(OPE-L) Re: 'Labor Market Dynamics Within Rival Macroeconomic Frameworks'

From: gerald_a_levy (gerald_a_levy@MSN.COM)
Date: Wed Dec 31 2003 - 08:53:12 EST


Hi Ian.

>  I'm working on things that may produce some hypotheses
> eventually, perhaps along the lines that there are theoretical bounds to
> the
> shares,  beyond which the system begins to break down, in terms of rising
> unemployment, higher probability of recessions etc.

We've seen many capitalist economies (in Latin America, Asia, etc.) in
recent decades where the unemployment rate has mushroomed and
recessions have been long-standing and persistent (and often out-of-synch
with the cycle in the advanced capitalist nations), but the system doesn't
"begin to break down."   Rather than breaking-down,  institututions
and relations become modified and transformed: e.g. the growth in mass
poverty has led to the creation of a petty commodity sector in which
millions are able to survive by undertaking non-waged labor. I guess
the question I'm asking is:  what really constitutes a theoretical 'bound'
to a  social system where the system itself has shown itself to be adaptable
to different conditions?

In solidarity, Jerry


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