Trump and ‘Technodepreciation’. GLOBAL STRATEGIC HYPOTHESES.

  

Trump and ‘Technodepreciation’.

  

GLOBAL STRATEGIC HYPOTHESES.

 

 

 

 

 

 

 

Dear Reader,

 

I’ve seen evidence for some years now that Trump understands ‘technodepreciation’ – understands that its negative impact on profits puts a damper on the willingness of industrial capitalists to risk investing their capital in new factories, new plant and equipment, new fixed capital.

Trump’s remarks at the FII’s [Future Investment Initiative Institute’s] Priority Miami 2025 Conference re-affirmed Trump’s understanding of the ‘techno-depreciation’ brake on industrial investment maintenance and expansion. 

 

In Trump’s first Presidential term, he fought for changes to U. S. tax law that authorized 100% expensing of the costs of such fixed capital investment in the first year of such investment.  

Trump even stated, in his FII 2025 remarks, that this 100% expensing policy was, he believed, a main reason for his first term economic successes in partially resuscitating U.S. industry, before the COVID plandemic intervened.

 

 

This ‘immediate depreciation’ of industrial capital investment does not fully solve the problem of the ‘technodepreciation’ driver of the ‘‘‘tendency of the general rate of profit on capital to fall’’’.  For our proposed, trans-capitalist solution to this “fatal flaw” of capitalism, see --

http://www.dialectics.info/dialectics/Applications_files/Edition%201.,%20DPCAIT_,_Part_1_,_%27THE_MISSING_BLUEPRINTS%27_,_begun_22JUL2022_Last_Updated_08AUG2023.pdf

 

However, such ‘instant depreciation’ does substantially mitigate ‘technodepreciation risk’ for industrial capitalists, increasing the likelihood of new major fixed capital investments in the United States.

 

How?

 

Suppose that, as typically in the past, fixed capital is “wear-and-tear”-depreciated over, say, 10 years, e.g., with (1/10)th of the original investment cost of that fixed capital charged as depreciation business expense for each of those ten years, until, in the 10th year, that investment-cost has become “fully amortized”, or “fully depreciated”. 

 

In that case, the U. S. fixed capital investment has 10 years of exposure to ‘technological obsolescence depreciation’ if key competitors –  e.g., in China, or in other BRICS nation-states, or in other nation-states of the, rapidly-industrializing, and typically lower-wage, former “Third World” – install fixed capital, producing commodities for the same markets, that is, e.g., more productive, and/or cheaper to purchase, and/or cheaper to operate than the U. S. fixed capital in question.

 

If such “competitive technological obsolescence depreciation” – ‘technodepreciation’ – occurs during those 10 years, then, typically, the “unamortized”, “undepreciated portion” of the original investment cost of that U. S. fixed capital must be “written-off”: subtracted from gross profit for the accounting period in which this “moral depreciation” [Marx] is recognized, thus lowering net profit for that accounting period. 

 

If this kind of depreciation occurs frequently – as it can in a competitive world market where rapid technological advancement is accelerating, i.e., where the “growth of the social forces of production” [Marx] is accelerating, and the Rocke-Nazi’s, “Third World”, ‘servant dictatorships’, set-up to suppress capitalist industrialization there, have been overthrown – then an extended secular fall in the rate of profit can result, as first broadly seen in the ~1870 to ~1890 ‘“Great [Techno-]Deflation”’, the capitalist ruling class ‘psychohistorical trauma’ that triggered the formation of the, ‘‘‘psycho’’’, ‘Rocke-Nazi’ faction of the U.S./U.K. ruling class, and the descent into the ‘descendence phase’ of the capitalist epoch itself.

 

Trump’s “immediate depreciation” policy, which he stated he is planning to fully implement in his present Presidential term, at least allows the immediate recovery, via “depreciation expense”, of the full investment cost of the fixed capital in question, not in 10 years, but in just 1 year, the very first year, of that fixed capital investment.

