[OPE-L:5376] Re: turnover time and surplus value (stock and flow)

From: charlie (charles1848@value.net)
Date: Sat Apr 21 2001 - 20:10:34 EDT


Rakesh wrote:
>
If the variable capital goes from turning over once a year to
twice a year, then the rate of surplus value (s/v) has to be
doubled...
<

It is the stock of variable capital that turns over. While the
annual flow of variable capital remains the same, the stock of
variable capital might shrink from four weeks' outlay of wages to
two weeks, for example because sales revenue comes in faster. A
change in the stock V is not a change in the flow v, and it is
the latter in ratio to s that defines the rate of surplus value.
(There's a numeric example in my book From Capitalism to Equality
on page 92.)

Charles Andrews
Web site for my book is at http://www.LaborRepublic.org



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