ABSTRACT
The process by which capital increases its
own value. In MARXIAN economics, it is
asserted that this occurs because capital
increases its own value by the production
of SURPLUS VALUE.
value (D0)
Intrinsic worth or price of a good or
service. Earlier economic writers from
ARISTOTLE made the distinction between
with, in many cases, the objective use
value being measured by the cost of
production of that article. CANTILLON,
SMITH, RICARDO and John Stuart MILL ago-
nized over the determinants and measure
of different types of value, often using the
so-called ‘water and diamonds paradox’:
the PARADOX OF VALUE. Apart from Marx
and his disciples, interest in the concept of
INTRINSIC VALUE waned and attention was
concentrated on prices, except inasmuch as
intrinsic value can be equated with long-
term equilibrium prices.