Even with this ultimate “accelerated depreciation” policy in operation, industrial capitalists still face the adverse profit, and adverse profit-rate, ‘technodepreciation’ impacts of having to scrap fixed capital long before it wears out physically, due to actual, physical “wear and tear”. 

Even worse for their profitability, they have to purchase the newer, better fixed capital, that forced the scrapping of their older fixed capital, thus having to pay debt service expense, contra-gross-profit, for, e.g., 30 years of accounting-period-after-accounting-period, on, e.g., two loans – the still not-fully-repayed loan on the scrapped fixed capital, and the new loan, used to purchase the new, better fixed capital replacement – or face insolvency due to debt default.  

Meanwhile, the, e.g., former “Third World” industrial capitalists are paying debt service on, e.g., only one loan, the loan that they had used to purchase and install the new, better fixed capital that outcompeted the old fixed capital, and that thus forced the scrapping of that older fixed capital, e.g., for the U.S. industrial capitalists.

This puts, e.g., the “First World” industrial capitalists at, as they say, “a competitive dis-advantage” relative to the, e.g., former “Third World” new entrants to world market industrial capitalist competition. 

 

 

 

 

 

 

 

For more information regarding the Seldonian insights, please see --

 

www.dialectics.info

 

 

 

 

 

 

 

 

 

 

 

 

For partially pictographical, ‘poster-ized’ visualizations of many of these Seldonian insights -- specimens of ‘dialectical art’ – as well as dialectically-illustrated books, published by the F.E.D. Press, see –

 

https://www.etsy.com/shop/DialecticsMATH

 

 

 

 

 

 

 

 

 

 

 

¡ENJOY!

 

 

 

 

 

 

 

 

 

 

 

Regards,

 

 

 

 

Miguel Detonacciones,

 

Voting Member, Foundation Encyclopedia Dialectica [F.E.D.];

Elected Member, F.E.D. General Council;

Participant, F.E.D. Special Council for Public Liaison;

Officer, F.E.D. Office of Public Liaison.

 

 

 

 

 

 

YOU are invited to post your comments on this blog-entry below!

 

 

 

 

 

 

 

SOLUTION –

 

‘Equitist Political-ECONOMIC DEMOCRACY’; 

 

BOOK:

MARX’S MISSING BLUEPRINTS

Free-of-Charge Download of Book PDF –

http://www.dialectics.info/dialectics/Applications.html

http://www.dialectics.info/dialectics/Applications_files/Edition%201.,%20DPCAIT_,_Part_1_,_%27THE_MISSING_BLUEPRINTS%27_,_begun_22JUL2022_Last_Updated_08AUG2023.pdf

 

Hardcover Book Order –

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Clip from a Recent Conversation. GLOBAL STRATEGIC HYPOTHESES.

 

 

 

 

 

 

 

 

 

 

 

Clip from a Recent Conversation.

 

GLOBAL STRATEGIC HYPOTHESES.

 

 

 

 

 

 

 

Dear Reader,

 

The following excerpt, from one of my recent conversations, is offered here for your consideration [edited for typos/spelling, grammar, length, and clarity].

 

 

 

 

 

 

Conversation Partner: “It is so exciting -- the awesome people that Trump is getting confirmed for his cabinet!!  Today Kennedy…

Great times ahead!!!!”

 

 

 

 

 

M.D.: Yes, Trump’s cabinet picks are brilliant, and almost all have by now been confirmed by the U. S. Senate.

 

Trump is kicking Rockefeller butt, all over the planet, like nobody has ever kicked Rockefeller butt before!

 

Hence, the ‘F*ckafeller’ minions, and the ‘Rottenfellers’ themselves, are now peeing their adult diapers, also all over the planet.

 

This is a kind of bloodless revolution, in the form of a transition of power, to the new, Roosevelt-Faction-like Trump Faction of the capitalist ruling class, from the, losing, Rockefeller Faction of the capitalist ruling class.

