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Industrial capital cannot be in shape. Industrial capital

Circulation of industrial capital.

Material basis market relations serves as the industrial capital of the company. The company has material and monetary resources that serve the production and circulation process.

In every this moment a firm has industrial capital in three functional forms: monetary, industrial and commodity. In each of them it performs certain functions. They are functional forms because money, production and commodity capital are not independent types of capital, but represent only forms (parts) of the industrial capital of a company.

Money capital is needed by a company to purchase capital goods and labor. He appears as free Money, necessary for the company to continuously maintain the process of production and circulation of goods. Function money capital consists of preparing the conditions for the production of profit.

Productive capital is the value of the means of production and labor power in the process of productive consumption. The function of productive capital is to produce profit for the firm.

Commodity capital represents created, but not yet sold products companies. Its function is to sell goods and generate profit for the company.

Each functional form of industrial capital is assigned to a specific place in the firm. Cash capital is in the cash desk of the company. From here it is extracted to purchase means of production and labor. Productive capital is located in warehouses, from where goods systematically enter the sphere of circulation and where they constantly arrive from production.

Industrial capital in all three functional forms is the material carrier of market relations. Before starting production, a company in the sphere of money circulation acquires the means of production and labor it needs. In the process of production, means of production and work force create a product. Then this product is sold in the sphere of circulation, and its value again takes the form of money. From this it is clear that the industrial capital of the company is in constant motion, transforming from one functional form to another. It sequentially passes through three stages: circulation, production, circulation.

The sequential passage of capital through three stages and its transformation from one functional form to another until it returns to its original form is called the circulation of capital.

Each functional form of capital corresponds to its own figure of the firm’s capital circulation. They can be consistently characterized as follows:

Figure of the circulation of money capital. If the initial and final points of the circulation of capital appear in monetary form, then this is a figure in the circulation of the firm’s monetary capital. It can be presented as follows:

D - T...P...T"- D"

Where D is money;

Sp - means of production;

Rs - labor force

P - production;

T - product.

The circulation of money capital consists of three stages. The first stage of the circulation takes place in the sphere of circulation. It is important to note that not the form of the act

M - C, and its material content makes this act the first stage of the circulation of capital. Money serves as capital not because it is thrown into circulation at all. For example, the money with which an entrepreneur buys consumer goods is not capital. Money serves as capital because it is spent on the purchase of specific goods - means of production and labor, which serve as a means of making profit. Upon completion of the first stage of the circuit, the value initially advanced by the firm in cash acquires the natural form of productive capital. Now it can be used as a self-expanding value, that is, as a value that brings surplus value. The second stage of the circuit represents the production process. The points in the circuit figure indicate that the circulation process has been interrupted and that the movement of capital continues in the sphere of production. At this stage, the union of labor power with the means of production occurs. This stage is decisive. The production process begins, during which goods of surplus value are created. Productive capital turns into commodity capital. The newly produced product (T") differs from the goods purchased by the company at the first stage of the circulation. It differs not only from the qualitative side, that is, in its properties and external form, but also of greater value, since it includes the value of the surplus product (surplus value) created in the production process. This commodity (C") is not just a commodity, it takes the form of commodity capital. At the third stage of the circuit, capital again enters the sphere of circulation. At this stage, the sale of goods (C" - D") takes place. Commodity capital again turns into money, returning to original form. At this stage, surplus value first enters into circulation. It changes the commodity form to the monetary form. The circulation of money capital coincides with the general formula of the circulation of capital. It expresses the main and immediate goal of the functioning of the company - increasing the advanced value, making a profit. The individual parts of capital are sequential move from one form to another, and all capital is simultaneously in all three functional forms. If all capital at a given time were only in money or only commodity form, the production process would be interrupted. And if all of it were only in a productive form, then the circulation process would be interrupted. Therefore, the continuous flow of capital circulation requires the firm to have different parts of capital simultaneously in various forms: monetary, productive and commodity.

Figure of turnover of productive capital. It can be presented as follows:

P ... T" - D" - T P

In this formula, the stage of circulation acts as an intermediary link between the two stages of production. And the movement itself is presented as production for production’s sake. The purpose of the company's functioning - profit - is relegated to the background in this figure. The circulation of productive capital means the periodic resumption of its functioning, that is, not only production, but also the reproduction of capital. At the same time, a certain part of "D", spent on personal consumption of the entrepreneur, continues its movement outside the circuit of capital. Consequently, formula (2) reflects simple reproduction. With expanded reproduction, the value of productive capital at the end of the circuit (P") exceeds its value at the beginning of the circuit , and the circulation formula takes the following form:

P … T" - D" - T … P"

Figure of the circulation of commodity capital. It can be expressed by the formula:

T" - D" - T... P... T"

