From: Andrew Brown (Andrew@lubs.leeds.ac.uk)
Date: Wed Nov 06 2002 - 12:19:24 EST
Simon, Jerry and all, Re 7930: I could live for a hundred years and never put it as concisely and clearly as does Simon.... One point of interest that may help you out Jerry and may or may not be of interest to Simon: The reason I did not mention constant or current prices is that I had in mind the 'static' case where one is considering the transformation problem as in ch.9 of 'Capital', Vol 3. In this case we consider capitals with different OCCs (Marx's example considers 5 capitals). We start without equalised profit rates and then we equalise them. This is a logical rather than temporal change to the system. We can then show that the resulting prices (with equalised profit rates) are not proportional to values, but we obtain the two well known aggregate equalities. Why? Because it is the *OCC* we are dealing with and the OCC does *not* change unless the TCC changes. The TCC has not changed. So nor has the OCC. I.e. the age old claim that Marx has failed to transform the inputs is entirely misguided. Marx is working with the OCC hence it does not change. (Note that Marx works with the per cent form of the OCC in his example in ch.9). Many thanks, Andy
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