[Marxism] Fwd: Labour’s share | Michael Roberts Blog

Louis Proyect lnp3 at panix.com
Sun Apr 30 06:03:35 MDT 2017

This is not new in Marxist economic theory.  Marx put it differently to 
the mainstream.  Investment under capitalism takes place for profit 
only, not to raise output or productivity as such.  If profit cannot be 
sufficiently raised through more labour hours (ie.e more workers and 
longer hours) or by intensifying efforts (speed and efficiency – time 
and motion), then the productivity of labour can only be increased by 
better technology.  So, in Marxist terms, the organic composition of 
capital (the amount of machinery and plant relative to the number of 
workers) will rise secularly.  Workers can fight to keep as much of the 
new value that they have created as part of their ‘compensation’ but 
capitalism will only invest for growth if that share does not rise so 
much that it causes profitability to decline.  So capitalist 
accumulation implies a falling share to labour over time or what Marx 
would call a rising rate of exploitation (or surplus value).

full: https://thenextrecession.wordpress.com/2017/04/30/labours-share/

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