A Reexamination of the Marxian Circuit of Capital: an Econometric Interpretation

The Chief Aim of This Paper Is to Show That My Previous Econometric Works Related to the Circuit of Capital, the Purpose of Which Was to Put Forward a Qualitative Theory of Inflation, Have Their Theoritical Foundation in Marx's Theory of the Circuit of Capital, As Explained in Book 2 of Capital. the Originality of My Contribution Lays in the Introduction of Credit Money As a Fourth Form in Marx's Circuit and in the Demonstration That the Relation Between the Financial Circulation and One Or the Other Form of the Circuit Can Be Adequately Described by a Rational Distributed Lag Function Where the Sum of the Lagged Coefficients Is Equal to the Tobin's Q Value. From This Estimated Value and From the Estimated Value for the Price Coefficient, a Diagnosis About the State of the Crisis of the System (Or Stagflation) Can Be Drawn.