tag:blogger.com,1999:blog-4056375833559530300.post5508233432058138547..comments2023-07-19T07:30:39.140-04:00Comments on Dialectics of Finance: Epilogue: The Meaning of “System” in Systemic RiskNasser Saberhttp://www.blogger.com/profile/15326426997935270604noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-4056375833559530300.post-76355498515414267882010-05-27T00:40:05.695-04:002010-05-27T00:40:05.695-04:00Tom,
You're right, there is. In fact, there a...Tom,<br /><br />You're right, there is. In fact, there are two factors at work. One is the influence of finance capital which, by definition, is the capital in circulation that has grown to a point that influences the working of productive or industrial capital. See a brief reference to it in the "driver of social change" on 1/25/10.<br /><br />The other is the well known "tendency of the rate of profit to fall." Google the phrase and you should find some explanation on the subject. My hope is to take the subject a bit further in Vols. 4 and 5 and SC.<br /><br />RgrdsNasser Saberhttps://www.blogger.com/profile/15326426997935270604noreply@blogger.comtag:blogger.com,1999:blog-4056375833559530300.post-53762599708120620272010-05-26T11:37:42.146-04:002010-05-26T11:37:42.146-04:00Your reasoning, that by its very action speculati...Your reasoning, that by its very action speculative capital based on arbitrage finally undermines its own basis by reducing price spreads, makes sense, but how about productive capital? Here I think some other mechanism must be at work.Thomas GERhttps://www.blogger.com/profile/10054538326537303738noreply@blogger.comtag:blogger.com,1999:blog-4056375833559530300.post-34571697923679596022010-05-21T16:52:26.686-04:002010-05-21T16:52:26.686-04:00Tom,
Yes and no. Yes because up to now I had not ...Tom,<br /><br />Yes and no. Yes because up to now I had not brought up the point so explicitly and emphatically; had kept to Vol. 4 no so much as a "surprise" but because I thought its elaboration needed more than was suited for a few pages in a blog.<br /><br />And no, in the sense it -- "it" being the falling rate of profit of capital -- is the necessary and logical conclusion of the dialectical analysis of the systemic risk. So while I fully understand what you mean by "only the financial side of the crisis" (although you attribute that approach to me!) as early as Vol.1, I pointed out that "systemic risk is not only a financial phenomenon". Witness my excursions into the worlds of art, music, social science, etc, all my way of saying that, under the existing social and historical conditions, the systemic rot manifests itself in finance but: i) the rot is multi-faceted and cannot reach into finance without having already contaminated all aspects of the social life (see, for example "what lies behind the descent of man" on 9/1/08); and ii) the cause of the rot is not in finance in the technical meaning of the word (meaning capital engaged in circulation) but in the realm of production.<br /><br />In Critique of Dialectical Reasoning,Sartre asks whether there is a "region of being where dialectics is the very form of existence"? The answer is yes. That region is the region of economic activity. In this region, therefore, there can be no "independent" and isolated facts or incidents. They are all related. That is what dialectics is "all about": defining the relation between part and whole. In that regard, everything in blog, with one exception of "A Short Break" is strictly about the systemic risk. <br /><br />In a blog, this relation is not immediately clear, no small thanks in part to lack of discipline on my part that leaves large temporal gaps. But in a book format, all this should be clear. You will have to let me know if it is when Vol. 4 comes out.<br /><br />RgrdsNasser Saberhttps://www.blogger.com/profile/15326426997935270604noreply@blogger.comtag:blogger.com,1999:blog-4056375833559530300.post-37522392066684430262010-05-21T04:19:53.253-04:002010-05-21T04:19:53.253-04:00Re: "material basis of this phenomenon"
...Re: "material basis of this phenomenon"<br /><br />Is this new? Up to now, I think, you only dealt with the financial side of the crisis.Thomas GERhttps://www.blogger.com/profile/10054538326537303738noreply@blogger.com