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Tuesday, May 1, 2018

Richard Wolff - How Marxism and Modern Monetary Theory Go Hand-In-Hand



In this Majority Report clip, Sam Seder and Professor Richard Wolff discuss how Marxism and modern monetary theory are a match made in heaven.

I wondered when Richard Wolff would cotton onto MMT. He say's the MMT people don't say what they will spend the money on, but 'we' do. KV

18 comments:

  1. What?! I've read that Marx was a gold-bug. How does that square with MMT?

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    1. You're probably right. I guess it's Richard Wolff's version of Marxism.

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  3. The truth of the proposition that, 'although gold and silver are not by nature money, money is by nature gold and silver," is shown by the fitness of the physical properties of these metals for the functions of money." Karl Marx quote from http://www.thegoldstandardnow.org/key-blogs/1894-karl-marx-gold-standard-advocate

    Admittedly, the above source ARE gold-bugs and Marx may have been referring to the value of gold and silver as anti-counterfeiting measures. Still those measures have long been obsolete, at least in principle, since the invention of central banks, assuming that all fiat users could have accounts there.

    Let's hear from Tom or others familiar with Marx.

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  4. Note on Richard Wolff - How Marxism and Modern Monetary Theory Go Hand-In-Hand

    Interesting to learn that Marx, too, was an agenda pusher for the one-percenters. See

    How MMT fools the ninety-nine-percenters
    https://axecorg.blogspot.de/2018/03/how-mmt-fools-ninety-nine-percenters.html

    Political economics: Who hijacks British Labour?
    https://axecorg.blogspot.de/2018/03/political-economics-who-hijacks-british.html

    MMT = proto-scientific junk + deception of the 99-percenters
    https://axecorg.blogspot.de/2018/01/mmt-proto-scientific-junk-deception-of.html

    MMT and grassroots movements
    https://axecorg.blogspot.de/2018/01/mmt-and-grassroots-movements.html

    Keynes, Lerner, MMT, Trump and exploding profit
    http://axecorg.blogspot.de/2017/12/keynes-lerner-mmt-trump-and-exploding.html

    MMT and the promotion of Wall Street socialism
    http://axecorg.blogspot.de/2017/11/mmt-and-promotion-of-wall-street.html

    Egmont Kakarot-Handtke

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  5. Interesting to learn that Marx, too, was an agenda pusher for the one-percenters. Egmont Kakarot-Handtke

    And you aren't? What are your proposals again? I don't recall them but I do recall my extreme dismay that you too had no truly ethical proposals.

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  6. I thought money was time?!?!?

    https://youtu.be/8Moh7DXMk8g

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  7. Marx’s Theory of Money
    Ernest Mandel

    The Power of Money
    Karl Marx

    Marx’s objections to credit theories of money
    Anitra Nelson

    I would say that an orthodox Marxist economist would seem be committed to a commodity of theory of money in holding a strict interpretation of Marx.

    On the other hand, Marxian economists are free to hold a credit theory of money while using other aspects of Marx's social and political approach to economics in updating Marx.

    Richard Wolff is a Marxian economist rather than an orthodox Marxist.

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  8. In the same way as his theory of rent, Marx’s theory of money is a straightforward application of the labour theory of value. As value is but the embodiment of socially necessary labour, ... from Marx’s Theory of Money.

    Yeah, what could be more socially necessary (as well as good for the environment!) than digging gold out of the ground in order to rebury it in central bank vaults? /sarc

    Marx should have read the Bible more (if at all?) and thus avoided embarrassing himself, e.g. "Render to Caesar what is Caesar's" is an extremely early exposition of the "State Theory of Money."

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  9. For Marx, the real basis of money is labor time.

    This is legislated by the MMT JG that fixes the value of $ a unit of labor time with the issuer using its monopoly power to set price.

    Shh. Don't tell anyone though.

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  10. For Marx, the real basis of money is labor time. Tom Hickey

    So that a country with no automation should have a more valuable money supply than a highly automated one? It appears to be not so, bro.

    The real basis of money is what it can buy, not how much labor was expended.

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  11. make that a more valuable money supply per capita

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  12. In Marx's view, it is of course true that one "value" of money is what money can buy (purchasing power).

    But this valuation can exceed the contribution of labor, which is the real basis of value in that labor produces both commodities for sale and the capital goods (technology) that are used to make them.

    The excess "value" as purchasing power is "fictitious value" compared with the real value of productive labor.

    It is an aspect economic rent as gain in excess of productive contribution, giving those doing the extraction greater purchasing power over those that actually produce commodities for sale and also produce capital goods.

    This institutionally privileged cohort receives a disproportionate share of production and control over wealth that is unearned. It's a shuck.

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  13. Its USD/T so time is in the denominator... so a nation with the higher output in USDs per unit time would have the stronger currency to reflect the increased terms of trade...

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  14. It is an aspect economic rent as gain in excess of productive contribution, giving those doing the extraction greater purchasing power over those that actually produce commodities for sale and also produce capital goods. Tom Hickey

    Which is why private credit creation should not be privileged AT ALL since equity owners, for no other reason than that own some equity, are automatically so-called worthy of what is otherwise, in essence, the public's credit but for private gain.

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  15. I'll bet you guys didn't know that "Modern Monetary Theory" in Ukrainian is pronounced "Holodomor".

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  16. Tom Hickey

    The philosopher/agenda pusher/fake scientist Marx had no idea what profit is#1 and how the value of money is determined.#2

    The same holds for MMTers in general and Tom Hickey in particular.

    The common denominator of Marx, MMT, Tom Hickey is that they claim to promote the cause of the ninety-nine-percenters but ― intentionally or unintentionally does not matter ― effectively advance the cause of the one-percenters.#4

    Egmont Kakarot-Handtke

    #1 Profit for Marxists
    https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2414301

    #2 The creation and value of money and near-monies
    https://axecorg.blogspot.de/2017/12/the-creation-and-value-of-money-and.html

    #3 MMT: NO sound scientific foundation
    https://axecorg.blogspot.de/2017/09/mmt-no-sound-scientific-foundations.html

    #4 MMT is ALWAYS a bad deal for the 99-percenters
    http://axecorg.blogspot.de/2017/12/mmt-is-always-bad-deal-for-ninety-nine.html

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  17. Oh, thanks for those papers, Tom. Anitra Nelson's & others are rare contributions that lift the study of the relation of Marx & Hegel above even the Chick Publications level.

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