Marx on Ricardo Continued.

A great passage that shows the qualitative difference between Ricardo and Marx and the importance of money in Marx’s theory of value:

“Ricardo’s mistake is that he is concerned only with the magnitude of value. Consequently his attention is concentrated on [XIV-818] the relative quantities of labour which the different commodities represent, or which the commodities as values embody. But the labour embodied in them must be represented as social labour, as alienated individual labour. In the price this representation is nominal; it becomes reality only in the sale. This transformation of the labour of private individuals contained in the commodities into uniform social labour, consequently into labour which can be expressed in all use values and can be exchanged for them, this qualitative aspect of the matter which is contained in the representation of exchange value as money, is not elaborated by Ricardo. This circumstance — the necessity of presenting labour contained in commodities as uniform social labour, i.e. as money — is overlooked by Ricardo.” MECW 32 319

And:

“For its part, the development of capital already presupposes the full developmentof the exchange value of commodities and consequently its independent existence as money. The point of departure in the process of the production and circulation of capital, is the independent form of value which maintains itself, increases, measures the increase against its original amount, whatever CHANGES the commodities in which it manifests itself may undergo, and quite irrespective of whether it presents itself in the most varied use values and changes the commodities which serve as its embodiment. The relation between the value preposited to production and the value which results from it — capital as preposited value is capital in contrast to profit — constitutes the all-embracing and decisive factor in the whole process of capitalist production. It is not only an independent expression of value as in money, but dynamic value, value which maintains itself in a process in which use values pass through the most varied forms. Thus in capital the independent existence of value is raised to a higher power than in money.” MECW 32 p 318

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About HR

Deep in the adjunct crackhole.
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