Specters haunt capitalist globalization—the specters of balkanization and multiculturalism. Although this is not the subject of Nationalism, Labour and Ethnicity 1870–1939, it provides the historical context in which the project took shape. If the ideology of market capitalism was conceived in universalist terms, so were most of the socialist responses. For this reason, Austro-Marxist Otto Bauer's early twentieth-century writings on nationalism stand out as a fascinating precursor to contemporary expositions of multiculturalism.