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Extra resources for Austrian Theory and Economic Organization: Reaching Beyond Free Market Boundaries
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The difference between what a worker produces and what a worker earns). In this case, class conflict and zero sum solutions replace Pareto improvements as a course of action. One of the difficulties of tying Marx’s reserve army to the labor surplus view is that his analysis predates the concepts underlying the labor surplus perspective. The exposition of the labor surplus view of unemployment developed here is heavily dependent on Marshallian concepts and modern partial equilibrium thinking about the labor market encapsulated in the familiar supply and demand diagram.