"Roots of the Economic Crisis" Andrew Kliman 3 of 3.mov

[TheCommunard]

I found this very interesting. I don't think I will have time to go through all the videos from the conference today, but could you possibly outline for 'dummies' what he is saying the cause is? I am not quite sure I got it.

[brendanmcooney]

@TheCommunard. Kliman's theory of the crisis is the same as Marx: that in the course of pursuing greater and greater levels of profit, capitalism destroys its own ability to produce profit. It is called "the tendency of the rate of profit to fall." I have two videos that discuss it: 1. The Falling Rate of Profit and 2. Crisis! (The Overaccumulation of Capital).

[TheCommunard]

@brendanmcooney Thanks. So what happened in 2008 onwards is profit falling after being built up on debt?

[TheCommunard]

@TheCommunard I think I understand now, I watched your other videos. Thanks

[brendanmcooney]

@TheCommunard The profit rate, Kliman argues, has been falling since the post-war boom of the 50's.

[TheCommunard]

@brendanmcooney I see, so the seeming growth and advancement of the economy is an illusion, is it just aesthetic and technological improvement which causes this? Perhaps it is the delusion that increase in technology means increase in profit.

[brendanmcooney]

@TheCommunard. Growth is happening. But the rate of growth (profit) per dollar invested is falling.