Capitalist economic crisis

The fundamental cause of the capitalist economic crisis is the intensification of the basic contradictions of capitalism, which is specifically manifested as the contradiction between overproduction and underconsumption. When capitalism develops to a certain stage, economic crisis is inevitable, and its main feature is overproduction.

1. Overproduction: The essential feature of the capitalist economic crisis is overproduction. This surplus is a relative surplus, that is, the commodities produced appear to be in excess relative to the demand of the working people with the ability to pay, rather than an absolute surplus compared with the actual needs of the working people.
2. Money circulation and credit crisis: The possibility of economic crisis is caused by money as a means of circulation and payment. The separation of commodity buying and selling time, as well as the destruction of credit under the credit purchase and sale method, are all formal possibilities of crisis.
3. Root cause: The fundamental cause of the outbreak of the capitalist economic crisis lies in the basic contradictions of capitalism, which is specifically manifested as the contradiction between the trend of unlimited expansion of production and the relatively shrinking demand of the working people with the ability to pay, and the contradiction between the organization of production within a single enterprise and the anarchy of social production as a whole.