Table 13.2 Factors affecting the decline in the rate of profit

Percentage change in variable

Period of r decline

(1) r

(2) R/Y

(3) Y/TA

1949–1953

–25.85

–34.26

13.02

1955–1957

–21.07

–15.44

–7.99

1959–1960

–10.55

–10.12

–0.48

1965–1969

–31.90

–34.42

0.15

1972–1973

–9.99

–11.25

3.06

1988–1990

–21.42

–20.51

–2.09

1997–2000

–46.49

–37.76

–4.30

Source: US Bureau of Economic Analysis, 2006, Table 1.14; US Federal Reserve System, 2006, Flow of Funds, Z.1 Statistical Release.

Notes

r: rate of profit.

R/Y: share of profit in income (output).

Y/TA: ratio of output (income) to tangible assets.