Re: Of Coase

[Jurriaan Bendien <bendien@xxxxxxxxxxxx>]

I discussed the concept of the virtual company with a Marxist friend once,
and he had an idea. He said, you know how Marx sketches the capitalist
production process as the circuit:

M-C(MP+LP)-P-C'-M'
[_________________]

Well, he said, the virtual company is the same formula, but then it goes
like this, without the feedback (reinvestment) loop:

M-C(MP+LP)-P-C'-M', M-C(MP+LP)-P-C'-M', M-C(MP+LP)-P-C'-M',
M-C(MP+LP)-P-C'-M' ...

The idea being, that producers would assemble for a specific project, and
then move on.

Yes, I said, but there are production processes which need to be carried on
in a stable, continuous way for many production cycles. That doesn't matter,
he said.

Then I pointed out that in the glory days of Dutch mercantile capitalism,
the Dutch had discovered an even more simple circuit, namely M-M'. He didn't
have an immediate reply to that one.

Regards

J.