,*APT] #c ,BAU]'S ,G5]AL ,CRITICISMS ,PEOPLE 3 ,AU?OR 3 ,ROSA ,LUXEMBURG ,TEXT 3 ,NATURALLY ,I %ALL NOT LET MYSELF BE DRAWN 9TO A DISCUSSION ( ,BAU]'S TABULAT$ CALCULATIONS4 ,HIS POSITION & HIS CRITIQUE ( MY BOOK DEP5D MA9LY ON ! !ORY ( POPULATION :I* HE C\NT]POSES TO MY IDEAS AS ! BASIS ( ACCUMULATION1 & :I* 9 ITSELF REALLY HAS NO?+ TO DO ) ANY MA!MATICAL MODELS4 ,IT IS ?IS !ORY :I* WE MU/ 9VE/IGATE4 ,H[EV]1 WE MU/ FIR/ GET ACQUA9T$ ) ! WAYS & MEANS1 ) ! ME?OD1 9 :I* ,BAU] P]=MS HIS TABULAT$ MANIPULATIONS4 ,EV5 IF !Y >E ABSOLUTELY WOR?LESS :5 IT COMES TO SOLV+ ! PURELY SOCIAL & ECONOMIC PROBLEMS ( ACCUMULATION1 !Y >E /ILL V]Y *>ACT]I/IC ( ,BAU] HIMSELF1 & ( ! CONSCI\SNESS ) :I* HE APPROA*ES A SOLUTION TO ! PROBLEM4 ,?IS PROC$URE CAN BE ILLU/RAT$ ) A FEW V]Y SIMPLE EXAMPLES :I* MAY EV5 BE JUDG$ BY COMMON MORTALS :O >E USUALLY HORRIFI$ BY M9D BOGGL+ TABLES & CABALI/IC SIGNS4 ,?REE EXAMPLES >E SUFFICI5T4 ,ON P4#h#c#f _ ( ,NEUE ,ZEIT.<#a.> ,BAU] DEMON/RATES H[ ! ACCUMULATION ( SOCIAL CAPITAL TAKES PLACE4 ,HE ASSUMES 7LIKE ,M>X7 ! TWO L>GE DEP>TM5TS ( PRODUCTION 7,I1 PRODUCTION ( MEANS ( PRODUCTION2 ,I,I1 PRODUCTION ( MEANS ( CONSUMPTION74 ,! FIR/ DEP>TM5T BEG9S ) #a#b1 AS CON/ANT & #e1 AS V>IABLE CAPITAL 7:I* CAN REPRES5T ?\S&S OR MILLIONS ( M>KS1 9 %ORT MONEY VALUE74 ,9 ! SECOND DEP>TM5T HE ASSUMES A CON/ANT CAPITAL ( #h1 & A V>IABLE CAPITAL ( #e14 ,! FIGURES >E1 ( C\RSE1 >BITR>Y1 BUT !IR RELATIONS TO EA* O!R >E IMPORTANT1 = !Y EXPRESS C]TA9 ECONOMIC ASSUMPTIONS FROM :I* ,BAU] PROCE$S4 ,?US ! CON/ANT CAPITAL 9 BO? DEP>TM5TS IS GREAT] ?AN ! V>IABLE1 :I* EXPRESSES ! /AGE ( TE*NICAL PROGRESS4 ,?IS PR$OM9ANCE ( CON/ANT CAPITAL OV] V>IABLE IS GREAT] 9 ! FIR/ DEP>TM5T ?AN 9 ! SECOND1 AS TE*NOLOGY USUALLY PROGRESSES AT A FA/] RATE 9 ! FIR/ DEP>TM5T4 ,F9ALLY1 9 ACCORDANCE ) ?IS1 ! TOTAL CAPITAL ( ! FIR/ DEP>TM5T IS L>G] ?AN ?AT ( ! SECOND4 ,!SE >E ALL ,BAU]'S [N ASSUMPTIONS &1 S9CE !Y AGREE ) ,M>X'S1 !Y >E QUITE LAUDABLE4 ,SO F> SO GOOD4 ,N[ = ACCUMULATION4 ,?IS BEG9S ) ,BAU] 9CREAS+ BO? CON/ANT CAPITALS BY #a1 & BO? V>IABLE CAPITALS BY #b1#e4.<#b.> ,BUT HE ?US IMM$IATELY AB&ONS HIS ECONOMIC PREMISES4 ,= 7#a7 ! SMALL] CAPITAL ( ! SECOND DEP>TM5T CANNOT POSSIBLY GR[ BY ! SAME AM\NT AS ! L>G] CAPITAL ( ! FIR/ DEP>TM5T1 S9CE ?IS W\LD UPSET !IR MUTUAL RELATIONS1 :I* >E DET]M9$ BY TE*NOLOGICAL PROGRESS2 7#b7 ! ADDITIONAL CAPITALS CANNOT POSSIBLY BE DI/RIBUT$ 9 ! SAME WAY 9 BO? DEP>TM5TS BETWE5 CON/ANT & V>IABLE CAPITAL1 S9CE ! ORIG9AL CAPITALS W]E NOT DI/RIBUT$ 9 ! SAME PROPORTION4 ,ONCE AGA91 ,BAU] IS DE/ROY+ ! TE*NICAL BASIS :I* HE HIMSELF ASSUM$4 ,SO ,BAU] BEG9S BY >BITR>ILY DE/ROY+ HIS [N PREMISES ) ! FIR/ /EP HE TAKES4 ,:Y IS ?AT8 ,SIMPLY = ! SAKE ( >I?METICAL RESULTS1 TO OBTA9 A SMOO? CALCULATION BY ADDITION & SUBTRACTION :I* W\LD O!RWISE HAVE BE5 IMPOSSIBLE4 ,AFT] EXP&+ PRODUCTION 9 ?IS WAY ,BAU] TRIES TO %[ US H[ ! SECOND ACT ( ACCUMULATION OP]ATES1 ?IS SALTO MORTALE1 ! REALIZATION ( SURPLUS VALUE4 ,HE IS TRY+ TO DEMON/RATE ! EX*ANGE ( ! 9CREAS$ AM\NT ( GOODS 9 SU* A WAY ?AT WE REA* A FUR!R /EP ( ACCUMULATION1 I4E4 ANO!R EXPANSION ( PRODUCTION4 ,?IS HAPP5S ON P4#h#f#c4 ,WE >E H]E CONC]N$ ) ! EX*ANGE ( ! TWO PILES ( COMMODITIES :I* >E ! RESULT ( ! FIR/ YE>'S PRODUCTION3 #b#b1 MEANS ( PRODUCTION & #a#h1 MEANS ( CONSUMPTION4 ,AT FIR/ IT PROCE$S AS USUAL3 EA* DEP>TM5T USES ! BIGGE/ PORTION ( ITS COMMODITIES - P>TLY DIRECTLY1 P>TLY ?R\< EX*ANGE - TO R5EW ! OLD1 US$-UP CAPITAL1 & ALSO TO PROVIDE = ! CAPITALI/S' [N CONSUMPTION4 ,SO F> EV]Y?+ IS 9 ORD]2 SO F>1 ( C\RSE1 ,BAU] IS FOLL[+ 9 ,M>X'S FOOT/EPS4 ,BUT N[ ! SITUATION BECOMES DELICATE3 EXPANSION ( PRODUCTION = ! NEXT YE>1 ACCUMULATION4 ,?IS PROC$URE IS 9TRODUC$ ) ! WELL-KN[N QUOTATION3 ',MOREOV]1 ! CAPITALI/S WANT TO USE ! SURPLUS VALUE ACCUMULAT$ 9 ! FIR/ YE> TO EXP& EXI/+ OP]ATIONS & F\ND NEW ONES4' _ ,IT IS NO LONG] \R TASK TO CONC]N \RSELVES ) ! QUE/ION WE DEALT ) E>LI] ON3 :E!R ! 'WILL' ( ! CAPITALI/S IS SUFFICI5T4 ,WE AGREE H]E ) ,BAU] ?AT 'A MAN'S WILL' CAN GO A LONG WAY1 & >E CONC]N$ ONLY ) ! MANIPULATION :I* PUTS ! 