The Epidemic of Capitalism in the Age of Covid-19

jasdye
20 min readDec 24, 2021

Note: This research was compiled in April of 2020. I plan on a follow-up analysis, but the essentials are as true now as they were then. Capitalism is for private property accumulation; socialism is the people.

Introduction:

When the Novel Coronavirus was first detected in late December, 2019 in the city of Wuhan, China, few could have predicted that it would have directly affected millions and killed off in a few months 200,000 (WorldOMeter, as of 4/27/20), with the numbers of both diagnosed and passing rising exponentially on a daily basis. Few further could have predicted that the nations most susceptible to the spread of the respiratory disease would be the wealthiest ones, often considered the most advanced in society, such as Western Europe and the United States. [Some still do not believe this to be the case, such as Statista, which even a year later contends that the United States and Canada lead the world in pandemic preparation]. The US, as of April 10, 2020, sees a daily death toll approaching 2,000 and fast rising.[1] At this rate, the United States will see a death toll just for one half of one week that would surpass that of all of China’s from COVID-19 from December, 2019 through April, 2020. [Spoiler alert! It happened.]

The disease marked by shortness of breath, dry coughs, fevers, and pneumatic effects was first recognized in the city of Wuhan, China and reported to the World Health Organization wing of the United Nations in late December of 2019. Because it was such a new zootrophic disease and because it often takes weeks to develop symptoms (if at all) even as the disease is highly contagious, it was easily masked. Consequently, most experts did not know how deadly and transferable it was during this first, important month. But within just a few weeks, 4,000 people were identified as having the disease and 100 people-and-rising a day were dying from it. The national party of the People’s Republic of China (PRC), the Communist Party of China (CPC) had already restricted air flight (not before hundreds fled the region, with several carrying the disease), but on January 23rd, decided to completely shut down the 11 million-inhabitant city of Wuhan and its surrounding region, Wuhei. The next day, the PRC shut down other major cities in efforts to stem the tide. For the next couple of weeks, the country’s caseload and death rose by exponential rates and then dropped as quickly as it rose due to loss of contact and extensive rooting and isolating of carriers.

While the PRC had success in dealing with the Novel Coronavirus relative in terms to its concentrative size and the uniqueness and unidentifiability of the disease, it has received considerable criticism, particularly from the United States and its corporate media outlets — even as the US and its contemporaries have done much worse. The question of this unfair treatment in contrast to the reality can be accounted largely to the reputation of socialist states as understood in the West. Many recognize socialism as intrinsically violent, as dangerous and repressive, as a monstrous killer. On the other hand, they view capitalism as robust and innovative, and as a system that allows its people to thrive. But what of the reality itself? In contrast to the United States’ consumer-based approach to health care, one could argue that socialist nations[2] like the PRC, Cuba, Vietnam, and Venezuela prioritize the health and well-being of their citizens. Perhaps measuring by health outcomes is a more scientific and accurate depiction of the success or failures of capitalism and socialism than anecdotal stories. These health outcomes can be most extensively scrutinized in the cases of public health crises such as natural disasters and epidemics.

The political actions of so-called capitalist nations such as the United States and United Kingdom when juxtaposed against so-called socialist states such as China and Cuba in the face of immediate crises such as natural disasters and the COVID-19 pandemic demonstrate distinct priorities of their respective political economies and how those affect public health.

Background:

The Novel Coronavirus is no sympathizer to race, culture, wealth, age, let alone political economy and therefore operates as a great equalizer. Even British Prime Minister Boris Johnson was laid up in Intensive Care with the virus. While it is not known as a superbug, it spreads at expansive rates by direct, aerosolic, or immediate third-party contact (such as by touching metal, plastic or fiber) that then connects to the nasal passageways. It infects by contact but roughly 20% of those who contract the virus do not show signs of it at all and most do not for up to two weeks after contact. While it does not kill most it comes in contact with, depending on a variety of factors it can kill 3–5% of those known to have the virus without care, more if the health system is overwhelmed as is fast happening in the United States. Older people and those with compromised respiratory and immunology systems are much more susceptible to deep sickness and fatality. There are no known cures (and at the time of original writing, no vaccines) and not much in the way of treatment, so reduction of person-to-person mediation and contact is the surest way of keeping the infection rates (and thus the sickness and fatality rates) down. Identifying and secluding those affected is the surest and fastest way to end the spread of the disease and doing so sooner rather than later is essential to public health when it comes to a disease that spreads exponentially[3] (cf. Pueyo’s “Coronavirus: Hammer” and “Coronovirus: Act Today”).