 

And it seems that Trump is working to redress, and to reverse, the horrific consequences of the Rockefeller Faction’s coup d’état, in the ‘60s, in which Rockefeller-orchestrated hit-men murdered the leaders of the Roosevelt Faction -- President JFK, Robert Kennedy, Sr., Martin Luther King, Jr., ..., Medgar Evers,..., Dorothy Kilgallen, and many, many others – “decapitating”, and overthrowing, the Roosevelt Faction that had been in power since the Great Depression.

 

Trump is –

(1) releasing the illegally long-withheld/buried files on the first three assassinations listed above, which may prove the Rockefeller Faction’s ordering of those assassinations;

 

(2) closing the Rockefeller-Faction’s/Biden’s “open borders”, which, among many other benefits, will stem the downward pressure on U. S. wages of desperate illegal immigrants, willing to work for the lowest survivable wage imaginable, and will also stem their upward pressure on rents and home prices, and block the Rockefeller-“owned” drug cartels from debilitating/-killing more Americans, with Fentanyl, etc.;

 

(3) penalizing U. S. colleges and universities that impose Mengele-like COVID vaccine mandates on students;

 

(4) terminating the Rockefeller Faction’s reproduction suppressing “transgender” chemical and surgical genital mutilation and ‘neuterization’/sterilization of minors, without parental consent;

 

(5) shutting down US participation in the Paris “Climate” Accords [i.e., the Rockefeller Faction’s, “People Are Pollution”, ‘Humanocide Accords’];

 

(6) restoring U.S. women’s athletics against their Rockefeller Faction/Biden-destruction via invading “transgender” biological males;

 

(7) tariff-protecting new U. S. “infant” industries, trying to re-industrialize the United States, after the last ~ 60 years of Rockefeller-Faction-contrived de-industrialization of the U. S., and hence real-wages-reduction for the U. S. majority class;

 

(8) combating Rockefeller Faction/“Federal Reserve”/Biden[-hyper-in]flation, by ramping up U. S. energy production, to raise U. S. balance of payments energy income, and to raise U. S./global energy supply, to thereby also lower energy prices, and hence to lower the prices of almost all other goods, almost all of which require such energy for their production, and thus must incorporate energy prices into their output prices, thus reversing the Rockefeller-Faction-contrived hyperinflation, and putting a damper on the energy income, hence the military budgets, of nation-states like Russia and Iran, making them more prone to negotiate for peace;

 

(9) reigning-in the – formerly Rockefeller Faction/New York Council on Foreign Relations “owned” – U. S. Department of State, under Marco Rubio;

 

(10) reigning-in the formerly Rockefeller-Faction-“owned”, rogue CIA, under new DNI Tulsi Gabbard;

 

(11) reigning-in the Orwellian ‘Department of Indoctrination’, falsely called the “U. S. Department of Education” ever since its Rockefeller Faction takeover, whereby it relentlessly pushes, on the States, divide-and-conquer “critical race theory”, divide-and-conquer “DEI” indoctrination, anti-reproduction abortion-ism/homosexuality/“transgender”-ism/“people are pollution” ‘ecologism’, etc., etc., etc.;

 

(12) curbing of Rockefeller-Faction-orchestrated fraud, waste and abuse of U. S. taxpayer dollars, toward lowering U. S. majority-class income tax rates, to help ‘re-prosperize’ the U. S. majority class;

 

Etc., etc., etc.,…

 

 

 

 

 

 

For more information regarding the Seldonian insights, please see --

 

www.dialectics.info

 

 

 

 

 

 

 

 

 

 

 

 

For partially pictographical, ‘poster-ized’ visualizations of many of these Seldonian insights – specimens of ‘dialectical art’ – as well as dialectically-illustrated books, published by the F.E.D. Press, see –

 

https://www.etsy.com/shop/DialecticsMATH

 

 

 

 

 

 

 

 

 

 

 

¡ENJOY!

