[OPE-L:3562] Re: Re: Re: Non-constant returns to scale and the LTV

[bhandari@xxxxxxxxxxxxx (Rakesh Bhandari)]

Hi Gil,

You have given me a lot to think about

--whether Marx's labor theory of value collapses in the face of non constant
  returns
--whether average or marginal conditions determine market value and/or market
  price in equilibrium
--whether Marx's idea of strong demand shift is equivalent to price inelasticity
--whether Marx confuses a shift of and a shift on a demand curve
--whether it is simply impossible to build demand into the concept of value
  without falling into a subjective UTILITY theory of value (I think so).

I will say that my belief that Marx was not primarily concerned with a
theory of relative prices in no way relieves me of attending to
difficulties in the ideas about price theory which he does develop in Vol3,
Ch10.

I would like to attend to this post, and understand the things Makoto I and
Paolo G have said about this chapter as well. But I will be out of
commission for more than a month. (Pleasant summer everyone!)

But interesting problems indeed. I must say that I get the sense that we
understand different things by the same terms. Again I am to blame for not
attending to bourgeois price theory to catch your meanings.

It would be nice if those with expertise attended to your challenges.

All the best, Rakesh