Something from Worker's Power on the U.S. budget........

[socialist_n_TN]

9. Overall profits are high, BUT.......

the RATE of profit is down (high point hit in '97 I believe). Which is why there's no investment in jobs OR in the productive sector of the economy. As I've said before, profit is like water in that it will find it's own level. But whereas water will find the lowest level to pool, profit finds the highest, which is why most of this surplus value goes into financial instruments or fictitious capital. Right now these financial investments pay off the with the highest rate of return for investors.

Michael Roberts is a blogger and Marxist economist that I follow regularly. He's got the easiest and most understandable explanations of economic matters from a Marxist perspective and explains the ins and outs of capitalist investment patterns more completely than I ever could, while still making it readable.

Thanks again limp.