Investment Contributions against Austerity

18 Pages Posted: 10 May 2013 Last revised: 19 Sep 2014

Date Written: September 18, 2014


The trivial insight that capital accumulation is a socially necessary activity but under capitalist institutions left to the private profit motivated considerations of the financial capitalists leads to the proposal to introduce investment contributions and collective investment funds, democratically controlled by the wage and salary-earners. In this way the full-employment policies can be assured and in addition the funds can be used in the context of the euro area to balance out intra-euro-area trade deficits via direct investments in the deficit areas to increase their productivity. The wage-earner investment funds should in the end crowd out capitalism.

Keywords: economic democracy, full-employment policies, investment contributions, Rehn-Meidner model, Marxian Macroeconomics, wage-earner investment funds

JEL Classification: B1, E22, P21, P33

Suggested Citation

Hagendorf, Klaus, Investment Contributions against Austerity (September 18, 2014). Available at SSRN: or

Klaus Hagendorf (Contact Author)

EURODOS ( email )

20, rue Turgot
Paris, 75009


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