Robert Mckee is right. Depressions occur when M-C-M' capital accumulation process becomes dysfunctional. When that happens, money escapes to the M-M' capital accumulation process, bubbles occur, debts become unpayable, so on so forth since while M-C-M' (profit) is about generating wealth, M-M' (rent) is about redistributing wealth. In any economy M-C-M' and M-M' processes operate simultaneously, because without one the other cannot exist. But when M-M' becomes the dominant process of capital accumulation because M-C-M' is not functional anymore, sooner or later we are in trouble.
On another note, I am of the opinion that this is the terminal crisis of the capitalist system, because I fail to imagine what would make the M-C-M' process functional again under current social arrangements. Another system will replace it, for better or worse. Best, Sabri _______________________________________________ pen-l mailing list [email protected] https://lists.csuchico.edu/mailman/listinfo/pen-l
