this post was submitted on 09 Nov 2024
192 points (100.0% liked)
chapotraphouse
13546 readers
772 users here now
Banned? DM Wmill to appeal.
No anti-nautilism posts. See: Eco-fascism Primer
Gossip posts go in c/gossip. Don't post low-hanging fruit here after it gets removed from c/gossip
founded 3 years ago
MODERATORS
you are viewing a single comment's thread
view the rest of the comments
view the rest of the comments
The labour theory of value would predict that higher wages don't increase prices, but reduce the rate of surplus value.
The labour theory of value says that prices are most strongly correlated with the labor time needed to produce the commodity regardless of the wage rate.
The theory that prices would increase based on wages is called the prices of production theory, in which price = (1+rate of profit)*(material cost + labor cost). It conflicts with the LTV and this conflict was actually something that troubled marx quite a bit.