For further referencing, included are graphs from Financial Times dated April 9th, 2020 in regions and nations of daily and cumulative official infected and fatality rates. While the measurement standards vary based on the standards and practices of the local and national governments, the patterns are similar, as noted in Figs 1 & 2 (“Coronavirus Tracked”). Numbers exponentially rise up to and a few weeks after a region has a shut-down. Then the numbers decrease and decline based on social distancing practices implemented by the government (“Coronavirus Tracked”). The lockdown of the Chinese region of Hubei as demonstrated by engineering scientist and businessman Tomas Pueyo in Fig. 3 — taken from available scientific data — shows the pattern of infection and the identification of that infection before, during and after an effective lockdown.

Italy and Spain’s death plateauing while US and UK continue to rise and China drops
Fig 1. “Daily deaths with coronavirus (7-day rolling average).” Source: “Coronavirus Tracked”
Daily avg deaths trends in different countries, with points noticing national lockdowns to see downward trends
Fig. 2. “Daily confirmed cases (7-day rolling average).” Source: “Coronavirus Tracked”.
Graph of Hubie region Covid cases around time of lockdown shows time-gap between contacting and demonstrating signs of Covid and effect lockdown on ending transmission
Fig 3. “Suppression Strategy in Hubei.” Source: Pueyo, “Coronavirus: Hammer.”

However, such a complete lockdown as China did encapsulates keeping all but essential workers at home, extensive testing and tracking, and — for those who test positive — quarantining away from family members to keep them from also contracting it. It requires a network where jobs are guaranteed for the homebound, where essential workers are compensated for the extra work and given protective wear to keep from infection, where each family has food and shelter, where health care is readily available and free and where the government will go to extra lengths to protect its people. In the United States — where urban poverty and homelessness is rampant, where roughly 8.5% of citizens, or over 20 million people and 5% of children lacked any form of healthcare insurance for any part of 2018 (Health Insurance Coverage) while 29% of USAmericans are drastically underinsured (Commonwealth Fund) — this route is much harder to enforce even if the will was there. By early April 2020, unemployment was at an all-time high with more than 17 million workers filing for unemployment insurance within three weeks (Chaney and Harrison). As of mid April 2020, the overall weekly claims rose from just under a consistent 2 million last year up to 20 million, according to data from the Department of Labor (“Unemployment Insurance”). It is an increase of initial claims by 20 times as much the year prior, and many are not eligible. Fewer can afford rent and both national and local governments seem reticent to assist beyond one payment of $12,000 that many do not qualify for and, in some locations, a moratorium not on rents but on evictions. This has led to increased protests and pushbacks against stay-at-home measurements, even as the COVID pandemic has only started to slow.

Why are the United States and other capitalist nations so reticent to practice a strong social distancing regiment?

Capitalism can be understood as a political and economic system that prioritizes business and private property for its infrastructure. Whereas capitalism is about the concentration of capital, the protection and production of that capital, and the class identified with that, socialism through a Marxist lens can be understood as a transitory stage between capitalism (or feudalism) and communism where the means of production are being seized by the working class as opposed to the capitalist class. Socialist countries publicly prioritize public health, education, housing and income equality. The PRC, for instance made it a top goal to eradicate extreme poverty in rural areas by 2020. According to its constitution, all China citizens have a constitutional right to work, education, and rest (Constitution). Cuba also guarantees each citizen a job and housing, as do Vietnam and the Democratic People’s Republic of Korea (DPRK, colloquially North Korea) and, before their annulment, the Union of Soviet Socialist Republics (USSR) and the German Democratic Republic (GDR, also known as East Germany). As the researchers Shirley Cereseto and Howard Waitzkin demonstrated in a peer-researched paper for the American Journal of Public Health, when compared to national peers in terms of income development, socialist countries like China (at the time seen as low-income and not the second greatest economy in the world), Cuba (lower-middle), and the USSR (upper-middle) had higher physical quality of life metrics than their counterparts such as Benin, Costa Rica, and Spain.