 

 

 

 

 

 

 

 

 

 

 

Regards,

 

 

 

 

Miguel Detonacciones,

 

Voting Member, Foundation Encyclopedia Dialectica [F.E.D.];

Elected Member, F.E.D. General Council;

Participant, F.E.D. Special Council for Public Liaison;

Officer, F.E.D. Office of Public Liaison.

 

 

 

 

 

 

YOU are invited to post your comments on this blog-entry below!

 

 

 

 

 

 

 

SOLUTION –

 

‘Equitist Political-ECONOMIC DEMOCRACY’; 

 

BOOK:

MARX’S MISSING BLUEPRINTS

Free-of-Charge Download of Book PDF –

http://www.dialectics.info/dialectics/Applications.html

http://www.dialectics.info/dialectics/Applications_files/Edition%201.,%20DPCAIT_,_Part_1_,_%27THE_MISSING_BLUEPRINTS%27_,_begun_22JUL2022_Last_Updated_08AUG2023.pdf

 

Hardcover Book Orders –

http://www.dialectics.info/dialectics/F.E.D._Press.html

https://www.etsy.com/shop/DialecticsMATH

 

 

 

 

 

 

 

 

 

 

Part 10. b. Marxian Theory Series. ‘DescendEnce-Phase’ Capitalism. GLOBAL STRATEGIC HYPOTHESES.

 

  

 

 

 

 

 

 

 

Part 10. b. Marxian Theory Series.

 

 

‘Descendence-Phase’

Capitalism.

 

 

GLOBAL STRATEGIC HYPOTHESES.

 

 

 

 

 

 

 

Dear Reader,

  

It is my pleasure, and my honor, as an elected member of the Foundation Encyclopedia Dialectica [F.E.D.] General Council, and as a voting member of F.E.D., to share, with you, from time to time, as they are approved for public release by the F.E.D. General Council, Foundation discourses on key elements of Seldonian Psychohistorical Theory.

 

The second part of the 10th text in this new such series is posted below [Some E.D. standard edits have been applied, in the version presented below, by the editors of the F.E.D. Special Council for the Encyclopedia, to the direct transcript of our co-founder’s discourse].

 

 

 

 

 

 

 

 

 

 

 

Seldon –

 

[Continuation, Part b.] “The foregoing hypotheses should help to clarify the practical, ‘praxical’ reality, the empirical manifestation, and the material mechanism of Marx’s ‘“Law of the Tendency of the General Rate of Profit to Fall”’.”

 

“The algebraic and arithmetical, formal causation of the Marxian rate of profit ratio to fall, in Marx’s mathematical model of the abstract core of “the concept of capital” and of “the capital-relation”, is not the same as the [psycho]physical, human praxis, material causation of that profit-rate fall.”  

“Nor is Marx’s, analytically deep and correct algebraic formula for the “core” profit-rate ratio the same as the profitability metrics that capitalists use in, e.g., their capital investment decision-making.”

 

“The psychohistorical «mentalité» that is definitive of the typical capitalist is, precisely, the «mentalité» that denies that [wage-]labor[-time] is the root-source of capital-value, hence also of profit.  The capitalist «mentalité» does not see wage-labor as the ultimate source of profit, or wages as a “capital investment”; as Marx’s “v”, “variable capital”.  On the contrary, the capitalist «mentalité» sees wages as a mere expense among other business expenses.” 

 

“The capitalist «mentalité» sees CAPITAL as the source of profit.  Their profit rate metrics are ratios that involve a profit metric in the numerator, and a capital metric – e.g., fixed capital-value invested – in the denominator.  Thus, a major such metric is “ROI” – “return on Investment”, r/I.

 

“The ‘algebraic causation’ of the profit-rate fall, in Marx’s “core” profit-rate ratio, which is not visible to capitalist mentalities, or on “the surface of society” [Marx’s phrase], is the relatively unlimited rise in Marx’s “organic composition of capital” ratio, (c/v), in the context of the more limited rate of exploitation of labor ratio, (s/v).  This is because, in terms of Marx’s concept of “relative surplus-value”, worker’s cannot even work 24 hours per work-day as “surplus-labor” for the capitalists’ “surplus-value”-based profit, with none of that 24 hours going to “necessary labor”, i.e., to reproducing the cost of their labor-power, their wages-cost, v.”

