[OPE-L:6343] Historical, real and current costs

Tue, 24 Mar 1998 06:40:06

Re the PIAF:

> Date: Mon, 23 Mar 1998 20:59:25 +0000
> From: cjarthur@pavilion.co.uk (C. J. Arthur)
> To: ope-l@galaxy.csuchico.edu
> Subject: [OPE-L] Re: Historical, real and current costs

Chris, I have a couple of questions on your latest and interesting

You wrote:

> Consider two commodities one of which has this extra time (drying
> time or whatever). Setting circulation time at zero and constant
> capital at zero they will exchange in proportion to production
> times. How should we understand this?

1) Could we make the additional assumption that, in this economy, the
*form of value* is being performed by some kind of "paper money"?
In this case, social labor-time would be represented objectively and
*intertemporally* by means of a non-commodity.

My concern arises from the following: Let us call the commodity
"which has this extra time", "A", and the other commodity, "B". Assume
that B hasn''t this "extra time" so that, at the time when B is ready
for consumption, we still don''t have commodity A on the market
because it isn''t "dried", it isn''t a use-value yet. So, at this
time, neither A can perform the function of representing social
labor-time nor can be exchanged for B; in other words, it cannot be
the form of value. But, if we introduce a kind of "paper money" we
would have a thing that can be the form of value *intertemporally*.
No matter, in this case, that A is not still on the market: the value
of B can be measured externally through this "paper money" and,
eventually, it can be sold for the "paper money" equivalent of the
social labor-time it cristallises, realizing its value.

I think the problem of the necessity of an *intertemporal* form of
value could be also set by means of some kind of "money commodity"
which is held during the whole temporal span we''re considering but,
maybe, "paper money" alternative is easier to deal with.

2) Could we make any assumption regarding variable capital? You
explicitly assume that c = 0 (and then fixed capital = 0), but tell
us nothing about v.

Thanks in advance!

Alejandro Ramos