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This chapter links Michal Kalecki’s and Josef Steindl’s analysis of dynamics of competition (Kalecki, 1932, 1933b, 1935, 1939; Steindl, 1945a, 1952) to the concept of overcapitalisation and the theory of capital market inflation (Toporowski, 1993, 2000). In this way it extends the Kalecki-Steindl argument that the maldistribution of profits, meaning the concentration of profits in industries with market power, be it cartels or oligopolies, introduces economic instability into the financial realm, where that maldistribution leads to financial fragility.