The movement of this form of capital begins with a commodity that already contains surplus value. Therefore, the circulation of commodity capital covers the movement not only of advanced capital, but also of surplus value. The circulation of commodity capital includes both productive and personal consumption, since the sale of all commodity products involves both the purchase by entrepreneurs of means of production for productive consumption, and the purchase by all members of society of items for personal consumption. The circulation of commodity capital reflects the importance of the implementation of T", that is, the consumption of produced goods, without which the production process cannot be resumed

The three functional forms of industrial capital perform different functions in the process of circulation. Therefore, at a certain stage of development of production, the possibility of isolating various forms of industrial capital and transforming them into independent capital is created. Thus, on the basis of the monetary form of industrial capital, loan capital arises; on the basis of the commodity form, commercial capital arises. The separation of these forms of capital complicates the movement of the firm's industrial capital, including its circulation.

Industrial capital

capital advanced for the production of surplus value and operating in the sphere material production(in industry, agriculture, construction, transport). P.K. “... covers every branch of production conducted capitalistically” (K. Marx, see K. Marx, F. Engels, Soch., 2nd ed., vol. 24, p. 60). Reflects the specific nature of capitalist production and circulation, subordinate to the process of self-expansion of capital value. Since the production of surplus value (See Surplus Value) is not a one-time act, but a constantly reproduced process, the production system is in motion, constantly circulates and exists simultaneously in 3 functional forms - monetary, productive, commodity, each of which, in turn, makes its own circuit. This ensures the continuity of capitalist production. “Industrial capital is the only mode of existence of capital in which the function of capital is not only the appropriation of surplus value, according to the appropriation of surplus product, but at the same time its creation. Therefore, industrial capital determines the capitalist nature of production; the existence of industrial capital includes the existence of a class antagonism between capitalists and wage workers” (ibid., p. 65).

The starting point and final point of the PK movement is money. Therefore, the formula for the circulation of money capital (See Money Capital): , Where D - money, T - product, R - work force, Cn- means of production, P- production is also general formula movements of P. to.

At stage 1 D - T Money capital takes the form of money capital, the function of which is to prepare the conditions for the direct process of creating surplus value. At stage 2 P... T' Through the exploitation of hired labor, there is a real increase in the value advanced, its self-expansion, and the wage capital takes the form of productive capital (See Productive capital). The final stage is T'-D', where commodity capital appears in the form of commodity capital (See commodity capital), whose function is to realize increased capital value. With the development of capitalism, trading capital and loan capital are separated from private capital, while the main form of capital remains private capital, which directly expresses the essence of class relations between workers and capitalists.

Lit.: Marx K., Capital, vol. 2, Marx K. and Engels F., Soch., 2nd ed., vol. 24, p. 60, 93-94, 116, 118, 121, 129-32.

A. A. Khandruev.

Great Soviet Encyclopedia. - M.: Soviet Encyclopedia. 1969-1978 .

See what “Industrial capital” is in other dictionaries:

Capital advanced to create goods and services in the sphere of material production. In the process of capital circulation, three forms of industrial capital are distinguished: money capital, productive capital and commodity capital. In English:… … Financial Dictionary

industrial capital- - [A.S. Goldberg. English-Russian energy dictionary. 2006] Topics: energy in general EN industrial capital...

Industrial capital- see Industrial capital...

- (lat. capitalis). 1) sum of money, given in growth. 2) any property used for one’s own use or for the purpose of any production, and in general everything that represents a certain exchange value. Dictionary of foreign words,... ... Dictionary of foreign words of the Russian language

CAPITAL, capital, m. [from Latin. capitalis, lit. head]. 1. The totality of values (see value in 2 values), with the help of which in a capitalist society surplus value is extracted through the exploitation of wage labor and reflects ... Dictionary Ushakova

Capital operating in the sphere of material production and creating surplus value. Dictionary of business terms. Akademik.ru. 2001... Dictionary of business terms

industrial capital- Capital advanced for the production of surplus value and functioning in the sphere of material production. Topics: accounting... Technical Translator's Guide

Financial capital- industrial capital merged with banking capital (see). see also Amalgamation... Librarian's terminological dictionary on socio-economic topics

Capital- (Capital) Capital is a set of material, intellectual and financial resources used to obtain additional benefits. Definition of the concept of capital, types of capital, capital market, capital circulation, outflow problem... ... Investor Encyclopedia

English capital, industrial; German Capital, productif; industrial. Capital used in the sphere of capitalism, production (in industry and agriculture), producing stages of capital circulation (monetary, commodity), corresponds to the Crimea... ... Encyclopedia of Sociology

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Financial capital is monopoly industrial capital fused with monopoly banking capital. With the formation of financial capital, all specific forms of economic activity (industrial, commercial, banking) are combined into a single entity. Financial capital makes it possible to concentrate a huge mass of social wealth in the hands of a small group of the largest monopolists - the financial oligarchy.

Undividedly dominating the economy of capitalist countries, the financial oligarchy subjugates the bourgeois state and directs its policies in its own interests. Financial capital involved in the military business is especially dangerous for the cause of peace.

There are two main concepts of the origin of financial capital:

Rational. Financial capital arose as a result of a certain rational agreement between people who understood that in order to improve the service of the sphere of commodity circulation and increase the efficiency of its functioning, special funds were needed.

Evolutionary. The emergence of financial capital was objective: first in the form of money, then, with the development of banks and other financial and credit institutions and the manufacturing sector, the need for other financial assets arose. This led to the emergence of capital in the form of liquid financial assets, i.e. capital in the form valuable papers which are exchanged for money.

The merging of banking and industrial monopolies occurs in various forms, which is associated with the new operations of banks in the era of imperialism: maintaining current accounts, making settlements and payments to clients, short-term and long-term lending, trust affairs, mutual participation in share capital and personal union. The closest connections between industrial and banking monopolies are through joint ownership of securities

After World War II, under the conditions of the scientific and technological revolution, the merging of banks and industrial monopolies intensified due to the growth in the scale of credit, settlement and payment transactions. There was a specialization in the loan capital market, new credit and financial institutions developed rapidly: insurance institutions, pension funds, investment companies.

However, most of these institutions are either directly subordinate to monopoly banks or are closely associated with them. Monopoly commercial banks remain the main force in the capital market. The same applies to industrial monopolies, which have not lost their leading positions, despite the reduction in the share of industry in the total social product in a number of capitalist countries. Thus, the backbone of financial capital still consists of fused industrial and banking monopolies.

An important feature of modern financial groups capitalist countries - outgrowing the national framework. The development of international and banking monopolies leads to strengthening ties between them and the emergence of international financial groups.

Industrial capital.

Industrial capital is capital that sequentially goes through three phases in its movement (acquisition of means of production and hiring of labor, direct production and marketing of manufactured goods), is in the process of movement sequentially in three functional forms (monetary, productive and commodity), self-expanding ultimately, while providing the owner of capital with a profit within the social average.

The continuity of the circulation of industrial capital requires a constant successive change of its forms, maintaining the necessary proportions between them. But the continuity of the circuit is periodically disrupted due to the dominance of private ownership of the means of production, the antagonistic nature and spontaneous development of capitalist production. The dominance of industrial capital reaches its highest level in the era of free competition, which, in turn, gives rise to monopolies, first of all in the sphere of production, and then in the sphere of trade and credit. On this basis, industrial capital merges with banking capital, a new type of capital appears - financial capital

The general formula for the circulation of commodity capital is:

T’ – D’ – T... P... T’.

T' is not only a product, but also a prerequisite for the two previously discussed circuits, since what for one capital is D – T, already includes T' – D' for another, at least insofar as part of the means of production is itself a commodity product of other individual capitals completing their circulation. In your case, for example, coal, machines, etc. represent the commodity capital of the coal industrialist, capitalist machine builder, etc. Further, in Chapter I, paragraph IV, it is shown that already at the first repetition D...D', Before this second circuit of money capital ends, not only the circuit of P...P, but also the circulation T'...T'.

If reproduction occurs on an expanded scale, then the final T' more than initial T' and therefore it should be designated here by T".

The difference between the third form and the first two is manifested, firstly, in the fact that here circulation as a whole with its two opposite phases opens the circuit, while in form I circulation is interrupted by the process of production, and in form II the entire circulation with its two mutually complementary phases is only an intermediate link in the process of reproduction and therefore forms an intermediary movement between P...P. At D...D' there is a contact form D – T…T’ –D’ = D – T – D. At P...P reverse form of address: T' – D'. D – T = T – D – T. In T' …T1 the appeal also has this latter form.

Secondly. When repeating Circuits I and II, even if the final points D' And P' form the starting points of the renewed circulation, the form in which these were produced disappears D' And P'. D'=D+d and P'=P+p start a new process again like D And P. In form III - even if the circuit is resumed on the same scale - the starting point T should be designated as 7", namely for the following reason. In Form I, only
D' as such it opens up a new circuit, it functions as money capital D, as a capital value advanced in monetary form, which must increase in value. The amount of advanced money capital increased as a result of the accumulation that took place during the first circulation and became larger. But is the amount of advanced money capital 422 pounds? Art. or 500 f. Art., - this does not change anything in the fact that it is simply a capital value. M' no longer exists as capital increased in value or fertilized by surplus value, not as a capitalist relation. After all, he [D’] still has to go through the process of increasing value. The same applies to P…P’; P' must continue to constantly function and renew the circuit as P, as capital value which must produce surplus value. – On the contrary, the circuit of commodity capital opens not simply with capital value, but with already increased capital value in the commodity form, and therefore from the very beginning contains within itself not only the circuit of capital value found in the commodity form, but also the circuit of surplus value. Therefore, if simple reproduction occurs in this form, then at the final point there appears T' the same size as at the starting point. If part of the surplus value enters the circuit of capital, then, although at the end it appears T" instead of
T', that is, it appears T' greater value, but the next circuit still begins again with T', which represents only a larger T' than it was in the previous circuit, and begins its new circuit with a greater accumulated capital value, and therefore with a relatively greater newly produced surplus value. In all cases, T’ constantly opens the circuit as commodity capital, which = capital value + surplus value.

T' acts as T in the circuit of individual industrial capital, not as a form of this capital, but as a form of other industrial capital, since the means of production are the product of this latter.

Act D–T(i.e. D – Sp) of the first capital for this second capital there is an act T' – D'.

R And Sp in the act of appeal

D–T <

play an identical role insofar as they are commodities in the hands of their sellers, in one case workers selling their labor power, in another case the owners of the means of production selling these latter. For the buyer, whose money functions here as money capital, R and Sp function as commodities only as long as he has not yet purchased them, therefore, as long as they, as commodities of others, confront his capital, which exists in the form of money. Sp i. R differ here only insofar as Sp in the hands of your seller = T', therefore, it can be capital, since Sp represents the commodity form of the seller’s capital, while for the worker R is always only a commodity and becomes capital only in the hands of the buyer, as an integral part P.

That's why T' can never start a circuit as simple T, as a simple commodity form of capital value. As commodity capital, it always has a dual character. From the point of view of use value, it is a product of functioning P, - in this case, yarn, the elements of which R And Sp, which appeared as goods from the sphere of circulation, functioned as factors in the formation of this product. Secondly, in terms of value, it is equal to the capital value P plus added value T, produced during operation P.

Only in the circuit itself T' part of it T = P= capital value can and should be separated from that part T', in which surplus value exists, from the surplus product in which surplus value resides, regardless of whether the two parts are actually separable from each other, as in the case of yarn, or not, as in the case of a machine. These parts of value become separable from each other whenever T' turns into D'.

If the whole marketable product can be divided into independent homogeneous partial products, such as our 10,000 pounds of yarn, and if therefore the act T' – D' can be represented as the sum of sales made one after another, then capital value in commodity form can function as T, may separate from T', before the surplus value is realized, therefore, before the T' generally.

From 10,000 pounds of yarn worth £500. Art. cost £8,440 = 422 f. Art. d is equal to capital value separated from surplus value. If the capitalist sells only 8,440 pounds of yarn for £422. st., then these 8,440 pounds of yarn express T, capital value in commodity form; contained, in addition, in the same T' surplus product in the form of 1,560 pounds of yarn, equal to a surplus value of 78 pounds. Art., would have come into circulation only later; a capitalist could commit

T–D–T <

before the circulation of surplus product, up to t – d–t. Or, if he had first sold 7,440 pounds of yarn, valued at £372. Art., and then 1,000 pounds of yarn worth 50l. Art., then the first part T the means of production could be replaced (the constant part of capital, c), and the second part
T - the variable part of capital, v, labor - and then everything is the same as before.

But if such successive sales occur and if the conditions of the circuit allow this, then the capitalist, instead of dividing everything T' on With + v+ she can perform this division also on any part T'.

For example, 7,440 lbs of yarn = 372 f. st., which, being parts of T' (10,000 pounds of yarn = £500), are representatives of the constant part of the capital, can themselves be divided: into 5,535,360 pounds of yarn worth 276,768 pounds. Art., which replace only the constant part of capital, the cost of the means of production consumed in the production process of 7,440 pounds of yarn; for 744 pounds of yarn valued at £37,200. Art., reimbursing only variable capital; for 1,160,640 pounds of yarn valued at £58,032. Art., which, as a surplus product, are the bearer of surplus value. Consequently, by selling 7,440 pounds, the capitalist can replace the capital value contained in them by selling 6,279,360 pounds of yarn at a price of 313,968 pounds. Art., and the value of the surplus product in the form of 1,160.640 pounds of yarn = = 58,032 f. Art., spend it as income.

In the same way he can further divide 1,000 lbs of yarn = 50 lbs. Art. = variable capital value, and sell them in appropriate parts: 744 pounds of yarn valued at £37,200. Art. – this will be a constant capital value consisting of 1,000 pounds of yarn; 100 pounds of yarn worth £5,000. Art. – variable part of capital in the same 1,000 pounds; therefore 844 pounds of yarn, valued at £42,200. Art. serve as a replacement for the capital value contained in 1000 pounds of yarn; finally, 156 pounds of yarn valued at £7,800. Art. represent the surplus product contained in it and can be consumed as such.

