Re: Marxological query

[Jim Devine <jdevine03@xxxxxxxxx>]

On 5/22/06, michael a. lebowitz <mlebowit@xxxxxx> wrote:
> At 18:12 22/05/2006, you wrote:
> > >From Ch. 6 of Capital when Marx is listing the conditions for the sale of
> >labor power
> >
> >"The second essential condition to the owner of money finding labour-power
> >in the market as a commodity is this — that the labourer instead of being
> >in the position to sell commodities in which his labour is incorporated,
> >must be obliged to offer for sale as a commodity that very labour-power,
> >which exists only in his living self."
> >
> >i.e. People won't sell labor power if they can sell the goods actually
> >produced with their labor.
>
> Actually, there is a 3rd condition which is
> implicit--- the option of renting (or buying)
> means of production must not be available to the
> worker-- ie., capital has 'seized possession' of
> the process of production. Thus, the worker is
> 'obliged'. None of what follows, though, flows from what Marx said.
>          m

the third condition is met because of the limited discretionary income
of workers (and their inability to successfully diversify their
assets) and the economies of scale that mean that workers have to rent
a lot of capital. Workers' co-ops can be set up, allowing the pooling
of resources, but then there is a collective action problem (i.e.,
it's hard to get together). Usually workers' co-ops arise in taking
over existing assets (from labor union, etc. efforts) and call for
government subsidies (as with many 19th century socialist demands).
Even so, co-ops always seem to suffer from financing problems, perhaps
because of the biases of capitalist banks.

in an economic expansion, worker incomes rise, as do their savings, so
that some can enter the petty bourgeoisie. This adds an additional
reason -- new competition -- for high-employment profit squeezes,
which in turn encourage recessions. Of course, about 90 percent (?) of
new small businesses go broke in the first year. (what is the source
of this stat?)

the (mostly marginal) entry of workers into the capitalist class is
balanced by the exit of the weaker or fatter of the existing
capitalist class, so that even though the faces of the capitalists may
change, the structure of the class system remains.
--
Jim Devine / "These capitalists generally act harmoniously and in
concert, to fleece the people." -- Abraham Lincoln  (attributed)