Both invariant principles implied by Marx's law of value are necessary\n and sufficient to solve the transformation problem through Morishima's\n formalism

2023/03/20 by Norbert Ankri, Ankri, Norbert, Paı̈kan Marcaggi +1
Economics, Econometrics and Finance · Social Sciences · #Economic Theory and Policy #Economic theories and models #FOS: Economics and business #Political Economy and Marxism #Theoretical Economics (econ.TH)

paper · pdf · doi:10.48550/arxiv.2303.11471

openalex publication_date 2023/03/20 · openalex created_date 2023/03/23 · openalex updated_date 2026/07/28

Abstract

The unit value of a commodity that Michio Morishima's method and its\nvariations enable to determine correctly, is the sum of the value of the\ncommodities it contains (inputs) and the quantity of labor required for its\nproduction. However, goods are sold at their price of production only when they\nmeet a solvent social need that involves the entire economy with its\ninterconnections between the different industrial sectors. This condition gives\nfull meaning to Marx's fundamental equalities, which constitute invariants that\napply to the economy as a whole. These equalities are necessary to determine\nprices of production. We demonstrate that they also enable to solve the\ntransformation problem by starting from Morishima's formalism and returning to\na formalism closer to that used by Marx.\n

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