Capitalism is first and foremost a historical social system.

To those critics who see capitalism as a system of inegalitarian, oppressive structures, its defenders have vaunted its ability to recognize and encourage what they call individual merit and asserted not only the desirability but also the inevitability of differential reward, of earned privilege, so to speak.

What is surprising is that their ideological opponents, the Marxists - the anti-liberals, the representatives of the oppressed working classes - believed in progress with at least as much passion as the liberals.

Truth as a cultural ideal has functioned as an opiate, perhaps the only serious opiate of the modern world. Karl Marx said that religion was the opiate of the masses. Raymond Aron retorted that Marxist ideas were in turn the opiate of the intellectuals. There is perspicacity in both these polemical thrusts. But is perspicacity truth? I wish to suggest that perhaps truth has been the real opiate, of both the masses and the intellectuals.

The way in which these two practices contain each other is that it has always been possible to use the one against the other: to use racism-sexism to prevent universalism from moving too far in the direction of egalitarianism; to use universalism to prevent racism-sexism from moving too far in the direction of a caste system that would inhibit the work force mobility so necessary for the capitalist accumulation process.

One by one, these governments came undone, and were forced into IMF tutelage (and national illegitimacy) by the careening oil prices, the debt imbroglio, and falling terms of trade. The last of these governments to fall were the Communist regimes of eastern Europe, which have now gone the way of other Third World countries. The second in the cascade of bifurcations is thus symbolized by 1989.

When systems come to be far from points of equilibrium, they reach bifurcation points, wherein multiple, as opposed to unique, solutions, to instability become possible.