9DEP5D5T WILL ( ! CAPITALI/ TO WORK4 ,! CAPITALI/S 9 ,BAU]'S FIR/ DEP>TM5T 'WANT' TO RE9VE/ #a#b1#e ( !IR SURPLUS VALUE4 ,:Y SO MU*8 ,BECAUSE ,BAU] NE$S ?IS FIGURE = HIS CALCULATIONS TO WORK \T4 ,WELL1 WE WILL SUBMIT )\T COMPLA9+ TO ,BAU]'S PLAN1 & WE WILL ONLY ALL[ \RSELVES ONE ?+3 TO /ICK TO HIS [N FREELY *OS5 ASSUMPTIONS4 ,TO CONT9UE1 ! CAPITALI/S 9 ! FIR/ DEP>TM5T HAVE DECID$ TO 9VE/ #a#b1#e ( !IR SURPLUS VALUE 9 PRODUCTION4 ,!Y HAVE ALREADY PUT #a1 ( !IR COMMODITIES 9TO !IR [N CON/ANT CAPITAL1 & PASS$ ON A FUR!R #b1#e TO ! O!R DEP>TM5T TO PUR*ASE PROVISIONS = ! ADDITIONAL WORK]S 9 !IR EXP&$ FACTORIES1 & N[ A SITUATION >ISES :]E !Y /ILL HAVE #d1#f#f#f LEFT OV] FROM ! TOTAL /OCK ( GOODS4 ,!Y HAVE ALREADY CONSUM$1 EX*ANG$ !IR OLD US$-UP CAPITAL1 9VE/$ NEW CAPITAL = EXPANSION1 & N[ !Y /ILL HAVE ?IS EMB>RASS+ REMA9D]4 ,:AT CAN !Y DO ) ! #d1#f#f#f LEFT OV]8 ,( C\RSE1 LET US NOT =GET ?AT ! CAPITALI/S 'WANT' TO ACCUMULATE 9 ! SECOND DEP>TM5T AS WELL AS 9 ! FIR/3 ,!SE CAPITALI/S 9 ! SECOND DEP>TM5T ALSO PROPOSE TO 9VE/ #a#b1#e1 AL?\< AS WE HAVE SE5 !Y [N A MU* SMALL] CAPITAL1 & !Y EV5 WANT TO DI/RIBUTE !M 9 ! SAME WAY - !IR VANITY TO IMITATE !IR RI*] COLLEAGUES EV5 MAKES !M NEGLECT TE*NICAL FACTORS4 ,H[EV] ?AT MAY BE1 9 ORD] = ?IS EXPANSION TO TAKE PLACE !Y NE$ AN ADDITIONAL PORTION ( MEANS ( PRODUCTION FROM ! FIR/ DEP>TM5T2 C\LD ?IS BE AN OPPORTUNITY TO GET RID ( ! UNCONSUMABLE REMA9D] FROM ?AT DEP>TM5T8 ,NO1 ?AT HAS ALREADY BE5 TAK5 C>E (1 IT HAS ALREADY HAPP5$4 ,! EXPANSION ( ,DEPT ,I,I HAS ALREADY PROCE$$ 'ACCORD+ TO PLAN'1 NAMELY ACCORD+ TO ! PLAN 9V5T$ BY ,BAU] HIMSELF4 ,!RE IS NOT EV5 ROOM !RE = ONE MORE NAIL4 ,& YET1 AFT] ALL ?IS1 !RE IS /ILL A REMA9D] ( #d1#f#f#f 9 ! FIR/ DEP>TM5T4 ,:AT >E WE TO DO ) ?IS8 ',:]E DO !Y F9D !IR \TLET8' ,BAU] ASKS4 ,& N[ ! FOLL[+ HAPP5S3 ,! CAPITALI/S 9 ! CONSUM] GOODS 9DU/RIES TRANSF] A P>T ( ! SURPLUS VALUE ACCUMULAT$ DUR+ ! FIR/ YE> TO ! MEANS ( PRODUCTION 9DU/RIES3 EI!R !Y !MSELVES F\ND FACTORIES TO PRODUCE MEANS ( PRODUCTION1 OR !Y TRANSF] P>T ( !IR ACCUMULAT$ SURPLUS VALUE VIA BANKS TO ! CAPITALI/S 9 ! MEANS ( PRODUCTION 9DU/RIES = !IR USE1 OR !Y BUY %>ES 9 COMPANIES :I* MANUFACTURE MEANS ( PRODUCTION 444 ,?US1 ! MEANS ( PRODUCTION 9DU/RY SELLS COMMODITIES WOR? #d1#f#f#f TO ?AT CAPITAL :I* HAS BE5 ACCUMULAT$ 9 ! CONSUM] GOODS 9DU/RY1 BUT IS TO BE 9VE/$ 9 ! MEANS ( PRODUCTION 9DU/RY4 ,!RE=E1 AP>T FROM MEANS ( PRODUCTION WOR? #h#e1#c#c#d 7:I* FULLY COV]S !IR [N DEM&71 ! CONSUM] GOODS 9DU/RY BUYS MEANS ( PRODUCTION WOR? #d1#f#f#f1 :I* >E MEANT TO PRODUCE MEANS ( PRODUCTION4.<#c.> ,SO ?AT IS ! SOLUTION3 ! FIR/ DEP>TM5T SELLS ! 9DIGE/IBLE REMA9D] ( #d1#f#f#f TO ! SECOND DEP>TM5T1 :I* DOES NOT MAKE USE ( IT = ITSELF1 BUT 'TRANSF]S' IT 444 BACK TO ! FIR/ DEP>TM5T :]E IT IS US$ TO FUR!R EXP& CON/ANT CAPITAL ,I4 ,ONCE AGA91 WE DO NOT HAVE TO GO 9TO ! ECONOMIC FACT ( ,BAU]'S 'TRANSF]S' ( SURPLUS VALUE FROM ,DEPT ,I TO ,DEPT ,I,I4 ,AT ?IS PO9T WE >E BL9DLY FOLL[+ ,BAU] ?R\< ?ICK & ?92 WE JU/ WANT TO NOTICE :E!R HIS [N FREELY *OS5 OP]ATIONS >E TAK+ PLACE FAIRLY & CLEANLY1 :E!R HE IS ABID+ BY HIS [N ASSUMPTIONS4 ,CAPITALI/S ,I 'SELL' !IR COMMODITY-REMA9D] ( #d1#f#f#f TO CAPITALI/S ,I,I :O 'BUY' IT BY TRANSF]R+ 'P>T ( !IR ACCUMULAT$ SURPLUS VALUE' TO ,DEPT ,I4 ,BUT WAIT A M9UTE6 ,:AT DO !Y 'BUY' IT )8 ,:]E IS ! 'P>T ( ! SURPLUS VALUE' :I* PAYS = ! PUR*ASE8 ,!RE IS NO TRACE ( IT 9 ,BAU]'S TABLES6 ,! 5TIRE AM\NT ( COMMODITIES 9 ,DEPT ,I,I HAS ALREADY BE5 US$ = ! CONSUMPTION ( ! CAPITALI/ CLASS ( BO? DEP>TM5TS AS WELL AS = ! R5EWAL & 5L>GEM5T ( V>IABLE CAPITAL 7SEE ,BAU]'S [N CALCULATIONS ON P4#h#f#e71 AT LEA/ EXCEPT A REMA9D] ( #a1#a#f#g4 ,?IS #a1#a#f#g 9 CONSUM] GOODS IS ALL ?AT IS LEFT1 OV] FROM ! SURPLUS VALUE ( ! SECOND DEP>TM5T4 ,& N[ ,BAU] USES ?IS #a1#a#f#g1 NOT AS A SORT ( D[N PAYM5T ON ! #d1#f#f#f 9 MEANS ( PRODUCTION1 BUT AS V>IABLE CAPITAL = ! ADDITIONAL WORK]S1 :O W]E NE$$ = ! ALLEG$LY 'B\E !Y & :AT DOES ,DEPT ,I DO ) !M8 ,NOT A WORD AB\T ?IS FROM ,BAU]4 ,! MY/ICAL #d1#f#f#f 9 CONSUM] GOODS :I* W\LD HAVE TO BE EX*ANG$ AT ! 'PUR*ASE' HAVE DISAPPE>$ )\T A TRACE4 ,OR %\LD WE IMAG9E ! PROCE$+S AS FOLL[S3 P]HAPS ! CAPITALI/S 9 ,DEPT ,I,I POSSESS SOME SP>E CAPITAL :I* DOES NOT APPE> 9 ! TABLE2 P]HAPS !Y HAVE SOME DEPOSITS 9 ! ,BANK ( ,G]MANY1 & DRAW #d1#f#f#f 9 MONEY TO BUY ?OSE MEANS ( PRODUCTION8 ,P>DON ME6 ,IT W\LD BE AN 9SULT TO ,M>X'S MODELS IF ,BAU] HAD ?