[OPE-L:5417] Re: Re: Re: Re: Re: Re: turnover time and surplus value

From: Gerald_A_Levy (Gerald_A_Levy@email.msn.com)
Date: Wed Apr 25 2001 - 07:41:44 EDT


Re [5414]:

A further thought --

Let's consider the impact of a reduction in the
turnover time where that reduction causes
circulation time to be shortened --

If circulation time is shortened this would imply
that the *unproductive costs* of firms will
be lowered.  Thus, with a decrease in circulation
time, firms will have to allocate less money
(in the form of revenues) for unproductive labor
and allied non-labor costs (which are *not* part
of c, indeed it is not capital at all).  This reduction
in expenditure on unproductive costs will cause
the after-cost profitability of  firms to increase
and thereby free-up additional money-capital
which can be used to purchase additional c and v
and thereby extend  accumulation (by productively
consuming  a greater proportion of surplus value). 
Yet, to the extent this results in further increases
in the production of relative surplus value via
"labor-saving technical change", this further raises
the organic composition of capital and thereby
reinforces the tendency for the general
rate of profit to decline.

In solidarity, Jerry



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