It’s a not so funny old world

We wait to see what misery the Greek parliament agrees to inflict on its people now that its prime minister Papandreou has been forced to backtrack on his referendum vote designed to force the electorate to back the austerity package – or else.   It’s not so funny to realise that just about the only peopleContinue reading “It’s a not so funny old world”

The debate on the rate of profit (yet again)

Did the US rate of profit trend upwards from 1982 and when did it peak?  The debate/argument continues among Marxist economists.  And behind this debate about the facts is the analysis.  If the rate of profit did rise from 1982 onwards, how can Marx’s law of the tendency of the rate of profit to fallContinue reading “The debate on the rate of profit (yet again)”

Riccardo Bellofiore, Steve Keen and the delusions of debt

There’s been a bit of a gap since my last post as I have been away.  However, I got back to London in time to take in two interesting meetings.  One was called the European against Austerity conference ( where several well-known left economists and trade unionists spoke on an alternative left strategy on theContinue reading “Riccardo Bellofiore, Steve Keen and the delusions of debt”

It feels like a depression

Economic growth in the major capitalist economies has slowed sharply.  The recovery from the Great Recession of 2008-9 that began in mid-2009 appears to be faltering.  In previous posts (Double dips, deficits and debt, 24 August 2011; US heading into recession again?, 15 August 2011), I have argued that a double-dip recession was unlikely.  ByContinue reading “It feels like a depression”

More on Marx

After Nouriel Roubini (see my post, Karl Marx was right (partly), 16 August 2011), more mainstream economists have started to refer to Marx in an explanation of what happened to capitalism before, during and after the Great Recession.  Most of the new references have been accompanied by criticisms that generally dismiss Marx’s theories and lawsContinue reading “More on Marx”

The rate of profit (again!)

At the risk of boring my subscribers, I’ve got to return to the issue of the rate of profit as the most important indicator and cause of capitalist crisis.  I do so because one of the readers of this blog (see Cameron’s comment, 25 August 2011) brought to my attention a recent paper on newContinue reading “The rate of profit (again!)”

Double dips, deficits and debt

I recently did a post that argued the US economy was not yet in recession (see US heading into recession again?, 15 August 2011).  I was criticised in this blog for being too optimistic and not recognising that the US economy had already slipped into a ‘double-dip’ recession.  And there has been a chorus ofContinue reading “Double dips, deficits and debt”

The end game for the euro?

The next chapter in the evolving global economic crisis has been reached.  And it could be the final chapter for the euro.    Bailing out the banks and paying for the Great Recession has required a massive intervention by the state to save capitalism.  As a result, there has been a huge increase in government spending. Continue reading “The end game for the euro?”

Karl Marx was right (partly) – Roubini

The great guru of the financial collapse, economist Nouriel Roubini, who is famously acclaimed as having forecast the crisis of 2008-9 (see my paper, The causes of the Great Recession), has now pronounced that Karl Marx was ‘partly right’ after all about capitalism ( Roubini put it this way.  “Karl Marx, it seems, was partlyContinue reading “Karl Marx was right (partly) – Roubini”

Debt and deficits do matter

Global financial markets are in panic.  Stock prices have fallen by as much 10% in a couple of weeks.  The big institutions have rushed to put their money and that of their clients into ‘safe-haven’ assets.  The Swiss franc has appreciated against other currencies by as much 15% in a month, forcing the Swiss NationalContinue reading “Debt and deficits do matter”