The Capitalist Attitude Towards the Homelessness Crisis

by Patrick Russell

The unfairness and absurdity of modern homelessness can be summed up in a single number: there are 28 vacant homes for every homeless person. Although this fact diminishes the complexity of homelessness, its simple cruelty reveals America’s greatest contradiction: a nation of abundance and a nation of destitution. Society holds in its hands the ability to provide for all, yet chooses not to. The inherent inequality of the economy only deepens its inhumanity as prices rise, real wages stagnate, and social services are cut. Homelessness is growing at record rates, mostly among the youth and elderly, and disproportionately affecting racial and sexual minorities. Government services often fail to address the root issue of the problem, if it exists at all. It is not enough that capitalism should subject one part of society to be without a place to stay; governments viciously criminalize homelessness and maniacally inflict pain through anti-homeless architecture. Why does capitalism force one part of the population into abject poverty at their most needed? And why does this unignorable inequality not anger society more and more every day? The answer is rooted in capitalism’s need for a reserve army of labor and dominance as the base for society, including our thoughts and feelings about the world around us.

Homelessness and unemployment are not solely symptoms of capitalism but a necessary element in order to further exploit workers and lower wages through the immiseration of the lowest strata of society. The underhoused and unhoused are part of a group Marx termed the reserve army of labor. This reserve army acts as a potential replacement for employed wage workers, forcing them to accept worse working conditions and lower wages in fear of losing their jobs. The largest supply of workers with the lowest demand for labor allows employers to increase exploitation of workers, as people become desperate for any job at all. Increased competition between those needing employment divides the working class, making them fight over the scraps instead of banding together to bring about change. This supply grows ever larger as capital concentrates in fewer hands and more people are pushed into the proletariat, seen in the record high rates of homelessness and wealth inequality in the U.S. Capitalism and bourgeois society have no desire or reason to end homelessness as it needs the reserve army to be so large and conditions for the unemployed so miserable to keep workers subservient to wages. As Marx said, “accumulation of wealth is at the same time accumulation of misery, agony of toil, slavery, ignorance, brutality, mental degradation, at the opposite pole.”

Capitalism was built and continues to be supported by the forced unhousing of sectors of society and the creation of the reserve army. British industrialism exploded rapidly in urban areas due to the enclosure of farming and grazing land. Peasants were kicked off the soil to create privately owned land, and forced off in droves to the cities. Vagrancy and homelessness became criminalized, and former peasants had to take the worst possible jobs. The reserve army helped keep the plantation system and the exploitation of black labor alive in the post-Reconstruction South. By arresting unemployed freed slaves, the black population was given a choice between quasi-slavery in sharecropping or legal slavery in the prison system. And in modern times, legislation and government policy criminalizes homelessness in order to sweep away the issue and punish the victims without any concern for the root cause.The landmark Grants Pass v Johnson SCOTUS case in 2024 overturned protections for homeless encampments even if the unhoused had nowhere else to go, combining with other statues and ordinances that make it illegal to sleep in public. As affordability and welfare cuts make permanent housing harder and harder to obtain, the state punishes those caught in these unavoidable situations with nowhere else to turn. Cemented is the rule of capitalism: work or suffer.

The reserve army of labor explains why capitalism impoverishes the most needy. But the system permeates deeper: into societal thoughts and feelings towards the unhoused. Certainly, hateful, hyper-exaggerated, and largely false stereotypes play their role, but what lies deeper? Societal attitudes towards the homeless, ideas of who they are in relation to the employed, and theories on how to confront the issue cannot be boiled down to malicious disparagement or apathetic pity. Instead, they are shaped by the foundations of capitalism and bourgeois society.

