it is more an accounting theorem than an economic one
On Tue, Mar 21, 2017 at 2:40 PM, C…. L…. wrote:
The A+B theorem, at its core is essentially the same problem that Marx struggled with. How can an employer make money if the cost of the product is equal to the cost of labour? In order for the corporation to be profitable, they have to charge more than the labour cost in order to produce a profit. Douglas extended this to the entire economy, and that’s where his arguments come from.
Response Hi C…..:
Actually, while there are some similarities between Marx’s analysis and that of Douglas (how capital and control of it direct the economy), there are some rather big differences as well.