Hartmut Elsenhans

RISE AND DEMISE OF THE CAPITALIST WORLD SYSTEM

WS 2017/18

COURSE DESCRIPTION

Time

Place:

Capitalism is a decentralized system of economic coordination where the distribution and allocation of

surplus is regulated by the profit rate. Profit is a special form of surplus. It depends, to the

difference of tax and rent neither on political power nor on market imperfections. It depends on

spending on profitable investment. Profit implies and requires the disempowerment of the privileged

and the empowerment of "abstract" labour, ultimately the scarcity of labour and therefore social

and political structures favourable to labour. Such social structures have emerged only under special

conditions, are permanently threatened, and are not the result of an automatic process of civilisation,

collective learning or technical development. Today, the emergence of middle class dominance in

the West, individualism, and globalization threatens the foundations of capitalism, although they are

the result of the development of capitalism. There is the danger of globalization of rent. This turn to

rent is not checked by what some call the emergence of a worldwide civil society.

Suggested Introductory Readings:

Wilcock, Neil; Scholz, Corinna: Hartmut Elsenhans and a Critique of Capitalism. Conversations on

Theory and Policy Implications (Basingstoke: Palgrave Macmillan, 2015)

Elsenhans, Hartmut: The Rise and Demise of the Capitalist World System (Leipzig: Leipziger

Universitätsverlag, 2011).

Elsenhans, Hartmut: "World System Theory and Keynesian Macroeconomics: Towards an Alternative

Explanation of the Rise and Fall of the Capitalist World System", in: Cahiers du CREAD,

97 (2011); pp. 5-61.

Elsenhans, Hartmut: Saving Capitalism from the Capitalists. A Contribution to Global and Historical

Keynesianism (Beverly Hills, Cal.; London; New Delhi: Sage, 2014)

Elsenhans, Hartmut: "Capitalism – an Achievement of Labour: Empowerment of Labour and Rising

Mass Incomes as a Condition of Capitalist Growth", in: Erwägen - Wissen - Ethik, 26, 4 (2015); pp.

601-625.

Elsenhans, Hartmut: "Capitalism and Global History", in: Erwägen - Wissen - Ethik, 26, 4 (2015); pp.

529-542.

Elsenhans, Hartmut: "Defending Spirit of Capitalism against Renters", in: Journal of Contemporary

Studies, 3, 1 (2015); pp. 1-17.

In each session there will be a presentation by one of the students. This student will chose

among the literature those texts which she/he sees most appropriate as a basis of the

discussion. These texts will be the obligatory texts for students presentation. As this system

will work only after some sessions, for the first five sessions, the teacher will suggest

obligatory texts.

SYLLABUS

Session 1: Profit depends on investment spending and not on productivity increase

Presentation of topics and administrative questions. Students can inscribe for specific topics for

presentation.

The economic basis of profit in investment spending. Profit is not something left over, but depends on

sufficient demand which is created by incomes for consumption goods being a higher than incomes

paid in consumption goods production because of wages of investment goods sector workers. Net

investment creates profit. There is no need of previous savings for investment. Any

capitalistic=profitable investment reduces unit costs of the manufactured products and finances itself.

Literature:

Basic

Elsenhans, Hartmut: The Rise and Demise of the Capitalist World System (Leipzig: Leipziger

Universitätsverlag, 2011), pp. 20-49.

King, J. E.: Advanced Introduction to Postkeynesian Economics (Cheltenham; Northampton,

Mass.: Edward Elgar, 2015); pp.4-25.

Additional

Elsenhans, Hartmut: "The World System Theory and Keynesian Macroeconomics: Towards an

Alternative Explanation of the Rise and Fall of the Capitalist World System", in: Cahiers du CREAD,

97 (2011); pp. 5-27.

Kalecki, Michal: "A Theory of Profits", in: Economic Journal, 52, 206-207 (July-September 1942);

pp. 258-267.

Kalecki, Michal: “Political Aspects of Full Employment”, in: Political Quarterly, 14/4 (1943); pp.

322-331.

Session 2: Accumulation and growth of consumption

The neoclassical argument, Lenin, Luxemburg, against Keynes. .Positive net investment depends on

expanding mass incomes. There is no automatic process of accumulation. Rising mass incomes are not

the result of rising productivity, but of empowerment of labour. Capitalism is based on the negotiating

power of labour. Highly inegalitarian societies cannot transform themselves into capitalist ones. That

capitalists and mainstream economics pretend the opposite is irrelevant, as long as workers impose

higher remunerations either because of their scarcity or because of their capability to appear as

dangerous to the capitalists and their state.

Literature:

Basic

Denison, Edward F.: "The Contribution of Capital to Economic Growth", in: American

Economic Review, 70, 2 (May 1980); pp. 221-224.

Elsenhans, Hartmut: Saving Capitalism from the Capitalists. A Contribution to Global and

Historical Keynesianism (Beverly Hills, Cal.; London; New Delhi: Sage, 2014), pp.14-19.

Additional

Aukrust, Odd: Factors of Economic Development: A Review of Recent Research, in:

Weltwirtschaftliches Archiv 93/1 (1964); pp. 23-43.

Cesarotti, Sergio: "Savings and Economic Growth in Neoclassical Theory", in: Cambridge Journal of

Economics, 23, 6 (November 1999); pp. 771-793.

Domar, Evsey D.: "The Capital-Output Ratio in the United States: Its Variation and Stability", in: Lutz,

F.A.; Hague, D.C. (eds.): The Theory of Capital. Proceedings of a Conference Held by the

International Economic Association (New York; London: Macmillan; St. Martins Press, 1961); pp.

95-117.

Elsenhans, Hartmut: Rising Mass Incomes as a Condition of Capitalist Growth: Implications for the

World Economy, in: International Organization, 37, 1 (Winter 1983); pp. 1-38.