\E %E] SW9DLES4 ,!SE G5TLEM5 PRET5D TO BE BUY+ & SELL+ #d1#f#f#f 9 MEANS ( PRODUCTION1 BUT 9 REALITY !RE >E NO MEANS ) :I* TO BUY !M4 ,:5 CAPITALI/S ,I GIVE ! REMA9D] ( !IR COMMODITIES TO CAPITALI/S ,I,I IT IS A LOVELY BIR?DAY PRES5T4 ,&1 9 ORD] NOT TO ACT %ABBILY1 CAPITALI/S ,I,I REPLY TO ?IS NOBLE GE/URE ) EQUAL HI<-M9D$NESS2 !Y GIVE ! PRES5T /RAIE1 FOLKS1 TAKE IT1 ,GOD BLESS Y\1 !RE Y\ HAVE ! V>IABLE CAPITAL TO SET Y\R SUP]FLU\S MA*9ES 9 MOTION4 ,?US1 AS ! LA/ ACT ( ACCUMULATION 9 ,DEPT ,I 7AFT] IT HAS BE5 5D$ 'ACCORD+ TO PLAN' 9 ,BAU]'S VIEW7 WE /ILL HAVE A NEW CON/ANT CAPITAL ( #d1#f#f#f & A V>IABLE CAPITAL ( #a1#a#f#g4 ,& ,BAU] ADDS1 TURN+ T[>DS HIS AUDI5CE ) A T5D] SMILE3 VOILA 4 ,9 ?IS WAY ! TOTAL PRODUCTIVE VALUE ( BO? SPH]ES1 ?US ALSO ! 5TIRE SURPLUS VALUE1 IS REALIZ$ 444 SIMIL>LY1 TABLE ,I,V CLE>LY %[S ?AT ! TOTAL PRODUCTIVE VALUE ( BO? SPH]ES1 9CLUD+ ! TOTAL SURPLUS VALUE1 IS REALIZ$ )\T DI/URBANCE NOT ONLY 9 ! FIR/ YE>1 BUT 9 EA* SUBSEQU5T YE> TOO4 ,COMRADE ,LUXEMBURG'S ASSUMPTION ?AT ! ACCUMULAT$ P>T ( SURPLUS VALUE CANNOT BE REALIZ$ IS !RE=E 9CORRECT4.<#d.> ,! RESULT IS V]Y NICE1 BUT ! EXCITEM5T IS SOME:AT MODIFI$ BY ! MANIPULATIONS ?AT BR\TM5TS HAS TAK5 PLACE 9 ORD] TO R5EW & EXP& ! CAPITAL1 AN 9DIGE/IBLE REMA9D] ( MEANS ( PRODUCTION WOR? #d1#f#f#f IS LEFT 9 ,DEPT ,I1 & A SIMIL> REMA9D] ( CONSUM] GOODS WOR? #a1#a#f#g IS LEFT 9 ,DEPT ,I,I4 ,:AT >E WE TO DO ) BO? ( !M8 ,FIR/ EX*ANGE !M1 AT LEA/ UP TO ! SMALL] SUM8 ,BUT !RE W\LD /ILL BE A TOTALLY USELESS REMA9D] 9 ,DEPT ,I2 WE W\LD ONLY HAVE *ANG$ ! NUMB]S1 BUT NOT ! EMB>RASSM5T4 ,SECONDLY1 :AT ECONOMIC PURPOSE & MEAN+ C\LD ?IS EX*ANGE HAVE8 ,:AT IS ,DEPT ,I TO DO ) ! CONSUM] GOODS IT HAS PUR*AS$ 9 ?IS WAY = ITS ADDITIONAL WORK]S1 AS IT W\LD NOT HAVE 5\< MEANS ( PRODUCTION TO OCCUPY !SE WORK]S8 ,SIMIL>LY :AT IS ,DEPT ,I,I TO DO ) ! MEANS ( PRODUCTION IT HAS B\E UNSALEABLE4 ,BAU] USES ! FOLL[+ TRICKS TO GET HIMSELF \T ( ?IS MESS4 ,FIR/LY1 HE FABRICATES ! 'SALE' ( ! UNSALEABLE REMA9D] ( COMMODITIES FROM ,DEPT ,I TO ,DEPT ,I,I1 )\T A S+LE WORD AB\T H[ ! LATT] PAYS = IT4 ,SECONDLY1 AFT] ! FABRICAT$ 'SALE'1 HE LETS CAPITALI/S ,I,I DO SOME?+ EV5 MORE ORIG9AL3 ) ! NEWLY ACQUIR$ MEANS ( PRODUCTION !Y WALK \T ( !IR [N DEP>TM5T 9TO ! O!R & 9VE/ !M !RE AS CAPITAL2 & ?IRDLY1 !Y TAKE ) !M !IR [N UNSALEABLE CONSUM] GOODS1 LIKEWISE TO 9VE/ !M 9 ! O!R DEP>TM5T AS V>IABLE CAPITAL4 ,ONE WOND]S :Y ,BAU] ?\TM5T & LETT+ IT BE US$ !RE = EXPANSION1 :I* IS :AT F9ALLY HAPP5S ACCORD+ TO HIS TRICKS3 ,H[EV]1 ,BAU] W\LD !N FALL \T ( ! FRY+ PAN 9TO ! FIRE2 ?AT IS1 HE W\LD HAVE TO EXPLA9 H[ ! NECESS>Y V>IABLE CAPITAL 9 ! %APE ( #a1#a#f#g CONSUM] COMMODITIES CAN BE /E]$ FROM ! SECOND DEP>TM5T OV] TO ! FIR/4 ,S9CE ?IS IS JU/ NOT FEASIBLE & IT IS ABSOLUTELY IMPOSSIBLE TO USE UP EV]Y S+LE PRODUCT ?R\< EX*ANGE1 ,BAU] MAKES UP HIS CONFUS$ CONTRAPTION :I* MAKES ONE'S EYES SWIM1 9 ORD] TO PUT TOGE!R !SE UNSALEABLE REMA9S ( ! COMMODITIES 9 ! FIR/ DEP>TM5T AS ! F9AL ACT ( ACCUMULATION4 ,IT IS C]TA9LY A BOLD IDEA4 ,M>X WAS ! FIR/ 9 ! HI/ORY ( POLITICAL ECONOMY TO MAKE ! DI/9CTION BETWE5 ! TWO DEP>TM5TS ( SOCIAL PRODUCTION & DESCRIBE IT S*EMATICALLY4 ,?IS IS A FUNDAM5TAL CONCEPT :I* PUT ! :OLE PROBLEM ( SOCIAL REPRODUCTION ON A NEW BASIS & MADE IT POSSIBLE TO 9VE/IGATE ACCURATELY = ! FIR/ TIME4 ,M>X'S DI/9CTION & HIS MODEL1 H[EV]1 ASSUME ?AT ONLY EX*ANGE RELATIONS EXI/ BETWE5 ! TWO DEP>TM5TS1 :I* IS PRECISELY ! BASIC =M ( CAPITALI/ OR COMMODITY-PRODUC+ ECONOMY4 ,:5 WORK+ ) HIS MODEL1 TOO1 ,M>X KEEPS /RICTLY TO ?IS BASIC CONDITION1 JU/ AS HE /ICKS TO ALL HIS ASSUMPTIONS ) REL5TLESS CONSI/5CY4 ,BAU] COMES ALONG & CASUALLY HURLS ,M>X'S 5TIRE ANALYSIS TO ! GR\ND BY 'TRANSF]R+' ! COMMODITIES BACKW>DS & =W>DS FROM ONE DEP>TM5T TO ! O!R )\T EX*ANGE1 & FLY+ AB\T 9 ! RIGOR\S MODEL LIKE A WILD GOOSE 9 ! SKY1 TO USE A ,POLI% PROV]B4 ,BAU] APPEALS TO ! FACT ?AT1 ) TE*NOLOGICAL PROGRESS1 ! PRODUCTION ( MEANS ( PRODUCTION WILL GR[ AT ! EXP5SE ( ! CONSUM] GOODS PRODUCTION1 & ! CAPITALI/S 9 ! LATT] DEP>TM5T WILL ?US CON/ANTLY PLACE A PORTION ( !IR SURPLUS VALUE 9 ! =M] DEP>TM5T 9 SOME =M OR O!R 7?R\< BANKS1 %>E-HOLD+ OR F\ND+ NEW 5T]PRISES74 ,ALL ?IS IS EXCELL5T4 ,H[EV]1 ! 