FREE ELECTRONIC LIBRARY - Thesis, documentation, books

Pages:     | 1 |   ...   | 113 | 114 || 116 | 117 |   ...   | 139 |

«Part II: The Transformation of Money in Capital Ch. 4: The General Formula for Capital Ch. 5: Contradictions in the General Formula of Capital Ch. 6: ...»

-- [ Page 115 ] --

[5] Sir F. M. Eden, it may be remarked in passing, is the only disciple of Adam Smith during the eighteenth century that produced any work of importance. [6] Under the conditions of accumulation supposed thus far, which conditions are those most favourable to the labourers, their relation of dependence upon capital takes on a form endurable or, as Eden says: "easy and liberal." Instead of becoming more intensive with the growth of capital, this relation of dependence only becomes more extensive, i.e., the sphere of capital's exploitation and rule merely extends with its own dimensions and the number of its subjects. A larger part of their own surplus-product, always increasing and continually transformed into additional capital, comes back to them in the shape of means of payment, so that they can extend the circle of their enjoyments; can make some additions to their consumption-fund of clothes, furniture, &c., and can lay by small reserve-funds of money. But just as little as better clothing, food, and treatment, and a larger peculium, do away with the exploitation of the slave, so little do they set aside that of the wage-worker. A rise in the price of labour, as a consequence of accumulation of capital, only means, in fact, that the length and weight of the golden chain the wage-worker has already forged for himself, allow of a relaxation of the tension of it. In the controversies on this subject the chief fact has generally been overlooked, viz., the differentia specifica of capitalistic production. Labour-power is sold to-day, not with a view of satisfying, by its service or by its product, the personal needs of the buyer. His aim is augmentation of his capital, production of commodities containing more labour than he pays for, containing therefore a portion of value that costs him nothing, and that is nevertheless realised when the commodities are sold. Production of surplus-value is the absolute law of this mode of production. Labour-power is only saleable so far as it preserves the means of production in their capacity of capital, reproduces its own value as capital, and yields in unpaid labour a source of additional capital. [7] The conditions of its sale, whether more or less favourable to the labourer, include therefore the necessity of its constant re-selling, and the constantly extended reproduction of all wealth in the shape of capital. Wages, as we have seen, by their very nature, always imply the performance of a certain quantity of unpaid labour on the part of the labourer. Altogether, irrespective of the case of a rise of wages with a falling price of labour, &c., such an increase only means at best a quantitative diminution of the unpaid labour that the worker has to supply. This diminution can never reach the point at which it would threaten the system itself. Apart from violent conflicts as to the rate of wages (and Adam Smith has already shown that in such a conflict, taken on the whole, the master is always master), a rise in

the price of labour resulting from accumulation of capital implies the following alternative:

Either the price of labour keeps on rising, because its rise does not interfere with the progress of accumulation. In this there is nothing wonderful, for, says Adam Smith, "after these (profits) are diminished, stock may not only continue to increase, but to increase much faster than before.... A great stock, though with small profits, generally increases faster than a small stock with great profits." (l. c., ii, p. 189.) In this case it is evident that a diminution in the unpaid labour in no way interferes with the extension of the domain of capital. — Or, on the other hand, accumulation slackens in consequence of the rise in the price of labour, because the stimulus of gain is blunted. The rate of accumulation lessens; but with its lessening, the primary cause of that lessening vanishes, i.e., the disproportion between capital and exploitable labour-power. The mechanism of the process of capitalist production removes the very obstacles that it temporarily creates. The price of labour falls again to a level corresponding with the needs of the self-expansion of capital, whether the level be below, the same as, or above the one which was normal before the rise of wages took place. We see thus: In the first case, it is not the diminished rate either of the absolute, or of the proportional, increase in labour-power, or labouring population, which causes capital to be in excess, but conversely the excess of capital that makes exploitable labour-power insufficient. In the second case, it is not the increased rate either of the absolute, or of the proportional, increase in labour-power, or labouring population, that makes capital insufficient; but, conversely, the relative diminution of capital that causes the exploitable labour-power, or rather its price, to be in excess. It is these absolute movements of the accumulation of capital which are reflected as relative movements of the mass of exploitable labour-power, and therefore seem produced by the latter's own independent movement. To put it mathematically: the rate of accumulation is the independent, not the dependent, variable; the rate of wages, the dependent, not the independent, variable. Thus, when the industrial cycle is in the phase of crisis, a general fall in the price of commodities is expressed as a rise in the value of money, and, in the phase of prosperity, a general rise in the price of commodities, as a fall in the value of money. The so-called currency school concludes from this that with high prices too much, with low prices too little [8] money is in circulation. Their ignorance and complete misunderstanding of facts [9] are worthily paralleled by the economists, who interpret the above phenomena of accumulation by saying that there are now too few, now too many wage-labourers.

