At 10:44 AM 2/3/99 -0500, Louis Proyect quoted: >Why have profits started to fall? As Marx explained, capitalists cannot go >on increasing profits because of an inherent contradiction in the >capitalist mode of production. Profits come from the surplus value >extracted from the labour power of those employed. The surplus comes about >because the prices of goods and services sold by the capitalists exceed the >wages paid to the workforce for creating these products. I think these folks forgot the old Rosa Luxemburg who argued that capitalism can sustain its profit rate as long as it has a room for expansion into and excahnge with the "underdeveloped" world. From that point of view, economic decline in the periphery is good news in the capitalist core. Regards, Wojtek
