Law of value
The law of value referred to in Marxist economic theory, the law, according to which in market economies or in a " commodity-producing society " independent but economically but mutually interdependent commodity producers are coordinated. Such a law is necessary because market economies do not follow a macroeconomic plan, the law of value takes over the control.
This law of value acts " without the parties to come to consciousness", " the manner of a natural law." Much like a law of nature must also be the law of value by scientific studies - economics - to be developed. The actual observed market prices deviate from a rule of its theoretically expected value. The competition, which can also lead to the demise of individual producers, causing market prices to their theoretically expected values, which are referred to as equilibrium values , tend to " gravitate " these values.
Also in the " bourgeois " economic theory follows the coordination of economic agents certain economic laws ( cf., eg, the invisible hand of Adam Smith). But the bourgeois economic theory evaluates these laws, unlike Marx, who critically evaluated. In addition, it comes to laws other than Marx, who declared the law of value, according to the labor theory of value.
- 7.1 German
- 7.2 english
Delimitation law of value and labor theory of value
In the first volume of Capital, Marx examines the capitalist process in general without influences of the state. The prices of the goods, and the goods " work force ", are first determined by the work values . At a more advanced stage of consideration to provide the defined in a certain way production rates out as a determinant of prices.
The term " law of value " is examined, however, which causes, for example, state action, disturb this law of value, override or modify. Thus, the world market is about not just one large market, as in "Das Kapital. First volume " assumed, but it must be considered the different states and their policies.
The law of value with Friedrich Engels
In " complement and supplement to the III. Book of Capital ' " Friedrich Engels limits the term" Marx cal law of value " to the so-called simple commodity production. The simple commodity production is thought of as a commodity-producing Einklassengesellschaft in which the producers, craftsmen or farmers, their products exchange according to labor values . The labor theory of value is true precisely under these circumstances.
In the capitalist mode of production the law of value is modified.
First, there are now two classes, workers and capitalists. The workers sell their commodity, labor power at its value to the capitalists. In the production process but a value can be created that is greater than the value of labor power. This difference remains as an added value for the capitalist.
Second, forms between the branches of a general rate of profit out that means that prices are no longer determined directly by the work values ( law of value in the narrower sense), but by certain defined production prices.
The law of value in the "world market debate "
Later Marxist authors also speak of the " law of value " when goods prices are determined by the prices of production and then examine whether and how this can be changed.
In the so-called " world market debate " of the 70s, the term appears " law of value " especially in connection with planned economies or with government economic policy. Can centrally planned economies replace the spontaneously acting law of value through conscious planning or not? The law of value continues through the competition of the world market ultimately also in centrally planned economies? Can corporations ( monopolies, oligopolies ) or the economic policy of the state change or repeal the law of value? Forms a worldwide uniform general rate of profit out or remain national differences?
To the extent that the law of value acceptance worldwide as it comes to a uniform rate of profit world (which is disputed), not only nationally, but also joined the individual capitals to a " real " total capital world, do you mean that the individual capitals as a single social capital overall behavior.
State policy, for example by national tariffs or exchange rate policy as well as international corporations by market power, the law of value can fundamentally change.
Quotes by Karl Marx
"Das Kapital"
In the magazine " Capital " by Karl Marx, a classic formulation of the law of value and the labor theory of value is a u at two points made:
" The greater the productive power of labor, the smaller the labor-time required for the production of an article, the less crystallized in him working mass, the smaller its value. Conversely, the less the productiveness of labor, the greater is necessary for the production of an article, the greater its value. "
. " In what way is always the prices of various goods shall be first against each other or may be regulated, the law of value dominates their motion where the labor required for their production work falls, prices fall, where it rises, prices rise, other things being equal, "
Furthermore, Marx stressed in this regard: "The exchange or sale of the commodity at its value is the rational, the natural law of their equilibrium, starting from him are to explain the differences ... "
" Contribution to the Critique of Political Economy "
" Ricardo's investigations are limited exclusively to the magnitude of value, and with reference to this he suspects at least, that the realization of the law depends on certain historical conditions. He says that the determination of value by labor- sizes applies only for the goods, which can be increased as desired by the industry and their production is dominated by unrestricted competition '. It is in fact this only because the law of value, to his complete development of the society of large-scale industrial production and of free competition, ie The modern bourgeois society presupposes. "
Policy Conclusions
In contrast to Keynesian economics, but not dissimilar arm's views, the law of value can not be changed permanently by Marxist conception through government intervention. Marx holds unions necessary, but " should the working class not overestimate the ultimate effectiveness of these everyday struggles. You should not forget that they are fighting with effects, but not against the causes of those effects; ... "