tag:blogger.com,1999:blog-3591186784456519139.post3968211246635480451..comments2024-01-02T17:38:32.872+00:00Comments on Economics of Imperialism: US rate of profit, 1948-2012Tony Norfieldhttp://www.blogger.com/profile/03896437404164741498noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-3591186784456519139.post-85727551139850791362014-02-05T20:14:08.502+00:002014-02-05T20:14:08.502+00:00Hi Steve,
It may look like a possibly rising tren...Hi Steve,<br /><br />It may look like a possibly rising trend of profitability from 1956-2012, but the stats argue differently, even though the period starts from a relatively low point.<br /><br />For all four measures, the time trend of the profit rate is negative, and in 2 of the 4 cases with a significant coefficient (the other two were with t values of -1.7, so not far from the 95% level).<br /><br />The before-tax trend is more negative, given the impact of tax cuts on the after-tax trend.<br /><br />The profit rate is volatile, but note that it has taken exceptional events/policies to boost reported corporate profits in the past dozen years, and there remains a huge amount of debt that these profits do not take account of.Tony Norfieldhttps://www.blogger.com/profile/03896437404164741498noreply@blogger.comtag:blogger.com,1999:blog-3591186784456519139.post-29504351869276536642014-02-05T18:35:42.861+00:002014-02-05T18:35:42.861+00:00If you were to do 1956 to 2012, it would show a sl...If you were to do 1956 to 2012, it would show a slight secular increase in the rate of profit?<br /><br />The chart would also seem to indicate that profit spikes are met with profit collapses!<br /><br />So the conclusion, capitalism is pretty unstable? Take it or leave it?<br /><br />Steve HAnonymousnoreply@blogger.com