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One of their similarities are they both agree that price of a commodity is determined in the exchange process by their relative level of supply and demand with each other. But it should not be forgotten that Marx explains preceding process very different than Smith. For Marx, actually "price = cost (raw materials, machinery and wages) + profit (surplus value)". In this sense actually price is determined in the production process and in the distribution it only converts into a monetary definition of its price. Supply demand equilibrium has effect but the main determinant is cost and surplus value.

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12y ago

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