[lbo-talk] Re: wotsit madder

Michael Dawson -PSU mdawson at pdx.edu
Fri Mar 5 10:27:13 PST 2004


Paul:

One big
> CVT: at some point when the profit rate got too low, a depression would
> ensue and the price of capital would fall enough to start the cycle all
> over again.

Jeez Louise! This is discredited bourgeois fiction from 1929. I ask again, have you read Keynes? Heard of the Great Depression? Figured out how that ended (hint: it wasn't through market self-correction)?

Meanwhile, profit rates don't matter to anybody but dogmatic Marxists. What capitalists care about is cash flow, the rate at which money and wealth flows into their portfolios. Every statistic on the planet documents that this is not a problem. Never really has been, but it certainly isn't now.

There is no shortage of investable surplus wealth. The body is buried elsewhere.



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