Lenin, Vladimir Ilyich (1917): The Development of Capitalism in Russia, Chap 1, section VI

http://www.marxists.org/archive/lenin/works/cw/volume03.htm.

Luxemburg, Rosa (1923): The Accumulation of Capital [1912]:

http://www.marxists.org/archive/luxemburg/1913/accumulation-capital/index.htm, section one,

chapters 7 and 8.

Session 3: The instability of community

The natural tendency of the dissolution of communitarian modes of production into rent based

hierarchical structures. Primitive communities are not stable in their egalitarian aspects and by

necessity have to become characterized by hierarchical structures. There is no golden age of pre-

capitalist communities à la Rousseau. Multiplicity of criteria for establishing hierarchies.

Literature:

Basic

Aragon, Lorraine V.: "Reorganizing the Cosmology: The Reinterpretation of Deities

and Religious Practice by Protestants in Central Sulawesi, Indonesia", in: Journal of

Southeast Asian Studies, 27, 2 (September 1996); pp. 350-373.

Brandewie, Ernest: "The Place of the Big Man in Traditional Hagen Society in the

Central Highlands of New Guinea", in: Ethnology, 10, 2 (April 1971); pp. 194-210.

Foster, George M.: "The Anatomy of Envy: A Study of Symbolic Behavior", in: Current

Anthropology, 13 (April 1972); pp. 165-186.

Godelier, Maurice: "Infrastructures, Societes and History", in: Current Anthropology,

19, 4 (December 1978); pp. 763-770.

Thapar, Romila: "The Evolution of the State in the Ganges Valley in Mid-First

Millennium B.C.", in: Studies in History, 4, 2 (1982); pp. 181-196.

Additional

Allen, Michael: "Elders, Chiefs, and Big Men: Authority Legitimation and Political Evolution in

Melanesia", in: American Ethnologist, 11, 1 (October 1984); pp. 20-41.

Anthony, David W.: "The 'Kurgan Culture', Indo-European Origins and the Domestication of the

Horse: A Reconsideration", in: Current Anthropology, 27, 4 (August-October 1986); pp. 291-305.

Arhin, Kwame: "The Structure of Greater Ashanti, 1700-1824", in: Journal of African History, 8, 1

(1967); pp. 67-85.

Childe, Gordon: "The Urban Revolution", in: Lahore Journal of Policy Studies, 21, 1 (April 1950);

pp. 3-17.

Elsenhans, Hartmut: Foundation of Development of the Capitalist World Economy", in: Elsenhans,

Hartmut: Equality and Development (Dhaka: Center for Social Studies, 1992); pp. 21-79.

Elsenhans, Hartmut: The Rise and Demise of the Capitalist World System (Leipzig: Leipziger

Universitätsverlag, 2011); pp. 50-83.

Erdosy, George: "The Origins of Cities in the Ganges Valley", in: Journal of the Economic and

Social History of the Orient, 28, 1 (1985); pp. 81-109.

Fowler, Ian: "African Sacred Kings: Expectations and Performance in the Cameroon

Grassfields", in: Ethnology, 32, 3 (Summer 1993); pp. 253-268.

Goody, Jack: "Feudalism in Africa", in: Journal of African History, 4, 1 (1963); pp. 1-18.

Meillassoux, Claude: "Kinship Relations and Relations of Production", in: Seddon, David (ed.):

Relations of Production: Marxist Approaches to Economic Anthropology (London: Frank Cass, 1978);

pp. 289 - 330.

Håkansson, N. Thomas: "Rulers and Rainmakers in Precolonial South Pare, Tanzania:

Exchange and Ritual Experts in Political Centralization", in: Ethnology, 37, 3 (Summer

1998); pp. 263-283.

Mandelbaum, David G.: "Alcohol and Culture", in: Current Anthropology, 6, 3 (June 1965);

pp. 281-288.

Savonnet, Guy: "Paysans des savanes africaines et paysans du Nordeste brésilien", in:

Coquery-Vidrovitch, Catherine (ed.): Sociétés paysannes du Tiers-Monde. Publication du

Laboratoire Connaissance du Tiers-Monde de l'Université de Paris VII (Lille: Presses

Universitaires de Lille, 1980); pp. 41-56.

Sharma, Mahesh: State Formation and Cultural Complex in Western Himalayas, in: Indian Economic

and Social History Review 41/4 (2004); pp. 387-431.

Silverman, Julian: "Shamans and Acute Schizophrenia", in: American Anthropologist, 69, 1

(February 1967); pp. 21-31.

Southall, Aidan W:: "The Segmentary State in Africa and Asia", in: Comparative Studies in Society

and History, 30, 1 (January 1988); pp. 52-82.

Stein, Burton: "The Segmentary State: Interim Reflections", in: Kulke, Hermann (ed.): The State in

India 1000- 1700 (Cambridge, Mass.; London et al.; New Delhi et al.; Oxford: Oxford University

Press, 1997); pp. 134-161.

Session 4h: The blockages of pre-capitalist structures and the theory of tributary modes of

production

Patterns of technical progress, the rise of culture, and the development of tributary modes of

production, their ultrastability and resistance against the transition to capitalism. There is no

automatic disintegration of pre-capitalist structures by the emergence of the market and there is no

historical necessity for the emergence of capitalism, as well as there is no civilisational process

linked to the emergence of capitalism. Tributary aspirations in Europe.

Literature:

Basic

Seshan, Radhika: "The Masratha State: Some Preliminary Considerations", in: Indian Historical

Review, 41, 1 (January-June 2014); pp. 35-46.

Parthasarathi, Prasannan: "The Great Divergence", in: Past and Present, 176 (August 2002); pp. 274-

293.

Rao, J. Mohan: "Class Relations in an 'Asiatic' Regime", in: Cambridge Journal of Economics, 11, 3

(June 1987); pp. 229-250.