Finally; he can the remaining 1,560 pounds of yarn, valued at £78. Art. divide - if only the sale succeeds, in such a way that the sale of 1160, 640 pounds of yarn worth 58,032 pounds. Art. reimbursed the cost of the means of production contained in 1,560 pounds of yarn, and the sale of 156 pounds of yarn worth £7,800. Art. – cost of variable capital; 1,316,640 lbs of yarn = 65,832 lbs. Art. represent in the aggregate the recovery of the entire capital cost; finally, the surplus product in the form of 243.360 pounds of yarn = 12.168 pounds. Art. remains to be spent as income.

Just as each element c, v contained in the yarn , T can, in turn, be decomposed into the same component parts, and each individual pound of yarn worth 1 shilling = 12 pence can be decomposed in the same way.

c =0.744 pounds of yarn =8.928 pence v = 0.100 pounds of yarn =1.200 pence m = 0.156 pounds =1.872 pence

c+v+t=1 pound of yarn = 12 pence

If we add up the results of the above three sales made in parts, the result will be the same as if we sold 10,000 pounds of yarn at once.

We have constant capital:

at 1st sale: 5535.360 lbs of yarn = 276.768 lbs. Art.

"2nd" 744,000"" = 37, 200""

"3rd" 1160, 640"" = 58, 032""

Total…………………………… 7440 lbs of yarn = 372 lbs. Art.

Variable capital:

at 1st sale: 744,000 lbs of yarn = 37,200 lbs. Art.

"2nd" 100,000 » "= 5,000""

"3rd" 156,000"" = 7,800""

Total…………………………… 1000 lbs of yarn = 50 lbs. Art.

Added value:

at 1st sale: 1160.640 pounds of yarn = 58.032 lbs. Art.

"2nd" 156,000"" = 7,800""

"3rd" 243, 360"" =12, 168""

Total………………………….. 1,560 lbs of yarn = 78 lbs. Art.

Grand total:

Constant capital 7440 pounds of yarn = 372 pounds. Art.

Variable capital 1000"" = 50""

Added value 1560" » = 78""

Total………………………….. 10,000 lbs of yarn = 500 lbs. Art.

T' – D' in itself is nothing more than the sale of 10,000 pounds of yarn. 10,000 pounds of yarn is a commodity, like any other yarn. The buyer is interested in a price of 1 shilling per pound, or 500l. Art. for 10,000 pounds of yarn. If during a transaction he pays attention to the structure of capital by value, then only with. with the insidious intention of proving that 1 pound of yarn could be sold for less than 1 shilling, and that even in this case the transaction would be profitable for the seller. But the quantity of a good a consumer buys depends on his needs; so, for example, if he is the owner of a weaving enterprise, then this amount depends on the structure of his own capital functioning in the weaving enterprise, and not on the structure of the capital of the spinning manufacturer from whom he buys. The proportions in which T' must, on the one hand, replace the capital consumed in the process of its production (or various components of this capital), and, on the other hand, must serve as a surplus product, intended either for the expenditure of surplus value or for the accumulation of capital - these proportions exist only in the process of circulation of that capital, the commodity form of which is 10,000 pounds of yarn. They have nothing to do with sales as such. Moreover, it is assumed here that T' is sold at its value and that, therefore, we are only talking about transforming it from a commodity form into a monetary form. For T', As a functional form in the circuit of this individual capital, from which productive capital must be replaced, the decisive factor, of course, is whether and to what extent price and value deviate from each other during sale; but here, when considering only the differences in forms, we do not need to dwell on this issue.

In Form I, D...D', the production process is located in the middle between two complementary and opposite phases of the circulation of capital; it will be finished before the final phase comes T' – D'. Money is advanced as capital first for the elements of production, the elements of production are transformed into a commodity product, and this commodity product is again transformed into money. This is a completely complete cycle of transactions, the result of which is suitable money for everything and for everyone. Therefore, the resumption of the process is given only as a possibility. D...P...D' can equally be both the last circuit, which ends the functions of individual capital in the event of its extraction from the enterprise, and the first circuit of individual capital, which first begins to function. The general movement here is: D–D’, from a known amount of money to a larger amount of money.