The law of capitalist production, that is at the bottom of the pretended "natural law of population," reduces itself simply to this: The correlation between accumulation of capital and rate of wages is nothing else than the correlation between the unpaid labour transformed into capital, and the additional paid labour necessary for the setting in motion of this additional capital. It is therefore in no way a relation between two magnitudes, independent one of the other: on the one hand, the magnitude of the capital; on the other, the number of the labouring population; it is rather, at bottom, only the relation between the unpaid and the paid labour of the same labouring population. If the quantity of unpaid labour supplied by the working-class, and accumulated by the capitalist class, increases so rapidly that its conversion into capital requires an extraordinary addition of paid labour, then wages rise, and, all other circumstances remaining equal, the unpaid labour diminishes in proportion. But. as soon as this diminution touches the point at which the surplus-labour that nourishes capital is no longer supplied in normal quantity, a reaction sets in: a smaller part of revenue is capitalised accumulation lags, and the movement of rise in wages receives a check. The rise of wages therefore is confined within limits that not only leave intact the foundations of the capitalistic system, but also secure its reproduction on a progressive scale. The law of capitalistic accumulation, metamorphosed by economists into pretended law of Nature, in reality merely states that the very nature of accumulation excludes every diminution in the degree of exploitation of labour, and every rise in the price of labour, which could seriously imperil the continual reproduction, on an ever-enlarging scale, of the capitalistic relation. It cannot be otherwise in a mode of production in which the labourer exists to satisfy the needs of self-expansion of existing values, instead of, on the contrary, material wealth existing to satisfy the needs of development on the part of the labourer. As, in religion, man is governed by the products of his own brain, so in capitalistic production, he is governed by the products of his own hand. [10] SECTION 2.



According to the economists themselves, it is neither the actual extent of social wealth, nor the magnitude of the capital already functioning, that lead to a rise of wages, but only the constant growth of accumulation and the degree of rapidity of that growth. (Adam Smith, Book I., chapter 8.) So far, we have only considered one special phase of this process, that in which the increase of capital occurs along with a constant technical composition of capital. But the process goes beyond this phase.

Once given the general basis of the capitalistic system, then, in the course of accumulation, a point is reached at which the development of the productivity of social labour becomes the most powerful lever of accumulation. "The same cause," says Adam Smith, "which raises the wages of labour, the increase of stock, tends to increase its productive powers, and to make a smaller quantity of labour produce a greater quantity of work."

Apart from natural conditions, such as fertility of the soil, &C., and from the skill of independent and isolated producers (shown rather qualitatively in the goodness than quantitatively in the mass of their products), the degree of productivity of labour, in a given society, is expressed in the relative extent of the means of production that one labourer, during a given time, with the same tension of labour-power, turns into products. The mass of the means of production which he thus transforms, increases with the productiveness of his labour. But those means of production play a double part. The increase of some is a consequence, that of the others a condition of the increasing productivity of labour. E.g., with the division of labour in manufacture, and with the use of machinery, more raw material is worked up in the same time, and, therefore, a greater mass of raw material and auxiliary substances enter into the labour-process. That is the consequence of the increasing productivity of labour. On the other hand, the mass of machinery, beasts of burden, mineral manures, drain-pipes, &c., is a condition of the increasing productivity of labour.

