From: dlaibman@JJAY.CUNY.EDU
Date: Thu Oct 02 2003 - 10:23:54 EDT
Just can't resist. . .
First, let's say "fewer workers" instead of "less workers." "Less" reduces labor to its quantitative dimension alone. "Fewer" implies discrete, individual human beings, the "exteriority of capital" (Dussel). (Talk about pedantic! :-) :-) )
Now, Jerry's question. If we interpret "wages in B 50% lower" literally, meaning absolute (real) wages, the situation might be represented thus:
W L Y Y/L W/Y W/L
A 60 100 100 1 .6 .6
B 40 150 100 .666 .4 .2666
Wages 50% lower, labor 50% higher, in B; same output. Workers in B are more exploited; rate of exploitation would be (1 - W/Y)/W/Y, or 150%, compared to 66.666% for A.
If, however, Jerry meant to say "wage *rate* in B 50% lower, then we get this picture:
W L Y Y/L W/Y W/L
A 60 100 100 1 .6 .6
B 60 150 100 .666 .6 .4
Here the rate of exploitation is the same in the two sectors (or regions) (or firms). Uniform variation in Y/L and W/L will keep W/Y the same.
Unless, of course, we get to the heart of the matter and recognize that exploitation is social, not individual. If A is the prevailing (or "regulating") group of capitals and B is a backward one, the unit value of B's output will be governed by A; in the very minimal framework of this example, output in B (in a sense that measures realization as well as production) would be represented as 66 2/3, the wage share would be .9, and the rate of exploitation only .1. But this takes us rather far beyond Jerry's case, and a fuller model would be needed to explore it adequately.
David
David Laibman
----- Original Message -----
From: gerald_a_levy <gerald_a_levy@MSN.COM>
Date: Thursday, October 2, 2003 9:05 am
Subject: (OPE-L) measuring exploitation
> Phil and Riccardo: thanks for your answers. I'll change the
> numbers a bit to get at the question I originally intended.
>
> Here's the modified question (all other conditions previously
> stated remaining the same):
>
> c) In the first firm (A) there are less workers (La) because
> output/worker/hr. is greater but La receive higher wages.
> In the second firm (B) there are more workers (Lb>La) and
> the output/worker/hr is lower but these workers (Lb) are
> paid lower wages than the other group (La). Suppose further
> that output/worker/hr is 50% greater in A than in B and that
> wages for La are 50% greater than those received by Lb.
> (Also: Assume, to avoid further pedantic responses, wages
> for Lb are greater than 0.)
>
> QUESTION:
>
> * Which is the more exploited -- La or Lb?
>
> In solidarity, Jerry
>
>
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