Additional

Arrighi, Giovanni: "States, Markets, and Capitalism, East and West", in: Globality Studies Journal

(GSJ) - Global History, Society, Civilization, 15, 2 (Autumn 2007); pp. 251-284.

Bayly, Christopher Alan: "South Asia and the 'Great Divergence'", in: Itinerario, 24, 3/4 (2000);

pp. 89-104.

Claessen, Henri J. M.: "The Internal Dynamics of the Early State", in: Current Anthropology, 25, 4

(August-October 1984); pp. 366-370.

Gadgil, D. R.: The Industrial Evolution of India in Recent Times 1860-1939 (Bombay: Oxford

University Press, 1971); pp. 32-46.

Inalcik, Halil: "Capital Formation in the Ottoman Empire", in: Journal of Economic History, 29, 1

(March 1969); pp. 97-140.

O'Brien, Patrick Karl: "The Formation of States and the Transitions to Modern Economies: England,

Europe, and Asia Compared", in: Neal, Larry; Williamson, Jeffrey G. (eds.): The Cambridge History

of Capitalism (1): The Rise of Capitalism: From Ancient Origins to 1848 (Cambridge et al.:

Cambridge University Press, 2014); pp. 357-402.

Parthasarathi, Prasannan: "Rethinking Wages and Competitiveness in the Eighteenth Century: Britain

and South India", in: Past and Present, 158 (February 1998); pp. 79-109.

Roy, Tirthankar: "The Guild in Modern South Asia", in: International Review of Social History, 53,

S16 (November 2008); pp. 95-120.

Sahai, Nandita Prasad: Artisans, the State and the Politics of Wajabi in Eighteenth-Century Jodhpur, in:

Indian Economic and Social History Review, 42/1 (2005); pp. 41-69.

Stein, Burton: "Eighteenth Century India: Another View", in: Studies in History, 5, 1 (January 1989);

pp. 1-26.

Session 5: The capitalists‘ longing for rent and the cul-de-sac of commercial capital

So-called early capitalisms, emerging through long-distance trade or in other forms of commodity ,

are not capitalist in nature. Rational economic behaviour does not yet make capitalism. They are

normally rent-based structures with overarching political forms of surplus appropriation.

Literature:

Basic

Arasaratnam, S.: "Monopoly and Free Trade in Dutch-Asian Commercial Policy: Debate and

Controversy within the VOC", in: Journal of Southeast Asian Studies, 4, 1 (March 1973);

pp. 1-15.

Barandse, René J.: "Reflection on the Arabian Seas in the Eighteenth Century", in: Itinerario,

25, 1 (2001); pp. 25-50.

Elbl, Ivana: "The Volume of the Early Atlantic Slave Trade, 1450-1521.", in: Journal of

African History, 38, 1 (March 1997); pp. 31-75.

Hamilton, Earl J.: "The Role of Monopoly in the Overseas Expansion and Colonial Trade of

Europe Before 1800", in: American Economic Review, 38, 2 (May 1948); pp. 33-53.

Hancock, David: "The British Atlantic World. Co-ordination, Complexity and the Emergence

of the Atlantic Market Economy", in: Itinerario, 23, 2 (1999); pp. 107-126.

Additional

Adams, Julia: Trading States, Trading Places: The Role of Patrimonialism in Early Dutch Development,

in: Comparative Studies in Society and History, 36/2 (1994); pp. 319-355.

Ames, Glenri Joseph: "The Carreira da India, 1668-1682: Maritime Enterprise and the Quest

for Stability in Portugal's Asian Empire", in: Journal of European Economic History, 20, 1

(Spring 1991); pp. 1-27.

Elsenhans, Hartmut: "Politische Ökonomie der Sklaverei vom 16.-18- Jh.", in: Reichardt,

Tobias; Erdem, M. (eds.): Unfreie Arbeit. Ökonomische und kulturgeschichtliche

Perspektiven (Zürich/ NewYork/ Hildesheim: Georg Olms, 2007); pp. 242-259.

Goldstone, Jack A.: "Efflorescences and Economic Growth in World History: Rethinking the 'Rise of

the West' and the Industrial Revolution", in: Journal of World History, 13, 2 (Autumn 2002); pp.

323-389.

Inikori, Joseph E.: "Africa and the Globalization Process: Western Africa, 1450–1850.", in:

Journal of Global History, 2, 1 (March 2007); pp. 63-86.

Kindleberger, Charles P.: Commercial Expansion and the Industrial Revolution, in: Journal of

European Economic History, 5 (1975); pp. 613-654.

Lachmann, Richard: "Elite Self-Interest and Economic Decline in Early Modern Europe", in: American

Sociological Review, 68, 3 (June 2003); pp. 346-372.

Malekandathil, Pins: "Indian Ocean in the Shaping of Late Medieval India", in: Studies in History, 30,

2 (August 2014); pp. 125-141.

Nicholas, David M.: "Economic Reorientation and Social Change in Fourteenth Century Flanders",

in: Past and Present, 70 (February 1976); pp. 3-29.

Thomas, Robert Paul: "The Sugar Colonies of the Old Empire Profit or Loss for Great

Britain", in: Economic History Review, 21, 1 (1968); pp. 30-45.

Unwin, George: "The Merchant Adventurers' Company in the Reign of Elizabeth", in:

Economic History Review, 1, 1 (January 1927); pp. 35-64.

Session 6: The imposition of capitalism by rising mass incomes and expanding internal

markets

Capitalism emerged because of rising mass incomes, partly because of accidental structures in

Europe, part of as a result of the class struggle in Europe. The Poor Laws, limited enclosure,

orientation of production to mass markets in Britain, the dynamization of agriculture and food

production.

Literature:

Basic

Allen, Robert C.: "The Great Divergence in European Wages and Prices from the Middle Ages

to the First World War", in: Explorations in Economic History, 39, 4 (2001); pp. 441-447.

