Paul Mattick

Marx and Keynes

Source: Western Socialist, Boston, USA, November-December 1955; ranscribe!: b" A!am Buick#

$lassical econom", %&ose be'innin' is usuall" trace! to A!am Smit&, (oun! its best e)*ression an! also its en! in Davi! +icar!o# +icar!o, as Mar) %rote, ,ma!e t&e anta'onism o( class-interest, o( %a'es an! *ro(its, o( *ro(its an! rent, t&e startin'-*oint o( &is investi'ation, naivel" takin' t&is anta'onism (or a social la% o( nature# But b" t&is start t&e science o( bour'eois econom" &a! reac&e! t&e limits be"on! %&ic& it coul! not *ass,- (or a (urt&er critical !evelo*ment coul! lea! onl" to t&e reco'nition o( t&e contra!ictions an! limitations o( t&e ca*italist s"stem o( *ro!uction# B" !oin' %&at coul! no lon'er be !one b" bour'eois economists, Mar) (elt &imsel( to be t&e true &eir, an! t&e !estro"er as %ell, o( bour'eois econom"# &e (urt&er !evelo*ment o( economic t&eor" su**orte! Mar).s o*inion# &ou'& bour'eois econom" %as in!ee! unable to a!vance, it %as able to c&an'e its a**earance# $lassical economics &a! em*&asi/e! *ro!uction an! t&e s"stem as a %&ole# &eir (ollo%ers em*&asi/e! e)c&an'e an! in!ivi!ual enter*rise# Alt&ou'& t&ere arose no serious !oubt t&at t&e ca*italist s"stem is natural, reasonable, an! inalterable, "et t&e earl" con(i!ence o( bour'eois econom" %as slo%l" !estro"e! b" a 'ro%in' !iscre*anc" bet%een liberal t&eor" an! social realit"# &e increasin' economic !i((iculties %&ic& accom*anie! t&e accumulation o( ca*ital !evelo*e! an interest in t&e business c"cle, in t&e (actors t&at make (or *ros*erit", crisis an! !e*ression# &e neo-classical sc&ool, %&ose best-kno%n *ro*onent %as Al(re! Mars&all, attem*te! to trans(orm econom" into a *ractical science, t&at is, to (in! %a"s an! means to in(luence market movements an! to increase bot& t&e *ro(itabilit" o( ca*ital an! t&e 'eneral social %el(are# But t&e increasin' len't& an! violence o( !e*ressions soon c&an'e! a ne% o*timism into even !ee*er !es*air, an! t&e sterilit" o( bour'eois economics le! economists once more to embrace t&e less-embarrassin' securit" o( ,*ure t&eor"- an! t&e silence o( t&e aca!emies# 0n t&e mi!st o( t&e 1reat De*ression, bour'eois economic t&eor" %as su!!enl" raise! (rom t&e !ea! b" t&e ,!arin'- t&eories o( 2o&n Ma"nar! 3e"nes# 4is main %ork, The General Theory of Employment, Interest and Money, %as &aile! as a ,revolution- in economic t&ou'&t an! le! to t&e (ormation o( a sc&ool o( ,3e"nesian economics#- 5&ile *ersistent ,ort&o!o)- economists o**ose! t&is ne% sc&ool as ,socialistic- or ,illusionar",- so-calle! socialists attem*te! to blen! Mar) %it& 3e"nes, or rat&er, to acce*t 3e"nes. t&eories as t&e ,Mar)ism- o( our time# Mar).s sce*ticism %it& re'ar! to t&e (uture o( bour'eois econom" %as no% sai! to in!icate onl" &is inabilit" or un%illin'ness to critici/e t&e classicists constructively# 6( 3e"nes it %as sai! t&at &e ma!e real Al(re! Mars&all.s as*irations (or a re(orme! an! im*rove! ca*italism# &ese en!eavors, as %ell as t&e 'reat *o*ularit" o( t&e ,3e"nesians,- bot& 'enerall" an! in aca!emic circles, an! also t&eir insistence u*on t&e *ractical a**licabilit" o( t&eir economic reasonin' an! t&eir a**arent *olitical in(luence, make it bot& a!visable an! interestin' to investi'ate t&eir claims an! to revie% t&e %ork o( t&eir !ecease! master in t&e li'&t o( t&e actual !evelo*ment an! t&e reco'ni/able tren! o( *resent-!a" societ"# &is invites a com*arison o( t&e 3e"nesian %it& t&e Mar)ian *oint o( vie%#

