The relevance of Marx’s theory of value and his ‘law of the tendency of the rate of profit to fall’ to the analysis of the financial crisis of 2007–8 and the ensuing global slump is affirmed. The hypertrophic growth of unproductive constant capital, including the wages of ‘socially necessary’ unproductive labour and tax revenues, is identified as an important manifestation of an historical-structural crisis of capitalism, alongside the increasing weight of fictitious capital and the proliferation of fictitious profits in the (...) lead-up to the financial crisis. These phenomena have obscured the deepest roots of the global slump in the long-term profitability problems of productive capital – that is, in a crisis of surplus-value production. With these considerations taken into account, a better empirical assessment of trends in the composition of capital becomes possible, and with it a more accurate understanding of the impact of the ongoing displacement of living labour from production on the average rate of profit and the future of US and global capitalism. (shrink)

The publication last year in New Left Review of Robert Brenner's book-length essay ‘Uneven Development and the Long Downturn: The Advanced Capitalist Economies from Boom to Stagnation, 1950-1998’ has already provoked more discussion and controversy on the socialist Left than any other political-economic analysis in recent memory. Predictably, it has also elicited a number of highly critical response from proponents of Marx's theories of labour value and economic crisis. Amongst other things, Brenner has been charged with a one-sided preoccupation with (...) capital-to-capital relations at the expense of the capital-wage labour relation, with misinterpreting and dismissing Marx's law of the falling tendency of the rate of profit, and with ignoring Marx’s value categories entirely. (shrink)

This article attempts to assess Mario Bunge’s important but widely neglected criticisms of dialectics. It begins by providing a contextualized interpretation of Friedrich Engels’s metaphysics of the dialectics of nature before embarking on a detailed discussion of Leon Trotsky’s and contemporary “dialectical” scientists’ views on materialist dialectics. It argues that while some of Bunge’s criticisms are eminently sensible, the principles underlying the works of dialectical scientists are compatible with Bunge’s emergentist and systemic approach and can shed light on such issues (...) as the levels of organization, the diachronic and synchronic aspects of emergence, and the individualism-holism-systemism trilemma. This article also submits that dialectics is best interpreted as a guideline for a philosophy of change instead of a magical wand that liberates the investigator from study of facts. Understood as something that serves heuristic purposes, dialectics can be sensibly utilized by scientists to shore up or refine their methodological principles and thereby to facilitate empirical research. (shrink)

This article attempts to assess Mario Bunge’s important but widely neglected criticisms of dialectics. It begins by providing a contextualized interpretation of Friedrich Engels’s metaphysics of the dialectics of nature before embarking on a detailed discussion of Leon Trotsky’s and contemporary “dialectical” scientists’ views on materialist dialectics. It argues that while some of Bunge’s criticisms are eminently sensible, the principles underlying the works of dialectical scientists are compatible with Bunge’s emergentist and systemic approach and can shed light on such issues (...) as the levels of organization, the diachronic and synchronic aspects of emergence, and the individualism-holism-systemism trilemma. This article also submits that dialectics is best interpreted as a guideline for a philosophy of change instead of a magical wand that liberates the investigator from study of facts. Understood as something that serves heuristic purposes, dialectics can be sensibly utilized by scientists to shore up or refine their methodological principles and thereby to facilitate empirical research. (shrink)