'TRANSF]' ( ACCUMULAT$ SURPLUS VALUE FROM ONE BRAN* (1 PRODUCTION TO ANO!R CAN ONLY OCCUR 9 ! =M ( MONEY CAPITAL1 ?AT =M ( CAPITAL :I* DOES NOT DIFF]5TIATE & IS ABSOLUTE1 & IS !RE=E ESS5TIAL = SOCIAL FLUCTUATION1 TO 9ITIATE ! DISPLACEM5TS ( SOCIAL COMMODITY PRODUCTION4 ,A LOAD ( UNSALEABLE WAX C&LES CANNOT BUY %>ES 9 COPP] M9ES1 NOR CAN A W>EH\SE FULL ( UNM>KETABLE RUBB] %OES SET UP A NEW MA*9E FACTORY4 ,! PO9T WAS TO %[ H[ G5]AL EX*ANGE CONV]TS CAPITALI/ COMMODITIES 9TO MONEY CAPITAL1 :I* ALONE 5ABLES ! FLUCTUATION FROM ONE BRAN* ( PRODUCTION TO ! O!R4 ,?US1 :5 EX*ANGE IS NO LONG] POSSIBLE1 IT IS PURE ESCAPISM SIMPLY TO 'TRANSF]' ! UNM>KETABLE PRODUCTS 9TO ANO!R DEP>TM5T ( PRODUCTION )\T EX*ANGE4 ,EQUALLY AMAZ+ IS ,BAU]'S IDEA ( LETT+ ONE DEP>TM5T ( SOCIAL PRODUCTION P>TICIPATE 9 ! O!R4 ,M>X'S DEP>TM5TS DO NOT MEAN REGI/]S ( EMPLOY]S' NAMES1 BUT OBJECTIVE ECONOMIC CATEGORIES4 ,IF A CAPITALI/ FROM ,DEPT ,I,I WANTS TO 'SET UP' & ACCUMULATE 9 ,DEPT ,I ) P>T ( HIS MONEY CAPITAL1 ?AT DOES NOT MEAN ?AT ! DEP>TM5T ( CONSUM] COMMODITIES IS PRODUC+ 9 ! DEP>TM5T ( MEANS ( PRODUCTION1 :I* IS AN ECONOMIC ABSURDITY1 BUT ?AT ONE & ! SAME P]SON IS ACT+ SIMULTANE\SLY AS AN EMPLOY] 9 EA* ( ! TWO DEP>TM5TS4 ,?US 9 ECONOMIC T]MS WE >E DEAL+ ) TWO CAPITALS1 ONE ( :I* PRODUCES MEANS ( PRODUCTION1 ! O!R CONSUM] GOODS4 ,= ! ANALYSIS ( ! CONDITIONS ( SOCIAL REPRODUCTION1 ! FACT ?AT BO? SUMS ( CAPITAL BELONG TO ONE & ! SAME P]SON1 & ?AT ! SURPLUS VALUE FROM !M BO? JO9 EA* O!R 9 ONE POCKET1 IS OBJECTIVELY IMMAT]IAL4 ,?US EX*ANGE REMA9S ! SOLE CONNECTION BETWE5 ! TWO DEP>TM5TS4 ,O!RWISE1 IF ONE MIXES ! TWO 9TO A %APELESS MA%1 AS ,BAU] DOES1 ,M>X'S RIGOR\S CON/RUCTION1 ! RESULT ( A HUNDR$ YE>S ( /RUGGLE = CL>ITY 9 POLITICAL ECONOMY1 DIS9TEGRATES2 ! ANALYSIS ( ! PROCESS ( REPRODUCTION BREAKS UP 9TO ! *AOS :]E ,SAY & SIMIL> 9TELLECTS W&]$ BOLDLY AB\T 9 '?9 AIR'4 ,NOTA B5E1 AT FIR/ ,BAU] HIMSELF PROCE$S FROM ?IS PREMISE4 ,= EXAMPLE1 RI1 = ! CONSUM] GOODS CAN ONLY BE EX*ANG$ = !SE AM\NTS ( VALUE4'.<#e.> ,SIMIL>LY1 AFT] HIS TABLES >E COMPLETE & ACCUMULATION CAN PROCE$1 HE ASKS3 ',:O BUYS !SE COMMODITIES8'.<#f.> ,?US ,BAU] HIMSELF MAKES ! CONDITION ?AT HE WILL ACCOMPLI% ACCUMULATION BY RAIS+ ! TOTAL SOCIAL AM\NT ( COMMODITIES4 ,&1 F9ALLY1 AFT] V>I\S EX*ANGES1 HE /ILL HAS SOME COMMODITIES LEFT 9 BO? DEP>TM5TS :I* CANNOT BE EX*ANG$4 ,HE !N GETS HIMSELF \T ( TR\BLE BY MAK+ BO? DEP>TM5TS GIVE PRES5TS TO EA* O!R & BY LETT+ ONE DEP>TM5T P>TICIPATE 9 ! O!R'S PRODUCTION4 ,?US1 AT ! V]Y PO9T ( DEP>TURE ( HIS TABLES1 ,BAU] GIVES UP HIS [N PREMISE & ! FUNDAM5TAL PREMISE ( ,M>X'S MODEL4 ,& N[ A ?IRD EXAMPLE4 ,AS IS WELL KN[N1 ,M>X DEVELOPS HIS MODELS = ! ILLU/RATION ( ACCUMULATION ON ! ASSUMPTION ?AT CON/ANT CAPITAL IS 9 A FIX$ RELATION TO V>IABLE CAPITAL1 & ?AT ! RATE ( SURPLUS VALUE IS EQUALLY FIX$ :5 CAPITAL IS ALSO GR[+ PROGRESSIVELY4 ,9 MY BOOK ,I EXPLA91 AMONG O!R ?+S1 ?AT IT IS ?IS ASSUMPTION :I* CANNOT BE RECONCIL$ ) REAL LIFE1 & ?AT FACILITATES ! SMOO? PROCESS ( ACCUMULATION 9 ,M>X'S MODELS4 ,! M]E CONSID]ATION ( TE*NOLOGICAL PROGRESS1 I4E4 ( ! GRADUAL ALT]ATION ( ! RELATION BETWE5 CON/ANT & V>IABLE CAPITAL1 & ! 9CREASE 9 ! RATE ( SURPLUS VALUE1 W\LD1 ,I SAID1 POSE 9SUP]ABLE PROBLEMS = ! EXPLANATION ( ACCUMULATION 9 ,M>X'S MODELS2 IT W\LD %[ ?AT ACCUMULATION SIMPLY CANNOT BE CONF9$ TO ! MUTUAL RELATIONS ( PURELY CAPITALI/ 9DU/RY4 ,N[ ,OTTO ,BAU]1 UNLIKE ,M>X1 TAKES GOOD NOTE ( TE*NOLOGICAL PROGRESS 9 HIS TABLES1 & 9CORPORATES IT 9TO HIS CALCULATIONS 9 ! MO/ EXPLICIT WAY1 SO ?AT HE LETS CON/ANT CAPITAL GR[ TWICE AS FA/ AS V>IABLE CAPITAL FROM YE> TO YE>4 ,9DE$1 AS HE EXP\NDS HIS !ORY FUR!R HE ASSIGNS A DET]M9+ ROLE TO TE*NOLOGICAL PROGRESS 9 ! V>IATION 9 ! /ATE ( BUS9ESS4 ,BUT :AT DO WE SEE OV] ! PAGE8 ,9 ! SAME BREA? ,BAU] ASSUMES A FIX$ & CON/ANT RATE ( SURPLUS VALUE 'TO SIMPLIFY ! 9VE/IGATION'4.<#g.