Capitalism tends to go through crises in general–its laws of distribution result in some sort of overconcentration in investment (the organic composition of capital is the technical term), or production beyond consumption, or a lack of investment and the like. Regardless of the specific cause of the business cycle, the effects are similar; capitalists make some mistake in investment by investing in what they can’t sell, or they sit on their own capital instead of circulating it. The problem is that in a capitalist economy whose primary laws are “Profit!” and “Grow!,” staying stationary will simply cause the system to surpass you and push you out of the economy. Grow or die. Consequently, an inability to invest or grow such as in business crises will result in capitalists pushing on labor to increase profitability–firing, working longer, harder, etc. In every case where there is a systematic crash, labor suffers first even when it is capital’s fault.

Lets get to my point. In a systematic transition from capitalism to socialism, capitalist profitability will decrease or get squeezed out–consumerism will stop fueling them, the state will push industry to sell, or the like. But since it is the transition to socialism, it is still under capitalist laws, and capitalists will try to consolidate power however they can. If a particular nation tries to socialize, capital flight will likely occur, or an increase in corporations trying to bolster political influence while increasing profitability (because, as always, the will be the last to take a hit economically), or appealing to the WTO which will undoubtably attempt trade sanctions. All these actions will significantly hurt the population of a nation (or the international community–but it’s hard to see how it would get worse in places like India, say, or sub-Saharan Africa), and it would be left to charities or the government(s) to compensate, but dependence on charities are iffy at best, and governments would have to develop the infrastructure (remember: this is the transition to socialism, it has not yet occured, but is in process). Consequently, in the birth pangs of socialism, labor and the needy would be sacrificed unless there are places set up outside the capitalist system to house, feed, educate, and take care of them. Socialists need to concentrate on building places that are safe havens from capitalism–think Noah’s Ark on land. This is completely necessary–because before the international community attains socialism, corporations and capitalists will squeeze every last bit of profitability out of workers, and funnel it into every political means before they have no choice, and consequently within the current system the lower classes will be the first to suffer, and suffer much without a safe haven.