Australian Left Review

Article Title

Marxist Theory of Economic Crisis


Pat Vort-Ronald


The object of this article is to present the main aspects of the marxist theory of crisis in capitalist economies, and to give an account of some of the various ways in which bourgeois economists have attempted to deal with capitalism’s contradictions and crises. In particular, the failure of Keynesian policies will be examined, and the elements of the newest weapon of the capitalist state, capitalist economic planning, will be presented. The latter involves political and social policies, as well as economic ones; in particular, the attempt to dampen down the trade union movement through productivity deals, workers’ participation and the like. It is therefore vital for revolutionaries to understand why these policies are being introduced, how they are intended to work, and how they can be resisted.