ABSTRACT

According to Marx, one of the most significant contradictions to emerge during the development of capitalism over the long term is the secular movement in the average rate of profits – about which Marx, in his economic model of capitalism, has ventured to make some “risky predictions”. In this chapter, the so-called “law” of the tendency of the rate of profits to fall will be discussed, based on what is said about this topic in Das Kapital, after which it will be evaluated using the linear model of production which featured in previous chapters.