II
Until t&e *ublication o( t&e General Theory, 3e"nes %as re'ar!e! as an economist o( t&e neo-classical sc&ool %&ose mar'inal lan'ua'e %as also &is o%n# 7conomic cate'ories %ere !ecke! out in *s"c&olo'ical terms, *resumabl" !erive! (rom ,&uman nature#- 0n!ivi!ual antici*ations an! !isa**ointments !etermine economic li(e an! 3e"nes even s*oke o( t&e mone"-makin' an! mone"-lovin' instincts o( in!ivi!uals as t&e main motive (orce o( t&e economic mac&ine# 4e believe! t&at it is a ,*s"c&olo'ical la%- t&at in!ivi!uals ten! to consume *ro'ressivel" smaller *ortions o( t&eir income as t&eir incomes increase# 5&en a''re'ate real income increases, consum*tion increases, too, o( course, but not b" so muc& as income# Assumin' t&at all investment ultimatel" serves consum*tion nee!s an! t&at an increase o( income increases consum*tion b" less t&an income, savin's %ill increase (aster t&an investments# 5it& t&is, a''re'ate !eman! !eclines an! t&e level o( em*lo"ment (alls s&ort o( t&e available labor su**l"# &is

&a**ens in a ,mature- societ" because o( t&e alrea!" e)istin' lar'e stock o( ca*ital, %&ic& !e*resses t&e mar'inal e((icienc" or *ro(itabilit" o( ca*ital an! t&ere%it& e)*ectations %it& res*ect to (uture ca*ital "iel!s# An! t&is, in turn, creates a *s"c&olo'ical attitu!e on t&e *art o( t&e %ealt&-o%ners to &ol! t&eir savin's in mone"-(orm rat&er t&an to invest in enter*rise *romisin' little or no re%ar!# 7conomic sta'nation an! lar'e-scale unem*lo"ment %as at t&e center o( 3e"nes. interest# ra!itional economic t&eor" %as boun! to t&e ima'inar" con!itions o( (ull em*lo"ment an! to Sa".s ,la% o( t&e market- 8 to t&e belie(, t&at is, t&at ,su**l" creates its o%n !eman!#- 9ike Sa", 3e"nes sa% in *resent an! (uture consum*tion t&e 'oal o( all economic activit", but, in !istinction to t&e :renc& economist, &e no lon'er &el! t&at su**l" brin's (ort& su((icient !eman! to maintain (ull em*lo"ment# &e re(utation o( ,Sa".s la%- is &aile! as t&e most im*ortant as*ect o( t&e 3e"nesian t&eor", *articularl" because it !e(eats t&is ,la%- on its o%n 'roun! b" s&o%in' t&at ;ust because o( t&e ,(act- t&at *ro!uction serves consum*tion, su**l" !oes not create its o%n !eman!# Almost sevent"-(ive "ears earlier, Mar) &a! alrea!" *ointe! out t&at onl" an accelerate! ca*ital e)*ansion allo%s (or an increase o( em*lo"ment, t&at consum*tion an! ,consum*tion- un!er con!itions o( ca*ital *ro!uction are t%o !i((erent t&in's, an! t&at total *ro!uction can rise onl" i( it *rovi!es a 'reater s&are o( t&e total (or t&e o%ners an! controllers o( ca*ital# &e ,!ull an! comical <*rince !e la science., 2#B# Sa",Mar) !i! not (in! %ort& overt&ro%in', even t&ou'& ,&is continental a!mirers &ave trum*ete! &im as t&e man %&o &a! uneart&e! t&e treasure o( t&e meta*&"sical balance o( *urc&ase an! sales- =1># :or Mar), Sa".s la% o( t&e market %as s&eer nonsense in vie% o( t&e 'ro%in' !ise?uilibrium bet%een t&e *ro(it nee!s o( ca*ital e)*ansion an! t&e rationall" consi!ere! *ro!uctive re?uirements o( men, bet%een t&e ,social !eman!- in ca*italism an! t&e actual social nee!s; an! &e *ointe! out t&at ca*ital accumulation im*lies an in!ustrial reserve arm"#