> ,NOTA B5E1 SCI5TIFIC ANALYSIS CAN IGNORE ! CONDITIONS ( REALITY OR COMB9E !M AT WILL TO SIMPLIFY ! SUBJECT1 AS ! OCCASION DEM&S4 ,! MA!MATICIAN MAY L[] OR RAISE HIS EQUATION AS HE WI%ES4 ,A PHYSICI/ MAY PLAN EXP]IM5TS 9 A VACUUM TO EXPLA9 ! RELATIVE SPE$ ( FALL ( BODIES4 ,SIMIL>LY1 ! POLITICAL ECONOMI/ MAY LEAVE \T CONCRETE CONDITIONS ( ECONOMIC LIFE = C]TA9 PURPOSES ( 9VE/IGATION4 ,9 ! :OLE ( ! FIR/ VOLUME ( ,CAPITAL ,M>X PROCE$S FROM ! ASSUMPTION ?AT 7#a7 ALL COMMODITIES >E SOLD AT !IR VALUE1 & 7#b7 ?AT WAGES CORRESPOND TO ! FULL VALUE ( LABOR1 AN ASSUMPTION :I*1 AS EV]YONE KN[S1 CONTRADICTS PRACTICE AT EV]Y /EP4 ,M>X USES ?IS PROC$URE TO %[ H[ CAPITALI/ EXPLOITATION IS ACCOMPLI%$ EV5 UND] ! MO/ FAVORABLE CONDITIONS = ! WORK]S4 ,HIS ANALYSIS DOES NOT CEASE TO BE SCI5TIFICALLY ACCURATE BECAUSE ( ?IS2 ON ! CONTR>Y1 IT IS PRECISELY 9 ?IS WAY ?AT HE GIVES US AN UN%AKABLE F\NDATION = ! EXACT E/IMATION ( DAILY PRACTICE & ITS EXCEPTIONS4 ,BUT :AT W\LD ONE SAY TO A MA!MATICIAN :O W\LD MULTIPLY ONE HALF ( HIS EQUATION BY TWO & LEAVE ! O!R HALF UN*ANG$ OR DIVID$ BY TWO8 ,:AT IS ONE TO ?9K ( A PHYSICI/ :O W\LD COMP>E ! RELATIVE SPE$ ( FALL ( V>I\S BODIES1 ONE 9 AN ATMOSPH]E & ! O!R 9 A VACUUM8 ,?IS IS H[ ,BAU] BEHAVES4 ,( C\RSE1 9 ALL HIS MODELS ( REPRODUCTION ,M>X ASSUMES A P]MAN5TLY FIX$ RATE ( SURPLUS VALUE1 & ONE CAN HOLD ?AT ?IS V]Y ASSUMPTION IS NOT LEGITIMATE = ! 9VE/IGATION ( ! PROBLEM ( ACCUMULATION4 ,M>X1 H[EV]1 DID /ICK RIGOR\SLY TO HIS ASSUMPTION1 & )9 ! LIMITS ( ?AT ASSUMPTION3 HE IGNOR$ TE*NOLOGICAL PROGRESS 9 EV]Y CASE4 ,BAU] TREATS ! SUBJECT QUITE DIFF]5TLY3 LIKE ,M>X HE ASSUMES A FIX$ RATE ( SURPLUS VALUE2 BUT UNLIKE ,M>X HE SIMULTANE\SLY ASSUMES /RONG & CONT9U\S TE*NOLOGICAL PROGRESS6 ,HE BR+S TE*NOLOGICAL PROGRESS 9TO HIS CALCULATIONS1 BUT ?IS BY NO MEANS RAISES ! LEVEL ( EXPLOITATION - TWO CONDITIONS :I* COMPLETELY CONTRADICT & NEUTRALIZE ONE ANO!R4 ,HE !N G5]\SLY LEAVES US TO TE/ ALL HIS CALCULATIONS ON ! ASSUMPTION ( AN 9CREAS+ RATE ( SURPLUS VALUE1 :I* HE HAD AT FIR/ 'NEGLECT$'1 ASSUR+ US ?AT EV]Y?+ W\LD !N PROCE$ TO ! SATISFACTION ( ALL4 ,IT IS A PITY ?AT ,BAU] DID NOT CONSID] IT WOR? HIS TR\BLE TO GO ON TO COMPLETE ?IS LITTLE DETAIL HIMSELF1 9/EAD ( BREAK+ (F HIS +5I\S CALCULATIONS1 JU/ LIKE ! O!R CALCULATION EXP]TS1 & TAK+ LEAVE ( US BECAUSE ( URG5T DELAYS AT ! V]Y PO9T :]E HIS PRO( %\LD HAVE BEGUN4.<#h.> ,?IS AT LEA/ W\LD BE ! ONLY WAY 9 :I* AN >I?METICAL 'PRO(' C\LD HAVE BE5 PROVID$ = ,BAU]'S ASS]TION4 ,:AT HE HAS N[ PROVID$ IS NO LONG] AN AID = SCI5TIFIC ANALYSIS1 BUT QUACK]Y1 :I* EXPLA9S NO?+ & CAN PROVE NO?+4 ,UP TILL N[ ,I HAVE /ILL NOT T\*$ UPON ! ECONOMIC CONT5T ( ,BAU]'S TABLES4 ,I HAVE ONLY1 ) A FEW EXAMPLES1 ATTEMPT$ TO DEMON/RATE ! ME?ODS US$ BY ,BAU]1 & ! WAY 9 :I* HE KEEPS TO HIS [N CONDITIONS4 ,I DID NOT GO 9TO HIS H&L+ ( ! TABLES 9 SU* DETAIL 9 ORD] TO CELEBRATE *EAP VICTORIES OV] ! CLUMS9ESS ( HIS S*EMATIC OP]ATIONS4 ,MANY ( HIS PITFALLS CAN EASILY BE AVOID$ BY SOME:AT MORE +5I\SLY CON/RUCT$ TABLES - ,TUGAN-,B>ANOVSKY1 = EXAMPLE1 IS A PA/-MA/] AT ?IS - NOT ?AT ?IS W\LD PROVE MU* MORE AB\T ! QUE/ION4 ,! PO9T1 H[EV]1 IS H[ ,BAU] USES ,M>X'S MODELS2 IT IS A FACT ?AT ! CONFUSION :I* ,BAU] 5G5D]S 9 HIS TABLES BETRAYS ALL TOO CLE>LY JU/ H[ MU* HE C\LD DO ) ,M>X'S TABLES4 ,BAU]'S CO-EXP]T1 ,ECK/E91 CAN SLATE HIM AS MU* AS HE LIKES = HIS 'BASIC MISUND]/&+ ( ,M>X'S MODELS' & HIS COMPLETE '9ABILITY' TO WORK ') ,M>X'S MODELS'4 ,IT IS NOT BECAUSE ,I WANT$ TO JUDGE ,BAU] SO H>%LY1 LIKE HIS ,AU/RO-,M>XI/ COLLEAGUE1 ?AT ,I AM NOT CONT5T ) EMPHASIZ+ !SE FEW TE/S1 BUT BECAUSE ,BAU] EXPLA9S NAIVELY3 ,ROSA ,LUXEMBURG IS CONT5T TO PO9T \T ! CAPRICI\SNESS ( ,M>X'S MODELS - WE PROPOSE TO ATTEMPT TO LOOK AT ,M>X'S ?\E NO LONG] CAPRICI\S1 & :OSE MEASUREM5TS NECESS>ILY FOLL[ FROM EA* O!R1 PROVID$ ONE FIR/ PRESUPPOSES ! ASSUMPTION4.<#i.> ,N[1 ,BAU] WILL EXCUSE MY WANT+ TO /AY ) ! UNCORRECT$ ,M>X & HIS 'CAPRICI\SNESS' AFT] ! TE/S ,I HAVE MADE4 ,WE WILL /ILL HAVE ! OPPORTUNITY AT ! 5D TO SEE :AT DIFF]5CE !RE IS BETWE5 ! MI/AKES ( A ,M>X & ! BLUND]S ( HIS 'EXP]T' EPIGONES4 ,BAU]1 H[EV]1 IS NOT CONT5T TO GIVE ME 9/RUCTION1 BUT - ?OR\< MAN ?AT HE IS - HE ALSO SEES FIT TO EXPLA9 MY MI/AKE4 ,HE HAS DISCOV]$ ! BASIS ( MY ]ROR3 ',COMRADE ,LUXEMBURG IS ?US 9CORRECT 9 H] ASSUMPTION ?AT ! ACCUMULAT$ P>T ( SURPLUS VALUE CANNOT BE REALIZ$1' HE WRITES1 AFT] HIS TABLES HAVE WORK$ \T ')\T REMA9D]' ?R\< ! ABOVE MANIPULATIONS4 ',H[ CAN ,COMRADE ,LUXEMBURG HAVE COME TO ?IS 9CORRECT ASSUMPTION8' ,& N[ FOLL[S ! AMAZ+ EXPLANATION3 ,WE HAVE ASSUM$ ?AT 9 ! FIR/ YE> ! CAPITALI/S BUY ! MEANS ( PRODUCTION :I* WILL BE SET 9 MOTION BY ! 