From: Ian Wright (ian_paul_wright@HOTMAIL.COM)
Date: Mon Jun 02 2003 - 20:30:57 EDT
Hello Allin, >"Only individual capitals can have non-zero absolute profit". I >disagree. Profit is the difference between income and outlay or >costs. In my toy example the capitalists (in aggregate) had outlay >or costs of 50 (their wage bill) and income of 100. Of course, their >total _expenditure_ (including their purchases of luxuries produced >during the unpaid portion of the social working day) was 100, and >equal to their aggregate income. Ah, I understand now. This was the flaw. I was conflating changes in aggregate money holdings with profits. Therefore my previous post does not apply to the profit rate but applies to aggregate money holdings. I'll take your advice and read Kalecki on this. Thanks for pin-pointing the source of my confusion. Are there any particular works of Kalecki that you'd recommend? -Ian. _________________________________________________________________ Add photos to your messages with MSN 8. Get 2 months FREE*. http://join.msn.com/?page=features/featuredemail
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