Is the Economic Crisis Over? | A Critique of Crisis Theory
Certainly here Harvey has invoked an externality to the capital-labour relation: the unemployed are not involved in the value-production process but the existence of structural unemployment does play a functional role for the production of surplus value. Harvey uses this, however, as a way into what is arguably a separate discussion of the extent to which the course of capitalist development requires the co-option into its orbit of non-capitalist systems of social relations and, as part of this process, the seizure and theft of sources of value within such systems that then act as a catalyst for the capital accumulation process itself. This is what Marx called ‘primitive accumulation’ which he understood to be the ‘original sin’ of the capitalist mode of production as it seized, through force, theft and coercion, land and labour which could then be exploited in capitalist production to create surplus value. Marx was concerned to explain how sufficient capital was accumulated to establish a bourgeoisie that could then proletarianise the surplus rural population in early modern Europe, before the full development of the capitalist system of accumulation. A recent example of this can be found in such a transition into capitalist production (in conditions that none of the classical Marxists could have anticipated): the restoration of capitalism in the former Soviet Union and the pillaging and destruction of the formerly bureaucratically socialised property systems this involved in order to re-establish a system based on capitalist social and property relations.
of the capitalist process with ..
Mises' distinctionbetween a modern economy and Crusoe's, and why the economic calculationargument applies only to the former, again shows that Mises hasunderlying assumptions in spite of his stricturesagainst them.
Granted,the socialist economy would suffer due to the impossibility ofeconomic calculation; but how, on his own theory, could Misesknow that this difficulty to so severe that society would collapse?
and consumers of economic theory are not living men ..
For example, in , Mises tells us that:
The impracticality of measurement is not due to thelack of technical methods for the establishment of measure.
The Seven Deadly Fallacies of Bad Economics - …
In Harvey’s usage, ‘accumulation by dispossession’ describes a much broader range of predatory actions – far beyond the initial, more limited remit Marx had established for the concept of ‘primitive accumulation’ – that are found in the contemporary capitalist accumulation process. For example these include:
The Seven Deadly Fallacies of Bad Economics
The collapse of Communism has led Austrians to loudly proclaimthat "Mises was right." Yes, he was right that socialismwas a terrible economic system - and only the collapse of Communismhas shown us how bad it really was.
of capitalism, pushing the theory in a ..
There are other valid arguments against socialism; indeed, "Nojudicious man can fail to conclude from the evidence of theseconsiderations that in the market economy the productivity oflabor is incomparable higher than under socialism." However, Mises insists, this does not decide the issue:
If no other objections could be raised to the socialistplans than that socialism will lower the standard of living ofall or at least of the immense majority, it would be impossiblefor praxeology to pronounce a final judgment.
Which of the following best illustrates the fallacy of composition
If, for example, a producer of a piece of softwarehas to pay $1 to produce an additional copy of his program, butfacing a downward-sloping demand curve sets the profit-maximizingprice at $10, then there are unrealized gains to trade.