Re: [OPE-L] standard commodity

From: ajit sinha (sinha_a99@YAHOO.COM)
Date: Fri Mar 25 2005 - 05:23:59 EST


--- Andrew Brown <A.Brown@LUBS.LEEDS.AC.UK> wrote:
> Hi,
>
> Likewise quickly,
>
> There would be no use, nor truth, in the LTV if
> there were no quantitative relation between price
> and labour time. My point is simply that it doesn't
> need to be an exact proportional relation. Your
> theoretical point boils down to making the far too
> bold claim that absent exact proportionality there
> can be no theory.
__________________________

I guess now you have a private meaning of
"proportionality" too. Because I have never insisted
on any kind of proportionality. As a matter of fact in
your proposition, which I'm criticising,
proportionality has no meaning. Your proposition is
that a change in prices is related to a change in
labor-time in the same direction. I'm simply
questioning this proposition and the basis of this
proposition. Where is the question of proportionality
here?
______________________
 You keep asking about how labour
> time and price are related. But we know the answer:
> it is through the processes of competition, i.e.
> through the mechanism of the 'invisible hand'.
___________________
This again makes no sense. You need to show how the
"invisible hand" relates labor-time to price
magnitutes, if it does any such thing. Failing which
your theory becomes invisible and the poor invisible
hand cannot lend you any helping hand.
__________________________
>
> Yes, there are qualitaive as well as quantitative
> reasons for the LTV (basically any society has to
> determine labour allocation, in our society this is
> thorugh price).
_______________________

But basically every society has to determine land
allocation too. Why shouldn't we have a Land Theory of
Value?

In my earlier posts I had forgotten to mention one
point about your example of incommensurability of the
two vectors. As a matter of fact your two vectors
would be "incommensurable" as long as the quantity of
some goods (or one good) are higher or some (or one)
are lower in the two vectors. You don't need any "new
good" for incommensurability in your own case. Thus
for your own argument, "new good" is simply
extraneuous and irrelevant. Cheers, ajit sinha




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