Artikel

The Mismatch Thesis. Fiction and Reality in the Accumulation of Capital

Political economists, both mainstream and Marxist, find it difficult to reconcile the «real» and «financial» appearances of capital. The conventional view is that «real» capital is an objective productive entity; that «finance» merely reflects this reality; and that, unfortunately, the reflection is often inaccurate, causing the two to «mismatch». This convention, we argue, is baseless if not fraudulent. First, although economists know full well that «real» capital, comprising different capital goods, cannot have a unique objective quantity – they measure this pseudo quantity anyway, arbitrarily. Second, when they realize that their arbitrary measure of «real» capital differs greatly from the corresponding magnitude of finance, they blame the deviation on invisible fluctuations in intangible capital, investor irrationality and market imperfections. And third, they insist that «real» accumulation drives «financial» accumulation, even though their own measures show that the two processes move in opposite directions!

Language
Englisch

Bibliographic citation
Journal: Revista de Estudios Globales. Análisis Histórico Y Cambio Social ; Volume: 3 ; Year: 2023 ; Issue: 5 ; Pages: 13-40 ; Murcia: Universidad de Murcia

Classification
Wirtschaft
Measurement and Data on National Income and Product Accounts and Wealth; Environmental Accounts
General Aggregative Models: Neoclassical
History of Economic Thought through 1925: Socialist; Marxist
History of Economic Thought since 1925: Socialist; Marxist; Sraffian
Subject
capital accumulation
finance
Marxism
measurement
Neoclassical economics
real-nominal duality
Tobin's Q

Event
Geistige Schöpfung
(who)
Bichler, Shimshon
Nitzan, Jonathan
Event
Veröffentlichung
(who)
Universidad de Murcia
(where)
Murcia
(when)
2023

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Artikel

Associated

  • Bichler, Shimshon
  • Nitzan, Jonathan
  • Universidad de Murcia

Time of origin

  • 2023

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