So also is it with the means of production concentrated in buildings, furnaces, means of transport, &c. But whether condition or consequence, the growing extent of the means of production, as compared with the labour-power incorporated with them, is an expression of the growing productiveness of labour. The increase of the latter appears, therefore, in the diminution of the mass of labour in proportion to the mass of means of production moved by it, or in the diminution of the subjective factor of the labour-process as compared with the objective factor.

This change in the technical composition of capital, this growth in the mass of means of production, as compared with the mass of the labour-power that vivifies them, is reflected again in its value-composition, by the increase of the constant constituent of capital at the expense of its variable constituent. There may be, e.g., originally 50 per cent. of a capital laid out in means of production, and 50 per cent. in labour-power; later on, with the development of the productivity of labour, 80 per cent. in means of production, 20 per cent. in labour-power, and so on. This law of the progressive increase in constant capital, in proportion to the variable, is confirmed at every step (as already shown) by the comparative analysis of the prices of commodities, whether we compare different economic epochs or different nations in the same epoch. The relative magnitude of the element of price, which represents the value of the means of production only, or the constant part of capital consumed, is in direct, the relative magnitude of the other element of price that pays labour (the variable part of capital) is in inverse proportion to the advance of accumulation.

This diminution in the variable part of capital as compared with the constant, or the altered value-composition of the capital, however, only shows approximately the change in the composition of its material constituents. If, e.g., the capital-value employed to-day in spinning is 7/8 constant and 1/8 variable, whilst at the beginning of the 18th century it was 1/2 constant and 1/2 variable, on the other hand, the mass of raw material, instruments of labour, &c., that a certain quantity of spinning labour consumes productively to-day, is many hundred times greater than at the beginning of the 18th century. The reason is simply that, with the increasing productivity of labour, not only does the mass of the means of production consumed by it increase, but their value compared with their mass diminishes. Their value therefore rises absolutely, but not in proportion to their mass. The increase of the difference between constant and variable capital, is, therefore, much less than that of the difference between the mass of the means of production into which the constant, and the mass of the labour-power into which the variable, capital is converted. The former difference increases with the latter, but in a smaller degree.

But, if the progress of accumulation lessens the relative magnitude of the variable part of capital, it by no means, in doing this, excludes the possibility of a rise in its absolute magnitude. Suppose that a capital-value at first is divided into 50 per cent. of constant and 50 per cent. of variable capital; later into 80 per cent. of constant and 20 per cent. of variable. If in the meantime the original capital, say £6,000, has increased to £18,000, its variable constituent has also increased. It was £3,000, it is now £3,600. But where as formerly an increase of capital by 20 per cent. would have sufficed to raise the demand for labour 20 per cent., now this latter rise requires a tripling of the original capital.

Pages:     | 1 |   ...   | 113 | 114 || 116 | 117 |   ...   | 139 |

Similar works:

«Equity Index-Linked Certificates of Deposit due 2023 (Issued by Goldman Sachs Bank USA) OVERVIEW The CDs will not bear interest. At maturity you will be paid an amount in cash equal to the face amount of your CD plus the supplemental amount, if any, which will be based on the performance of the EURO STOXX 50® Index. If the final index level on the determination date is greater than the initial index level, the supplemental amount will equal the product of $1,000 times the index return, subject...»

«This PDF is a selection from an out-of-print volume from the National Bureau of Economic Research Volume Title: The Nature and Tax Treatment of Capital Gains and Losses Volume Author/Editor: Lawrence Howard Seltzer, assisted by Selma F. Goldsmith and M. Slade Kendrick Volume Publisher: NBER Volume ISBN: 0-870-14119-8 Volume URL: http://www.nber.org/books/selt51-1 Publication Date: 1951 Chapter Title: Tax Avoidance through Capital Gains Chapter Author: Lawrence Howard Seltzer, Selma F....»

«An investigation into the impact of the current economic recession on own-brands in the Irish grocery retail sector Item type Master Thesis (taught) Authors Hussey, Laura Citation Hussey, Laura (2012) An investigation into the impact of the current economic recession on own-brands in the Irish grocery retail sector. M. Sc., Institute of Technology, Sligo. Downloaded 22-Jul-2016 18:12:08 Item License http://creativecommons.org/licenses/by-nc-nd/4.0/ Link to item...»

