Re: [OPE] Reply to Bendien on equilibrium and disequilibrium theory with reference to capitalism

From: Ian Wright <>
Date: Mon Sep 21 2009 - 19:44:43 EDT

> This tendency is interpreted by Ian Wright as the "homeostatic tendency" of
> the market production system, its intrinsic ability to achieve stability and
> constancy by itself, via price fluctuations. But in fact, at any time, there
> exists no equilibrium and homeostasis, among other things because in reality
> the equilibrium price is never reached, there is no evidence for it, it
> never obtains except as a momentary coincidence. The whole thing is
> therefore a counterfactual abstraction.

I think this is where you misunderstand the meaning of the law of
value. You infer that because "the equilibrium price is never reached"
it is "therefore a counterfactual abstraction". That's wrong.

The law of value is a "force" that factually (not counterfactually)
acts to push prices toward labor-values. Of course, market prices
never get to that equilibrium point. But this empirical fact doesn't
imply that the tendency to move toward equilibrium is not real.
Actually, this homeostatic tendency is an essential element that
control the trajectory of the economic system.

Unstable systems without homeostatic or stabilizing tendencies don't
last very long. They blow apart. You sound radical when you claim that
all talk of equilibrium has an apologetic intent. And that's not a
compliment! :)

ope mailing list
Received on Mon Sep 21 19:48:21 2009

This archive was generated by hypermail 2.1.8 : Wed Sep 30 2009 - 00:00:02 EDT