At the outbreak of
World War II, in 1939, the International Secretariat was moved to New York City. The resident International Executive Committee failed to meet, largely because of a struggle in the
U.S. Socialist Workers Party (SWP) between Trotsky's supporters and the tendency of
Max Shachtman,
Martin Abern and
James Burnham. The secretariat was composed of those committee members who happened to be in the city, most of whom were co-thinkers of Shachtman. The disagreement centred on the
Shachtmanites' disagreements with the SWP's internal policy, and over the FI's unconditional defence of the USSR. Trotsky opened a public debate with Shachtman and Burnham and developed his positions in a series of polemics written in 1939–1940 and later collected in
In Defense of Marxism. Shachtman and Burnham's tendency resigned from the International in early 1940, alongside almost 40% of the SWP's members, many of whom became founder members of the
Workers Party.
Emergency conference In May 1940, an emergency conference of the International met at a secret location "somewhere in the Western Hemisphere". It adopted a manifesto drafted by Trotsky shortly before his murder and a range of policies on the work of the International, including one calling for the reunification of the then-divided Fourth Internationalist groups in Britain. Secretariat members who had supported Shachtman were expelled by the emergency conference, with the support of Trotsky himself. While leader of the SWP
James P. Cannon later said that he did not believe the split to be definitive and final, the two groups did not reunite. Contact was steady, if irregular, between the SWP and the British Trotskyists, with the result that the Americans exerted what influence they had to encourage the
Workers' International League into the International through a fusion with the
Revolutionary Socialist League, a union that had been requested by the Emergency Conference. In 1942, a debate on the
national question in Europe opened up between the majority of the SWP and a movement led by Van Heijenoort,
Albert Goldman and
Felix Morrow. This minority anticipated that the Nazi dictatorship would be replaced with capitalism rather than by a socialist revolution, leading to the revival of
Stalinism and
social democracy. In December 1943, they criticised the SWP's view as underestimating the rising prestige of Stalinism and the opportunities for the capitalists to use democratic concessions. The SWP's central committee argued that democratic capitalism could not revive, resulting in either military dictatorship by the capitalists or a workers' revolution. It held that this would reinforce the need for building the Fourth International, and adhered rigidly to their interpretation of Trotsky's works.
European Conference The wartime debate about post-war perspectives was accelerated by the resolution of the February 1944 European Conference of the Fourth International. The conference appointed a new European Secretariat and elected
Michel Raptis, a Greek resident in France also known as Michel Pablo, the organisational secretary of its European Bureau. Raptis and other bureau members re-established contact between the Trotskyist parties. The European conference extended the lessons of a revolution then unfolding in Italy, and concluded that a revolutionary wave would cross Europe as the war ended. The SWP had a similar perspective. The British
Revolutionary Communist Party (RCP) disagreed and held that capitalism was not about to plunge into massive crisis but rather that an upturn in the economy was already underway. A group of leaders of the French
Internationalist Communist Party (PCI) around
Yvan Craipeau argued a similar position until they were expelled from the PCI in 1948.
International conference In April 1946 delegates from the principal European sections and a number of others attended a "Second International Congress". This set about rebuilding the International Secretariat of the Fourth International with Michel Raptis appointed Secretary and
Ernest Mandel, a Belgian, taking a leading role. Pablo and Mandel aimed to counter the opposition of the majorities inside the British Revolutionary Communist Party and French Internationalist Communist Party. Initially, they encouraged party members to vote out their leaderships. They supported
Gerry Healy's opposition in the RCP. In France, they backed elements, including
Pierre Frank and
Marcel Bleibtreu, opposed to the new leadership of the PCI albeit for differing reasons. The Stalinist occupation of Eastern Europe was the issue of prime concern, and it raised many problems of interpretation. At first, the International held that, while the
USSR was a
degenerated workers' state, the post-World War II East European states were still
bourgeois entities, because revolution from above was not possible, and capitalism persisted. Another issue that needed to be dealt with was the possibility that the economy would revive. This was initially denied by Mandel (who was quickly forced to revise his opinion, and later devoted his PhD dissertation to
late capitalism, analysing the unexpected "third age" of capitalist development). Mandel's perspective mirrored uncertainty at that time about the future viability and prospects of capitalism, not just among
all Trotskyist groups, but also among leading economists.
Paul Samuelson had envisaged in 1943 the probability of a "nightmarish combination of the worst features of inflation and
deflation", worrying that "there would be ushered in the greatest period of unemployment and industrial dislocation which any economy has ever faced".
Joseph Schumpeter for his part claimed that "[t]he general opinion seems to be that capitalist methods will be unequal to the task of reconstruction". He regarded it as "not open to doubt that the decay of capitalist society is very far advanced". == Second World Congress ==