…use of technology by capitalist firms. O’Connor’s critique took the form of a dialogue, which parodied and refuted an earlier dialogue, “The Employer and Employed,” that had been published in…

…so output is a function of capital and effective labor (technology times labor). First consider steady technological progress. In this case the ratio of capital to effective labor converges to…

I see the history rewriters are tying to develop a new meme about FDR and the depression. They are now trying to argue that FDR scared businessmen and capitalist so…

…Let me explain the difference between the hairshirts and the growth proponents. Remember that long-term productivity growth–which is our ultimate goal–is driven by three forces: Physical capital, human capital, and…

How much of their income do labor and capital use for consumption of finished goods and services? Now, if labor and capital do not spend their money on consumption, they…

…the value of long-duration assets–so capital is misallocated and we wind up with a capital structure that has in it too many long-duration relatively-safe projects that make at best very…

…year, has been financed by capital inflows, including inward FDI. Capital inflows will drop off as international banks and other financial services providers relocate at least some of their operations…

…situation where capital reaches full employment before labor. Actually that is what I always see. Then labor becomes more fully employed as capital stops being employed. That is a normal…

…the change in real capital stock per employee.     As the chart shows, there is a very tight relationship between productivity growth and the growth of the real capital…

by New Deal democrat Do “high pressure” low unemployment economies lead to more capitalinvestment? The Atlanta Fed’s Macroblog has an interesting article today on whether a “high pressure” low unemployment…