Deep crises that cull banks require state intervention to save capitalism.

Evidence

Note: Recessions are often self-correcting, e.g. wages and input prices fall so much during a slump that surviving firms (which now face less competition, courtesy of so many of their competitors having shut down) see their profit rate rise again. However, when the crisis is deep enough to cull banks and to depress capitalists’ animal spirits, only state intervention can save capitalism – via stimulus (fiscal policy), loose monetary policy and bank/corporate bailouts. — Yanis Varoufakis, Technofeudalism, 827

Categorization

• DEFINE: Defines the boundary between self-correcting recessions and crises deep enough to demand state rescues — a useful distinction for the platform-rent argument.
• corroborated: 2 independent passages support this claim — Yanis Varoufakis, Technofeudalism: What Killed Capitalism, 827
• XREF: connects to: Government bailouts prevent capitalist crises from restoring profitability — Nick Couldry & Ulises A. Mejias, The Costs of Connection: How Data Is…, 801; Inflationary crises endanger capitalism by exposing its unjust distribution of goods. — Clara E. Mattei, Escape from Capitalism: An Intervention, 277; State intervention in capitalism grows from saver flight toward guaranteed returns (+12 more)

Broader Connections

• State intervention in capitalism grows from saver flight toward guaranteed returns #expands (0.90)
• State intervention to save capitalism exposed its supposedly natural order as political #corroborates (0.90) — Clara E. Mattei, Escape from Capitalism, 169
• Inflationary crises endanger capitalism by exposing its unjust distribution of goods. #complicates (0.85) — Clara E. Mattei, Escape from Capitalism, 277
• The sovereign debt crisis is a transmuted and camouflaged banking crisis #complicates (0.85) — Mark Blyth, Austerity, 35
• Central bankers inadvertently financed capitalism’s own demise #complicates (0.80) — Yanis Varoufakis, Technofeudalism, 388
• Austerity capitalism means more state intervention, not less, to fortify the market #qualifies (0.80) — Clara E. Mattei, Escape from Capitalism, 151
• State intervention made capitalist exploitation political and thereby threatened capitalism itself #complicates (0.75) — Clara E. Mattei, Escape from Capitalism, 173
• Economic crises alone cannot topple advanced capitalist states because civil society resists #complicates (0.75)
• Economic crises cannot by themselves overthrow advanced capitalist states. #complicates (0.75) — Antonio Gramsci, Selections from the Prison Notebooks, 892
• Each great economic transformation produces its own characteristic type of crisis #complicates (0.75) — Yanis Varoufakis, Technofeudalism, 517
• Creative destruction, not peace, causes capitalism’s endemic crises #complicates (0.75) — Max Haiven, Cultures of Financialization, 428
• The 1973 crisis began a new capitalism immune to state steering and proletarian challenge #complicates (0.75) — Martin Jay, The Dialectical Imagination, 18
• Law-and-order ideology legitimizes state intervention in crises #complicates (0.75)
• Saturated domestic capitalism must export to survive. #complicates (0.75)