Handling Crises in Socialist Vs Capitalist States

This background can help explain the distinctions between capitalist and socialist countries in their response to disasters. The response of the United States towards its protectorate of Puerto Rico — a Caribbean island occupied and colonized by the United States — following Hurricane Maria left millions without running, clean water and life-saving electricity for several months. The effects of the storm, however, was merely the accumulation of continued and combined neocolonial and austerity effects on the island’s infrastructure (cf., Caban, Reuckert). However, neither the President nor the political or economic instruments of the United States was willing to strengthen and aid the nation in its time of need, rather blaming the people for their impoverished predicament. The responses in both material aid and scorn mirrored those of the United States on the Black inhabitants of New Orleans after Hurricane Katrina struck just over a dozen years prior. Black citizens were left to fend for themselves when an under-established utility was downed by a combination of natural disaster and government incompetence.[4]

Circling back to the current global epidemic, when Italy was facing crushing rises in COVID-19 cases and fatalities in early March 2020, fellow European Union nations and other allies such as the UK and US refused aid (Henley). It would be China that offered aid and medical supplies. The rest of Western Europe did not fare much better with — as of the end of the next month— Italy having reported over 26,ooo deaths to COVID19, Spain and France reporting short of 23,000, and the UK over 20,000 (WorldOMeter). The small but rich European nation of Belgium had the second highest death ratio reported, with 597 per 1million lost, followed by Spain (490/1m), Italy (436/1m), France (346/1m), UK (299/1m), Netherlands (257/1m), Sweden (217/1m), and Ireland (215/1m) filling out the top 11 spots — excluding very small island nations of San Marino, Andorroa, and Sint Maarten (WorldOMeter, as of April 25, 2020).

On the other side of the Atlantic, the United States is far and away leading in overall deaths and cases and fast rising, accounting regularly for 1/5th of all deaths attributed to COVID19. Through the rise of the pandemic from March through April, 2020, the federal government has continued to suggest physical social distancing practices with monetary alleviation largely going towards large monopoly capitalist companies and industries rather than citizens as President/real estate developer billionaire Donald Trump has continually pushed for ‘reopening the economy’ — in other words, an ending to the few social distancing practices that have resulted in a slowing down of the curve in order to put profits back in the pockets of executive boards. This failure of central leadership has led to states, counties and metro areas having to take measures into their own hands, often competing or teaming up with others to thwart piracy and sabotage from the federal government. This lack of direction leaves the most vulnerable with few options but to break social distancing directives, very often without protective gear that is necessary to slow down and stop the spread. This focus on the needs of private institutions rather than the public and the attendant lack of emergency preparedness accounts for the 53,000 deaths attributed as of April 25, 2020 to COVID19 (WorldOMeter). Ironically, this approach may actually hinder the economy. That is if one considers economic health beyond just the top.

On the other hand, the socialist response to disaster seems to prepare to mitigate the worst that crises might offer. Cuba, like Puerto Rico, is a Caribbean island that faces devastating hurricanes head-on. However, due to prioritizations by the socialist government, Cuba employs an all-hands-on-deck emergency preparedness plan for such occasions. As such they often face zero casualties per hurricane. According to Jacobin Magazine’s Branko Marcetic, in fact:

While 2016’s Hurricane Matthew killed forty-four people in the United States, it killed no one in Cuba, despite leaving a trail of destruction in its wake. Ditto for Hurricane Katrina, which left as many as 1,800 people dead in the US. In 2008, Hurricanes Gustav and Ike pummeled Cuba at the peak of their intensity, slaying seven. But in the US, thirty people perished, even though the storm had lost much of its strength. Hurricane Isabel killed more Americans in 2003 than six major hurricanes killed Cubans between 1996 and 2002.

Cuba’s infrastructure has also been crumbling due to a 60 year embargo by the United States government estimated to cost over a trillion dollars (“Cuba Calculates Cost”), but they have been very resourceful about finding alternative means where money is not in abundant supply due to the priorities of the political economy.

This protection and prioritization of public health despite intense sanctions can also be seen in the South American democratic socialist nation of Venezuela. In order to strengthen and lengthen a national lockdown beyond its seventh day, as the total count of COVID19 cases hit 77, the government decreed to end rents, suspend debt collections, and protect wages and jobs from layoffs (Dobson b; Kinosian and Buitrago). The United States government, however, was implementing a coup against democratically-elected Venezuelan president Nicolas Maduro and had already seized billions of dollars and property from the government in the process — money that was earmarked towards life-saving medicines and food for Venezuelans (Dobson a). For the purposes of media attention, US President Donald Trump announced a military exercise to prevent Venezuelan ships from accessing goods under the false presumption that Venezuela is trading in illicit drugs (Spetalnick and Stewart). While the claims are laughable, the timing is not. In the meantime, preventative measures and quality healthcare from allies Cuba and China have helped to keep confirmed cases down to just over 300 and deaths down to 10, with a mortality rate of 0.4 per 1 million as of April 25. Capitalist (and currently antagonistic) neighbors Colombia (over 5,000 cases and 233 deaths with a 5/1 million rate and rising) and Brazil (59,000 cases, over 4,000 deaths and a 278/1 million mortality rate) have not fared as well (WorldOMeter as of April 25, 2020).