9CREAS$ LABOR =CE 9 ! SECOND YE>1 & ?AT 9 ! FIR/ YE> ! CAPITALI/S BUY ! CONSUM] GOODS :I* !Y SELL TO ! 9CREAS$ LABOR =CE 9 ! SECOND YE>4 ,IF WE DID NOT ASSUME ?IS1 IT W\LD 9 FACT BE IMPOSSIBLE TO REALIZE ?IS YE> ! SURPLUS VALUE :I* WAS PRODUC$ 9 ! FIR/ YE>4 ,& YET AGA93 ,ROSA ,LUXEMBURG BELIEVES ?AT ! ACCUMULAT$ P>T ( SURPLUS VALUE CANNOT BE REALIZ$4 ,9DE$1 IT CANNOT BE REALIZ$ 9 ! FIR/ YE> IF ! MAT]IAL ELEM5TS ( ! ADDITIONAL PRODUCTIVE CAPITAL WILL NOT BE B\4.<#a.> ,?AT IS ! HE>T ( ! MATT]4 ,I WAS NOT AW>E ?AT1 IF ONE WANT$ TO OP5 A FACTORY & PUT IT 9TO PRODUCTION 9 #a#i#a#f1 ONE HAD TO CON/RUCT ! NECESS>Y BUILD+S1 BUY ! MA*9ES & MAT]IALS & GET ! PROVISIONS 9 /OCK = ! WORK]S :O >E TO BE EMPLOY$ - 9 #a#i#a#e4 ,I WAS UND] ! IMPRESSION ?AT ONE F\NDS A BUS9ESS 5T]PRISE FIR/ & !N BUYS ! BUILD+ SITE = IT1 ?AT ONE EMPLOYS WORK]S FIR/ & !N PLANTS ! RYE :I* WILL BE BAK$ 9TO BREAD = !M6 ,IT IS1 9 FACT1 LUDICR\S - = ! V]Y REASON ?AT SU* DISCLOSURES >E S]V$ UP 9 ! SCI5TIFIC ORGAN ( ,M>XISM4 ,SO ,OTTO ,BAU] REALLY BELIEVES ?AT ,M>X'S =MULAS HAVE SOME?+ TO DO ) 'YE>S'1 & ! GOOD S\L TOILS ?R\< TWO SIDES ( PR9T TO PO9T ?IS \T TO ME 9 SIMPLE LANGUAGE ) ! HELP ( ?REE-/ORI$ =MULAS & ,ROMAN & ,GREEK LETT]S4 ,BUT ,M>X'S MODELS ( CAPITAL ACCUMULATION HAVE ABSOLUTELY NO?+ TO DO ) CAL5D> YE>S4 ,M>X WAS DEAL+ ) ! ECONOMIC METAMORPHOSES ( PRODUCTS & !IR CONNECTION 9 A CAPITALI/ ECONOMY2 HE WAS DEAL+ ) ! FACT ?AT1 9 ! CAPITALI/ WORLD1 ! SEQU5CE ( ! ECONOMIC PROCESSES IS3 PRODUCTION - EX*ANGE - CONSUMPTION - PRODUCTION AGA9 - EX*ANGE - CONSUMPTION1 & SO ON 9 AN 5DLESS *A94 ,BECAUSE EX*ANGE IS ! UNAVOIDABLE TRANSITIONAL PHASE ( ALL PRODUCTS & ! SOLE L9K BETWE5 PRODUC]S1 :5 ! COMMODITIES >E REALIZ$ IS 9 ! FIR/ 9/ANCE IRRELEVANT = PR(IT-MAK+ & ACCUMULATION2 ! FOLL[+ TWO FACTS1 H[EV]1 >E RELEVANT3 ,! TOTAL CAPITALI/1 LIKE EA* 9DIVIDUAL CAPITALI/1 CANNOT PLAN TO 5L>GE PRODUCTION UNTIL HE HAS EX*ANG$ HIS QUANTITY ( COMMODITIES2 & ,! TOTAL CAPITALI/1 LIKE EA* 9DIVIDUAL CAPITALI/1 CANNOT PLAN TO 5L>GE PRODUCTION IF !RE IS NO 9DICATION ( AN 5L>G$ M>KET4 ,:]E !N DOES ! 5TIRE CLASS ( CAPITALI/S F9D ! GR[+ M>KET :I* IS ! BASIS = !IR ACCUMULATION8 ,?IS WAS ! QUE/ION4 ,& ,BAU] F9ALLY PROVIDES ! FOLL[+ DETAIL$ ELUCIDATION3 ,9 REALITY ! ACCUMULAT$ SURPLUS VALUE IS ALSO REALIZ$ 9 CAPITALI/ SOCIETY4 ,AT ALL EV5TS1 ! REALIZATION IS ACCOMPLI%$ /EP BY /EP1 GRADUALLY4 ,?US1 = 9/ANCE1 ! PROVISIONS :I* WILL BE US$ 9 ! SECOND YE> TO FE$ ! EXTRA NUMB] ( WORK]S >E NORMALLY PRODUC$ 9 ! FIR/ YE> & SOLD TO :OLESALE CAPITAL2 ?US1 P>T ( ! SURPLUS VALUE :I* LIES 9 !SE PROVISIONS WILL ALREADY BE REALIZ$ 9 ! FIR/ YE>4 ,! REALIZATION ( ! O!R P>T ( ! SURPLUS VALUE W\LD !N RESULT FROM ! :OLESAL] SELL+ !SE PROVISIONS TO ! RETAIL]1 :O SELLS !M TO ! WORK]S - ?US F> \R MODEL IS A FAI?FUL REPRES5TATION ( REALITY4.<#a#a.> ,AT LEA/ ,BAU] GIVES US A TANGIBLE EXAMPLE H]E ( H[ HE IMAG9ES SURPLUS VALUE IS REALIZ$4 ,:E!R IT BE 9 ! FIR/ OR ! SECOND YE>1 ?IS TAKES PLACE BY ! MANUFACTUR] SELL+ ! PROVISIONS TO ! :OLESAL]1 HE TO ! RETAIL]1 & F9ALLY ! SMALL %OPKEEP] SELL+ !M TO ! EXTRA LABOR =CE4 ,?US IT IS ! WORK]S :O1 9 ! LA/ ANALYSIS1 REALIZE ! CAPITALI/'S SURPLUS VALUE = HIM1 :O HELP IT TO TURN 9TO H>D CA%4 ',?US F>' ,BAU]'S MODEL IS A FAI?FUL REPRES5TATION ( ! RANGE ( VISION ( ! 9DIVIDUAL CAPITALI/ & HIS !ORETICAL ,SAN*O ,PANZA1 ! B\RGEOIS VULG> ECONOMI/4 ,( C\RSE1 AS F> AS ! 9DIVIDUAL CAPITALI/ IS CONC]N$1 ,F]D IS AS GOOD A CONSUM] ( HIS COMMODITIES AS ,JOE1 WORK]S >E AS GOOD AS ANO!R CAPITALI/1 NATIONALS >E AS GOOD AS =EIGN]S & F>M]S >E AS GOOD AS >TISANS4 ,TO :OMEV] HE SELLS HIS COMMODITIES1 ! 9DIVIDUAL CAPITALI/ POCKETS HIS PR(IT & ! EMPLOY]S 9 ! BRAN* ( PROVISIONS :O SELL !IR COMMODITIES TO ! WORK]S RAKE 9 AS GOOD A PR(IT AS ! EMPLOY]S 9 ! BRAN* ( LUXURY GOODS DO BY SELL+ (F !IR TOP QUALITY W>ES1 LACE1 GOLD >TICLES & DIAMONDS TO ! FAIR WOMANHOOD ( ! 'TOP T5 ?