ARMS ECONOMY AND THE GROWTH OF CAPITALISM

In the written of Earnest Mandel in his book ‘Late Capitalism’. Ladies and gentlemen, capitalism is a child of necessity in modern political economy because as human beings started from babies to adult likewise capitalism grow, historically from the renaissance period capital is in childhood age, immediately after the second world war capitalism shift to its adulthood stage which could be refers to as monopoly stage, In the 1970s capitalism advance to the period of its zenith, in other word the golden era.

The world has experienced political instability and economic meltdown as the result of first and second world war, the fascist movement  and the era of cool war has emphatically resulted to the production of weapons which plays a significant role in the imperialist economy, in essence the production of weapons and arms for the dynastic wars from the 15^th to the 18^th century was a major source of primitive accumulation and one of the most important midwives of early capitalism, as a stimulus to accelerate industrialization, arms expenditure and war played a considerable role in the acceleration of the capitalist market throughout modern epoch.

In 1961 the production of weapons amounted to nearly half of gross investment in the world all over, this could be seen in the proportion of arms production and military spending in the gross national product of the USA, which depict 70% in compare to the other sector of the economy. The growing significance of the arms traffic in world trade is a treat to the production of weapons as commodity production as well as capital accumulation in imperialist state. In 1955 arms export in the world market is totally approximately 2.2 billion dollars. In 1962-68 the average was already 5-8 billion dollars, of which the Soviet Union was responsible for 2 billion.

The whole phenomenon of the permanent arms economy is vividly seen in the parasitic nature of capitalist monopoly  on which prophet Karl Marx has criticize the imperialist state in the fusion of arms companies, military commanders and of course the bourgeois politician; which made off up the ‘military industrial complex’. Sir Karl Marx also criticize the expenditure and budgetary of military especially in developed countries on which military spending supersede other sector of economy, also in process of arms production, the military industrial complex harness surplus value.