Multiple Theories of Crisis

[BobKKKindle$]

Lately I have begun to feel that within Marx's works there seem to be multiple theories of crisis and I would appreciate your opinion on this matter. In the past I have always considered Marx's theory of crisis to be based on declines in the rate of profit over time which derives primarily from increases in the organic composition of Capital and results in the development of countervailing trends.

However, fairly recently I have read several books which suggests that the basis of crisis theory and the primary contradiction of Capitalism is overproduction, which arises as a result of capitalist production itself because the proletariat as a collective entity commands insufficient income to purchase all the goods that have been produced, because of the accumulation of Surplus value.

Should these be considered seperate theories and, if so, which one can be considered Marx's 'true' crisis theory? I can see how they are connected - in particular, overproduction could become an ever greater problem over time as a result of increases in absolute+relative surplus value and immiseration (all of which are documented countervailing trends to the first crisis theory) but if anyone can clear this up I would appreciate it.

[ComradeRed]

First off, I'm sorry if there is poor spelling, I'm recompiling my kernel right now and it's causing my system to lag...so it's not my fault!

Probably the source of confusion comes up because Marx never used the term "Theory of Crisis"!

So whenever anyone identifies Marx's "Theory of Crisis", they're usually inventing a label for either the law of accumulation or the tendency for the rate of profits to fall...these are the two that you identified I think.

The law of accumulation explains a great deal, and Marx even at one point in volume I of Das Kapital says that from it the "expropriators are expropriated". I would assert that the most critical element of the first volume is the Law of Accumulation, regardless of whether the labor theory of value is "correct" or not the Law of Accumulation is more fundamental and paramount to Marxist economics and ought to be preserved if one is trying to "reformulate" Marxist Economics...but that's irrelevant.

One could interpret this as a "theory of crisis" without a doubt based on some of the later chapters of the first volume.

The tendency for the rate of profits to fall over time needs no explanation as for why it may be considered a crisis theory.

There would not be, in this sense, only "one" theory of crisis that Marx gives but several. Since Marx never used the term, the user has to specify what exactly he or she means.

As a vague generality, it could just mean that capitalism will end. But as a specific theory, it's ambiguous and a lot of bourgeois apologists use its ambiguity rhetorically and in my opinion handle it with sophistry.

[luxemburg89]

Have you read John Maynard Keynes? That might add greater depth to this. He was the world's leading economic theorist at one point, and particularly at the time of great depression. He was friends with the philosopher Wittgenstein and paid frequent visits to the Soviet Union (I cannot verify the number, although the 'oh so un-biased' wikipedia may). J.K. Galbraith's assessment of the Great Depression could also help this debate. On the other hand I could be completely wrong lol :D

[Die Neue Zeit]

Originally posted by [email protected] 12, 2007 05:43 pm
The law of accumulation explains a great deal, and Marx even at one point in volume I of Das Kapital says that from it the "expropriators are expropriated". I would assert that the most critical element of the first volume is the Law of Accumulation, regardless of whether the labor theory of value is "correct" or not the Law of Accumulation is more fundamental and paramount to Marxist economics and ought to be preserved if one is trying to "reformulate" Marxist Economics...but that's irrelevant.
Indeed. Without it, we wouldn't have the newer, separate theories of the monopoly-capitalist paradigm and its political superstructure, imperialism.

Hehehe, if you read many of the Marxist articles on imperialism, there is so much talk now about that fifth criterium - as if it were more special than the first four. :rolleyes: