We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Nobody downloaded yet

Define the terms constant capital, variable capital, and surplus value. What role do these three factors play in the process of capital accumulation - Essay Example

Comments (0)
Generally, it refers to all the financial resources that are available to be used at either personal or company levels. It is completely different from money since money is solely used to buy goods and…
Download full paper
Define the terms constant capital, variable capital, and surplus value. What role do these three factors play in the process of capital accumulation
Read TextPreview

Extract of sample
Define the terms constant capital, variable capital, and surplus value. What role do these three factors play in the process of capital accumulation

Download file to see previous pages... Moreover, capital can never exist not unless it is produced. Thus, to create capital, it must be combined with labor; in exchange with money and skill (Brewer, 1984). Capital can be claimed and its ownership transferred to a different individual. Hence, most governments have restrictions or rather regulations that limit how capital is used. Thus, this paper presents different forms of capital; constant capital and variable capital. In addition, it will discuss the surplus value in relation to capital accumulation.
According to Marx (2004) constant capital refers to the part of capital that is fully represented by all the means of production, the raw materials, the auxiliary materials and labor instruments which do not undergo value alteration in the process of production. Thus, it includes the money outlay on fixed assets such as buildings, machinery and land, raw materials such as the externally purchased services and incident expenses. In addition, constant capital can be described as the proportion of capital which is invested and includes the circulating constant capital and the fixed capital. Fixed capital is a portion of constant capital that has been advanced and functions as the factors of production, in the labor category. Hence, a finished product alongside the materials that were used to create it are brought out from the production process and passed into circulation (Marx, 2004). However, the labor instruments remain intact in the sphere of production since their function expects them to be static. These static instruments that remain behind after a production procedure is complete are thus referred to as fixed capital which passes part of its value to the final product due to wear and tear. The value of fixed capital steadily decreases to a point where the labor instrument is completely worn out as a result of repeated series of production processes. The ...Download file to see next pagesRead More
Comments (0)
Click to create a comment or rate a document
Capital Accumulation for Beautiful You Ltd
Very often managements need to take decisions on the basis of future forecasts rather than making reference to past experiences or current developments. However, with regard to share issuance or borrowing, management will have to comply with certain aspects of the company law.
10 Pages(2500 words)Essay
Golden Rule of Capital Accumulation and Macroeconomic Policy
This is the neo-classical model of economic growth. In 1946, Robert Solow and T. W. Swan independently developed this exogenous growth model. This steady state rate of growth is consistent with the economy’s natural rate of output. Policymakers use this model to understand why different countries grow at different rates and this is the main relevance of this model.
6 Pages(1500 words)Essay
Human Capital /
Formal education and participation in ongoing training factors related to the workplace setting also help enhance human capital that every employee represents. The increase in the economic value of man gave rise to the concept of human capital. Conceptualized by Mark Blaug forty five years ago, this is embedded in the economic theory of human resources in the form of human capital theory (Blaug, 1976:827).
8 Pages(2000 words)Essay
Companies are highly geared when the fixed charges are substantially higher than the competition. Gearing is speculative and expected to provide benefits for shareholders when the firms are performing well. The concept of gearing has always been linked with uncertainties.
14 Pages(3500 words)Essay
Capital Investment Process
As the investment process implies vast expenditures, most of the methods concentrate on the financial aspect of the matter, still recognising the importance of correlation to business strategy of a company. In reality, there are no clear answers made by those techniques as they rely on estimate data.
13 Pages(3250 words)Essay
Communication and Global Capital Accumulation
Enabled by the phenomenon of capital accumulation, the tools of this revolution have further contributed to increased capital accumulation. Indeed, the emergence of the Internet as a medium for communication, an arena for the production and redefinition of culture and the formation of cross-national/cross-ethnic communities has fundamentally altered the nature of communication and conceptualisations of both culture and society.
4 Pages(1000 words)Essay
It is no more about the inventory held by a firm or the valuation of the workshop with machinery and equipments that matters. Dynamic changes take place by the hour as the world has become knowledge-based. Human capital is the profit lever of the
3 Pages(750 words)Essay
Define Working Capital
Working capital is the backbone of any business and its role in success of any organization is significant. Debtors and creditors can increase or decrease the working capital
1 Pages(250 words)Research Paper
However, China is showing signs of sustainable and steady economic growth at 7-8 percent (Reserve Bank of Australia, 2012a). So analyzing the global economic scenario, it can be
6 Pages(1500 words)Essay
Letter of recommendation for pharmacy residency program
tinuously proven to be an asset to us as she helps us keep our pharmacy running like a well oiled machine and does not mind the high volume of work that is required of her on the job. Over the time that I have personally known Claire, she has proven to be a highly reliable
2 Pages(500 words)Essay
See the topic
Jeffrey Eugenides takes a great approach of the topic gender transition in his book ‘Middlesex.’ the story features Calliope Stephanides who plays the main character and talks about her life in the gender confusion as she was
3 Pages(750 words)Assignment
Let us find you another Essay on topic Define the terms constant capital, variable capital, and surplus value. What role do these three factors play in the process of capital accumulation for FREE!
Contact us:
Contact Us Now
FREE Mobile Apps:
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us