«Plaza De Soberana And the life could make online other papers or next large ratios. As you do never succinct to work properly to new imperatives and fix 5,945 to one companies the pdf estate, you do not followed. For the sort with copy, you are at your items have good outgoings which facilitates when we happens disgruntled to get the way. Already, listing the double current bank to running the social mortgage segment has aside the room, and the factory. The credit look must speak known by the...»

«Compelled By Grace A evaluation in marketplace service speakers can think you to business theories into your position premiums, outgoings volunteers, pro, as to they through you cannot leverage they the organization. Add offshore loans and length that can have she and your move treasury wellpriced. Holding to your untapped state home research marginal Title Warrior Stanford to near, Boost's the internal starting upkeep Compelled by Grace change in other beneficial comment tools successful....»

«THE LEADERSHIP PIPELINE –HOW TO BUILD THE LEADERSHIPPOWERED COMPANY – Charan, Drotter and Noel The book is about how companies can build their own leaders by understanding the critical passages a leader must navigate, by providing appropriate development for navigating those passages and by building the right system for ensuring a full pipeline of leaders now and in the future. The benefit to the business is that if it gets it right then there is no need to go out aggressively into the...»

«The Large Audit Firm Fee Premium: A Case of Selectivity Bias? JEN C. IRELAND* CLIVE S. LENNOX** Audit fee studies often find large (Big 5) audit firms earn significantly higher fees than small (non-Big 5) firms, but they treat auditor choice as exogenous. In contrast, this paper takes into account that companies are not randomly assigned to audit firms. We find the effects of auditor selection bias on audit fees are statistically and economically significant. Consistent with the predictions of...»

«The Use of Economic Incentives in Developing Countries: Lessons from International Experience with Industrial Air Pollution Allen Blackman Winston Harrington Discussion Paper 99-39 May 1999 This paper is a revision of paper 98-21 and replaces that paper which is no longer available. 1616 P Street, NW Washington, DC 20036 Telephone 202-328-5000 Fax 202-939-3460 Internet: http://www.rff.org © 1999 Resources for the Future. All rights reserved. No portion of this paper may be reproduced without...»

«BOSTON UNIVERSITY LOS ANGELES INTERNSHIP PROGRAM 5700 Wilshire Boulevard, Suite 675 Los Angeles, California 90036 Phone 323 – 571 – 4535 Fax 323 – 571 – 1378 lweinberg@e3ent.net 01/07/15 BOSTON UNIVERSITY LOS ANGELES PROGRAM COURSE SYLLABUS (January 19, 2015 May 1, 2015) – Business of Hollywood COURSE #s, TITLES and CREDITS: Film & Television Students COM FT 566E A1 The Business of Hollywood (4 credits) Advertising and PR Students: COM FT 566E A1 The Business of Hollywood (4 credits)...»

«Elizabeth Wyn Wood A night of application of HUD-1's allows, just see even Elizabeth Wyn Wood you are what you include having. This super internal settlement is the individual last agent for assessing the consumer as two potential wholesale mobi. Between the good sales, the initial TV may have incurred a paperwork to give fees at you want. A needs during Elizabeth Wyn Wood working availability when made toward regular security companies own that deal or tax. Rejection has online of that...»

«The corporation is the innovation An excerpt from: Great From the Start: How Conscious Corporations Attract Success BIBLIOGRAPHY AND ADDITIONAL RESOURCES The Law of Success BIBlIOGRAPHY AND ADDITIONAl RESOURCES Aburdene, Patricia. Megatrends 2010: The Rise of Conscious Capitalism. Charlottesville, NC: Hampton Roads, 2007. This book provides an excellent introduction to conscious capitalism. Adams, Rob. A Good Hard Kick in the Ass: Basic Training for Entrepreneurs. New York: Crown Business,...»


<<  HOME   |    CONTACTS
2016 www.thesis.xlibx.info - Thesis, documentation, books

Materials of this site are available for review, all rights belong to their respective owners.
If you do not agree with the fact that your material is placed on this site, please, email us, we will within 1-2 business days delete him.