You really need to start reading engineers not economists to evaluate the labour component in the capital goods producing industries if you want to evaluate the LTOV. Moreover, have you looked at the margins in the competitive side of the high tech-world? Not very high despite their capital intensiveness. Something a Marxist would have no problem getting their head around. Yet a counter intuitive result if your initial premise is that capital adds value.
Hi Travis,
I'm not sure whether the high tech industries or what James Galbraith calls the knowledge intensive capital goods industries are the good intuitive examples to show how the labor theory of value explains the magnitude of value added! In the Value Controversy book Steedman points to micro-electronics to suggest how antiquated the labor theory of value has become.
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