Use Of Value And Exchange Value - 828 Words

At first sight a commodity presented itself to us as a complex of two things- use-value and exchange-value. Later on, we saw also that labour, too, possesses the same two-fold nature; for, so far as it finds expression in value, it does not possess the same characteristics that belong to it as a creator of use-values. I was the first to point out and to examine critically this two-fold nature of the labour contained in commodities. As this point is the pivot on which a clear comprehension of Political Economy turns, we must go more into detail. Let us take two commodities such as a coat and 10 yards of linen, and let the former be double the value of the latter, so that, if 10 yards of linen=W, the coat=2W. The coat is a use-value that satisfies a particular want. Its existence is the result of a special sort of productive activity, the nature of which is determined by its aim, mode of operation, subject, means, and result. The labour, whose utility is thus represented by the value in use of its product, or which manifests itself by making its product a use-value, we call useful labour In this connexion we consider only its useful effect. As the coat and the linen are two qualitatively different use-values, so also are the two forms of labour that produce them, tailoring and weaving. Were these two objects not qualitatively different, not produced respectively by labour of different quality, they could not stand to each other in the relation ofShow MoreRelatedUnderstanding The Utility Of A Commodity1448 Words   |  6 Pagesthat satisfies human wants as a use-value while functioning as an exchange-value that enters into exchange with other commodities (303-304). On one hand, the particular properties of an object, made possible by the particular kind of human labour embodied in it, define the utility of a commodity and hence its use value, which cannot be measured quantitatively due to the incommensurability across the diverse categories of utility. On the other hand, the exchange value, determined by the socially necessaryRead MoreHow Companies Are Managing The Foreign Exchange Risk Through The Use Currency Options1 383 Words   |  6 Pages1. Executive Summary This paper discusses how companies are managing the foreign exchange risk through the use currency options. For instance, some companies who didn’t not take risk management seriously had resulted in inefficient use of capital, increased liabilities, and reputation risk. Moreover, a lack of certainty can cause confusion as to what a company’s acceptance of risk is, such as a level of acceptance. Without risk management, a company can become overconfident in its methods, whichRead MoreValue Co Creation And Service Dominant Logic1715 Words   |  7 Pages2.2.4 Value-in-Use, Value Co-Creation and Service-Dominant Logic As was stated above, under the Good-Dominant Logic, products are located at a leading point and services are just appendages. However, from middle of the 1950s, those so called â€Å"service department† or â€Å"service industry† which does not belong to neither manufacturing nor agriculture has provided more jobs than other departments. Now, services department has occupied 70%-80% GDP and employment figure in developed countries, it is farRead MoreValue-in-Context Markets1281 Words   |  5 PagesValue-in-Context Several scholars also state this concept of ‘context’ as a set of exclusive actors/players with exclusive communal connections between each other. Context influence markets and exchange from social networks analysis and sociology of market literature. The sociology of market literature discovers the existence, dynamics and decline of a market. Whereas social networking analysis usually progresses the theory of social structure and methodology. In particular, Wasserman and FaustRead MoreThe Value Of The Currency Alone Will Not Improve The Trade Balance773 Words   |  4 Pagesto ensure that the real effective exchange rate would ensure competitiveness. Again, there are some governments that do try to attempt to influence the value of their currency by ways of intervention. The most notable offender in recent years is that of China, who has sought to keep its currency undervalued to make Chinese exports more competitive against other heavily traded Asian markets. They can do this by buying US dollar assets, which increases the value of the US dollar to Chinese Yuan ratioRead MoreForeign Exchange Explained718 Words   |  3 PagesS dollar is the primary currency of exchange and strength during the twentieth century. In Europe, the citizens often travel to a next-door nation where their currency is much different than their own. Americans frequently travel to Mexico or Canada where our U.S dollars are accepted. Now a day, our dollars may no longer be the main currency of exchange, and may not be the desired currency to hold. People ask why a currency increases and decreases in its value, and this could be because of many reasonsRead MoreCh 14 Bridge to the Profession1294 Words   |  6 Pagespart of the expansion plan, Wie will acquire some used equipment by signing a zero-interest-bearing note. The note has a maturity value of $50,000 and matures in 5 years. A reliable fair value measure for the equipment is not available, given the age and specialty nature of the equipment. As a result, Wie s accounting staff is unable to determine an established exchange price for recording the equipment (nor the interest rate to be used to record interest expense on the long-term note). They haveRead MoreForeign Exchange Markets Trade Currencies1075 Words   |  5 PagesForeign exchange markets trade currencies around the world. Traders in large banks in North America, Europe, and Asia carry out the majority of the buying and selling of foreign exchange. A foreign exchange rate is the price of a country s currency in terms of another currency. Exchange rates are determined in the foreign exchange market. Foreign exchange rates are figured in either U.S. dollars per unit of foreign currency or in units of foreign currency per U.S. dollar; they have bothRead MoreCurrency Depreciation, Currency, And Currency1519 Words   |  7 Pagesi) Explain exchange rate, currency depreciation, and currency appreciation. i) The exchange rate is the rate at which one can exchange the currency of one country for the currency of another country. It can also be regarded as the value of one country’s currency in relation to another currency. Basically, it is the price of a nation’s currency in terms of another currency. Therefore, the exchange rate has two components, the domestic currency and foreign currency, and it can be quoted directly orRead MoreAn Inquiry into the Wealth of Nations by Adam Smith Essay674 Words   |  3 Pagesincreased then more people would starve and die which is a good thing for the economy to protect its natural resources. Malthus is willing to prevent development to achieve stability; he also believed that no social harmony could come from trade or exchange. On the other hand, Ricardo was against the Corn Laws, he believed that if Country A had a comparative advantage in a certain product over Country B then Country B should stop producing that product and start importing it from Country A, as throughout