Microeconomics,, 16th Canadian Edition

spent for plant and machinery than for wages, which would
lead to lower profits (since profits arose only from the surplus
value from labour) and a resulting squeeze in the real income of
workers. Marx believed that in the capitalists’ effort to maintain
profits in this unstable system, there would emerge a “reserve
army of the unemployed.” The resulting class conflict would
become increasingly acute until revolution by the workers
would overthrow capitalism.