>Very unstably. Would you use the stock market to value underlying
real capital? Used equipment prices? The computer I'm typing on is a
bit over 2 years old and works quite well, but its market value is
close to 0. What's it worth?
Net present value of future cash flows, discounted for risk? :)
Question about capital measurements. I'm still trying to figure out the "marginalist revolution." According to what I've read, the neo-classicals needed to find a way to measure capital in values, but in a way independent of the rate of profit. Why? Was this just so they could show that even capital was subject to supply and demand forces and thus that profit was a given of capitalist social relations?
Christian