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The exchange value is the value of a good or service compared to another good or service. Understanding use value and exchange value broadly defines two kinds of economies - subsistence economies and surplus producing economies. Subsistence economies are concerned with meeting needs for social good while surplus-producing economies are concerned with meeting social needs (real or perceived) and creating excess profit. It is important to remember that a good or service becomes a commodity under capitalism because it is produced with the intention of being exchanged for a profit. “in commodity production, production necessarily implies exchange; exchange in a necessary step in the process of reproduction” (Shaikh 1977)...
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Common topics in this essay:
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