Unemployment and the Maturity of Capitalism

Unemployment and the Maturity of Capitalism
Fix, Blair. (2023). Economics from the Top Down. 6 May. pp. 1-11. (Article - Magazine; English).

Full Text Available As:

Preview	Cover Image (Full Text) 20230506_fix_unemployment_and_the_maturity_of_capitalism_front.jpg Download (534kB) | Preview
Preview	PDF 20230506_fix_unemployment_and_the_maturity_of_capitalism.pdf Download (1MB) | Preview
	HTML (Full Text) 20230506_fix_unemployment_and_the_maturity_of_capitalism.htm Download (149kB)
	Other (Full Text -- EPUB) 20230506_fix_unemployment_and_the_maturity_of_capitalism.epub Download (2MB)

Alternative Locations

https://economicsfromthetopdown.com/2023/05/06/unemployment-and-the-maturity-of-capitalism/, https://www.econstor.eu/handle/10419/270869

Abstract or Brief Description

In my last post, I discussed the underwhelming relation between interest rates and unemployment. In this post, I’ll look at a better way to connect unemployment to interest income.

It turns out that if you take US net interest and divide it by corporate profit, you get a ratio that closely tracks unemployment. It’s a measure that Jonathan Nitzan and Shimshon Bichler call the ‘maturity of capitalism’.

If this language sounds odd, that’s because Nitzan and Bichler see capitalism differently than your average economists. So before we get to the data, let’s review some of their thinking.

Language

English

Publication Type

Article - Magazine

Keywords

income distribution interest rate maturity of capitalism profit sabotage unemployment

Subject

BN International & Global
BN Macro
BN Power
BN Region - North America
BN Business Enterprise
BN Capital & Accumulation
BN Crisis
BN Distribution
BN Growth

Depositing User

Jonathan Nitzan

Date Deposited

06 May 2023 23:21

Last Modified

11 May 2023 13:28

URL:

https://bnarchives.yorku.ca/id/eprint/782

Actions (login required)

View Item