North of Venezuela lies the Caribbean, with islands such as Cuba (1,300 and rising; 51 deaths; 5/million), Puerto Rico (1,200 confirmed cases; 62 deaths; 19/1 million), the Dominican Republic (6,000 cases; 273 deaths; 25/mill), Haiti (72 cases; 6 deaths; 0.5/mill), and Jamaica (288 cases, fast rising; 7 deaths accounting for 2/million) bridging a water divide between South America and Florida (figures as of April 25 via WorldOMeter). Here the distinctions aren’t nearly as clear between capitalist and socialist nations on the surface. Cuba, the Dominican Republic, and Jamaica have similar sizes and economic feeds, as all three rely heavily on tourism, which has acted as a portal for Coronavirus contact. Jamaica closed its ports earlier than Cuba did and has a much smaller rate of contract as a result. The Dominican Republic has a much higher rate, however, than either, with similarities to neighboring Puerto Rico with a larger population. But Cuba has tested a significantly higher percentage of its citizens than either the Dominican Republic or the US, with a testing-to-positivity rate of 25:1, 3:1 and 4:1 respectively (Morris and Kelmann). Cuba has the highest rate of doctors and healthcare professionals-to-citizens not just in the Caribbean but in the world and has been sending its doctors throughout various hotspots such as Italy and Iran to lend hands and expertise (cf, Panichelli-Batalla). It has also been strictly following WHO recommendations from the beginning (Morris and Kelmann); however, like with Venezuela, the availability and accessibility of funds and medical equipment is a concern that could lead to future spikes in cases and fatalities (note: cases did rise at the beginning of the new year, though by the end of the year, despite international pressure and a strengthening of the blockade that affects the ability of the nation to get basic medical supplies and elements needed for vaccines, 90% of the country had been vaccinated).

Another example of the profound impact of socialist nations during this crisis can be found in Vietnam. While American news sources lamented the amount of deaths that had transpired as a result of COVID19 recently, they did so by comparing it to the US soldiers who died during the occupation and attack of Vietnam in the 1950s-1975. Ironically, the numbers of Vietnamese on both sides of the borders killed by US soldiers during the war were not mentioned, that number being roughly 3 million, including 2 million citizens in the north (cf. Rosen, “Number of Vietnamese Died”). That would equate to some 80 times the amount of US citizens that have passed as a result of the Coronavirus. Perhaps even more ironically, these same pundits failed to mention that during the early stages of the current biological war, zero Viets have died from the Covid19 through socialist practices that place the health of the nation in the hands of public ingenuity (Bui).

Heading back to the original epicenter and the location of the first outbreak — partly as a result of its methods, location, and threat to the economic powers — the Capitalist world’s scapegoat: China. Heavy criticism, understandably, has been pressed on the apparently slow initial response to the Novel Coronavirus after its discovery in late December of 2019 in a Wuhan hospital. However, considering that the world lacks in regards to the virus — how it operates and spreads as well as the time gap between contracting and symptomizing— failing to take immediate and heavy measurements initially, may not have been so imprudent. However, the numbers of those affected and those who were dying were rising and included several medical workers. After the World Health Organization and China’s own CDC discovered the range and danger of the virus and its two-week delay coupled with exponentially rising rates of infection, the government took drastic measures to stop the spread of the disease (“China’s Fight Against Covid-19”). The entire city of Wuhan and its region were put on complete lockdown and outbound travel was canceled[5] within a month of first observing the disease. Other large cities were also put on lockdown shortly thereafter. Simultaneously, the central government, the Chinese CDC, and the WHO informed the rest of the world each step of the way, including a lengthy phone conversation between the head of the Chinese CDC and the US counterpart on January 1st and posting the genetic sequence of the virus for worldwide access and study by Jan 11th (CRS). China was able to effective shut down their major hubs for so long due to open and clear communication between the citizens and the government which helped mobilize the people to act in accordance with what they deemed were responsible actions to prevent the spread. This included wearing masks when outdoors, staying and working from home as much as possible unless their physical presence was deemed necessary, wearing protecting gear when working with potential patients. Many manufacturing plants also agreed to switch machinery to provide protective gear for healthcare workers and necessary medical equipment for hospitals (“China’s Fight”).