Allen, Robert C.: "Tracking the Agricultural Revolution in England", in: Economic History

Review, 73, 2 (May 1999); pp. 209-235.

Berg, Maxine: "In Pursuit of Luxury: Global History and British Consumer Goods in

the Eighteenth Century", in: Past and Present, 182 (February 2004); pp. 83-142.

Broadberry, Stephen N.; Gupta, Bishnupriya: "The Early Modern Great Divergence: Wages,

Prices and Economic Development in Europe and Asia, 1500-1800", in: Economic History

Review, 59, 1 (February 2006); pp. 2-31.

Elsenhans, Hartmut: English Poor Law and Egalitarian Agrarian Reform in the Third World,

in: Elsenhans, Hartmut: Equality and Development (Dhaka: Center for Social Studies, 1992); pp.

130-

Overton, Mark: "Re-establishing the English Agricultural Revolution", in: Agricultural

History Review, 44, 1 (1996); pp. 1-20.

White, Jonathan: "A World of Goods? The 'Consumption Turn' in Eighteenth-Century

British History", in: Cultural and Social History, 5, 3 (2006); pp. 93-104.

Wrigley, Edward A: "Family Limitation in Pre-Industrial England", in: Economic

History Review, 19, 1 (1966); pp. 82 - 109.

Additional

Allen, Robert C.: "Why the Industrial Revolution Was British: Commerce, Induced Invention, and the

Scientific Revolution", in: Economic History Review, 64, 2 (2011); pp. 357-384.

Block, Fred; Somers, Margaret: "In the Shadow of Speenhamland: Social Policy and the Old Poor

Law", in: Politics and Society, 31, 2 (June 2003); pp. 283-323.

Campbell, Bruce M. S.: "Agricultural Progress in Medieval England: Some Evidence from Eastern

Norfolk", in: Economic History Review, 35, 4 (November 1983); pp. 26-46.

Chambers, James D.: "Enclosures and the Small Land-Owner", in: Economic History Review, 10, 2

(November 1946); pp. 118-127.

Clark, Gregory: "The Macroeconomic Aggregates for England, 1209-2008", in: Research in

Economic History, 27 (2010); pp. 51-140.

Crafts, Nicholas F. R.: English Workers' Real Wages During the Industrial Revolution: Some

Remaining Problems, in: Journal of Economic History, 45, 1 (1985); pp. 139-144.

Crafts, Nicholas F.R.: "The First Industrial Revolution: Resolving the Slow Growth/Rapid

Industrialization Paradox", in: Journal of the European Economic Association, 3, 2-3 (April-May

2005); pp. 525-534.

Elsenhans, Hartmut: Rising Mass Incomes as a Condition of Capitalist Growth: Implications for the

World Economy, in: International Organization, 37/1 (1983); pp. 1-38.

Gilboy, Elizabeth Waterman: Wages in Eighteenth Century England, in: Journal of Economic and

Business History, 3 (1930); pp. 603-629.

MacFarlane, Alan: The Origins of English Individualism: Some Surprises, in: Theory and Society, 6, 2

(1978); pp. 255-277.

O'Brien, Patrick Karl: "Agriculture and the Home Market for English Industry", in: English Historical

Review, 100, 397 (October 1985); pp. 773-800.

Outhwaite, R. B.: "Dearth and Government Intervention in English Grain Markets, 1590-

1700", in: Economic History Review, 34, 3 (August 1981); pp. 389-406.

Slack, Paul: "Material Progress and the Challenge of Affluence in Seventeenth-Century

England", in: Economic History Review, 62, 3 (August 2009); pp. 576-603.

Thirsk, Joan: Economic Policy and Projects. The Development of a Consumer Society in Early Modern

England (Oxford: Clarendon Press, 1978), pp. 107-132

Wrigley, Edward A.: "The Transition to an Advanced Organic Economy: Half a Millennium

of English Agriculture", in: Economic History Review, 59, 3 (August 2006); pp. 435 - 480.

Session 7: Imperialism, unequal specialization, and capital exports

Capitalism is expansionist but not contagious. The integration of non-capitalist economies into a

capitalist world system by trade and even by capital exports does not create the basic foundations of

capitalism in those economies, but market relations covering only increased rent appropriation and

politicisation of the economy structures. Capitalist imperialist expansion into low wage or non-

capitalist peripheries occurs necessarily, if such peripheries exist, but their existence is not a condition

of capitalist growth

Basic

Etherington, Norman: "Reconsidering Theories of Imperialism", in: History and Theory,

21, 1 (1982); pp. 1-36.

Feis, Herbert: Europe: The World's Banker, 1870-1914. An Account of European Foreign

Investment and the Connection of World Finance With Diplomacy Before the War (New Haven,

Conn.: Yale University Press, 1930); pp. 1-80

Gülalp, Haldun: "Frank and Wallerstein Revisited: A Contribution to Brenner's

Critique", in: Journal of Contemporary Asia, 11, 2 (1981); pp. 169-188.

Warren, Bill: "Imperialism and Capitalist Industrialisation", in: New Left Review, 81

(September-October 1973); pp. 3-44.

Woodruff, William (1966): Impact of Western Man: A Study of Europe’s Role in the World

Economy 1750-1960, New York, pp. 114-164)

Additional

Anderson, Perry: "The Concept of Uneven Development since Enlightenment", in: Hroch,

Miroslav; Klusáková, Luda (eds.): Criteria and Indicators of Backwardness. Essays on

Uneven Development in European History (Prague: Charles University, 1996); p. 4759.

Corley, T. A. B.: Britain's Overseas Investments in 1914 Revisited, in: Business History, 36/1 (1994);

pp. 71-88.

