Jerry was pessimistic about employment absorption in actual capitalism in
[OPE-L: 3320 and next message on this issue. I think facts support this
point of Jerry: Spain, by example, has more than 200f unemployment
during many years. In industrial countries unemployment in 90's is more
important than in 50's, 60's and 70's. In poor countries unemployment
seems not so high. In Mexico is 5.5% this year. Nevertheless unemployment
is quite different in both two kind of countries: In poor countries
Industrial Reserve Army (IRA) is much bigger than unemployment because
millions of workers are precarious workers that would switch to better
jobs if they could. Some times such precarious workers are called
subeployees and in Mexico a figure of 30 0.000000or IRA maybe is good proxi for
it.
The explanation for this is:
1. The rate of profit limits the rate of accumulation of capital.
2. The rate of accumulation of capital and the behavior of organic
composition of capital determine the growth of employment.
3. There are evidence of falling rate of profit and this is because
rising organic composition of capital (Dumenil et al) and because the
rising of unproductive labor (Moseley).
Un saludo
Alejandro Valle Baeza