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Knife-Edge Instability and the Rate of Surplus Value: Theory and Empirical Evidence

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Review of Radical Political Economics

Published online on

Abstract

Review of Radical Political Economics, Volume 58, Issue 1, Page 42-58, March 2026.
The Harrodian “knife edge” instability is a salient feature characterizing the inner nature of capitalism, usually explained by the Keynesian notion of “animal spirits.” In this article, we argue that the movement of the rate of surplus value is the ...