Elsenhans, Hartmut: "The World System Theory and Keynesian Macroeconomics: Towards an

Alternative Explanation of the Rise and Fall of the Capitalist World System", in: Cahiers du CREAD,

97 (2011); pp. 32-38

Elsenhans, Hartmut: Saving Capitalism from the Capitalists. A Contribution to Global and Historical

Keynesianism (Beverly Hills, Cal.; London; New Delhi: Sage, 2014); pp. 11-14.

Gómez-Galvarriato, Aurora; Williamson, Jeffrey G.: "Was It Prices, Productivity or Policy? Latin

American Industrialisation after 1870", in: Journal of Latin American Studies, 41, 4 (November

2009); pp. 663-694.

Harvey, Charles; Press, Jon: Issues in the History of Mining and Metallurgy, in: Business History,

32/3 (1990); pp. 1-14.

Harvey, David: "The 'New' Imperialism: Accumulation by Dispossession", in: Socialist

Register, 40 (2004); pp. 63-87.

Holloway, Steven K.: "Relations Among Core Capitalist States: The Kautsky-Lenin Debate

Reconsidered", in: Canadian Journal of Political Science, 16, 2 (June 1983); pp. 321-333.

Hosseini, Hamid: "From Communist Manifesto to Empire: How Marxists Have Viewed

Global Capitalism in History", in: Review of Radical Political Economics, 38, 1 (Winter

2006); pp. 7-23.

Kiely, Ray: "Capitalist Expansion and the Imperialism-Globalization Debate: Contemporary

Marxist Explanations.", in: Journal of International Relations and Development, 8, 1 (2005);

pp. 27-57.

Krishnamurty, J.: "Deindustrialization in Gangetic Bihar during the 19th Century: Another Look at

Evidence", in: Indian Economic and Social History Review, 22, 4 (October 1985); pp. 399-416.

Lenin, Wladimir Iljitsch (1977): Imperialism as the Highest Stage of Capitalism

http://www.marxists.org/archive/lenin/works/1916/imp-hsc/index.htm, chap. 4 and 5, pp. 240-

254

Luxemburg, Rosa (1923): The Accumulation of Capital,

http://www.marxists.org/archive/luxemburg/1913/accumulation-capital/index.htm, section one,

chap 7 and 8

Marx, Karl; Engels, Friedrich (1972): The Law of the Tendency of the Rate of Profit to Fall, Ch. 13:

th

The Law as Such, http://www.marxists.org/archive/marx/works/1894-c3/index.htm

Okishio, Nobuo "Technical Change and the Rate of Profit", in: Kobe University Economic Review, 7

(1961); pp. 85-99.Warren, Bill: "Imperialism and Capitalist Industrialisation", in: New Left Review,

81 (September-October 1973); pp. 3-44.

Sutton, Alex: "Towards An Open Marxist Theory of Imperialism", in: Capital and Class, 37,

2 (June 2013); pp. 217-237.

Yaffe, David: "The Marxian Theory of Crisis, Capital and the State", in: Economy and

Society, 2, 2 (May 1973); pp. 186-232.

Session 8: Crisis blocks expansion: The 1930s and the 2010s as underconsumptionist crises

The crisis of the 1930s was underconsumptionist in nature and ultimately caused by the weakening of

labour, and so is the actual crisis.

Basic

Elsenhans, Hartmut: "The Great Depression of the 1930s and the Third World", in:

International Studies, 28/3 (1991); pp. 273-290.

Holt, Charles F.: "Who Benefited from the Prosperity of the Twenties", in: Explorations in

Economic History, 14, 3 (July 1977); pp. 277-289.

Kreps, I.J.: "Dividends, Interest, Profit, Wages 1923-1935", in: Quarterly Journal of

Economics, 49, 4 (August 1935); pp. 561-599.

Sweezy, Alan: "The Keynesians and Government Policy 1933-1939", in: American

Economic Review, 62, 2 (May 1972); pp. 116-124.

Additional

Greasley, David; Madsen, Jakob B.; Oxley, Les: "Income Uncertainty and Consumer Spending

during the Great Depression”, in: Explorations in Economic History, 38 (2001); pp. 225-251.

Holtfrerich, Carl Ludwig: "Alternativen zu Brünings Wirtschaftspolitik in der

Weltwirtschaftskrise", in: Historische Zeitschrift, 235, 3 (December 1982); pp. 605-635.

Temin, Peter: The Beginning of the Great Depression in Germany, in: Economic History Review, 24, 2

(1971); pp. 240-248.

Session 9: Underdevelopment, raw materials, terms-of- trade

Exploitation versus Dutch disease and obstacles to transformation. Underdevelopment is not caused by

exploitation but growth-impeding inegalitarian structures. Overcoming underdevelopment depends on

orienting the growth process to mass needs. Good terms of trade are not necessarily good for

development. Underdevelopment is the result of stalled capitalism, not of capitalist expansion.

Underdevelopment is characterized by a surplus of labour and a surplus of financial resources,

ultimately by rent.

Literature:

Basic

Cypher, James Martín: "South America's Commodities Boom: Developmental

Opportunity or Path Dependent Reversion?", in: Canadian Journal of Development

Studies, 30, 3-4 (2010); pp. 635-662.

Elsenhans, Hartmut: "Overcoming Underdevelopment. A Research Paradigm", in: Journal of

Peace Research, 12, 4 (December 1975); pp. 293-313.

Elsenhans, Hartmut: "Rent, State and the Market: The Political Economy of the Transition to

Self-sustained Capitalism”, in: Pakistan Development Review, 33, 4 (1994); pp. 393-428.

Lewis, William Arthur: "Economic Development with Unlimited Supply of Labour", in:

Manchester School of Economic and Social Studies, 22, 2 (May 1954); pp. 139-191.

Mahon, James E.: "Was Latin America Too Rich to Prosper? Structural and Political

Obstacles to Export-Led Industrial Growth", in: Journal of Development Studies, 28, 2

(January 1992); pp. 241-263.