III
5&en 3e"nes at suc& late &our, a**roac&e! Mar).s *osition, it %as not in or!er to *oint to an in&erent contra!iction o( ca*ital *ro!uction but to &ail t&e !is*arit" bet%een em*lo"ment an! investment as a 'reat accom*lis&ment# 0n &is vie% onl" ,a %ealt&" communit" %ill &ave to !iscover muc& am*ler o**ortunities (or investment i( t&e savin' *ro*ensities o( its %ealt&ier members are to be com*atible %it& t&e em*lo"ment o( its *oorer members- =@># 4o%ever, s&ort o( closin' t&e 'a* bet%een income an! consum*tion it (ollo%s (rom 3e"nes. t&eor" t&at ,eac& time %e assure to!a".s e?uilibrium b" increasin' investments %e are a''ravatin' t&e !i((iculties o( securin' e?uilibrium tomorro%- =A># :or t&e ne)t (uture, &o%ever, &e t&ou'&t t&ese !i((iculties surmountable t&rou'& 'overnment *olicies %&ic& !iminis&e! ,li?ui!it"-*re(erence- an! increase! ,e((ective !eman!- b" controlle! in(lation, re!uce! interest-rates an! lo%ere! real %a'es, t&us *romotin' in!ucements to invest# 0( t&ese are not su((icient, t&e 'overnment can increase economic activit" b" *ublic %orks an! !e(icit-(inancin'# 5it& (ull em*lo"ment t&e criterion, t&e e((ectiveness o( various interventions into t&e market-econom" can be teste! e)*erimentall"# An"t&in' t&at !oes not lea! to (ull em*lo"ment is not enou'&# Because increase! em*lo"ment b" %a" o( ,*um**rimin'- ma" lea! to ,secon!ar" em*lo"ment- in a!!itional branc&es o( *ro!uction, it %as assume! t&at it %ill lea! to suc& em*lo"ment# An! i( all s&oul! (ail, t&ere is still t&e *ossibilit" o( a !irect control o( investments b" 'overnment# 0t is not necessar" to a'ree %it& 3e"nes as to t&e cause o( unem*lo"ment to reco'ni/e t&at t&e *olicies &e su''este! to combat it &ave been t&e *olicies o( all 'overnments in recent &istor" %&et&er t&e" %ere a%are o( &is t&eories or not# &e" &a! ma!e t&eir &istorical !ebut lon' be(ore t&eir t&eoretical e)*ression# All t&e monetar" an! (iscal innovations &a! alrea!" been trie!: *ublic %orks, in(lation an! !e(icit(inancin' are as ol! as 'overnment rule an! &ave been em*lo"e! in man" a crisis situation# 0n mo!ern

times, &o%ever, t&e" &ave been re'ar!e! as e)ce*tions to t&e rule, e)cusable in times o( social stress but !isastrous as a *ermanent *olic"#

