Название: Political Econ of Growth
Автор: Paul A. Baran
Издательство: Ingram
Жанр: Экономика
isbn: 9781583678022
isbn:
For in the economic order emerging from the decay of feudalism and already visible in its most essential contours to the great classical writers, there appeared tremendous possibilities for large-scale investment in productive facilities. The striving of individual entrepreneurs—now operating in a different socioeconomic environment, freed of earlier restraints and enabled to give full play to their relentless drive for profits—to “get ahead,” to accumulate and to enlarge their enterprises, would necessarily serve as a powerful engine of expansion of aggregate output. Competition among businessmen would continuously force them to improve their methods of production, to promote technological progress and to make full use of its results, as well as to increase and to diversify their output. As all available productive resources would tend to be drawn into useful employment, and as cost reduction would become the dominant concern of profit-maximizing capitalists, waste and irrationality would be eliminated from the productive process. The operation of Say’s Law would see to it that aggregate output would normally encounter adequate demand, while such “frictional disproportionalities” as might result from technological change or shifts in tastes would be merely “diseases of growth,” inconsiderable in scope and not very dangerous in repercussions. In fact, by adjusting the productive apparatus to society’s changing requirements, and by purging it from time to time of backward and inefficient units, such short crises would indeed be beneficent in their effects: promoting general progress and facilitating the survival of the fittest.
Of this maximum output a maximal share would constitute economic surplus. Competition among workers would prevent wages from rising above the subsistence minimum and from eating into profits—the characteristic form in which the economic surplus would appear in capitalist society.3 Nor would there be any danger of the demand for labor—capital accumulation—outstripping the supply of labor, The increase of the population could be relied upon to keep the labor market under pressure and to prevent any expansion of the share of output absorbed by the “wage fund.”
Nor should there be in a competitive capitalist order any room for “unproductive” workers not contributing to capital accumulation. The large retinue and extravagant style of life at the feudal courts should no more be allowed to encroach upon the economic surplus than the luxuries and comforts indulged in by medieval town patricians.4 And worship of God should be made less expensive: simple and modest rites performed by humble clergy frugally maintained by their congregations would be substituted for the pomp and circumstance organized by the elaborate and richly appointed hierarchy of the Roman Catholic or the Established Church.
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