Prebisch, Raúl: "The Economic Development of Latin America and its Principal Problems, in:

Economic Bulletin for Latin America, 7, 1 (1962); pp. 1-22.

Sapsfood, David; Balasubramayam, V. N.: "The Long-run Behavior of the Relative Price of

Primary Commodities: Statistical Evidence and Policy Implications”, in: World Development,

22, 11 (1994); pp. 1737-1745.

Singer, Hans Wolfgang: "U.S. Foreign Investment in Underdeveloped Areas: The Distribution

of Gains between Investing and Borrowing Countries”, in: American Economic Review, 40/2

(1950); pp. 473-485.

Additional

Bresser-Pereira, Luiz Carlos: "The Dutch Disease and Its Neutralization: a Ricardian

Approach", in: Brazilian Journal of Political Economy, 28, 1 (January-March 2008); pp. 47-

71.

Canel, Eduardo; Idemudia, Uwafiokun; North, Liisa L.: "Rethinking Extractive Industry:

Regulation, Dispossession, and Emerging Claims", in: Canadian Journal of Development

Studies, 30, 1-2 (2010); pp. 5-25.

Grabowski, Richard: "Resource-based economies and deindustrialisation: an Indonesian

perspective on sub-Saharan Africa", in: Canadian Journal of Development Studies, 37, 1

(2016); pp. 27 - 46.

Leff, Nathaniel H.: "Tropical Trade and Development in the 19th Century: The Brazilian Case”, in:

Journal of Political Economy, 81, 3 (1973); pp. 678-696.

Strassmann, W. Paul: "Economic Growth and Income Distribution", in: Quarterly Journal of

Economics, 70, 3 (August 1956); pp. 425-440.

Session 10: The golden three post-world-war II decades

Growth by checks on the powerful in the West. The so-called Fordist regime of accumulation

realized the conditions of growth for capitalism in the hitherto most developed form. Its basis was the

political rise of the working classes in the wake of the defeat of fascism and the connections between

the bourgeoisies with fascism

Basic

Apple, Nixon: "The Rise and Fall of Full Employment in Capitalism", in: Studies in

Political Economy, 4 (Autumn 1980); pp. 5-40.

Baran, Paul A.; Sweezy, Paul M.: Monopoly Capital: An Essay on the American Economic and

Social Order (New York: Monthly Review Press, 1966); pp. 52-78 and 112-141.

Gordon, David M.; Edwards, Richard; Reich, Michael: "Long Swings and Stages of

Capitalism", in: Kotz, David; MacDonough, Terrence; Reich, Michael (eds.): Social Structure of

Accumulation (Cambridge et al.: Cambridge University Press, 1994); pp. 11-28.

Lipietz, Alain: "The Post-Fordist World: Labour Relations, International Hierarchy and Global

Ecology", in: Review of International Political Economy, 4, 1 (1997); pp. 1-41.

Panitch, Leo; Gindin, Sam: "Global Capitalism and American Empire", in: Socialist

Register, 40 (2004); pp. 1-42.

Reich, Michael: "How Social Structures of Accumulation Decline and Are Built", in: Kotz,

David; MacDonough, Terrence; Reich, Michael (eds.): Social Structure of Accumulation

(Cambridge et al.: Cambridge University Press, 1994); pp. 29-49.

Additional

Boix, Carles: "Partisan Governments, the International Economy, and Macroeconomic

Policies in Advanced Nations, 1960-1993", in: World Politics, 53, 1 (October 2000); pp. 38-

73.

Boyer, Robert: How and Why Capitalisms Differ. MPIfG Discussion Paper 05/4 (Cologne: Max-

Planck-Institut für Gesellschaftsforschung, 2005).

Ferrera, Maurizio: "The European Welfare State: Golden Achievements, Silver Prospects", in:

West European Politics, 31, 1-2 (2008); pp. 82-107.

Hanes, Christopher: "Changes in the Cyclical Behaviour Real Wage Rates", in: Journal of Economic

History, 56, 4 (December 1996); pp. 837-861.

Jessop, Bob: "Thatcherism and Flexibility: The White Heat of a Post-Fordist Revolution", in: Jessop,

Bob; Kastendiek, Hans; Nielsen, Klaus (eds.): The Politics of Flexibility: Restructuring State and

Industry in Britain, Germany and Scandinavia (Aldershot: Edward Elgar, 1991); pp. 135-161.

Lipietz, Alain: The Globalisation of the General Crisis of Fordism (Paris: SNID Occasional Paper No

84-203, Queen‟s University, Kingston 1984).

Lipietz, Alain: Towards Global Fordism, in: New Left Review, 132 (1981); pp. 33-47.

Reich, Michael; Gordon, David M.; Edwards, Richard: "A Theory of Labour Market Segmentation",

in: American Economic Review, 63, 2 (May 1973); pp. 358-365.

Rohse, Knuth; Jürgens, Ulrich; Malsch, Thomas: From 'Fordism' to 'Toyotism'? The Social

Organisation of the Labor Process in the Japanese Automobile Industry, in: Politics and Society, 14/2

(1985); pp. 115-146.

Session 11: The rise and demise of real socialism

Real socialism was popular when capitalism was characterised by a lack of demand and therefore a

lack of investment. Full employment capitalism was superior to real socialism because more

efficient in the use of capital.

Literature:

Basic

Ark, Bart van: The Manufacturing Sector in East Germany. A Reassessment of Comparative

Productivity Performance 1950-1988, in: Jahrbuch für Wirtschaftsgeschichte, 36/2 (1995); pp. 75-89.

Bergson, Abram: Communist Efficiency Revisited, in: American Economic Review, 82/2 (1992); pp.

26-30.

Elsenhans, Hartmut: The Rise and Fall of Really Existing Socialism, in: Journal of Social Studies, 87

(2000); pp. 1-16.

