Capitalism requires a large pool of unemployed labour in order...

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    Capitalism requires a large pool of unemployed labour in order to depress wages and extract greater effort and labour hours from those retained in employment. This is what Marx termed the Industrial Reserve Army, an essential feature of capitalism (Progressive Production of a Relative surplus population or Industrial Reserve Army). I'm not sure what is being suggested in your post about social capital, if anything, but I have some simple questions that cannot be answered by reverting to any theory of steady state capitalism.

    1. Is strike action legislated against in a steady state economy? (Bearing in mind that the General Strike is prohibited under Australian law. Worker organisation is heavily legislated against as a threat to capitalist social relations)

    2. Are wages held steady in the steady state economy? What about surplus value and profits appropriated?

    3. Would the level of unemployment be held steady in the steady state economy, to prevent the breakout of wages?
    Last edited by tigmeister: 28/04/17
 
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