When we reject unemployment as an economic instrument as…
“When we reject unemployment as an economic instrument as we do and when we reject also superficial remedies, as socialists must, then we must ask ourselves unflinchingly what is the cause of high unemployment. Quite simply and unequivocally, it is caused by paying ourselves more than the value of what we produce. There are no scapegoats.”
About This Quote
This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.
High unemployment stems from wages exceeding productive value, not external scapegoats.
In simple terms: Pay exceeds productivity causes job loss.
Key Takeaway
Align wages with output.
Themes
economics
employment
policy
inequality
Mood
analytical
critical
Type
political
economic
When to use this quote
- government budgeting
- business wage setting
- labor negotiations
- education on economics
Key Concepts
labor value
productivity
wage theory
Questions to Reflect On
- How can wages be adjusted without harming workers?
- What policies ensure wages reflect productivity?
A Different Perspective
Ignoring productivity can ignore market signals and cause inflation.