Additional

Bergson, Abram: The USSR before the Fall: How Poor and Why, in: Journal of Economic Perspectives,

5/4 (1991); pp. 29-44.

Desai, Padma; Martin, Ricardo: Efficiency Loss from Resource Misallocations in Soviet Industry, in:

Quarterly Journal of Economics, 98/3 (August (1983); pp. 441-456.

Session 12: Export-led industrialisation of the periphery on the basis of exploitation,

devaluation and social transformation

Export led industrialisation depends on the capacity to devalue and not on low real wages.

Devaluation depends on the capacity to produce a surplus of wage goods. The more egalitarian a

society, the greater the chances to benefit from export-led growth. Export-led growth can go with

rent appropriation.

Literature:

Basic

Bairoch, Paul: "Globalization, Myths and Realities: One Century of External Trade and

Foreign Investment", in: Boyer, Robert; Drache, Daniel (eds.): States Against Markets. The

Limits of Globalization, (London 1996); pp. 173-192.

Chen, Haichun; Gordon, M.J.; Zhiming, Yan: "The Real Income and Consumption of an

Urban Chinese Family", in: Journal of Development Studies, 31, 1 (October 1994); pp. 201-213.

Elsenhans, Hartmut: "Globalisation, Devaluation and Development", in: Rajasthan Economic

Journal, 27, 1 (October 2004); pp. 1-14.

Elsenhans, Hartmut: "Macroeconomics in Globalization: Productivity, Wages, Profits, and

Exchange Rates in an Era of Globalization", in: Brazilian Journal of Political Economy, 22/85

(2002); pp. 53-78.

Additional

Bowles, Paul; Wang, Boatai: "'Flowers and Criticism': The Political Economy and the Renminbi

Debate", in: Review of International Political Economy, 13, 2 (Spring 2006); pp. 233-257.

Elsenhans, Hartmut: "A Benign Globalization vs. a Doomsday Scenario: How to Make Globalization

in a Capital and Welfare Perspective", in: Review of Global Politics (Taipeh), 10 (2005); pp. 1-66.

Elsenhans, Hartmut: "A Convoy Model vs. an Underconsumptionist Model of Globalisation", in:

Convergence Asia(Lukhnow), 2, 2 (April-June 2004); pp. 15-33.

Elsenhans, Hartmut: "Globalisation in a Labourist Keynesian Approach", in: Journal of Social Studies,

89 (July-September 2000); pp. 1-66.

Elsenhans, Hartmut: "Social Consequences of the NIEO. No Change for Continued Reformist

Strategies in the Centre Without Structural Change in the Periphery", in: Jahn, Egbert; Sakamoto,

Yoshikazu (eds.): Elements of World Instability: Armaments, Communication, Food, International

Division of Labour. Proceedings of the Eighth International Peace Research Association Conference,

Frankfort on the Main (1981); pp. 86-95.

Khan, Mushtaq H.: "Rents, Efficiency and Growth", in: Khan, Mushtaq H.; Jomo, Kwame Sundaram

(eds.): Rents, Rent-Seeking and Economic Development. Theory and Evidence in Asia (Cambridge et al.:

Cambridge University Press, 2000); pp. 21-69.

Session 13: The globalisation of financial markets and a new rentier class

Financialization disempowered labour and real capital, and depends on political protection as any

other rent structure. Limiting financialisation requires rising mass incomes.

Literature:

Basic

Epstein, Gerald; Power, Dorothy: Rentier Incomes and Financial Crises: An Empirical

Examination of Trends andCycles in Some OECD Countries. Working Papers Series No.

57 (University of Massachusetts, Amherst: Department of Economics and Political

Economy Research Institute (PERI), 2003)

Hein, Eckhard: "Shareholder Value Orientation, Distribution and Growth - Short- and

Medium-Run Effects in a Kaleckian Model", in: Metroeconomica (Oxford), 61, 2 (May 2010); pp.

302-332.

Helleiner, Eric: "Explaining the Globalization of Financial Markets: Bringing States Back in",

in: Review of International Political Economy, 2/2 (1995); pp. 315-342.

Kregel, Jan A.: "Derivatives and Global Capital Flows: Applications to Asia", in: Cambridge

Journal of Economics, 22/6 (1998); pp. 677-692.

Onaran, Özlem; Stockhammer, Engelbert; Grafl, Lucas: "Financialisation, Income

Distribution and Aggregate Demand in the USA", in: Cambridge Journal of Economics,

35, 3 (July 2011); pp. 637-661.

Additional

Hein, Eckhard: "Finance-Dominated Capitalism, Re-Distribution, Household Debt and Financial

Fragility in a Kaleckian Distribution and Growth Model", in: PSL Quarterly Review, 65, 260 (2012);

pp. 11-51.

Hein, Eckhard: "'Financialisation', Distribution and Growth", in: Hein, Eckhard; Stockhammer,

Engelbert (eds.): A Modern Gudie to Keynesian Macroeconomics (Aldershot; Brookfield, Vt.;

Cheltenham: Edward Elgar, 2011); pp. 294-324.

Medley, Joseph E.: The East Asian Economic Crisis: Surging U.S. Imperialism?, in: Review of

Radical Political Economics, 32/3 (2000); pp. 379-389.

Nitzan, Jonathan: "Regimes of Differential Accumulation: Mergers, Stagflation and the Logic of

Globalization.", in: Review of International Political Economy, 8, 2 (Summer 2001); pp. 226-274.

Treeck, Till van: "The Political Economy Debate on 'Financialization'- A Macroeconomic

Perspective", in: Review of International Political Economy, 16, 5 (December 2009); pp. 907-

944.

Session 14: The ideology of a growing world civil society

The NGO dominated international civil society is an extension of a rent-based middle class structure

and develops in the interest of increasingly dependent middle-classes.