Their measures were not hidden, nor was the severity of the disease; in fact the nation believes that education is an imperative tool to mobilize the populace (cf, the White Paper “China’s Fight Against COVID-19”). All of this could be seen and was seen by casual observers such as this writer and many of his friends from early/mid-January 2020.

Another fine example of how socialism works is that in the PRC, an increasing amount of the companies are owned or part-owned by the state (SOE’s), and since the state supposedly operates for the good of the public and not the bottom-line, it can both desire to mobilize and functionally mobilize its industries towards the health of the people. Need more masks or testing products? The government ordered factories in its vicinity to fit for the production of tests, protective gear, and medical equipment in mass quantities in a short amount of time through “production resumption” and “switch of production” models. These included protective suits, disinfectants, thermometers and other medical instruments. According to the white paper “China’s Fight Against COVID-19”:

Within a short period of time, the daily production of face masks — including disposable masks, surgical masks and medical protective masks (KN95) — exceeded 110 million; more than 1.5 million disposable medical protective suits were made, and 400,000 hand-held infrared thermometers manufactured. The daily supply of test kits reached nearly 350,000 by the beginning of March. Meanwhile, the supply chains and logistic conduits were smooth… In just a month, the daily allocation of medical protective suits jumped from 21,000 to 270,000, and KN95 masks from 72,000 to 562,000 (pp 20–22).

Aside from essential medical equipment, the people much like in Venezuela were taken care of. China stats as of 4/25/20: 82,800 cases (most new ones coming from outside country) 4600 deaths; 3/million) [USA: 960,700 cases; 54.3K; 164/million]

Conclusion

One takeaway that can be seen in these crises is a pattern of individualist-centered competition within capitalist societies and one of mutuality and cooperation in socialist ones. The distinctive approaches are wide enough to make living in one type of society perhaps misunderstood for those who have limited exposure to the other.

In a world-wide scale, slowing down and perhaps even ending COVID-19 relies on substantial health infrastructure investment and strict social distancing practices; however, this negatively affects the kinds of economies that require social interactions on a private level. It is almost ironic that socialism, which relies on communalism, has been successful in social distancing whereas capitalism — which has more resources, is highly individualistic, and functions on what Karl Marx called alienation — could not act successfully in terms of social distancing. Some would say it is because socialist citizens are used to being obedient to their governments out of fear, but the implications and instruments used here suggest other factors are at play. Factors such as cooperation, preparation, mass social coordination, and mutual care are substantial drivers of socialist states. Whereas capitalism can have a Me-First attitude that, combined with Western Chauvinism, that seems to heighten the positionality[6] of the consumer against public health. In any case, the socialists have resoundly won this round, but in the era when Global Warming becomes a pandemic will they be able to save themselves and offer assistance to others when the costs of capitalist consumptive production will be equally distributed to all but a few regions which only the very wealthy (those in charge of the capitalist nations) will be able to flee to?

Social distancing — the only true cure for Covid-19 — means a slow-down or even a stoppage of production, consumption, and trade which all economies are based on to some level or another. But some governments are willing to aid their citizens in the process, planning for long-term success, whereas capitalist states that may have long-term goals are very short-sighted when it comes to their people’s health and well-being.

Endnotes

[1] As of April 27, the numbers have to 1,250 per day according to WorldOMeter.com, largely due to moderate shelter-in-place orders in hot spots. However, those numbers may again raise significantly. b) It’s Christmas 2021 as of publishing and the number of daily deaths is again fast approaching 2,000 nationally. The lowest daily average of deaths came during the summer of 2021 after roughly half of the population became vaccinated and social gatherings were able to be outdoors.

[2] There are many definitions of socialism, but here we will stick to those that self-identify as socialist and to some degree with a Marxist understanding of socialism if not necessarily a Marxist-Leninist version. This would exempt the Scandinavian model, largely recognized as a capitalist model of social democracy with welfare state characteristics.

[3] Rates of infection and death have consistently shown to double every one-to-two days in regions before social distancing is enforced and every three-to-five days after moderate stay-at-home and shelter-in-place practices (note the accompanying charts).

[4] Cuba offered relief and aid in both cases and was refused the opportunity to help their neighbors.

[5] Unfortunately, not until likely thousands had fled the area

[6] Class status, generalized feelings of comfort, ability to hold power over others and express oneself regardless of impact

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jasdye

Your Humboldt Park Marxist; West Side, Chicago. Post-evangelical. Educator.