Law of Value
According to Marx, the operation of the law of value and the formation of prices of production was modified in capitalist agriculture, because prices for farm output were co-determined by land yields and land ownership-rents quite independently of labor-productivity. For example, a poor harvest in a major agricultural region due to adverse weather conditions, or the monopolization of the supply of farmland, could have a big effect on world market prices for farm products. Marx extends his theory of agricultural rents to building rents and mine rents, and considers the effect of rent income on land prices.
Read more about this topic: Differential And Absolute Ground Rent
Famous quotes containing the words law of and/or law:
“Nor has science sufficient humanity, so long as the naturalist overlooks the wonderful congruity which subsists between man and the world; of which he is lord, not because he is the most subtile inhabitant, but because he is its head and heart, and finds something of himself in every great and small thing, in every mountain stratum, in every new law of color, fact of astronomy, or atmospheric influence which observation or analysis lay open.”
—Ralph Waldo Emerson (1803–1882)
“The law of the Lord is perfect, converting the soul: the testimony
of the Lord is sure, making wise the simple.”
—Bible: Hebrew Psalm XIX (l. XIX, 7)