\S&'4 ,BUT IF ,BAU]1 )\T NOTIC+ IT 9 ! LEA/1 TRANSF]S ?IS TRITE EMPIRICISM AS REG>DS EV]Y 9DIVIDUAL EMPLOY]1 OV] TO CAPITAL AS A :OLE1 IF HE CANNOT DIFF]5TIATE ! CONDITIONS ( SOCIAL REPRODUCTION FROM ! CONDITIONS ( REPRODUCTION ( 9DIVIDUAL CAPITAL - WELL !N1 :Y ON E>? DID ,M>X WRITE ! SECOND VOLUME ( ,CAPITAL8 ,= ! V]Y HE>T ( ,M>X'S !ORY ( REPRODUCTION1 ! DECISIVE A*IEVEM5T ( ! 'AMAZ+ WORK'1 AS ,BAU]'S COLLEAGUE1 ,HILF]D+1 CALLS IT1 LIES 9 ! FACT ?AT ,M>X HAD F9ALLY EXTRACT$ \T ( ! *AOS ( CONTRADICTIONS & FUMBL+ ATTEMPTS ( ,QUESNAY1 ,ADAM ,SMI? & !IR POOR IMITATORS :O FOLL[$ !M1 = ! FIR/ TIME & ) CLASSICAL CL>ITY1 ! FUNDAM5TAL DI/9CTION BETWE5 ! TWO CATEGORIES3 9DIVIDUAL CAPITAL & AGGREGATE SOCIAL CAPITAL & !IR MOVEM5TS6 ,LET US EXAM9E ,BAU]'S IDEAS FROM ?IS PO9T ( VIEW 9 ! SIMPLE/ POSSIBLE WAY4 ,:5CE DO ! WORK]S GET ! MONEY ) :I* !Y >E TO BUY ! PROVISIONS & ?US REALIZE ! CAPITALI/'S SURPLUS VALUE8 ,! 9DIVIDUAL CAPITALI/ DOES NOT GIVE A T9K]'S DAMN :]E HIS 'CU/OM]'S' MAMMON COMES FROM1 AS LONG AS HE HAS SOME - IT CAN BE GIV51 /OL5 OR E>N$ BY PRO/ITUTION4 ,= ! 5TIRE CLASS ( CAPITALI/S1 H[EV]1 !RE REMA9S ! UN%AKABLE FACT ?AT ! WORK]S RECEIVE ! MEANS TO SATISFY !IR NE$S FROM ! CAPITALI/S !MSELVES 9 EX*ANGE = LABOR - 9 ! =M ( WAGES4 ,AS ,I HAVE EXPLA9$ ABOVE1 !Y RECEIVE !SE 9 TWO DIFF]5T =MS1 ACCORD+ TO ! CONDITIONS ( MOD]N COMMODITY PRODUCTION3 FIR/ AS MONEY1 !N AS COMMODITY1 9 :I* WAY ! MONEY ALWAYS RETURNS TO ITS PO9T ( DEP>TURE1 ! POCKET ( ! CAPITALI/ CLASS4 ,?IS CIRCULATION ( V>IABLE CAPITAL COMPLETELY EXHAU/S ! PUR*AS+ P[] ( ! WORK]S & !IR CONTACT BY WAY ( EX*ANGE ) ! CAPITALI/4 ,?US1 IF PROVISIONS >E ALLOTT$ TO ! WORK]S1 ?AT DOES NOT MEAN1 SPEAK+ 9 SOCIAL T]MS1 ?AT CAPITAL IS REALIZ+ SURPLUS VALUE1 BUT ?AT IT IS DELIV]+ V>IABLE CAPITAL 9 COMMODITIES 7MAT]IAL WAGES71 ?US RETRIEV+ ITS [N CAPITAL FROM ! PREVI\S P]IOD 9 AN EQUAL AM\NT ( MONEY CAPITAL4 ,?US1 ACCORD+ TO ,BAU]'S =MULA1 ! SO-CALL$ REALIZATION ( SURPLUS VALUE CONSI/S 9 ! CAPITALI/S REPEAT$LY EX*ANG+ A PORTION ( NEW CAPITAL 9 COMMODITY =M AGA9/ AN EQUAL PORTION ( CAPITAL 9 MONEY =M :I* ALREADY BELONG$ TO !M6 ,9 REALITY1 ! CLASS ( CAPITALI/S DOES 9DE$ C>RY \T ?IS TRANSACTION1 S9CE !Y MU/ B[ TO ! SAD NECESSITY ( GIV+ !IR LABOR =CE A PORTION ( ! TOTAL PRODUCT AS MEANS ( SUBSI/5CE1 SO ?AT !Y CAN PRODUCE NEW SURPLUS VALUE 9 COMMODITY =M4 ,BUT ! CAPITALI/ CLASS NEV] IMAG9ES ?AT IT IS 'REALIZ+' ITS PREVI\S SURPLUS VALUE ?R\< ?IS PROCESS4 ,?IS WAS RES]V$ = ,BAU] TO DISCOV]4.<#a#b.> ,AT ALL EV5TS1 ,BAU] HIMSELF DIMLY SUSPECTS ?AT ! CONV]SION ( SURPLUS VALUE 9TO V>IABLE CAPITAL REPRES5TS ANY?+ BUT 'REALIZATION ( SURPLUS VALUE'4 ,= 9/ANCE1 HE DOES NOT SAY A WORD AB\T IT AS LONG AS HE IS DEAL+ ) ! R5EWAL ( V>IABLE CAPITAL )9 ! OLD FRAMEWORK4 ,?AT CLEV] TRICK DOES NOT />T UNTIL ! 'ADDITIONAL WORK]S' APPE>4 ,WORK]S :O HAVE ALREADY BE5 EMPLOY$ BY CAPITAL = YE>S SIMPLY RECEIVE WAGES - FIR/ AS MONEY1 !N AS PROVISIONS - & PRODUCE SURPLUS VALUE 9 RETURN4 ,H[EV]1 WORK]S :O HAVE BE5 TAK5 ON REC5TLY ) ! EXPANSION ( OP]ATIONS ACCOMPLI% EV5 MORE2 !Y 'REALIZE' ! CAPITALI/S' SURPLUS VALUE BY US+ ! MONEY WAGE !Y RECEIVE FROM ! CAPITALI/S TO BUY PROVISIONS FROM !SE SAME CAPITALI/S6 ,WORK]S 9 G5]AL ONLY REALIZE !IR [N COMMODITY - LABOR P[] - = !MSELVES & DO 5\< = CAPITAL :5 !Y PRODUCE SURPLUS VALUE4 ,BUT ! SO-CALL$ 'ADDITIONAL' WORK]S >E SUPPOS$ TO ACCOMPLI% A D\BLE MIRACLE = CAPITAL3 !Y PRODUCE SURPLUS VALUE 9 COMMODITIES1 & !Y ACTUALLY REALIZE ?IS SURPLUS VALUE 9 MONEY4 ,WE HAVE F9ALLY >RIV$ AT ! BASIC CONCEPTS ( ! PROCESS ( REPRODUCTION1 JU/ 9SIDE ! FRONT DOOR ( ! SECOND VOLUME ( ,CAPITAL1 & N[ IT BECOMES V]Y CLE> ?AT ,BAU] IS NOT ONLY CALL$ UPON TO EXPLA9 ,M>X'S SECOND VOLUME1 BUT ALSO TO 'FREE' IT FROM CONTRADICTIONS & '>BITR>9ESS' & TO 'EXPRESS ,M>X'S ?\E !Y8 ,!Y >E ?OSE MEANS ( PRODUCTION CAPITALI/S NE$ TO EXP& !IR PRODUCTIVE APP>ATUS & ?OSE COMMODITIES NE$$ TO FE$ ! ADDITIONAL WORK]S4 ,A/ONI%$ AT MY OBTUS5ESS1 ,BAU] EXCLAIMS3 ,IF ?OSE COMMODITIES W]E ?R[N \T ( ! CAPITALI/ WORLD !RE W\LD BE NO PRODUCTION ON AN EXP&$ SCALE POSSIBLE DUR+ ! FOLL[+ YE>4 ,NEI!R ! MEANS ( PRODUCTION NECESS>Y = ! EXPANSION ( ! PRODUCTIVE APP>ATUS NOR ! NECESS>Y PROVISIONS TO FE$ ! 