IV
:or Mar), t&e in&erent contra!ictions o( ca*ital *ro!uction are not o( an ,economic- c&aracter in t&e bour'eois sense o( t&e term# 4e is not concerne! %it& t&e su**l" an! !eman! relations o( t&e market but %it& t&e e((ect o( t&e social (orces o( *ro!uction u*on t&e ca*italist social relations o( *ro!uction, t&at is, %it& t&e results o( t&e increasin' *ro!uctivit" o( labor u*on t&e *ro!uction o( value an! sur*lus-value# $elebrate! as t&e *ro!uct o( ca*ital itsel(, bour'eois t&eor" se*arates 'ro%in' *ro!uctivit" (rom its social im*lications# :or Mar), it is t&e in!e*en!ent variable t&at !etermines all t&e ot&er variables in t&e s"stem o( economic relations&i*s# &e s*ecial im*ortance o( labor an! its increasin' *ro!uctivit" in Mar).s sc&eme o( reasonin' le! to &is !iscover" o( a !e(inite !evelo*mental tren! in ca*ital accumulation, %&ic& reveale! ?ualitative c&an'es in t&e %ake o( ?uantitative ones# 4e coul! s&o% t&at t&e ca*italist ,e?uilibrium mec&anism- must itsel( c&an'e in t&e course o( ca*ital e)*ansion an! t&at it is t&e latter %&ic& !etermines an! mo!i(ies t&e market (orces o( su**l" an! !eman!, since market la%s &ave to assert t&emselves %it&in a lar'er (rame o( a !evelo*in' ,!ise?uilibrium- bet%een t&e social (orces o( *ro!uction an! t&e ca*italist relations o( *ro!uction# &e increase o( *ro!uctivit", o( sur*lus-value an! t&e accumulation o( ca*ital are all one an! t&e same *rocess# 0t im*lies a more ra*i! 'ro%t& o( ca*ital investe! in means o( *ro!uction t&an t&at investe! in labor *o%er# 0t involves %&at Mar) calle! a ,risin' or'anic com*osition o( ca*ital#- As *ro(its are calculate! on t&e total investe! ca*ital, t&e" must s&o% a ten!enc" to !ecline as t&at *art o( t&e total %&ic& alone "iel!s sur*lus value becomes relativel" smaller# 6( course, t&e *rocess also im*lies an increasin' abilit" to e)tract more sur*lus-value, t&us nulli("in' t&e ,ten!enc"- o( *ro(its to !ecline, an! constitutin' t&e reason (or t&e *rocess itsel(# 9eavin' asi!e all t&e intricacies o( Mar).s e)*osition, &is abstract sc&eme o( ca*ital e)*ansion s&o%s t&at a*art (rom com*etition as t&e !rivin' (orce o( ca*ital e)*ansion in t&e market realit", t&e *ro!uction an! accumulation o( sur*lus-value alrea!" (in!s in t&e t%o-(ol! c&aracter o( ca*ital *ro!uction 8 suc& as e)c&an'e an! use value 8 a limitin' element, to be overcome onl" b" t&e continuous e)*ansion an! e)tension o( t&e ca*italist mo!e o( *ro!uction# 0n or!er to (orestall a (allin' rate o( *ro(it, accumulation must never rest# More an! more sur*lus-value must be e)tracte! an! t&is involves t&e stea!" revolutioni/in' o( *ro!uction an! t&e continuous e)tension o( its markets# As lon' as accumulation is *ossible, t&e ca*italist s"stem *ros*ers# 0( accumulation comes to a &alt crisis an! !e*ression set in# Bot& Mar) an! 3e"nes, t&en, t&ou'& (or !i((erent reason, reco'ni/e t&e ca*italist !ilemma in a !eclinin' rate o( ca*ital accumulation# 3e"nes !ia'noses its cause as a lack o( incentive to invest# Mar), lookin' be&in! t&e lack o( incentive, (in!s t&e reason (or it in t&e social c&aracter o( *ro!uction as a *ro!uction o( ca*ital# 3e"nes !oes not re'ar! crisis an! !e*ression as necessar" as*ects o( ca*ital (ormation; t&e" are suc& onl" un!er laissez-faire con!itions, an! t&en onl" in t&e sense t&at t&e economic e?uilibrium !oes not inclu!e (ull em*lo"ment# :or Mar), &o%ever, a continuous ca*ital accumulation *resu**oses *erio!s o( crises an! !e*ression, (or t&e crisis is t&e onl" ,e?uilibrium mec&anism- %&ic& o*erates in ca*italism %it& re'ar! to its !evelo*ment# 0t is in t&e !e*ression *erio! t&at t&e ca*ital structure un!er'oes t&ose necessar" c&an'es %&ic& restore lost *ro(itabilit" an! enable (urt&er ca*ital e)*ansion#

