not only the theory of socialism, it is an integral world outlook, a philosophical system, from which Marx’s proletarian socialism logically follows. This philosophical system is called dialectical materialism.”
-- J. V. Stalin, “Anarchism or Socialism?”
"You speak of Sinified socialism. There is nothing of the sort in nature. There is no Russian, English, French, German, Italian socialism, as much as there is no Chinese socialism. There is only one Marxist-Leninist socialism."
-- J.V. Stalin, 1949
“Nixon is to go to Peking! We are not in agreement. Therefore I think we should write to the Chinese a letter saying that we are opposed to this decision. Nixon is an aggressor, a murderer of peoples, an enemy of socialism — especially of Albania, which the USA has never recognised as a people’s democratic state and against which it has hatched a thousand plots. The invitation to Nixon will benefit imperialism and world reaction, and will gravely harm the new Marxist-Leninist Parties which have looked upon China and Mao Tse-tung as the pillar of the revolution and as defenders of Marxism-Leninism."
-- Enver Hoxha
"It is only the working class at the head of the masses, it is only the working class headed by its real Marxist-Leninist party, it is only the working class through armed revolution, through violence, that can and must bury the traitorous revisionists."
-- Enver Hoxha
“There were two ‘Reigns of Terror,’ if we would but remember and consider it; the one wrought murder in hot passion, the other in heartless cold blood; the one lasted mere months, the other lasted a thousand years; the one inflicted death upon ten thousand persons, the other upon a hundred millions; but our shudders are all for the “horrors” of the minor Terror, the momentary Terror, so to speak; whereas, what is the horror of swift death by the guillotine, compared with lifelong death from hunger, cold, insult, cruelty, and heart-break? What is swift death by lightning compared with death by slow fire at the stake? A city cemetery could contain the coffins filled by that brief Terror which we have all been so diligently taught to shiver at and mourn over; but all France could hardly contain the coffins filled by that older and real Terror—that unspeakably bitter and awful Terror which none of us has been taught to see in its vastness or pity as it deserves.”
— Mark Twain, "A Connecticut Yankee in King Arthur's Court"