profit rate falling!

[Barbara Laurence]

>From Jim O'Connor:
Doug, if you calculate a profit rate based on a marx method, including
circulating capital with fixed capital, especially wages as money form of
variable capital --
1. Assuming that C/V has risen and S/V is constant, you might get a falling
p' in the late 1980s - 1996, too, because this is the era of downsizing,
outsourcing, etc., etc.
2. But S/V has most definitely not been constant , but also rising,
offsetting the rise in C/V (if indeed there has been such a rise).
3. All of which must be adjusted for degree of capacity utilization, as on
the margin, at a certain point, extra production/sales creates lots more
extra realized profits.
4. To my ancient knowledge, Shane Madge was the last marx economist to make
such caluclations, in his PhD thesis written sometime in late antiquity.
Jim O'Connor