The Labor Theory of Value and why it is wrong

Labor is merely one of the factors of production, there are many more however such as intellectual capital (ideas, concepts, market research and planning ) economic allocation of resources, land and capital goods (e.g. machinery, infrastructure)

So why do so many people ignore these factors of production and still arrogantly insist that the value of a good or service only derives itself from the labor invested in it´s production?

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s