In Form II, P…T’ ~ D’ – T…P (P’), the entire circulation process follows the first P and precedes the second; but it proceeds in the opposite order to that in Form I. First P is productive capital and its function is the process of production, which is a precondition for the process of circulation that follows it. On the contrary, the final P is not a production process; it represents only the secondary residence of industrial capital in its form of productive capital. And besides this P is the result of the transformation that took place in the last phase of circulation - the transformation of capital value into R + Sp, into subjective and objective factors, which in their combination form the form of existence of productive capital. Capital, whether P or P', at the end of the circuit it is again present in a form in which it must again function as productive capital, carry out the process of production. General form of movement P...P, is a form of reproduction and does not indicate how D...D', to increase value as the goal of the process. Therefore, this form makes it all the more easier for classical political economy to ignore a certain capitalist form of the production process and portray production as such as the goal of the process, which supposedly consists in producing as much as possible and as cheaply as possible and exchanging the product for other possibly more heterogeneous products that serve partly for resumption of production (D – T), partly for consumption (d – t). At the same time, since D and d are here a means of circulation only fleetingly; then the features of both money and money capital can go unnoticed, and the whole process turns out to be simple and natural, that is, it has the naturalness of flat rationalism. In the same way, when considering commodity capital, profit is sometimes forgotten, and when we are talking about the circuit of production as a whole, commodity capital appears simply as a commodity, but when we are talking about the component parts of value, it appears as commodity capital. Of course, accumulation is depicted in the same way as production.

In Form III, T’ – D’ – T…P…T’, the circulation is opened by two phases of the circulation process, and precisely in the same order as in form II, i.e. in the form P...P; then follows P, moreover, it follows, as in Form I, with its function, with the production process; the result of this last T', the circuit ends. Just as in Form II it ends P, simply by the re-existence of productive capital, and here it ends T', the re-existence of commodity capital; just as in form II capital in its final form II must again begin the process as a process of production, so here, after the secondary appearance of industrial capital in the form of commodity capital, the circuit must again begin in the circulation phase T' – D'. Both forms of circuit remain incomplete because they do not end D', i.e., increased capital value, again converted into money. Consequently, both forms must be continued, and therefore they involve reproduction. The entire circuit in form III is T'...T'

The third form is distinguished from the first two by the fact that only in this circuit the starting point of the process of increasing value is the already increased capital value, and not the initial capital value, which has yet to increase. The starting point here is T', expressing a capitalist attitude; as such, it has a decisive influence on the entire circuit, for already in its first phase this circuit includes both the circuit of capital value and the circuit of surplus value; at the same time, the surplus value, if not in each individual circuit, then on average, must be partly spent as income, pass through circulation m - d - t , partly function as an element of capital accumulation.

In the form T'...T', the consumption of the entire commodity product is assumed as a condition for the normal course of the circulation of capital itself. The individual consumption of the worker and the individual consumption of that part of the surplus product that is not subject to accumulation covers all individual consumption. Therefore, consumption taken as a whole - both as individual and as productive consumption. - enters the circulation
T' as its condition. Productive consumption (which essentially includes the individual consumption of the worker, since labor power within certain limits is a constant product of the individual consumption of the worker) is carried out directly by each individual capital. Individual consumption, with the exception of what is necessary for the very existence of the individual capitalist, is assumed exclusively as a social act, and by no means as an act of the individual capitalist.

In Forms I and II the entire movement is expressed as a movement of advanced capital value. In form III, capital increased in value, appearing in the form of a total commodity product, forms the starting point and has the form of moving capital, commodity capital. Only after its transformation into money does this movement branch into the movement of capital and the movement of income. In this form, the circuit of capital includes both the distribution of the entire social product and the special distribution of the product of any individual commodity capital - distribution, on the one hand, to the individual consumption fund, on the other hand, to the reproduction fund.

IN D...D' given the opportunity to expand the circulation depending on the size of that part d, which will enter the renewed circuit.

P in P...P it can begin a new circuit with the same cost, perhaps even with less - and yet it can represent reproduction on an expanded scale;

for example, if the elements of a product become cheaper due to an increase in labor productivity. On the contrary, in the opposite case, productive capital, which has increased in value, can represent reproduction on a scale that is narrowed in material terms - if, for example, the elements of production become more expensive. The same applies to T'... T'.

IN T'...T' the presence of capital in commodity form is a prerequisite for production, and as a prerequisite it returns again in the same circuit in the second T. If this T has not yet been produced or reproduced, then the circuit is suspended; This T should be reproduced for the most part as T' any other industrial capital. In this circuit T' exists as a starting point, a transition point and a final point of movement - therefore it is always present. It is a constant condition of the reproduction process.

T'...T' differs from forms I and II in one more point. All three circuits have this in common, that capital ends the process of its circuit in the same form in which it opens it, and thanks to this it again takes on the initial form in which it again opens the same circuit. Initial form D, P, T’ there is always the form in which capital value is advanced (in form III, together with the surplus value that has grown to it) - therefore, in relation to the circuit, this is the original form of value; the final form D', P, T' there is always a transformed form of one of the functional forms preceding in the circuit, which is not the original form.

