What is the real cause of crises? Is it major slumps in the rate of profit on investment in which capitalists fail to find a way to recover? Is it producing too much shit and automating or cutting wage so that workers can't even buy the shit they made? Could it be both at once? Does it matter which it is?
Profitability vs Overproduction
Adam Wright
Nicholas Scott
When you cut corners by outsorcing your jobs to sweatshops, automate all your manufacturing and oppose any meaningful tax reform, along with a living wage and increased interest rates, you have a recipe for a monumental clusterfuck.
Not that the rich give a shit about that. If it wasn't for classcucks' support for capitalism, we wouldn't be all down the shitter.
You can blame those boomers sacks of shit for being entitled cunts.
Luke Sanders
Presently, the way to keep rate of profit up is via financial majyyk.
Basically, you print extra fake money by giving people different kinds of debt. The crisis happens when the people that expect to be paid back realize they won't be.
It keeps everything afloat for a short while. Investors always assume the next economic cycle will leave them more than the one before.
According to the attached document, (which imo is just a mathematical way of expressing some of Marx's theories), eventually we'll reach the endpoint, where it'll only be down from there.
Fun part is, it'll involve stupid speculators thinking they reached the bottom of the dip and end up buying, making them lose more money as at that point, momentum is all downward.
Dominic Hill
The ultimate crisis will be when profits are too low to justify investment. Very good chance that it's triggered by a typical market crash, where the stock market is inflated so profits look high enough before crashing below sustainable levels and never recovering. The way it looks this time might be the one. If you think it's bad when we've got homeless people freezing to death on the streets outside warm buildings in major cities, just wait until the "but we won't make money if we let them in" mentality starts applying to everyone.
Jaxon Wood
Profiteering causes bubbles.
The expectation of a rising exchange value for something (profit when sold) increases demand for the thing, which then indeed makes the exchange value go up.
Nathan Hill
Kind of hoped I'd get more debate out of this. Where did all the theorists go?
Jack Parker
Communism is nothing but centralised capitalism, with the state being a single giant company that turns all its subjects into nothing more than a means to produce capital for the state. The state then pays its subjects what it believes they deserve. If people need to starve, lose all their autonomy, or lose their lives to keep the state afloat, than so be it. Nothing is more important than the state.
Communism exists as a movement and has been the sole identity of many countries.
Capitalisms modern meaning was invented by communists. Capitalism never existed as an ideology, No country has Identified as capitalist. Everything that isn't communist is called capitalist by communists. Humans and countries and companies have been accumulating capital since the stone age. Anyone can be accused of being capitalist. It is a meaningless term much like racism.
Dominic Turner
All I got out of that tbh fam. What are your thoughts on the falling rate of profit on investment though?
Xavier Clark
As I said before, the falling rate of profit can be negated by rent-seeking, which almost applies to the entire entertainment industry already. The problem is that eventually, this will lead to political instability, when you restrict access to the proceeds of production via a "subscription" because everybody hates landlords as it won't mask exploitation as well as commodity exchange.
At least I don't think with classical imperialism you can save the day for another fifty years. Countries like Brazil, India and China rapidly step up to the West which will force the West to export more capital to Africa and considering the ramifications of mass migration will be felt so much in combination with climate change way before capitalism hits absolute zero.
Juan Lewis
A low rate of profit is the product of well functioning unmonopolized markets and provides justification for the capitalist system, because there is no reason to take somebodys assets away from him if the amount of profit they provide doesnt justify the costs of seizing them.