Re: [OPE] devaluation and revaluation of variable capital

Date: Sat Feb 09 2008 - 08:52:30 EST

> Michael Perelman said: "I have mentioned this idea 
> several times on the list, but Jerry seems to be the only 
> one who expressed any > sympathy for it. I also adopted 
> the same idea, before I read  Michael's version of it, 
> because I compared Marx's concept with how depreciation values 
> are empirically established by business, by taxmen, and by 
> social accountants.

Hi Jurriaan:

And that makes three. It makes sense that we would all agree on this point  since there is something uniting all three of us here: we all came to this conclusion largely as a consequence of empirical/historical research and an examination of case/industry studies. Michael, of course, has done a lot of research on topics in economic history (especially relevant here is his study of the "cotton crisis"), an area of concentration of mine has been industrial organization and my (unfinished) dissertation was on technical change in the auto industry, and you also been influenced by the empirical research which you have done (including on firm accounting practices and national income accounting) over the years. It was that research and a familiarity with the relevant literature on different concrete topics - all related to technical change  - which allowed us to recognize more clearly the importance 
in practise of moral depreciation and the devaluation of elements of constant capital that often occurs with the diffusion of new, more advanced process technologies.

In solidarity, Jerry
ope mailing list

This archive was generated by hypermail 2.1.5 : Fri Feb 29 2008 - 00:00:03 EST