Thus D' in form I there is a transformed form T', final P in form II - transformed form D (in both form I and form II this transformation is achieved by a simple act of commodity circulation, thanks to the formal movement of goods and money); in form III T' there is a transformed form P, productive capital. But here, in Form III, transformation concerns, firstly, not only the functional form of capital, but also the magnitude of its value, and secondly, transformation is the result not simply of a formal movement related to the process of circulation, but the result of a real transformation, which in the process of production the use form and value of the commodity components of productive capital were subjected.

Starting point form D, P, T’ given in advance for each circuit – for I, II and III; the form, again repeated at the final point, is caused, and therefore conditioned, by a series of metamorphoses of the circuit itself. T', as the final point of the circuit of individual industrial capital, only presupposes a form not related to circulation P the same industrial capital, the product of which is this C'; D' as the final point in form I, as the transformed form T' (T' - D'), assumes that D is in the hands of the buyer, exists outside the circulation D...D' and only as a result of the sale T' is drawn into this cycle and becomes its own final form. Thus, in Form II the final P assumes R And Sp (T) as existing outside and included in its circuit, as its final form due to the commission of an act D – T. But if we leave aside the last extreme point, then the circuit of individual money capital does not presuppose the existence of money capital in general, and the circuit of individual productive capital does not presuppose the existence of productive capital. In Form I D may be the first money capital, in form II P may be the first productive capital to appear on the arena of history, but in the form III

T twice assumed to exist outside the circuit. For the first time in the circuit

T’ –D’ –’T <

This T, because it consists of Sp, there is a product in the hands of the seller; it itself is commodity capital, since it is a product of the capitalist production process, and even if not, it acts as commodity capital in the hands of the merchant. The second time it is assumed in t - d – t, in the second t, which in the same way must be available as a commodity in order to be bought. Anyway R And Sp, regardless of whether they are commodity capital or not, they are the same goods as T' and treat each other as commodities. The situation is exactly the same with the second t in t - d – t. So, since T' = T(R + Sp), insofar as goods are elements of the formation of the T' and to that extent it must be compensated in circulation by goods of the same kind; like this and in t -
d–t the second ton must also be compensated in circulation by other goods of the same kind.

Further, based on the capitalist mode of production as dominant, every commodity in the hands of the seller must be commodity capital. It continues to be commodity capital in the hands of the merchant or becomes such in his hands if it was not one before. Or - like, for example, imported products - it must be a commodity that replaces the original commodity capital and therefore gives it only another form of existence.

Product items R and Sp, of which the productive capital P consists, as forms of existence P have a different appearance than they had on the various commodity markets where they were purchased. They are now connected, and in their connection they can function. as productive capital.

The fact that only in this form III T within the circuit itself turns out to be a prerequisite T, is explained by the fact that the starting point of the circuit is capital in commodity form. The circuit opens by transformation T'(since it functions as capital value, it makes no difference whether it is increased by the addition of surplus value or not) into the goods that constitute the elements of its production. But this transformation covers the entire process of circulation T – D – T(=P+ Sp) and is the result of the latter. So here T stands on both extreme points, but the second extreme point receiving its form T thanks to the act D–T from the outside, from the sphere of the commodity market, is not the last point of the circuit, but is only the last point of its first two stages, covering the process of circulation. Its result is P, whose function, the process of production, begins after this. Only as a result of this latter process, and not as a result of the process of conversion, T' is the end of the circuit and takes the same form as the starting point T'. On the contrary, in D–D’ and in P...P, final points D' And P are the direct results of the circulation process. Consequently, it is assumed here that only at the end of the circuit is the D' in the first case and P - in the second. Since the circuit flows between extreme points, neither D in one case, neither P in another - that is, neither existence D like other people's money, nor existence P as someone else's production process - are not a prerequisite for these circuits. Against, T'...T' assumes that T (= R + Sp) represents other people's goods and is in the hands of others, that these goods, through the introductory process of circulation, are involved in the circuit and transformed into productive capital, and as a result of the functioning of this latter T' again becomes the final form of the circuit.

