| This question <560-4|567-1> overall <563-2|563-4> Jimmie: <530|563-4>. |
| Question 422: Is it right to say that M-C-M is incomplete because it ends with money, and the money is nothing by itself but must be spent? |
| [563-3] Jimmie: We must look at two different types of people when we consider M-C-M. The investor will look at this and want commodity as a temporary form while the C-M-C will deal with traders who want the money in the temporary form. This formula is not incomplete but can also take the form M-C-M-C. There are many ways of looking at this formula but it is important to keep in mind the initial product and the desired final product. Because of the formula we see that money in put into circulation. This allows individuals to decide how long to hold on to certain parts of the equation. Is the formula incomplete? No if the desired effects are reached after one trade. |
| Hans: If the capitalist meets his goal, namely a profit, in the first period, he does not want to stop but he wants to make a profit again in the second period. |
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