Consequently, labour is the source of exchange value, and the latter is the principle which regulates exchange operations.
If hand-weaver A demands of consumer B an equivalent of twenty working hours, B answers that a similar piece of cloth can be produced in five hours, and therefore it only represents an exchange value of five working hours.
Following up their investigations, Marx declared: Every commodity, that is, every thing or good produced under Capitalism and brought to the market possesses a use value and an exchange value.
This latter conception--exchange value--is the one that principally concerns us in discussing the subject of money.
We must not forget that there are two kinds of value, and that it is a standard of exchange value we are seeking.
It forms the material basis which directly underlies a definite economic relation called exchange value.
But every commodity has a twofold aspect, that of use value and exchange value.
As exchange values of different magnitudes, they represent greater or smaller quantities of that simple, homogeneous, abstract, general labor, which forms the substance of exchange value.
This recognised substantiality of labor as productive is, as has already been remarked, accountable for his effort to reduce to terms of productive labor such a category of distribution as exchange value.
And in the utilitarian theories of production, arrived at from the standpoint so given by exchange value, the conduciveness to welfare is not the objective point of the argument.
A product of labour which is useless to the producer and everybody else has no value of any sort; a product of labour which, while useful to the producer, is useless to any one else, has no exchange value.
And where there was no exchange there could of course be no exchange value.
If he argued that a thing had value, but no exchange value, his position might be false, but he says that a thing may have exchange value but no value, and so his position is contradictory.
For the moment, not having an exchange value, it can not be wealth, and so can the less be capital.
All things which have an exchange value are, therefore, not wealth.
Definitions of Value in Use, Exchange Value, and Price.
While in its essence this is merely a problem in exchange value, it is the highest, subtlest, and most difficult of such problems.
This problem appears to be one of the most difficult in economic theory; but reduced to its simplest terms, it is an aspect of exchange value, and its ultimate explanation must be found in a comparison of psychic incomes.
The central point in economic study is the simplest problem of exchange value.
It appears then, according to Mr. Mill, that usefulness and agreeableness underlie the exchange value, and must be ascertained to exist in the thing, before we can esteem it an object of wealth.
Next, we have to ascertain the nature of PRICE; that is to say, of exchange value, and its expression by currencies.
The law of Price, in fact, contains the law of Exchange Value.
The nature of his objective exchange value is expected to become clear, somehow, from this surface determination of price:-- Exchange Value is the capacity of a good to obtain in exchange a quantity of other goods.
And finally constructive comparison, with price or exchange value as its dominant conception, is clearly nothing if not a market process.
Again, in the process of constructive comparison in its economic phase, Price or Exchange Value is, in apparent accord with the English classical tradition, the fundamental working conception.
The above list will hopefully provide you with a few useful examples demonstrating the appropriate usage of "exchange value" in a variety of sentences. We hope that you will now be able to make sentences using this group of words.