But precisely because the circuit T'...T' within the limits of its movement presupposes the presence of other industrial capital in the form T (= R + Sp)(A Sp includes various kinds of Other capital, for example, in this case, machines, coal, oil, etc.), then for this reason it has to be considered not only as general form of circulation, i.e., not only as a social form in which each individual industrial capital can be considered (except for those cases when it is invested for the first time), therefore, not only as a form of movement common to all individual industrial capitals, but in at the same time, as a form of movement of the sum of individual capitals, that is, the entire capital of the capitalist class, as such a movement in relation to which the movement of each individual industrial capital is only a partial movement, intertwined with the movements of other capitals and conditioned by them. For example, if we consider the annual total commodity product of any country and analyze the movement by which one part of this product replaces the productive capital in all individual enterprises, and another part enters into the sphere of individual consumption of the various classes, then we consider T'...T' as a form of movement characteristic of both social capital as a whole and the surplus value or surplus product produced by it. Social capital is equal to the sum of individual capitals (including the sum of share capitals and the sum of all public capital, since governments employ productive wage labor in mining, railways, etc., and therefore perform the functions of industrial capitalists), and the general movement of social capital is equal to the algebraic sum of movements of individual capitals. This circumstance in no way excludes the fact that a given movement, taken as the movement of isolated individual capital, reveals different phenomena than the same movement considered as part of the general movement of social capital, that is, considered in its connection with the movements of other parts of this the last one. At the same time, it resolves problems that must be assumed already solved when considering the circuit of individual individual capital, and not derived from it.

T'...T' is the only circuit in which the initially advanced capital value forms only part of the extreme point from which the movement begins, and where, thus, this movement declares itself from the very beginning as the total movement of industrial capital, as the movement of not only that part of the product , which replaces productive capital, but also that part of it that forms a surplus product and is usually partly spent as income, and partly must serve as an element of accumulation. Since the expenditure of surplus value as income is included in this circuit, individual consumption is also included in it. But this latter is included, further, also because the starting point T, the commodity, exists in the form of a specific article of consumption; Every capitalistically produced object is commodity capital, no matter whether its consumer form is intended for productive consumption, or for individual consumption, or for both. D–D’ indicates only one side: cost, the increase in the advanced capital value as the goal of the whole process; P…P (P’) indicates the process of production of capital as a process of reproduction, with the amount of productive capital remaining the same or increasing (accumulation); T’…T’, manifesting itself already at its starting point as a form of capitalist commodity production, covers both productive and individual consumption from the very beginning; productive consumption, together with the increase in value contained in it, turns out to be only part of the movement in this form. Finally, since T' can exist in a consumer form that cannot enter into any production process, this already shows in advance that the various components of value T', expressed in shares of the product, must occupy a different position, depending on whether T'...T' as a form of movement of all social capital or as an independent movement of individual industrial capital. In all its peculiarities, this circuit goes beyond its own limits as a separate circuit of simply individual capital.

In figure T'...T' the movement of commodity capital, i.e., the entire capitalistically produced product, is not only a prerequisite for the independent circulation of individual capital, but is, in turn, conditioned by it. Therefore, if the originality of this figure is understood, then it is no longer enough to limit ourselves to indicating that metamorphoses T' – D' And D–T are, on the one hand, functionally defined stages in the metamorphosis of capital, and, on the other hand, links in the general circulation of goods. Now it is necessary to clearly show the interweaving of the metamorphoses of one individual capital with the metamorphoses of other individual capitals and with that part of the total product that is intended for individual consumption. Therefore, when analyzing the circuit of individual industrial capital, we take primarily the first two forms as a basis.

Circuit T'...T' is a form of separate individual capital, for example in agriculture, where accounting is carried out from harvest to harvest. In figure II the starting point is sowing, and in figure III the harvest, or, as the physiocrats say, in the first - avances, in the second - reprises .
The movement of capital value in figure III from the very beginning appears only as part of the movement of the total mass of products, while in figures I and II the movement T' forms only a moment in the movement of isolated capital.

In figure III, the goods on the market form a constant prerequisite for the process of production and reproduction. Therefore, if we focus on this figure, it seems that all elements of the production process originate from the sphere of commodity circulation and consist only of goods. This one-sided understanding overlooks elements of the production process that are not commodity elements.

Since in T'...T' the starting point is the entire product (the entire value), it is discovered here that (if we leave aside foreign trade) reproduction on an expanded scale, with constant productivity, can take place only if parts of the surplus product subject to capitalization already contain the material elements of additional productive capital; Consequently, it is found here that since the production of one year serves as a precondition for the production of the next year, or since this production can occur during one year simultaneously with the process of simple reproduction, the surplus product is immediately produced in a form that allows it to function as additional capital. Increased productivity can only increase the substance of capital, without increasing its value; but in this way it forms additional material for increasing the value of capital.

T'...T' lies at the heart of Quesnay's Tableau economique, and the fact that, in contrast to the form D...D'(the form to which the mercantilist system exclusively adhered) chose precisely this form, and not the form P... P, testifies to his great and faithful tact.

Industrial capital- is capital operating in the sphere of material production and creating surplus value. Industrial capital is the only form of capital in which surplus value is not only appropriated, but also created.

In the process of capital circulation, there are three forms of industrial capital:

money capital,
productive capital,
commodity capital.

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