[OPE-L:7416] [OPE-L:948] Re: Re: Marx's concept of prices of production

Wed, 05 May 1999 12:04:25 +0100

At 03:13 PM 30-04-99, you wrote:
> Re: Marx's Concept of Prices of Production
>Some comments:
>The idea that prices of production in Marx's *Capital* are
>equilibrium prices is simply mistaken.
> a. Because market prices/values move around the price of
> production does not mean that prices production do not
> not change as this movement takes place.
> b. Given that Marx himself stated that not all sectors are
> included in the transformation procedure, it's hard to see
> how one can even imagine that prices of production are
> equilibrium prices. It's a strange equilibrium that
> abstracts from significant portions of the economy. If
> Marx's transformation procedure does not represent
> the production of all products used as inputs, how can
> one claim that this is somehow a picture of equilibrium?
It is an equilibrium model because it has a key equilibrium assumption
- a uniform profit rate. That is why the whole TSS stuff is so
strange, they attempt to build a non-equilibrium model on an equilibrium

Paul Cockshott