Global Commodity Flows

Question 1

Marx Analysis - the rate of exploitation (commodity v ordinary commodity)

Answer 1

commodity can be sold & has value

Question 2

use value v value/exchange value

Answer 2

use value - qualitative value that you can’t quantify/utility of a commodity
—-ex. orange can be used to eat, to throw at someone

exchange value - quantifiable value in relation to others, what you can trade for/price of the commodity

Question 3

surplus value

Answer 3

excess value produced by the labour of workers/their wages

Question 4

global commodity chain

Answer 4

production, marketing & distribution of commodities is broken up among multiple firms in different territories

Question 5

labour productivity

Answer 5

determines the productivity of labour - firms will make workers intensify their labour to produce more commodities in a set period than before

Question 6

value composition of capital

Answer 6

the capital to labour ratio
— to increase the value composition of capital, the capitalist will have to invest more in constant capital than in variable capital

constant capital (investment in plant, equipment, materials)

variable capital (labour power)

Question 7

rate of exploitation

Answer 7

measurement shows how much the worker contributes to the increase of value in the production process

even if the worker is paid more, by the speical magic of mechanization and efficient management of production process, the rate of exploitation increases

Question 8

what is the name linked to global commodity flows?

Answer 8

karl marx

Question 9

surplus value

Answer 9

the extra value when workers produce more value than they are paid in wages

Question 10

2 items that surplus value is composed of

Answer 10

1. necessary labour time (making enough commodities to cover their own wages)
2. surplus labour time (the remainder of the working day, after the necessary labour time)

Question 11

rate of surplus value

Answer 11

represents how much of a workers day is spent enhancing the wealth of the capitalist

the higher the rate, the greater the enhancement of the capital’s wealth by the worker’s labour

ratio of necessary labour time : surplus labour time