Crises of Capitalism

July 11, 2010

For those who recoil, Marx was the first to take note of the propensity of capitalism towards instability. By contrast, neoclassical economics, which has dominated policymaking in advanced economies, posits that economies have a propensity to equilibrium, and that equilibrium is???full employment! Marxists also look at long term trends in corporate profitability, and because Marxists use that as an important framework, it seems to be verboten as a line of inquiry in other schools of economics. Weird.