9CREAS$ LABOR =CE CAN BE SUPPLI$4 ,! ELIM9ATION ( ?IS P>T ( ! SURPLUS VALUE FROM ! CAPITALI/ M>KET W\LD NOT MAKE ACCUMULATION POSSIBLE1 AS ,ROSA ,LUXEMBURG ?9KS1 BUT RA!R MAKE ANY ACCUMULATION IMPOSSIBLE4.<#a#c.> ,AGA91 HE /ATES CATEGORICALLY AT ! 5D ( HIS >TICLE3 ',! P>T ( ! SURPLUS PRODUCT :I* CONTA9S ACCUMULAT$ SURPLUS VALUE CANNOT BE SOLD TO ! PEASANTS & PETIT-B\RGEOISIE 9 ! COLONIES AS IT IS NE$$ 9 ! CAPITALI/ C\NTRY ITSELF TO EXP& PRODUCTION4'.<#a#d.> ,GOOD ,GOD1 >E !RE WORDS = SU* ?9K+1 = SU* CRITICISM6 ,WE >E BACK AGA9 9 ! REALM ( ECONOMIC 9NOC5CE ON ! LEVEL ( ! GOOD OLD VON ,KIR*MANN.<#a#e.> OR ! HONORABLE ,RUSSIAN >*-CONFUSIONI/ ,WORONZ[4.<#a#f.> ,BAU] S]I\SLY BELIEVES ?AT CAPITALI/ COMMODITIES DISAPPE> ALTOGE!R IF !Y >E '?R[N AWAY' TO NON-CAPITALI/ /RATA OR C\NTRIES1 AS IF !Y W]E TOSS$ 9TO ! SEA4 ,HE DID NOT NOTICE ONE FACT :I* EV]Y *ILD KN[S !SE DAYS1 ?AT1 IF COMMODITIES >E EXPORT$1 !Y DO NOT GET LO/1 BUT >E EX*ANG$4 ,USUALLY O!R COMMODITIES >E B\$ TO SET ! WORLD ON FIRE TO MONOPOLIZE ?IS TRADE TO AN EV5 GREAT] EXT5T4 ,9 ORD] TO OP5 UP OPPORTUNITIES TO '?R[ AWAY' CAPITALI/ COMMODITIES TO NON-CAPITALI/ ,*9A1 ,FRANCE & ,5GL& CONDUCT$ BLOODY W>S = ?REE DECADES 9 ,EA/ ,ASIA3 ! UNIT$ CAPITAL ( ,EUROPE UND]TOOK AN 9T]NATIONAL CRUSADE AGA9/ ,*9A AT ! TURN ( ! C5TURY4 ,TRADE1 EX*ANGE ) PEASANTS & >TISANS - NON-CAPITALI/ PRODUC]S 9 ,EUROPE - IS ONE ( ! MO/ COMMON PH5OM5A 9 EV]Y C\NTRY TODAY1 & AT ! SAME TIME1 AS EV]YONE KN[S1 ! UNAVOIDABLE PRECONDITION = ! EXI/5CE ( CAPITALI/ 9DU/RY4 ,& !RE IS ,OTTO ,BAU] SUDD5LY DECL>+3 IF CAPITALI/S W]E TO '?R[ AWAY' 9TO ! NON-CAPITALI/ WORLD ! COMMODITIES :I* !Y & !IR WORK]S DO NOT CONSUME !MSELVES1 ACCUMULATION W\LD BECOME IMPOSSIBLE6 ,AS IF CAPITALI/ DEVELOPM5T W\LD BE HI/ORICALLY POSSIBLE IF CAPITAL W]E DEP5D5T SOLELY ON SELF-PRODUC$ MEANS ( PRODUCTION & CONSUMPTION4 ,?IS IS H[ ONE CAN GET 5TANGL$ 9 ONE'S EAG]NESS = !ORETICAL /UPIDITY6 ,BUT IT IS *>ACT]I/IC1 = ?IS 5TIRE 'EXP]T' EPIGON-T5D5CY ( ,M>XISM 9 !ORY & PRACTICE - & WE WILL F9D ?IS AMPLY CONFIRM$ LAT] ON - ?AT !Y LOSE ALL S5SE ( REALITY BY BURY+ !MSELVES 9 AN AB/RACT 'MODEL'2 ! MORE BOLDLY !Y W&] >\ND ) A /ICK 9 ! MI/ ( !ORY1 ! MORE MIS]ABLY !Y /UMBLE OV] ! GL>+LY OBVI\S FACTS ( REAL LIFE4 ,WE HAVE N[ DEALT ) ,BAU]'S PRELIM9>Y PO9TS2 WE >E FAMILI> ) HIS ME?ODS & PROC$URES4 ,WE /ILL HAVE ! MA9 ?+3 HIS POPULATION !ORY4 ,FOOTNOTES .<#a.> #a#i#a#c1 ,NO4#b#c4 _<,5GLI% TRANSLATION3 ,OTTO ,BAU]'S ,ACCUMULATION ( ,CAPITAL1 ,HI/ORY ( ,POLITICAL ,ECONOMY1 #a#i#h#f1 #a#h3#a1 PP4#h#g-#a#a4_> .<#b.>LOC4 CIT4 _ .<#c.>IBID41 ,NO4#b#d1 P4#h#f#c4 _ .<#d.>IBID41 PP4#h#f#e-#f4 _ .<#e.>OP4 CIT41 ,NO4#b#c1 P4#h#c#g4 _ .<#f.>OP4 CIT41 ,NO4#b#d1 P4#h#f#c4 _ .<#g.>OP4 CIT41 ,NO4#b#c1 P4#h#c#e4 _ .<#h.> ,PANNEKOEK1 ALSO1 AFT] CALCULAT+ HIS TABLES ) QUICKLY GR[+ CAPITAL BUT ) A CON/ANT RATE ( SURPLUS VALUE1 SAYS3 ',AS ABOVE1 A GRADUAL ALT]ATION 9 ! RATE ( EXPLOITATION COMES 9TO CONSID]ATION TOO' 7,BREM] ,BURG]ZEITUNG1 #bi ,JANU>Y #a#i#a#c74 ,BUT HE TOO LEAVES ?AT DIFFICULTY TO ! READ]4 .<#i.>OP4 CIT41 ,NO4#b#c1 P4#h#c#b4 _ .<#a.>OP4 CIT41 ,NO4#b#d1 P4#h#f#f4 _ .<#a#a.>OP4 CIT41 ,NO4#b#d1 P4#h#f#h4 _ .<#a#b.> ,A LITTLE 'EXP]T' 9 ! ,DRESD5] ,VOLKSZEITUNG 7( #bb ,JANU>Y #a#i#a#c7 HAS SOLV$ ! PROBLEM ( ACCUMULATION 9 A REM>KABLE WAY4 ',EA* EXTRA ,M>K'1 HE TELLS US1 ':I* ! WORK] RECEIVES CREATES A NEW CAPITAL 9VE/M5T ( T5 ,M>KS OR MORE1 ?US ! WORK]S' /RUGGLE 444 CREATES A M>KET = SURPLUS VALUE & MAKES CAPITAL ACCUMULATION 9 !IR [N C\NTRY POSSIBLE4' ,:AT A CLEV] LITTLE BOY6 ,! NEXT TIME ONE SU* 'EXP]T' HAS ! BRILLIANT IDEA ( SIMPLY WRIT+ 'COCKADOODL$OO' 9 ! MIDDLE ( AN ECONOMIC OBS]VATION1 HE CAN BE DEAD C]TA9 ?AT ?AT TOO WILL BE PR9T$ UN*ECK$ AS A LEAD >TICLE 9 ! ,SOCIAL ,DEMOCRATIC ORGAN4 ,IT SEEMS ?AT ! E/EEM$ $ITORS1 AT LEA/ ?OSE ( !M ) AN ACADEMIC $UCATION1 :O HAVE !IR H&S FULL ) UPTURN+ ! :OLE WORLD HI/ORY 9 P>LIAM5T>Y WAIT+ ROOMS & CORRIDORS1 HAVE = A LONG TIME CONSID]$ IT A WA/E ( TIME ACTUALLY TO GET D[N TO READ+ !ORETICAL BOOKS !MSELVES 9 ORD] TO =M SOME K9D ( OP9ION AB\T PROBLEMS :I* EM]GE4 ,IT IS MU* EASI] TO PASS ?AT SORT ( ?+ ON TO ! 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