Re: (OPE-L) Re: Negative values in pure joint production

From: Philip Dunn (pscumnud@DIRCON.CO.UK)
Date: Fri Oct 15 2004 - 12:57:49 EDT

Quoting "Gerald A. Levy" <Gerald_A_Levy@MSN.COM>:

> >>> It is always an option, ontologically, to treat a firm's production as
> one and the same commodity.  <<<
> Why?  What is the ontological claim that you are making here?

A use-value is one entity and a commodity is another.  There is no necessity
a one-to-one correspondence between type of use-value and individual commodity.
> >>> Prices deviating from values? Impossible! <<<
> Since you have framed the issue in this thread on the micro
> level, consider the following possibility:
> Suppose there is one firm which, using the same technology
> and the same production facilities, produces measles vaccine and
> influenza vaccine.  Suppose further (even though I think it is
> unrealistic in this instance) that the firm puts a price on both
> commodities which is equal to their value.  Now suppose that
> the price of the measles vaccine remains constant whereas the
> price of the flu vaccine *after it has already been produced*
> is marked-up by 800%.
> If prices can not deviate from value then it therefore follows by
> your reasoning that the *value* of the flu vaccine has increased
> by 800%, right?
> The actual reason for the price increase might be a factor not
> directly related to production conditions at this firm, e.g.
> *excess demand* for the flu vaccine.  Doesn't it then follow
> that if it is impossible for price to deviate from value that value
> can increase *solely* because of a change in demand
> conditions?  If that is the case, then value can be
> created by *firms in the market*, rather than by *workers in
> the  production process*.
> Are you really comfortable with that conclusion?
> In solidarity, Jerry

The whole point of a non-deterministic theory of value creation is that value
not determined by production (supply) conditions or demand conditions. It is
not determined at all. Neither are demand conditions and supply conditions
determined. The only difference is that supply conditions have, mostly, already
happened and demand conditions have, mostly, yet to happen.

The issue of determinism/indeterminisism has no bearing on the connection of
labour and value creation. Labour activity is identical to value creating

Philip Dunn

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