 

“Let’s look at Marx’s algebraic profit-rate ratio in a form which reveals, more directly, the relation of its sub-ratios, (s/v) and (c/v).  We can multiply the standard Marxian profit-rate ratio, s/(c + v), by 1, in the specific form of ((1/v)/(1/v)), a multiplication that should not change any “arithmetic” value of that algebraic profit-rate ratio as long as v does not become 0 –

 

((1/v)/(1/v)) x (s/(c + v))   =   (s/v)/( (c/v) + 1)

 

 – which visualizes how, if the magnitude of (c/v) grows faster than that of (s/v) for long, and as (s/v) eventually stops growing at all, in “relative surplus-value” terms, the resulting bigger-in-magnitude-than-the-numerator denominator will pull the value of the profit-rate ratio as a whole down.” 

 

“Now, we contend that the (s/v)/( (c/v) + 1) profit-rate ratio does not tell the story of the profit-rate fall’s material causation, at the “surface of society” [Marx’s phrase], in practical/‘praxical’ terms.”

 

“Productive Force”/productivity increases that lower the ‘presentary’ reproduction costs, hence also the market prices, of the commodities that constitute the raw materials costs, and the fixed capital depreciation-costs, in c, and the “means of subsistence”/“wages goods” costs in v, do not reduce the profit rates of an individual capital that buys c and v for its production processes.  On the contrary, “other things being equal”, such reductions in production costs RAISE such a capital’s rate of profit.”

 

“However, productive force/productivity increases that lower the ‘presentary’ reproduction costs of the commodities in the owned fixed capital plant and equipment of such an individual capital do lower profits, and profit rates, in the context of “the competition of capitals” [Marx’s phrase].”

 

“They do so by forcing the “write-off” – the subtraction from gross profit in the period in which those lower reproduction costs are recognized and accounted-for – of the remaining undepreciated portion of the higher original costs of those fixed capital plant and equipment commodities that were ‘pastly’ purchased and that are now owned by the individual capital in question.”

 

CONCLUDED.

 

 

 

 

 

For more information regarding these Seldonian insights, please see --

 

www.dialectics.info

 

 

 

 

 

 

 

 

 

 

 

 

For partially pictographical, ‘poster-ized’ visualizations of many of these Seldonian insights -- specimens of ‘dialectical art’ – as well as dialectically-illustrated books published by the F.E.D. Press, see –

 

https://www.etsy.com/shop/DialecticsMATH

 

 

 

 

 

 

 

 

 

 

 

¡ENJOY!

 

 

 

 

 

 

 

 

 

 

 

Regards,

 

 

 

 

Miguel Detonacciones,

 

Voting Member, Foundation Encyclopedia Dialectica [F.E.D.];

Elected Member, F.E.D. General Council;

Participant, F.E.D. Special Council for Public Liaison;

Officer, F.E.D. Office of Public Liaison.

 

 

 

 

 

 

YOU are invited to post your comments on this blog-entry below!

 

 

 

 

 

 

 

SOLUTION –

 

‘Equitist Political-ECONOMIC DEMOCRACY’; 

 

BOOK:

MARX’S MISSING BLUEPRINTS

Free of Charge Download of Book PDF –

http://www.dialectics.info/dialectics/Applications.html

http://www.dialectics.info/dialectics/Applications_files/Edition%201.,%20DPCAIT_,_Part_1_,_%27THE_MISSING_BLUEPRINTS%27_,_begun_22JUL2022_Last_Updated_08AUG2023.pdf

 

Hardcover Book Order –

http://www.dialectics.info/dialectics/F.E.D._Press.html

https://www.etsy.com/shop/DialecticsMATH