Corpus ID: 67761678

Effective demand and Say’s law in Marxist theory: an evolutionary perspective

  title={Effective demand and Say’s law in Marxist theory: an evolutionary perspective},
  author={T. Rotta},
In this paper I theorize the roles of effective demand and Say’s Law in the Marxist theory of exploitation and accumulation. I claim that an exogenous rate of exploitation implies deploying the strongest version of Say’s Law, which leads profit rates not to equalize across sectors. Marx’s own procedure in Capital III was therefore logically mistaken. Once Keynes’ principle of effective demand is introduced, the rate of exploitation, and hence the distribution of income between wages and profits… Expand

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