Re: [OPE-L] Marx on the 'maximum rate of profit'

From: Ian Wright (wrighti@ACM.ORG)
Date: Fri Oct 13 2006 - 11:17:42 EDT


Hi Ajit

> I'm surprised that you are still not convinced after
> our last exchange! ajit

I wouldn't expect fundamental theoretical differences to get resolved
after one or two debates. The history of the transformation problem is
an extreme example.

But nothing was resolved in our last exchange, although I thought it
very useful. For example, I learnt that Sraffians seem to think that
Sraffa's simultaneous equations give them some insight into dynamics
via the device of an undistributed surplus (i.e. a specified nominal
income distribution and an unspecified real income distribution).

My logico-mathematical demonstration that the standard Sraffian labour
value formula does not measure replacement costs for capitalist simple
reproduction stands, and awaits a refutation. In this context,
Sraffa's labour-values assume that capitalist consumption is zero
during the period of replacement, i.e. production by means of
commodities apart from the commodity money-capital. Your labour-value
formula only measures replacement costs for simple commodity
production. No wonder there are paradoxes when this approach is
applied to capitalist production.

All your theoretical difficulties with the logical possibility of
labour theories of value derive from the classical problematic of
divergence of prices of production from labour values due to
profit-equalizing prices of production.

What if this classical problematic is due to a mis-specification of
labour conservation in the presence of money-capital?

Best wishes,
-Ian.


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