First, the unhoused lie outside the capitalist system of production. They are not laboring in order to create surplus-value or profit. Capitalism defines people as wage-workers who live solely to create capital; therefore, the non-worker lives for nothing, a burden that “provides” nothing. Production of capital, as the foundation of society, becomes the measure of human “value.” We can see this exemplified in current unhoused aid practices and social services. With the prevalence of employment dependent help or simple job training, help comes only if people engage in, or are seeking to engage in, producing surplus-value. Aid without concern for how much the person contributed to capital is reserved for those who can’t work at all. While the right parrots the idea of laziness being the cause of poverty more and more as a justification for policy, these ideas remain in the minds of all. The connection between labor and human value lies at the core of our species. Marx writes, “it is just in his work upon, the objective world, therefore, that man first really proves himself to be a species being”. Labor is humanity’s purpose, what separates man from animal, and defines us as a species. But under capitalism, labor comes under the harsh master of capital, as the only form labor can take. The worker is alienated from his labor, his species-being, his humanity. Since the unhoused are not laboring for capital, they are viewed to not contribute to society, viewed as not to be fulfilling our greater purpose. Capital defines society, and the unhoused are not in its service, viewed to be not in its society. Humans define themselves and others through labor and work. However, as labor is dominated by the tyranny of capital, our ideas of humanity and human value are dominated by the tyranny of capital.

Secondly, the unhoused not only buck capitalist production but it’s necessary counterpart-consumption. The existence of a dominant consumer society is widely known. But modern adoration for commodities is more than a want for better and more stuff. Not only does capitalism alienate people from their labor but also the products of that labor. When we make something, we are impressing part of ourselves into the material world. In the object we pour our sweat, effort, ideas, feeling, and being. Yet capitalism takes us from the fruit of our work- we don’t own what we make. Instead, we receive wages, which in turn buy commodities- the replacement for our stolen, objectified labor. Mass modern economies hide the relations of production from the common eye, so we do not see the relationship between labor and commodity hidden by the chaotic world encompassing scale of modern industry. Value is believed to be inherent in the commodity itself and not a result of the labor congealed in it. Commodities as value become personal power, social power, and a mark of value presentable to the larger society. We become what we own, we can choose who we are by buying back the lost objectification of our labor through commodities. The less commodities owned, the less you are, the less you can express yourself, the less you can be. Commodity fetishism runs deep. The desire for commodities innate in our economic system, in the base of society, directly supervenes on not only politics or religion but into our conceptions of the world around us, other people, and even morality and philosophy. While we might not realize it, the base mechanics of capitalism- the need for commodities to be used to make profit- makes it seem that this is one the base mechanics of human society as a whole. The unhoused, as non consumers, become social pariahs, outside the value system. This goes hand in hand with their status as non-producers. Commodities become the value we create in our labor. The unhoused neither produce value nor own value in the eyes of capital. Property is the highest form of social power and ownership-based value. To have privacy, a place to call your own, is to have a false objective self in the physical and social world. Commodities start to gain power over us, the ability to “own” us as the physical realization of self through labor. Those who lack commodities are the ones cast aside by society and only helped again if they work to create and own more. Capitalism and its unending want for more stuff makes ownership of commodities a key part of day to day life. By being unable or limited to join this system of commodity fetishism, the unhoused appear to stand separate from the rest of capitalist society. They are the ones who force society to look reality in the eye and listen- “look what you have done.”

Capitalism’s influence on the material base on society leads to an influence in the ideological base- in the core evaluations and appreciations of humanity, the purpose of human life, and the value of human life. Because current society revolves around the creation of surplus-value through labor and the exchange of wages for commodities, dominant ideas about people revolve around these same poles. This is not the immediate, interpersonal feelings one might have or not have about the homelessness. This ideological base is the subconscious building block of beliefs about people that guides larger ideas about the world and our place in it, leading to real-world opinions and justifications that play back into the capitalist system. Understanding where attitudes about this issue stem from allows us to undermine these infiltrations. By realizing where capitalism thwarts ideas towards inequality and cruelty, we can build new ideas of equity, compassion, and humanity that will help us grow towards a new society.

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