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Haven't gone through all the numbers in this report, yet. However, yes, productivity grew in 2009-- Regarding the overall trend-- in the period 1973-1995 the average annual increase in US manufacturing productivity was 2.7%; between 1995-2007 that rate jumps to 4.1% Overproduction is certainly what's at work here, but overproduction is not underconsumption. Overproduction is the overproduction of capital. The amplification of the productivity of labor means that greater use values are produced representing, overall, the same exchange value. Marx writes [vol 33 of the Collected Works, Economic Manuscripts] " The growth of the productive power of labor allows more commodities to be produced in the same labor time... It does not raise the exchange value of the commodity, but only their quantity.... it rather lessens the exchange value of the individucal commodity" However, the total exchange value of all commodities may increase if more labor is employed in conjunction with proportionately greater means of production or if the total labor time is increased. The bourgeoisie measure productivity with their wallets-- output per unit labor cost, not hours. What has occurred has several sources [and manifestations]: increased growth of the "fixed portion" of capital-- [distinguished by the initial outlay, value, that is recuperated over time and by small degrees] reduces annual returns on the capital advanced; this fixed capital, as well as all the commodities produced by it is subject to the constant threat and reality of devaluation by further increases in productivity [the semiconductor fabrication industry being one of the most acute examples of this]; and, to my mind the most important feature which sums it all up and puts a ribbon on it-- while the totality, the entirety of the fixed capital participates, is essential to the labor process, is essential to amplifying the productivity of labor and aggrandizing relative surplus value, only a portion, a small portion, of this fixed, advanced, capital investment participates in, and is recoverable through the valorisation process [valorisation meaning the accrual of value on top of value-- "value added" by the process of production itself]. Thus we have the contradiction at the core of capital, the conflict between labor and the conditions of labor, between the laborer and the owner of the means of production, between the labor process and the social, class, organization of that labor, impairing, inhibiting the expanded reproduction of capital itself. None of this has anything to do with underconsumption, except that consumption will reflect what is occurring in this primary exchange between wage-labor and capital. Yeah, they fear deflation all right. No accumulation, no capital. Without a constant magnification, capital cannot be capable, cannot reproduce itself which is nothing but the valorisation process. I'd say somebody just looked over the precipicel, dropped a stone and still hasn't heard it hit bottom. Anyway, Loren Goldner and I are working on a e-publication to appear, hopefully, soon and in the second issue I'll try to go a bit deeper into the impacts of "fixed capital." You read it here first. Feel free to use my ideas, as long as you give credit-- and speaking of giving credit-- credit to Michael Perelman for putting me on the scent, trackin' dog that I am. Thank you, Michael. ----- Original Message ----- From: "dan" <d.koech...@wanadoo.fr> To: "David Schanoes" <sartes...@earthlink.net> Sent: Monday, June 14, 2010 4:10 PM Subject: [Marxism] re : Productivity and Labor Costs > ====================================================================== > Rule #1: YOU MUST clip all extraneous text when replying to a message. > ====================================================================== > > > Hi Artesian, > > Productivity in the US is still on the increase in 2010, isn't it ? > > I had difficulty understanding the productivity figures you posted. > > And plant utilization ratios are still down, and unemployment is still > high, though I haven't got the figures. > > Ergo, the US economy (and World economy) is still faced with an > over-production/under-consumption problem. More use-values are being > created per hour of labour and less socially exchangeable value is being > produced per hour of labour. > > Capitalists are still trying to cheapen the cost of "socially necessary > average labour" and are running into contradictions as labour becomes > more productive. > > The economy is in the doldrums, and all the solutions to get it out of > there appear to bear the same stamp. Van Rumpy, of the EU, has today > talked about "greening" the EU economy, while Obama gave a speech about > the need to invest in more environmentally-friendly technology. In > Europe, Japan and the US, governments are trying to steer a course > between "stringent austerity measures" meant to reassure lenders, and an > even bigger fear of "deflation" if the working class is hit too hard, > too fast. Social unrest they can cope with, but they seem to really fear > stifling growth. > Interestingly, since last week, EU finance ministers seem suddenly to be > "backing off" from "the Greek brutal austerity scenario" and not just > because it is unpopular. There seems to be genuine concern about "lack > of investment" and re-assuring noises about "states being still able to > borrow, no problem, until we manage to get out of the crisis." These > contradictory signals are confusing. > > Can someone shed some light on these issues ? > > > > > > > ________________________________________________ > Send list submissions to: Marxism@lists.econ.utah.edu > Set your options at: > http://lists.econ.utah.edu/mailman/options/marxism/sartesian%40earthlink.net ________________________________________________ Send list submissions to: Marxism@lists.econ.utah.edu Set your options at: http://lists.econ.utah.edu/mailman/options/marxism/archive%40mail-archive.com