Literature:

Basic

Elsenhans, Hartmut: "Good Governance as a Means of Taming the Rent: The Role of the State

in Newly Industrialising Countries", in: Jain, Randhir Bahadur (ed.): Governing Development:

Challenges and Dilemmas of an Emerging Sub-Discipline in Political Science (Opladen;

Farmington Hills: Barbara Budrich, 2007); pp. 129-146.

Elsenhans, Hartmut: "Marginality, Rent and Non-Governmental Organizations", in: Indian Journal of

Public Administration, 41, 2 (April-June 1995); pp. 139-159.

Elsenhans, Hartmut; Warnecke-Berger, Hannes: "Non-Governmental Organisations

and Development", in: Kellow, Aynsley; Murphy-Gregory; Hannah (Hg.): Handbook on

NGOs (Aldershot; Brookfield, Vt.; Cheltenham: Edward Elgar, 2017);. forthcoming.

Hearn, Julie: "African NGOs: The New Compradors?", in: Development and Change,

38, 6 (2007); pp. 1095-1110.

Additional

Barr, Abigail; Fafchamps, Marcel; Owens, Trudy: "The Governance of Non-Governmental

Organizations in Uganda", in: World Development, 33, 5 (May 2005); pp. 657-679.

Chishti, Sumitra: "Globalization, International Economic Relations and the Developing Countries",

in: International Studies, 39/3 (2002); pp. 227-243.

Fisher, Julie: "Is the Iron Law of Oligarchy Rusting Away in the Third World", in: World

Development, 22/2 (1994); pp. 129-143.

Ghosh, Sujay: "NGOs as Political Institutions", in: Journal of Asian and African Studies

(Leiden), 44, 5 (October 2009); pp. 475-495.

Grodsky, Brian: "Co-optation or Empowerment? The Fate of Pro-Democracy NGOs after the Rose

Revolution", in: Europe Asia Studies, 64, 9 (November 2012); pp. 1684-1708.

Hellinger, Dough: "NGO's and the Large Aid Donors: Changing the Terms of Engagement", in:

World Development, 15, Suppl. (1987); pp. 135-143.

Jung, Benjamin: "NGOs as Shadow Pseudopublics: Grassroots Community Leaders‟ Perceptions of

Change and Continuity in Porto Alegre, Brazil", in: American Ethnologist, 39, 2 (May 2012); pp.

407-424.

King, Sophie: "Increasing the Power of the Poor? NGO-led Social Accountability Initiatives

and Political Capabilities in Rural Uganda", in: European Journal of Development Research,

27, 5 (December 2015); pp. 887-902.

Langohr, Vickie: "Too Much Civil Society, Too Little Politics. Egypt and Liberalizing Arab

Regimes", in: Comparative Politics, 36, 2 (January 2004); pp. 181-204.

Mageli, Eldrid: "Exploring the NGO Environment in Kolkata: The Universe of Unnayan, Chhinnamul

and Sramajibi", in: European Journal of Development Research, 17, 2 (June 2005); pp. 249-269.

Marcussen, Henrik Secher: "NGOs, the State and Civil Society", in: Review of African Political

Economy, 24/69 (1996); pp. 405-423.

Pinto-Duschinsky, Michael: "The Bad Government of „Good Government‟: Some Problems of „Civil

Society‟ Organisations", in: Jain, Randhir Bahadur (ed.): Governing Development: Challenges and

Dilemmas of an Emerging Sub-Discipline in Political Science (Opladen; Farmington Hills: Barbara

Budrich, 2007); pp. 147-164.

Reith, Sally: "Money, Power, and Donor–NGO partnerships", in: Development in Practice,

20, 3 (May 2010); pp. 446-455.

Smith, Daniel Jordan: "Corruption, NGOs, and Development in Nigeria", in: Third World

Quarterly, 31, 2 (2010); pp. 243-258.

Townsend, Janet Gabriel: "Are Non-Governmental Organizations Working in Development a

Transnational Community", in: Journal of International Development, 11, 4 (1999); pp. 613-623.

Zaidi, S. Akbar: "NGO Failure and the Need to Bring Back the State", in: Journal of

International Development, 11, 2 (March/April 1999); pp. 259-271.

Session 15 : The trends of the current crisis

The actual crisis documents a tendency to globalisation of rent which is reinforced by the opposition of

so-called progressive middle-class groups to global capitalism order what they consider as global

capitalism.

Literature:

Basic

Bresser-Pereira, Luiz Carlos: "The 2008 Financial Crisis and Neoclassical Economics",

in: Brazilian Journal of Political Economy, 30, 1 (January-March 2010); pp. 3-26. Elsenhans, Hartmut: "A Benign Globalization vs. a Doomsday Scenario: How to Make

Globalization in a Capital and Welfare Perspective", in: Review of Global Politics, 10 (April

2005); pp. 1-66.

Elsenhans, Hartmut: Saving Capitalism from the Capitalists. A Contribution to Global and

Historical Keynesianism (Beverly Hills, Cal.; London; New Delhi: Sage, 2014); 158-202.

Palma, Jose Gabriel: "The Revenge of the Market on the Rentiers: Why Neo-liberal

Reports of the End of History Turned Out to Be Premature", in: Cambridge Journal of

Economics, 33, 4 (July 2009); pp. 829-869.

Additional Elsenhans, Hartmut: "Capitalism - an Achievement of Labour: Empowerment of Labour and Rising

Mass Incomes as a Condition of Capitalist Growth", in: Erwägen - Wissen - Ethik, 26, 4 (2015); pp.

601-625.

Elsenhans, Hartmut: "Defending Spirit of Capitalism against Renters", in: Journal of Contemporary

Studies, 3, 1 (2015); pp. 1-17.

Elsenhans, Hartmut: "Eurocrisis, Neoliberalism and the Keynesian Solution: How to Use the Crisis

for Renovating Capitalism", in: Journal of European Studies (Karachi), 31, 1 (January 2015); pp. 1-26.