The Great Canadian Slump, 1990–92

A Classical Marxian Analysis

In: Historical Materialism

After examining the character of the downturn and existing explanations for it, the article provides an alternative classical Marxian account based upon the methodological and theoretical framework developed by Henryk Grossman. This article investigates the long- and short-run dynamics of capital accumulation in Canada leading up to and culminating in the economic downturn of 1990–2.

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  • 1

    Output grew by 4.5 per cent in 1988. See cansim Table 379-0023.

  • 2

    Kozak 1991a.

  • 3

    Kidd 1990.

  • 5

    Langan 1990b.

  • 7

    Milner 1990.

  • 10

    Walsh 1991.

  • 11

    Fortin 1996, p. 783.

  • 12

    Walsh 1991.

  • 13

    Fortin 1996, p. 761.

  • 15

    Lewis 2003, p. 147.

  • 16

    Fortin 1996, p. 783.

  • 17

    Caulfield 2010, p. 133.

  • 18

    Fortin 1996.

  • 24

    American Bankruptcy Institute 2012.

  • 26

    Siklos 2006, p. 317.

  • 28

    The Economist 2003, p. 95.

  • 30

    Dowling 1991.

  • 31

    Donner 1990.

  • 33

    Yakabuski 1990.

  • 35

    Milner 1990.

  • 36

    Fortin 1996, pp. 762–73.

  • 37

    Fortin 1996, p. 781.

  • 38

    Lewis 2003, pp. 132–4.

  • 39

    Stanford 1999, p. 211, emphasis added.

  • 40

    Stanford 1999, pp. 195–6.

  • 43

    Laidler and Robson 2004, pp. 10–12.

  • 44

    Freedman and Macklem 1998, pp. 646–65.

  • 45

    Freedman and Macklem 1998, p. 662.

  • 46

    Freedman and Macklem 1998, p. 651.

  • 47

    Fortin 2001, p. 118.

  • 49

    Urquhart 1991 and Blinch 1990.

  • 51

    Cited in Fortin 2001, emphasis added.

  • 54

    Armstrong, Glyn and Harrison 1991.

  • 55

    Sweezy and Baran 1966.

  • 56

    Harvey 2006, p. xxiii.

  • 57

    Kuhn 2009, p. 7.

  • 60

    Grossman 1992, p. 61.

  • 62

    Tsoulfidis 2010, p. 112.

  • 63

    Marx 1991, p. 179.

  • 64

    Marx 1991, p. 338.

  • 65

    Rinehart 2006, p. 154.

  • 66

    See Marx 1991, pp. 317–75.

  • 67

    Grossman 1992, pp. 102–3.

  • 68

    Marx 1991, p. 360.

  • 69

    Grossman 1992, p. 76.

  • 70

    Grossman 1992, p. 115.

  • 71

    Grossman 1992, pp. 114–15.

  • 72

    Marx 1991, p. 489.

  • 74

    Kuhn 2007, p. 135.

  • 75

    Saad-Filho 2000, pp. 345–46.

  • 76

    Saad-Filho 2000, pp. 347–9.

  • 85

    Rusk 1990.

  • 86

    McGillivray 1991.

  • 87

    Cook 1991, emphasis added.

  • 88

    Lewis 2003, p. 68.

  • 89

    Lewis 2003, p. 76.

  • 91

    Stanford 1999, pp. 199–200.

  • 92

    Stanford 1999, p. 201.

  • 93

    Lewis 2003, p. 147.

  • 95

    Lewis 2003, p. 76.

  • 97

    Lewis 2003, p. 5.

  • 98

    Lewis 2003, pp. 3, 39.

  • 99

    Lewis 2003, p. 11. On p. 145 he notes: ‘Experiencing deep economic insecurity, people felt their economic situations to be precarious; people conceptualized the state, and particularly its welfare functions, as the problem; and people supported parties that promised to restore control over their economic lives by eliminating the deficit and retrenching the state.’

  • 100

    Stanford 2001.

  • 101

    Lewis 2003, pp. 133–4.

  • 102

    Lewis 2003, p. 132.

  • 104

    Yalnizyan 2009, p. 14.

  • 105

    Lewis 2003, p. 148.

  • 107

    Fortin 2001, p. 116.

  • 109

    Stanford 2001, p. 153. Canada was the first G7 country to balance its budget in this period.

  • 110

    Lewis 2003, p. 135.

  • 113

    Stanford 1999, p. 211.

  • 123

    Lewis 2003, p. 147.

  • 125

    Lewis 2003, p. 147.

  • 130

    Langan 1990a.

  • 131

    Shaikh 2011, p. 45.

  • 133

    Siklos 2006, p. 440.

  • 135

    Kozak 1991b.

  • 136

    Corcoran 1990.

  • 137

    Bank of Canada 1995, p. 24.

  • 140

    Lewis 2003, p. 133.

  • 141

    Blinch 1990.

  • 142

    Fung and Yuan 1999, p. 260.

  • 144

    Laidler and Robson 2004, p. 13.

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