Rakesh, please don't try to classify others on the list. Let Jim speak for himself as to whether he is a social democrat or not, if he chooses to do so.
As to untangling causes, it is hard to say. I recall that the CEO of Ford wondered how the industry could deal with overcapacity -- this was some time ago. That insight could suggest that he forsaw underconsumption, lower profits, this curtailing investment. Ultimately, I believe, that Marx emphasized profits as the final arbiter, but profits can be expected profits, not realized profits. That makes identification very difficult. Fred's approach of looking at profits makes a great deal of sense when looking at long swings, but in the short run -- as to what causes a particular downturn -- identification is still a problem. -- Michael Perelman Economics Department California State University Chico, CA 95929 Tel. 530-898-5321 E-Mail [EMAIL PROTECTED]