Mar).s t&eor" o( accumulation antici*ate! 3e"nes. criticism o( t&e neo-classical t&eor" t&rou'& its criticism o( classical t&eor"# 0n its essentials, t&en, 3e"nes. ,revolution- consists in a *artial re-statement o( some o( Mar).s ar'uments a'ainst t&e ca*italist econom" an! its t&eor"# 3e"nes !i! not stu!" Mar), an! &e !i! not (eel t&e nee! (or !oin' so because &e i!enti(ie! Mar).s t&eories %it& t&ose o( t&e classicists# B" o**osin' t&e classical t&eor" 3e"nes t&ou'&t &e %as o**osin' Mar) as %ell# 0n realit", &o%ever, &e !ealt %it& neit&er o( t&ese t&eories but %it& t&e neo-classical market t&eor" %&ic& &a! no lon'er an" si'ni(icant connection %it& t&e i!eas o( Smit& an! +icar!o# Mar).s criti?ue o( classical econom", &o%ever, resembles 3e"nes. criticism o( t&e neo-classicists, alt&ou'& it cuts !ee*er t&an 3e"nes. because t&e classicists &a! been *ro(oun!er t&inkers t&an t&eir a*olo'etic emulators, an! because Mar) %as not a bour'eois re(ormer# Alt&ou'& 3e"nes %is&e! to ,knock a%a" t&e +icar!ian (oun!ations o( Mar)ism,- in or!er to !o so, &e &a! (irst o( all to *ost &imsel( on t&ese ver" (oun!ations# 4e acce*te! t&e t&eor" o( value in t&e +icar!ian sense, in %&ic& labor as t&e sole (actor o( *ro!uction inclu!es ,t&e *ersonal services o( t&e enter*reneur an! &is assistants#- 9ike Mar) &e !ealt in economic a''re'ates, but %&ile in Mar).s s"stem t&e anal"sis in terms o( economic a''re'ates %as to lea! to t&e !iscover" o( t&e basic tren! o( ca*ital accumulation an! to no more, in t&e 3e"nesian s"stem it %as to serve t&e (ormulation o( a *olic" able to su**ort t&e tren! %it&out !oin' !ama'e to t&e ca*italist relations o( *ro!uction# 7)*resse! in sim*lest terms, 3e"nes. mo!el re*resents a close! s"stem !ivi!e! into t%o !e*artments o( *ro!uction; one *ro!ucin' consum*tion 'oo!s an! t&e ot&er *ro!ucin' ca*ital 'oo!s# &e total mone" e)*en!iture in terms o( %a'e-units Bbase! on t&e %orkin' &ourC (or bot& consum*tion an! ca*ital 'oo!s constitutes total income# 5&en t&e a''re'ate !eman!, t&at is, t&e !eman! (or consum*tion an! ca*ital 'oo!s, e?uals total income an! im*lies t&at total savin's e?ual investments, t&e s"stem is su**ose! to be in e?uilibrium# A !ecline o( a''re'ate !eman!, im*l"in' a !iscre*anc" bet%een savin's an! investments, re!uces total income an! *ro!uces unem*lo"ment# 0n or!er to alter t&is situation t&e a''re'ate !eman! must be increase! to a *oint %&ere total income im*lies (ull em*lo"ment# 0n Mar).s s"stem o( economic a''re'ates constant ca*ital is t&e *ro*ert" o( t&e ca*italist class, variable ca*ital t&e social e?uivalent o( labor-*o%er, an! sur*lus-value t&e accumulation an! income source o( t&e rulin' class# 0t is &ere not a ?uestion o( ,social income- an! ,social out*ut- an! t&eir relation to eac& ot&er, but a ?uestion o( t&e ca*italist e)*loitation o( labor *o%er#

VI
Until t&e secon! %orl! %ar, 3e"nes. t&eories en;o"e! onl" small veri(ication# 4e &a! a *er(ect alibi, &o%ever 8 eit&er &is su''estions %ere not carrie! out or t&e" %ere too mea'erl" a**lie!# But %it& t&e be'innin' o( %ar *ro!uction, 3e"ness %as con(i!ent t&at &is t&eor" %oul! be (ull" con(irme!# No% it %oul! be seen ,%&at level o( total out*ut accom*anie! b" %&at level o( consum*tion is nee!e! to brin' a (ree, mo!ern communit" # # # %it&in t&e si'&t o( t&e o*timum em*lo"ment o( its resources- =D># 5ar-time *olicies, &o%ever, %ere ?uite in!e*en!ent o( 3e"nesian i!eolo'", bein' neit&er !i((erent (rom t&ose em*lo"e! in t&e :irst 5orl! 5ar, nor !i((erent bet%een various 'overnments, some o( %&ic& !i! not a!&ere to t&e 3e"nesian ,revolution#- All t&e innovations associate! %it& t&e comman!eere! econom" o( t&e secon! %orl! %ar, suc& as a mone" an! cre!it in(lation, *rice controls, labor controls, *riorities, (orce! savin's, rationin' an! so (ort& &a! been current in t&e (irst !ebacle !es*ite t&e t&en *revailin' ,ort&o!o)a**roac& to economics# 0( t&e %ar econom" ,*rove!- t&e vali!it" o( 3e"nes. t&eor", it !i! so to suc& a !e'ree t&at t&e t&eor" itsel( &a! to be *ut in reverse# Alt&ou'& unsuccess(ul in increasin' t&e ,*ro*ensit" to consume- !urin' t&e !e*ression, it %as a ,brilliant success- in cuttin' it !o%n !urin' t&e %ar# Unable to increase investments u* to t&e *oint o( (ull em*lo"ment, it le! to labor s&orta'es t&rou'& t&e !estruction o( ca*ital# Alt&ou'&

