202

ON THE CAUSES

subject) into a previous quantity of labour, it
would still be a correct statement of facts to
say, that the cost of production consists in the
quantity of capital expended: or to lay aside
the term cost of production altogether, that the
amount of capital expended is the cause which
determines the value of the commodity pro-
duced.
It is impossible, under this view of the sub-
ject, to agree with the following passage in
Mr. Mill's Elements of Political Economy.

“To say, indeed, that the value of commo-
dities depends upon capital as the final stan-.
dard, implies one of the most obvious of all
absurdities. Capital is commodities. If the
value of commodities, then, depends upon the
value of capital, it depends upon the value of
commodities ; the value of commodities depends
upon itself. This is not to point out a standard
of value. It is to make an attempt for that
purpose clearly and completely abortive*.”

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Elements of Political Economy, p. 94, 2d edition.