Prabhat Patnaik: The Structural Crisis of Capitalism

by Prabhat Patnaik
August 3, 2010

There is a very pervasive view that the current capitalist crisis consists exclusively of the financial crisis and, in so far as the financial crisis is now over, the crisis as a whole is over.  This, I believe, is erroneous, and this is because, like Bob Brenner, I also believe that the current financial crisis itself is embedded within a deeper structural crisis of capitalism.  This structural crisis has no signs of getting over, and as a result what we are going to see now is in fact a fairly protracted crisis, a crisis which one would be quite justified even in calling an impasse as far as capitalism is concerned at this moment.  But before that let me try and develop a few things.


Prabhat Patnaik, Centre for Economic Studies and Planning, Jawaharlal Nehru University, New Delhi. This lecture was delivered at the panel on “Derivatives & the Capitalist Crisis: What’s New?” at the Rethinking Capitalism conference held at the University of California, Santa Cruz, on 8 April 2010. The text above is an edited partial transcript of the lecture.



Capitalism Hits the Fan Movie

Michael Hudson and Richard Wolff: Europe Under the Crunch

Why the U.S. Need Not Fear a Sovereign Debt Crisis: Unlike Greece, It Is Actually Sovereign by Dr. Ellen Brown

Webster Tarpley: The Collapse of Europe As the Second Phase In Two World Depressions

11 thoughts on “Prabhat Patnaik: The Structural Crisis of Capitalism

  1. Pingback: In Defense of the Left/Right Distinction by Sean Fenley « Dandelion Salad

  2. Pingback: Law of Value 5: Contradiction by Brendan M. Cooney « Dandelion Salad

  3. Pingback: As Radical As Reality: An Interview with Mickey Z « Dandelion Salad

  4. Pingback: Come On Down! It’s Time to Play “Social Security Survivor”! « Dandelion Salad

  5. Pingback: Of Big Banks and ShoreBank by Ralph Nader « Dandelion Salad

  6. Pingback: We Hold These Truths… By Timothy V. Gatto « Dandelion Salad

  7. Pingback: Keiser Report №68: William K. Black on Fraud in the Financial Sector « Dandelion Salad

  8. Pingback: From Marx to Goldman Sachs: The Fictions of Fictitious Capital by Michael Hudson « Dandelion Salad

  9. A good overview of the current “impasse” of capitalism through mostly well known neoliberal theory …

    Unfortunately this talk deals only with trade and labor theory while ignoring the underlying problem of private central banks using fractional reserve banking.

    His analysis of bubbles was good but ignores the huge bubble underlying these smaller bubbles that represents itself in an aggregate debt of 3.8 times GDP in the US …

    It is the implosion of this mountain of debt is causing our current crisis. As labor is devalued, resources depleted and the environment degraded, debt, future demands on profit become unsustainable. As debt collapses so goes our supply of currency and credit taking the economy along with it.

    The solution is sovereign currencies managed by public utilities that garner the profit and manage the use of credit , worldwide. That and strong tariff policies that protect domestic production, labor rates and the environment …

Comments are closed.