the profit rate & recession by Fred B. Moseley
-clip- The main point of disagreement seems to be - whether or not the decline of investment spending that caused the recession was itself caused by the decline in the rate of profit since 1997. I argue yes and you argue no. You argue that business investment decisions are not determined by short-run cyclical fluctuations in the rate of profit, but are instead determined by the long-run trend in the rate of profit, and also by the capacity utilization rate. ^^^^^^^^ CB: Fred, Hope your child is better. What if the decline in the rate of profit is due to failure to realize through sale of commodities, failure to complete fully the C-M' phase of M-C-M' ?
