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Efficiency of capital, though both complicated and strengthened by the accompanying

Changes of other important short-term variables of economic system. To develop this position, the head, and whole would be required not

The book careful research of the facts also would be necessary. However, that

To provide guidance on the direction of research following from the stated Theories, enough below-mentioned short remarks.


We mean such development of the economic by cyclic movement Systems, for example, towards lifting, at which forces causing it

Are accumulated and strengthen one another, but then gradually weaken, while in

The known moment are not replaced with the forces acting in the opposite Direction. In turn counteracting forces get stronger during

Certain time and mutually become more active, while also they, having reached the

Maximum, do not start to decrease, giving way to the contrast. Under

Bearish tendencies, time having begun, do not act infinitely in one and The same direction also that in the end they change it for the opposite.

We believe as well that there is an appreciable regularity in alternation and

In a business cycle there is also one more characteristic feature, which ours

The theory should explain, if it is correct, namely the crisis phenomenon, i.e.

Sudden and sharp, as a rule, upward adjustment change Bearish, whereas at return process of such sharp turn Frequently does not happen.

Any change in investments which is not compensated respective Change of propensity to consumption, will lead, of course, to change Employment. As the volume of investments is subject extremely difficult

To influences, it is rather improbable, that all fluctuations in investments or in

Marginal efficiency of the capital had cyclic character. One special The case, namely connected with agriculture, will be separately considered

In the last paragraph of this chapter. I believe, however, that owing to some

The certain reasons of fluctuation of a marginal efficiency of the capital in the typical

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