sus*en!e! !urin' t&e %ar, 3e"nes. t&eories %oul! &ol! 'oo! a'ain %it& t&e return to ,normalc"#- &e %ar itsel( onl" *rove! to &im t&at tec&nicall" an" economic s"stem coul! &ave (ull em*lo"ment i( it so %is&e!; it (i! not occur to &im t&at un!er *resent con!itions %ar an! *re*aration (or %ar ma" be t&e onl" %a" to (ull em*lo"ment# 0t !i! occur to ot&ers; 'enerall", &o%ever, t&e 3e"nesian s*irit is best re*resente! b" suc& a!&erents o( t&e %el(are-state as 5illiam Beveri!'e, %&o, near t&e en! o( t&e secon! %orl! %ar, *ro*ose! a (ull em*lo"ment *ro'ram base! on t&e ,sociali/ation o( !eman! %it&out t&e sociali/ation o( *ro!uction- =5># Built on 3e"nesian *rinci*les an! c&oosin' bu!'etar" means (or its reali/ation, it %as to carr" t&e (ull em*lo"ment o( %ar into t&e con!itions o( *eace# :ears t&at lar'e-scale unem*lo"ment %oul! return in t&e %ake o( t&e secon! %orl! %ar *rove! to be e)a''erate!# A clear !istinction bet%een %ar-*ro!uction an! *eace-time *ro!uction no lon'er e)iste! an! no nee! arose to a!o*t t&e Beveri!'e or an" ot&er *lan (or a (uller utili/ation o( *ro!uctive resources# Since t&e ince*tion o( t&e ,3e"nesian revolution,- t&en, no real o**ortunit" &as arisen to test its *ractical vali!it"# Eet, 'overnment intervention !urin' t&e !e*ression increase! em*lo"ment to some e)tent# 0t ma" t&en be sai! t&at t&e t&eor" *rove! itsel( in a ver" 'eneral %a" %&erever it %as em*lo"e!, an! to t&e !e'ree in %&ic& it %as a**lie!# 0n t&is sense, &o%ever, 3e"nesianism %oul! be ;ust anot&er name (or 'overnmental !e*ression *olicies, an! %oul! e)&aust itsel( in t&e su''estion t&at t&e 'overnment s&oul! take care o( t&e antici*ator" as*ects o( ca*ital (ormation %&erever *rivate initiative be'ins to slacken# 5&ile *ro!uction is still *ro!uction (or *rivate 'ain, its e)*ansion is t&e 'overnment.s res*onsibilit" 8 a lo'ical e)tension o( t&e cre!it-s"stem b" a s&i(t (rom *rivate to 'overnmental (inancial control# Not onl" (rom t&e 3e"nesian, but (rom an" realistic *oint o( vie%, 'overnment intervention is no% re'ar!e! as an inesca*able necessit"# An increasin' amount o( ,%el(are-economics- is a!vocate! b" t&e *ro*onents bot& o( t&e ,%el(are-state- an! o( *rivate enter*rise# But even t&ou'& nobo!" seems to !oubt t&at 'overnment control is &ere to sta", t&e ?uestion o( its c&aracter remains controversial# &e 3e"nesians are 'enerall" (or more 'overnment intervention, but as t&e consistent increase o( 'overnment re'ulation an! !e(icit-(inancin' is s"non"mous %it& t&e trans(ormation o( t&e *rivate into a state-ca*italism s"stem, it is o(ten o**ose! as a (orm o( ,cree*in' socialism#- Because 3e"nesianism ma" also be re'ar!e! as a transitor" state to%ar!s a com*letel" 'overnment-re'ulate! ca*italist econom", it &as become t&e t&eor" o( social re(orm %it&in t&e ca*italist s"stem# 0t stan!s t&us in strictest o**osition to Mar)ism %&ic& concerns itsel( not %it& social re(orm but %it& t&e abolition o( t&e ca*italist s"stem# 1# A Contri ution to the Criti!ue of "olitical economy, $&ica'o, 19FD, *# 1@A# @# The General Theory, *# A1# A# The General Theory, *# 1F5# D# 2# M# 3e"nes in The #e$ %epu lic, 2ul" @9, 19DF# 5# &ull Employment in a &ree Society, 19D5, *# @9#