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Marxian debates on the falling rate of profit

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Author Info
Freeman, Alan

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Abstract

The purpose of this paper is to examine the discussion among marxists about the rate of profit. This is done by the method of symptomatic reading, hence in a different way from what has become standard. Beginning from the fact that Marx and his critics draw diametrically opposite conclusions from the same premises – continuously rising productivity as a defining element of accumulation – I enquire into the presuppositions and necessary conclusions of the two opposed interpretations in order to lay bare the logical world-view which underlies them. I show that the opposed conclusions which are drawn by scholars from the two main paradigms arise not from errors of logic but from their opposed value concepts. My aim is, without presupposing which is right, to investigate what each concept actually is. This paper is non-mathematical but contains many numerical examples and a detailed textual exigesis. It is a good starting point for the new student of temporal approaches to value and their difference from the simultaneist (equilibrium) standpoint. It contains a more or less complete non-mathematical exposition of the temporal calculation of the profit rate, and demonstrates that the simultaneist approach leads to the creation of value without labour.

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File URL: http://mpra.ub.uni-muenchen.de/2588/
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Publisher Info
Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 2588.

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Date of creation: 26 Jun 2000
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Handle: RePEc:pra:mprapa:2588

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Related research
Keywords: Value TSSI temporalism rate of profit Marx MELT Okishio

Find related papers by JEL classification:
E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
B40 - Schools of Economic Thought and Methodology - - Economic Methodology - - - General
B14 - Schools of Economic Thought and Methodology - - History of Economic Thought through 1925 - - - Socialist; Marxist
B12 - Schools of Economic Thought and Methodology - - History of Economic Thought through 1925 - - - Classical (includes Adam Smith)
B00 - Schools of Economic Thought and Methodology - - General - - - General
B24 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Socialist; Marxist; Scraffian
B51 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - Socialist; Marxian; Sraffian
B50 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - General

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