Re: [OPE-L] questions on the interpretation of labour values

From: Jerry Levy (Gerald_A_Levy@MSN.COM)
Date: Wed Mar 21 2007 - 09:55:04 EDT 

[In reply to Allin and Paul C, Fred wrote] >>>>>>>>>
3.  Consider first the stock of constant capital.  Capitalist FIRMS
invest a certain quantity of money constant capital to purchase means
of production (both machinery, etc. and raw materials).  These
quantities of money capital invested are recorded on the balance sheets
of THE FIRMS.  At a given point in time, these quantities of money
constant capital on the balance sheets of  INDIVIDUAL FIRMS
could be added up to obtain the total stock of money constant capital
for the economy as a whole. (emphasis added, JL) <<<<<<<<<<

Hi Fred:

This is not merely or simply macroeconomic theory:  *your* analysis
here is proceeding from the level of individual firms to the aggregate
level.   It is thus, if you wish to use those terms, proceeding from the
microeconomic to the macroeconomic with the only caveat being
that the firms on the micro level are 'stylized'  ones in which there is
not competition.

>>>>>>>>>
4.  Similarly, the flow of constant capital is the price of the raw
materials consumed in this period's production plus the periodic
depreciation cost of the machines, etc.  These quantities of money
constant capital are recorded on the INCOME STATEMENTS
OF FIRMS.  These quantities of money constant capital on the
income statements of INDIVIDUAL FIRMS over a certain period
of time could be added up to obtain the total flow of money constant
capital for the economy as a whole for this period. (emphasis added, JL)
<<<<<<<<<<<

Ditto.

Why do you not recognize the 'microfoundations' of  *your* macro
perspective?

In solidarity, Jerry

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