Also important to note that the TRPF is largely about new machinery. Competition involves increasing technology, which raises the mass of commodities and usually the mass of profits, but lowers the rate of profit. This is only fought by further raising the mass of profits via expansion, which is why we get imperialism as capitalism grows.
Also important to note that the TRPF is largely about new machinery. Competition involves increasing technology, which raises the mass of commodities and usually the mass of profits, but lowers the rate of profit. This is only fought by further raising the mass of profits via expansion, which is why we get imperialism as capitalism grows.
Wish I could pin comments. Gonna add to the post body
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Capitalism begins to eat itself like a snake eating its own tail
Easy solution: eat the rich.
Easy solution: just make products for owners of other such companies
Capital volume 2 goes over why this can't solve the problem, specifically the sections on departments 1 and 2 (producing means of production and means of consumption).
I believe that the "falling rate of profit" is actually a real phenomenon, but it is not only caused by workers not being able to afford stuff.
It's also partially caused by other companies learning to produce the same products, which drives up competition, reduces monopolies and therefore reduces profits. Like consider medicine.
When you develop a new medicine, the first 20 years you have a patent right and therefore nobody else can produce the stuff. So you can set arbitrary prices and as long as people pay for it, you profit. But after your patent runs out, every company can produce it, which leads to cheap generica, and the rate of profit reduces significantly.
You are correct yeah, it is more complex than the meme presents but I thought it was funny
other companies learning to produce the same products
Other companies in China.
Other companies in China cannot be bought and taken off the market.
The big question is: How are western profits going to be protected?
Why should Western profits be protected?
Because the billionaires who get them want that to continue.
Of course if they are willing to share then there is no need. But the world doesn't look like being run by sharing individuals.
Also your competition can poach those same outsourced workers it turns out.
Maybe in the long run, but corporate profits are sky high at present. Best believe there’s more juice they’re gonna squeeze from this rind.
Yeah but it doesn't matter anymore the inequality is already achieved.