Re: [OPE-L] Marx on the general rate of profit/rate of interest: a translation error

From: Rakesh Bhandari (bhandari@BERKELEY.EDU)
Date: Tue Oct 30 2007 - 18:49:59 EDT


Paul,
I must say that I am not following your explanation of what is frustrating
even in this day age of unleashed capital flows and shareholder value the
tendency towards an equal profit rate.
I don't get the point about firm death either. Wouldn't there be some
tendency for all firms which within a branch are not achieving average
profitability to die? Why would that disrupt the tendency to the equal
profit rate?
I am distracted, and I am asking you to start the argument from scratch. I
apologize. I know for years you have said that Marx had no need to
transform (just as for years Gil assailed Marx's assumption of price value
equivalence, these two points have been defining criticisms for OPE-L, so
I want to understand what you are saying because I just don't get the
logic of these defining criticisms). So if possible I would just like a
post which explains why. Random fluctuations around value are no less
likely than random fluctuations around price of production?
Sorry to take the discussion back so far.
Rakesh


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